Financial Performance - For the six months ended December 31, 2018, the turnover increased by 22.7% to HK$205,162,000 compared to HK$167,150,000 in the same period of 2017[2]. - The loss for the period was HK$47,907,000, representing a 73.6% increase from the loss of HK$27,598,000 in 2017[2]. - Basic loss per share increased by 82.8% to HK(4.26) cents from HK(2.33) cents in the previous year[2]. - Total comprehensive income for the period was a loss of HK$91,356,000, compared to a loss of HK$9,079,000 in the previous year[8]. - The total loss for the period was HK$47,907,000, compared to a loss of HK$27,598,000 in the same period last year, representing an increase of 73.8%[95]. - Loss attributable to the owners of the Company for the Period was approximately HK$48 million, representing an increase of 74% compared to the last corresponding period[184]. Revenue and Segment Performance - For the six months ended December 31, 2018, total revenue was HK$205,162,000, an increase of 22.7% compared to HK$167,150,000 for the same period in 2017[82]. - Revenue from heat supplying services was HK$124,392,000, a slight decrease of 1.1% from HK$126,731,000 in 2017[82]. - Sales of calcium carbide increased significantly to HK$66,594,000, up 88.7% from HK$35,280,000 in 2017[82]. - The beverage business generated revenue of HK$9,994,000, with no prior year comparison available[82]. - Segment profit for heat and power was HK$41,889,000, while calcium carbide reported a loss of HK$12,590,000[92]. - The heat and power division recorded revenue of HK$127 million from external customers, with income from residential users at approximately HK$115 million, a decrease of about 1% compared to the last corresponding period[192]. - The calcium carbide segment recorded revenue of HK$67 million from external customers, with a segment loss of approximately HK$13 million, a decrease of about 31% compared to the last corresponding period[197]. - The construction services division, acquired in January 2018, recorded revenue of HK$2 million and a segment loss of HK$2 million during the Period[199]. - The beverage division, acquired in October 2018, recorded revenue of HK$10 million and a segment loss of HK$2 million during the Period[200]. Assets and Liabilities - Non-current assets decreased to HK$2,719,372,000 from HK$2,819,057,000, indicating a reduction in long-term asset value[9]. - The company's total assets decreased to HK$3,101,839,000 from HK$3,176,789,000, reflecting a decline in overall asset base[9]. - Total equity as of December 31, 2018, decreased to HK$1,648,350, down from HK$1,676,915 as of June 30, 2018, representing a decline of approximately 1.7%[11]. - Total liabilities as of December 31, 2018, were HK$1,453,489, a decrease from HK$1,499,874 as of June 30, 2018, indicating a reduction of about 3.1%[11]. - The Group's financial assets and liabilities' carrying amounts approximate their fair values as of 31 December 2018[74]. Cash Flow and Financing Activities - Net cash used in operating activities for the six months ended December 31, 2018, was HK$80,315, compared to HK$58,533 for the same period in 2017, reflecting an increase in cash outflow of approximately 37.2%[16]. - Net cash generated from financing activities for the six months ended December 31, 2018, was HK$67,687, a decrease from HK$100,900 in the previous year, showing a decline of about 33%[16]. - Cash and cash equivalents at the end of the period were HK$71,212, an increase from HK$70,916 at the end of the previous year, showing a slight growth of about 0.4%[16]. - The company issued shares under a placement, raising HK$22,000 during the six months ended December 31, 2018[12]. - The carrying amount of bonds payable rose from HK$820,458,000 at the beginning of the period to HK$861,719,000 by December 31, 2018, indicating an increase of 5.0%[127]. - The total bank loans payable decreased from HK$97,775,000 on June 30, 2018, to HK$86,829,000 by December 31, 2018, a reduction of about 11.5%[133]. Accounting Policies and Standards - The Group adopted new and revised HKFRSs effective from July 1, 2018, which did not result in significant changes to accounting policies or financial statement presentation[28]. - HKFRS 15 was adopted, establishing a five-step model for revenue recognition, but it did not materially impact the Group's revenue recognition[24]. - HKFRS 9 was also adopted, introducing new requirements for classification and measurement of financial instruments, which resulted in adjustments to amounts recognized in financial statements[28]. - The adoption of new HKFRSs did not have a material impact on the amounts and disclosures reported in the interim financial statements[28]. - The Group's financial statements for the six months ended December 31, 2018, are unaudited and prepared in accordance with HKAS 34[18]. Legal and Contingent Liabilities - The Group has contingent liabilities amounting to approximately RMB42,700,000 related to a construction contract dispute[150]. - The Group's management has been seeking legal advice regarding the aforementioned dispute since December 2012[151]. - During the period, Mudanjiang BD Power was ordered by the Heilongjiang High Court to compensate approximately RMB 36,700,000 to the Plaintiff[153]. - The management has made sufficient provision for the legal action and believes a favorable settlement could be reached with the Plaintiff[154]. - The Company obtained a stay of execution of the Enforcement Order for 6 months, conditional upon paying a security sum of RMB 19,818,046[158]. Capital Expenditures and Commitments - Capital expenditure for the period was approximately HK$16.39 million, up from HK$10.11 million, reflecting a 62.0% increase[112]. - Capital commitments at the end of the reporting period include contracted but not provided for buildings and construction in progress amounting to HK$ 565,773,000[167].
中国天化工(00362) - 2019 - 中期财报