Earnings release
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Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited t ake no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss howso ever arising from or in reliance upon the whole or any part of the contents of this announcement. Vobile Group Limited 阜 博 集 團 有 限 公 司 (Incorporated in the Cayman I slands with limited liability) (Stock code: 3738) INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2026 FINANCIAL HIGHLIGHTS Interim Condensed Consolidated Stat ement of Profit or Loss Highlights Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Revenue 1,805,455 1,456,315 Gross profit 810,039 642,730 Profit before tax 234,481 126,872 Profit for the period 195,047 101,242 Non-IFRS Adjusted Net Profit 193,660 120,850 Non-IFRS Adjusted EBITDA 344,367 272,401 Interim Condensed Consolidated Statem ent of Financial Position Highlights 30 June 31 December 2026 2025 HK$’000 HK$’000 (Unaudited) (Audited) Total assets 6,490,692 6,262,715 Total liabilities 2,626,103 2,815,599 Net assets 3,864,589 3,447,116 Total equity 3,864,589 3,447,116 – 1 –
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MANAGEMENT DISCUSSION AND ANALYSIS BUSINESS OVERVIEW AND PROSPECTS I. Company Financial Performance During the reporting period, alongside the steady growth of our core operations, Vobile ’sA I content service capabilities transitioned from t he planning phase into commercial execution. The large-scale generation of new content formats is stimulating increased demand for rights identification and monetization services. Thi s dynamic has enabled continuous improvements in both our revenue mix and cost efficiencies, res ulting in the following key financial results: . The total revenue was HK$1,805 million , reflecting a YoY increase of 24%; . The revenue from subscription services was HK$718 million, reflecting a YoY increase of 17.7%, accounting for about 39.8% of the revenue ; the revenue from value-added and other services was HK$1,087 million, reflectin g a YoY increase of 28.5%, accounting for about 60.2% of the revenue; . The revenue from the United States and other regions was HK$927 million, reflecting a YoY increase of 27.1%; the revenue from the Chi nese Mainland region was HK$878 million, reflecting a YoY increase of 20.9%; . The gross profit was HK$810 million, reflecti ng a YoY increase of 26%, and the gross profit margin has achieved 44.9% (1H 2025: 44.1%); . The research and development expense was HK$189 million, reflecting a YoY increase of 15.4%; . The profit for the period was HK$195 million, reflecting a YoY increase of 92.7%, and the net profit margin was 10.8% (1H 2025: 7%); . The adjusted net profit was HK$194 million, re flecting a YoY increase of 60.3% compared to 1H 2025. II. Company Strategy And Outlook The creator economy is undergoing a restruc turing of both content production and value distribution, with rights identif ication and measurement becoming key prerequisites under the new paradigm. With two decades of dedicated focus o n content rights managem ent and monetization, Vobile Group is seizing historic development op portunities in the era of AI content. During the reporting period, our deployment in AI content servi ces successfully transitioned from strategy to execution: platform compute service revenue from DreamMaker grew from inception to over 10 million USD; the scale of AI-relate d active assets under the Group ’s management expanded significantly; and we successfully issued the fir st film and entertainment copyright cash-flow RWA (real-world asset) project under t he regulatory framework of Hong Kong. – 2 –
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In the first half of 2026, video generation models a chieved major breakthroughs across key areas. Content that previously required a large team and a lengthy production cycle to produce can now be generated directly by a small team or an ind ividual creator using such models, driving a substantial increase in content supply. Content ri ghts have also evolved from an issue concerning only a small number of established IPs into a pr actical challenge for the whole industry in the AI era. Copyright continues to serve the same funda mental purpose, but its relevance now extends much further and runs much deeper. Major rights holders ’ IP is increasingly used in AI-generated and derivative content, while effective visibil ity into the scope and extent of such use remains limited. Comprehensive restrictions may constrain distribution, whereas unr estricted use may result in revenue leakage. Similarly, AI content creator s require well-defined rights boundaries to secure a sustainable supply of source mate rials and establish compliant pa thways for commercialisation. Whether asserting rights or ensuring compliant us e, the prerequisite in both cases is that every use of content can be identified, measured, and settl ed accordingly. This cannot be achieved through a standalone tool, but requ ires systemic capability — precisely the infrastructure that the AI content industry urgently needs for its development. The core of this infrastructure lies in rights data, matching capabilities, a nd settlement networks — precisely the direction in which Vobile has cont inuously invested since its founding. These capabilities cannot be built in the short term, nor can they be bypassed. Over the past two decades, our strategic focus has remained consiste nt despite successive shifts in technology. As a leading global platform and service provi der for digital content asset protection and transactions, Vobile is committed to protectin g the value of creativity and achieving greater commercial value for content creators and right hol ders. Based on accumulated service expertise and advanced rights identification technologies, V obile has established a trusted data infrastructure for the industry; combined with innovative moneti sation and trading models, this enables more creators to profit from their creativity. Vobile has built a commercial engine for AI applications in the creator economy, providing serv ices to a broad community of creators. To meet the accelerated development of the indu stry, we have launched two major platforms: Vobile MAX ™ and DreamMaker ™, which entered full operation during the reporting period. Vobile MAX consolidates Vobile ’s core services on a single platform and serves as an essential part of content monetisation. DreamMaker, mean while, serves as a key platform for customer acquisition in the AI era, with content created th rough DreamMaker flowing into Vobile MAX for rights identification and monetisation. The two pl atforms are closely interconnected, forming a mutually reinforcing model of creation and monetisation. Vobile MAX represents the platform-level convergen ce of the rights identification, monitoring, and monetisation capabilities that Vobile has built up over two decades, and serves as a transaction platform for digital content assets. Combined wit h blockchain and Web3 technologies, the platform offers multi-source content aggreg ation, cross-platform revenue m anagement, and efficient rights identification for copyright assets. These functions are particularly evident in AI content services: the volume, generation speed, and complexity o f derivative creation brought about by AI far exceed those of the past, correspondingly raising the requirements for ri ghts identification and measurement. In contrast to traditional, cumber some copyright registration and distribution – 3 –
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management processes, Vobile MAX achieves right s identification at the point of creation and one- click registration for AI-native content, provid ing users with an open portal through which they can submit copyright monitoring and licensing reque sts directly, enabling fu lly automated, end-to- end copyright management. During the reporting p eriod, the Group began managing AI-native content, such as AI short dramas, as monetisabl e assets at scale, reflecting the continued acceleration of rights ide ntification and commercialisation for such content. These strengths in rights identification and measurement have m ade Vobile MAX a data platform trusted by both rights holders and investors. On this basis, w e completed the issuance of our first film and entertainment copyright cash flow RWA project under Hong Kong ’s compliance framework. DreamMaker is Vobile ’s core customer acquisition platform in the AI era. In the past, we acquired clients by engaging major rights holders individua lly. Today, the number of creators has increased by orders of magnitude, making individual engage ment increasingly difficult and creating a need for a platform that can bring creators together at scal e. To continue attracting creators to contribute high-quality content, we focused on three ke y initiatives during the reporting period: In terms of compute, we deepened cooperat ion on compute infrastructures in China ’se a s t e r n coastal provinces and advanced our compute project in Southeast Asia. In terms of foundation models, direct cooperation with leading technol ogy companies enabled the platform to integrate mainstream multimodal generative models, provi ding creators with conve nient access to video and audio creation tools. In terms of rights identif ication and monetisation, we embedded Vobile MAX’s rights identification, protec tion and profit attribution functi ons into the creation process, enabling creators to obtain proof of rights and ac cess to monetisation channels upon completing their works. We believe that, as compute and models become in creasingly accessible, simply providing access to compute is no longer sufficient to different iate a video creation pl atform. DreamMaker ’sv a l u e lies in the comprehensive rights identificatio n and monetisation system behind it. During the reporting period, platform compute service re venue from DreamMaker grew rapidly from zero to over 10 million USD. This revenue indicates that the platform has gained recognition among professional creators who continue to produce cont ent through it, validating its commercial model for attracting creators. During the reporting period, the two platforms wer e rolled out across multiple regions in parallel. In technologically advanced markets, we worked with leading compute infrastructure and foundation model ecosystem partners to promote t he commercial application of content licensing and revenue-sharing mechanisms. In key emergi ng markets, we provided end-to-end copyright protection and transaction services for major c ultural projects while deepening cooperation in compute and creator ecosystems. In markets with i nnovative regulatory fra meworks, we developed a Web3-based content asset distribution ecosystem under the applicable regulatory frameworks. The advancement of these regional initiatives ha s validated our technological capabilities and business model across different markets. – 4 –
