Financial Performance - For the six months ended June 30, 2021, the company reported revenue of RMB 128,443,000, a decrease of 5.8% compared to RMB 135,450,000 for the same period in 2020[20]. - Gross profit for the same period was RMB 50,687,000, representing a gross margin of approximately 39.4%, down from RMB 61,602,000 and a gross margin of 45.5% in 2020[20]. - The company recorded a net profit of RMB 2,163,000 for the six months ended June 30, 2021, compared to RMB 10,510,000 in the previous year, indicating a decline of 79.4%[20]. - Basic and diluted earnings per share for the period were RMB 0.22, down from RMB 1.05 in the same period of 2020[20]. - For the six months ended June 30, 2021, total revenue was RMB 128,443,000, a decrease from RMB 135,450,000 for the same period in 2020, representing a decline of approximately 5.5%[39]. - The oral care products segment generated revenue of RMB 56,812,000, down from RMB 71,694,000 in the previous year, reflecting a decrease of about 20.7%[39]. - The household hygiene products segment reported revenue of RMB 62,670,000, an increase from RMB 58,045,000, marking a growth of approximately 8.5%[39]. - The leather care products segment saw revenue rise to RMB 8,961,000 from RMB 5,711,000, indicating a growth of around 57.5%[39]. - The company reported a net loss attributable to owners of RMB 782,000 for the six months ended June 30, 2021, compared to a profit of RMB 6,383,000 for the same period in 2020[55]. - The company recorded a pre-tax comprehensive loss of RMB (847,000) for the period, compared to a pre-tax comprehensive profit of RMB 7,908,000 in the same period last year[39]. - The company reported an operating loss of RMB 2,833,000 for the three months ended June 30, 2021[43]. Assets and Liabilities - Total assets as of June 30, 2021, were RMB 235,169,000, slightly down from RMB 235,516,000 as of December 31, 2020[22]. - Current liabilities decreased to RMB 89,343,000 from RMB 122,221,000 at the end of 2020, reflecting improved liquidity management[22]. - Total assets as of June 30, 2021, were RMB 325,831,000, a decrease from RMB 359,120,000 as of December 31, 2020[47]. - Total liabilities as of June 30, 2021, were RMB 90,662,000, down from RMB 123,604,000 as of December 31, 2020[47]. - The total trade and other payables amounted to RMB 59,927,000 as of June 30, 2021, down from RMB 64,449,000 as of December 31, 2020, reflecting a decrease of about 7%[78]. - The group’s contract liabilities decreased significantly to RMB 13,432,000 from RMB 34,460,000, indicating a reduction of about 61%[78]. - As of June 30, 2021, trade receivables decreased to RMB 28,680,000 from RMB 42,152,000 as of December 31, 2020, representing a decline of approximately 32%[64]. - The aging analysis of trade receivables shows that amounts overdue by 0 to 30 days decreased to RMB 24,802,000 from RMB 39,746,000, a reduction of about 37%[70]. Cash Flow and Investments - The net cash used in operating activities was RMB (22,619,000), compared to RMB 690,000 in the previous year, showing a significant decline[26]. - The net cash generated from investing activities was RMB 2,422,000, a recovery from RMB (35,067,000) in the same period last year[26]. - The company reported a net decrease in cash and cash equivalents of RMB (25,640,000), compared to RMB (44,896,000) in the prior year[26]. - The total cash and cash equivalents at the end of the period stood at RMB 49,455,000, up from RMB 36,189,000 at the end of the previous year[26]. - The company invested approximately RMB 6,027,000 in property, plant, and equipment during the six months ended June 30, 2021, down from RMB 9,300,000 in the same period of 2020[61]. - The group reported no impairment losses on trade receivables during the reporting period, maintaining a stable credit risk profile[71]. Strategic Focus and Future Plans - The company plans to focus on market expansion and new product development in the upcoming quarters to drive growth[20]. - Management indicated that they are exploring potential mergers and acquisitions to enhance market presence and operational capabilities[20]. - The company continues to focus on the development and marketing of oral care, leather care, and household hygiene products, with no specific new product launches or acquisitions mentioned in the report[39]. Corporate Governance and Compliance - The company has established an audit committee in accordance with GEM listing rules, which includes three independent non-executive directors[137]. - The audit committee reviewed the unaudited consolidated performance for the six months ending June 30, 2021, and confirmed compliance with applicable accounting standards and GEM listing rules[137]. - The company has adopted the corporate governance code as per GEM listing rules and has maintained the highest standards of corporate governance[138]. - The company has maintained sufficient public float since its listing date, in compliance with GEM listing regulations[139]. - The company has confirmed compliance with the GEM Listing Rules regarding the conduct of securities transactions by all board members as of June 30, 2021[133]. Shareholder Information - Major shareholders include Ms. Li, who holds 575,625,000 shares (57.56% ownership), and Mr. Tong, who holds 106,875,000 shares (10.69% ownership)[120]. - The company has adopted a share option scheme effective for 10 years from June 17, 2016, but no options have been granted under this scheme since its adoption[128]. - The controlling shareholders have entered into a non-competition agreement effective from the date of the company's listing on GEM, with no reported violations as of the report date[134]. - There are no known interests held by directors or controlling shareholders in businesses that compete or may compete with the company[135]. Employee and Operational Information - As of June 30, 2021, the company had 268 full-time employees and maintained good relationships with them through competitive compensation and training programs[117]. - The company has sufficient cash and bank financing to meet its operational capital needs[112]. - The company reported that its cash and bank deposits are primarily denominated in RMB, with no agreements in place to hedge foreign exchange risks[118].
中国金典集团(08281) - 2021 - 中期财报