During the Track Record Period, AIFS Services is being phased out in response to the market evolution.
Summary · p. 4
During the Track Record Period, we leveraged our accumulated expertise in AI software development from the delivery of AIFS Services to support the launch, development and continuous upgrade of AI Computing Infrastructure Solutions and AI Computing Cloud Services, and gradually shifted our focus toward these higher-demand business areas in response to industry trends.
Financial Information · p. 189
Such transition affected our revenue mix, cost structure and gross profit margin profile.
We subsequently acquired an aggregate of 70.11% equity interest in Shanghai Yuzhou in April 2024, resulting in it becoming a non-wholly owned subsidiary of our Company.
Business · p. 156
However, the acquisition also contributed to the increase in our net loss from RMB46.8 million in 2023 to RMB107.6 million in 2024, as we recorded net losses of RMB31.4 million from Shanghai Yuzhou in 2024.
Business · p. 164
Specifically, in 2024, our gross profit margin decreased markedly, primarily due to the acquisition of Shanghai Yuzhou.
We disposed of part of our equity interest in our former subsidiary in India which is engaged in the manufacturing of mobile phones, in July 2024 in light of the changes in the international market environment (the “Disposal of Indian Subsidiary”).
Financial Information · p. 232
Our trade receivables increased by 71.8% from RMB1,965.1 million as of December 31, 2023 to RMB3,376.5 million as of December 31, 2024, primarily due to the recognition of the trade receivables arising from transactions involving our former subsidiary in India following its disposal.
Financial Information · p. 232
While our former subsidiary in India did not experience any material adverse impact from such regulations and restrictions during the Track Record Period, we decided to transfer part of our equity interest in the former subsidiary in India to an independent third party, which is the controlling shareholder of one of our counterparties (the “Processing Counterparty”), as a precautionary measure to mitigate any potential adverse impact that may arise from such regulations and restrictions in the future.
From August 2023 to September 2023, our Company entered into a series of equity purchase agreements with the other shareholders of Feikong Taike, pursuant to which the Company agreed to acquire 81.19% equity interest in Feikong Taike, at a total consideration of RMB1,569.0 million; and from August 2023 to August 2024, our Company also entered into a series of equity purchase agreements with ELAS, the then minority shareholder of ficonTEC, pursuant to which the Company agreed to acquire 6.97% equity interest in ficonTEC, at a total consideration of RMB85.1 million (collectively, the “ficonTEC Acquisition”).
Summary · p. 7
Since the ficonTEC Acquisition, SiPh assembly and testing equipment became a substantial business segment of our Group.
Summary · p. 7
In 2025, our revenue derived from SiPh assembly and testing equipment has reached 46.3%.
The shift focused on optimizing profitability by prioritizing core, high-margin business activities while systematically reducing our engagement in non-core business lines.
Summary · p. 2
Our revenue decreased by 14.8% from RMB740.4 million in 2024 to RMB631.1 million in 2025.
Summary · p. 2
The decrease of our revenue generated from Customer B in 2025 was due to our strategic shift, under which we proactively reduced our participation in certain highly competitive and low-margin projects.
The transaction price for the 63% equity interest was determined at RMB2.2 billion, based on the appraised value and mutual agreement among the parties.
Business · p. 160
The transaction also resulted in the recognition of goodwill amounting to RMB146 million.
Business · p. 161
These projects had only become a part of our Group after the Acquisition of Renhe which completed in November 2024.
The decrease in revenue generated from projects under BOT model from 2024 to 2025 was primarily attributable to the decrease in revenue from construction services from RMB836.9 million in 2024 to RMB76.3 million in 2025, reflecting the completion of construction of our Liuyang and Pingjiang projects, which commenced operation in January 2025 and December 2024.
Summary · p. 8
For the year ended December 31, 2025 and the three months ended March 31, 2026, we recorded no revenue from the Pingjiang Landfill Project.
