雅高控股(03313) - 2024 - 中期财报

Company Information Interim Financial Information Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2024, the company recorded revenue of approximately RMB 27.81 million, a 10.6% year-on-year decrease; despite the revenue decline and increased administrative expenses, the loss for the period narrowed by 39.3% to RMB 24.54 million from RMB 40.43 million in the prior period, primarily due to significant reductions in cost of sales, impairment losses, and finance costs, coupled with a substantial increase in other income Consolidated Statement of Profit or Loss Summary | Metric | Six Months Ended June 30 (RMB thousands) | YoY Change | | :--- | :--- | :--- | | | 2024 (Unaudited) | 2023 (Unaudited) | | | Revenue | 27,805 | 31,108 | -10.6% | | Gross Profit | 7,546 | 7,742 | -2.5% | | Other Income and Gains | 10,039 | 1,931 | +420.0% | | Administrative Expenses | (26,935) | (22,286) | +20.9% | | Finance Costs | (7,402) | (10,231) | -27.6% | | Loss Before Tax | (24,202) | (38,594) | -37.3% | | Loss for the Period | (24,543) | (40,426) | -39.3% | | Loss Attributable to Owners of the Company | (24,526) | (40,384) | -39.3% | - Basic and diluted loss per share was RMB 0.025, a significant narrowing from the restated loss of RMB 0.150 in the prior year[8][37] Interim Condensed Consolidated Statement of Financial Position As of June 30, 2024, the company's total assets were RMB 1.228 billion and net assets were RMB 844 million, both slightly decreased from the end of 2023; notably, cash and bank balances significantly dropped from approximately RMB 101 million to approximately RMB 6.98 million, leading to a sharp decline in net current assets from RMB 96.51 million to RMB 0.37 million, indicating a notable tightening of liquidity Consolidated Statement of Financial Position Summary | Metric | June 30, 2024 (RMB thousands) | December 31, 2023 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Total Non-current Assets | 1,056,634 | 1,068,849 | -1.1% | | Total Current Assets | 171,759 | 267,460 | -35.8% | | Of which: Cash and Bank Balances | 6,976 | 100,956 | -93.1% | | Total Current Liabilities | 171,391 | 170,950 | +0.3% | | Net Current Assets | 368 | 96,510 | -99.6% | | Total Non-current Liabilities | 213,119 | 308,699 | -31.0% | | Net Assets | 843,883 | 856,660 | -1.5% | | Total Equity | 843,883 | 856,660 | -1.5% | Interim Condensed Consolidated Statement of Changes in Equity For the six months ended June 30, 2024, the company's total equity slightly decreased from RMB 857 million at the beginning of the period to RMB 844 million, primarily due to a loss of RMB 24.54 million for the period, partially offset by RMB 11.22 million from the issuance of new shares - During the period, the company increased share capital by issuing new shares of RMB 11.22 million[12] - Loss for the period led to an increase in accumulated losses of RMB 24.53 million, which was the primary reason for the decrease in equity[12] Interim Condensed Consolidated Statement of Cash Flows In H1 2024, the company's net decrease in cash and cash equivalents was RMB 93.98 million, with the period-end balance falling to RMB 6.98 million; operating, investing, and financing activities all recorded net cash outflows, with financing activities' net outflow reaching RMB 80.67 million primarily due to loan repayments, indicating significant cash flow pressure during the period Cash Flow Statement Summary | Activity Category | Six Months Ended June 30 (RMB thousands) | | :--- | :--- | | | 2024 (Unaudited) | | Net Cash Used in Operating Activities | (10,116) | | Net Cash Used in Investing Activities | (3,193) | | Net Cash Used in Financing Activities | (80,671) | | Net Decrease in Cash and Cash Equivalents | (93,980) | | Cash and Cash Equivalents at Beginning of Period | 100,956 | | Cash and Cash Equivalents at End of Period | 6,976 | Notes to the Interim Condensed Consolidated Financial Information The notes detail the financial statements' composition, highlighting key information such as the company's main businesses being marble mining, processing and sales, calcium carbonate products, and logistics services; a significant change in revenue structure with calcium carbonate products accounting for 96.6%; a one-off gain of RMB 8.07 million from loan restructuring; funds raised from new share issuance during the period; and the completion of capital reduction and share split after the reporting period Note 3: Revenue and Segment Information Total revenue for the period was RMB 27.81 million, a 10.6% year-on-year decrease, with a