HONG KONG, Apr 5, 2024 – (ACN Newswire) – The abandoning of Ageas’ SA/NV (AGSN:BB) bid for Direct Line Group has reignited interest in the company’s trajectory. Following the announcement of shelving a potential third bid, Ageas experienced a remarkable surge in its stock price by over 10%, reflecting a resounding vote of confidence from the market in its enduring value proposition. Furthermore, the highly anticipated decision to restart share buyback initiatives, alongside acquisition rumors and sustained strong performance, has further bolstered market optimism.

The Extraordinary General Meeting of Shareholders of Ageas, slated for April 17, is expected to be highly significant. However, historical trends indicate that attendance may fall short of the requisite 50% threshold, necessitating a rescheduled ordinary and extraordinary shareholders’ meeting (the “Meeting”) on May 15. This Meeting holds two significant focal points of interest. Firstly, Ageas Group CEO Hans De Cuyer’s tenure renewal is expected to be a significant agenda item, particularly following the company’s decision to cease its bid for Direct Line. Envisaged measures to attract investors include the potential utilization of the company’s surplus cash reserves exceeding €1 billion to recommence a large-scale share buyback program. Although Ageas has a history of implementing such initiatives, the program was paused for several years since 2022. The resumption of the buyback plan is poised to invigorate the capital markets and significantly enhance EPS, acting as a potent catalyst for the company’s stock price. As the Meeting approaches, it presents an opportune moment to delve into the financial landscape and assess the current valuation of Ageas’ stock. The undervaluation of Ageas’ shares could present an opportunity for those who recognize the potential for significant returns.

Amidst the challenges posed by the pandemic, Ageas’ Asian operations have encountered a downturn in market assessment. However, a glimmer of hope shines through its endeavors. The Taiping Life joint venture, a flagship initiative, stands tall among China’s elite insurers, highlighting its profitability amidst a competitive landscape. Particularly noteworthy is Taiping’s commendable performance in 2023. Yet, Ageas extends its footprint across vibrant markets in Thailand, Vietnam, Malaysia, India, and the Philippines. Although Ageas may not hold the majority stake in all these ventures (with the exception of acquiring the majority stake in the Indian Life JV in 2022), its strategic alliances with local financial institutions and influential family enterprises underscore its pervasive presence throughout the region. Furthermore, Ageas boasts leading positions in each market and holds a treasure trove of valuable assets. When considering past merger and acquisition transactions, it’s evident that the collective value of Ageas’ Asian operations forms a significant portion of its current market value.

Recent market rumors hint at keen interest from heavyweight buyers like Generali, BNP and possibly some Belgian banks, which is hardly surprising given Ageas’ current market cap nudging close to €8 billion, rendering it an irresistible acquisition target. Adding to the allure is the Danish Compromise, a Basel Rule that has rekindled enthusiasm for bank investments in insurers. With interest rates on the rise, banks are sitting on ample surplus cash, primed for strategic maneuvers like share buybacks and M&A activity, which could serve as a pivotal catalyst for Ageas.

Berenberg’s latest analysis paints an enticing outlook for Ageas, underscoring its current trading price at a notably low 5.9x 2025 Bloomberg consensus price-to-earnings (P/E) ratio, a sharp contrast with its historical five-year average of 8x. Additionally, Bloomberg’s average target price for Ageas stock is around €48, with KBC Securities, Berenberg, and Barclays offering target values of €50.0, €54.9, and €51.5 respectively. These varied targets suggest significant upward movement potential in Ageas’ stock price. Moreover, the enticing prospects of potential share buybacks and mergers and acquisitions (M&A) ventures further emphasize the compelling upside potential for Ageas investors.

On a standalone basis, Ageas has demonstrated stellar performance. In 2023, the company reported insurance premiums of EUR 17.1 billion, representing an 8% increase at constant foreign exchange rates, along with a steady net income of approximately EUR 1 billion. The robust performance is reflected in Ageas’ return on shareholders’ equity, which stood at 16.2%, complemented by a Solvency II ratio of 217%. Analysts anticipate continued growth in Ageas’s net profit. With an attractive annual dividend yield and the potential for buybacks, Ageas presents itself as a stable investment option, particularly appealing to shareholders focused on long-term value. Additionally, investors are patiently awaiting the development and recovery of Ageas’ Asian business, which adds to the company’s overall appeal and potential for sustained growth.

Copyright 2024 ACN Newswire. All rights reserved. http://www.acnnewswire.com

HONG KONG, Apr 2, 2024 – (ACN Newswire) – Value Convergence Holdings Limited (“VC Holdings”, together with its subsidiaries, the “Group”; Stock Code: 0821.HK), a well-established and one-stop financial services institution in Hong Kong, is pleased to announce its audited annual results for the year ended 31 December 2023 (the “Reporting Year”). During the Reporting Year, the Group achieved improvement in its newly-acquired asset management business, and also in its insurance brokerage and digital assets businesses. Meanwhile, the Group made a breakthrough by entering mainland China’s promising natural gas industry.