Sales to Champion Motorsports amounted to RMB179.5 million in the four months ended April 30, 2025, whereas sales to Champion Motorsports in the corresponding period in 2026 were eliminated as intra-group transactions, with its onward sales recorded as branded product sales.
Business · p. 143
Prior to the Acquisition, Champion Motorsports had historically been one of our five largest ODM customers, and our sales to Champion Motorsports were recorded as external export sales under our ODM business.
Business · p. 144
Our intangible assets further increased significantly to RMB479.6 million as of December 31, 2025, primarily due to the acquisition of Champion Holdings.
Our goodwill arose from our acquisitions of Powertech Suzhou and SMART Brazil in 2023.
Financial Information · p. 256
The increase in the percentage of sales to Customer F in 2024 was primarily driven by revenue growth from the acquisition of Zilia in the Brazilian market.
Business · p. 206
In 2023, we incurred a net loss of RMB837.3 million and adjusted loss (non-IFRS measure) of RMB639.2 million, primarily attributable to: (i) sustained weak demand in our end markets, particularly in key sectors such as mobile phones and computers, driven by the global economic slowdown, continued de-stocking efforts by downstream enterprise customers for the majority of 2023, and rising inflation; and (ii) an increase in operating expenses, largely due to increased investment in R&D, alongside additional costs related to share-based payments and service fees associated with our acquisitions during the year.
Under the plan, we intend to discontinue brass rods production at the production base and shift its production resources to products with growing regional demand.
Summary · p. 13
Our Directors are of the view that the reorganization will not have a material adverse effect on our business, financial condition or results of operations.
The raw materials disposed by us in the Disposal were procured and intended to be used at the Plasmid Manufacturing Facility, and were sold to Hangzhou CoJourney as they would no longer be needed by our Company after the Plasmid Manufacturing Facility was sold to Hangzhou CoJourney.
Financial Information · p. 244
In July 2024, we and Hangzhou CoJourney entered into a supplemental agreement to the original asset transfer agreement, pursuant to which Hangzhou CoJourney agreed to repay our receivables from the disposal of long-term assets in three equal installments by December 31, 2026, 2027 and 2028, respectively, together with related payments of interest on the outstanding receivables balance.
Financial Information · p. 257
Our other income decreased by RMB48.3 million, or 78.3%, from RMB61.7 million for the year ended December 31, 2024 to RMB13.4 million for the year ended December 31, 2025, primarily due to (i) a significant decrease in government grants because we received a one-off government grant in 2024 for our SMA-related research before it entered into the clinical trial stage; and (ii) a decrease in interest income due to a decrease in the amount under deposit, which were partially offset by an increase in rental income because Hangzhou CoJourney used the leased facility for a longer time due to an increase in customer orders during 2025 compared to 2024.
In line with this growth strategy, we completed the acquisitions of Penlon and Vedkang Medical in 2022.
Business · p. 160
Pursuant to this share transfer agreement, we agreed to acquire the entire share capital of Vedkang Medical for RMB1.7 billion.
Business · p. 161
Our Directors are of the view that the acquisition of Intermed and Penlon has enabled us to achieve synergies by (i) capturing market opportunities and branching into new life support markets to complement our existing business lines; (ii) deepening our global presence and bringing us closer to European markets with a deeper understanding of the market needs; and (iii) providing a solid foundation for efficient iterative upgrades to anesthesia machines.
During FY2025 and 6M2026, Wuxi Chulei contributed (i) RMB60.7 million and RMB37.4 million to our Group’s revenue and (ii) RMB8.6 million and RMB7.5 million to our Group’s results, respectively.
Business · p. 120
In addition, the acquisition of Wuxi Chulei has also created the following financial and operational synergies for us, which we believe have enhanced our overall business efficiency, product offerings and market position:
Business · p. 120
We had goodwill of RMB51.1 million as at 31 December 2025 from the acquisition of Wuxi Chulei.
Following our acquisition of Dizi Precision in June 2025, we expanded our product portfolio to include precision structural components and began generating revenue from the sales of precision structural components, primarily for robots and advanced automation applications.
