Financial Performance - For the three months ended March 31, 2021, the group recorded unaudited revenue of approximately HKD 1.2 million, a significant decrease of approximately HKD 13.7 million or 92.0% compared to HKD 14.9 million for the same period in 2020[5] - The unaudited loss attributable to owners of the company for the three months ended March 31, 2021, was approximately HKD 4.5 million, compared to a loss of approximately HKD 5.2 million for the same period in 2020[5] - Basic and diluted loss per share for the three months ended March 31, 2021, was HKD 0.50, compared to HKD 0.58 for the same period in 2020[5] - Gross profit for the three months ended March 31, 2021, was HKD 0.22 million, down from HKD 1.68 million in the same period of 2020[8] - The total comprehensive loss for the three months ended March 31, 2021, was approximately HKD 4.5 million, compared to HKD 5.26 million for the same period in 2020[8] - The group recorded a loss before tax of HKD 4,503,000 for the three months ended March 31, 2021, compared to a loss of HKD 5,191,000 for the same period in 2020, indicating a 13.3% improvement[35] - The group recorded a loss of approximately HKD 4.5 million for the three months ended March 31, 2021, compared to a loss of about HKD 5.3 million for the same period in 2020, mainly due to reduced administrative expenses[62] Revenue Breakdown - For the three months ended March 31, 2021, the group reported total revenue of HKD 1,153,000, a decrease of 92.3% compared to HKD 14,871,000 for the same period in 2020[20] - The travel business generated revenue of HKD 894,000, down 93.3% from HKD 13,423,000 in the previous year, while the car rental business earned HKD 259,000, a decline of 82.1% from HKD 1,448,000[25] Expenses and Costs - Administrative expenses decreased to HKD 4.74 million for the three months ended March 31, 2021, from HKD 6.91 million in the same period of 2020[8] - Employee costs for the three months ended March 31, 2021, were approximately HKD 2.4 million, a decrease of about 42.9% compared to HKD 4.2 million in the same period of 2020[77] - The group incurred financing costs of HKD 154,000, significantly higher than HKD 26,000 in the same period last year[29] - Depreciation of property, plant, and equipment increased to HKD 1,184,000 from HKD 943,000 year-on-year, reflecting a 25.6% rise[30] Government Support - The group received government subsidies amounting to HKD 97,000, which was not recorded in the previous year[28] - Other income and gains increased from approximately HKD 62,000 for the three months ended March 31, 2020, to about HKD 0.1 million for the same period in 2021, mainly due to government subsidies received[43] Shareholder Information - The board of directors decided not to recommend the payment of any dividend for the three months ended March 31, 2021[6] - The group did not declare or pay any dividends for the three months ended March 31, 2021, consistent with the previous year[36] - The average number of shares used for calculating basic and diluted loss per share remained constant at 900,000 shares[35] - As of March 31, 2021, the chairman and CEO, Mr. Cai Weizhen, holds a 75% stake in the company through Silver Esteem Limited, which owns 900 million shares[102] - Silver Esteem Limited holds 900,000,000 shares, representing 75.0% of the company's ordinary shares[105] - Ms. Wong Pui Keng, as the spouse of Mr. Cai Weizhen, also holds 900,000,000 shares, equating to 75.0% ownership[106] Financial Position - As of March 31, 2021, the group's bank balance and cash were approximately HKD 47.1 million, down from HKD 66.1 million a year earlier, primarily due to acquisitions and operational cash usage[81] - The total borrowings and lease liabilities amounted to approximately HKD 13.8 million as of March 31, 2021, compared to HKD 2.8 million a year earlier[83] - The group's debt-to-equity ratio increased to approximately 20.2% as of March 31, 2021, up from 3.0% a year earlier, mainly due to increased bank borrowings[85] Strategic Plans - The company continues to focus on its core business in Macau, which includes ticket sales and hotel room distribution, as well as travel-related products and services[15] - The group plans to expand its tourism business into China to achieve business diversification and is actively seeking opportunities in the Chinese tourism market[68] - The group aims to establish agreements with more hotel operators to secure mid-range hotel rooms, thereby increasing the number of hotel rooms and expanding its hotel base to attract business travelers and high-spending customers[92] - The group anticipates that the gradual reopening of the border between China and Macau will lead to an increase in the number of Chinese tourists visiting Macau in 2021, which is expected to improve the group's business performance[93] - The group will continue to explore new hotel business opportunities under attractive conditions to capitalize on market rebound opportunities once conditions improve[93] - The group believes that sponsoring well-known concerts in Macau and China will help expand its tourism business and create synergies with its existing hotel room sales and car rental services[92] Risks and Challenges - The group faced significant risks and uncertainties due to the pandemic, which severely impacted the tourism industry in Macau, leading to potential long-term decreases in visitor numbers[71] - The group's revenue primarily comes from Macau, making it vulnerable to changes in policies and economic conditions in Macau and China[72] - The group is strategically seeking transactions and other opportunities to stabilize the impact of the pandemic on its business[71] - The group may face challenges in finding hotel operators to partner with for its expansion plans[71] - The group’s operational performance may be adversely affected if it fails to secure sufficient parking spaces at reasonable costs[75] Corporate Governance - The group is committed to maintaining high standards of corporate governance to ensure transparency and protect shareholder interests[96] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated financial statements for the three months ended March 31, 2021[111] - The company has not disclosed any significant events after March 31, 2021, up to the report date[110] Other Information - The group did not apply any new or revised Hong Kong Financial Reporting Standards that would have a significant impact on the financial statements for the period[18] - The group has not entered into any foreign exchange contracts or financial derivatives as of March 31, 2021, indicating no exposure to foreign exchange risks[91] - No stock options were granted, agreed to be granted, exercised, cancelled, or lapsed under the stock option plan as of March 31, 2021[107] - As of March 31, 2021, the group's capital commitments for contracted but not yet recognized acquisitions of properties, plants, and equipment amounted to approximately HKD 1.9 million, compared to HKD 1.1 million as of March 31, 2020[87] - As of March 31, 2021, the group had no significant contingent liabilities, unchanged from zero as of March 31, 2020[88]
瀛海集团(08668) - 2021 Q1 - 季度财报