Financial Performance - For the six months ended June 30, 2024, the group recorded unaudited revenue of approximately RMB 39.7 million, an increase of about 16.4% compared to RMB 34.1 million for the same period in 2023[3]. - The group reported an unaudited loss of approximately RMB 6.5 million for the six months ended June 30, 2024, compared to an unaudited loss of RMB 1.3 million for the same period in 2023[3]. - Basic loss per share for the six months ended June 30, 2024, was RMB 0.7 cents, compared to RMB 0.1 cents for the same period in 2023[3]. - Gross profit for the six months ended June 30, 2024, was RMB 10.7 million, compared to RMB 10.0 million for the same period in 2023[6]. - The total revenue for the six months ended June 30, 2024, was RMB 39,709 thousand, up 16.5% from RMB 34,121 thousand in the same period of 2023[29]. - Sales of printed products reached RMB 13,910 thousand, an increase of 5.8% from RMB 13,145 thousand in 2023[29]. - Revenue from sales to garment manufacturers was RMB 24,495 thousand, up 21.1% from RMB 20,251 thousand in 2023[30]. - The company reported a loss attributable to owners of the company of RMB 6,485,000, compared to a loss of RMB 1,249,000 for the same period in 2023[43]. - The company reported an unaudited loss of approximately RMB 65 million for the current period, compared to a loss of approximately RMB 13 million for the six months ended June 30, 2023[65]. Expenses and Costs - Administrative expenses increased to RMB 15.0 million for the six months ended June 30, 2024, from RMB 9.4 million in the same period of 2023[6]. - Employee costs increased to RMB 10,320,000 for the six months ended June 30, 2024, up from RMB 6,947,000 in the same period of 2023, representing a 48% increase[37]. - The gross margin decreased by 2.2 percentage points from 29.3% to 27.1% due to a 20.3% increase in cost of sales[62]. - Administrative expenses increased significantly from approximately RMB 94 million to approximately RMB 150 million, primarily due to the expansion into functional textile products[64]. Assets and Liabilities - Total assets less current liabilities as of June 30, 2024, amounted to RMB 37.2 million, compared to RMB 28.7 million as of December 31, 2023[13]. - The company's equity totalled RMB 34.5 million as of June 30, 2024, up from RMB 28.4 million as of December 31, 2023[13]. - Inventory increased to RMB 2.6 million as of June 30, 2024, from RMB 2.2 million as of December 31, 2023[11]. - Trade receivables rose to RMB 20.3 million as of June 30, 2024, compared to RMB 12.8 million as of December 31, 2023[11]. - The total trade payables as of June 30, 2024, were RMB 8,534,000, compared to RMB 4,051,000 as of December 31, 2023, indicating a substantial increase in liabilities[48]. - Trade receivables amounted to RMB 21,769,000 as of June 30, 2024, up from RMB 14,083,000 as of December 31, 2023, reflecting a 54% increase[46]. Cash Flow - For the six months ended June 30, 2024, the net cash used in operating activities was RMB 16,424 thousand, compared to RMB 8,052 thousand for the same period in 2023, indicating a 104.5% increase in cash outflow[20]. - The net cash generated from financing activities was RMB 13,394 thousand for the six months ended June 30, 2024[20]. - The cash and cash equivalents at the end of the period were RMB 15,837 thousand, down from RMB 26,995 thousand at the end of June 2023, representing a decrease of 41.2%[20]. - The company reported a net cash decrease of RMB 3,714 thousand for the six months ended June 30, 2024, compared to a decrease of RMB 7,906 thousand in the same period of 2023[20]. Dividends - The board of directors decided not to declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[3]. - The company did not declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[40]. - The company did not declare an interim dividend for the period, maintaining a focus on reinvestment[85]. Share Placements and Fundraising - The company raised a total of HKD 12.9 million through the placement of shares in January and May 2024[51]. - The company successfully placed 100,000,000 shares at a price of HKD 0.08 per share in January 2024, raising a total of HKD 8.0 million, with a net amount of approximately HKD 7.7 million after expenses[95]. - In May 2024, the company placed 70,000,000 shares at a price of HKD 0.07 per share, raising a total of HKD 4.9 million, with a net amount of approximately HKD 4.7 million after expenses[97]. - The net proceeds from the January 2024 placement are allocated for expanding the functional textile product manufacturing plant, with an expected expenditure of HKD 3.1 million by December 2024[95]. - The net proceeds from the May 2024 placement are planned for developing online sales channels for functional textile products, with an expected expenditure of HKD 3.0 million by December 2024[97]. Corporate Governance and Compliance - The company has adopted a code of conduct for securities trading by directors, ensuring compliance with GEM Listing Rules, with no known violations during the period[103]. - The company has adhered to the corporate governance code, maintaining high standards and focusing on a quality board composition and effective accountability systems[104]. - The audit committee, established on June 24, 2017, consists of three independent non-executive directors and has reviewed the interim report, ensuring compliance with applicable accounting standards[109]. Future Outlook and Risks - Future opportunities and challenges are expected to be influenced by the overall development of the Chinese apparel materials market and rising labor and material costs[86]. - The company faces significant risks including potential impacts from public health events, raw material price increases, and intense competition in the apparel materials industry[89]. - The company’s future plans will be aligned with the recovery pace of the garment industry[92].
新达控股(08471) - 2024 - 中期财报