tlik AP RENTALS HOLDINGS LIMITED 亞積邦租賃控股有限公司* (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) Stock Code 股份代號：1496 2021/22 Interim Report 中期報告 BOOSPS AP RENTALS 图 2170 8638 * For identification purposes only 僅供議別 CONTENTS 目錄 02 Corporate Information 公司資料 04 condensed consolidated statement of Profit or loss and other comprehensive income 簡明綜合損益及其他全面收益表 05 condensed consolldated statement of Financial Position 簡明綜合財務狀況表 07 CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 簡明綜 ...

Financial Performance - AP Rentals reported a significant increase in revenue, achieving a total of HKD 800 million, representing a growth of 15% year-over-year[6]. - For FY2021, the Group reported total revenue of approximately HK$148.5 million, an increase of approximately 1.8% compared to HK$145.8 million in FY2020[21][23]. - The Group's gross profit for FY2021 was approximately HK$18.5 million, an increase of approximately 14.9% from approximately HK$16.1 million in FY2020, with a gross profit margin rising to approximately 12.5% from 11.0%[42]. - The Group recorded a loss attributable to owners of the Company of approximately HK$5.7 million in FY2021, a significant reduction from approximately HK$19.7 million in FY2020[44]. - Basic loss per share attributable to owners of the Company for FY2021 was HK(0.66) cent, compared to HK(2.28) cents for FY2020[45]. - The Group's financial performance indicates a positive trend with improved gross profit and reduced losses, suggesting potential for future growth[42]. Market Outlook and Strategy - Future outlook indicates a projected revenue growth of 10% for the next fiscal year, driven by increased demand for construction and event equipment rentals[6]. - The company plans to enter new markets in Southeast Asia, targeting a market share of 5% within the first two years of operation[6]. - The Group expects improved performance in FY2022 due to anticipated economic growth in PRC and increased construction investments in 5G networks and data centers[25][30]. - The Group expects gradual improvement in leasing-related services in FY2022, despite ongoing impacts from the COVID-19 pandemic[56]. - The Group anticipates an increase in leasing demand in the Central Kowloon Route and machinery sales as lockdowns in Asian countries are lifted in FY2022[61]. Operational Efficiency and Investments - The company has invested HKD 30 million in technology upgrades to improve operational efficiency and customer service[6]. - The Group plans to continue investing in advanced machines and disposing of aged machines to maintain competitiveness and profitability in FY2022[34]. - The Group's cost of sales and services increased by approximately 0.2% to about HK$130.0 million in FY2021[68]. - Machinery hiring expenses decreased by approximately HK$16.5 million compared to FY2020, while depreciation costs increased by approximately HK$11.0 million due to increased investment in leasing machinery[68]. Customer and Market Demand - User data shows a 25% increase in customer inquiries, indicating strong market interest and potential for future contracts[6]. - In FY2021, the leasing income was primarily driven by demands from the Third Runway & Improvements and KTS Park, despite a poor overall market sentiment in the Hong Kong construction industry[50]. - The COVID-19 pandemic significantly impacted the operating days of customers' work sites, leading to a decline in leasing income for FY2021[50]. - The Group expects that the economy of the PRC will continue to improve in FY2022, leading to increased demand for construction machinery[61]. Sustainability and Corporate Responsibility - The management team emphasized a commitment to sustainability, with plans to introduce eco-friendly equipment options by the end of the fiscal year[6]. - The company has obtained the Quality Powered Mechanical Equipment (QPME) identification for most of its rental equipment, demonstrating a commitment to environmental sustainability[135]. - The company recognizes the importance of relationships with employees, customers, and suppliers for sustainable development and is committed to providing a fair and safe workplace[138]. - Charitable donations made by the Group during the year amounted to HK$500.0, compared to nil in FY2020[150]. Financial Stability and Capital Management - As of March 31, 2021, the Group had bank balances and cash equivalents of approximately HK$38.4 million, an increase from approximately HK$30.0 million as of March 31, 2020[85][88]. - The Group's gearing ratio was nil as of March 31, 2021, down from approximately 10.6% as of March 31, 2020, indicating improved financial stability[90][93]. - The Group plans to fund future operations and expansion primarily through cash generated from operations and borrowings[91]. - The total staff cost for FY2021 amounted to approximately HK$45.9 million, up from approximately HK$41.4 million in FY2020, primarily due to an increase in headcount of operators and annual salary review[101]. Employee Development and Training - The Group emphasizes employee training and development resources to keep staff updated on market and industry developments[141]. - The Group's technical staff participate in seminars to acquire product knowledge and skills necessary for their duties[102]. - The company provides competitive remuneration and benefits, along with career development opportunities based on merit and performance[138]. Risks and Challenges - The company faces potential risks including global economic recession, increased construction material costs, and adverse changes in government infrastructure spending[132]. - The construction industry in PRC continues to face challenges due to labor shortages and material supply disruptions caused by COVID-19, impacting leasing demand[25][30].

