HK FERRY (HOLD)(HK:00050)2020-09-09 11:02Financial Performance - The group's unaudited consolidated net profit for the six months ended June 30, 2020, was HKD 18 million, a decrease of 79% compared to HKD 86 million in the same period last year[4]. - The group's revenue for the six months ended June 30, 2020, was HKD 105 million, a decrease of 38% compared to the previous year, primarily due to reduced income from ferry and shipyard operations[14]. - The company's revenue for the six months ended June 30, 2020, was HKD 105,205,000, a decrease of 38.3% compared to HKD 170,481,000 in 2019[63]. - The operating profit for the same period was HKD 29,195,000, down 70.3% from HKD 98,255,000 in 2019[63]. - The net profit attributable to equity shareholders was HKD 18,164,000, a decline of 79.0% from HKD 86,485,000 in the previous year[66]. - The total comprehensive income for the six months ended June 30, 2020, was HKD 18,164, a decrease from HKD 89,887 in the same period of 2019, reflecting a decline of approximately 79.8%[77]. - The group reported a net loss of HKD 29,195,000 for the six months ended June 30, 2020, compared to a profit of HKD 98,255,000 in 2019[112]. Revenue Breakdown - The real estate development segment generated revenue of HKD 24,000 for the six months ended June 30, 2020, compared to HKD 20,100,000 in 2019, reflecting a significant increase[102]. - The real estate investment segment reported revenue of HKD 73,292,000 for the six months ended June 30, 2020, up from HKD 70,852,000 in 2019, indicating a growth of 2.0%[102]. - The ferry, shipyard, and related businesses segment saw a revenue decline to HKD 44,045,000 from HKD 83,374,000, a decrease of 47.1% year-over-year[102]. - The securities investment segment's revenue decreased to HKD 1,481,000 from HKD 9,282,000, a decline of 84.0% compared to the previous year[102]. Assets and Liabilities - The group’s equity decreased by 2% to HKD 6.014 billion as of June 30, 2020, mainly due to confirmed property rental profits and losses from the revaluation of investment properties[15]. - The group’s current assets amounted to HKD 2.387 billion, with a current ratio of 16.7 times as of June 30, 2020, due to a decrease in trade and other payables[16]. - The group’s consolidated financial position as of June 30, 2020, showed total non-current assets of HKD 11,249,000 and current assets of HKD 3,252,411,000[42]. - The company's total equity as of June 30, 2020, was HKD 6,013,625, down from HKD 6,133,486 at the end of 2019, representing a decrease of approximately 1.9%[73]. - Total liabilities decreased to HKD 142,749 from HKD 179,693, showing a reduction of about 20.5%[73]. Cash Flow and Investments - The net cash generated from operating activities for the six months ended June 30, 2020, was HKD 4,435, a significant drop from HKD 61,804 in the same period of 2019, reflecting a decline of approximately 92.8%[81]. - The company reported a net cash outflow from investing activities of HKD 40,345 for the six months ended June 30, 2020, compared to HKD 128,646 in the previous year, a decrease of approximately 68.7%[81]. - The group recognized a loss of HKD 4,798,000 in fair value changes of financial assets for the six months ended June 30, 2020, compared to a gain of HKD 6,739,000 in 2019[118]. Shareholder Information - The company’s directors held a total of 122,330,040 shares, representing approximately 33.41% of the total issued shares[46]. - Major shareholder 恒基兆業地產有限公司 holds 119,017,090 shares, representing approximately 33.41% of the total issued shares[50]. - The company’s chairman, Dr. Lin, holds 150,000 shares, accounting for 0.04% of the total issued shares[46]. Corporate Governance - The company has adhered to the corporate governance code as per the Hong Kong Stock Exchange's listing rules for the six months ending June 30, 2020[25]. - The audit committee reviewed the accounting principles and practices adopted by the group and discussed interim reviews and internal controls[28]. - The company has adopted written guidelines for employees and directors regarding insider trading compliance[26]. - The company’s audit committee confirmed that the interim financial report for the six months ending June 30, 2020, was reviewed without any differing opinions[28]. Market Outlook - The group anticipates a contraction of 6% to 8% in the overall economy for the year due to the ongoing impact of the COVID-19 pandemic[10]. - The group plans to continue selling residential units in the "Imperial Bay" project in batches to meet market demand, with expected profits primarily from rental income in the second half of the year[10].