Core Viewpoint - Tai Hing Group (06811) expects to achieve a shareholder profit of approximately HKD 40 million to HKD 45 million for the six months ending June 30, 2025, compared to HKD 10.719 million for the same period ending June 30, 2024, indicating a significant increase in profitability [1] Group 1 - The increase in shareholder profit is primarily due to the continuous optimization of the restaurant network, including the opening of new stores and renovations to enhance customer dining experiences. During the review period, the group added a new brand, resulting in a net increase of 6 stores and the completion of renovations for 7 stores [1] - The group maintains a prudent financial policy and rigorous cost control measures, including careful site selection for new stores, negotiating favorable terms with landlords and suppliers, and actively streamlining operational processes to enhance production and operational efficiency. As a result, the proportion of labor costs and rental expenses relative to revenue has decreased compared to the same period last year, contributing to profit growth [1]

Core Viewpoint - Tai Hing Group (06811) expects to achieve a shareholder profit of approximately HKD 40 million to HKD 45 million for the six months ending June 30, 2025, compared to HKD 10.719 million for the same period ending June 30, 2024 [1] Group 1: Profit Growth Drivers - The anticipated increase in shareholder profit is primarily due to the continuous optimization of the restaurant network, including the opening of new outlets and renovations to enhance customer dining experiences [1] - During the review period, the group added a new brand, resulting in a net increase of 6 outlets and the completion of renovations for 7 outlets, while also focusing on developing and diversifying brands to drive revenue growth [1] Group 2: Financial Management and Cost Control - The group adheres to a prudent financial policy and rigorous cost control measures, including careful site selection for new stores, negotiating favorable terms with landlords and suppliers, and actively streamlining operational processes to enhance production and operational efficiency [1] - The proportion of labor costs and rental expenses relative to revenue has decreased compared to the same period last year, contributing to the growth in profit [1]

太興集團控股有限公司 （於 開 曼 群 島 註 冊 成 立 的 有 限 公 司） （股 份 代 號：6811） 正面盈利預告 TAI HING GROUP HOLDINGS LIMITED 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 1. 於 回 顧 期 間，本 集 團 持 續 優 化 餐 廳 網 絡，透 過 開 設 新 店 舖 及 進 行 門 店 翻 新，致 力 提 升 顧 客 用 餐 體 驗。於 回 顧 期 間，本 集 團 新 增 一 個 新 品 牌，門 店 淨增長6間，而 完 成 翻 新 之 門 店 共7間，此 外，本 集 團 持 續 發 展 及 打 造 多 元 品 牌，籍 以 推 動 本 集 團 的 收 入 增 加。 – 1 – 2. 本 集 團 繼 續 堅 守 審 慎 的 理 財 政 策 和 嚴 謹 的 成 本 控 制 措 施，包 括 在 新 店 選 址 時 採 取 謹 慎 方 式 ...

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 太興集團控股有限公司 呈交日期: 2025年8月4日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 06811 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 10,000,000,000 | HKD | | 0.01 | HKD | | 100,000,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | 本月底結存 | | | 10,000,000,000 | HKD | | 0.01 | HKD | | 100,000,000 | 本月底法定/ ...