significant shift in business structure where calcium carbonate product sales amounted to RMB 26.86 million, accounting for 96.6% of total revenue, while marble stone products recorded no revenue this period, and all revenue originated from the Mainland China market Revenue by Product | Product/Service | H1 2024 Revenue (RMB thousands) | Proportion | H1 2023 Revenue (RMB thousands) | Proportion | | :--- | :--- | :--- | :--- | :--- | | Marble Stone Products | - | 0.0% | 2,560 | 8.2% | | Calcium Carbonate Products | 26,856 | 96.6% | 28,312 | 91.0% | | Logistics and Warehousing Services | 949 | 3.4% | 236 | 0.8% | | Total | 27,805 | 100.0% | 31,108 | 100.0% | - The marble products segment recorded an operating loss of RMB 14.11 million during the period, compared to a loss of RMB 18.79 million in the prior year[25][26] Note 4: Other Income and Gains Other income and gains significantly increased year-on-year to RMB 10.04 million, primarily due to a one-off gain of RMB 8.07 million from the waiver of loan principal and interest due to loan restructuring - A one-off gain from the waiver of loan principal and interest due to loan restructuring amounted to RMB 8.071 million, which was the main reason for the significant increase in other income[32] Note 11: Trade and Bills Receivables As of June 30, 2024, net trade and bills receivables amounted to RMB 26.01 million, with impairment losses recognized during the period totaling RMB 2.45 million, a significant reduction from RMB 7.91 million in the prior period - Impairment loss provision recognized for trade and bills receivables during the period was RMB 2.454 million, a significant decrease from the prior period[34][42] Note 14: Interest-bearing Bank and Other Borrowings As of June 30, 2024, total interest-bearing bank and other borrowings amounted to RMB 237 million, a decrease of approximately RMB 101 million from RMB 338 million at the end of 2023, with RMB 58.55 million classified as current liabilities due within one year Changes in Total Borrowings | Item | June 30, 2024 (RMB thousands) | December 31, 2023 (RMB thousands) | | :--- | :--- | :--- | | Bank Loans | 49,850 | 49,900 | | Other Borrowings | 187,320 | 287,910 | | Total | 237,170 | 337,810 | Note 16: Share Capital As of June 30, 2024, the company's issued ordinary shares increased to 987,594,625 shares, with 61,720,000 new shares issued during the period under a share subscription agreement, raising RMB 11.22 million - For the six months ended June 30, 2024, the company issued 61,720,000 new shares for a consideration of RMB 11,218,000, all credited to share capital[47][48] Note 18: Disposal of a Subsidiary On June 30, 2024, the Group disposed of its entire equity interest in the Vigoroso Group, which is engaged in the marble business, for a cash consideration of RMB 0.1 million, resulting in a disposal loss of RMB 0.157 million - The Group disposed of its entire equity interest in Vigoroso Holdings Limited and its subsidiaries ("Vigoroso Group") for a total cash consideration of RMB 0.1 million, and recorded a disposal loss of RMB 0.157 million[50] Note 21: Events After the Reporting Period After the reporting period, the company completed a capital reduction and share split on July 31, 2024, reducing the par value of issued shares from HKD 0.20 to HKD 0.01 per share, and splitting unissued shares at a 1-for-20 ratio - The company implemented a capital reduction and share split effective July 31, 2024, reducing the par value of issued shares from HKD 0.20 to HKD 0.01[55] Management Discussion and Analysis Business Review In H1 2024, facing challenges from weak economic recovery in China and the prolonged downturn in the real estate sector, the company adopted a cautious operating strategy; the marble business was suspended with no revenue due to weak market demand and tightened credit policies, while the calcium carbonate business contributed most of the revenue despite a slight decline in sales; additionally, renewal applications for mining rights of two mines were rejected, significantly impacting assets, and one related subsidiary was subsequently sold - Due to weak market demand in the real estate and construction industry, the Group scaled down and restructured its marble stone products business, resulting in no revenue recorded from this business during the review period[58] - The calcium carbonate business became the primary revenue source, contributing approximately RMB 26.9 million, but slightly decreased year-on-year[58] - Renewal applications for mining rights of Lichuan Mine and Zhangxi