CRYSTAL INTERNATIONAL GROUP LIMITED
(Incorporated in Bermuda with limited liability and registered by way of continuation in the Cayman Islands) Stock code f6R/?é : 2232
* For identification purposes only D/..BtRJ
About Crystal International Group Limited
Crystal International Group Limited is a global leader and sustainability pioneer in the apparel manufacturing industry. Founded in 1970 and headquartered in Hong Kong, Crystal possesses a leading position in a diversified product portfolio categorised into five product segments with vertical development in fabrics production: Lifestyle wear, Sportswear and outdoor apparel, Denim, Intimate and Sweater. The Group operates a multi-country manufacturing platform, with production facilities including both garment factories and fabric mills spanning five countries: Vietnam, China, Cambodia, Bangladesh and Sri Lanka.
Mission
To be the most profitable company in the industry, customer choice and employee choice.
Corporate Values
Integrity • Delight our customers
Respect for people • Live quality
Embrace innovation • Deliver bottom line results
Energise others • Boundaryless enterprise
Multi-country Network of Production Facilities
2 CRYSTAL INTERNATIONAL GROUP LIMITED
Vietnam China Cambodia Bangladesh Sri Lanka
Management Discussion Corporate Governance Report on Review of Condensed
Financial Highlights and Analysis and Other Information Consolidated Financial Statements
Contents
Corporate Information 2
Financial Highlights 3
Management Discussion and Analysis 4
Corporate Governance and Other Information 12
Report on Review of Condensed Consolidated Financial 19
Statements
Condensed Consolidated Statement of Profit or Loss and 21
Other Comprehensive Income
Condensed Consolidated Statement of Financial Position 23
Condensed Consolidated Statement of Changes in Equity 25
Condensed Consolidated Statement of Cash Flows 26
INTERIM REPORT 2025 3
Notes to the Condensed Consolidated Financial Statements 27
Corporate Information
BOARD OF DIRECTORS Executive DirectorsMr. LO Lok Fung Kenneth (Chairman)
Mrs. LO CHOY Yuk Ching Yvonne (Vice Chairman)
Mr. LO Ching Leung Andrew
(Vice Chairman and Chief Executive Officer)
Mr. WONG Sing Wah
Mr. LO Howard Ching Ho
Non-executive DirectorsMr. WONG Chi Fai
Mr. LEE Kean Phi Mark
Independent Non-executive DirectorsMr. CHANG George Ka Ki Mr. MAK Wing Sum Alvin Mr. WONG Siu Kee
Mrs. MAK TANG Pik Yee Agnes, MH, JP
BOARD COMMITTEES Audit CommitteeMr. CHANG George Ka Ki (Chairman)
Mr. MAK Wing Sum Alvin Mr. WONG Siu Kee
Mrs. MAK TANG Pik Yee Agnes
Remuneration CommitteeMr. MAK Wing Sum Alvin (Chairman)
Mr. CHANG George Ka Ki Mr. WONG Siu Kee
Mrs. MAK TANG Pik Yee Agnes Mr. LO Lok Fung Kenneth
Nomination CommitteeMr. LO Lok Fung Kenneth (Chairman)
Mr. MAK Wing Sum Alvin Mr. WONG Siu Kee
People CommitteeMr. LO Ching Leung Andrew (Chairman)
Mrs. MAK TANG Pik Yee Agnes Mr. WONG Siu Kee
Sustainability CommitteeMr. LO Ching Leung Andrew (Chairman)
Mr. WONG Chi Fai
Mr. LEE Kean Phi Mark
AUTHORISED REPRESENTATIVESMr. LO Ching Leung Andrew Mr. NG Tsz Yeung
Mr. NG Tsz Yeung
STOCK CODE2232
COMPANY SECRETARY AUDITOR
Deloitte Touche Tohmatsu Certified Public Accountants
Registered Public Interest Entity Auditors 35th Floor, One Pacific Place
88 Queensway, Hong Kong
HEADQUARTERS AND PRINCIPAL PLACE OF BUSINESS IN HONG KONG5-7/F., AXA Tower Landmark East
No. 100 How Ming Street Kowloon, Hong Kong
REGISTERED OFFICEUgland House
P.O. Box 309
Grand Cayman, KY1-1104 Cayman Islands
HONG KONG SHARE REGISTRARComputershare Hong Kong Investor Services Limited Shops 1712-1716, 17th Floor
Hopewell Centre
183 Queen's Road East Wanchai, Hong Kong Tel: +852 2862 8555
Fax: +852 2865 0990
Website: https://www.computershare.com/hk/contact
PRINCIPAL SHARE REGISTRAR AND TRANSFER OFFICEMaples Fund Services (Cayman) Limited
P.O. Box 1093
Boundary Hill, Cricket Square Grand Cayman, KY1-1102 Cayman Islands
LEGAL ADVISERSSimpson Thacher & Bartlett
Maples and Calder (Hong Kong) LLP
COMPANY WEBSITEhttps://www.crystalgroup.com
INVESTOR RELATIONSir@crystalgroup.com
Financial Highlights
Financial Highlights
Management Discussion and Analysis
The financial figures are presented in United States Dollars ("US$").
Corporate Governance and Other Information
Report on Review of Condensed Consolidated Financial Statements
(unaudited) | (unaudited) | |
Key Financial Information (US$'000) | ||
Revenue | 1,229,475 | 1,093,672 |
Cost of sales | 986,873 | 880,220 |
Gross profit | 242,602 | 213,452 |
Profit for the period | 98,323 | 84,214 |
Earnings per share (US cents) - basic | 3.44 | 2.94 |
Key Financial Ratios | ||
Gross profit margin (%) | 19.7% | 19.5% |
Net profit margin (%) | 8.0% | 7.7% |
At 30 June | At 31 December | |
2025 | 2024 | |
(unaudited) | (audited) | |
Key Financial Information (US$'000) | ||
Total assets | 2,337,572 | 2,254,453 |
Total liabilities | 797,277 | 719,007 |
Total equity | 1,540,295 | 1,535,446 |
Net debt (note a) | - | - |
Bank balances and cash | 511,727 | 426,715 |
Key Financial Ratios Net debt to equity ratio (%) (note b) | - | - |
Cash conversion cycle (days) (note c) | 84 | 71 |
Notes: |
Net debt represents total interest-bearing bank borrowings less short-term bank deposit and bank balances and cash.
Net debt to equity ratio represents total interest-bearing bank borrowings less short-term bank deposit and bank balances and cash, divided by total equity.
Cash conversion cycle represents inventory turnover days plus trade and bills receivables turnover days, less trade and bills payables turnover days.
Management Discussion and Analysis
The board (the "Board") of directors (the "Directors") of the Company is pleased to announce the interim results of the Group for the six months ended 30 June 2025.
MARKET OVERVIEWIn the first half of 2025, the apparel industry continued the strong sales momentum from the previous year. Particularly in Asia and Europe, most apparel brands achieved solid growth. To reach a broader consumer market, apparel brands are inclined to allocate more resources to product development, focusing on differentiated offerings and building diversified product matrices.
