Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 3,013,241, a decrease of 15.6% compared to HKD 3,568,564 in the same period of 2023[2] - Gross profit for the same period was HKD 1,409,236, down 10.3% from HKD 1,570,917 year-on-year[2] - Operating profit decreased by 22.0% to HKD 537,525 from HKD 689,565 in the previous year[2] - Net profit attributable to shareholders was HKD 454,583, a decline of 30.1% compared to HKD 650,643 in the prior year[2] - Basic earnings per share decreased by 29.5% to HKD 0.425 from HKD 0.603[2] - The company reported a total comprehensive income of HKD 381,061 for the period, down from HKD 582,511 in the previous year[5] - The EBITDA for the six months ended June 30, 2024, was HKD 583,585 thousand, down from HKD 720,786 thousand, indicating a decline of 19.1%[21] - Net profit for the period was HKD 459.8 million, a decrease of 30.3% from HKD 659.6 million for the six months ended June 30, 2023, with profit attributable to owners of the company declining by 30.1% to HKD 454.6 million[52] - The diluted earnings per share for the six months ended June 30, 2024, is HKD 0.416, down from HKD 0.589 for the same period in 2023, reflecting a decrease of 29.3%[34] Revenue Breakdown - Sales of electronic payment terminal products accounted for HKD 2,849,245 thousand, down from HKD 3,444,446 thousand, representing a decline of 17.3%[17] - Revenue from electronic payment terminal products decreased by 17.3% to HKD 2,849,245,000 for the six months ended June 30, 2024, compared to HKD 3,444,446,000 in 2023[44] - Revenue from the largest customer amounted to approximately HKD 430,983,000, representing 14.3% of total revenue, a decrease from 17.9% in the same period last year[25] - Revenue from the second largest customer was approximately HKD 152,665,000, accounting for 5.1% of total revenue, down from 8.5% year-on-year[25] - The company experienced a significant revenue decline in the US and Canada region, with a decrease of 39.3% to HKD 358,721,000 for the six months ended June 30, 2024[43] - The group’s revenue from external customers in China (excluding Hong Kong, Macau, and Taiwan) was HKD 242,308 thousand[20] Assets and Liabilities - Total current assets increased by 3.1% to HKD 7,788,074 from HKD 7,553,221[8] - Total assets rose by 2.4% to HKD 9,291,220 compared to HKD 9,075,329 in the previous year[8] - The group’s total assets as of June 30, 2024, amounted to HKD 9,291,220 thousand, while total liabilities were HKD 1,666,454 thousand[22] - Non-current assets as of June 30, 2024, totaled HKD 1,503,146,000, slightly down from HKD 1,522,108,000 as of December 31, 2023[26] - Total accounts receivable as of June 30, 2024, is HKD 2,895,773,000, an increase of 4.7% from HKD 2,766,111,000 as of December 31, 2023[36] - The net accounts receivable after impairment provisions is HKD 2,819,899,000 as of June 30, 2024, compared to HKD 2,676,334,000 as of December 31, 2023, indicating a growth of 5.4%[36] - The accounts payable as of June 30, 2024, is HKD 1,119,610,000, an increase from HKD 887,133,000 as of December 31, 2023, reflecting a growth of 26.1%[39] Expenses - Cost of goods sold for the six months ended June 30, 2024, was HKD 1,529,980,000, a decrease from HKD 1,917,959,000 in the previous year[27] - Employee benefits expenses, including director remuneration, were HKD 392,024,000, down from HKD 483,834,000 year-on-year[28] - Total income tax expense for the six months ended June 30, 2024, was HKD 79,543,000, significantly higher than HKD 30,059,000 in the previous year[29] Strategic Initiatives - The company continues to focus on developing and selling electronic payment terminal products and providing related services[11] - The company is in the process of acquiring 100% of Pax Technology Australia for an initial consideration of approximately AUD 5,400,000, which may be adjusted up to AUD 30,000,000 based on financial performance over two years[42] - The company is focusing on innovation in Android smart terminal products and investing in a software-as-a-service ecosystem to meet diverse market needs[65] - The company plans to strengthen strategic partnerships with acquiring banks, payment service providers, and independent sales organizations to explore new business opportunities[65] Market Performance - In the EMEA region, the company maintained strong performance despite demand fluctuations in Germany and Spain, with significant sales in Italy, the UK, and Hungary[58] - In the APAC region, the company continued to lead the market in India, with sales showing signs of recovery in the first half of 2024, contributing to overall growth in the region[61] - The company has expanded its channel in Japan, making it a core market, with the A920 smart payment terminal gaining adoption among acquiring institutions[62] - In Southeast Asia, the company has seen significant contributions from Indonesia, the Philippines, and Thailand, while also covering more third-party payment service providers in Australia and New Zealand[62] - The company launched the Elys series Android EPOS solutions in North America, receiving positive feedback for the Elys L1400 dual-screen terminal in the first half of 2024[63] Corporate Governance - The company has complied with all applicable corporate governance codes and principles during the reporting period, ensuring adherence to standards set forth by the stock exchange[79] - The company has implemented a written code for securities trading for directors and senior management, confirming compliance with the standards throughout the reporting period[78] - The interim financial results for the six months ended June 30, 2024, were reviewed by the audit committee, ensuring the integrity of financial reporting and risk management practices[79] - The board of directors consists of four executive directors and four independent non-executive directors, ensuring a balanced governance structure[80] Shareholder Information - The company declared an interim dividend of HKD 0.24 per share for the six months ended June 30, 2024, compared to HKD 0.21 per share for the same period in 2023, representing an increase of 14.3%[35] - A total of 638,000 ordinary shares were repurchased at a total cost of HKD 3,813,590 during the six months ended June 30, 2024, with the highest repurchase price being HKD 6.00 per share[76][77] - The total number of shares repurchased was fully cancelled, resulting in a corresponding reduction in the issued share capital[76] - The company has suspended the registration of shareholders from September 10 to September 12, 2024, to determine eligibility for the interim dividend[75] - The company plans to issue its interim report to shareholders, which will be available on its website and the stock exchange's website[80] Employee Information - The total number of employees decreased to 1,596 as of June 30, 2024, from 1,771 as of December 31, 2023[72]
百富环球(00327) - 2024 - 中期业绩