Core Viewpoint - The sudden closure of the Hong Kong chain restaurant giant Jing Le Group reflects a broader trend of restaurant closures in the region, with over 20 chain brands shutting down in the past six months, including long-established establishments [3][4]. Group 1: Closure Trend - A wave of restaurant closures is sweeping through Hong Kong, with notable brands like "Sea Emperor Congee" and "Golden Milk Pudding" announcing their shutdowns due to deteriorating operating conditions and financial crises [4][5][6]. - International brands are also exiting the market, such as the Thai dessert brand After You Dessert Café and the Japanese ramen brand "Kintan," which closed their last locations in Hong Kong [8][10]. - The survival challenges are particularly acute for small and medium-sized restaurants, with many reporting rapid closures due to poor business conditions [11][12]. Group 2: Causes of Closure - High rental costs are a significant challenge for restaurant operators in Hong Kong, with many citing rent increases as a primary reason for their closures [14][15]. - Changes in consumer behavior, including a trend of Hong Kong residents shopping and dining in mainland China, have negatively impacted local restaurant revenues. For instance, the number of Hong Kong residents traveling to mainland China surged by over 50% compared to 2023 [18][19]. - The average spending of visitors to Hong Kong has decreased, with overall tourist spending dropping by 20% from the previous year, further squeezing the local dining market [19][20]. Group 3: Market Dynamics - The Hong Kong restaurant market is experiencing an oversupply, with the number of restaurants remaining stable compared to 2023 but exceeding pre-pandemic levels by 11% [22][26]. - This oversupply, combined with declining demand due to consumer spending shifts, has led to intensified competition and a wave of closures [27][28]. - Experts predict that up to 2,000 more restaurants may need to close to realign with the market conditions that existed before the pandemic, indicating a necessary market correction process [28].

Group 1 - The core viewpoint is that the recent closure of the Jing Le Group reflects a broader trend of restaurant closures in Hong Kong, with over 20 chain brands shutting down in the past six months, including long-established ones [1][2][3] - The closure of well-known brands such as "Hai Huang Congee Shop" and "Kam Cheong Steamed Milk" highlights the deteriorating business environment and financial crises faced by the industry [4][5] - The trend is not limited to local brands; international brands like "After You Dessert Café" and "Kintan" have also exited the Hong Kong market, indicating a widespread issue [9][10] Group 2 - High rental costs are identified as a significant challenge for restaurant operators in Hong Kong, with many citing increased rent as a reason for closure [16][18] - Changes in consumer behavior, including a shift towards spending in mainland China and a decline in spending by visitors to Hong Kong, have negatively impacted local restaurant revenues [20][21][30] - The number of restaurants in Hong Kong has not decreased despite the drop in demand, leading to an oversupply situation that exacerbates competition and contributes to the closure trend [33][34][45] Group 3 - The current oversupply in the restaurant market is attributed to a mismatch between supply and demand, with many new establishments opening during a period of increased local consumption that has since declined [36][43] - It is projected that up to 2,000 more restaurants may need to close to align with the pre-pandemic market conditions, indicating a necessary market correction [46][47] - The ongoing closures are viewed as a natural market adjustment process, where weaker businesses are eliminated, allowing for a potential rebalancing of the industry [47]

