Financial Performance - Revenue for the six months ended June 30, 2024, increased by 40.6% to HKD 759,308,000 compared to HKD 540,081,000 for the same period in 2023[1] - Gross profit rose by 31.7% to HKD 180,249,000, up from HKD 136,846,000 year-on-year[1] - Profit attributable to owners of the company surged by 64.9% to HKD 34,120,000, compared to HKD 20,690,000 in the previous year[1] - Basic and diluted earnings per share increased to HKD 6.79 from HKD 4.12[3] - The net profit margin improved to 4.5% from 3.8% year-on-year[1] - The reported segment profit for the travel-related business was HKD 47,108,000, while the hotel business reported a profit of HKD 17,371,000, leading to a total segment profit of HKD 64,479,000[11] - The pre-tax profit for the reporting segment was HKD 64,479, compared to HKD 45,543 in the previous year, reflecting a 41.5% increase[13] - Revenue from travel-related businesses was HKD 702,095, significantly up from HKD 490,661 in the same period last year[16] - The gross margin for the group was 23.7%, down from 25.3% in the previous year[42] Assets and Liabilities - Total assets decreased to HKD 457,404,000 as of June 30, 2024, from HKD 537,447,000 at the end of 2023[4] - Total liabilities decreased to HKD 391,491,000 from HKD 479,854,000, indicating a reduction in financial leverage[5] - Total assets for the reporting segments as of June 30, 2024, were HKD 783,941,000, while total liabilities stood at HKD 583,074,000[12] - Total assets as of June 30, 2024, were HKD 799,211, down from HKD 858,241 as of December 31, 2023[13] - Total liabilities decreased to HKD 739,672 from HKD 813,096 in the previous period[13] - The company's bank borrowings as of June 30, 2024, amounted to HKD 259,556,000, a reduction from HKD 313,009,000 as of December 31, 2023, showing a decrease of about 17.1%[33] - Total borrowings decreased to HKD 408,414,000 from HKD 495,750,000 as of December 31, 2023, reflecting early repayments of loans[50] Expenses and Costs - Employee costs increased to HKD 82,963 from HKD 63,030, reflecting higher compensation and benefits[20] - Sales expenses increased by 27.1% to approximately HKD 41.4 million due to hiring more frontline staff[44] - Administrative expenses rose by 13.9% to approximately HKD 84.5 million, primarily due to increased employee costs[45] - The group's financing costs totaled HKD 2,395,000 for the reporting period[11] - Financing costs for the period amounted to approximately HKD 1,600,000, a decrease from HKD 2,000,000 for the six months ended June 30, 2023, primarily due to early repayments of loans[46] Taxation - The total tax expense for the six months ended June 30, 2024, was HKD 10,714,000, significantly higher than HKD 3,751,000 for the same period in 2023, indicating an increase of about 185.5%[7] - Income tax expenses for the period were approximately HKD 10,700,000, significantly higher than HKD 3,800,000 for the six months ended June 30, 2023, due to increased taxable profits in Hong Kong and Japan[47] Business Strategy and Operations - The company continues to focus on expanding its travel-related services and products, including hotel operations and travel packages[7] - The group operates three business segments: travel-related services, merchandise sales, and hotel operations, each requiring different business strategies[10] - The group plans to continue expanding its market presence and developing new products and technologies to enhance growth prospects[10] - The group remains optimistic about the outbound travel demand in 2024, anticipating continued growth despite market volatility[64] - The group plans to enhance travel itinerary flexibility by arranging charter flights and cruises to boost sales and brand image[65] - The group aims to maintain sufficient operating cash flow for future operations while being cautious about cash positions, with excess cash intended to reduce leverage[65] Governance and Compliance - The board believes the company has complied with the corporate governance code and all applicable provisions during the six months ended June 30, 2024[66] - The board consists of six executive directors and three independent non-executive directors, ensuring a diverse governance structure[71] Shareholder Information - The company did not recommend an interim dividend for the six months ended June 30, 2024, compared to no interim dividend declared for the same period in 2023[24] - The company declared a special dividend of HKD 0.07 per share, totaling approximately HKD 35,172,000, to be distributed on January 18, 2024[48] - The interim report will be sent to shareholders in September 2024 and published on the company's website[71]
东瀛游(06882) - 2024 - 中期业绩