Financial Performance - Revenue for the six months ended September 30, 2021, was HKD 159,743,000, a decrease of 34.1% compared to HKD 242,414,000 in the same period of 2020[3] - Gross profit for the same period was HKD 2,358,000, down significantly from HKD 187,364,000 in 2020, indicating a substantial decline in profitability[3] - The company reported a loss attributable to equity shareholders of HKD 491,358,000 for the six months ended September 30, 2021, compared to a loss of HKD 636,165,000 in the prior year[3] - Basic and diluted loss per share was HKD 1.36, an improvement from HKD 1.77 in the same period last year[3] - The company incurred a loss before tax of HKD 475,028,000, compared to a loss of HKD 607,783,000 in the same period of 2020[3] - The company reported a pre-tax loss of HKD 491,358,000 for the six months ended September 30, 2021, compared to a loss of HKD 636,165,000 for the same period in 2020[19] - The group's operating profit before investment property valuation changes for the six months ended September 30, 2021, was HKD 99.9 million, a decrease of approximately 43.9% compared to the same period last year[27] - The investment property valuation loss for the six months ended September 30, 2021, was HKD 573.9 million, compared to a valuation loss of HKD 784.1 million in the same period last year[27] Cash Flow and Assets - Cash and cash equivalents increased to HKD 500,303,000 as of September 30, 2021, compared to HKD 373,697,000 at the beginning of the period[7] - Net cash generated from operating activities was HKD 115,046,000, slightly up from HKD 95,893,000 in the previous year[7] - The total assets less current liabilities amounted to HKD 10,319,488,000 as of September 30, 2021, down from HKD 10,675,075,000 at the end of March 2021[5] - Non-current assets, specifically investment properties, decreased to HKD 9,835,970,000 from HKD 10,408,610,000[5] - As of September 30, 2021, the total amount of accounts receivable (net of credit loss provisions) was HKD 156.3 million, down from HKD 181.5 million as of March 31, 2021[21] - The group had bank borrowings of HKD 200 million as of September 30, 2021, unchanged from March 31, 2021[29] Dividends and Financing - The company declared an interim dividend of HKD 0.19 per share for the current period, down from HKD 0.25 per share in the previous year, totaling HKD 68,400,000 compared to HKD 90,000,000 in 2020[17] - Total financing costs for the six months ended September 30, 2021, were HKD 1,038,000, a decrease from HKD 1,818,000 in the same period of 2020[15] Operational Focus and Market Conditions - The company is focusing on improving operational efficiency and exploring new market opportunities to enhance future performance[2] - The management anticipates that the positive impacts from recent favorable factors in the local retail market will be short-term, and expects continued negative effects on rental income and operational performance for the second half of the year[31] Employee and Management Information - As of September 30, 2021, the group employed 37 staff, a decrease from 38 staff in the previous year, with related expenses amounting to approximately HKD 13,300,000, up from HKD 10,700,000 in the previous year, primarily due to the absence of government wage subsidies received in the prior period[30] - The remuneration for Mr. Zhong Hui Huang increased by HKD 167,000 to HKD 937,000, while Mr. Zhong Qiong Lin's remuneration rose by HKD 38,000 to HKD 1,190,000[38] - Mr. Zhong Jiong Hui's remuneration increased significantly by HKD 976,000 to HKD 1,805,000, whereas Mr. Zhong Shen Nan's remuneration decreased by HKD 80,000 to HKD 826,000[38] Corporate Governance and Compliance - The company has complied with all applicable provisions of the Corporate Governance Code during the six months ending September 30, 2021, except for certain disclosures regarding insurance arrangements for directors[39] - The board believes that the current risk management and internal control systems are sufficient, and there is no immediate need to establish an internal audit function[40] - The company has not disclosed the remuneration details of senior management by pay level in the annual report, as it believes such disclosure could lead to inappropriate comparisons among employees[41] - The company has established a monitoring environment that includes a whistleblowing arrangement and defined roles and responsibilities to enhance risk management and internal control effectiveness[40] - All directors confirmed compliance with the standard code of conduct for securities transactions during the six months ending September 30, 2021[42] Accounting and Reporting Standards - The interim financial report as of September 30, 2021, was prepared in accordance with Hong Kong Accounting Standards (HKAS) 34[45] - No significant issues were noted that would lead to a belief that the interim financial report was not prepared in all material respects according to HKAS 34[45] - The review was conducted based on the Hong Kong Institute of Certified Public Accountants' standards, focusing on inquiries and analytical procedures[44]
凯联国际酒店(00105) - 2022 - 中期财报