Financial Performance - Revenue for the six months ended March 31, 2021, was HKD 1,970,000, a decrease of 80.7% compared to HKD 10,210,000 for the same period in 2020[16] - The net loss for the six months ended March 31, 2021, was HKD 7,323,000, compared to a profit of HKD 1,870,000 for the same period in 2020[16] - Basic loss per share for the six months ended March 31, 2021, was HKD (0.73), compared to earnings of HKD 0.19 for the same period in 2020[16] - Revenue from financial advisory services for the six months ended March 31, 2021, was HKD 1,970,000, down from HKD 10,210,000 for the same period in 2020, reflecting a decline of about 81%[39] - The group reported a net loss of approximately HKD 7.3 million for the six months ended March 31, 2021, compared to a net profit of approximately HKD 1.9 million in 2020, primarily due to a revenue decrease of approximately HKD 8.2 million[81] Assets and Liabilities - Total assets as of March 31, 2021, were HKD 45,013,000, a decrease of 3.8% from HKD 46,771,000 as of September 30, 2020[19] - Current liabilities as of March 31, 2021, were HKD 12,483,000, an increase of 312.5% from HKD 3,022,000 as of September 30, 2020[19] - The company reported a net asset value of HKD 34,001,000 as of March 31, 2021, down from HKD 45,324,000 as of September 30, 2020, representing a decrease of approximately 25%[22] - The total equity decreased from HKD 45,324,000 to HKD 34,001,000, indicating a decline of around 25% in total equity over the six-month period[27] - The debt-to-equity ratio increased to approximately 36.5% as of March 31, 2021, compared to approximately 5.1% as of September 30, 2020, mainly due to an increase in loans from a securities broker[82] Cash Flow - Cash used in operating activities amounted to HKD (9,654,000) for the six months ended March 31, 2021, compared to HKD (2,393,000) for the same period in 2020, indicating a significant increase in cash outflow[30] - Cash and cash equivalents as of March 31, 2021, were HKD 21,106,000, a decrease of 14.4% from HKD 24,670,000 as of September 30, 2020[19] - The company reported a decrease in cash and cash equivalents from HKD 24,670,000 at the beginning of the period to HKD 21,106,000 at the end of the period, a reduction of approximately 14%[33] Operating Expenses - Employee benefits expenses for the six months ended March 31, 2021, were HKD (6,507,000), an increase of 12.5% compared to HKD (5,781,000) for the same period in 2020[16] - Other operating expenses for the six months ended March 31, 2021, were HKD (1,490,000), a decrease of 25.7% compared to HKD (2,007,000) for the same period in 2020[16] - Employee benefit expenses increased to approximately HKD 6.5 million, up from approximately HKD 5.8 million in 2020, mainly due to an increase in performance-related bonuses of approximately HKD 0.5 million[78] Market Conditions and Future Outlook - The company anticipates ongoing challenges in its business environment due to the global outbreak of the coronavirus, which may lead to market volatility[67] - The company's overall business remains uncertain and negatively impacted due to the current economic environment and cross-border restrictions[69] - The board anticipates continued volatility in the stock market over the next year due to the global COVID-19 pandemic[95] Corporate Governance - The board confirmed compliance with the corporate governance code during the six months ended March 31, 2021, with some deviations explained[99] - The Audit Committee has been established in accordance with GEM Listing Rules, consisting of three independent non-executive directors[116] - The Audit Committee is responsible for reviewing the group's annual, semi-annual, and quarterly reports, as well as providing recommendations on the appointment and dismissal of external auditors[116] Shareholder Information - As of March 31, 2021, the major shareholder Access Cheer held 750,000,000 shares, representing 75% of the total shares[110] - The company’s issued and paid-up share capital as of March 31, 2021, was HKD 10,000 thousand, with 1,000,000,000 ordinary shares issued[59] - The company has adopted a share option scheme effective from February 26, 2018, which will remain valid for ten years[114] - No share options were granted, exercised, cancelled, or lapsed under the share option scheme during the period[115]
宝积资本(08168) - 2021 - 中期财报