Financial Performance - For the six months ended September 30, 2019, the total revenue was HKD 305,669,000, a decrease of 3.4% from HKD 315,352,000 in the same period of 2018[4] - The gross profit for the same period was HKD 259,644,000, down from HKD 270,850,000, reflecting a decrease of 4.1%[4] - The operating loss after the valuation changes of investment properties was HKD 329,343,000, compared to an operating profit of HKD 237,294,000 in the previous year[4] - The net loss attributable to equity shareholders for the period was HKD 186,853,000, compared to a profit of HKD 97,281,000 in the same period last year[4] - The basic and diluted loss per share for the period was HKD 0.39, compared to earnings of HKD 0.20 per share in the previous year[4] Assets and Liabilities - As of September 30, 2019, total non-current assets amounted to HKD 13,283,480,000, a decrease from HKD 13,859,790,000 as of March 31, 2019[6] - Current assets totaled HKD 13,346,835,000, down from HKD 13,925,053,000 as of March 31, 2019[6] - The total assets less current liabilities were HKD 13,713,574,000, compared to HKD 14,288,437,000 as of March 31, 2019[6] - The total equity attributable to equity shareholders was HKD 13,427,672,000, down from HKD 14,006,341,000 as of March 31, 2019[6] Cash Flow - Operating cash flow for the six months ended September 30, 2019, was HKD 231,234,000, a decrease of 12.3% from HKD 263,868,000 in 2018[11] - Net cash generated from operating activities was HKD 212,208,000, down 12.8% from HKD 243,328,000 in the previous year[11] - Total cash and cash equivalents as of September 30, 2019, amounted to HKD 782,809,000, compared to HKD 808,658,000 in 2018, reflecting a decrease of 3.2%[11] Income and Expenses - Interest income increased to HKD 6,475,000 from HKD 4,921,000, representing a growth of 31.6%[18] - Other income rose to HKD 7,115,000, up 43.5% from HKD 4,959,000 in the same period last year[18] - Financing costs increased to HKD 2,984,000, up 27% from HKD 2,351,000 in the previous year[28] Dividends - The interim dividend declared was HKD 0.21 per share, down from HKD 0.22 per share in 2018, totaling HKD 99,694,000 compared to HKD 104,441,000[33] - The company plans to pay the interim dividend on January 13, 2020, to members listed on December 18, 2019[45] Operational Insights - The company did not have any customers contributing over 10% of total revenue during the reporting period[23] - The group operates solely in the property leasing segment, with no significant changes in its operational structure[24] - The management anticipates that the rental income from the International Plaza and the group's operating performance will be negatively impacted due to ongoing social unrest in Hong Kong[49] Valuation and Investment - The company recognized a net valuation loss of HKD 575,538,000 on investment properties, significantly higher than the HKD 16,920,000 loss reported in the previous year[37] - The company invested HKD 1,616,000 in investment properties during the period, a notable increase from HKD 126,000 in the same period last year[37] Receivables and Commitments - The total receivables, deposits, and prepayments amounted to HKD 34,973,000 as of September 30, 2019, an increase from HKD 27,813,000 as of March 31, 2019[39] - The overdue receivables over three months increased to HKD 665,000 from HKD 12,000 in the previous period[39] - The company has capital commitments of HKD 720,000 as of September 30, 2019, down from HKD 1,440,000 as of March 31, 2019[43] Employee and Management Information - The number of employees as of September 30, 2019, was 37, with related expenses amounting to approximately HKD 12.1 million[48] - The director's remuneration decreased from HKD 58,000 to HKD 52,000 and from HKD 172,000 to HKD 153,000 compared to the same period last year[60] - The attendance rate of independent non-executive directors at company meetings during the period was 100%[64] Governance and Compliance - The company currently does not have an internal audit function, but it will review the necessity of establishing one annually[64] - The board believes that the existing risk management and internal control systems are sufficient without the need for an internal audit function[65] - The company has adopted the standard code of conduct for directors' trading of securities as per the listing rules, confirming compliance by all directors for the six months ending September 30, 2019[70] Reporting Standards - The mid-term financial report includes the consolidated financial position as of September 30, 2019, and the consolidated income statement for the six-month period ending on that date[73] - The review of the mid-term financial report was conducted in accordance with the Hong Kong Institute of Certified Public Accountants' standards, ensuring compliance with relevant regulations[74] - No significant issues were noted that would indicate the mid-term financial report was not prepared in accordance with the applicable accounting standards[75]
天德地产(00266) - 2020 - 中期财报