Financial Performance - Revenue for the six months ended June 30, 2022, was S$35,080,289, representing a 12.8% increase from S$31,098,399 in 2021[19] - Profit for the period fell to S$2,921,564, a decrease of 29.3% compared to S$4,131,468 in 2021[19] - Gross profit decreased to S$8,575,630, down 1.5% from S$8,702,815 in the previous year[19] - The Group's profit for the period decreased by approximately S$1.2 million or 29.3% from approximately S$4.1 million for the six months ended 30 June 2021 to approximately S$2.9 million for the six months ended 30 June 2022[58] - The Group's profit before taxation was S$4,018,467, down from S$5,110,138 in the previous year[187] Revenue Breakdown - Revenue from nuts sales accounted for approximately 67.4% of total revenue, while chips sales accounted for 29.9% for the six months ended 30 June 2022[31] - Revenue from the Nuts segment was S$23,645,783, up 6.5% from S$22,195,286 in 2021, while the Chips segment revenue increased by 30.7% to S$10,486,239 from S$8,023,512[187] - The Group's revenue from Malaysia increased significantly from approximately S$6.5 million (20.8% of total revenue) for the six months ended 30 June 2021 to approximately S$9.6 million (27.4% of total revenue) for the six months ended 30 June 2022[39] - Revenue from Singapore was S$20,519,468, up from S$19,706,269, while revenue from Malaysia increased to S$9,611,645 from S$6,477,552[191] Cost and Expenses - The Group's cost of sales increased by approximately S$4.1 million or 18.3% from approximately S$22.4 million for the six months ended 30 June 2021 to approximately S$26.5 million for the six months ended 30 June 2022[62] - Selling and distribution expenses increased by approximately S$70,000 or 4.9%, rising from approximately S$1.4 million for the six months ended 30 June 2021 to approximately S$1.5 million for the six months ended 30 June 2022[70] - Administrative expenses increased by approximately S$0.7 million or 29.1%, from approximately S$2.4 million for the six months ended 30 June 2021 to approximately S$3.1 million for the six months ended 30 June 2022[70] - The Group's other income decreased by approximately S$129,000 or 63.1% from approximately S$204,000 for the six months ended 30 June 2021 to approximately S$75,000 for the six months ended 30 June 2022[64] Profitability Metrics - Return on total assets was 3.8% as of June 30, 2022, down from 4.3% at the end of 2021[24] - Return on equity decreased to 4.5% from 5.5% in December 2021[24] - Gross profit margin for the period was 24.4%, down from 28.0% in the previous year[24] - Basic and diluted earnings per share for the period were 0.29 Singapore cents, down from 0.41 Singapore cents in the previous year, representing a decrease of 29.3%[96] Assets and Liabilities - Non-current assets as of June 30, 2022, were S$25,265,522, a decrease of 2.7% from S$25,958,207 at the end of 2021[22] - Total assets amounted to S$69,323,481, an increase from S$67,027,533 as of December 31, 2021, reflecting a growth of approximately 3.4%[99] - Total liabilities decreased to S$51,053,572 from S$52,762,583, showing a reduction of about 3.2%[99] - Current liabilities significantly decreased by 40.2% to S$6,995,613 from S$11,693,257 in December 2021[22] Market and Economic Context - Singapore's GDP growth averaged 4.1% year-on-year in the first half of 2022[49] - The Ministry of Trade and Industry, Singapore has revised the GDP growth forecast for 2022 to between 3.0% and 4.0%, down from the previous forecast of 3.0% to 5.0%[49] - The ongoing Russia-Ukraine conflict and its impact on global supply disruptions and inflationary pressures remain a significant risk to economic growth[52] - Key Southeast Asian economies such as Malaysia, Indonesia, and Thailand are projected to expand at a slightly faster pace in the second half of 2022 due to a continued recovery in domestic and tourism demand[51] Cash Flow and Financing - Cash and cash equivalents rose to S$30,050,967 from S$26,277,352, reflecting an increase of about 10.3%[99] - Net cash from operating activities increased to S$4,920,663 from S$4,529,611 in 2021, reflecting a growth of 8.6%[175] - The company incurred finance costs of S$58,138, slightly down from S$60,812 in 2021[175] - The Group maintained a low gearing ratio of approximately 0.05 times as at June 30, 2022, compared to 0.06 times as at 31 December 2021[72] Future Outlook - The Group expects demand for healthier snack products to remain resilient in the long term, with the global snack food market projected to grow at approximately 5.5% annually to 2026[58] - The Group will adopt a cautious and prudent approach in managing its business to maintain sustainable growth and create long-term shareholder value[58] - The expected timeline for utilizing the unutilized net proceeds is subject to change based on future market conditions[78]

