Financial Performance - The group's revenue increased by 41.8% to HKD 42.4 million in the first half of 2024, compared to HKD 29.9 million in the same period of 2023[2] - Gross profit rose by 25.6% to HKD 33.3 million in the first half of 2024, up from HKD 26.5 million in the first half of 2023[2] - Profit before tax decreased by 85.9% to HKD 0.7 million in the first half of 2024, down from HKD 5.3 million in the same period of 2023[2] - The group reported a loss attributable to owners of the company of HKD 1.021 million in the first half of 2024, compared to a profit of HKD 1.782 million in the same period of 2023[3] - Total comprehensive loss for the period amounted to HKD 17.937 million in the first half of 2024, compared to a loss of HKD 78.683 million in the same period of 2023[4] - The company reported a loss of HKD 917,000 in the first half of 2024, compared to a profit of HKD 1,938,000 in the same period of 2023[57] Assets and Liabilities - As of June 30, 2024, the group's net assets increased by 0.4% to HKD 432.1 million, compared to HKD 430.5 million on December 31, 2023[2] - The group's total assets less current liabilities stood at HKD 434.1 million as of June 30, 2024, compared to HKD 435.9 million on December 31, 2023[5] - Non-current assets totaled HKD 178.4 million as of June 30, 2024, down from HKD 185.8 million on December 31, 2023[5] - Current assets amounted to HKD 320.5 million as of June 30, 2024, compared to HKD 323.5 million on December 31, 2023[5] - The group's total liabilities for the reportable segments were HKD 31,573,000 as of June 30, 2024, compared to HKD 40,300,000 as of June 30, 2023[16] Revenue Segments - Revenue from the health and medical products segment was HKD 3,480,000, up from HKD 2,351,000, while revenue from diagnostic and medical testing services surged to HKD 21,700,000 from HKD 9,517,000[12] - The company’s external customer revenue from the Hong Kong market was HKD 9,817,000 for the six months ended June 30, 2024, compared to HKD 2,313,000 in the same period of 2023[18] - External customer revenue from mainland China reached HKD 32,586,000, an increase from HKD 27,598,000 in the same period of 2023[18] - The longevity science segment generated revenue of approximately HKD 25,180,000 in the first half of 2024, up from HKD 11,868,000 in the same period of 2023, indicating a growth of about 112%[59] Dividends and Share Issuance - The group did not recommend an interim dividend for the first half of 2024, consistent with the same period in 2023[2] - The company issued a total of 91,088,258 new shares on June 6, 2024, raising a net amount of approximately HKD 19.4 million, with 60% allocated to expanding its longevity science business and new biopharmaceutical product trade[86] - The company raised approximately HKD 14,016,352 from the issuance of 297,300,000 shares at a price of HKD 0.049 per share in May 2023[46] Operational Developments - The company has restructured its internal reporting framework, merging the lending and financial consulting segments into a single division[14] - The company has enhanced its R&D capabilities by recruiting international biotech experts, including a Nobel Prize laureate, to strengthen its strategic goals[61] - The company is developing and producing flagship longevity biological products, including NMN and VC sustained-release tablets, with all products receiving top global safety certifications[62] - The company plans to establish a "Internet + Healthcare" longevity system platform, leveraging its existing customer base and market network[62] Legal and Compliance - The company has extended its legal recovery service agreement with Dongwei Law Firm until August 2025 to enhance loan recovery efforts[52] - The company reported no significant contingent liabilities or capital commitments as of June 30, 2024[48][49] - The audit committee has reviewed and approved the consolidated financial statements for the first half of 2024, ensuring compliance with applicable accounting standards and regulations[87] Market Conditions and Future Outlook - Management is optimistic about the growth of the longevity science business, which is expected to support revenue growth, particularly through a network of 2,000 retail pharmacies in China[64] - The group continues to monitor the market for suitable tenants to generate stable rental income from its property investments, which currently do not yield any revenue[68] - The group is actively exploring opportunities for its lending business amid reduced loan demand from Hong Kong clients due to high interest rates and the impact of the COVID-19 pandemic[65]
中基长寿科学(00767) - 2024 - 中期业绩