Leveraging years of expertise in co-creation and comprehensive production capabilities, the Group provides end-to-end garment manufacturing services, from product innovation to volume production. These advantages allow the Group to benefit from stable growth, driven by the expansion of its brand customers' existing product lines and to capture opportunities from their new product development, thereby increasing our penetration and share within their supply chains.
On 2 April 2025, President Trump of the United States of America ("USA") signed an executive order, titled "Liberation Day" Tariffs, announcing the implementation of large-scale reciprocal tariffs against global trade partners. This policy imposes a uniform baseline import tariff of at least 10% on all countries, with additional differential high rates for specific countries, including China, Vietnam, Bangladesh, India and Indonesia, all of which are major apparel exporters to the USA.
As the world's leading apparel consumption market, the USA accounts for about one-third of the Group's sales. Consequently, our business operations are facing tariff-related headwinds.
However, three key factors have mitigated the tariff impact on our business:
FOB-Based Revenue Structure: Our sales are calculated on a free-on-board ("FOB") basis, meaning all post-production costs, including international freight, destination port charges, and in particular, the newly imposed import tariffs, are borne by our brand customers. This pricing mechanism insulates our revenue from direct tariff impacts. Brand Customers' Pricing Power Advantage: The Group partners with well-established and iconic apparel brands in the industry, which have significant retail markup multiples over FOB prices across product categories. Since tariffs are levied on the lower FOB value rather than final retail prices, the relative impact diminishes proportionally with higher markups. Industry-Wide Resilience: Our brand customers continue to demonstrate resilient growth despite tariff pressures. Also, all major sourcing destinations face similar tariff costs. The core competencies of suppliers, including delivery track record, cost efficiency and comprehensive manufacturing capabilities, collectively outweigh potential tariff implications, especially as brand customers continue to consolidate their supplier bases. Therefore, there has been little incentive for significant procurement shifts.Financial Highlights
Management Discussion and Analysis
Management Discussion and Analysis
BUSINESS REVIEWIn the first half of 2025, the Group achieved balanced growth across all segments, fuelled by successful execution of increasing penetration across key brand customers. The Group effectively capitalised on our brand customers' expansion into diversified product categories. The Group's largest brand customer and several major sportswear brand customers delivered exceptional sales momentum, collectively serving as powerful growth engines for the Group.
Corporate Governance and Other Information
The Group achieved revenue growth and margin improvement simultaneously through strategic capacity expansion and productivity optimisation, effectively overcoming the headwinds created by higher USA tariffs. The Group's workforce expansion, by adding approximately 10,000 employees last year, reached full operational capacity during the reporting period. This forward-looking investment in production scale, combined with accelerated automation initiatives and data-driven process improvements, created sufficient operational leverage to absorb the tariff disruptions.
The Group's revenue for the six months ended 30 June 2025 increased by 12.4% to US$1,229 million, compared to the same period last year (six months ended 30 June 2024: US$ 1,094 million).
Report on Review of Condensed Consolidated Financial Statements
Gross profit for the six months ended 30 June 2025 increased by 13.7% to US$243 million (six months ended 30 June 2024: US$ 213 million). The gross profit margin increased to 19.7% from 19.5% in the same period last year.
The net profit margin improved from 7.7% to 8.0%, resulting in a 16.8% increase in net profit for the six months ended 30 June 2025 to US$98 million (six months ended 30 June 2024: US$ 84 million).
In keeping with our practice of sharing operation results with shareholders, the Board resolved to declare an interim dividend of HK16.3 cents per ordinary share (six months ended 30 June 2024: HK13.8 cents), representing a payout ratio of 60%.
Capital expenditure for the six months ended 30 June 2025 was US$60 million (six months ended 30 June 2024: US$52 million).
Management Discussion and Analysis
FINANCIAL REVIEW RevenueThe Group's revenue for the six months ended 30 June 2025 compared to the same period in 2024, by product category, each expressed as an absolute amount and as a percentage of total revenue was:
For the six months ended 30 June2025 | 2024 | ||
US$'000 | % | US$'000 | % |
Lifestyle wear | 339,672 | 27.6% | 304,981 27.9% |
Sportswear and outdoor apparel | 312,906 | 25.5% | 278,285 25.4% |
Denim | 262,202 | 21.3% | 237,697 21.7% |
Intimate | 209,784 | 17.1% | 191,517 17.5% |
Sweater | 104,911 | 8.5% | 81,192 7.5% |
Total Revenue | 1,229,475 | 100.0% | 1,093,672 100.0% |
With further collaboration with our key brand customers, our order demand has increased. As such, the Group's revenue increased by 12.4% compared to the same period last year.
The Group's sales analysed by geographical region based on port of discharge were:
For the six months ended 30 June2025 | 2024 | ||
US$'000 | % | US$'000 | % |
Asia-Pacific (note a) | 478,286 | 38.9% | 417,729 38.2% |
North America | 462,934 | 37.6% | 414,566 37.9% |
Europe (note b) | 252,705 | 20.6% | 230,447 21.1% |
Other countries/regions | 35,550 | 2.9% | 30,930 2.8% |
Total Revenue | 1,229,475 | 100.0% | 1,093,672 100.0% |
Notes:
Asia Pacific primarily includes Japan, the People's Republic of China and South Korea.
Europe primarily includes France, Germany, the Netherlands and the United Kingdom.
Financial Highlights
Management Discussion and Analysis
Management Discussion and Analysis
Gross Profit and Gross Profit MarginCorporate Governance and Other Information
2025 | 2024 | ||
Gross | Gross | ||
Gross | Profit | Gross | Profit |
Profit | Margin | Profit | Margin |
US$'000 | % | US$'000 | % |
Lifestyle wear | 69,801 | 20.5% | 60,344 19.8% |
Sportswear and outdoor apparel | 64,869 | 20.7% | 58,158 20.9% |
Denim | 42,892 | 16.4% | 39,322 16.5% |
Intimate | 43,637 | 20.8% | 37,311 19.5% |
Sweater | 21,403 | 20.4% | 18,317 22.6% |
Total Gross Profit | 242,602 | 19.7% | 213,452 19.5% |
Report on Review of Condensed Consolidated Financial Statements
For Lifestyle wear and Intimate, increase in gross profit margin was mainly due to improvement in production efficiency. For Sweater, decrease in gross profit margin was mainly due to more conventional sweaters with lower gross margin.
Other Expenses and Finance CostsSelling and distribution expenses remained stable at 1.3% in the first half of 2025, compared with 1.3% in the first half of 2024.
Administrative, research and development expenses, and other income and expenses remained stable at 8.0% in the first half of 2025 compared with 8.2% in the first half of 2024.
The effective borrowing rate for the Group in the six months ended 30 June 2025 ranged from 1.52% to 5.64% compared to 4.97% to 6.65% for the same period in 2024. The Group had no fixed-rate borrowings at 30 June 2025. Finance costs amounted 0.5% of revenue in the first half of 2025 compared to 0.6% for the same period in 2024.
