安宁控股(00128) - 2025 - 中期财报

CEO's Report Overview The Group achieved a turnaround to profit for the six months ended June 30, 2025, recording a profit attributable to company owners of HK$9.7 million, primarily due to business streamlining, cost control, and improved investment portfolio performance - The Group achieved a turnaround to profit, recording a profit attributable to company owners of HK$9.7 million, a significant improvement from a loss of HK$14.2 million in the same period last year[3] - The turnaround was primarily driven by business streamlining, proactive cost control, and improved investment portfolio performance[3] - The Hong Kong retail market faced challenges, with retail sales declining by 5.5% year-on-year, and significant resistance in high-end luxury retail[3] - The Siu Wan fashion retail business continued to implement loss reduction measures and actively lowered fixed operating costs, with operating results nearing break-even[3] - The investment portfolio made a positive contribution to financial performance, with private equity fund investments recording significant fair value gains, partially offset by a HK$2.1 million decline in investment property valuations[4] - The gazettal process for road improvement works at Villa Esplanada is progressing and is expected to take over 18 months[4] Financial Review The Group's continuing operations recorded a profit of HK$11,866 thousand for the six months ended June 30, 2025, a significant improvement from a loss of HK$6,585 thousand in the prior period Key Financial Data for Continuing Operations | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 17,680 | 43,620 | (59%) | | Retail Fashion and Accessories Revenue | 7,817 | 34,840 | (78%) | | Dividend Income | 3,633 | 5,062 | (28%) | | Interest Income | 6,230 | 3,718 | 68% | | Operating Profit/(Loss) | 11,866 | (6,585) | 280% | | Net Fair Value Loss on Investment Properties | (2,100) | (1,100) | (91%) | | Finance Costs | (61) | (419) | 85% | | Profit/(Loss) for the Period | 9,705 | (8,104) | 220% | | Earnings/(Loss) Per Share | 0.59 HK cents | (0.86) HK cents | - | Siu Wan Business Performance | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Sales Revenue | 7,817 | 34,840 | (78%) | | Gross Profit | - | 17,554 | (58%) (Decrease of HK$10,173 thousand) | | Operating Loss | (830) | (3,781) | 78% (Decrease) | | Gross Profit Margin | 94% | 50% | 44% (Increase) | Investment Portfolio Performance | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Net Realized and Unrealized Gains (before general & administrative expenses and bank interest income) | 18,372 | 8,103 | 127% | | Dividend and Interest Income | 5,058 | 6,050 | (16%) | | Net Loss on Disposal | 1,088 | (164) | - | | Net Unrealized Fair Value Gains | 14,402 | 1,889 | 662% | | Discretionary Investment Portfolio Return | 4,340 | 12,328 | (65%) | | Private Equity Fund Net Unrealized Fair Value Gains | 4,576 | (12,889) | Turnaround to profit | | Investment Segment Profit/(Loss) | 13,345 | (857) | 1657% (Turnaround to profit) | - Overall gross profit margin increased to 97% (2024: 60%), primarily due to reduced sales revenue from the fashion retail business and reversal of inventory provisions from prior years[12] - Villa Esplanada's fair value was assessed at HK$330 million (December 31, 2024: HK$340 million), with the decrease primarily attributed to the overall decline in the market value of residential properties in Hong Kong[13] - Finance costs decreased by 85%, mainly due to the closure of the Siu Wan flagship store in Central upon lease expiry, resulting in zero bank loan interest[13] - Sales and distribution expenses decreased by 69%, and administrative expenses decreased by 25%, primarily due to the flagship store closure, staff streamlining, and lower new office rent[14] Business Review This section details the performance of Siu Wan's fashion retail and investment businesses, with Siu Wan's revenue significantly declining but operating losses narrowing to near break-even, while the investment portfolio's total book value grew, recording significant net gains - Siu Wan's total revenue for the first half was approximately HK$7.8 million, a 78% decrease from the same period last year, mainly due to the closure of its Central flagship store in August 2024[15] - Through creative sales strategies and streamlined operations, Siu Wan significantly narrowed its operating loss by 78% to HK$0.8 million, nearing break-even[15] - The Group's total book value of financial instrument investments was HK$406,265 thousand (December 31, 2024: HK$388,771 thousand), accounting for approximately 38.7% of total assets[17] - For the six months ended June 30, 2025, the Group's investments in financial instruments recorded