Financial Performance - Revenue for the year ended December 31, 2024, was HK$3,291,954,000, representing a 2.5% increase from HK$3,211,993,000 in 2023[14] - Profit attributable to owners of the Company decreased by 33.1% to HK$62,749,000, down from HK$93,836,000 in 2023[14] - Earnings per share attributable to owners decreased by 33.1% to HK6.24, compared to HK9.33 in 2023[14] - The Group's revenue for FY2024 increased by 2.5% to approximately HK$3,292.0 million, compared to HK$3,212.0 million in FY2023[60] - Profit attributable to owners for FY2024 was HK$62.7 million, down from HK$93.8 million in FY2023; excluding certain losses, profit would be HK$114.8 million compared to HK$132.5 million in FY2023[60] - Other income and gains decreased to HK$17.1 million in FY2024 from HK$18.6 million in FY2023[65] Revenue Breakdown - Revenue from Hong Kong and Macau increased by 8.5% to HK$2,954,684,000, while revenue from Mainland China decreased by 31.0% to HK$337,270,000[14] - The revenue distribution by brand shows Tai Hing contributing 38.2% and Men Wah contributing 26.9%[25] - Revenue from the flagship brand "Tai Hing" increased by 4.3% year-on-year to HK$1,258.6 million, accounting for 38.2% of the Group's total revenue[85] - Revenue from the "Men Wah Bing Teng" brand slightly decreased by 0.7% year-on-year to HK$886.3 million, representing 26.9% of total revenue, primarily due to strategic store consolidations in Mainland China[88] - "TeaWood" revenue grew by 5.8% year-on-year to HK$365.7 million, accounting for 11.1% of total revenue, supported by shop renovations and new meal deals[89] Dividends - The final dividend per share proposed is HK2.50 cents, a decrease of 28.6% from HK3.50 cents in 2023, while a special dividend of HK7.50 cents is proposed, an increase of 114.3% from HK3.50 cents in 2023[15] - The Board proposed a final dividend of HK2.50 cents per share and a special dividend of HK7.50 cents per share, compared to HK3.50 cents per share for both in FY2023[64] Operational Efficiency - The Group's gross profit margin slightly increased to 73.9% from 73.8% in the previous year[14] - The Group maintained a gross profit margin of over 70% by optimizing the production plan and enhancing production efficiency[35] - The cost of materials consumed in FY2024 was HK$858.4 million, representing 26.1% of revenue, a slight decrease from 26.2% in FY2023[68] - Staff costs amounted to HK$1,188.8 million, an increase from HK$1,133.6 million in FY2023, with staff cost as a percentage of revenue rising to 36.1% from 35.3%[69][71] Strategic Initiatives - The Group launched new brands such as "On Kim Pot Rice" and "Bashi Ramen" to expand its brand portfolio[40] - The Group is exploring a light operating model with low investment and short payback period to accelerate restaurant expansion[48] - The Group aims to optimize its restaurant network in Mainland China to enhance operational efficiency[49] - The Group implemented a multi-brand strategy and restructured its operating model to adapt to market challenges[60] Market Expansion - The Group's branding campaigns have extended to markets outside the Greater Bay Area for the first time[41] - The Group is committed to expanding its presence in high-potential areas such as Kai Tak, Tsim Sha Tsui, and Central, with some brands achieving same-store growth[77][80] - The Group is focusing on expanding "Tai Hing" branches in Macau, enhancing its market presence in the region[186] Customer Engagement - The "Tai Hing App" has over 240,000 members, supporting management and marketing strategies[42] - The Group's digital transformation efforts are aimed at improving customer experience in food ordering and payment systems[180] Corporate Social Responsibility - The Group's corporate volunteer team collaborated with 21 social welfare organizations on 22 community projects in FY2024, demonstrating its commitment to social responsibility[100] - The Group received multiple awards for its outstanding performance in ESG, including the "2024 Sustainable Restaurant of the Year" and "Gold Award" for environmental excellence[100] Management and Governance - The Group's management team has extensive experience in various industries, contributing to its operational and strategic effectiveness[176][186] - The board includes members with diverse backgrounds in various industries, enhancing the company's governance and strategic direction[160] - The company has a strong focus on sustainability and compliance management as part of its strategic planning[151] Financial Position - The Group maintained a healthy financial position with cash and cash equivalents of HK$330.8 million as of December 31, 2024, compared to HK$328.1 million a year earlier[63] - The Group's total current assets were approximately HK$532.1 million, while total current liabilities were approximately HK$756.6 million, resulting in a current ratio of approximately 0.7 times[116] - The Group had no interest-bearing bank borrowings as of December 31, 2024, maintaining a debt-free status[117] Awards and Recognition - The group has received multiple awards for safety and food quality, including the highest honor from the Hong Kong 5S Association in 2017[148] - Mr. Chan was awarded "Professional Marketer of the Year" in 2020 and has held various leadership roles in industry associations[153]

