According to the payment term as stipulated in the sales master agreements, a deposit of an amount requested by our Company should be prepaid to us by the customer.
Business · p. 200
Instead, our customers have to actively secure their supply of concentrates as early and extensively as possible, which is demonstrated by our balance of our contract liabilities and refundable receipt on our financial statements.
Certain customers make prepayments to us before the delivery of services and products and request deposits with respect to the prepayment from us to hedge counterparty risks.
Financial Information · p. 281
In 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, we had paid deposits to 233, 236, 242, 56 and 72 customers for performance security deposits and deposits with respect to prepayment from customers in total, respectively.
Financial Information · p. 281
The deposit amounts paid to customers were primarily determined by a certain percentage which typically ranges from 5%-10% of the total contract amount.
The balances in stored value membership accounts and issued vouchers are recorded as our contract liabilities.
Business · p. 222
Our restricted bank deposits mainly consist of restricted bank deposits reserved for balances in our stored value membership accounts in accordance with relevant regulations issued by Ministry of Commerce of PRC.
For the years ended 31 December 2022, 2023 and 2024 and for the eight months ended 31 August 2025, the amount of top-up in the form of deposits paid by consumers was RMB40.54 million, RMB61.17 million, RMB62.34 million and RMB40.28 million, respectively, and the amount of revenue realised from such top-up amount in the form of deposits under the Direct Mode was RMB15.40 million, RMB30.28 million, RMB35.49 million and RMB23.76 million, in the same year/period, respectively.
Business · p. 212
For the years ended 31 December 2022, 2023 and 2024 and for the eight months ended 31 August 2025, the amount of prepaid massage service packages sold was RMB16.68 million, RMB25.34 million, RMB119.72 million and RMB107.03 million, respectively, and the amount of revenue realised from such prepaid massage service packages under the Direct Mode was RMB7.27 million, RMB11.81 million, RMB80.47 million and RMB74.25 million, in the same year/period, respectively.
Business · p. 212
In 2024, the amount of prepaid massage service packages sold and the corresponding revenue increased significantly, mainly due to the following reasons: 1) the Company newly introduced a two-person deal package in POS of theater halls in the cinemas in 2024; and 2) the Company optimized the layout, presentation, and recommendation strategy of the prepaid massage service packages on the Lemobar mini program's payment interface, including lowering the number of orders bundled in the prepaid package and upgrade of the service involved.
We typically require prepayments from our customers before we grant them access to our SaaS products, and we typically charge service fees either on (i) an annual subscription package that offers unlimited or maximum volume, or (ii) based on the volume of orders processed on the products.
Summary · p. 15
Driven by our business growth, the number of our total SaaS customers, total SaaS billings and accumulated SaaS billings all increased during the Track Record Period, illustrating our healthy billings from prepayments by a growing customer base.
Summary · p. 22
We issued refunds of RMB30.2 million, RMB22.1 million, RMB27.5 million and RMB13.3 million in 2022, 2023, 2024 and the six months ended June 30, 2025, respectively, representing 4.1%, 2.1%, 2.1% and 2.2% of our total SaaS billings in such periods, respectively.
The increase of our current liabilities was primarily attributable to (i) an increase in trade and bills payables of RMB22,700 million as a result of our business growth; (ii) an increase in interest-bearing bank loans and other borrowings of RMB12,918 million; and (iii) an increase in contract liabilities of RMB10,559 million.
Financial Information · p. 413
Meanwhile, our current liabilities increased, but partially offset by (i) a decrease in interest-bearing bank loans of RMB11,656 million; and (ii) a decrease in contract liabilities of RMB3,270 million, as we (a) enabled multiple payment methods for some of our customers as our business expanded; and (b) expedited our product delivery progress.
Financial Information · p. 413
The decrease in current liabilities primarily includes (i) a decrease in interest-bearing bank loans and other borrowings of RMB3,554 million; (ii) a decrease in other payables and accruals of RMB2,267 million; and (iii) a decrease in contract liabilities of RMB2,231 million.
Cumulative top-up amounts under our prepaid card program were approximately RMB6.5 million, RMB26.0 million, RMB49.8 million and RMB30.1 million in 2022, 2023 and 2024 and the six months ended June 30, 2025, respectively.