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In the era of AI-generated content, the Group ’s growth horizons are rapidly expanding. Beyond the surging demand from emerging creator communiti es, the scope of services required by our existing client base continues to broaden. Our service c overage has extended beyond traditional film and entertainment to encompass short-form dramas, m usic, web literature derivatives, and gaming ecosystem governance. Furthermore, as our tracking granularity advances from the ‘‘title level ’’ down to the ‘‘element level ’’, the frequency of rights authentic ation required for a single piece of content has multiplied exponentially. Our strategic priorities are: 1. Seize strategic opportunities of AI an d expand our AI servi ce capabilities Technological advancements are revolutionising content generation and distribution. However, regardless of how content produc tion and distribution evolve, IP remains the core value of the film and entertainment industry, and the protecti on and transaction of creative content are the foundation of the industry value chain. By le veraging our proven service capabilities to deliver solutions for the creator economy in the AI era, Vobile is positioned to become a critical enabler for the commercialisation of advanced compute infra structures and large models. 2. Achieve scalability by upgradi ng to platform business and expanding services to include small and medium-siz ed content creators The rapid development of AI technology is signif icantly enhancing the influence of small and medium-sized content creators within the cr eative ecosystem. We are building a platform- based ecosystem to achieve scalable customer ac quisition and service delivery. By leveraging Web3 technologies, we aim to establ ish transparent rules, low-co st rights identification, and a precise profit attribution system. Furthermore, through digital asset transactions, we are improving asset liquidity and promoting a healt hy and sustainable development of the creator economy. 3. Establish a new paradigm for digital content as set distribution and deeply involved in the digital trade ecosystem The expansion of the global digital economy prese nts immense opportunities for digital trade. We are continuously optimising our cultural di gital asset trading platform and actively participating in the development of regional c ultural industry platforms. Furthermore, we are exploring integration mechanisms for ‘‘Culture + Technology ’’and fostering new business paradigms centered around ‘‘Culture + AI ’’. Leveraging our extensive practical experience in cross-regional copyright collab oration frameworks, we have de veloped comprehensive asset management capabilities that span multiple c ontent formats, including long- and short-form video, as well as music. Capitalising on our deep technological expertis e and rich resources, we are co-creating a vibrant ecosystem with our industry partners. Together, we aim to drive innovation in digital trade models and formats, u ltimately elevating the core competitiveness of the broader digital trade industry. – 5 –
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Leveraging its long-term accumu lation of technology and resour ces, Vobile has established a first-mover advantage in the digital cultural trade sector. Going forward, we will continue to solidify our global leadership in the industry, se ize opportunities presented by major industry transformations, and lead in t echnological innovation and busines s expansion. We remain fully committed to realising the vision and mission of ‘‘Making Creative More Valuable ’’. III. Our Business As the industry landscape continues to evolve, Vobi le, with IP at its core, provides clients with comprehensive digital content rights identificatio n and transaction solutions. During the reporting period, the Group continued to d eepen the synergy between its s ubscription and value-added services, and integrated AI capabilities into conte nt identification, operati onal decision-making, and the creation-to-transaction workflow, extendi ng our services from reactiv e copyright protection towards an end-to-end infrastructure that underpin s the entire lifecycle of content production and distribution. Our core business is p rimarily categorised as follows: . Subscription Services . Value-added Services Subscription Services Our subscription-based busin ess model delivers long-term, recurring services to the world ’s leading content providers and platforms. Vobile Group pr ovides clients with copyright monitoring, piracy detection, and copyright manageme nt services through its proprieta ry VDNA digital fingerprinting, watermarking, and multimodal ide ntification technologies. These se rvices are primarily delivered through periodic subscription and API-based usage- driven models, helping content owners quickly detect unauthorised use while also supporting plat form clients in content review, distribution management, and ecos ystem governance. On the basis of strengthening our subscription se rvices, the Group enhances the distribution efficiency and profitability of our clients ’ content through diversified solutions such as rights management and profit-sharing, channel operation s, content distribution, and creation trading, and generates revenue through profit -sharing, operational services, an d platform transactions. Based on the digital rights identification results, the Group continuously manages the distribution and monetisation of clients ’ authorized content on major global social media and video platforms, covering full-length works, clips, and various forms of derivative creation. At the same time, continuing the strategy of ‘‘category expansion + service upgrade of key customers ’’from 2024, we made substantial progress in n ew content categories, including short dramas, music, games, and major sporting events. (1) Short dramas: During the reporting period, the short drama platforms we serve covered close to 90% of the market ’s traffic entry points among standalone short drama apps, with a cumula tive total of over 60,000 titles brought under management, an average daily volume of over 6 million infringement leads processed, and an overall takedown success rate maintained above 95%. Our services have also extended to content production houses with an annual output capacity in t he thousands of titles and to leading, globally – 6 –
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revenue-generating short drama platforms expa nding overseas, creating coordinated coverage spanning domestic distribution and cross-borde r protection. (2) Music: The Group began serving multiple leading domestic music platforms dur ing the period, which together reach over 680 million monthly active users. The scope of our services has expanded fro m traditional audio infringement monitoring to also cover the identi fication of AI covers, A I adaptations, and AI- generated music. (3) Games: The Group extended its content monitoring capabilities to high- concurrency governance scenarios targeting grey - and black-market activ ity, covering complex chains including cheating plug-ins, scripts, pri vate-domain traffic diversion, and e-commerce- related black-market operations. Our cooperation with large platforms has also expa nded from single-categor y content protection to multiple business lines. Within the ecosystem of a leading short-video and content platform, our services now cover short dramas, music, and deriv ative content based on online literature IP; on a short-video platform with over 700 million monthl y active users, our services cover short dramas, music, livestreaming, and variety shows; and w e have continued to deepen cooperation with a number of leading long-form video, UGC, and co mmunity platforms. For a major sporting event project on a community platform with over 300 million monthly active users, we provided monitoring of live and on-demand content, unauthorised clip distr ibution, AI-driven derivative content, and re-posting on other overseas platf orms, in a high-concurrency environment where daily football-related content