Financial Performance - The group's revenue for the three months ended March 31, 2019, was HKD 45,924,000, representing a 31.6% increase from HKD 34,911,000 in the same period of 2018[6] - Gross profit for the same period was HKD 8,810,000, up 32.5% from HKD 6,646,000 year-on-year[6] - The group's net profit for the three months ended March 31, 2019, was HKD 603,000, a decrease of 16.8% compared to HKD 725,000 in the previous year[6] - The cost of sales increased to HKD 37,114,000, which is a 31.2% rise from HKD 28,265,000 in the prior year[6] - Administrative expenses rose to HKD 5,493,000, an increase of 55.9% from HKD 3,523,000 in the same quarter of 2018[6] - Basic earnings per share for the quarter were HKD 0.09, compared to HKD 0.14 in the same period last year[8] - The group incurred finance costs of HKD 410,000, which increased from HKD 239,000 in the previous year[6] - The company reported other income of HKD 781,000, down 46.6% from HKD 1,464,000 in the previous year[6] Revenue Breakdown - Revenue for the first quarter of 2019 reached HKD 45,924 thousand, a 31.6% increase from HKD 34,911 thousand in the same period of 2018[29] - Revenue from the Chinese market (excluding Hong Kong) was HKD 45,556 thousand, up 35.4% from HKD 33,644 thousand year-on-year[30] - The total revenue from key products included HKD 38,320 thousand from wire bonding, up from HKD 30,086 thousand in the previous year[29] - The revenue from packaging glue products increased by approximately 72.9% to about HKD 5.2 million, driven by growth in LED epoxy resin sales[49] - The revenue from bonding wire products rose by approximately 27.4% to about HKD 38.3 million, primarily due to increased sales of high gold content bonding wire products[49] Costs and Expenses - The sales cost for the period was approximately HKD 37.1 million, an increase of about 31.3% compared to HKD 28.3 million in the previous year, aligning with revenue growth[50] - Total employee costs for the period amounted to HKD 7.875 million, up from HKD 6.277 million in the previous year, reflecting an increase in staff and director remuneration[53] - The company recognized a total of HKD 781 thousand in financing costs, down from HKD 1,464 thousand in the same period last year[32] - The company’s financing costs included HKD 210 thousand in interest on lease liabilities, which was not present in the previous year[32] Market and Growth Potential - The semiconductor packaging materials market in China is expected to reach approximately RMB 109.9 billion by 2022, with a compound annual growth rate (CAGR) of about 16.6% from 2018 to 2022[58] - The company continues to focus on the development and sales of semiconductor packaging materials, indicating potential for future growth in this sector[15] - The company plans to enhance its production capacity by acquiring necessary machinery and equipment, following the trial operation of its second packaging adhesive production line[59] - The company will continue to invest in research and development for new products and applications, particularly in packaging adhesives, to meet growing market demand[59] - The company aims to increase resources for sales and marketing activities to enhance its corporate image and drive business growth[61] - The company is optimistic about the industry outlook and market potential, focusing on developing high-quality products for customers[59] Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules during the reporting period[4] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated results and found them compliant with applicable accounting standards and GEM Listing Rules[5] - The company has established an audit committee to oversee financial reporting and internal control processes[8] - The company regularly reviews its corporate governance practices to ensure compliance with the code[9] Shareholder Information - Major shareholders include Junma Technology Investment Holdings Limited and Chows Investment Group Limited, each holding 50.60% of the issued share capital[75] - The company’s issued share capital as of March 31, 2019, was HKD 7,055,000, divided into 705,500,000 shares[67] - Chow Kuo Li Jen holds 100% equity in Chows Investment Group Limited, which owns 357,000,000 shares in the company, as per the Securities and Futures Ordinance[2] - The company has not granted any options under the share option scheme as of the report date[3] Operational Updates - The company continued to enhance production capacity by purchasing more machines and upgrading facilities, with a new packaging glue production line starting trial operations[47] - The company serves over 300 customers, including major LED, camera module, and IC manufacturers primarily located in China[47] - No significant investments or acquisitions were made during the reporting period[62] - The company will continue to execute its implementation plan as outlined in the prospectus and prudently assess new business opportunities[61] - The company is positioned to capitalize on emerging markets such as the internet, smart vehicles, artificial intelligence, and smart factories in China[58] - The company did not recommend any dividend payment for the period, consistent with the previous year[55] - There are no known interests or potential conflicts of interest from directors or controlling shareholders that could compete with the company's business[7] - The executive directors include Zhou Boxuan, Zhou Zhenji, and Shi Yiwu, while the non-executive directors include Ma Yongjing and independent non-executive directors[10]
骏码半导体(08490) - 2019 Q1 - 季度财报