Financial Performance - Revenue for the six months ended June 30, 2024, was approximately HK$60.2 million, an increase of approximately 8.5% compared to HK$55.5 million in 2023[11]. - Net profit for the same period was approximately HK$9.8 million, representing a significant increase of approximately 92.2% from HK$5.1 million in 2023[11]. - Basic and diluted earnings per share were approximately HK$4.05 cents, up from approximately HK$2.26 cents in 2023[11]. - Operating profit for the period was approximately HK$10.36 million, compared to HK$5.653 million in 2023[13]. - The company reported a gross profit of approximately HK$26.036 million, up from HK$18.897 million in the prior year[13]. - Profit attributable to owners of the Company for the six months ended June 30, 2024, was HK$9,808,000, up 93.5% from HK$5,056,000 in 2023[32]. - Basic earnings per share for the six months ended June 30, 2024, was 4.05 HK cents, compared to 2.26 HK cents in 2023, reflecting a 79.9% increase[32]. Assets and Liabilities - Total assets as of June 30, 2024, amounted to HK$80.236 million, an increase from HK$71.463 million as of December 31, 2023[14]. - Total liabilities decreased from HK$48,078,000 as of December 31, 2023, to HK$47,043,000 as of June 30, 2024, representing a reduction of approximately 2.16%[15]. - Total equity increased to HK$33.193 million as of June 30, 2024, compared to HK$23.385 million at the end of 2023[14]. - Net current assets improved from HK$15,004,000 as of December 31, 2023, to HK$25,186,000 as of June 30, 2024, indicating a growth of approximately 67.8%[15]. - The balance of borrowings decreased from HK$2,732,000 as of December 31, 2023, to HK$1,496,000 as of June 30, 2024, a reduction of approximately 45.4%[15]. - The Group's total assets less current liabilities increased from HK$27,972,000 as of December 31, 2023, to HK$36,987,000 as of June 30, 2024, reflecting an increase of about 32.2%[15]. Cash Flow - Cash generated from operating activities was HK$600,000 for the six months ended June 30, 2024, compared to a cash outflow of HK$70,000 for the same period in 2023[19]. - Net cash used in investing activities was HK$576,000 for the six months ended June 30, 2024, compared to a cash outflow of HK$454,000 for the same period in 2023[19]. - Cash and cash equivalents decreased to HK$1,474,000 at the end of the period from HK$2,501,000 in the previous year[20]. Share Capital and Dividends - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2024, consistent with the previous year[11]. - The company issued shares in respect of a rights issue, raising HK$14,919,000, with associated issuance costs of HK$1,115,000[19]. - The authorized share capital increased from HK$10,000,000 to HK$20,000,000 following the creation of an additional 1,000,000,000 shares[51]. - The issued share capital as of June 30, 2024, was HK$12,096,000, reflecting the consolidation of shares from HK$0.01 to HK$0.05 each[49]. - The Board did not recommend payment of interim dividend to shareholders for the Reporting Period[90]. Employee and Operating Expenses - Staff costs, including directors' remuneration, increased to HK$24,770,000 for the six months ended June 30, 2024, from HK$21,256,000 in 2023, marking a rise of 11.8%[29]. - Administrative and other operating expenses increased to approximately HK$14.7 million for the Reporting Period, by approximately HK$1.9 million or 14.8% from approximately HK$12.8 million for the six months ended June 30, 2023[60]. - The Group's total employee costs for the reporting period were approximately HK$24.8 million, an increase from HK$21.3 million for the same period in 2023[72]. - The Group had 90 full-time employees as of June 30, 2024, compared to 85 full-time employees as of December 31, 2023[72]. Receivables and Payables - Trade and other receivables increased significantly to HK$25.516 million from HK$15.094 million[14]. - Trade receivables increased to HK$26,161,000 as of June 30, 2024, from HK$14,141,000 as of December 31, 2023, representing an 85% increase[37]. - Other receivables and deposits rose to HK$18,636,000 as of June 30, 2024, compared to HK$8,921,000 as of December 31, 2023, marking a 109% increase[37]. - Trade payables decreased to HK$14,730,000 as of June 30, 2024, down from HK$16,354,000 as of December 31, 2023, a decline of 10%[43]. - Accruals and other payables increased to HK$9,062,000 as of June 30, 2024, from HK$6,891,000 as of December 31, 2023, reflecting a 32% increase[43]. Market and Operational Insights - The Group's revenue is solely derived from Hong Kong for both periods, with all non-current assets also located in Hong Kong[27][28]. - The Group operates as a single operating segment, with no further analysis for segment information provided[25]. - The Group aims to improve performance and profitability by prioritizing projects with enhanced profitability and implementing cost control measures[56]. - The Group continues to leverage its solid portfolio of recurring clients and experienced management team to maintain a competitive edge in the market[56]. - The Group operates mainly in Macau and Hong Kong, with most transactions denominated in HK$ and MOP, and considers foreign currency risk to be insignificant[71]. Shareholder Information - As of June 30, 2024, Mr. Cheung Shek On holds 39,270,000 shares, representing 16.23% of the company's ordinary shares[75]. - Sino Continent Holdings Limited, beneficially owned by Mr. Cheung, also holds 39,270,000 shares, equating to 16.23% of the total issued share capital[78]. - Mr. Chan Yuk Sing has an interest in 39,269,000 shares, which is 16.23% of the company's ordinary shares[78]. - Supreme Voyage Limited, owned by Mr. Chan, holds 39,269,000 shares, representing 16.23% of the total issued share capital[79]. - Mr. Kwok Shun Tim has an interest in 37,800,000 shares, accounting for 15.63% of the company's ordinary shares[78]. - Applewood Developments, associated with Mr. Kwok, also holds 37,800,000 shares, which is 15.63% of the total issued share capital[81]. - Ms. Luk Pui Kei Peggy, spouse of Mr. Cheung, is deemed to be interested in 39,270,000 shares, representing 16.23%[80]. - Ms. Cho Bik Nung, spouse of Mr. Chan, is deemed to be interested in 39,269,000 shares, equating to 16.23%[80]. - Ms. Yip Nga Wan, spouse of Mr. Kwok, is deemed to be interested in 37,800,000 shares, accounting for 15.63%[81]. - As of June 30, 2024, there are no other interests or short positions in shares of the company recorded in the register[82]. Compliance and Governance - The Audit Committee reviewed the unaudited condensed consolidated financial statements and confirmed compliance with applicable accounting standards and adequate disclosures[95]. - Amendments to Hong Kong Financial Reporting Standards effective from January 1, 2024, did not have a material impact on the Group[22]. - The Group had no assessable profits in Hong Kong and Macau for both periods, resulting in no income tax expense[31]. - The Group had no significant capital commitments as of June 30, 2024, compared to approximately HK$0.5 million as of December 31, 2023[68]. - There were no significant investments, material acquisitions, or disposals of subsidiaries during the reporting period[69].
景联集团(01751) - 2024 - 中期财报