Financial Performance - Revenue for the six months ended September 30, 2025, was HKD 3,840,414, a decrease of 3.4% compared to HKD 3,977,617 for the same period in 2024[3] - Gross profit for the same period was HKD 893,886, representing a gross margin of 23.3%, down from 23.6% in 2024[3] - Profit attributable to owners of the company surged by 114.3% to HKD 144,875, compared to HKD 67,619 in the previous year[3] - Adjusted profit attributable to owners increased by 25.7% to HKD 244,935, up from HKD 194,810 in 2024[3] - Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by 12.9% to HKD 572,363, compared to HKD 507,071 in the prior year[3] - Basic and diluted earnings per share increased to HKD 11.8 from HKD 5.5 in the previous year[3] - The company declared an interim dividend of HKD 5.7 per share, up from HKD 2.5 in 2024[3] Assets and Liabilities - Total assets as of September 30, 2025, were HKD 8,479,184, a decrease from HKD 8,894,096 as of March 31, 2025[9] - As of September 30, 2025, total liabilities amounted to HKD 5,514,189, a decrease from HKD 5,730,181 as of March 31, 2025, representing a reduction of approximately 3.8%[10] - Non-current liabilities were reported at HKD 3,873,212, slightly up from HKD 3,803,586, indicating an increase of about 1.8%[10] - Current liabilities decreased to HKD 1,640,977 from HKD 1,926,595, reflecting a decline of approximately 14.8%[10] - The company’s total equity and liabilities stood at HKD 8,479,184, down from HKD 8,894,096, showing a decrease of around 4.7%[10] - The company’s borrowings decreased from HKD 663,198 to HKD 533,513, a reduction of approximately 19.6%[10] Revenue by Segment - The company operates in four segments: intimate apparel, sports products, consumer electronics accessories, and cups and other accessory products[18] - Revenue from the United States for the six months ended September 30, 2025, was HKD 1,531,392,000, down from HKD 1,739,774,000 in 2024, a decrease of approximately 12%[26] - Revenue from China for the same period was HKD 715,466,000, down from HKD 858,482,000 in 2024, representing a decline of about 16.6%[26] - The lingerie segment generated revenue of approximately HKD 2,099.2 million, accounting for 54.7% of total revenue, with a gross margin of 24.2%[52] - The sports products segment saw a revenue increase of 13.4% year-on-year, reaching approximately HKD 1,505.2 million, representing 39.2% of total revenue[53] - The consumer electronics accessories segment reported revenue of approximately HKD 112.1 million, accounting for 2.9% of total revenue[54] Costs and Expenses - Research and development costs for the six months ended September 30, 2024, were HKD 154,092,000, compared to HKD 143,250,000 in 2023, showing an increase of about 7.5%[23] - The company incurred financial costs of HKD 173,568,000 for the six months ended September 30, 2024, up from HKD 120,901,000 in 2023, an increase of approximately 43.6%[23] - The group incurred restructuring costs of approximately HKD 100,060,000 for the six months ended September 30, 2025, compared to HKD 127,191,000 in 2024[6] - Selling costs decreased from approximately HKD 3,039.6 million in the first half of FY2025 to approximately HKD 2,946.5 million in the first half of FY2026, maintaining a stable percentage of 76.7% of total revenue[66][65] - General and administrative expenses decreased from approximately HKD 324.3 million in the first half of FY2025 to approximately HKD 304.0 million in the first half of FY2026, with a percentage of total revenue dropping from 8.2% to 7.9%[71] - R&D costs decreased from approximately HKD 154.1 million in the first half of FY2025 to approximately HKD 143.3 million in the first half of FY2026, maintaining a stable percentage of 3.9% and 3.7% of total revenue respectively[72] Corporate Governance - The board emphasizes adherence to corporate governance principles, establishing five committees to ensure effective management and transparency[100] - The company has adhered to all corporate governance principles as of September 30, 2025, ensuring compliance with the listing rules[101] - The board consists of five executive directors and three independent non-executive directors, maintaining a high level of independence[102] - The audit committee, composed of three independent non-executive directors, is responsible for overseeing financial and accounting policies[104] - The independent auditor has reviewed the interim financial results in accordance with the relevant standards[105] Future Outlook and Strategy - The company anticipates market uncertainties due to tariff policies affecting consumer purchasing power, with impacts expected to gradually emerge by the end of 2025[91] - The company has implemented a dual-track strategy focusing on production optimization and technological innovation, enhancing production efficiency through standardization and automation[92] - The company aims to expand its Bonding functional apparel business from the premium market to the affordable-premium market, leveraging insights into brand needs and emphasizing commercial outcomes[93] - Cost reduction measures have shown initial success, with the Vietnam facility performing well in cost control and efficiency improvements, while the Chinese facility continues optimization efforts[94] - The company is committed to achieving net-zero emissions by 2050, with short-term and long-term greenhouse gas reduction targets officially recognized by the Science Based Targets initiative (SBTi)[95]
维珍妮(02199) - 2026 - 中期业绩