Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 93,742,000, a decrease of 38.0% compared to HKD 151,274,000 in the same period of 2023[2] - Graphene product revenue decreased by 36.7% to HKD 61,489,000 from HKD 97,103,000 year-on-year[2] - Adjusted segment EBITDA fell by 75.7% to HKD 4,682,000 from HKD 19,269,000 in the previous year[2] - The loss attributable to equity holders of the parent increased by 23.0% to HKD 54,096,000 compared to HKD 43,968,000 in the prior period[2] - Basic loss per share was HKD (6.00), a slight improvement of 1.0% from HKD (6.06) in the previous year[2] - The company reported a net loss of HKD 54,046,000 for the six months ended June 30, 2024, compared to a net loss of HKD 41,775,000 in the prior year, representing a 29.4% increase in losses[5] - The pre-tax loss for the six months ended June 30, 2024, was HKD 57,303,000, compared to a pre-tax loss of HKD 46,780,000 in 2023, indicating a worsening of 22.5%[23] - The company reported a pre-tax loss of HKD 7,374,000 for graphene products, compared to a loss of HKD 16,012,000 in the previous year, reflecting a 53.9% improvement[2] Assets and Liabilities - Total assets as of June 30, 2024, were HKD 839,316,000, a decrease of 0.9% from HKD 847,343,000 at the end of December 2023[2] - Net assets decreased by 10.9% to HKD 329,247,000 from HKD 369,638,000[2] - Cash and bank balances decreased by 61.8% to HKD 10,391,000 from HKD 27,190,000[2] - The company's total liabilities increased to HKD 367,829,000 from HKD 320,168,000, an increase of 14.9%[6] - As of June 30, 2024, total assets amounted to HKD 839,316,000, with total liabilities at HKD 510,069,000[19] - The current ratio as of June 30, 2024, was approximately 0.73, down from 0.77 as of December 31, 2023[59] - The debt ratio was approximately 65.9% as of June 30, 2024, compared to 57.8% as of December 31, 2023[59] Revenue Breakdown - For the six months ended June 30, 2024, the total revenue from graphene products was HKD 61,489,000, while landscape design generated HKD 32,253,000, resulting in a combined revenue of HKD 93,742,000[17] - Revenue from landscape design services was HKD 32,253,000, a decline of 40.5% compared to HKD 54,171,000 in the previous year[15] - Revenue from the landscape design segment decreased to approximately HKD 32.2 million, a reduction of about 41% compared to HKD 54.2 million in the previous year, primarily due to a slowdown in the Chinese real estate market[48] Operational Focus and Strategy - The company continues to focus on enhancing its product offerings and exploring market expansion opportunities[3] - The company continues to focus on the development and processing of graphene products, particularly for electric vehicles and energy storage systems[9] - The company is exploring cost control measures to reduce operating costs[12] - The company plans to establish a deep processing production facility for graphite in Jixi, aiming for an annual output of 30,000 tons of high-purity spherical graphite and 10,000 tons of battery anode materials[65] - The company believes that electrification is a viable path for sustainable development, with an increasing demand for lithium-ion batteries, which will continue to use Stone Ink negative electrode materials[70] - A five-year plan has been established to invest in capacity expansion, research and development, and new battery systems[70] Employee and Management Information - As of June 30, 2024, the company had 249 employees, with compensation based on job nature, market trends, and individual performance, and provided various employee benefits including mandatory provident fund and medical insurance[68] - The company’s employee benefits expenses, including director and key management personnel remuneration, totaled HKD 41,289,000, down from HKD 47,451,000 in 2023, a decrease of 13.8%[28] Governance and Compliance - The company has complied with the corporate governance code as of June 30, 2024, and regularly reviews its governance practices[72] - The board of directors does not recommend the payment of an interim dividend for the six months ending June 30, 2024[77] Future Outlook and Risks - The company emphasizes that forward-looking statements may involve various risks and uncertainties that could significantly affect actual performance compared to expectations[80] - The company warns that reliance on forecasts based on various assumptions may not accurately reflect future market conditions[81] - The company recognizes the potential impact of government policies and regulations on its operations, particularly in relation to the U.S. and China[80] - There is an expectation of increased demand for the company's products and services, although market acceptance remains uncertain[80]
烯石电车新材料(06128) - 2024 - 中期业绩