Revenue Performance - Natural Beauty reported a significant increase in revenue, achieving a total of HKD 150 million, representing a 25% growth compared to the previous period[18]. - The Group's turnover decreased by 23.6% or HK$48.4 million to HK$156.5 million for the six months ended 30 June 2020 compared to HK$204.9 million for the same period in 2019[19]. - Revenue for the six months ended June 30, 2020, was HK$156,498, a decrease of 23.6% compared to HK$204,888 in 2019[126]. - Total sales for the Group in the first half of 2020 amounted to HK$1,161.5 million, down from HK$1,055.0 million in the same period of 2019, reflecting a decrease of 31.1%[55]. - Revenue from the People's Republic of China decreased to HK$79,494,000 from HK$151,595,000, representing a decline of 47.5%[143]. - Revenue from Taiwan increased significantly to HK$74,852,000, up 44.5% from HK$51,729,000[143]. Profitability and Financial Health - The company reported a loss for the period of HK$6,447, compared to a profit of HK$16,550 in 2019, indicating a significant decline in profitability[126]. - Profit before tax decreased by 144.4%, resulting in a loss of HK$11.2 million for the six months ended June 30, 2020, compared to a profit of HK$25.3 million for the same period last year[34]. - The company’s total assets less current liabilities stood at HK$594,850, slightly down from HK$599,184 at the end of 2019[131]. - The company reported a decrease in trade and other receivables to HK$105,941 from HK$124,762 at the end of 2019, a decline of 15.1%[128]. - The company reported a net cash generated from operating activities of HK$9,024,000, a significant improvement from a cash outflow of HK$56,000 in the previous year[135]. Market and Customer Engagement - The company experienced a rise in user engagement, with a 30% increase in active customers, totaling 200,000 users[18]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[18]. - Customer satisfaction ratings improved to 85%, indicating a positive response to recent product enhancements and customer service initiatives[18]. - The Group continues to focus on expanding its product offerings and enhancing its online sales platforms to adapt to market changes[23]. Research and Development - Investment in research and development increased by 20%, focusing on innovative beauty products and sustainable practices[18]. - The Group emphasizes research and development, collaborating with overseas companies to enhance product quality and develop new offerings[60][64]. - The Group's R&D team includes overseas consultants with expertise in cosmetics, medicine, pharmacy, and biochemistry, focusing on high-quality beauty and skincare products[60][64]. - The Group has patented stem cell technology in the United States for its anti-aging NB-1 product family, ensuring product uniqueness[61]. Operational Changes and Strategies - A strategic acquisition of a local beauty brand is under consideration to enhance product offerings and customer base[18]. - The Group opened 31 new stores and closed 22 stores during the six months ended June 30, 2020[57][58]. - The Group's subsidiaries in the PRC adjusted their management team and hired more business management talents to enhance sales management and business development across regions[72]. - The Group plans to attract high-level talents, broaden its multi-channel sales network, and actively create new business opportunities for growth[76]. Corporate Governance and Compliance - The Company recognizes the importance of good corporate governance and believes it has complied with the CG code provisions, except for the noted financial reporting non-compliance[92]. - The Company has breached financial reporting provisions due to delays in publishing the audited 2019 annual results and convening the annual general meeting within the required timeframe[93]. - The Company has adopted a code of conduct for Directors' securities transactions that meets the standards set out in the Model Code[95]. - The Company has not purchased, sold, or redeemed any of its listed securities during the six months ended June 30, 2020[104]. Shareholder Information - As of June 30, 2020, Eastern Media International Corporation held a long position of 600,630,280 shares, representing approximately 30.00% of the issued share capital of the Company[121]. - The interim report indicates a stable shareholder structure with significant holdings concentrated among a few major shareholders[124]. - The Group's total issued and fully paid share capital remained unchanged at HK$200,210,000, with 2,002,100,932 shares issued[185].
自然美(00157) - 2020 - 中期财报