Financial Performance - The company reported a significant increase in revenue, achieving a total of $150 million for the fiscal year, representing a 25% growth compared to the previous year[2]. - The Group's total revenue decreased by approximately S$4.3 million or 6.2% from approximately S$69.6 million in FY2020 to approximately S$65.3 million in FY2021[16]. - The Group's total gross profit decreased by approximately S$1.0 million or 5.3% from approximately S$18.7 million in FY2020 to approximately S$17.7 million in FY2021, while the gross profit margin improved from 26.9% to 27.1%[16]. - Profit for the year decreased by approximately S$3.4 million or 49.9% from approximately S$6.8 million for the year ended 31 December 2020 to approximately S$3.4 million for the year ended 31 December 2021[95]. - The gross profit margin improved to 40%, up from 35% in the previous year, indicating better cost management[2]. Market Outlook and Strategy - The company provided a positive outlook for the next fiscal year, projecting revenue growth of 20% to $180 million[2]. - New product launches are expected to contribute an additional $20 million in revenue, with a focus on innovative technology solutions[2]. - The company is expanding its market presence in Southeast Asia, targeting a 15% market share by the end of the next fiscal year[2]. - The Group expects strong demand for snack products, particularly those with less sugar, as health awareness among consumers increases[18]. - The Group will adopt a cautious approach in managing its business to maintain sustainable growth and create long-term shareholder value[18]. Cost Management and Efficiency - Research and development expenses increased by 10% to $5 million, reflecting the company's commitment to innovation[2]. - The company aims to reduce operational costs by 5% through efficiency improvements in the supply chain[2]. - Selling and distribution expenses increased by approximately S$0.5 million or 17.6% from approximately S$3.0 million for the year ended 31 December 2020 to approximately S$3.5 million for the year ended 31 December 2021[92]. - Administrative expenses increased by approximately S$1.6 million or 20.9% from approximately S$7.5 million for the year ended 31 December 2020 to approximately S$9.0 million for the year ended 31 December 2021[92]. Shareholder Returns - The Directors resolved not to recommend any dividend for FY2021 despite the Group being profitable[18]. - The Board resolved not to recommend any final dividend for the year ended December 31, 2021, despite the Group being profitable[116]. - The Group's dividend policy, adopted on 20 December 2018, aims to allow shareholders to participate in profits while retaining reserves for future growth[175]. Operational Insights - The Group's principal activity is investment holding, primarily engaged in the production, packaging, and sale of nuts and chips, with a track record of over 50 years[167]. - The core products include roasted nuts, baked nuts, potato chips, and cassava chips, distributed to over 10 countries including Singapore, Malaysia, and the UK[167]. - The Group's materials cost accounted for over 80% of its cost of sales, primarily consisting of various nuts and beans[188]. - The Group's business experiences seasonal fluctuations, with higher revenue typically recorded during holiday seasons[187]. Management and Governance - The management team includes family members, indicating a closely-knit leadership structure[132]. - The board includes independent non-executive directors, enhancing governance and oversight[137]. - The company has a strong emphasis on risk management, with dedicated committees in place[137]. - The finance team led by Mr. Terence Loo will provide advice to the Board and coordinate with sales and procurement teams to manage financial and operational risks[152]. Economic Context - Singapore's GDP growth for 2022 is forecasted to be between 3.0% and 5.0%[18]. - The Singapore economy grew by 6.1% year-on-year in Q4 2021, moderating from 7.5% growth in Q3 2021[76]. - For the entire year of 2021, Singapore's economy expanded by 7.6%, rebounding from a 4.1% contraction in 2020[76]. - The global snack food market, including nuts and chips, is expected to grow at approximately 5.5% annually over the next five years[81].

