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Vietbeauty & Cosmobeauté Vietnam 2025 co-locate with Beautycare Plus: Vietnam’s Leading and Well-Recognized Beauty Trade Event Returns to Ho Chi Minh City

HO CHI MINH CITY, Vietnam, April 1, 2025 /PRNewswire/ — The premier international beauty trade show, Vietbeauty & Cosmobeauté Vietnam 2025, and Beautycare Plus are set to take place at the Saigon Exhibition and Convention Center (SECC), 799 Nguyen Van Linh, Tan Phu Ward, District 7. This highly anticipated expo will bring together over 3,000 leading global brands from 700 exhibitors, and an expected 12,500 visitors across 17,600 sqm exhibition space. The exhibition unites beauty professionals and industry experts in one place, at the same time, to discover the latest innovations and trends shaping the beauty sector.

Vietbeauty & Cosmobeauté Vietnam 2025 co-locate with Beautycare Plus
Vietbeauty & Cosmobeauté Vietnam 2025 co-locate with Beautycare Plus

The exhibition spans four key categories: Cosmetic & Perfumery, showcasing skincare, makeup, body care, fragrances; Aesthetic & Cosmetology, featuring medical aesthetics, spa and salon innovations; Supply Chain, covering raw materials, production machinery, and packaging; and Nail & Hair, highlighting hair care, styling tools, and nail artistry. The event also emphasizes natural cosmetics, eco-friendly solutions, beauty supplements, and health supplements that reflect the industry’s sustainability and well-being focus.

Vietbeauty & Cosmobeauté Vietnam 2025 will offer a dedicated buyer program that facilitates one-on-one business meetings between exhibitors and potential partners. These structured networking opportunities will help brands connect with key distributors, retailers, and investors, fostering successful contract negotiations. Alongside this, a series of expert-led conferences will provide valuable insights into market trends, business strategies, and professional development to strengthen the knowledge base of the beauty industry community.

Additionally, Beautycare Plus will be a co-located event with the exhibition, serving as a dedicated zone for the beauty supply chain sector. This specialized collaboration will help the visitors to source for businesses in raw beauty ingredients, packaging, and OEM/ODM manufacturing.

Vietbeauty & Cosmobeauté Vietnam 2025 is the ultimate gateway for brands seeking to expand their presence in the booming Vietnamese and Southeast Asian beauty market. Don’t miss your chance to be part of this dynamic event that is shaping the future of beauty in Vietnam and beyond.

For more information, please visit https://www.vietbeautyshow.com or https://www.cosmobeauteasia.com/vietnam.

To register as visitor, please sign up: https://vbcbv.imasia-passport.com/vi/user/register

Blokees Officially Announces the Launch of the second season of 3rd BFC Creation Competition: Breaking the Cocoon Season

SHANGHAI, April 1, 2025 /PRNewswire/ — On April 1st, the second season of the third  BFC (Blokees Figures Creator) Creation Competition, themed “Breaking the Cocoon Season,” was officially launched. This year’s competition continues to adopt a dual-track model comprising the “Modification Zone” and the “Photography Zone.” Winners will be selected for Champion, Runner-up, Third Place, and Top 3 in the Popularity Award categories, totaling 12 winning entries.


A new addition for this season is the introduction of the “Season Pass,” which offers exclusive prizes including a “Seasonal Badge,” a “Seasonal Platform,” and a limited edition figure (600 pieces). These rewards are designed to ignite creators’ enthusiasm and foster their creativity.

Participants have the opportunity to earn exclusive prizes by completing tasks outlined in the “Season Pass” during the competition. Additionally, following the submission deadline, a 20-day popularity voting period will enable the top 150 entries to also receive these exclusive rewards.

Furthermore, the BFC Creation Competition has been officially launched on the Blokees group website. It features sections such as “Hall of Fame” and “Season Pass,” showcasing award-winning entries from previous competitions while providing participants with opportunities to complete tasks for seasonal rewards. Players can register through either the official website or via the BFC Figure CLUB WeChat mini-program.

Ye Shanshan, Vice President of Blokees Brand Marketing, announced that by 2025, the BFC event system will evolve into a more comprehensive framework featuring three core components: the online creation competition, the offline Speed Build competition, and a global exhibition of works. This enhanced structure aims to provide a more complete platform for participants worldwide to create and share their talents, enabling every individual to discover their own stage.

In 2025, the third iteration of the BFC Creation Competition encompasses four seasons: “Launch Season,” “Breaking the Cocoon Season,” “Fearless Season,” and “Stellar Season.” The recently concluded “Launch Season” of the third BFC Creation Competition has attracted  over 30,000 submissions.

The volume of BFC creations is witnessing an extraordinary surge, underscoring that the BFC Creation Competition has firmly established itself as a vital platform within the BFC community. This event highlights the creativity and passion of creators from around the world. This remarkable increase is fueled by enthusiasm, as BFC creators redefine what it means to be a figure.

FranklinWH and Middy’s Electrical Forge Strategic Partnership to Power the Future of Home Energy Management in Australia

SYDNEY, April 1, 2025 /PRNewswire/ — FranklinWH Australia Pty Ltd. (FranklinWH Australia), a leader in whole-home energy management solutions, has partnered with Middy’s Electrical, Australia’s largest independent electrical wholesaler. This strategic alliance aims to redefine how Australian homeowners store, manage, and use energy, providing greater energy freedom and sustainability.

