竣球控股(01481) - 2024 - 中期业绩

Financial Summary Junqiu Holdings Limited reported HK$50.5 million revenue, a 10.6% increase, but loss attributable to owners slightly widened to HK$5.7 million due to lower gross profit 2024 H1 Financial Summary | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 50.5 | 45.6 | 10.6% | | Loss attributable to owners | (5.7) | (5.5) | 3.6% (Loss expanded) | | Basic loss per share (HK cents) | (0.56) | (0.54) | 3.7% (Loss expanded) | - The increase in loss after tax was primarily due to a decrease in gross profit, partially offset by increased bank interest income and net exchange gains[2] - The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2024[2] Management Discussion and Analysis This section details operating and financial performance, outlining strategies to improve marketing, streamline production, and diversify revenue through new logistics ventures in Sub-Saharan Africa Business Review The Group's revenue grew 10.6% to HK$50.5 million, driven by book product orders, but loss attributable to owners increased to HK$5.7 million due to lower gross profit - The Group primarily engages in book printing, paper stationery, and packaging products, offering comprehensive services from pre-press to finished printed products[4] Business Review Key Financial Data | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Total Revenue | 50.5 | 45.6 | 10.6% | | Loss attributable to owners | (5.7) | (5.5) | 3.6% (Loss expanded) | - The increase in revenue was mainly due to increased customer orders from Hong Kong in the book products segment; the increase in loss was primarily due to a decrease in gross profit, partially offset by increased bank interest income and net exchange gains[4] Financial Review Despite revenue growth, gross profit and margin declined, leading to a slight loss expansion, partially offset by increased other income and exchange gains, while operating costs remained stable Revenue Revenue increased by 10.6% to HK$50.5 million, primarily driven by the book products segment, which contributed HK$47.6 million or 94.3% of total revenue Revenue Overview | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Total Revenue | 50.5 | 45.6 | 10.6% | | Book products segment revenue | 47.6 | 43.1 | 10.4% | | Book products segment as % of total revenue | 94.3% | - | - | - The increase in revenue was mainly due to increased customer orders received from Hong Kong in the book products segment[5] Gross Profit and Gross Profit Margin Gross profit decreased by 27.5% to HK$6.2 million, with the margin falling from 18.9% to 12.4%, primarily due to lower selling prices to attract customers Gross Profit and Gross Profit Margin Change | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Gross Profit | 6.2 | 8.6 | (27.5%) | | Gross Profit Margin | 12.4% | 18.9% | (6.5) percentage points | - The decrease in gross profit and gross profit margin was mainly due to the Group lowering selling prices of key products to attract more customers, while production costs remained stable[6] Other Income and Other Gains and Losses Other income surged to HK$1.0 million, driven by bank interest, and the company recorded a net exchange gain of HK$0.7 million, reversing last year's loss Other Income and Gains/Losses Change | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | | :--- | :--- | :--- | | Other Income | 1.0 | 0.1 | | Net Exchange Gain | 0.7 | (0.6) (Loss) | - The increase in other income was mainly due to increased bank interest income[7] Selling and Distribution Costs Selling and distribution costs remained stable at approximately HK$3.0 million for the period - Selling and distribution costs remained stable at approximately HK$3.0 million in both periods[8] Administrative Expenses Administrative expenses remained stable at approximately HK$10.4 million, comparable to HK$10.6 million in the previous period - Administrative expenses remained stable at approximately HK$10.4 million for the period (2023 H1: approximately HK$10.6 million)[9] Loss for the Period The net loss for the period slightly widened to approximately HK$5.7 million, compared to HK$5.5 million in the prior period Loss for the Period | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | | :--- | :--- | :--- | | Net Loss | (5.7) | (5.5) | Outlook The Group plans to enhance marketing, streamline production, and diversify revenue by exploring new opportunities, including a logistics business in Sub-Saharan Africa, starting with Zambia - The Group will improve marketing strategies, expand its quality customer base, and promote one-stop printing services[11] - The Group will strive to further tighten operating expense control and streamline production processes, and improve overall production efficiency through its one-stop printing platform[11] - The Group