Financial Performance - The group's revenue for the six months ended September 30, 2020, was approximately HKD 13.3 million, a decrease of about 16.9% compared to HKD 15.997 million for the same period in 2019[5]. - Gross profit for the same period was approximately HKD 10.2 million, down about 16.4% from HKD 12.183 million in 2019, with a gross margin of approximately 76.7%, slightly up from 76.3% in the previous year[9]. - The net loss for the period was approximately HKD 5.6 million, compared to a net loss of HKD 6.3 million in the same period last year, primarily due to economic difficulties arising from the COVID-19 outbreak[9]. - For the six months ended September 30, 2020, the company reported total revenue of HKD 13,268,000, with a gross profit of HKD 10,232,000[72]. - The company incurred a loss before tax of HKD 5,592,000 for the six-month period, with a basic and diluted loss per share of HKD 1.55[72]. - The company reported a net loss of HKD 5,592,000 for the six months ended September 30, 2020, compared to a net loss of HKD 6,251,000 for the same period in 2019, indicating an improvement of approximately 10.5%[76]. Assets and Liabilities - The group's current assets as of September 30, 2020, were approximately HKD 10.7 million, a decrease of about 28.2% from HKD 14.9 million as of March 31, 2020[14]. - Cash and bank balances were approximately HKD 2.0 million, down about 65.5% from HKD 5.8 million as of March 31, 2020[14]. - The company's total equity decreased to HKD 31,448,000 as of September 30, 2020, down from HKD 36,512,000 as of March 31, 2020, a decline of approximately 13.8%[74]. - The company reported a decrease in total liabilities to HKD 90,183,000 as of September 30, 2020, down from HKD 89,876,000 as of March 31, 2020, indicating a slight reduction of approximately 0.3%[74]. - The company's long-term bank borrowings rose to HKD 45,625,000 as of September 30, 2020, compared to HKD 42,750,000 as of March 31, 2020, an increase of approximately 6.5%[74]. Cash Flow and Financing - The group adopted a prudent cash flow management approach to safeguard its assets amid uncertain economic conditions[13]. - The financing activities resulted in a net cash outflow of HKD 13,384,000 for the six months ended September 30, 2020[80]. - The effective interest rate on borrowings ranged from 2.75% to 3.00% as of September 30, 2020, compared to 3.00% to 4.02% as of March 31, 2020[161]. - The group recognized a total of HKD 4,000,000 in unsecured borrowings guaranteed by the controlling shareholder as of September 30, 2020[160]. Employee and Operational Costs - As of September 30, 2020, the total employee costs amounted to approximately HKD 5.9 million, a decrease from HKD 7.1 million for the same period in 2019, reflecting a reduction of about 16.9%[22]. - The group received approximately HKD 2.0 million in subsidies from the Employment Support Scheme, which helped alleviate the financial burden of employee costs[22]. - Administrative expenses for the six months were HKD 15,785,000, reflecting a significant cost structure[72]. - Total remuneration for key management personnel was HKD 2,305,000 for the six months ended September 30, 2020, compared to HKD 1,945,000 in 2019, representing an 18.5% increase[16]. Shareholder Information - Major shareholders hold 270,000,000 shares each, representing 75% of the total issued shares[47]. - A total of 3,200,000 shares are granted under the share option scheme, accounting for 0.89% of the total issued shares[50]. - The share option plan aims to incentivize selected participants, including full-time employees and consultants, to contribute to the group[62]. Government Support and Subsidies - Other income increased from HKD 0.4 million to HKD 2.7 million, representing a growth of approximately 575.0%, attributed to government support measures during the economic downturn[9]. - The group recognized government subsidies totaling HKD 2,539,000 under the Employment Support Scheme to retain employees during the COVID-19 pandemic, compared to zero in the same period last year[113]. Corporate Governance - The board is committed to maintaining high standards of corporate governance and has complied with relevant codes as of September 30, 2020[28]. - The company established an audit committee to oversee financial reporting and risk management, consisting of independent non-executive directors[66]. - The company appointed a compliance advisor on April 1, 2020, to ensure adherence to GEM listing rules[67]. Market and Revenue Breakdown - For the six months ended September 30, 2020, the sales revenue from tea products was HKD 12,994,000, a decrease of 16.2% compared to HKD 15,508,000 in the same period of 2019[103]. - The revenue from food and beverage retail for the same period was HKD 274,000, down 44% from HKD 489,000 in 2019[103]. - All revenue generated by the company comes from Hong Kong, with no single customer contributing more than 10% of total revenue during the interim period[105].
英记茶庄集团(08241) - 2021 - 中期财报