Financial Performance - The company reported revenue of HKD 20,715,000 for the six months ended June 30, 2024, a decrease of 51.3% compared to HKD 42,526,000 for the same period in 2023[2]. - The cost of sales was HKD 22,745,000, resulting in a gross loss of HKD 2,030,000, compared to a gross loss of HKD 2,473,000 in the previous year[2]. - The company incurred a loss before tax of HKD 13,483,000, an improvement from a loss of HKD 16,520,000 in the same period last year, indicating an 18.4% reduction in losses[2]. - Total comprehensive loss for the period was HKD 15,060,000, down from HKD 19,958,000 in the prior year, reflecting a 24.5% decrease[3]. - The basic and diluted loss per share was HKD 3.30, an improvement from HKD 4.04 in the previous year[2]. - The group reported a net loss attributable to equity holders of approximately HKD 15.1 million for the six months ended June 30, 2024, compared to a net loss of HKD 20.0 million in the same period of 2023[43]. Assets and Liabilities - Non-current assets decreased to HKD 18,287,000 as of June 30, 2024, from HKD 31,790,000 as of December 31, 2023, representing a decline of 42.5%[4]. - Current assets totaled HKD 39,279,000, down from HKD 47,539,000 at the end of 2023, indicating a decrease of 17.4%[4]. - The company's net asset value dropped to HKD 4,328,000 as of June 30, 2024, compared to HKD 19,388,000 at the end of 2023, a decline of 77.7%[5]. - The total assets of the group decreased to HKD 57,566,000 from HKD 79,329,000, a decline of about 27.4%[16]. - The total liabilities of the group also decreased to HKD 53,238,000 from HKD 59,968,000, representing a reduction of approximately 11.3%[16]. Cash Flow - Cash flow from operating activities for the six months ended June 30, 2024, was HKD 1,656,000, down from HKD 4,187,000 in 2023, indicating a decline of about 60.4%[7]. - The company recorded a net cash inflow from investing activities of HKD 7,205,000 for the six months ended June 30, 2024, compared to a net outflow of HKD 1,050,000 in the previous year[8]. - Total cash and cash equivalents at the end of June 30, 2024, were HKD 4,087,000, an increase from HKD 2,734,000 at the end of June 30, 2023[8]. - The company’s financing activities resulted in a net cash outflow of HKD 7,320,000 for the six months ended June 30, 2024, compared to a net inflow of HKD 869,000 in the previous year[8]. Revenue Segments - Revenue from external customers for the sewing thread production and trading segment was HKD 4,125,000, a decrease from HKD 13,442,000 in the same period last year, representing a decline of approximately 69.3%[14]. - The interior design and renovation segment generated revenue of HKD 10,450,000, compared to HKD 10,294,000 in the previous year, indicating a slight increase of 1.5%[14]. - The horse services segment reported a revenue of HKD 4,646,000, down from HKD 18,790,000 year-on-year, reflecting a significant decrease of approximately 75.2%[14]. - The securities, corporate finance, and asset management advisory segment generated revenue of HKD 1.5 million for the six months ended June 30, 2024, as it was in the initial stage in the previous year and did not record any revenue[32]. Cost of Sales - The group incurred a cost of sold inventory amounting to HKD 13,544,000, down from HKD 27,408,000 in the previous year, indicating a decrease of 50.7%[19]. - The cost of sales for the sewing thread production and trade decreased to approximately HKD 5.5 million for the six months ended June 30, 2024, a reduction of 52.6% compared to HKD 11.7 million for the same period in 2023[34]. - The cost of sales for the interior design and decoration segment increased to approximately HKD 8.5 million, up 12.7% from HKD 7.6 million in the previous year[35]. - The cost of sales for the horse services segment decreased significantly to approximately HKD 8.7 million, a decline of 66.3% from HKD 25.8 million in the prior year[36]. Corporate Governance and Management - The board believes that maintaining good corporate governance is essential for the company's sustainable growth and management effectiveness[66]. - The chairman and CEO, Mr. Huang, has been involved in the group's daily operations since 2008, ensuring strong and consistent leadership[67]. - The audit committee has been established in accordance with GEM listing rules, consisting of two independent non-executive directors[73]. - The audit committee has reviewed the consolidated performance of the group for the six months ending June 30, 2024[72]. Future Outlook and Challenges - The company expects ongoing challenges due to the US-China trade conflict and high interest rates, which are anticipated to impact financial conditions and cash flow[55]. - The management plans to allocate more resources to the interior design, renovation, and decoration services segment in the second half of the year, anticipating increased demand in Hong Kong and the Greater Bay Area[55]. - The purebred horse segment is expected to remain soft due to high interest rates in Australia, leading the company to maintain biological assets at a low level and reduce investments in this area[55]. Shareholder Information - As of June 30, 2024, Mr. Huang Guowei holds 120 million shares, representing 29.33% of the company's issued share capital[56]. - Three Gates Investment holds 120,000,000 shares, representing 29.33% of the company's issued share capital[60]. - Upbest Financial Holdings Limited and other related entities collectively own 80,000,000 shares, each representing 19.55% of the company's issued share capital[61]. Compliance and Regulations - The company has confirmed compliance with the trading standards set forth in the GEM Listing Rules during the reporting period[68]. - The company has not experienced any changes in the interests of directors or major shareholders in competitive businesses during the reporting period[63].
维港育马(08377) - 2024 - 中期业绩