Financial Performance - Revenue for the six months ended June 30, 2021, was S$31,098,399, a decrease of 2.6% compared to S$31,928,532 in 2020[13] - Gross profit for the same period was S$8,702,815, down 4.8% from S$9,143,922 in 2020[13] - Profit before taxation decreased by 17.2% to S$5,110,138 from S$6,171,126 in the previous year[13] - Profit for the period was S$4,131,468, reflecting an 18.6% decline from S$5,075,891 in 2020[13] - The Group's revenue decreased by approximately S$0.8 million or 2.6% from approximately S$31.9 million for the six months ended 30 June 2020 to approximately S$31.1 million for the six months ended 30 June 2021[24] - Profit for the period decreased by approximately S$1.0 million or 18.6% from approximately S$5.1 million for the six months ended June 30, 2020, to approximately S$4.1 million for the six months ended June 30, 2021[85] - Other income decreased by approximately S$370,000 or 64.3% from approximately S$574,000 for the six months ended June 30, 2020 to approximately S$204,000 for the six months ended June 30, 2021[101] - Other gains decreased by approximately S$279,000 or 77.5% from approximately S$360,000 for the six months ended June 30, 2020 to approximately S$81,000 for the six months ended June 30, 2021[101] Assets and Liabilities - Non-current assets increased by 5.8% to S$24,130,117 as of June 30, 2021, compared to S$22,806,990 at the end of 2020[15] - Current liabilities decreased significantly by 32.5% to S$6,556,066 from S$9,711,289 in December 2020[15] - Total equity rose by 6.9% to S$62,371,184 from S$58,340,360 at the end of 2020[15] - As of June 30, 2021, total assets amounted to S$48,155,551, a decrease of 1.86% from S$49,070,803 as of December 31, 2020[149] - Net current assets increased to S$41,599,485, reflecting a growth of 5.3% from S$39,359,514 as of December 31, 2020[149] - Trade receivables decreased to S$7,999,972, down 39.5% from S$13,156,360 as of December 31, 2020[149] - Cash and bank balances increased to S$27,303,525, a rise of 11.8% from S$24,400,875 as of December 31, 2020[149] Profitability Ratios - Return on total assets was 5.7% as of June 30, 2021, down from 9.5% in December 2020[17] - Return on equity decreased to 6.6% from 11.7% in the previous period[17] - The gross profit margin decreased from approximately 28.6% for the six months ended June 30, 2020 to approximately 28.0% for the six months ended June 30, 2021[60] - The gross margin declined from approximately 28.6% for the six months ended June 30, 2020, to about 28.0% for the same period in 2021, primarily due to lower margins in nuts and chips[62] Market and Economic Conditions - Singapore's economy expanded by 14.7% year-on-year in Q2 2021, significantly higher than the 1.5% growth in Q1 2021, largely due to a low base effect from the previous year[65] - The Ministry of Trade and Industry, Singapore, upgraded the GDP growth forecast for 2021 to 6.0% to 7.0%, from the previous forecast of 4.0% to 6.0%[68] - The economic recovery in key Southeast Asian economies is likely to be slower than earlier projected due to tightened restrictions to contain Covid-19 infections[73] - Downside risks in the global economy include uncertainty surrounding the Covid-19 pandemic and potential inflationary pressures that could lead to earlier interest rate increases[77] - The performance of the Singapore economy in the first half of 2021 was stronger than expected, with the vaccination program making good progress[78] Segment Performance - Sales of nuts accounted for approximately 71.4% of total revenue, while chips accounted for approximately 25.8% for the six months ended 30 June 2021[35] - Revenue from Singapore and Malaysia accounted for approximately 63.4% and 20.8% of total revenue respectively for the six months ended 30 June 2021[49] - Revenue from the "Nuts" segment was S$22,195,286, down 5.8% from S$23,572,724 in the previous year[181] - The "Chips" segment generated revenue of S$8,023,512, an increase of 7.9% compared to S$7,433,591 in 2020[181] - Revenue from the People's Republic of China (including Hong Kong) decreased significantly to S$3,570,939 from S$5,236,536, a decline of 31.8%[185] Operational Challenges - The Group temporarily shut down its production facilities in Malaysia from May 24, 2021, until June 2, 2021, due to positive Covid-19 cases