IR AP RENTALS HOLDINGS LIMITED (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) Stock Code 股份代號：1496 202 INTERIM REPORT 中期報告 * For identification purposes only 僅供藏別 ONTENTS CORPORATE INFORMATION 公司資料 2 condensed consolidated statement of Profit or loss and other comprehensive income 簡明綜合損益及其他全面收益表 4 Condensed Consolidated Statement of Financial Position 簡明綜合財務狀況表 5 CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 簡明綜合權益變動表 7 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS 簡明綜 ...

tips AP RENTALS HOLDINGS LIMITED 亞積邦租賃控股有限公司* (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) Stock Code 股份代號：1496 20 Annual Report 年 報 25834 AP RENTALS Z 2170 8638 ® IIIIb AP RENTALS 2170 8638 ARE os III * For identification purposes only 僅供議別 0 大量 the state In and of the n 100 7 in 10.0 7 前 OSTUL 2-4 TH F the t All a LT T - 10 west The States r = Expani - 0- ali Inewal · Quality Living P H ug T he ISTIC u + an gr 1 T FULL 4 108 t 1 N 10 0 2 1 2 1 2 1 the I Y TACT 300 上一篇 - 2 f ...

Financial Performance - Total revenue for the period was HK$67,140,000, a decrease of 3% from HK$69,822,000 in the previous period[15] - Gross profit decreased to HK$7,423,000, down 40% from HK$12,466,000 year-on-year[15] - Loss before tax was HK$6,128,000 compared to a profit of HK$504,000 in the same period last year[15] - Loss for the period amounted to HK$6,128,000, compared to a profit of HK$271,000 in the previous year[15] - Other income decreased to HK$1,173,000, down 60% from HK$2,903,000 year-on-year[15] - Total comprehensive loss for the period was HK$6,046,000, compared to a comprehensive income of HK$195,000 in the previous year[15] - Basic loss per share was HK$0.7 cents, compared to earnings of HK$0.02 cents per share in the previous period[15] - The company reported a net loss of HK$6,128,000 for the period ended September 30, 2019, compared to a profit of HK$271,000 for the same period in 2018[22] - The Group reported a condensed consolidated loss before tax of HK$6,128,000 for the six months ended September 30, 2019[113] Assets and Liabilities - Non-current assets increased to HK$250,001,000 as of September 30, 2019, up from HK$224,138,000 as of March 31, 2019, representing an increase of approximately 11.5%[17] - Current assets decreased to HK$98,798,000 as of September 30, 2019, down from HK$107,918,000 as of March 31, 2019, a decline of about 8.3%[17] - Total liabilities increased to HK$80,389,000 as of September 30, 2019, compared to HK$64,587,000 as of March 31, 2019, an increase of about 24.4%[17] - The company’s total equity decreased to HK$234,499,000 as of September 30, 2019, down from HK$240,545,000 as of March 31, 2019, a decline of approximately 2.5%[20] - Cash and cash equivalents at the end of the period were HK$45,960,000, down from HK$56,207,000 at the end of the same period in 2018, a decrease of approximately 18.2%[28] - Trade and other payables increased to HK$52,566,000 as of September 30, 2019, from HK$45,391,000 as of March 31, 2019, an increase of about 15.3%[17] Cash Flow - Net cash from operating activities for the six months ended September 30, 2019, was HK$14,010,000, compared to HK$35,216,000 for the same period in 2018, a decrease of approximately 60.2%[28] - The company’s net cash used in investing activities was HK$25,024,000 for the six months ended September 30, 2019, compared to HK$27,072,000 for the same period in 2018, a decrease of about 7.6%[28] Accounting Policies and Standards - The Group's interim financial information for the six months ended 30 September 2019 has been prepared in accordance with HKFRS and Listing Rules[32] - The Group has applied HKFRS 16 for the first time, which supersedes HKAS 17 Leases, impacting the accounting policies[46] - The application of new HKFRSs includes changes in accounting policies related to leases and income tax treatments, which may affect reported amounts[41] - The Group's accounting policies for the interim period are consistent with those used in the preparation of the annual consolidated financial statements[33] - The Group's financial results for the six months ended September 30, 2019, reflect significant changes in accounting policies due to the application of HKFRS 16, impacting lease liabilities and right-of-use assets[49] Lease Accounting - Right-of-use assets are measured at cost, which includes the initial measurement of lease liabilities and any lease payments made before the commencement date, adjusted for any incentives received[51] - Lease liabilities are recognized at the present value of unpaid lease payments at the commencement date, using the incremental borrowing rate if the implicit