2021-09-08-港交所-健升物流中国_2021_中期报告_54页_3mb

UNAUDITED INTERIM RESULTS SUMMARY

1. Financial Performance (Six Months Ended June 30, 2021):

   • Revenue increased by approximately 18.9% (CNY 83.4M in 2020 to CNY 99.2M in 2021).
   • Transport revenue increased 26.5%, warehouse revenue rose 22.9%, and in-plant logistics revenue increased 6.8%.
   • Other income/gains contributed a net gain of approximately CNY 2.7M in 2021 (vs. CNY 1.4M in 2020).
   • Loss for the period was approximately CNY 19.2M (vs. CNY 0.4M profit in 2020).
   • Basic and diluted loss per share was RMB 2.397 cent (vs. RMB 0.047 cent profit per share 2020).

2. Key Factors Driving Performance:

   • Pandemic-related impacts in 2021 led to higher operational costs, including outsourcing expenses, transportation costs, and general administrative expenses.
   • Land resumption plans affecting certain warehouses required relocation to new facilities, resulting in impairment charges of approximately CNY 16.5M.
   • Revenue growth was hampered by global logistics inefficiencies and reduced customer demand, offset partially by higher unit prices.

3. Business Review:

   • The Group provides logistics services in China, including transportation, warehousing, in-plant logistics, and customization.
   • Operations were negatively impacted by the COVID-19 pandemic, with reduced customer orders and increased costs.
   • The Group successfully relocated operations from affected warehouses to new facilities in Dongguan.

4. Outlook & Future Plans:

   • The Group anticipates continued challenges from the pandemic but has sufficient financial resources to meet obligations.
   • Management aims to strengthen sales efforts, explore opportunities in new industries, and improve operational efficiency.

5. Corporate Governance Highlights:

   • Board and majority shareholders retained significant stakes, with minimal insider trading or conflict of interest.
   • The Share Option Scheme remains in place but no further grants have been made since 2020.
   • Committed to compliance with corporate governance standards and transparency requirements.

6. Post-Reporting Period Events:

   • The Company announced a bond subscription agreement for RMB 40M and entered into a cooperation framework agreement with a related party.