TOM集团(02383) - 2025 - 中期业绩

Chairman's Statement TOM Group focused on investing in high-growth potential businesses and divesting loss-making operations to enhance shareholder returns in H1 2025, achieving revenue growth and narrowing losses despite macroeconomic challenges H1 2025 Performance Overview TOM Group focused on investing in high-growth potential businesses and divesting loss-making operations to enhance shareholder returns in H1 2025. Despite macroeconomic headwinds, consolidated revenue from continuing operations increased by 1.1% to HKD 339 million, with gross profit margin improving to 42.7%. Loss attributable to shareholders narrowed by 31% to HKD 96 million, primarily due to lower finance costs and increased share of profits from associates - Despite geopolitical tensions, trade barriers, and policy uncertainties, consolidated revenue from continuing operations increased by 1.1% to HKD 339 million[2] - Total gross profit increased from HKD 139 million to HKD 145 million, with gross profit margin improving from 41.5% to 42.7%[2] - Loss attributable to shareholders from continuing operations narrowed by 31% to HKD 96 million, mainly due to lower finance costs and increased share of profits from associates[2] - Profit from continuing operations before net finance costs and tax was HKD 6 million, compared to a loss of HKD 19 million in the prior period[2] Business Highlights and Strategy Youle achieved growth in supply chain innovation and rural e-commerce, recording a net profit of RMB 23 million, reversing a loss from the prior period. The Taiwan publishing group maintained market leadership with revenue of HKD 327 million and segment profit of HKD 19 million, and plans growth through diversified revenue and digital integration. The Group divested its social media business, Pixnet, to optimize resource allocation - Invested in Youle, an e-commerce enterprise operated by China Post, which recorded a net profit of RMB 23 million, reversing a loss of RMB 33 million in the prior period[3] - Taiwan publishing group generated total revenue of HKD 327 million and segment profit of HKD 19 million, planning to explore diversified revenue streams and accelerate digital integration[4] - The Group divested its social media business, Pixnet, to consider resource efficiency and capital allocation[5] Outlook and Financial Prudence Management will selectively pursue growth opportunities, maintain stable business performance, and uphold a prudent financial position through rigorous monitoring of operating and capital expenditures, along with cash flow and working capital management - Management will selectively pursue growth opportunities and maintain stable business performance[5] - Maintain a prudent financial position through close monitoring of operating and capital expenditures and investments, implementing rigorous cash flow and working capital management[5] Management Discussion and Analysis This section provides a detailed review of the Group's financial performance, business segment results, capital resources, and key financial metrics for the period Financial Summary In H1 2025, the Group's continuing operations revenue grew by 1.1% to HKD 339 million, with profit before net finance costs and tax turning profitable at HKD 5.7 million. Loss attributable to equity holders (excluding discontinued operations) narrowed to HKD 95.66 million, with loss per share (excluding discontinued operations) at 2.42 HK cents Condensed Consolidated Interim Financial Summary (For the six months ended June 30) | Indicator | 2025 (HKD thousand) | 2024 (HKD thousand, restated) | | :--- | :--- | :--- | | Consolidated revenue from continuing operations | 338,692 | 334,917 | | Profit/(loss) before net finance costs and tax | 5,722 | (18,804) | | Loss attributable to equity holders (excluding discontinued operations) | (95,663) | (138,676) | | Loss attributable to equity holders (including discontinued operations) | (98,698) | (145,414) | | Loss per share (excluding discontinued operations) | (2.42) HK cents | (3.50) HK cents | | Loss per share (including discontinued operations) | (2.49) HK cents | (3.67) HK cents | | Net debt | (1,696,236) | (1,551,841) | Business Review Despite a challenging macroeconomic environment, the Group focused on revenue growth, operational efficiency, and cost optimization. Media business revenue was HKD 336 million with a segment profit of HKD 19 million. Technology platform and investment business revenue was HKD 3 million with a segment profit of HKD 9 