Financial Performance - The operating profit from hotel business decreased by 91% to HKD 10,777,000 for the six months ended June 30, 2023, compared to HKD 125,431,000 for the same period in 2022[10]. - The overall profit after tax and non-controlling interests decreased by 85% to HKD 9,162,000 for the six months ended June 30, 2023, compared to HKD 61,092,000 for the same period in 2022[10]. - The net profit attributable to the owners of the company for the six months ended June 30, 2023, was HKD 49 million, a decrease of HKD 108 million compared to HKD 157 million for the same period in 2022, representing a decline of 68.8%[29][31]. - Total revenue for the group decreased by 35% from HKD 279 million to HKD 182 million, primarily due to lower hotel room prices compared to the previous year when quarantine hotel services were provided[36]. - Total revenue for the six months ended June 30, 2023, was HKD 251,033,000, a decrease from HKD 363,594,000 for the same period in 2022, representing a decline of approximately 30.9%[96]. - The net profit for the period was HKD 3,544,000, significantly lower than HKD 90,356,000 in the previous year, indicating a decrease of about 96.1%[96]. - Basic earnings per share for the current period was HKD 1.79, down from HKD 11.94 in the same period last year, reflecting a decline of approximately 85.0%[96]. - The company reported a gross profit of HKD 89,637,000 for the current period, compared to HKD 203,503,000 in the previous year, a decrease of around 56.0%[96]. - Adjusted profit before tax for the six months ended June 30, 2023, was HKD 9,039,000, a significant decrease from HKD 122,140,000 for the same period in 2022, representing a decline of approximately 92.6%[126]. Revenue Sources - Property investment profit increased by 169% to HKD 52,305,000 for the six months ended June 30, 2023, compared to HKD 19,420,000 for the same period in 2022[10]. - The total revenue from property investment was HKD 60,479,000, down 21.6% from HKD 77,161,000 year-on-year[162]. - Revenue from hotel operations decreased by 33% to HKD 191 million for the six months ended June 30, 2023, down from HKD 286 million in the same period of 2022[33]. - The company’s hotel services in Hong Kong generated revenue of HKD 190,509,000, down from HKD 276,521,000 in the previous year, a decline of 31.1%[113]. Expenses and Costs - Administrative expenses increased by 109% to HKD 57,187,000 for the six months ended June 30, 2023, compared to HKD 27,321,000 for the same period in 2022[10]. - Administrative expenses (excluding depreciation) increased to HKD 55.1 million, up from HKD 25.2 million in the same period of 2022, mainly due to operating costs related to the opening of the hotel[37]. - Interest expenses decreased to HKD 59,000 for the six months ended June 30, 2023, compared to HKD 85,000 in the same period last year, representing a reduction of approximately 30.6%[187]. Dividends and Shareholder Information - The company did not recommend an interim dividend for the six months ended June 30, 2023, due to higher interest expenses and operational costs[3]. - The company has not declared or paid dividends to shareholders for the periods ended June 30, 2023, and December 31, 2022[175]. - Major shareholders include Omnico with 350,043,999 shares (60.38%) and Shun Ho Holdings with 383,685,999 shares (66.18%) as of June 30, 2023[61]. Assets and Liabilities - As of June 30, 2023, the group's total debt was HKD 1,049 million, a decrease from HKD 1,068 million as of December 31, 2022, due to loan repayments[38]. - The total liabilities as of June 30, 2023, amounted to HKD 1,301,501,000, a decrease from HKD 1,368,652,000 in the previous year[119]. - The company reported a decrease in trade and other receivables, totaling HKD 8,640,000 as of June 30, 2023, compared to HKD 23,364,000 as of December 31, 2022[155]. - The total book value of investment properties as of June 30, 2023, was approximately HKD 3,597,115,000, down from HKD 3,999,692,000 as of December 31, 2022[154]. Operational Challenges - The company continues to face challenges in occupancy rates for its office buildings due to the impact of the US-China trade war[22]. - Approximately 13 million tourists visited Hong Kong in the first half of 2023, with about 10 million coming from China, compared to 35 million in the same period before the pandemic[40]. - The group plans to continue efforts to increase revenue and control costs amid ongoing challenges in the hotel and rental income sectors[45]. Corporate Governance - The company has adopted the corporate governance code and the standard code for securities transactions by directors[75]. - The company confirmed compliance with the corporate governance code during the reporting period, with all directors adhering to the established standards[89]. Cash Flow and Financing - The net cash used in financing activities for the six months ended June 30, 2023, was HKD (56,232,000), compared to HKD 40,123,000 for the same period in 2022[105]. - The company’s cash flow from operating activities showed a significant change, with cash and cash equivalents decreasing by HKD 13,947,000 compared to an increase of HKD 67,524,000 in the previous year[105]. - Cash used in investing activities for the six months ended June 30, 2023, was HKD 1,300,000, a significant improvement from HKD 184,868,000 in the same period of 2022[126].
顺豪物业(00219) - 2023 - 中期财报