Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 83,059,000, a decrease of 12.6% compared to RMB 95,087,000 for the same period in 2020[7] - Gross profit for the same period was RMB 27,050,000, down 14.8% from RMB 31,746,000 in 2020[7] - Profit before income tax for the interim period was RMB 22,945,000, a decline of 9.9% from RMB 25,451,000 in the previous year[7] - Profit attributable to equity holders of the Company was RMB 19,892,000, a decrease of 6.4% compared to RMB 21,245,000 in 2020[7] - Basic and diluted earnings per share were RMB 1.61, down from RMB 2.25 in the same period last year[7] - Net profit for the Interim Period decreased by approximately 6.1% to approximately RMB 19.9 million from approximately RMB 21.2 million for the six months ended June 30, 2020[8] - Dyeing revenue decreased by approximately 7.9% from approximately RMB57.5 million for the six months ended June 30, 2020, to approximately RMB52.9 million for the Interim Period[15] - Lace revenue decreased by approximately 19.9% from approximately RMB37.6 million for the six months ended June 30, 2020, to approximately RMB30.1 million for the Interim Period[16] - Gross profit decreased by approximately 14.5% from approximately RMB31.7 million for the six months ended June 30, 2020, to approximately RMB27.1 million for the Interim Period[16] - Operating profit decreased to RMB 22,658,000, a decline of 11.9% from RMB 25,723,000 in the previous year[64] - The profit attributable to equity holders of the Company for the six months ended June 30, 2021, was RMB 19,892,000, compared to RMB 21,245,000 for the same period in 2020, reflecting a decline of 6.4%[113] Market Strategy and Future Outlook - The Company is focusing on expanding its market presence and enhancing product offerings to drive future growth[6] - New product development initiatives are underway to improve competitive positioning in the market[6] - The Company is exploring potential mergers and acquisitions to accelerate growth and market expansion[6] - Management remains optimistic about future performance despite current challenges, aiming for a recovery in revenue and profitability[6] - The Company plans to implement new strategies to enhance operational efficiency and cost management moving forward[6] - The company plans to expand production capacity and enhance efficiency to capture upcoming business opportunities[9] - Future business growth is anticipated to be driven by rising disposable income and the growing retail value of women's outerwear and lingerie[9] Financial Position and Assets - Total assets as of June 30, 2021, amounted to RMB 379,727,000, an increase from RMB 300,020,000 as of December 31, 2020[69] - Total equity attributable to equity holders increased to RMB 333,435,000 from RMB 222,951,000 at the end of 2020[69] - Cash and cash equivalents increased significantly to approximately RMB 186.5 million as of June 30, 2021, up from approximately RMB 109.5 million as of December 31, 2020, primarily due to the successful listing of the company's shares[20] - The Group had repaid all bank borrowings as of June 30, 2021, with no outstanding bank borrowings compared to approximately RMB 13.0 million as of December 31, 2020[20] - The Group incurred capital expenditures of approximately RMB 17.8 million during the Interim Period, compared to approximately RMB 3.4 million for the same period in 2020[21] - The Group had capital commitments of approximately RMB 1.9 million for the purchase of properties, plant, and equipment as of June 30, 2021, down from approximately RMB 2.8 million as of December 31, 2020[22] Liabilities and Financial Management - Total liabilities as of June 30, 2021, amounted to RMB 46,292, a decrease of 40% from RMB 77,069 as of December 31, 2020[71] - Current liabilities increased to RMB 44,359 as of June 30, 2021, compared to RMB 37,859 as of December 31, 2020, reflecting a rise of 17%[71] - The effective income tax rate decreased from approximately 16.5% for the six months ended June 30, 2020, to approximately 13.3% for the Interim Period, mainly due to the recognition of non-deductible one-off listing expenses in the prior period[19] - The Group's financial risk management program aims to minimize potential adverse effects on financial performance due to market unpredictability[91] - There have been no significant changes in the risk management policies since the year-end[91] Employee and Management Information - As of June 30, 2021, the Group had 526 employees, an increase from 469 employees as of December 31, 2020[22] - The total employee benefit expenses for the Interim Period amounted to approximately RMB 18.4 million, slightly down from approximately RMB 18.9 million for the same period in 2020[22] - The company’s key management compensation for the six months ended June 30, 2021, was RMB 305,000, a decrease from RMB 580,000 for the same period in 2020, indicating a reduction of approximately 47.4%[158] Shareholder Information - As of June 30, 2021, Mr. Lin Minqiang and other directors collectively hold 850,500,000 shares, representing approximately 67.5% of the company's total shareholding[29] - Deyong Investment holds 850,500,000 shares, representing approximately 67.5% of the company's total shareholding[38] - Glorious Way Investments Limited owns 94,500,000 shares, accounting for 7.5% of the company's total shareholding[39] - The authorized share capital increased to 10,000,000,000 shares with a nominal value of RMB 84,177,000 as of June 30, 2021, compared to 38,000,000 shares and RMB 337,000 as of December 31, 2020[142] - The issued and fully paid shares as of June 30, 2021, were 1,260,000,000 with a nominal value of RMB 10,511,000, reflecting a significant increase from previous periods[144] Compliance and Governance - The Company has complied with the Corporate Governance Code provisions during the Interim Period[49] - The Company has maintained the public float as required under the Listing Rules as of the date of this report[49] - All Directors confirmed compliance with the Model Code for securities transactions during the Interim Period[51] - The Company has not engaged in any significant transactions or arrangements with Directors or their associates during the Interim Period[45]
应星控股(01440) - 2021 - 中期财报