Financial Performance - For the six months ended June 30, 2019, the Group reported revenue of HK$29,638,207, a decrease of 1.1% from HK$36,122,056 in the same period of 2018[16]. - Gross profit for the same period was HK$807,897, down 10.0% from HK$896,939 in 2018[16]. - The Group incurred a loss before taxation of HK$99,418, compared to a loss of HK$300,707 in the previous year, indicating an improvement[16]. - Loss for the period from continuing operations was HK$127,153, significantly reduced from HK$317,736 in 2018[16]. - Other income increased to HK$134,207, up 31.6% from HK$101,814 in the prior year[16]. - Selling and distribution costs rose to HK$227,230, an increase of 9.8% from HK$207,014 in 2018[16]. - Administrative expenses decreased to HK$422,045, down 30.9% from HK$610,971 in the previous year[16]. - Finance costs were HK$411,789, slightly reduced from HK$422,589 in 2018[16]. - The Group's share of profits less losses of associates, net of tax, was HK$11,215, up from HK$10,918 in the previous year[16]. - For the six months ended June 30, 2019, the loss attributable to owners of the Company was HK$260,711,000, compared to a loss of HK$556,490,000 in the same period of 2018, representing a 53% improvement[22]. - Total comprehensive income for the period was HK$288,576,000, a decrease from HK$543,849,000 in the previous year, indicating a decline of 47%[22]. - The Company reported a basic and diluted loss per share of HK$2.29, compared to HK$4.88 in the prior year, reflecting a 53% reduction in loss per share[22]. - The Company reported a loss for the period of HK$248,720,000, compared to a loss of HK$573,379,000 in the previous year, reflecting a 57% improvement[22]. Assets and Liabilities - Non-current assets decreased from HK$18,487,020,000 as of December 31, 2018, to HK$17,913,028,000 as of June 30, 2019, a decline of approximately 3%[26]. - Current liabilities increased significantly from HK$17,865,665,000 to HK$15,055,862,000, indicating a reduction of about 16%[28]. - Cash and cash equivalents decreased from HK$1,724,847,000 to HK$1,090,877,000, a decline of approximately 37%[26]. - Trade receivables and other receivables decreased from HK$4,910,431,000 to HK$4,114,381,000, representing a reduction of about 16%[26]. - Inventories decreased from HK$2,755,562,000 to HK$2,000,027,000, indicating a decline of approximately 27%[26]. - The total assets less current liabilities increased from HK$7,945,895,000 to HK$9,796,282,000, an increase of approximately 23%[28]. - As of June 30, 2019, the company's net assets decreased to HK$4,971,617, down from HK$5,314,951 as of December 31, 2018, representing a decline of approximately 6.5%[33]. - Total non-current liabilities decreased significantly from HK$1,721,507 to HK$1,134,959, a reduction of about 34.1%[33]. - The company's contract liabilities were reported as zero as of June 30, 2019, compared to HK$140,650 on December 31, 2018, indicating a complete elimination of this liability[33]. - Deferred tax liabilities decreased from HK$590,599 to HK$319,623, a reduction of approximately 45.8%[33]. - The equity attributable to owners of the company fell to HK$4,528,647 from HK$4,872,742, a decrease of about 7.1%[33]. Cash Flow and Financing - For the six months ended June 30, 2019, the company reported a net cash used in operating activities of HK$228,015,000, compared to HK$234,062,000 in the same period of 2018[43]. - The company generated net cash from investing activities amounting to HK$706,492,000, a significant increase from a net cash used of HK$45,376,000 in the prior year[43]. - The company reported a net decrease in cash and cash equivalents of HK$533,881,000 for the six months ended June 30, 2019, compared to a decrease of HK$306,527,000 in 2018[47]. - Cash and cash equivalents at the end of the period stood at HK$1,162,042,000, down from HK$1,792,188,000 at the end of June 2018[47]. - The company paid dividends to non-controlling interests amounting to HK$16,215,000 during the reporting period, compared to HK$14,381,000 in the previous year[43]. - The net repayment of borrowings was HK$878,099,000, a significant increase from HK$15,033,000 in the same period last year[43]. - The company recognized an impact of HK$222,248,000 