Financial Performance - Revenue for the six months ended June 30, 2025, increased by 0.6% to HKD 324,228,000 compared to HKD 322,245,000 in the same period last year[6] - Gross profit decreased by 16.1% to HKD 57,508,000, with a gross margin decline of 3.6 percentage points to 17.7%[13] - The company reported a loss of HKD 13,821,000 for the period, compared to a profit of HKD 9,255,000 in the previous year, resulting in a basic loss per share of HKD 2.3[14] - Revenue from smart wearable device frames and parts increased significantly by 54.7% to HKD 81,314,000, while revenue from straps and fashion accessories decreased by 5.9% and 47.0%, respectively[12][10] - Total comprehensive income for the period amounted to HKD 14,985,000, compared to a total comprehensive loss of HKD 14,123,000 in the previous year[36] - The company reported a loss before tax of HKD 13,248,000, compared to a profit of HKD 12,583,000 in the previous year[36] - Net loss for the period was HKD 13,821,000, a significant decline from a profit of HKD 9,255,000 in the same period last year[36] - The company declared dividends of HKD 12,000,000 during the period, impacting retained earnings[38] - The company did not recommend an interim dividend for the six months ending June 30, 2025, compared to HKD 3,000,000 in the previous year[53] Assets and Liabilities - Total assets as of June 30, 2025, were HKD 1,167,253,000, a slight decrease of 0.2% from HKD 1,169,745,000[6] - The total borrowings increased by 8.1% to HKD 73,306,000, while net assets rose by 1.6% to HKD 957,720,000[6] - The group’s asset-liability ratio was 0.06 as of June 30, 2025, unchanged from December 31, 2024[26] - The group had bank borrowings of HKD 73,306,000 as of June 30, 2025, an increase from HKD 67,783,000 as of December 31, 2024, with all borrowings classified as current liabilities[25] - The group’s cash and cash equivalents were HKD 200,205,000 as of June 30, 2025, down from HKD 222,249,000 as of December 31, 2024[25] - The company’s cash and cash equivalents at the end of the period were HKD 129,555,000, down from HKD 247,683,000 at the end of the previous period[39] Operational Efficiency - The company implemented a workforce streamlining plan, resulting in severance payments of approximately HKD 10,336,000 during the period[9] - The group aims to enhance operational efficiency and resource utilization to improve profitability amidst global economic challenges[31] - Total employee costs, including directors' remuneration, were HKD 140,126,000 for the period, compared to HKD 124,708,000 for the previous year[30] - The company’s total employee costs increased to HKD 140,126,000 from HKD 124,708,000, an increase of 12.3% year-over-year[48] Research and Development - Research and development expenses increased by 77.4% to HKD 15,414,000, indicating a focus on innovation[19] - Research and development expenses rose to HKD 15,414,000, an increase of 77.5% compared to HKD 8,687,000 in the prior year[36] Shareholder Information - As of June 30, 2025, the total number of ordinary shares held by directors and senior management in the company is 398,040,000, representing approximately 66.34% of the total issued share capital[74] - Ming Fung Investment Limited holds 396,000,000 shares, accounting for 66.00% of the total issued share capital[77] - The company’s major shareholders include Sheng Hung Holdings Limited, which owns 51,000,000 shares, representing 8.50% of the total issued share capital[77] - The legal and beneficial ownership of Ming Fung Group (Hong Kong) Limited is 60% by Mr. Yao, and 40% by Ms. Luo, with both entities holding significant stakes in Ming Fung Investment Limited[76] - Mr. Li, the managing director, holds approximately 8.82% of Sheng Hung Holdings Limited's total issued share capital[78] - Mr. Yao, the vice chairman, has a beneficial ownership of approximately 11.77% in Sheng Hung Holdings Limited[78] - Ms. Deng holds approximately 44.12% of Sheng Hung Holdings Limited's total issued share capital[79] - Mr. Chen has a beneficial ownership of approximately 35.29% in Sheng Hung Holdings Limited[80] - David Michael Webb and Karen Anne Webb collectively own 48,164,000 shares, with significant portions held through their companies[81] - The company is not aware of any other individuals or entities holding or deemed to hold interests in its shares as of June 30, 2025[81] Corporate Governance - The company has established a high level of corporate governance and has complied with all applicable provisions of the corporate governance code during the reporting period[70] - The board of directors includes a mix of executive and independent non-executive directors, with recent changes made to comply with updated listing rules regarding gender diversity[71] - The internal audit team plays a crucial role in assessing the effectiveness of the group's risk management and internal control systems, reporting quarterly to the audit committee[72] - The company has adopted the standard code for securities transactions by directors and confirmed compliance for the six months ended June 30, 2025[73] Financing Activities - The company raised and repaid bank loans totaling HKD 7,562,000 during the current interim period, compared to HKD 3,370,000 in the same period last year[62] - The company has a total bank loan balance of HKD 73,306,000 as of June 30, 2025, compared to HKD 67,783,000 as of December 31, 2024[62] - As of June 30, 2025, the outstanding loan amount under financing arrangements was zero, with available undrawn financing of HKD 2,000,000[86] Inventory and Receivables - As of June 30, 2025, the group recorded inventory balance of HKD 74,995,000, an increase of 16.7% compared to HKD 64,244,000 as of December 31, 2024[22] - Trade receivables amounted to HKD 113,081,000 as of June 30, 2025, down from HKD 166,055,000 as of December 31, 2024, with a turnover period of 77.9 days[23] - Trade payables were HKD 94,320,000 as of June 30, 2025, decreased from HKD 116,514,000 as of December 31, 2024, with a turnover period of 71.5 days[24] - The total amount of trade and other receivables was HKD 215,263,000 as of June 30, 2025, compared to HKD 231,926,000 as of December 31, 2024[57] - Trade receivables amounted to HKD 114,610,000 as of June 30, 2025, down from HKD 169,004,000 as of December 31, 2024, reflecting a decrease of approximately 32%[57] - Trade payables decreased to HKD 94,320,000 as of June 30, 2025, from HKD 116,514,000 as of December 31, 2024, indicating a reduction of about 19%[61] Capital Expenditures - The company invested HKD 43,426,000 in property, plant, and equipment during the current interim period, an increase from HKD 18,748,000 in the previous year[55] - The company has capital commitments for the acquisition of property, plant, and equipment amounting to HKD 49,437,000 as of June 30, 2025, up from HKD 46,935,000 as of December 31, 2024[65]
盈利时(06838) - 2025 - 中期财报