鼎立资本(00356) - 2024 - 中期业绩

Financial Statements Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income The Group's loss significantly narrowed, primarily due to fair value gains on financial assets Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Highlights | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :--------------------------------------------------- | :----------------------- | :----------------------- | :--- | | Revenue | 443,154 | 117,162 | 278% increase | | Fair Value Gains/(Losses) on Financial Assets at Fair Value Through Profit or Loss | 590,777 | (21,002,055) | Turned from loss to gain | | Administrative and Other Operating Expenses | (4,561,365) | (4,082,088) | Increase | | Loss Before Tax | (3,527,323) | (24,966,869) | Loss narrowed | | Loss and Total Comprehensive Expense Attributable to Equity Holders of the Company for the Period | (3,718,071) | (24,815,324) | Loss narrowed | | Loss Per Share | (0.14) HK cents | (0.91) HK cents | Loss narrowed | | Interim Dividend | Nil | Nil | No change | Condensed Consolidated Statement of Financial Position Current assets, net assets, and total equity decreased, primarily due to reduced financial assets at fair value Condensed Consolidated Statement of Financial Position Highlights | Metric | June 30, 2024 (HKD) | December 31, 2023 (HKD) | Change | | :----------------------------------- | :------------------- | :------------------- | :--- | | Current Assets | 71,705,470 | 75,058,197 | 4.47% decrease | | Financial Assets at Fair Value Through Profit or Loss | 65,085,533 | 70,455,321 | 7.5% decrease | | Cash and Bank Balances | 331,841 | 265,674 | 24.9% increase | | Current Liabilities | 531,596 | 357,000 | 48.9% increase | | Net Current Assets | 71,173,874 | 74,701,197 | 4.72% decrease | | Deferred Tax | 700,924 | 510,176 | 37.4% increase | | Net Assets | 70,472,950 | 74,191,021 | 4.98% decrease | | Total Equity | 70,472,950 | 74,191,021 | 4.98% decrease | Notes to the Condensed Consolidated Financial Statements 1. Basis of Preparation Unaudited condensed consolidated financial statements are prepared under HKAS 34 and Listing Rules Appendix D2 - Financial statements are prepared in accordance with HKAS 34 "Interim Financial Reporting" and applicable disclosure requirements of Appendix D2 of the Listing Rules[3] 2. Principal Accounting Policies Financial statements are primarily prepared using the historical cost convention, consistent with prior year policies - Principal accounting policies are based on the historical cost convention, except for financial assets at fair value through profit or loss[4] - Accounting policies are consistent with those applied in the previous annual financial statements, except for changes noted in Note 3[4] 3. Changes in Accounting Policies New standards effective January 1, 2024, were adopted with no impact on the Group's financial performance - New standards, amendments to HKFRS 16, HKAS 1, and HKAS 7, effective January 1, 2024, have been adopted[5][6] - These revised standards had no impact on the Group's results or financial position for the current or prior periods[6] 4. Revenue Revenue significantly increased, primarily from investment activities in Hong Kong listed and unlisted securities Revenue Highlights | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :--- | :----------------------- | :----------------------- | :--- | | Revenue | 443,154 | 117,162 | 278% increase | - The Group's principal business is investing in Hong Kong listed and unlisted securities with growth and capital appreciation potential[7] - The Group operates in a single business segment (investment holding), with all consolidated revenue and results dependent on the performance of the Hong Kong market[8] 5. Other Income Other income, primarily interest income, remained insignificant and consistent with the prior period Other Income Highlights | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :--- | :----------------------- | :----------------------- | :--- | | Interest Income | 111 | 112 | Slight decrease | 6. Fair Value Gains/(Losses) on Financial Assets at Fair Value Through Profit or Loss Fair value of financial assets at FVTPL turned from a significant loss to a gain, driven by unrealized gains on listed shares Fair Value Gains/(Losses) on Financial Assets at FVTPL | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :--------------------------------------------------- | :----------------------- | :----------------------- | :--- | | Total Fair Value Gains/(Losses) | 590,777 | (21,002,055) | Turned from loss to gain | | Realized (Hong Kong Listed Shares) | (1,428,478) | 20,621 | Turned from gain to loss | | Unrealized (Hong Kong Listed Shares) | 2,245,555 | (18,628,519) | Turned from loss to gain | | Unrealized (Unlisted Investments) | (226,300) | (2,394,157) | Loss narrowed | 7. Loss Before Tax Loss before tax significantly narrowed, with a decrease in staff costs and MPF contributions Components of Loss Before Tax | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :----------------------------------- | :----------------------- | :----------------------- | :--- | | Staff Costs (including Directors' Emoluments) | 1,117,407 | 1,248,116 | 10.47% decrease | | Defined Contribution Mandatory Provident Fund Scheme Contributions | 33,242 | 34,500 | 3.65% decrease | 8. Taxation No Hong Kong profits tax provision was made due to carried forward tax losses; deferred tax liabilities increased - No provision for Hong Kong profits tax was made due to tax losses carried forward from prior years exceeding estimated assessable profits for the period[12] Deferred Tax Liabilities | Metric | December 31, 2023 (HKD) | Credit for the Period (HKD) | June 30, 2024 (HKD) | | :------------------- | :------------------- | :-------------- | :------------------- | | Deferred Tax Liabilities | 510,176 | 190,748 | 700,924 | 9. Loss Per Share Loss per share significantly narrowed, reflecting reduced loss attributable to equity holders; no diluted EPS presented Loss Per Share Details | Metric | As of June 30, 2024 | As of June 30, 2023 | Change | | :--- | :---------------- | :---------------- | :--- | | Loss Per Share | (0.14) HK cents | (0.91) HK cents | Loss narrowed | | Loss Attributable to Equity Holders of the Company | 3,718,071 HKD | 24,815,324 HKD | Loss narrowed | | Weighted Average Number of Ordinary Shares in Issue | 2,735,280,000 shares | 2,735,280,000 shares | No change | - No diluted earnings per share is presented as the Group had no potentially dilutive ordinary shares in issue during the periods presented[13] 10. Financial Assets at Fair Value Through Profit or Loss Total financial assets at FVTPL decreased, mainly due to reduced values of listed and unlisted equity securities Financial Assets at FVTPL Summary | Metric | June 30, 2024 (HKD) | December 31, 2023 (HKD) | Change | | :----------------------------------- | :------------------- | :------------------- | :--- | | Total | 65,085,533 | 70,455,321 | 7.5% decrease | a) Details%20Details) Financial Assets at FVTPL by Category | Category | June 30, 2024 (HKD) | December 31, 2023 (HKD) | Change | | :--------------------------- | :------------------- | :------------------- | :--- | | Equity Securities Listed in Hong Kong | 59,337,097 | 64,480,585 | 8.0% decrease | | Unlisted Equity Securities | 558,436 | 784,736 | 28.8% decrease | | Unlisted Investment Funds | 5,190,000 | 5,190,000 | No change | - Unlisted equity securities primarily represent an investment in Guangzhou Jinyang Aquatic Products Breeding Co., Ltd[16] - Unlisted investment funds consist of P.B. Capital Advanced Fund 3 Segregated Portfolio[16] Review Report and Management Discussion and Analysis Review Report The Group's net loss attributable to shareholders and loss per share significantly narrowed for the period Review Report Highlights | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :----------------------------------- | :----------------------- | :----------------------- | :--- | | Net Loss Attributable to Shareholders | 3,718,071 | 24,815,324 | 85% loss narrowed | | Loss Per Share | 0.14 HK cents | 0.91 HK cents | 84.6% loss narrowed | Interim Dividend The Board resolved not to declare any interim dividend for the period, consistent with the prior year - The Board resolved not to declare or pay any interim dividend for the period ended June 30, 2024[18] Business Review Loss resulted from insufficient fair value gains and revenue to cover expenses; no new investments were made - The period's loss was primarily due to fair value gains on financial assets and revenue of approximately HKD1,030,000 being insufficient to cover administrative and other operating expenses of approximately HKD4,560,000[19] - There were no new investment plans since January 2024[19] Listed Securities Performance | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :----------------------------------- | :----------------------- | :----------------------- | :--- | | Unrealized Fair Value Gains/(Losses) on Listed Securities | 2,250,000 | (18,630,000) | Turned from loss to gain | | Realized Gains/(Losses) on Listed Securities | (1,430,000) | 20,000 | Turned from gain to loss | - The Group's strategy for 2024 is to preserve cash balances in preparation for stock market volatility, with no new investment plans[19] Outlook Facing