million, including a reversal from e-commerce business. The Group divested its social media business, Pixnet, and will continue to support the development of the Cite Publishing business - Media business generated total revenue of HKD 336 million and segment profit of HKD 19 million[8] - Technology platform and investment business generated total revenue of HKD 3 million and segment profit of HKD 9 million, including a reversal from e-commerce business[8] - The Group divested all shares of its social media business, Pixnet, in May 2025[10] - TOM Group holds a 7.94% equity interest in WeLab's issued shares, which operates digital banking and online financial services in Asia with over 70 million users[11] - TOM Group holds a 6.22% equity interest in Miaoying Technology's issued shares, a leading sustainable development data and software provider in Asia[12] - The Group invested in Youle, an e-commerce enterprise operated by China Post, committed to supply chain innovation and rural e-commerce business growth[12] Media Business Taiwan's Cite Publishing business maintained market leadership through digital transformation, AI applications, new revenue models, and deepened industry collaboration, recording revenue of HKD 327 million and segment profit of HKD 19 million. The Mainland China advertising group recorded revenue of HKD 9 million and a segment loss of HKD 0.6 million - Taiwan's Cite Publishing business generated total revenue of HKD 327 million and segment profit of HKD 19 million, maintaining leadership through digital transformation, AI applications, and new revenue models[9] - Mainland China advertising group generated total revenue of HKD 9 million and a segment loss of HKD 0.6 million[9] Technology Platform and Investment The Group divested its social media business, Pixnet, in May 2025 to facilitate its future development and optimize resources. The Group continues to hold equity interests in WeLab (7.94% stake), a leading Asian fintech company, and Miaoying Technology (6.22% stake), a sustainable development data provider, and has invested in Youle, an e-commerce enterprise operated by China Post - In May 2025, TOM Group divested all shares of its social media business, Pixnet[10] - TOM Group holds a 7.94% equity interest in WeLab's issued shares, which operates digital banking and online financial services in Hong Kong, Mainland China, and Indonesia[11] - TOM Group holds a 6.22% equity interest in Miaoying Technology's issued shares, a leading sustainable development data and software provider in Asia[12] - The Group invested in Youle, an e-commerce enterprise operated by China Post, committed to supply chain innovation and rural e-commerce business growth[12] Capital Resources and Financial Position As of June 30, 2025, the Group's cash and bank balances were approximately HKD 495 million. Total credit facilities were HKD 4.52 billion, with 88.1% (HKD 3.98 billion) utilized. Total principal amount of loans was approximately HKD 3.98 billion, all long-term bank loans at floating rates. The gearing ratio was 174.3%, a slight decrease from 175.6% at the end of 2024. Net current assets increased to HKD 287 million, and the current ratio was 1.54. Net debt was approximately HKD 1.696 billion - As of June 30, 2025, cash and bank balances were approximately HKD 495 million[13] - Total credit facilities were HKD 4.52 billion, with 88.1% (HKD 3.98 billion) utilized[13] - Total principal amount of loans was approximately HKD 3.98 billion, all long-term bank loans at floating rates[13] - Gearing ratio was 174.3% (December 31, 2024: 175.6%)[13] - Net current assets were approximately HKD 287 million (December 31, 2024: HKD 233 million)[14] - Current ratio was 1.54 (December 31, 2024: 1.44)[14] - Net debt was approximately HKD 1.696 billion (December 31, 2024: HKD 1.664 billion)[14] - Net cash outflow from operating activities after interest and tax narrowed to HKD 43 million (prior period: HKD 62 million)[14] Analysis of Key Financial Metrics Despite macroeconomic headwinds, continuing operations revenue was HKD 339 million, and profit before net finance costs and tax turned profitable at HKD 6 million, primarily due to a reversal of long-aged payables and increased share of profits from associates. The divestment of discontinued business Pixnet resulted in a loss of approximately HKD 1 million, with a period loss of approximately HKD 4 million. Loss attributable to equity holders (excluding discontinued operations) was HKD 96 million, and including discontinued