Financial Performance - The company reported revenue of HKD 210,992,000 for the six months ended June 30, 2019, representing a 27% increase from HKD 165,976,000 in the same period of 2018[8]. - Gross profit for the six months was HKD 9,667,000, a decrease of 4.2% compared to HKD 10,091,000 in the previous year[8]. - The company incurred a loss before tax of HKD 13,109,000 for the six months, compared to a loss of HKD 9,766,000 in the same period of 2018, indicating a 34% increase in losses[8]. - The company reported a basic loss per share of HKD 2.19 for the six months ended June 30, 2019, compared to HKD 1.73 in the same period of 2018[8]. - The total comprehensive expenses for the period amounted to HKD 13,161,000, leading to a cumulative loss of HKD 25,672,000 as of June 30, 2019[13]. - The company incurred a net loss of approximately HKD 13,147,000 for the six months ended June 30, 2019, indicating significant uncertainty regarding its ability to continue as a going concern[19]. - Loss attributable to owners increased by approximately 26.0% from about HKD 10.4 million to about HKD 13.1 million, mainly due to a decrease in gross margin from logistics and shipping operations[61]. Assets and Liabilities - Total assets as of June 30, 2019, were HKD 167,692,000, up from HKD 159,777,000 at the end of 2018[10]. - Current liabilities decreased to HKD 198,540,000 from HKD 225,705,000 at the end of 2018, showing a reduction of approximately 12%[10]. - The company’s equity decreased to HKD 50,499,000 as of June 30, 2019, from HKD 63,660,000 at the end of 2018, indicating a decline of approximately 21%[11]. - The company has a net current liability of approximately HKD 80,792,000 as of June 30, 2019, raising concerns about its financial stability[19]. - Trade receivables decreased from HKD 107.1 million as of December 31, 2018, to HKD 77.3 million as of June 30, 2019, representing a decline of approximately 28%[41]. - Trade and other payables decreased from HKD 49.4 million as of December 31, 2018, to HKD 29.1 million as of June 30, 2019, a reduction of approximately 41%[45]. Cash Flow and Financing - The company reported a net cash inflow from operating activities of HKD 26,193,000 for the six months ended June 30, 2019, compared to HKD 8,862,000 for the same period in 2018, representing an increase of approximately 195%[16]. - The company received new bank loans totaling HKD 7,922,000 during the period, while repaying HKD 15,363,000 in bank loans[16]. - The company reported a decrease in financing cash flow, with a net cash outflow of HKD 26,837,000 compared to an inflow of HKD 458,000 in the previous year[16]. - The company has drawn new bank loans amounting to HKD 7.9 million during the interim period, with interest rates ranging from 4.26% to 4.46%[49]. Expenses - The company’s administrative expenses rose to HKD 21,155,000 for the six months, compared to HKD 18,685,000 in the previous year, marking a 13% increase[8]. - The total employee costs for the six months ended June 30, 2019, amounted to HKD 20,945,000, down from HKD 23,653,000 in 2018[36]. - The company reported an administrative expense of HKD 21,155,000 and financing costs of HKD 3,217,000 for the six months ended June 30, 2019[31]. - Sales cost increased by approximately 29.1% from about HKD 155.9 million for the six months ended June 30, 2018, to about HKD 201.3 million for the six months ended June 30, 2019[57]. - Gross profit decreased by approximately 4.0% from about HKD 10.1 million to about HKD 9.7 million, with gross margin dropping from approximately 6.1% to 4.6%[57]. - Administrative expenses rose by approximately 13.4% from about HKD 18.7 million to about HKD 21.2 million, primarily due to an increase in legal and professional fees of about HKD 1.3 million[58]. Corporate Governance and Compliance - The company has complied with all provisions of the corporate governance code, except for the separation of the roles of Chairman and CEO, which is held by Mr. Ng[88]. - The company appointed a new compliance advisor, Da Yu Financing Limited, effective April 12, 2019, following the termination of the previous advisor[85]. - The company has established an audit committee, nomination committee, and remuneration committee to ensure proper governance[88]. - The Audit Committee has reviewed the unaudited condensed consolidated financial statements for the six months ended June 30, 2019, and believes they comply with applicable accounting standards[99]. - The Audit Committee currently consists of three independent non-executive directors, with Mr. Li Guangze serving as the chairman[97]. - The company has established internal policies, procedures, and control measures as part of its remedial actions[93]. Future Plans and Strategies - The company plans to expand its e-commerce and fulfillment business and is looking for opportunities to set up different warehouses to enhance its logistics operations in Asia[54]. - The company aims to become a major logistics service provider in the region by improving last-mile delivery times and streamlining e-commerce processes[54]. Shareholder Information - As of June 30, 2019, Million Venture holds 450,000,000 shares, representing 75% of the company's issued share capital[78]. - Mr. Zheng is the beneficial owner of 1 share in Million Venture, holding 100% of that entity[77]. - The company has not granted, exercised, canceled, or allowed any stock options under the stock option plan since its adoption on September 23, 2016[80]. - There were no arrangements made for directors to benefit from purchasing shares or bonds of the company or any other entity during the six months ending June 30, 2019[81]. - The company has not received any notifications from other individuals regarding their interests in the company's shares or bonds as of June 30, 2019[79]. Trading and Market Activity - The trading of the company's shares has been suspended since April 1, 2019, due to delays in announcing financial results for the fiscal year 2018[91]. - The company has applied to the Stock Exchange for the resumption of trading of its shares, effective from 9:00 AM on November 28, 2019[93]. - The company will publish its latest announcements on the GEM website and its own website for at least seven days from the publication date[100].
骏高控股(08035) - 2019 - 中期财报