Middy’s vast distribution network and expertise in electrical solutions combined with FranklinWH’s state-of-the-art home energy management technology will empower homeowners with greater energy autonomy. As the demand for renewable energy and grid-resilient power grows, this alliance will help accelerate the adoption of whole-home energy storage solutions across Australia.

“We are excited to partner with Middy’s Electrical, a leader in the industry,” said Steve Ruskin, Deputy GM of FranklinWH Australia. “Together, we’re empowering Australians with smarter, safer, more efficient, and reliable home energy solutions that allow them to break free from the grid—optimizing clean energy use, cutting electricity costs, and taking full control of energy.”

Revolutionizing Home Energy Management

FranklinWH’s whole-home energy storage system intelligently coordinates multiple energy sources—solar, grid power, battery storage, generators, and EVs—enabling homeowners to maximize self-consumption, minimize grid dependence, and enhance energy security.

Equipped with intelligent monitoring and control via the FranklinWH App, users can track energy production and use, avoiding peak pricing and hedging against outages—all in real-time.

“With the growing demand for reliable and sustainable energy solutions across Australia, our alliance with FranklinWH allows us to deliver advanced and innovative home energy solution to our customers,” said Matt Young, National TechEnergy Manager. “FranklinWH is the epitome of home energy innovation, Our collaboration marks a significant shift in the market, offering homeowners smarter, more efficient ways to optimize energy supply and maximize clean energy use while equipping installers with top-tier storage solutions.”

A Commitment to Innovation & Sustainability

This partnership reinforces Middy’s dedication to supporting installers and businesses with high-quality energy solutions while expanding FranklinWH’s footprint in the Australian renewable energy market.

To learn more about FranklinWH home energy management solutions, visit www.franklinwh.com.

About FranklinWH

FranklinWH is a market-oriented, research-driven company specializing in next-generation residential energy management and storage solutions. Headquartered in the San Francisco Bay Area, FranklinWH’s team brings decades of expertise in energy system design, manufacturing, and installation. Learn more at franklinwh.com.

About Middy’s Electrical

Middy’s Electrical is Australia’s largest independent electrical wholesaler, proudly family-owned since 1928. With over 100 branches nationwide, Middy’s provides installers and businesses with top-tier products, expert services, and industry-leading support. Visit middys.com.au to learn more.

CONTACT: media@franklinwh.com

PowerChina Spearheads Indonesia’s Sustainable Energy Shift with Groundbreaking Floating Solar Project

BEIJING, April 1, 2025 /PRNewswire/ — A news report from CRIOnline:

In West Java, Indonesia, the Cirata Reservoir is home to a groundbreaking initiative in renewable energy, the Cirata Floating Photovoltaics (FPV) Project, developed by PowerChina. The project stands as Indonesia’s first and Southeast Asia’s largest FPV facility, boasting a capacity of 192 megawatts, making it the deepest project of its kind currently under construction globally. It achieved full operational status when it connected to the grid in November 2023. A joint venture between Indonesia’s state-owned electricity company PLN and the UAE’s Masdar, the project marks a major milestone in the country’s clean energy transition.

The project faced significant engineering challenges. With complex underwater terrain, PowerChina’s team conducted detailed geological surveys and used a novel anchoring system, combining metal shear keys and concrete counterweights to secure the floating arrays. To address the high wind speeds over the water, the team conducted rigorous wind tunnel testing and computational modeling to optimize panel arrangement and structural design for system stability.

During the grid-connection ceremony, Indonesian President Joko Widodo lauded the project as a crucial achievement in realizing the country’s large-scale renewable energy goals. He affirmed Indonesia’s commitment to expanding its clean energy capabilities as part of its broader strategy to achieve net-zero emissions. The Cirata plant significantly contributes to the national grid, supplying 25% of Indonesia’s renewable energy and generating 300,000 MWh annually—sufficient to power 50,000 homes. This initiative also reduces reliance on coal, cutting coal usage by 117,000 tons and decreasing carbon emissions each year.

The success of the Cirata project underscores the importance of global partnerships in advancing sustainable energy projects. Consistent with its commitment to fostering open, inclusive, mutually beneficial, and equitable international cooperation, PowerChina remains a vital player in the development of global sustainable infrastructure.

Frost Radar™ Positions 15 Top Growth & Innovation Leaders in Material Recovery Facilities (MRFs)

Frost & Sullivan’s Benchmarking System Highlights Leading Companies Poised for Growth and Advancing Material Recovery Facilities

LONDON, April 1, 2025 /PRNewswire/ — The global Material Recovery Facility (MRF) market is undergoing significant expansion, driven by the rising demand for efficient waste management solutions, regulatory pressure, and advancements in recycling technologies. As key intermediaries in the circular economy, MRFs play a critical role in optimising resource recovery, minimising waste disposal, and reducing reliance on raw materials.

With sustainability mandates tightening worldwide, the market is witnessing increased investments in facility upgrades, automation, and advanced sorting technologies to enhance processing efficiency and maximise recovery rates.

The global MRF market has seen rapid growth, with Europe and North America leading the expansion. Frost & Sullivan projects the European MRF market, valued at $30.24 billion in 2023, to reach $39.82 billion by 2030, growing at a 4.0% compound annual growth rate (CAGR). This growth reflects ongoing efforts to improve recycling rates and processing capabilities.

