Financial Performance - Total revenue for the six months ended June 30, 2024, decreased by approximately RMB 34.3 million or 13.1% to approximately RMB 227.3 million compared to RMB 261.6 million for the same period in 2023[3] - Gross profit for the same period decreased by approximately RMB 10.1 million or 30.2% to approximately RMB 23.3 million, down from RMB 33.4 million in 2023[3] - The company recorded a net loss of approximately RMB 40.5 million for the six months ended June 30, 2024, compared to a net loss of RMB 19.3 million for the same period in 2023[3] - The gross margin for the six months ended June 30, 2024, was 10.3%, down from 12.7% in 2023[2] - The net loss margin for the same period was (17.8%), compared to (7.4%) in 2023[2] - Total comprehensive loss for the period was RMB 40,626,000, up from RMB 17,963,000 in the previous year, indicating a year-over-year increase of about 126.1%[6] - The company reported a loss attributable to equity holders of RMB 40,467,000 in 2024, compared to a loss of RMB 23,133,000 in 2023, indicating a worsening of approximately 75%[23] - Basic and diluted loss per share increased to RMB 20.94 in 2024 from RMB 16.41 in 2023, reflecting a rise of about 27%[23] Revenue Breakdown - Total revenue from customer contracts decreased to RMB 227,297,000 in 2024 from RMB 261,641,000 in 2023, representing a decline of approximately 13%[17] - Revenue from product sales was RMB 118,049,000 in 2024, down from RMB 131,510,000 in 2023, a decrease of about 10%[17] - Revenue from service provision fell to RMB 109,248,000 in 2024 from RMB 130,131,000 in 2023, a decline of approximately 16%[17] Expenses and Costs - Financing costs increased to RMB 6,233,000 in 2024 from RMB 4,716,000 in 2023, reflecting a rise of about 32%[18] - Research and development costs rose to RMB 11,380,000 in 2024 from RMB 10,818,000 in 2023, an increase of approximately 5%[19] - Selling and distribution expenses decreased by approximately RMB 2.4 million or about 18.8% to approximately RMB 10.4 million, mainly due to reduced marketing and promotional expenses[42] - Administrative expenses decreased by approximately RMB 0.3 million or about 0.9% to approximately RMB 32.0 million, remaining similar to the previous year[43] - The cost of sales decreased by approximately RMB 24.3 million or about 10.6% to approximately RMB 204.0 million, consistent with the revenue decline[39] Cash Flow and Assets - Net cash used in operating activities was RMB 34,723,000 for the six months ended June 30, 2024, compared to RMB 3,034,000 in the same period of 2023, indicating a significant increase in cash outflow[10] - The company recorded a net cash inflow from financing activities of RMB 12,883,000, down from RMB 41,006,000 in the previous year, representing a decrease of about 68.6%[10] - Current assets increased to RMB 488,434,000 from RMB 464,626,000, showing a growth of about 5.1%[7] - Non-current assets decreased to RMB 255,064,000 as of June 30, 2024, down from RMB 281,774,000 at the end of 2023, reflecting a decline of approximately 9.5%[7] - Cash and cash equivalents decreased to RMB 55,142,000 from RMB 76,196,000, a decline of approximately 27.6%[10] Liabilities and Equity - The company's total liabilities increased to RMB 499,184,000 from RMB 467,012,000, indicating a rise of about 6.9%[7] - The company's equity attributable to owners decreased to RMB 235,960,000 from RMB 266,833,000, a decline of approximately 11.5%[9] - The debt-to-equity ratio increased to 32.4% in 2024 from 31.2% in 2023[2] Investment and Fair Value - The company reported a fair value loss of approximately RMB 2.9 million on equity investments and a fair value loss of approximately RMB 14.9 million on investment properties during the period[3] - As of June 30, 2024, the total value of the group's investment properties is RMB 64,544,000, a decrease from RMB 77,575,000 as of December 31, 2023, reflecting a fair value loss of RMB 14,891,000 during the period[25] - The fair value of financial assets measured at fair value through other comprehensive income for Huaxun Ark Technology Co., Ltd. is RMB 12,566,000 as of June 30, 2024, down from RMB 12,939,000 as of December 31, 2023[30] Corporate Governance - The audit committee, composed of three independent non-executive directors, reviewed the interim consolidated financial statements for the six months ended June 30, 2024, ensuring compliance with applicable accounting standards[65] - The company has adopted the corporate governance code and has been compliant with its principles, with the exception of the separation of the roles of chairman and president[61] - The company plans to seek suitable candidates for the position of president to comply with the corporate governance code in the future[61] - The company confirmed that all directors complied with the standards of the securities trading code during the six months ended June 30, 2024[63] Future Outlook - The company plans to continue developing and optimizing its IT infrastructure solutions and smart office software solutions, integrating AI into its products to enhance innovation and productivity[4] - The company maintains a cautious optimism regarding business prospects and aims to actively explore new markets, particularly in the Asia-Pacific region[4]
威讯控股(01087) - 2024 - 中期业绩