Financial Performance - The group recorded a revenue growth of 2.5% to approximately HKD 3,292.0 million for the year ended December 31, 2024, compared to HKD 3,212.0 million in 2023[2]. - Shareholders' profit for the year was HKD 62.7 million, down from HKD 93.8 million in 2023, but the second half of the year saw a rebound with a profit of HKD 52.0 million, exceeding both the first half of 2024 and the second half of 2023[2]. - The group achieved a net profit of HKD 62.7 million for the year, with a basic earnings per share of HKD 0.0627, compared to HKD 0.0938 in 2023[4]. - The group reported a gross profit of HKD 2,433.5 million for the year, an increase from HKD 2,369.4 million in 2023[4]. - Total comprehensive income for the year was HKD 52.5 million, down from HKD 88.7 million in 2023[5]. - The total segment profit for the year was HKD 79,151, a decline of 32.4% compared to HKD 116,885 in 2023[22]. - The company reported a pre-tax profit of HKD 78,183, down from HKD 115,958 in the previous year, a decline of 32.6%[22]. - The basic earnings attributable to shareholders for the year ended December 31, 2024, were HKD 62,749,000, a decrease of 33.1% from HKD 93,836,000 in 2023[36]. Cash and Liquidity - The group maintained a strong cash position with cash and cash equivalents of HKD 330.8 million as of December 31, 2024, compared to HKD 328.1 million in 2023, and had no bank borrowings[3]. - Cash and cash equivalents increased slightly from HKD 328,147,000 in 2023 to HKD 330,758,000 in 2024, an increase of about 0.8%[6]. - The group has no bank borrowings, which supports its long-term development strategy[50]. - The total current assets and current liabilities as of December 31, 2024, were approximately HKD 532.1 million and HKD 756.6 million, respectively, resulting in a current ratio of approximately 0.7 times[78]. - The group's debt-to-asset ratio as of December 31, 2024, was 56.0%, slightly up from 55.9% as of December 31, 2023[79]. Dividends - The board proposed a final dividend of HKD 0.025 per share and a special dividend of HKD 0.075 per share, down from HKD 0.035 and HKD 0.035 respectively in 2023[3]. - The proposed final dividend per ordinary share for 2024 is HKD 2.50, down from HKD 3.50 in 2023, reflecting a decrease of 28.6%[34]. - The proposed special dividend per ordinary share for 2024 is HKD 7.50, significantly higher than HKD 3.50 in 2023[34]. - The board has proposed a final dividend of HKD 2.50 per share and a special dividend of HKD 7.50 per share for the year ending December 31, 2024, pending shareholder approval[74]. Assets and Liabilities - Non-current assets decreased from HKD 2,015,454,000 in 2023 to HKD 1,939,081,000 in 2024, a decline of approximately 3.8%[6]. - Current assets decreased from HKD 566,170,000 in 2023 to HKD 532,064,000 in 2024, a decline of about 6.0%[6]. - Total liabilities decreased from HKD 800,344,000 in 2023 to HKD 756,552,000 in 2024, a reduction of approximately 5.5%[6]. - Non-current liabilities decreased from HKD 796,728,000 in 2023 to HKD 778,974,000 in 2024, a decline of about 2.2%[7]. - Total equity decreased from HKD 984,552,000 in 2023 to HKD 935,619,000 in 2024, a reduction of approximately 5.0%[7]. - The company reported a total of HKD 1,714,593,000 in total assets less current liabilities for 2024, down from HKD 1,781,280,000 in 2023[6]. Operational Performance - The group actively integrated its store and restaurant network in response to market conditions, leading to a profit of HKD 114.8 million when excluding losses from property sales and impairments[2]. - The group continues to explore and adjust its business model and restaurant network layout to enhance operational resilience[49]. - The group is strategically consolidating its store network to enhance overall business resilience amid market challenges[59]. - The group continues to optimize its product mix and pricing strategy, launching various high-value dinner sets to increase customer traffic and revenue[61]. - The group successfully opened three new brands: "An Jin Rice," "Yi Qiao Ramen," and "Man Shan • Taipei," with positive market responses, particularly for "An Jin Rice" which features high-value Korean bibimbap[66]. Market and Segment Performance - Revenue from Hong