Financial Performance - Revenue for the six months ended September 30, 2019, was HK$23,587,000, a decrease of 12.5% from HK$26,922,000 in the same period of 2018[8]. - Gross profit for the period was HK$5,576,000, slightly down from HK$5,635,000, resulting in a gross margin of approximately 23.6%[8]. - Loss before tax increased to HK$93,598,000 compared to a loss of HK$67,150,000 in the previous year, reflecting a 39.4% increase in losses[8]. - Loss attributable to equity holders of the Company was HK$93,164,000, up from HK$73,792,000, indicating a 26.3% increase in losses year-over-year[10]. - Total comprehensive loss for the period was HK$195,047,000, compared to HK$238,096,000 in the same period last year, showing a decrease of 18.1%[10]. - The company reported a basic and diluted loss per share of HK$4.89, compared to HK$3.87 in the previous year, representing a 26.3% increase in loss per share[8]. - The unaudited consolidated loss attributable to equity holders for the six months ended 30 September 2019 was HK$93,164,000, compared to HK$73,792,000 for the same period in 2018, representing an increase of approximately 26.3%[81]. - Basic loss per share for the current period was 4.89 HK cents, up from 3.87 HK cents in the previous year[81]. Expenses and Costs - Selling expenses rose significantly to HK$7,783,000 from HK$1,880,000, indicating a substantial increase in operational costs[8]. - Administrative expenses increased to HK$25,185,000 from HK$23,547,000, reflecting a 7% rise in overhead costs[8]. - Finance costs decreased to HK$46,463,000 from HK$49,940,000, a reduction of approximately 7.4%[8]. - The finance income decreased to HK$19,000 from HK$34,000 year-on-year, while finance costs increased significantly to HK$42,662,000 from HK$54,197,000, indicating a reduction in interest expenses[36]. - The depreciation of property, plant, and equipment increased to HK$617,000 from HK$386,000, marking a 60% increase year-on-year[38]. - The company capitalized HK$94,356,000 on qualifying assets, compared to HK$86,642,000 in the previous year, indicating a 8.5% increase[36]. Assets and Liabilities - As of September 30, 2019, non-current assets under construction amounted to HK$1,710,912, a decrease of 3.2% from HK$1,767,135 as of March 31, 2019[11]. - Current assets totaled HK$2,719,420, showing a slight increase from HK$2,702,629 as of March 31, 2019[11]. - Net current assets decreased to HK$181,037 from HK$340,793, reflecting a decline of 46.9%[11]. - Total equity as of September 30, 2019, was HK$579,695, down 25.2% from HK$774,742 as of March 31, 2019[12]. - The Group's total assets less current liabilities were HK$2,900,457, down from HK$3,043,422 as of March 31, 2019[11]. - The carrying amount of the investment properties under construction as of 30 September 2019 was approximately HK$1,710,912,000, down from HK$1,767,135,000 as of 31 March 2019, indicating a decrease of about 3.2%[51]. - Total assets less current liabilities amounted to HK$3,073,593,000, with an increase of HK$30,171,000 due to the adoption of HKFRS 16[24]. Cash Flow - The company reported a net cash generated from operating activities of HK$26,531, compared to a net cash used of HK$53,644 in the same period last year[15]. - Cash and cash equivalents at the end of the period were HK$38,092, down from HK$82,774 a year earlier, representing a decrease of 54%[15]. - The Group's cash and cash equivalents were HK$38,092,000, down from HK$163,248,000 as of March 31, 2019, with a current ratio of 1.4 compared to 1.9 previously[85]. Borrowings and Financing - As of September 30, 2019, the Group's borrowings amounted to HK$2,332,482,000, a slight decrease from HK$2,334,374,000 as of March 31, 2019[18]. - Approximately HK$44,190,000 of the borrowings will be due for repayment in the next twelve months, down from HK$73,030,000 as of March 31, 2019[18]. - The Group's unsecured borrowings amounted to approximately HK$510,960,000, an increase from HK$407,517,000 as of March 31, 2019, representing a growth of 25.3%[65]. - The effective interest rate for unsecured borrowings is 9% per annum for RMB borrowings and 8% per annum for HK$ borrowings[67]. - The Group has drawn down unsecured borrowings of RMB377,870,000 (approximately HK$415,657,000) as of September 30, 2019, compared to RMB294,150,000 (approximately HK$344,156,000) as of March 31, 2019, indicating a 28.5% increase[68]. Corporate Governance - The Company has complied with all code provisions of the Corporate Governance Code throughout the six months ended 30 September 2019[42]. - The audit committee, consisting of three independent non-executive Directors, has reviewed the unaudited interim results for the six months ended 30 September 2019[113]. - The Company has adopted a corporate governance statement of policy in line with the CG Code[42]. - The Company confirmed compliance with the Model Code for securities transactions by Directors throughout the reporting period[106]. Management and Personnel - Key management personnel compensation for the six months ended September 30, 2019, totaled HK$4,441,000 for short-term benefits, a decrease from HK$4,777,000 in the same period of 2018[70]. - The total workforce increased to approximately 170 employees as of September 30, 2019, from 61 employees as of March 31, 2019, with total staff costs of HK$17,929,000 for the current period[89]. Future Outlook - The redevelopment of the Chongqing Property is nearing completion, with residential apartments available for sale and serviced apartments under trial run[84]. - The Group expects to generate revenue from leasing serviced apartments in the current financial year and from the shopping mall in the next financial year, aiming for stable rental income thereafter[84]. - The Company is actively seeking investment opportunities to diversify revenue sources and create shareholder value[84]. - The Group plans to monitor the financial performance of the Chongqing Property operations and maximize returns to lower the gearing ratio and finance costs[84].
民生国际(00938) - 2020 - 中期财报