Financial Performance - For the six months ended April 30, 2020, revenue was HKD 39,550,000, a decrease of approximately 19% compared to HKD 48,866,000 for the same period in 2019[5] - The loss attributable to owners of the company for the six months ended April 30, 2020, was HKD 9,639,000, compared to a profit of HKD 811,000 for the same period in 2019[5] - Basic loss per share for the six months ended April 30, 2020, was approximately HKD 1.48 cents, compared to basic earnings of HKD 0.12 cents for the same period in 2019[5] - Gross profit for the six months ended April 30, 2020, was HKD 12,398,000, down from HKD 15,807,000 in the same period of 2019[7] - Total comprehensive loss for the six months ended April 30, 2020, was HKD 11,552,000, compared to a total comprehensive income of HKD 4,317,000 for the same period in 2019[9] - The company reported a loss of (HKD 9,639,000) for the period, compared to a profit of HKD 811,000 in the same period last year[15] - Total revenue for the six months ended April 30, 2020, decreased by 19% to HKD 39,550,000 from HKD 48,866,000 in the same period last year[53] - Revenue from the environmental products business fell by 22% to HKD 29,298,000, down from HKD 37,609,000 in the previous period[53] - Gross profit for the six months ended April 30, 2020, was HKD 12,398,000, a decrease of 22% compared to HKD 15,807,000 in the same period last year[57] - The gross profit margin decreased to 31% from 32% in the previous year due to reduced revenue and a decline in the gross margin of the environmental products business[57] Cash Flow and Liquidity - Cash and cash equivalents decreased to HKD 28,497,000 as of April 30, 2020, from HKD 75,413,000 as of October 31, 2019[11] - For the six months ended April 30, 2020, the net cash used in operating activities was (HKD 45,775,000), a significant decrease compared to HKD 3,712,000 for the same period in 2019[13] - The net cash generated from investing activities was HKD 1,494,000, compared to a cash outflow of (HKD 3,043,000) in the previous year[13] - Cash and cash equivalents decreased to HKD 28,497,000 at the end of the period from HKD 75,413,000 at the beginning of the period, representing a decline of approximately 62.2%[13] - Current assets net value as of April 30, 2020, was HKD 42,282,000, down from HKD 44,881,000 as of October 31, 2019[60] - The current ratio as of April 30, 2020, was approximately 1.74, compared to 1.62 as of October 31, 2019[60] - The debt-to-equity ratio as of April 30, 2020, was 14%, down from 18% as of October 31, 2019[62] Assets and Liabilities - Total liabilities decreased to HKD 21,443,000 from HKD 26,594,000, a reduction of approximately 19.5%[12] - The group reported a decrease in total assets to HKD 160,240 thousand as of April 30, 2020, down from HKD 204,607 thousand as of October 31, 2019[29] - The group’s total liabilities decreased to HKD 63,725 thousand as of April 30, 2020, compared to HKD 99,328 thousand as of October 31, 2019[29] - The company’s total liabilities increased to HKD 16,646,000 from HKD 11,513,000, reflecting a growth of about 44.7%[46] Expenses - The company’s administrative expenses increased to HKD 11,828,000 for the six months ended April 30, 2020, compared to HKD 11,777,000 for the same period in 2019[7] - The group’s other corporate expenses decreased to HKD 9,637 thousand for the six months ended April 30, 2020, down from HKD 10,671 thousand in 2019[29] - The company recorded a provision for current tax in China of HKD 1,424,000 for the six months ended April 30, 2020, compared to HKD 1,302,000 in the previous year, an increase of approximately 9.4%[33] - Tax provision for the six months ended April 30, 2020, was HKD 9,990,000, significantly higher than HKD 1,420,000 in the same period last year[59] Shareholder Information - The company did not declare an interim dividend for the six months ended April 30, 2020, consistent with the previous year[35] - The company’s retained earnings decreased to HKD 41,500,000 from HKD 51,139,000, indicating a reduction of about 18.8%[15] - The company’s non-controlling interests decreased to zero from HKD 5,565,000, indicating a complete buyout of minority interests[12] - As of April 30, 2020, Virtue Trustees (Switzerland) AG and Wide Sky Management Limited each held 344,621,200 shares, representing 53.06% of the company's issued shares[73] Corporate Governance - The company has adhered to the corporate governance code as per GEM Listing Rules, with the exception of one independent non-executive director's absence from the annual general meeting due to being outside Hong Kong[79] - The audit committee reviewed the group's unaudited results for the three and six months ended April 30, 2020, confirming compliance with applicable accounting standards[84]
环康集团(08169) - 2020 - 中期财报