Similarly, in North America, the market is expected to expand from $11.90 billion in 2023 to $18.92 billion by 2030, at a CAGR of 6.8%. Growth in this region is being driven by investments in modernising existing facilities, the establishment of new material recovery plants, and the integration of AI-powered automation and energy-efficient solutions.

Emerging markets in Asia, Latin America, and the Middle East & Africa present substantial growth opportunities as governments and industries ramp up investments in material recovery infrastructure and waste collection efficiency.

Competitive Landscape and Key Market Players

The MRF market is characterised by a diverse competitive landscape, with key players implementing innovative approaches to strengthen their market positions. Frost & Sullivan has identified the top 15 companies shaping the future of resource recovery through technological advancements, strategic partnerships, and operational excellence.

North America’s market is relatively consolidated, with leading firms investing heavily in AI and automation to improve transparency and efficiency. In contrast, Europe’s fragmented market is seeing a surge in mergers and acquisitions, largely influenced by stringent regulatory frameworks such as the EU Circular Economy Action Plan.

“As demand for circular economy solutions grows, MRFs are increasingly critical in supporting global sustainability goals. Companies that prioritise decarbonisation, technological innovation, and regulatory compliance are emerging as market leaders,” says Fredrick Royan, Growth Expert at Frost & Sullivan. “Investments in automation, AI-driven sorting, and strategic partnerships will define the industry’s evolution in the coming years.”

The Frost Radar™ highlights the following growth & innovation leaders, setting the benchmark for excellence in material recovery facilities, including TOMRA Recycling, Bollegraaf, Bulk Handling Systems (BHS), Greyparrot AI, Machinex, PICVISA, Recology, Republic Services, Stadler Anlagenbau GmbH, Vecoplan, Van Dyk Recycling Solutions, Veolia, Waste Management (WM), Waste Robotics, and WEIMA Maschinenbau GmbH.

For more insights into the MRF sector and the Frost Radar™ analysis, click here.

About Frost & Sullivan

Frost & Sullivan, the growth pipeline company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation, and leadership. The company’s Growth Pipeline as a Service provides the CEO and the CEO’s Growth Team with transformational strategies and best-practice models to drive the generation, evaluation, and implementation of powerful growth initiatives. Frost & Sullivan leverages over 60 years of experience in partnering with Global 1000 companies, emerging businesses, and the investment community from more than 40 offices on six continents.

Editor’s Note

To arrange an interview or for any questions, please contact:

Kristina Menzefricke
Marketing & Communications
Global Customer Experience, Frost & Sullivan
kristina.menzefricke@frost.com

Top 10 Growth Opportunities in the Chemicals Sector, 2025

Stricter Regulations, Sustainability Demands, and Digital Innovation to Spur Global Chemicals Industry Transformation

LONDON, April 1, 2025 /PRNewswire/ — The global chemicals industry is poised for major transformation in 2025, driven by stricter regulations, sustainability initiatives, and digital advancements.

As a key player in sectors like home care, electronics, and automotive, the industry faces growing regulatory scrutiny, accelerating innovation toward safer, high-performance alternatives. Companies must strengthen Environmental Health and Safety (EHS) practices, enhance labelling transparency, and meet stricter reporting standards.

Increasing environmental and health regulations will necessitate greater R&D investment to develop cost-effective, compliant solutions while ensuring improved transparency in labelling, reporting, and dosage.

Sustainability remains a key focus, driving innovation in eco-design, decarbonisation, and green claims. Companies investing in R&D to meet global sustainability goals will gain a competitive advantage. High-growth sectors like battery production, green hydrogen, and alternative fuels will fuel demand for novel chemicals, making supply chain stability essential.

Soundarya Gowrishankar, Growth Expert at Frost & Sullivan, reports: “The chemicals industry is shifting toward renewable energy sources like solar and wind, driving demand for sustainable production and distribution. Recycling high-cost chemicals will gain traction, ensuring resource stability while minimising environmental and health impacts.”

“Increased vertical integration between mining and recycling firms will enhance supply chain security, while investments in solid-state battery materials and emerging technologies will open new opportunities,” she adds.

With the rapid global shift toward electrification, businesses will prioritise securing stable raw material supplies through strategic mining investments and partnerships. Vertical integration between mining and recycling firms will become more widespread, with chemical companies playing a critical role in advancing hydrometallurgical processes to enhance resource efficiency and sustainability.

“As regulations tighten and sustainability takes centre stage, chemical companies must innovate and form strategic partnerships to navigate these shifts,” summarises Gowrishankar, Growth Expert at Frost & Sullivan. “Proactive investment in R&D and sustainable practices will define long-term success.”

Click here to unlock growth potential and explore the future of the Chemicals industry.

YOUR TRANSFORMATIONAL GROWTH JOURNEY STARTS HERE. Frost & Sullivan’s Growth Pipeline Engine, transformational strategies and best-practice models drive the generation, evaluation, and implementation of powerful growth opportunities. Is your company prepared to survive and thrive through the coming transformation? Join the Journey

Editor’s Note

To arrange an interview or for any questions, please contact:

Kristina Menzefricke
Marketing & Communications
Global Customer Experience, Frost & Sullivan
kristina.menzefricke@frost.com

AI and Workspace Modernisation Propel Growth in the Global Video Conferencing Devices Sector

10.4% YoY expansion in in 2024 prompted by AI innovation and the return to in-person collaboration

LONDON, April 1, 2025 /PRNewswire/ — The workplace continues to undergo structural transformations, with evolving work styles, AI-powered meeting enhancements, and sustainability initiatives reshaping the demand for collaboration technologies. The adoption of video conferencing devices is expected to surge, as the penetration rate in meeting rooms is expected to more than double over the forecast period, driven by organisations shifting toward video-first communication strategies.

