Financial Performance - Revenue for the six months ended June 30, 2024, decreased to approximately HKD 318.1 million, a decline of about HKD 76.0 million or 19.3% compared to the same period in 2023[1] - Gross profit increased to approximately HKD 65.8 million, an increase of about HKD 14.6 million or 28.5% compared to the same period in 2023[1] - Profit before tax decreased to approximately HKD 1.7 million, a decline of about HKD 1.0 million or 37.0% compared to the same period in 2023[1] - Basic earnings per share attributable to shareholders decreased to approximately HKD 0.21, a decrease of about HKD 0.04 or 16.0% compared to the same period in 2023[1] - The group reported a profit of 1,038,000 HKD for the six months ended June 30, 2024, compared to 1,238,000 HKD for the same period in 2023, indicating a decrease of approximately 16.2%[20] - Profit for the period decreased by approximately HKD 0.2 million or 16.7% from about HKD 1.2 million in the fiscal year 2023 to about HKD 1.0 million in the fiscal year 2024[50] Revenue Breakdown - Total revenue for the six months ended June 30, 2024, was HKD 316,485,000, a decrease of 20.0% compared to HKD 388,937,000 for the same period in 2023[8] - Revenue from professional IT services decreased to HKD 127,966,000, down 43.7% from HKD 227,217,000 in the previous year[9] - Revenue from managed services increased to HKD 20,612,000, up 72.8% from HKD 11,936,000 in the previous year[9] - Revenue recognized at a point in time was HKD 151,898,000, an increase of 15.6% from HKD 131,471,000 in the previous year[10] - Revenue from Macau was HKD 225,177,000, an increase of 6.5% from HKD 211,781,000 in the previous year[11] Expenses and Costs - The cost of goods sold and services provided was 233,444,000 HKD for the six months ended June 30, 2024, down from 332,604,000 HKD in 2023, representing a reduction of about 29.8%[19] - Employee benefits expenses increased to 66,364,000 HKD for the six months ended June 30, 2024, up from 50,571,000 HKD in 2023, marking an increase of approximately 31.3%[19] - Distribution and selling expenses increased by approximately HKD 8.4 million or 67.7% from about HKD 12.4 million in the fiscal year 2023 to about HKD 20.8 million in the fiscal year 2024, mainly due to the expansion of the sales and marketing team in Hong Kong[45] - Administrative expenses increased by approximately HKD 7.6 million or 22.5% from about HKD 33.8 million in the fiscal year 2023 to about HKD 41.4 million in the fiscal year 2024, driven by increased employee benefits and other costs[46] - R&D expenses increased by approximately HKD 2.4 million or 55.8% from about HKD 4.3 million in the fiscal year 2023 to about HKD 6.7 million in the fiscal year 2024, attributed to the latest product developments[47] Assets and Liabilities - Cash and cash equivalents as of June 30, 2024, were approximately HKD 20.9 million, down from HKD 28.7 million as of December 31, 2023[1] - Total assets increased to approximately HKD 629.6 million as of June 30, 2024, compared to HKD 583.4 million as of December 31, 2023[3] - Total equity increased slightly to approximately HKD 336.3 million as of June 30, 2024, from HKD 336.0 million as of December 31, 2023[4] - Trade receivables decreased to approximately HKD 143.9 million as of June 30, 2024, down from HKD 179.9 million as of December 31, 2023[3] - The group’s total liabilities decreased from 190,942,000 HKD as of December 31, 2023, to 180,232,000 HKD as of June 30, 2024, reflecting a reduction of approximately 5.0%[27] Research and Development - Research and development expenses increased to approximately HKD 6.7 million, compared to HKD 4.3 million in the same period in 2023[2] - The company has made breakthroughs in brain-computer interface (BCI) technology, achieving market-leading results in wearable devices during the 2024 fiscal period[33] - The company plans to continue its R&D on BCI technology, integrating it with AI to develop a new generation of intelligent systems[33] - The group registered 25 software copyrights and 49 patents as of the announcement date, with significant R&D support from the Macao Science and Technology Development Fund for BCI and AI technology projects[34] Market and Strategic Developments - The company has expanded its footprint to the Greater Bay Area since 2021, responding to the rapid economic recovery in Hong Kong and Macau, which has increased demand for IT solutions[30] - The local enterprises in the Greater Bay Area, Hong Kong, and Macau are planning to increase investments in IT infrastructure innovation and upgrades due to economic transformation and digitization[30] - The Macau government is promoting diversification strategies, which will enhance the demand for IT solutions in various emerging industries, including health, finance, and high technology[31] - The government has invested significant resources in developing the Internet of Things (IoT) network, which is expected to drive demand for IT solutions in the coming years[32] - The group aims to leverage its competitive advantages to expand its business in the Greater Bay Area, particularly in Hengqin and Nansha, which offer favorable tax incentives[36] Governance and Compliance - The company did not recommend any interim dividends for the fiscal year 2024, consistent with the previous year[62] - The company maintained a public float of not less than 25% of issued shares as required by listing rules[63] - The audit committee was established on June 20, 2022, consisting of three independent non-executive directors, with Mr. Wen Yongbang serving as the chairman[70] - The interim results for the fiscal year 2024 have not been audited but have been reviewed by the audit committee, confirming that the financial statements fairly reflect the group's financial position and performance[71]
博维智慧(01204) - 2024 - 中期业绩