among workers[88] - The Group noted an increase in sales to end customers in Singapore and Malaysia, but a decline in sales to end customers in the PRC due to a nonrecurring large order from an OEM customer based in Hong Kong in the first half of 2020[85] - The Group received a relatively lower amount of government assistance in the first half of 2021 compared to the same period in 2020[85] - The Group continues to focus on government support measures to mitigate challenges arising from the Covid-19 pandemic[189] Cash Flow and Investments - Operating cash flows before movement in working capital amounted to S$5,710,455, down from S$7,038,555 in the previous year, reflecting a decline of 18.8%[157] - Net cash from operating activities decreased to S$4,592,205, compared to S$5,728,673 in the prior year, representing a decline of 19.9%[157] - Net cash used in investing activities was S$7,068,293, significantly higher than S$367,576 in the previous year, indicating increased investment activity[159] - The company reported a significant increase in inventories, which rose by S$366,004, compared to a larger increase of S$672,540 in the previous year[157] Corporate Governance - The Board resolved not to recommend any interim dividend for the six months ended June 30, 2021, despite the Group being profitable[131] - No share options have been granted or exercised under the Share Option Scheme since its adoption on December 20, 2018[138] - The Group maintained sufficient public float as required under the Listing Rules throughout the six months ended June 30, 2021[139]

TS Wonders Holding 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 : 1767) 202 Annual Report 年報 Contents 目錄 Contents Corporate Information 2 公司資料 Chairlady's Statement 5 主席報告 Financial Highlights 8 財務摘要 Management Discussion and Analysis 10 管理層討論及分析 Biographical Details of the Directors and Senior Management 25 董事及高級管理層履歷詳情 Report of the Directors 32 董事會報告 Corporate Governance Report 50 企業管治報告 Environmental, Social and Governance Report 67 環境、社會及管治報告 Ind ...

Financial Performance - Revenue for the six months ended June 30, 2020, was S$31,928,532, representing a 12.4% increase from S$28,417,231 in 2019[19] - Gross profit increased by 20.7% to S$9,143,922 compared to S$7,572,806 in the previous year[19] - Profit for the period surged by 143.2% to S$6,171,126 from S$2,537,563 in 2019[19] - The Group's revenue increased by approximately S$3.5 million or 12.4% from approximately S$28.4 million for the six months ended 30 June 2019 to approximately S$31.9 million for the six months ended 30 June 2020[28] - Profit for the period increased by approximately S$3.4 million or 200.9% from approximately S$1.7 million for the six months ended 30 June 2019 to approximately S$5.1 million for the six months ended 30 June 2020[93] - The Group's profit before taxation was S$6,171,126, compared to S$2,537,563 in the previous year, indicating a growth of 143.5%[196] Profitability Metrics - Gross profit margin for the period was 28.6%, up from 26.6% in 2019[23] - Profit margin for the period was 15.9%, compared to 5.9% in the previous year[23] - The Group's gross profit margin improved from approximately 26.6% for the six months ended 30 June 2019 to approximately 28.6% for the six months ended 30 June 2020[67] - The gross profit margin for nuts increased from approximately 25.5% to approximately 28.4% due to lower average costs of certain raw nuts[68] - The gross profit margin for chips decreased from approximately 31.0% to approximately 28.8% primarily due to rising raw potato prices[69] Assets and Equity - Total equity rose by 9.8% to S$56,660,260 as of June 30, 2020, compared to S$51,583,887 at the end of 2019[21] - Current assets increased by 10.6% to S$46,139,626 from S$41,724,508 in December 2019[21] - Total assets as of June 30, 2020, were S$83,109,428, a slight decrease from S$83,323,783 as of December 31, 2019[148] - Net current assets increased to S$38,492,474 from S$33,476,767 at the end of 2019[148] - Accumulated profits rose to S$31,316,982, up from S$26,241,091 at the end of 2019[150] Cash Flow and Expenses - Cash generated from operations was S$6,173,167, compared to S$4,726,263 in the same period last year, indicating a year-over-year increase of about 30%[165] - The net cash from operating activities was S$5,728,673, an