Financial Performance - For the six months ended September 30, 2024, the total contract amount for ongoing projects was approximately HKD 804.7 million, with confirmed revenue totaling about HKD 416.7 million[12]. - The group recorded a gross profit of approximately HKD 21.1 million for the review period, compared to HKD 9.78 million for the six months ended September 30, 2023, reflecting a significant increase[13]. - The gross profit margin for the review period was approximately 8.7%, down from 12.2% for the same period last year[13]. - Revenue increased by approximately HKD 162,232,000 or about 202.4% to approximately HKD 242,384,000 during the review period, mainly due to the completion of several projects[18]. - The company reported a net profit of HKD 1,227,000 for the period, a turnaround from a loss of HKD 1,615,000 in the previous year[48]. - Total revenue for the six months ended September 30, 2024, was HKD 242,384,000, a significant increase from HKD 80,152,000 in the same period of 2023, representing a growth of approximately 202%[68]. - Gross profit for the same period was HKD 21,109,000, compared to HKD 9,780,000 in 2023, reflecting a gross margin improvement[48]. Investment Properties - The group currently holds seven investment properties, three of which have been launched in the market after renovation, while four are still undergoing renovations[13]. - The investment property leasing segment recorded a profit of approximately HKD 121,000 during the review period, indicating potential for future growth as more properties become available for lease[13]. - The group aims to enhance its investment property leasing business, which is still in its early stages, with plans for further property acquisitions and renovations[13]. - The group anticipates improved performance in the investment property segment as more properties are completed and leased out in the future[13]. - The total external revenue from investment property leasing was HKD 1,987,000, compared to HKD 716,000 in the previous year, showing an increase of approximately 177%[74]. - The group acquired additional investment properties worth HKD 962,000 during the review period, reflecting ongoing expansion efforts[90]. Costs and Expenses - Administrative expenses rose by approximately 35.0% to about HKD 11,271,000, driven by increased legal and professional fees and higher employee costs[22]. - Financing costs increased by approximately 483.3% to about HKD 280,000 due to the full effect of bank borrowings and lease liabilities during the review period[24]. - Construction costs surged to HKD 220,877,000 from HKD 70,059,000 year-on-year, reflecting increased project activity[81]. Cash Flow and Assets - The group had cash and bank balances totaling approximately HKD 39,833,000 as of September 30, 2024, up from approximately HKD 30,704,000 on March 31, 2024[26]. - The net cash flow from operating activities for the six months ended September 30, 2024, was HKD 29,458,000, compared to a negative cash flow of HKD 20,574,000 for the same period in 2023[57]. - The net cash flow used in investing activities was HKD 26,743,000, compared to HKD 20,682,000 in the previous year, reflecting increased investment activities[57]. - The company reported a net increase in cash and cash equivalents of HKD 1,944,000, with a cash and bank balance of HKD 32,633,000 at the end of the period, compared to HKD 28,441,000 at the end of the same period in 2023[59]. Liabilities and Financial Position - The group’s asset-liability ratio was approximately 5.1% as of September 30, 2024, slightly down from 5.3% on March 31, 2024[31]. - Contingent liabilities related to performance guarantees amounted to approximately HKD 61,383,000 as of September 30, 2024, up from approximately HKD 25,147,000 on March 31, 2024[35]. - The company’s total liabilities increased significantly, indicating a potential shift in financial leverage and operational strategy[104]. - The company’s outstanding loan commitments were HKD 2,000,000 as of September 30, 2024, compared to zero as of March 31, 2024[115]. Employee and Management - The total employee cost for the period was approximately HKD 18,997,000, up from HKD 14,953,000 in the previous year, indicating a 27% increase[43]. - The number of employees increased to 130 as of September 30, 2024, from 90 in the previous year, representing a growth of 44%[43]. - The total compensation for key management personnel was HKD 1,134,000 for the six months ended September 30, 2024, compared to HKD 1,098,000 for the same period in 2023, reflecting an increase of approximately 3.3%[122]. Corporate Governance - The company plans to continue adhering to corporate governance codes to safeguard shareholder interests[138]. - The board believes that the dual role of the chairman and CEO held by Mr. Chen Yuehua enhances effective business planning and decision-making[138]. - The company has adopted and complied with the corporate governance code as per the listing rules during the review period[140]. - The audit committee, established on December 12, 2019, consists of three independent non-executive directors to review internal controls, risk management, and financial reporting[144]. - The interim financial performance for the review period has been reviewed and approved by the audit committee, ensuring compliance with applicable accounting standards and listing rules[146].
华和控股(09938) - 2025 - 中期业绩