Financial Performance - Revenue for the six months ended June 30, 2021, was $1,054,499 thousand, representing a 14.5% increase from $921,014 thousand in 2020[8] - Net profit for the period was $63,633 thousand, a significant increase of 130.5% compared to $27,584 thousand in 2020, resulting in a net profit margin of 6.0%[8] - Basic earnings per share rose to 2.23 cents, compared to 0.97 cents in the same period last year[8] - Gross profit increased to $195,741 thousand, with a gross margin of 18.6%, slightly up from 18.5% in the previous year[8] - The company reported a total comprehensive income of $72,117 thousand for the period, compared to $25,402 thousand in 2020, representing a 184.5% increase[84] - The company reported a profit of $63.634 million for the six months ended June 30, 2021, compared to a profit of $27.584 million for the same period in 2020, marking a year-over-year increase of 130.5%[89] Assets and Liabilities - Total assets as of June 30, 2021, were $1,891,990 thousand, up from $1,782,512 thousand at the end of 2020[8] - Total liabilities increased to $690,908 thousand from $618,131 thousand, indicating a rise in financial obligations[8] - Cash and cash equivalents stood at $419,612 thousand, an increase from $383,427 thousand at the end of 2020[8] - Non-current liabilities rose to $55,214 thousand from $43,577 thousand, a 26.7% increase[88] - The total amount of current liabilities was $380,731,000, compared to $357,632,000, marking an increase of approximately 6.4%[129] Cash Flow and Investments - The group reported a positive operating cash flow of $77 million for the six months ended June 30, 2021, compared to $64 million in the same period of 2020[29] - The net cash generated from operating activities for the six months ended June 30, 2021, was $76.595 million, an increase of 19.9% compared to $63.847 million in the same period of 2020[91] - The company incurred a net cash outflow from investing activities of $26.817 million for the six months ended June 30, 2021, compared to a net cash outflow of $22.067 million in the same period of 2020[91] - The company repaid $96.788 million in bank loans during the six months ended June 30, 2021, compared to $148.701 million in the same period of 2020, indicating a reduction in debt repayment[91] Market and Demand - The market demand for apparel, particularly sportswear, has shown strong recovery due to the easing of pandemic restrictions and increased consumer confidence[12] - Revenue from the sports and outdoor apparel segment surged to $202.3 million, a significant increase from $142.7 million in the previous year, driven by strong demand from two international sportswear brands[21] - Revenue from the Asia-Pacific region for the six months ended June 30, 2021, was $458,896,000, an increase from $385,000,000 in 2020, marking a growth of approximately 19.2%[108] - Revenue from the U.S. market for the same period was $370,257,000, compared to $333,116,000 in 2020, reflecting an increase of about 11.1%[108] Capital Expenditures and Acquisitions - Capital expenditures for the six months ended June 30, 2021, totaled $53 million, including $42 million for expansion projects in Vietnam, compared to $21 million in the same period last year[17] - The company completed the acquisition of New Technology Knitting Limited for approximately $83.8 million, expected to enhance its performance in the knitwear business[17] - The group completed the acquisition of approximately 71.9% of New Technology Knitting for a cash consideration of HKD 83,800,000 (approximately $10,796,000) on June 30, 2021[153] Sustainability Initiatives - The group has planted over 2.88 million trees since 2007 as part of its sustainability initiatives, aiming to address climate change and promote resource conservation[42] - The carbon intensity of the group's products has been reduced by 35% since 2007, reflecting the effectiveness of energy-saving measures implemented in factories[42] - The group is actively implementing a circular economy model, including projects that utilize recycled and sustainable materials in product design[42] Corporate Governance - The audit committee has reviewed the financial reporting and internal control systems, finding them adequate and effective[71] - The audit committee is satisfied with the quality and independence of the external auditor, Deloitte, and recommends their reappointment for the upcoming year[72] - The company has complied with all corporate governance codes as of June 30, 2021[68] Employee and Community Engagement - As of June 30, 2021, the group employed approximately 74,000 employees, with total employee costs accounting for 26.4% of revenue, a slight decrease from 26.7% in the same period of 2020[39] - The group has provided online training programs to empower 44,000 female employees through its CARE initiative, enhancing their personal and professional development[46] - The group has accumulated approximately 24,000 hours of volunteer service since 2018, exceeding the targets set under the third global five-year sustainable development goal[47]
晶苑国际(02232) - 2021 - 中期财报