Financial Performance - Revenue for the six months ended June 30, 2019, was HK$96,389,000, an increase of 12.6% from HK$85,455,000 in the same period of 2018[8]. - Gross profit for the period was HK$44,398,000, representing a gross margin of 46.1%, compared to HK$38,292,000 in 2018[8]. - Operating profit increased to HK$31,583,000, up 10.5% from HK$28,661,000 in the previous year[8]. - Profit for the period was HK$42,651,000, a decrease of 24.2% from HK$56,247,000 in 2018[8]. - Total comprehensive income for the period was HK$40,218,000, compared to HK$28,178,000 in the same period last year, reflecting a significant increase[10]. - Basic earnings per share for the period was 1.66 HK cents, down from 2.32 HK cents in 2018, indicating a decline of 28.5%[10]. - Profit attributable to equity holders for the six months ended June 30, 2019, was HK$41,647,000, a decrease of 25.3% from HK$55,690,000 in 2018[70]. - Basic earnings per share for the six months ended June 30, 2019, was 1.66 HK cents, down 28.5% from 2.32 HK cents in 2018[70]. Expenses and Costs - Administrative expenses decreased to HK$11,834,000 from HK$13,679,000, showing a reduction of 13.4%[8]. - Finance costs decreased to HK$12,598,000 from HK$15,856,000, a reduction of 20.5%[8]. - Operating profit for the six months ended June 30, 2019, was impacted by various expenses, including employee benefit expenses of HK$8.9 million and depreciation of property, plant, and equipment of HK$43.1 million[50]. - Finance costs for the period amounted to HK$19.4 million, with net finance costs recorded at HK$11.2 million, a decrease from HK$14.5 million in the previous year[54]. Assets and Liabilities - Total assets increased to HK$2,732,875,000 as of June 30, 2019, up from HK$2,525,411,000 at the end of 2018, representing an increase of 8.2%[12]. - Total non-current assets rose to HK$2,200,745,000, compared to HK$2,106,065,000 at the end of 2018, reflecting a growth of 4.5%[12]. - Current assets increased significantly to HK$532,130,000, up from HK$419,346,000, marking a growth of 26.9%[12]. - Total liabilities amounted to HK$975,413,000, an increase from HK$798,142,000, indicating a rise of 22.2%[14]. - The company's equity attributable to equity holders increased to HK$1,757,772,000 from HK$1,728,566,000, a growth of 1.7%[12]. Cash Flow and Investments - Net cash generated from operating activities for the six months ended June 30, 2019, was HK$4,291,000, a decrease of 82.4% compared to HK$24,457,000 in 2018[18]. - Cash flows from investing activities showed a net cash outflow, with significant purchases including property, plant, and equipment totaling HK$35,573,000[18]. - Cash flows from financing activities generated HK$9,311,000, a recovery from a net cash outflow of HK$12,877,000 in the previous year[18]. - Cash and cash equivalents at June 30, 2019, were HK$198,948,000, down from HK$219,163,000 at the end of the previous year[18]. Dividends - The company paid dividends amounting to HK$10,025,000 during the period[16]. - The Group proposed an interim dividend of HK$0.4 cents per ordinary share, consistent with the previous year, totaling HK$10.0 million[60]. - The Company declared an interim cash dividend of 0.4 HK cents per share for the six months ended June 30, 2019, consistent with the previous year[65]. Financial Management - The company reported a net finance cost of HK$11,242,000, down from HK$14,493,000, indicating improved financial management[8]. - The Group's net gearing ratio was 30% as of June 30, 2019, compared to 29% as of December 31, 2018[120]. - The Group's subsidiaries charged assets with a carrying value of approximately RMB1,157.9 million (equivalent to HK$1,316.9 million) as security for bank borrowings as of June 30, 2019[120]. Risk Management - The Group's activities expose it to various financial risks, including market risk, credit risk, and liquidity risk, which are critical for strategic planning[96]. - There have been no material changes in the risk management process since the year-end of 2018, suggesting stability in the Group's financial risk management policies[97]. - The Group identifies and reviews existing and emerging risks semi-annually, with oversight from the Executive Committee and the Board[128]. Renewable Energy Operations - The Group is primarily engaged in the renewable energy business, with operations mainly in the People's Republic of China[20]. - The Group operates over 700 MW of wind farms and a distributed solar project, generating a total electricity output of 708.0 GWh, which has reduced coal consumption by approximately 230,000 tons and carbon emissions by 548,000 tons[140]. - The Group aims to continue supporting the goal of decreasing carbon emissions by investing in various renewable energy projects as it grows larger and more profitable[140]. Shareholder Information - As of June 30, 2019, Mr. OEI Kang, Eric holds a corporate interest in 1,826,026,937 shares, representing approximately 72.862% of the existing issued share capital of the Company[142]. - The joint interest of Mr. OEI Kang, Eric and his wife in the Company amounts to 41,661,439 shares, which is approximately 1.662% of the existing issued share capital[142]. - The total number of shares and underlying shares held by substantial shareholders indicates a significant concentration of ownership within the Company[147]. Corporate Governance - The Company complied with the Corporate Governance Code throughout the six months ended 30 June 2019, with some exceptions noted[152]. - The roles of chairman and CEO are currently performed by the same individual, Mr. OEI Kang, Eric, which the Board believes does not impair the balance of power[152]. - All independent non-executive directors of the Company were appointed with no specific term but are subject to rotation requirements[152].
中国再生能源投资(00987) - 2019 - 中期财报