Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 264,519,000, representing a 65% increase from HKD 160,255,000 in the same period of 2023[1] - Gross profit for the same period was HKD 124,174,000, up 97% from HKD 62,926,000 year-on-year[1] - The company reported a profit before tax of HKD 37,848,000 compared to a loss of HKD 18,067,000 in the previous year[2] - Net profit for the period was HKD 31,292,000, a significant recovery from a loss of HKD 18,761,000 in 2023[2] - Basic and diluted earnings per share for the period were HKD 1.56, compared to a loss per share of HKD 0.94 in the prior year[2] - Total revenue for the six months ended June 30, 2024, reached HKD 264,519,000, a significant increase of 65% compared to HKD 160,255,000 for the same period in 2023[12] - The company reported a gross profit of HKD 123,174,000, representing a gross margin of approximately 46.5% for the first half of 2024[18] - The company achieved a net profit of approximately HKD 31,300,000 for the first half of 2024, compared to a net loss of HKD 18,800,000 in the same period of 2023[35] - The gross margin improved to 46.9% in the first half of 2024, compared to 39.3% in the same period of 2023[32] Assets and Liabilities - Non-current assets increased to HKD 194,679,000 as of June 30, 2024, from HKD 187,668,000 at the end of 2023[4] - Current assets totaled HKD 193,838,000, up from HKD 181,757,000 at the end of 2023[4] - The company's total equity increased to HKD 216,345,000 from HKD 195,032,000 year-on-year[5] - Non-current assets totaled HKD 185,453,000 as of June 30, 2024, compared to HKD 178,814,000 at the end of 2023, indicating a growth of 3.6%[13] - Trade receivables increased to HKD 46,929,000 as of June 30, 2024, compared to HKD 45,566,000 as of December 31, 2023, with a net book value of HKD 45,951,000[25] - Trade payables decreased to HKD 54,938,000 as of June 30, 2024, from HKD 57,323,000 as of December 31, 2023[26] - As of June 30, 2024, the group's net current assets amounted to approximately HKD 41,700,000, an increase from HKD 28,600,000 as of December 31, 2023[36] - The group's cash and cash equivalents reached approximately HKD 56,800,000 as of June 30, 2024, compared to HKD 34,200,000 as of December 31, 2023[36] - The current ratio improved to approximately 1.27 times as of June 30, 2024, up from 1.19 times as of December 31, 2023[37] - The debt-to-equity ratio was approximately 19.2% as of June 30, 2024, a decrease from 24.7% as of December 31, 2023[37] Market and Growth Strategy - The company continues to focus on the production and sale of printed products, with ongoing investments in technology and market expansion[7] - The financial results reflect a strong recovery and growth strategy, positioning the company for future opportunities in the market[8] - Revenue from mainland China was HKD 93,527,000, up 56% from HKD 59,815,000 year-over-year[12] - The company plans to expand its market presence in Bangladesh, where revenue increased by 120% to HKD 44,476,000[12] - The company continues to focus on enhancing its product offerings and exploring potential mergers and acquisitions to drive future growth[10] - The company is actively developing and improving RFID products and solutions to capitalize on the growing application of RFID technology in the retail and apparel industry[33] - The group is focusing on RFID technology as a key development area, which is expected to drive growth as major brands adopt RFID products[41] Expenses and Financial Management - The cost of sales increased to HKD 140,345,000 for the six months ended June 30, 2024, compared to HKD 97,329,000 in the previous year, reflecting a rise of 44%[18] - The company recorded other income and gains of HKD 3,933,000 for the first half of 2024, down from HKD 5,778,000 in the same period last year[17] - Total tax expenses for the period amounted to HKD 6,556,000, a significant increase from HKD 694,000 in the previous year[21] - The company incurred tax expenses at a rate of 25% for profits generated in China and 21% for U.S. federal income tax[20] - Sales and distribution expenses increased by approximately 6.8% to HKD 31,600,000, driven by an increase in the number of sales representatives and sales activities[34] - Administrative expenses rose by approximately 4.2% to HKD 57,300,000, primarily due to increased operational costs from expanding new subsidiaries[35] Sustainability and Corporate Responsibility - The company has been focusing on sustainable development by sourcing biodegradable materials and reducing the use of microplastics in its products[33] - The group has constructed solar panels in its factories in mainland China to reduce carbon emissions, emphasizing its commitment to environmental sustainability[41] Corporate Governance and Compliance - The company has not adopted any new or revised Hong Kong Financial Reporting Standards that would have a significant financial impact during the current accounting period[10] - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited interim consolidated financial information for the six months ended June 30, 2024, and confirmed compliance with applicable accounting standards[51] - The interim report for the six months ended June 30, 2024, containing all information required by the listing rules, has been published on the Hong Kong Stock Exchange website and the company's website[52] - Forward-looking statements regarding the group's financial condition and operational performance are subject to known and unknown risks and uncertainties that may cause actual results to differ significantly from those anticipated[53] Employee and Management - Total remuneration for key management personnel was HKD 3,798,000 for the six months ended June 30, 2024, up from HKD 3,583,000 in the previous year[31] - The board expresses gratitude to all employees for their hard work and dedication, which are essential for the group's continued success[54] Dividend and Shareholder Information - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2024, consistent with the previous year[22] - The board does not recommend the payment of an interim dividend for the six months ended June 30, 2024[44] - The company did not purchase, sell, or redeem any of its listed securities during the reporting period, and as of June 30, 2024, it held no treasury shares[51]
常达控股(01433) - 2024 - 中期业绩