Financial Performance - For the six months ending December 31, 2024, the company reported revenue of HKD 33,784,000, a decrease of 1.6% compared to HKD 38,307,000 in the same period of 2023[4] - The gross profit for the same period was HKD 22,196,000, down 11% from HKD 24,914,000 year-on-year[4] - The company incurred a loss before tax of HKD 53,618,000, compared to a profit of HKD 12,615,624,000 in the previous year[4] - Total comprehensive loss for the period amounted to HKD 149,135,000, compared to a total comprehensive income of HKD 5,437,572,000 in the same period last year[5] - The company reported a basic loss per share of HKD 17.75 for the period, compared to earnings per share of HKD 2,257.30 in the previous year[5] - The group reported a significant decrease in share of profits from joint ventures, with no profits allocated for the current period compared to HKD 12,635,773,000 in the previous period[16] - The group recorded a loss attributable to shareholders of HKD 42,182,000, compared to a profit of HKD 5,365,693,000 in the previous year, resulting in a basic loss per share of HKD 0.1775[48] - The overall comprehensive loss attributable to shareholders was HKD 148,591,000, compared to comprehensive income of HKD 5,436,647,000 in the previous year[49] Assets and Liabilities - Non-current assets decreased from HKD 1,846,256,000 as of June 30, 2024, to HKD 1,754,989,000 as of December 31, 2024[7] - Current assets decreased slightly from HKD 13,235,899,000 to HKD 13,053,783,000 during the same period[7] - The company's total equity attributable to owners decreased from HKD 7,354,705,000 to HKD 7,204,925,000[9] - The fair value of investment properties decreased significantly, with a loss of HKD 64,162,000 compared to a loss of HKD 13,338,000 in the previous year[4] - The group's total liabilities included a deferred tax liability of HKD 13,457,000 for the current period, contrasting with a substantial deferred tax asset of HKD 7,247,310,000 in the previous period[22] - The fair value of the group's investment properties decreased by HKD 64,162,000 as of December 31, 2024, compared to a loss of HKD 13,338,000 for the six months ending December 31, 2023[31] Revenue Segments - The property leasing segment generated revenue of HKD 14,103,000 in Beijing and HKD 14,874,000 in Shanghai, while the property development segment in Shenzhen reported no revenue[16] - Rental income from investment properties in major cities (Shanghai and Beijing) totaled RMB 30,933,000, reflecting a decrease of approximately 12% compared to RMB 34,995,000 in the previous year[52] - Rental income in Beijing decreased by approximately 5% to RMB 12,913,000, accounting for 42% of the total revenue, up from 39% in the previous year[54] - In Shanghai, rental income fell by about 16% to RMB 18,020,000, representing 58% of total revenue, down from 61% in the previous year[57] Expenses - Administrative expenses were reported at HKD 16,006,000, a decrease from HKD 31,679,000 in the same period last year[4] - The group incurred financing costs of HKD 149,000 for the six months ended December 31, 2024, compared to HKD 22,000 in the same period of 2023[16] Investments and Joint Ventures - The group’s investment cost in the joint venture, Shenzhen Zhenhua, is HKD 74,386,000 as of December 31, 2024, unchanged from June 30, 2024[33] - The group injected RMB 42,840,000 into Zhenhua, representing an 80% equity stake prior to the arbitration decisions made in 2008 and 2010[34] - The group holds a 49% equity interest in Zhenhua, which has been accounted for using the equity method since June 30, 2009[35] - The group has not recognized an additional profit share of HKD 10,368,000 from Zhenhua as of December 31, 2024, which was unchanged from June 30, 2024[36] - The company holds a 49% equity interest in a joint venture, which reported a profit of zero, down from RMB 11,543,284,000 in the previous year due to a one-time fair value gain from land allocation[61] Future Outlook and Strategies - The company anticipates a stabilization in the retail market in Beijing due to improved consumer spending and supportive policies[70] - In Shenzhen, the real estate market is expected to strengthen, with recent land auction prices reaching historical highs, reflecting increased market confidence[71] - The company plans to enhance leasing and marketing strategies to attract new tenants and retain existing ones amid pressures in the Shanghai office market[70] - The company expects significant capital expenditures for land development, which will be funded through internal resources and bank financing[66] Corporate Governance - The company has adhered to the corporate governance principles as per the listing rules until December 31, 2024[77] - The board of directors includes both executive and independent non-executive members, ensuring diverse governance[78]
达力集团(00029) - 2025 - 中期业绩