Financial Performance - The Group recorded a profit attributable to owners of HK$25,630,000 for the six months ended September 30, 2023, compared to a loss of HK$8,625,000 in the same period of 2022, indicating effective strategic initiatives [12]. - Revenue increased by 50.8% to HK$43,772,000 for the Period, up from HK$29,019,000 in 2022, primarily driven by increased interest income from money lending and reduced fair value losses on listed equity investments [16]. - Profit before tax from continuing operations was HK$37,115,000, significantly up from HK$11,089,000 in the previous year, representing a growth of 235.5% [149]. - Profit for the period from continuing operations was HK$31,516,000, compared to HK$5,247,000 in 2022, marking a substantial increase of 500.3% [149]. - The company reported a total comprehensive income of HK$25,832,000 for the period, compared to a loss of HK$21,141,000 in the same period last year [150]. - Basic earnings per share for profit for the period was HK0.44 cents, a recovery from a loss of HK(0.15) cents in the previous year [149]. Revenue Sources - Interest income from the money lending business rose by HK$1,434,000 to HK$35,972,000, while fair value losses on listed equity investments decreased significantly by HK$18,332,000 to HK$247,000 [16]. - Other income surged to HK$7,092,000 from HK$1,937,000 in the previous year, mainly due to a substantial increase in bank interest income [17]. - The money lending segment recorded an increase in profit by 8.1% to HK$30,430,000 for the Period, compared to HK$28,152,000 in the previous year [46]. - The Group's segment revenue from property investment increased by 2.1% to HK$7,916,000 for the Period, up from HK$7,753,000 in the previous year [52]. - The Group's investment properties in Singapore generated fair value gains of HK$11,620,000, while losses in Hong Kong properties were HK$3,300,000 [25]. Discontinued Operations - The Group discontinued its cruise ship charter services business in March 2023, leading to a significant reduction in losses from this segment [11]. - Loss from the discontinued operation of cruise ship charter services decreased to HK$531,000 for the period, compared to HK$11,992,000 in 2022 [98]. - The Group disposed of its cruise ship charter services business for S$7,650,000 (approximately HK$44,982,000) on April 28, 2023, resulting in a gain on disposal of approximately HK$9,834,000 [97]. Economic Environment - Consumer spending in Hong Kong rebounded to nearly 90% of pre-pandemic levels in the first nine months of 2023, although growth opportunities remain limited [10]. - The Hong Kong government revised its economic growth forecast for 2023 down to 3.2% from an earlier estimate of 4.0% to 5.0%, highlighting ongoing economic challenges [10]. - The overall economic outlook continues to face downside risks due to geopolitical tensions and the aftermath of COVID-19 restrictions [10]. Cost Management - Administrative and operating expenses increased by 5.3% to HK$21,507,000 from HK$20,432,000, mainly due to a rise in employee benefit expenses and overseas travel expenses [21]. - The Group maintained stringent cost control measures to monitor operational and administrative expenses [75]. - Employee benefit expenses for the period were HK$9,729,000, an increase from HK$9,114,000 in 2022 [93]. Assets and Liabilities - The Group's net current assets increased to HK$1,108,421,000 as of 30 September 2023, up from HK$1,060,608,000 on 31 March 2023 [67]. - The Group's total cash and cash equivalents were approximately HK$447,659,000 as of 30 September 2023, compared to approximately HK$456,027,000 on 31 March 2023 [68]. - The gearing ratio improved to 6.7% as of 30 September 2023, down from 9.8% on 31 March 2023 [76]. - The Group's total indebtedness includes a loan from a non-controlling shareholder amounting to approximately HK$24,087,000 as of 30 September 2023, down from approximately HK$71,823,000 on 31 March 2023 [73]. Corporate Governance - The Group has complied with all corporate governance code provisions throughout the six months ended September 30, 2023 [107]. - The company’s board conducted a review of internal controls and the interim report for the six months ended September 30, 2023 [138]. - The independent review report confirms that the interim financial information complies with relevant provisions of the Hong Kong Listing Rules and HKAS 34 [141]. Share Capital and Options - As of September 30, 2023, the total number of issued shares of the Company was 5,780,368,705 [120]. - The Company had no new share option scheme adopted after the expiration of the previous scheme [129]. - All outstanding share options under the Share Option Scheme lapsed on September 3, 2023, resulting in a transfer of HK$5,068,000 from the share option reserve to retained profits [92]. Taxation - The total tax charge for the period from continuing operations was HK$5,599,000 in 2023, slightly down from HK$5,842,000 in 2022, indicating a decrease of approximately 4.2% [196]. - The Group's current tax charge for the period in Hong Kong was HK$5,061,000, an increase from HK$4,245,000 in 2022, reflecting a rise of approximately 19.3% [196].
新世纪集团(00234) - 2024 - 中期财报