Financial Performance - For the six months ended September 30, 2022, the group's revenue was approximately HKD 104.8 million, an increase of 16.5% compared to HKD 90.3 million for the same period last year[1]. - The profit attributable to the company's owners for the period was approximately HKD 2.5 million, a significant turnaround from a loss of approximately HKD 9 million in the previous period[1]. - The basic earnings per share for the period was approximately HKD 0.32, compared to a loss per share of HKD 1.12 in the previous period[1]. - The group's gross profit for the period was HKD 17.4 million, representing a gross margin of 16.6%, up from HKD 11.6 million in the previous period[3]. - Total revenue for the six months ended September 30, 2022, was HKD 104,843,000, an increase from HKD 90,288,000 in the same period of 2021, representing a growth of approximately 16.2%[22]. - Other income for the six months ended September 30, 2022, totaled HKD 1,985,000, compared to HKD 515,000 in the previous year, indicating a significant increase of approximately 284.4%[24]. - The pre-tax profit for the period was HKD 2,541,000, a decrease from a loss of HKD 8,978,000 in the previous year[33]. - The company recorded a net profit of approximately HKD 2,500,000, a turnaround from a loss of about HKD 9,000,000 in the previous period, attributed to increased revenue and reduced administrative expenses[65]. Revenue Sources - Revenue from building construction was HKD 35,749,000, while maintenance, repair, alteration, and addition (RMAA) works generated HKD 45,165,000, and design and build services contributed HKD 23,929,000[22]. - The company's total revenue increased by approximately 16.1% from about HKD 90,300,000 to approximately HKD 104,800,000, driven by new project commencements and significant increases in RMAA and design and construction services revenue[55]. Expenses and Costs - The group's administrative expenses decreased to HKD 15.8 million from HKD 19.4 million, reflecting a reduction of approximately 18.5%[3]. - The company’s total employee costs for the six months ended September 30, 2022, were HKD 8,664,000, compared to HKD 8,486,000 in the same period of 2021, reflecting a slight increase of about 2.1%[27]. - Direct costs rose by approximately 11.1%, increasing from about HKD 78,700,000 to approximately HKD 87,400,000[58]. - Financing costs increased to HKD 363,000 for the six months ended September 30, 2022, from HKD 242,000 in the same period of 2021, reflecting a rise of about 50%[26]. - Administrative expenses decreased by approximately 18.3%, from HKD 19,400,000 to about HKD 15,800,000, mainly due to reduced R&D costs related to innovative assembly synthetic building designs[61]. Assets and Liabilities - The group's total assets as of September 30, 2022, were approximately HKD 311.1 million, up from HKD 272.3 million as of March 31, 2022[4]. - The net current liabilities amounted to HKD 26.4 million, compared to HKD 24.4 million as of March 31, 2022[6]. - Non-current assets as of September 30, 2022, amounted to HKD 96,575,000, up from HKD 92,981,000 as of March 31, 2022, showing an increase of approximately 3.4%[20]. - Trade receivables as of September 30, 2022, were HKD 31,261,000, significantly higher than HKD 5,888,000 as of March 31, 2022, indicating a growth of approximately 430.5%[35]. - Trade payables increased from HKD 56,098,000 as of March 31, 2022, to HKD 72,289,000 as of September 30, 2022, reflecting a growth of 28.8%[41]. - The company’s accrued expenses rose from HKD 3,010,000 as of March 31, 2022, to HKD 4,512,000 as of September 30, 2022, marking a 49.8% increase[41]. Liquidity and Financial Position - The net cash used in operating activities was HKD 73.0 million, compared to HKD 20.9 million in the previous period, indicating increased cash outflow[11]. - The group had undrawn credit facilities of HKD 116.5 million available as of September 30, 2022, providing sufficient liquidity for operational needs[16]. - The company maintained a strong financial position with cash and cash equivalents of approximately HKD 15,100,000 as of September 30, 2022, down from about HKD 57,600,000 on March 31, 2022[67]. - The capital-to-debt ratio increased to approximately 40.4% from 15.5%, calculated based on bank borrowings and lease liabilities divided by total equity[70]. Corporate Governance - The company has complied with all provisions of the corporate governance code, except for the deviation regarding the roles of the Chairman and CEO[83]. - The company has three independent non-executive directors providing independent views to ensure adequate power balance within the board[86]. - The audit committee, established in September 2015, reviews the company's financial information and oversees internal control procedures[105]. - The audit committee consists of three independent non-executive directors, ensuring compliance with applicable accounting standards and listing rules[105]. - The interim financial statements for the period were reviewed by external auditors and the audit committee, confirming adherence to statutory requirements[105]. Future Outlook and Strategy - The company maintains a relatively positive outlook for the construction industry in Hong Kong, driven by government initiatives in housing and infrastructure development[51]. - The company anticipates that the upcoming government transition in July 2022 may introduce new housing policies, potentially stimulating further growth in the construction sector[51]. - The company is actively seeking opportunities in modular synthetic construction projects and expanding the application of building information modeling technology, utilizing AI for site safety and robotic solutions in construction processes[53]. - The company has successfully expanded into new areas, including regular maintenance and repair projects, indicating its capability to diversify its service offerings[50]. Shareholder Information - The company has a significant shareholder, Mr. Lin, who holds 580,000,000 shares, representing 72.5% of the issued share capital[86].
德莱建业(01546) - 2023 - 中期财报