interest rate is not determinable[54] - The Group applies the short-term lease recognition exemption for leases with a term of 12 months or less, recognizing lease payments as expenses on a straight-line basis[51] - The Group's accounting policies ensure that right-of-use assets are depreciated over the shorter of their estimated useful life or the lease term, unless ownership is reasonably certain at the end of the lease[51] - The Group's financial position reflects the impact of these accounting changes, presenting right-of-use assets as a separate line item on the consolidated statement of financial position[51] Business Combinations - Business combinations are accounted for using the acquisition method, with the consideration measured at fair value, including the fair values of assets transferred and liabilities incurred[84] - Goodwill is measured as the excess of the consideration transferred over the net amount of identifiable assets acquired and liabilities assumed at the acquisition date[89] - The Group's previously held equity interest in the acquiree is remeasured to fair value at the acquisition date, with any resulting gain or loss recognized in profit or loss or other comprehensive income[94] - The Group's interim report indicates that the accounting for business combinations may involve provisional amounts subject to adjustments based on new information[99] Revenue Breakdown - The Group's total revenue for the six months ended September 30, 2019, was HK$67,140,000, with segment revenue from external customers amounting to HK$58,118,000 from leasing and HK$9,022,000 from trading[113] - The leasing of machinery generated revenue of HK$50,674,000, while sales of machinery and parts contributed HK$8,975,000[110] - The Group's geographical revenue breakdown shows HK$52,940,000 from Hong Kong and HK$4,404,000 from Macau[110] - The Group's revenue recognition timing indicates HK$8,975,000 was recognized at a point in time, while HK$7,411,000 was recognized over time[110] Staff and Expenses - For the six months ended September 30, 2019, the total staff costs amounted to HK$18,925,000, a decrease of 13.4% compared to HK$21,761,000 in the same period of 2018[145] - Administrative, selling and distribution expenses were HK$17,382,000, slightly down from HK$17,691,000 in the previous period[15] - The Group's unallocated expenses totaled HK$14,450,000, impacting overall profitability[113] Other Financial Information - The company recognized a gain on disposal of property, plant, and equipment amounting to HK$3,293,000 for the six months ended September 30, 2019, compared to HK$3,008,000 in 2018, reflecting an increase of 9.5%[131] - The depreciation of property, plant, and equipment for the period was HK$27,144,000, an increase from HK$24,091,000 in the previous year, representing a rise of 12.5%[125] - The company did not incur any current tax for Hong Kong Profits Tax for the six months ended September 30, 2019, consistent with the previous year[140] Acquisition Details - On September 20, 2019, the company acquired a 100% interest in AP Rentals (Shanghai) Limited for a consideration of HK$18.3 million[199] - The acquisition of AP Rentals (Shanghai) Limited is expected to enhance the company's presence in the construction equipment rental services market in China[200]

Financial Performance - For FY2019, the Group reported total revenue of approximately HK$146.1 million, a decrease of 35.1% compared to HK$225.3 million in FY2018[27]. - The net profit declined from approximately HK$21.1 million in FY2018 to a net loss of approximately HK$(2.5) million in FY2019[27]. - The Group's gross profit for FY2019 was approximately HK$26.2 million, representing a decrease of approximately 54.3% from HK$57.2 million in FY2018, with a gross profit margin of approximately 17.9%[57][60]. - Basic loss per share for FY2019 was HK(0.29) cent, compared to a basic profit per share of HK2.44 cents for FY2018[59][61]. - The Group recorded a loss attributable to owners of approximately HK$(2.5) million for FY2019, compared to a profit of approximately HK$21.1 million in FY2018, resulting in a loss margin of approximately (1.7)%[94]. - The overall market sentiment in the construction industry in Hong Kong deteriorated during FY2019, primarily due to the completion of major projects like the Express Rail and HZMB, which negatively impacted rental income[67]. - The Group's return on total assets was (0.8%), a decrease from 6.3% in 2018, showing a negative trend in asset utilization[120]. - The current ratio for 2019 was 1.67, down from 2.22 in 2018, suggesting a decline in short-term financial health[120]. Revenue