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柠萌影视(09857) - 2024 - 中期财报
Linmon MediaLinmon Media(HK:09857)2024-09-20 12:30

Production and Content Strategy - By the end of June 2024, the Group has produced and distributed a total of 23 high-quality drama series, with 21 being original series where the Group acted as the lead/sole investor and executive producer[7]. - The Group's original drama series cover popular contemporary topics such as family life, education, and female empowerment, delivering positive value propositions and inspiring extensive discussion[7]. - The Group is committed to diversified growth strategies, exploring new avenues such as content marketing, short drama series, overseas business, and IP derivative development[8]. - The Group aims to maximize the commercial value of its proprietary IP rights and build a diversified business structure to reinforce its leadership in the industry[8]. - The accumulated duration of short drama series released in the first half of 2024 was approximately 2,000 minutes, with several blockbusters produced[29]. - The company is actively expanding the scale of production capacity for short drama series and exploring multidimensional commercialization channels[29]. - The original drama series "My Boss" achieved a popularity rate exceeding 9,500 on Youku after 13 days, ranking among the TOP5 on the viewership list[25]. - The original drama series "A Journey to Love" expanded its presence in overseas distribution, contributing to the Group's international growth strategy[36]. Financial Performance - Revenue for the six months ended June 30, 2024, was approximately RMB192.5 million, a decrease of 54.4% from RMB422.1 million for the same period in 2023[19]. - Gross profit for the same period was approximately RMB43.0 million, representing a decrease of 79.5% from RMB209.9 million in 2023[19]. - Net loss for the six months ended June 30, 2024, amounted to approximately RMB52.9 million, compared to a net profit of approximately RMB131.0 million for the same period in 2023[19]. - Adjusted net loss for the same period was approximately RMB49.4 million, compared to an adjusted net profit of approximately RMB139.0 million in 2023[19]. - Other income and gains decreased by 40.8% to RMB46.5 million for the six months ended June 30, 2024, compared to RMB78.6 million in the same period of 2023[54]. - Selling and distribution expenses increased by 7.6% to RMB35.3 million for the six months ended June 30, 2024, driven by growth in promotion expenses for new businesses[61]. - Administrative expenses rose by 13.6% to RMB99.0 million for the six months ended June 30, 2024, due to increased remuneration and office expenses[62]. - The Group recorded a net profit of RMB131.0 million for the six months ended June 30, 2023, which turned into a net loss of RMB52.9 million for the same period in 2024[72]. - The company reported a total comprehensive loss of RMB52,880,000 for the period, compared to a profit of RMB130,952,000 in 2023[139]. Overseas Business and Distribution - The overseas distribution revenue doubled year on year, driven by the popularity of drama series on multiple overseas platforms[23]. - The Group's revenue from overseas distribution reached over RMB 13 million in the first half of 2024, nearly doubling year-on-year, with the drama series "My Boss" achieving over 10 million viewership on TRUEID in Thailand[36][38]. - The Group launched its own overseas platform for short drama series, releasing a total of 5 online overseas short drama series by the date of the interim report[32]. - The Group is focused on accelerating the expansion of production capacity for short drama series on both domestic and overseas platforms to solidify its industry leadership[42][44]. - The Group is actively developing localized content in overseas markets, including Thailand and Hong Kong, to enhance its international cooperation[37][38]. Employee and Governance - As of June 30, 2024, the Group had 205 employees, with approximately 72.2% being female, reflecting a commitment to workforce diversity[46]. - The Group complied with all applicable code provisions of the Corporate Governance Code, except for the deviation from code provision C.2.1[87]. - The roles of chairman of the Board and president are currently performed by Mr. Su Xiao, which constitutes a deviation from code provision C.2.1 of the CG Code[88]. - The Board believes that the current structure will not impair the balance of power and authority between the Board and the management of the Company[90]. Share Capital and Ownership - The total number of shares issued by Linmon Media Limited is 360,458,829[120]. - The Company has a significant concentration of ownership among its directors, with each holding substantial shares[107]. - Mr. Su holds 159,782,040 shares in the Company, representing approximately 44.33% of the shareholding interest[107]. - Tencent Mobility Limited owns 68,302,080 shares, accounting for an 18.95% equity interest in Linmon Media Limited[118]. - Great Luminosity Limited has a stake of 55,756,800 shares, which is approximately 15.47% of the equity interest in Linmon Media Limited[118]. Cash Flow and Assets - The company experienced a net cash outflow from operating activities of RMB131,778,000 for the six months ended June 30, 2024, contrasting with a cash inflow of RMB162,761,000 in the prior year[145]. - Cash and cash equivalents at the end of the period rose to RMB974,684,000, compared to RMB849,270,000 at the end of June 2023, showing improved liquidity[145]. - The total cash and cash equivalents as of June 30, 2024, included RMB436,147,000 in RMB, RMB533,074,000 in USD, and smaller amounts in other currencies[189]. - The impairment on trade receivables was recorded at RMB39,140,000 as of June 30, 2024, slightly down from RMB42,933,000 at the end of 2023[185]. Future Plans and Investments - The Group aims to release its first cinema film in the second half of 2024 while exploring the development of artiste brokerage business[42][44]. - The expected timeline for the unutilised net proceeds is by the end of 2025[104]. - The Company plans to reallocate part of the unutilised net proceeds for original drama series production[100].