Revenue and Profitability - Revenue for the first half of 2020 was HKD 591.1 million, a decrease of 17.8% compared to HKD 719.1 million in the same period of 2019[9]. - The company reported a gross profit of HKD 33.0 million, down 23.1% from HKD 42.9 million year-on-year[9]. - Operating profit increased by 89.1% to HKD 16.6 million, compared to HKD 8.8 million in the previous year[9]. - Profit attributable to equity shareholders surged by 191.0% to HKD 11.2 million, up from HKD 3.8 million in the same period last year[9]. - The basic earnings per share rose to HKD 2.69, compared to HKD 0.92 in the previous year[9]. - The group's revenue for the first half of 2020 was approximately HKD 591.1 million, a decrease of about 17.8% compared to HKD 719.1 million in the same period of 2019[20]. - Gross profit fell by approximately 23.1% to about HKD 33.0 million, with a gross profit margin decrease of 0.4 percentage points to approximately 5.6%[20]. - Profit attributable to equity shareholders was approximately HKD 11.2 million, an increase of about 191.0% compared to HKD 3.8 million in the same period of 2019[20]. - The total comprehensive income for the period was approximately HKD 11.7 million, compared to HKD 3.6 million for the same period in 2019[73]. - The pre-tax profit for the six months ended June 30, 2020, was HKD 10,749,000, compared to HKD 4,334,000 for the same period in 2019, indicating an increase of approximately 147.5%[118]. Impact of COVID-19 - The COVID-19 pandemic significantly impacted the Hong Kong economy, with a reported GDP decline of 9.0% in Q2 2020[14]. - The company faced challenges in the environmental and cleaning industry due to increased demand for cleaning and disinfection services amid the pandemic[14]. - The Hong Kong government launched an HKD 800 billion employment support scheme to help service companies like Baguio mitigate the economic impact of the pandemic[14]. - The group received government subsidies totaling 12,210,000 HKD under the Employment Support Scheme to retain employees during the COVID-19 pandemic[140]. Revenue Segmentation - The cleaning services segment generated revenue of HKD 361.7 million, accounting for 61.2% of total revenue, a decrease of 29.6% from the previous year[31]. - The pest management segment saw revenue growth of approximately 87.3%, reaching HKD 97.9 million, indicating strong demand for professional gardening and arboriculture services[32]. - The clean services segment generated revenue of HKD 361,691,000, while the gardening services, pest management, and waste management segments generated revenues of HKD 97,939,000, HKD 51,657,000, and HKD 79,768,000 respectively[111]. Cost and Expenses - Service costs for the same period were approximately HKD 558.1 million, accounting for about 94.4% of the group's revenue, compared to 94.0% in the previous year[46]. - Sales and marketing expenses decreased by approximately 46.4% to about HKD 0.6 million from HKD 1.1 million in the previous year[51]. - Administrative expenses increased by approximately 4.8% to about HKD 37.6 million, accounting for about 6.4% of total revenue[52]. - The group reported a decrease in employee costs to 490,804,000 HKD for the six months ended June 30, 2020, from 603,613,000 HKD in the same period of 2019, a reduction of approximately 19%[140]. Assets and Liabilities - As of June 30, 2020, the company's total assets amounted to HKD 367,997,000, a decrease of 13.1% from HKD 423,201,000 as of December 31, 2019[79]. - The company's total liabilities decreased to HKD 342,240,000 as of June 30, 2020, from HKD 419,941,000 as of December 31, 2019, indicating a reduction of 18.5%[79]. - The company's bank borrowings decreased by approximately 17.3% to HKD 194.5 million as of June 30, 2020, down from HKD 235.1 million as of December 31, 2019[60]. - The company's asset-liability ratio improved to approximately 1.0 times as of June 30, 2020, down from 1.2 times as of December 31, 2019[60]. Cash Flow - The net cash generated from operating activities during the period was approximately HKD 70.7 million, a significant increase from HKD 8.1 million in the first half of 2019[59]. - The company's cash and cash equivalents increased to HKD 41,118,000 as of June 30, 2020, up from HKD 22,887,000 at the beginning of the period[87]. - The company reported a net cash outflow from financing activities of HKD 52,857,000 for the period, compared to a net cash inflow of HKD 10,471,000 in the previous year[87]. Future Plans and Developments - The group plans to operate Hong Kong's first food-grade plastic recycling facility by the end of 2020, expected to process up to 100 tons of plastic daily and recycle 35,000 tons of PET and HDPE annually[41]. - The group is committed to expanding its recycling network and exploring processing methods for food waste and paper to increase the variety of recyclable materials[29]. - The group is committed to expanding its local recycling business and enhancing its cleaning and pest management core services, anticipating the implementation of a solid waste charging scheme in the near future[41]. Miscellaneous - The group launched a blockchain-supported recycling platform "iRecycle" in April 2020, collecting over 64,000 plastic and glass bottles within the first 100 days[29]. - The company has adopted the revised Hong Kong Financial Reporting Standard 16 regarding leases, which allows for certain rent concessions related to the COVID-19 pandemic to be recognized as variable lease expenses[101]. - The group did not declare any interim dividend for the six months ended June 30, 2020, compared to 2,905,000 HKD declared in the same period of 2019[142].

