Bank Borrowings and Loans - Secured bank borrowings as of 30 September 2024 amounted to HK$1,992,797,000, a decrease from HK$2,066,734,000 as of 31 March 2024[7] - The Group obtained new bank loans of HK$162,187,000 and repaid HK$236,124,000 during the interim period[4] - Interest rates on secured bank borrowings ranged from HIBOR plus 0.7% to 1.8%, with effective interest rates between 4.5% and 9.0% as of 30 September 2024[5] - The Group's bank loans were secured by properties with a total net book value of approximately HK$4,715,940,000 as of 30 September 2024[7] - The company completed a placing of 235,000,000 new shares at HK$0.18 per share, raising HK$41,877,000 net proceeds, which were fully utilized for repaying bank borrowings of HK$35,000,000 and general working capital[120][121] - Secured bank borrowings decreased from HK$1,161,664 thousand to HK$1,076,572 thousand[159] Share Issuance and Capital Structure - The Group's issued ordinary shares increased to 338,148,116 as of 30 September 2024, up from 103,148,116 as of 31 March 2024[12] - The Company completed a share placing of 235,000,000 shares at HK$0.18 per share, raising net proceeds of HK$41,877,000[30] - The company completed a share placement of 235,000,000 shares at HK$0.18 per share, raising approximately HK$41,877,000 in net proceeds, which will be used to repay bank loans and for general working capital[32] - The conversion price of the 2023 Convertible Notes was adjusted from HK$3.70 to HK$0.18 per share, increasing the number of conversion shares from 56,486,486 to 1,161,111,111[34][35] - Easyknit Properties Holdings Limited held 14,055,799 shares and 1,161,111,111 underlying shares, totaling 1,175,166,910 shares or 347.53% of the total issued shares[78] - Easyknit International Holdings Limited held 26,753,937 shares and 1,161,111,111 underlying shares, totaling 1,187,865,048 shares or 351.28% of the total issued shares[78] - Magical Profits Limited held 27,428,937 shares and 1,161,111,111 underlying shares, totaling 1,188,540,048 shares or 351.48% of the total issued shares[79] - Magical Profits Limited holds approximately 41.77% of Easyknit's issued share capital, including 1,726,000 shares representing 2.33% of the issued share capital[81][83] - Easyknit's total issued shares increased from 103,148,116 to 338,148,116 after a placement on 17 April 2024, reducing its interest in shares from 81.35% to 25.82%[86][88] - The conversion price of the 2023 Convertible Note was adjusted from HK$3.70 to HK$0.18 per share, increasing the number of unissued conversion shares from 59,885,386 to 1,161,111,111 and raising Easyknit's interest in shares from 25.82% to 351.48%[86][88] - The company maintains a public float of more than 25% of its issued shares, as required by the Listing Rules[92][94] - The company proposed a rights issue to raise up to HK$62,200,000 by issuing up to 676,296,232 rights shares at HK$0.092 per share, subject to shareholder approval[125][126] - The company proposed a rights issue to raise up to HK$62.2 million (before expenses) by issuing up to 676,296,232 rights shares at HK$0.092 per share[143] - The company issued 235,000,000 new shares at HK$0.18 per share, diluting Wing Yik International's controlling stake from 26.59% to approximately 8.11%[194] - Share capital increased from HK$1,031 thousand to HK$3,381 thousand[162] - Share premium increased from HK$2,555,944 thousand to HK$2,595,471 thousand[162] - Convertible note equity reserve decreased from HK$47,493 thousand to HK$115,646 thousand[162] Property Transactions - The company disposed of a limited partnership interest for USD3,700,000 (equivalent to HK$28,971,000) in July 2024[37][39] - The company agreed to sell a property in Hong Kong for HK$36,000,000, with completion subject to fulfilling conditions precedent[38][43] - The company sold a property in Singapore for S$12,000,000 (equivalent to approximately HK$72,216,000), with completion in September 2024[48][50][53] - Investment properties decreased from HK$1,250,443 thousand to HK$1,059,800 thousand[157] - Properties held for development for sale decreased from HK$2,520,754 thousand to HK$1,862,755 thousand[157] - Write-down on properties held for development for sale, net for the six months ended 30 September 2024 was HK$53.892 million, compared to HK$92.007 million in the same period last year[186] - Write-down on properties held for sale, net for the six months ended 30 September 2024 was HK$20.225 million, compared to none in the same period last year[186] Financial Performance and Losses - The Group recorded a loss of approximately HK$55,107,000 on changes in fair value of investment properties from continuing operations[25] - Finance costs from continuing operations increased by 115.4% to HK$51,719,000, including HK$14,003,000 in effective interest expense on convertible notes[27] - Loss for the period attributable