Financial Performance - The company's revenue for the six months ended June 30, 2025, increased by 22.5% to approximately HKD 238,025,000 compared to HKD 194,250,000 in the same period last year[5]. - The loss attributable to the company's owners decreased by 85.4% to HKD 12,240,000 from HKD 84,008,000 year-on-year[6]. - The gross profit margin for the period was 38.1%, slightly down from 38.6% in the previous year[5]. - The overall loss before tax for the period was HKD 11,644,000, significantly improved from HKD 84,423,000 in the previous year[8]. - The company reported a net loss of HKD 11,871,000 for the six months ended June 30, 2025, compared to a net loss of HKD 48,231,000 for the same period in 2024, indicating an improvement in cash flow from operations[11][18]. - The company reported a loss attributable to shareholders of HKD 12,240,000 for the six months ended June 30, 2025, compared to a loss of HKD 84,008,000 for the same period in 2024, representing a significant improvement[34]. Market Performance - The U.S. market accounted for approximately 68.6% of total revenue, up from 63.0% in the previous year, indicating strong market penetration[7]. - Revenue from the U.S. market for the six months ending June 30, 2025, was HKD 163,316,000, up from HKD 122,352,000 in the same period of 2024, indicating a growth of approximately 33.6%[28]. - New product launches and enhanced sales channels contributed to increased sales volume, particularly in the U.S. market[6]. Cost Management - The company implemented strict cost control measures and streamlined its supply chain, which helped mitigate inflationary pressures[7]. - Distribution and selling costs decreased by approximately 23.5% to about HKD 58,873,000, primarily due to reduced advertising expenses[51]. - Administrative expenses decreased by approximately 17.0% to about HKD 65,731,000, including reductions in office staff salaries and rent[52]. Assets and Liabilities - As of June 30, 2025, the total assets minus current liabilities amounted to HKD 548,342,000, a slight decrease from HKD 558,067,000 as of December 31, 2024, reflecting a 1.3% decline[9]. - The company's total liabilities increased from HKD 199,599,000 as of December 31, 2024, to HKD 270,039,000 as of June 30, 2025, indicating a rise of 35.3%[9]. - The total assets of the group as of June 30, 2025, were approximately HKD 721,714,000, an increase from HKD 694,161,000 as of December 31, 2024[60]. Dividends and Shareholder Returns - The company declared an interim dividend of HKD 0.01 per share, a decrease of 33.3% from HKD 0.015 in the previous year[5]. - The company paid dividends totaling HKD 7,562,000 during the six months ended June 30, 2025, down from HKD 22,686,000 in the same period of 2024, reflecting a reduction of 66.7%[11]. Employee and Management - As of June 30, 2025, the company has approximately 2,200 employees across multiple regions, maintaining competitive compensation aligned with market trends[74]. - The total remuneration for directors and key management personnel increased to HKD 6,732,000 for the six months ended June 30, 2025, compared to HKD 5,741,000 for the same period in 2024[45]. Strategic Initiatives - The group launched new products, including licensed designs like "SpongeBob SquarePants" and original brand products like "Burp Zombies," to expand its product portfolio[66]. - The company has strategically acquired land in Da Nang, Vietnam, to enhance its presence in the expanding real estate market, aiming to diversify its development and income sources[67]. - The group plans to commence property development in Vietnam by 2025 after careful evaluation of the market environment and resource availability[68]. Governance and Compliance - The board has adopted a corporate governance code based on the principles outlined in the Hong Kong Stock Exchange Listing Rules, ensuring compliance throughout the year[81]. - The Audit Committee reviewed the unaudited interim results for the six months ending June 30, 2025, and confirmed compliance with applicable accounting standards and legal requirements[87].
MATRIX HOLDINGS(01005) - 2025 - 中期财报