Gross profit margin improved significantly
Operating profit remained flat
Goldpac Group Limited (“Goldpac” or the “Group”, stock code: 03315.HK), today announced the interim results for the six months ended 30 June 2025 (“the period”).
In the first half of 2025, the global political and economic environments became more complicated, and the intensely competitive environment in Chinese mainland markets continued. Nonetheless, the Group remained steadfast in its conviction and made steady progress in its transformation and upgrading. The Group continued to maintain a healthy financial status with abundant fund and good liquidity, demonstrating resilience against risk. The Group remains positive and confident about the medium to long term outlook.
Financial Analysis
In the first half of 2025, the Group actively advanced its business diversification strategy, which led to an improvement in business orders in the Chinese mainland markets. However, affected by the dropping sales prices due to the intense competition, the Group recorded a revenue of RMB458 million, representing a year-on-year decrease of 15.5%. Among them, the Group’s embedded software and secure payment products business segment recorded revenue of RMB292 million, which slightly increased by 0.7% year-on-year, and gross profit of this business segment increased by 10.8% year-on-year. The Group’s platform and service business segment recorded revenue of RMB165 million, representing a year-on-year decrease of 34.3%, and gross profit of this business segment decreased by approximately 7.4% year-on-year.
Benefit from the optimisation of product structure and the improved operational efficiency due to the accelerated digitisation initiatives, the Group recorded a gross profit of RMB134 million, representing an increase of 1.2% year-on-year, while the gross profit margin improved by 4.9 percentage points to 29.3%.
In the first half of 2025, the Group maintained a stable profitability, with the operating profit remaining flat year-on-year. However, taking into account the impact of factors such as the decline in foreign exchange gains and other income, as well as the increase in income tax expense caused by deferred tax, the Group recorded a profit for the period of RMB23.6 million, representing a year-on-year decrease of 22.7%. Excluding exchange gains/losses, the adjusted profit for the period decreased by 11.9% year-on-year to RMB26.1 million.
The Group maintained a healthy financial position to support sustainable development and transformation initiatives. As at 30 June 2025, the Group’s total current assets amounted to RMB1.71 billion, representing an increase of 3% as compared with the end of 2024. The Group’s cash and cash equivalents, fixed bank deposits, pledged bank deposits and financial assets at fair value through profit or loss totalled RMB1.34 billion. The Group’s current ratio, quick ratio and gearing ratio were 3.8, 3.2 and 19.7% respectively, all of which are at excellent levels in the industry.
Outlook
First, Utilising the Digital UMV Platform as a Core to Promote Customer-end and User-end Simultaneously
The Group has accomplished the construction of the underlying infrastructure of the UMV platform, which integrates frontier structures and innovative solutions and is scalable. As of 30 June 2025, there are over 2200 financial and transportation customers on the UMV platform where it enables full businesses online.
In addition, the UMV platform will establish a new channel for banks to connect with their end-users. Its usage insights allow for precise marketing and effective conversion of their credit card businesses, as well as achieving refined management of existing customers and increasing the scale of selling high value-added products.
Second, Increasing R&D Investment, Facilitating Global Banks in Aligning with the Trends of Digital Card Issuance and Digital Currency; Seizing Opportunities of Emotional Economy, Implementing “Digital First + Chip Encryption” Total Solutions
The Group promotes a “digital first + chip encryption” total solution that is capable of assisting global banks and third-party payment organisations in independent deployment without customised secure hardware, thus realising “digital first” instant card issuance while accommodating to the fast development of digital currency.
On 1 August 2025, the Stablecoins Ordinance of Hong Kong officially came into effect. The Group closely follows the development while it has developed crypto currency hardware wallets and related derivative products based on secure chips and pre-installed post-quantum encryption algorithms, as well as actively exploring the integration of crypto currency ecosystems with traditional financial payment ecosystems as secure transaction media.
Third, Strengthening Core Competitive Advantages: Global Markets, Telecommunications and IoT Businesses
The Group has provided products and services to 41 countries and regions, and saw significant development particularly in the Asia Pacific and the Middle East markets during the period. In the second half of 2025, the Group expects to achieve breakthroughs in Central and South America markets.
The Group will focus on new business areas such as telecommunications and IoT connectivity in the future. Seizing the development opportunities of eSIM, the Group will offer services including digital authentication, remote connection management control and secure access based on connectivity management technologies related to eSIM. Meanwhile, the Group is building a globally oriented connectivity management service platform to continuously improve the stability, security and operational efficiency of connectivity. The platform will focus on application scenarios such as consumer electronics, the Internet of Vehicles, intelligent manufacturing and information security.