Financial Performance - For the six months ended September 30, 2025, the group's revenue decreased by approximately HKD 28.4 million or 20.5% to about HKD 110.1 million, compared to HKD 138.5 million for the same period in 2024[10] - The gross profit slightly decreased by approximately HKD 0.1 million or 3.0% to about HKD 5.1 million, with a gross profit margin of 4.6%, up from 3.8% in the previous period, attributed to strict cost control measures[11] - The net loss for the six months ended September 30, 2025, was approximately HKD 3.7 million, a decrease of about HKD 6.8 million compared to a net loss of HKD 10.5 million in the same period of 2024[15] - The loss before tax for the six months ended September 30, 2025, was HKD 3.75 million, compared to a loss of HKD 10.47 million for the same period in 2024, indicating an improvement in performance[29] - For the six months ended September 30, 2025, the company reported a loss attributable to equity holders of HKD 3,746,000, compared to a loss of HKD 10,465,000 for the same period in 2024, representing a 64.1% improvement in losses year-over-year[52] Cost Management - Administrative and other operating expenses decreased by HKD 3.5 million or 27.0% to approximately HKD 9.4 million, compared to HKD 12.9 million in the same period last year[13] - Financial costs reduced by approximately HKD 0.7 million or 23.4% to about HKD 2.1 million, mainly due to a decrease in the average interest rate on borrowings[14] - The increase in gross profit margin is a result of the implementation of strict cost control measures in response to a challenging business environment[11] - Total employee costs for the six months ended September 30, 2025, were approximately HKD 8.9 million, down from HKD 12.2 million for the same period in 2024[25] - The company reported a significant decrease in subcontracting costs, which fell to HKD 62,127,000 in 2025 from HKD 96,166,000 in 2024, a reduction of 35.4%[48] Cash Flow and Liquidity - The total cash and cash equivalents amount to approximately HKD 44.3 million, an increase from HKD 43.1 million as of March 31, 2025, due to a net cash inflow of approximately HKD 1.2 million from operating and financing activities[16] - The net cash used in operating activities for the six months ended September 30, 2025, was HKD (1,332,000), an improvement compared to HKD (10,362,000) in the previous year[33] - The company’s financing activities generated a net cash inflow of HKD 2,513,000 for the six months ended September 30, 2025, compared to a net cash outflow of HKD (500,000) in the previous year[33] - Cash and cash equivalents increased to HKD 44,270,000 as of September 30, 2025, from HKD 38,665,000 at the end of the previous year[33] Economic Outlook - The group anticipates stable and moderate growth in the Hong Kong economy for the second half of 2025, with an expected GDP growth rate between 2% and 3% for the year[9] - The overall business environment remains uncertain due to geopolitical tensions, competitive pressures, and changing trade policies[8] Business Strategy and Opportunities - The group is actively exploring new business opportunities, particularly in the Web3.0 and new energy sectors, which are strongly supported by government policies[9] - The company has decades of experience in the renovation contracting industry, providing services for both new and existing buildings[8] Shareholder Information - As of September 30, 2025, the company's issued share capital is HKD 4.8 million, with 480,000,000 shares outstanding at HKD 0.01 per share[16] - The company did not declare or recommend any interim dividend for the six months ended September 30, 2025, consistent with the previous year[50] - The company has adopted a share option scheme allowing for a maximum of 48,000,000 shares to be granted, which constitutes 10% of the issued shares as of the report date[77] - No share options have been granted, exercised, canceled, or lapsed since the adoption of the share option scheme on December 6, 2018, and there are no unexercised options as of September 30, 2025[77] Corporate Governance - The company has adopted and complied with the Corporate Governance Code, with no applicable code provisions breached during the reporting period[90] - The audit committee, established on December 28, 2018, reviewed and approved the unaudited condensed consolidated interim financial statements for the six months ending September 30, 2025[93] - The company has maintained sufficient public float as required by listing rules as of September 30, 2025[88] Assets and Liabilities - The company's total non-current liabilities increased to HKD 67,903,000 as of September 30, 2025, compared to HKD 63,313,000 as of March 31, 2025[31] - The total equity of the company decreased to HKD 72,814,000 as of September 30, 2025, down from HKD 76,560,000 as of March 31, 2025[31] - Trade receivables as of September 30, 2025, amounted to HKD 15,328,000, a decrease from HKD 18,182,000 as of March 31, 2025, indicating a reduction of 15.3%[55] - Contract assets increased to HKD 117,066,000 as of September 30, 2025, compared to HKD 109,693,000 as of March 31, 2025, an increase of 6.6%[58] - Total borrowings amounted to HKD 53,897,000 as of September 30, 2025, up from HKD 50,897,000 as of March 31, 2025[66] Management and Personnel - The company recorded a total of HKD 287,000 in compensation for key management personnel for the six months ended September 30, 2025, a decrease from HKD 1,134,000 for the same period in 2024[72] - The company has a future lease liability of HKD 1,178,000 as of September 30, 2025, down from HKD 1,632,000 as of March 31, 2025[64]
中国数智科技(01796) - 2026 - 中期财报