increase from S$4,328,636 in the prior year, reflecting a growth of approximately 32%[165] - The Group's cost of sales increased by approximately S$2.0 million or 9.3% from approximately S$20.8 million for the six months ended 30 June 2019 to approximately S$22.8 million for the six months ended 30 June 2020[87] - Administrative expenses decreased by approximately S$0.3 million or approximately 11.8% from approximately S$2.8 million for the six months ended 30 June 2019 to approximately S$2.5 million for the six months ended 30 June 2020[90] - Selling and distribution expenses were S$1,321,921, slightly higher than S$1,306,712 in 2019[196] Market and Economic Context - The global snack food market is projected to grow from USD 210.4 billion in 2019 to USD 215.9 billion in 2020, with a compound annual growth rate (CAGR) of 2.7%[79] - The market is expected to recover and grow at a CAGR of 7% from 2021, reaching USD 264.8 billion by 2023[79] - The Ministry of Trade and Industry of Singapore forecasts GDP growth for 2020 to be between -7.0% to -5.0% due to the economic impact of Covid-19 measures[75] Operational Insights - The sale of nuts accounted for approximately 73.8% of total revenue, while chips accounted for approximately 23.3% for the six months ended 30 June 2020[42] - Sales from the PRC increased from approximately 6.8% to approximately 16.4% of total revenue, driven by a large order from an OEM customer in Hong Kong[56] - Sales from Malaysia declined from approximately 24.4% to approximately 19.0% due to the Movement Control Order imposed by the Malaysian government[56] - The Group's products are sold and distributed to over 10 countries, including Singapore, Malaysia, the PRC, India, the UK, and Indonesia[28] Corporate Governance and Compliance - The Group has been accredited with various certifications related to quality management and food safety, ensuring compliance with legal requirements[27] - The interim consolidated financial statements are presented in Singapore dollars (S$), which is also the functional currency of the Company[188] - The interim financial statements comply with all applicable International Financial Reporting Standards (IFRS) and the disclosure requirements of the Companies Ordinance[189] - The Group does not expect the adoption of new IFRS standards to have a material impact on future financial statements[195] Future Outlook and Strategic Plans - Despite favorable results in the first half of 2020, the Group acknowledges that these may not be sustainable due to ongoing macroeconomic uncertainties[81] - The Group plans to revise the expected timeline for implementing its business strategies due to adverse impacts from the US-PRC trade tension, Brexit, and the Covid-19 pandemic[125] - The Group will continue to monitor the impact of the Covid-19 outbreak on its operations, considering the unpredictability of the situation[115]

Financial Performance - The company reported a consolidated revenue of HKD 1.2 billion for the fiscal year, representing a year-over-year increase of 15%[4] - The company has projected a revenue growth of 10% for the next fiscal year, aiming for HKD 1.32 billion[5] - The Group's revenue for FY2019 was approximately S$61.1 million, an increase of approximately S$2.5 million or 4.2% compared to FY2018 revenue of approximately S$58.6 million[27] - The Group's total gross profit for 2019 was S$15,472,139, compared to S$14,318,933 in 2018[94] - The Group's revenue increased by approximately S$2.5 million or 4.2% from approximately S$58.6 million for the year ended 31 December 2018 to approximately S$61.1 million for the year ended 31 December 2019[108] User Growth and Market Expansion - User data showed a growth in active users by 25%, reaching a total of 500,000 users by the end of the year[5] - Market expansion efforts have led to a 20% increase in market share in Southeast Asia[4] - The company plans to open two new offices in Europe to support its international growth strategy[5] Product Development and Revenue Contribution - New product launches contributed to 30% of total revenue, with three major products introduced during the year[4] - The Group aims to achieve higher growth by expanding its product range and production capacity in the snacks industry[31] Research and Development - The company is investing HKD 