The global video conferencing devices market has made a strong recovery after a decline in 2023, registering 10.4% year-over-year (YoY) growth in 2024 and reaching $3.80 billion in revenue, according to Frost & Sullivan. Fuelled by increasing technology density, advances in AI-driven collaboration, and the modernisation of workspaces, the market is on a trajectory for accelerated growth, as revenue is expected to more than double to $8.12 billion, with unit shipments increasing to 7.7 million by the end of the forecast period in 2029.

AI has emerged as a key market accelerator, eliminating many friction points that previously hindered widespread video adoption. AI-driven innovations – ranging from automated meeting transcription and real-time translation to smart camera framing and noise suppression – are revolutionising video conferencing experiences, making them more seamless, engaging, personalised, and productive.

“The market is witnessing an unprecedented wave of innovation, where AI and data-driven insights are at the forefront,” states Roopam Jain, VP and Growth Expert at Frost & Sullivan. “Beyond simply enabling video in meeting rooms, organisations are prioritising an experiential workplace, where hardware, software, and services are holistically integrated to enhance usability, efficiency, and management,” she continues.

Market Outlook and Leading Growth Segments

In 2024, collaboration bars and boards led the market surge, with room endpoints experiencing the fastest growth, rising 14.7% in revenue and 12.5% in units YoY. Over the next five years, room endpoints are projected to be the largest growth segment, with an expected 18.7% revenue CAGR, followed by USB conference cameras at 9.4% CAGR, and personal video devices at 5.8% CAGR.

The top vendors- Cisco, Crestron, Huawei, Logitech, Poly, Neat, Lenovo, Q-SYS, and Yealink -differentiate themselves through superior innovation and performance, including enhanced user experience, advanced AI-powered features, seamless interoperability, and other competitive attributes. The top five vendors collectively hold 55.6% of the global video conferencing devices market.

“AI-driven collaboration solutions are no longer optional – they are essential for businesses looking to not only modernise, but to future-proof their workplaces,” adds Jain. “Organisations and industry stakeholders must leverage AI-powered video innovations and integrate hardware-software ecosystems to stay ahead in an increasingly competitive market,” Jain concludes.

Click here to unlock growth potential and explore the future of the global video conferencing devices market.

YOUR TRANSFORMATIONAL GROWTH JOURNEY STARTS HERE. Frost & Sullivan’s Growth Pipeline Engine, transformational strategies and best-practice models drive the generation, evaluation, and implementation of powerful growth opportunities. Is your company prepared to survive and thrive through the coming transformation? Join the Journey

Editor’s Note

To arrange an interview or for any questions, please contact:

Kristina Menzefricke
Marketing & Communications
Global Customer Experience, Frost & Sullivan
kristina.menzefricke@frost.com

Recon Technology, Ltd Reports Financial Results for the First Six Months of Fiscal Year 2025

BEIJING, April 1, 2025 /PRNewswire/ — Recon Technology, Ltd (NASDAQ: RCON) (“Recon” or the “Company”), a China-based independent solutions integrator in the oilfield service and environmental protection, electric power and coal chemical industries, today announced its financial results for the first six months of fiscal year 2025.

First Six Months of Fiscal 2025 Financial Highlights:

  • Total revenue decreased to RMB42.1 million ($5.8 million) for the six months ended December 31, 2024, from RMB45.3 million ($6.2 million) for the same period in 2023.
  • Gross profit increased to RMB13.4 million ($1.8 million) for the six months ended December 31, 2024, from RMB12.1 million ($1.7 million) for the same period in 2023.
  • Gross margin increased to 31.7% for the six months ended December 31, 2024 from 26.7% for the same period in 2023.
  • Net loss was RMB20.7 million ($2.8 million) for the six months ended December 31, 2024, a decrease of RMB2.4 million ($0.3 million) from net loss of RMB23.1 million ($3.2 million) for the same period of 2023.

For the Six Months Ended

December 31,

(in RMB millions, except earnings per share; differences due

 to rounding)

2024

2023

Increase /(Decrease)

Percentage Change

Revenue

RMB

42.1

RMB

45.3

RMB

(3.2)

(7.0)

%

Gross profit

13.4

12.1

1.3

10.3

%

Gross margin

31.7

%

26.7

%

18.7

%

Net loss

(20.7)

(23.1)

(2.4)

(10.3)

%

Net loss per share – Basic and diluted

(2.29)

(8.27)

5.98

(72.3)

%

 

Management Commentary

Mr. Shenping Yin, Founder and CEO of Recon, said, “For the six months ended December 31, 2024, our oilfield customers’ production continued to increase, and demand for our automation and oilfield specialized equipment also increased, with corresponding revenue and gross profit both rising and improving. However, our revenue as a whole declined slightly due to fluctuations in demand from some of our new businesses and customers. We anticipate a steady rebound in our business and operating quality, particularly in our two core segments: digital solutions and oilfield environmental protection. As China’s oil service companies are in a stage of development driven by customers’ rising demand for stable production and supply and technology upgrades, we will continue to increase our investment in technology and continue to improve our long-term corporate competitiveness. In addition, our ongoing project to build a chemical recycling plant for low-value plastics made a significant breakthrough during the period. We have successfully obtained the necessary qualifications for the production and commencement of construction of the plant, which is scheduled to begin in April 2025 and enter the formal production phase in the second half of 2025.”

