Financial Performance - Revenue increased by 11% to HKD 4,339 million for the six months ended June 30, 2025[9]. - Profit attributable to owners rose by 174% to HKD 91 million, with earnings per share at HKD 32.89[9][22]. - The company reported a profit of HKD 124,167,000 for the six months ended June 30, 2025, compared to HKD 71,022,000 for the same period in 2024, representing a year-over-year increase of 75%[23]. - Total comprehensive income for the period amounted to HKD 244,341,000, a significant recovery from a loss of HKD 35,096,000 in the previous year[23]. - The net profit for the six months ended June 30, 2025, was HKD 91,410,000, a substantial rise from HKD 33,371,000 for the same period in 2024[46]. - The company reported a profit before tax of HKD 157,161,000 for the six months ended June 30, 2025, compared to HKD 89,096,000 for the same period in 2024, indicating a significant increase of approximately 76%[38]. - The total comprehensive income for the period was HKD 183,072,000, compared to a loss of HKD 48,544,000 in the previous year, indicating a turnaround in financial performance[28]. Revenue Sources - The distribution business remains a key growth driver, with segment revenue up 11% and profit up 20%[15]. - Revenue from customer contracts for the six months ended June 30, 2025, was HKD 4,268,003,000, compared to HKD 3,837,947,000 for the same period in 2024, reflecting an increase of about 11%[36]. - The company’s revenue from the distribution of IT products for the six months ended June 30, 2025, was HKD 3,026,652,000, compared to HKD 2,858,127,000 for the same period in 2024, marking an increase of approximately 6%[35]. - The company’s hotel operations generated rental income of HKD 81,739,000 for the six months ended June 30, 2025, compared to HKD 60,614,000 for the same period in 2024, reflecting an increase of about 35%[35]. Asset and Liability Management - Non-current assets increased to HKD 4,906,844,000 as of June 30, 2025, up from HKD 4,647,047,000 at the end of 2024, reflecting a growth of approximately 5.6%[25]. - Current assets rose to HKD 4,203,442,000, compared to HKD 3,883,068,000 in December 2024, indicating an increase of about 8.2%[25]. - Total liabilities increased to HKD 3,918,896,000 from HKD 3,079,044,000, representing a rise of approximately 27.3%[26]. - The company's net asset value improved to HKD 4,312,942,000 as of June 30, 2025, compared to HKD 4,176,197,000 at the end of 2024, reflecting a growth of about 3.3%[26]. - The company reported a significant increase in inventory, which rose to HKD 1,060,238,000 from HKD 787,179,000, representing a growth of approximately 34.6%[25]. - The company’s bank borrowings increased to HKD 2,472,602,000 from HKD 1,893,147,000, indicating a rise of about 30.6%[26]. - The debt-to-equity ratio as of June 30, 2025, was 71%, up from 68% as of December 31, 2024[75]. Cash Flow and Investments - Cash generated from operating activities for the six months ended June 30, 2025, was HKD 216,006,000, a decrease from HKD 250,710,000 in 2024, reflecting a decline of 14%[30]. - The company reported a net cash inflow from investing activities of HKD 4,079,000, down from HKD 46,628,000 in the previous year, indicating a decrease of 91%[30]. - The company incurred a loss of HKD 219,824,000 in foreign exchange reserves, which impacted the overall equity position negatively[28]. - The company’s financing activities resulted in a net cash outflow of HKD 156,340,000, an improvement from the outflow of HKD 180,479,000 in the previous year[30]. - The group recorded a fair value gain of HKD 75,523,000 for financial instruments measured at fair value through profit or loss for the six months ended June 30, 2025, compared to HKD 60,472,000 for the same period in 2024[79]. Market Conditions and Future Outlook - The company remains cautiously optimistic about future growth despite ongoing macroeconomic and geopolitical challenges[18]. - The Hong Kong property market remains sluggish, with a decline in commercial property value of HKD 90,753,000[16]. - The company plans to continue leveraging opportunities in artificial intelligence and digital transformation[15]. Shareholder Information - The total equity attributable to the company's owners as of June 30, 2025, was HKD 3,675,967,000, compared to HKD 3,361,182,000 at the end of June 2024, showing an increase of 9.4%[28]. - The confirmed dividend for the year ended December 31, 2024, is 0.02 HKD per share, totaling 5,559,000 HKD, with no interim dividend recommended for the six months ended June 30, 2025[49]. - Major shareholders include Lim Lik Xian and Lim Lik Shi, holding 185,573,108 shares, which is 66.76% of the issued share capital[98]. - As of June 30, 2025, the directors and their associates held a total of 184,827,200 shares, representing 66.49% of the issued share capital of the company[84]. Corporate Governance - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange listing rules throughout the period ending June 30, 2025[100]. - The audit committee, composed entirely of independent non-executive directors, reviewed the interim report for the six months ending June 30, 2025[102]. - There were no purchases, sales, or redemptions of the company's listed securities during the six months ending June 30, 2025[103].
SIS INT'L(00529) - 2025 - 中期业绩