Financial Performance - Revenue for the six months ended June 30, 2024, was approximately RMB 917.9 million, a decrease of about 53.8% compared to RMB 1,985.2 million for the same period in 2023[1] - Gross profit for the same period was approximately RMB 26.1 million, with a gross margin of approximately 2.8%[1] - Loss for the six months ended June 30, 2024, was approximately RMB 54.3 million, a significant reduction of about 55.5% from a loss of RMB 121.9 million in the same period of 2023[1] - The company reported a basic and diluted loss per share of RMB 0.10 for the six months ended June 30, 2024, compared to RMB 0.34 for the same period in 2023[3] - The company's revenue decreased from RMB 1,985.2 million for the six months ended June 30, 2023, to RMB 917.9 million for the six months ended June 30, 2024, representing a decline of approximately 53.8%[28] - The net loss reduced from RMB 121.9 million for the six months ended June 30, 2023, to RMB 54.3 million for the six months ended June 30, 2024[28] Sales and Contracts - Contract sales amount for the group and its associates was approximately RMB 199.2 million, a year-on-year decline of 62.6%[1] - The total area of sold contracts was approximately 30,122 square meters, down 59.3% year-on-year[1] - For the six months ended June 30, 2024, the company reported property sales revenue of RMB 917,014,000, a decrease of 53.8% compared to RMB 1,984,164,000 for the same period in 2023[14] - The group recorded unaudited contract sales of approximately RMB 199.2 million for the six months ended June 30, 2024, a decrease of 62.6% year-on-year[31] - The total building area sold was approximately 30,122 square meters, down 59.3% compared to the same period last year[31] Assets and Liabilities - Total assets as of June 30, 2024, were approximately RMB 10,323.5 million, a decrease of about 7.5% from RMB 11,136.5 million as of December 31, 2023[1] - Non-current assets totaled approximately RMB 288.2 million as of June 30, 2024, compared to RMB 275.8 million as of December 31, 2023[4] - The company's interest income decreased to RMB 334,000 for the six months ended June 30, 2024, from RMB 1,433,000 in the same period of 2023, representing a decline of 76.7%[15] - The company's total debt was approximately RMB 892.0 million, a slight decrease from approximately RMB 901.8 million as of December 31, 2023[48] - The net debt ratio increased to 31.6% as of June 30, 2024, compared to 24.4% as of December 31, 2023[28] - The asset-liability ratio, excluding advance receipts, was 64.7% as of June 30, 2024, slightly down from 64.9% as of December 31, 2023[28] Cash Flow and Liquidity - Cash and bank balances as of June 30, 2024, were approximately RMB 248.9 million[1] - The company has a significant liquidity concern, with current bank and other borrowings amounting to RMB 694,606,000 against cash and cash equivalents of only RMB 26,011,000 as of June 30, 2024[8] - The cash to short-term debt ratio was 0.36 times as of June 30, 2024, down from 0.59 times as of December 31, 2023[28] - The company is actively seeking opportunities to sell its assets, such as land and interests in project development companies, to improve liquidity[8] Expenses and Costs - The total financing costs for the six months ended June 30, 2024, amounted to RMB 447,083,000, an increase of 123.5% compared to RMB 200,235,000 in the previous year[17] - The company incurred a cost of sold inventory of RMB 891,843,000 for the six months ended June 30, 2024, down from RMB 1,527,105,000 in the same period of 2023, indicating a decrease of 41.5%[16] - Selling and distribution expenses decreased by 70.8% from approximately RMB 49.3 million for the six months ended June 30, 2023, to approximately RMB 14.4 million for the six months ended June 30, 2024, mainly due to reduced sales[40] - Administrative expenses decreased by 5.3% from approximately RMB 29.1 million for the six months ended June 30, 2023, to approximately RMB 27.5 million for the six months ended June 30, 2024, due to cost control measures[41] - Financing costs increased by 116.9% from approximately RMB 18.2 million for the six months ended June 30, 2023, to approximately RMB 39.5 million for the six months ended June 30, 2024, primarily due to a decrease in capitalized interest[43] Market Conditions - The real estate market in China showed a decline in overall investment by 10.2% year-on-year in the first half of 2024, with residential investment down by 10.6%[29] Corporate Governance - The board believes that the company has taken various measures to ensure sufficient funds for ongoing operations, despite uncertainties in the real estate market[9] - The company has adopted the corporate governance code and has complied with all applicable provisions during the six-month period ending June 30, 2024[62] - The audit committee has reviewed the unaudited interim condensed consolidated financial information for the six months ending June 30, 2024, and found it compliant with applicable accounting standards[64] Staff and Dividends - The group employed 99 staff as of June 30, 2024, a significant reduction from 223 staff as of December 31, 2023[58] - The company did not declare or pay any dividends for the six months ended June 30, 2024, consistent with the previous year[20] - The board does not recommend the payment of an interim dividend for the six months ending June 30, 2024[61]
三巽集团(06611) - 2024 - 中期业绩