First Six Months Fiscal 2025 Financial Results:

Revenue

Total revenues for the six months ended December 31, 2024 were approximately RMB42.1 million ($5.8 million), a decrease of approximately RMB3.2 million ($0.4 million) or 7.0% from RMB45.3 million ($6.2 million) for the same period in 2023.

  •  Revenue from automation product and software increased by RMB3.4 million ($0.5 million) or 19.2%. For the six months ended December 31, 2024, the increase in revenue from automation products and software is primarily due to the growing market demand for automated operations.
  • Revenue from equipment and accessories decreased by RMB2.2 million ($0.3 million) or 12.2%. For the six months ended December 31, 2024, revenues from the heating furnace category increased by RMB1.9 million compared to the same period in 2023, driven by our oilfield customers’ expanded production capacity. Revenues from equipment used in the offshore oilfield category decreased by RMB3.3 million, primarily due to reduced demand from our customers. We anticipate an overall increase in revenues from offshore customers in 2025.
  • Revenue from oilfield environmental protection decreased by RMB5.3 million ($0.7 million) or 66.2%, primarily due to the expiration of Gansu BHD’s hazardous waste operation permit during the six-month period ending December 31, 2024. As a result, no revenue was recorded. The company is currently engaged in the active application process for the renewal of relevant qualifications. Besides, some customers request and we agreed to a lower price for a portion of our wastewater business in order to establish a long-term relationship, resulting in a decrease in revenue from that portion of the business.
  • Revenue from platform outsourcing services increased by RMB1.0 million ($0.1 million) or 53.7%. The increase was mainly due to the rise in transaction volumes of diesel users and the higher settlement rates with freight trading platforms clients.

Cost of revenue

Cost of revenues decreased from RMB33.2 million ($4.5 million) for the six months ended December 31, 2023 to RMB 28.7 million ($3.9 million) for the same period in 2024.

  • For the six months ended December 31, 2023 and 2024, cost of revenue from automation product and software was approximately RMB14.0 million and RMB12.4 million ($1.7 million), respectively, representing a decrease of approximately RMB1.6 million ($0.2 million) or 11.8%. The decrease in cost of revenue from automation product and software was primarily attributable to the proportion of operation and maintenance services, which have lower costs.
  • For the six months ended December 31, 2023 and 2024, cost of revenue from equipment and accessories was approximately RMB12.8 million and RMB11.2 million ($1.5 million), respectively, representing a decrease of approximately RMB1.6 million ($0.2 million) or 12.7%. The costs of the furnace business increased in this period due to the corresponding increase in revenue, whereas the costs of the offshore oilfield customers decreased in line with the decreased revenue, resulting in a reduced total cost of sales.
  • For the six months ended December 31,2023 and 2024, cost of revenue from oilfield environmental protection was approximately RMB6.0 million and RMB4.9 million ($0.7 million), respectively, representing a decrease of approximately RMB1.1 million ($0.2 million) or 19.4%. The decrease in the cost of revenue from oilfield environmental protection was in line with decrease in revenue.
  • For the six months ended December 31,2023 and 2024, cost of revenue from platform outsourcing services remained stable at RMB0.3 million ($0.05 million).

Gross profit

Gross profit increased to RMB13.4 million ($1.8 million) for the six months ended December 31,2024 from RMB12.1million ($1.7 million) for the same period in 2023. Our gross profit as a percentage of revenue increased to 31.7% for the six months ended December 31, 2024 from 26.7% for the same period in 2023.

  • For the six months ended December 31, 2023 and 2024, our gross profit from automation product and software was approximately RMB3.5 million and RMB8.5 million ($1.2 million), respectively, representing an increase in gross profit of approximately RMB5.0 million ($0.7 million) or 143.2%. The increase in gross margin was primarily due to the elevated proportion of high-margin service businesses.
  • For the six months ended December 31, 2023 and 2024, gross profit from equipment and accessories was approximately RMB5.1 million and RMB4.5 million ($0.6 million), respectively, representing a decrease of approximately RMB0.6 million ($0.1 million) or 10.9 %. The gross margin for equipment and accessories has remained relatively stable in this period.
  • For the six months ended December 31, 2023 and 2024, gross profit from oilfield environmental protection was approximately RMB2.0 million and negative RMB2.1 million (negative $0.3 million), respectively, representing a decrease of RMB4.1 million ($0.6 million), or 204.8%. The main reason for the decrease in gross margin is that one of our customers reduced the settlement price.
  • For the six months ended December 31, 2023 and 2024, gross profit from platform outsourcing services was approximately RMB1.5 million and RMB2.4 million ($0.3 million), respectively, representing an increase of approximately RMB0.9 million ($0.1 million), or 63.8%, primarily due to the increase in the settlement rate.

Operating expenses

Selling expenses increased by 13.9%, or RMB0.7 million ($0.1 million), from RMB4.6 million for the six months ended December 31, 2023 to RMB5.2 million ($0.6 million) in the same period of 2024.

General and administrative expenses increased by 9.1%, or RMB2.0 million ($0.3 million), from RMB22.0 million for the six months ended December 31, 2023 to RMB24.0 million ($3.3 million) in the same period of 2024.

