Financial Performance - Revenue decreased by 11.5% to HKD 62,620,000 compared to the same period last year[1] - Gross profit decreased by 49.6% to HKD 9,030,000[1] - Operating loss increased by 152.9% to HKD 21,240,000[1] - Loss attributable to owners increased by 160.1% to HKD 20,990,000[1] - Basic loss per share increased by 160.0% to HKD 2.99[1] - The group reported an operating loss of HKD 8,400,000 for the six months ended June 30, 2024, compared to a loss of HKD 3,769,000 in the previous period[13] - The group incurred a total loss of HKD 8,442,000 for the period, with a tax expense of HKD 519,000[13] - The group reported a net impairment loss of HKD 6,000 for financial and contract assets[12] - The group’s total revenue decreased by 10% compared to the previous period, reflecting challenges in the environmental governance sector[12] - The group recorded a net loss attributable to the owners of approximately HKD 20,990,000 for the fiscal year 2024, an increase of approximately HKD 12,920,000 or about 160.1% compared to the net loss of HKD 8,070,000 in fiscal year 2023[40] Assets and Liabilities - Total assets decreased from HKD 488,498,000 to HKD 447,574,000[5] - Non-current assets decreased from HKD 147,056,000 to HKD 141,123,000[5] - Current assets decreased from HKD 341,442,000 to HKD 306,451,000[5] - Total liabilities decreased from HKD 173,297,000 to HKD 156,062,000[7] - The group’s total liabilities amounted to HKD 156,062,000, with HKD 67,790,000 attributed to the cigarette packaging business and HKD 268,833,000 to the environmental governance business[14] - The group’s total assets as of June 30, 2024, were valued at HKD 291,510,000, down from HKD 315,200,000 as of December 31, 2023[45] - As of June 30, 2024, the group's borrowings amounted to approximately HKD 16,980,000, a decrease from HKD 22,620,000 as of December 31, 2023, with a fixed interest rate of 3.70%[47] - The debt-to-equity ratio as of June 30, 2024, was 3.33%, down from 4.08% as of December 31, 2023[47] Revenue Breakdown - Revenue from the cigarette packaging business reached HKD 70,806,000, while the environmental governance business reported a loss of HKD 121,000, resulting in total group revenue of HKD 70,735,000[12] - Revenue for the six months ended June 30, 2024, was HKD 62,615 thousand, a decrease of 11.5% compared to HKD 70,735 thousand for the same period in 2023[15] - Sales of cigarette packaging products decreased to HKD 58,445 thousand from HKD 70,806 thousand, representing a decline of 17.4%[15] - Revenue from environmental and ecological restoration contracts increased to HKD 4,069 thousand from a loss of HKD 121 thousand, indicating a significant recovery[15] - The cigarette packaging business generated revenue of approximately HKD 58,450,000, a decrease of HKD 12,360,000 or 17.5% from HKD 70,810,000 in the previous fiscal period[31] - The environmental management business recorded revenue of approximately HKD 4,070,000, compared to HKD 120,000 in the previous fiscal period[32] Expenses and Costs - Cost of goods sold for the six months ended June 30, 2024, was HKD 35,078 thousand, down from HKD 43,097 thousand, a decrease of 18.6%[20] - Employee costs, including director remuneration, were HKD 15,680 thousand, compared to HKD 16,845 thousand, a reduction of 6.9%[20] - Other losses netted HKD (10,973) thousand for the period, compared to HKD (3,769) thousand in the previous year, indicating increased financial strain[21] - Distribution costs for the reporting period were approximately HKD 280,000, an increase of HKD 90,000 from about HKD 190,000 in the previous year[34] - Administrative expenses were approximately HKD 18,200,000, a decrease of 16.1% or about HKD 3,500,000 from HKD 21,700,000 in the previous fiscal period[35] Market and Strategic Outlook - The group plans to enhance its market expansion strategies in the environmental governance sector to improve future performance[12] - The group anticipates challenges in the cigarette packaging and environmental management businesses for the remainder of 2024[52] - The group aims to strengthen relationships with existing customers and seek new clients to expand its market share in cigarette packaging materials[52] Shareholder Information - The board does not recommend the payment of an interim dividend for the six months ended June 30, 2024[1] - The group did not recommend the payment of an interim dividend for the reporting period, consistent with fiscal year 2023[41] - The interim results announcement has been published on the company's website and the Hong Kong Stock Exchange website[58] - The interim report for the six months ending June 30, 2024, will be sent to shareholders in due course[58] Employment and Workforce - The group employed a total of 273 full-time employees as of June 30, 2024, a decrease from 288 employees as of December 31, 2023[53] - Total employee compensation during the reporting period was HKD 15,680,000, down from HKD 16,850,000 in the fiscal year 2023[53] Compliance and Governance - The audit committee has reviewed the group's interim performance for the reporting period[57] - The company has not engaged in any significant acquisitions or disposals related to subsidiaries, associates, or joint ventures during the reporting period[51] - The company did not engage in any purchases, redemptions, or sales of its listed securities during the reporting period[57]
华禧控股(01689) - 2024 - 中期业绩