During the Reporting Year, the Group managed to achieve progress in business diversification amid market volatility, while the expansion of asset management, insurance brokerage and digital assets businesses contributed to a moderate rise in the Group’s revenue. During the Reporting Year, the Group’s consolidated revenue increased by about 3.9% year on year to approximately HK$76.1 million (2022: approximately HK$73.3 million). Despite the Group implemented stringent cost control measures, the Group recorded a bigger loss during the Reporting Year than it did during the previous year, due to a one-off share-based payment expense, devaluation of proprietary holding value and higher impairment losses on accounts receivable. Loss for the year amounted to approximately HK$288.2 million (2022: loss for the year of HK$178.1 million). Basic loss per share was HK12.05 cents (2022: basic loss per share of HK8.57 cents).

Mr. Peter Fu, Chairman and Executive Director of Value Convergence Holdings Limited, said, “In 2023, the momentum of growth slowed and was uneven worldwide against a backdrop of interest rate increases, unprecedented monetary policy tightening to combat the highest inflation in decades, and geopolitical conflict. In Hong Kong, the financial landscape was subject to significant market volatility, with a notable decline in stock prices, amid which the Hang Seng Index recorded an unprecedented fourth consecutive year of decline. The difficulties of recent years continued to affect capital markets in both mainland China and Hong Kong, which experienced a succession of challenges that inevitably affected the Group’s business operations. In view of market volatility, the Group adopted stringent cost control measures and stepped up its business diversification efforts to mitigate operational risks, while certain business segments have started to bear fruit.”

Business Overview

Financial Services Business

During the Reporting Year, with its persistent efforts to diversify its business, the contribution of the Group’s traditional brokerage and financing businesses to its total revenue further declined to approximately 79%. The Group maintained its provision of various financial services, including local and overseas securities trading, derivatives and trading in other structured products, placements, underwriting, and margin financing through VC Brokerage Limited (“VC Brokerage”). Additionally, the Group offered financing services through VC Finance Limited (“VC Finance”). The Group also took on the role of placing agent and underwriter for fundraising activities of Hong Kong-listed companies. It provided a range of financial and strategic advisory support services to clients, including offering corporate finance and other advisory services such as mergers and acquisitions advisory through VC Capital Limited (“VC Capital”) and company secretarial services through VC Corporate Services Limited (“VCCS”). Due to market volatility, the Group’s brokerage commissions, underwriting, sub-underwriting, placing and sub-placing commissions declined notably, alongside corporate finance and other advisory fees, resulting in a reduction in segmental revenue.

Following the completed acquisition of VC International Asset Management Limited (“VCIAM”; formerly known as “Anli Asset Management Limited”) and Anli Investment Fund SPC (“AIF”) in April 2023, the Group observed an encouraging expansion in its asset management operations that began to generate revenue. The Group also continued to spearhead the expansion of its insurance brokerage services through Experts Management Limited, which possesses an insurance brokerage license and is authorised to participate in the long-term insurance market. Capturing the opportunities arising from the reopening of the Hong Kong and mainland China borders, the Group’s senior management team proactively reached out and attracted more clientele from mainland China, and the Group’s insurance brokerage segment also began to have revenue contribution.

Proprietary Trading Business

The Group held financial assets for trading, comprising equity securities listed in Hong Kong, worth approximately HK$155.1 million as of 31 December 2023, against the backdrop of a poor-performing equity market and bearish investor sentiment. During the Reporting Year, the Group held stocks mainly in industrial, which tumbled on weak corporate earnings.

Digital Assets Business

During the Reporting Year, by expanding sales and marketing efforts in digital assets segment, the Group sought to leverage the potential of the growing market and capitalise on increasing demand. Thanks to improved sales, the sales and marketing of digital assets business enjoyed a revenue increase during the Reporting Year.

Outlook

Looking ahead, the anticipated global economic outlook for 2024 is multifaceted, with various factors influencing the path of expansion. On a positive note, the Chinese government implemented a wide range of measures to encourage institutional and individual stock purchases in early 2024, while the Hong Kong government also committed to boost financial markets through expanding the Stock Connect scheme and deepening co-operation with Middle Eastern and ASEAN countries.

To further strengthen its market position, in addition to enhancing its insurance brokerage and sales and marketing of digital assets businesses, the Group plans to adopt strategic initiatives and allocate additional resources to the development of its asset management business, expanding into private equity in 2024.

To further enrich its investment portfolio and expand its income sources, the Group proposed to acquire a 24% equity interest in Zhanhua Jiutai Gas Co., Ltd.* (“Zhanhua Jiutai Gas”) in 2024, at the consideration of HK$30 million by the issue of consideration convertible bonds. As a profit guarantee, the net income after tax of Zhanhua Jiutai Gas during the year ended 31 December 2024 shall not be less than HK$20 million. Leveraging its position and resource advantages in the Zhanhua district natural gas market in Shandong Province, and with its main business benefiting from mainland China’s environmental protection policies, Zhanhua Jiutai Gas enjoys extensive business opportunities and prospects. It is believed that Zhanhua Jiutai Gas will realise further growth and provide a stable source of income for the Group in the future.

