Financial Performance - For the six months ended September 30, 2021, the company reported revenue of HKD 558,541,000, an increase of 7.0% from HKD 521,779,000 in the same period last year[5] - The gross profit for the same period was HKD 58,444,000, down from HKD 115,494,000, indicating a significant decline in profitability[5] - The company incurred a loss from continuing operations of HKD 30,841,000 compared to a profit of HKD 18,115,000 in the previous year, reflecting a negative shift in financial performance[5] - Basic loss per share from continuing operations was HKD (5.19), compared to earnings of HKD 3.12 in the prior year, highlighting a substantial decrease in earnings per share[7] - Total comprehensive loss for the period was HKD (27,601,000), a significant drop from a comprehensive income of HKD 52,896,000 in the previous year[9] - The company reported a loss attributable to shareholders of HKD 31,379,000 for the six months ended September 30, 2021, compared to a profit of HKD 18,858,000 for the same period in 2020[64] - Basic loss per share was HKD 0.052 for the six months ended September 30, 2021, compared to earnings per share of HKD 0.031 for the same period in 2020[64] Assets and Liabilities - Non-current assets as of September 30, 2021, totaled HKD 379,785,000, slightly up from HKD 373,954,000 at the end of March 2021[11] - Current assets increased to HKD 626,623,000 from HKD 574,392,000, indicating a positive trend in liquidity[11] - The company’s total liabilities increased to HKD 287,912,000 from HKD 188,321,000, suggesting a rise in financial obligations[12] - The net asset value decreased to HKD 672,849,000 from HKD 718,585,000, reflecting a decline in shareholder equity[12] - Total liabilities rose to HKD 333,559,000 as of September 30, 2021, from HKD 229,761,000 as of March 31, 2021, indicating an increase of about 45.2%[51] - The company's total reserves decreased from HKD 659,666,000 to HKD 613,556,000, reflecting a decline of approximately 7%[16] Cash Flow - Cash used in operating activities for the six months ended September 30, 2021, was HKD (98,410,000), compared to HKD (68,164,000) for the same period in 2020, representing an increase in cash outflow of 44.3%[31] - Net cash generated from investing activities was HKD 9,967,000, a significant improvement from a cash outflow of HKD (910,000) in the previous year[31] - Cash generated from financing activities amounted to HKD 33,592,000, compared to HKD 3,925,000 in the prior year, showing a substantial increase of 757.5%[31] - The company's cash and cash equivalents as of September 30, 2021, totaled HKD 113,957,000, down from HKD 128,385,000, reflecting a decrease of 11.2%[31] Revenue Breakdown - Revenue from the toy segment was HKD 401,171,000, accounting for 71.8% of total revenue, while computer products and watches generated HKD 61,520,000 and HKD 95,850,000, respectively[38] - Revenue from North America was HKD 307,889,000, while revenue from the UK and Europe (excluding the UK) was HKD 64,237,000 and HKD 55,385,000, respectively[38] - The toy division's revenue decreased by 6% to HKD 401 million, down from HKD 428 million in the previous year, primarily due to global shipping container shortages and power supply interruptions in China[29] - The computer products division saw a 70% increase in revenue to HKD 62 million, up from HKD 36 million last year, driven by strong sales of smart connected devices[98] - The watch division's revenue surged by 67% to HKD 96 million, compared to HKD 57 million in the previous year, with significant growth in several franchise brands[98] Future Outlook - The company plans to focus on expanding its market presence and enhancing product offerings to improve future performance[5] - The company aims to enhance its market presence and explore new product development strategies to drive future growth[39] - The overall order volume as of the end of October 2021 increased by 121% compared to the same period in 2020, indicating a positive outlook despite challenges in the toy division[99] Employee and Management Costs - Total employee costs for the review period amounted to HKD 252,482,000, an increase from HKD 189,724,000 in 2020[37] - Employee costs increased to HKD 252,482,000 for the six months ended September 30, 2021, from HKD 186,018,000 in the same period of 2020, representing a growth of approximately 35.6%[53] - The company’s management compensation decreased to HKD 10,015 thousand in 2021 from HKD 12,967 thousand in 2020, a reduction of approximately 23%[92] Shareholder Information - Major shareholder Ms. Wu Yaozhi holds 106,489,893 shares, representing 17.62% of the issued shares[121] - Major shareholder Ms. Zhang Yi holds a total of 69,504,057 shares, representing 11.50% of the issued shares[121] - Moral Excel Holdings Ltd. holds 64,539,760 shares, accounting for 10.68% of the issued shares[121] - The company has not reported any other interests that need to be recorded under the Securities and Futures Ordinance[123] Dividends and Share Options - The company declared an interim dividend of HKD 0.03 per share, amounting to HKD 18,135,000, consistent with the previous year[61] - The interim dividend declared was HKD 0.03 per share, totaling HKD 18 million, consistent with the previous year[107] - As of September 30, 2021, the company granted options to subscribe for 6,000,000 shares under the share option scheme, representing approximately 8.97% of the total issued shares[116] - The total number of shares available for issuance under the share option scheme is 54,249,076 shares[116] - The exercise price for the options is set at HKD 0.97 per share, with the market price on the grant date being HKD 0.97[117] - No options were exercised, granted, lapsed, or cancelled during the six-month period ending September 30, 2021[118]
HERALD HOLD(00114) - 2022 - 中期财报