Financial Performance - The group's unaudited consolidated revenue for the six months ended September 30, 2022, was HKD 638 million, an increase from HKD 610 million in the previous year[17]. - Shareholders' net profit for the same period was HKD 45 million, down from HKD 58 million year-on-year[17]. - Basic earnings per share were HKD 0.08, compared to HKD 0.11 in the previous year[17]. - The group recorded confirmed property sales revenue of HKD 394 million for the six months, with contracted but unrecognized sales amounting to RMB 293 million[23]. - The company reported a net profit of HKD 44,732,000 for the six months ended September 30, 2022, compared to HKD 58,479,000 in the same period last year, representing a decrease of approximately 23.4%[100]. - Total comprehensive income for the period was a loss of HKD 565,684,000, significantly down from a profit of HKD 138,244,000 in the previous year[100]. - The net profit before tax for the period was HKD 179,059,000, compared to HKD 190,145,000 for the same period last year, indicating a decrease of approximately 5.6%[118][120]. - The company's share of profits from associates was HKD 17,568,000, a decrease from HKD 24,977,000 year-on-year[82]. Property Development and Investment - The group's property development revenue for the six months was HKD 394 million, up from HKD 377 million in the previous year[20]. - The pre-tax profit from property development was HKD 149 million, down from HKD 185 million year-on-year[20]. - Property investment revenue for the six months ended September 30, 2022, was HKD 220 million, up from HKD 213 million in the same period of 2021, with a pre-tax profit of HKD 124 million compared to HKD 68 million in 2021[26]. - The total valuation of the investment property portfolio as of September 30, 2022, was HKD 14.908 billion, down from HKD 15.923 billion as of March 31, 2022[32]. - The company continues to focus on property development and investment as its primary business segments, with ongoing evaluations for market expansion opportunities[116]. Financial Position and Debt - As of September 30, 2022, the group's equity attributable to shareholders was HKD 7,855 million, down from HKD 8,448 million as of March 31, 2022[17]. - The total interest-bearing debt of the group as of September 30, 2022, was approximately HKD 6,871,000,000, an increase from HKD 6,677,000,000 as of March 31, 2022[74]. - The net interest-bearing debt as of September 30, 2022, was approximately HKD 4,795,000,000, compared to HKD 4,677,000,000 as of March 31, 2022[75]. - The debt-to-equity ratio calculated as net interest-bearing debt to total equity and non-controlling interests was 41% as of September 30, 2022, up from 37% as of March 31, 2022[75]. - The company’s financial expenses increased to HKD 109,078,000, up from HKD 86,080,000 in the prior year, reflecting higher borrowing costs[100]. Operational Highlights - The average occupancy rate of the property portfolio in Hong Kong reached 86% for the six months ended September 30, 2022, compared to 85% in 2021[27]. - The property portfolio in mainland China had an average occupancy rate of 75% for the six months ended September 30, 2022, up from 67% in 2021[30]. - The company is undertaking a renovation project for the Bauhinia (Central) to transform it into a luxury serviced apartment and hotel property, with interior renovations expected to commence next year[27]. - The company continues to enhance its property portfolio's financial performance through asset upgrade plans[27]. Market Conditions and Outlook - The global economic outlook remains challenging with inflationary pressures and geopolitical tensions affecting supply chains and commodity prices[45]. - In Hong Kong, the economy contracted by 4.5% year-on-year in Q3 2022 due to strict COVID-19 measures, but recent easing of restrictions is expected to revitalize the local market[46]. - The company is optimistic about future opportunities from increased public housing supply and large-scale infrastructure projects in Hong Kong[46]. Cash Flow and Investments - Cash generated from operating activities was HKD 183,812,000, a decrease from HKD 242,757,000 year-on-year, reflecting a decline of about 24.2%[100]. - The company experienced a net cash outflow from investing activities of HKD 96,781,000, compared to a net inflow of HKD 48,776,000 in the prior year[103]. - The total cash and cash equivalents at the end of the period increased to HKD 2,051,491,000, up from HKD 1,732,685,000 year-on-year[106]. Shareholder Information - Major shareholder 建业发展（集团） holds 341,439,324 shares, representing 61.93% of the issued shares[54]. - No major shareholders or other individuals held any recordable interests or short positions in the company as of September 30, 2022[56]. - The company did not purchase, sell, or redeem any of its listed securities during the six months ended September 30, 2022[57].
建业实业(00216) - 2023 - 中期财报