Financial Performance - Total revenue for the six months ended June 30, 2019, was SGD 91,970,000, a decrease of 1.7% from SGD 93,567,000 in the same period of 2018[10] - Gross profit for the same period was SGD 10,850,000, down 8.6% from SGD 11,870,000 year-on-year[10] - Operating profit decreased significantly to SGD 2,818,000, compared to SGD 6,229,000 in the previous year, reflecting a decline of 54.8%[10] - Net profit attributable to equity holders for the period was SGD 1,468,000, a decrease of 67.0% from SGD 4,464,000 in the prior year[10] - Basic and diluted earnings per share were SGD 0.18, down from SGD 0.64 in the same period of 2018[10] - Revenue from car sales for the first half of 2019 is 87,315 thousand SGD, a slight decrease of 2.1% from 89,148 thousand SGD in the same period of 2018[44] - Revenue from financing commission income is 1,789 thousand SGD, down 6.4% from 1,911 thousand SGD year-over-year[44] - Total revenue recognized from customer contracts as per IFRS 15 is 89,342 thousand SGD, a decrease of 2.2% compared to 91,334 thousand SGD in the previous year[44] - Rental income from operating leases for cars increased to 1,533 thousand SGD, up 32.1% from 1,161 thousand SGD in the same period last year[44] - The group's net profit and total comprehensive income decreased by approximately 3.0 million SGD or 66.7% to about 1.5 million SGD in the first half of 2019, with a decline in net profit margin from approximately 4.8% to 1.6%[105] Assets and Liabilities - Total assets as of June 30, 2019, amounted to SGD 102,786,000, compared to SGD 100,461,000 at the end of 2018[12] - Total liabilities decreased to SGD 60,172,000 from SGD 72,729,000 at the end of 2018, indicating a reduction of 17.3%[12] - The company reported a significant increase in non-current assets, with property, plant, and equipment rising to SGD 16,936,000 from SGD 14,651,000[11] - Total borrowings amounted to SGD 37,582,000, with repayments of SGD 43,163,000 during the financing activities[18] - Total trade and other payables decreased to 10,635 thousand SGD as of June 30, 2019, compared to 19,259 thousand SGD as of December 31, 2018, indicating a reduction of approximately 44.5%[65] - Non-current borrowings increased to 22,261 thousand SGD as of June 30, 2019, up from 19,701 thousand SGD as of December 31, 2018, which is an increase of about 13.0%[66] - Current borrowings decreased to 25,837 thousand SGD as of June 30, 2019, down from 31,635 thousand SGD as of December 31, 2018, reflecting a decline of approximately 18.5%[67] Cash Flow - Operating cash flow for the six months ended June 30, 2019, was SGD 3,358,000, compared to a cash outflow of SGD 2,538,000 in 2018, representing a significant improvement[18] - Net cash generated from operating activities was SGD 2,487,000, a turnaround from a net cash outflow of SGD 3,781,000 in the same period last year[18] - Cash and cash equivalents increased to SGD 12,176,000 from SGD 7,855,000, reflecting a growth of 55.8%[11] - Cash flow from investing activities showed a net outflow of SGD 1,743,000, an improvement from SGD 3,320,000 in the previous year[18] - The company reported a cash balance of SGD 12,176,000, with bank overdrafts of SGD 1,020,000 as of June 30, 2019[20] - Cash and cash equivalents increased by SGD 4,077,000, reaching SGD 11,156,000 as of June 30, 2019, compared to SGD 1,719,000 in 2018[20] Capital Structure - The company’s issued and paid-up ordinary shares increased to 900,000,000 shares as of June 30, 2019, from 1 share at the beginning of the year, indicating a significant capital restructuring[68] - The company's statutory capital increased to 100,000,000 SGD as of June 30, 2019, from 380,000 SGD at the beginning of the year, reflecting a substantial increase in authorized share capital[70] - The company capitalized 6,949,999 SGD from the share premium account, issuing 694,999,900 ordinary shares at par value[70] Expenses - Total operating expenses, including cost of sales and administrative expenses, were 89,268 thousand SGD for the six months ended June 30, 2019, compared to 87,725 thousand SGD in 2018, an increase of approximately 1.8%[54] - Financing expenses increased to 1,042 thousand SGD in 2019 from 777 thousand SGD in 2018, marking a rise of about 34%[53] - General and administrative expenses increased by approximately 1.4 million SGD or 42.4% to about 4.7 million SGD in the first half of 2019, mainly due to increased legal and professional fees and depreciation[99] - The company’s depreciation expense for the six months ended June 30, 2019, was 1,548 thousand SGD, reflecting ongoing asset utilization and maintenance costs[63] Business Operations - The company is engaged in the sale of new parallel imported cars, used cars, and provides automotive financing and insurance services, indicating a diversified business model[22] - The company sold 862 new cars and 286 used cars in the first half of 2019, representing an increase of approximately 2.1% and 5.5% compared to the same period in 2018[77] - The average selling price of cars decreased from approximately 80,000 SGD in the first half of 2018 to about 76,000 SGD in the first half of 2019[80] - Income from car leasing increased by approximately 0.3 million SGD or 25.0% to about 1.5 million SGD in the first half of 2019, with the number of cars rented increasing from 97 to 119[84] Corporate Governance - The audit committee, established on February 1, 2019, consists of three independent non-executive directors and oversees financial reporting and internal controls[139] - The company has complied with all applicable corporate governance codes during the reporting period[138] - The company has adopted a standard code for securities transactions by directors, confirming compliance by all directors during the reporting period[137] Shareholder Information - As of June 30, 2019, Mr. Chen holds a beneficial interest in 605,500,000 shares, representing approximately 67.3% of the company's shares[128] - Gatehouse Ventures, fully owned by Mr. Chen, also holds 605,500,000 shares, equating to a 67.3% ownership stake[130] - Gifted Ally, controlled by Mr. Ng, holds 69,500,000 shares, which is about 7.7% of the company's shares[130] - No share options were granted under the stock option plan since its adoption on February 1, 2019[134] - The company did not purchase, sell, or redeem any of its listed securities during the six months ending June 30, 2019[133] Future Outlook - The company plans to focus on expanding its market presence and enhancing product offerings in the upcoming periods[9] - No significant investments, acquisitions, or disposals of subsidiaries and associates during the first half of 2019[116] - No significant events affecting the group occurred after June 30, 2019, up to the date of this interim report[141]