Financial Performance - The Group recorded a turnover of approximately HK$12.84 million for the six months ended 30 June 2024, representing a decrease of approximately 23% compared to HK$16.62 million in the same period last year[8]. - Net loss attributable to Shareholders was approximately HK$21.25 million for the reporting period, compared to a net profit of approximately HK$0.51 million for the six months ended 30 June 2023[8]. - Loss per share was approximately 1.86 HK cents for the six months ended 30 June 2024, while profit per share was approximately 0.04 HK cents for the same period last year[8]. - The Group recorded a loss attributable to owners of the Company of HK$21.25 million for the six months ended 30 June 2024, compared to a profit of approximately HK$0.51 million in the same period of 2023, primarily due to market volatility and asset impairments[21]. - The Group's turnover for the six months ended 30 June 2024 was approximately HK$12.84 million, representing a decrease of approximately 23% from HK$16.62 million in the corresponding period of the previous year[21]. - The Group reported a loss before tax of HKD 21,252,620, compared to a profit of HKD 131,629 in the previous year[101]. - Total comprehensive expense for the period was HKD 21,413,626, significantly higher than the previous year's expense of HKD 560,512[101]. - The consolidated loss for the period was HKD (21,252,620), a significant decline from a profit of HKD 507,292 in the previous year[117]. Assets and Liabilities - Net assets decreased by approximately HK$21.41 million to approximately HK$357.51 million as at 30 June 2024, compared with HK$378.92 million as at 31 December 2023[8]. - The gearing ratio of the Group as of 30 June 2024 was around 3%, unchanged from 31 December 2023, indicating a stable financial position[21]. - Total consolidated assets decreased to HK$369,774,053 as of June 30, 2024, from HK$390,200,671 as of December 31, 2023[121]. - Total liabilities decreased to HK$12,268,193 as of June 30, 2024, from HK$11,281,185 as of December 31, 2023[121]. - The company reported unallocated corporate liabilities of HK$3,278,229 as of June 30, 2024, compared to HK$944,894 as of December 31, 2023[121]. Revenue Breakdown - Accommodation revenue from star-rated hotel operations was approximately HK$5.85 million, representing a decrease of approximately 28% over the corresponding period of 2023[24]. - Catering revenue decreased by approximately 30% to HK$4 million compared to the same period in 2023[25]. - Revenue from hotel operations decreased significantly to HKD 10,903,008, down 25.6% from HKD 14,653,898 in the prior year[110]. - Gross rental income from investment properties was HKD 1,934,668, slightly down from HKD 1,961,876 in the previous year, reflecting a decrease of 1.2%[110]. Corporate Governance - The Group emphasizes corporate governance and is enhancing its risk prevention and control capabilities to support sustainable development[15]. - The Company fully complied with the Corporate Governance Code throughout the six months ended 30 June 2024[60]. - The Board consists of nine Directors, including three Executive Directors, three Non-executive Directors, and three Independent Non-executive Directors[60]. - The Company is committed to ongoing enhancements of corporate governance principles and practices[60]. - The Company emphasizes the importance of Board diversity, ensuring a balance of skills, experience, and perspectives in Board appointments[83]. Management and Strategy - The Group is actively reviewing existing businesses and updating strategies to adapt to future development, including optimizing asset management for Hong Kong properties[15]. - The Group aims to enhance its core business and strengthen its competitive edge by integrating various business clusters, including hotel resources and cultural tourism[17]. - The management team possesses strong international perspectives and extensive experience in business management and capital operation[43]. - The Group's strategic planning includes enhancing operational efficiency and expanding market presence[41]. Employee and Operational Metrics - The average occupancy rate for the hotel operation was approximately 48% for the six months ended 30 June 2024, down 25% from 64% in the same period of 2023[22]. - Employee benefits expense increased to HKD 6,277,993 from HKD 6,146,344, reflecting a rise of 2.1%[101]. - As of June 30, 2024, the Group employed approximately 117 employees in Hong Kong and Xiamen, with remuneration based on performance and market rates[36]. Cash Flow and Liquidity - As of June 30, 2024, the Group had a net cash balance of approximately HK$36.76 million, down from HK$39.47 million at the end of 2023[27]. - The liquidity ratio was 3.46 as of June 30, 2024, compared to 3.68 at the end of 2023[27]. - The net cash used in operating activities for the same period was HKD 2,437,512, compared to HKD 444,240 for the same period in 2023, indicating a significant increase in cash outflow[104]. Risk Management - The Group is exposed to foreign currency risks primarily due to operations in Hong Kong and Mainland China, with strategies in place to manage these risks[29]. - The Board is responsible for the Group's risk management and internal control systems, which are reviewed annually for effectiveness[69]. - The internal audit team monitors compliance with policies and procedures, providing assurance on the internal control system's effectiveness[70]. Investments and Shareholding - As of June 30, 2024, HC Technology Capital Company Limited holds 770,016,722 shares, representing approximately 67.22% of the issued share capital of the Company[97]. - Fujian Investment Holdings Company Limited and Fujian Huamin Industrial Group Company Limited each hold 786,948,772 shares, accounting for approximately 68.70% of the issued share capital[97]. - The company has not engaged in any arrangements that would allow directors or their families to acquire benefits from shares or debentures of the Company[94].
闽港控股(00181) - 2024 - 中期财报