Financial Performance - Revenue for the six months ended June 30, 2021, was HK$789,624,000, representing an increase of 7.2% compared to HK$736,089,000 in the same period of 2020[11]. - Gross profit for the same period was HK$134,440,000, up from HK$111,939,000, indicating a gross margin improvement[11]. - Operating loss for the six months was HK$88,969,000, a significant decline from an operating profit of HK$24,051,000 in 2020[11]. - The company reported a net loss of HK$92,606,000 for the period, compared to a profit of HK$13,880,000 in the previous year[11]. - Other income increased to HK$18,840,000 from HK$10,072,000, reflecting a growth of 87.5%[11]. - Total comprehensive income for the period was HK$46,827,000, compared to a loss of HK$37,946,000 in the same period of 2020[14]. - The company reported a loss attributable to equity holders of HK$93,919,000 for the six months ended June 30, 2021, compared to a profit of HK$13,031,000 in the same period of 2020[19]. - Total comprehensive income attributable to equity holders was HK$44,860,000 for the first half of 2021, recovering from a loss of HK$37,845,000 in the prior year[19]. - Basic and diluted loss per share was HK(4.47) for the first half of 2021, compared to earnings per share of HK$0.62 in the same period of 2020[19]. Assets and Liabilities - Total assets as of June 30, 2021, amounted to HK$4,009,292,000, slightly down from HK$4,014,111,000 as of December 31, 2020[22]. - Total equity increased to HK$2,921,342,000 as of June 30, 2021, from HK$2,874,515,000 at the end of 2020[25]. - Current liabilities rose to HK$929,742,000 as of June 30, 2021, compared to HK$1,008,192,000 at the end of 2020[25]. - Non-current liabilities decreased to HK$144,064,000 as of June 30, 2021, from HK$131,404,000 at the end of 2020[25]. - The company reported inventories of HK$1,023,834,000 as of June 30, 2021, an increase from HK$923,289,000 at the end of 2020[22]. - Cash and cash equivalents stood at HK$641,778,000 as of June 30, 2021, up from HK$577,172,000 at the end of 2020[22]. Financial Management - The company experienced a significant reduction in finance costs, down to HK$1,139,000 from HK$7,472,000, a decrease of approximately 84.8%[11]. - The provision for impairment loss for financial assets was HK$4,422,000, a decrease from HK$59,357,000 in the previous year, indicating improved asset quality[11]. - The company recorded a fair value gain on financial assets of HK$13,483,000 during the first half of 2021[28]. - The Group's financial risk management includes exposure to market risk, credit risk, and liquidity risk[69]. - The Group's liquidity risk management has not changed since year-end, maintaining stability in cash flow[69]. Segment Information - The Group has three reportable segments: OEM manufacturing, retailing of branded fashion apparel, and property investment in the PRC[97]. - Revenue from external customers for OEM segment was HK$555,839,000, while retail segment revenue was HK$214,019,000, indicating a decrease of 2.5% and 6.5% respectively compared to the previous year[104]. - The segment loss before income tax for OEM was HK$83,128,000, and for retail was HK$10,265,000, showing significant losses compared to a profit of HK$21,965,000 in the same period of 2020[109]. Investments and Capital Expenditure - Investments accounted for using the equity method increased to HK$15,135,000 as of June 30, 2021, compared to HK$1,544,000 at the end of 2020, indicating a significant growth in investment activities[114]. - The Group's total capital expenditure for the period was HK$42,901,000, with significant additions in exclusive supply rights and investment properties[147]. - The Group effectively acquired a 14% equity stake through an investment agreement on January 28, 2021[155]. Receivables and Credit Risk - As of June 30, 2021, trade and bill receivables amounted to HK$429,127,000, a slight increase from HK$425,172,000 as of December 31, 2020, representing a growth of 0.46%[187]. - The loss allowance for trade receivables increased to HK$100,442,000 as of June 30, 2021, compared to HK$99,859,000 at the end of 2020, reflecting a rise of 0.58%[197]. - The ageing analysis shows that receivables overdue by over 120 days decreased to HK$66,985,000 from HK$100,191,000, a reduction of 33.06%[195]. - The company continues to monitor its receivables closely to manage credit risk effectively and ensure liquidity[187].
华鼎控股(03398) - 2021 - 中期财报