Financial Performance - Total revenue for the first half of 2024 was HKD 5,026,000, a decrease of 42% compared to HKD 8,690,000 in the same period of 2023[3] - Income from managed fund operations dropped by 58% to HKD 3,534,000 from HKD 8,372,000 year-on-year[3] - Consulting service revenue increased significantly by 164% to HKD 840,000 from HKD 318,000 in the previous year[3] - The gross profit for the first half of 2024 was HKD 4,547,000, down 41% from HKD 7,676,000 in the first half of 2023[3] - The operating loss narrowed to HKD 26,611,000, a 9% improvement from HKD 29,297,000 in the same period last year[3] - Loss attributable to owners of the company was HKD 26,871,000, a 10% decrease from HKD 29,704,000 in the previous year[3] - The total comprehensive loss for the period was HKD 27,234,000, down 8% from HKD 29,523,000 in the first half of 2023[3] - The basic and diluted loss per share was HKD 6.72, compared to HKD 7.43 in the same period last year, reflecting a 10% improvement[4] - The company reported a loss before tax of $26.8 million for the first half of 2024, compared to a loss of $29.5 million in the same period of 2023[7] - Fund management income for the first half of 2024 was HKD 3.5 million, a decrease of 58.3% compared to HKD 8.4 million in the same period of 2023[16] Asset Management and Market Conditions - The asset management scale decreased to $512 million as of June 30, 2024, down from $1,164 million a year earlier and $885 million as of December 31, 2023[6] - The average asset management scale and average management fees collected decreased compared to the first half of 2023, impacting overall revenue[7] - The company emphasized that the changes in asset management scale were primarily due to specific client reasons and did not reflect a change in investment strategy[6] - As of June 30, 2024, the company's assets under management totaled $512 million, comprising $87 million from mixed fund products and $425 million from managed accounts[11][12] - The company's trading strategies primarily focus on relative value in major markets, including the US, Europe, and Asia[11] - The True Partner Fund outperformed the Eurekahedge asset-weighted hedge fund index in terms of returns and alpha since its inception in July 2011, despite having a negative beta compared to equities[6] Expenses and Cost Management - General and administrative expenses for the first half of 2024 were $31.7 million, down from $37.7 million in the same period of 2023, mainly due to reductions in employee costs and professional fees[7] - The company reduced its workforce by 37.5% and implemented cost-cutting measures in general and administrative expenses[7] - The management fee structure was adjusted to 1% management fee and 20% performance fee, down from a previous 2% management fee[16] - The average revenue per unit of AUM decreased due to changes in product structure and a challenging trading environment[17] Future Plans and Strategies - The company plans to extend the timeline for utilizing the remaining unutilized proceeds from its IPO to December 31, 2025, while maintaining the outlined plans[7] - The company is exploring new strategies and markets through derivative trading, which may provide potential future income sources[17] - The company plans to enhance marketing activities and participate in industry events, including the Global Volatility Summit in New York in the second half of 2024[21] - The company believes the current market environment presents opportunities for investors to reconsider their portfolio construction and long-term asset allocation[28] Market Performance and Economic Indicators - The MSCI World Index increased by 13.8% during the reporting period, with a strong first quarter rise of 10.2%[5] - The annualized volatility of the MSCI World Index was 8.5%, approximately half of its long-term average of 16.5%[13] - The expected U.S. consumer price inflation rate for 2024 was initially projected at 2.6% but rose to 3.1% by June 2024, indicating persistent inflation concerns[24] - The anticipated reduction in the U.S. federal funds rate by over 150 basis points by the end of 2024 has been widely viewed as supportive for the stock market[24] - The geopolitical landscape remains fragile, with ongoing conflicts in Ukraine and the Middle East, which could impact market stability and investor sentiment[25] Corporate Governance and Compliance - The company has adopted the corporate governance code as per GEM Listing Rules Appendix C1, with no significant deviations noted except for the combined roles of Chairman and CEO[88] - Ralph Paul Johan van Put serves as both Chairman and CEO, providing strong leadership and strategic direction for the company[89] - An Audit Committee has been established in accordance with GEM Listing Rules and corporate governance code, comprising three independent non-executive directors[93] - The Audit Committee reviewed the unaudited consolidated financial results for the six months ending June 30, 2024, confirming compliance with applicable accounting standards and GEM Listing Rules[93]
TRUE PARTNER(08657) - 2024 - 中期业绩