1. Interim results declined sharply: The company's performance for the first half of the fiscal year ended September, recorded a turnover of 1,693 billion yuan, a year-on-year decrease of 21.3%. The decline was mainly due to China's macroeconomic downturn. Revenue declined to varying degrees; gross profit was 1,172 billion yuan, down 21.4%; gross profit margin was 69.2%, which was basically the same as the same period last year; operating profit fell 37.8% year on year to 734 million yuan. The decline in profit was mainly due to a decline in revenue and an increase in marketing expenses; net profit fell 42.5% to 5.65 per share, earnings per share 18.2 cents. No interim interest will be paid. 2. Main operating business: Food flavors and fragrances are still the company's largest physical business, accounting for 80.1% of the company's total revenue, with an EBIT rate of 49.1%; daily-use flavors and fragrances accounting for 2.3% of the company's total revenue, and the EBIT rate is 7.6%; tobacco flakes account for 15.5%, and the EBIT rate is 30.5%; new materials account for 2.1%, and the EBIT rate is 6.6%. 3. Food flavors and fragrances: Revenue fell 14.4% year on year to 1.36 billion yuan, mainly due to macroeconomic policies. The downstream tobacco industry has entered an inflection point, and production and sales have both declined; at the same time, inventories are high, and it is expected that the tobacco industry will still have high inventories in the future; food and beverage terminal consumption is sluggish, with a year-on-year increase of only 6.6%, leaving double-digit growth for the first time. 4. Daily essences and fragrances: Revenue fell 7.4% year on year to 38.84 million yuan. The decline is mainly due to the fact that Xiamen Amber is currently undergoing business upgrades and adjustments, incense and elimination of its previous dominant products. Due to the improvement in people's living standards, the industry's demand for it is gradually weakening. However, demand for scented products such as laundry detergent and soap has entered a growth channel. Currently, it is a period of alternation between old and new products, which affects the performance of the entire sector. Xiamen Amber has been listed on the New Third Board, injecting new vitality into future business development. 5. Tobacco flakes: Revenue fell 45.3% year on year to 263 million yuan. First, the decline was due to high inventories in the tobacco industry, and the entire industry's procurement volume contracted to a considerable extent; second, since there were flake projects under construction in the previous two years, and now production is being put into operation one after another, the relationship between supply and demand has changed, and the pattern has also changed; furthermore, there has been no significant increase in the average amount of tobacco flakes added to the industry. These factors have affected the entire sector. 6. New materials: Revenue fell 18.6% year on year to 35.7 million yuan. Since this sector is currently in the process of front-end exploration and is still increasing investment in R&D, the response of new products is relatively good, but it will still take time to transform into massive demand, so financial indicators will still fluctuate greatly. 7. Organizational structure adjustment: In order to meet the needs of the company's new development strategy, the company recently adjusted its organizational structure and personnel. The direction of adjustment is to turn related entities subordinate to the company into independent legal entities, each undertaking production, operation, and scientific research, and become independent business entities; the group headquarters will become an investment holding company, responsible for formulating the group's development strategy, investment and financing, and financial audit and supervision. After the adjustments are completed, the internal organizational structure of the Group will be further streamlined, and efficiency will be further improved; each operating entity will truly face the market to improve its ability to respond quickly to the market. 8. H2 revenue forecast: Judging from now on, management expects the business situation to improve in the second half of the year and stabilize. 9. Source of exchange losses: Exchange losses are mainly caused by the devaluation of the RMB this year. 10. Future development: Affected by the economic situation in China, the downstream industries involved in the company are all facing great difficulties and challenges. The tobacco industry grew negatively, and the food industry also declined from double-digit growth in the past to unit growth. However, for the company, it also faces certain opportunities. In the future, the company will focus on two core development. First, the technology of flavors and fragrances is the core; second, it will always take consumer needs as the starting point and strive to provide a full range of services and overall solutions for downstream customers. After the restructuring is completed, its five major business segments will formulate targeted strategies based on the products and market characteristics of each sector to improve the rapid response capacity of the market. In addition to Xiamen Amber, it is also considering other business sectors to establish their own domestic capital platforms when conditions are ripe, injecting new vitality into the next step in the development of various sectors and groups. At the same time, the company will speed up the pace of mergers and acquisitions, improve the industrial chain, and expand the market size. 11. Dividend distribution: Currently, the company is in a period of transformation. On the one hand, the company hopes to seize opportunities, increase investment, and speed up its own development; on the other hand, it will increase its acquisition and mergers efforts, hoping to have sufficient capital for development. 12. Summary and suggestions: The company is currently in a period of transformation. On the one hand, the adjustment of the internal organizational structure will take some time to complete; on the other hand, due to the impact of the country's economic situation, the tobacco industry is in a downward channel and is far from bottoming out; food and beverage terminal consumption is also sluggish, and the company's performance will face great pressure. However, the company is also actively seeking opportunities for mergers and acquisitions, while considering other business sectors to go public on A-shares when the time is ripe, so it is recommended to continue to pay attention.