market pressures and geopolitical risks, the Group will cautiously identify long-term investment opportunities - The Chinese stock market is under pressure, with the property and stock markets remaining sluggish, and government measures yet to improve market sentiment[20] - The Hong Kong stock market is affected by the Sino-US strategic rivalry and global geopolitical tensions, eroding business and investment confidence[20] - The Group will adopt a prudent approach to identify and evaluate investment opportunities, seeking long-term prospects to enrich its investment portfolio[20] Financial Review Cash and bank balances increased, while total borrowings and gearing ratio rose; net financial asset investments decreased Financial Resources and Liquidity Financial Resources and Liquidity Highlights | Metric | June 30, 2024 (HKD) | December 31, 2023 (HKD) | Change | | :--------------------------- | :------------------- | :------------------- | :--- | | Cash and Bank Balances | 330,000 | 270,000 | 22.2% increase | | Total Borrowings | 530,000 | 350,000 | 51.4% increase | | Gearing Ratio | 0.75% | 0.47% | 0.28 percentage points increase | | Net Financial Asset Investments | 65,090,000 | 70,460,000 | 7.6% decrease | Capital Structure - The Company's capital structure remained unchanged since January 1, 2024[21] Other Information Employees and Remuneration Policy Employee count decreased to four; remuneration is reviewed based on market terms, qualifications, and performance Employee Count | Metric | June 30, 2024 | 2023 | Change | | :--- | :------------ | :----- | :--- | | Number of Employees | 4 | 5 | 1 decrease | - The remuneration package includes basic salary, MPF contributions, medical insurance, and other benefits, reviewed based on market terms, individual qualifications, and performance[22] Staff Costs Total staff costs for the review period decreased compared to the prior year Total Staff Costs | Metric | As of June 30, 2024 (HKD) | As of June 30, 2023 (HKD) | Change | | :--- | :----------------------- | :----------------------- | :--- | | Total Staff Costs | 1,150,649 | 1,282,616 | 10.29% decrease | Foreign Exchange Fluctuation Risk and Related Hedging Most assets and liabilities are HKD-denominated; no foreign exchange hedging contracts are currently in place - The majority of the Group's assets and liabilities are denominated in Hong Kong Dollars[24] - The Group currently has no contracts in place to hedge its foreign exchange risk[24] Purchase, Sale or Redemption of Securities Neither the Company nor its subsidiaries purchased, sold, or redeemed any of its securities during the period - During the review period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's securities[25] Corporate Governance The Board established corporate governance procedures and fully complied with the Corporate Governance Code - The Board has established corporate governance procedures to comply with the Corporate Governance Code set out in Appendix C1 of the Listing Rules[26] - The Company has fully complied with the code provisions of the Corporate Governance Code for the six months ended June 30, 2024[26] Audit Committee The Audit Committee reviewed and oversaw financial reporting and internal controls, and this interim report - The Company established an Audit Committee in accordance with Rule 3.21 of the Listing Rules to review and supervise the Group's financial reporting procedures and internal controls[27] - The Company's Audit Committee has reviewed the interim report for the period ended June 30, 2024[27] Model Code for Securities Transactions by Directors The Company complied with the code for directors' securities transactions; all directors confirmed adherence - The Company has complied with the code for directors' securities transactions, which is no less exacting than the Model Code[28] - All Directors have confirmed compliance with the required standards set out in the Model Code and the Company's adopted code for directors' securities transactions[28] Publication of Interim Report This interim report is published on the HKEXnews website and the Company's website - This interim report is published on the HKEXnews website (www.hkexnews.hk) and the Company's website (www.dt-capitalhk.com)[29](index=29&type=chunk) Board of Directors The Board comprises executive, non-executive, and independent non-executive directors as of the announcement date - As of the announcement date, the Board comprises Executive Directors Mr. Leung Chi Wai and Mr. Suk Chun Cheung; Non-executive Director Ms. Chan Pui Kwan; and Independent Non-executive Directors Mr. Chan Yeung Tak, Mr. Tang Chin Ting, and Mr. Ha Yuk Wai[30]