Net ProfitWith improvement in the gross profit margin, the Group achieved a net profit of US$98 million for the six months ended 30 June 2025. Net profit as a percentage of revenue increased from 7.7% in the first half of 2024 to 8.0% in the first half of 2025.
Capital ManagementThe Group held a positive net cash position of US$517 million at 30 June 2025. The gearing ratio (total interest-bearing bank borrowings, less bank balances and cash, divided by total equity) at 30 June 2025 was nil (31 December 2024: nil).
The consolidated financial position of the Group remained sound throughout the first half of 2025. The positive operating cash flow of US$155 million in the six months (US$44 million for the same period in 2024) contributed to cash balances of US$512 million at 30 June 2025, compared to US$427 million at 31 December 2024. Cash balances were mainly denominated in HK$ and US$. Bank borrowings, mainly denominated in HK$ and US$, have decreased from US$147 million at 31 December 2024 to US$122 million at 30 June 2025. All bank borrowings of US$122 million at 30 June 2025 contained a repayable on demand clause and US$122 million was repayable within one year.
Management Discussion and Analysis
Our conversion cycle has increased from 71 days in 2024 to 84 days for the six months ended 30 June 2025. With less factoring arrangement for low risk customers, turnover of trade and bills receivables averaged 62 days in the first half of 2025, compared with 52 days average turnover throughout 2024.Inventory turnover averaged 59 days in the first half of 2025, compared with 48 days throughout 2024. Trade and bills payables turnover averaged 37 days in the first half of 2025 compared to 29 days throughout 2024.
Capital expenditure incurred, in the main, for the building, equipping and upgrading of production facilities, has been carefully managed. For the six months ended 30 June 2025, capital expenditure amounted to US$60 million, compared to US$52 million for the same period in 2024. Capital commitments at 30 June 2025 were US$47 million compared to US$52 million at 31 December 2024.
Foreign currency exchange contracts are used to manage foreign currency exposure. The Group's policy is to monitor its foreign currency exposure and use foreign currency exchange contracts, as appropriate, to minimise its foreign currency risks.
Funding and Treasury PolicyThe Group has adopted a prudent treasury policy and thus maintained a healthy liquidity position throughout the year. The Group strives to reduce credit risk by performing ongoing credit assessments and evaluations of the financial status of its customers. The Group regularly reviews its funding requirements to maintain adequate financial resources in order to support its current business operations as well as its future investments and expansion plans.
Pledge of AssetsAt 30 June 2025, pledge of assets of the Group are set out in note 20 to the condensed consolidated financial statements.
Acquisitions and Disposals of Subsidiaries, Associates and Joint VenturesFor the six months ended 30 June 2025, the Group had no material acquisitions and disposals of subsidiaries, associates and joint ventures.
Significant Investment HeldFor the six months ended 30 June 2025, the Group held no significant investments.
Material Acquisitions and Future Plans for Major InvestmentThe Group continues to invest in vertical upstream integration. The Group did not have other future plans for major investments or acquisition for major capital assets at the date of this interim report.
Contingent LiabilitiesAt 30 June 2025, the Group had no material contingent liability (31 December 2024: Nil).
At the date of this interim report, no material event has occurred after the reporting period.
Subsequent Events after the Reporting Period
Financial Highlights
Management Discussion and Analysis
Management Discussion and Analysis
EMPLOYMENT, TRAINING AND DEVELOPMENTCorporate Governance and Other Information
The Group employed around 79,000 people at 30 June 2025. Total staff costs, including administrative and management staff, for the six months ended 30 June 2025 equated to 26.5% of revenue, compared to 25.7% in the same period in 2024. The Group remunerates its staff according to their performance, qualifications, and industry practices, and conducts regular reviews of its remuneration policy. Employees may receive discretionary bonuses and monetary rewards based on their ratings in the annual performance appraisals. The Group also offers rewards or other incentives to motivate the personal growth and career development of its employees, such as ongoing opportunities for training to enhance their technical and product knowledge, as well as their knowledge of industry quality standards. Each new employee of the Group is required to attend an introductory course, and various types of training courses are available to all employees of the Group.
SUSTAINABILITY Vision and StrategyReport on Review of Condensed Consolidated Financial Statements
Sustainability is a strategic imperative for our business. It is also the key to creating long-term environmental and social value for our stakeholders. Our sustainability framework consists of five pillars: environment, innovation, product integrity, employee care, and community engagement. This serves as a guiding principle when planning our sustainability strategies.
Following the completion of our Third Global 5-year Sustainability Targets in 2022, we established our new Crystal Sustainability Vision 2030 ("CSV2030") to craft the Group's sustainability blueprint while addressing a wider spectrum of global sustainability challenges. CSV2030 comprises eight impact areas across the environmental, people, and community dimensions, and sets specific goals we are committed to achieving by the end of the decade. We and all our factories are developing and implementing tailored, detailed, actionable items to meet our CSV2030 objectives. For more details on our CSV2030 goals, please visit our corporate website at https://www.crystalgroup.com/csv2030.
Climate change remains a key focus of our sustainability efforts. We are working collaboratively to fulfil our commitment to net zero emissions by 2050, thus contributing to limiting the global temperature rise to below 1.5°C. We also set an interim target to reduce our aggregate greenhouse gas emissions by 35% by 2030.
CSV2030, along with our sustainable framework and initiatives, aligns with the United Nations ("UN") Sustainable Development Goals1 ("SDGs") to ensure we contribute to solving global societal problems. As a participant in the UN Global Compact, we support the Ten Principles on human rights, labour, environment, and anti-corruption. We are committed to making these principles part of our strategy, culture, and daily operations while actively engaging with industry players in various collaborative projects.
1 The United Nations Sustainable Development Goals are a collection of 17 global goals set by the United Nations General Assembly in 2015 for the year 2030. These goals provide a blueprint to achieve a more sustainable future and address global sustainability challenges.
Management Discussion and Analysis
Net Zero 2050 VisionOur efforts to realise an ambitious net zero roadmap are ongoing. This comprises strategies focusing on energy efficiency, renewable energy, productivity enhancement, and fuel switching. Our 2050 net zero target was validated by the Science Based Targets initiative ("SBTi"), which affirmed its alignment with SBTi criteria and climate science. To spearhead progress towards the Group's decarbonisation targets and enhance accountability in our factories, we also established individual carbon intensity targets for each garment factory on an annual basis.
With respect to energy efficiency, all our factories are gradually executing their decarbonisation plans, which were formulated two years ago. We aim to complete more than 220 energy efficiency measures by 2028. To date, at least 120 of these measures have been completed, reducing carbon emissions by over 30,000 tonnes and energy consumption by approximately 32,600 MWh per year.
We continued scaling up our onsite renewable electricity supply by installing more rooftop solar PV capacity. Our goal is to eventually expand its use across all our factories where operationally feasible. The Group's total rooftop solar PV capacity has increased fivefold since late 2021 to about 23 MW at present, with more PV systems being installed or in the planning stage. We also sourced off-site green electricity through power purchasing agreements. Meanwhile, none of our wholly owned factories operate coal-fired units.
