Financial Performance - Total revenue for the period decreased to HKD 79.4 million, down from HKD 89.6 million in 2023, representing a decline of approximately 13.5%[14] - Gross profit for the period was HKD 46.3 million, compared to HKD 51.4 million in 2023, reflecting a decrease of about 10.0%[14] - The net loss for the period was HKD 11.1 million, compared to a net loss of HKD 9.2 million in 2023, indicating a worsening of approximately 20.7%[14] - Basic loss per share was HKD 1.39, compared to HKD 1.14 in 2023, representing an increase of about 22.0%[14] - For the six months ended September 30, 2024, the company's revenue was HKD 79,375,000, a decrease from HKD 89,625,000 in the same period of 2023, representing a decline of approximately 11.3%[39] - The gross profit for the same period was HKD 46,264,000, down from HKD 51,368,000 in 2023, indicating a decrease of about 10%[39] - The company reported a pre-tax loss of HKD 11,114,000 for the six months ended September 30, 2024, compared to a pre-tax loss of HKD 9,156,000 in the previous year, reflecting a worsening of approximately 21.4%[39] - The group reported a pre-tax loss of HKD 11,114,000 for the six months ended September 30, 2024, compared to a loss of HKD 9,156,000 in the same period of 2023[65] Revenue Breakdown - Retail segment revenue was HKD 74.7 million, accounting for 94.1% of total revenue, down from 88.1% in 2023[14] - Revenue from "at • home" retail segment increased to HKD 20.1 million, up from HKD 15.8 million in 2023, marking a growth of approximately 27.3%[14] - Retail furniture revenue was HKD 74,664,000, down from HKD 78,902,000, reflecting a decline of 5.6%[57] - Wholesale furniture revenue decreased to HKD 3,708,000 from HKD 5,852,000, a drop of 36.6%[57] - Engineering project revenue fell to HKD 1,003,000 from HKD 4,871,000, representing a decline of 79.4%[57] - Other income increased to HKD 1,699,000 from HKD 1,779,000, a slight decrease of 4.5%[59] Assets and Liabilities - As of September 30, 2024, the company's cash and cash equivalents amounted to HKD 34,900,000, down from HKD 43,400,000 as of March 31, 2024, a decrease of about 19.4%[33] - The current assets and current liabilities were approximately HKD 90,800,000 and HKD 59,400,000, respectively, resulting in a current ratio of 1.5, slightly down from 1.6 as of March 31, 2024[35] - As of September 30, 2024, total non-current assets decreased to HKD 31,824,000 from HKD 39,473,000 as of March 31, 2023, representing a decline of approximately 19.5%[41] - Current assets totaled HKD 90,770,000, down from HKD 105,710,000, indicating a decrease of about 14.2%[41] - The company's current liabilities totaled HKD 59,379,000, down from HKD 64,988,000, indicating a decrease of approximately 8.5%[41] - Non-current liabilities decreased to HKD 9,618,000 from HKD 15,484,000, representing a decline of about 37.9%[41] Operational Strategy - The company continues to focus on expanding its online shopping platform to enhance market coverage and revenue[17] - The company aims to cater to both high-end and mass markets through its diverse product range, including mattresses and home furnishings[24] - The company plans to adopt a cautious expansion strategy due to the challenging retail market and conservative local consumer spending[32] Corporate Governance - The company has complied with all corporate governance codes as per the listing rules during the reporting period[90] - The company did not declare any interim dividend for the period, consistent with the previous year[37] - The group did not declare any interim dividends for the period, consistent with the previous year[63] Company Structure - The company operates a total of 24 sales points across Hong Kong as of September 30, 2024[25] - The company operates over 100 distributors in Hong Kong and Macau for its brands, including "欧化宝" and "斯林百蘭"[30] - The flagship store "欧化傢俬尊尚店" in Hung Hom has a total floor area of approximately 21,700 square feet, showcasing high-end furniture brands[26] - As of September 30, 2024, the company holds significant equity interests in various subsidiaries, including 4,121,416,834 shares (74.71%) in Emperor International Holdings Limited[83] - The company has a total of 600,000,000 shares (75.00%) held by Yang Shoucheng Investment Holdings in controlled corporations[86] - The company has not granted any stock options under its stock option plan since its adoption on January 8, 2018, with an available limit of 80,000,000 shares for future grants[89] - No purchases, sales, or redemptions of the company's listed securities were made by the company or its subsidiaries during the reporting period[96]
欧化(01711) - 2025 - 中期财报