NHENG Enterprise Holdings Limited 悼 寶 業 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） (股份代數 : 3628) <<< 手報 TE TITLE | --- | |--------------------------| | | | 目錄 | | 公司資料 | | 主席報告 | | 董事及高級管理層簡歷 | | 管理層討論與分析 | | 董事會報告 | | 企業管治報告 | | 環境、社會及管治報告 | | 獨立核數師報告 | | 綜合損益及其他全面收益表 | | 綜合財務狀況報表 | | 綜合權益變動表 | | 綜合現金流量表 | | 綜合財務報表附註 | | 財務概要 | 2 3 4 7 11 19 26 34 40 41 43 44 46 98 公司資料 | --- | --- | |---------------------------------------------------|-------------------------------------------------------------------| | 董事會 | 法律顧問 | | ...

RENHENG Enterprise Holdings Limited 仁 恒 實 業 控●股 有 限 六 (於開曼群島註廠成立的有限公司) (股份代號:3628) 中期報告 2020 Bl 摘要 • 截至二零二零年六月三十日止六個月的收益為35,618,000港元，較二零一九年同期減少 13.5%； • 截至二零二零年六月三十日止六個月，本公司股東應佔溢利為1,302,000港元，而截至二 零一九年六月三十日止六個月則為1,571,000港元；及 • 董事不建議派付截至二零二零年六月三十日止六個月的中期股息。 1 中期報告 2020 仁恒實業控股有限公司（「本公司」）董事（「董事」）會（「董事會」）謹此呈列本公司及其附屬 公司（統稱「本集團」）截至二零二零年六月三十日止六個月的未經審核簡明綜合財務報表， 連同二零一九年同期的未經審核的比較數字如下： | --- | --- | --- | --- | |----------------------------------------------------------------|-------|------------------------------- ...

Financial Performance - The overall performance of RENHENG Enterprise Holdings Limited in 2019 was weaker compared to 2018 due to challenges such as the slowdown in China's GDP growth and the outbreak of the COVID-19 pandemic[6]. - The company recorded a profit of HKD 703,000 for the year ended December 31, 2019, a significant decrease of HKD 8,520,000 or 92.4% compared to HKD 9,223,000 for the year ended December 31, 2018[22]. - Revenue decreased by HKD 29,536,000 or 29.2% to HKD 71,507,000 for the year ended December 31, 2019, down from HKD 101,043,000 for the previous year[23]. - The company's revenue from tobacco machinery products reached HKD 62,945,000, accounting for 88.0% of total revenue for the year, compared to HKD 99,249,000 or 98.2% in 2018[35]. - The gross profit margin improved to 46.7% for the year ended December 31, 2019, compared to 36.9% in 2018[24]. - Operating expenses increased by HKD 5,814,000 or 21.5% to HKD 32,834,000 due to new marketing activities and exploration of new business segments[28]. - Tax expenses decreased significantly to HKD 3,676,000 from HKD 7,104,000 in the previous year due to reduced withholding tax provisions[33]. - The company does not recommend the payment of dividends for the year ended December 31, 2019[34]. Business Development and Strategy - The company has seen progress in its new business of producing water treatment systems and providing improvement and maintenance services[6]. - The company remains confident in its future business development, supported by recent government policies aimed at stabilizing the manufacturing sector in China[6]. - The company aims to maintain and enhance its competitiveness while striving for high-quality and sustainable development[6]. - The company has signed sales contracts exceeding HKD 80,000,000, expected to be completed within the next two years[30]. - The company anticipates that new tobacco policies will negatively impact financial performance and budgets due to a government target to reduce the smoking rate from 27% to 20% by 2030[35]. - The company continues to invest in R&D and employee training to enhance competitiveness and adapt to market changes[35]. - The company plans to launch three new products in the next quarter, targeting a 10% increase in market share[200]. - The company is investing HKD 200 million in R&D for new technologies aimed at enhancing product offerings[200]. - Market expansion plans include entering two new international markets by Q3 2024[200]. - Renheng Industrial Holdings is considering strategic acquisitions to bolster its market position, with a budget of HKD 300 million allocated for potential deals[200]. Cash Flow and Assets - As of December 31, 2019, the company's bank balance and cash amounted to HKD 70,207,000, an increase from HKD 61,104,000 in 2018[38]. - The company's current assets net value was HKD 84,709,000, slightly down from HKD 86,266,000 in 2018, with a current ratio of 2.1 and a quick ratio of 1.6[38]. - Capital expenditure for the year ended December 31, 2019, was HKD 