Our climate change data, decarbonisation efforts, and risk management practices were disclosed through the CDP. We were included in the CDP Climate A List (leadership) for two consecutive years in 2023 and 2024. We were also honoured to be included in the CDP 2024 Supplier Engagement Assessment ("SEA") A List for the first time. These accolades reflect our leadership in climate transition and recognise our commitment to climate transparency and supplier engagement.
Resourcing People and Revitalising CommunityWomen account for nearly 70% of our workforce. To improve their status in many of the countries in which we operate, we took steps to improve gender equality by empowering over 70,300 female employees through our self-developed CARE2 programme, which enables our workers to achieve greater effectiveness and embrace personal breakthroughs.
Our human resources development policy provides clear guidelines to support employee development. Our operations planned and carried out training programmes to facilitate the personal and career growth of our employees at all levels. Examples include production training for workers, supervisory skills training for supervisors and line leaders, the Standard Officer Training Curriculum for officer-grade staff, and the Crystal Manager Training Curriculum for managerial-grade staff. To strengthen the Technical Services team's capacity to meet future operational needs, our intimate factory in Vietnam has delivered nearly 1,200 hours of training since 2024 to relevant employees under the Technical Services Centre ("TSC")'s Functional Skills Development Programme. This five-module programme equipped participants with advanced knowledge in areas such as garment construction, pattern design, and data analysis, all of which have proven beneficial to their work.
2
The CARE programme is an employee well-being programme self-initiated by Crystal. It has five levels to help employees build
on their skills, promote a healthy work-life balance, strengthen their self-respect, enhance their sense of belonging, and help them attain self-actualisation.
Employee wellness is also central to our people strategy. Our Group operations promote a culture of sports activity by providing sports centres or sports grounds onsite and organising sports programmes, ranging from large-scale inter-factory competitions to regular gym and yoga sessions. Concerning visual health, we partnered with non-profit organisations such as VisionSpring and The Fred Hollows Foundation to offer free vision screenings for employees. Since 2024, close to 30,000 employees have undergone vision screening in Vietnam, Cambodia, and Bangladesh, and over 9,200 of those diagnosed with refractive errors received quality eyeglasses at no cost or at discounted prices.
Financial Highlights
Management Discussion and Analysis
Management Discussion and Analysis
Recognised for best human resources practices, high employee engagement, and an excellent workplace culture, Crystal's headquarters in Hong Kong was awarded Best Companies to Work for in Asia by HR Asia for the fifth consecutive year. Additionally, our Singapore office received the Silver Award for Most Innovative and Sustainable Office Design at the Employee Experience Awards 2025. These achievements underscore our commitment to creating a functional and inspiring workplace that aligns with our sustainability goals.
Corporate Governance and Other Information
Our care goes beyond employees, as our team contributes their skills, time, and compassion to various focus areas of our community programmes, covering community activities, education, environmental protection, health and medical care, and community resilience.
In line with our commitment made in 2024 to plant two million trees globally by 2030, we have planted 450,000 trees so far in Vietnam, China, Cambodia, and Sri Lanka. Our factory teams have implemented tree-planting initiatives prudently, ensuring suitable native plant species are used, prioritising reforestation sites damaged by extreme climate events, and planting mangroves that protect coastal areas and support local fisheries. Our goal is to have a lasting positive impact on the communities in which we operate.
OUTLOOK AND PROSPECTSReport on Review of Condensed Consolidated Financial Statements
The gradual progression of tariff negotiations between the USA and its key trading partners has contributed to a measurable reduction in trade policy uncertainty, thereby revitalising confidence among apparel brands in their product expansion and procurement strategies. In response to this improved business environment, the Group proactively accelerated its workforce expansion during the latter part of the first half of the year, strategically onboarding approximately 4,000 employees across our production facilities to enhance capacity.
Vietnam is the cornerstone of our global production network, representing over 60% of total output and serving as our primary export base for the North American market. The Group will further reserve capacity growth and accelerate the modernisation of its factories in this region. Simultaneously, the Group has focused on building vertical supply chains locally. The self-developed fabric factory in Vietnam is under construction as scheduled.
However, the persistent tariff impact has undeniably shifted procurement patterns in the USA apparel sector, where brand customers tend to choose low-cost alternatives to hedge against the burden of higher tariffs. This trend may be further compounded by signs of softening economic conditions in the USA. In response to these market forces, the Group will prioritise capturing growth opportunities in the European and Asian markets. In the second half of the year, the Group will forge a new partnership with a leading European brand customer.
The Group's capital expenditure plan is being implemented as scheduled, focusing on vertical integration, automation and capacity enhancement. Total expenditure for this year is projected to be comparable to that of last year. The Group will also actively assess the establishment of new production bases in regions neighbouring Europe, leveraging shorter transportation times to enhance responsiveness to the European market. Building upon our existing Southeast Asia-centric production footprint, this expansion will provide brand customers with greater regional diversification in sourcing options, ultimately accelerating customer penetration and market share growth.
Supported by robust operational cash flow generation, we are well-positioned to maintain our longstanding commitment to delivering substantial returns to shareholders through the distribution of consistent and robust dividends.
Corporate Governance and Other Information
COMMUNICATION WITH SHAREHOLDERSThe Company's 2025 Annual General Meeting (the "2025 AGM") was held on 30 May 2025. All resolutions at the 2025 AGM were passed by way of a poll and the poll results were posted on the websites of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") and the Company on the same day.
INTERIM DIVIDENDThe Board has resolved to declare an interim dividend of HK16.3 cents (approximately US2.1 cents) per ordinary share for the six months ended 30 June 2025, payable on Thursday, 18 September 2025, to shareholders of the Company (the "Shareholder(s)") whose names appeared on the register of members of the Company on Tuesday, 9 September 2025.
CLOSURE OF REGISTER OF MEMBERS AND RECORD DATEFor determining the entitlement to the interim dividend, the register of members of the Company was closed from Friday, 5 September 2025 to Tuesday, 9 September 2025, both days inclusive, during which period no transfer of shares will be registered. To qualify for the interim dividend, all properly completed transfer forms accompanied by the relevant share certificates had to be lodged for registration with the Company's Hong Kong share registrar, Computershare Hong Kong Investor Services Limited at Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong, not later than 4:30 p.m. on Thursday, 4 September 2025.
The record date for determining a Shareholder's entitlement to the interim dividend is Tuesday, 9 September 2025.
PURCHASE, SALE OR REDEMPTION OF THE COMPANY'S LISTED SECURITIESDuring the six months ended 30 June 2025, neither the Company nor any of its subsidiaries has purchased, sold or redeemed any of the Company's listed securities (including sale of treasury shares).
