Revenue Performance - Revenue decreased from approximately HKD 93.1 million for the six months ended June 30, 2023, to approximately HKD 86.1 million for the six months ended June 30, 2024, representing a decline of about 7.5%[43]. - The company reported unaudited consolidated revenue of HKD 86,194 thousand for the six months ended June 30, 2024, a decrease from HKD 93,114 thousand in the same period of 2023, representing a decline of approximately 7.5%[80]. - For the six months ended June 30, 2024, the total revenue from RMAA projects was HKD 80,055,000, a decrease of 1.17% from HKD 85,054,000 in the same period of 2023[94]. - The revenue from new construction projects significantly decreased to HKD 219,000 from HKD 6,422,000 in the previous year, indicating a decline of approximately 96.58%[94]. - Revenue from anti-corrosion projects increased to HKD 5,920,000, up 261.73% from HKD 1,638,000 in the same period last year[94]. - The total contract revenue for the first half of 2024 was HKD 86,194,000, down 7.67% from HKD 93,114,000 in the first half of 2023[94]. Cost Management - Direct costs reduced from approximately HKD 84.4 million to approximately HKD 75.1 million, a decrease of about 11.0%, due to lower subcontracting fees and material costs[44]. - Administrative expenses decreased by approximately HKD 3.9 million or 28.4%, from approximately HKD 13.8 million to approximately HKD 9.9 million, primarily due to cost control measures[46]. - The financing cost decreased by approximately HKD 0.4 million or 80% to about HKD 0.1 million for the six months ending June 30, 2024, due to a reduction in bank borrowings[51]. - Employee costs for the six months ended June 30, 2024, totaled HKD 14,780,000, a decrease from HKD 18,620,000 in the same period of 2023[100]. Profitability - The company reported a profit of approximately HKD 1.0 million for the six months ending June 30, 2024, compared to a loss of approximately HKD 15.0 million for the same period in 2023, primarily due to increased gross profit and reduced administrative expenses and financing costs[53]. - The company recorded a profit before tax of HKD 990 thousand, a significant recovery from a loss of HKD 15,032 thousand in the prior year[80]. - For the six months ended June 30, 2024, the company reported a profit attributable to equity holders of HKD 990,000, compared to a loss of HKD 15,032,000 for the same period in 2023[105]. - Basic and diluted earnings per share for the period were HKD 0.09, compared to a loss of HKD 1.43 per share in the previous year[80]. Financial Position - The company's current ratio remained stable at approximately 1.3 times as of December 31, 2023, and increased to about 1.4 times as of June 30, 2024[54]. - The total borrowings amounted to approximately HKD 5.9 million as of June 30, 2024, down from approximately HKD 7.9 million as of December 31, 2023, resulting in a capital debt ratio decrease from about 19.1% to 14.0%[54]. - Total assets as of June 30, 2024, were HKD 111,876 thousand, down from HKD 125,375 thousand as of December 31, 2023, reflecting a decrease of approximately 10.7%[82]. - Current liabilities decreased to HKD 75,604 thousand from HKD 90,983 thousand, a reduction of approximately 16.9%[82]. - The company's cash and cash equivalents increased to HKD 2,268 thousand from HKD 362 thousand, showing a significant improvement in liquidity[82]. - The accumulated losses as of June 30, 2024, were HKD 57,854,000, a reduction from HKD 58,844,000 at the beginning of the year[85]. Project and Market Development - The group secured 32 new projects with a total contract value of approximately HKD 68.0 million during the six months ended June 30, 2024[40]. - The number of projects undertaken by the group decreased from 82 to 69 as of June 30, 2024, reflecting the current market conditions[40]. - The group aims to expand its business opportunities outside of Hong Kong, driven by the demand for RMAA and new construction services[40]. - The overall demand for RMAA and new construction services is showing an upward trend, influenced by the macroeconomic environment and property market developments in Hong Kong[40]. - The company continues to focus on securing more RMAA and corrosion protection contracts to strengthen its market position[42]. - The company continues to focus on RMAA engineering, new construction, and anti-corrosion projects as part of its core business strategy[93]. Governance and Compliance - The company has established an audit committee to oversee financial reporting and compliance, ensuring adherence to corporate governance standards[78]. - The company did not declare an interim dividend for the six months ended June 30, 2024[75]. - There were no share options granted during the reporting period, and no unexercised share options as of June 30, 2024[76]. - The company has no tax provision for Hong Kong profits tax due to sufficient tax losses to absorb profits for the period[101]. Other Financial Metrics - Trade receivables as of June 30, 2024, amounted to HKD 35,966,000, an increase from HKD 29,853,000 as of December 31, 2023[111]. - The fair value of life insurance policy investments increased to HKD 168,000 as of June 30, 2024, from HKD 135,000 as of December 31, 2023[107]. - The expected revenue from unfulfilled performance obligations as of June 30, 2024, is HKD 104,591,000, down from HKD 171,445,000 as of December 31, 2023[99]. - The company did not incur any bank loan proceeds during the first half of 2024, compared to HKD 19,500,000 in the same period of 2023[86]. - The total comprehensive income for the period was HKD 42,461,000, compared to HKD 41,471,000 at the beginning of the year[85].
洢人壹方控股(08305) - 2024 - 中期财报