Financial Performance - For the six months ended June 30, 2021, the group's unaudited revenue was approximately SGD 3,968,000, an increase of about SGD 1,367,000 or 52.6% compared to SGD 2,601,000 for the same period in 2020[10] - The group reported an unaudited profit of approximately SGD 255,000 for the six months ended June 30, 2021, compared to an unaudited loss of SGD 96,000 for the same period in 2020[10] - Basic and diluted earnings per share for the six months ended June 30, 2021, were 0.06 Singapore cents, compared to a loss of 0.02 Singapore cents for the same period in 2020[10] - The company reported a profit of SGD 255,041 for the six months ended June 30, 2021, compared to a loss of SGD 95,783 for the same period in 2020, indicating a significant turnaround[23] - The company reported a profit attributable to equity holders of SGD 255,041 for the six months ended June 30, 2021, compared to a loss of SGD 95,783 in the same period of 2020, marking a significant turnaround[62] Revenue and Profitability - Gross profit for the six months ended June 30, 2021, was SGD 1,163,230, compared to SGD 618,967 for the same period in 2020[13] - Total revenue for the six months ended June 30, 2021, was approximately SGD 3,968,000, an increase of about 52.6% compared to SGD 2,601,000 for the same period in 2020[101] - Gross profit increased by approximately SGD 544,000 or 87.9% to SGD 1,163,000 for the six months ended June 30, 2021, with a gross margin of approximately 29.3%, up from 23.8% in the prior year[102] - The segment profit for the passenger car leather interior division was SGD 63,288, compared to SGD 8,272 in the previous year, indicating a substantial increase of 664.5%[48] - The segment profit for the passenger car electronic accessories division rose to SGD 315,531 from SGD 28,491, marking an increase of 1008.5%[48] Expenses and Costs - Total operating expenses, including selling and distribution expenses and administrative expenses, decreased from SGD 1,079,114 in 2020 to SGD 993,189 in 2021[13] - Employee benefits costs decreased to SGD 1,136,437 for the six months ended June 30, 2021, down 10.4% from SGD 1,269,274 in the previous year[59] - Selling and distribution expenses decreased from SGD 203,000 to SGD 144,000, mainly due to reductions in entertainment, promotional, and travel expenses[106] - Administrative expenses decreased from SGD 876,000 to SGD 849,000, attributed to lower employee benefits and professional fees related to the company's transfer from GEM to the main board[107] - Other operating expenses increased to SGD 170,397 for the six months ended June 30, 2021, compared to SGD 101,718 in the same period of 2020[56] Assets and Liabilities - Total assets as of June 30, 2021, amounted to SGD 27,431,519, an increase from SGD 26,810,839 as of December 31, 2020, representing a growth of approximately 2.3%[15] - Total liabilities increased to SGD 1,594,148 as of June 30, 2021, from SGD 1,228,509 as of December 31, 2020, marking an increase of approximately 30%[15] - The company's equity attributable to owners rose to SGD 25,837,371 as of June 30, 2021, compared to SGD 25,582,330 at the end of 2020, reflecting a growth of about 1%[15] - Trade receivables increased to SGD 1,712,020 as of June 30, 2021, up 27.6% from SGD 1,342,326 as of December 31, 2020[81] - Trade payables to third parties decreased from SGD 252,510,000 as of December 31, 2020, to SGD 110,044,000 as of June 30, 2021[87] Cash Flow - Cash and cash equivalents at the end of the period were SGD 20,566,327, a decrease from SGD 21,003,485 at the end of June 2020, reflecting a decline of approximately 2.1%[30] - Operating cash flow before changes in working capital was SGD 489,333 for the six months ended June 30, 2021, compared to SGD 1,433 in the same period of 2020, showing a substantial improvement[30] - The company experienced a cash outflow from operating activities of SGD 39,541 for the six months ended June 30, 2021, contrasting with a cash inflow of SGD 1,469,248 in the same period of 2020[30] Government Grants and Support - Government grants received during the six months ended June 30, 2021, totaled SGD 27,652, down from SGD 44,250 in the same period of 2020, a decrease of 37.5%[53] - Employment support scheme grants amounted to SGD 49,097, a decrease of 65.2% from SGD 140,891 in the previous year[53] Risk Management - The company continues to face various financial risks, including market risk, credit risk, and liquidity risk, with no changes to risk management policies since December 31, 2020[41] - The group is highly dependent on a single market for business development, which may significantly impact operations due to vehicle quota restrictions[112] - The group faces foreign exchange risk primarily from the SGD to HKD exchange rate, with a potential impact of approximately SGD 61,000 on after-tax profit if the HKD appreciates or depreciates by 10%[129] Strategic Outlook - The company anticipates facing greater challenges in the future due to geopolitical uncertainties and ongoing impacts of COVID-19 on global supply chains[99] - The company aims to continue providing innovative products and quality services while focusing on operational goals[100] - Future outlook indicates a focus on market expansion and potential acquisitions to enhance growth[157] Corporate Governance - The audit committee, consisting of three independent non-executive directors, reviewed the group's unaudited consolidated results for the six months ended June 30, 2021, ensuring compliance with applicable accounting standards and regulations[154] - The board of directors includes key members such as Chairperson Ma Xiaoqiu and Vice Chairman Wang Junwen[155] Dividends and Share Offering - The board did not recommend the payment of an interim dividend for the six months ended June 30, 2021[10] - The net proceeds from the share offering, after deducting listing-related expenses, were approximately SGD 10,300,000[113] - The board anticipates no changes to the original planned use of proceeds from the share offering[117]
万马控股(06928) - 2021 - 中期财报