50 million in R&D for new technologies aimed at enhancing user experience[5] Sustainability and Corporate Responsibility - The management emphasized a focus on sustainability initiatives, allocating 5% of revenue towards environmental projects[4] - The Group has complied with all applicable environmental laws and regulations, with no material claims or penalties reported in 2019[197] Financial Stability and Liquidity - The current ratio improved from 2.6 in 2018 to 5.1 in 2019, suggesting enhanced liquidity and financial stability[45] - Bank borrowings decreased to approximately S$2.8 million as of December 31, 2019, compared to approximately S$5.0 million as of December 31, 2018, reflecting a reduction in debt[128] Profitability and Cost Management - Gross profit for FY2019 was approximately S$15.5 million, representing an increase of approximately S$1.2 million or 8.1% compared to FY2018 gross profit of approximately S$14.3 million[27] - The Group's gross profit margin improved from 24.4% in 2018 to 25.3% in 2019, indicating better cost management and pricing strategies[49] Challenges and Economic Outlook - The Ministry of Trade and Industry downgraded Singapore's GDP growth forecast for 2020 to between -4.0% to -1.0% due to various economic challenges[31] - The Group anticipates a challenging macroeconomic environment for the year ending 31 December 2020 due to factors including the Covid-19 outbreak[144] Dividend Policy - The Directors resolved not to recommend any dividend for FY2019 despite the Group being profitable, due to the uncertain macroeconomic outlook[31] - The Group's dividend policy remains unchanged, with the Board continuing to assess the possibility of recommending dividends in the next financial period[154] Employee and Management Insights - The Group had 256 employees as of 31 December 2019, an increase from 218 employees in the previous year[152] - The Group's core management team has over 30 years of experience in the snacks industry, focusing on operations, sales, and marketing[159] Risk Management - The Group's business operations and financial results may be affected by various risks and uncertainties, including seasonality and material price fluctuations[199] - The risk management committee is responsible for reviewing and investigating future foreign exchange rates and hedging methods[148] Compliance and Certifications - The Group has been accredited with various certifications related to quality management and food safety, ensuring compliance with legal requirements[54] - The Group's compliance and risk management policies are in place to monitor adherence to significant legal and regulatory requirements[197]

Revenue and Profit - Revenue for the six months ended June 30, 2019, was S$28,417,231, a decrease of 4.3% compared to S$29,687,441 in 2018[19] - Profit for the period decreased by 44.0% to S$1,686,660 from S$3,012,750 in 2018[19] - The Group's revenue decreased by approximately S$1.3 million or 4.3% from approximately S$29.7 million for the six months ended 30 June 2018 to approximately S$28.4 million for the six months ended 30 June 2019[26] - The Group reported a profit for the period of approximately S$1.7 million, a decrease of approximately S$1.3 million or 44.0% from approximately S$3.0 million for the six months ended June 30, 2018[74] - Basic and diluted earnings per share were 0.17 Singapore cents, down from 0.38 Singapore cents in the same period last year[94] - Net profit for the period was S$1,686,660, a decline of 44.0% compared to S$3,012,750 in 2018[141] Gross Profit and Margins - Gross profit for the same period was S$7,572,806, down 10.4% from S$8,454,664 in 2018[19] - Gross profit margin for the six months ended June 30, 2019, was 26.6%, compared to 28.5% in 2018[23] - The Group's total gross profit decreased by approximately S$0.9 million or 10.4% from approximately S$8.5 million for the six months ended 30 June 2018 to approximately S$7.6 million for the six months ended 30 June 2019[69] - The Group's overall gross profit margin decreased from approximately 28.5% for the six months ended 30 June 2018 to approximately 26.6% for the six months ended 30 June 2019[69] Assets and Liabilities - Non-current assets increased by 6.8% to S$20,755,095 as of June 30, 2019, compared to S$19,425,751 as of December 31, 2018[21] - Current