Financial Performance - The group reported minimal revenue and gross profit from travel-related products and services for the six months ended September 30, 2021, due to the ongoing impact of COVID-19 on the travel industry[9]. - For the six months ended September 30, 2021, the group recorded revenue from tour groups of HKD 1.0 million with a gross profit of HKD 0.7 million, compared to HKD 0.2 million in revenue and a gross loss of HKD 1.1 million for the same period in 2020[12]. - Revenue from travel-related products and services totaled HKD 1.0 million with a gross profit of HKD 0.7 million for the six months ended September 30, 2021, compared to HKD 1.8 million in revenue and a gross profit of HKD 0.5 million for the same period in 2020[12]. - Total revenue for the six months ended September 30, 2021, was HKD 966,000, compared to HKD 1,773,000 for the same period in 2020, representing a decrease of approximately 45.5%[79]. - The company reported a total comprehensive loss of HKD 5,473,000 for the six months ended September 30, 2021, compared to HKD 10,680,000 for the same period in 2020, a reduction of 48.8%[55]. - The operating loss for the six months ended September 30, 2021, was HKD 5,332,000, improved from a loss of HKD 10,442,000 in the same period of 2020, reflecting a 48.9% reduction in losses[55]. - The company reported a net loss of HKD (5,341,000) attributable to owners for the six months ended September 30, 2021, compared to a loss of HKD (10,601,000) for the same period in 2020[97]. Liquidity and Financing - To alleviate liquidity pressure, the group sold all listed equity securities held in Hong Kong for approximately HKD 9.9 million (excluding transaction costs) during the six months ended September 30, 2021[11]. - The group received total loan financing of HKD 15.0 million from its ultimate parent company, with HKD 5.0 million drawn during the same period to enhance liquidity[11]. - The group has available bank overdraft financing of HKD 10,000,000 and loan financing from its ultimate parent company of HKD 10,000,000[70]. - The group continues to seek additional sources of financing to support its operations[70]. - The group believes it has sufficient financial resources to meet its operational funding requirements for at least the next 12 months[69]. Operational Challenges - The group faced significant operational disruptions due to travel restrictions imposed globally since early 2020, leading to the cancellation of outbound tours[9]. - The company anticipates that the ongoing COVID-19 pandemic will continue to adversely impact its operations and financial performance for the remainder of the fiscal year ending March 31, 2022[38]. - The group’s operations have been adversely affected by COVID-19, particularly due to travel restrictions impacting its primary revenue from overseas travel tours[69]. - The group is closely monitoring the latest developments regarding travel restrictions and is prepared to resume operations once restrictions are lifted[70]. Cost Management - Cost-saving measures implemented included director salary reductions, streamlining workflows, and encouraging employees to take unpaid leave or annual leave[10]. - The group has taken steps to negotiate rent reductions with landlords for its branch and office properties[10]. - The company reported a rental expense of HKD 705,000 for the six months ended September 30, 2021, a decrease from HKD 936,000 in the same period of 2020, reflecting a reduction of approximately 24.6% due to COVID-19 rent concessions[118]. Business Diversification - The group began cryptocurrency mining operations in July 2021, recording a segment loss of approximately HKD 0.4 million for the six months ended September 30, 2021[11]. - The group invested in tourism and travel technology-related businesses to diversify revenue sources and enhance future profitability[9]. - The company plans to expand its business scope by incorporating cryptocurrency mining operations through Fire Technology to enhance future profitability and potential[38]. - The cryptocurrency mining segment, which started operations in July 2021, has been added as a reportable segment[81]. Shareholder Information - As of September 30, 2021, the company has a significant shareholder, Zonghengyou Investment, holding 256,015,000 shares, representing 64% of the total shares[39]. - The beneficial ownership of Zonghengyou Investment is distributed among its directors, with Ms. Chen holding 68.02% and Mr. Yuan holding 23.42%[40]. - The company has an outstanding amount payable to a shareholder, Zonghengyou Investment, of HKD 5,000,000 as of September 30, 2021, which is unsecured and interest-free[121]. Governance and Compliance - The group confirmed that the information in the report is accurate and complete, with no misleading or fraudulent elements[2]. - The company has complied with all corporate governance codes as outlined in the GEM listing rules during the six months ending September 30, 2021[45]. - There were no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the six months ending September 30, 2021[47]. - The company did not recommend any interim dividend for the six months ended September 30, 2021, consistent with the previous year[99].
飞道旅游科技(08069) - 2022 - 中期财报