Financial Performance - The revenue of Pacific Textiles Holdings Limited for the period was approximately HK$2,452.7 million, representing a decrease of 18.9% compared to HK$3,025.5 million in the same period last year[7]. - Profit attributable to equity holders was HK$375.6 million, reflecting a decrease of 8.8% from HK$412.0 million in the prior year[7]. - The Group's sales value dropped by 19% during the review period, with a 38% decrease in share of profit from associated companies and an increase in bad debt by approximately HK$8 million compared to the same period last year[23]. - Revenue for the six months ended September 30, 2020, was HK$2,452,658, a decrease of 18.9% compared to HK$3,025,462 for the same period in 2019[30]. - Gross profit for the period was HK$429,977, down 20.5% from HK$540,260 in the previous year[30]. - Operating profit decreased to HK$424,297, a decline of 4.6% from HK$444,630 in the prior year[30]. - Total comprehensive income for the period was HK$494,576, an increase of 65.7% compared to HK$298,482 in the previous year[31]. Expenses and Costs - The cost of sales decreased to approximately HK$2,022.7 million, down 18.6% from HK$2,485.2 million in the previous year[7]. - Selling and distribution expenses increased to HK$37.5 million, up from HK$32.4 million in the previous year[7]. - Administration expenses slightly increased to HK$92.3 million, compared to HK$91.9 million in the prior year[7]. - Finance costs surged by approximately 144.8% to HK$14.9 million, primarily due to increased interest expenses on bank loans[7]. Assets and Liabilities - Total assets as of 30 September 2020 were HK$5,174.5 million, an increase of 7.5% from HK$4,813.2 million as of 31 March 2020[9]. - Non-current assets amounted to HK$1,979.1 million, while current assets were HK$3,195.4 million, reflecting increases in trade receivables and cash balances[9]. - Total liabilities included current liabilities of HK$1,719.0 million and non-current liabilities of HK$237.8 million[16]. - The Group's liquidity position improved with a net cash level of HK$137.7 million as of September 30, 2020, compared to HK$66.5 million as of March 31, 2020[16]. Taxation - The Group recorded an income tax expense of approximately HK$40.0 million, down from HK$56.3 million in the previous year, with an effective tax rate of 9.4%[8]. - The Group's subsidiary in Vietnam benefited from a tax holiday, contributing to the lower effective tax rate[8]. Employee and Workforce - The Group had 4,839 full-time employees as of 30 September 2020, a decrease from 5,197 employees as of 31 March 2020[20]. - The management has streamlined production processes and reduced workforce to improve ongoing profitability amid an unstable operating environment[27]. Cash Flow and Investments - Cash generated from operations for the six months ended September 30, 2020, was HK$354,784,000, compared to HK$528,145,000 in the previous year, reflecting a decrease of approximately 32.8%[35]. - The company reported a net cash inflow from investing activities of HK$155,360,000, a significant improvement compared to a net outflow of HK$102,619,000 in the prior year[35]. - Total cash and bank balances reached HK$996.7 million, up from HK$928.8 million as of March 31, 2020[16]. Shareholder Information - The interim dividend declared was HK$22 cents per share, down from HK$26 cents per share in 2019, resulting in a total dividend payout of HK$310,466,000 compared to HK$375,525,000 in the previous year, a reduction of 17.3%[72]. - The company repurchased shares amounting to HK$7,739,000 during the period, compared to HK$10,196,000 in the previous year[35]. - The issued share capital of the company was reduced by the nominal value of the repurchased shares, with the premiums charged against the share premium account[88]. Market and Operational Outlook - The Group plans to expand its customer base, particularly in the sportswear sector, to mitigate potential declines in orders due to the pandemic[24]. - The Group is cautiously optimistic about the demand for functional textiles for sportswear, gym, and yoga outfits in the second half of the financial year[25]. - The number of sales orders at the end of the review period has caught up with the same period last year, showing a notable rebound[25]. Corporate Governance - The company complied with applicable corporate governance code provisions during the review period, although the roles of chairman and CEO were held by the same individual[130][131]. - Directors confirmed compliance with the Model Code regarding securities transactions throughout the review period[132].
互太纺织(01382) - 2021 - 中期财报