Mr. Fu concluded, “We believe that the Group’s investment in the natural gas industry will capture significant market opportunities and create a highly lucrative recurring revenue stream, bringing new impetus for the Group’s sustainable development in the ever-changing and competitive markets in which it operates. With substantial efforts being made to drive growth in various parts of our operations, our longstanding ties with clients, and a healthy and balanced investment portfolio, we will continue to advance our development and create long-term shareholder value.”

* For identification purposes only

About VC Holdings Limited

Value Convergence Holdings Limited (Stock code: 0821.HK) was listed on the GEM board of Hong Kong Stock Exchange in 2001, and completed transfer of listing to the Main Board in 2008. Being a well-established financial services group committed to delivering premier financial services and products in the Great China region, the Group’s services include (i) provision of financial services comprising securities and options brokering and dealing, financing services, corporate finance and other advisory services, asset management and insurance brokerage; (ii) proprietary trading; and (iii) sale and marketing of digital assets.

For more details, please visit www.vcgroup.com.hk.

Copyright 2024 ACN Newswire. All rights reserved. http://www.acnnewswire.com

HONG KONG, Mar 29, 2024 – (ACN Newswire) – Legend Holdings Corporation (3396.HK) announced its audited annual results for the year ended December 31, 2023 (the “Reporting Period”). The Company’s revenue for 2023 was RMB436,012 million (RMB, the same below), and the net profit was RMB630 million.

Against the backdrop of global economic slowdown, Legend Holdings’ operation performance temporarily suffered from pressure due to the fluctuations in the industry and capital markets; the profits contributed by Lenovo Group and Levima Group from the industrial operations segment, as well as the investment gain in the industrial incubations and investments segment, both recorded a year-on-year decrease, and the net profit attributable to equity holders of the Company recorded a loss. In response, the Company implemented proactive measures to help its subsidiaries accommodate market challenges and industry cycles’ influence and achieved initial success. Furthermore, the recovery of the capital market will boost the development of the Company’s investment businesses.

Mr. Li Peng, the Executive Director and Chief Executive Officer of Legend Holdings, said, in the year 2023, in the face of various challenges emerged in the high-quality development transformation of the enterprises, Legend Holdings remained resolute in advancing innovation-driven development strategies, proactively responded to the influence of external environment, solidly fulfilled its corporate social responsibilities, and actively integrated itself into the strategic deployment for Chinese path to modernization. Furthermore, the Company has conducted more in-depth review on its shortcomings and will be committed to coordinating high-quality development while maintaining a high-level of security. While further consolidating its foundations, the Company will fully capitalize on its accumulated strengths to seize opportunities from this new wave of technological innovation, not only to fuel the continuous improvements in its business performance but also actively contribute value to the society.

Strengthening the pillar industries and resolutely advancing innovation-driven enterprise transformation and upgrade

In 2023, Legend Holdings safeguarded the relative stability of its business foundations while implementing the new development concept in depth.

The Company accelerated the development of leading enterprises with international competitiveness and command over the industrial chain, focusing its efforts on strengthening its industrial base. Lenovo maintained its solid leading position in IT field, further consolidated its world’s No. 1 place in PC market with a significant outperformance in the market, ranking among the top three globally in the server industry, and retained as the No. 1 in the global TOP500 and Green100 in terms of high-performance computing. At the same time, Lenovo took the lead in launching the world’s first AI PC, and committed to leading the PC industry in intergenerational upgrade, and to creating the first inclusive AI terminal. After completing the domestic substitution of EVA photovoltaic adhesive film materials, Levima Advanced Materials has once again entered into the field of POE (Polyolefin elastomer), breaking the monopoly held by foreign countries in production and technology of POE, and multiple projects will be put into production in the first half of 2024. With the steady development of its businesses, Fullhan Microelectronics has made solid and in-depth efforts in the three major business areas of smart video, smart IoT and smart automotive products, accelerated the introduction of new products, penetrated new market opportunities, and possessed the capability of supplying complete one-stop solutions.

Continuously enhancing the ability in scientific and technological innovation, increasing investment in research and development, the Company continued to strengthen the exploration and practice of its AI innovation path. In 2023, the R&D expenditure of the Company reached RMB14.8 billion, raising its R&D expense ratio from 2.6% in 2021 to 3.4% in 2023. At the same time, it actively promoted its subsidiary funds to increase support for China’s innovative hi-tech enterprises, and invested in more than 100 Chinese innovative hi-tech enterprises throughout the year. In the field of artificial intelligence, which is an important engine for the development of new quality productive forces, the Company has invested in more than 200 related enterprises, formed a full-stack portfolio covering “device, technology, model, platform, and application”, securing a first-mover advantage for the development of the “AI+” initiative. On March 8, 2024, Legend Holdings entered into a strategic cooperation agreement with Zhipu AI to carry out in-depth cooperation in the field of artificial intelligence.