315,000, significantly lower than HKD 686,000 in 2018[39]. - The company had no significant capital commitments as of December 31, 2019[40]. - Trade-related receivables amounted to HKD 37,086,000, representing approximately 19.6% of the total assets of the group as of December 31, 2019[184]. - The expected credit loss for trade-related receivables for the full period was estimated at HKD 2,948,000[184]. - A net impairment reversal of HKD 38,000 was recognized for trade-related receivables during the year[184]. Corporate Governance - The board of directors consists of five members, including two executive directors and three independent non-executive directors, ensuring a diverse range of expertise and experience[97]. - The company has implemented corporate governance practices that emphasize a high-quality board, sound internal controls, and accountability to shareholders[94]. - The company has established a remuneration committee to review the overall remuneration policy and structure for directors and senior management based on the group's performance and market practices[83]. - The independent non-executive directors play a crucial role in providing independent opinions and monitoring the group's performance against established corporate goals[105]. - The audit committee held five meetings to review the quarterly, interim, and annual performance, as well as to discuss internal controls and audit work with the auditors[114]. - The remuneration committee has held two meetings to review the remuneration packages of the board and senior management[118]. - The company has ensured that all directors understand their responsibilities and the group's business activities[110]. - The company has a policy to ensure that all internal information is disclosed promptly in accordance with securities and futures regulations[124]. Environmental and Social Responsibility - The company is committed to sustainable development and aims to create long-term value for stakeholders, including shareholders and the community[135]. - The total greenhouse gas emissions for the fiscal year 2019 amounted to 356.9 tons CO₂e, a decrease from 484.0 tons CO₂e in the fiscal year 2018, representing a reduction of approximately 26.2%[146]. - The company has implemented procedures to ensure compliance with applicable safety and environmental regulations during operations[143]. - Stakeholder feedback is welcomed to improve the company's environmental, social, and governance practices[142]. - The company recognizes the importance of stakeholder opinions in achieving sustainable development and engages with them through various communication methods[137]. - The company did not incur any environmental fines or claims during the reporting period, indicating compliance with environmental regulations[150]. - The group strictly prohibits the use of child labor and forced labor, ensuring compliance with labor laws in China, with no reported cases during the reporting period[167]. - The group is committed to fulfilling its corporate social responsibility and contributing to the community[174]. Employee and Training - The total employee cost, including director remuneration, was HKD 19,648,000 for the year, up from HKD 15,283,000 in 2018[47]. - The employee turnover rate decreased to 10.0% in fiscal year 2019 from 17.2% in fiscal year 2018, reflecting improved employee retention[154]. - Average training hours per employee were 3.7 hours for females and 12.5 hours for males in fiscal year 2019, with a training participation rate of 34.6% for females and 19.8% for males[164]. Market and Customer Engagement - User data showed a growth in active users by 25%, reaching 500,000 by the end of the fiscal year[200]. - The company aims to enhance customer engagement through digital platforms, expecting a 30% increase in online sales[200]. - The top five customers accounted for approximately 80.8% of total sales, a decrease from 94.8% in 2018, with the largest customer contributing 63.6% of total sales[64]. - The largest supplier accounted for approximately 15.6% of total purchases, up from 12.4% in 2018[64].

