Financial Performance - Revenue for the six months ended September 30, 2025, was HKD 11,972,000, a decrease of 2.4% compared to HKD 12,261,000 in the same period of 2024[4] - Other income and gains decreased significantly to HKD 716,000 from HKD 2,116,000, representing a decline of 66.2%[4] - The company reported a loss before tax of HKD 23,858,000, which is a 133.3% increase from the loss of HKD 10,198,000 in the prior year[4] - Basic and diluted loss per share was HKD 61.6, compared to HKD 27.3 in the same period last year, reflecting a significant increase in losses[4] - The company recorded a total comprehensive loss of HKD 15,290,000 for the period, compared to a loss of HKD 508,000 in the previous year[4] - The group recorded a loss of approximately HKD 24,620,000, an increase of about HKD 13,717,000 (or 125.8%) compared to the same period last year, primarily due to increased fair value losses on investment properties[58] Asset and Liability Management - Total assets decreased to HKD 776,940,000 from HKD 814,939,000, a decline of 4.7%[6] - The total assets of the group as of September 30, 2025, amounted to HKD 997,296,000, compared to HKD 1,014,580,000 as of March 31, 2025[19] - The company's equity decreased to HKD 987,667,000 from HKD 1,007,757,000, a reduction of 2.0%[6] - The total liabilities of the group as of September 30, 2025, were HKD 9,629,000, an increase from HKD 6,823,000 as of March 31, 2025[19] Investment Properties - Fair value loss on investment properties was HKD 46,800,000, compared to a loss of HKD 35,706,000 in the previous year, indicating a worsening of 31.5%[4] - The fair value of investment properties decreased to HKD 701,000,000 as of September 30, 2025, down from HKD 747,800,000 as of March 31, 2025, representing a decline of about 6.2%[27] - The group recorded a fair value loss of approximately HKD 46,800,000 for the period, compared to a loss of HKD 108,906,000 for the previous period, indicating an improvement in property valuation[28] Revenue Breakdown - For the six months ended September 30, 2025, the total revenue from securities investment was HKD 4,451,000, a decrease of 4.5% compared to HKD 4,664,000 in the same period of 2024[17] - The total revenue from property leasing was HKD 7,509,000, down 1.0% from HKD 7,585,000 in the previous year[17] - The total rental income for the six months ended September 30, 2025, was HKD 7,521,000, a slight decrease from HKD 7,597,000 in 2024[21] - Dividend income from securities decreased by approximately HKD 213,000 (or 4.6%) to about HKD 4,451,000 compared to the same period last year[64] Cash Flow and Operating Activities - Cash and cash equivalents increased slightly to HKD 133,621,000 from HKD 132,365,000, showing a marginal growth of 0.9%[6] - Net cash generated from operating activities was HKD 2,851,000, down from HKD 8,188,000, a decrease of 65.2%[8] - As of September 30, 2025, the group held cash reserves of approximately HKD 133,621,000, a slight increase from HKD 132,365,000 as of March 31, 2025[71] Management and Governance - The audit committee consists of three independent non-executive directors and one non-executive director, overseeing the financial reporting process[55] - The company has not engaged in any buybacks or redemptions of its issued share capital during the reporting period[52] - No directors or their associates were granted rights to subscribe for shares in the company[50] Market Conditions and Future Outlook - The management anticipates continued challenges in the Hong Kong business environment, particularly due to weak consumer confidence affecting retail and dining sectors[77] - The real estate market remains under pressure, with financial institutions maintaining a cautious lending approach towards property developers[77] - The group continues to closely monitor market conditions and will make appropriate adjustments as deemed necessary[64] - The group has paused the redevelopment project at Fuk Chuen Street, continuously assessing its cost-effectiveness and market changes[59] Dividends - The group plans to propose an interim dividend of HKD 0.02 per share, consistent with the previous year, amounting to HKD 800,000 for the six months ended September 30, 2025[38] - The company declared an interim dividend of HKD 0.02 per share, totaling HKD 800,000, consistent with the previous year[45] - The company will suspend shareholder registration from December 19, 2025, to December 23, 2025, to facilitate the distribution of the interim dividend[46]
永发置业(00287) - 2026 - 中期财报