巨腾国际(03336) - 2025 - 中期业绩

Financial Highlights Financial Highlights The company experienced a 9.5% revenue decline and a 63.6% gross profit drop, with loss attributable to equity holders expanding to HK$79 million, while net asset value per share slightly rose Key Financial Indicators for H1 2025 | Indicator | Six Months Ended June 30, 2025 | Y-o-Y Change | | :--- | :--- | :--- | | Revenue (HK$ million) | Approx. 2,715 | Down approx. 9.5% | | Gross Profit (HK$ million) | Approx. 73 | Down approx. 63.6% | | Gross Margin (%) | Approx. 2.7% | Down from 6.6% | | Loss Attributable to Equity Holders (HK$ million) | Approx. 79 | Loss expanded (prior period loss HK$69 million) | | Basic Loss Per Share (HK cents) | Approx. 9.4 | Loss expanded (prior period loss 8.1 HK cents) | | Net Asset Value Per Share (End of Period) (HK$) | Approx. 4.0 | Increased (HK$3.9 at end of 2024) | Condensed Consolidated Financial Statements Condensed Consolidated Statement of Profit or Loss Revenue declined by 9.5% to HK$2.715 billion, with gross profit significantly reduced to HK$72.68 million, leading to an expanded pre-tax loss of HK$130 million and a total loss of HK$133 million Condensed Consolidated Statement of Profit or Loss Summary (HK$ '000) | Item | 2025 H1 (Unaudited) | 2024 H1 (Unaudited) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 2,714,737 | 2,999,320 | -9.5% | | Gross Profit | 72,681 | 199,416 | -63.6% | | Loss Before Tax | (130,312) | (94,559) | +37.8% | | Loss for the Period | (133,125) | (101,863) | +30.7% | | Loss Attributable to Equity Holders of the Company | (79,072) | (68,699) | +15.1% | | Basic Loss Per Share (HK cents) | (9.4) | (8.1) | +16.0% | Condensed Consolidated Statement of Comprehensive Income Despite a HK$133 million loss, total comprehensive income turned positive to HK$96.52 million, driven by HK$227 million in exchange gains from overseas operations, a significant improvement year-on-year - Benefiting from positive exchange differences from overseas operations, total comprehensive income for the period turned profitable, recording HK$96.52 million, compared to a total comprehensive expense of HK$308 million in the prior period[5] Condensed Consolidated Statement of Financial Position Total assets reached HK$10.68 billion, with net assets at HK$5.80 billion, a slight increase from 2024 year-end, and net current assets improved to HK$134 million, while borrowings rose Key Items from Statement of Financial Position (HK$ '000) | Item | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Total Non-current Assets | 5,809,036 | 5,729,626 | | Total Current Assets | 4,872,854 | 4,612,833 | | Total Current Liabilities | 4,739,290 | 4,513,891 | | Total Non-current Liabilities | 141,359 | 114,244 | | Net Assets | 5,801,241 | 5,714,324 | | Equity Attributable to Equity Holders of the Company | 4,785,457 | 4,637,196 | Notes to the Financial Statements Note 1: Basis of Preparation and Going Concern Prepared under HKAS 34, the Group obtained a post-period waiver for syndicated loan covenant breaches and is implementing measures like refinancing and asset recovery to ensure going concern - The Group breached two covenants of its HK$1.126 billion syndicated loan at the end of the reporting period but subsequently obtained a one-time waiver from the bank[9] - To ensure going concern, management plans to improve liquidity through loan refinancing, utilizing approximately HK$1.677 billion in unutilized credit facilities, and recovering approximately HK$485 million from asset disposals[10] Note 2: Segment Information The Group operates as a single segment, manufacturing notebook and handheld device casings, with approximately 88.5% of revenue generated from Mainland China Revenue by Geographical Region (HK$ '000) | Region | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Mainland China (excluding Hong Kong) | 2,401,545 | 2,705,649 | | Others | 313,192 | 293,671 | Note 3: Revenue, Other Income and Gains Revenue of HK$2.715 billion was solely from casing sales, while other income and gains surged to HK$209 million, largely due to a HK$139 million gain from asset disposals - A disposal gain of HK$139 million was recognized during the period from the sale of assets related to a production