a net gain of HK$18,372 thousand (2024: net gain of HK$8,103 thousand)[17] - The marketable fund investment portfolio recorded a net gain of HK$8,682 thousand (or 3.2%), with strong performance from fixed income and enhanced yield funds[19][20][22] - Discretionary investment portfolios (MS and LGT portfolios) recorded a combined net gain of HK$4,340 thousand, despite a reduction in returns due to the shrinking size of the MS portfolio[23][24][39] - Private equity fund investments recorded a net gain of HK$4,648 thousand (2024: net loss of HK$12,752 thousand), achieving a significant turnaround, primarily influenced by the recovery in share prices of listed healthcare companies in mainland China[26][27][28] - The Group has decided to reduce its investments in individual listed stocks and significantly increase the proportion of investments in unit stock and bond fund portfolios primarily managed by professional and large-scale asset managers[29] Other Group Assets The Group's other investment assets include Villa Esplanada and investment properties, with the land exchange application process for Villa Esplanada continuing to advance, currently undergoing road gazettal procedures expected to take over 18 months - The Group's other investment assets include Villa Esplanada and investment properties[43] - The land exchange application process for Villa Esplanada continues to progress, with road gazettal procedures underway for road improvement works on Villa Esplanada Road and adjacent areas[43] Significant Investment Acquisitions and Disposals For the six months ended June 30, 2025, the Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures - For the six months ended June 30, 2025, the Group had no significant acquisitions or disposals of subsidiaries, associates, or joint ventures[44] Financial Management / Policies The Group's finance department actively manages cash balances and borrowing needs to ensure sufficient funds and meet commitments, adopting a prudent strategy for cash and foreign exchange risk management by investing cash in short-term deposits and using forward foreign exchange contracts - The finance department actively budgets and manages the Group's cash balances and borrowing needs to ensure sufficient funds for fulfilling commitments and daily operations[45] - The Group continues to adopt a prudent strategy for cash management and foreign exchange risk, investing cash in short-term deposits[45] - The Group typically purchases foreign currency forward contracts and foreign currency cash equivalent to approximately half of its fashion business's expected quarterly purchase amount to mitigate foreign exchange risk[45] Liquidity and Financial Position As of June 30, 2025, the Group maintained a sound financial position with increased cash and unpledged deposits and reduced lease liabilities, while debt-to-asset ratio and current ratio remained healthy, indicating good financial management and liquidity - As of June 30, 2025, the Group's cash and unpledged deposits amounted to HK$247,492 thousand (December 31, 2024: HK$236,464 thousand)[47] - Total lease liabilities were HK$1,718 thousand (December 31, 2024: HK$3,158 thousand), of which HK$1,575 thousand is due for repayment within one year[47] - The Group's debt-to-asset ratio was 0.2% (December 31, 2024: 0.3%), and the current ratio was 22.6 times (December 31, 2024: 46.3 times)[47] - The Group's fixed deposits of HK$10 million were pledged to banks as collateral for trade and foreign exchange financing up to a maximum of HK$30 million[49] Material Events After the Reporting Period No material events significantly impacting the Group's financial position or future prospects have occurred since the end of the reporting period - No material events significantly impacting the Group's financial position or future prospects have occurred since the end of the reporting period[50] Contingent Liabilities As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities[51] Employees and Remuneration Policy As of June 30, 2025, the Group had 27 employees, a significant reduction from the prior year, with total staff costs from continuing operations approximately HK$11,742 thousand, and employee remuneration determined based on duties, responsibilities, and performance, with various benefits and a comprehensive code of conduct provided - As of June 30, 2025, the Group had 27 employees, compared to 63 employees as of June 30, 2024[52] - For the six months ended June 30, 2025, total staff costs from continuing operations were approximately HK$11,742 thousand (2024: HK$16,102 thousand)[52] - Employee remuneration is determined with reference to individual duties, responsibilities, and performance, and includes staff