Financial Performance - Revenue for the six months ended September 30, 2024, was HK$203,573,000, an increase from HK$154,643,000 in the same period of 2023, representing a growth of 31.6%[15] - Gross profit for the period was HK$860,000, down from HK$1,126,000 in 2023, indicating a decline of 23.6%[15] - Loss before income tax improved to HK$3,533,000 compared to a loss of HK$4,136,000 in the previous year, reflecting a reduction of 14.6%[15] - Total comprehensive loss attributable to owners of the Company was HK$3,546,000, compared to HK$4,190,000 in 2023, showing a decrease of 15.4%[15] - Basic and diluted loss per share was HK$0.013, an improvement from HK$0.016 in the same period last year[15] - The company reported a net loss of HK$3,546,000 for the six months ended September 30, 2024, compared to a loss of HK$4,190,000 for the same period in 2023, indicating an improvement of 15.4%[20] - The Group recorded a loss attributed to owners of approximately HK$3.5 million for the six months ended September 30, 2024, compared to a loss of approximately HK$4.2 million for the same period in 2023[78][83] Income and Expenses - Other income increased slightly to HK$68,000 from HK$63,000 in 2023, marking an increase of 7.9%[15] - Administrative and other operating expenses decreased to HK$4,452,000 from HK$5,317,000, a reduction of 16.3%[15] - Finance costs remained stable at HK$9,000 compared to HK$8,000 in the previous year[15] - Cash used in operating activities was HK$12,804,000, an increase of 53.5% from HK$8,328,000 in the previous year[21] - The gross profit for the same period was approximately HK$0.9 million, a decrease of approximately 23.6% from HK$1.1 million in the previous year, resulting in a gross profit margin of 0.4% compared to 0.7%[73][74] - Other income increased by approximately HK$5,000 from HK$63,000 for the six months ended September 30, 2023, to approximately HK$68,000 for the same period in 2024, mainly due to increased bank interest income[75] - Administrative and other operating expenses decreased by approximately HK$0.9 million or 16.3% from HK$5.3 million to approximately HK$4.5 million, primarily due to reduced staff costs[75] - Finance costs increased by 12.5% to approximately HK$9,000 for the six months ended September 30, 2024, from approximately HK$8,000 in the previous year, mainly due to increased lease interests[77][82] Assets and Liabilities - As of September 30, 2024, total assets amounted to HK$105,136,000, a decrease of 5.5% from HK$111,496,000 as of March 31, 2024[19] - Net current assets were HK$81,715,000, down from HK$84,999,000, reflecting a decline of 3.5%[19] - The company’s total equity decreased to HK$83,593,000 from HK$87,139,000, a decline of 4.5%[19] - Non-current liabilities increased significantly to HK$70,000, compared to HK$40,000 as of March 31, 2024, marking a 75% rise[19] - Trade receivables, net of provision for loss allowance, increased to HK$32.8 million as at 30 September 2024, up from HK$17.1 million as at 31 March 2024[54] - Trade payables decreased to HK$20.97 million as at 30 September 2024, down from HK$23.17 million as at 31 March 2024[59] - The Group's provision for loss allowance for trade receivables remained stable at HK$675,000 as at 30 September 2024, unchanged from 31 March 2024[58] Operational Strategy - The Company continues to focus on improving operational efficiency and reducing costs in response to market conditions[15] - The Group intends to implement a more prudent approach in project selection, focusing on well-established contractors to ensure steady projects and sound receivables[64] - The Group plans to expand its geographical coverage beyond the Hong Kong market to enhance future development and strengthen revenue bases[68] - The Group aims to improve its operating efficiency and profitability by expanding its fleet of machinery and equipment[67] - The increase in revenue was primarily attributed to a higher number of contracts awarded during the period[69] - The Group is actively seeking opportunities to expand its customer base and market share, particularly in the Hong Kong market and beyond, to enhance future development and revenue base[70] - The Group anticipates that business diversification will provide greater returns for shareholders in the future[70] Shareholder Information - No dividends were paid or proposed for ordinary shareholders during the six months ended September 30, 2024, consistent with the same period in 2023[50] - The company has maintained its share capital at HK$13,819,000, with no changes reported[20] - As of September 30, 2024, the total issued share capital of the Company was HK$13,819,000, unchanged from March 31, 2024, with 276,380,000 ordinary shares[80][85] - Land Noble Holdings Limited holds 105,000,000 shares in the Company, representing 37.99% of the total shareholding[129] - Mr. Wang Wei and Mr. Sun Yiyun each hold 20,940,000 shares, accounting for 7.57% of the total shareholding[129] - Mr. Tse Man Loong holds 14,200,000 shares, which is 5.13% of the total shareholding[129] - Ms. Or So Lan and Ms. Yapp Ngi Yang, as spouses of Mr. Tse Chun Yuen and Mr. Tse Chun Kuen respectively, are deemed to have an interest in the shares held by their spouses[130] - No other Directors or chief executives had any interests or short positions in shares or debentures of the Company as of September 30, 2024[125] Compliance and Governance - The financial statements are prepared in accordance with Hong Kong Accounting Standard 34, ensuring compliance with applicable disclosure requirements[25] - The Company maintains compliance with the Securities and Futures Ordinance regarding the disclosure of interests[131] - All Directors confirmed compliance with the Required Standard of Dealing during the six months ended 30 September 2024, with no non-compliance events reported[134] - No business competition or conflict of interests was reported among Directors or controlling shareholders during the six months ended 30 September 2024[135] - The Company has adopted the Corporate Governance Code since the Listing Date and has complied with it during the six months ended 30 September 2024[138] - The Audit Committee reviewed the unaudited condensed consolidated results for the six months ended 30 September 2024 and confirmed compliance with applicable accounting standards and GEM Listing Rules[140] Cash and Capital Management - Cash and cash equivalents at the end of the period were HK$16,703,000, down from HK$40,654,000, representing a decrease of 58.8%[21] - The Group had cash and cash equivalents of approximately HK$16.7 million as of 30 September 2024, down from HK$29.7 million as of 31 March 2024[96] - The gearing ratio for the Group as of 30 September 2024 was nil, indicating no bank borrowings[96] - Total capital expenditure for the six months ended 30 September 2024 was nil, consistent with the previous period[101] - The Group's primary uses of cash and cash equivalents have been operating costs and capital expenditure, which are expected to continue[96] - The Directors will maintain a prudent policy in managing the Group's bank balances to ensure strong liquidity for future growth opportunities[96] Market and Product Development - The Company has not disclosed any new products or technologies in this report[127] - There are no updates on market expansion or acquisitions mentioned in the report[127] - The report does not provide any future outlook or performance guidance[127] - The Group's operations are solely based in Hong Kong, with no segment information presented[38] - No provision for Hong Kong profits tax was made as the Group did not have estimated assessable profits for the six months ended September 30, 2024, and 2023[45]
怡康泰工程集团(08445) - 2025 - 中期财报