Financial Performance - The group's revenue decreased by 49.9% from approximately HKD 253.9 million for the six months ended June 30, 2019, to approximately HKD 127.2 million for the same period in 2020[12]. - Gross profit fell by 393.9% from approximately HKD 11.0 million to a gross loss of approximately HKD 32.2 million, resulting in a gross loss margin of approximately 25.3%[13]. - The group recorded a loss attributable to equity shareholders of approximately HKD 43.8 million, compared to a profit of approximately HKD 6.3 million in the previous year[18]. - The company reported a net loss of HKD (43,780,000) for the six months ended June 30, 2020, compared to a profit of HKD 6,308,000 in the same period last year[68]. - The company reported a pre-tax loss of HKD 43,780,000 for the six months ended June 30, 2020, compared to a profit of HKD 6,308,000 in the same period of 2019[91]. - Basic and diluted loss per share for the period was HKD 2.74, compared to earnings of HKD 0.39 per share in the same period last year[62]. - Operating loss for the period was HKD 43.377 million, a significant decline from an operating profit of HKD 8.124 million in the previous year[62]. Cash Flow and Liquidity - As of June 30, 2020, the group's cash and cash equivalents were approximately HKD 28.6 million, down from HKD 47.5 million as of December 31, 2019[19]. - Cash and cash equivalents decreased from HKD 67,021,000 to HKD 28,569,000, a decline of approximately 57.4%[71]. - Net cash used in operating activities was HKD (8,746,000), compared to HKD (3,918,000) in the previous year, indicating a worsening cash flow situation[71]. - The company had a cash outflow from financing activities of HKD (9,101,000), compared to an inflow of HKD 26,410,000 in the previous year[71]. Assets and Liabilities - Total liabilities decreased from HKD 206,908,000 to HKD 163,543,000, a reduction of approximately 20.9%[66]. - Total equity decreased from HKD 184,589,000 to HKD 140,809,000, a decline of approximately 23.7%[68]. - Non-current assets decreased from HKD 60,717,400 to HKD 58,544,000, a decline of approximately 3.6%[66]. - Current assets decreased from HKD 61,117,000 to HKD 58,544,000, a decline of approximately 4.3%[66]. - The company’s total assets less current liabilities decreased from HKD 194,801,000 to HKD 150,270,000, a decline of approximately 22.8%[66]. Operational Metrics - The group had a total of 9 projects on hand with an initial contract value of approximately HKD 340.73 million as of June 30, 2020[10]. - Employee costs, including director salaries, amounted to approximately HKD 26.5 million for the reporting period, an increase from HKD 25.0 million in 2019[26]. - The group employed a total of 149 staff as of June 30, 2020, an increase from 127 staff as of December 31, 2019[26]. - The company has delayed construction project timelines due to the impact of the COVID-19 pandemic, affecting operational and financial conditions[116]. Income and Expenses - Other income decreased by 7.7% from approximately HKD 5.1 million to approximately HKD 4.7 million due to reduced rental income from leased properties and equipment[14]. - General and administrative expenses increased from approximately HKD 7.9 million to approximately HKD 15.9 million, primarily due to higher depreciation and legal costs[15]. - Financing costs rose from approximately HKD 0.2 million to approximately HKD 0.4 million, attributed to higher average borrowings during the period[17]. - Total other income for the six months ended June 30, 2020, was HKD 4,673,000, a decrease of 7.7% compared to HKD 5,063,000 in the same period of 2019[81]. - Bank interest income increased to HKD 389,000 from HKD 97,000, representing a growth of 301% year-over-year[81]. - Depreciation expenses decreased to HKD 3,980,000 from HKD 6,110,000, reflecting a reduction of 34.8%[87]. Shareholder Information - The major shareholder, Miracle Investments, holds 1.2 billion shares, representing 75% of the company's equity[53]. - The board does not recommend the payment of dividends for the reporting period, consistent with the previous period[39]. - The company did not declare an interim dividend for the six months ended June 30, 2020, consistent with the previous year[94]. - The company’s total issued and paid-up share capital remained stable at HKD 16,000,000 as of June 30, 2020, consistent with the previous period[107]. COVID-19 Impact - The board remains cautiously optimistic about the gradual recovery of the construction business in Hong Kong, despite challenges posed by COVID-19[10]. - The company has implemented various measures in response to the COVID-19 pandemic, closely monitoring its impact on business operations[116].
富汇国际集团控股(01034) - 2020 - 中期财报