Revenue Performance - The solar power business generated revenue of approximately HKD 10,800,000 for the six months ended December 31, 2024, a decrease of 25% from HKD 14,400,000 for the same period in 2023 due to fewer contracts secured and delivered [7]. - The distribution system segment recorded revenue of approximately HKD 43,700,000, down from HKD 48,700,000, attributed to a reduction in the number of contracts [8]. - Revenue for the six months ended December 31, 2024, was HKD 54,654,000, a decrease of 13.0% compared to HKD 63,118,000 for the same period in 2023 [57]. - The solar energy business generated revenue of HKD 10,763,000, down 25.5% from HKD 14,392,000 in the previous year [83][85]. - The distribution system business reported revenue of HKD 43,695,000, a slight decrease of 10.5% from HKD 48,726,000 in the prior year [83][85]. - The beauty and health products trading segment recorded a loss of HKD 3,066,000, compared to no revenue in the same period last year [83][85]. Profitability and Loss - Gross profit increased by 52% to approximately HKD 3,500,000, with a gross margin rising from 3.6% to 6.4% due to general price increases [11]. - The loss attributable to equity holders was approximately HKD 16,300,000, an improvement from a loss of HKD 27,700,000 in the previous period [11]. - The net loss for the period was HKD 13,920,000, an improvement from a net loss of HKD 23,989,000 in the previous year, representing a 42.0% reduction [57]. - The company reported a net loss of HKD 27,654,000 for the six months ended December 31, 2024, compared to a loss of HKD 16,309,000 in the previous period, representing a 69.5% increase in losses [62]. - The company’s total comprehensive income for the period was a loss of HKD 23,869,000, compared to a loss of HKD 15,805,000 in the previous period, marking a 50.5% increase in comprehensive losses [62]. Expenses and Cost Management - Administrative expenses decreased from approximately HKD 13,100,000 to HKD 11,500,000, primarily due to reduced employee benefits [14]. - The group reported a significant reduction in employee benefits expenses to HKD 6,514,000, down 28% from HKD 9,031,000 in the previous year [94]. - Financing costs decreased significantly to HKD 137,000 for the six months ended December 31, 2024, down 53.3% from HKD 293,000 in the previous year [93]. Assets and Liabilities - As of December 31, 2024, the group's net current assets were approximately HKD 129,500,000, down from HKD 145,400,000 as of June 30, 2024 [16]. - Total assets as of December 31, 2024, amounted to HKD 208,762,000, down from HKD 227,275,000 as of June 30, 2024 [84][86]. - Total liabilities increased to HKD 68,553,000 from HKD 75,531,000 in the previous reporting period [84][86]. - Current assets decreased to HKD 196,389,000 from HKD 219,500,000, a decline of 10.5% [58]. - Total equity decreased to HKD 140,209,000 from HKD 151,744,000, a reduction of 7.6% [60]. Capital Raising and Financial Activities - The company announced a rights issue on March 22, 2024, to raise up to approximately HKD 16,700,000 by issuing up to 41,708,400 shares at HKD 0.4 each [19]. - The net proceeds from the rights issue were approximately HKD 16,000,000, with a portion reallocated to develop the cosmetics sales business [20]. - The company raised HKD 3,102,000 from the placement of shares during the financing activities, which was not recorded in the previous period [64]. - The company raised approximately HKD 15,953,000 from a rights issue completed on May 8, 2024, aimed at developing its cosmetics sales and solar energy business [28]. Corporate Governance and Compliance - The company confirms that all directors have fully complied with the standard code of conduct for securities trading during the six months ending December 31, 2024 [46]. - The company plans to continue considering the feasibility of complying with the corporate governance code regarding the separation of the roles of chairman and managing director [43]. - The board believes that the current structure of separating the roles of chairman and managing director is beneficial for effective leadership and operational efficiency [43]. Business Strategy and Future Outlook - The company is focusing on expanding its solar power and distribution system business while also making progress in the beauty and wellness sector [38]. - The company aims to seek projects with stable returns and high growth potential to enhance shareholder value [39]. - The company has initiated a new reporting segment for beauty and health products, reflecting a strategic expansion into this market [79]. - The company’s management continues to monitor the performance of its three business segments: solar energy, distribution systems, and beauty and health products [79]. Share Capital and Options - The company has adopted a share option scheme that allows for the issuance of up to 8,341,680 shares, representing 10% of the total shares issued at the time of the scheme's adoption [51]. - As of December 31, 2024, there are 1,663,568 share options granted but not yet exercised under the 2017 scheme, accounting for approximately 1.17% of the company's issued shares [49]. - The total issued share capital increased from HKD 25,025,000 on June 30, 2024, to HKD 28,361,000 by December 31, 2024, reflecting an increase in issued shares from 125,125,200 to 141,805,200 [21]. Miscellaneous - The company did not declare any interim dividend for the six months ended December 31, 2024 [55]. - The company did not purchase, sell, or redeem any of its listed securities during the six months ended December 31, 2024 [54]. - The company has not engaged in any other capital raising activities in the past 12 months aside from the disclosed placement [26]. - The company has not purchased insurance for legal actions against its directors, as the board believes the risk is relatively low under the current risk management and internal control systems [44].
工盖有限公司(01421) - 2025 - 中期财报