volume grew 27 t imes compared with the previous edition of the event. Through real-time identification and ra pid takedown, Vobile di rectly supported the platform ’s event copyright risk control and on-platfo rm ecosystem governan ce, safeguarding the stability of platform traffic and user experience under a daily influx of infringement leads in the millions, and validating the Group ’s ability to deliver reliably in c omplex derivative-content and sudden traffic spikes. As a result of the above, Vobile ’s subscription service revenue during the reporting period reached HK$718 million, representing a YoY increase of approximately 17.7%, and accounted for approximately 39.8% of total rev enue. As the number of platform clients, the scale of content assets, and the frequency of API calls continue to gr ow, the recurring, platform-based, and usage- driven characteristics of our subscription services are further reinforced. Value-added Services During the reporting period, newly signed clients pr imarily consisted of large-scale platforms, with API-based services acting as the primary driver of new revenue. Driven by a continuous influx of platform content, accelerated re lease cycles, and the rapid proliferation of AI-generated and derivative content, client dema nd for API calls-spanning conten t ingestion, scanning, matching, monitoring, and enforcement-has risen concurre ntly. This consumption-based model has deeply embedded the Group ’s services into the daily operational wo rkflows of these platforms, further strengthening the correlation between our re venue and the scale and usage frequency of our clients ’ content. – 7 –
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The proliferation of AI tools has transforme d secondary content creation, evolving it from rudimentary clipping and re-uploa ding to the element-level recons titution of char acters, scenes, logos, and audio. Consequently, th is drives a multiplied frequency o f identification, management, and monetization events for a single piece of cont ent. Major rights holders are increasingly demanding full visibility into how their IP is uti lised within AI-generated content, including its distribution scale and associated brand safety risks. To address this, the Group continuously monitors such content for our clients, deliveri ng comprehensive analytics reports that cover element-level identification, usage trends, and distribution metrics. These insights provide the foundational data layer for clients to formulate lic ensing and commercialisa tion strategies, while paving the way for equitable industry revenue- sharing mechanisms in the future. During the reporting period, several major international s tudio clients achieved an accelerated growth in claims revenue on platforms suc h as YouTube, driven by Vobile ’s rights management tools. Conversely, claims revenue generated through the platforms ’ native tools continued to decline. This divergence clearly demonstrates Vobile ’s superior capability in identifying highly complex derivative content and delivering tangible, incremental revenue for our clients. In terms of channel operations, the Group achieved robust growth in the first half of the year. As of the end of June 2026, cumulative views grew by roughly 11.4 b illion, and total subscribers expanded by approximately 12.6 million. During the reporting period, the Group recorde d its initial AI-related revenue driven by the DreamMaker and MAX platforms. This revenue prim arily consists of computing service revenue- generated by creators utilising multimodal m odels on our platforms-a longside monetization revenue derived from Vobile ’s rights management of these AI-g enerated assets. This milestone marks the transition of the Group ’s AI creation platforms from product development and user validation into early-stage commercialisation. While this revenue stream is still in its nascent stages, the Group will continue to optimise the creator ecosystem, expa nd model supply, and strengthen our commercial conversion capabilities. During the reporting period, the Group ’s revenue from value-added and other services was HK$1,087 million, representing a YoY increase of 2 8.5%, and accounted for approximately 60.2% of total revenue. The AI-driven surge in conten t supply, the monetizati on opportunities arising from element-level recreation, the deepening of par tnerships with top-tier clients, and the inaugural AI-related revenue generated by DreamMaker coll ectively constitute the growth engines for our value-added services. Sustained Strong Growth in Our Major Business Regions During the reporting period, we maintained coor dinated progress across our two core markets, China and the United States, drawing on our core ca pabilities in digital rights identification, content identification, and globa l platform operations, and tailoring our service offerings to the characteristics of each region ’s content industry. In both markets, our business has extended further from traditional film and entert ainment content to AI-generated c ontent, music, short dramas, and platform-level governance, while service effici ency has been enhanced through productisation and automation tools. – 8 –
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In the United States and other regions, the Group ’s integration with PEX progressed smoothly, with the music business rapidly becoming a reve nue contributor and an important driver of new client growth. As of the end of June 2026, the Gro up managed over 150 million music assets on behalf of music label clients. While continuing to deepen cooperation with major music labels, the Group is also working with leading global music streaming platforms to extend its services to content upload identification and ongoing monito ring. The AI music identification service added six new clients during the period, and a client campaign powered by the technology received one Silver Lion and three Bronze Lions at the 2026 Cann es Lions International Festival of Creativity, further validating the Group ’s technological capabilities and market recognition. The Group conducted AI content audits for multiple major ri ghts holders, identifying IP elements such as characters, scenes, logos, and a udio, and providing brand safety a nd distribution performance analysis. Revenue from the United States and ot her regions during the reporting period was HK$927 million, representing a YoY increase of 27.1%, and acc ounted for approximately 51.4% of total revenue. In Chinese Mainland, the Group further deepened its collaborations with top-tier short-form video, UGC, long-form video, music, and micro-drama plat forms. The platforms covered by our business boast a combined monthly active user (MAU) ba se exceeding 2.8 billion (based on a simple aggregation of public MAU data, without cross-pl atform deduplication). This reflects the Group ’s extensive penetration across major domestic dig ital content ecosystems. While consolidating our coverage of these primary platforms, the Group pl aced a strategic focus on facilitating the global expansion of digital content. We partnered with sta te-level media organisations to provide content processing, overseas distri bution, channel operations, and righ ts monetization services for over 26,000 programs. Furthermore, leveraging Dre amMaker and Vobile MAX, the Group partnered with the Wenzhou municipal government to co- build the Southern Zhejiang AI Content Creation and Communication Base. This hub integrates AI crea tion, rights protection, global operations, and digital content asset trading, marking a signif icant milestone as our plat form capabilities are officially implemented as foundational infrastruct ure for the regional digital cultural industry. Revenue from Chinese Mainland was HK$878 mill ion, representing a YoY increase of 20.9%, and accounted for approximately 48.6% of total revenue. Research and Development Vobile Group continues to build the technology infras tructure for digital content asset protection and transactions. Drawing on its globally leading patented technologies in di gital fingerprinting and watermarking and two decades of deep industry operational expertise, Vobile has built the world ’s largest authorised VDNA finger print database, and has extended content identification granularity from traditional title-level matchi ng to element-level ident ification of character likenesses, scenes, logos, audio, and music segmen ts, helping rights holders understand how their IP is generated content, adapted, distributed, and monetised. During the reporting period, the Group advanc ed the productisation of several AI-native operational tools, extending AI capabilities from c ontent identification to r ule configuration, data collection, and business decision-making. Scor ecard Copilot is built on a decision model and tagging framework that converts clients ’ rights enforcement rules into executable, traceable – 9 –
