Financial Performance - For the six months ended September 30, 2024, the company reported revenue of HKD 11,442,000, a decrease of 15.1% compared to HKD 13,489,000 for the same period in 2023[5] - Gross profit for the same period was HKD 8,702,000, down 15.5% from HKD 10,301,000 year-on-year[5] - The company recorded a loss before tax of HKD 6,556,000, compared to a loss of HKD 6,301,000 in the previous year, indicating a 4.1% increase in losses[5] - Basic and diluted loss per share was HKD 1.81, compared to HKD 1.74 for the same period in 2023[5] - Other income for the six months ended September 30, 2024, totaled HKD 16,000, down 44.8% from HKD 29,000 in the previous year[32] - Financing costs increased to HKD 2,442,000 for the six months ended September 30, 2024, compared to HKD 2,174,000 for the same period in 2023, reflecting a rise of 12.3%[33] - The company reported a loss attributable to equity holders of HKD (6,556,000) for the six months ended September 30, 2024, compared to a loss of HKD (6,301,000) in the same period of 2023[42] - The group’s revenue for the six months ended September 30, 2024, was approximately HKD 11.4 million, a decrease of about 15.6% compared to HKD 13.5 million for the same period in 2023[70] - Gross profit for the same period was approximately HKD 8.7 million, down about 15.5% from HKD 10.3 million, with a gross margin of approximately 76.1%[72] - The net loss for the reporting period was approximately HKD 6.6 million, an increase from a net loss of HKD 6.3 million in the previous year[72] Assets and Liabilities - Total assets as of September 30, 2024, were HKD 73,656,000, down from HKD 78,158,000 as of March 31, 2024[7] - Current liabilities increased to HKD 26,943,000 from HKD 23,422,000, reflecting a rise of 15.5%[7] - The company's cash and bank balances decreased to HKD 2,373,000 from HKD 2,912,000, a decline of 18.5%[7] - Inventory levels rose to HKD 7,059,000 from HKD 6,663,000, representing an increase of 5.9%[7] - Trade receivables as of September 30, 2024, amounted to HKD 534,000, compared to HKD 585,000 as of March 31, 2024, reflecting a decrease of 8.73%[46] - Trade payables increased significantly to HKD 1,281,000 as of September 30, 2024, from HKD 560,000 as of March 31, 2024, representing an increase of 128.75%[48] - Total bank borrowings as of September 30, 2024, were HKD 47,099,000, down from HKD 49,586,000 as of March 31, 2024, a decrease of 5.02%[51] - Lease liabilities as of September 30, 2024, amounted to HKD 9,267,000, an increase from HKD 6,929,000 as of March 31, 2024, reflecting a growth of 33.67%[56] - The total minimum lease payments due within one year as of September 30, 2024, were HKD 6,957,000, compared to HKD 6,552,000 as of March 31, 2024, an increase of 6.17%[57] Cash Flow and Financing - Operating cash flow before tax loss for the six months ended September 30, 2024, was (HKD 6,556,000), compared to (HKD 6,301,000) for the same period in 2023, indicating a slight increase in losses[14] - Net cash generated from operating activities for the six months ended September 30, 2024, was HKD 1,749,000, up from HKD 1,375,000 in the previous year, reflecting improved operational efficiency[14] - The group had available undrawn bank financing of HKD 6,181,000 as of September 30, 2024, compared to HKD 4,931,000 in 2023, indicating enhanced liquidity[20] - The net cash used in investing activities was (HKD 118,000) for the current period, compared to (HKD 83,000) in the previous year, indicating increased investment outflows[14] - The net cash used in financing activities was (HKD 2,170,000) for the six months ended September 30, 2024, compared to (HKD 2,510,000) in the same period last year, reflecting a decrease in financing costs[14] Corporate Governance and Management - The group has maintained a high standard of corporate governance and complied with the relevant provisions of the corporate governance code during the reporting period[95] - The group is actively monitoring its liquidity risk based on monthly cash flow forecasts to maintain a balance between sustainability and flexibility[87] - The group has engaged in discussions with banks to negotiate lower borrowing rates for future periods[86] - The group’s management has assessed its ability to continue as a going concern for at least the next twelve months, supported by ongoing financial backing from related parties[20] - The Audit Committee was established on March 14, 2018, in compliance with GEM Listing Rules and Corporate Governance Code[116] - The Audit Committee consists of three independent non-executive directors: Mr. Li Weihao, Mr. Wang Zichong, and Ms. Han Yanhua, with Ms. Han serving as the chairperson[116] - The Audit Committee reviewed the unaudited condensed consolidated results for the reporting period and confirmed compliance with applicable accounting standards and GEM Listing Rules[116] Employee and Operational Insights - The group employs 50 staff members as of the reporting period end, a decrease from 55 as of September 30, 2023[88] - The total employee expenses (excluding directors' remuneration) amounted to approximately HKD 5.5 million during the reporting period, compared to HKD 5.6 million for the six months ended September 30, 2023[88] - The group experienced a slight decrease in administrative expenses from approximately HKD 14.0 million to about HKD 12.3 million, a reduction of about 12.1%[75] Future Outlook and Strategic Initiatives - The company has not provided specific guidance for future performance or new product developments in the current report[5] - There were no significant updates regarding market expansion or mergers and acquisitions mentioned in the report[5] - The group anticipates exploring sales promotion methods and potential projects to raise awareness of tea drinking health benefits despite a challenging economic environment[77] Shareholder Information - Profit Ocean holds 270,000,000 shares, representing 74.66% of the total issued shares[105] - Tri-Luck, Wealth City, Tianjing, and Coastal Lion each own 25% of the issued share capital of Profit Ocean[107] - No shares were pledged by the controlling shareholders during the reporting period[108] - The company has not violated any significant loan agreements related to its business[108] - The stock option plan was approved on March 14, 2018, to incentivize selected participants for their contributions[109] - As of April 1, 2024, and September 30, 2024, the number of stock options available under the plan is 3,700,000 each[113] - No stock options were granted, exercised, expired, or canceled during the reporting period[112] - The company does not have any known competitive businesses or interests that conflict with its operations[115]
英记茶庄集团(08241) - 2025 - 中期业绩