BOARD OF DIRECTORSAt 30 June 2025, the composition of the Board was:
Executive DirectorsMr. LO Lok Fung Kenneth (Chairman) ("Mr. Kenneth LO")
Mrs. LO CHOY Yuk Ching Yvonne (Vice Chairman) ("Mrs. Yvonne LO")
Mr. LO Ching Leung Andrew (Vice Chairman and Chief Executive Officer) ("Mr. Andrew LO") Mr. WONG Sing Wah ("Mr. Dennis WONG")
Mr. LO Howard Ching Ho ("Mr. Howard LO")
Financial Highlights
Corporate Governance and Other Information
Management Discussion and Analysis
Non-executive DirectorsMr. WONG Chi Fai ("Mr. Frankie WONG") Mr. LEE Kean Phi Mark ("Mr. Mark LEE")
Independent Non-executive DirectorsMr. CHANG George Ka Ki ("Mr. CHANG") Mr. MAK Wing Sum Alvin
Corporate Governance and Other Information
Mr. WONG Siu Kee
Mrs. MAK TANG Pik Yee Agnes
Save as disclosed above, there has been no change in the Board composition up to the date of this interim report.
Updates on Directors' InformationReport on Review of Condensed Consolidated Financial Statements
Changes in the information of the Directors during the six months ended 30 June 2025 and up to the date of this interim report, which is required to be disclosed pursuant to Rule 13.51B(1) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules"), are set out below:
Mr. Mark LEE, a non-executive Director, ceased to be a Nominated Member of Parliament of Singapore with effect from 15 April 2025.
Mr. CHANG, an independent non-executive Director, retired as a director from Morningside Asia (a venture capital firm) with effect from 31 March 2025.
Mr. Andrew LO's 2025 annual salary (including housing) has been revised to HK$6.914 million with effect from 1 April 2025. The 2025 annual salaries of Mr. Dennis WONG and Mr. Howard LO have been revised to HK$6.296 million and HK$3.602 million, respectively, with effect from 1 April 2025.
Save as disclosed above, there is no other information required to be disclosed pursuant to Rule 13.51B(1) of the Listing Rules.
Corporate Governance and Other Information
SENIOR MANAGEMENTAt 30 June 2025 and up to the date of this interim report, the composition of the senior management of the Company remains the same as that set out in the annual report 2024 of the Company.
CONTINUING PROFESSIONAL DEVELOPMENTTo assist the Directors and the executives in continuing their professional development, materials on the subject of corporate governance, including the Company's master policies, are provided to the Directors and the executives from time to time to keep them abreast of latest developments.
SHARE AWARD SCHEMEOn 7 April 2017, the Company passed a resolution of the Board to adopt a share award scheme (the "Share Award Scheme B") and appointed an independent professional trustee to assist with the administration and vesting of the share awards. The Share Award Scheme B is valid and effective for a period of ten years, commencing from the date of the first grant of shares under this scheme.
No scheme mandate or service provider sublimit on share grant has been set under the Share Award Scheme B. The number of share awards available for grant at the beginning and at the end of the six months ended 30 June 2025 is the number of shares held by the trustee at the respective time, which was nil and nil, respectively. As at the date of this interim report, no shares were held by the trustee. There was no unvested share award at the beginning and at the end of the six months ended 30 June 2025. All share awards held by the Group's employees under the Share Award Scheme B were vested on 3 November 2019. No share awards were granted, vested, cancelled and lapsed under the Share Award Scheme B during the six months ended 30 June 2025.
Financial Highlights
Corporate Governance and Other Information
Management Discussion and Analysis
DIRECTORS' AND CHIEF EXECUTIVE'S INTERESTS AND SHORT POSITIONS IN SHARES, UNDERLYING SHARES AND DEBENTURESCorporate Governance and Other Information
Report on Review of Condensed Consolidated Financial Statements
At 30 June 2025, the interests or short positions of the Directors and chief executive of the Company in the shares, underlying shares and debentures of the Company or its associated corporations (within the meaning of Part XV of the Securities and Futures Ordinance (the "SFO") which were required to be notified to the Company and the Stock Exchange pursuant to Divisions 7 and 8 of Part XV of the SFO (including interests or short positions which they had taken or were deemed to have under such provisions of the SFO) or which were required, pursuant to Section 352 of the SFO, to be entered in the register referred to therein, or which were required, pursuant to the Model Code for Securities Transactions by Directors of Listed Issuers (the "Model Code")), to be notified to the Company and the Stock Exchange, were as follows:
Interests in the Company | ||
Approximate | ||
Percentage of | ||
Shareholding in | ||
Number of | the Company | |
Name of Director Nature of Interest | Shares (note a) | (%) |
Mr. Kenneth LO (note b) Beneficial owner | 306,610,590 | 10.75 |
Interest of spouse | 308,505,590 | 10.81 |
Interests held jointly with another person | 1,569,052,100 | 55.00 |
Mrs. Yvonne LO (note c) Beneficial owner | 306,610,590 | 10.75 |
Interest of spouse | 306,610,590 | 10.75 |
Founder of a discretionary trust who can influence how the trustee exercises his discretion | 1,895,000 | 0.07 |
Interests held jointly with another person | 1,569,052,100 | 55.00 |
Mr. Andrew LO Beneficial owner | 68,074,080 | 2.39 |
Mr. Dennis WONG Beneficial owner | 7,497,360 | 0.26 |
Mr. Frankie WONG Beneficial owner | 4,806,000 | 0.17 |
Mr. Howard LO Beneficial owner | 41,345,680 | 1.45 |
Mr. Mark LEE Beneficial owner | 591,000 | 0.02 |
Notes: | ||
All positions are long positions.
Under the SFO, Mr. Kenneth LO, as the spouse of Mrs. Yvonne LO, was deemed to be interested in the 308,505,590 shares in which Mrs. Yvonne LO was interested. Mr. Kenneth LO and Mrs. Yvonne LO were interested in a total of 1,569,052,100 shares jointly held by Mr. Kenneth LO and Mrs. Yvonne LO.
Under the SFO, Mrs. Yvonne LO, as the spouse of Mr. Kenneth LO, was deemed to be interested in the 306,610,590 shares in which Mr. Kenneth LO was interested. Mrs. Yvonne LO was interested in a total of 1,895,000 shares held by The Incorporated Trustees of Yuk Ching Charity Trust of which Mrs. Yvonne LO is a founder and chairman. Mrs. Yvonne LO and Mr. Kenneth LO were interested in a total of 1,569,052,100 shares jointly held by Mrs. Yvonne LO and Mr. Kenneth LO.
Corporate Governance and Other Information
Save as disclosed above, at 30 June 2025, none of the Directors or chief executive of the Company had any interest or short position in the shares, underlying shares or debentures of the Company or any of its associated corporations (within the meaning of Part XV of the SFO) which were required to be notified to the Company and the Stock Exchange pursuant to Divisions 7 and 8 of Part XV of the SFO (including interests or short positions which they had taken or were deemed to have under such provisions of the SFO) or which were required, pursuant to Section 352 of the SFO, to be entered in the register referred to therein, or which were required to be notified to the Company and the Stock Exchange pursuant to the Model Code.