insurance, provident fund, pension, sales commissions, discretionary performance bonuses, and internal/external training support[52] Independent Review Report Independent Review Report RSM Hong Kong has reviewed Enm Holdings Limited's interim financial information for the six months ended June 30, 2025, in accordance with Hong Kong Standard on Review Engagements 2410, with the scope of review being less than an audit, thus no audit opinion is expressed, and no matters were found to suggest the interim financial information was not prepared in accordance with Hong Kong Accounting Standard 34 - RSM Hong Kong has completed the review of the interim financial information presented on pages 18 to 40[55] - The review was conducted in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants, with a scope significantly less than an audit, thus no audit opinion is expressed[56] - Based on the review, nothing has come to attention that causes a belief that the interim financial information is not prepared, in all material respects, in accordance with Hong Kong Accounting Standard 34[57] Condensed Consolidated Statement of Profit or Loss Condensed Consolidated Statement of Profit or Loss The Group recorded a profit from continuing operations of HK$9,705 thousand for the six months ended June 30, 2025, a significant improvement from a loss of HK$8,104 thousand in the prior period, with zero loss from discontinued operations, and a profit attributable to company owners of HK$9,705 thousand, achieving a turnaround to profit with basic earnings per share of 0.59 HK cents Key Data from Condensed Consolidated Statement of Profit or Loss | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue from Continuing Operations | 17,680 | 43,620 | (59%) | | Gross Profit from Continuing Operations | 17,209 | 26,299 | (35%) | | Operating Profit/(Loss) from Continuing Operations | 11,866 | (6,585) | 280% | | Profit/(Loss) for the Period from Continuing Operations | 9,705 | (8,104) | 220% | | Loss for the Period from Discontinued Operations | — | (6,089) | 100% (Decrease) | | Profit/(Loss) for the Period | 9,705 | (14,193) | 168% (Turnaround to profit) | | Profit/(Loss) for the Period Attributable to Company Owners | 9,705 | (14,198) | 168% (Turnaround to profit) | | Basic Earnings/(Loss) Per Share (Continuing and Discontinued) | 0.59 HK cents | (0.86) HK cents | Turnaround to profit | | Basic Earnings/(Loss) Per Share (Continuing Operations) | 0.59 HK cents | (0.49) HK cents | Turnaround to profit | Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income The Group recorded a profit for the period of HK$9,705 thousand for the six months ended June 30, 2025, but due to a fair value loss on revaluation of Villa Esplanada of HK$10,721 thousand and reclassification of exchange differences on dissolution of a subsidiary to profit or loss of HK$1,187 thousand, the total comprehensive loss for the period was HK$2,203 thousand, a significant reduction from the prior period Key Data from Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Profit/(Loss) for the Period | 9,705 | (14,193) | 168% | | Fair Value Loss on Revaluation of Villa Esplanada | (10,721) | (23,361) | 54% (Decrease) | | Exchange Differences on Dissolution of a Subsidiary Reclassified to Profit or Loss | (1,187) | — | - | | Other Comprehensive Loss for the Period, Net of Tax | (11,908) | (23,393) | 49% (Decrease) | | Total Comprehensive Loss for the Period | (2,203) | (37,586) | 94% (Decrease) | Condensed Consolidated Statement of Financial Position Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets were HK$1,050,209 thousand, a slight increase from December 31, 2024, with non-current assets slightly decreasing while current assets increased, driven by growth in financial assets at fair value through profit or loss (current), and total current liabilities significantly rose due to a substantial increase in trade and other payables, while net assets remained at HK$1,022,544 thousand Key Data from Condensed Consolidated Statement of Financial Position | Indicator | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Total Non-current Assets | 429,308 | 437,622 | (1.9%) | | Total Current Assets | 620,901 | 600,177 | 3.45% | | Total Current Liabilities | 27,522 | 12,975 | 112% | | Net Current Assets | 593,379 | 587,202 | 1.05% | | Net Assets | 1,022,544 | 1,023,989 | (0.14%) | | Equity Attributable to Company Owners | 1,022,544 | 1,024,747 | (0.22%) | - Financial assets at fair value through profit or loss (non-current) increased to HK$48,724 thousand (December 31, 2024: HK$43,410 thousand)[64] - Financial assets at fair value through profit or loss (current) increased to HK$357,541 thousand (December 31, 2024: HK$345,361 thousand)[64] - Trade and other