is actively seeking new business opportunities to diversify its revenue streams, having commenced a new logistics business in Sub-Saharan Africa, with initial services planned for the Republic of Zambia[11] Liquidity, Financial Resources and Capital Structure The Group's capital structure remains stable with HK$10.2 million issued share capital, but total assets and cash decreased, while liquidity ratios declined yet remained robust - The Company's issued share capital is HK$10,200,000, with 1,020,000,000 ordinary shares of HK$0.01 each in issue[12] Liquidity and Financial Resources Overview | Indicator | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Total Assets | 145,273 | 150,329 | (3.4%) | | Shareholders' Equity | 119,994 | 126,603 | (5.2%) | | Bank Balances and Cash | 52,511 | 65,647 | (20.0%) | | Gearing Ratio | 4.3% | 5.2% | (0.9) percentage points | | Current Ratio | 5.1 | 5.8 | (0.7) | - The Group has no interest-bearing bank borrowings[14] Treasury Policy The Group maintains a prudent treasury policy, managing liquidity risk by monitoring cash, credit limits, and solvency to ensure a robust financial position - The Group has adopted a prudent financial management approach as its treasury policy, and its liquidity position has remained robust[15] - Management monitors the Group's liquidity position and maintains sufficient cash and cash equivalents, and monitors credit limits and solvency through committed credit facilities[15] Exchange Rate Fluctuation Risk Low revenue exchange risk due to USD/HKD denomination, but RMB appreciation could increase production costs; hedging strategies will be reviewed - Revenue is primarily denominated in USD and HKD, resulting in low exchange rate fluctuation risk[16] - The Group faces foreign exchange risk as its production activities are mainly located in Mainland China, where RMB appreciation could lead to increased production costs[16] - No hedging instruments were entered into during the period, but hedging arrangements will be continuously reviewed and considered as appropriate[16] Capital Expenditure, Capital Commitments and Contingent Liabilities The Group acquired HK$0.4 million in property, plant, and equipment, with no pledged assets, significant capital commitments, or material contingent liabilities as of June 30, 2024 Capital Expenditure | Indicator | 2024 H1 (HK$ million) | 2023 H1 (HK$ million) | | :--- | :--- | :--- | | Purchase of property, plant and equipment | 0.4 | Nil | - As of June 30, 2024, the Group had no pledged assets, significant capital commitments, or material contingent liabilities[17] Dividends The Board does not recommend any interim dividend payment for the six months ended June 30, 2024 - The Board does not recommend the payment of any interim dividend for the current period[18] Material Investments / Material Acquisitions and Disposals of Subsidiaries and Associates No material acquisitions, disposals, investments, or capital commitments were made during the period, nor are there any future plans for such activities - During the period, the Company made no material acquisitions or disposals of subsidiaries, associates, joint ventures, material investments, or capital commitments[19] - As of the date of this announcement, the Company has no other future plans for material acquisitions, disposals, investments, or additions to capital assets[19] Employee Information and Remuneration Policy The Group's employee count decreased to 327, with total staff costs of HK$20.0 million; remuneration is market-based, performance-linked, and includes benefits Employee Information | Indicator | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Total Employees | 327 | 364 | | Total Staff Costs (HK$ million) | 20.0 | 17.1 (2023 H1) | - Employee remuneration is determined based on market conditions and individual performance, with medical insurance and discretionary bonuses provided[20] Purchase, Sale or Redemption of the Company's Securities Neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's securities during the period - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's securities[21] Use of Proceeds from 2022 Placing HK$20.7 million net proceeds from the 2022 placing remain unutilized, with HK$13.7 million for pharmaceutical projects and HK$7.0 million for core business, expected to be used by year-end - The 2022 placing raised net proceeds of approximately HK$20.7 million[22] - The original plan to invest in pharmaceutical-related projects was halted due to lengthy due diligence, and an advance of HK$7.0 million was recovered and re-allocated for the Group's ongoing core business activities[22] 2022 Placing Proceeds Usage and Timeline | Intended Use of Proceeds | Allocation of Net Proceeds as of Jan 1, 2024 (HK$ million) | Amount Utilized as of this