Financial Performance - Revenue for the six months ended September 30, 2021, was HKD 63,760,000, a decrease of 22.2% compared to HKD 81,970,000 for the same period in 2020[19]. - The company reported a loss before tax of HKD 12,028,000, which is a 20.5% increase from a loss of HKD 9,987,000 in the same period last year[19]. - The total comprehensive loss for the period was HKD 13,211,000, compared to a total comprehensive loss of HKD 5,615,000 in the previous year[19]. - The company reported a net loss of HKD 12,233,000 in other income and losses for the six months ended September 30, 2021, compared to a gain of HKD 2,531,000 in 2020[65]. - The company recorded a loss of approximately HKD 13,400,000 for the period, compared to a loss of HKD 12,100,000 in the previous year[130]. Revenue Breakdown - Securities business revenue decreased by approximately 26.1% to about HKD 15.3 million, down from HKD 20.7 million in the previous year[10]. - Insurance brokerage service revenue was HKD 25,442,000, down from HKD 36,012,000, representing a decline of 29.5%[60]. - The insurance brokerage segment processed over 850 new policies for 800 clients, accumulating an annualized first-year premium of over HKD 78.9 million, compared to over HKD 40.9 million in the previous year[13]. - Lending business revenue surged from HKD 2.5 million to approximately HKD 12 million, primarily due to increased available capital following fundraising[15]. - Fur business revenue recorded approximately HKD 6.9 million, a decrease of about 63.3% or HKD 11.9 million compared to the previous year[14]. Assets and Liabilities - The total assets as of September 30, 2021, amounted to HKD 1,370,588,000, with allocated segment assets of HKD 1,050,032,000[57]. - Total liabilities as of September 30, 2021, were HKD 510,223,000, with allocated segment liabilities of HKD 340,768,000[57]. - The company’s cash and cash equivalents rose to HKD 170,706,000, compared to HKD 45,626,000 at the end of the previous fiscal year[20]. - The total current assets increased to HKD 344,350,000 as of September 30, 2021, from HKD 258,282,000 as of March 31, 2021, representing a growth of 33.3%[79]. - Trade receivables from margin clients amounted to HKD 337,388,000 as of September 30, 2021, compared to HKD 229,303,000 for the same period in 2020, reflecting a 47.2% increase[79]. Cash Flow and Financing - For the six months ended September 30, 2021, the net cash used in operating activities was HKD (233,549) thousand, compared to HKD 14,423 thousand in the previous period[25]. - The company raised HKD 447,750 thousand through share placement during the financing activities[25]. - The company incurred a cash outflow of HKD (23,900) thousand from financing activities, compared to HKD (2,434) thousand in the previous period[25]. - The company reported a cash inflow of HKD 22,182 thousand from the issuance of corporate bonds, compared to HKD 39,289 thousand in the prior period[25]. - The company recorded a cash inflow of HKD 35,000 thousand from new bank borrowings, with no such inflow in the previous period[25]. Share Capital and Ownership - The company issued new shares through a placement, raising HKD 447,750,000, which contributed to the increase in equity[23]. - As of September 30, 2021, the company had 6,724,629,735 shares issued[140]. - Mr. Chen Jia Jun holds 3,363,819,533 shares, representing 50.02% of the total shares[156]. - The company’s issued share capital increased to 6,724,629,735 shares as of September 30, 2021, from 4,849,629,735 shares at the beginning of the period[112]. - The placement represents about 38.66% of the company's issued share capital at the time of the agreement and approximately 27.88% of the enlarged issued share capital[136]. Corporate Governance and Management - The company is committed to good corporate governance practices and has complied with the corporate governance code[170]. - The Audit Committee consists of three members, all of whom are independent non-executive directors, responsible for reviewing the group's financial reports and internal controls[174]. - The Audit Committee has reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2021[175]. - The company has not granted any share options under the share option plan during the six months ending September 30, 2021[163]. - The company has adopted a ten-year share award plan to incentivize selected employees[165]. Market Outlook and Future Plans - The company anticipates that the securities business will not see a significant rebound but also will not decline sharply in the second half of the fiscal year[16]. - The fur market outlook is optimistic due to early cold weather and a shortage of Danish mink caused by a government ban on mink farming for the entire year of 2022[16]. - The company plans to focus more on underwriting commission income in the second half of the fiscal year[16]. - The company announced a conditional agreement to acquire 70% of FGA Holdings Limited for USD 35,000,000 (approximately HKD 271,600,000), with the transaction still pending completion[132]. - Approximately HKD 125,000,000 (27.95%) of the net proceeds will be used to establish and develop multiple investment funds, while HKD 322,200,000 (72.05%) will be allocated for the development of existing securities brokerage and financial services, as well as for general corporate purposes[136].
京基金融国际(01468) - 2022 - 中期财报