Financial Performance - The company reported a loss attributable to equity shareholders of HKD (369,648) thousand for the six months ended September 30, 2019, compared to a profit of HKD 192,658 thousand in the same period of 2018[1]. - Revenue for the six months ended September 30, 2019, was HKD 299,935 thousand, a decrease of 2.7% from HKD 309,084 thousand in the previous year[2]. - Gross profit decreased to HKD 254,779 thousand, down 3.9% from HKD 265,194 thousand year-on-year[2]. - The company experienced a significant operating loss of HKD (327,775) thousand after property valuation changes, compared to an operating profit of HKD 235,991 thousand in the prior period[2]. - The company reported a pre-tax loss of 369,648,000 HKD for the six months ended September 30, 2019, compared to a profit of 192,658,000 HKD for the same period in 2018[19]. - For the six months ending September 30, 2019, the group's operating profit before investment property valuation changes was HKD 245.3 million, a decrease of approximately 3.7% compared to the same period last year[28]. - The net valuation loss for investment properties was HKD 573 million, compared to a net valuation loss of HKD 18.6 million in the same period last year[28]. Cash Flow and Assets - Cash and cash equivalents increased to HKD 726,162 thousand as of September 30, 2019, compared to HKD 511,325 thousand at the beginning of the period[6]. - The net cash generated from operating activities was HKD 211,287 thousand, down from HKD 239,770 thousand in the same period last year[6]. - Total assets less current liabilities amounted to HKD 13,311,834 thousand, a decrease from HKD 13,882,787 thousand as of March 31, 2019[4]. - The company’s net asset value decreased to HKD 13,027,719 thousand from HKD 13,602,567 thousand at the end of the previous financial year[4]. - The accounts receivable, deposits, and prepayments totaled HKD 33.21 million as of September 30, 2019, compared to HKD 26.51 million as of March 31, 2019[21]. - Cash and cash equivalents amounted to HKD 726.16 million as of September 30, 2019, up from HKD 511.33 million as of March 31, 2019[23]. Dividends and Shareholder Returns - The company declared a dividend of HKD (205,200) thousand for the period, reflecting a commitment to return value to shareholders despite the losses[5]. - The interim dividend declared was 0.56 HKD per share, totaling 201,600,000 HKD, down from 0.58 HKD per share and 208,800,000 HKD in the previous year[17]. - The company declared an interim dividend of HKD 0.56 per share, down from HKD 0.58 per share in the previous year[27]. Financing and Costs - The company incurred financing costs of HKD (2,984) thousand, compared to HKD (2,351) thousand in the previous year[2]. - The company incurred financing costs of 2,838,000 HKD for the six months ended September 30, 2019, compared to 2,351,000 HKD in the previous year[15]. - As of September 30, 2019, the group had bank borrowings of HKD 200 million, with a capital-to-equity ratio of 1.5%[28]. Operational Insights - The company has a single reportable segment, which is "Property Leasing," with all revenue and performance derived from Hong Kong[12]. - The company reported no single customer contributing over 10% of total revenue for the periods ended September 30, 2019, and 2018[11]. - Rental income from the International Plaza was approximately HKD 297.9 million, a decrease of about 3.0% compared to the same period last year, with an occupancy rate of approximately 92.6%[28]. - Management anticipates that rental income from the International Plaza and the group's operating performance will be negatively impacted due to ongoing social unrest in Hong Kong[30]. Governance and Compliance - The company has complied with all applicable provisions of the Corporate Governance Code during the six months ending September 30, 2019, except for certain disclosures regarding insurance arrangements for directors[38]. - The board believes that the current structure, where the roles of chairman and CEO are held by the same person, does not negatively impact the company and allows for efficient decision-making[38]. - Independent non-executive directors attended 100% of the company's meetings during the reporting period, ensuring active participation and contribution[39]. - The company has not disclosed the remuneration details of senior management by salary band in the annual report, believing that such disclosure could lead to inappropriate comparisons among employees[39]. - The board has reviewed the need for an internal audit function and determined that the existing risk management and internal control systems are sufficient, with no immediate need for such a function[40]. - The company secretary reports directly to the vice-chairman instead of the chairman/CEO, which the board believes is appropriate for the company's operational context[41]. - All directors confirmed compliance with the standard code regarding securities trading during the six months ending September 30, 2019[42]. Accounting and Reporting - The interim financial report includes the consolidated financial position of Kai Lian International Hotel Limited as of September 30, 2019, and the consolidated income statement for the six-month period ending on that date[43]. - The report was prepared in accordance with the Hong Kong Accounting Standards (HKAS) No. 34 "Interim Financial Reporting" and relevant provisions of the Listing Rules[43]. - The review did not identify any matters that would lead to a belief that the interim financial report was not prepared in accordance with HKAS No. 34 in all material respects[45].
凯联国际酒店(00105) - 2020 - 中期财报