Announcement Date (HK$ million) | Expected Timeline for Utilization | | :--- | :--- | :--- | :--- | | Pharmaceutical-related projects | 13.7 | 13.7 | On or before December 31, 2024 | | Core business activities | 7.0 | 7.0 | On or before December 31, 2024 | | Total | 20.7 | 20.7 | | Events After Reporting Period The Group announced expansion into Sub-Saharan African logistics, establishing a Zambian subsidiary with projected operating costs not exceeding US$0.4 million for 2024 - On August 5, 2024, the Group announced its intention to expand its business into the logistics sector in Sub-Saharan Africa[25] - A new wholly-owned subsidiary has been established in the Republic of Zambia, and local drivers have been recruited, with a truck fleet established through leasing arrangements[25] - The operating costs for this new logistics business are projected not to exceed US$0.4 million (approximately HK$3.1 million) for the year ending December 31, 2024[25] Update on Directors' Information No updates to directors' information or other disclosures were required under Listing Rule 13.51B(1) during the period - During the period, no updates to directors' information or other disclosures were required under Rule 13.51B(1) of the Listing Rules of the Stock Exchange[26] Share Option Scheme The Company's 2017 share option scheme has not granted any options, with 100,000,000 shares remaining available for future grants - The Company conditionally adopted a share option scheme on December 4, 2017[27] - No share options have been granted since the adoption of the scheme, and no outstanding share options existed as of June 30, 2024[27] - The number of shares available for grant under the scheme remains 100,000,000 shares[27] Directors' and Chief Executive's Interests in Shares, Underlying Shares and Debentures Chairman and CEO Mr. Ng Ho Lun indirectly holds 73.53% of the Company's shares; no other directors or associates have disclosable interests Directors' Shareholdings | Director Name | Capacity | Number of Ordinary Shares Held | Percentage of Company's Shares | | :--- | :--- | :--- | :--- | | Ng Ho Lun | Held by controlled corporation (Note 1) | 750,000,000 | 73.53% | - Save as disclosed above, no director or their associates had any interests or short positions in the shares, underlying shares, or debentures of the Company or any of its associated corporations[29] Interests and Short Positions of Substantial Shareholders and Other Persons in Shares and Underlying Shares Substantial shareholder TeraMetal Holdings Limited beneficially owns 73.53% of shares; Ms. Liu Chujia is deemed to have a spousal interest in the same, with no other disclosable interests Substantial Shareholders' Shareholdings | Shareholder Name | Capacity | Number of Shares Held | Percentage of Company's Issued Shares | | :--- | :--- | :--- | :--- | | TeraMetal Holdings Limited | Beneficial owner | 750,000,000 | 73.53% | | Liu Chujia | Spouse's interest (Spouse of Mr. Ng Ho Lun) | 750,000,000 | 73.53% | - Save as disclosed above, no other persons had any interests or short positions in the shares or underlying shares of the Company that were required to be disclosed to the Company and recorded in the register[30] Management Contracts No management or administration contracts for the Company's business, beyond standard service agreements with directors or full-time employees, were entered into or existed - During the period, no contracts concerning the management and administration of the whole or any substantial part of the Company's business were entered into or existed[31] Controlling Shareholder's Interests in Material Contracts No material contracts for services between the Company or its subsidiaries and the controlling shareholder or its subsidiaries were entered into during the period - To the best of the Directors' knowledge, neither the Company nor any of its subsidiaries, nor the controlling shareholder or any of its subsidiaries, entered into any material contracts for services provided by the controlling shareholder or its subsidiaries to the Company or its subsidiaries at any time during the period[32] Directors' and Controlling Shareholder's Interests in Competing Businesses No directors, controlling shareholders, or their associates held interests in any business competing with the Group's operations during the period - At no time during the period did the Company's directors and controlling shareholder or their respective close associates hold any interest in any business, other than the Group's business, that directly or indirectly competed or had competed or might compete with the Group's business[33] Corporate Governance Practices The Company adheres to the Corporate Governance Code, with the Chairman and CEO roles combined, an arrangement the Board believes ensures