Heng Sheng Group 2025 Annual Report: Turned to Net Loss, Revenue Decline, but Strong Cash Position

Revenue decreased 11.14% to RMB 550.15M; operating loss of RMB 1.08M; net loss of RMB 22.55M (prior year net profit RMB 12.36M)
Total assets RMB 2.17B (+1.4%); equity RMB 1.88B (+4.19%); liabilities down 13.45% to RMB 292.67M
Cash and equivalents RMB 1.61B; net debt negative (gearing ratio not reported)
Debt reduced to RMB 180.6M from RMB 244.6M; interest rate 4.35-7.00%
Acquired Platform934 (media content) for RMB 20.26M via convertible bonds; recognized goodwill impairment of RMB 19.22M
Issued 80M new shares through third-party allotments; share count increased from 152.3M to 244.0M
Largest shareholder changed to HUI HUNGYUEN (26.63%) from Hui Man Kit
Issued 3rd convertible bonds (KRW 4B, 0% coupon, 6% yield, conversion price KRW 235)
No dividend paid; after period: 10:1 stock consolidation and additional CB (HKD 16M) issuance