Financial Performance - For the six months ended September 30, 2024, the group recorded revenue of approximately HKD 248.2 million, an increase of about HKD 10.7 million or 4.5% compared to HKD 237.5 million for the same period in 2023[24]. - Gross profit for the same period was approximately HKD 44.4 million, a significant increase of about HKD 33.9 million or 323.9% from HKD 10.5 million in the previous year, resulting in a gross margin of approximately 17.9%[24]. - The adjusted EBITDA turned from a loss of approximately HKD 13.8 million in the previous year to a profit of approximately HKD 15.9 million for the six months ended September 30, 2024[24]. - The company reported a loss attributable to owners of approximately HKD 26.6 million, compared to a loss of HKD 23.1 million for the same period in 2023[24]. - Basic and diluted loss per share for the six months ended September 30, 2024, was approximately HKD 0.0212, compared to HKD 0.0204 for the same period in 2023[24]. - The net loss for the six months ended September 30, 2024, was HKD 26,632, compared to a loss of HKD 23,124 in the prior year, reflecting a 10.8% increase in losses[44]. - The company reported a loss before tax of HKD 24,334,000 for the six months ended September 30, 2024, compared to a loss of HKD 23,263,000 in the same period of 2023[80]. - The company reported a loss of HKD 23,123,000 during the period, which is a significant increase compared to the previous year's loss of HKD 12,000,000, indicating a worsening financial performance[53]. Revenue Breakdown - Revenue for the six months ended September 30, 2024, was HKD 248,176, an increase from HKD 237,520 in the same period of 2023, representing a growth of approximately 4%[44]. - Revenue from the upper structure construction and renovation services was HKD 90,733,000, down 47.2% from HKD 171,430,000 in the previous year[74]. - Revenue from reverse supply chain management and environmental services surged to HKD 157,443,000, up 138.0% from HKD 66,090,000 in the prior period[74]. - Revenue from construction projects decreased significantly due to fewer large projects, with only 2 projects contributing approximately HKD 90.7 million compared to 5 projects contributing about HKD 171.4 million in the previous year[157]. - The geographical revenue breakdown shows that revenue from Hong Kong was HKD 232,342,000, up from HKD 185,310,000, while revenue from the People's Republic of China decreased to HKD 15,834,000 from HKD 52,210,000[70]. Cash Flow and Liquidity - The company's cash and cash equivalents increased to HKD 111,233 as of September 30, 2024, up from HKD 49,910 as of March 31, 2024[49]. - The net cash used in operating activities for the six months ended September 30, 2024, was HKD (12,307,000), an improvement from HKD (37,743,000) for the same period in 2023[56]. - The company reported a net cash inflow from financing activities of HKD 76,510,000 for the six months ended September 30, 2024, compared to HKD 33,674,000 in the previous year, indicating a significant increase of approximately 127.6%[56]. - As of September 30, 2024, the company's total equity increased to HKD 324,376,000 from HKD 233,950,000 as of March 31, 2024, representing a growth of approximately 38.5%[51]. - The company's cash and cash equivalents increased to HKD 111,233,000 as of September 30, 2024, up from HKD 55,055,000 a year earlier, reflecting a growth of approximately 101.5%[56]. - The current ratio improved from approximately 1.1 as of March 31, 2024, to about 1.4 as of September 30, 2024, primarily due to a decrease in trade payables and contract liabilities[171]. Capital Expenditure and Assets - The group acquired property, plant, and equipment at a total cost of approximately HKD 8,221,000 for the six months ended September 30, 2024, compared to HKD 5,263,000 for the same period in 2023, reflecting a 56% increase in capital expenditure[89]. - Total assets decreased to HKD 555,655 from HKD 665,716, indicating a reduction of approximately 16.5%[49]. - The total equity as of September 30, 2024, was approximately HKD 324.4 million, up from HKD 234.0 million as of March 31, 2024[171]. - The total non-current liabilities, including lease liabilities and deferred tax liabilities, amounted to HKD 92,160,000 as of September 30, 2024, compared to HKD 7,200,000 as of March 31, 2024, showing a substantial increase[51]. Employee and Management Costs - Employee benefits expenses, including director remuneration, totaled HKD 54,727,000, compared to HKD 14,142,000 in the same period last year[80]. - The total salary and related costs for the six months ended September 30, 2024, were approximately HKD 54.7 million, significantly higher than HKD 14.1 million for the same period in 2023[180]. - The total remuneration for key management personnel increased significantly to HKD 22,576 thousand for the period ending September 30, 2024, compared to HKD 1,600 thousand for the previous year[136]. Strategic Initiatives and Future Outlook - The group is actively responding to the "Hong Kong Climate Action Blueprint 2050" by integrating green building concepts and smart energy management technologies into green infrastructure projects[29]. - The group has commenced construction of Hong Kong's first power battery processing facility, which will provide advanced battery reuse and resource disposal technologies for Hong Kong and the Greater Bay Area[32]. - The company is focusing on green low-carbon economic initiatives as part of its future growth strategy[34]. - The group remains optimistic about future growth, particularly in reverse supply chain management and environmental services, which are expected to become significant contributors to overall performance[158]. - The company has plans for market expansion and new product development, although specific details were not disclosed in the financial report[54]. Share Capital and Financing Activities - The company issued shares resulting in a capital increase of HKD 82,606,000 during the six months ended September 30, 2024, compared to HKD 42,963,000 in the same period of the previous year, marking an increase of approximately 92.5%[56]. - The company completed a subscription agreement on September 30, 2024, for a total of 19,668,000 new shares at a subscription price of HKD 4.20 per share, representing an approximate 18.92% discount to the market price[186]. - The net proceeds from the subscription are approximately HKD 82.48 million, with 50% allocated to the EcoPark project and 50% for general working capital[190]. - The company has no violations of financing covenants as of September 30, 2024, ensuring continued compliance with loan agreements[124]. - The company plans to issue a total of 86,940,000 reward shares under its share incentive plan, representing 6.93% of the existing issued share capital as of October 12, 2023[139]. Compliance and Governance - The company anticipates that the likelihood of resource outflow related to ongoing employee compensation lawsuits is extremely low, thus no provisions are required for these litigations[138]. - The company will comply with relevant regulations regarding the granting of shares to connected persons[143]. - The share option scheme aims to incentivize eligible participants to enhance their performance and efficiency, as well as to attract and retain business relationships[199].
晋景新能(01783) - 2025 - 中期财报