Financial Performance - The company recorded revenue of approximately HKD 262.1 million for the six months ended September 30, 2021, representing an increase of 28.7% compared to HKD 203.6 million for the same period in 2020[4]. - Net profit slightly decreased from approximately HKD 6.2 million for the six months ended September 30, 2020, to approximately HKD 5.6 million for the current period, primarily due to the impact of non-recurring government subsidies[4]. - The gross profit increased by approximately HKD 4.0 million or 34.1% to approximately HKD 15.7 million, with a slight increase in gross margin from 5.7% to 6.0%[15]. - The basic and diluted earnings per share decreased to HKD 0.54 from HKD 0.59[37]. - The profit before tax for the six months ended September 30, 2021, was HKD 5,386,000, a decrease from HKD 6,158,000 in the same period of 2020, reflecting a decline of approximately 12.5%[67]. Revenue Breakdown - Revenue from construction machinery leasing increased to approximately HKD 176.4 million, accounting for 67.3% of total revenue, compared to HKD 108.6 million and 53.4% in the previous period[13]. - Revenue from construction engineering decreased to HKD 85,674,000 in 2021 from HKD 94,995,000 in 2020, a decline of 9.3%[54]. - Revenue from construction machinery leasing significantly increased to HKD 176,445,000 in 2021, up 62.5% from HKD 108,644,000 in 2020[54]. Expenses and Liabilities - Administrative expenses rose to approximately HKD 10.9 million, an increase of about 8.2% from HKD 10.1 million in the previous period, mainly due to higher employee costs and insurance expenses[18]. - The group’s interest-bearing liabilities rose to approximately HKD 144.9 million from HKD 114.3 million, an increase of about 26.8%[22]. - The debt-to-equity ratio increased to approximately 73.3% from 59.5%, reflecting a rise of about 13.8%[22]. - The total employee cost for the period was approximately HKD 95.2 million, compared to HKD 70.9 million for the six months ended September 30, 2020, marking an increase of about 34.5%[28]. Cash Flow and Investments - The company reported a net cash inflow from operating activities of HKD 47,619,000 for the six months ended September 30, 2021, compared to HKD 23,820,000 for the same period in 2020, representing a 99.5% increase[45]. - The net cash used in investing activities was HKD 33,243,000 for the six months ended September 30, 2021, compared to HKD 11,276,000 in 2020, indicating increased investment activity[45]. - The company raised new bank loans amounting to HKD 36,421,000 during the period, compared to HKD 28,992,000 in the previous year[45]. Assets and Equity - The company’s total equity as of September 30, 2021, was HKD 197,584,000, an increase from HKD 194,415,000 as of September 30, 2020[43]. - Total assets increased to HKD 432,166,000 as of September 30, 2021, compared to HKD 389,737,000 as of March 31, 2021, reflecting a growth of approximately 10.8%[60]. - Trade receivables as of September 30, 2021, amounted to HKD 176,909,000, with a provision for impairment of HKD 25,664,000, leading to a net trade receivable of HKD 151,245,000[73]. Corporate Governance - The group has adhered to corporate governance standards, ensuring transparency and accountability, although the position of CEO remains vacant as of the report date[104]. - The company believes that effective corporate governance practices are essential for enhancing shareholder value and protecting stakeholder interests[103]. - The company confirms compliance with the standard code of conduct for securities transactions by directors during the reporting period[106]. Future Outlook - The company remains cautiously optimistic about the prospects of the foundation industry and construction machinery leasing business in Hong Kong[5]. - The group anticipates steady growth in the foundation construction sector due to an expected increase in tender opportunities from public and private institutions[24]. - The company plans to continue enhancing operational efficiency and profitability while actively seeking potential opportunities to broaden revenue sources and enhance shareholder value[5].
进升集团控股(01581) - 2022 - 中期财报