Financial Performance - Revenue for the six months ended September 30, 2024, was HK$150,671,000, a decrease of 19.9% compared to HK$188,200,000 in 2023[8]. - Gross profit decreased by 21.6% to HK$41,079,000 from HK$52,398,000 year-over-year[8]. - EBITDA dropped significantly by 79.1% to HK$2,078,000 from HK$9,946,000 in the previous year[8]. - Loss attributable to equity holders increased by 117.8% to HK$4,985,000 compared to HK$2,289,000 in 2023[8]. - Basic loss per share was HK(2.5) cents, up 127.3% from HK(1.1) cents in the prior year[8]. - The Group reported an operating loss of HK$1,238,000 for the six months ended September 30, 2024, compared to an operating profit of HK$6,155,000 in 2023[73]. - The loss attributable to equity holders of the Company for the period was HK$4,985,000, compared to a loss of approximately HK$2.3 million in the Corresponding Period[47]. - The company reported a loss for the period of HK$4,833,000 for the six months ended 30 September 2024, compared to a profit of HK$946,000 in the same period of 2023[109]. Assets and Liabilities - Total assets as of September 30, 2024, were HK$276,406,000, reflecting a slight increase of 0.9% from HK$273,883,000[8]. - Current liabilities decreased to HK$101,839,000 from HK$99,452,000, indicating a reduction of 1.4%[79]. - Net assets rose to HK$170,829,000, up from HK$166,648,000, representing an increase of 2.6%[79]. - The Group's cash and bank balances amounted to approximately HK$28 million, with net current assets of approximately HK$114 million[62]. - The Group's total trade payables decreased to HK$13,945,000 as of September 30, 2024, from HK$15,203,000 as of March 31, 2024, representing a decrease of approximately 8.3%[150]. - The Group's gross borrowings amounted to approximately HK$69 million, with net borrowings remaining stable at approximately HK$41 million[64]. Dividends and Shareholder Information - The interim dividend per share remained unchanged at HK$0.5[8]. - The Board declared an interim dividend of HK$0.005 per ordinary share for the Period, consistent with the previous year[10]. - The interests of Dr. Hung Kim Fung and Ms. Yeung Man Yi in shares are deemed to be duplicated due to their joint ownership[17]. - As of September 30, 2024, M2B Holding Limited holds 90,000,000 shares, representing 45% of the company's shares[21]. - The Group's issued and fully paid share capital remained at HK$20,000,000 as of both 30 September 2024 and 31 March 2024[165]. Operational Highlights - The Electronic and Electrical Trading Business contributed approximately HK$100 million in revenue, down 19.4% from HK$124 million in the Corresponding Period, accounting for approximately 66% of total revenue[50]. - Revenue from South Africa was approximately HK$52 million, representing a decrease of approximately 22.4% compared to HK$67 million in the Corresponding Period[55]. - The revenue of the Computer Retail Business decreased by approximately 28.6% to approximately HK$5 million, while the Computer Distribution Business revenue fell by approximately 20% to approximately HK$24 million[60]. - The revenue of the Cosmetic Business and Online Retail Business declined by approximately 18.5% to approximately HK$22 million due to challenges from cross-border shopping and competitive delivery strategies[60]. - The Group's revenue from computer products and mobile accessories was HK$29,082,000, down from HK$36,576,000, indicating a decline of 20.1%[101]. Cash Flow and Financial Position - Net cash generated from operating activities decreased to HK$4,740,000 for the six months ended 30 September 2024, down from HK$14,434,000 in the same period of 2023, representing a decline of approximately 67.2%[84]. - Cash and cash equivalents at the end of the period increased to HK$27,662,000, up from HK$24,592,000 in the previous year, marking an increase of about 8.5%[84]. - The Group recorded a net operating cash inflow of approximately HK$4.7 million during the period, a decrease from approximately HK$14 million in the previous period[62]. - The effect of foreign exchange rate changes contributed HK$1,198,000 to cash and cash equivalents, compared to a negative impact of HK$874,000 in the prior year[84]. Governance and Compliance - The Company has adopted a Code of Conduct for Directors' transactions in securities, in compliance with the Model Code[17]. - The company complied with the Corporate Governance Code throughout the period, with a noted deviation regarding the retirement of directors[32]. - The Audit Committee reviewed the accounting principles and practices adopted by the Group and discussed financial reporting matters[33]. - The Remuneration Committee is responsible for recommending remuneration policies for all Directors and senior management[34]. - The Nomination Committee was established to formulate policies on nominations and appointments of Directors[40]. Future Outlook - The Group anticipates that demand in the consumer electronics business in 2025 will be influenced by trade negotiations between China and the United States and various geopolitical uncertainties[60]. - Following the national election in South Africa, the Group expects improved business conditions and new growth opportunities in 2025[60]. - The Group remains optimistic about the future prospects of online consumption despite challenges in the Cosmetic Business and Online Retail Business[60].
万保刚集团(01213) - 2025 - 中期财报