consistent leadership and effective strategy execution - The Company has adopted the Corporate Governance Code in Appendix C1 of the Listing Rules[34] - The roles of Chairman and Chief Executive Officer are combined and held by Mr. Ng Ho Lun, which deviates from Code Provision C.2.1, but the Board believes this arrangement facilitates business strategy execution and provides consistent leadership[34] - The Board's structure is well-balanced, ensuring a balance of power, and will regularly review the need to appoint different individuals to serve as Chairman and Chief Executive Officer[34] Model Code for Securities Transactions by Directors The Company adopted a code of conduct for directors' securities transactions, and all directors confirmed compliance with the Model Code during the period - The Company has adopted a code of conduct for directors' securities transactions with terms no less exacting than the standards set out in the Model Code[35] - Following specific enquiries made to all directors, they confirmed their compliance with the required standards set out in the Model Code throughout the period[35] Audit Committee The Audit Committee, comprising three independent non-executive directors chaired by Ms. Law Ying Wai, has adopted terms of reference compliant with the Corporate Governance Code - The Audit Committee comprises all three independent non-executive directors, chaired by Ms. Law Ying Wai, who possesses appropriate professional qualifications[36] - The Audit Committee has adopted terms of reference that comply with the Code Provisions of the Corporate Governance Code[36] Review of Interim Financial Information The Audit Committee and management reviewed accounting principles, risk management, and internal controls, including the unaudited interim financial information, which was also reviewed by the external auditor - The Audit Committee, together with management, has reviewed the accounting principles and practices adopted by the Group and discussed risk management, internal control systems, and financial reporting matters[37] - The external auditor, BDO Limited, has also reviewed the Group's unaudited condensed consolidated interim financial information for the period in accordance with Hong Kong Standard on Review Engagements 2410[37] Condensed Consolidated Financial Statements This section presents the condensed consolidated financial statements, reflecting expanded losses and reduced cash reserves, yet maintaining a robust asset and liability structure Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Revenue grew to HK$50.5 million, but gross profit declined 27.5% to HK$6.2 million, leading to an expanded loss of HK$5.7 million for the period Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Summary | Indicator | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 50,451 | 45,629 | 10.6% | | Cost of sales | (44,214) | (37,026) | 19.4% | | Gross Profit | 6,237 | 8,603 | (27.5%) | | Other income | 967 | 141 | 585.8% | | Other gains and losses | 651 | (587) | (210.9%) (from loss to gain) | | Selling and distribution costs | (3,019) | (3,036) | (0.6%) | | Administrative expenses | (10,373) | (10,594) | (2.1%) | | Loss before tax | (5,669) | (5,514) | 2.8% (Loss expanded) | | Loss for the period | (5,669) | (5,520) | 2.7% (Loss expanded) | | Basic loss per share (HK cents) | (0.56) | (0.54) | 3.7% (Loss expanded) | Condensed Consolidated Statement of Financial Position Total assets decreased to HK$145.3 million, and shareholders' equity to HK$120.0 million, with net current assets at HK$91.5 million and cash at HK$52.5 million Condensed Consolidated Statement of Financial Position Summary | Indicator | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Non-current assets | 31,397 | 35,730 | (12.1%) | | Current assets | 113,876 | 114,599 | (0.6%) | | Inventories | 24,250 | 19,123 | 26.8% | | Trade and other receivables | 37,115 | 29,239 | 26.9% | | Bank balances and cash | 52,511 | 65,647 | (20.0%) | | Current liabilities | 22,426 | 19,641 | 14.2% | | Trade and other payables | 19,609 | 16,632 | 17.9% | | Net current assets | 91,450 | 94,958 | (3.7%) | | Net assets (Total equity) | 119,994 | 126,603 | (5.2%) | Condensed Consolidated Statement of Changes in Equity Total equity decreased from HK$126.6 million to HK$120.0 million, primarily due to a HK$5.7 million loss and HK$940 thousand in exchange differences Condensed Consolidated Statement of Changes in Equity Summary | Indicator | June 30, 2024 (HK$ thousand) | January 1, 2024 (HK$ thousand) | Change (HK$ thousand) | | :--- | :--- | :--- | :--- | | Share Capital | 10,200 | 10,200 | 0 | | Share Premium | 55,130 | 55,130 | 0 | | PRC Statutory Reserve | 379 | 379 | 0 | | Special Reserve | 12,290 | 12,290 | 0 | | Exchange Fluctuation Reserve | (6,460) | (5,520) | (940) | | Retained