The Company also recorded allowance for credit losses of RMB1.6 million for the six months ended December 31, 2023 as compared to allowance for credit losses of RMB0.9 million ($0.1 million) for the same period in 2024.

Research and development expenses increased by 50.3%, or RMB3.4 million ($0.5 million) from RMB6.8 million for the six months ended December 31, 2023 to RMB10.2 million ($1.4 million) for the same period of 2024.

Loss from operations

Loss from operations was RMB26.9 million ($3.7 million) for the six months ended December 31, 2024, compared to a loss of RMB22.8 million for the same period of 2023. This RMB4.1 million ($0.6 million) increase in operating losses was mainly driven by higher operating expenses, as previously discussed.

Change in fair value of warrant liability

The Company classified the warrants issued in connection with common share offering as liabilities at their fair value and adjusted the warrant instrument to fair value at each reporting period. This liability is subject to re-measurement at each balance sheet date until exercised, and any change in fair value is recognized in our statement of operations. Loss in fair value changes of warrant liability was RMB1.9 million and RMB0.01 million ($0.001 million) for the six months ended December 31, 2023 and 2024, respectively. The primary reason for the decrease of loss in the fair value of the warrant liability was that on December 14, 2023, we redeemed an aggregate of 17,953,269 warrants (equivalent to 997,404 warrants post the 2024 Reverse Split) from the Sellers.

Interest income

Net interest income was RMB6.6 million ($0.9 million) for the six months ended December 31, 2024, compared to net interest income of RMB10.4 million for the same period of 2023. The RMB3.8 million ($0.5 million) decrease in net interest income was primarily due to the collection of loans to third parties and coupled with a reduction in interest rates for new loans.

Other income (expenses), net.

Other net expenses was RMB0.4 million ($0.1 million) for the six months ended December 31, 2024, compared to other net expenses of RMB8.6 million for the same period of 2023, the RMB8.2 million ($1.1 million) decrease in other net expenses was primarily due to a decrease of RMB0.1million($0.02 million) in subsidy income  and a decrease in other expenses of RMB8.5 million ($1.2 million) which was partially offset by an increase loss from foreign currency of RMB0.2 million ($0.03 million). The decrease in other expenses, as we accrued RMB8.5 million ($1.2 million) estimated liability based on the potential for future significant transaction compensation in contracts to repurchase investor warrants during the six months ended December 31, 2023. For the six months ended December 31, 2024, we do not have this situation.

Net loss

As a result of the factors described above, net loss was RMB20.7 million ($2.8 million) for the six months ended December 31, 2024, a decrease of RMB2.4 million ($0.3 million) from net loss of RMB23.1 million for the same period of 2023.

Cash and short-term investment

As of June 30, 2024, we had cash in the amount of approximately RMB110.0 million ($15.1 million) and short-term investment in bank fixed income product of approximately RMB88.1 million ($12.1 million). As of December 31, 2024, we had cash in the amount of approximately RMB145.3 million ($19.9 million) and short-term investment in bank fixed income product of approximately nil.

About Recon Technology, Ltd (“RCON”)

Recon Technology, Ltd (NASDAQ: RCON) is the People’s Republic of China’s first NASDAQ-listed non-state owned oil and gas field service company. Recon supplies China’s largest oil exploration companies, Sinopec (NYSE: SNP) and The China National Petroleum Corporation (“CNPC”), with advanced automated technologies, efficient gathering and transportation equipment and reservoir stimulation measure for increasing petroleum extraction levels, reducing impurities and lowering production costs. Through the years, RCON has taken leading positions within several segmented markets of the oil and gas filed service industry. RCON also has developed stable long-term cooperation relationship with its major clients. For additional information please visit: http://www.recon.cn/

Forward-Looking Statements

Recon includes “forward-looking statements” within the meaning of the federal securities laws throughout this press release. A reader can identify forward-looking statements because they are not limited to historical fact or they use words such as “scheduled,” “may,” “will,” “could,” “should,” “would,” “expect,” “believe,” “anticipate,” “project,” “plan,” “estimate,” “forecast,” “goal,” “objective,” “committed,” “intend,” “continue,” or “will likely result,” and similar expressions that concern Recon’s strategy, plans, intentions or beliefs about future occurrences or results. Forward-looking statements are subject to risks, uncertainties and other factors that may change at any time and may cause actual results to differ materially from those that Recon expected. Many of these statements are derived from Recon’s operating budgets and forecasts, which are based on many detailed assumptions that Recon believes are reasonable, or are based on various assumptions about certain plans, activities or events which we expect will or may occur in the future. However, it is very difficult to predict the effect of known factors, and Recon cannot anticipate all factors that could affect actual results that may be important to an investor. All forward-looking information should be evaluated in the context of these risks, uncertainties and other factors, including those factors disclosed under “Risk Factors” in Recon’s most recent Annual Report on Form 20‑F and any subsequent half-year financial filings on Form 6‑K filed with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by the cautionary statements that Recon makes from time to time in its SEC filings and public communications. Recon cannot assure the reader that it will realize the results or developments Recon anticipates, or, even if substantially realized, that they will result in the consequences or affect Recon or its operations in the way Recon expects. Forward-looking statements speak only as of the date made. Recon undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances arising after the date on which they were made, except as otherwise required by law. As a result of these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements included herein or that may be made elsewhere from time to time by, or on behalf of, Recon.