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structured models, and supports counterfactual sim ulation, enabling the potential business impact of rule changes to be assessed before they go liv e. Data Mining Copilot uses AI to automatically build, check, and maintain monitoring algorithms for piracy websites; productivity per engineer has increased by approximately 75%; and the a ssociated build and maintenance costs have decreased by approximately 50%. Intelligent Target Engine identifies high-value monitoring targets by combining content relevance, revenue potenti al, and compliance eligibility; its initial application to music content has increased the a verage revenue per claim to approximately three times that of the previous approach, reflecting the Group ’s continued improvement in the monetisation quality and unit economics of right s management alongside its gains in monitoring efficiency. In audio identification, the Group launched AI Son g Detector, a service built on the Model Context Protocol (MCP), which allows users to submit s ongs or albums via natural language instructions to determine whether the content was AI-generated or human-created, lowering the barrier to using professional-grade music identif ication technology. The service can also issue a certification mark for identified human-created music, helping creat ors, music distributors, and platforms disclose content provenance, verify th e authenticity of works, and car ry out compliance management. Through the MCP standard, AI song identification c apabilities can be more readily integrated into intelligent agents and clients ’ existing workflows, extending the Group ’s offering from single- instance identification results to an interactive, s calably deployable infrastructure for music content certification. The Group also continues to conduct research w ith universities and technology partners on artificial intelligence, rights i dentification, and industry applications. In Florida, the Group has strengthened AI technology exchange and talen t development through its participation in the University of Florida College of Engineering ’s Step-Up Program, its support for the university ’s hackathon (SwampHacks), and its col laboration with the Artificial In telligence Academic Initiative Center (AI 2) on activities such as AI Days. – 10 –
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FINANCIAL REVIEW Interim Condensed Consolidated Stat e m e n to fP r o f i to rL o s sH i g h l i g h t s Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Revenue 1,805,455 1,456,315 Gross profit 810,039 642,730 Profit before tax 234,481 126,872 Profit for the period 195,047 101,242 Non-IFRS Adjusted Net Profit 193,660 120,850 Non-IFRS Adjusted EBITDA 344,367 272,401 Non-IFRS Adjusted Net Profit Adjusted Net Profit is earnings before equity se ttled share compensation expenses, loss on derecognition of financial liabili ties measured at amortised cost, fa ir value changes and other one-off expenses. This is not a IFRSs measure. Adjusted net p rofit is presented exclusively as a supplemental disclosure because our Directors believe that it is widely used to measure the performance, and as a basis for valuation. The Group has presented this item because the Group considers it an important supplemental measure of the Group ’s operational performance used by the Group ’s management as well as analysts or investors. The following table sets forth a quantitative reconc iliation of Adjusted Net Profit to its most directly comparable IFRS measurement and profit for the period. Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Profit for the period 195,047 101,242 Add: Equity-settled share compensation expense 4,842 13,491 (Gain)/loss on derecognition of fi nancial liabilities measured at amortised cost (6,739) 2,445 Transaction costs for acquisition of business — 3,672 Fair value change on financial assets at FVTPL, net 510 — Adjusted Net Profit 193,660 120,850 – 11 –
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Non-IFRS Adjusted EBITDA Adjusted EBITDA is earnings before finance costs, f inance revenues, income taxes, depreciation and amortisation, equity settled share compensation expe nses, loss on derecognition of financial liabilities measured at amortised cost, fair value changes and other one-off or non-cash expenses. This is not a IFRSs measure. Adjusted EBITDA is presented exc lusively as a supplemental disclosure because our Directors believe that it is widely used to measure t he performance, and as a basis for valuation. Our Group has presented this item because our Group c onsiders it an important supplemental measure of our Group ’s operational performance used by our Group ’s management as well as analysts or investors. The following table sets forth a quantitative recon ciliation of Adjusted EBI TDA to its most directly comparable IFRS measurement and profit before tax. Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Profit before tax 234,481 126,872 Add: Equity-settled share compensation expense 4,842 13,491 Finance costs 41,007 35,491 Depreciation and amortisation 84,250 88,159 (Gain)/loss on derecognition of fi nancial liabilities measured at amortised cost (6,739) 2,445 Transaction costs for acquisition of business — 3,672 Fair value change on financial assets at FVTPL, net 510 — Impairment on trade receivables 1,470 4,163 Interest income (15,454) (1,892) Adjusted EBITDA 344,367 272,401 – 12 –
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Revenue The following table shows our r evenue breakdown by product: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Subscription services 717,878 609,902 Value-added and other services 1,087,577 846,413 Total revenue 1,805,455 1,456,315 Our revenue for the six months ended 30 June 2026 amounted to approximately HK$1,805 million, representing an increase of approximately HK$349 million, or approximately 24% as compared with the revenue for the six months ended 30 June 2025 of approximately HK$1,456 million. The increase was mainly attributed by (a) continued growth in our business in the US; and (b) the expansion of our business in the Chinese Mainland, driven by strategic and commercial partnerships. Gross profit and gross profit margin Our gross profit for the six months ended 30 Jun e 2026 amounted to approximately HK$810 million, representing an increase of approximately HK$167 million, or approximately 26% as compared with the six months ended 30 June 2025 of HK$643 million. Our gross profit margin increased from 44.1% for the six months ended 30 June 2025 to 44.9% for the six months ended 30 June 2026. Selling and marketing expenses Our selling and marketing expenses for the si x months ended 30 June 2026 amounted to approximately HK$240 million, representing an increase of approxi mately HK$47 million, or approximately 24.6% as compared with the six months en ded 30 June 2025 of HK$193 million. The increase was mainly due to the increase of sales and marketing initiatives during the period. Administrative expenses Our administrative expenses for the six mont hs ended 30 June 2026 amounted to approximately HK$128 million, representing an increase of approxi mately HK$15 million, or approximately 13.5% as compared with the six months ende d3 0J u n e2 0 2 5o fH K $ 1 1 3m i l l i o n . – 13 –
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Research and development expenses Our research and development expenses fo r the six months ended 30 June 2026 amounted to approximately HK$189 million, representing an increase of a pproximately HK$26 million, or approximately 15.4% as compared with the six months ended 30 June 2025 of HK$163 million. The increase was mainly due to the increase of research and development activities in the current period. Finance costs Finance costs mainly consisted of interest expenses on interest-bearing borr owings and convertible bonds of approximately HK$41 million (six months e nded 30 June 2025: HK$35 million) and interest expense on lease liabilities. Income tax expense Our income tax expense mainly comprised of deferr ed tax expense resulted from the utilisation of tax losses in the United States and tax expense in the Chinese Mainland. Profit for the period The profit for the six months ended 30 June 2026 amounted to approximately HK$195 million, representing an increase of approximately HK$94 mi llion, or approximately 92.7% as compared to the profit for the six months ended 30 June 2025 of approximately HK$101 million. Basic earnings per share for the six months e nded 30 June 2026 was approximately HK$0.0741 (six months ended 30 June 2025: HK$0.0442), and dilute d earnings per share for the six months ended 30 June 2026 was approximate ly HK$0.0696 (six months ende d 30 June 2025: HK$0.0412). Interim dividend The Board does not recommend the payment of an in terim dividend for the six months ended 30 June 2026. Interim condensed consolidated statem ent of financial position highlights 30 June 31 December 2026 2025 HK$’000 HK$’000 (Unaudited) (Audited) Total assets 6,490,692 6,262,715 Total liabilities 2,626,103 2,815,599 Net assets 3,864,589 3,447,116 Total equity 3,864,589 3,447,116 – 14 –