operations was HKD 99 million - Continuing operations revenue was HKD 339 million, with profit before net finance costs and tax at HKD 6 million (prior period: loss of HKD 19 million)[15] - Profit improvement was mainly due to a reversal of long-aged payables and increased share of profits from associates[15] - Divestment of social media business Pixnet recorded a loss of approximately HKD 1 million, with a period loss from discontinued operations of approximately HKD 4 million[15] - Loss attributable to equity holders (excluding discontinued operations) was HKD 96 million, and including discontinued operations was HKD 99 million[16] - Restricted cash was approximately HKD 5 million, mainly for performance guarantees and bank credit card advances guarantees[17] - As of June 30, 2025, the Group had no significant contingent liabilities or post-balance sheet events[18][19] Condensed Consolidated Interim Financial Statements This section presents the Group's interim financial statements, including the income statement, statement of comprehensive income, statement of financial position, and statement of changes in equity Condensed Consolidated Interim Income Statement In H1 2025, continuing operations revenue was HKD 339 million, cost of sales HKD 194 million, and gross profit HKD 145 million. Share of profits from investments accounted for using the equity method turned profitable at HKD 7.4 million. Loss for the period was HKD 94.67 million, a significant narrowing from HKD 143 million in the prior period. Basic loss per share was 2.49 HK cents Condensed Consolidated Interim Income Statement (For the six months ended June 30) | Indicator | 2025 (HKD thousand) | 2024 (HKD thousand, restated) | | :--- | :--- | :--- | | Continuing operations | | | | Revenue | 338,692 | 334,917 | | Cost of sales | (193,973) | (196,050) | | Selling and marketing expenses | (55,722) | (54,274) | | Administrative expenses | (34,333) | (34,463) | | Other operating expenses, net | (56,314) | (63,578) | | Other (losses)/gains, net | (62) | 155 | | Share of profits less losses of investments accounted for using the equity method | 7,434 | (5,511) | | Profit/(loss) before net finance costs and tax | 5,722 | (18,804) | | Finance costs, net | (92,202) | (110,293) | | Loss before tax | (86,480) | (129,097) | | Loss for the period from continuing operations | (90,983) | (135,245) | | Discontinued operations | | | | Loss for the period from discontinued operations | (3,689) | (8,214) | | Loss for the period | (94,672) | (143,459) | | Loss for the period attributable to equity holders of the Company | (98,698) | (145,414) | | Basic and diluted loss per share (HK cents) | (2.49) | (3.67) | Condensed Consolidated Interim Statement of Comprehensive Income In H1 2025, the loss for the period was HKD 94.67 million. Other comprehensive income primarily included exchange differences of HKD 62.05 million and revaluation surplus of financial assets at fair value through other comprehensive income of HKD 0.405 million. Total comprehensive expense for the period was HKD 32.33 million, a significant reduction from HKD 261 million in the prior period Condensed Consolidated Interim Statement of Comprehensive Income (For the six months ended June 30) | Indicator | 2025 (HKD thousand) | 2024 (HKD thousand, restated) | | :--- | :--- | :--- | | Loss for the period | (94,672) | (143,459) | | Other comprehensive income/(expense), net of tax | | | | Revaluation surplus/(deficit) of financial assets at fair value through other comprehensive income | 405 | (94,436) | | Exchange differences | 62,050 | (23,485) | | Transfer of exchange reserve on disposal of a subsidiary | (111) | – | | Total comprehensive expense for the period | (32,328) | (261,380) | | Total comprehensive expense for the period attributable to equity holders of the Company | (54,699) | (249,465) | Condensed Consolidated Interim Statement of Financial Position As of June 30, 2025, the Group's total assets were HKD 2.886 billion, comprising non-current assets of HKD 2.063 billion and current assets of HKD 823 million. Total liabilities were HKD 4.582 billion, with non-current liabilities of HKD 4.047 billion. Net debt was HKD 1.696 billion Condensed Consolidated Interim Statement of Financial Position (As at June 30) | Indicator | June 30, 2025 (HKD thousand) | December 31, 2024 (HKD thousand, audited) | | :--- | :--- | :--- | | Assets | | | | Total non-current assets | 2,063,237 | 2,037,383 | | Total current assets | 822,953 | 763,830 | | Liabilities | | | | Total