assets rose significantly by 45.9% to S$38,839,016 from S$26,620,755[21] - Current liabilities decreased by 59.1% to S$4,199,930 from S$10,272,099[21] - Total equity increased by 49.9% to S$50,741,344 from S$33,842,744[21] - The Group's current ratio improved to 9.2 times as at 30 June 2019 from 2.6 times as at 31 December 2018[79] - The Group's bank borrowings decreased to approximately S$3.0 million as at 30 June 2019 from approximately S$5.0 million as at 31 December 2018[81] Revenue by Segment - Sales of nuts accounted for approximately 75.6% of total revenue, while chips accounted for 19.9% for the six months ended 30 June 2019[39] - Revenue from the "Nuts" segment was S$21,479,087, down 4.4% from S$22,477,969 in the previous year[141] - The "Chips" segment generated revenue of S$5,642,557, a decrease of 1.2% from S$5,713,391 in 2018[141] - The "Others" segment reported revenue of S$1,295,587, down 13.4% from S$1,496,081 in the prior year[141] Expenses - Selling and distribution expenses increased to S$1,306,712 from S$1,084,292, reflecting a rise of 20.5%[141] - Administrative expenses increased by approximately S$0.7 million or 35.5% to approximately S$2.8 million for the six months ended 30 June 2019, mainly due to increased staff costs[73] - Total staff costs increased to S$3,495,339, up 13.8% from S$3,071,945 in the previous year[171] Cash Flow and Financing - The company reported a net cash from operating activities of S$4,328,636 for the six months ended June 30, 2019, compared to S$1,220,294 in the same period of 2018, showing a significant increase[109] - The company reported a net cash from financing activities of S$13,506,506, a turnaround from a net cash used of S$2,926,702 in the previous period[112] - Cash and cash equivalents at the end of the period were S$20,093,465, compared to S$1,568,838 at the end of the previous period[112] Market Conditions and Trends - Demand for snack products with less sugar and artificial sweeteners has seen stronger growth in Singapore, Malaysia, and the PRC, indicating a positive market trend for healthier snack options[67] - The decrease in revenue was mainly attributed to a shorter Chinese New Year period in 2019 compared to 2018, affecting the sales ramp-up[26] - The Group recognizes the uncertain market conditions due to US-PRC trade tensions and Brexit but remains focused on achieving its business objectives[67] Corporate Developments - The Group has been accredited with various certifications related to quality management and food safety, ensuring compliance with legal requirements[26] - The Group has incorporated a wholly-owned subsidiary, TS Group Investment Limited, in the British Virgin Islands, which has a direct wholly-owned subsidiary, ZC China Limited, in Hong Kong[85] - The shares were listed on the Main Board of the Stock Exchange on 14 January 2019[83] IFRS 16 Adoption - The adoption of IFRS 16 Leases, effective from January 1, 2019, introduces significant changes in lease accounting, requiring the recognition of a right-of-use asset and a lease liability for all leases[120] - The Group recognized right-of-use assets of S$1,238,684 on January 1, 2019, with a net decrease in accumulated profits of S$119,936[133]

Financial Performance - The company reported a consolidated revenue of $150 million for the fiscal year, representing a 10% increase compared to the previous year[11]. - Net profit for the year was $30 million, which is a 15% increase year-over-year[11]. - The Group's revenue for FY2018 was approximately S$58.6 million, representing an increase of approximately S$3.1 million or 5.5% compared to FY2017 revenue of approximately S$55.5 million[29]. - Gross profit for FY2018 was approximately S$14.3 million, an increase of approximately S$0.7 million or 5.1% from the previous year's gross profit of approximately S$13.6 million[29]. - The Group's profit for FY2018 was approximately S$2.1 million, a decrease of approximately S$3.8 million or 64.2% compared to the profit of approximately S$6.0 million in FY2017, primarily due to one-off listing expenses[30]. - The total gross profit for the year ended 31 December 2018 was S$14.3 million, with a gross profit margin of 24.4%, compared to S$13.6 million and a margin of 24.5% for the year ended 31 December 2017[87]. - The Group's overall gross profit margin