SUBSTANTIAL SHAREHOLDERS' INTERESTS AND SHORT POSITIONS IN SHARES AND UNDERLYING SHARESAt 30 June 2025, the Directors are not aware of any other corporation or individual (other than the Directors or chief executive of the Company) who had an interest or a short position in the shares or underlying shares of the Company which would be required to be disclosed to the Company under the provisions of Divisions 2 and 3 of Part XV of the SFO, or as recorded in the register of interests required to be kept pursuant to Section 336 of the SFO.
PUBLIC FLOATAt the date of this interim report, based on the information that is publicly available to the Company and within the knowledge of the Directors, the Company has maintained the prescribed public float under the Listing Rules and as agreed with the Stock Exchange throughout the six months ended 30 June 2025 and up to the date of this interim report.
CORPORATE GOVERNANCE PRACTICESThe Board and the management of the Group are committed to the maintenance of good corporate governance practices and procedures. The Board has reviewed the Company's corporate governance practices and is satisfied that the Company has complied with all code provisions set out in Part 2 of the Corporate Governance Code contained in Appendix C1 to the Listing Rules throughout the six months ended 30 June 2025.
MODEL CODE FOR SECURITIES TRANSACTIONS BY DIRECTORSThe Company has adopted the Model Code set out in Appendix C3 to the Listing Rules as its code of conduct regarding directors' securities transactions. Upon specific enquiry being made of all Directors, each of them has confirmed their compliance with the required standards set out in the Model Code throughout the six months ended 30 June 2025 and up to the date of this interim report.
Financial Highlights
Corporate Governance and Other Information
Management Discussion and Analysis
AUDIT COMMITTEEThere was no change in the composition of the Audit Committee during the six months ended 30 June 2025. The primary duties of the Audit Committee continue to be to review the adequacy of the financial reporting and internal control systems of the Group, oversee the external and internal audit processes, review the Group's management of its existing and potential risks, review connected transactions and perform other duties and responsibilities as delegated by the Board.
Corporate Governance and Other Information
For the six months ended 30 June 2025, the Audit Committee met the external auditors to discuss their findings during the audit of the consolidated financial statements for the year ended 31 December 2024. Nothing of a significant nature regarding internal controls and risk management was reported. The Audit Committee reviewed the actions taken by management to address the findings and was satisfied the actions were appropriate and effective. In respect of the work of the Internal Audit in examining the application of policies and internal controls in specific locations within the Group, the Audit Committee was again satisfied with the high quality of the work undertaken. Nothing of a material nature was revealed and appropriate remedial measures to strengthen compliance further are being implemented.
Report on Review of Condensed Consolidated Financial Statements
The Audit Committee reviewed the quality of the work of the external auditors together with their independence and was satisfied with both. It recommended to the Board the reappointment of Messrs. Deloitte Touche Tohmatsu as the Company's auditors for the ensuing year.
The Audit Committee has reviewed, together with the management of the Group, the accounting principles and policies adopted by the Group and discussed with them the unaudited condensed consolidated financial statements and interim report of the Group for the six months ended 30 June 2025, recommending their adoption by the Board. The Audit Committee continued, during the first half year, its periodic reviews of the approved connected transactions and expenditure.
In addition, the unaudited condensed consolidated financial statements of the Group for the six months ended 30 June 2025 have been reviewed by the independent auditors of the Company, Messrs. Deloitte Touche Tohmatsu.
Corporate Governance and Other Information
RISK MANAGEMENT AND INTERNAL CONTROL SYSTEMSThe Board is responsible for ensuring the Group establishes and maintains appropriate and effective risk management and internal control systems. The Board is satisfied with the effectiveness of the risk management and internal control systems in place.
The Board's oversight of the Company's risk management and internal control systems, both directly and via the Audit Committee, is on-going. In this regard, the Audit Committee reviewed the progress of the Company's cyber security initiatives, their roll out within the Group and statistics of cyber attacks, their nature and location. The Audit Committee was satisfied with the defences in place and remedial actions taken. The testing of the cyber defences in place by a competent third party had been completed. Issues identified during the test were being followed up, with progress being tracked. Among other important risks examined, business compliance was reviewed. Business compliance is a complex area and the Audit Committee is satisfied with the steps taken so far.
The Group has a written risk assessment process to identify, evaluate and manage significant risks. The Audit Committee satisfied itself, upon review, that the process continued to be implemented effectively.
The Board being responsible for the structure and effectiveness of both the risk management and internal control systems, the Audit Committee also satisfied itself regarding the appropriateness and strength of internal controls.
The Audit Committee continued its practice of reviewing risks pertaining to the Company as a standing item at each of its meetings inviting input from the Chief Financial Officer and the relevant management of the Company. It used the reviews as an important factor in determining the priorities of the Internal Audit programmes.
On Behalf of the Board
Crystal International Group Limited LO Lok Fung KennethChairman
Hong Kong, 20 August 2025
Report on Review of Condensed Consolidated Financial Statements
Report on Review of Condensed Consolidated Financial Statements
TO THE BOARD OF DIRECTORS OF CRYSTAL INTERNATIONAL GROUP LIMITED
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
(incorporated in Bermuda with limited liability and registered by way of continuation in the Cayman Islands)
INTRODUCTION
Condensed Consolidated Statement of Financial Position
We have reviewed the condensed consolidated financial statements of Crystal International Group Limited (the "Company") and its subsidiaries (collectively referred to as the "Group") set out on pages 21 to 41, which comprise the condensed consolidated statement of financial position at 30 June 2025 and the related condensed consolidated statement of profit or loss and other comprehensive income, condensed consolidated statement of changes in equity and condensed consolidated statement of cash flows for the six-month period then ended, and notes to the condensed consolidated financial statements. The Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited require the preparation of a report on interim financial information to be in compliance with the relevant provisions thereof and International Accounting Standard 34 "Interim Financial Reporting" ("IAS 34") issued by the International Accounting Standards Board. The directors of the Company are responsible for the preparation and presentation of these condensed consolidated financial statements in accordance with IAS 34. Our responsibility is to express a conclusion on these condensed consolidated financial statements based on our review, and to report our conclusion solely to you, as a body, in accordance with our agreed terms of engagement, and for no other purpose. We do not assume responsibility towards or accept liability to any other person for the contents of this report.
SCOPE OF REVIEW
We conducted our review in accordance with International Standard on Review Engagements 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the International Auditing and Assurance Standards Board. A review of these condensed consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Report on Review of Condensed Consolidated Financial Statements
CONCLUSION
Based on our review, nothing has come to our attention that causes us to believe that the condensed consolidated financial statements are not prepared, in all material respects, in accordance with IAS 34.
