Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 323 million, a decrease from HKD 651 million in 2023, with a net loss attributable to shareholders of HKD 69 million compared to a loss of HKD 2 million in 2023 [3]. - Basic loss per share was HKD 0.126, compared to HKD 0.004 in 2023, while total equity attributable to shareholders increased to HKD 7.766 billion from HKD 7.539 billion as of March 31, 2024 [4]. - The company did not declare an interim dividend for the six months ended September 30, 2024, consistent with 2023 [5]. - Revenue for the six months ended September 30, 2024, was HKD 322,921,000, a decrease from HKD 650,752,000 in the same period of 2023, representing a decline of approximately 50.5% [19]. - The company reported a loss before tax of HKD 30,005,000 for the six months ended September 30, 2024, compared to a profit of HKD 157,393,000 in the same period of 2023 [19]. - The net loss attributable to the company's owners for the period was HKD 49,110,000, compared to a profit of HKD 26,821,000 in the previous year [19]. - Total comprehensive income for the six months ended September 30, 2024, was HKD 454,865,000, compared to a loss of HKD 380,271,000 in the same period of 2023 [21]. - The group reported a loss before tax of HKD 30,005,000 for the six months ended September 30, 2024, compared to a profit before tax of HKD 157,393,000 for the same period in 2023 [35]. - The company reported a pre-tax loss of HKD 69,268,000 for the six months ended September 30, 2024, compared to a loss of HKD 2,231,000 for the same period in 2023 [50]. Revenue Breakdown - Property development revenue was HKD 52,643,000, while property investment revenue was HKD 245,925,000, contributing to a total of HKD 322,921,000 [35]. - Total revenue from customer contracts for the six months ended September 30, 2024, was HKD 73,971,000, compared to HKD 407,517,000 for the same period in 2023, representing a decrease of approximately 81.8% [43]. - Total rental income for the six months ended September 30, 2024, was HKD 248,950,000, compared to HKD 243,235,000 for the same period in 2023, showing an increase of approximately 2.9% [45]. - Revenue from Hong Kong was HKD 105,859,000, an increase from HKD 101,704,000 in the same period of 2023 [42]. - Revenue from Mainland China significantly decreased to HKD 213,016,000 from HKD 549,048,000 year-over-year [42]. Investment and Asset Management - The company is expanding its investment portfolio in regions outside of China to generate more recurring income, despite a challenging rental market in China [9]. - The hotel investment portfolio in Japan is yielding significant returns, with expectations of continued strong occupancy rates and rising property values [11]. - The company's non-current assets increased to HKD 18,100,096,000 as of September 30, 2024, from HKD 17,648,296,000 as of March 31, 2024 [23]. - The group's investment property portfolio's market value as of September 30, 2024, was HKD 15,944,000,000, an increase from HKD 15,548,000,000 as of March 31, 2024, with a fair value decrease of HKD 68,000,000 after deferred tax [68]. - The group’s investment in Japanese hotel properties aims to capitalize on the booming tourism market and low exchange rates, contributing to long-term growth and profitability [66]. Market Conditions and Challenges - The sales environment in China has shifted, with buyers preferring completed residential units, leading to a delay in recognizing approximately HKD 370 million in revenue until necessary approvals are obtained [8]. - The macroeconomic outlook for 2024 remains complex, with high interest rates and geopolitical tensions impacting global economic sentiment [15]. - Sales of properties in Guangzhou increased by 40% following the removal of all home purchase restrictions, although consumer confidence remains low [15]. - The government has announced measures to improve the property market, which the company expects will lead to continued improvement in the sector [17]. Operational Performance - The construction and trade segment reported a revenue increase of 7.9%, contributing positively to net profit despite economic challenges [14]. - The construction and trade segment recorded a revenue of HKD 3,447,000,000, an increase from HKD 2,539,000,000 in 2023, with a net profit attributable to shareholders of HKD 21,500,000, recovering from a loss of HKD 59,800,000 in 2023 [71]. - The building construction sector contributed revenue of HKD 302,000,000, down from HKD 376,000,000 in 2023, while operating losses narrowed to HKD 1,400,000 from HKD 21,100,000 in 2023 [72]. - The HVAC installation and maintenance segment generated revenue of HKD 1,510,000,000, up from HKD 861,000,000 in 2023, with operating losses reduced to HKD 13,600,000 from HKD 41,000,000 in 2023 [74]. - The aviation segment reported revenue of HKD 286,000,000, significantly up from HKD 105,000,000 in 2023, with a profit of HKD 18,800,000 compared to a loss of HKD 200,000 in 2023 [75]. Financial Position - Total assets as of September 30, 2024, amounted to HKD 21,147,874,000, while total liabilities were HKD 9,375,116,000 [38]. - As of September 30, 2024, the total interest-bearing debt was approximately HKD 7,660,000,000, with about 31% classified as current liabilities, down from 34% as of March 31, 2024 [76]. - The total equity attributable to shareholders increased to approximately HKD 7,766,000,000 as of September 30, 2024, from HKD 7,539,000,000 as of March 31, 2024, primarily due to the appreciation of RMB-denominated assets [77]. - The debt-to-equity ratio as of September 30, 2024, was 54%, down from 56% as of March 31, 2024 [77]. Corporate Governance and Compliance - The company has complied with the corporate governance code except for the deviation regarding the rotation of directors, as the chairman and CEO will not rotate every three years [88]. - The audit committee has held regular meetings and reviewed the financial reporting procedures and internal controls, with the interim results for the six months ended September 30, 2024, being unaudited but reviewed by the audit committee [89]. - No purchase, sale, or redemption of the company's listed securities occurred during the six months ended September 30, 2024 [91].
建业实业(00216) - 2025 - 中期业绩