 

 

RECON TECHNOLOGY, LTD

CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS

(UNAUDITED)

As of June 30,

As of December 31,

As of December 31,

2024

2024

2024

RMB

RMB

US Dollars

ASSETS

Current assets

Cash

¥

109,991,674

¥

145,284,391

$

19,903,880

Restricted cash

848,936

8,123

1,113

Short-term investments

88,091,794

Notes receivable

1,341,820

3,206,733

439,321

Accounts receivable, net

38,631,762

40,366,074

5,530,129

Inventories, net

1,128,912

1,541,020

211,119

Other receivables, net

3,352,052

3,934,865

539,074

Other receivables – related parties

275,976

279,976

38,357

Loans to third parties

208,928,370

231,952,064

31,777,302

Purchase advances, net

5,156,550

9,485,972

1,299,573

Contract costs, net

48,335,817

41,628,922

5,703,139

Prepaid expenses

401,586

696,877

95,471

Deferred offering cost

810,082

110,981

Total current assets

506,485,249

479,195,099

65,649,459

Property and equipment, net

22,137,940

20,859,877

2,857,791

Construction in progress

219,132

1,144,095

156,740

Long-term loan to third parties

18,500,000

2,534,490

Operating lease right-of-use assets, net (including ¥1,769,840 and ¥1,269,146 ($173,872) from related parties as of June 30,

     2024 and December 31, 2024, respectively)

23,547,193

22,014,961

3,016,037

Total Assets

¥

552,389,514

¥

541,714,032

$

74,214,517

LIABILITIES AND EQUITY

Current liabilities

Short-term bank loans

¥

12,425,959

¥

11,582,636

$

1,586,815

Accounts payable

10,187,518

14,100,871

1,931,811

Other payables

2,769,685

1,559,371

213,633

Other payable- related parties

2,299,069

1,787,315

244,861

Contract liabilities

1,820,481

4,098,136

561,442

Accrued payroll and employees’ welfare

3,237,164

3,416,373

468,041

Taxes payable

993,365

1,685,496

230,912

Short-term borrowings – related parties

10,002,875

10,018,208

1,372,489

Operating lease liabilities – current (including ¥1,775,114 and ¥1,832,236 ($251,015) from related parties as of June 30, 2024

     and December 31, 2024, respectively)

3,741,247

3,891,976

533,198

Total Current Liabilities

47,477,363

52,140,382

7,143,202

Operating lease liabilities – non-current (including ¥335,976 and ¥119,411 ($16,359) from related parties as of June 30, 2024

     and December 31, 2024, respectively)

3,971,285

2,781,196

381,022

Long-term borrowings – related party

10,000,000

10,000,000

1,369,994

Warrant liability – non-current

6,969

17,504

2,398

Total Liabilities

¥

61,455,617

¥

64,939,082

$

8,896,616

Commitments and Contingencies

Shareholders’ Equity

Class A Ordinary Shares, $0.0001 US dollar par value, 500,000,000 shares authorized; 7,987,959 shares and 7,987,959 shares

     issued and outstanding as of June 30, 2024 and December 31, 2024, respectively

99,634

99,634

13,650

Class B Ordinary Shares, $0.0001 US dollar par value, 80,000,000 shares authorized; 7,100,000 shares and 20,000,000 shares

     issued and outstanding as of June 30, 2024 and December 31, 2024, respectively

4,693

14,038

1,923

Additional paid-in capital

681,476,717

686,830,523

94,095,396

Statutory reserve

4,148,929

4,148,929

568,401

Accumulated deficit

(220,312,085)

(240,900,414)

(33,003,221)

Accumulated other comprehensive income

37,136,649

38,344,150

5,253,127

Total Recon Technology, Ltd’ equity

502,554,537

488,536,860

66,929,276

Non-controlling interests

(11,620,640)

(11,761,910)

(1,611,375)

Total shareholders’ equity

490,933,897

476,774,950

65,317,901

Total Liabilities and Shareholders’ Equity

¥

552,389,514

¥

541,714,032

$

74,214,517


The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.

 

 

RECON TECHNOLOGY, LTD

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(UNAUDITED)

For the six months ended

December 31,

2023

2024

2024

RMB

RMB

USD

Revenue

45,256,672

42,069,270

5,763,466

Cost of revenue

33,150,930

28,714,468

3,933,866

Gross profit

12,105,742

13,354,802

1,829,600

Selling and distribution expenses

4,547,115

5,177,944

709,375

General and administrative expenses

22,042,042

24,038,744

3,293,294

Allowance for credit losses

1,553,364

870,714

119,287

Research and development expenses

6,765,287

10,167,182

1,392,898

Operating expenses

34,907,808

40,254,584

5,514,854

Loss from operations

(22,802,066)

(26,899,782)

(3,685,254)

Other income (expenses)

Subsidy income

131,428

21,045

2,883

Interest income

12,060,640

7,136,259

977,663

Interest expense

(1,683,289)

(580,977)

(79,594)

Loss in fair value changes of warrants liability

(1,941,195)

(10,327)

(1,415)

Foreign exchange transaction loss

(76,040)

(313,263)

(42,917)

Other expenses

(8,701,288)

(80,945)

(11,088)

Other income, net

(209,744)

6,171,792

845,532

Loss before income tax

(23,011,810)

(20,727,990)

(2,839,722)

Income tax expenses

96,041

1,609

220

Net loss

(23,107,851)