The Company continued to harness the role of industrial chain leader and actively promoted the digital and intelligent transformation and growth of SMEs, which has gained considerable achievements. Its subsidiary, Lenovo, can provided SMEs with not only a full matrix of smart devices, but also stable computing power for all scenarios, hybrid cloud, industry solutions, and life-cycle intelligent transformation services. It has served over a million SMEs and supported the intelligent transformation of over 30,000 specialized and innovative enterprises, including over 3,000 national specialized and innovative “little giant” firms.

The Company also strengthened its attention on early-stage technologies and explored approaches to integrated development across education, technology, talent, and industries. The “Legend Holdings Forward-looking Technology Research Institute , set up by the Company, has initially built an enterprise-led and market-oriented technology innovation system leveraging collaboration among industry, academia, research institutes, and end users. It has established connections with more than 60 enterprises and research institutions to discuss IP co-creation and cooperation modes, and preliminarily selected 39 seed technologies, and initiated in-depth cooperation with 2 universities and 7 domestic and foreign enterprises.

Practicing low-carbon development and actively fulfilling corporate social responsibilities

Legend Holdings has consistently promoted its subsidiaries to seize the green and low-carbon development and actively responded to the national strategy of carbon peaking and carbon neutrality. Lenovo was the first company in China to pass the net zero target verification by the Science Based Targets initiative (SBTi) and has zero-carbon factories with the highest-standard in the industry. Levima Advanced Materials, as a state-level High-tech enterprise and Green Factory, deepened its layout in green industries such as new energy materials and biodegradable plastics, contributing to the achievement of Chinese de-carbonization goals.

Rural revitalization and technological innovation are the focused areas of Legend Holdings for its corporate social responsibility. In terms of rural revitalization, the Company has launched the “Legend Enterprising Class” with a focus on education in underdeveloped areas, providing assistance for the talent pool of rural industry revitalization over the past 20 years. The Revolving Loans for Mothers, a project supported by the Company since 2018, has helped women from low-income families in many areas to start businesses with local characteristics, promoting their hometowns towards improving agriculture by high-quality and green products while giving first priority to effectiveness. In terms of technological innovation, the Company remained committed to building an entrepreneurial ecosystem conducive to technological innovation and supported the growth of high-tech entrepreneurial leaders. For instance, the public welfare training program for start-up CEOs launched in 2008 has admitted approximately 1,300 entrepreneurs. Currently, 55 enterprises founded by the trainees have been successfully listed, while 122 have been selected as national specialized and innovative “little giant” firm, providing employment for nearly 400,000 people.

Developing new quality productive forces and deepening the establishment of core competitiveness

The “give great impetus to the development of the modern industrial system and accelerate the development of new quality productive forces” proposed in this year’s government work report provided new guidance for the development of enterprises. In the future, the Company will focus more on “technological innovation”, fully capitalize on its 40 years of industrial accumulation, ecological layout and technological & innovative investment, highlight the development of new quality productive forces and deepen the establishment of the Company’s core competitiveness.

The Company will continue to promote the strategic transformation of itself and its subsidiaries to build a more robust industrial foundation; further optimize the business layout and financial structure, accelerate the backflow of resources, and incline to make investment in the field of scientific and technological innovation; in combination with the trend of the capital markets, the Company will actively promote the capital operation of quality enterprises to help them develop faster and become better, and effectively increase its public value; continue to give full play to the exploration and cultivation of the early-stage technologies by The Legend Holdings Forward-looking Technology Research Institute, with a focus on the forward-looking needs in three major fields of intelligent sensing, new materials and new energy. It will accelerate the advancement and implementation of innovative incubation topics which are our key layout, such as photonic integration to fill the shortcoming of AI’s new computing, biodegradable new materials for treating white pollution, and virtual power plant algorithms oriented for the optimization of the new type of electric power system.

Mr. Ning Min, Chairman and Executive Director of Legend Holdings, said, in 2023, in the face of multiple internal and external challenges, Legend Holdings, on the one hand, consolidated its industrial foundation and strengthened its risk-resistant capability, and on the other hand, put the implementation of the innovation-driven development strategy and support for high-level scientific and technological self-reliance in a more prominent position, confronted the difficulties, conducted positive explorations, and made solid progress in operations. This year marks the 75th anniversary of the founding of the People’s Republic of China, and in accordance with the deployment of the Central Economic Work Conference, the Company will stay true to its original aspiration of serving the country through industry, consciously practice the people-centered philosophy of development, and accommodate itself to the trend of the times by actively participating in scientific and technological innovation-led high-quality development, to vigorously promote the development of new quality productive forces and make greater contributions to Chinese path to modernization.