current liabilities | 535,755 | 530,632 | | Total non-current liabilities | 4,046,671 | 3,934,477 | | Net current assets | 287,198 | 233,198 | | Net debt | (1,696,236) | (1,663,896) | | Total equity | (1,696,236) | (1,663,896) | Condensed Consolidated Interim Statement of Changes in Equity As of June 30, 2025, the total deficit attributable to equity holders of the Company was HKD 2.013 billion, with non-controlling interests at HKD 317 million, resulting in a total deficit of HKD 1.696 billion. Total comprehensive expense for the period was HKD 32.33 million - As of June 30, 2025, accumulated losses attributable to equity holders of the Company were HKD 7.115 billion, with a total deficit of HKD 2.013 billion[31] - Non-controlling interests increased to HKD 317 million[31] - Total comprehensive expense attributable to equity holders of the Company for the period ended June 30, 2025, was HKD 54.7 million[31] Notes to the Condensed Consolidated Interim Financial Information This section provides detailed notes on the basis of preparation, accounting policies, revenue, segment information, investments, expenses, finance costs, taxation, discontinued operations, loss per share, and receivables/payables Basis of Preparation and Accounting Policies The financial information is prepared in accordance with HKAS 34 and the Listing Rules. The Group has sufficient financial resources for continued operations and is prepared on a going concern basis. Accounting policies are consistent with the 2024 financial statements, with no significant impact from newly adopted standard amendments - Financial information is prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the HKICPA and the Listing Rules[34] - The Group has sufficient financial resources to support its continued operations and the financial information is prepared on a going concern basis[34] - Newly adopted standard amendments have no significant impact on the Group's accounting policies[35] Revenue and Segment Information The Group has four continuing operating segments: e-commerce, mobile internet, publishing, and advertising. The social networking group (Pixnet) was classified as a discontinued operation after its divestment on May 31, 2025. In H1 2025, net revenue from external customers for continuing operations was HKD 339 million, with the publishing business group being the largest contributor. The technology platform and investment segment profit was HKD 8.89 million, and the media business segment profit was HKD 18.69 million - The Group has four continuing operating segments: e-commerce group, mobile internet group, publishing business group, and advertising business group[40] - The social networking group (Pixnet) was classified as a discontinued operation after its divestment on May 31, 2025[37][39] Net Revenue from External Customers for Continuing Operations in H1 2025 | Segment | Net Revenue (HKD thousand) | | :--- | :--- | | E-commerce Group | – | | Mobile Internet Group | 2,458 | | Publishing Business Group | 326,689 | | Advertising Business Group | 9,545 | | Total Continuing Operations | 338,692 | Segment Profit/(Loss) in H1 2025 | Segment | Segment Profit/(Loss) (HKD thousand) | | :--- | :--- | | E-commerce Group | 8,947 | | Mobile Internet Group | (58) | | Publishing Business Group | 19,281 | | Advertising Business Group | (591) | | Total Continuing Operations | 27,579 | | Discontinued Operations (Social Networking Group) | (2,471) | Investments Accounted for Using the Equity Method As of June 30, 2025, the carrying amount of investments in associates was HKD 371 million. In H1 2025, the share of net profit from associates was HKD 7.4 million, a significant improvement from a loss of HKD 5.5 million in the prior period. Management assessed no further impairment provision was needed - As of June 30, 2025, the carrying amount of investments in associates was HKD 371 million[48] - In H1 2025, the share of net profit from associates was HKD 7.4 million, compared to a loss of HKD 5.5 million in the prior period[48] - Management assessed no indication that the carrying amount of investments accounted for using the equity method required further impairment provision or reversal of impairment provision[48] Other Operating Expenses and Gains/Losses In H1 2025, net other operating expenses from continuing operations were HKD 56.31 million, a decrease from HKD 63.58 million in the prior period. Key expenses included staff costs, inventory provisions, depreciation, and amortization. Net other (losses)/gains