(20,729,599)

(2,839,942)

Less: Net loss attributable to non-controlling interests

(553,829)

(141,270)

(19,354)

Net loss attributable to Recon Technology, Ltd

¥

(22,554,022)

¥

(20,588,329)

$

(2,820,588)

Comprehensive income (loss)

Net loss

(23,107,851)

(20,729,599)

(2,839,942)

Foreign currency translation adjustment

(4,609,399)

1,207,501

165,427

Comprehensive loss

(27,717,250)

(19,522,098)

(2,674,515)

Less: Comprehensive loss attributable to non- controlling interests

(553,829)

(141,270)

(19,354)

Comprehensive loss attributable to Recon Technology, Ltd

¥

(27,163,421)

¥

(19,380,828)

$

(2,655,161)

Loss per share – basic and diluted

¥

(8.27)

¥

(2.29)

$

(0.31)

Weighted – average shares -basic and diluted

2,728,056

8,978,328

8,978,328


The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.

 

 

RECON TECHNOLOGY, LTD

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

(UNAUDITED)

For the six months ended December 31,

2023

2024

2024

RMB

RMB

US Dollars

Cash flows from operating activities:

Net loss

¥

(23,107,851)

¥

(20,729,599)

$

(2,839,942)

Adjustments to reconcile net loss to net cash used in operating activities:

Depreciation and amortization

1,426,971

1,724,066

236,196

Loss from disposal of equipment

32,252

9,607

1,316

Gain in fair value changes of warrants liability

10,461,075

10,327

1,415

Allowance for credit losses

1,553,364

870,714

119,287

Allowance for slow moving inventories

(350,637)

(523,228)

(71,682)

Amortization of right-of-use assets

570,959

1,532,232

209,915

Restricted shares issued for management and employees

2,866,560

5,353,151

733,376

Restricted shares issued for services

1,070,143

Accrued interest income from loans to third parties

(4,415,298)

(6,779,697)

(928,815)

Accrued interest income from short-term investment

(2,352,250)

Changes in operating assets and liabilities:

Notes receivable

(8,790,327)

(1,864,913)

(255,492)

Accounts receivable

(4,412,034)

(3,348,819)

(458,786)

Inventories

4,863,435

(718,490)

(98,433)

Other receivables

5,465,227

(358,057)

(49,051)

Other receivables-related parties

(4,000)

(548)

Purchase advances

558,040

81,256

11,132

Contract costs

10,442,916

8,057,774

1,103,911

Prepaid expense

54,734

(295,291)

(40,455)

Operating lease liabilities

(2,027,067)

(1,039,360)

(142,392)

Accounts payable

1,271,140

3,913,353

536,127

Other payables

(4,103,150)

(1,194,817)

(163,689)

Other payables-related parties

(383,378)

(511,754)

(70,110)

Contract liabilities

2,140,385

2,277,655

312,037

Accrued payroll and employees’ welfare

17,399

179,209

24,552

Taxes payable

537,591

691,901

94,790

Net cash used in operating activities

(6,609,801)

(12,666,780)

(1,735,341)

Cash flows from investing activities:

Purchases of property and equipment

(216,082)

(455,380)

(62,387)

Proceeds from disposal of equipment

20,000

Purchase of land use right

(15,000,251)

Collection of loans to third parties

44,613,948

2,904,352

397,895

Payments made for loans to third parties

(16,600,000)

(36,897,900)

(5,054,992)

Payments and prepayments for construction in progress

(5,337,873)

(731,286)

Payments for short-term investments

(131,598,400)

Redemption of short-term investments

180,338,865

88,892,092

12,178,167

Net cash generated by investing activities

61,558,080

49,105,291

6,727,397

Cash flows from financing activities:

Repayments of short-term bank loans

(123,000)

(843,487)

(115,557)

Proceeds from short-term borrowings-related parties

10,000,000

Repayments of short-term borrowings-related parties

(10,018,222)

Deferred offering costs

(810,082)

(110,981)

Redemption of warrants

(31,866,604)

Capital contribution by controlling shareholders

10,000

1,370

Net cash used in financing activities

(32,007,826)

(1,643,569)

(225,168)

Effect of exchange rate fluctuation on cash and restricted cash

(5,945,117)

(343,038)

(46,996)

Net increase in cash and restricted cash

16,995,336

34,451,904

4,719,892

Cash and restricted cash at beginning of period

104,857,345

110,840,610

15,185,101

Cash and restricted cash at end of period

¥

121,852,681

¥

145,292,514

$

19,904,993

Supplemental cash flow information

Cash paid during the period for interest

¥

468,440

¥

518,086

$

133,730

Cash paid during the period for taxes

¥

16,505

¥

1,363,403

$

294,729

Reconciliation of cash and restricted cash, beginning of period

Cash

¥

104,125,800

¥

109,991,674

$

15,068,797

Restricted cash

731,545

848,936

116,304

Cash and restricted cash, beginning of period

¥

104,857,345

¥

110,840,610

$

15,185,101

Reconciliation of cash and restricted cash, end of period

Cash

¥

121,848,777

¥

145,284,391

$

19,903,880

Restricted cash

3,904

8,123

1,113

Cash and restricted cash, end of period

¥

121,852,681

¥

145,292,514

$

19,904,993

Non-cash investing and financing activities

Right-of-use assets obtained in exchange for operating lease obligations

¥

298,783

¥

$

The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.