Financial Performance - The Group recorded a revenue of approximately HK$189,565,000 for the six months ended June 30, 2021, representing an increase of 12.3% compared to HK$168,779,000 for the same period in 2020[13]. - Gross profit for the period was approximately HK$25,515,000, a decrease of 14.6% from HK$29,865,000 in the previous year, with a gross profit margin declining from 17.7% to 13.5%[13]. - Profit for the period attributable to equity holders of the Company was approximately HK$1,942,000, reflecting a significant decrease of 86.8% from HK$14,693,000 in the prior year[13]. - Earnings per share for the period were HK$0.14, down from HK$1.05 in the previous year[6]. - The Group's net profit margin decreased to 1.0% from 8.7% in the prior year[6]. - Total comprehensive income for the period was HK$2,853,000, down from HK$13,955,000 in the previous year[99]. - The company reported a net cash used in operating activities of HK$15,280,000 for the six months ended June 30, 2021, compared to a net cash generated of HK$2,721,000 in the same period of 2020[106]. - The company incurred finance costs of HK$28,663,000 for the period, compared to HK$27,500,000 in the previous year[96]. Assets and Liabilities - Current assets as of June 30, 2021, were HK$167,949,000, down from HK$173,596,000 as of December 31, 2020[9]. - Current liabilities decreased to HK$191,697,000 from HK$203,529,000 as of December 31, 2020[9]. - The Group's net current liabilities improved to HK$23,748,000 from HK$29,933,000 at the end of 2020[9]. - Total assets as of June 30, 2021, were HK$338,312,000, compared to HK$347,940,000 as of December 31, 2020[9]. - The gearing ratio improved to 31.1% from 34.4% as of December 31, 2020[9]. - As of June 30, 2021, the Group held bank balances and cash of approximately HK$83.2 million, down from approximately HK$102.6 million as of December 31, 2020[43][44]. - The Group's mortgage loan as of June 30, 2021, was approximately HK$22.0 million, with an effective interest rate range of 1.3% to 2.3%[43][44]. - The Group's total equity increased to HK$145,274,000 as of June 30, 2021, from HK$142,421,000 at the end of 2020[101]. Operational Highlights - For the six months ended June 30, 2021, the Group's total shipment volume for feeder shipping services increased by 1,175 TEUs or 0.6%, from 186,344 TEUs to 187,519 TEUs, while gross profit decreased by approximately HK$5,614,000 or 21.0%, from approximately HK$26,757,000 to approximately HK$21,143,000[17]. - The Group's sea freight forwarding agency services recorded an increase in shipment volume of 112 TEUs or 2.4%, from 4,618 TEUs to 4,730 TEUs, and an increase in gross profit of approximately HK$1,264,000 or 40.7%, from approximately HK$3,108,000 to approximately HK$4,372,000[19]. - The Group's operational costs totaled approximately HK$164,050,000, representing an increase of approximately HK$25,136,000 or 18.1% compared to the corresponding period of last year[21]. - The Group plans to extend its shipping routes and explore new ports in southern China to broaden its customer base and diversify operating risks[32]. Financing Activities - The Group completed a share placement and subscription on July 30 and August 6, 2021, raising approximately HK$20.5 million for potential vessel acquisitions, repayment of existing borrowings, and general working capital[37][38]. - The Company raised approximately HK$20.5 million from a placing and subscription agreement for 100,000,000 ordinary shares at a price of HK$0.231 per share, representing an 11.2% discount to the closing price of HK$0.26 on the agreement date[65][66]. - The net proceeds will be allocated as follows: 60% for potential acquisition of additional vessels, 30% for repayment of existing borrowings, and 10% for general working capital[71][75]. - As of the report date, HK$6.1 million has been utilized to repay existing borrowings, leaving approximately HK$14.4 million in net proceeds deposited with a licensed financial institution[71][75]. Corporate Governance - The Company has not granted, exercised, or cancelled any options under its Share Option Scheme since its adoption on June 10, 2016[64][68]. - The interests of Directors and Chief Executives in the Company include Mr. Lau Yu Leung and Madam Tong Hung Sum, each holding 945,000,000 shares, representing 67.5% of the Company[79]. - The Company aims to strengthen its financial position through the repayment of existing borrowings, which is part of the strategy following the capital raise[66][70]. - The Company did not declare an interim dividend for the six months ended June 30, 2021, compared to no dividend declared in the same period of 2020[94]. Compliance and Accounting - The Group has not early adopted any new/revised HKFRSs that are effective from January 1, 2021, indicating a conservative approach to accounting changes[118]. - The interim financial statements were prepared in accordance with HKAS 34, reflecting the Group's commitment to transparency and compliance with accounting standards[111]. - The financial statements are presented in Hong Kong dollars (HK$), ensuring consistency with the Group's functional currency[114].
永丰集团控股(01549) - 2021 - 中期财报