Financial Performance - The total revenue for the group was approximately RMB 125.3 million, a decrease of about 17.5% compared to RMB 151.9 million in the same period last year, primarily due to a reduction in mask orders[10] - The gross profit recorded was approximately RMB 33.4 million, with a gross margin of about 26.7%, down from 39.5% in the previous year[10] - The profit attributable to the owners of the company was approximately RMB 9.5 million, compared to RMB 12.5 million in the same period last year[10] - Revenue for the reporting period was approximately RMB 125.3 million, a decrease of about RMB 26.6 million or approximately 17.5% compared to the same period last year[22] - ODM product segment revenue was approximately RMB 95.4 million, a decrease of about RMB 31.6 million or approximately 24.9% due to a decline in mask orders[22] - Brand product segment revenue increased to approximately RMB 29.8 million, an increase of about RMB 4.9 million or approximately 19.7% due to improved operating hours and customer traffic[22] - Gross profit for the reporting period was approximately RMB 33.4 million, a decrease of about RMB 26.6 million or approximately 44.3% due to reduced ODM business revenue and increased production costs[25] - The company's profit before tax was RMB 9,186,000, a decrease of 35.4% from RMB 14,200,000 in the previous year[81] - The net profit for the period was RMB 9,464,000, down 23.5% from RMB 12,420,000 in 2020[81] - The basic earnings per share for the parent company's ordinary shareholders were RMB 0.8 cents, compared to RMB 1.0 cent in the previous year[81] - The company's profit for the six months ended June 30, 2021, was RMB 9,464,000, a decrease of 23.5% compared to RMB 12,420,000 in the same period of 2020[84] - Total comprehensive income for the period was RMB 17,485,000, up 32.3% from RMB 13,199,000 in the previous year[84] Expenses and Costs - Selling and distribution expenses were approximately RMB 25.7 million, an increase of about RMB 2.9 million or approximately 12.7% due to higher employee compensation and social security expenses[27] - Administrative and other expenses were approximately RMB 26.8 million, an increase of about RMB 6.4 million or approximately 31.4% due to increased employee compensation, R&D expenses, and fixed asset depreciation[28] - The company incurred finance costs of RMB 2,656,000, a decrease of 55.1% from RMB 5,910,000 in 2020[81] - The company reported a significant increase in administrative expenses to RMB 13,631,000 from RMB 10,488,000, reflecting a rise of 30.5%[81] Research and Development - The group launched 120 different types of products during the reporting period, with R&D expenses amounting to approximately RMB 12.1 million, an increase from RMB 9.7 million in 2020[17] - The group plans to continue focusing on R&D to improve product quality, functionality, and design, enhancing its R&D capabilities[18] - Research and development costs for the six months ended June 30, 2021, were RMB 12,076,000, an increase of 24.8% from RMB 9,676,000 in the same period of 2020[121] Assets and Liabilities - As of June 30, 2021, the company had cash and cash equivalents of approximately RMB 8.5 million, a decrease from approximately RMB 48.3 million as of December 31, 2020, mainly due to reduced new bank loans[36] - Non-current assets increased to RMB 305,355,000 as of June 30, 2021, compared to RMB 272,530,000 at the end of 2020, reflecting a growth of 12.0%[86] - Current assets decreased to RMB 269,561,000 from RMB 386,013,000, a decline of 30.3%[86] - Current liabilities were reduced to RMB 210,389,000 from RMB 307,543,000, a decrease of 31.6%[86] - The net asset value increased to RMB 363,212,000 from RMB 345,727,000, representing a growth of 5.0%[89] - Trade receivables decreased to RMB 62,750,000 from RMB 70,781,000, a decline of 11.5%[86] - The group has capital commitments of RMB 90,850,000 as of June 30, 2021, slightly down from RMB 93,831,000 as of December 31, 2020[139] Cash Flow and Financing - The net cash flow from operating activities for the first half of 2021 was RMB 13,582,000, down from RMB 31,088,000 in the same period of 2020, indicating a decline of about 56.3%[99] - Cash and cash equivalents at the end of June 30, 2021, were RMB 8,530,000, a significant decrease from RMB 30,320,000 at the end of June 30, 2020, reflecting a drop of approximately 72.8%[99] - The total cash outflow from investing activities was RMB 20,591,000 for the first half of 2021, compared to RMB 54,736,000 in the same period of 2020, indicating a decrease of approximately 62.5%[99] - New bank loans obtained in the first half of 2021 amounted to RMB 135,200,000, a decrease from RMB 385,850,000 in the same period of 2020, representing a decline of about 64.9%[99] Legal and Governance - The company is involved in a legal dispute with E&B Trading Co., Ltd, claiming RMB 1,360,000 in damages, which the company believes is unfounded due to E&B's prior breach of contract[42] - The company maintains a high standard of corporate governance to protect shareholder interests and enhance corporate value[57] - The group has contingent liabilities related to lawsuits amounting to AUD 3,100,000 and USD 48,000, with no provisions made as the board believes they can effectively defend against the claims[138] Market and Operations - The group confirmed government acquisition of its production base in Yiwu, Zhejiang, contributing to the recorded profit during the reporting period[10] - The group continues to expand its e-commerce network to adapt to the shift towards online shopping in China[14] - The company believes that its ODM order revenue and brand income will improve following the recovery of the retail sector[46] - The group has adopted a practical expedient for rent concessions granted by lessors due to the Covid-19 pandemic, which had no impact on the financial position and performance of the group[106]
博尼控股(01906) - 2021 - 中期财报