Deloitte Touche Tohmatsu Certified Public Accountants Hong Kong20 August 2025
Report on Review of Condensed Consolidated Financial Statements
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
For the six months ended 30 June 2025
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
Condensed Consolidated Statement of Financial Position
Six months ended 30 June2025 | 2024 | |
NOTES | US$'000 | US$'000 |
(unaudited) | (unaudited) |
Revenue 3 Cost of sales | 1,229,475 (986,873) | 1,093,672 (880,220) |
Gross profit Other income, gains or losses Impairment losses under expected credit loss model, net of reversal 11 Selling and distribution expenses Administrative expenses Research and development expenses Finance costs Share of results of associates | 242,602 12,070 (2,043) (16,135) (93,977) (16,308) (6,498) (4) | 213,452 12,656 (93) (14,567) (86,814) (15,721) (6,090) 89 |
Profit before tax 4 Income tax expense 5 | 119,707 (21,384) | 102,912 (18,698) |
Profit for the period | 98,323 | 84,214 |
Other comprehensive expense Items that may be reclassified subsequently to profit or loss: Exchange difference arising on translation of foreign operations Fair value changes on trade receivables at fair value through other comprehensive income Impairment loss on trade receivables at fair value through other comprehensive income under expected credit loss model, net of reversal 11 | (7,391) 415 (4) | (12,195) (223) 37 |
(6,980) | (12,381) | |
Items that will not be reclassified to profit or loss: Surplus on revaluation of properties Deferred tax expense arising on revaluation of properties | 5,164 (1,205) | 5,782 (1,233) |
3,959 | 4,549 | |
Other comprehensive expense for the period | (3,021) | (7,832) |
Total comprehensive income for the period | 95,302 | 76,382 |
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
For the six months ended 30 June 2025
Six months ended 30 June2025 | 2024 | |
NOTE | US$'000 | US$'000 |
(unaudited) | (unaudited) |
Profit for the period attributable to: Owners of the Company Non-controlling interests | 98,265 58 | 84,012 202 |
98,323 | 84,214 | |
Total comprehensive income for the period attributable to: | ||
Owners of the Company | 95,244 | 76,180 |
Non-controlling interests | 58 | 202 |
95,302 | 76,382 | |
Basic earnings per share for profit attributable to the owners of the Company (US cents) 7 | 3.44 | 2.94 |
Report on Review of Condensed Consolidated Financial Statements
Condensed Consolidated Statement of Financial Position
At 30 June 2025
At At
30 June 31 December
2025 2024
NOTES US$'000 US$'000
Condensed Consolidated Statement of Financial Position
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
(unaudited) (audited)
ASSETS | |||
Non-current assets | |||
Property, plant and equipment | 8 | 604,281 | 599,409 |
Right-of-use assets | 8 | 111,327 | 115,174 |
Deposits paid for acquisition of property, plant and equipment | 36,594 | 22,295 | |
Goodwill | 74,941 | 74,941 | |
Intangible assets | 63,732 | 66,191 | |
Interests in associates | 11,561 | 11,793 | |
Loan receivables | 577 | 686 | |
Deferred taxation assets | 3,718 | 3,627 | |
906,731 | 894,116 | ||
Current assets | |||
Inventories | 351,683 | 281,434 | |
Right-of-use assets | 8 | 1,075 | 1,465 |
Trade, bills and other receivables | 9 | 138,398 | 206,086 |
Trade receivables at fair value through | |||
other comprehensive income | 10 | 297,560 | 294,586 |
Amounts due from related companies | 17 | 215 | 218 |
Loan receivables | 2,100 | 227 | |
Tax recoverable | 1,778 | 2,862 | |
Short-term bank deposits | 12 | 126,305 | 146,744 |
Bank balances and cash | 511,727 | 426,715 | |
1,430,841 | 1,360,337 | ||
Total assets | 2,337,572 | 2,254,453 | |
Condensed Consolidated Statement of Financial Position
At 30 June 2025
At At
30 June 31 December
2025 2024
NOTES US$'000 US$'000
(unaudited) (audited)
EQUITY AND LIABILITIES | |||
Capital and reserves | |||
Share capital | 18 | 3,654 | 3,654 |
Reserves | 1,533,201 | 1,527,002 | |
Equity attributable to owners of the Company | 1,536,855 | 1,530,656 | |
Non-controlling interests | 3,440 | 4,790 | |
Total equity | 1,540,295 | 1,535,446 | |
Non-current liabilities | |||
Other payables | 13 | - | 352 |
Lease liabilities | 14 | 15,784 | 17,415 |
Deferred taxation liabilities | 37,050 | 36,308 | |
52,834 | 54,075 | ||
Current liabilities | |||
Trade and other payables | 13 | 481,001 | 477,694 |
Lease liabilities | 14 | 9,074 | 10,313 |
Amounts due to associates | 16 | 13,000 | 6,663 |
Dividend payable | 89,045 | - | |
Tax liabilities | 30,803 | 23,291 | |
Bank borrowings | 15 | 121,520 | 146,971 |
744,443 | 664,932 | ||
Total equity and liabilities | 2,337,572 | 2,254,453 | |
Condensed Consolidated Statement of Changes in Equity
Condensed Consolidated Statement of Changes in Equity
For the six months ended 30 June 2025
Attributable to owners of the Company
Financial
Share capital
Share premium
Property revaluation reserve
Exchange reserve
Capital reserve
instruments revaluation reserve
Retained
profits Subtotal
Non-controlling interests
Total equity
Condensed Consolidated Statement of Cash Flows
US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000
At 1 January 2025 (audited) | 3,654 | 505,677 | 79,014 | (140,426) | 9,903 | (2,056) | 1,074,890 | 1,530,656 | 4,790 | 1,535,446 | |
Profit for the period | - | - | - | - | - | - | 98,265 | 98,265 | 58 | 98,323 | |
Exchange difference arising on translation of | |||||||||||
foreign operations | - | - | - | (7,391) | - | - | - | (7,391) | - | (7,391) | |
Surplus on revaluation of properties | - | - | 5,164 | - | - | - | - | 5,164 | - | 5,164 | |
Deferred tax expense arising on revaluation of | |||||||||||
properties | - | - | (1,205) | - | - | - | - | (1,205) | - | (1,205) | |
Fair value changes on trade receivables at fair | |||||||||||
value through other comprehensive income | - | - | - | - | - | 415 | - | 415 | - | 415 | |
Impairment loss on trade receivables at fair value | |||||||||||
through other comprehensive income under | |||||||||||
expected credit loss model, net of reversal | - | - | - | - | - | (4) | - | (4) | - | (4) | |
Total comprehensive income (expense) for | |||||||||||
the period | - | - | 3,959 | (7,391) | - | 411 | 98,265 | 95,244 | 58 | 95,302 | |
Dividend recognised as distribution (Note 6) | - | - | - | - | - | - | (89,045) | (89,045) | - | (89,045) | |
Dividend paid to a non-controlling interest | - | - | - | - | - | - | - | - | (1,408) | (1,408) | |
At 30 June 2025 (unaudited) | 3,654 | 505,677 | 82,973 | (147,817) | 9,903 | (1,645) | 1,084,110 | 1,536,855 | 3,440 | 1,540,295 | |
Notes to the Condensed Consolidated Financial Statements
3,654 | 505,677 | 70,882 | (126,759) | 9,903 | (1,133) | 972,218 | 1,434,442 | 4,460 | 1,438,902 |
- | - | - | - | - | - | 84,012 | 84,012 | 202 | 84,214 |
- | - | - | (12,195) | - | - | - | (12,195) | - | (12,195) |
- | - | 5,782 | - | - | - | - | 5,782 | - | 5,782 |
- | - | (1,233) | - | - | - | - | (1,233) | - | (1,233) |
