Financial Performance - The group's revenue for the period was approximately HKD 622.2 million, an increase of 60.4% compared to HKD 387.9 million in the corresponding period[46]. - The gross profit for the period was approximately HKD 27.5 million, reflecting a slight increase of 2.3% from the previous period[40]. - The net profit for the period was approximately HKD 10.2 million, a decrease of 20.5% compared to the previous period, primarily due to a reduction in other income related to government pandemic relief measures[40]. - Revenue for the six months ended September 30, 2021, was HKD 622,171 thousand, an increase of 60.4% compared to HKD 387,920 thousand in the same period of 2020[106]. - Gross profit for the same period was HKD 27,474 thousand, slightly up from HKD 26,861 thousand, indicating a gross margin improvement[106]. - The net profit for the six months was HKD 10,233 thousand, down 20.4% from HKD 12,870 thousand in the previous year[106]. - Basic and diluted earnings per share were HKD 1.02, compared to HKD 1.29 in the prior year[106]. - The total segment profit for the group was HKD 23,940,000, compared to HKD 28,699,000 in the same period last year, indicating a decrease of 16.5%[135]. - The company reported a pre-tax profit of HKD 11,601,000 for the six months ended September 30, 2021, down from HKD 15,029,000 in the previous year[135]. - The company reported a net profit of HKD 10,233,000 for the six months ended September 30, 2021, compared to HKD 12,870,000 for the same period in 2020, representing a decrease of 20.5%[160]. Revenue Breakdown - Diesel sales generated revenue of approximately HKD 578.2 million during the period, accounting for 92.9% of total revenue[47]. - Revenue from lubricating oil sales was approximately HKD 25,100,000, representing 4.0% of total revenue, compared to HKD 23,500,000 and 6.1% in the corresponding period[48]. - Revenue from fleet card services increased by approximately HKD 3,700,000 or 31.9% to about HKD 15,500,000, driven by local economic recovery[49]. - Revenue from other products, mainly lubricants and eco-friendly automotive urea, was approximately HKD 3,300,000, accounting for 0.5% of total revenue, compared to HKD 1,700,000 and 0.4% in the corresponding period[51]. - Diesel sales contributed HKD 578,245,000, up 64.5% from HKD 350,947,000 year-on-year[130]. - Fleet card service revenue increased to HKD 15,476,000, representing a 31.5% growth compared to HKD 11,733,000 in the previous year[130]. - Lubricant sales rose to HKD 25,137,000, a 6.9% increase from HKD 23,512,000 in the prior period[130]. - Major customer A1 contributed HKD 126,336,000 to revenue, up from HKD 90,190,000 in the previous year, reflecting a growth of 40%[147]. Expenses and Costs - Sales costs increased by 64.7% to approximately HKD 594,700,000, compared to HKD 361,100,000 in the corresponding period[52]. - Administrative and other operating expenses rose by approximately HKD 2,000,000 or 17.3% to about HKD 13,800,000, mainly due to increased depreciation and employee costs[55]. - Financing costs increased by approximately HKD 40,000 or 9.2% to HKD 474,000, compared to HKD 434,000 in the corresponding period[57]. - Income tax expenses decreased by approximately HKD 800,000 or 36.6% to about HKD 1,400,000, primarily due to a reduction in profit before tax[58]. - Depreciation of property, plant, and equipment was HKD 3,809,000, an increase from HKD 3,217,000 in the previous year, indicating higher asset utilization[157]. - Interest expenses for bank borrowings increased to HKD 442,000 from HKD 384,000, indicating a rise in financing costs[151]. Assets and Liabilities - As of September 30, 2021, the group recorded net current assets of approximately HKD 81,600,000, compared to HKD 79,600,000 as of March 31, 2021[67]. - As of September 30, 2021, the group's current assets amounted to approximately HKD 128.3 million, slightly up from HKD 128.2 million on March 31, 2021[68]. - The group's current liabilities were approximately HKD 46.6 million, down from HKD 48.6 million as of March 31, 2021[68]. - The current ratio increased to 2.75 as of September 30, 2021, compared to 2.64 on March 31, 2021[68]. - The debt-to-equity ratio was 18.8% as of September 30, 2021, a slight improvement from 19.1% on March 31, 2021[68]. - The group's capital structure remained unchanged during the period, with equity attributable to owners amounting to approximately HKD 205.4 million[69]. - The group had no significant capital commitments outside of the balance sheet as of September 30, 2021[70]. - The group pledged leasehold land and buildings valued at HKD 62.8 million and investment properties valued at HKD 31.4 million for bank borrowings[72]. - Total assets as of September 30, 2021, were HKD 128,279 thousand, a slight increase from HKD 128,235 thousand as of March 31, 2021[109]. - Non-current assets increased to HKD 128,534 thousand from HKD 117,671 thousand, reflecting ongoing investments in fixed assets[109]. - The company’s total equity rose to HKD 205,358 thousand from HKD 195,125 thousand, indicating a strengthening balance sheet[109]. Operational Strategies and Future Outlook - The company aims to expand its business and trade cooperation in more Asian countries due to strong demand for lubricants and petrochemical products[43]. - The acquisition of a multifunctional warehouse in Tsuen Wan is expected to enhance productivity through industrial improvements[43]. - The supply of automotive urea is currently tight, posing challenges to the company's business development[44]. - The company has demonstrated flexibility in managing production equipment and tools, enhancing its risk management capabilities amid COVID-19 challenges[44]. - The company continues to focus on expanding its diesel sales and fleet card services as key growth areas[134]. - The company is committed to maintaining its operational strategies and exploring new market opportunities[134]. Corporate Governance and Shareholder Information - The group adhered to all corporate governance codes during the reporting period[78]. - Major shareholder Jun Long holds 730,000,000 shares, representing approximately 73% of the company's issued share capital[89]. - The maximum number of shares that can be issued under the share option scheme is capped at 100,000,000 shares, which is 10% of the total shares issued on the listing date[99]. - The company has not granted any share options since the adoption of the share option scheme[99].
域高国际控股(01621) - 2022 - 中期财报