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Goodwill Our goodwill amounted to approximately HK$1, 343 million as at 30 June 2026, remained stable as compared to 31 December 2025 of HK$1,316 million. Goodwill is tested for im pairment periodically and no impairment loss is considered necessary as at 30 June 2026. Intangible assets Our intangible assets amounted to approximately HK$998 million as at 30 June 2026, representing an increase of approximately HK$151 million as com pared to 31 December 2025 of HK$847 million. The increase was mainly attributable to the addi tions of other intangible during the period. Interest-bearing borrowings As at 30 June 2026, the Group ’s interest-bearing borrowings am ounted to approximately HK$464 million as compared to approximately HK$401 m illion as of 31 December 2025. As at 30 June 2026, HK$401 million is repayable within one year, HK$ 7 million is repayable in the second year and HK$21 million is repayable in the third to five years and HK$35 million is repayable beyond five years. Convertible bonds On 24 May 2024, the Company i ssued convertible bonds in an ag gregate principal amount of HK$159,997,200 with an initial c onversion price of HK$1.87 per Share. The convertible bonds are convertible into shares of the Company. The convert ible bonds bear simple interest on their outstanding principal amount at the rate of 3% per annum, payabl e semi-annually in arrears, and will mature in the two years from the issue date. In December 2025, co nvertible bonds in an aggregate principal amount of HK$79,998,600 were converted into 42,780,000 Shar es. In February 2026, the remaining convertible bonds in an aggregate principal amount of HK$79 ,998,600 were converted in to 42,780,000 Shares. On 29 September 2025, the Company issued zero coup on convertible bonds in an aggregate principal amount of HK$1,600,000,000 with an initial convers ion price of HK$5.87 per Share. The convertible bonds are convertible into shares of the Company. The convertible bonds do not bear any interest and will mature in the one year from the issue date. As at 30 June 2026, convertible bonds with an aggregate principal amount of HK$44,000,000 were co nverted into 10,562,180 Shares and convertible bonds with an aggregate principal amount of HK $80,000,000 were repurchased by the Company. LIQUIDITY AND CAPITAL RESOURCES Working capital As of 30 June 2026, our cash and cash equivalent s amounted to approximately HK$896 million, representing a decrease of HK$261 million as c ompared to 31 December 2025 of approximately HK$1,157 million. As at 30 June 2026, our current rat io, which is equivalent to the current assets divided by the current liabilities, was 1.3 tim es as compared with 1.2 times at 31 December 2025. – 15 –
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MATERIAL EVENTS AFTER THE REPORTING PERIOD No significant events of the Group took place subs equent to 30 June 2026 and up to the date of this announcement. The Board is pleased to announce the un audited condensed consolidated financial results of the Group for the six months ended 30 June 2026 together with the comparative figures for the six months ended 30 June 2025 as set out below. INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS For the six months ended 30 June 2026 Six months ended 30 June 2026 2025 Notes HK$’000 HK$’000 (Unaudited) (Unaudited) REVENUE 4 1,805,455 1,456,315 Cost of services provided (995,416) (813,585) Gross profit 810,039 642,730 Other income and gains 4 29,523 13,232 Selling and marketing expenses (240,432) (193,005) Administrative expenses (127,899) (112,716) Research and development expenses (188,645) (163,441) Finance costs 6 (41,007) (35,491) Other expenses (7,098) (24,437) PROFIT BEFORE TAX 5 234,481 126,872 Income tax expense 7 (39,434) (25,630) PROFIT FOR THE PERIOD 195,047 101,242 Attributable to: Owners of the Company 191,020 102,344 Non-controlling interests 4,027 (1,102) 195,047 101,242 EARNINGS PER SHARE ATTRIBUTABLE TO OWNERS OF THE COMPANY Basic — for profit for the period (HK$) 9 0.0741 0.0442 Diluted — for profit for the period (HK$) 9 0.0696 0.0412 – 16 –
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INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME For the six months ended 30 June 2026 Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) PROFIT FOR THE PERIOD 195,047 101,242 OTHER COMPREHENSIVE INCOME Other comprehensive income that may be reclassified to profit or loss in subsequent periods: Exchange differences on translation of foreign operations 108,157 73,863 OTHER COMPREHENSIVE INCOME FOR THE PERIOD, NET OF TAX 108,157 73,863 TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 303,204 175,105 Attributable to: Owners of the Company 292,156 171,426 Non-controlling interests 11,048 3,679 303,204 175,105 – 17 –
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INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at 30 June 2026 30 June 2026 31 December 2025 Notes HK$’000 HK$’000 (Unaudited) (Audited) NON-CURRENT ASSETS Property, plant and equipment 261,522 58,218 Investment properties 10 106,998 103,109 Right-of-use assets 16,878 24,121 Goodwill 1,342,972 1,315,908 Other intangible assets 998,425 847,378 Financial assets at fair va lue through profit or loss 11 425,748 418,400 Deferred tax assets 3,784 3,463 Prepayments and deposits 169,930 190,596 Total non-current assets 3,326,257 2,961,193 CURRENT ASSETS Inventories 1,995 3,095 Trade receivables 12 1,914,563 1,753,741 Prepayments, deposits and other receivables 319,194 361,595 Tax recoverable 21,966 15,993 Restricted cash 10,240 10,050 Cash and cash equivalents 896,477 1,157,048 Total current assets 3,164,435 3,301,522 CURRENT LIABILITIES Trade payables 13 404,316 515,621 Other payables and accruals 184,185 191,862 Interest-bearing borrowings 401,468 342,257 Lease liabilities 8,162 8,796 Tax payable 51,263 47,754 Convertible bonds 14 1,438,427 1,608,554 Total current liabilities 2,487,821 2,714,844 NET CURRENT ASSETS 676,614 586,678 TOTAL ASSETS LESS CURRENT LIABILITIES 4,002,871 3,547,871 – 18 –
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30 June 2026 31 December 2025 Notes HK$’000 HK$’000 (Unaudited) (Audited) NON-CURRENT LIABILITIES Other payables 11,192 — Interest-bearing borrowings 62,350 58,749 Lease liabilities 9,391 13,129 Deferred tax liabilities 55,349 28,877 Total non-current liabilities 138,282 100,755 Net assets 3,864,589 3,447,116 EQUITY Equity attributable to owners of the Company Share capital 15 511 501 Treasury shares 15 (13,870) (4,123) Equity component of convertible bonds 20,712 26,991 Reserves 3,628,042 3,205,601 3,635,395 3,228,970 Non-controlling interests 229,194 218,146 Total equity 3,864,589 3,447,116 – 19 –
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NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION 1. CORPORATE INFORMATION The Company was incorporated as an exempted company w ith limited liability in the Cayman Islands on 28 July 2016 under the Companies Law, Chapter 22 of the Cayman Islands. The registered address of the office of the Company is Cricket Square, Hutchins Drive, P.O. Box 2681, Grand Cayman KY1-1111, Cayman Islands. The Company is an investment holding company. During the period, the Group was principally engaged in the business of providing platforms and services for d igital content assets protection and transactions. 2. BASIS OF PREPARATION AND CHANGES TO THE GROUP ’S ACCOUNTING POLICIES 2.1 Basis of Preparation The interim condensed consolidated financial statements for the six months ended 30 June 2026 have been prepared in accordance with IAS 34 Interim Financial Reporting and the applicable disclosure provisions of the Listing Rules. The accounting policies and basis of pre paration adopted in the preparation of the condensed consolidated interim financial statements are the same as those used in the preparation of the annual financial statements for the year ended 31 December 2025. The interim condensed consolidated financial information are presented in Hong Kong dollar ( ‘‘HK$’’) and all values are rounded to the nearest thousand (HK$ ’000) except when otherwise indicated. 2.2 Changes In Accounting Policies and Disclosures The accounting policies adopted in the preparation of the in terim condensed consolidated financial information are consistent with those applied in the preparation of the Group ’s annual consolidated financial statements for the year ended 31 December 2025, except for the adoption of the following revised standard for the first time for the current period ’s financial information. Amendments to IFRS 9 and IFRS 7 Amendments to th e Classification and Measurement of Financial Instruments Amendments to IFRS 9 and IFRS 7 Contracts Referencing Nature-dependent Electricity Annual Improvements to IFRS Accounting Standards — Volume 11 Amendments to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7 The revised standards and amendments are not expected to have a material impact on the Group ’si n t e r i m condensed consolidated financial information. 3. OPERATING SEGMENT INFORMATION For management purposes, the Group had only one reportable operating segment, which was offering services to help content owners protect their content from unauthorised use, measure the viewership of their content, and monetize their content during the period. Since this is the only repor table operating segment of the Group, no further operating segment analysis is presented. – 20 –
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Geographical information (a) Revenue from external customers Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Chinese Mainland 878,149 726,565 United States 862,786 725,042 Other countries/regions 64,520 4,708 1,805,455 1,456,315 The revenue information above is base d on the locations of the customers. (b) Non-current assets 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Chinese Mainland 1,894,867 1,714,826 United States 775,755 775,164 Other countries/regions 226,103 49,340 2,896,725 2,539,330 The non-current asset information above is based on the locations of the assets and excludes financial instruments and deferred tax assets. Information about major customers Revenue derived from sales to major customers, includi ng sales to a group of entities which are known to be under common control with those customers, which accounted for 10% or more of the Group ’s revenue for the six months ended 30 June 2026 is as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Customer A 202,153 200,011 Customer B — * 160,804 * Revenue derived from this customer did not exceed 10% of the Group ’s revenue for the period. – 21 –
