Financial Performance - The company reported a loss per share of (0.94) cents for the period, compared to a profit of 0.03 cents in the previous period[9]. - Revenue for the six months ended June 30, 2024, was $304,522 thousand, a decrease of 10.5% compared to $340,222 thousand in the same period of 2023[10]. - Gross profit for the same period was $38,621 thousand, down 18.1% from $47,155 thousand year-over-year[10]. - Operating loss for the six months ended June 30, 2024, was $(2,602) thousand, compared to an operating profit of $6,060 thousand in the prior year[10]. - Net loss for the period was $(9,808) thousand, a significant decline from a profit of $22 thousand in the same period of 2023[11]. - Total comprehensive loss for the six months ended June 30, 2024, was $(9,343) thousand, compared to $(2,009) thousand in the previous year[11]. - The profit/loss for the period was a loss of $4.358 million, with a loss of $9.635 million from garments and a profit of $5.277 million from apparel accessories[29]. - The company reported a net gain from the fair value of derivatives of $244,000, compared to $57,000 in the previous year[59]. - The company reported a loss attributable to owners of the company of $9,728,000 for the six months ended June 30, 2024, compared to a profit of $284,000 for the same period in 2023[70]. Assets and Liabilities - Total assets increased to $512,367 thousand as of June 30, 2024, compared to $474,997 thousand as of December 31, 2023, representing an increase of 7.5%[6]. - Current assets rose to $331,696 thousand from $286,572 thousand, marking an increase of 15.7%[6]. - Total liabilities increased to $330,024 thousand from $283,311 thousand, reflecting a rise of 16.5%[8]. - Non-current assets decreased to $180,671 thousand from $188,425 thousand, a decline of 4.0%[4]. - The company's equity attributable to owners decreased to $181,722 thousand from $190,668 thousand, a decrease of 4.6%[6]. - The total equity decreased to $182,343 thousand from $191,686 thousand, a decline of 4.9%[4]. - The total cash outflow from leases for the six months ended June 30, 2024, was $5,344,000, an increase from $4,170,000 in the same period of 2023[46]. - The total non-current lease liabilities were $19,407,000 as of June 30, 2024, a slight decrease from $19,930,000 on December 31, 2023[44]. - Total borrowings increased to $164,006,000 from $142,655,000, representing a growth of approximately 14.9%[55]. Cash Flow and Financial Management - Cash flow used in operating activities was $(11,114) thousand, slightly higher than $(10,749) thousand in the same period last year[17]. - Cash and bank balances increased to $81,212 thousand from $75,780 thousand, an increase of 7.4%[4]. - The company incurred a foreign exchange loss of $316 thousand during the period, compared to a loss of $917 thousand in the previous year[17]. - Financial expenses netted $(6,412) thousand, an increase from $(5,853) thousand in the same period of 2023[10]. - Current tax expense for the period was $1,243,000, up from $859,000 in the previous year, reflecting a 44.8% increase[65]. Revenue Breakdown - For the six months ended June 30, 2024, the total revenue from external customers was $304.522 million, with $183.362 million from garments and $121.160 million from apparel accessories[29]. - The apparel segment generated revenue of approximately $183,362,000, a decrease of about 15.4% or $33,437,000[90]. - The accessories segment's revenue was approximately $121,160,000, down by about $2,263,000 or 1.8%[91]. - Total revenue from European and American customers was approximately $180,714,000, accounting for about 59.3% of total revenue[92]. Corporate Governance and Management Changes - The company has appointed new directors and financial officers in 2024, indicating potential strategic shifts in management[2]. - The company has established an Audit Committee and a Remuneration Committee to enhance corporate governance[112]. - The company is committed to maintaining high levels of corporate governance to create shareholder value[112]. - The company established a Nomination Committee responsible for recommending the appointment or reappointment of directors, chaired by Mr. Wang Weimin[113]. - The Financing and Banking Committee was formed to review and approve the group's bank financing, ensuring alignment with overall business interests, chaired by Mr. Chen Zulon[113]. Strategic Outlook and Risks - Future economic outlook remains uncertain due to ongoing geopolitical tensions, including the Russia-Ukraine war and trade tensions between China and the U.S.[95]. - The group management will continue to assess the impact of the global economic situation on financial performance and business operations, implementing appropriate financial management measures to prepare for future challenges and opportunities[96]. - The group has implemented strict cost control measures, including reductions in production costs, distribution costs, and administrative expenses, aiming for greater synergy in overall administrative efficiency[96]. - The company identified potential impairment indicators for the apparel and accessories cash-generating units due to declining performance from key customers and a significant drop in budgeted gross margins[38]. Shareholder Information - The company reported a total of 1,034,113 thousand shares issued and fully paid as of June 30, 2024[49]. - The new share option plan was approved and adopted on May 30, 2024, with a validity period of 10 years[104]. - As of the report date, the total number of shares available for issuance under the new share option plan is 103,411,266 shares, representing approximately 10% of the total issued share capital[105]. - Shanghai Textile (Hong Kong) Limited is the largest shareholder, holding 730,461,936 shares (70.64%) of the company[108].
联泰控股(00311) - 2024 - 中期财报