Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 23,600,000, a decrease of 12.5% compared to HKD 26,998,000 for the same period in 2023[3]. - Gross profit for the period was HKD 3,342,000, down 56.0% from HKD 7,588,000 year-on-year[3]. - The net loss for the period was HKD 1,798,000, compared to a net loss of HKD 2,295,000 in the previous year, representing a 21.6% improvement[3]. - Basic and diluted loss per share was HKD 0.0140, an improvement from HKD 0.0179 in the same period last year[3]. - Repair service revenue was HKD 23,495,000, down from HKD 26,932,000, reflecting a decline of 12.5%[21]. - The loss for the period narrowed to approximately HKD 1,798,000 from HKD 2,295,000 in the previous year, primarily due to gains from the sale of financial assets[72]. - Revenue from repair services was approximately HKD 23,495,000, down from HKD 26,932,000 in 2023, reflecting a competitive market[65]. - The cost of sales increased by approximately 4.4% to about HKD 20,258,000, with direct labor costs rising by about 5.8% to HKD 13,681,000 due to wage adjustments[66]. Assets and Liabilities - Total assets as of September 30, 2024, were HKD 69,579,000, down from HKD 72,977,000 as of March 31, 2024[5]. - Trade receivables decreased to HKD 7,688,000 as of September 30, 2024, down from HKD 10,550,000 as of March 31, 2024, indicating a 27.0% reduction[42]. - The company’s current assets were approximately HKD 27,304,000, down from HKD 31,370,000 as of March 31, 2024[75]. - The company’s current liabilities decreased to approximately HKD 8,528,000 from HKD 12,639,000 as of March 31, 2024[75]. - The total amount of trade and other payables decreased to HKD 5,356,000 as of September 30, 2024, from HKD 7,387,000 as of March 31, 2024, reflecting a 27.6% decline[44]. Cash Flow and Financing - Cash and cash equivalents at the end of the period were HKD 12,545,000, an increase from HKD 1,847,000 at the end of the same period last year[12]. - Operating cash flow generated was HKD 1,983,000, compared to an outflow of HKD 3,271,000 in the previous year[10]. - As of September 30, 2024, the group had unused bank financing of HKD 10,200,000, up from HKD 8,000,000 on March 31, 2024[60]. - The group has undrawn bank financing of approximately HKD 10,200,000 available for future funding needs as of September 30, 2024[77]. - The company did not take on any bank revolving loans during the period, maintaining a previous balance of HKD 2,200,000[47]. Income and Expenses - Total other income and gains for the six months ended September 30, 2024, was HKD 3,725,000, compared to HKD 1,745,000 in 2023, marking a significant increase of 113.5%[26]. - Financing costs for the six months ended September 30, 2024, totaled HKD 120,000, up from HKD 52,000 in 2023, indicating an increase of 130.8%[31]. - The company reported a total tax expense of HKD 23,000 for the period, compared to a tax credit of HKD 29,000 in the previous year[31]. - Administrative expenses decreased slightly by about 5.0% to HKD 6,451,000 compared to HKD 6,789,000 in the previous year[70]. Shareholder Information - East-Asia Pacific Limited holds 66,000,000 shares, representing approximately 51.43% of the issued shares[95]. - The total number of issued shares as of September 30, 2024, is 128,342,000[94]. - The Zhang brothers collectively hold 1,384,000 shares, accounting for about 1.08% of the issued shares[95]. - The company’s major shareholders include East-Asia Pacific Limited and the Zhang family trust, with significant shareholdings[102]. Corporate Governance - The company has adopted the corporate governance code to enhance transparency and accountability[104]. - The audit committee consists of all independent non-executive directors and has reviewed the financial reporting procedures[107]. - The company has confirmed compliance with the corporate governance code during the reporting period, with some exceptions noted[104]. - The company’s board members receive monthly updates on performance and significant changes[106]. - The chairman of the company is Mr. Zhang Jingshi, and the CEO is Mr. Zhang Jingfeng[109]. Operational Highlights - The company operates solely in Hong Kong, generating 100% of its revenue from this region[23]. - The company recorded a decrease in inventory by HKD 1,780,000 during the period[10]. - The company made capital expenditures of approximately HKD 58,000 on property, plant, and equipment during the period, significantly lower than HKD 790,000 in 2023[37]. - The group employed 101 full-time employees as of September 30, 2024, a decrease from 109 employees as of March 31, 2024[85]. - The group reported no significant contingent liabilities as of September 30, 2024, consistent with the previous period[79]. - The group has no major capital commitments as of September 30, 2024, unchanged from March 31, 2024[82]. - The group will continue to adopt a prudent approach to manage its business amid economic challenges and uncertainties[87]. - The group aims to enhance its business model and broaden revenue sources despite facing economic headwinds[87].
电讯首科(03997) - 2025 - 中期业绩