Financial Performance - CEC International Holdings Limited reported a revenue of HKD 702,392,000 for the six months ended October 31, 2024, a decrease of 6.4% compared to HKD 750,947,000 for the same period in 2023[2]. - The gross profit for the same period was HKD 275,609,000, down 8.8% from HKD 302,354,000 year-on-year[2]. - The company recorded an operating loss of HKD 25,384,000, compared to an operating profit of HKD 7,783,000 in the previous year[2]. - The net loss attributable to equity holders was HKD 28,648,000, a significant decline from a profit of HKD 330,000 in the prior period[2]. - The comprehensive loss attributable to equity holders for the period was HKD 29,344,000, compared to HKD 7,656,000 in the previous year[4]. - The group reported an operating loss of HKD 17,247,000 for the six months ended October 31, 2024, compared to a profit of HKD 15,763,000 in 2023[15]. - The group recorded a net loss attributable to equity holders of HKD 28,648,000 for the six months ended October 31, 2024, compared to a profit of HKD 330,000 in 2023[25]. - The group recorded a loss attributable to equity holders of HKD 28,648,000 for the period, compared to a profit of HKD 330,000 in 2023[33]. Assets and Liabilities - The total assets as of October 31, 2024, were HKD 880,594,000, slightly down from HKD 886,305,000 as of April 30, 2024[6]. - Current liabilities exceeded current assets by HKD 8,265,000, primarily due to lease liabilities totaling HKD 130,997,000[9]. - The company’s total equity decreased to HKD 461,647,000 from HKD 490,991,000 in the previous reporting period[6]. - The total liabilities of the group increased to HKD 418,947,000 as of October 31, 2024, compared to HKD 395,314,000 as of April 30, 2024[17]. - The current ratio decreased to 0.97 as of October 31, 2024, reflecting the impact of economic conditions on the group's performance[53]. Revenue Breakdown - Retail business revenue for the six months ended October 31, 2024, was HKD 675,013,000, a decrease of 7.1% from HKD 726,750,000 in 2023[15]. - Electronic components manufacturing revenue increased to HKD 26,956,000, up 13.5% from HKD 23,703,000 in 2023[15]. - Retail business segment revenue was HKD 675,013,000, down 7.1% from HKD 726,750,000 in 2023, accounting for approximately 96% of total revenue[35]. - The gross profit for the retail segment decreased to HKD 272,424,000, a decline of about 8.9% from HKD 299,075,000 in 2023, with a gross margin of 40.4%[36]. - The electronic components manufacturing segment reported revenue of HKD 26,956,000, an increase of 13.7% from HKD 23,703,000 in 2023[40]. Cash Flow and Financing - The financial income for the period was HKD 1,011,000, compared to HKD 1,100,000 in the previous year[2]. - The group has sufficient operating cash flow and bank financing to meet its financial obligations for the next twelve months[9]. - The net cash outflow for the six months ended October 31, 2024, was HKD 16,778,000, compared to HKD 9,591,000 in the same period of 2023[49]. - Operating cash inflow for the period was HKD 76,434,000, a decline of 2.4% from HKD 78,323,000 in 2023[49]. - The total bank credit available was approximately HKD 382,375,000, with an unused credit amount of HKD 348,512,000 as of October 31, 2024[43]. Operational Changes - The group closed 5 stores and opened 9 new stores, resulting in a total of 169 stores as of October 31, 2024[38]. - The group experienced a significant decline in consumer spending due to high local interest rates and reduced foot traffic in retail areas[32]. - The total inventory value for the retail segment increased by 14.4% to HKD 152,334,000 as of October 31, 2024, compared to HKD 133,190,000 on April 30, 2024[36]. - Inventory increased by 11.8% to HKD 169,185,000 as of October 31, 2024, due to a more aggressive purchasing policy aimed at enhancing product offerings[44]. - The retail segment's selling and distribution expenses were HKD 236,928,000, an increase of 1.2% from HKD 234,111,000 in 2023[39]. Management and Governance - The group did not declare any interim dividend for the six months ending October 31, 2024[26]. - Management anticipates that the current challenging retail environment will persist for an extended period and plans to implement cost-saving measures[59]. - The group will continue to expand its sourcing range and introduce new products regularly to enhance customer experience and improve retail segment revenue[59]. - The company has adopted the standard code of conduct for directors' securities trading as per the listing rules, confirming compliance for the six months ending October 31, 2024[66]. - The audit committee consists of three independent non-executive directors, with regular meetings held at least twice per fiscal year to review accounting principles and internal controls[64]. - The current structure of having one individual serve as both the chairman and CEO is believed to provide strong and effective leadership for the company[63]. Reporting and Future Outlook - The interim report for the six months ending October 31, 2024, will be published by January 31, 2025, and will be available on the company's website[67].
CEC INT'L HOLD(00759) - 2025 - 中期业绩