Business Challenges and Opportunities - Baguio Green Group Limited faced significant challenges in 2019 due to social unrest in Hong Kong and the onset of COVID-19, impacting its operations and the recycling business [9]. - The company believes that the demand for environmental services will continue to grow in daily life, driven by increased public awareness of hygiene and waste management [9]. - Baguio is committed to long-term sustainable environmental development and sees 2020 as a significant opportunity for internal growth [11]. - The company plans to continue investing in internal improvements, enhancing technology, and securing more partnership agreements for long-term business development [11]. - The Hong Kong government plans to establish a HKD 200 million low-carbon green research fund and issue a total of HKD 66 billion in green bonds over the next five years, creating opportunities for the environmental services sector [41]. Financial Performance - The company's revenue for the year was approximately HKD 1,397.5 million, a slight decrease of about 2.2% compared to HKD 1,429.5 million in 2018 [27]. - Gross profit fell by approximately 24.2% to about HKD 70.5 million, with a gross margin decrease of 1.5 percentage points to around 5.0% [27]. - The company reported a net loss attributable to shareholders of approximately HKD 11.0 million, compared to a profit of about HKD 17.9 million in the previous year [27]. - Administrative expenses increased by approximately 8.8% to HKD 80.2 million, accounting for about 5.7% of total revenue [52]. - Financial costs rose to approximately HKD 10.5 million in 2019, representing about 0.8% of total revenue, due to increased interest rates and higher average bank borrowings [56]. Revenue Segmentation - The waste management and recycling segment saw a revenue increase of 23.0%, reaching HKD 164.8 million, contributing 11.8% to total revenue [30]. - The pest management segment experienced a significant revenue growth of 60.7%, totaling HKD 71.2 million, which accounted for 5.1% of total revenue [30]. - The cleaning segment's revenue decreased by 8.3% to HKD 977.3 million, representing 69.9% of total revenue [30]. Investments and Developments - The company established a joint venture with ALBA Group Asia Limited and Swire Beverages to build the first food-grade plastic recycling facility in Hong Kong, marking a significant milestone in local plastic processing [10]. - The new facility is expected to process and recycle approximately 35,000 tons of waste PET and HDPE plastics annually, focusing on international markets for food-grade recycled products [11]. - The company is developing a one-stop smart phone application to enhance public engagement in recycling, which is currently in the final development stage [41]. - The company plans to invest more resources in collecting glass bottles and plastic containers to promote local recycling efforts [41]. Shareholder Returns and Dividends - The company did not recommend a final dividend for the year, compared to a final dividend of HKD 0.007 per share in 2018 [28]. - The company aims to continuously provide returns to shareholders while considering financial performance, debt-to-equity ratio, and capital needs when deciding on dividends [96]. - The financial performance and overall financial position of the group are key factors in determining dividend payments [96]. - The board considers overall market conditions and other relevant factors when making decisions regarding dividends [96]. Corporate Governance and Risk Management - The company has a comprehensive risk management and internal control system in place, as detailed in the annual report [93]. - The audit committee reviewed the group's audited annual performance and assessed the effectiveness of the company's risk management and internal control systems [196]. - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value [193]. Shareholder Information - As of December 31, 2019, major shareholders include Wu Yongkang with 278,256,000 shares (approximately 41.5% ownership) and Chen Shujuan with 278,256,000 shares (approximately 41.5% ownership) [126]. - The company reported that sales to the top five customers accounted for 61.0% of total sales for the year, down from 64.2% in 2018, with the largest customer contributing 26.2% [142]. - The total procurement amount from the top five suppliers represented 28.5% of total procurement, slightly up from 28.2% in 2018, with the largest supplier accounting for 7.6% [142].

覧 BAGUIO Clean Green 碧 瑤 綠 色 集 團 有 限 公 司 Baguio Green Group Limited ( 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ) (Incorporated in the Cayman Islands with limited liability) 股份代號 Stock Code：1397 110011 00 01001110 01000100 010 01001110 010001 Clean Recy ALL PRODUCTION CONSULT INTERIM REPORT 中期報告 2019 目 錄 2 公司資料 3 財務摘要 4 管理層討論及分析 43001110 01000100 綜合損益及其他全面收益表 01001110 C 綜合財務狀況表 01001010 15 綜合權益變動表 簡明綜合現金流量表 01000100 01010011 01 16 01001010 017 015 未經審核中期財務報告附註 01101100 0103516 0101 00100101 獨立審閱報告 01001010 36 其他資料 010011 ...

雞 碧 瑤 綠 色 集 團 有 限 公 司 Baguio Green Group Limited ( 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ) (Incorporated in the Cayman Islands with limited liability) 股份代號 Stock Code：1397 2018年報 ANNUAL REPORT in Oreen 目錄 公司資料 2 主席報告 3 管理層討論及分析 5 董事履歷詳情 12 董事會報告 15 企業管治報告 25 環境、社會及管治報告 36 獨立核數師報告 65 綜合損益及其他全面收益表 70 綜合財務狀況表 71 綜合權益變動表 72 綜合現金流量表 73 綜合財務報表附註 74 五年財務概要 128 公司資料 執行董事 吳永康先生 吳玉群女士 吳永全先生 梁淑萍女士 陳淑娟女士 核數師 畢馬威會計師事務所 | --- | --- | |---------------------|------------------------------------------------| | | | | 張笑珍女士 | 香港主要營業地點 ...