Financial Performance - For the six months ended June 30, 2024, the company reported a revenue of HKD 194,250,000, a decrease of 41.8% compared to HKD 332,795,000 for the same period in 2023[1] - Gross profit for the same period was HKD 74,925,000, down 51.2% from HKD 153,867,000 year-on-year[1] - The company recorded a net loss attributable to owners of HKD 84,008,000, compared to a profit of HKD 414,000 in the previous year[2] - Total comprehensive loss for the period was HKD 95,644,000, compared to a comprehensive income of HKD 3,291,000 in the same period last year[2] - The operating loss for the group was HKD 27,821,000, with a pre-tax loss of HKD 84,423,000 for the reporting period[11] - The company reported a basic and diluted loss per share of HKD 11.11 for the period, compared to earnings of HKD 0.05 per share in the previous year[2] - The group reported a total revenue of HKD 194,250,000 for the six months ended June 30, 2024, compared to HKD 332,795,000 for the same period in 2023, representing a decline of approximately 41.7%[13] - The company's net asset value decreased by 13.9% to approximately HKD 732,900,000 as of June 30, 2024[38] Assets and Liabilities - The company's total assets decreased to HKD 928,641,000 as of June 30, 2024, down from HKD 1,031,356,000 at the end of 2023[3] - Current liabilities amounted to HKD 140,886,000, a decrease from HKD 147,764,000 at the end of 2023[3] - The company's cash and cash equivalents decreased significantly to HKD 84,493,000 from HKD 181,202,000 at the end of 2023[3] - Non-current assets increased slightly to HKD 531,082,000 from HKD 520,293,000 at the end of 2023[3] - The company’s equity attributable to owners decreased to HKD 745,915,000 from HKD 863,734,000 at the end of 2023[4] - Trade receivables, net of provisions, were HKD 73,732,000 as of June 30, 2024, down from HKD 113,521,000 as of December 31, 2023[21] Revenue Breakdown - Revenue from toys amounted to HKD 186,193,000, while lighting products generated HKD 8,057,000 in the first half of 2024[13] - The group’s geographical revenue breakdown showed significant contributions from the US (HKD 224,096,000) and Europe (HKD 43,664,000) for the first half of 2024[11] - In the first half of 2024, the group's revenue from the US market decreased by HKD 101,744,000 or 45.4% to HKD 122,352,000 compared to the same period last year[43] - Revenue from the European market fell by HKD 11,645,000 or 26.7% to HKD 32,019,000 in the first half of 2024 compared to the previous year[44] - The Canadian market's revenue decreased by HKD 11,663,000 or 36.2% to HKD 20,572,000 in the first half of 2024 compared to the same period last year[46] - Revenue from the Mexican market declined by HKD 1,125,000 or 25.5% to HKD 3,292,000 in the first half of 2024 compared to the previous year[47] - The Australian and New Zealand markets saw a revenue drop of HKD 3,901,000 or 25.0% to HKD 11,684,000 in the first half of 2024 compared to the same period last year[48] - The group’s total revenue from other regions was HKD 6,964,000, contributing to the overall revenue[11] Expenses and Costs - Distribution and selling costs increased by approximately 4.2% to about HKD 76,933,000, primarily due to higher advertising expenses[28] - Administrative expenses rose by approximately 4.8% to around HKD 79,226,000, mainly due to increased salaries and related costs[29] - Research and development expenses decreased by about 8.8% to approximately HKD 10,586,000 due to reduced resources allocated to toy product development[31] - The group’s financial expenses for the period were HKD 2,126,000, reflecting the cost of financing operations[11] - Depreciation expenses for the reporting period were HKD 30,152,000, indicating ongoing investment in fixed assets[11] Strategic Initiatives - The company is optimizing production technology and capacity while managing operational costs prudently in response to global economic challenges[25] - The group continues to maintain strong business relationships with major clients, including Walmart and Amazon, despite the revenue declines[43][46] - The group has launched new products under the "TEENAGE MUTANT NINJA TURTLES" and "CAT" brands, aiming to diversify its product offerings[42] - The group is focusing on cost control and enhancing customer relationships to improve competitiveness and reduce operational risks[40] - The group is leveraging automation and skill enhancement in its manufacturing facilities in Vietnam to improve production efficiency[41] - The company plans to invest in real estate in Vietnam to capitalize on growth opportunities in Southeast Asia[55] - The company aims to enhance its product portfolio by developing sustainable and technology-driven products[54] Compliance and Governance - The company emphasizes maintaining healthy relationships with stakeholders and fulfilling social responsibilities[51] - The company is committed to adhering to applicable laws and regulations, ensuring compliance through internal monitoring[52] - The company has adopted a set of conduct rules for directors regarding securities trading, ensuring compliance with the standards outlined in the Listing Rules Appendix C3[61] - The Audit Committee has reviewed the unaudited interim results for the six months ending June 30, 2024, confirming compliance with applicable accounting standards and legal requirements[63] - The interim results announcement will be published on the Hong Kong Stock Exchange and the company's website, with the interim report to be sent to shareholders at the appropriate time[64] Employee and Operational Metrics - Employee count as of June 30, 2024, is approximately 2,300, a slight decrease from 2,310 on December 31, 2023[56] - The company incurred a tax expense of HKD 96,000 for the six months ended June 30, 2024, compared to HKD 20,000 in the same period last year[16] - Capital expenditures for the period amounted to approximately HKD 21,514,000, aimed at expanding and enhancing production capacity[37] - The company declared an interim dividend of HKD 1.5 cents per share, down from HKD 2.0 cents per share in the previous year[18] - The mid-term dividend declared is HKD 0.015 per share, down from HKD 0.020 per share in the previous year[57]
MATRIX HOLDINGS(01005) - 2024 - 中期业绩