Kong and Macau reached HKD 2,954,684, up 8.5% from HKD 2,723,043 in the previous year[22]. - Revenue from Mainland China decreased to HKD 337,270, down 30.9% from HKD 488,950 in 2023[22]. - The flagship brand "Tai Hing" generated revenue of HKD 1,258.6 million, a 4.3% increase from HKD 1,206.3 million, accounting for 38.2% of total revenue[61]. - Revenue from "Min Wah Ice Room" reached HKD 886.3 million, a slight decline of 0.7% from HKD 893.0 million, representing 26.9% of total revenue[62]. - "Cha Mu" reported revenue of HKD 365.7 million, up 5.8% from HKD 345.7 million, contributing 11.1% to total revenue[63]. Employee and Operational Costs - Employee costs increased to HKD 1,188.8 million, representing 36.1% of revenue, up from 35.3% in fiscal year 2023[54]. - The group's operating expenses for the review year were HKD 460.6 million, slightly down from HKD 463.2 million in the previous fiscal year, despite an increase in revenue[56]. - The cost of materials increased to HKD 858,423, up from HKD 842,637, an increase of 1.0%[30]. Sustainability and Future Plans - The group has integrated ESG values into its operations, receiving multiple awards for sustainability, including the "Hong Kong Enterprise Low Carbon Environmental Leader Award" and the "2024 Sustainable Restaurant of the Year Award" from the Hong Kong Smart Dining Association[68]. - The group plans to leverage new government policies to boost its restaurant and retail sectors, with a focus on traditional and innovative business strategies[69]. - The group aims to ensure business sustainability and long-term profitability to provide better returns to shareholders[73]. - The group plans to deepen its e-commerce efforts, including the launch of the "Neighbor Buy" electronic sales platform and collaborations with TV broadcasting companies to enhance brand influence[73]. Share Repurchase and Corporate Governance - The company repurchased 6,440,000 ordinary shares at a total cost of HKD 4,784,000, which will be subsequently canceled[44]. - Following the reporting period, the company repurchased 27,540,000 ordinary shares for a total consideration of HKD 25,120,320[88]. - The audit committee reviewed the accounting principles and practices adopted by the group, including the consolidated financial statements for the year ending December 31, 2024[89]. - The company has complied with the corporate governance code as of December 31, 2024[91].

Financial Performance - Revenue for the six months ended June 30, 2024, was HK$1,612,488,000, representing a 2.8% increase from HK$1,568,193,000 in 2023[4] - Profit attributable to owners of the Company decreased to HK$10,719,000, down 76.4% from HK$45,326,000 in the previous year[4] - Basic earnings per share for the period was 1.07 HK cents, a decline of 76.3% compared to 4.51 HK cents in 2023[4] - The gross profit margin improved slightly to 73.7%, up from 73.5% in the previous year[4] - Profit before tax decreased significantly to HK$15,886,000, down 73.7% from HK$60,374,000 in the previous year[76] - Total comprehensive income for the period, net of tax, was HK$3,317,000, a significant decrease from HK$31,876,000 in 2023[77] - The total tax charge for the period was HK$5,166,000, down from HK$15,038,000 in 2023, indicating a reduction of about 65.6%[116] Revenue Breakdown - Revenue distribution by brand shows Tai Hing contributing 37.5% with 60 restaurants, while Men Wah contributed 27.2% with 69 restaurants[7] - The Hong Kong and Macau segment generated revenue of HK$1,430,721,000, a 9.0% increase from the previous year[4] - The Chinese Mainland segment reported revenue of HK$181,767,000, a decrease of 28.8% from HK$255,468,000 in 2023[4] - Total segment revenue for the six months ended June 30, 2024, was HK$1,664,225,000, an increase from HK$1,608,011,000 in the same period of 2023, representing a growth of 3.5%[97] - Revenue from restaurant operations was HK$1,570,345,000, up from HK$1,529,336,000, reflecting a growth of 2.7%[102] Cost and Expenses - The cost of materials consumed amounted to HK$424.3 million, representing 26.3% of revenue, a slight decrease from 26.5% in the first half of 2023[18] - Staff costs increased to HK$601.0 million from HK$544.8 million in 1H2023, with staff costs as a percentage of revenue rising to 37.3% from 34.7%[22] - Amortization of right-of-use assets and rental expenses reached HK$258.0 million, with lease-related expenses accounting for 16.0% of revenue, up from 15.5% in 1H2023[23] - Other