Financial Performance - For the six months ended September 30, 2020, the consolidated revenue of StarGlory Holdings was approximately HKD 88,200,000, a decrease of about 3.7% compared to approximately HKD 91,600,000 for the same period last year[3]. - The profit attributable to the owners of the company for the six months ended September 30, 2020, was approximately HKD 5,200,000, compared to a loss of approximately HKD 8,200,000 for the same period last year[3]. - The gross profit for the six months ended September 30, 2020, was HKD 54,066,000, down from HKD 57,741,000 in the previous year, indicating a decline in gross margin[5]. - The basic earnings per share for the six months ended September 30, 2020, was HKD 0.13, compared to a loss per share of HKD 0.20 for the same period last year[5]. - The total comprehensive income for the six months ended September 30, 2020, was HKD 5,047,000, compared to a loss of HKD 7,147,000 in the previous year[14]. - The company reported a profit before tax of approximately 5,240,000 HKD for the six months ended September 30, 2020, compared to a loss of approximately 8,171,000 HKD in 2019[44]. - Total tax expenses for the six months ended September 30, 2020, amounted to 878,000 HKD, an increase of 96% from 449,000 HKD in 2019[41]. Financial Position - As of September 30, 2020, the total assets less current liabilities amounted to HKD (66,183,000), compared to HKD (30,182,000) as of March 31, 2020[26]. - The net liabilities as of September 30, 2020, were HKD (80,861,000), compared to HKD (88,175,000) as of March 31, 2020, indicating an improvement in the financial position[26]. - Cash and cash equivalents as of September 30, 2020, were HKD 86,341,000, an increase from HKD 82,552,000 as of March 31, 2020[21]. - The company’s total liabilities as of September 30, 2020, included a net current liability of approximately HKD 95,898,000[34]. - The company’s total assets included cash and bank balances of HKD 86,341,000 as of September 30, 2020[30]. - The current ratio and quick asset ratio were 0.53 and 0.52 respectively, compared to 0.57 and 0.56 as of March 31, 2020[88]. - The group had a debt-to-asset ratio of 159% as of September 30, 2020, slightly up from 158% on March 31, 2020[88]. Cash Flow and Operating Activities - The company reported a net cash inflow from operating activities of HKD 15,985,000 for the six months ended September 30, 2020, compared to a net outflow of HKD 5,395,000 in the same period of 2019[30]. - The company had a net cash outflow from financing activities of HKD 10,224,000 for the six months ended September 30, 2020, compared to HKD 30,205,000 in the same period of 2019, indicating a significant reduction in financing outflows[30]. - The company’s operating cash flow improved significantly compared to the previous year, indicating better operational efficiency[30]. Revenue Sources and Market Conditions - Total revenue from customers for providing catering services and others was HKD 88,198,000 for the six months ended September 30, 2020, down from HKD 91,567,000 in 2019, representing a decrease of approximately 3.0%[36]. - The company’s revenue from catering services showed resilience despite the challenging market conditions, reflecting its strategic positioning[36]. - The restaurant industry in China experienced a revenue decline of 29.6% in the first seven months of 2020, amounting to approximately RMB 1.8 trillion[69]. - The Hong Kong restaurant industry saw a total revenue decline of 25.9% in Q2 2020, estimated at HKD 21.2 billion[70]. Business Operations and Strategy - The group operates a single business unit in the restaurant sector, with no identifiable segments for reporting purposes[61]. - The group’s restaurant business includes various Japanese food concepts, reflecting a focus on niche markets within the dining sector[73]. - The group aims to enhance its takeaway business through strategic partnerships with leading third-party delivery providers[82]. - The group plans to explore new business opportunities in the healthcare sector, leveraging the increasing demand for healthcare services in China[77]. Employee and Management Information - The group employed 227 staff in Hong Kong and China as of September 30, 2020, down from 275 as of March 31, 2020[96]. - The group’s management compensation for the six months ended September 30, 2020, totaled HKD 2.2 million, slightly down from HKD 2.25 million in 2019[57]. Investments and Future Plans - The company has reserved approximately HKD 35,000,000 for potential investment opportunities, expected to be fully utilized by July 31, 2021, depending on suitable acquisition targets and market conditions[105]. - The company has utilized about HKD 2,900,000 from the net proceeds for investments in the e-cigarette business in China, including setting up an office in Huizhou and purchasing new equipment[106]. - The company redirected approximately HKD 2,800,000 from the net proceeds originally allocated for e-cigarette investments to expand its healthcare business in the domestic market, focusing on brand building and product development[107]. - The remaining unutilized net proceeds of approximately HKD 9,300,000 will be allocated for investments, research and development, sales, and marketing of e-cigarettes in China and overseas, expected to be fully utilized by July 31, 2021[107]. Corporate Governance - The company has established an audit committee to review financial reports and oversee financial reporting procedures, consisting of three independent non-executive directors[123]. - The company has adhered to the corporate governance code as per GEM Listing Rules during the six-month period ending September 30, 2020[127].
荣晖控股(08213) - 2021 - 中期财报