Copyright 2024 ACN Newswire. All rights reserved. http://www.acnnewswire.com

HONG KONG, Mar 29, 2024 – (ACN Newswire) – Gome Finance Technology Co., Ltd.(Stock Code:628.HK,“Gome Fin Tech”or “the Company”,with its subsidiaries,the“Group”), announced its audited annual results for the year ended 31 December, 2023 (the “Reporting Period”).

In 2023, the global geopolitical risks are frequent, the lack of economic recovery momentum and the widening trend of differentiation among countries are highlighted, and the risk spillover from European and US banks under the global high interest rate environment also casts a shadow over the global growth outlook. In the face of the risky international environment and the arduous task of domestic reform, development and stabilisation, the Chinese government has coordinated domestic and international situations, effectively responded to the impact of the unexpected factors, strengthened support for the real economy, continuously optimised the structure of loan investment, improved the quality and efficiency of credit services, and developed supply chain finance with the strong support of national policies.

During the Reporting Period, the Group continued to focus on technology-based finance as its strategic main line, further explored the integration and development path between emerging technology industry and supply chain finance industry, and continued to strengthen its support to the real economy. The Group’s revenue increased by 2.24% to RMB82.0 million (2022: RMB80.2 million), which was mainly attributable to the increase in revenue from commercial factoring business. The Group recorded a profit after taxation of RMB37million (2022: loss after taxation of RMB5.6 million).

Optimizing asset and liability structure, commercial factoring progressing steadily

The commercial factoring business, as the Group’s principal business with a well-established risk management system, grew steadily in 2023 and contributed 92% of the Group’s operating revenue, despite the challenging external environment. In 2023, the Group repaid bank borrowings in a timely manner and used the Company’s own funds as working capital, resulting in a significant reduction in the gearing ratio,and the working capital was more more sufficient. In addition, in recent years, the Group started to grant longer loan period to certain high-quality customers in order to increase its profitability and at the same time to maintain credit risk at a low level. In 2023, the Group’s commercial factoring business steadily expanded its scale of operation, with the average net loan balance increasing to RMB1.01 billion (2022: RMB890 million), revenue increasing by 8.16% year-on-year to RMB75.8 million, and segment profit increasing to RMB68.2 million (2022: RMB58.4 million).

Additionally, during the Reporting Period, other financial services within the Group were impacted by restrictions imposed by certain mobile app stores on the content of deployed applications (Apps). As a result, service fees for referral services decreased by 38.65% to RMB6.2 million, while the other financial services segment achieved a profit of RMB2.6 million.

The acquisition process was progressing systematically, and the diversified synergy was poised for development

In addition, the Company is advancing the Proposed CashBox Acquisition subject to, among others, the approval of the Company’s independent shareholders. The management expects to, through the Proposed CashBox Acquisition, rely on the large and multi-regional user resources of CashBox, combining with the Company’s advantages in internet technology, to create synergies for the Group’s business. The management believes that the Proposed CashBox Acquisition will enable the Group to diversity its business, expand its income stream and maximise returns for the shareholders.

Looking ahead, the Federal Reserve is expected to initiate an interest rate reduction cycle around mid-year. In an external macro environment characterized by easing inflation and stable growth, global economic growth is poised for a “soft landing”. China continues to adhere to the principles of seeking progress while maintaining stability, focusing on high-quality development, and continuously fostering new productive forces. With frequent macro policy adjustments and a flexible and precise monetary policy, China provides robust support for stable economic operations. Against this backdrop, we believe that the industry’s development in the coming year will benefit from additional favorable policies driven by national strategies.

The management of GOME Financial Technology stated: “In 2024, the macroeconomic situation is expected to improve. The relatively relaxed financing environment is poised to inject more vitality into the national economy and create opportunities for the development of the Group. We will further explore the integration and development paths of emerging technology industries and supply chain financial industries. Additionally, we will continue to enhance support for the real economy and private economy, leveraging financial services to contribute to high-quality development. While consolidating our core financial business, we will also advance the Proposed CashBox Acquisition, enabling diversified transformation and creating greater benefits for shareholders.”

About Gome Finance Technology Co., Ltd.

Gome Finance Technology Co., Ltd. (stock code: 628) is a publicly listed company on the Hong Kong Stock Exchange. The Company’s vision is to “drive technological development through innovation and revolutionize finance through technology.” It actively expands its strategic layout in the field of financial technology, continuously enriches its product portfolio, gradually extends its risk control services driven by big data and artificial intelligence, and further enhances its comprehensive financial services to provide efficient, convenient, and high-quality financial services for customer.

Copyright 2024 ACN Newswire. All rights reserved. http://www.acnnewswire.com

HONG KONG, Mar 29, 2024 – (ACN Newswire) – Baguio Green Group Limited (‘‘Baguio’’ or the ‘‘Group’’, Stock Code: 01397.HK) is pleased to announce its annual results for the year ended 31 December 2023 (the “Year”).