remained stable at approximately 24.4% to 24.5% for the two years ended 31 December 2018[99]. - Profit for the year decreased by approximately S$3.8 million or 64.2% from approximately S$6.0 million for the year ended 31 December 2017 to approximately S$2.1 million for the year ended 31 December 2018[103]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 25% market share within the next two years[11]. - The Group aims to expand its market position in the snacks industry by launching tortilla chips and increasing production capacity for nuts and potato chips[29]. - Demand for snack products with less sugar and artificial ingredients is expected to grow, particularly in Singapore, Malaysia, and the People's Republic of China[29]. - The Group's strategy includes leveraging branding and production capabilities to enhance growth in the snacks market[89]. - The Group anticipates that the popularity of tortilla chips will continue to grow, particularly among urban millennials, contributing positively to the savory snacks segment[93]. Operational Efficiency and Cost Management - The company aims to improve operational efficiency, targeting a 5% reduction in costs over the next year[11]. - Research and development expenses increased by 30%, focusing on innovative technologies and product enhancements[11]. - The Group's cost of sales increased by approximately S$2.4 million or 5.7% from approximately S$41.9 million for the year ended 31 December 2017 to approximately S$44.3 million for the year ended 31 December 2018[99]. - Selling and distribution expenses increased by approximately S$0.4 million or 16.1% from approximately S$2.2 million for the year ended 31 December 2017 to approximately S$2.6 million for the year ended 31 December 2018[101]. - Administrative expenses increased by approximately S$0.8 million or approximately 18.5% from approximately S$4.4 million for the year ended 31 December 2017 to approximately S$5.2 million for the year ended 31 December 2018[101]. Shareholder Returns and Dividends - The proposed final dividend is 0.2 Hong Kong cents per share, representing approximately 16.3% of the profit for the year[31]. - The Group has recommended a final dividend of 0.2 Hong Kong cents per ordinary share for the year ended December 31, 2018, totaling approximately HK$2.0 million (equivalent to approximately S$0.3 million)[117]. - The final dividend payment is subject to shareholder approval at the annual general meeting scheduled for 3 June 2019[117]. - The Group has adopted a dividend policy to allow shareholders to participate in profits while retaining adequate reserves for future growth[154]. Corporate Governance and Management - The Group's management team includes family members, indicating a strong familial influence in leadership[126]. - The Group's executive directors have over 30 years of experience in the snacks industry, focusing on operations, sales, and marketing[124]. - The Company has a corporate secretary with extensive experience in corporate finance, including IPOs, mergers, and acquisitions[140]. - Each executive director is appointed under a service agreement for a term of three years from the Listing Date, terminable by either party with three months' written notice[193]. - Independent non-executive directors are appointed for a term of three years from the Listing Date, terminable with one month's written notice[193]. Environmental and Social Responsibility - Environmental, social, and governance initiatives are being prioritized, with a commitment to reduce carbon emissions by 15% by 2025[11]. - The Group complied with all applicable environmental laws and regulations during the year ended December 31, 2018, with no material claims or penalties reported[158]. Risks and Challenges - The Group's financial condition and results may be affected by various risks and uncertainties, including seasonal fluctuations in revenue[161]. - The Group's reliance on third-party suppliers poses risks to its production and business operations, particularly if there are disruptions in supply[167]. - The Group's profitability may be adversely affected by the quality and price of materials, which are dependent on harvest outputs[166]. - The Group faces risks related to the availability and pricing of materials, which could materially impact its financial performance[167].