Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 461,249,000, a decrease of 5.0% compared to HKD 485,442,000 for the same period in 2023[2] - Gross profit for the period was HKD 23,402,000, down 12.5% from HKD 26,783,000 year-on-year[2] - The pre-tax profit for the period was HKD 7,953,000, a decrease of 11.8% compared to HKD 9,016,000 in the prior year[2] - Basic earnings per share dropped to HKD 0.08 from HKD 0.45, reflecting a significant decline of 82.2%[2] - For the six months ended June 30, 2024, the company reported a net profit of HKD 6,852 million, compared to HKD 7,715 million for the same period in 2023, reflecting a decrease of approximately 11.2%[21] - Net profit after tax decreased by approximately 11.1% to about HKD 6.9 million, down from about HKD 7.7 million in the same period last year[38] Expenses and Costs - Administrative expenses increased to HKD 19,517,000 from HKD 17,707,000, representing a rise of 10.0%[2] - The total employee costs for the period included salaries, bonuses, and other benefits, amounting to HKD 348,468 million, down from HKD 380,390 million in the previous year[18] - Financing costs rose by approximately 63.6% from about HKD 2.2 million to about HKD 3.6 million, representing about 0.4% and 0.8% of the group's revenue respectively[37] Cash Flow and Liquidity - The net cash generated from operating activities for the six months ended June 30, 2024, was HKD 9,496,000, a decrease of 67.2% compared to HKD 28,899,000 for the same period in 2023[6] - The total cash and cash equivalents at the end of the period were HKD 84,218,000, up from HKD 44,726,000 at the end of June 2023, reflecting a strong liquidity position[6] - Financing activities generated a net cash inflow of HKD 23,109,000, compared to a net outflow of HKD 3,245,000 in the same period last year, primarily due to proceeds from share issuance[6] Assets and Liabilities - Total assets decreased to HKD 164,869,000 from HKD 241,548,000, a reduction of 31.8%[3] - The net asset value increased to HKD 149,843,000 from HKD 101,279,000, showing a growth of 47.8%[3] - The total liabilities as of December 31, 2023, were HKD 229,039 million, with significant components including bank borrowings of HKD 107,283 million and lease liabilities of HKD 34,674 million[15] - As of June 30, 2024, trade payables decreased to HKD 2,799,000 from HKD 12,263,000 as of December 31, 2023, representing a reduction of approximately 77%[27] Share Issuance and Capital - The company raised approximately HKD 41.7 million from a rights issue, with a subscription price of HKD 0.60 per share[5] - The company completed a placement of 80,000,000 shares at a price of HKD 0.10 per share, raising a total of HKD 7,911,000[5] - The company issued 72,000,000 new shares through a rights issue, raising approximately HKD 43.2 million, with a net amount of about HKD 41.7 million[33] Business Operations - The company continues to operate primarily in Hong Kong, providing environmental hygiene services, including cleaning, pest management, waste management, and gardening services[12] - The group has expanded its main business into the online gaming industry, signing its first licensing agreement in April 2024, with expected revenue generation by December 31, 2025[40] - The company has not recognized any government grants during the reporting period, as it has not yet met the conditions for recognition[11] Corporate Governance and Management Changes - The company has adopted a code of conduct for directors' securities transactions, adhering to the GEM listing rules[59] - The company has complied with all applicable corporate governance code provisions during the reporting period[60] - Ms. Yin Ka Shan has resigned as an independent non-executive director and chair of the remuneration committee effective March 31, 2024[61] - Mr. Zhou Run Zhang has been appointed as an independent non-executive director and chair of the audit committee effective April 1, 2024[61] - The audit committee consists of three independent non-executive directors, including Mr. Mai Guo Ji, Mr. Zhou, and Mr. Liang, with Mr. Zhou currently serving as the chair[62]
立高控股(08472) - 2024 - 中期业绩