During the Year, the Group’s revenue was approximately HK$2.33 billion, representing an increase of approximately 29.8% as compared with the preceding year. Excluding non-operating subsidies* from the HKSAR Government (the “Government”), the Group has recorded an adjusted net profit for the Year of approximately HK$46.3 million, representing an increase of approximately 36.7% as compared to the corresponding figure in 2022. The Board recommends the payment of a final dividend for the Year at HK$3.4 cents per share.

Business Overview and Prospects

This significant increase in adjusted net profit primarily stems from: (i) the growth impetus provided by the Hong Kong Waste Charging Scheme for our recycling and green technology businesses; (ii) securing new cleaning contracts with the Government, quasi-government bodies, and private entities; and (iii) amplified efficiency gains due to economies of scale. As of 27 March 2024, the Group’s contracts on hand increased significantly to approximately HK$5.1 billion, providing strong revenue growth in the subsequent years.

During the Year, as the core business of the Group, cleaning services continued to record a significant growth, with revenue increased by 37.3% year-on-year to approximately HK$1.83 billion, accounting for approximately 78.5% of the Group’s total revenue. As the end of 2023, the Group’s Government-related street cleaning services cover a total of eight districts (Tsuen Wan, Mong Kok, Sha Tin, Yuen Long, Western, Eastern, Sham Shui Po and Tai Po districts), serving a population of approximately 3 million. The Group’s Government market related cleaning services and Government-related leisure venues cleaning services have also cover various districts in Hong Kong. The Group’s other cleaning sites covered hospitals (North Lantau Hospital, Caritas Medical Centre and Kwai Chung Hospital), clinics (clinics of the Department of Health in Kowloon East and Kowloon West), Hong Kong International Airport, schools, housing estates and private institutions, demonstrating the Group’s leading position in Hong Kong cleaning services market.

In terms of waste management, the Group provided Government-related waste collection services to five districts, including Tsuen Wan, Wong Tai Sin, Mong Kok, Wan Chai and Eastern districts, serving a population of approximately 1.6 million. In terms of recycling, the Group is contracted by the Environmental Protection Department (“EPD”) of the Government to handle around 5,000 recycling spots (including plastic, glass bottles, metals, waste paper and food waste) across Hong Kong, and is one of the market leaders. In 2023, the Group was granted by EPD to provide collection services for recycling bins in public places and schools. During the Year, the Group continued to provide plastic collection services for Eastern, Kwun Tong and Central & Western districts under the EPD Plastic Recycling Pilot Scheme contract. The Group also provides plastic collection services for Recycling Stations of “GREEN@COMMUNITY” and Reverse Vending Machines, which were introduced by EPD and other institutions in Hong Kong. In addition, the Group also provides collection and management services of glass bottles for Hong Kong Island, the New Territories and Islands district. With regard to recyclable food waste collection services, as one of the market leaders in Hong Kong in providing recyclable food waste collection services, the Group was engaged by the EPD to provide recyclable food waste collection services in Kowloon district and New Territories West. Besides, in early 2024, the Group won two contracts to provide smart food waste recycling machines and maintenance services for large private residential estates, helping residents to recycle food waste efficiently and reduce Waste Charging expenses.

After strategic deployment in recent years, the green technology business achieved rapid growth. The Group made impressive progress in providing the Government with smart recycling machines and a big data analytics platform. Smart recycling machines are now available in different places of Hong Kong, providing the public with a convenient recycling experience 24 hours a day and helping to increase the overall recycling volume in Hong Kong. In addition, the Group was awarded a contract by the Food and Environmental Hygiene Department for the provision of people counting services servicing at over 800 public toilets, aqua privies and bathhouses through the system powered by Time-of-flight and Internet of Things technologies to assist the Government in monitoring flow and optimising service standard, and to support the future strategic development of public toilets.

The Group’s bioconversion technology (Black Soldier Flies) project has successfully “converted waste into useful resources”, which not only solves the problem of chicken manure in Hong Kong, but also supplies converted insect protein and organic fertilizer for fisheries and agriculture in Hong Kong.

In partnership with Jardine Engineering Corporation Limited, the Pilot Biochar Production Plant at the EcoPark in Tuen Mun commenced trial operation in the Year. By converting yard waste into high-quality biochar with pyrolysis technology for various applications, the production plant effectively “turns waste into useful resources”.

As for the landscaping business, the Group’s landscaping services currently cover some large private residences, schools, shopping malls, hotels, the Hong Kong Science Park and the Hong Kong University of Science and Technology. During the Year, the Group won the Yuen Long barrage and flood barrier improvement works and the Tuen Ma Line Extension – Tuen Mun Swimming Pool reconfiguration project. For pest management business, the Group provided pest management services in Wong Tai Sin, Tai Po and Yau Tsim districts during the Year. During the Year, the Group provided termite control and monitoring services to 29 monuments under the Antiquities and Monuments Office and 24 temples under the Chinese Temples Committee respectively.