were a loss of HKD 0.062 million, primarily impacted by exchange losses Other Operating Expenses, Net (For the six months ended June 30) | Expense Category | 2025 Continuing Operations (HKD thousand) | 2024 Continuing Operations (HKD thousand, restated) | | :--- | :--- | :--- | | Staff costs | 37,356 | 38,280 | | Provision for inventories | 7,158 | 5,945 | | Depreciation of property, plant and equipment | 4,184 | 1,869 | | Depreciation of right-of-use assets | 9,059 | 11,405 | | Other (income)/expenses, net | (2,288) | 5,348 | | Total | 56,314 | 63,578 | Other (Losses)/Gains, Net (For the six months ended June 30) | Item | 2025 Continuing Operations (HKD thousand) | 2024 Continuing Operations (HKD thousand, restated) | | :--- | :--- | :--- | | Dividend income | 540 | 272 | | Gain on disposal of property, plant and equipment | 1 | 233 | | Exchange losses, net | (603) | (350) | | Total | (62) | 155 | - Improvement in profit/(loss) before net finance costs and tax was partly attributable to a net reversal of other payables of HKD 8.933 million[52] Finance Costs and Taxation In H1 2025, net finance costs from continuing operations were HKD 92.2 million, a decrease from HKD 110 million in the prior period, mainly due to reduced interest on bank loans and borrowing costs. Tax expense was HKD 4.5 million, primarily for overseas taxation Finance Costs, Net (For the six months ended June 30) | Item | 2025 Continuing Operations (HKD thousand) | 2024 Continuing Operations (HKD thousand, restated) | | :--- | :--- | :--- | | Interest on bank loans and borrowing costs | 92,199 | 110,803 | | Interest cost on lease liabilities | 1,229 | 1,348 | | Bank interest income | (1,162) | (1,771) | | Total | 92,202 | 110,293 | Tax Expense (For the six months ended June 30) | Item | 2025 (HKD thousand) | 2024 (HKD thousand, restated) | | :--- | :--- | :--- | | Overseas taxation | 4,409 | 6,303 | | Underprovision in prior years | 167 | 946 | | Deferred tax | (51) | (1,103) | | Total Tax Expense | 4,525 | 6,146 | | Tax attributable to loss from continuing operations | 4,503 | 6,148 | | Tax attributable to loss from discontinued operations | 22 | (2) | Discontinued Operations The social networking group (Pixnet) was classified as a discontinued operation after its divestment on May 31, 2025. As of the disposal date, its revenue was HKD 5.6 million, operating expenses HKD 8.1 million, and loss before tax HKD 2.57 million. The disposal of the subsidiary resulted in a loss of HKD 1.09 million. Loss for the period from discontinued operations was HKD 3.69 million, a significant narrowing from HKD 8.21 million in the prior period - The social networking group (Pixnet) was classified as a discontinued operation after its divestment on May 31, 2025[58] Financial Results of Discontinued Operations (For the six months ended June 30) | Indicator | 2025 (HKD thousand) | 2024 (HKD thousand) | | :--- | :--- | :--- | | Revenue | 5,629 | 7,845 | | Operating expenses | (8,100) | (15,926) | | Loss before tax from discontinued operations | (2,574) | (8,216) | | Loss on disposal of a subsidiary | (1,093) | – | | Loss for the period from discontinued operations | (3,689) | (8,214) | Loss Per Share and Dividends In H1 2025, basic loss per share from continuing operations was 2.42 HK cents, from discontinued operations was 0.07 HK cents, totaling 2.49 HK cents. Diluted loss per share was the same as basic loss per share. The Company did not pay or declare any dividends Loss Per Share (For the six months ended June 30) | Item | 2025 (HK cents) | 2024 (HK cents) | | :--- | :--- | :--- | | From continuing operations | (2.42) | (3.50) | | From discontinued operations | (0.07) | (0.17) | | Total | (2.49) | (3.67) | - Diluted loss per share was equivalent to basic loss per share[65] - The Company did not pay or declare any dividends for the six months ended June 30, 2025[62] Trade and Other Receivables/Payables As of June 30, 2025, total trade receivables were HKD 181 million, with current receivables accounting for HKD 86.14 million. Total trade payables were HKD 112 million, with current payables accounting for HKD 49.18 million. The average credit period for trade receivables was 30 to 180 days Trade and Other Receivables (As at June 30) | Item | June 30, 2025 (HKD thousand) | December 31, 2024 (HKD thousand) | | :--- | :--- | :--- | | Trade receivables | 180,956 | 177,878 | | Prepayments, deposits and other receivables | 42,630 | 41,677 | | Total | 223,586 | 219,555 | Ageing Analysis of Trade Receivables (As at