Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 227,297,000, a decrease of 13.1% from RMB 261,641,000 in 2023[6] - Gross profit for the same period was RMB 23,338,000, down 30.0% from RMB 33,355,000 in 2023[6] - Loss before tax increased to RMB 41,895,000 compared to RMB 18,710,000 in the previous year[6] - Loss for the period attributable to owners of the parent was RMB 40,467,000, compared to a profit of RMB 23,133,000 in 2023[6] - Basic and diluted loss per share for the period was (20.94) RMB cents, compared to (16.41) RMB cents in 2023[7] - Total revenue decreased by approximately RMB34.3 million or approximately 13.1% to approximately RMB227.3 million for the six months ended 30 June 2024 compared to RMB261.6 million for the same period in 2023[17] - Gross profit decreased by approximately RMB10.1 million or approximately 30.2% to approximately RMB23.3 million for the Period, with a gross profit margin of approximately 10.3%, down from 12.7% in the previous year[20] - A net loss of approximately RMB40.5 million was recorded for the Period, compared to a net loss of approximately RMB19.3 million for the six months ended 30 June 2023[17] - The Group recorded a loss for the period of approximately RMB 40.5 million, an increase from approximately RMB 19.3 million in the same period last year, primarily due to fair value losses on investment properties[31] - Total comprehensive loss for the period was RMB 40,626,000, up from RMB 17,963,000 in the previous year, indicating a year-over-year increase of about 126.1%[106] Operational Challenges - The company has experienced a significant increase in losses, indicating potential challenges in operational efficiency and market conditions[6] - Future outlook may involve strategic adjustments to address the declining revenue and increasing losses[6] - The Group aims to strengthen its product portfolio and expand its customer base and sales network, expecting improved sales performance in the second half of 2024[45] - The Group will continue to develop and optimize smart office solutions, incorporating Artificial Intelligence (AI) to enhance productivity and efficiency[46] - The Group's strategic partnerships with various tech giants aim to enhance customer relationships and acquire new customers despite market challenges[14] Financial Position - Total assets as of 30 June 2024 were approximately RMB743,498,000, a slight decrease from RMB746,400,000 as of 31 December 2023[11] - Interest-bearing bank and other borrowings increased to approximately RMB184,597,000 as of 30 June 2024, up from RMB169,561,000 as of 31 December 2023[11] - The Group maintained a current ratio of 1.0 as of 30 June 2024, consistent with the previous period[11] - The gearing ratio as of June 30, 2024, was approximately 32.4%, compared to 31.2% as of December 31, 2023, indicating stable financial leverage[32] - The Group had net assets of approximately RMB 236.0 million, indicating the ability to meet redemption obligations under the Convertible Bond[67] Cash Flow and Investments - Net cash used in operating activities for the period was approximately RMB 34.7 million, while net cash generated from financing activities was approximately RMB 12.9 million[38] - The net cash generated from investing activities was approximately RMB 1.0 million, primarily from the sale of debt investments[39] - The Group recorded a fair value loss on equity investments at fair value through profit or loss of approximately RMB 2.9 million during the period[44] - The fair value loss on investment properties for the period was approximately RMB 14.9 million, contributing to the overall loss[31] - The Group's cash and cash equivalents decreased to RMB 55,142,000 as of June 30, 2024, from RMB 76,196,000 at the end of 2023, representing a decrease of approximately 27.6%[109] Share Capital and Corporate Governance - The company reported no dividends have been paid or proposed during the six months ended June 30, 2024, and the same applies for the previous period[161] - The Board did not declare any interim dividend for the six months ended June 30, 2024, consistent with the previous year[84] - The company has complied with the Corporate Governance Code except for the deviation regarding the roles of chairman and CEO being held by the same individual[88] - The Company plans to re-comply with the Corporate Governance Code by appointing a suitable candidate for the CEO position in the future[88] Employee and Management Changes - As of June 30, 2024, the total number of employees decreased to 320 from 325 as of December 31, 2023, with a notable increase in manufacturing and technical engineering staff to 128[50] - Changes in the board included the resignation of Mr. Lu Chengye as executive Director and Ms. Chung, Elizabeth Ching Yee as non-executive Director effective May 31, 2024[102] Accounting and Compliance - The interim financial information has not been audited but has been reviewed by the company's audit committee[136] - The accounting policies adopted for the interim financial information are consistent with those used in the preparation of the Group's annual consolidated financial statements for the year ended December 31, 2023[138] - The company has adopted the Model Code for Securities Transactions by the Directors and confirmed compliance with the required standards during the six months ended June 30, 2024[91][96]
威讯控股(01087) - 2024 - 中期财报