Financial Performance - Revenue for the six months ended June 30, 2019, was HKD 41,162,000, a decrease of 31.7% compared to HKD 60,305,000 for the same period in 2018[2] - Profit attributable to shareholders for the six months ended June 30, 2019, was HKD 1,571,000, down from HKD 3,111,000 in the same period of 2018[2] - Gross profit for the six months ended June 30, 2019, was HKD 15,163,000, compared to HKD 21,787,000 for the same period in 2018[4] - The company reported a pre-tax profit of HKD 1,571,000 for the six months ended June 30, 2019, compared to HKD 3,111,000 for the same period in 2018, reflecting a decrease of approximately 49.5%[70] - Net profit for the first half of 2019 was HKD 1,571,000, compared to HKD 3,111,000 in the same period of 2018[85] Dividends - The board of directors did not recommend the payment of an interim dividend for the six months ended June 30, 2019[2] - The company did not declare any dividends during the interim period, as the board decided against distributing any dividends[74] Cash Flow and Assets - The net cash used in operating activities for the six months ended June 30, 2019, was HKD 18,071,000, compared to a net cash generated of HKD 15,463,000 in 2018[21] - Cash and cash equivalents at the end of the period were HKD 51,808,000, down from HKD 61,104,000 at the beginning of the period[27] - Total assets less current liabilities as of June 30, 2019, were HKD 117,977,000, compared to HKD 117,649,000 as of December 31, 2018[12] - As of June 30, 2019, the group's cash and bank balances amounted to HKD 51,808,000, down from HKD 61,104,000 as of December 31, 2018[87] Liabilities - The company’s total liabilities decreased from HKD 70,650,000 as of December 31, 2018, to HKD 56,356,000 as of June 30, 2019[10] - The company’s deferred tax provision for the six months ended June 30, 2019, was HKD 295,000, compared to HKD 248,000 in 2018, reflecting an increase of approximately 18.9%[68] Employee Costs - Total employee costs for the six months ended June 30, 2019, amounted to HKD 7,267,000, slightly increasing from HKD 7,125,000 in 2018, representing a rise of about 2%[65] - Employee costs totaled HKD 7,267,000 for the six months ended June 30, 2019, compared to HKD 7,125,000 for the same period in 2018, indicating a slight increase[97] - As of June 30, 2019, the company had a total of 129 employees, unchanged from December 31, 2018[97] Revenue Sources - The company recognized a total revenue of HKD 41,162,000 from customer contracts, with construction projects contributing HKD 33,215,000 and sales of goods contributing HKD 7,947,000[59] - Construction project revenue accounted for 80.7% of total revenue for the first half of 2019, while sales of wind delivery systems and pre-compression packaging machinery dropped significantly from HKD 11,135,000 to HKD 449,000[84] - The company reported sales of tobacco machinery products amounting to HKD 33,664,000, representing 81.8% of total sales for the six months ended June 30, 2019[92] Operating Expenses - Operating expenses for the first half of 2019 were HKD 14,333,000, down from HKD 17,245,000 in the same period of 2018[85] - The company is implementing cost-effective measures to strictly control operational and administrative expenses amid challenging economic conditions[92] New Accounting Standards - The company has adopted new and revised Hong Kong Financial Reporting Standards effective from January 1, 2019, which did not have a significant impact on the financial position and performance for the current and prior periods[31] - The application of HKFRS 16 "Leases" has replaced HKAS 17 and has led to changes in accounting policies, particularly regarding the recognition of lease liabilities and right-of-use assets[32] - Right-of-use assets are measured at cost, which includes the initial measurement of lease liabilities and any initial direct costs incurred by the company[37] - Lease liabilities are recognized at the present value of unpaid lease payments, using the incremental borrowing rate if the implicit rate is not readily determinable[40] - The company applies short-term lease exemptions for leases with a term of 12 months or less, recognizing lease payments as an expense on a straight-line basis over the lease term[35] - The company will reassess lease liabilities if there are changes in lease terms or the assessment of purchase options, adjusting the related right-of-use assets accordingly[44] - Deferred tax assets related to lease transactions are determined based on whether they arise from right-of-use assets or lease liabilities, applying HKAS 12 "Income Taxes" provisions[46] - The company recognizes refundable lease deposits at fair value, with adjustments treated as additional lease payments[39] - The company has begun applying HKFRS 15 "Revenue from Contracts with Customers" to allocate consideration in contracts to lease and non-lease components[47] - The company presents right-of-use assets that do not meet the definition of investment properties as a separate item in the consolidated financial position statement[38] Corporate Governance - The company has adopted all code provisions of the Corporate Governance Code, except for the provision regarding the roles of the Chairman and CEO being held by the same individual[106] Market Outlook - The company anticipates continued revenue generation due to a backlog of orders, despite facing significant industry challenges from trade tensions and economic uncertainty[92] - The new business segments, including water treatment systems and improved maintenance services, are gradually increasing their revenue contribution and are expected to become core operations over time[92] Shareholder Information - Major shareholders include LinkBest with 360,000,000 shares (44.8%) and Open Venture with 240,000,000 shares (29.8%), both fully owned by Ms. Liu Li[104]

富 lg RENHENG Enterprise Holdings Limited 控 股 有 限 公 司 業 (於爾曼群島註冊成立的有限公司) (股份代號 : 3628) ■ 2018 年報 ■ ■ CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME Section Date 目錄 公司資料 2 主席報告 3 董事及高級管理層簡歷 4 管理層討論與分析 7 董事會報告 11 企業管治報告 19 環境、社會及管治報告 27 獨立核數師報告 34 綜合損益及其他全面收益表 40 綜合財務狀況報表 41 綜合權益變動表 43 綜合現金流量表 44 綜合財務報表附註 45 財務概要 104 u 公司資料 公司資料 | --- | --- | |----------------------------------------|------------------------------------------------------------------------------------------------| | | | ...