Financial Performance - For the six months ended June 30, 2022, the company recorded a revenue of HKD 72,609,000, an increase of approximately 43.7% compared to HKD 50,516,000 for the same period in 2021[6]. - The unaudited consolidated profit attributable to owners for the same period was approximately HKD 11,464,000, up from HKD 11,039,000 in the previous year, reflecting a growth of about 3.9%[5]. - Operating profit for the six months ended June 30, 2022, was HKD 19,754,000, a decrease of 5.4% from HKD 20,887,000 in the previous year[58]. - Net profit for the period was HKD 11,464,000, representing an increase of 3.9% from HKD 11,039,000 in the same period last year[58]. - The company reported a total comprehensive loss of HKD 6,816,000 for the six months ended June 30, 2022, compared to a loss of HKD 39,265,000 in the previous year[58]. - Basic and diluted earnings per share for the period were HKD 0.43, compared to HKD 0.41 in the same period last year[58]. - The company reported a profit attributable to owners of HKD 11,464,000, compared to HKD 11,039,000 for the same period in 2021, representing an increase of 3.85%[110]. - The basic earnings per share for the six months ended June 30, 2022, was HKD 0.43, up from HKD 0.41 in the same period of 2021, reflecting a growth of 4.88%[110]. Revenue Segments - Interest income from financial lending business for the review period was approximately HKD 70.8 million, an increase of about HKD 23.9 million compared to HKD 46.9 million for the same period in 2021[7]. - The financial lending segment generated revenue of HKD 70,804 thousand, up 50.9% from HKD 46,900 thousand in the previous year[100]. - The property investment and development segment reported revenue of HKD 1,805 thousand, a slight decrease of 2.5% from HKD 1,851 thousand in the same period last year[100]. Property Investment and Development - The company faced challenges in the property investment and development sector, with no sales transactions approved and recorded in the government property sales system during the review period[9]. - Rental income from the property project in Zhongshan decreased by approximately 11% compared to the same period in 2021[9]. - As of June 30, 2022, there were 56 unsold residential units remaining in the Yongsheng Plaza project, with 8 of these units rented out[9]. - The fair value loss on investment properties was approximately HKD 4.0 million during the review period[7]. - The fair value loss from revaluation during the six months ended June 30, 2022, was HKD 12,738,000, a decrease from HKD 50,151,000 for the same period in 2021[118]. - The company’s investment properties under operating leases were valued at HKD 176,290,000 as of June 30, 2022, down from HKD 179,440,000 as of December 31, 2021[141]. Financial Position - Cash and cash equivalents increased to HKD 202,898,000 as of June 30, 2022, up from HKD 180,947,000 at the end of 2021[60]. - Total assets as of June 30, 2022, were HKD 1,337,771,000, slightly up from HKD 1,334,605,000 at the end of 2021[60]. - Total liabilities increased to HKD 221,685,000 as of June 30, 2022, compared to HKD 211,703,000 at the end of 2021[62]. - The company’s total equity decreased to HKD 1,116,086,000 as of June 30, 2022, from HKD 1,122,902,000 at the end of 2021[60]. - The total amount of receivables for loans and interest as of June 30, 2022, was HKD 593,820,000 and HKD 7,645,000, respectively[17]. - The total cash and cash equivalents at the end of the period stood at HKD 202,898,000, down from HKD 219,187,000 at the end of June 2021[68]. Credit Risk Management - The expected credit loss provision for receivables was HKD 35,635,000 as of June 30, 2022, reflecting the company's cautious approach to credit risk management[17]. - The total provision for expected credit losses for loans and interest receivables was HKD 21,286,000 for the six months ended June 30, 2022, compared to HKD 12,020,000 in the same period of 2021, indicating a significant increase of 77.73%[105]. - The company wrote off approximately HKD 11,423,000 in receivables and interest due to factors such as borrower bankruptcy and death during the six months ending June 30, 2022[17]. Corporate Governance - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange Listing Rules during the six months ending June 30, 2022[44]. - The board currently consists of three executive directors and two independent non-executive directors, which is below the minimum requirement of three independent directors[46]. - The audit committee has been reduced from three members to two members following the resignation of an independent non-executive director, which does not meet the requirement of at least three members[46]. - The company is in the process of identifying suitable candidates to fill the vacant positions on the board and will make announcements in due course[47]. - The company has adopted the standard code for securities transactions by directors as per the Listing Rules, and all directors have complied with this code during the six months ending June 30, 2022[48]. Market Conditions and Future Outlook - The COVID-19 pandemic continued to impact Hong Kong in the first half of 2022, but the company expects gradual economic recovery in the second half due to increased vaccination rates and government measures[26]. - The demand for unsecured loans supported by fintech services is growing, and the company plans to expand its market share through its automated mobile app "X Wallet" for personal loans[29]. - The company is actively seeking investment opportunities in the Chinese property market, particularly in Guangdong Province, despite not acquiring any land or properties during the review period due to intense competition[29]. - The company anticipates steady growth in its lending business supported by mobile application technology[29]. Employee and Operational Information - The company employed 51 staff members as of June 30, 2022, with compensation policies based on performance, qualifications, and market statistics[25]. - The group is primarily engaged in property investment and development, as well as financial lending services in Hong Kong[71]. - The group has two reportable segments: property investment and development, and financial lending, focusing on mortgage and personal loans[85][86].
TERMBRAY IND(00093) - 2022 - 中期财报