Financial Performance - Revenue from contracts with customers increased to HK$705,051,000, up 8.6% from HK$649,296,000 in the previous year[5] - Gross profit rose to HK$109,111,000, representing a 21.3% increase compared to HK$89,913,000 in the same period last year[5] - Operating profit improved to HK$12,602,000, a significant recovery from an operating loss of HK$3,523,000 in the prior year[5] - Loss for the period decreased to HK$5,842,000, down from HK$19,472,000 in the same period last year, indicating a 70% reduction in losses[5] - The company reported a basic and diluted loss per share of HK$1.84, an improvement from HK$4.99 in the prior year[7] - The Group reported a loss attributable to equity holders of HK$6,803,000 for the period, an improvement from a loss of HK$18,412,000 in the same period last year[119] - The basic loss per share for the period was HK$0.0184, compared to HK$0.0499 for the six months ended December 31, 2023[122] - The Group's profit before taxation turned around during the period, indicating improved performance[194] Assets and Liabilities - Non-current assets totaled HK$293,780,000, a decrease from HK$296,835,000 as of June 30, 2024[16] - Current assets decreased to HK$691,279,000 from HK$720,048,000, reflecting a decline in inventory levels[16] - Total equity decreased from HK$ 519,297,000 as of June 30, 2024, to HK$ 496,930,000 as of December 31, 2024, representing a decline of approximately 4.3%[19] - Total liabilities decreased from HK$ 497,586,000 to HK$ 488,129,000, a reduction of approximately 1.9%[19] - Current liabilities increased from HK$ 491,314,000 to HK$ 484,299,000, indicating a decrease of approximately 1.9%[19] - Non-current liabilities decreased from HK$ 6,272,000 to HK$ 3,830,000, a reduction of approximately 38.9%[19] - Total assets less current liabilities decreased from HK$ 525,569,000 to HK$ 500,760,000, a decline of about 4.7%[19] Cash Flow and Liquidity - Cash and bank balances increased to HK$134,713,000, up from HK$104,233,000, indicating improved liquidity[16] - For the six months ended December 31, 2024, cash generated from operations was HK$95,018,000, a significant increase from HK$10,503,000 in the same period of 2023[31] - The net cash generated from operating activities rose to HK$95,632,000 compared to HK$570,000 in the previous year, indicating strong operational performance[31] - Cash and cash equivalents at December 31, 2024, were HK$134,713,000, an increase from HK$108,968,000 at the same time last year[31] - The Group's cash and bank balances as of December 31, 2024, amounted to approximately HK$134,713,000[196] Segment Performance - Gross revenue from external customers reached HK$705,051,000, with a significant contribution from the Engineering segment at HK$449,172,000[88] - Operating profit for the Group was HK$12,602,000, driven primarily by the Trading segment, which reported an operating profit of HK$11,059,000[88] - The engineering plastics business saw a 9.9% year-on-year increase in turnover to HK$71,582,000, with profit before taxation rising to HK$7,521,000 from a loss of HK$2,028,000[182] - The plastic raw material trading business turnover increased by 12.6% to HK$449,172,000, with a slight increase in gross profit margin by 0.5 percentage points[184] - The colorants, pigments, and compounded plastic resins business turnover remained stable at HK$184,297,000, with profit before taxation decreasing to HK$10,505,000 from HK$14,422,000[183] Financial Risks and Management - The Group's activities expose it to various financial risks, including market risk, credit risk, and liquidity risk[56] - The Group's financial risk management includes the use of valuation techniques for financial instruments not traded in active markets[74] - The Group's net debt is calculated as total borrowings less cash and cash equivalents, contributing to the gearing ratio[196] Future Outlook and Strategy - The management remains cautiously optimistic about future development while adhering to a conservative strategy in the plastic raw material trading business[188] - The company plans to focus on the recovery trends in the tailor-made toy consumption and premium/gift market while optimizing its product portfolio in the engineering plastics sector[189] - The establishment of the first sales point in Vietnam is expected to contribute significant revenue in the future, given the strong domestic demand and manufacturing index[190] - The Group will continue to implement stringent cost control measures, including reductions in administrative, distribution, and production costs[194] - The Group aims for long-term stable growth and optimum returns to shareholders despite external challenges[195] Dividends and Shareholder Returns - The company paid dividends of HK$2,385,000 to non-controlling interests during the period[22] - The Board of Directors resolved not to declare any interim dividend for the six months ended 31st December 2024[174]
毅兴行(01047) - 2025 - 中期财报