Financial Performance - The company reported an unaudited consolidated loss attributable to owners of approximately HKD 21,885,000 for the six months ended September 30, 2019, compared to a loss of HKD 19,696,000 for the same period in 2018[7]. - Revenue for the period was HKD 8,457,000, a decrease of 55.4% from HKD 18,955,000 for the same period in 2018[7]. - The loss during the review period was primarily due to a foreign exchange loss from the depreciation of the Renminbi by approximately 6% and a fair value loss of approximately HKD 5,000,000 on an investment property[8]. - The company reported a loss before tax of HKD 20,272 million, compared to a loss of HKD 15,417 million in the previous year, indicating a worsening financial performance[48]. - The net loss for the period was HKD 21,885 million, compared to a net loss of HKD 19,696 million for the same period in 2018[48]. - For the six months ended September 30, 2019, the company reported a total comprehensive loss of HKD 28,571,000, compared to a total comprehensive loss of HKD 16,929,000 for the same period in 2018[53]. - The company's total equity attributable to owners decreased to HKD 915,338,000 as of September 30, 2019, down from HKD 940,061,000 at the end of the previous reporting period[53]. - The basic loss per share for the period was HKD (1.12), compared to HKD (1.01) for the same period last year[48]. - The company reported a net exchange loss of HKD 11,988,000 for the six months ended September 30, 2019, compared to a loss of HKD 19,576,000 in the same period of 2018, indicating some improvement in currency management[115]. Revenue and Sales - The company confirmed the sale of 5 residential units during the review period, a significant decrease from 19 units sold in the same period last year[11]. - Rental income from the property decreased by approximately 53% compared to the same period last year due to a reduction in available units for rent[11]. - Total revenue for the six months ended September 30, 2019, was HKD 8,457,000, down from HKD 18,955,000 in the same period last year, representing a decline of 55.4%[106]. - The company's rental income from property development and investment in China was HKD 6,175,000, down from HKD 18,832,000 in the previous year, reflecting a decline of 67.2%[106]. - The company recognized interest income from financial lending activities of HKD 2,282,000, significantly up from HKD 123,000 in the previous year[106]. Investments and Acquisitions - The company acquired 100% of X8 Finance Limited for HKD 193,443, which has started mortgage lending operations in Hong Kong[14]. - The company is exploring investment opportunities in the Chinese property market, particularly in Guangdong Province, despite not acquiring any land or properties during the review period due to intense competition[21]. - There were no major acquisitions of subsidiaries or associates during the review period[16]. Risk Management and Governance - The company is strengthening its risk management policies in response to unpredictable impacts from recent political issues in Hong Kong and the US-China trade conflict[21]. - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange listing rules during the reporting period[36]. - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and internal controls[39]. Financial Position - Total assets as of September 30, 2019, were HKD 916,436 million, a slight decrease from HKD 944,564 million as of March 31, 2019[51]. - The company's net assets stood at HKD 915,755 million, down from HKD 944,326 million in the previous period[51]. - The company's cash and cash equivalents decreased by HKD 36,330,000, ending at HKD 219,132,000 as of September 30, 2019, down from HKD 287,016,000 a year earlier[55]. - The company experienced an increase in trade receivables of HKD 34,848,000 during the reporting period, compared to an increase of HKD 15,982,000 in the previous year[55]. - The company incurred a loss of HKD 21,885,000 during the reporting period, which impacted the retained earnings[53]. Future Outlook - The company expresses a cautiously optimistic outlook for the coming year, believing it can enhance competitiveness and create value for shareholders despite potential risks such as oil price fluctuations and political issues in Hong Kong[25]. - The company maintains a cautious approach towards its property investment and development business, as well as its financial lending operations, while seeking various investment opportunities for stable long-term performance[25]. Accounting Policies - The company applied HKFRS 16 for the first time, which resulted in changes to accounting policies regarding leases[60]. - The company recognizes right-of-use assets separately in the consolidated statement of financial position[70]. - The company measures lease liabilities at the present value of unpaid lease payments at the lease commencement date[73]. - The company recognizes refundable lease deposits at fair value and accounts for adjustments as additional lease payments[72]. Compensation and Management - The company employed 39 staff members as of September 30, 2019, with compensation based on performance and market salary levels[20]. - The total compensation for key management personnel during the interim period amounted to HKD 4,317,665, compared to HKD 4,663,500 for the six months ended September 30, 2018[155]. - The majority of the compensation is comprised of short-term benefits payable to the company's directors[155].
TERMBRAY IND(00093) - 2019 - 中期财报