Annual Report 2025

MANAGEMENT DISCUSSION AND ANALYSIS 19 The United Laboratories International Holdings Limited Annual Report 2025 As at 31 December 2025, current assets of the Group amounted to approximately RMB18,469.5 million (2024: RMB16,070.7 million). Net current assets increased from RMB7,298.1 million as at 31 December 2024 to RMB8,390.4 million as at 31 December 2025. The Group’s current ratio was approximately 1.83 as at 31 December 2025 (2024: 1.83). As at 31 December 2025, the Group had total assets of approximately RMB30,900.5 million (2024: RMB25,833.1 million) and total liabilities of approximately RMB13,425.2 million (2024: RMB11,397.8 million). Equity attributable to owners of the Company increased from RMB14,388.3 million at 31 December 2024 to RMB17,393.0 million at 31 December 2025. As at 31 December 2025, the Group’s net bank balances and cash (after deducting bank borrowings and trade payables under supplier finance arrangement) amounted to RMB4,027.1 million (2024: RMB2,139.7 million). Currency Exchange Exposures The Group’s purchases and sales are mainly denominated in Renminbi, United States dollars and Hong Kong dollars. The operating expenses of the Group are mainly denominated in Renminbi and Hong Kong dollars. The Group’s borrowings are denominated in Renminbi. The Group’s treasury policy is in place to monitor and manage its exposure to fluctuation in exchange rates. Besides, the Group will conduct periodic review of its exposure to foreign exchange risk and may use financial instruments for hedging purpose when considered appropriate. Employees and Remuneration As at 31 December 2025, the Group had approximately 18,000 (2024: 17,000) employees in Hong Kong and Mainland China. The employees are remunerated with basic salary, bonus and other benefits in kind with reference to industry practice and their individual performance. The Company has adopted a share award scheme in October 2023 and granted a total of 12,096,900 award shares to selected directors and employees, vesting in three years, to encourage and retain such individuals for the continual operation and development of the Group. As at 31 December 2025, the scheme has completed two vests of the award shares. Contingent Liabilities As at 31 December 2025 and 2024, the Group had no material contingent liabilities. Placing of New Shares On 25 July 2025, The Company completed the placing of an aggregate of 156,000,000 new shares to not less than six placees at the placing price of HK$14.16 per share. The gross proceeds and the net proceeds (after deduction of the relevant expenses and fees) from the placing amounted to HK$2,209.0 million and HK$2,168.2 million (equivalent to RMB1,989.9 million), respectively.