In order to achieve the target of “Zero Landfill” in Hong Kong by 2035 as set out in the Waste Blueprint for Hong Kong 2035, the Government during the Year announced that the “Municipal Solid Waste (MSW) charging scheme” (“Waste Charging”) will be officially implemented on 1 August 2024, it is expected to further motivate the public to recycle and to increase the recycling volume. Currently, food waste recycling machines are installed in only 35% of public housing estates in Hong Kong. The Government intends to extend the installation of such machines to all public housing estates in Hong Kong in 2024. In the private housing sector, the initiative is still in its initial phrase. With Waste Charging set to effect, under the strong advocacy of the Government and the expected market demand created by the Waste Charging, it is believed that the Group’s smart recycling machines, food waste recycling machines and related smart technology business will bring huge business opportunities.

In addition to the Waste Charging, the Government is also proactively promoting the “Producer Responsibility Scheme on Plastic Beverage Containers and Beverage Cartons”, which is expected to be launched within two to three years. The launch of the Waste Charging and this scheme will directly drive the growth of Baguio’s recycling business and create solid returns for its investment in recycling facilities over the years which creates a strong entry barrier to competitors.

Moreover, according to the 2023 Policy Address, the Northern Metropolis is a new engine for the future development of Hong Kong and will provide about 500,000 new housing units after fully developed, which is believed to bring opportunities to the Group’s core businesses.

Looking forward, Baguio will continue to increase its market share in all businesses and proactively engage in expansion in Hong Kong and beyond. In addition, it will actively explore suitable mergers and acquisitions, joint ventures or new business projects to accelerate future business growth and deliver substantial and long-term returns to shareholders.

For details of the Group’s 2023 annual results announcement, please visit the following website:

http://www.baguio.com.hk/en-US/Investor%20Relations/Announcements%20and%20Notices 

* Non-operating subsidies from the HKSAR Government include but not limited to Employment Support Scheme under the Anti-epidemic Fund, government vehicle schemes and Green Employment Scheme, etc.

About Baguio Green Group

Established in 1980, Baguio Green Group (Stock code: 01397.HK) is one of Hong Kong’s largest integrated environmental services groups. It provides a full spectrum of professional services including professional cleaning, waste collection & recycling, waste management, green technology, organic fertilizer and animal feed production, horticulture & landscaping, and pest control. It serves a wide range of customers in various sectors including Government departments, statutory organizations and multinational corporations. Fully committed to ESG, the Group works relentlessly to advance sustainable development and create a cleaner, greener, healthier city.

Copyright 2024 ACN Newswire. All rights reserved. http://www.acnnewswire.com

HONG KONG, Mar 29, 2024 – (ACN Newswire) – Netjoy Holdings Limited (“Netjoy” or “the Company”, together with its subsidiaries, “the Group”, stock code: 2131.HK), a leading one-stop short video marketing solution platform service provider in the PRC, announced today its annual results for the year ended 31 December 2023 (the “Reporting Period”), reporting historical high total bill and marked increase in profitability.

Steady high-quality development Consolidating business and exploring new opportunities

In 2023, benefitting from thriving cutting-edge technologies such as AI and social media content platforms increasingly leaning towards “short video”, the content forms in various digital economic fields became more diverse and intelligent. During the Reporting Period, the Group adhered to its development strategy underscored by technologies and creativity, and effectively met the higher requirements of advertisers in digital marketing, channel diversity, and achieving precise results. In 2023, the Group fortified its results performance and saw its profitability rebound. Moreover, with leading marketing techniques and the ability to provide one-stop solutions, its businesses either grew with robust or prided strong growth momentum.

During the Reporting Period, the Group achieved healthy gross bill growth, reaching historical high at RMB 8.137 billion, 10.54% higher than the RMB7.361 billion in 2022. The compound annual growth rate (CAGR) of its gross bill between 2018 and 2023 was 38.25%. With its business layout steadily expanding and active adjustment made to the structure of its quality customer base, the Group record total revenue of RMB3.01 billion.

With efforts made to raise operational efficiency, optimize cost structure and respond with flexibility to market demand, the Group managed to markedly boost profitability. Its gross profit increased by 722.62% year-on-year to RMB 250.75 million, with gross profit margin at 8.33%, up by 7.41 percentage points year-on-year. Adjusted net profit rose 112.53% year-on-year to RMB 24.96 million, and cash and cash equivalents were RMB361 million, reflective of the Group being cash-sufficient to support operation and pursue new initiatives.

Upgrading platform technology  Driving business growth of high-quality and efficiency

Short video marketing is one of the core strengths of the Group. During the Reporting Period, the Group provided customized online marketing solutions to 1,089 advertisers and gross profit margin of the business increased by 5.30 percentage points year-on-year to 5.70%. By utilizing platform systems like “Tianji” and “Tradeplus”, the Group was able to produce content in scale, ensures precise delivery, employs  big data to analyze effectiveness and carry out independent budget management to meet customers’ fine demands along the short video marketing chain.

