Financial Performance - The company recorded an unaudited profit attributable to owners of approximately HKD 15,806,412 for the six months ended September 30, 2021, compared to a loss of HKD 4,432,484 for the same period in 2020 [9]. - Total revenue for the group was approximately HKD 26.6 million, representing an increase of about 12.2% compared to HKD 23.7 million in the same period of 2020 [11]. - Gross profit was approximately HKD 10.4 million, reflecting a 9.5% increase from HKD 9.5 million in the previous year [11]. - Revenue for the six months ended September 30, 2021, was HKD 26,599,543, an increase from HKD 23,716,341 in the same period of 2020, representing a growth of approximately 12.1% [36]. - The gross profit for the same period was HKD 10,409,600, compared to HKD 9,499,025 in 2020, indicating an increase of about 9.6% [36]. - The net profit attributable to the owners of the company for the period was HKD 15,806,412, a significant recovery from a loss of HKD 4,432,484 in the previous year [36]. - The group reported a segment profit of HKD 20,863,878, compared to a loss of HKD 4,828,633 in the previous year, indicating a significant turnaround in profitability [64]. Revenue Sources - Revenue from the Wah Wei Hotel was approximately HKD 12.6 million, up from HKD 8.5 million in the previous year, with a profit contribution of about HKD 2.9 million [11]. - The food and beverage department's revenue increased by 68.8% during the review period, primarily due to the relaxation of certain social distancing measures [11]. - Hotel room revenue reached HKD 9,092,886, while food and beverage revenue was HKD 3,518,586, contributing to a total of HKD 12,611,472 from hotel operations in Hong Kong [56]. - The total revenue from property management services in mainland China was HKD 489,487, contributing to the overall revenue [56]. Asset and Equity Management - The group reported a total asset value of HKD 362,967,475 as of September 30, 2021, compared to HKD 351,419,695 as of March 31, 2021 [41]. - The total equity of shareholders increased to approximately HKD 342,500,000 from HKD 325,400,000, resulting in a debt-to-equity ratio of about 5.7%, down from 6.5% [30]. - The total equity as of September 30, 2021, was HKD 342,477,458, an increase from HKD 296,927,525 at the end of the previous period [44]. - The company’s total issued and paid-up share capital increased to HKD 325,837,279 as of September 30, 2021, from HKD 312,890,213 on April 1, 2021 [93]. Cash Flow and Financial Stability - The company reported a net cash outflow from operating activities of HKD (12,600,999) for the six months ended September 30, 2021, compared to a net inflow of HKD 6,028,571 in the same period last year [46]. - The company’s cash and cash equivalents increased to HKD 25,725,063 as of September 30, 2021, compared to HKD 17,430,355 at the end of the previous period [46]. - The group’s total liabilities decreased to HKD 32,581,942 from HKD 37,694,574, reflecting improved financial stability [41]. - The group’s bank loans and overdrafts amounted to HKD 19,659,661, down from HKD 21,010,681 as of March 31, 2021 [26]. Investments and Fair Value Changes - The group's investment properties in Hong Kong saw a significant fair value increase of approximately HKD 31.9 million, compared to a decrease of HKD 6.4 million in the same period of 2020 [12]. - The fair value of leased properties in Beijing decreased significantly by approximately HKD 12.7 million, resulting in a loss of about HKD 5.6 million [22]. - The company recorded a loss of approximately HKD 6.2 million from securities investments and trading, compared to a profit of HKD 4.7 million in the same period of 2020 [22]. - The company recorded a financial asset fair value change loss of HKD 6,793,637 for the six months ended September 30, 2021, compared to a gain of HKD 4,424,513 in the previous year [71]. Shareholder Information - The largest shareholder, Mr. Kiu Tak Kan (deceased), held 113,726,476 shares, accounting for 15.52% of the issued shares [111]. - Achiemax Limited and Energy Overseas Ltd. held 72,182,400 shares (9.85%) and 78,430,299 shares (10.70%) respectively [111]. - The company reported a total of 177,415,875 shares held by key executives, representing approximately 24.21% of the issued shares [99]. - Key executive Kiu Dawei holds 67,415,576 personal shares and 78,430,299 shares through Energy Overseas Ltd., totaling 145,845,875 shares [99]. Corporate Governance - The company has adopted a new code of conduct for directors' securities transactions, ensuring compliance with the required standards [116]. - The audit committee, consisting of three independent non-executive directors, reviewed the accounting principles and discussed financial reporting matters [123]. - The company has maintained compliance with the corporate governance code, with certain deviations noted regarding the separation of roles between the chairman and CEO [117][118]. - All directors confirmed compliance with the standards set out in the code of conduct for securities transactions during the six months ended September 30, 2021 [116].
远东酒店实业(00037) - 2022 - 中期财报