Financial Performance - Revenue for the six months ended June 30, 2025, was HK$263,526,000, a decrease of 15.9% compared to HK$313,354,000 for the same period in 2024[4]. - Profit before tax dropped to HK$15,604,000, down 60.3% from HK$39,259,000 year-on-year[4]. - Profit attributable to owners of the parent decreased by 56.7% to HK$14,198,000 from HK$32,803,000[4]. - Basic and diluted earnings per share fell to HK5.9 cents, a decline of 56.9% from HK13.7 cents[4]. - The gross profit margin for the same period was approximately 23.1%, a decrease of approximately 6.5% from 24.7% in the previous year, primarily due to rising raw material and production costs[31]. - EBITDA for the six months ended June 30, 2025 was approximately HK$24.0 million, down from approximately HK$45.5 million for the same period last year[32]. - Profit for the period was HK$12,908,000, representing a 60.7% decrease compared to HK$32,803,000 for the same period in 2024[107]. - Total comprehensive income for the period was HK$22,164,000, down from HK$29,092,000 in the prior year[108]. Assets and Liabilities - Total assets increased by 11.6% to HK$1,254,654,000 as of June 30, 2025, compared to HK$1,123,769,000 at the end of 2024[5]. - Total liabilities rose by 32.0% to HK$499,544,000 from HK$378,540,000[5]. - Net debts (excluding cash and cash equivalents) improved by 16.2% to (HK$417,316,000) from (HK$497,932,000)[4]. - Shareholders' equity increased by 1.2% to HK$753,957,000 from HK$745,229,000[4]. - Total non-current assets increased to HK$434,866,000 as of June 30, 2025, up from HK$328,844,000 at December 31, 2024, representing a growth of 32.2%[109]. - Current assets rose to HK$819,788,000, compared to HK$794,925,000 at the end of 2024, reflecting an increase of 3.1%[109]. - Total current liabilities increased to HK$260,379,000, up from HK$208,283,000, marking a rise of 25%[109]. - Non-current liabilities surged to HK$239,165,000, compared to HK$170,257,000, indicating an increase of 40.5%[110]. Operational Highlights - The company is focused on producing quality PCBs that meet industrial standards and customer requirements[13]. - The Group focuses on manufacturing high-quality PCBs, primarily for applications in automobiles, communication equipment, medical devices, industrial automation, and consumer electronics[15][17]. - The revenue generated from the automotive electronics sector has increased significantly due to the growing business opportunities in recent years[15][17]. - The Group has established long-term relationships with major OEM customers, some of whom have been partners for over a decade, enhancing the Group's ability to respond to customer demand trends[16][18]. - The Group has obtained multiple quality certifications, including ISO9001, ISO14001, IATF16949, and AS9100, ensuring adherence to international quality standards[19][23]. Strategic Initiatives - The Group plans to establish a new production base outside Pingshan, Shenzhen, to maintain competitiveness amid rising labor costs and to support long-term development in China[25][27]. - The Group completed the acquisition of a controlling stake in Denshi Maruwa in Malaysia, enhancing its supply chain resilience and operational continuity amid global uncertainties[26]. - The strategic location of Malaysia in Southeast Asia is expected to provide logistical advantages, reducing lead times and transportation costs for customers in the ASEAN region[26]. - The Group's strategic initiatives include accelerating automation and optimizing costs to pave the way for future intelligent manufacturing development[22][24]. - The Group aims to diversify its manufacturing base while complementing existing operations in the PRC, positioning itself favorably in the global PCB market for long-term growth[26]. Employee and Operational Costs - Employee benefit expenses for the six months ended June 30, 2025, were approximately HK$49.3 million, compared to approximately HK$44.7 million for the same period in 2024[70]. - The Group had 870 employees as of June 30, 2025, an increase from 746 employees as of December 31, 2024[70]. - Total operating expenses increased by approximately 9.3% to approximately HK$54.3 million, primarily due to higher general and administrative expenses[32]. - General and administrative expenses rose by approximately HK$4.4 million, or 11.0%, to approximately HK$44.4 million, driven by increases in legal fees, R&D costs, and staff salaries[40]. Cash Flow and Investments - Cash flows from operating activities decreased to HK$21,778,000 from HK$41,826,000 in the previous year, indicating a decline of approximately 48%[114]. - The company incurred net cash flows used in investing activities of HK$107,098,000, significantly higher than HK$12,012,000 in the prior period[114]. - New bank borrowings increased to HK$130,589,000 compared to HK$27,519,000 in the previous year, reflecting a substantial rise of approximately 373%[114]. - The Group's investment property was valued at approximately HK$3.7 million as of June 30, 2025[92]. - The Group completed a property acquisition in Selangor, Malaysia, for a total consideration of approximately HK$76,562,500 on August 1, 2025[93]. Dividends and Shareholder Returns - No dividends were declared for the period[4]. - The final dividend declared for 2024 is HK$0.06 per ordinary share, compared to HK$0.10 per share for the final 2023 dividend, resulting in a total of HK$14,400,000 distributed[153]. - No interim dividend was recommended for the six months ended June 30, 2025, consistent with the previous year[64].
恩达集团控股(01480) - 2025 - 中期财报