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4. REVENUE, OTHER INCOME AND GAINS Revenue represents the value of services rendered during the period. An analysis of revenue and other income and gains is as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Revenue from contracts with customers Rendering of services 1,805,455 1,456,315 Other income and gains Bank Interest income 15,454 1,892 Gain on derecognition of financial lia bilities measured at amortised cost 6,739 — Foreign exchange gains — 2,593 Other 7,330 8,747 29,523 13,232 – 22 –
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5. PROFIT BEFORE TAX The Group ’s profit before tax is arrived at after charging/(crediting): Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Cost of services provided 995,416 813,585 Employee benefit expense (including Directors ’ and chief executive ’s remuneration) Wages and salaries 110,397 99,257 Equity-settled share compensation expense 4,842 13,491 Directors ’ fee 1,501 1,797 Other benefits 5,883 5,698 Pension scheme contributions 3,723 3,481 126,346 123,724 Depreciation of items of property, plant and equipment 14,265 12,275 Depreciation of right-of-use assets 1,289 7,648 Amortisation of intangible assets 68,696 68,236 Lease payments not included in the measurement of lease liabilities 1,772 930 Impairment of trade receivables 1,470 4,163 Research and development expenses 188,645 163,441 Auditor ’s remuneration 2,500 2,400 Bank interest income (Note 4) (15,454) (1,892) (Gain)/loss on derecognition of financi al liabilities measured at amortised cost (6,739) 2,445 Changes in fair value of financial assets at FVTPL, net 510 — Foreign exchange differences, net 2,696 13,017 * There are no forfeited contributions that may be used by the Group as the employer to reduce the existing level of contributions. – 23 –
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6. FINANCE COSTS An analysis of finance costs is as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Interest on borrowings (including convertible bonds) 40,609 34,991 Nominal interest on lease liabilities 398 500 41,007 35,491 7. INCOME TAX EXPENSE Income tax consists primarily of United States, Chinese M ainland, Hong Kong and Japan enterprise income tax charged on the Group. United States income tax applicab le to the Group is charged at the federal tax rate of 21% (2025: 21%) for the six months ended 30 June 2026. The inc ome tax applicable to profits arising in Hong Kong was provided at a statutory tax rate of 16.5% during the six months ended 30 June 2026. The income tax applicable to profits arising in Chinese Mainland was provided at a statutory tax rate of 25% during the six months ended 30 June 2026 except for certain subsidiaries of the Group in Chinese Mainland, that were accredited as a ‘‘High and New Technology Enterprise ’’and entitled to a preferential rate is 15%. Tax es on profits assessabl e elsewhere have been calculated at the rates of tax prevailing in the jurisdictions in which the Group operates. The major components of income tax expense for the six months ended 30 June are as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Current — United States Charge for the period — 25 Current — Chinese Mainland Charge for the period 9,175 16,414 Deferred tax expense 30,259 9,191 Total tax expense for the period 39,434 25,630 – 24 –
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8. INTERIM DIVIDEND The Board does not recommend payment of any dividend for the period ended 30 June 2026 (2025: Nil). 9. EARNINGS PER SHARE ATTRIBUTABLE TO OWNERS OF THE COMPANY The calculation of the basic earnings per share amounts is based on the profit for the period attributable to owners of the Company, and the weighted average number of ordinary shares of 2,578,550,560 (2025: 2,317,349,733) in issue during the period. The calculations of earnings per share attributable to owners of the Company for each of the six months ended 30 June 2026 and 2025 are based on the following data: Six months ended 30 June 2026 2025 HK$’000 HK$’000 (Unaudited) (Unaudited) Profit Profit attributable to owners of the Company, used in the basic and diluted earnings per share calculation 191,020 102,344 Interest on convertible bonds 33,693 7,211 Profit attributable to owners of the Company before interest on convertible bond 224,713 109,555 Shares Weighted average number of ordinary shares in issue during the period used in the basic earnings per share calculation 2,578,550,560 2,317,349,733 Effect of dilution — Weighted average number of ordinary shares Share options 167,786,823 168,070,000 Convertible bonds 82,992,712 113,250,608 Weighted average number of ordinary shares for the purpose of diluted earnings per share calculation 2,829,330,095 2,598,670,341 * Because the diluted earnings per share amount is increased when taking convertible bonds into account, the convertible bonds had an anti-dilutive effect on basic earnings per share for the period and were ignored in the calculation of diluted earnings per share. Therefore, the diluted earnings per share amounts are based on the profit for the period of HK$191,020,000 (2025: HK$102,344,000) and the weighted average number of ordinary shares of 2,746,337,383 (2025: 2,485,419,733) in issue during the six months ended 30 June 2026 which excluded the interest on the convertible bonds of HK$33,693,000 (2025: HK$7,211,000) and the weighted average number of ordinary shares of 82,992,712 (2025: 113,250,608) from convertible bonds. – 25 –
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10. INVESTMENT PROPERTIES HK$’000 (Unaudited) Carrying amount at 1 January 2026 103,109 Exchange realignment 3,889 Carrying amount at 30 June 2026 106,998 The Group ’s investment properties consist of commercial properties under construction in the Chinese Mainland. The investment properties will be held to earn rentals and for capital appreciation after completion, are measured using the fair value model, and are classified and accounted for as investment properties. 11. FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Call option, at fair value 162,557 156,648 Other unlisted investments, at fair value 263,191 261,752 425,748 418,400 The above equity investments were classified as financial assets at FVTPL as the Group has not elected to recognise the fair value gain or loss through other comprehensive income. The above unlisted investments were asset management schemes managed by bank and non-bank financial institutions. The above call option is a derivative financial instrument which allows the Group, at the Group ’s discretion, to acquire the remaining 38.82% in Particle Technology at consideration of RMB542 million in steps in 2027. 12. TRADE RECEIVABLES 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Trade receivables 1,962,363 1,800,071 Impairment (47,800) (46,330) 1,914,563 1,753,741 The Group ’s trading terms with its debtors are usually 10 to 180 d ays. The Group always recognises lifetime ECLs for all trade receivables and measures the lifetim e ECL on a specific basis according to management ’s assessment of the recoverability of an individual receivabl e. Management considers the number of d ays that an individual receivable is outstanding, historical experience and forward-looking information to determine th e recoverability of the trade receivable. The Group does not hold any collateral or other credit enhancements over its trade receivables balances. Trade receivables are unsecured and non-interest-bearing. – 26 –
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An ageing analysis of the current trade receivables as at the end of the reporting period, based on the invoice date and net of loss allowance, is as follows: 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Within 1 year 1,631,929 1,505,863 1t o2y e a r s 261,001 235,023 2t o3y e a r s 21,633 12,855 1,914,563 1,753,741 The movements in loss allowance for impair ment of trade receivables are as follows: 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) At beginning of period/year 46,330 19,540 Impairment of trade receivables, net 1,470 26,790 At end of the period/year 47,800 46,330 An impairment analysis is performed at e ach reporting date using a provision matrix to measure expected credit losses. The provision rates are based on days past due for groupings o f various customer segments with similar loss patterns (i.e., by geographical region, product type, customer type and rating, and coverage by letters of credit or other forms of credit insurance). The calculatio n reflects the probability-weighted outcome, the time value of money and reasonable and supportable information that is available at t he reporting date about past events, current conditions and forecasts of future economic conditions . Generally, trade receivables are written off if past due for more than one year and are not subject to enforcement activity. – 27 –
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Set out below is the information about the credit risk exposure on the Group ’s trade receivables using a provision matrix: As at 30 June 2026 Past due Current or less than 1y e a r 1t o2 years 2t o3 years Over 3 years Total Expected credit loss rate 1.14% 9.52% 40.54% 100.00% 2.44% Gross carrying amount (HK$ ’000) 1,774,851 162,923 20,973 3,616 1,962,363 Expected credit losses (HK$ ’000) 20,165 15,516 8,503 3,616 47,800 As at 31 December 2025 Past due Current or less than 1y e a r 1t o2y e a r s 2t o3y e a r s Over 3y e a r s T o t a l Expected credit loss rate 0.72% 8.51% 39.48% 100.00% 2.57% Gross carrying amount (HK$ ’000) 1,516,793 256,893 21,242 5,143 1,800,071 Expected credit losses (HK$ ’000) 10,930 21,870 8,387 5,143 46,330 – 28 –