Mine were rejected by local authorities, leading to significant losses for the Group in FY2023 and the disposal of the subsidiary holding the former during the period[59] Financial Review The company's financial performance shows a trend of decreasing revenue but narrowing losses, with total revenue decreasing by 10.6% to RMB 27.80 million year-on-year; gross profit margin improved from 24.9% to 27.1%, mainly due to an increased proportion of higher-margin calcium carbonate products; administrative expenses rose by 20.6% due to salary adjustments and consulting fees; however, net loss attributable to owners narrowed from RMB 40.40 million to RMB 24.50 million, benefiting from lower finance costs, significantly reduced impairment losses, and a one-off gain; the current ratio decreased from 1.6 to 1.0, indicating tightening liquidity - Total revenue was approximately RMB 27.80 million, a year-on-year decrease of 10.6%, with calcium carbonate product sales accounting for 96.6% of total revenue[69] - Gross profit margin increased from 24.9% in the prior year to 27.1%, primarily due to an increased proportion of higher-margin calcium carbonate product sales[72] - Administrative expenses increased year-on-year by RMB 4.6 million, mainly due to staff salary adjustments and consulting fees for software system evaluation[75] - The reduction in net loss was primarily attributable to: (i) decreased finance costs; (ii) reduced impairment losses on trade receivables; (iii) increased other income and gains; partially offset by (iv) increased administrative expenses[79] - The current ratio decreased from 1.6 at the end of 2023 to 1.0, primarily due to a significant decrease in cash and bank balances[81] Use of Proceeds The report details the utilization of proceeds from two financing activities: the HKD 121 million from the November 2023 rights issue was almost entirely used for loan repayment and general working capital, and proceeds from the February 2024 share subscription were also used as planned for debt repayment and working capital supplementation Use of Proceeds from November 2023 Rights Issue (HKD millions) | Planned Use | Planned Amount (HKD millions) | Total Utilized as of June 30, 2024 (HKD millions) | | :--- | :--- | :--- | | Repayment of loans and other payables | 110.00 | 110.00 | | General working capital | 11.15 | 11.15 | | Total | 121.15 | 121.15 | Outlook Looking ahead, the company acknowledges the continued uncertainty and challenges in the Chinese and global economic environment; the Group will remain vigilant to market changes, assess their financial and operational impacts, and flexibly adjust business plans, while continuing to seek favorable projects or business opportunities and striving to improve and reduce overall debt levels - Facing an uncertain macroeconomic environment, the Group will adopt a cautious approach, assessing potential impacts and adjusting business plans[90] - Future priorities include identifying new projects or businesses beneficial to shareholders, and improving/reducing overall debt levels[90] Other Information Disclosure of Interests As of June 30, 2024, the company's major shareholder is Casado Co., Limited (wholly owned by Yang Haobo), holding 27.64% of shares; other major shareholders include Xu Xiaodong with 13.97% and Wu Hailong with 6.25% Major Shareholder Holdings Status | Shareholder Name | Identity | Number of Shares Held | Approximate Percentage of Issued Share Capital | | :--- | :--- | :--- | :--- | | Casado Co., Limited (and parties acting in concert) | Beneficial owner/Interest in controlled corporation | 273,000,647 | 27.64% | | Xu Xiaodong | Beneficial owner | 138,000,000 | 13.97% | | Wu Hailong | Beneficial owner | 61,720,000 | 6.25% | Corporate Governance and Compliance The company is committed to maintaining a high level of corporate governance; during the reporting period, the company complied with the Corporate Governance Code except for one deviation, where Ms. Wu Jing concurrently served as both Chairperson and Acting Chief Executive Officer; the Board believes this arrangement facilitates efficient decision-making and is in the Group's best interest; the Audit Committee has reviewed these interim results - The company has one deviation from the Corporate Governance Code: Chairperson Ms. Wu Jing concurrently serves as Acting Chief Executive Officer, violating the principle of segregation of duties[100] - The Audit Committee, comprising three independent non-executive directors, has reviewed the Group's interim condensed financial information[102]