RUIXIN INT'L Group (00724) has disclosed its financial results for the six-month period ended June 30, 2024. During this reporting period, the Group recorded no revenue, compared to approximately HKD 56.2 million in the corresponding period ended June 30, 2023. The Group's loss for the reporting period narrowed to about HKD 20.4 million, down from a loss of approximately HKD 34.8 million in the prior year period.

This reduction in loss was primarily driven by a decrease in operating losses from the electronics products business. However, this improvement was partially offset by an increase in the notional interest expense associated with convertible notes and shareholder loans.

The challenging global economic environment, including issues related to tariff protections, rising interest rates, and rapid technological advancements coupled with intense competition within the industry, adversely affected the Group's electronics business. These factors, combined with the Group's weak financial position, further impacted customer perception and confidence.

Due to the significant decline in revenue, the costs for the electronics business during the reporting period were reduced to essential operational expenses, leading to the decreased operating loss compared to the previous year. Excluding the notional interest expense on convertible notes and shareholder loans, which arises from accounting treatments under applicable financial reporting standards, the Group's core loss for the reporting period was approximately HKD 9.2 million, compared to a core loss of about HKD 25.5 million in the corresponding period.