Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 38,368,000, a decrease of 6.8% from HKD 41,235,000 in the same period of 2023[9] - Gross loss for the period was HKD 13,699,000, compared to a gross loss of HKD 14,938,000 in the previous year, indicating an improvement[1] - The company reported a pre-tax loss of HKD 25,467,000, which is a 10.9% increase from a pre-tax loss of HKD 22,960,000 in the prior year[1] - Basic loss per share for the six months was HKD 0.0816, slightly improved from HKD 0.0869 in the same period last year[2] - The company reported a loss attributable to owners of HKD 25,467,000 for the six months ended June 30, 2024, compared to a loss of HKD 22,960,000 in the same period of 2023[24] - The net loss attributable to the company's owners was approximately 25.5 million HKD for the review period, compared to a net loss of approximately 23.0 million HKD for the six months ended June 30, 2023[47] Assets and Liabilities - Total current assets decreased to HKD 40,379,000 from HKD 64,120,000, reflecting a decline of 37.0%[3] - The net asset value dropped to HKD 27,701,000 from HKD 53,168,000, a decrease of 47.9%[3] - Trade receivables increased to HKD 7,303,000 from HKD 5,512,000, representing a growth of 32.5%[3] - Trade receivables increased to HKD 7,615,000 as of June 30, 2024, compared to HKD 5,824,000 as of December 31, 2023, representing a growth of 30.7%[29] - Contract assets amounted to HKD 23,388,000 as of June 30, 2024, up from HKD 23,111,000 as of December 31, 2023, indicating a slight increase of 1.2%[31] - The company recorded a total of HKD 12,352,000 in trade payables as of June 30, 2024, compared to HKD 7,164,000 as of December 31, 2023, reflecting an increase of 72.5%[34] - As of June 30, 2024, the group's bank balances and cash totaled approximately 435,000 HKD, compared to about 18.6 million HKD as of December 31, 2023[48] - The total borrowings of the group as of June 30, 2024, were approximately 5.8 million HKD, down from about 9.6 million HKD as of December 31, 2023[48] - The debt-to-equity ratio was approximately 21.0%, an increase from 18.1% as of December 31, 2023, primarily due to accumulated losses[52] Expenses and Costs - The company incurred a depreciation expense of HKD 933,000 for property, plant, and equipment during the six months ended June 30, 2024, compared to HKD 1,399,000 for the same period in 2023[20] - The total employee costs for the six months ended June 30, 2024, amounted to HKD 2,535,000, down from HKD 3,079,000 in the previous year[22] - Short-term benefits for key management personnel decreased to HKD 390,000 in the first half of 2024 from HKD 504,000 in the same period of 2023, a decline of 22.5%[37] - Total employee costs for the review period were approximately HKD 2.5 million, down from HKD 3.1 million for the six months ended June 30, 2023[53] - Administrative expenses decreased by approximately 14.4% to about 3.8 million HKD from approximately 4.4 million HKD for the six months ended June 30, 2023[45] - Financing costs increased by approximately 25.6% to about 255,000 HKD from approximately 203,000 HKD for the six months ended June 30, 2023[46] Corporate Governance and Compliance - The company did not declare or propose any dividends for the six months ended June 30, 2024, consistent with the previous year[23] - The audit committee has reviewed and approved the interim financial results, ensuring compliance with applicable accounting standards and regulations[59] - The company continues to comply with corporate governance codes, with the chairman also serving as the CEO, which the board believes is in the best interest of the group[55] Business Operations and Strategy - The company continues to focus on providing construction services and construction information technology services, with no new products or technologies reported in this period[4] - The group is actively seeking opportunities to expand its customer base and market share in the mud engineering sector[41] - The group is exploring business opportunities outside the Hong Kong market to enhance future development and solidify its revenue base[41] - The group has not engaged in any significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the review period[52] - The group has no plans for significant investments or capital assets as of the announcement date[52] Financial Management - The company recorded a financing cost of HKD 255,000 for bank borrowings in the six months ended June 30, 2024, compared to HKD 203,000 in the same period of 2023[21] - The group has adopted a prudent financial management approach to ensure liquidity and meet funding needs[49] - The group has not utilized any financial instruments to hedge foreign exchange risks, as most transactions and assets are denominated in HKD[51] - The group has maintained a stable workforce of 14 employees as of June 30, 2024, consistent with the previous reporting period[53] - The company has established an online platform since 2021 to facilitate payment applications using its database, enhancing operational efficiency[38]
恒新丰控股(01920) - 2024 - 中期业绩