Financial Performance - The group's revenue from continuing operations for the six months ended September 30, 2024, was approximately HKD 298.9 million, compared to HKD 265.3 million for the same period in 2023, representing an increase of 12.3%[2] - The gross profit margin for the reporting period was approximately 4.5%, down from 5.9% for the same period in 2023[2] - The loss attributable to owners from continuing and discontinued operations was approximately HKD 4.8 million, compared to a profit of HKD 9.6 million for the same period in 2023[2] - Basic and diluted loss per share for the reporting period was approximately HKD 0.40 and HKD 0.47, respectively, compared to earnings of HKD 0.96 for the same period in 2023[2] - The group recorded a total loss and comprehensive expenses of approximately HKD 4.8 million during the reporting period, compared to a profit of approximately HKD 9.6 million for the six months ended September 30, 2023[83] Dividend and Shareholder Returns - The board of directors decided not to declare an interim dividend for the reporting period, consistent with the previous year[2] - The company did not recommend any dividend payment for the six months ended September 30, 2024, consistent with the previous year[48] - No interim dividend was recommended for the reporting period ending September 30, 2023[98] Assets and Liabilities - Total non-current assets decreased from HKD 52.0 million as of March 31, 2024, to HKD 36.3 million as of September 30, 2024[8] - Current assets increased from HKD 329.1 million as of March 31, 2024, to HKD 359.8 million as of September 30, 2024[11] - Current liabilities decreased from HKD 106.9 million as of March 31, 2024, to HKD 92.9 million as of September 30, 2024[14] - Net assets attributable to owners increased from HKD 266.4 million as of March 31, 2024, to HKD 297.3 million as of September 30, 2024[18] - As of September 30, 2024, trade payables amounted to HKD 30,472 thousand, a decrease from HKD 38,720 thousand as of March 31, 2024[56] Revenue Sources - The company primarily engages in providing construction services in Hong Kong, with no significant changes in its main business during the reporting period[20] - The company’s revenue from residential construction services was HKD 135,497,000, while non-residential construction services generated HKD 163,363,000 for the six months ended September 30, 2024[30] - Major customers contributing over 10% of revenue included Customer A with HKD 134,697,000, Customer B with HKD 129,307,000, and Customer C with HKD 34,091,000[27] Costs and Expenses - The company reported employee benefit expenses of HKD 89,410,000, which is a substantial increase from HKD 41,689,000 in the previous year, indicating a rise of approximately 114.3%[33] - The group’s sales cost increased from approximately HKD 249.5 million to about HKD 285.4 million, a rise of approximately HKD 35.9 million or 14.4%[70] - Overall gross profit decreased from approximately HKD 15.8 million to about HKD 13.5 million, a decline of approximately 14.6%, primarily due to a severe shortage of construction-related professionals and increased labor costs[70] - Administrative expenses surged from approximately HKD 5.3 million to about HKD 16.3 million, an increase of approximately HKD 11.0 million or 207.6%[72] Financing and Capital Structure - Financing costs increased to HKD 801,000 for the six months ended September 30, 2024, up from HKD 428,000 in the same period of 2023, reflecting a rise of approximately 87.2%[35] - The company issued bonds totaling HKD 1,000,000 with an annual interest rate of 4.00%, due in October 2024, and RMB 11,000,000 (approximately HKD 11,923,000) with an annual interest rate of 3.65%, due in July 2024[60] - The company's debt-to-equity ratio decreased from approximately 11.7% on March 31, 2024, to about 10.5% on September 30, 2024, primarily due to a reduction in secured bank loans[89] Taxation - The total income tax expense for the six months ended September 30, 2024, was HKD (1,317) thousand, compared to HKD (1,692) thousand for the same period in 2023[43] - The company maintained a tax rate of 16.5% for the estimated taxable profits, in line with the previous year[45] Corporate Governance and Structure - The company changed its name from "Kwong Luen Engineering Holdings Limited" to "FEG Holdings Corporation Limited" on October 2, 2024[102] - The company emphasizes the importance of corporate governance and transparency to maintain shareholder trust and create long-term value[124] - The Audit Committee was established on February 19, 2021, to oversee financial reporting processes and internal controls[127] - The interim financial results were reviewed by the Audit Committee, which found no objections to the accounting treatment adopted by the company[128] Market Outlook - The government projects a total public housing supply of 189,000 units from 2025-2026 to 2029-2030, indicating significant opportunities in the construction sector[66] - The group anticipates substantial growth in the construction industry over the coming years due to the government's labor optimization plan, which has approved 9,731 quotas to address labor shortages[64] - Management expects the construction industry to benefit from favorable government policies and ongoing demand for housing and infrastructure development[68]
广联工程控股(01413) - 2025 - 中期业绩