Financial Performance - Revenue for the six months ended September 30, 2019, was HKD 1,891,994 thousand, a 28.1% increase from HKD 1,476,600 thousand in the same period of 2018[1] - Gross profit for the same period was HKD 361,972 thousand, up from HKD 235,000 thousand, representing a 53.8% increase[1] - Profit before tax increased to HKD 214,254 thousand, a 68.5% rise compared to HKD 127,137 thousand in the previous year[1] - Net profit for the period was HKD 161,847 thousand, compared to HKD 101,122 thousand, marking a 60.0% increase[1] - Basic earnings per share for the company owners was HKD 29.90, up from HKD 20.24, reflecting a 47.5% increase[1] - Total comprehensive income for the period was HKD 76,031 thousand, significantly higher than HKD 25,492 thousand in the prior year[3] - For the six months ended September 30, 2019, the group reported a pre-tax profit of HKD 159,082,000, an increase from HKD 101,122,000 in the same period of 2018, representing a growth of approximately 57.3%[37] - The profit attributable to the company's owners for the six months ended September 30, 2019, was HKD 159,100,000, a significant increase of 57.3% compared to HKD 101,100,000 in the same period last year[64] Assets and Liabilities - Non-current assets totaled HKD 1,182,714 thousand as of September 30, 2019, slightly down from HKD 1,206,960 thousand as of March 31, 2019[4] - Current assets increased to HKD 1,277,862 thousand from HKD 1,226,784 thousand, indicating a growth in liquidity[4] - Total liabilities decreased to HKD 1,022,745 thousand from HKD 1,055,221 thousand, showing improved financial stability[6] - The company's equity attributable to owners increased to HKD 1,341,366 thousand from HKD 1,298,760 thousand, reflecting a positive trend in shareholder value[6] - The company's total assets increased by HKD 22,071,000 due to the adoption of the new accounting standard[22] - The company's total liabilities also increased by HKD 22,071,000, reflecting the new lease liabilities recognized[22] Cash Flow - Net cash flow from operating activities for the six months ended September 30, 2019, was HKD 204,807,000, compared to a net cash flow of HKD (127,417,000) for the same period in 2018[10] - Cash and cash equivalents increased by HKD 90,841,000, resulting in a total of HKD 250,637,000 at the end of the period, compared to HKD 198,696,000 at the end of the same period in 2018[10] - The cash flow used in investing activities was HKD (38,471,000) for the six months ended September 30, 2019, compared to HKD (155,167,000) in the previous year[10] - Cash flow used in financing activities was HKD (75,495,000) for the six months ended September 30, 2019, compared to HKD 273,900,000 in the same period of 2018[10] - The total cash and bank balances at the end of the period included HKD 228,595,000 in cash and bank balances and HKD 22,042,000 in non-pledged time deposits with original maturities of less than three months[10] Dividends - The group declared an interim dividend of HKD 0.20 per share for the six months ended September 30, 2019, compared to HKD 0.14 per share in 2018, reflecting a 42.9% increase in dividend per share[36] - The company plans to declare an interim dividend of HKD 0.20 per share, compared to HKD 0.14 per share in the previous year[64] Accounting Standards - The company adopted the new Hong Kong Financial Reporting Standard 16 for leases, which requires all leases to be recognized on the balance sheet[16] - The company has chosen to apply the practical expedient for short-term leases, not recognizing right-of-use assets and lease liabilities for leases with a term of 12 months or less[19] - The company will continue to classify investment properties at fair value under HKAS 40, even after the adoption of HKFRS 16[20] - The adoption of HKFRS 16 resulted in an increase of right-of-use assets by HKD 157,038,000 and a decrease in prepaid land lease payments by HKD 130,270,000 as of April 1, 2019[22] - The total lease liabilities increased by HKD 22,071,000, reflecting the new accounting policy's impact on the financial statements[23] Operational Highlights - The operating income from the China segment was HKD 806,253,000, a substantial increase from HKD 447,571,000 in the previous year[29] - The contribution from newly acquired factories in Vietnam and Hubei was HKD 590 million in sales, enhancing overall profitability[60] - Domestic sales revenue nearly doubled, contributing 43% to total revenue, despite a slight decrease in revenue from U.S. orders from 28% to 27%[59] - The company is actively developing domestic mid-to-high-end sportswear brands to utilize excess capacity from domestic factories[59] - The company believes it can overcome international economic challenges to achieve revenue and profit growth[58] Governance and Compliance - The company has complied with the corporate governance code as per the listing rules, with a noted deviation regarding the roles of the chairman and CEO[80] - The audit committee consists of three independent non-executive directors, ensuring proper financial oversight[82] - The board believes that the current management structure does not compromise the balance of power and authority within the company[80] - The board of directors consists of six executive directors and three independent non-executive directors[88] - The company is committed to ensuring the accuracy of the information provided in its reports[88] - The report highlights the importance of transparency in financial disclosures[88] - The company aims to enhance shareholder value through strategic initiatives[88] - The board is focused on long-term growth and sustainability[88] - The company is actively monitoring market trends to inform its strategies[88] - The report emphasizes the role of effective communication with stakeholders[88] Employee and Shareholder Information - The group employs approximately 13,500 employees as of September 30, 2019, down from about 14,000 as of March 31, 2019[71] - As of September 30, 2019, Time Easy holds 72,650,000 shares, representing 13.66% of the issued share capital[74] - Excel Skill owns 32,320,000 shares, accounting for 6.08% of the total issued shares[74] - Wealthplus Holdings Limited, Pou Hing Industrial Co. Ltd., and Yuanyuan collectively control 192,000,000 shares, which is 36.09% of the issued share capital[74]