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13. TRADE PAYABLES An ageing analysis of the trade payables as at the end of the reporting period, based on the invoice date, is as follows: 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Within 1 year 404,316 515,621 The trade payables are non-interest-bearin g and are normally settled on within 1 year terms. 14. CONVERTIBLE BONDS On 24 May 2024, the Company issued convertible bonds in an aggregate principal amount of HK$159,997,200 with an initial conversion price of HK$1.87 pe r Share. The convertible bo nds are convertible into shares of the Company. The convertible bonds bear simple interest on their outstanding principal amount at the rate of 3% per annum, payable semi-annually in arrears, and will mature in the two years from the issue date. In December 2025, convertible bonds in an aggregate principal amount of HK$79,998,600 were converted into 42,780,000 Shares. In February 2026, the remaining convertible bonds in an aggregate principal amount of HK$79,998,600 were converted into 42,780,000 Shares. On 29 September 2025, the Company issued zero coupon convertible bonds in an aggregate principal amount of HK$1,600,000,000 with an initial conversion price of HK$5.87 per Share. The convertible bonds are convertible into shares of the Company. In 2025, convertible bonds with an aggregate principal amount of HK$18,000,000 were converted into 3,066,439 Shares. During the six months ended 30 June 2026, convertible bonds with an aggregate principal amount of HK$44,000,000 were converted into 7,495,741 Shares and convertible bonds with an aggregate principal amount of HK$80,000,000 were repurchased by the Company. The fair value of the liability component w as estimated at the issuance date using a n equivalent market interest rate for a similar bond without a conversion option. The residual amount is assigned as the equity component and is included in shareholders ’ equity. The convertible bonds issued have been split into the liability and equity components as follows: 2026 2025 HK$’000 HK$’000 Liability component at 1 January 1,608,554 205,984 Nominal value of convertible bonds issued during the year — 1,755,800 Direct transaction costs attributable to the liability component — (45,239) Equity component — (40,465) Liability component at issuance date 1,608,554 1,876,080 Interest expense 33,693 24,768 Interest paid (460) (4,324) Redemption of convertible bonds (80,297) — Conversion of convertible bonds (122,928) (288,489) Exchange realignment (135) 519 Liability component at the end of the reporting period 1,438,427 1,608,554 Current portion (1,438,427) (1,608,554) Non-current portion — — – 29 –
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15. SHARE CAPITAL 30 June 2026 31 December 2025 HK$’000 HK$’000 (Unaudited) (Audited) Issued and fully paid (US$0.000025 per share): 2,594,310,836 (31 December 2025: 2,543,700,095) ordinary shares 511 501 A summary of movements in the Company ’ss h a r ec a p i t a li sa sf o l l o w s : Number of shares in issue Share capital Number of treasury shares Treasury shares Number of treasury shares for the Plan Treasury shares for the Plan HK$’000 HK$ ’000 HK$ ’000 At 1 January 2026 2,543,700,095 501 1,445,000 (3,427) 327,623 (696) Share repurchased for share award plan (a) ———— 4,321,000 (12,523) T r a n s f e r r e dd u r i n gt h e period for share a w a r dp l a n( a ) ———— (717,780) 2,776 Issue of shares upon conversion of convertible bonds (b) 50,275,741 10 ———— Exercise of share options (c) 335,000 ————— At 30 June 2026 2,594,310,836 511 1,445,000 (3,427) 3,930,843 (10,443) Notes: (a) On 6 May 2019, the Board adopted a 10-year share award plan (the ‘‘Plan ’’) to incentivise, recognise and reward the contributions of certain eligible persons ( ‘‘Eligible Persons ’’) to the growth and development of the Group. Pursuant to the Plan, the ordinary shares of US$0.00 0025 each in the capital of the Company will be acquired by the trustee at the cost of the Company and will be held in trust for the Eligible Persons before vesting. The total number of shares granted under the Plan shall be lim ited to 10% of the total issued share capital of the Company. The Board has delegated the power and authority to a tru stee to handle operational matters of the Plan but all major decisions in relation to the Plan shall be made by the Board unless expressly provided for in the Plan rules pursuant to the Plan or the Board resolves to delegate such power to the trustee. Pursuant to the Plan rules, the Board may, from time to time, at its absolute discretion and subject to such terms and conditions as it may think fit, select any participant s for participation in the Plan as Eligible Persons and determine the number of awarded shares. During the six months ended 30 June 2026, 4,321,000 Shares were purchased by the trustees and 717,780 Shares were granted and transferred under the Plan. The purch ase of shares by a trustee for settlement of awards under the Plan are referred to as ‘‘treasury shares for the Plan ’’and included in ‘‘treasury shares ’’in the consolidated statement of financial position. (b) During the six months ended 30 June 2026, convertible bonds with an aggregate principal amount of HK$79,998,600 and HK$44,000,000 with an initial conversion price of HK$1.87 and HK$5.87 per Share, respectively, were converted into 42,780,000 and 7,495,741 Shares, respectively. (c) During the six months ended 30 June 2026, the subscription rights attaching to 250,000 and 85,000 share options were exercised at the subscription price of HK$0.875 and HK$2.18 per share, respectively, resulting in the issue of 335,000 shares for a total cash consideration, before expenses, of HK$404,000. An amount of HK$187,000 was transferred from the share compensation reserve to share capital upon the exercise of the share options. – 30 –
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OTHER INFORMATION Significant investments, a cquisitions and disposals During the six months ended 30 June 2026, we did not have any other significant investment and any material acquisition or disposal. Capital expenditures Our capital expenditures were primarily for expendi tures for purchase of prope rty, plant and equipment and intangible assets. The amoun t of our capital expenditures for the six months ended 30 June 2026 was approximately HK$371 million. Contingent liabilities, off bal ance sheet commitments and arrangements and pledge of assets As of 30 June 2026 and the date of this announcemen t, we did not have (i) any material contingent liabilities or guarantees, (ii) any l iabilities under acceptance trade re ceivables or acceptable credits, debentures, mortgages, charges, finance leases or hire purchase commitmen ts, guarantee material covenants, or other material conti ngent liabilities, or (iii) any mate rial off-balance sheet arrangements. Foreign exchange exposure In light of the nature of our business, we are exposed to various foreign curre ncies, among which, USD and RMB are mostly used apart from HK$. To minimise t he impact of foreign currency rate volatility, we monitor foreign currency risk at operational leve l closely on an ongoing basis to ensure that the net exposure is at an acceptable level. The Company di d not use any financial instruments for hedging purposes for the period. Gearing ratio Our Group monitors capital using gearing ratio, w hich is net external debt divided by the capital (equity attributable to owners of the Company) plus net debt. Net debt includes convertible bonds and interest-bearing borrowings, l ess cash and cash equivalents. As of 30 June 2026, our gearing ratio, calculated as net debt divided by the equity attri butable to owners of the Company plus net debt, was 21% as compared with 21% as at 31 December 2025. – 31 –
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Use of proceeds from issue of convertible bonds and placement of shares On 29 September 2025, the Company issued conve rtible bonds in the aggregate principal amount of HK$1,600 million, raising net proceeds of HK$1, 560 million. As at 30 June 2026, the Company has utilised HK$1,172 million of the net p roceeds as intended. The table be low sets out the details of actual usage of the net proceeds as at 30 June 2026. Intended use of proceeds Initial intended allocation Net proceeds utilised during t h ey e a re n d e d 31 December 2025 Unutilised net proceeds as at 31 December 2025 Net proceeds utilised during the six months ended 30 June 2026 Unutilised net proceeds as at 30 June 2026 Expected timeline of full utilisation (HK$ million) (HK$ million) (HK$ million) (HK$ million) (HK$ million) Development and investment of AIGC and RWA related business 783 104 679 291 388 Before the end of 2027 Repayment of interest-bearing borrowings 470 470 ——— N/A General working capital 307 307 ——— N/A 1,560 881 679 291 388 EMPLOYEE AND REMUNERATION POLICY As at 30 June 2026, we employed a total of 581 staf f (as at 31 December 2025: 579 staff). Salaries, bonuses and benefits are determined with reference t o market terms and performance, qualifications and experience of each individual employee, an d are subject to review from time to time. The remuneration of the Directors is reviewed b y the Remuneration Committee and approved by the Board. The relevant Director ’s experience, duties and responsibil ities, time commitment, the Company ’s performance and the prevailing m arket conditions are taken into cons ideration in determining the emolument of the Directors. The total remuneration cost incurred by the G roup for the six months ended 30 June 2026 was approximately HK$126 millio n (for the six months ended 30 June 2025: HK$124 million). The Company also adopted a Share Option Scheme and a Share Award Plan. – 32 –