Profits | 48,455 | 54,124 | (5,669) | | Total Equity | 119,994 | 126,603 | (6,609) | - The decrease in total equity was mainly due to the loss for the period and exchange differences arising from translating foreign operations[41] Condensed Consolidated Statement of Cash Flows Net cash used in operating activities significantly increased to HK$12.5 million, while cash and cash equivalents decreased to HK$52.5 million at period-end Condensed Consolidated Statement of Cash Flows Summary | Indicator | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Net cash used in operating activities | (12,468) | (2,475) | | Net cash generated from investing activities | 531 | 100 | | Net cash used in financing activities | (1,362) | (976) | | Net decrease in cash and cash equivalents | (13,299) | (3,351) | | Cash and cash equivalents at end of period | 52,511 | 54,128 | - Net cash used in operating activities significantly increased, primarily impacted by an increase in inventories and trade and other receivables[43] Notes to the Condensed Consolidated Financial Statements This section provides detailed notes to the condensed consolidated financial statements, covering key accounting policies, revenue, expenses, assets, liabilities, equity, and post-reporting events Basis of Preparation The condensed consolidated financial statements are prepared in accordance with HKAS 34 'Interim Financial Reporting' and Listing Rules disclosure requirements - The condensed consolidated financial statements are prepared in accordance with Hong Kong Accounting Standard 34 'Interim Financial Reporting' issued by the Hong Kong Institute of Certified Public Accountants and the applicable disclosure requirements of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[44] Significant Accounting Policies The financial statements are prepared on a historical cost basis, with accounting policies consistent with the prior year, except for HKFRS amendments - The condensed consolidated financial statements are prepared on a historical cost basis[45] - Except for changes resulting from the application of amendments to Hong Kong Financial Reporting Standards, the accounting policies and methods of computation used in this period are the same as those presented in the annual consolidated financial statements for the year ended December 31, 2023[45] Application of Amendments to HKFRS Amendments to HKFRS, including those related to HKFRS 16, HKAS 1, and HKAS 7, were applied with no significant impact on financial position or performance - Amendments to HKFRS, including those related to lease liabilities in a sale and leaseback, classification of liabilities as current or non-current, non-current liabilities with covenants, and supplier finance arrangements, were first applied in this period[46] - The application of amendments to HKFRS had no significant impact on the Group's financial position and performance for the current and prior periods[46] Revenue and Segment Information Revenue from book products and paper stationery totaled HK$50.5 million, with Hong Kong and the US being the largest geographical contributors - Revenue refers to amounts received or receivable from the production and printing of book products, paper stationery, and packaging products, recognized when control of the goods has been transferred[47] Major Product Revenue | Product Category | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Book products | 47,596 | 43,122 | | Paper stationery and packaging products | 2,855 | 2,507 | | Total | 50,451 | 45,629 | Revenue by Geographical Location | Geographical Location | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Hong Kong | 30,836 | 20,055 | | United States | 8,015 | 7,859 | | Netherlands | 2,160 | 5,787 | | United Kingdom | 1,905 | 4,190 | | Mainland China | 2,742 | 3,343 | | Australia | 1,482 | 2,394 | | France | 2,039 | 1,493 | | Germany | 1,230 | 405 | | Others | 42 | 103 | | Total | 50,451 | 45,629 | Other Income Total other income was HK$967 thousand, primarily driven by a significant increase in bank interest income to HK$920 thousand Other Income Details | Income Category | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Bank interest income | 920 | 100 | | Miscellaneous income | 47 | 41 | | Total | 967 | 141 | Other Gains and Losses A net exchange gain of HK$651 thousand was recorded, reversing a net exchange loss of HK$587 thousand in the prior period Other Gains and Losses | Indicator | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Net exchange gain (loss) | 651 | (587) | Taxation No provision for Hong Kong profits tax or PRC enterprise income tax was made due to the absence of assessable profits - For the six months ended June 30, 2024, no provision was made for Hong Kong profits tax as the relevant Group