Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 16,076,000, a decrease of 37% compared to RMB 25,613,000 for the same period in 2023[1] - Gross profit for the period was RMB 2,484,000, down 52% from RMB 5,209,000 in the previous year[1] - Operating loss for the six months ended June 30, 2024, was RMB 1,605,000, compared to an operating profit of RMB 31,000 in the same period of 2023[1] - Net loss for the period was RMB 1,783,000, compared to a net loss of RMB 916,000 in the prior year[1] - Basic and diluted loss per share for the period was RMB (0.45), compared to RMB (0.23) in the same period of 2023[1] - The company reported a pre-tax loss of RMB 1,783 thousand for the six months ended June 30, 2024, compared to a loss of RMB 916 thousand for the same period in 2023, indicating a worsening financial performance[16] - Basic loss per share for the six months ended June 30, 2024, was RMB 0.45, compared to RMB 0.23 for the same period in 2023, reflecting increased losses per share[17] - The group reported a loss before tax of RMB 1,783 thousand, compared to a loss of RMB 4,733 thousand in the previous period, indicating an improvement in performance[19] - The company recorded a net loss of approximately RMB 17.8 million for the six months ended June 30, 2024, compared to a net loss of approximately RMB 9.6 million for the same period in 2023[38] Cash Flow and Assets - Cash and cash equivalents increased to RMB 15,125,000 as of June 30, 2024, from RMB 9,082,000 at the beginning of the period[4] - Net cash generated from operating activities was RMB 7,875,000, significantly higher than RMB 1,359,000 in the same period last year[4] - Total assets as of June 30, 2024, were RMB 61,543,000, compared to RMB 57,042,000 as of December 31, 2023[2] - Non-current assets amounted to RMB 36,030,000, slightly down from RMB 36,765,000 at the end of 2023[2] - Current liabilities increased to RMB 30,991,000 from RMB 24,061,000 at the end of 2023[2] - Trade receivables and bills receivable (net of expected credit loss provisions) amounted to RMB 40,331 thousand as of June 30, 2024, slightly down from RMB 41,638 thousand at the end of 2023[21] - The group recognized an expected credit loss provision of RMB 4,076 thousand for trade receivables aged over one year[22] - Trade payables totaled RMB 4,060 thousand as of June 30, 2024, compared to RMB 2,958 thousand at the end of 2023, reflecting an increase of approximately 37.2%[25] - As of June 30, 2024, the group had no asset pledges, compared to approximately RMB 1.8 million as of December 31, 2023[43] Revenue Breakdown - Sales of fiberglass products generated RMB 14,503 thousand, with fiberglass grating sales at RMB 9,602 thousand and epoxy wedge strips at RMB 4,901 thousand, reflecting a significant decline in epoxy wedge strip sales from RMB 15,675 thousand in the previous year[9] - The fiberglass business generated revenue of RMB 14,503 thousand, while the silicon sand business contributed RMB 1,573 thousand for the same period[19] - Revenue from local customers in China (excluding Hong Kong) was RMB 11,009 thousand, down from RMB 21,466 thousand year-on-year, a decrease of approximately 48.7%[20] - Revenue from overseas customers increased to RMB 5,067 thousand, up from RMB 4,147 thousand, marking a growth of approximately 22.2%[20] - The total revenue from the sale of silica sand was RMB 1,573 thousand, marking the first revenue from this segment, as there were no sales reported in the previous year[9] Expenses and Costs - Employee costs, including director remuneration, amounted to RMB 4,265 thousand for the six months ended June 30, 2024, slightly down from RMB 4,375 thousand in the previous year[12] - Research and development costs for the period were RMB 571 thousand, up from RMB 519 thousand in the same period last year, indicating continued investment in innovation[12] - The company’s financial costs included bank charges of RMB 8 thousand and lease liabilities interest of RMB 94 thousand, showing a decrease in financial costs compared to the previous year[12] - Administrative expenses increased by approximately RMB 21 million or 48.8% to RMB 64 million for the six months ended June 30, 2024, mainly due to higher audit and legal fees[38] - The total employee cost for the six months ended June 30, 2024, was approximately RMB 4.3 million, slightly down from RMB 4.4 million for the same period in 2023[45] Corporate Governance and Management - The company did not declare any interim dividends for the six months ended June 30, 2024, consistent with the previous year[15] - The group did not conduct any acquisitions or disposals of subsidiaries or associates during the six months ended June 30, 2024[44] - The board does not recommend any interim dividend for the six months ended June 30, 2024, consistent with no dividend for the same period in 2023[46] - The group has not used any financial instruments to hedge foreign exchange risks as of June 30, 2024[42] - The group has no significant post-reporting date events from June 30, 2024, until the report date[47] - Li Yubao holds a 40.9% equity interest in the company through LF INTERNATIONAL PTE. LTD. and another entity, totaling 163,600,000 shares[49] - The group did not purchase, sell, or redeem any of its listed securities during the six months ended June 30, 2024[62] - There were no competitive interests held by directors or their close associates in any business that competes directly or indirectly with the group as of June 30, 2024[63] - The company has adopted the GEM Listing Rules regarding directors' securities transactions and has complied with the code of conduct for the six months ending June 30, 2024[64] - The board believes that the company has adhered to all applicable provisions of the corporate governance code for the six months ending June 30, 2024[65] - The Audit Committee, established on December 16, 2016, consists of three independent non-executive directors and has reviewed the unaudited performance for the six months ending June 30, 2024[66] Future Plans - The company plans to commence production and sales of industrial silica sand materials in the second half of 2024, which is expected to bring significant economic benefits[31] - The company is currently constructing a new factory in Inner Mongolia to prepare for its silica sand business segment[32] - The company aims to enhance product recognition through improved technology and maintain effective cost control to strengthen competitiveness[31]
硅鑫集团(08349) - 2024 - 中期财报