operating expenses decreased to HK$219.2 million from HK$224.6 million in 1H2023, with the ratio of these expenses to revenue declining to 13.6% from 14.3%[26] Operational Challenges - The Group faced challenges from rising labor and rental costs, as well as a consumption downgrade in the Chinese Mainland, impacting profitability[14] - The economic recovery in Hong Kong has been weaker than expected, contributing to a restrained revenue growth environment[12] - The Group implemented stringent cost management measures and menu adjustments to enhance brand image and consolidate its restaurant network[13] Cash Flow and Liquidity - As of June 30, 2024, the Group had cash and cash equivalents of HK$268.0 million and no bank borrowings, down from HK$328.1 million at the end of 2023[16] - The Group's total current assets were approximately HK$506.8 million and total current liabilities were approximately HK$775.2 million, resulting in a current ratio of approximately 0.7 times[60] - The net current assets, after excluding current portion of lease liabilities and contract liabilities, were approximately HK$147.8 million as of June 30, 2024, compared to HK$212.4 million as of December 31, 2023[60] Business Strategy and Expansion - The Group plans to expand its business in new shopping areas such as Kai Tak Sports Park to strengthen its market position[53] - The Group is actively investing in digitalisation and innovative technology to enhance operational efficiency and reduce employee workload[52] - The Group's operational strategies included a centralized logistics model to improve supply chain efficiency and reduce costs[18] Shareholder Information - The interim dividend per share proposed is 2.50 HK cents, a decrease of 26.5% from 3.40 HK cents in 2023[4] - The Group's issued and fully paid share capital remained at 1,005,399,000 shares as of June 30, 2024, unchanged from previous periods[124] - The Group's mobile application "Tai Hing Group App" has accumulated approximately 210,000 members since its launch in mid-2023, driving steady business growth[45] Sustainability and ESG Initiatives - The Group received multiple ESG recognitions, including the "2024 Environmental Excellent Enterprise Awards" and "Super MD" status from the Employees Retraining Board[47] - The Group's commitment to sustainable development includes promoting a low-carbon lifestyle and engaging in community projects[48] Employee Information - The Group employed approximately 6,200 employees as of June 30, 2024, a decrease from approximately 6,300 employees as of December 31, 2023[65] - Total compensation paid to key management personnel for the six months ended 30 June 2024 was HK$10,923,000, compared to HK$10,268,000 for the same period in 2023, reflecting an increase of approximately 6.4%[133]

Financial Performance - For the six months ended June 30, 2024, the group's total revenue increased by 2.8% to approximately HKD 1,612.5 million, compared to HKD 1,568.2 million in the same period of 2023[1] - The profit attributable to shareholders for the same period was HKD 10.7 million, a significant decrease from HKD 45.3 million in the prior year[2] - Gross profit for the six months was HKD 1,188.2 million, compared to HKD 1,153.0 million in the previous year[2] - The group reported a decrease in pre-tax profit to HKD 15.9 million from HKD 60.4 million in the same period of 2023[2] - Total comprehensive income for the period was HKD 3.3 million, down from HKD 31.9 million in the previous year[3] - The interim dividend declared is HKD 0.025 per share, down from HKD 0.034 per share in the same period last year[1] - The group reported a pre-tax profit of HKD 10,719,000 for the six months ended June 30, 2024, down from HKD 45,326,000 in 2023[25] - Basic earnings per share for the period was HKD 0.0107, compared to HKD 0.0453 in the previous year[25] Cash and Assets - The group maintained a strong cash position with cash and cash equivalents of HKD 268.0 million as of June 30, 2024, with no bank borrowings[1] - Non-current assets as of June 30, 2024, totaled HKD 1,974.3 million, a decrease from HKD 2,015.5 million at the end of 2023[4] - The total assets of the group as of June 30, 2024, were HKD 2,481,081,000, a decrease from HKD 2,581,624,000 as of December 31, 2023[14] - The group's total liabilities as of June 30, 2024, were HKD 1,564,702,000, compared to HKD 1,597,072,000 as of December 31, 2023, indicating a reduction of approximately 2.0%[14] - The total net value