payables significantly increased to HK$25,947 thousand (December 31, 2024: HK$10,652 thousand)[64] Condensed Consolidated Statement of Changes in Equity Condensed Consolidated Statement of Changes in Equity As of June 30, 2025, total equity attributable to company owners was HK$1,022,544 thousand, a slight decrease from the beginning of the year, with a total comprehensive loss for the period of HK$2,203 thousand, primarily due to the combined impact of a HK$10,721 thousand reduction in property revaluation reserve and a HK$9,705 thousand improvement in accumulated losses, and dissolution of a subsidiary resulted in a HK$758 thousand change in non-controlling interests Key Data from Condensed Consolidated Statement of Changes in Equity | Item | June 30, 2025 (HK$ thousand) | January 1, 2025 (HK$ thousand) | Change (HK$ thousand) | | :--- | :--- | :--- | :--- | | Issued Share Capital | 1,206,706 | 1,206,706 | 0 | | Exchange Fluctuation Reserve | — | 1,187 | (1,187) | | Property Revaluation Reserve | 231,290 | 242,011 | (10,721) | | Accumulated Losses | (1,224,274) | (1,233,979) | 9,705 | | Total Equity Attributable to Company Owners | 1,022,544 | 1,024,747 | (2,203) | | Total Equity | 1,022,544 | 1,023,989 | (1,445) | - Total comprehensive loss for the period was HK$2,203 thousand[65] - Dissolution of a subsidiary resulted in a change in non-controlling interests of HK$758 thousand[65] Condensed Consolidated Statement of Cash Flows Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, the Group's net cash from operating activities was HK$14,409 thousand, net cash from investing activities was HK$3,441 thousand, and net cash outflow from financing activities was HK$1,571 thousand, with cash and cash equivalents at period-end increasing to HK$178,606 thousand, primarily benefiting from a shift from cash outflow to inflow in investing activities and a significant reduction in financing cash outflow Key Data from Condensed Consolidated Statement of Cash Flows | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (HK$ thousand) | | :--- | :--- | :--- | :--- | | Net Cash from Operating Activities | 14,409 | 20,087 | (5,678) | | Net Cash from Investing Activities | 3,441 | (5,954) | 9,395 | | Net Cash from Financing Activities | (1,571) | (9,207) | 7,636 | | Net Increase in Cash and Cash Equivalents | 16,279 | 4,926 | 11,353 | | Cash and Cash Equivalents at June 30 | 178,606 | 93,613 | 84,993 | - Net cash from investing activities shifted from an outflow to an inflow compared to last year, mainly due to zero interest-bearing loans and borrowings, which were HK$10,654 thousand last year[66] - Net cash outflow from financing activities significantly decreased, primarily due to a reduction in the principal portion of lease payments[66] Notes to the Condensed Consolidated Financial Statements 1. Basis of Preparation These condensed consolidated financial statements are prepared in accordance with Hong Kong Accounting Standard 34 and the Listing Rules, and should be read in conjunction with the 2024 annual consolidated financial statements, with the accounting policies and methods of computation adopted being consistent with those used in the 2024 annual consolidated financial statements - These condensed consolidated financial statements have been prepared in accordance with Hong Kong Accounting Standard 34 'Interim Financial Reporting' issued by the Hong Kong Institute of Certified Public Accountants and the applicable disclosure requirements of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[67] - These condensed consolidated financial statements should be read in conjunction with the annual consolidated financial statements for 2024[68] - The accounting policies and methods of computation adopted in the preparation of these condensed consolidated financial statements are consistent with those adopted in the annual consolidated financial statements for the year ended December 31, 2024[68] 2. New and Revised Hong Kong Financial Reporting Standards The Group applied amendments to HKAS 21 'The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability' during the period, concluding no material impact on its results, financial position, or accounting policies, and has not early adopted any new or revised accounting standards that are not yet effective - The Group has applied the amendments to HKAS 21 'The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability' in the current accounting period and considers that there is no significant impact on the Group's results and financial position or any significant changes to the Group's accounting policies[69] - The Group has not early adopted any new or revised accounting standards that are not yet effective in preparing these condensed