Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 2,786.2 million, representing a 2.2% increase from HKD 2,726.4 million in the same period of 2023[4] - Gross profit increased by 11.1% to HKD 553.5 million, up from HKD 498.0 million year-over-year[4] - Net profit for the period was HKD 312.8 million, a 2.4% increase compared to HKD 305.6 million in the previous year[4] - Adjusted net profit was HKD 298.5 million, reflecting a 3.3% increase from HKD 289.1 million in the same period of 2023[4] - Basic and diluted earnings per share rose to HKD 13.1 cents, up 3.1% from HKD 12.7 cents[4] - Operating profit was HKD 390.4 million, compared to HKD 371.7 million in the same period last year[6] - The company reported a gross margin of 19.9%, an increase of 1.6 percentage points from 18.3% in the previous year[4] - Total revenue increased by 2.2% to HKD 2,786.2 million, driven by growth in cashmere yarn sales and fabric business, with improved gross profit and gross profit margin compared to the same period last year[66] - Operating profit rose by 5.0% to HKD 390.4 million, while net profit reached a historic high of HKD 312.8 million, reflecting a 2.4% increase year-on-year[67] Assets and Liabilities - Total assets as of September 30, 2024, amounted to HKD 4,831.9 million, compared to HKD 4,448.1 million as of March 31, 2024[17] - Total equity increased to HKD 2,796,647 thousand as of September 30, 2024, up from HKD 2,598,959 thousand as of March 31, 2024, representing a growth of 7.6%[19] - Total liabilities rose to HKD 2,035,231 thousand, compared to HKD 1,849,144 thousand in the previous period, indicating an increase of 10.1%[19] - Cash and cash equivalents decreased to HKD 569.0 million from HKD 717.4 million[17] - Trade receivables as of September 30, 2024, amounted to HKD 409,234,000, compared to HKD 167,149,000 as of March 31, 2024, indicating a significant increase[49] - The total bank borrowings as of September 30, 2024, were HKD 788,086,000, a decrease from HKD 807,940,000 as of March 31, 2024[53] - The group's leverage ratio increased from 8.9% as of March 31, 2024, to 14.3% as of September 30, 2024, calculated as net debt divided by total equity[102] Revenue Breakdown - Major customers accounted for approximately 69.1% of total revenue for the six months ended September 30, 2024, down from 72.4% in 2023[35] - Revenue from Japan decreased to HKD 592,102 thousand for the six months ended September 30, 2024, compared to HKD 764,182 thousand in 2023, reflecting a decline of about 22.5%[33] - Revenue from Europe increased significantly to HKD 631,710 thousand for the six months ended September 30, 2024, up from HKD 511,823 thousand in 2023, marking a growth of approximately 23.4%[33] - Revenue from North America increased slightly to HKD 439,339 thousand for the six months ended September 30, 2024, compared to HKD 423,311 thousand in 2023, reflecting a growth of about 3.8%[33] - Revenue from Mainland China was HKD 503,805 thousand for the six months ended September 30, 2024, a decrease from HKD 524,447 thousand in 2023, representing a decline of approximately 3.0%[33] Expenses and Costs - Total cost of sales, selling and distribution expenses, and general and administrative expenses amounted to HKD 2,427,158,000 in 2024, compared to HKD 2,408,435,000 in 2023, an increase of approximately 0.8%[39] - Advertising and promotional expenses decreased to HKD 3,233,000 in 2024 from HKD 4,579,000 in 2023, a reduction of approximately 29.4%[39] - Employee benefits expenses, including director remuneration, increased to HKD 544,028,000 in 2024 from HKD 534,218,000 in 2023, reflecting a growth of about 1.5%[39] - Selling and distribution expenses increased by HKD 3.2 million to HKD 21.0 million, attributed to rising transportation costs consistent with overall sales volume increases[85] - General and administrative expenses rose by HKD 11.3 million to HKD 173.5 million, primarily due to increased employee costs from business expansion[86] Taxation - The estimated tax expense for Hong Kong profits tax was HKD 15,409,000 in 2024, up from HKD 9,653,000 in 2023, a significant increase of approximately 59.1%[43] - The total income tax expense for the six months ended September 30, 2024, was HKD 53,402,000, compared to HKD 43,804,000 in 2023, reflecting an increase of approximately 21.9%[43] - The effective tax rate for the group was 14.6% for the six months ended September 30, 2024, compared to 12.5% for the same period in 2023[92] Market and Operational Insights - The company continues to focus on expanding its market presence and enhancing product offerings, although specific new product details were not disclosed in the financial summary[19] - The company reported a cautious consumer spending pattern due to ongoing geopolitical tensions and inflationary pressures as of September 30, 2024[60] - The company demonstrated strong resilience despite facing significant challenges over the past few years, adapting to market dynamics effectively[62] - The group aims to enhance product design through functional and material development to meet rapidly changing customer preferences[74] - The company plans to continue seeking innovations and breakthroughs in lean production and digitalization under uncertain geopolitical conditions[74] Dividends and Shareholder Returns - The board declared an interim dividend of HKD 0.098 per share, with a payout ratio of 75%, in appreciation of shareholder support[67] - The interim dividend per share increased to HKD 0.098 in 2024 from HKD 0.095 in 2023, marking a rise of approximately 3.2%[48] Corporate Governance - The company has adhered to the corporate governance code and has maintained high standards of corporate governance as of September 30, 2024[123] - The audit committee consists of three independent non-executive directors and is responsible for overseeing the financial reporting process and internal controls[127]
南旋控股(01982) - 2025 - 中期业绩