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CORPORATE GOVERNANCE PRACTICE The Board is committed to maintaining high corpora te governance standards. The Board believes that good corporate governance standar ds are essential in providing a fra mework for the Group to formulate its business strategies and policies, and to enhanc e its transparency and accountability. During the six months ended 30 June 2026, the Company has applied the principles as set out in Part 2 of the CG Code which are applicable to the Company. In the opinion of the Directors, during the six m onths ended 30 June 2026, the Company has complied with all applicable code provisions as set out in the CG Code, save and except for code provision C.2.1. Code provision C.2.1 of the CG Code states that the roles of chairman and chief executive officer should be separate and should not be perfo rmed by the same individual. Mr. Yangbin Bernard WANG is both our Chairman and Chief Executive O fficer, and is respons ible for the overall management of our Group and directing the strate gic development and business plans of our Group. We believe Mr. Wang is instrumental to our growth and business expansion since our establishment in 2005. Our Board considers that the roles of chairman and chief executive officer being vested in the same person is beneficial to the bus iness prospects, management and overall strategic direction of our Group by ensuring consistent leadership within our Gr oup and facilitating more effective and efficient overall strategic planning and decision-making fo r our Group. In addition, the Board meets regularly to consider major matters affecting the operations of the Group and all Directors are properly and promptly briefed on such matters with adequate, com plete and reliable information. In addition, under the supervision of the Board which is comprised of two executive Directors, two non-executive Directors and three independent non-executive Dir ectors as at the date of this announcement, the Board is appropriately structured with balance of power to provide sufficient checks to protect the interests of the Company and its shareholders. After considerin g all the corporate governance measures that have been taken, the Board considers that the balance o f power and authority will not be impaired by the present arrangement and the current structure will enable the Company to make and implement decisions more promptly and effectively. Thus, t he Company does not segregate the roles of Chairman and Chief Executive Officer. MODEL CODE FOR SECURITIES TRANSACTIONS The Company has adopted the Model Code as its code of c onduct regarding securi ties transactions by the Directors. The Company has also set guidelines, at least as strict as the Model Code, on transactions of the Company ’s securities for relevant employees (as defined in the Listing Rules). The Company has made specific inquiries to all Dire ctors about their compliance with the Model Code, and they all confirmed that they complied with the standards specified in the Model Code during the six months ended 30 June 2026. The Company has made s pecific inquiries of relevant employees about their compliance with the guidelines on transactions of the Company ’s securities, without noticing any violation of the guidelines. – 33 –
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PURCHASE, SALE OR REDEMPTION OF THE COMPANY ’S LISTED SECURITIES During the six months ended 30 June 2026, neithe r the Company nor any of its subsidiaries has purchased, sold or redeemed any of the Company ’s listed securities (including sale of treasury shares). For details of the repurchase of convertible bonds, please refer to the section headed ‘‘Convertible bonds ’’in this announcement. REVIEW OF INTERIM RESULTS The Audit Committee comprises thr ee independent non-executive Directors, namely, Mr. KWAN Ngai Kit, Mr. Alfred Tsai CHU and Mr. Charles Eric EES LEY. The chairman of the Audit Committee is Mr. KWAN Ngai Kit. Mr. KWAN Ngai Kit has appropriate pr ofessional qualificati ons and experience in financial matters. The primary duties of the audi t committee are to review, supervise, and assist our Board in providing an independent view of, our financ ial reporting processes, and internal control and risk management systems, as well as to oversee th e audit process, review our annual and interim financial statements, provide advice and comme nts to the Board on matters related to corporate governance, and perform other dut ies and responsibilities as assi gned by our Board from time to time. The interim condensed consolidated financial inf ormation is unaudited, but the Audit Committee has reviewed the unaudited interim results of the G roup for the six months ended 30 June 2026 and was of the opinion that the preparation of such interim r esults had been prepared in accordance with the relevant accounting standards and that adequate disclosures have been made in accordance with the requirements of the Listing Rules. PUBLICATION OF INTERIM RESULTS ANNOUNCEMENT AND INTERIM REPORT This interim results announcement is publishe d on the websites of the Hong Kong Stock Exchange (www.hkexnews.hk) and the Company (www.vobile group.com). The Company will publish the 2026 interim report containing all the information as req uired by the Listing Rules and make available on the above websites in due course. DEFINITIONS In this announcement, unless the cont ext otherwise requires, the follo wing expressions shall have the following meanings: ‘‘AI’’ artificial intelligence ‘‘AIGC ’’ artificial intelligence generated content ‘‘Audit Committee ’’ the audit committee of the Company ‘‘Board ’’ the board of Directors ‘‘CG Code ’’ the corporate governance code as se t out in Appendix C1 to the Listing Rules – 34 –
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‘‘Company ’’ Vobile Group Limited, an exempted c ompany incorporated with limited liability under the laws of the Caym an Islands and the shares of which are listed on the Stock Exchange ‘‘Directors ’’ the directors of the Company ‘‘EBITDA ’’ earnings before interest, tax, depreciation and amortisation ‘‘FVTPL ’’ fair value through profit or loss ‘‘Group ’’ the Company and its subsidiaries ‘‘HKD’’or ‘‘HK$’’ Hong Kong dollars, the lawful currency of Hong Kong ‘‘Hong Kong ’’ the Hong Kong Special Administrative Region of the People ’s Republic of China ‘‘IAS’’ International Accounting Standards ‘‘IFRS ’’ International Financial Reporting Standards ‘‘IP’’ Intellectual property ‘‘Listing Rules ’’ the Rules Governing the Listing of Securities on the Stock Exchange ‘‘Model Code ’’ the Model Code for Securities Trans actions by Directors of Listed Issuers as set out in Appendix C3 to the Listing Rules ‘‘Mr. Wang ’’ Mr. Yangbin Bernard WANG ‘‘Particle Technology ’’ Hangzhou Particle Culture Technology Co., Ltd. and its subsidiaries and Hangzhou New Particle Cultu re Technology Co., Ltd. and its subsidiaries ‘‘PRC’’or ‘‘Chinese Mainland ’’ the People ’s Republic of China. For the pu rposes of this announcement only and except where the context re quires otherwise, excludes Hong Kong, Macau and Taiwan ‘‘Share Option Scheme ’’ the share option scheme of the Com pany adopted on 8 December 2017 ‘‘RMB’’or ‘‘Renminbi ’’ the lawful currency of the PRC ‘‘RWA’’ Real-world assets ‘‘Share(s) ’’ ordinary share(s) of US$0.000025 each in the share capital of the Company – 35 –
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‘‘Share Award Plan ’’ The share award plan adopted by the Company on 6 May 2019, as a m e n d e df r o mt i m et ot i m e ‘‘Stock Exchange ’’ The Stock Exchange of Hong Kong Limited ‘‘USD’’or ‘‘US$’’ the lawful currency of the United States ‘‘YoY’’ Year-on-year ‘‘1H 2025 ’’ six months ended 30 June 2025 By Order of the Board Vobile Group Limited Yangbin Bernard Wang Chairman Hong Kong, 28 August 2026 As at the date of this announcement, the board of directors of the Company comprises Mr. Yangbin Bernard WANG and Mr. Benjamin Russell Smith as executive directors; Ms. C HAN, Laverna Jun Lin and Mr. TANG Yi Hoi Hermes as non- executive directors; and Mr. Alfred Tsai CHU, Mr. Charles Eric EESLEY and Mr. KWAN Ngai Kit as independent non- executive directors. This announcement contains forward-looking statements relating to the business outlook, estimates of financial performance, forecast business plans and growth strategies of the Group. These forward-looking statements are based on information currently available to the Group and are sta ted herein on the basis of the outlook at the time of this announcement. They are based on certain expectations, assumptions and premises, some of which are subjective or beyond our control. These forward-looking statements may prove to be incorrect and may not be realised in the future. Underlying these forward-looking statements are a lot of risks and uncerta inties. In light of the risks and unc ertainties, the inclusion of forward-looking statements in this announcement should not be regarded as representations by the Board or the Company that the plans and objectives will be achieved, and investors should not place undue reliance on such statements. – 36 –