related to the transfer to amounts recognized in other comprehensive income[41]. - The Group's cash flow projections indicate that, assuming successful implementation of disposal plans and financing measures, it will have sufficient working capital to finance operations for at least twelve months from June 30, 2019[81]. - The Group has maintained good relationships with current finance providers to ensure continued financing support[81]. Accounting Policies and Standards - The Group has adopted HKFRS 16, Leases, effective January 1, 2019, which requires recognition of a right-of-use asset and lease liability for all leases, impacting the financial position[83]. - The Group's financial position has not been materially affected by the changes in accounting policies, except for the adoption of HKFRS 16[83]. - The Group's accounting policy changes are aimed at improving the accuracy of financial reporting and enhancing transparency[88]. - The transition to HKFRS 16 is expected to impact the Group's financial statements significantly, particularly in lease liabilities and right-of-use assets[88]. - The adoption of HKFRS 16 resulted in the recognition of right-of-use assets amounting to HK$4,789,536, impacting the consolidated statement of financial position significantly[105]. - Total non-current assets increased from HK$7,324,540 to HK$11,104,103 due to the adoption of HKFRS 16, reflecting a substantial adjustment in asset valuation[105]. - Lease liabilities were recognized at HK$3,410,462, indicating a shift in how lease obligations are reported on the balance sheet[105]. - The Group is now required to recognize interest expense on lease liabilities and depreciation on right-of-use assets, replacing the previous straight-line rental expense recognition[110]. - The cash flow statement will now classify capitalized lease payments into capital and interest elements, changing the presentation of cash flows without affecting total cash flows[110]. Discontinued Operations - The assets associated with the UK operation classified as held-for-sale amount to HK$1,100,256,000[137]. - The liabilities associated with the UK operation classified as held-for-sale total HK$765,885,000[138]. - The loss for the UK operation from discontinued operations for the six months ended June 30, 2019, is HK$151,401,000, compared to HK$90,841,000 for the same period in 2018[134]. - The gross profit from the US operation for the six months ended June 30, 2019, is HK$20,126,000, a decrease from HK$26,477,000 in 2018[150]. - The profit for the US operation from discontinued operations for the six months ended June 30, 2019, is HK$38,329,000, compared to a loss of HK$145,221,000 in 2018[150]. - Revenue from the discontinued operation in respect of the PRC Operation is HK$76,780,000, with a gross profit of HK$19,338,000[162]. - Loss for the period from the PRC Operation is HK$(8,495,000), compared to a loss of HK$(19,581,000) in the same period of the previous year[162]. - Total assets associated with the PRC Operation classified as held-for-sale amount to HK$1,903,090,000[166]. - Liabilities associated with the PRC Operation classified as held-for-sale total HK$925,525,000[169]. Revenue Breakdown - The total revenue for the six months ended June 30, 2019, was HK$29,638,207,000, a decrease from HK$36,122,056,000 in the same period of 2018, representing a decline of approximately 18.5%[179]. - Revenue from freight services was HK$1,359,408,000, down from HK$1,611,195,000 in 2018, indicating a decrease of about 15.6%[179]. - Logistics services revenue increased to HK$801,693,000 from HK$653,069,000, reflecting a growth of approximately 22.7%[179]. - Commodity trading revenue was HK$26,562,495,000, down from HK$33,175,644,000, marking a decline of about 20%[179]. - The revenue from design-and-build services rose significantly to HK$169,676,000 from HK$39,338,000, showing an increase of approximately 331.5%[179]. - The geographical breakdown of revenue showed Mainland China contributing HK$17,186,257,000, down from HK$18,515,373,000, a decrease of about 7.2%[182]. - Revenue from Singapore increased to HK$3,731,986,000 from HK$3,393,388,000, representing a growth of approximately 10%[182].
CWT INT'L(00521) - 2019 - 中期财报