Financial Performance - For the six months ended September 30, 2024, the company's revenue was approximately HKD 89,731,000, representing a 33.5% increase from HKD 67,191,000 in the same period of 2023[26]. - The company reported a loss attributable to owners of approximately HKD 8,903,000, which is an increase of 28.7% compared to a loss of HKD 6,918,000 in the previous year[26]. - The gross profit margin for the six months ended September 30, 2024, was 2.9%, up from 2.0% in 2023, indicating slight improvement but still at a low level[34]. - The gross profit for the same period was HKD 2,628,000, compared to HKD 1,350,000 in 2023, indicating a significant improvement in profitability[76]. - The operating loss decreased to HKD 7,805,000 from HKD 8,813,000 year-over-year, showing a reduction of approximately 11.4%[76]. - The company reported a loss before tax of HKD 7,973,000, which is an improvement from HKD 8,885,000 in the previous year[76]. - The total comprehensive loss for the period was HKD 8,903,000, compared to HKD 6,918,000 in 2023, reflecting a year-over-year increase in losses[76]. - The basic and diluted loss per share was HKD 0.89, compared to HKD 0.69 in the same period last year, indicating a worsening in per-share performance[76]. - The net cash used in operating activities for the six months ended September 30, 2024, was HKD (10,866,000), compared to HKD (14,421,000) for the same period in 2023, indicating an improvement of about 24.06%[87]. - The pre-tax loss for the six months ended September 30, 2024, was HKD 8,502,000, compared to HKD 4,539,000 in the same period of 2023, indicating a deterioration in financial performance[111]. Revenue Sources - The company recognized revenue from four projects during the six months ended September 30, 2024, with significant contributions from project W61[32]. - The company's revenue from civil engineering and related management services for the six months ended September 30, 2024, was HKD 89,731,000, representing a 33.6% increase from HKD 67,191,000 in the same period of 2023[102]. - Customer A contributed HKD 80,482,000 to the revenue, up from HKD 65,648,000, while Customer B generated HKD 9,249,000 in revenue, which was not applicable in the previous year[106]. - Other income for the six months ended September 30, 2024, totaled HKD 894,000, compared to HKD 102,000 in the same period of 2023, indicating a significant increase[108]. Expenses and Costs - Administrative and operating expenses for the period were approximately HKD 11,300,000, reflecting a 9.7% increase from HKD 10,300,000 in 2023, primarily due to increased project bidding consultancy fees[34]. - Employee costs for the six months ended September 30, 2024, were approximately HKD 21,400,000, a decrease from HKD 23,100,000 in the same period of 2023[51]. - The financing costs for the six months ended September 30, 2024, amounted to HKD 168,000, compared to HKD 72,000 in the same period of 2023, reflecting an increase in interest expenses[109]. - Total compensation for directors and senior management for the six months ended September 30, 2024, amounted to HKD 2,940,000, a decrease from HKD 4,383,000 in the same period of 2023[142]. Assets and Liabilities - As of September 30, 2024, the group had cash and cash equivalents of approximately HKD 24,900,000, a decrease of about HKD 17,400,000 from HKD 42,300,000 as of March 31, 2024, primarily due to losses and capital expenditures[38]. - The company's total liabilities increased to HKD 24,293,000 from HKD 17,873,000, an increase of about 35.00%[78]. - The total equity attributable to owners decreased to HKD 294,125,000 from HKD 303,028,000, a reduction of approximately 2.95%[80]. - Current assets decreased to HKD 24,923,000 from HKD 42,263,000, a decline of about 41.06%[78]. - Trade receivables rose to HKD 14,212,000 from HKD 12,548,000, an increase of approximately 13.27%[78]. - The company's contract assets increased significantly to HKD 76,275,000 from HKD 62,117,000, representing a growth of approximately 22.77%[78]. Capital Structure and Financing - The group's capital structure remained unchanged, with a total of 1,000,000,000 ordinary shares issued at HKD 0.01 per share as of September 30, 2024[40]. - The capital debt ratio was approximately 0.3% as of September 30, 2024, down from about 0.4% as of March 31, 2024, indicating a stable financial position[41]. - The group has unutilized bank financing of approximately HKD 75,000,000 as of September 30, 2024, unchanged from March 31, 2024[40]. Future Outlook and Strategy - The group plans to actively participate in government tender projects, particularly in civil engineering, to secure more project revenues despite anticipated economic downturns in Hong Kong and mainland China[37]. - The group aims to enhance its bidding capabilities to increase the success rate of project tenders amid rising competition and technical requirements[37]. - The company has no significant investments or future plans for major capital assets as of September 30, 2024[44]. Compliance and Governance - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2024, and confirmed compliance with applicable accounting standards[74]. - The company applied several amendments to Hong Kong Financial Reporting Standards during the reporting period, which did not have a significant impact on the financial performance or disclosures[99]. - The effective tax rate for the company remains at 16.5%, consistent with the previous year, with a two-tiered system applicable for qualifying group entities[113]. - The company has not recognized any tax provisions for entities registered in the Cayman Islands and British Virgin Islands due to the absence of tax liabilities[113]. Shareholder Information - The company did not declare an interim dividend for the six months ended September 30, 2024, consistent with the previous year[63]. - As of September 30, 2024, the company had no share options granted or exercised under the share option scheme established in January 2020[72]. - The company’s major shareholder, Mr. Lai Wei, holds a 60.0% stake in the company through a controlled corporation, with 600,000,000 shares[69].
生兴控股(01472) - 2025 - 中期财报