Business · p. 226
Cash received from the sale of prepaid cards or recharges made by consumers is recorded as contract liabilities, and revenue is recognized when the prepaid cards are used or forfeited.
Business · p. 226
All balances of prepaid cards during the Track Record Period were subsequently utilized.
We recorded net current liabilities of HK$442.9 million as of June 30, 2025 as compared to net current liabilities HK$268.9 million as of December 31, 2024, primarily attributable to
Financial Information · p. 429
(i) an increase in contract liabilities of HK$133.6 million, primarily because we received advance payments from customers in relation to our sales while the relevant products were yet to be delivered; (ii) an increase in borrowings of HK$94.5 million, partially offset by an increase in inventories of HK$81.7 million and an increase in trade payables of HK$76.2 million, as we commenced commercial production and sale in the six months ended June 30, 2025.
As the revenue generated from these businesses is generally only recognized when we provide service, there is a time delay between entering into a contract with our customer and the recognition of revenue from such contract sales.
Summary · p. 6
As of December 31, 2024, 94.7% of our contract liabilities as of December 31, 2023 had been recognized as revenue.
Summary · p. 7
Advance payments for our postpartum care services and payments received for prepaid packages are recorded as contract liabilities in our consolidated statements of financial position at the time of payment and are subsequently recognized as revenue when the service is delivered to our customers.
Amount that we receive from the issuance of prepaid cards is an advance we receive from customers that is recorded on our consolidated statements of financial position, but is not recognised as our revenue until the customers redeem the prepaid cards when purchasing our merchandise.
Business · p. 251
As at 31 December 2021, 31 December 2022, 31 December 2023 and 30 September 2024, the balance of contract liabilities in respect of our prepaid cards amounted to approximately RMB63.7 million, RMB64.3 million, RMB62.0 million and RMB66.5 million, respectively.
Business · p. 251
As advised by our PRC Legal Advisers, according to the confirmation letter issued by Yangzhou Municipal Bureau of Commerce* (揚州市商務局), our Group has complied with the relevant law and regulations relating to issuance of prepaid cards during the Track Record Period.
As of December 31, 2021, 2022 and 2023, we had customer deposits of US$145.2 million, US$165.1 million and US$149.5 million, respectively.
Financial Information · p. 414
The decrease in our customer deposits from December 31, 2022 to December 31, 2023 was primarily due to increased production rate in 2023, which resulted in increased aircraft deliveries in 2023.
Financial Information · p. 414
In the event that a customer fails to pay an installment payment, seeks relief from debtors or cancels an order, we have the contractual right to terminate the sales contract and retain all advance payments received.
(iii) as a SaaS company, we typically request our customers to pay subscription fees upfront before we deliver our cloud-based HCM solutions and professional services, which helps us maintain a strong operational cashflow position.
Summary · p. 17
On the other hand, as subscriptions to our cloud-based HCM solutions are typically invoiced on signing and settled upfront by our customers on an annual basis, the growth of our business is expected to have a positive impact on our operating cash flow.
Business · p. 209
Under the subscription agreements, we do not grant any credit to our customers.
Our net current liabilities decreased by 7.8% to RMB110.9 million as of December 31, 2021 from RMB120.3 million as of December 31, 2020, primarily due to (i) an increase of RMB403.0 million in financial assets at fair value through profit or loss and (ii) an increase of RMB81.9 million in prepayments and other receivables, partially offset by (i) an increase of RMB320.4 million in contract liabilities, (ii) an increase of RMB73.6 million in accrued expenses and other current liabilities, and (iii) an increase of RMB62.7 million in income tax payable.
Financial Information · p. 406
For each of our online high-end investor education services, financial information software services and online financial literacy education services, our revenue is recognized during the subscription period on a straight-line and time-elapsed basis.
Business · p. 240
Our customers are entitled to (i) a full refund without any reason within five working days of the purchase; (ii) the option to replace the package purchased with another one at the same level of price available in our offerings; and (iii) the refund of payments which are proportionate to services not yet rendered, upon reasonable request for other reasons, and as agreed between us.