Financial Performance - Revenue for the six months ended December 31, 2020, was HKD 15,310,000, a decrease of 18.5% compared to HKD 18,781,000 for the same period in 2019[4] - Gross profit for the same period was HKD 10,300,000, down 24.5% from HKD 13,616,000 in 2019[4] - The net loss for the six months ended December 31, 2020, was HKD 16,140,000, significantly improved from a net loss of HKD 44,317,000 in 2019, representing a reduction of 63.6%[6] - Total comprehensive loss for the period was HKD 11,505,000, compared to HKD 40,947,000 in the previous year, indicating a 72% improvement[6] - The company reported a basic and diluted loss per share of HKD 0.27 for the period, compared to HKD 0.79 in the previous year, showing a 65.8% improvement[4] - The group reported a net loss attributable to owners of the company of HKD 15,004,000 for the six months ended December 31, 2020, compared to a loss of HKD 43,794,000 in the same period of 2019[44] - The pre-tax loss for the period was approximately HKD 15,586,000, a decrease of about 63.4% from a pre-tax loss of HKD 42,579,000 in the same period last fiscal year[72] Assets and Liabilities - Non-current assets increased to HKD 1,570,409,000 as of December 31, 2020, compared to HKD 1,531,376,000 as of June 30, 2020, reflecting a growth of 2.5%[8] - Cash and bank balances increased to HKD 157,784,000 from HKD 132,957,000, representing an increase of 18.7%[8] - As of December 31, 2020, the company's current liabilities decreased to HKD 263,259,000 from HKD 249,381,000 as of June 30, 2020, representing a 5.5% increase[10] - The total assets less current liabilities stood at HKD 1,807,170,000, slightly down from HKD 1,815,831,000 as of June 30, 2020[10] - The company's equity attributable to owners decreased to HKD 1,788,272,000 from HKD 1,795,760,000, reflecting a 0.4% decline[10] - The company's total equity as of December 31, 2020, was HKD 1,783,860,000, down from HKD 1,792,484,000, a decrease of 0.5%[10] - The company's short-term deposits increased significantly to HKD 86,198,000 from HKD 8,410,000, indicating a substantial growth in liquidity[12] Cash Flow - The net cash generated from operating activities for the six months ended December 31, 2020, was HKD 1,235,000, a decline of 61.2% compared to HKD 3,182,000 for the same period in 2019[12] - The cash and cash equivalents at the end of the period increased to HKD 181,088,000 from HKD 91,218,000, marking a 98.7% increase year-over-year[12] - The net cash used in investing activities was HKD (36,353,000), a significant decrease compared to HKD 79,164,000 generated in the previous year[12] - The financing activities generated a net cash inflow of HKD 53,423,000, compared to HKD 18,613,000 in the prior year, indicating a 187.5% increase[12] Segment Performance - The reported segment loss for the property investment and trading business was HKD 34,085,000, compared to a loss of HKD 38,626,000 in the previous year, indicating an improvement of about 11.5%[32] - The group’s revenue from external customers in the property development segment was HKD 10,573,000, while the property investment and trading segment generated HKD 3,510,000[32] - The total rental income from property investment and trading for the period was approximately HKD 11,544,000, down from HKD 15,172,000 in the previous six months[104] Market Outlook and Strategy - The company plans to focus on market expansion and new product development in the upcoming quarters to drive future growth[4] - The company maintains a cautiously optimistic outlook on the property market, expecting gradual recovery in the local economy post-pandemic[110] - The company plans to continue prudent acquisition and disposal of properties to enhance recurring income and capital appreciation[110] - The company aims to expand its securities investment and trading business as well as loan financing operations to achieve stable growth in recurring income[110] Corporate Governance - The company has maintained high standards of corporate governance, adhering to all applicable corporate governance codes during the reporting period[132] - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited consolidated results and confirmed compliance with applicable accounting standards[134] - The company emphasizes long-term financial performance over short-term gains in its corporate governance objectives[132] Employee and Shareholder Information - The group has a total of 21 employees as of December 31, 2020, with total employee costs amounting to approximately HKD 6,663,000[89] - The company reported a total of 465,096,000 shares issued, with a percentage of 8.29% held by key executives[117] - The company’s major shareholder, Pang Wei Xin, holds 374,796,000 shares and 90,300,000 related shares, representing a substantial ownership stake[117] Investment Activities - The company has significant investments in properties across Hong Kong, the UK, and Japan, including ten investment properties and two commercial properties for sale in Hong Kong[70] - The group anticipates the completion of a property development project in Birmingham, UK, by the second or third quarter of 2021[91] - The group has acquired two serviced apartments in Hokkaido, Japan, which are expected to gradually recover rental income starting July 2021[104]
宏辉集团(00183) - 2021 - 中期财报