Financial Performance - Revenue for the six months ended June 30, 2024, was RM 59,634,000, a 0.9% increase from RM 59,123,000 in the same period of 2023[7] - Gross profit decreased to RM 12,391,000, down 3.1% from RM 12,793,000 year-over-year[7] - Profit before tax for the period was RM 6,156,000, a decline of 21.2% compared to RM 7,815,000 in the previous year[7] - Net profit for the period was RM 4,074,000, down 26.1% from RM 5,514,000 in the same period of 2023[7] - Total comprehensive income for the period was RM 4,444,000, a decrease of 29.6% from RM 6,317,000 year-over-year[7] - Basic and diluted earnings per share for the period were 0.86 sen, down from 1.17 sen in the previous year[7] - Revenue from external customers for the six months ended June 30, 2024, reached 59,634 thousand MYR, a slight increase from 59,123 thousand MYR for the same period in 2023, representing a growth of 0.9%[23] - Gross profit for the six months ended June 30, 2024, was 12,391 thousand MYR, compared to 12,793 thousand MYR in the previous year, indicating a decrease of 3.1%[20] - Net profit for the six months ended June 30, 2024, was 4,074 thousand MYR, compared to 5,541 thousand MYR in the previous year, a decrease of 26.5%[27] - The company incurred total employee costs of 3,146 thousand MYR for the six months ended June 30, 2024, compared to 2,995 thousand MYR in the previous year, an increase of 5.0%[26] Assets and Liabilities - Total assets as of June 30, 2024, amounted to RM 177,163,000, an increase from RM 170,511,000 as of December 31, 2023[8] - Total equity increased to RM 164,604,000 from RM 160,160,000 at the end of 2023[8] - Trade receivables as of June 30, 2024, amounted to RM 20,471,000, down from RM 21,946,000 as of December 31, 2023, indicating a decrease of approximately 6.7%[33] - The total trade and other payables increased to RM 10,083,000 as of June 30, 2024, from RM 7,703,000 as of December 31, 2023, reflecting an increase of approximately 30.5%[41] - The company's property, plant, and equipment decreased to RM 15,337,000 as of June 30, 2024, from RM 15,593,000 as of December 31, 2023, a decline of about 1.6%[32] - The company reported lease liabilities of approximately 1.5 million MYR as of June 30, 2024, down from approximately 1.9 million MYR as of December 31, 2023[60] Cash Flow and Investments - Operating cash flow decreased significantly to 76 thousand MYR compared to 13,703 thousand MYR in the previous year, reflecting a decline of 99.4%[10] - The company incurred a net cash outflow of 448 thousand MYR from financing activities, compared to 430 thousand MYR in the same period last year[11] - The company’s cash and cash equivalents at the end of the reporting period were 56,314 thousand MYR, a slight decrease from 57,280 thousand MYR in the previous year[11] - The net cash used in investing activities increased to 237 thousand MYR from 85 thousand MYR in the previous year, indicating a rise of 178.8%[10] - The company has no significant capital commitments as of June 30, 2024, except for a contracted but unrecognized capital commitment of approximately 16.2 million MYR for investment in Hainan Litmi[63] Business Segments - The company’s revenue performance is primarily driven by its two segments: animal feed additives and human food ingredients, although specific revenue figures were not disclosed[15][16] - Manufacturing business revenue for the same period was approximately 12.4 million MYR, accounting for about 20.8% of total revenue, a decrease of approximately 5.5 million MYR or 30.7% from about 17.9 million MYR in 2023[52] - Distribution business revenue increased to approximately 47.2 million MYR, representing about 79.2% of total revenue, an increase of approximately 5.9 million MYR or 14.3% from about 41.3 million MYR in 2023[52] Corporate Governance and Compliance - The company has adopted the corporate governance code and has complied with applicable provisions during the six months ending June 30, 2024, except for the separation of the roles of chairman and CEO[95] - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing the effectiveness of the group's financial reporting system and risk management[97] - The company has confirmed compliance with the standard code of conduct for securities transactions by all directors for the six months ending June 30, 2024[93] - The company emphasizes the importance of good corporate governance to achieve effective accountability and enhance shareholder value[94] Future Plans and Investments - The company plans to implement a share buyback program with a total fund not exceeding 12 million HKD, with a maximum buyback of 20 million shares, representing about 4.24% of the total issued shares as of June 26, 2024[49] - The company plans to construct a new production facility by December 31, 2025, with an allocated budget of HKD 42.1 million[74] - The company aims to hire more labor and establish a centralized enterprise resource planning system by December 31, 2025[75] - The company is actively seeking suitable investment opportunities despite the cautious approach due to the economic recovery from COVID-19[75] Shareholder Information - As of June 30, 2024, the company's directors and executives hold a combined 71.5% stake, equating to 337,500,000 shares[77] - Garry-Worth Investment Limited holds 337,500,000 shares, representing 71.5% of the company's total issued share capital[81] - Datuk Seri Lee Haw Yih owns 53.37% of Garry-Worth, while Lee Haw Shyang and Lee Haw Hann each own 20.17%[82] - Warrants Capital Ltd holds 27,482,000 shares, accounting for 5.8% of the company's total shares[81] Share Option Scheme - The company has adopted a share option scheme approved by shareholders on April 8, 2020, in accordance with the listing rules[83] - The maximum number of shares that can be issued under the share option scheme is capped at 50,000,000 shares, which is 30% of the total issued shares at the time of listing[86] - The total number of shares available for issuance under the share option scheme as of June 30, 2024, is 50,000,000 shares, representing approximately 10.6% of the company's total issued share capital[91] - The share option plan remains valid for a period of 10 years from its adoption date, with no options granted, exercised, canceled, or lapsed during the reporting period[91]
利特米(01936) - 2024 - 中期财报