Financial Performance - For the three months ended September 30, 2020, the company reported revenue of HKD 46,592 thousand, a decrease of 21.5% compared to HKD 51,457 thousand for the same period in 2019[6]. - The gross profit for the nine months ended September 30, 2020, was HKD 22,317 thousand, down 25.8% from HKD 30,026 thousand in the same period of 2019[6]. - The company incurred a loss before tax of HKD 3,186 thousand for the three months ended September 30, 2020, compared to a profit of HKD 1,579 thousand in the same period of 2019[6]. - The total comprehensive income for the nine months ended September 30, 2020, was a loss of HKD 2,433 thousand, compared to a loss of HKD 6,580 thousand for the same period in 2019[20]. - The company reported a basic loss per share of HKD 0.52 for the three months ended September 30, 2020, compared to earnings of HKD 0.12 per share in the same period of 2019[21]. - Total revenue for the nine months ended September 30, 2020, was HKD 115,827,000, a decrease of 24.7% compared to HKD 153,836,000 for the same period in 2019[33]. - The company reported a loss attributable to owners of approximately HKD 6.4 million for the nine months ended September 30, 2020, compared to a profit of approximately HKD 1.0 million in the same period of 2019[98]. Expenses and Costs - The sales and distribution expenses for the nine months ended September 30, 2020, were HKD 7,484 thousand, slightly down from HKD 7,746 thousand in the same period of 2019[6]. - The administrative expenses increased to HKD 20,326 thousand for the nine months ended September 30, 2020, compared to HKD 18,492 thousand in the same period of 2019[6]. - Total employee costs for the nine months ended September 30, 2020, were HKD 20,141,000, a decrease from HKD 24,735,000 in the same period of 2019[68]. - Interest expenses for bank loans decreased to HKD 353,000 for the nine months ended September 30, 2020, compared to HKD 692,000 in the same period of 2019[44]. - The total sales cost decreased by 24.5% to approximately HKD 93.5 million, consistent with the revenue decline[92]. - The company has implemented various cost control measures to mitigate the impact of COVID-19 and the macroeconomic slowdown, focusing on reducing administrative expenses[89]. Revenue Sources - Revenue from key products included HKD 88,176,000 from lead frames and HKD 19,864,000 from packaging adhesives for the nine months ended September 30, 2020[33]. - Revenue from customers in mainland China was HKD 115,068,000 for the nine months ended September 30, 2020, down 24.6% from HKD 152,539,000 in the same period of 2019[38]. - The revenue from bonding wire products decreased by 27.7% to approximately HKD 88.2 million, while the revenue from packaging adhesive products increased by 5.7% to approximately HKD 19.9 million[91]. Equity and Share Capital - The total equity as of September 30, 2020, was HKD 228,994 thousand, a decrease from HKD 237,128 thousand as of January 1, 2019[24]. - As of September 30, 2020, the company’s issued share capital is HKD 7,055,000, divided into 705,500,000 shares with a par value of HKD 0.01 each[113]. - Major shareholders include Junma Technology Investment Holdings Limited, holding 357,000,000 shares, representing 50.60% of the issued share capital[123]. - Chow Fung Wai Lan Rita holds 357,510,000 shares, representing 50.67% of the issued share capital, as a spouse interest[123]. - Ma Ya Mu holds 152,490,000 shares, representing 21.61% of the issued share capital, as a beneficial owner[123]. Government Grants and Support - The company received government grants totaling HKD 3,478,000 for the nine months ended September 30, 2020, compared to HKD 1,118,000 in the same period of 2019[41]. Corporate Governance - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and internal control processes[149]. - The company has complied with the corporate governance code as outlined in the GEM Listing Rules during the reporting period[140]. - The company will continue to review its corporate governance practices to ensure compliance with the corporate governance code[141]. Market Outlook and Strategy - The company remains optimistic about future developments in the industry despite ongoing global economic pressures, anticipating a gradual recovery in semiconductor demand[101]. - The company is taking measures to enhance its market competitiveness in anticipation of a market recovery driven by the development of 5G networks and big data processing trends[101]. - The company continues to focus on innovation in advanced semiconductor packaging materials to seize opportunities from the expected market recovery[89]. - The anticipated demand for advanced semiconductors is expected to grow strongly due to China's push for 5G network deployment, prompting the company to enhance its R&D capabilities to capture market opportunities[103]. - The company has made progress with its innovative products, specifically the liquid epoxy molding compound for small-pitch LED, which has begun mass production for several well-known RGB LED packaging companies, expected to significantly contribute to revenue[103]. - The company has launched three new die attach adhesive products for LED applications, which will be extended to other semiconductor manufacturers and the 5G industry after adjusting certain formulations[103]. - The company is actively developing new household LED packaging materials that are more cost-effective, which is expected to become another growth driver in the future[103]. Other Information - The company has not granted any stock options under its stock option plan since its adoption on May 8, 2018, and there are no unexercised stock options as of September 30, 2020[135]. - There were no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the period[146]. - No significant acquisitions or disposals of subsidiaries, associates, or joint ventures occurred during the period[104]. - The company has not identified any business or interests that may compete with its operations during the reporting period[136]. - The stock option plan allows for a maximum of 68,000,000 shares to be granted, which is 10% of the shares issued at the time of listing[131]. - The company’s board of directors consists of experienced individuals, ensuring a balance of power and authority within the management structure[140].
骏码半导体(08490) - 2020 Q3 - 季度财报