- | - | - | - | - | (223) | - | (223) | - | (223) |
- | - | - | - | - | 37 | - | 37 | - | 37 |
- | - | 4,549 | (12,195) | - | (186) | 84,012 | 76,180 | 202 | 76,382 |
- | - | - | - | - | - | (47,434) | (47,434) | - | (47,434) |
3,654 | 505,677 | 75,431 | (138,954) | 9,903 | (1,319) | 1,008,796 | 1,463,188 | 4,662 | 1,467,850 |
At 1 January 2024 (audited) Profit for the period
Exchange difference arising on translation of foreign operations
Surplus on revaluation of properties
Deferred tax expense arising on revaluation of properties
Fair value changes on trade receivables at fair value through other comprehensive income
Impairment loss on trade receivables at fair value through other comprehensive income under expected credit loss model, net of reversal
Total comprehensive income (expense) for the period
Dividend recognised as distribution (Note 6)
At 30 June 2024 (unaudited)
INTERIM REPORT 2025
25
Condensed Consolidated Statement of Cash Flows
For the six months ended 30 June 2025
Six months ended 30 June 2025 2024US$'000 US$'000
(unaudited) (unaudited)
NET CASH FROM OPERATING ACTIVITIES | 154,920 | 43,613 |
INVESTING ACTIVITIES | ||
Withdrawal of short-term bank deposits | 146,613 | 95,615 |
Placement of short-term bank deposits | (126,563) | (36,148) |
Payment for property, plant and equipment | (58,360) | (47,792) |
Interest received | 9,058 | 12,224 |
Loan receivables (advanced) received | (1,826) | 110 |
Proceeds on disposal of property, plant and equipment | 341 | 474 |
Payment on settlement of derivative financial instruments | - | (109) |
NET CASH (USED IN) FROM INVESTING ACTIVITIES | (30,737) | 24,374 |
FINANCING ACTIVITIES | ||
Repayment of bank borrowings | (152,397) | (107,592) |
Repayment of lease liabilities | (9,688) | (6,391) |
Interest paid | (6,498) | (6,090) |
Dividend paid to a non-controlling interest | (1,408) | - |
New bank borrowings raised | 128,344 | 53,304 |
NET CASH USED IN FINANCING ACTIVITIES | (41,647) | (66,769) |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 82,536 | 1,218 |
EFFECT OF FOREIGN EXCHANGE RATE CHANGES | 2,476 | (1,832) |
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD | 426,715 | 543,444 |
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD, represented by bank balances and cash | 511,727 | 542,830 |
Condensed Consolidated Statement of Changes in Equity
Notes to the Condensed Consolidated Financial Statements
For the six months ended 30 June 2025
GENERAL AND BASIS OF PREPARATION
Condensed Consolidated Statement of Cash Flows
Crystal International Group Limited (the "Company") was previously incorporated in Bermuda as an exempted company with limited liability and registered by way of continuation in the Cayman Islands as an exempted company with limited liability. The Company is directly held by its controlling shareholders, Mr. LO Lok Fung Kenneth and Mrs. LO CHOY Yuk Ching Yvonne, both executive directors of the Company. The address of the registered office of the Company is Ugland House, P.O. Box 309, Grand Cayman, KY1-1104, Cayman Islands and the principal place of business of the Company is 5-7/F., AXA Tower, Landmark East, No. 100 How Ming Street, Kowloon, Hong Kong.
The Group is principally engaged in the manufacturing and trading of garments.
The shares of the Company were listed on the Main Board of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") on 3 November 2017.
The condensed consolidated financial statements are presented in United States dollars ("US$"), which is also the functional currency of the Company.
The condensed consolidated financial statements have been prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting" issued by the International Accounting Standards Board ("IASB") as well as with the applicable disclosure requirements of the Rules Governing the Listing of Securities on the Stock Exchange.
Notes to the Condensed Consolidated Financial Statements
PRINCIPAL ACCOUNTING POLICIES
The condensed consolidated financial statements have been prepared on the historical cost basis except for certain properties and financial instruments that are measured at revalued amounts or fair values, as appropriate. Historical cost is generally based on the fair value of the consideration given in exchange for goods and services.
The accounting policies and methods of computation used in the condensed consolidated financial statements for the six months ended 30 June 2025 are the same as those applied in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2024.
Application of amendments to IFRS Accounting StandardsIn the current interim period, the Group has applied the following amendments to an IFRS Accounting Standard as issued by the IASB, for the first time, which are mandatorily effective for the Group's annual period beginning on 1 January 2025 for the preparation of the Group's condensed consolidated financial statements:
Amendments to IAS 21 Lack of Exchangeability
The application of the amendments to an IFRS Accounting Standard in the current interim period has had no material impact on the Group's financial positions and performance for the current and prior periods and/or on the disclosures set out in these condensed consolidated financial statements.
INTERIM REPORT 2025
27
Notes to the Condensed Consolidated Financial Statements
For the six months ended 30 June 2025
REVENUE AND SEGMENT INFORMATION
Information reported to the chief executive officer of the Group, being the chief operating decision maker (the "CODM"), for the purposes of resource allocation and assessment of segment performances, focuses on types of products.
Lifestyle wear
Sportswear and outdoor apparel
Denim
Intimate
Sweater
These operating segments also represent the Group's reportable segments. No operating segments identified by the CODM have been aggregated in arriving at the reportable segments of the Group.
Segment revenue and resultsThe following is an analysis of the Group's revenue and results by operating segments.
Six months ended 30 June 2025 (unaudited)Lifestyle
wear
Sportswear
and outdoor
apparel Denim Intimate Sweater Total
US$'000 US$'000 US$'000 US$'000 US$'000 US$'000
SEGMENT REVENUE External sales | 339,672 | 312,906 | 262,202 | 209,784 | 104,911 | 1,229,475 |
Segment profit | 69,801 | 64,869 | 42,892 | 43,637 | 21,403 | 242,602 |
Other income, gains or losses | 12,070 | |||||
Impairment losses under | ||||||
expected credit loss model, | ||||||
net of reversal | (2,043) | |||||
Selling and distribution | ||||||
expenses | (16,135) | |||||
Administrative expenses | (93,977) | |||||
Research and development | ||||||
expenses | (16,308) | |||||
Finance costs | (6,498) | |||||
Share of results of associates | (4) | |||||
Profit before tax | 119,707 | |||||
28
CRYSTAL INTERNATIONAL GROUP LIMITED
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Crystal International Group Ltd. published this content on September 29, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on September 29, 2025 at 09:42 UTC.
