Financial Performance - Total revenue for the six months ended June 30, 2024, was HKD 368,700,000, a decrease from HKD 4,138,942,000 in the same period of 2023[1] - Commission income was HKD 40,859,000, down 30.5% from HKD 58,763,000 year-on-year[2] - Interest income calculated using the effective interest method was HKD 42,109,000, significantly lower than HKD 205,800,000 in the previous year[1] - Net investment loss was HKD (1,799,000), compared to a gain of HKD 47,484,000 in the same period last year[1] - Pre-tax profit decreased to HKD 11,760,000 from HKD 115,201,000 year-on-year, representing a decline of 89.8%[2] - Net profit attributable to equity holders was HKD 11,162,000, down 90% from HKD 111,269,000 in the previous year[3] - Basic and diluted earnings per share were both HKD 0.2, a decrease from HKD 1.8 in the same period last year[2] Assets and Liabilities - Total assets as of June 30, 2024, amounted to HKD 4,293,599,000, compared to HKD 4,064,012,000 at the end of 2023[4] - Total liabilities increased to HKD 2,218,148,000 from HKD 2,002,597,000 at the end of the previous year[4] - Total equity attributable to equity holders was HKD 2,075,451,000, a slight increase from HKD 2,061,415,000 at the end of 2023[4] Revenue Breakdown - The company reported segment revenue for the corporate finance division at HKD 4,570,000 and for the asset management division at HKD 6,526,000 for the six months ended June 30, 2024[9] - Brokerage segment revenue reached HKD 105,339,000, while interest income for the same segment was HKD 24,910,000 for the six months ended June 30, 2024[10] - Revenue from related parties for the six months ended June 30, 2024, was HKD 30,485,000, down from HKD 162,589,000 in the previous year[12] - Corporate finance business revenue decreased from approximately HKD 9 million in the first half of 2023 to approximately HKD 4 million in the first half of 2024, representing a decline of about 56%[40] - Asset management business revenue fell from approximately HKD 5 million in the first half of 2023 to approximately HKD 3 million in the first half of 2024, a decrease of 40%[41] Operating Expenses - Total operating expenses for the six months ended June 30, 2024, were HKD 27,236,000, down from HKD 29,487,000 in the previous year, a reduction of 7.6%[16] - Tax expense for the six months ended June 30, 2024, was HKD 598,000, compared to HKD 3,932,000 for the same period in 2023, reflecting a decrease of 84.8%[19] - The company incurred a loss of HKD 12,203,000 due to modifications in credit loan terms, which was not present in the previous year[14] - Legal and professional fees amounted to HKD 5,585,000, a decrease from HKD 9,067,000 in the previous year, indicating a reduction in professional service costs[16] Credit and Loans - Margin loans to clients amounted to HKD 520,434 as of June 30, 2024, down from HKD 547,986 as of December 31, 2023[23] - Total unsecured credit loans increased to HKD 4,021,751 as of June 30, 2024, compared to HKD 3,854,279 as of December 31, 2023[24] - The expected credit loss provision for secured credit loans was HKD 502,588 as of June 30, 2024, compared to HKD 558,615 as of December 31, 2023[24] - The net amount of credit loans after expected credit loss provisions decreased from approximately HKD 422.18 million to about HKD 354 million, reflecting a decline of 16.1%[57] Employee and Operational Management - The company employed 181 full-time employees in Hong Kong as of June 30, 2024, down from 193 as of December 31, 2023[62] - The company actively conducts briefings to enhance employee risk awareness and has established internal procedures and control guidelines[67] - The company has adopted a credit risk policy to manage its lending business, which includes assessing potential borrowers and their assets, ensuring compliance with applicable laws and regulations[54] Dividends and Shareholder Returns - The company declared a special dividend of HKD 0.011 per ordinary share for the six months ended June 30, 2023, totaling HKD 68,168, while no interim dividend was declared for the six months ending June 30, 2024[22] - The board has decided not to declare an interim dividend for the six months ending June 30, 2024, compared to a special dividend of HKD 0.011 per share in 2023[69] Risk Management and Compliance - The company has a business continuity policy and a special committee to address any potential operational risks[67] - The company continues to monitor and assess market risk conditions and reports significant risks to senior management[65] - The company has committed to complying with evolving regulatory requirements to protect investor interests and maintain market integrity[68]
华富建业金融(00952) - 2024 - 中期业绩