Financial Performance - Revenue for the six months ended June 30, 2020, was 332.1 million MYR, a decrease of 33.4% compared to 499.0 million MYR for the same period in 2019[12]. - Net profit for the period was 1.6 million MYR, down 80.2% from 7.8 million MYR in the same period last year[12]. - The group's gross profit decreased from 29.1 million MYR in the first half of 2019 to 19.7 million MYR in the first half of 2020, with a slight increase in gross profit margin from 5.8% to 5.9%[27]. - The company reported a net profit attributable to owners of 1.6 million MYR for the six months ended June 30, 2020, compared to 7.8 million MYR in 2019, reflecting a decrease of approximately 79.7%[101]. - Gross profit for the same period was 19.7 million MYR, down from 29.1 million MYR in 2019, indicating a decline of about 32.5%[101]. Sales and Volume - The sales volume of black scrap metal was 258,478 tons, a decline of 22.4% from 333,270 tons in the previous year[15]. - Sales volume of ferrous scrap metal decreased by 22.4% compared to the same period in 2019, with an average selling price down by 11.6%[20]. Assets and Liabilities - Total assets as of June 30, 2020, amounted to 205.7 million MYR, compared to 200.8 million MYR as of December 31, 2019[12]. - Total liabilities increased to 28.3 million MYR from 24.9 million MYR year-on-year[12]. - The company's total equity increased to 177.4 million MYR as of June 30, 2020, compared to 175.9 million MYR at the end of 2019[104]. - Current liabilities rose significantly to 22,805 thousand MYR from 18,447 thousand MYR, marking a 23.5% increase[107]. Cash Flow and Financing - The group's cash and bank balances decreased to 25.2 million MYR as of June 30, 2020, from 45.3 million MYR as of December 31, 2019[37]. - Cash flow from operating activities showed a net outflow of 20,721 thousand MYR for the six months ended June 30, 2020, compared to an outflow of 17,879 thousand MYR in the same period of 2019, indicating a 10.3% increase in cash used[117]. - The company reported a net cash outflow from investing activities of 5,065 thousand MYR for the six months ended June 30, 2020, compared to 2,811 thousand MYR in the previous year, representing an 80.4% increase[117]. - Financing activities generated a net cash inflow of 4,954 thousand MYR in the first half of 2020, a significant decrease from 52,294 thousand MYR in the same period of 2019[117]. Corporate Governance - The company has committed to high standards of corporate governance to protect shareholder interests and enhance corporate value[74]. - The board of directors has adopted a standard code for securities trading by directors and senior management, ensuring compliance during the review period[75]. - The company has maintained public float in accordance with the listing rules as of the date of this interim report[84]. Shareholder Information - The total issued shares as of June 30, 2020, was 1,000,000,000 ordinary shares, with major shareholders holding 75% each[53]. - 5S Holdings holds a beneficial interest of 51% in the company, representing 510,000,000 ordinary shares[59]. - Koo Lee Ching, as a spouse, holds a beneficial interest of 75% in 750,000,000 shares[59]. - The company has implemented a share option scheme effective for ten years starting from February 19, 2019[63]. Market Outlook - The outlook for steel consumption is expected to gradually improve in the second half of 2020, although the extent of recovery remains uncertain[15]. - The company plans to strengthen its strategy in the export market to mitigate the impact of weak domestic demand[15]. Employee Information - The total employee cost and related expenses for the group amounted to 5.9 million MYR for the six months ended June 30, 2020, an increase of 11.3% compared to 5.3 million MYR for the same period in 2019[80]. - As of June 30, 2020, the group employed 129 employees, up from 112 employees as of June 30, 2019[80].
兴合控股(01891) - 2020 - 中期财报