Financial Performance - Revenue for the six months ended September 30, 2020, was HKD 21,298,000, a decrease of 12.3% compared to HKD 24,426,000 in 2019[3] - Gross profit for the same period was HKD 9,037,000, down 16.5% from HKD 10,819,000 in 2019[3] - Profit before tax increased to HKD 5,322,000, representing a 43.6% increase from HKD 3,703,000 in the previous year[3] - Net profit for the period was HKD 5,116,000, up 56.5% from HKD 3,263,000 in 2019[3] - Basic and diluted earnings per share were both HKD 0.0399, compared to HKD 0.0254 in the previous year, reflecting a 57.5% increase[3] - Other income for the period was HKD 4,639,000, significantly up from HKD 1,391,000 in 2019, driven by government subsidies of HKD 2,591,000 related to COVID-19[22] - Net profit for the period rose by approximately 56.8% to HKD 5,116,000, attributed to increased other income[70] Revenue Breakdown - Revenue from repair services was HKD 17,897,000, down 25.0% from HKD 23,817,000 in 2019, while sales of accessories increased to HKD 3,401,000 from HKD 609,000[16] - Repair service revenue decreased by approximately 24.9% to HKD 17,897,000, primarily due to a reduction in repair work[62] - Sales of accessories and support services increased by approximately 458.5% to about HKD 3,401,000, driven by the net income from the mobile screen protection plan launched in July 2019[62] Assets and Liabilities - Total assets as of September 30, 2020, were HKD 102,678,000, compared to HKD 100,064,000 as of March 31, 2020[4] - Trade receivables increased to HKD 4,064,000 as of September 30, 2020, from HKD 3,583,000 as of March 31, 2020, indicating a growth of approximately 13.4%[43] - Trade and other payables rose to HKD 7,191,000 as of September 30, 2020, compared to HKD 4,697,000 as of March 31, 2020, reflecting an increase of about 53.3%[46] Cash Flow and Dividends - Cash and cash equivalents increased to HKD 91,873,000 from HKD 90,037,000 at the beginning of the period[8] - Operating cash flow generated during the period was HKD 4,199,000, down from HKD 5,094,000 in 2019[8] - The company paid dividends of HKD 5,134,000 during the period, compared to HKD 5,133,000 in the previous year[5] - The company declared an interim dividend of HKD 0.02 per share for the 2020/21 fiscal year, consistent with the previous year's dividend[36] Operating Expenses - Operating expenses for the period amounted to HKD 4,053,000, an increase from HKD 2,070,000 in 2019, primarily due to higher service center operating costs[25] - Operating expenses increased by approximately 95.8% to HKD 4,053,000, primarily due to increased commissions related to the mobile screen protection plan[68] Corporate Governance and Management - The company has complied with the Corporate Governance Code, with updates provided to the board regarding financial status and prospects[100] - The Audit Committee, consisting of three independent non-executive directors, has reviewed the group's interim results[102] - The company has established a stock option plan to attract and retain talent, which was approved by shareholders on May 2, 2013[93] Market Environment and Future Outlook - The group anticipates challenges and uncertainties in the local economy and market environment due to the ongoing COVID-19 pandemic[82] - The management will continue to evaluate the group's business objectives and may adjust plans in response to market conditions for sustainable growth[83] - The group plans to explore investment opportunities for business diversification despite economic downturns, focusing on potential synergies with its core business[82] Shareholding Structure - As of September 30, 2020, the company had issued 128,342,000 shares, with significant shareholdings by the Zhang brothers, collectively owning approximately 51.43%[91] - Major shareholders include East-Asia Pacific Limited and Amazing Gain Limited, each holding 66,000,000 shares, equating to 51.43%[97] - The company has no unexercised stock options under the stock option plan as of September 30, 2020[93]
电讯首科(03997) - 2021 - 中期财报