Financial Performance - Revenue for the six months ended June 30, 2021, was $15,111,314, representing a 26.3% increase from $11,915,693 in the same period of 2020[8] - Gross profit for the same period was $6,630,858, up 32.8% from $4,993,916 in 2020[8] - Operating profit turned positive at $194,318 compared to an operating loss of $101,663 in the previous year[8] - Net profit after tax was $35,721, a significant improvement from a loss of $589,772 in the prior year[8] - For the six months ended June 30, 2021, CMON Limited reported a revenue of $14,744,971, an increase of 25.5% compared to $11,745,583 for the same period in 2020[22] - The company recorded a net loss of $(589,772) for the six months ended June 30, 2020, but achieved a profit of $33,241 for the same period in 2021, marking a turnaround[30] - Revenue increased by approximately 26.8% from about $11.9 million for the six months ended June 30, 2020, to about $15.1 million for the six months ended June 30, 2021, primarily due to increased wholesale amounts in Q2 2021[45] - Gross profit rose approximately 32.8% from about $5.0 million for the six months ended June 30, 2020, to about $6.6 million for the six months ended June 30, 2021, with gross margin increasing from approximately 41.9% to 43.9%[49] Assets and Liquidity - Total assets increased to $39,224,038 as of June 30, 2021, compared to $34,362,500 at the end of 2020[9] - Cash and cash equivalents rose to $3,443,628 from $509,585 at the end of 2020, indicating improved liquidity[9] - Total cash and cash equivalents at the end of June 30, 2021, were $3,443,628, down from $4,082,552 at the end of June 30, 2020[15] - Trade receivables as of June 30, 2021, totaled $1,485,577, compared to $1,311,562 as of December 31, 2020, with significant increases in amounts due within 30 days and 181 to 365 days[37] - The company's total cash and cash equivalents were approximately $3.6 million as of June 30, 2021, compared to $0.7 million as of December 31, 2020[54] Expenses and Costs - The cost of goods sold increased to $6,272,249 for the six months ended June 30, 2021, compared to $4,257,347 in the same period of 2020, reflecting a rise in sales volume[25] - Sales and distribution expenses increased from approximately $2.2 million for the six months ended June 30, 2020, to about $2.8 million for the six months ended June 30, 2021, due to an increase in sales personnel and online marketing expenses[51] - General and administrative expenses rose from approximately $3.2 million for the six months ended June 30, 2020, to about $3.8 million for the six months ended June 30, 2021, primarily due to increased game development costs and professional service fees[52] - The total employee costs for the six months ended June 30, 2021, were approximately $1.6 million, up from $1.1 million for the same period in 2020[60] - The cost of sales increased by approximately 22.5% from about $6.9 million for the six months ended June 30, 2020, to about $8.5 million for the six months ended June 30, 2021, mainly due to inventory costs rising from approximately $4.3 million to about $6.3 million[47] Market and Growth Strategy - The company plans to continue expanding its market presence and investing in new product development to drive future growth[8] - The company aims to expand into Asian markets and enhance game design capabilities to increase market share and attract new players[43] - The company has a total of 106 games, including 100 board games, 3 model war games, 2 mobile games, and 1 computer game as of the report date[42] - The company invested approximately $2.5 million in property, plant, and equipment during the six months ended June 30, 2021, compared to $1.1 million in the same period of 2020[33] - CMON Limited has no major investment plans but intends to acquire quality games to increase market share[63] Shareholder Information - Major shareholders include Huang Cheng'an and Jianbang, each holding 901,248,078 shares, representing 49.90% of the total shares[78] - Cai Wanjian holds 328,249,232 shares, which is approximately 18.18% of the total shares[78] - Quantum Asset and Magic Carpet each hold 322,669,232 shares, representing 17.87% of the total shares[82] - David Preti holds 127,643,076 shares, accounting for 7.06% of the total shares[82] - Magumaki Limited, associated with David Preti, holds 112,143,076 shares, which is 6.21% of the total shares[82] Debt and Liabilities - As of June 30, 2021, the total bank borrowings of CMON Limited amounted to approximately $9.2 million, an increase from $8.8 million as of December 31, 2020[54] - The company's debt repayment schedule as of June 30, 2021, included $2.7 million due within one year and $6.5 million due beyond one year[64] - The asset-liability ratio as of June 30, 2021, was approximately 55.0%, compared to 48.7% as of December 31, 2020[64] - There were no significant contingent liabilities as of June 30, 2021[66] Share Option Plan - The company has a stock option plan adopted on November 17, 2016, to reward eligible individuals for their contributions[86] - A total of 180,600,000 shares, representing 10% of the company's issued share capital, are available for issuance under the share option plan[93] - No share options were exercised, cancelled, or lapsed during the six months ended June 30, 2021[93] - A total of 74,620,000 share options were granted to certain directors and employees under the share option plan[89] - The share option plan is valid for a period of ten years from the date of adoption, with approximately 5 years and 3 months remaining[90]
CMON(01792) - 2021 - 中期财报