Financial Performance - The Group's revenue for the six months ended 30 September 2024 was approximately HK$36,708,000, representing a decrease of approximately 6.4% from HK$39,216,000 in the corresponding period last year[17]. - The Group's gross profit was approximately HK$19,665,000, a decrease of approximately 6.6% from HK$21,054,000 compared to the same period last year, with an overall gross profit margin of approximately 53.6%[18]. - The Group recorded a profit of approximately HK$3,263,000 during the Reporting Period, compared to a loss of approximately HK$597,000 in the same period last year[23]. - Profit before income tax was HK$3,700,000, compared to a loss of HK$700,000 in the previous year, indicating a significant turnaround[151]. - Profit attributable to the owners of the Company was HK$3,263,000, compared to a loss of HK$597,000 in the same period last year[151]. - Basic and diluted earnings per share increased to HK$0.72 from a loss of HK$0.13[151]. - The total remuneration of the Group for the reporting period was approximately HK$7,551,000, a decrease of about 11.3% compared to approximately HK$8,509,000 for the six months ended September 30, 2023[100]. - Employee costs for the six months ended 30 September 2024 were HK$7,551,000, down from HK$8,509,000 in 2023, reflecting a decrease of 11.3%[192]. - Costs of inventories recognized as expenses were HK$14,316,000, a decrease from HK$15,294,000 in 2023, representing a reduction of 6.4%[189]. Expenses Management - Selling and distribution expenses decreased by approximately 29.5% to approximately HK$10,240,000 from HK$14,530,000 in the previous year, primarily due to a decrease in depreciation of right-of-use assets[21]. - Administrative and other expenses decreased by approximately 19.8% to approximately HK$5,071,000 from HK$6,320,000 in the previous year, mainly due to a reduction in staff costs[22]. - The Group reported a decrease in selling and distribution expenses to HK$10,240,000 from HK$14,530,000, indicating improved cost management[151]. - Lease liabilities decreased to HK$8,282,000 from HK$11,559,000, showing a reduction in financial obligations[154]. Cash Flow and Liquidity - As of September 30, 2024, the Group's cash and bank balances were approximately HK$6,821,000, an increase from approximately HK$5,894,000 as of March 31, 2024[85]. - Net current assets improved to HK$7,444,000 from HK$4,989,000, reflecting better liquidity[154]. - The company reported a net increase in cash and cash equivalents of HK$927,000 for the period, compared to a net decrease of HK$91,000 in the same period last year[162]. - Cash and cash equivalents at the end of the period were HK$6,821,000, down from HK$9,847,000 at the end of the same period in 2023, representing a decrease of 30.6%[162]. - The net cash used in financing activities was HK$8,465,000, a slight improvement from HK$9,072,000 in the previous year, indicating a reduction of 6.7%[162]. Strategic Focus - The Group will continue to focus on consolidating its retail network, optimizing product mix, and intensifying cost control to stabilize growth[11]. - The Directors foresee ongoing challenges in the Hong Kong retail market due to weak retail sentiment, prompting a cautious approach to business strategies[10]. - The Group is actively developing smart home and related products, seeking new opportunities in these areas[11]. - The company continues to focus on cost management strategies to improve profitability amid challenging market conditions[182]. Dividends - No dividend has been recommended for the six months ended 30 September 2024, consistent with the previous year[24]. - The board does not recommend the payment of any dividends for the six months ending September 30, 2024, consistent with the previous period[27]. - No dividend was recommended for the six months ended 30 September 2024, consistent with the same period in 2023, where no dividend was paid[197]. Tenancy Agreements - The renewal of the tenancy agreement for the warehouse will take effect on August 1, 2024, for a term of two years, with an aggregate rental value of not less than HK$1,872,000[32]. - The renewal of the tenancy agreement for the Shatin shop was finalized on August 7, 2024, ensuring continued operation of the retail business[42]. - The effective date for the renewal of the tenancy agreement for the Shatin shop is set for October 1, 2024[44]. - The term of the renewed tenancy agreement is one year, from October 1, 2024, to September 30, 2025[48]. - The total consideration payable for the Shatin shop is not less than HK$1,156,000, which represents the aggregate monthly basic rental for the one-year term[48]. - The tenant is also subject to a monthly additional turnover rental of 15% of the monthly gross receipts exceeding the basic rental[48]. - The renewal of the tenancy agreement for the Shatin shop is regarded as an acquisition of asset under GEM Listing Rules[51]. - The effective date for the renewal of the tenancy agreement for the Mongkok shop is January 1, 2025[57]. - The total consideration payable for the Mongkok shop is not less than HK$1,728,000 for the two-year term[66]. - Major Will Limited has finalized the renewal terms for the tenancy agreement of Mongkok Shop Premises 2, effective from January 1, 2025, for a term of two years[69][72]. - The total basic rental for the two-year term is not less than HK$1,728,000, which translates to a monthly rental of approximately HK$72,000[73]. Shareholding Structure - Mr. Hui Kwok Keung Raymond held 210,000,000 shares, representing approximately 46.56% of the total issued shares[119]. - Mr. Hue Kwok Chiu held 45,000,000 shares, representing approximately 9.98% of the total issued shares[119]. - As of September 30, 2024, Time Prestige Ventures Limited holds 210,000,000 shares, representing approximately 46.56% of the total issued shares[128]. - Ms. Ng Hiu Ying has an interest of 45,000,000 shares, which accounts for 9.98% of the total issued shares[128]. Corporate Governance - The Company has complied with the corporate governance code provisions during the reporting period, ensuring high standards of corporate governance[106]. - The Audit Committee reviewed the unaudited consolidated results for the six months ended September 30, 2024, confirming compliance with applicable accounting standards and GEM Listing Rules[144]. - The Company has maintained a sufficient public float as of the date of the report[148]. Assets and Liabilities - Total equity attributable to the owners of the Company amounted to approximately HK$11,952,000 as of September 30, 2024, up from approximately HK$8,689,000 as of March 31, 2024[92]. - Total consolidated assets as of 30 September 2024 were HK$31,191,000, slightly down from HK$31,251,000 as of 31 March 2024[186]. - Total consolidated liabilities decreased to HK$19,239,000 as of 30 September 2024 from HK$22,562,000 as of 31 March 2024, a reduction of 14.5%[186]. - The Group does not have any material contingent liabilities as of September 30, 2024[93]. - The Group's assets had no charges as of September 30, 2024, remaining unchanged from March 31, 2024[96]. Foreign Exchange Exposure - The Group is exposed to foreign exchange fluctuations primarily with the Euro and Renminbi against the Hong Kong dollar, but currently does not have a foreign currency hedging policy[94]. - The Group has no foreign exchange hedging policy currently in place, but management monitors foreign exchange risks and may consider hedging significant risks as needed[97].
壹照明(08222) - 2025 - 中期业绩