Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 70,056,000, representing a 19.5% increase from HKD 58,694,000 in the same period of 2023[4] - Gross profit for the same period was HKD 14,133,000, up 9.3% from HKD 12,928,000 year-on-year[4] - The company reported a profit attributable to owners of HKD 3,493,000 for the three months ended September 30, 2024, compared to HKD 1,798,000 in the previous year, marking a 94.5% increase[4] - Basic and diluted earnings per share for the six months ended September 30, 2024, were HKD 0.23, up from HKD 0.14 in the same period of 2023[5] - The pre-tax profit for the six months ended September 30, 2024, was HKD 3,041,000, compared to HKD 1,764,000 for the same period in 2023, indicating a significant increase of approximately 72.5%[20] - The company reported a total comprehensive income of HKD 22,150,000 for the period ended September 30, 2023, compared to HKD 20,019,000 for the same period in 2022, reflecting a growth of 10.6%[10] Assets and Equity - Total assets as of September 30, 2024, were HKD 48,713,000, compared to HKD 27,769,000 as of March 31, 2024, indicating a significant growth in asset base[6] - The company’s total equity increased to HKD 45,773,000 as of September 30, 2024, from HKD 25,672,000 as of March 31, 2024, showing strong financial health[6] - The company’s net current assets increased to HKD 43,921,000 from HKD 22,041,000, reflecting improved liquidity[6] - The company’s total assets as of September 30, 2024, were HKD 46,657,000, compared to HKD 46,657,000 as of April 1, 2023[10] Revenue Breakdown - Digital advertising services generated revenue of HKD 6,662,000 for the six months ended September 30, 2024, up 108.8% from HKD 3,196,000 in the same period last year[16] - Creative and technology services saw revenue increase to HKD 49,739,000 for the six months ended September 30, 2024, compared to HKD 40,174,000 in 2023, representing a 23.4% growth[16] - Revenue from external customers in Hong Kong was HKD 60,317,000, up from HKD 48,502,000 in the previous year, reflecting a growth of about 24.5%[21] - The external sales breakdown shows digital advertising services generated HKD 6,662,000, social media management services generated HKD 13,655,000, and creative and technology services generated HKD 49,739,000[19] Expenses and Costs - The increase in service costs was noted at HKD 55,923,000 for the six months ended September 30, 2024, compared to HKD 45,766,000 in the previous year, indicating rising operational expenses[4] - Total employee costs for the six months ended September 30, 2024, were HKD 17,403,000, compared to HKD 15,563,000 in the same period of 2023, representing an increase of about 11.8%[29] - Administrative expenses increased by approximately 4.65% to about HKD 9,290,000 for the six months ended September 30, 2023, primarily due to higher employee costs[49] - Selling expenses rose by approximately 8.17% from about HKD 2.79 million to approximately HKD 3.02 million, driven by increased marketing-related expenses and sales staff costs[48] Cash Flow and Financing - The net cash used in operating activities for the six months ended September 30, 2024, was HKD (1,130,000), compared to HKD 968,000 in the same period of 2023[12] - Cash and cash equivalents at the end of the period increased to HKD 34,114,000, up from HKD 18,327,000 in the previous year[12] - The company’s financing activities generated a net cash inflow of HKD 11,948,000 for the six months ended September 30, 2024, compared to a net outflow of HKD (770,000) in the same period last year[12] - The company has no interest-bearing loans or borrowings as of September 30, 2024, maintaining a strong financial position[58] Corporate Governance - The company has adopted a code of conduct for directors regarding securities trading, ensuring compliance with GEM listing rules[78] - The audit committee, consisting of three independent non-executive directors, has been established to oversee financial reporting and internal controls[82] - The board is committed to high standards of corporate governance and has implemented measures to enhance internal control systems[80] - The company aims to create value for shareholders and maximize returns through effective governance practices[80] Future Plans and Strategies - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[4] - The company continues to focus on expanding its digital media services and enhancing its marketing capabilities to drive future growth[18] - The company is focusing on enhancing its position in the digital marketing market, leveraging the potential of artificial intelligence to optimize processes and improve overall efficiency[45] - The company plans to utilize approximately HKD 6,000,000 for developing online advertising business in China by March 31, 2027[55] Risks and Compliance - Key risks include the potential inability to attract and retain key personnel, which could adversely affect business development and growth[69] - There are no known conflicts of interest between directors and the company's business during the reporting period[76] - The company has established a non-competition agreement with its controlling shareholders to prevent conflicts of interest[77]
国恩控股(08121) - 2025 - 中期财报