Financial Performance - Total revenue for the first half of 2021 increased by 0.3% to HKD 346.3 million compared to HKD 345.2 million in the first half of 2020[12] - Gross profit decreased by 5.4% to HKD 210.5 million, with a gross margin of 60.8%, down from 64.4% in the previous year[12] - Profit attributable to owners dropped by 68.4% to HKD 7.3 million, compared to HKD 23 million in the first half of 2020[13] - Operating profit significantly dropped to HKD 11,040,000 compared to HKD 32,421,000 in the previous year[65] - The group reported a profit of HKD 6,862,000 for the period, compared to HKD 23,326,000 in the previous year, indicating a significant decrease in profitability[124] - Basic earnings per share for the six months ended June 30, 2021, were HKD 1.11, down from HKD 3.51 in the same period of 2020[141] Revenue Breakdown - Retail business in Hong Kong generated revenue of HKD 270.6 million, a decline of 2.3% year-on-year, accounting for 78.1% of total revenue[14] - Revenue from wholesale business increased by 10.9% to HKD 75.7 million in the first half of 2021, compared to HKD 68.2 million in the same period of 2020[19] - Revenue from the wholesale business in mainland China rose by 102.1% to HKD 15.2 million, compared to HKD 7.5 million in the same period of 2020[24] - The performance from the Hong Kong retail segment generated revenue of HKD 270,616,000, while the wholesale segment contributed HKD 75,670,000[122] Cash Flow and Liquidity - Operating cash flow remains stable, with cash and cash equivalents totaling approximately HKD 128.5 million as of June 30, 2021[13] - Cash and cash equivalents as of June 30, 2021, were HKD 128,509,000, a decrease from HKD 134,905,000 at the end of 2020[71] - Operating cash flow generated was HKD 72,779,000 for the six months ended June 30, 2021, compared to HKD 84,964,000 for the same period in 2020, showing a decline of about 14.4%[81] - Current liabilities net amount improved from HKD (136,801,000) to HKD (132,669,000), indicating a positive trend in liquidity[84] Capital Expenditure and Investments - Capital expenditure for the first half of 2021 was HKD 13.6 million, compared to HKD 11.8 million in the same period of 2020[49] - Capital expenditures for the six months ended June 30, 2021, totaled HKD 13,618,000, up from HKD 11,839,000 in the same period of 2020[122] - The company has installed solar panels at its Tai Po factory, generating over 143 MWh of green energy in the first half of 2021[26] Membership and Customer Engagement - The number of CLUB members exceeded 1,080,000 as of June 30, 2021, with an increase of over 60,000 members in the first half of 2021[17] - The average transaction volume through the mobile app accounted for approximately 22% of total member transactions in the first half of 2021, up from 17% in the same period of 2020[17] - The company plans to launch a member referral program in the second half of 2021 to attract potential new members[30] Product Development and Market Expansion - The company expanded its retail network to 121 stores, including five new café concept stores "HFT Life"[14] - The "HFT Life" brand was launched in February 2021, offering a blend of Eastern and Western culinary experiences[16] - The company introduced more large-pack frozen foods and self-made snacks in response to the pandemic and changing consumer habits[16] - The organic chicken essence product line was expanded in January 2021 with the introduction of "Wild Cordyceps Organic Chicken Essence"[16] - The group aims to expand its business into new markets including Singapore, South Korea, Thailand, and the UK[35] Government Support and Subsidies - Government subsidies for the retail and licensed food sectors significantly decreased to HKD 1.4 million from HKD 9.6 million in the previous year[13] - Government subsidies recognized during the period amounted to HKD 1,400,000, significantly down from HKD 9,600,000 in the previous year[132] Environmental and Social Responsibility - The company collected and recycled over 116,000 plastic bottles through recycling machines in the first half of 2021[63] - The company recycled approximately 706.2 tons of food waste, reducing greenhouse gas emissions by over 150.4 tons CO2 equivalent[63] - The company has maintained a commitment to corporate social responsibility, raising over HKD 1.3 million for community support in 2021[62] Financial Position and Liabilities - The company’s total assets amounted to HKD 828,592,000, slightly down from HKD 834,527,000 at the end of 2020[71] - Total liabilities decreased from HKD 499,919,000 as of December 31, 2020, to HKD 482,034,000 as of June 30, 2021, representing a reduction of approximately 3.6%[74] - The company’s bank borrowings decreased from HKD 8,213,000 to HKD 5,720,000, a reduction of approximately 30.5%[74] - The company’s lease liabilities increased slightly from HKD 94,705,000 to HKD 96,244,000, reflecting a growth of about 1.6%[74] Shareholder Information - The company’s major shareholders collectively hold approximately 60.76% of the issued share capital[186] - Major shareholders include Baoshih and Think Expert, each holding 398,552,600 shares, representing 60.76% of the total issued shares[191] - Baoshih directly owns 13.89% equity, equivalent to 91,086,000 shares[198]
鸿福堂(01446) - 2021 - 中期财报