Financial Performance - The group recorded revenue of approximately HKD 32,143,000 for the review period, an increase of about 7% compared to HKD 30,059,000 for the same period last year[7]. - The gross profit for the review period was approximately HKD 5,000,000, a decrease of about 4% from HKD 5,214,000 in the same period last year[9]. - The group incurred a loss from continuing operations of approximately HKD 42,982,000, an increase of about 123% compared to HKD 19,309,000 for the same period last year[20]. - The joint venture group recorded revenue of approximately HKD 22,600,000, a decrease of about 29% from HKD 31,955,000 in the same period last year[10]. - The loss per share for continuing operations was HKD 0.0867, compared to HKD 0.0389 as of June 30, 2019[23]. - The total loss attributable to the company's owners for the period ending June 30, 2020, was HKD 42,982,000[32]. - The company reported a loss attributable to shareholders of HKD 42,982,000 for the six months ended June 30, 2020[59]. - Basic and diluted loss per share from continuing operations was HKD 8.67, compared to HKD 3.89 in 2019[150]. - The total comprehensive loss for the period was HKD 39,987 million, a reduction from HKD 47,637 million in 2019[147]. Cash Flow and Liquidity - As of June 30, 2020, the group's bank and cash balance was approximately HKD 5,696,000, down from approximately HKD 8,414,000 as of December 31, 2019[23]. - The net cash used in operating activities was HKD (8,971,000), an improvement from HKD (11,187,000) in the same period of 2019[160]. - The net cash generated from investing activities was HKD 7,652,000, compared to a net cash used of HKD (16,306,000) in the prior year[160]. - The net cash used in financing activities was HKD (1,399,000), a significant decrease from HKD 17,502,000 in the previous year[160]. - The net current liabilities of the group were approximately HKD 254,445,000 as of June 30, 2020, indicating significant uncertainty regarding the group's ability to continue as a going concern[166]. - The company continues to assess its cash flow forecasts and believes it has sufficient working capital to meet its financial obligations for the next twelve months[2]. Debt and Equity - The group's debt-to-equity ratio as of June 30, 2020, was approximately 148%, an increase from approximately 127% as of December 31, 2019[23]. - The total number of issued shares as of June 30, 2020, was 495,975,244 shares[24]. - If all GIC convertible bonds are converted at the conversion price of HKD 0.375, GIC would receive 266,666,666 shares, representing approximately 34.97% of the total issued shares[32]. - The company redeemed HKD 107,500,000 of the GIC convertible bonds along with all accrued interest on July 15, 2020[35]. - The company plans to issue a total of 493,562,231 shares upon full conversion of the 2018 convertible bonds, equivalent to 98,712,446 shares after the share consolidation[36]. - Major shareholder Mr. Wang Jian Ting held 455,297,032 shares, representing 18.36% of the issued shares prior to the conversion of the 2018 convertible bonds[43]. - Public shareholders held 2,024,579,191 shares, accounting for 81.64% of the issued shares before the conversion[43]. - After the conversion of the 2018 convertible bonds, the public shareholders' stake would decrease to approximately 75.74%[43]. Operational Developments - The group plans to continue seeking investment opportunities to expand its fleet and other suitable investments that will create synergies with existing operations[19]. - The group’s dry bulk fleet consists of three vessels with a total capacity of approximately 92,000 deadweight tons, unchanged from the previous year[6]. - The group’s two owned vessels are under charter contracts that will continue until 2022, providing a stable revenue stream[19]. - The group has postponed the acquisition of two additional vessels until the financial situation improves and the shipping market stabilizes[10]. - The impact of COVID-19 has led to a decrease in cargo volume, contributing to the increased losses from the joint venture[10]. Corporate Governance - The company has maintained high standards of corporate governance and has complied with the corporate governance code throughout the reporting period[86]. - The board of directors has undergone changes, including the appointment of new independent non-executive directors in 2020[90]. - The company is committed to reviewing its current structure and will appoint a CEO when a suitable candidate is found[86]. - The internal audit function has been outsourced to a professional internal audit service provider, ensuring independent evaluation of risk management and internal controls[104]. - The company has confirmed that all directors have adhered to the standard code of conduct during the review period[101]. Share Options and Securities - The 2008 share option plan allows for a maximum of 10% of the company's issued share capital to be issued upon exercise of options granted under the plan[119]. - A total of 31,320,000 options were granted at an exercise price of HKD 1.680 per share, with 31,220,000 options accepted[121]. - As of June 30, 2020, there were no unexercised options remaining under the 2008 share option plan, down from 21,704,054 options as of December 31, 2019[127]. - The 2018 Share Option Scheme was adopted on August 20, 2018, with a term of ten years, allowing the company to grant options to selected participants, covering up to 10% of the total issued shares as of the adoption date[128]. - A total of 247,987,622 options were granted at an exercise price of HKD 0.0976 per share on August 29, 2018, all of which were accepted[132]. - As of June 30, 2020, a total of 97,325,048 options had been cancelled, with no options granted, exercised, or expired during the review period[138]. Other Financial Information - The company has no contingent liabilities as of June 30, 2020, consistent with the previous year[69]. - The company has no capital commitments as of June 30, 2020, unchanged from the previous year[70]. - The company has 18 full-time employees in Hong Kong as of June 30, 2020, compared to 17 as of December 31, 2019[72]. - The company did not declare or pay any dividends for the six months ended June 30, 2020, nor for the same period in 2019[192]. - The company has adopted new/revised Hong Kong Financial Reporting Standards effective from January 1, 2020, with no significant impact on the financial statements[175].
亚洲能源物流(00351) - 2020 - 中期财报