Financial Results - The unaudited consolidated results for the six months ended September 30, 2020, have been announced, with comparative figures for the same period in 2019 provided[15]. - The report includes a condensed consolidated statement of profit or loss and other comprehensive income for the period[16]. - The financial results have not been audited but have been reviewed and approved by the audit committee of the company[15]. - Revenue for the six months ended September 30, 2020, was HK$95,294,000, a decrease of 12.5% from HK$108,892,000 in the same period of 2019[17]. - Gross profit for the period was HK$17,211,000, down 20.7% from HK$21,735,000 year-on-year[17]. - Profit for the period increased to HK$6,313,000, compared to HK$2,156,000 in the previous year, representing a growth of 192.5%[17]. - Basic and diluted earnings per share rose to 0.63 HK cents, up from 0.22 HK cents in the prior period[17]. - The company reported a total comprehensive income for the period of HK$6,313,000, compared to HK$2,130,000 in the previous year[17]. - The consolidated profit before taxation for the period was HK$8,431,000, compared to HK$3,882,000 in the previous year, representing a growth of about 117.5%[61]. Cash Flow and Assets - Net cash generated from operating activities was HK$10,279,000, a significant improvement from a cash outflow of HK$2,901,000 in the same period last year[25]. - Cash and cash equivalents at the end of the period were HK$121,205,000, an increase from HK$107,774,000 at the end of the previous period[25]. - Total assets less current liabilities increased to HK$178,680,000 from HK$173,735,000 as of March 31, 2020[19]. - Net assets as of September 30, 2020, were HK$176,507,000, up from HK$170,194,000 at the end of the previous financial year[19]. - Current liabilities increased to HK$33,751,000 from HK$31,223,000 as of March 31, 2020[19]. Revenue Breakdown - Sales of ODM toys to license holders amounted to HK$62,709,000, down from HK$74,242,000, representing a decline of about 15.6% year-over-year[54]. - The distribution of imported toys and related products generated revenue of HK$20,825,000, a decrease of 5.3% from HK$21,994,000 in the previous year[54]. - Revenue from the sale of own licensed toys and related products was HK$11,760,000, down from HK$12,656,000, reflecting a decline of approximately 7.1%[54]. - The Group's five largest customers contributed approximately 76% of total revenue during the period, slightly down from 77% in the corresponding period last year[56]. Expenses and Costs - Staff costs, including directors' remuneration, decreased to HK$6,638,000 from HK$6,875,000, a decline of approximately 3.5%[68]. - Selling expenses increased by approximately 12.3% to approximately HK$4,320,000 due to the opening of three additional retail stores[122]. - Administrative expenses decreased by approximately 46.8% to approximately HK$8,700,000, with notable reductions in promotion expenses and impairment losses[123]. - The total finance costs decreased to HK$116,000 from HK$192,000, reflecting a reduction of about 40%[68]. Corporate Governance and Compliance - The company has adopted a code of conduct regarding securities transactions by the Directors, with no non-compliance reported during the period[186]. - The compliance adviser, Ample Capital Limited, has no interest in the share capital of the company or any member of the group, except for the compliance adviser agreement[187]. - The Audit Committee reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2020, confirming compliance with applicable accounting standards and GEM Listing Rules[197]. - The company has complied with the Corporate Governance Code during the period, except for a deviation regarding the roles of Chairman and CEO[195]. Future Plans and Market Position - The company plans to fully utilize the net proceeds from its fundraising activities by 31 March 2022, with 79.8% allocated to expanding its product portfolio of licensed toys[156]. - The board anticipates achieving a breakthrough in business performance by leveraging its diverse range of high-end toy products[168]. - The company is actively seeking new business opportunities beyond the ACG figure toys market to broaden its income sources[168]. - The board will actively seek potential opportunities to expand the group's network beyond the ACG figurine toy market to increase revenue sources and enhance shareholder value[170]. Shareholding and Ownership - As of September 30, 2020, Mr. Li Wai Keung holds 485,000,000 shares, representing 48.50% of the company's issued share capital[175]. - Infinite Force, wholly owned by Mr. Li, is the beneficial owner of the same 485,000,000 shares, also accounting for 48.50% of the issued share capital[177]. - Ms. Fong Wing Yan, as the spouse of Mr. Li, is deemed to have an interest in the 485,000,000 shares held by Infinite Force, representing 48.50% of the issued share capital[177]. Miscellaneous - The company did not redeem any ordinary shares during the reporting period, nor did it or its subsidiaries purchase or sell any ordinary shares[180]. - There were no options granted, exercised, lapsed, or cancelled under the Share Option Scheme as of September 30, 2020[189]. - The Group has capital commitment in respect of investment property of HK$28,243,800 as of 30 September 2020[95].
佰悦集团(08545) - 2021 - 中期财报