Revenue and Profitability - Revenue from oil sales, net of royalties, for the six months ended June 30, 2024, was HKD 36,841,000, a decrease of 4.3% compared to HKD 38,618,000 for the same period in 2023[1] - The company reported a profit for the period of HKD 1,034,000, a decline of 93.7% compared to HKD 16,377,000 in the previous year[2] - Total revenue for the six months ended June 30, 2024, was HKD 36,841 thousand, a decrease from HKD 38,618 thousand in the same period of 2023, representing a decline of 4.5%[8] - The profit attributable to the company's owners decreased to HKD 1,034,000, down from HKD 16,377,000 in the previous year[33] - The lending business saw a revenue decrease of 69% to HKD 477,000, with operating profit (before expected credit loss provisions) down 77% to HKD 381,000[37] Assets and Liabilities - Total non-current assets decreased to HKD 221,170,000 from HKD 245,886,000, reflecting a reduction of 10%[3] - Current assets increased to HKD 215,799,000, up 8.4% from HKD 199,209,000 as of December 31, 2023[3] - The company's total liabilities decreased from HKD 31,405,000 to HKD 28,966,000, a reduction of 7.3%[4] - The net asset value of the company was HKD 402,064,000, slightly down from HKD 403,453,000[4] - The current assets amounted to HKD 215,799,000 as of June 30, 2024, compared to HKD 199,209,000 as of December 31, 2023[44] Earnings and Expenses - Basic earnings per share for the period was HKD 0.02, a decrease of 93.5% from HKD 0.31 in the previous year[2] - Employee costs increased to HKD 6,393 thousand in 2024 from HKD 5,610 thousand in 2023, an increase of 13.9%[16] - Depreciation expenses for property, plant, and equipment totaled HKD 13,989 thousand in 2024, compared to HKD 12,611 thousand in 2023, representing an increase of 10.9%[16] Financial Performance - The company experienced a foreign exchange loss of HKD 2,423,000 compared to a gain of HKD 1,696,000 in the previous year[2] - The expected credit loss provision for the six months ended June 30, 2024, was HKD 745 thousand, compared to HKD 5,895 thousand in 2023, indicating a reduction of 87.4%[11] - The expected credit loss provision for loans and interest recognized in profit or loss was HKD 395,000 during the interim period, compared to a reversal of HKD 9,719,000 in the same period of 2023[24] Investments and Strategic Initiatives - The company invested a total of HKD 58,265,000 in solar power projects as part of its diversification strategy[36] - The group has successfully acquired Canadian oil assets and established agreements to develop its solar energy business, indicating a strategic expansion into renewable energy[46] - The solar power projects are part of the Feed-in Tariff Scheme introduced by the Hong Kong government, which encourages private sector participation in clean energy production[47] - The group aims to diversify its energy asset portfolio, including both oil and solar assets, to create long-term sustainable growth and shareholder value[47] Market Conditions and Future Outlook - The average selling price of oil from Canadian assets increased by 19% to CAD 86.1 per barrel, while production decreased by 17% to approximately 76,600 barrels[35] - The company anticipates that oil production from Canadian assets will increase following the completion of drilling three new wells planned for early September 2024[35] - The group will manage its operations cautiously due to uncertainties arising from international oil price fluctuations and geopolitical tensions, including the Russia-Ukraine conflict[47] Governance and Compliance - The group has maintained a low debt ratio of approximately 8% as of June 30, 2024, down from 9% at the end of 2023, indicating a strong financial position[45] - The management believes that the group has sufficient financial resources to meet its ongoing operational needs[45] - The group has complied with all applicable provisions of the corporate governance code, except for the vacancy in the positions of Chairman and CEO[48][49]
长盈集团(控股)(00689) - 2024 - 中期业绩