Financial Performance - The company reported a revenue of HKD 2,701 million for the fiscal year ending March 31, 2019, representing a growth rate of 28% compared to HKD 2,109 million in the previous year[6]. - The profit attributable to the owners of the company decreased to HKD 140 million, down from HKD 230 million in the previous year, indicating a decline of approximately 39%[6]. - The company’s basic earnings per share decreased to HKD 27.7 cents from HKD 46.0 cents year-on-year[6]. - The company's total sales reached HKD 2,700,800,000, representing a significant increase of 28.0% or HKD 591,400,000 compared to last year's sales of HKD 2,109,400,000[19]. - Gross profit slightly increased by 2.9% to HKD 417,800,000, while the gross margin decreased from 19.2% to 15.5%, a drop of 3.7%[19]. - The company's profit before tax decreased by 33.2% to HKD 182,700,000, with a profit margin of 6.8%, down from 13.0%[19]. - The company’s net profit attributable to shareholders was HKD 140,400,000, a decrease of 39.0% from HKD 230,000,000 last year, resulting in a net profit margin of 5.2%[24]. - The company reported a profit for the year of HKD 138,148,000, a decrease of 40% compared to HKD 230,012,000 in 2018[47]. - The profit before tax for the year was HKD 182,675,000, down 33% from HKD 273,666,000 in the previous year[47]. Assets and Liabilities - The company’s total assets increased to HKD 2,434 million from HKD 1,771 million, reflecting a growth of about 37%[6]. - The average bank loan amount increased significantly to HKD 818,800,000, up from HKD 627,100,000 last year, with interest expenses rising by HKD 8,300,000 or 217.5%[22]. - Cash and bank deposits as of March 31, 2019, were HKD 193,800,000, down from HKD 222,900,000 the previous year[25]. - The company’s net current assets decreased to HKD 171,563,000 from HKD 429,194,000 in 2018[48]. - The company's capital debt ratio as of March 31, 2019, was 28.6%, compared to not applicable in the previous year[26]. - The company reported a decrease in inventories of HKD 37,070,000 in 2019, compared to an increase of HKD 85,333,000 in 2018[123]. Acquisitions and Investments - The company completed acquisitions of production bases in Vietnam and Hubei, China, which are expected to enhance production capacity and efficiency[11][13]. - The acquisition of production bases in Vietnam and Hubei contributed an additional HKD 360,600,000 in sales, addressing labor cost challenges in Guangdong[20]. - The company completed the acquisition in Vietnam for a total consideration of $31.6 million (equivalent to HKD 248.2 million) on June 1, 2018[28]. - The acquisition in Hubei was finalized on January 22, 2019, with a total consideration of RMB 197.8 million (equivalent to HKD 224.2 million)[31]. - The company has capital commitments of HKD 12.2 million for Hubei production base renovations and HKD 4.7 million for Vietnam production base renovations as of March 31, 2019[32]. Operational Efficiency - The company is focusing on automation and has implemented smart automated machinery across its factories to improve overall production efficiency[14]. - The company plans to leverage big data analysis and advanced production equipment to enhance its research and development capabilities[14]. - The management aims to shorten the adjustment period post-acquisition and improve overall production efficiency to create sustainable core competitiveness[11]. - The company invested in advanced machinery to improve production efficiency, although this increased depreciation costs[21]. Corporate Governance - The company emphasizes high levels of corporate governance, transparency, accountability, and independence[80]. - The independent non-executive directors confirmed that the related party transactions were conducted in the normal course of business and on normal commercial terms[75]. - The company has adopted a standard code of conduct for securities trading by directors, confirming compliance throughout the year[85]. - The board of directors confirmed their responsibility for preparing financial statements that reflect the true and fair view of the group's condition, with no known significant uncertainties affecting the group's ability to continue as a going concern[98]. - The company has established a risk management system to identify, assess, and manage risks associated with its business and operations[99]. Shareholder Information - The company plans to declare a final dividend of HKD 0.06 per share, with a total payout ratio of 72.6%[24]. - The company proposed a final dividend of HKD 0.06 per share, following an interim dividend of HKD 0.14 per share paid in December 2018[46]. - The company has confirmed that at least 25% of its issued shares are held by the public as of the report date[67]. - Shareholders holding at least 10% of the paid-up capital can request a special general meeting by submitting a written request to the board[104]. - The company aims to balance shareholder expectations with sufficient capital retention for business development and operations[105]. Environmental and Social Responsibility - The company has established a comprehensive environmental protection policy to comply with applicable environmental laws in Hong Kong, mainland China, Indonesia, and Vietnam[77]. - The company continues to monitor its foreign exchange risks and will use appropriate tools to manage and mitigate these risks[27]. Financial Reporting and Compliance - The Group's financial statements have been prepared in accordance with Hong Kong Financial Reporting Standards (HKFRSs) and are presented in Hong Kong dollars (HK$) rounded to the nearest thousand[2][139]. - The audit opinion confirms that the consolidated financial statements reflect the group's financial position and performance accurately as of March 31, 2019[107]. - The Group adopted several new and revised standards for the current year's financial statements, including HKFRS 9 for Financial Instruments and HKFRS 15 for Revenue from Contracts with Customers[2][142]. - The Group plans to adopt HKFRS 16 from April 1, 2019, which replaces HKAS 17 and requires lessees to recognize assets and liabilities for most leases[153].