Financial Performance - The group's revenue for the six months ended September 30, 2021, was HKD 998.9 million, an increase of 1.8% compared to HKD 981.1 million in the same period last year[19]. - Net profit attributable to equity shareholders was HKD 135.3 million, up 1.4% from HKD 133.4 million in the previous year[19]. - Gross profit for the same period was HKD 450,830,000, up 18.7% from HKD 379,888,000 year-on-year[32]. - Operating profit increased to HKD 164,743,000, a rise of 9.4% from HKD 151,132,000 in the previous year[32]. - The company reported revenue of HKD 998,850,000 for the six months ended September 30, 2021, representing a slight increase of 1.8% compared to HKD 981,057,000 in the same period of 2020[32]. - The reported segment profit for the six months ended September 30, 2021, was HKD 165,432, up from HKD 71,291 in 2020, indicating a significant increase of approximately 132.5%[63]. - Revenue from the sale of luxury goods for the six months ended September 30, 2021, was HKD 1,014,496,000, up from HKD 957,381,000 in 2020, reflecting a growth of 5.9%[59]. - Revenue from watch and jewelry sales was HKD 543,779,000, an increase of 16.3% from HKD 467,640,000 in the previous year[59]. - The total income tax expense for the period was HKD 16,233, compared to a tax credit of HKD 115 in the previous year, indicating a shift from a tax benefit to a tax expense[74]. Store Expansion and Market Performance - The new "Beauty Avenue" store in Mong Kok, covering 20,000 square feet, opened on November 18, 2021, expected to benefit from significantly reduced fixed rent and higher customer traffic[21]. - In Taiwan, the group achieved a profit growth of 196% due to improved gross margins and active cost and inventory control[21]. - Retail sales in China recorded an 84% increase, with physical store sales growing by 29.1% and online sales surging by 402.6%[21]. - Revenue from Hong Kong for the six months ended September 30, 2021, was HKD 765,518, an increase from HKD 727,097 in 2020, while Taiwan contributed HKD 196,935, up from HKD 193,932[67]. Cash Flow and Financial Position - The group holds net cash of HKD 2.1744 billion, enabling it to navigate the challenging retail environment and seize investment opportunities during market recovery[25]. - The company reported a net cash increase of HKD 211,788,000 for the period, compared to HKD 53,703,000 in the same period last year[47]. - The net cash from financing activities was HKD 16,465,000, a significant recovery from a net cash outflow of HKD 476,431,000 in the previous year[47]. - The company incurred a net cash outflow of HKD 106,435,000 in dividends paid, down from HKD 185,276,000 in the previous year, indicating a reduction of 42.5%[47]. - The company's cash and bank balances stood at HKD 3,290,249,000, compared to HKD 3,073,538,000 as of March 31, 2021[40]. - The company's current ratio was 2.2 times, down from 2.4 times as of March 31, 2021[113]. - The company's capital to debt ratio was zero times, consistent with the previous period, indicating no bank loans after accounting for cash reserves[113]. Investment and Future Outlook - The group reported an investment loss of HKD 30.1 million due to adverse macroeconomic factors affecting its investment portfolio[22]. - The group anticipates continued difficulties in the Hong Kong retail environment due to the ongoing impact of the COVID-19 pandemic and uncertain border reopening timelines[24]. - The group remains optimistic about the long-term success of its new store in Mong Kok, despite expecting short-term losses due to startup costs and promotional expenses[24]. - The group will continue to seek new investment opportunities to diversify and expand its profit base while strictly controlling operational costs[25]. - The company plans to continue focusing on market expansion and new product development to drive future growth[32]. Employee and Governance - The total employee cost, including directors' remuneration, was HKD 126,800,000 for the period, compared to HKD 112,900,000 in the previous year[111]. - The number of employees decreased to 748 as of September 30, 2021, from 802 in the previous year[111]. - The company has adhered to the corporate governance code, ensuring operational stability and transparency[119]. - No stock options were granted to directors or employees under the stock option plan as of September 30, 2021[118]. Dividends and Shareholder Information - The company declared an interim dividend of HKD 0.08 per share for the current period, consistent with the previous year's interim dividend[77]. - The interim dividend declared is HKD 0.08 per ordinary share, with a payout ratio of 23.31%, similar to the previous year's 23.63%[115]. - The total amount of the interim dividend is approximately HKD 31.54 million, unchanged from the previous year[115]. - The board of directors held a total of 233,481,426 shares, representing 59.23% of the issued share capital as of September 30, 2021[107]. - The company will suspend share transfer registration from January 6 to January 7, 2022, to determine shareholders eligible for the interim dividend[116].
迪生创建(00113) - 2022 - 中期财报