Financial Performance - Revenue for the six months ended December 31, 2022, was HKD 17,368,000, an increase of 3.52% compared to HKD 16,778,000 for the same period in 2021[4] - Gross profit decreased to HKD 10,160,000, down 11.35% from HKD 11,462,000 year-on-year[4] - The company reported a net loss of HKD 20,651,000, significantly improved from a loss of HKD 69,089,000 in the previous year, representing a reduction of 70.05%[5] - Other income increased to HKD 8,255,000, up 190.77% from HKD 2,840,000 in the same period last year[4] - Total comprehensive loss for the period was HKD 22,681,000, compared to HKD 71,964,000 in the previous year, marking a 68.5% improvement[5] - The basic and diluted loss per share for the period was HKD 3.64 cents, compared to HKD 12.64 cents in the previous year[4] - The company reported a fair value loss on investment properties of HKD 6,092,000, a significant decrease from HKD 57,830,000 in the previous year[4] - The group reported a pre-tax loss of HKD 20,639,000 for the six months ended December 31, 2022, compared to a loss of HKD 70,859,000 in the same period of 2021, indicating a significant improvement[38] Assets and Equity - Non-current assets totaled HKD 1,453,848,000 as of December 31, 2022, slightly down from HKD 1,455,650,000 at the end of June 2022[7] - Current assets amounted to HKD 491,449,000, a decrease from HKD 503,419,000 in the previous period[7] - The company's total equity was HKD 1,664,773,000, down from HKD 1,685,587,000 as of June 30, 2022[9] - The total equity attributable to owners of the company as of December 31, 2022, was HKD 1,770,505 thousand, a decrease from HKD 1,842,469 thousand at the end of 2021[12] - The total reportable segment assets as of December 31, 2022, were HKD 1,524,779,000, compared to HKD 1,654,654,000 as of December 31, 2021[26] Cash Flow - The net cash used in operating activities for the six months ended December 31, 2022, was HKD (2,200) thousand, an improvement from HKD (4,524) thousand in the same period of 2021[10] - Cash generated from investing activities was HKD 17,734 thousand, compared to cash used of HKD (14,797) thousand in the previous year, indicating a significant turnaround[10] - Cash generated from financing activities increased to HKD 20,620 thousand from HKD 1,878 thousand year-on-year, reflecting enhanced financing capabilities[10] - The total cash and cash equivalents at the end of the period rose to HKD 248,744 thousand, up from HKD 161,850 thousand at the end of the previous year[10] - The company's cash and bank balances increased to HKD 49,889 thousand from HKD 39,313 thousand year-on-year, indicating improved liquidity[10] - The company's short-term deposits rose to HKD 198,855 thousand from HKD 122,537 thousand, reflecting a stronger cash position[10] Segment Information - The company identified five reportable segments: Property Development, Property Investment and Trading, Renovation, Securities Investment and Trading, and Loan Financing[23] - Total reported segment revenue for the six months ended December 31, 2022, was HKD 17,368,000, an increase from HKD 16,778,000 in the same period of 2021[26] - The reported segment loss for the six months ended December 31, 2022, was HKD (12,977,000), significantly improved from a loss of HKD (57,563,000) in the prior year[28] Investments and Property - The group is involved in a property development project in the UK and owns nine commercial and residential properties in Hong Kong, the UK, and Japan for investment purposes[58] - The residential property market has softened, with a significant decrease in transaction activity and unit prices during the period[58] - The group recorded a fair value loss of approximately HKD 6,092,000 on investment properties during the period[80] - Rental income from the property investment and sale segment totaled approximately HKD 12,370,000 for the period[91] Corporate Governance and Management - The company maintains high standards of corporate governance, focusing on long-term financial performance rather than short-term gains[118] - The audit committee, consisting of three independent non-executive directors, reviewed the group's unaudited consolidated results and confirmed compliance with applicable accounting standards[121] - The chairman and executive director's salary was adjusted from HKD 550,000 to HKD 570,000 per month, effective January 1, 2023[114] - The CEO's salary increased from HKD 110,000 to HKD 114,000 per month, effective January 1, 2023[114] Future Outlook - The group anticipates that the local economy will gradually stabilize after the end of the pandemic, despite ongoing global economic challenges[100] - The group aims to expand its securities investment and trading business as well as its loan financing business to achieve stable recurring income growth[100] - The group plans to adopt a prudent approach to acquiring and selling properties to enhance recurring income and capital appreciation[100]
宏辉集团(00183) - 2023 - 中期财报