Financial Performance - The company reported revenue of HKD 36,749,000 for the six months ended June 30, 2024, representing a significant increase of 176.5% compared to HKD 13,331,000 for the same period in 2023[2]. - Gross profit for the same period was HKD 16,278,000, up 98.5% from HKD 8,218,000 year-on-year[2]. - Operating profit for the six months was HKD 3,154,000, a turnaround from an operating loss of HKD 1,653,000 in the previous year[2]. - The net profit attributable to the owners of the company was HKD 2,957,000, compared to a loss of HKD 2,441,000 in the same period last year[4]. - Adjusted EBITDA for the same period was HKD 5,691 thousand, compared to HKD 595 thousand in 2023, indicating a substantial improvement in operational profitability[16]. - The company recorded a total comprehensive loss of HKD 2,440,000 for the six months ended June 30, 2024, compared to a loss of HKD 2,451,000 in the same period last year[8]. Assets and Liabilities - The company’s total assets increased to HKD 37,393,000 as of June 30, 2024, compared to HKD 8,703,000 at the end of 2023[6]. - Current liabilities rose to HKD 38,450,000 from HKD 11,886,000 at the end of 2023, indicating increased operational activity[6]. - Total assets from continuing operations increased to HKD 37,669 thousand in 2024, up from HKD 12,104 thousand in 2023, reflecting a growth of 211%[16]. - Total liabilities from continuing operations rose to HKD 33,360 thousand in 2024, compared to HKD 7,892 thousand in 2023, marking an increase of 322%[16]. - As of June 30, 2024, the total assets of the group were approximately HKD 37,828,000, while total liabilities were approximately HKD 39,435,000, resulting in a debt ratio of approximately 104.2%[50]. Cash Flow and Liquidity - The company reported a net cash inflow from operating activities of HKD 6,791,000 for the six months ended June 30, 2024, compared to a net outflow of HKD 4,595,000 in the same period last year[9]. - Cash and cash equivalents increased to HKD 10,210,000 as of June 30, 2024, compared to HKD 1,369,000 at the end of the previous year, reflecting a significant improvement in liquidity[9]. - The group’s current liquidity ratio is approximately 0.97, an improvement from 0.73 as of December 31, 2023[50]. - The company has taken measures to improve its liquidity and debt situation, closely monitoring its financial status[52]. Revenue Sources - The software platform services generated revenue of HKD 17,925,000, up from HKD 13,331,000, indicating a growth of approximately 34%[11]. - The advertising e-commerce platform services contributed HKD 15,647,000 in revenue, which was not present in the previous year's results[11]. - The software platform business revenue increased by approximately HKD 4,594,000 to about HKD 17,925,000, while the new segments, advertising e-commerce platform and product sales, generated revenues of approximately HKD 15,647,000 and HKD 3,177,000 respectively[42]. Expenses - Research and development expenses were HKD 5,954,000, slightly higher than HKD 5,500,000 in the previous year, reflecting ongoing investment in innovation[2]. - Cost of sales increased by approximately HKD 15,358,000 or 300.4% to about HKD 20,471,000, primarily due to increased procurement[43]. - Administrative and other operating expenses rose by approximately HKD 3,218,000 or 32.5% to about HKD 13,125,000, driven by increased employee costs and administrative expenses for new business in China[45]. - Financing costs for the six months ended June 30, 2024, were HKD 119 thousand, a decrease from HKD 250 thousand in 2023, indicating improved cost management[18]. Shareholder Information - As of June 30, 2024, Mr. Liu Kuan-Chau holds 370,000,000 shares, representing approximately 29.07% of the company's total issued shares of 1,272,640,000[62]. - Major shareholder Ms. Zhang Jiahui, spouse of Mr. Liu, is also reported to hold 370,000,000 shares, equating to 29.07% ownership[63]. - The company has adopted a new share option scheme to incentivize employees, directors, and consultants, effective for ten years from May 8, 2013[65]. Strategic Focus and Future Plans - The company has indicated plans for market expansion and new product development, although specific details were not disclosed in the earnings report[2]. - The company is focusing on expanding its advertising e-commerce platform, which combines social media and sales channels to enhance brand development[12]. - The group plans to continue focusing on its two main businesses: software platform and mobile gaming applications, while diversifying revenue sources through the advertising e-commerce platform[57][58]. - The company plans to enhance its software platform and maintain long-term relationships with existing clients while strategically delaying the development of its mobile gaming business to allocate resources towards software platform expansion[61]. Corporate Governance - The audit committee consists of two independent non-executive directors, with Mr. Fu Enming as the chairman[71]. - The company has adopted a code of conduct for securities trading by directors, with no known violations during the reporting period[72]. - The company has maintained compliance with the corporate governance code, except for the separation of roles between the chairman and the CEO[68].
悟喜生活(08148) - 2024 - 中期业绩