consolidated interim financial statements[70] 3. Fair Value Measurement The Group's financial assets and liabilities have carrying amounts approximating their fair values, with fair value measurements categorized into three levels, and as of June 30, 2025, total recurring fair value measurements amounted to HK$784,365 thousand, with the reconciliation of Level 3 fair value assets showing a fair value loss of HK$10,721 thousand for Villa Esplanada and a fair value gain of HK$4,576 thousand for unlisted fund investments, while valuation methods and inputs remain unchanged - Fair value measurements are categorized into three levels: Level 1 (quoted prices in active markets), Level 2 (observable inputs), and Level 3 (unobservable inputs)[71][72][73] Total Recurring Fair Value Measurements | Indicator | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | Financial Assets at Fair Value Through Profit or Loss | 406,265 | 388,771 | | Investment Properties | 48,100 | 50,200 | | Property, Plant and Equipment (Villa Esplanada) | 330,000 | 340,000 | | Total | 784,365 | 778,971 | Reconciliation of Assets Measured at Level 3 Fair Value | Item | Villa Esplanada (HK$ thousand) | Unlisted Fund Investments (HK$ thousand) | Total (HK$ thousand) | | :--- | :--- | :--- | :--- | | As at January 1, 2025 | 340,000 | 43,410 | 383,410 | | Additions | 721 | 944 | 1,665 | | Amounts received for capital returned from unlisted fund investments | — | (206) | (206) | | Total fair value gains or losses recognized in other comprehensive income | (10,721) | — | (10,721) | | Total fair value gains or losses recognized in profit or loss* | — | 4,576 | 4,576 | | As at June 30, 2025 | 330,000 | 48,724 | 378,724 | - Level 2 fair value measurements use transaction quotes provided by fund management companies/financial institutions, while Level 3 fair value measurements use net asset values provided by fund managers/administrators[78] 4. Segment Information The Group has two continuing operating segments: retail fashion and accessories, and investments, with the property of the discontinued resort and club business (Villa Esplanada) now included in the investment segment, which saw a significant revenue decline but narrowed its loss, while the investment segment achieved substantial profit, with its assets including the fair value of Villa Esplanada - The Group's two reportable segments from continuing operations are: retail fashion and accessories, and investments[81] - The resort and club business has been discontinued, and the operating results of its property (Villa Esplanada) are now included in the 'Investment' segment[81] Reportable Segment Data for Continuing Operations | Indicator | Retail Fashion and Accessories (HK$ thousand) | Investment (HK$ thousand) | Total (HK$ thousand) | | :--- | :--- | :--- | :--- | | For the six months ended June 30, 2025 | | | | | Revenue from External Customers | 7,817 | 9,863 | 17,680 | | Segment Profit/(Loss) | (830) | 13,345 | 12,515 | | As at June 30, 2025 | | | | | Segment Assets | 11,774 | 1,038,435 | 1,050,209 | | Segment Liabilities | (3,908) | (23,757) | (27,665) | | For the six months ended June 30, 2024 | | | | | Revenue from External Customers | 34,840 | 8,780 | 43,620 | | Segment Loss | (3,781) | (857) | (4,638) | - Segment assets under the investment segment include properties previously used for the discontinued resort and club business, with a fair value of HK$330 million as of June 30, 2025[84] - The total profit/(loss) for reportable segments was HK$12,515 thousand, and after deducting unallocated corporate administrative expenses, net fair value loss on investment properties, and finance costs, the consolidated profit before tax from continuing operations was HK$9,705 thousand[85] 5. Revenue The Group's total revenue from continuing operations was HK$17,680 thousand, a 59% decrease from the prior period, primarily stemming from retail fashion and accessories sales (down 78%) and investment activities (dividend income down 28%, interest income up 68%) Revenue Classification from Continuing Operations | Revenue Source | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Retail Fashion and Accessories Sales | 7,817 | 34,840 | (78%) | | Dividend Income from Investments | 3,633 | 5,062 | (28%) | | Interest Income from Investments | 6,230 | 3,718 | 68% | | Total Revenue | 17,680 | 43,620 | (59%) | 6. Finance Costs The Group's finance costs from continuing operations totaled HK$61 thousand, a significant 85% reduction from the prior period, primarily comprising interest expenses on lease liabilities, with zero bank loan interest Finance Costs | Item | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Interest on Bank Loans | — | 137 | (100%) | | Interest Expense on