Financial Performance - For the six months ended September 30, 2024, the Group recorded revenue of approximately HK$328.2 million, a decrease of about 58.1% compared to HK$784.2 million for the same period in 2023[3]. - The Group incurred a loss of approximately HK$41.8 million, compared to a profit of approximately HK$100.3 million in the same period of 2023[3]. - Revenue for the six months ended 30 September 2024 was HK$328,153,060, a decrease of 58% compared to HK$784,202,084 for the same period in 2023[185]. - Loss before income tax for the period was HK$46,151,114, compared to a profit of HK$51,262,652 in the previous year[185]. - Loss for the period amounted to HK$41,840,639, contrasting with a profit of HK$100,317,267 in the same period last year[185]. - The total comprehensive loss was HK$38,508,444 compared to a comprehensive income of HK$64,304,744 for the same period in 2023, indicating a significant decline[189]. - The loss attributable to owners of the Company for the period was HK$39,387,532, while in the previous year, it was a profit of HK$57,638,448[189]. - Basic and diluted loss per share attributable to owners of the Company was HK$1.15, compared to earnings per share of HK$1.68 in the prior year[189]. Market Conditions - The overall real estate market in the PRC continued to experience a decrease in public purchasing power, leading to suppressed selling prices and slowed sales, particularly in non-core city locations[10]. - The management plans to adopt a more prudent operation strategy and enhance management efficiency to navigate the current market conditions[10]. Operational Highlights - Approximately 30,500 sq.m. of gross floor area (GFA) was delivered and recognized in revenue during the period[5]. - The Group aims to explore new property development projects in China to strengthen its financial profitability[13]. - The Group is focused on achieving sustainable growth while diversifying investment opportunities to enhance overall earning potential[15]. - There were no significant investments, acquisitions, or disposals of subsidiaries, associates, or joint ventures during the six months ended September 30, 2024[135]. Employee and Remuneration - As of September 30, 2024, the Group employed a total of 21 employees, a decrease from 30 employees as of March 31, 2024[124]. - Employee remuneration for the six months ended September 30, 2024, amounted to approximately HK$4.6 million, down from approximately HK$5.3 million for the same period in 2023[124]. - Staff costs were reduced to HK$4,558,778 from HK$5,347,956, indicating a decrease of about 15%[185]. - Other operating expenses decreased significantly to HK$5,398,691 from HK$19,641,819, a reduction of approximately 73%[185]. - The Group has adopted a share option scheme to provide incentives to Directors and employees who make significant contributions[129]. - Discretionary bonuses are awarded based on the Group's operating results and individual performance[125]. Financial Position - As of September 30, 2024, the Group had no bank borrowings, maintaining a stable liquidity position[17]. - The Group had no bank borrowings, charges, or guarantees as of September 30, 2024, and March 31, 2024[122][130]. - Total assets as of September 30, 2024, amounted to HK$2,790,811,155, down from HK$3,115,074,507 as of March 31, 2024[197]. - Total current assets decreased to HK$2,419,979,245 from HK$2,717,475,046, reflecting a reduction in liquidity[197]. - Current liabilities totaled HK$1,206,587,244, down from HK$1,478,206,014, indicating improved short-term financial health[197]. - The net current assets increased to HK$1,213,392,001 from HK$1,239,269,032, showing a slight improvement in working capital[197]. Shareholding and Corporate Governance - As of September 30, 2024, Mr. Chen Weiwu holds a beneficial interest of 1,405,848,000 shares, representing 41.01% of the Company[138]. - As of September 30, 2024, Grand Nice International Limited holds 579,806,977 shares, representing approximately 16.91% of the company's total shareholding[149]. - Jiang Dingwei and Shenzhen Tangshang Industrial Group Co., Ltd each hold 585,600,000 shares, accounting for about 17.08% of the total shareholding[149]. - Shenzhen Yaoling Investment Company Limited, a wholly-owned subsidiary of Shenzhen Tangshang Industrial Group, also holds 585,600,000 shares, equivalent to 17.08% of the total shareholding[149]. - The total number of share options available for issue under the Share Option Scheme is 27,942,462, which represents approximately 0.8% of the issued shares as of September 30, 2023[157]. - The maximum number of shares that may be granted to any one grantee under the Share Option Scheme in any 12-month period is limited to 1% of the share capital in issue[161]. - The Share Option Scheme lapsed on 22 December 2023, which may impact future employee incentives[172]. - The company complied with all code provisions of the Corporate Governance Code, except for a deviation in the number of board meetings held[173]. Other Financial Activities - The Group completed fundraising activities in previous years, including issuing convertible bonds totaling approximately HK$42.0 million in 2018, with net proceeds of approximately HK$41.8 million[114]. - Approximately HK$32.1 million of proceeds was utilized to settle the consideration of an acquisition in July 2020[119]. - General working capital utilized by the Group was approximately HK$14.0 million[119]. - No purchase, sale, or redemption of securities occurred during the six months ended 30 September 2024[175]. - Other gains or losses, net, were reported at HK$ (21,180,093), slightly improved from HK$ (21,780,328) in the previous year[185]. - Other comprehensive income for the period, net of tax, was HK$3,332,195, compared to a loss of HK$36,012,523 in the previous year[189].
中国唐商(00674) - 2025 - 中期财报