Financial Performance - The group reported revenue of 50,496 thousand MYR for the six months ended June 30, 2019, an increase of 13% compared to 44,496 thousand MYR in the same period of 2018[4] - Gross profit for the same period was 11,567 thousand MYR, up from 10,630 thousand MYR, reflecting a gross margin improvement[4] - The net loss for the period was 4,223 thousand MYR, compared to a profit of 612 thousand MYR in the prior year, indicating a significant decline in profitability[4] - The company reported a total revenue of 71,286 thousand MYR for the six months ended June 30, 2019, compared to 30,255 thousand MYR for the same period in 2018, representing an increase of approximately 135.5%[16] - The company reported a total comprehensive loss of (4,475) thousand MYR for the period, compared to a loss of (4,691) thousand MYR in the previous period[16] - The company reported a net loss attributable to owners of RM (4,013,000) for the six months ended June 30, 2019, compared to a profit of RM 612,000 in the same period of 2018[57] - The company reported a loss of 4.2 million MYR for the period, a decrease of approximately 4.8 million MYR compared to a profit of 0.6 million MYR in the same period of 2018[104] Assets and Liabilities - Total assets increased to 199,616 thousand MYR as of June 30, 2019, compared to 108,979 thousand MYR at the end of 2018, showing strong asset growth[6] - Non-current assets rose to 141,077 thousand MYR from 46,776 thousand MYR, primarily due to the increase in property, plant, and equipment[6] - The company’s equity increased to 169,103 thousand MYR from 98,662 thousand MYR, reflecting a strong capital position[9] - Inventory levels increased to 30,350 thousand MYR from 22,120 thousand MYR, suggesting a buildup of stock[6] - Trade receivables increased to 20,881,000 MYR in June 2019 from 14,889,000 MYR in December 2018, representing a growth of approximately 40.0%[60] - Total trade and other payables rose to 21,271,000 MYR in June 2019 from 11,254,000 MYR in December 2018, marking an increase of about 89.5%[63] - The total amount of trade payables was 7,521,000 MYR in June 2019, compared to 4,375,000 MYR in December 2018, indicating an increase of about 72.0%[63] Cash Flow and Liquidity - The company’s cash and bank balances decreased to 23,648 thousand MYR from 31,600 thousand MYR, indicating a reduction in liquidity[6] - The net cash used in operating activities was (3,441) thousand MYR for the six months ended June 30, 2019, compared to a net cash inflow of 221 thousand MYR in the same period of 2018[19] - The company experienced a net decrease in cash and cash equivalents of (7,849) thousand MYR, down from (3,065) thousand MYR in the previous year[19] - The cash and cash equivalents at the end of the period were 22,702 thousand MYR, a decrease from 32,191 thousand MYR at the end of the previous year[19] - The company’s financing activities resulted in a net cash outflow of (861) thousand MYR, compared to (2,779) thousand MYR in the previous year[19] - The company’s investment activities resulted in a net cash outflow of (3,547) thousand MYR, compared to (507) thousand MYR in the previous year[19] Operational Performance - The company incurred distribution costs of 3,871 thousand MYR, significantly higher than 1,320 thousand MYR in the previous year, indicating increased operational expenses[4] - The company faced increased costs due to rising raw material prices and labor costs, which could not be passed on to customers due to market competition[97] - The company plans to continue reviewing its cost structure and negotiating with customers to improve sales terms[97] - The company completed the acquisition of Meinaide Holdings Group Limited on June 28, 2019, which will contribute to the group's financial performance from that date[86] - The company is focusing on expanding its market share in the elastic textile and webbing industry, with ongoing discussions to supply narrow elastic webbing to potential clients in the sportswear sector[130] Shareholder Information - The company has issued warrants allowing holders to purchase new ordinary shares at an adjusted exercise price of RM0.375 per share[192] - As of June 30, 2019, PRG Holdings holds a beneficial interest in 303,468,000 shares of the company, representing 54.19% of the issued share capital[195] - Wang Securities holds a pledged interest in 257,000,000 shares, accounting for 45.89% of the issued share capital[195] - The total number of issued shares of the company as of June 30, 2019, is 560,000,000[199] Market and Economic Conditions - The group anticipates continued challenges in the production segment due to soft demand from customers in their respective markets[164] - Fluctuations in raw material costs, particularly for oil-based yarn, are expected to impact the group's gross margin[164] - The majority of the group's revenue is denominated in USD, making it susceptible to significant exchange rate fluctuations with the Malaysian Ringgit[164] - The group is actively exploring new potential export markets and expanding strategic partnerships to strengthen its market position[164] Corporate Governance - The group has complied with corporate governance codes during the reporting period[171] - There were no significant contracts established between the group and its controlling shareholders during the reporting period[173]
飞霓控股(08480) - 2019 - 中期财报