With the Group having completed interation and upgrade of “Tianji”, the number of users of the platform increased by 188.24% year-on-year to 490 during the Reporting Period, and its highest quarterly turnover continued to climb, by 18.85% year-on-year, to RMB1.324 billion. Moreover, the Group has invested more resources into research and commercialization of AIGC technology, and has used AIGC products to automatically create short video scripts, social media content and graphics, and advertising images and video materials. During the Reporting Period, the Group’s gross billing per capita increased by 16.19% year-on-year to RMB23.18 million, and the Group’s own video production team had put out the most more than 436 project items per capita in a month, 21.45% more year-on-year. The cumulative impressions generated by the Group’s programmed and delivered short videos have surpassed 1,303.7 billion, with views exceeding 468.8 billion.

Deepened close cooperation with leading platforms to foster consumer base expand

During the Reporting Period, as online marketing content has become more diverse and personalized, the Group established a high-standard virtual reality (“VR”) production base and forged strategic partnerships with leading domestic metaverse and AI technology companies. It also continued to deepen cooperation with leading content platforms such as Douyin Group, Kuaishou, Tencent, Xiaohongshu, Alibaba Group, and JD.com, and expanded its reach to new platforms such as Bilibili and Alipay. The Group also further expanded its customer base. As at the end of 2023, it served 1,089 advertisers, representing a 21.54% increase year-on-year, from industries like financial services, Internet services, online games, culture and media, e-commerce, and others, boasting a clientele with a stable and balanced structure, and heading for diversified development.

The Group also exports creative short videos to help it tap the international market. With the help of AI translation, AI avatar synthesis and other technologies, it managed to localize production of creative videos for markets such as Europe, America and Southeast Asia, empowering corporate customers to speed up advance into overseas markets and increase brand awareness. As at the end of the Reporting Period, the Group’s business covered markets with users speaking 13 foreign languages namely English, German, French, Italian, Spanish, Japanese, Korean, Thai, Portuguese, Vietnamese, Arabic, Indonesian, Malay and became partner of TikTok and Temu in commercial video creation.

Improved full-solution e-commerce service system to form vertical advantages in multiple fields

In 2023, the Group gradually improved its e-commerce service system which covers different marketing formats, including brand self-broadcasting, KOL promotion and store operations, to provide brands with  complete e-commerce chain services based on the short video ecology comprising “people, goods and venues”. During the Reporting Period, the Group achieved effective gross merchandise volume (“effective GMV”) of RMB1,129.15 million, 293.13% more year-on-year. With big data analytic skills and shrewd insights of customer needs, the Group provided the short video marketing Click ID (“CID”) technical services, which facilitated seamless data linkages for e-commerce customers both within and outside the advertising placement station.

Also in 2023, the Group enhanced its e-commerce service advantages for serving such vertical industries as 3C digital, beauty and personal care, household daily cleaning, pet foods, local living, and Big Health-related products. It was able to extensively reach upstream suppliers and downstream sales terminals of the e-commerce industrial chain, expand coverage of its yet more comprehensive e-commerce service capability, as well as strengthen influence in the social media e-commerce industrial chain.

During the Reporting Period, the Group’s headquarters in Xi’an overseeing business in central and western China began operation and became its important business operation and development base. This headquarters served as a crucial base for various functions, including the Group’s research and development, video production, live e-commerce operation, short video and live broadcasting training, etc., giving the Group a better business management model and cost structure, allowing it to improve internal human resources allocation and business operational efficiency on multiple fronts.

Looking ahead at 2024, the Group is committed to advancing its major development strategies of “Platformization,” “Diversification,” and “Internationalization.” Building upon this foundation, the Group will continue to pursue R&D of and apply the latest digital technologies to power up AIGC technology, strengthen its diversified business matrix and explore new models to help it thrive on new potential-rich business tracks. To further expand its market share, the Group will also deepen its e-commerce industrial chain layout and intensify its presence in key vertical industries. In addition, it will improve international resources so as to enlarge the room for value growth in overseas markets. Moreover, the Group will seek strategic cooperation, and investment merger and acquisition opportunities, integrate upstream and downstream resources to give full play to its leading role, and seize market opportunities compatible with its capabilities and advantages, and hasten laying out and developing its high-value business ecology.

About Netjoy Holdings Limited

Founded in 2012, Netjoy Holdings Limited (“Netjoy”, stock code: 2131.HK) is a leading one-stop short video marketing solutions platform provider in the PRC. The Group is committed to connecting global customers with Chinese audiences efficiently using cutting-edge marketing technology. It provides advertisers in its diverse and high-growth customer base with full-chain integrated short-video marketing services, comprising content production, programmatic and precise cross-platform advertising, real-time performance monitoring and data analytics.

With a self-developed cloud service system, Netjoy provides services, including internet services, online gaming, financial services, and e-commerce, to 29,643 advertisers in 277 vertical segments. Armed with leading technological advantages and rich industry experience, the Group has expanded its diversified business to cover new fields such as e-commerce services, cross-border brand services and the talent economy.

For more information about Netjoy Holdings Limited, please visit: www.netjoy.com

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