Breakdown - The Group's revenue breakdown for FY2019 shows 91.5% from Macau, 0.7% from Singapore, and 7.8% from Hong Kong[41]. - Revenue from machinery and spare parts sales decreased by approximately 74.5% to about HK$10.5 million from approximately HK$41.1 million in FY2018[32]. - Revenue from machinery leasing decreased by approximately 22.4% to about HK$112 million from approximately HK$144.4 million in FY2018[32]. - Rental income from machinery accounted for approximately 76.7% of the Group's total revenue for FY2019, up from approximately 64.1% in FY2018[79]. - Revenue from equipment operating services decreased by approximately 57.1% to approximately HK$10.8 million for FY2019, accounting for approximately 7.4% of total revenue[82]. Expenses and Cost Management - The Group's administrative, selling, and distribution expenses decreased to approximately HK$36.3 million, down 11.2% from approximately HK$40.9 million in FY2018[27]. - The Group's cost of sales amounted to approximately HK$119.9 million for FY2019, representing a year-on-year decrease of approximately 28.6%[84]. - Machinery hiring expenses decreased by approximately 33.1% during FY2019 due to a higher owned fleet and decreased demand for machines[85]. - Sales costs for FY2019 were approximately HK$119.9 million, a decrease of about 28.6% from FY2018's HK$168.0 million, with machinery rental expenses down by approximately 33.1% and employee costs down by approximately 36.5%[87]. - The total staff cost for FY2019 was approximately HK$42.1 million, a decrease from approximately HK$57.0 million in FY2018, primarily due to reduced headcount[107]. Strategic Initiatives and Future Plans - The Group plans to explore opportunities to expand its business beyond Hong Kong while considering economic risks such as the potential Trade War[37]. - The Group aims to promote the APS in Smart System in Mobile Electricity (SSME) to enhance customer benefits in smart equipment management and environmental protection[37]. - The Group plans to expand its trading and rental solution business in Hong Kong and PRC while promoting environmental protection concepts[44]. - The Group is considering a shift in its business model in Singapore to reduce net losses in the coming months[75]. - The Group plans to fund future operations and expansion primarily through cash generated from operations and borrowings[100]. Acquisitions and Investments - AP Rentals (China) Limited acquired Ajax Pong (Shanghai) Limited to expand its business and diversify income streams geographically[38]. - The acquisition will allocate approximately 70% of Ajax Pong Shanghai's equipment fleet to leasing and the remaining to trading[38]. - The Group invested approximately HK$91.8 million in new advanced machines, including generators for the newly introduced Automatic Power System (APS)[32]. - Capital expenditures in FY2019 amounted to approximately HK$92.5 million, up from approximately HK$80.3 million in FY2018, primarily for expanding the Group's owned rental fleet of machinery[95]. Market Conditions and Challenges - The Group's performance in Macau declined but was not significant compared to Hong Kong, as the decline had started in 2017[36]. - The Group does not expect significant improvement in the business performance in Macau and Singapore in the coming year[38]. - Due to the Trade War, the Group has not made progress in expanding its business in Southeast Asian countries along the "Belt & Road" initiative[76]. - The Group recorded a decline in trading income and a decrease in leasing income due to the completion of major infrastructure projects[53]. Corporate Governance and Shareholder Information - The Board does not recommend the payment of a final dividend for the year ended 31 March 2019[46]. - The Group's charitable donations during the year amounted to HK$15,000, a decrease from HK$130,000 in FY2018[164]. - The largest customer contributed 3.8% of the total revenue for the year ended March 31, 2019[192]. - The aggregate revenue from the five largest customers accounted for 14.0% of total revenue[193]. - The largest supplier accounted for 26.1% of total purchases[193]. Environmental and Social Responsibility - The Group has obtained the Quality Powered Mechanical Equipment (QPME) identification for most of its rental equipment, contributing to environmental sustainability[143]. - The Group's environmental policy includes compliance with the NRMM regulations, with most applicable equipment obtaining NRMM labels[147]. - The Group is committed to establishing strong relationships with employees, customers, and suppliers to enhance sustainable development[146].