Financial Performance - The group’s revenue for the six months ended September 30, 2024, decreased to HKD 92.5 million from HKD 215.7 million in the previous year, primarily due to the absence of property sales recorded in the prior period [27]. - The company reported a loss attributable to equity holders of HKD 292,800,000, a reduction of approximately 39.6% from HKD 484,800,000 in 2023, with a loss per share of HKD 0.1751 compared to HKD 0.2899 in 2023 [30]. - The net loss for the period was HKD 361,973,000, down from HKD 566,568,000 in the previous year, indicating a 36.1% reduction [106]. - The total comprehensive loss for the period was HKD 280,540,000, compared to HKD 744,301,000 in 2023, reflecting a 62.3% decrease [108]. - The company reported a significant increase in other income and losses, totaling HKD 44,154,000 compared to a loss of HKD 176,163,000 in 2023 [106]. - The company’s basic and diluted loss per share improved to HKD 17.51 from HKD 28.99 in the previous year [106]. - The company reported a loss of HKD 292,782 for the period ending April 1, 2024, compared to a loss of HKD 484,845 for the same period in 2023, indicating an improvement of approximately 39.5% [120]. Asset Management - The net asset value attributable to equity holders of the company is HKD 8.01 billion [24]. - The company’s total assets decreased to HKD 11,033,248,000 from HKD 11,035,735,000, indicating a slight decline [114]. - The company’s total liabilities as of September 30, 2024, were HKD 8,000,149, a decrease from HKD 8,673,307 in the previous year, reflecting a reduction of approximately 7.7% [120]. - The company’s investment properties decreased in value, with a fair value of HKD 7,095,660,000 as of September 30, 2024, down from HKD 7,522,302,000 [111]. - The company has pledged assets with a total book value of HKD 6,996,704,000 as of September 30, 2024, down from HKD 7,923,608,000 as of March 31, 2024 [186]. Cash Flow and Reserves - The group’s total cash reserves, including bonds and securities investments, amount to HKD 2 billion, with cash and bank balances of approximately HKD 1.9 billion [23]. - The group recorded a gross profit of HKD 19 million, with a gross profit margin of 20.6% [27]. - Cash and cash equivalents at the end of the period were HKD 1,969,829,000, down from HKD 2,243,568,000 as of March 31, 2024 [111]. - The group’s cash and bank balances, along with bond and securities investments, amounted to HKD 2,031,000,000 as of September 30, 2024, down from HKD 2,302,400,000 as of March 31, 2024 [84]. Property Sales and Developments - The group has developed a 27-story residential building in Ap Lei Chau with 105 units, achieving total sales of approximately HKD 43.7 million from 10 units sold as of the report date [18]. - The ONE SOHO project in Mong Kok has sold all 322 residential units for a total consideration of approximately HKD 2.2 billion, with 101 units delivered during the reporting period generating about HKD 600 million [21]. - The project at 16-20 Gough Street, Central, Hong Kong has a total floor area of approximately 34,675 square feet and is expected to be completed in Q1 2025, with an impairment provision of approximately HKD 32,200,000 recorded during the review period [40]. - The project at 28 Po Shan Road, Hong Kong has a total floor area of approximately 44,431 square feet and is expected to be completed in Q1 2025, with ongoing discussions on various options to expedite capital returns [43]. Rental Income - Rental and other income from the property at 30-32 Connaught Road Central was approximately HKD 18,000,000, with increased competition expected due to new developments in the area [31]. - Rental and other income from the property at 219 Nathan Road increased to approximately HKD 27,200,000, attributed to improved tenant mix and increased foot traffic [34]. - The property at 165 Yuen Chau Street generated rental income of approximately HKD 5,100,000, with plans for redevelopment pending market conditions [34]. - The rental income from serviced apartments in Taipei was approximately HKD 1,200,000 during the review period, with ongoing promotional efforts for the residential unit [36]. Market Outlook and Strategy - The group remains optimistic about the Hong Kong property market, supported by government measures to stimulate demand and stabilize property prices [89]. - The group aims to expand its land reserves in Hong Kong, particularly in the luxury and affordable housing markets, to facilitate future property development and sales [90]. - The group plans to continue monitoring the construction progress of the Hong Kong project and will seek opportunities to liquidate investments in non-core assets to enhance financial resources [90]. Corporate Governance and Compliance - The audit committee has reviewed the interim financial information for the six months ended September 30, 2024 [102]. - The company has complied with the corporate governance code during the reporting period [102]. - The company has adopted a new share option scheme, which is valid for ten years until September 1, 2032 [104]. - The company emphasizes training and development for its employees, providing various benefits including discretionary bonuses and medical insurance [105].
庄士机构国际(00367) - 2025 - 中期财报