plant in Suzhou, China, which is the primary reason for the significant year-on-year increase in other income and gains[19][24] Note 7 & 8: Dividends and Loss Per Share The Board recommends no interim dividend, with basic loss per share calculated at 9.4 HK cents based on a HK$79.07 million loss - The Board decided not to declare an interim dividend for the six months ended June 30, 2025[26] - Basic loss per share attributable to equity holders of the Company was 9.4 HK cents, compared to 8.1 HK cents in the prior period[27] Management Discussion and Analysis Business Review and Outlook Sales faced pressure from tariffs and Vietnam factory ramp-up, leading to revenue decline and expanded losses, while the company strategically shifts production to Vietnam and eyes future growth from Windows upgrades and AI PCs - Sales performance was under pressure in the first half, primarily due to tariff fluctuations in export markets and the initial underutilization of the Vietnam factory's production capacity[36] - The company is strategically relocating some of its Chinese production capacity to Vietnam to reduce costs, improve efficiency, and enhance supply chain resilience[37] - Looking ahead, Windows system upgrades (expected to phase out 240 million PCs) and the rapid growth of AI PCs (shipments projected to surge 165.5% in 2025) are key market growth drivers[39] Financial Review Revenue declined 9.5% with gross margin at 2.7% due to weak demand and factory ramp-up, while asset disposal gains boosted other income, but foreign exchange losses and increased turnover days led to an expanded HK$79 million loss Revenue and Gross Margin Revenue fell 9.5% to HK$2.715 billion due to tariff uncertainties and factory ramp-up, while gross margin dropped to 2.7%, or 6.3% excluding inventory provisions Revenue and Gross Margin Performance | Indicator | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Revenue (HK$ million) | Approx. 2,715 | Approx. 2,999 | | Gross Margin (%) | Approx. 2.7% | Approx. 6.6% | | Gross Margin Excluding Inventory Provisions (%) | Approx. 6.3% | Approx. 8.2% | Operating Costs and Other Expenses Operating costs decreased by 14.6% to HK$297 million due to cost controls, but other expenses surged 546.9% to HK$35 million, primarily from a shift from foreign exchange gain to loss - Operating costs decreased by 14.6% year-on-year, primarily due to reductions in staff costs, depreciation, professional fees, and transportation expenses[43] - Other expenses significantly increased, mainly due to the appreciation of RMB against USD, which resulted in a shift from net foreign exchange gain to net loss[44] Liquidity and Financial Ratios Total borrowings rose to HK$2.81 billion, with gearing at 26.3%, while operating cash flow significantly decreased to HK$149 million, and all key turnover days lengthened Key Financial Ratios | Indicator | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Inventory Turnover Days | Approx. 78 | Approx. 88 | | Trade Receivables Turnover Days | Approx. 145 | Approx. 134 | | Trade Payables and Notes Turnover Days | Approx. 65 | Approx. 50 | - Net cash flow from operating activities significantly decreased from HK$480 million in the prior period to HK$149 million, primarily due to increased loss before tax and higher inventory[49] Corporate Governance and Other Disclosures Interim Dividend The Board has decided not to recommend any interim dividend for the six-month period ended June 30, 2025 - The Board does not recommend the payment of an interim dividend for the current period[59] Corporate Governance Practices The company largely complies with the Corporate Governance Code, with a deviation where the Chairman also serves as CEO, an arrangement the Board believes ensures unified strategic leadership - The company deviates from the Corporate Governance Code's requirement for separation of Chairman and Chief Executive Officer roles, with Mr. Zheng Liyu currently holding both positions[60] Audit Committee The Audit Committee has reviewed the Group's accounting policies and the unaudited interim financial results for the period, expressing no disagreement - The Audit Committee has reviewed the interim results for the current period and has no disagreement[63]