Financial Performance - The Group reported a turnover of HK$160.64 million for the six months ended 31 October 2018, representing an increase of 6.21% compared to HK$151.25 million for the same period last year[9]. - The consolidated loss for the Period amounted to HK$33.71 million, a significant improvement from a loss of HK$208.06 million in the corresponding period in 2017[9]. - Loss per share for the Period was HK1.49 cents, compared to HK9.22 cents in 2017[9]. - Revenue for the six months ended October 31, 2018, was HK$160,638,000, representing an increase of 6.5% compared to HK$151,247,000 for the same period in 2017[77]. - Loss before taxation for the period was HK$33,205,000, a significant improvement from a loss of HK$206,754,000 in the previous year, indicating a reduction of approximately 83.9%[77]. - Loss for the period was HK$33,708,000, compared to a loss of HK$208,063,000 in the same period last year, reflecting a decrease of about 83.8%[77]. - Total comprehensive expense for the period was HK$34,064,000, down from HK$208,046,000, marking a reduction of approximately 83.7%[77]. Expenses and Costs - Staff costs decreased to HK$46.24 million, representing 28.79% of the Group's turnover, down from 33.0% in the previous year[11]. - Other expenses increased to HK$50.88 million, accounting for 31.67% of turnover, up from 26.05% in the previous year[12]. - The company reported an increase in repair and maintenance expenses to HK$10,523,000 for the six months ended 31 October 2018, compared to HK$9,445,000 in the previous year[138]. - Impairment for inventories included in raw materials and consumables used was HK$609,000 for the six months ended 31 October 2018, up from HK$77,000 in 2017[138]. Assets and Liabilities - The Group incurred total outstanding debts of HK$10.4 million as of 31 October 2018, an increase from HK$5.2 million as of 30 April 2018[20]. - The gearing ratio was 2.2% as at 31 October 2018, compared to 1.0% as of 30 April 2018[21]. - The Group's cash and bank balances amounted to HK$120.21 million as at 31 October 2018, down from HK$150.25 million as of 30 April 2018[20]. - Total assets as of October 31, 2018, amounted to HK$552,003,000, a decrease from HK$575,501,000 as of April 30, 2018[128]. - Current assets totaled HK$387,600,000, a decrease from HK$412,800,000 as of April 30, 2018[79]. - Net current assets were HK$313,396,000, down from HK$340,819,000, indicating a decline of approximately 8.1%[79]. Investments and Capital Expenditure - During the Period, the Group invested HK$13.84 million in acquiring property, plant, and equipment, financed mainly from internal resources[25]. - The Group invested HK$13,840,000 in property, machinery, and equipment during the period, significantly lower than HK$141,510,000 in the previous period[30]. - The Group's capital expenditure contracted for but not provided in the condensed consolidated financial statements was HK$18,566,000 as of 31 October 2018, compared to HK$16,109,000 as of 30 April 2018, indicating an increase of approximately 9.06%[154]. Share Capital and Options - As of October 31, 2018, Mr. Li Tung Lok holds a total of 105,563,266 shares, representing 4.68% of the issued share capital of the Company[51]. - The Company has granted an aggregate of 448,330,000 share options under the share option scheme, which represents 19.87% of the issued share capital as of October 31, 2018[56]. - The maximum number of shares that may be issued upon exercise of all outstanding share options must not exceed 30% of the issued share capital of the Company[56]. - The share option scheme was adopted on September 15, 2015, and is valid for 10 years[53]. - The exercise price of the options under the scheme shall not be less than the highest of the closing price on the date of offer, the average closing price for the five business days preceding the offer, or the nominal value of a share[54]. Governance and Compliance - All Directors have confirmed compliance with the securities trading code during the reporting period[48]. - The Company has complied with all code provisions set out in the Corporate Governance Code except for some immaterial deviations[72]. - The roles of Chairman and Chief Executive are held by Mr. Li Tung Lok, which the Company believes adds significant value to business growth[73]. - The Company emphasizes quality governance, effective internal controls, and transparency to all shareholders[70]. Revenue Recognition and Accounting Policies - The company applied HKFRS 15 for the first time, which supersedes previous revenue recognition standards, impacting the accounting policies[92]. - Revenue is recognized when control of goods or services is transferred to the customer, based on the completion of performance obligations[97]. - The Group has adopted HKFRS 15, which impacts revenue recognition from customer contracts, effective from May 1, 2018[96]. - The Group has applied HKFRS 9, introducing new requirements for classification and measurement of financial assets and expected credit losses (ECL)[106]. Segment Performance - Revenue from the USA segment decreased to HK$18,928,000, down 6.0% from HK$20,150,000 in 2017[122]. - The PRC segment generated revenue of HK$52,451,000, representing a growth of 7.9% compared to HK$48,527,000 in 2017[122]. - The Europe segment saw a significant increase in revenue to HK$20,305,000, up 840.5% from HK$2,158,000 in 2017[122]. - The total segment results showed a loss of HK$271,000, an improvement from a loss of HK$346,000 in the previous year[122].
QPL INT'L(00243) - 2019 - 中期财报