Revenue and Profitability - For the six months ended September 30, 2021, the group recorded revenue of approximately HKD 113,800,000, an increase of about HKD 5,300,000 (4.9%) compared to HKD 108,500,000 for the same period in 2020[11] - Revenue from the garment business increased from approximately HKD 92,100,000 to HKD 98,400,000, representing a growth of about HKD 6,300,000 (6.8%) due to an increase in order volume[11] - The gross profit for the same period was HKD 18,022,000, down from HKD 20,072,000 in 2020, indicating a decrease of about 10.2%[74] - Operating profit increased to HKD 10,858,000, compared to HKD 10,452,000 in the previous year, reflecting a growth of approximately 3.9%[74] - The profit before tax rose to HKD 10,676,000, up from HKD 8,597,000 in 2020, marking an increase of around 24.3%[74] - The net profit for the period was HKD 9,315,000, compared to HKD 7,636,000 in the same period last year, representing a growth of approximately 22%[74] - The total comprehensive income for the period was HKD 9,556,000, an increase from HKD 7,352,000 in 2020, indicating a growth of about 30%[74] Financial Position - The value of the group's investment properties as of September 30, 2021, was approximately HKD 119,200,000, with all but one parking space fully rented out[8] - The group’s cash and bank balances totaled approximately HKD 24,900,000 as of September 30, 2021, up from HKD 7,600,000 as of March 31, 2021[22] - As of September 30, 2021, the current ratio improved to approximately 2.61 from 0.86 on March 31, 2021, primarily due to increases in trade and other receivables, as well as cash and cash equivalents[24] - The debt-to-equity ratio decreased to approximately 0.0% as of September 30, 2021, compared to 134.7% on March 31, 2021, due to a reduction in bank and other borrowings to zero from approximately HKD 156.6 million[24] - Total assets increased to HKD 435,550,000 as of September 30, 2021, compared to HKD 364,318,000 as of March 31, 2021, representing a growth of approximately 19.6%[79] - Current assets rose to HKD 279,910,000, up from HKD 207,630,000, indicating an increase of about 34.8%[79] - Total liabilities decreased to HKD 111,497,000 from HKD 248,056,000, reflecting a reduction of about 55.1%[82] - The company's equity total reached HKD 324,053,000, up from HKD 116,262,000, which is an increase of approximately 178.5%[79] Expenses and Costs - Gross profit from the garment business decreased to approximately HKD 12,700,000, a decline of about HKD 1,300,000 (9.3%) compared to HKD 14,000,000 for the same period in 2020[12] - Administrative expenses decreased by approximately 24.4% to HKD 5,900,000 from HKD 7,800,000 due to reduced legal and professional fees related to potential acquisitions[16] - Financial expenses decreased by approximately 89.5% to HKD 200,000 from HKD 1,900,000, primarily due to reduced interest on amounts payable to a related company and bank borrowings[18] - The total employee cost for the six months ended September 30, 2021, was approximately HKD 3.6 million, down from HKD 6.3 million for the same period in 2020[58] - The cost of goods sold for the six months ended September 30, 2021, was HKD 95,799,000, compared to HKD 88,408,000 in the previous year, representing an increase of approximately 8.5%[119] Shareholder and Capital Information - The company did not declare any interim dividend for the six months ended September 30, 2021, consistent with the previous year[25] - The company completed a capital reorganization on July 26, 2021, resulting in a reduction of issued share capital from HKD 0.50 to HKD 0.01 per share[141] - The company issued 573,787,662 shares at a subscription price of HKD 0.35 per share on August 23, 2021, as part of a rights issue[141] - As of September 30, 2021, the major shareholder, Always Profit Development Limited, held 552,238,938 shares, representing 72.18% of the issued share capital[67] Market and Business Strategy - The group plans to continue expanding its garment business in Hong Kong and China, focusing on higher-margin products and exploring global markets[19] - The marketing department aims to provide services including market analysis, promotional planning, and online store management, targeting external clients[19] - The company plans to continue expanding its market presence in both local and overseas markets, focusing on garment sales and property investments[97] Cash Flow and Financing - The net cash flow used in operating activities for the six months ended September 30, 2021, was HKD (23,437,000), compared to HKD (5,944,000) for the same period in 2020[88] - Financing activities generated a net cash inflow of HKD 40,465,000, compared to HKD 12,703,000 in the previous year[88] - The company had no bank or other borrowings as of September 30, 2021, compared to HKD 156,600,000 in borrowings as of March 31, 2021[23] - The utilized amount of bank financing as of September 30, 2021, was approximately HKD 12,081,000, an increase from HKD 9,698,000 as of March 31, 2021[150] Investment and Assets - The company had no significant acquisitions or disposals of subsidiaries or associates during the six months ended September 30, 2021[54] - The company had no major investments during the six months ended September 30, 2021[59] - The company did not acquire any new property, plant, and equipment during the six months ended September 30, 2021, maintaining the same position as in the previous year[129] - The fair value change of investment properties recognized in the profit and loss for the period is approximately HKD 687,000, compared to a loss of approximately HKD 312,000 for the six months ended September 30, 2020[132] Risk Management - The company faced no significant foreign exchange risk due to the stability of the currencies involved, with no forward foreign exchange or hedging contracts in place[29] - The company reported a foreign exchange gain of HKD 168,000 for the six months ended September 30, 2021, compared to a gain of HKD 527,000 in the previous year, indicating a decrease of approximately 68%[112] Compliance and Governance - The company has complied with the corporate governance code as per the listing rules during the reporting period[70] - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2021, and found them to be prepared in accordance with legal requirements and applicable accounting standards[72]
龙翼航空科技(00918) - 2022 - 中期财报