entities had no assessable profits[50] - No provision was made for PRC enterprise income tax for the period as the relevant Group entities had no assessable income subject to PRC enterprise income tax[50] Dividends No dividends were paid, declared, or proposed for either interim period, and the Directors do not recommend an interim dividend - No dividends were paid, declared, or proposed for either interim period[51] - The Directors of the Company do not recommend the payment of an interim dividend for the current period[51] Loss Per Share Basic loss per share increased to HK$0.56 cents; diluted loss per share is not presented due to no potential ordinary shares outstanding Loss Per Share | Indicator | 2024 H1 (HK cents) | 2023 H1 (HK cents) | | :--- | :--- | :--- | | Basic loss per share | (0.56) | (0.54) | - Diluted loss per share is not presented as there were no potential ordinary shares outstanding in either period[52] Property, Plant and Equipment The Group acquired HK$389 thousand in property, plant, and equipment, with no new or renewed leases during the period Property, Plant and Equipment Acquisitions | Indicator | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Acquisition of property, plant and equipment | 389 | Nil | - During the period, no leases were renewed or newly entered into[53] Trade and Other Receivables Total trade and other receivables increased to HK$37.1 million, with HK$33.3 million in trade receivables, including HK$4.8 million overdue, but HK$1.5 million over 90 days not in default Trade and Other Receivables | Indicator | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | | :--- | :--- | :--- | | Trade receivables (net of allowance) | 33,302 | 26,974 | | Prepayments and deposits | 3,674 | 2,126 | | Total Trade and Other Receivables | 37,115 | 29,239 | Ageing Analysis of Trade Receivables (Net of Allowance) | Ageing | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | | :--- | :--- | :--- | | Within 30 days | 9,178 | 7,964 | | 31 to 60 days | 11,427 | 8,750 | | 61 to 90 days | 7,601 | 4,633 | | Over 90 days | 5,096 | 5,627 | | Total | 33,302 | 26,974 | - Approximately HK$1.5 million overdue by 90 days or more were not considered in default due to the Group's long-term/ongoing relationships with these customers and their good repayment records[55] Trade and Other Payables Total trade and other payables increased to HK$19.6 million, with trade payables having credit terms of 30 to 90 days Trade and Other Payables | Indicator | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | | :--- | :--- | :--- | | Trade payables | 12,208 | 9,731 | | Accrued expenses | 4,486 | 5,628 | | Other payables | 2,915 | 1,273 | | Total Trade and Other Payables | 19,609 | 16,632 | Ageing Analysis of Trade Payables | Ageing | June 30, 2024 (HK$ thousand) | December 31, 2023 (HK$ thousand) | | :--- | :--- | :--- | | Within 30 days | 10,257 | 7,109 | | 31 to 60 days | 1,435 | 2,406 | | 61 to 90 days | 459 | 194 | | Over 90 days | 57 | 22 | | Total | 12,208 | 9,731 | Share Capital Authorized share capital is HK$20.0 million, with HK$10.2 million issued and fully paid, comprising 1,020,000 thousand ordinary shares, unchanged since January 1, 2023 Share Capital Structure | Indicator | Number of Shares (thousand shares) | Share Capital (HK$ thousand) | | :--- | :--- | :--- | | Authorized share capital (ordinary shares of HK$0.01 each) | 2,000,000 | 20,000 | | Issued and fully paid (ordinary shares of HK$0.01 each) | 1,020,000 | 10,200 | Related Party Disclosures Directors' and key management remuneration was HK$988 thousand, a slight decrease, with no sales transactions with former director-related companies Related Party Transactions | Transaction Type | 2024 H1 (HK$ thousand) | 2023 H1 (HK$ thousand) | | :--- | :--- | :--- | | Remuneration for directors and other key management personnel | 988 | 1,011 | | Sales of paper stationery and packaging products to Tse Wing Hung Company Limited | 0 | 146 | Fair Value Measurement of Financial Instruments The carrying amounts of the Group's financial assets and liabilities recorded at amortized cost approximate their fair values - The Directors believe that the carrying amounts of the Group's financial assets and liabilities recorded at amortized cost in the condensed consolidated financial statements approximate their fair values[59] Events After Reporting Period Post-reporting period, the Group announced its expansion into Sub-Saharan African logistics, initially targeting the commodities industry in Zambia - On August 5, 2024, the Group announced its intention to expand its business into the logistics sector in Sub-Saharan Africa[60] - The initial focus will be on serving the commodities industry in the region, with plans to first provide logistics services in the Republic of Zambia[60]