Lease Liabilities | 61 | 282 | (78%) | | Total | 61 | 419 | (85%) | 7. Income Tax Expense The Group was not required to make provisions for Hong Kong profits tax and overseas income tax for both six-month periods ended June 30, 2025, and 2024, as no taxable profits were generated or sufficient tax losses were available for offset - No provision for Hong Kong profits tax and overseas income tax has been made for both six-month periods ended June 30, 2025, and 2024, as the Group did not generate any assessable profits in Hong Kong and other countries of its operations, or had sufficient tax losses brought forward to offset assessable profits generated during the periods[88] 8. Profit/(Loss) for the Period from Continuing Operations The Group's profit for the period from continuing operations was positively impacted by net gains from financial assets at fair value through profit or loss (HK$13,314 thousand) and reversal of inventory provisions (HK$5,191 thousand), while being offset by fair value losses on investment properties (HK$2,100 thousand) and depreciation expenses Components of Profit/(Loss) for the Period from Continuing Operations | Item | 2025 (HK$ thousand) | 2024 (HK$ thousand) | | :--- | :--- | :--- | | Cost of Sales of Inventories | 471 | 17,321 | | Depreciation of Right-of-Use Assets | 1,400 | 6,527 | | Depreciation of Property, Plant and Equipment | 207 | 283 | | Net Gains from Financial Assets at Fair Value Through Profit or Loss | (13,314) | (2,053) | | Net Fair Value Loss on Investment Properties | 2,100 | 1,100 | | Gains on Dissolution of a Subsidiary | (429) | — | | Net Foreign Exchange Gains | (463) | (70) | - Cost of sales of inventories included a reversal of inventory provisions of HK$5,191 thousand (June 30, 2024: HK$497 thousand)[91] 9. Discontinued Operations The Villa Esplanada Country Club business ceased operations on June 16, 2024, resulting in no related revenue or loss from discontinued operations for the six months ended June 30, 2025, compared to a loss of HK$6,089 thousand and net cash outflow of HK$10,849 thousand in the prior period - The Villa Esplanada Country Club business ceased operations from June 16, 2024, and is therefore classified as a discontinued operation[92] Loss and Cash Flows from Discontinued Operations for the Period | Indicator | 2025 (HK$ thousand) | 2024 (HK$ thousand) | | :--- | :--- | :--- | | Revenue - Customer Contracts | — | 5,304 | | Cost of Sales | — | (1,128) | | Sales and Administrative Expenses | — | (10,472) | | Loss Before Tax from Discontinued Operations | — | (6,089) | | Net Cash Outflow from Operating Activities | — | (10,846) | | Net Cash Outflow from Investing Activities | — | (3) | | Net Cash Outflow | — | (10,849) | 10. Earnings/(Loss) Per Share The Group's basic earnings per share for the six months ended June 30, 2025, was 0.59 HK cents (continuing and discontinued operations), a significant improvement from a loss of 0.86 HK cents in the prior period, with basic earnings per share from continuing operations also 0.59 HK cents, and diluted earnings/(loss) per share not presented as the Company had no potentially dilutive ordinary shares Basic Earnings/(Loss) Per Share | Item | 2025 (HK cents) | 2024 (HK cents) | | :--- | :--- | :--- | | Continuing and Discontinued Operations | 0.59 | (0.86) | | Continuing Operations | 0.59 | (0.49) | | Discontinued Operations | — | (0.37) | - Basic earnings/(loss) per share is calculated based on the profit/(loss) for the period attributable to company owners and the weighted average number of 1,650,658,676 ordinary shares in issue during the period[95] - Diluted earnings/(loss) per share is not presented as the Company had no potentially dilutive ordinary shares for both six-month periods ended June 30, 2025, and 2024[98] 11. Dividends The Board does not recommend the payment of any interim dividend to shareholders for both six-month periods ended June 30, 2025, and 2024 - The Directors do not recommend the payment of any interim dividend to shareholders for both six-month periods ended June 30, 2025, and 2024[99] 12. Property, Plant and Equipment For the six months ended June 30, 2025, the Group's additions to property, plant and equipment were approximately HK$730 thousand, a significant decrease from the prior period - For the six months ended June 30, 2025, the Group's additions to property, plant and equipment were approximately HK$730 thousand (June 30, 2024: HK$3,376 thousand)[100] 13. Financial Assets at Fair Value Through Profit or Loss As of June 30, 2025, the Group's total financial assets amounted to HK$406,265 thousand, primarily comprising fund investments and debt investments, with unlisted fund investments including Asia China Investment Fund III