Business · p. 128
In addition, the sales volume of our key precision structural components increased to 20.1 tons during the seven months ended July 31, 2026, demonstrating further development of the precision structural components segment following the completion of the acquisition of Dizi Precision in June 2025.
As at the Latest Practicable Date, our Malaysian production base had ceased production activities out of considerations to optimize our production resource allocation, as well as to enhance management and production efficiency and cost-effectiveness.
Summary · p. 3
We believe that such production base adjustments and capacity transfers will not have any material adverse impact on the business operations, financial condition, or future prospects of the Group.
In order to ensure the stability of our supply chain and optimize our procurement cost, we have (i) made minority investments in upstream raw material providers, including Yingkou Changcheng and Sichuan Mingfang; and (ii) acquired Shandong Lizhong, which manufactures LiPF6, one of the key raw materials for our electrolyte production.
Business · p. 165
In addition, since we acquired a 51.00% equity interest in Shandong Lizhong in November 2025, the in-house supply of LiPF6 accounted for 3.6% and 16.7% of our total procurement quantity in 2025 and the six months ended June 30, 2026, respectively.
Business · p. 165
This high level of self-sufficiency helps to ensure stable supply and we believe it will enable us to achieve cost reductions.
Our inventories increased from RMB27.2 million as of December 31, 2023 to RMB40.6 million as of December 31, 2024 primarily due to the recognition of inventories of Zhejiang AITEK upon the completion of our acquisition of such company on December 31, 2024.
Financial Information · p. 211
Our trade and bills receivables turnover days increased from 134 days in 2023 to 188 days in 2024, primarily due to the recognition of trade and bill receivables of Zhejiang AITEK upon the completion of our acquisition of such company on December 31, 2024, whereas no revenue attributable to Zhejiang AITEK was included in our consolidated statement of profit or loss and other comprehensive income for the year ended December 31, 2024.
Financial Information · p. 213
Following our acquisition of Zhejiang AITEK, we have maintained a sound and cooperative relationship with Customer F.
Losses on the write-off of input VAT primarily resulted from 22 subsidiaries becoming dormant, 21 of which had completed deregistration as of June 30, 2026.
Financial Information · p. 212
Their transition to dormancy was primarily attributable to our organizational restructuring and initiatives to enhance operational efficiency, including the integration of regional store and supply chain management functions and the discontinuation of operations in certain loss-making regions.
Financial Information · p. 212
Our net other losses increased from RMB9.1 million in 2024 to RMB32.7 million in 2025, primarily due to (i) net exchange losses of RMB8.7 million resulting from Renminbi appreciation on Renminbi-denominated procurement payables of our Hong Kong and Macau subsidiaries, and (ii) net losses of RMB4.8 million from early termination and modification of lease agreements, mainly in relation to the closure of our warehousing facilities in Xi'an and Dongguan.
From 2023 to 2024, Customer C was the principal customer for this product line.
Business · p. 144
Since 2025, we strategically scaled down the sales of PV cell additives due to the intense market competition.
Business · p. 144
We have strategically scaled down this product line in 2025 due to the lower profitability as a result of the intensified market competition, allowing us to focus resources on our proprietary material products.
Our adjusted net profit (non-CASBE measure) was RMB603.0 million in 2023, primarily reflecting (i) a relatively lower revenue base prior to the revenue contribution from our geographic expansion and the consolidation of Yinqiao (銀橋) and LESSON (來思爾) in July 2023, which contributed revenue of RMB748.4 million in 2023 following such consolidation, and RMB1,493.0 million in 2024, representing 4.3% and 7.5% of our total revenue, respectively; and (ii) higher advertising expenses incurred during the year in connection with our brand building initiatives.
Financial Information · p. 214
The acquisitions of regional dairy product brands, Yinqiao (銀橋) and LESSON (來思爾), further strengthened our presence in Northwest and Southwest China.