Financial Performance - For the six months ended June 30, 2025, the company reported revenue of $91,400,662, a decrease of 4.1% compared to $95,342,134 for the same period in 2024[3] - Gross profit for the same period was $26,222,913, remaining relatively stable compared to $26,211,267 in 2024, indicating a slight increase of 0.04%[3] - The company achieved a profit before tax of $6,525,637, representing an increase of 29.3% from $5,043,806 in the previous year[4] - Net profit for the period was $5,351,023, up 24.3% from $4,304,099 in 2024[4] - Total comprehensive income for the period was $5,378,976, compared to $4,258,273 in the previous year, reflecting a growth of 26.4%[4] - The earnings per share (EPS) for the period was $0.85, an increase from $0.68 in the same period last year[4] - Net profit for the six months ended June 30, 2025, was approximately $5.4 million, representing an increase of about 24.3% compared to $4.3 million for the same period in 2024[37] Revenue Breakdown - Revenue from the United States increased to $56,641,999, up 7.2% from $52,738,989 in 2024[17] - Revenue from Europe decreased by 20.3% to $20,912,964 from $26,287,617 in 2024[17] - Revenue from Greater China rose significantly to $967,372, compared to $473,314 in 2024, marking a 104.5% increase[17] - Revenue for the first half of 2025 decreased by approximately 4.1% to about $91.4 million, down from approximately $95.3 million in the first half of 2024[34] Costs and Expenses - Total employee costs for the period were $9,956,122, an increase of 6.6% from $9,340,159 in 2024[21] - The cost of goods sold was $65,177,749, a decrease of 5.3% from $69,130,867 in 2024[21] - Cost of sales decreased by approximately 5.7% to about $65.2 million, with the cost of sales as a percentage of total revenue decreasing from approximately 72.5% in the first half of 2024 to 71.3% in the first half of 2025[35] - Gross profit remained stable at approximately $26.2 million, with gross margin increasing from approximately 27.5% in the first half of 2024 to about 28.7% in the first half of 2025[36] Assets and Liabilities - The company's total assets as of June 30, 2025, were $86,434,289, a slight decrease from $89,111,905 at the end of 2024[5] - Current liabilities totaled $30,760,165, showing a decrease from $31,824,655 in the previous year[5] - The company reported cash and cash equivalents of $33,165,793, down from $34,052,184 at the end of 2024[5] - Trade receivables amounted to $31.8 million as of June 30, 2025, down from $34.6 million at the end of 2024[24] - Trade payables were reported at $20.3 million as of June 30, 2025, slightly up from $20.3 million at the end of 2024[26] - The company maintained zero debt with net cash of $33.2 million as of June 30, 2025[29] - Total equity as of June 30, 2025, was approximately $61.2 million, down from $63.0 million as of December 31, 2024[40] Taxation - The company reported a current tax expense of $1,174,614, up from $739,707 in the previous year[19] - The effective tax rate for Hong Kong profits tax remained at 16.5% for both periods[19] Dividends - The company declared an interim dividend of 3 HKD per share for the six months ended June 30, 2025, consistent with the previous year[23] - The company declared an interim dividend of HKD 0.03 per share for the six months ending June 30, 2025, with payment expected by September 30, 2025[44] Corporate Governance - The company has established a remuneration committee to review and recommend policies regarding the compensation of directors and senior management[54] - The remuneration committee consists of five members, including independent non-executive directors and an executive director[54] - The company has set up a nomination committee to evaluate the board's structure and recommend suitable candidates for board membership[55] - The nomination committee also assesses the independence of independent non-executive directors[55] - The board of directors includes both executive and independent non-executive directors, ensuring a diverse governance structure[56] - The company is committed to transparency in its remuneration policies and procedures[54] - The remuneration committee is responsible for establishing performance-linked compensation for executives[54] - The nomination committee will regularly review the board's composition and diversity[55] - The company aims to maintain effective corporate governance practices as part of its strategic objectives[54] Market Strategy - The company continues to focus on expanding its market presence and enhancing product offerings, although specific new products or technologies were not detailed in the report[2] - The company is focusing on expanding its market presence in Greater China, which has shown significant revenue growth[17] - The ongoing geopolitical uncertainties and changing tariff policies have led to a cautious approach among apparel brands, affecting purchasing decisions[28] - The company is focusing on credit risk control to minimize bad debts, which may impact revenue performance[31]
利华控股集团(01346) - 2025 - 中期业绩