Financial Performance - The group's consolidated revenue for the six months ended December 31, 2020, was approximately HKD 220 million, a decrease of 28% compared to HKD 305 million in the same period of 2019[8]. - Revenue for the six months ended December 31, 2020, was HKD 220,342,000, a decrease of 27.8% from HKD 305,233,000 in the same period of 2019[41]. - The company’s revenue from carpet and flooring sales was HKD 190,960,000 for the six months ended December 31, 2020, down from HKD 269,192,000 in the previous year[78]. - The company’s revenue from installation and furnishing services was HKD 22,309,000, a decrease from HKD 27,681,000 in the same period last year[78]. - Gross profit for the same period was HKD 126,818,000, down 23.2% from HKD 165,198,000 year-on-year[41]. - Operating profit for the period was approximately HKD 7 million, down from HKD 14 million in 2019, but significantly improved from an operating loss of approximately HKD 30 million recorded in the first half of 2020[8]. - Operating profit decreased to HKD 7,172,000, a decline of 47.5% compared to HKD 13,641,000 in the previous year[41]. - Net profit for the period was HKD 5,537,000, representing a 47.7% decrease from HKD 10,592,000 in 2019[41]. - The company reported a net profit of HKD 5,838,000 for the period, down from HKD 11,377,000, a decline of about 48.7%[54]. - Basic earnings per share for the period was HKD 2.75, down from HKD 5.36 in the previous year, reflecting a decline of 48.8%[41]. Cash Flow and Liquidity - The group’s cash and cash equivalents totaled approximately HKD 138 million as of December 31, 2020, compared to HKD 136 million as of June 30, 2020, with no bank borrowings[19]. - Cash and cash equivalents increased from HKD 136,036,000 to HKD 137,792,000, a slight increase of about 1.3%[58]. - Operating cash flow generated was HKD 49,696,000, compared to HKD 66,039,000 in the previous period, a decrease of approximately 24.8%[58]. - The company held cash and cash equivalents of approximately HKD 137,792,000 as of the fiscal period end, compared to HKD 136,036,000 as of June 30, 2020, indicating a slight increase in liquidity[70]. Expenditures and Investments - The total capital expenditure for the period was approximately HKD 5 million, down from approximately HKD 8 million in 2019[17]. - Capital expenditures for the six months ended December 31, 2020, totaled HKD 4,782,000, compared to HKD 7,586,000 in 2019, representing a reduction of approximately 37%[81]. - The company recognized the addition of right-of-use assets amounting to approximately HKD 5,163,000 for the six months ended December 31, 2020, compared to HKD 688,000 in 2019[110]. Assets and Liabilities - Total assets decreased from HKD 777,207,000 to HKD 765,870,000, a decline of approximately 1.7%[48]. - Current assets decreased from HKD 284,340,000 to HKD 261,108,000, a decline of about 8.2%[48]. - Total liabilities decreased from HKD 390,287,000 to HKD 343,471,000, a decline of about 12%[51]. - Non-current liabilities decreased from HKD 97,492,000 to HKD 92,968,000, a decline of approximately 4.9%[51]. - Trade receivables decreased from HKD 46,637,000 on June 30, 2020, to HKD 19,418,000 on December 31, 2020, representing a decline of approximately 58%[112]. - Total trade and other payables decreased from HKD 136,982,000 on June 30, 2020, to HKD 124,329,000 on December 31, 2020, a decrease of approximately 9%[120]. Shareholder and Governance - The company does not recommend the payment of an interim dividend for this period, compared to zero in 2019[16]. - The company did not repurchase any shares during the six months ended December 31, 2020[31]. - The audit committee has reviewed the financial statements and internal control procedures in accordance with the corporate governance code[30]. - The company’s major shareholders include Acorn Holdings Corporation and Peak Capital Partners I, L.P., holding 18.858% and 15.366% of the issued share capital, respectively[39]. Challenges and Outlook - The ongoing COVID-19 pandemic remains the biggest challenge for global economic recovery and the company's business restoration[15]. - The company provided a positive outlook for the next quarter, projecting revenue growth of A% and an increase in user engagement metrics[134]. - The board emphasized the importance of sustainability in future strategies, aiming for a J% reduction in carbon footprint by 2025[134]. Employee and Management - The total number of employees decreased from 740 at the end of June 2020 to 670 by the end of December 2020 as part of cost reduction measures[22]. - The company’s management compensation decreased from HKD 17,784,000 in the six months ended December 31, 2019, to HKD 8,317,000 in the same period of 2020, a reduction of about 53%[132].
TAI PING CARPET(00146) - 2021 - 中期财报