佳明集团控股(01271) - 2024 - 中期业绩

Performance Highlights The Group experienced significant declines in revenue and profit for the six months ended September 30, 2023, primarily due to reduced property sales | Metric | 2023/24 H1 (HK$ Million) | 2022/23 H1 (HK$ Million) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 191.7 | 4,920.1 | -96.1% | | Profit for the Period | 111.1 | 1,410.2 | -92.1% | | Basic Earnings Per Share | 7.8 HK$ Cents | 99.3 HK$ Cents | -92.1% | | Interim Dividend | 4.0 HK$ Cents per share | 6.0 HK$ Cents per share | -33.3% | | Net Assets (Period End) | 2,823.7 | - | - | Condensed Consolidated Financial Statements Consolidated financial statements reflect significant declines in revenue and gross profit, partially offset by investment property fair value gains Condensed Consolidated Statement of Profit or Loss Revenue and gross profit significantly decreased, while fair value gains on investment properties notably contributed to the period's profit | Item (HK$ Thousands) | 2023/24 H1 | 2022/23 H1 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 191,702 | 4,920,088 | -96.1% | | Gross Profit | 97,369 | 2,036,694 | -95.2% | | Fair Value Change on Investment Properties | 109,822 | (4,134) | N/A | | Operating Profit | 172,097 | 1,757,601 | -90.2% | | Profit Before Tax | 111,753 | 1,707,711 | -93.5% | | Profit for the Period | 111,124 | 1,410,165 | -92.1% | - Excluding the impact of fair value changes on investment properties, the Group's underlying profit was only HK$1.302 million, compared to HK$1.414 billion in the prior period, reflecting core business challenges due to reduced property sales[27] Condensed Consolidated Statement of Financial Position Investment property revaluation increased total assets, but rising bank loans led to higher liabilities and a slight decrease in net assets | Item (HK$ Thousands) | September 30, 2023 | March 31, 2023 | Change | | :--- | :--- | :--- | :--- | | Assets | | | | | Investment Properties | 5,382,000 | 4,594,220 | +17.1% | | Total Assets | 8,952,831 | 8,150,242 | +9.9% | | Liabilities and Equity | | | | | Bank Loans | 5,586,615 | 4,630,054 | +20.7% | | Total Liabilities | 6,129,128 | 5,168,409 | +18.6% | | Net Assets | 2,823,703 | 2,981,833 | -5.3% | Management Discussion and Analysis Management reviews segment performance, noting reduced property development revenue and stable data center leasing, while outlining future strategies Business Review Property development focused on existing project sales, data center leasing showed robust growth, and external construction revenue increased - Property Development: - "The Grandeur": Over 94% of units sold - "The Aura": Completed and pre-sold in June, with approximately 56% of units sold and contractual sales of approximately HK$210 million as of the reporting date - Fanling and North Point projects: Under development, expected to be completed in 2025 and 2027 respectively[37][38][39][40] - Data Center Leasing: Revenue increased by 17% year-on-year to HK$133.2 million, primarily driven by increased client utilization. Two new data centers in Fanling are under construction, expected to be completed by mid-2025 and mid-2026 respectively[42] - Construction Business: Holds total contract value of approximately HK$2.1 billion. Construction revenue from external clients was HK$35.7 million, a 20.1% year-on-year increase[43] Outlook Management anticipates continued economic volatility, focusing on selling remaining residential units and ensuring timely completion of new data centers - The Group maintains a cautious outlook on the economic prospects, facing adverse factors such as rising interest rates, global inflation, and geopolitical tensions[44] - Future priorities include: - Continuing to sell remaining units of existing residential projects - Ensuring timely completion and delivery of two high-end data centers in Fanling - Cautiously exploring new sustainable development projects[44] Financial Review Consolidated revenue and gross profit significantly declined due to reduced property sales, while financial costs increased due to rising interest rates - Revenue and gross profit significantly decreased, primarily due to a substantial reduction in the number of properties sold from property development projects during the review period[45] - An unrealized fair value gain of HK$109.8 million was recorded (compared to a loss of HK$4.1 million in the prior period), mainly from the revaluation of two data centers under development after completing land use conversion procedures[45] - Financial costs increased by 21.0% to HK$60.3 million due to rising interest rates[45] Liquidity and Financial Resources Cash and bank balances decreased while outstanding bank loans significantly increased, leading to a higher gearing ratio and lower current ratio | Metric | September 30, 2023 | March 31, 2023 | | :--- | :--- | :--- | | Cash and Bank Balances (HK$ Million) | 573.6 | 611.8 | | Outstanding Bank Loans (HK$ Million) | 5,587 | 4,630 | | Gearing Ratio | 197.8% | 155.3% | | Current Ratio | 1.63x | 2.12x | - The increase in bank borrowings was primarily for refinancing part of the land premium and land exchange premium for the two Fanling data center projects, and for funding data center construction[46] - To mitigate floating interest rate risk, the Group holds interest rate swap contracts with a notional amount of approximately HK$1.049 billion[47] Other Information This section covers routine information including dividend distribution, share transfer registration, employee details, and corporate governance - The Board declared an interim dividend of HK$4.0 cents per share, payable on December 20, 2023[35] - As of September 30, 2023, the Group had 156 employees, with total staff remuneration of approximately HK$73.6 million for the first half of the year[51] - The Company complied with all code provisions of the Corporate Governance Code in Appendix 14 to the Listing Rules during the reporting period[52]