of pledged properties, plants, and equipment as of June 30, 2024, was HKD 210.5 million, compared to HKD 218.1 million as of December 31, 2023[26] - The total current assets and current liabilities as of June 30, 2024, were approximately HKD 506.8 million and HKD 775.2 million, respectively, resulting in a current ratio of approximately 0.7 times[53] - As of June 30, 2024, the company's debt-to-asset ratio was 58.1%, up from 55.9% on December 31, 2023[54] Revenue Breakdown - The revenue from external customers in Hong Kong and Macau for the six months ending June 30, 2024, was HKD 1,430,721,000, up from HKD 1,312,725,000 in the previous year, reflecting a growth of about 9.0%[13] - The revenue from the mainland China segment for the same period was HKD 233,504,000, down from HKD 295,286,000, representing a decline of approximately 20.9%[13] - Restaurant operation revenue reached HKD 1,570,345,000, up from HKD 1,529,336,000, reflecting a growth of 2.7%[15] - Revenue from food sales increased to HKD 42,143,000, compared to HKD 38,857,000, marking a rise of 5.3%[15] - The flagship brand "Tai Hing" generated revenue of HKD 605.4 million, a year-on-year increase of 4.0%, accounting for 37.5% of total revenue[42] - Revenue from "Min Wah Ice Room" reached HKD 438.9 million, a year-on-year increase of 0.9%, representing 27.2% of total revenue[42] - "Cha Mu" achieved revenue of HKD 184.8 million, a year-on-year growth of 10.5%, contributing 11.5% to total revenue[43] Cost Management - Employee costs increased to HKD 601.0 million, with the employee cost to revenue ratio rising to 37.3% from 34.7% year-on-year[36] - Material costs were HKD 424.3 million, with the cost as a percentage of revenue decreasing to 26.3% from 26.5% year-on-year[35] - The group's other operating expenses were HKD 219.2 million, showing a decrease from HKD 224.6 million in the previous year, resulting in an overall expense ratio decline from 14.3% to 13.6%[38] - Rental-related expenses were HKD 258.0 million, with a rental expense to revenue ratio of 16.0%, reflecting the impact of rising rental costs in prime locations[37] - The group has implemented strict cost management measures and adjusted menus to adapt to changing consumer behavior and economic conditions[32] - The group implemented resource redeployment and integration strategies in response to rising employee and rental costs, which posed challenges to profitability[33] Strategic Initiatives - The group aims to enhance its restaurant brand image and optimize its store network through the use of the "Tai Hing Group App" to improve operational resilience[32] - The group is actively responding to market changes in mainland China by optimizing its store network and focusing resources on high-potential locations[40] - The group has implemented promotional activities to boost consumer spending, including the "Hong Kong Food Journey" campaign[40] - The group continues to develop new products and enhance its offerings to meet diverse customer needs and improve market competitiveness[42] - The group plans to expand its business in new commercial areas such as Kai Tak Sports Park to strengthen its market leadership[48] - The group is actively participating in large-scale events to promote brand exposure and business growth[49] Employee and Governance - The company employed approximately 6,200 employees as of June 30, 2024, a decrease from approximately 6,300 employees on December 31, 2023[59] - The group emphasizes employee development and welfare, fostering a healthy work environment and receiving recognition for its commitment to employee rights[46] - The company has complied with the corporate governance code as of June 30, 2024[64] Digitalization and Innovation - The group has increased investment in digitalization and innovative technologies to optimize workflows and improve execution efficiency, thereby alleviating employee workload[48] - The group launched a comprehensive mobile application "太兴集团App," accumulating around 210,000 members since mid-2023, enhancing customer engagement and driving steady business growth[45] Market Conditions - Total restaurant revenue in Hong Kong for Q2 was estimated at HKD 26.9 billion, a year-on-year decline of 2.1%[40] - Average same-store sales growth in Hong Kong was approximately 2.4% during the review period[40] - The group has not reported any revenue from individual customers that exceeds 10% of the group's total revenue, indicating a diversified customer base[14]