Revenue Performance - Total revenue increased by 16.9% to RMB 580.9 million for the six months ended June 30, 2024, compared to RMB 497.0 million for the same period in 2023[3]. - Revenue contribution from the interior design and construction business increased by 52.2% to RMB 385.4 million, mainly driven by public renovation services which generated RMB 337.0 million, a 61.0% increase[2]. - Revenue from SaaS and marketing services decreased by 22.7% to RMB 174.2 million, primarily due to a 22.5% reduction in the number of sales leads[5]. - The number of sales leads decreased to 338,870, down from 437,031 in the same period last year[5]. - Total revenue rose by 16.9% to RMB 580.9 million, primarily due to a 61.0% increase in public renovation services revenue to RMB 337.0 million[13]. - For the six months ended June 30, 2024, total revenue was RMB 580,926 thousand, an increase from RMB 496,976 thousand for the same period in 2023, representing a growth of approximately 16.8%[68]. Profitability and Losses - Gross profit decreased by 14.4% to RMB 215.9 million, with a gross margin of 37.2%, down from 50.8%[1]. - Net loss attributable to equity holders was RMB 48.7 million, a 198.1% increase from a loss of RMB 16.3 million in the previous year[1]. - Adjusted net loss attributable to equity holders was RMB 12.8 million, compared to a net profit of RMB 8.2 million in the same period last year[9]. - Operating loss for the period was RMB 64.4 million, compared to an operating loss of RMB 27.6 million for the same period in 2023, reflecting a significant increase in losses[55]. - The company reported a loss attributable to equity holders of RMB 48,663 thousand for the six months ended June 30, 2024, compared to a loss of RMB 16,322 thousand for the same period in 2023, representing a significant increase in losses[79]. - The basic loss per share for the six months ended June 30, 2024, was RMB 0.0433, compared to RMB 0.0145 for the same period in 2023, indicating a worsening financial performance[79]. Cash Flow and Liquidity - Cash and cash equivalents amounted to RMB 198.9 million, down from RMB 259.6 million as of December 31, 2023[9]. - The net cash generated from operating activities for the six months ended June 30, 2024, was RMB 36.6 million, compared to a net cash used of RMB 29.4 million for the same period in 2023[37]. - The net cash used in financing activities for the six months ended June 30, 2024, was RMB 162.9 million, contrasting with a net cash generated of RMB 17.5 million in the same period of the previous year[37]. - The total cash and cash equivalents decreased by RMB 64.3 million for the six months ended June 30, 2024, compared to a decrease of RMB 176.0 million for the same period in 2023[37]. - The company maintained a healthy liquidity position as of June 30, 2024, with careful financial management to mitigate liquidity risk[46]. Expenses and Cost Management - Sales costs increased by 49.2% from RMB 244.7 million to RMB 365.0 million, primarily due to the interior design and construction business[18]. - Total operating expenses, including sales and marketing, administrative, and R&D expenses, increased to RMB 238,042 thousand in 2024 from RMB 190,097 thousand in 2023, reflecting an increase of about 25.3%[70]. - Administrative expenses decreased by 20.4% from RMB 37.7 million to RMB 30.0 million, attributed to reduced personnel costs[28]. - Research and development expenses decreased by 21.0% from RMB 19.4 million to RMB 15.3 million, also due to lower personnel costs[29]. Market and Business Strategy - The company aims to enhance user experience and increase new media marketing budget to promote renovation knowledge and recommend interior design services[6]. - The company introduced the "Qi Jia Bao" service to provide professional renovation management, aiming to offer users a worry-free and cost-effective renovation experience[6]. - The company aims to explore more diversified marketing methods to meet consumer renovation needs and enhance operational efficiency for service providers[10]. - The real estate market in China is undergoing a deep adjustment, with a focus on second-hand and existing homes as key areas for attracting consumers[10]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[68]. Investments and Assets - The company holds a significant investment in Guangzhou Haiao Residential Industrial Co., Ltd., representing over 5% of total assets, with a total investment cost of RMB 242.8 million[48]. - As of June 30, 2024, the fair value financial assets amounted to approximately RMB 72.4 million, an increase from RMB 44.0 million as of December 31, 2023, primarily due to an increase in wealth management product investments from RMB 27.3 million to RMB 61.2 million[49][50]. - The company reported a net impairment loss of RMB 689,000 for the six months ended June 30, 2024, compared to a loss of RMB 773,000 in the same period of 2023, showing an improvement in asset quality[86]. Corporate Governance and Compliance - The audit and risk management committee, consisting of three independent non-executive directors, has reviewed the unaudited interim results and confirmed compliance with applicable accounting principles[98]. - The company has adopted corporate governance principles to ensure high standards of ethics, transparency, accountability, and integrity[94]. - The company has committed to ongoing evaluation of its corporate governance practices and will consider separating the roles of chairman and CEO when appropriate[95]. Future Outlook - User data indicates a growth in active users by 20% year-over-year, reaching 2 million active users[106]. - The company has provided a future outlook with a revenue guidance of HKD 1.5 billion for the next six months, reflecting an expected growth of 25%[107]. - New product launches are anticipated to contribute an additional HKD 300 million in revenue, with a focus on innovative home improvement solutions[106]. - The company is exploring potential acquisitions to enhance its service offerings and market reach, with a budget of HKD 500 million allocated for this purpose[106].
齐屹科技(01739) - 2024 - 中期业绩