to owners of the Company was HK$243.368 million, compared to HK$158.263 million in the same period last year[189] - Total comprehensive expense for the period attributable to owners of the Company was HK$236.745 million, compared to HK$175.905 million in the same period last year[191] - Loss per share from continuing and discontinued operations was HK$0.77, with a loss of HK$0.75 from continuing operations[153] - The company reported a total comprehensive expense of HK$236.745 million for the six months ended 30 September 2024, compared to HK$175.905 million in the same period in 2023[153] - Loss on changes in fair value of investment properties for the six months ended 30 September 2024 was HK$55.107 million, compared to HK$12.242 million in the same period last year[186] Cash Flow and Financial Position - Net cash used in operating activities for the six months ended 30 September 2024 was HK$87.116 million, compared to HK$217.119 million in the same period last year[171] - Net cash generated from investing activities for the six months ended 30 September 2024 was HK$16.116 million, compared to HK$169.788 million in the same period last year[173] - Net cash used in financing activities for the six months ended 30 September 2024 was HK$103.953 million, compared to net cash generated of HK$107.400 million in the same period last year[176] - Cash and cash equivalents decreased by HK$174.953 million for the six months ended 30 September 2024, compared to an increase of HK$60.069 million in the same period last year[176] - Total assets decreased from HK$4,131,547 thousand to HK$3,981,885 thousand as of 30 September 2024[159] - Net current assets increased slightly from HK$2,797,639 thousand to HK$2,811,450 thousand[159] - Total equity decreased from HK$3,047,196 thousand to HK$2,936,737 thousand[159] - Deferred tax liabilities increased from HK$7,936 thousand to HK$21,406 thousand[159] Employee and Staff Costs - The company had 42 employees as of 30 September 2024, with staff costs amounting to approximately HK$13,815,000 for the period[57] - The company had 42 employees as of September 30, 2024, compared to 40 employees as of March 31, 2024[61] - Employee costs (including directors' remuneration) were approximately HKD 13,815,000 for the period, down from HKD 21,435,000 in the previous period[61] Business Strategy and Outlook - The company remains cautiously optimistic about the prospects of Hong Kong's property and securities markets, believing they will continue to grow in the long term[64] - The company will continue to focus on property development, property investment, securities and other investments, and loan financing business while exploring other potential opportunities[63] - The company will continue to seek attractive opportunities to replenish its property portfolio as part of its ongoing business strategy[65] - The company's operations in China have been terminated[179] Corporate Governance and Leadership - Mr. Lai Law Kau serves as both Chairman and Chief Executive Officer, a dual role deemed efficient for long-term strategy execution[105] - The company's chairman and CEO roles are held by the same individual, Mr. Lai Lo Kiu, which the board believes enhances efficiency and strategic execution[106] - The company does not have an internal audit function but considers its existing risk management and internal control systems to be effective and adequate[109][110] - The company's audit committee reviewed the unaudited interim condensed consolidated financial statements and found no major issues, though areas for improvement were identified[109][115] - As of September 30, 2024, none of the directors or the chief executive had any interests in the company's shares, underlying shares, or debentures[70] Miscellaneous - Capital expenditures during the period were approximately HK$11,000, a decrease from HK$27,000 in the previous period[18] - No listed securities of the company were purchased, sold, or redeemed during the period[66] - The company partially redeemed HK$100 million of the outstanding principal amount of the 2023 Convertible Note, reducing the outstanding amount to HK$109 million and the total number of conversion shares from 1,161,111,111 to 605,555,555[131][146] - The company allotted 235,000,000 ordinary shares at HK$0.18 per share, diluting Easyknit International's shareholding from 26.59% to approximately 8.11%[140] - The Group applied amendments to HKFRSs for the first time in the current interim period, with no material impact on financial positions and performance[198] - Rental income for the six months ended 30 September 2024 was HK$15.835 million, compared to HK$14.049 million in the same period last year[186] - Interest income from loan financing for the six months ended 30 September 2024 was HK$682,000, compared to HK$1.207 million in the same period last year[186]
高山企业(00616) - 2025 - 中期财报