Financial Performance - For the six months ended September 30, 2024, the company reported a revenue of HKD 238,901,000, a decrease of 15% compared to HKD 281,289,000 for the same period in 2023[1] - Gross profit for the same period was HKD 106,041,000, down 21% from HKD 133,766,000 year-on-year[1] - The company recorded a net loss of HKD 48,698,000 for the six months ended September 30, 2024, compared to a net loss of HKD 864,000 in the previous year[3] - The total comprehensive loss for the period was HKD 44,784,000, compared to a loss of HKD 8,020,000 in the same period last year[3] - The adjusted loss before tax for the six months ended September 30, 2024, was HKD 48,075,000, compared to a loss of HKD 93,000 for the same period in 2023[25] - The company’s basic and diluted loss per share for the period was HKD 1.934, compared to HKD 0.034 in the previous year[3] Revenue Breakdown - For the six months ended September 30, 2024, total revenue was HKD 238,901,000, with cosmetics contributing HKD 178,701,000 and women's fashion contributing HKD 60,200,000[15] - For the six months ended September 30, 2023, total revenue was HKD 281,289,000, with cosmetics contributing HKD 202,850,000 and women's fashion contributing HKD 78,439,000, indicating a year-over-year decline of approximately 15.1%[17] - As of September 30, 2024, the cosmetics business generated revenue of HKD 178,701,000, a decrease of 11.9% compared to HKD 202,850,000 in the same period last year, with a segment loss of HKD 20,921,000 compared to a loss of HKD 823,000 in 2023[46] - The fashion business reported revenue of HKD 60,200,000 for the mid-2024 period, down 23.3% from HKD 78,439,000 in the previous year, resulting in a segment loss of HKD 14,878,000 compared to a profit of HKD 6,898,000 in 2023[47] Asset and Liability Management - The company's total non-current assets decreased to HKD 698,259,000 as of September 30, 2024, from HKD 712,173,000 as of March 31, 2024[5] - Current liabilities exceeded current assets by HKD 116,076,000, indicating a liquidity challenge[9] - The company has unutilized bank credit facilities amounting to HKD 171,562,000 as of September 30, 2024[10] - The group’s bank credit facilities amounted to HKD 353,004,000 as of September 30, 2024, down from HKD 440,950,000 on March 31, 2024[54] - The group's current ratio improved to 0.63 from 0.29 as of March 31, 2024, while the debt ratio decreased to 1.13 from 1.92[53] Cost Management and Operational Strategies - The total administrative expenses for the six months ended September 30, 2024, were HKD 2,743,000, while financing costs were HKD 16,223,000[25] - Financing costs increased by HKD 4,805,000 due to higher borrowings, including loans from directors[44] - The group has implemented cost optimization strategies to strictly control costs and expenditures, aiming to accelerate the recovery of profitability[51] - The company is actively seeking external financing and negotiating the extension of existing bank credit repayment dates to improve liquidity[10] Store Operations - The group closed 2 underperforming cosmetics stores and 6 fashion stores during the reporting period, reducing the total number of stores to 55 for cosmetics and 54 for fashion as of September 30, 2024[46][47] Future Outlook - The group is optimistic about the fashion business's performance in the second half of the fiscal year, coinciding with the peak sales season during autumn and winter[50] - The group is actively exploring diversified products and brands, launching a new customer loyalty program to establish a solid foundation for long-term development[48] Financial Reporting and Compliance - The company has not reported any significant impact on financial performance due to the application of revised Hong Kong Financial Reporting Standards for the current and prior periods[14] - The company has maintained consistent accounting policies across reporting periods, ensuring comparability in financial statements[22] - The revenue recognition for cosmetics and women's fashion occurs at the point of sale, with normal credit terms ranging from 30 to 120 days post-purchase[18] Miscellaneous - The board expresses gratitude to all employees for their loyalty and contributions[65] - The board consists of two executive directors, one non-executive director, and three independent non-executive directors[65] - The announcement is made on November 27, 2024, in Hong Kong[65]
威高国际(01173) - 2025 - 中期业绩