and IV, whose fair values are accounted for based on net asset values provided by fund managers, and debt investments consisting mainly of listed and unlisted corporate bonds, with fair values determined by market quotations Total Financial Assets at Fair Value Through Profit or Loss | Type | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | Fund Investments | 335,796 | 345,897 | | Debt Investments | 70,469 | 42,874 | | Total | 406,265 | 388,771 | - Unlisted fund investments include Asia China Investment Fund III (ACIF III), with a carrying amount of HK$19,845 thousand and uncalled capital commitments of approximately HK$374 thousand[104] - Unlisted fund investments include Asia China Investment Fund IV (ACIF IV), with a carrying amount of HK$28,879 thousand and uncalled capital commitments of approximately HK$128 thousand[105] - Debt investments had a fair value of HK$70,469 thousand, with maturity dates ranging from January 9, 2026, to February 8, 2054, and fixed/floating coupon rates from 2.2% to 6.45%[106] 14. Trade and Other Receivables As of June 30, 2025, the Group's trade receivables significantly decreased to HK$3 thousand, and rent and other deposits also declined, with the Group maintaining established credit policies and regularly reviewing overdue accounts - The Group's trade receivables amounted to HK$3 thousand (December 31, 2024: HK$231 thousand)[108] - Rent and other deposits amounted to HK$1,726 thousand (December 31, 2024: HK$2,618 thousand)[108] - An aging analysis of trade receivables (by invoice date) shows HK$3 thousand due within one month[109] 15. Trade and Other Payables As of June 30, 2025, the Group's trade payables were HK$40 thousand, and contract liabilities were HK$75 thousand, with other payables related to investments significantly increasing to HK$16,088 thousand - The Group's trade payables amounted to HK$40 thousand (December 31, 2024: HK$53 thousand)[110] - Contract liabilities amounted to HK$75 thousand (December 31, 2024: HK$76 thousand)[110] - Other payables related to investments amounted to HK$16,088 thousand (December 31, 2024: zero)[110] 16. Issued Share Capital As of June 30, 2025, the Company's issued and fully paid ordinary shares totaled 1,650,658,676 shares, consistent with December 31, 2024 - Issued and fully paid ordinary shares totaled 1,650,658,676 shares[112] 17. Related Party Transactions The Group engaged in transactions with related companies controlled by its major shareholders, including office leases, property management fees, air conditioning fees, and consultancy fees, with office lease-related fees paid to related companies totaling HK$889 thousand and Villa Esplanada consultancy fees totaling HK$95 thousand for the six months ended June 30, 2025, and total remuneration for key management personnel (including directors) amounting to HK$3,540 thousand Significant Related Party Transactions | Item | 2025 (HK$ thousand) | 2024 (HK$ thousand) | | :--- | :--- | :--- | | Lease expenses, property management fees, and air conditioning fees for office lease liabilities paid to related companies | 889 | 1,696 | | Consultancy fees for Villa Esplanada | 95 | 353 | - Total remuneration for key management personnel (including directors) was HK$3,540 thousand (2024: HK$3,813 thousand)[114] 18. Capital Commitments As of the reporting period end, the Group's contracted but unprovided capital commitments primarily related to capital contributions for unlisted fund investments, amounting to HK$502 thousand, a decrease from HK$1,446 thousand as of December 31, 2024 - The Group's contracted but unprovided capital commitments at the end of the reporting period amounted to HK$502 thousand (December 31, 2024: HK$1,446 thousand), primarily for capital contributions to unlisted fund investments[116] 19. Approval of Financial Statements The Board approved and authorized the publication of the interim financial statements on August 26, 2025 - The Board approved and authorized the publication of the interim financial statements on August 26, 2025[117] Other Information Standard Code for Securities Transactions by Directors The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules, and based on specific enquiries, all Directors complied with the Model Code's requirements during the six months ended June 30, 2025 - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules[118] - All Directors have complied with the required standards of the Model Code throughout the six months ended June 30, 2025[118] Directors' and Chief Executive's Interests As of June 30, 2025, none of the Company's Directors or Chief Executive held any interests or short positions in the shares, underlying shares, or debentures of the Company or its associated corporations