June 30) | Ageing | June 30, 2025 (HKD thousand) | December 31, 2024 (HKD thousand) | | :--- | :--- | :--- | | Current | 86,135 | 84,304 | | 31 to 60 days | 40,721 | 47,670 | | 61 to 90 days | 23,455 | 24,056 | | Over 90 days | 59,425 | 49,470 | | Total (net of impairment allowance) | 180,956 | 177,878 | Trade and Other Payables (As at June 30) | Item | June 30, 2025 (HKD thousand) | December 31, 2024 (HKD thousand) | | :--- | :--- | :--- | | Trade payables | 111,648 | 103,713 | | Other payables and accrued expenses | 264,357 | 282,132 | | Contract liabilities | 117,463 | 102,711 | | Total | 493,468 | 488,556 | Ageing Analysis of Trade Payables (As at June 30) | Ageing | June 30, 2025 (HKD thousand) | December 31, 2024 (HKD thousand) | | :--- | :--- | :--- | | Current | 49,178 | 49,972 | | 31 to 60 days | 12,268 | 8,543 | | 61 to 90 days | 5,910 | 5,541 | | Over 90 days | 44,292 | 39,657 | | Total | 111,648 | 103,713 | Corporate Governance and Other Information This section covers the Group's sustainability initiatives, compliance with corporate governance standards, strategic outlook, and key definitions Sustainability The Group is committed to creating long-term value for all stakeholders by aligning sustainability goals with business strategies, supporting the UN Sustainable Development Goals. Its sustainability governance framework is deeply integrated across all levels and guided by four pillars: business, people, environment, and community - The Group's primary sustainability mission is to create long-term value for all stakeholders by aligning sustainability goals with business strategy development[69] - The sustainability governance framework is deeply integrated across the Board, Sustainability Committee, and business units[69] - The Group's sustainability approach and priorities are based on four pillars: business, people, environment, and community[69] Review and Compliance The interim financial statements have been reviewed by PricewaterhouseCoopers and the Audit Committee. The Company complied with all applicable provisions of the Corporate Governance Code during the reporting period, except for the Chairman's absence from the Annual General Meeting. Directors have complied with the Model Code for Securities Transactions - The unaudited condensed consolidated interim financial statements have been reviewed by PricewaterhouseCoopers and the Company's Audit Committee[70] - The Company complied with all applicable code provisions of the Corporate Governance Code during the six months ended June 30, 2025, except for code provision F.1.3 (Chairman's absence from the Annual General Meeting)[71][72] - All Directors confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers during the reporting period[73] - During the reporting period, neither the Company nor any of its subsidiaries repurchased, sold, or redeemed any of the Company's listed securities[74] Corporate Strategy and Outlook The Company's main objective is to enhance long-term total returns for all stakeholders, focusing on revenue growth, rigorous profit and cost management, capital and investment return targets, M&A activities, and organic growth. The Group also emphasizes sustainability. The report contains forward-looking statements, but actual results may differ, and the Company assumes no obligation to update them - The Company's main objective is to enhance long-term total returns for all its stakeholders, focusing on revenue growth, rigorous profit and cost management, capital and investment return ratio targets, M&A activities, and organic growth[76] - The Group also emphasizes sustainable development and provides business solutions that support addressing social and environmental challenges[76] - Any forward-looking statements and opinions in the report are based on existing plans, estimates, and forecasts, involving risks and uncertainties, and actual results may differ materially[77] Definitions and Board of Directors This section provides definitions of key terms used in the report and lists the members of the Board of Directors as of the announcement date - This section provides definitions of key terms used in the report, such as "Associate," "B2B," "B2C," "China Post," "WeLab," etc[78][79] - As of the announcement date, the Company's Board of Directors includes Executive Director Mr. Yeung Kwok Mung, Non-executive Directors Mr. Frank John Sixt (Chairman) and Ms. Chang Pei Wei, and Independent Non-executive Directors Mr. Sze Cheng George, Dr. Fong Chi Wai, and Mrs. Lee Wang Pui Ling[81]