that are required to be notified to the Company and the Stock Exchange under Part XV of the Securities and Futures Ordinance - As of June 30, 2025, none of the Company's Directors or Chief Executive held any interests or short positions in the shares, underlying shares, or debentures of the Company or its associated corporations that are required to be notified to the Company and the Stock Exchange under Part XV of the Securities and Futures Ordinance[119] Major Shareholders' Interests As of June 30, 2025, Diamond Leaf Limited, Solution Bridge Limited, Chinachem Investments Holding Limited, Chinachem Group Holdings Limited, and Mr. Chong Yat Kit and Mr. Wong Tak Wai (as trustees) held significant long positions in the Company's shares, with these interests involving multi-layered control relationships, ultimately linked to the estate of the late Ms. Nina Wang Major Shareholders' Shareholdings | Name | Capacity | Number of Shares Held (shares) | Percentage of Issued Shares (%) | | :--- | :--- | :--- | :--- | | Diamond Leaf Limited | Beneficial Owner | 162,216,503 | 9.83% | | Solution Bridge Limited | Beneficial Owner | 408,757,642 | 24.76% | | Chinachem Investments Holding Limited | Interest of Controlled Corporation | 570,974,145 | 34.59% | | Chinachem Group Holdings Limited | Interest of Controlled Corporation | 570,974,145 | 34.59% | | Mr. Chong Yat Kit | Trustee | 730,974,145 | 44.28% | | Mr. Wong Tak Wai | Trustee | 730,974,145 | 44.28% | | Ms. Nina Wang (deceased) | Interest of Controlled Corporation | 570,974,145 | 34.59% | - Chinachem Investments Holding Limited controls Diamond Leaf Limited and Solution Bridge Limited[124] - Chinachem Group Holdings Limited controls Chinachem Investments Holding Limited[124] - Mr. Chong Yat Kit and Mr. Wong Tak Wai are each the joint and several executors/trustees of the estate of Nina Wang (also known as Mrs. Teddy Wang) and the estate of Teddy Wang[124] Purchase, Redemption or Sale of the Company's Listed Securities Neither the Company nor any of its subsidiaries purchased, redeemed, or sold any of the Company's listed securities during the six months ended June 30, 2025 - Neither the Company nor any of its subsidiaries purchased, redeemed, or sold any of the Company's listed securities during the six months ended June 30, 2025[122] Code on Corporate Governance Practices The Board believes that the Company has complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 of the Listing Rules throughout the six months ended June 30, 2025 - The Directors believe that the Company has complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 of the Listing Rules throughout the six months ended June 30, 2025[123] Changes in Directors' Information Changes in Directors' information have occurred since the date of the Company's 2024 Annual Report, including Mr. Cheung Kin Wing's resignation as a director of an NGO, and the re-election of Executive Director Ms. Penny Soh Peng CROSBIE-WALSH and Non-executive Director Mr. Wong Wang Hon as Company Directors at the 2025 Annual General Meeting - Effective April 15, 2025, Mr. Cheung Kin Wing resigned as a director of Self-Reliance Service Centre Limited[127] - Executive Director Ms. Penny Soh Peng CROSBIE-WALSH was re-elected as a Director of the Company[127] - Non-executive Director Mr. Wong Wang Hon was re-elected as a Director of the Company[127] Review of Condensed Consolidated Financial Statements The condensed consolidated financial statements for the six months ended June 30, 2025, are unaudited but have been reviewed by the Company's external auditor, RSM Hong Kong, in accordance with Hong Kong Standard on Review Engagements 2410, and by the Company's Audit Committee - The condensed consolidated financial statements for the six months ended June 30, 2025, are unaudited but have been reviewed by the Company's external auditor, RSM Hong Kong[125] - The unaudited condensed consolidated financial statements for the six months ended June 30, 2025, have been reviewed by the Company's Audit Committee[125] Company Information Company Information This section provides key company information for Enm Holdings Limited, including Board members (Executive, Non-executive, Independent Non-executive Directors), Company Secretary, Auditor, Share Registrar, Registered Office, Company Website, Stock Code, and contact details - Executive Director: Penny Soh Peng CROSBIE-WALSH (Chief Executive Officer)[128] - Non-executive Director: Wong Wang Hon (Non-executive Chairman)[128] - Independent Non-executive Directors: Mr. Cheung Kin Wing, Ms. Ling Kit Sum, and Mr. Tsang Hin Fan[128] - Auditor: RSM Hong Kong[128] - Company Website: www.enmholdings.com, Stock Code: The Stock Exchange of Hong Kong Limited: 00128[128]