Financial Performance - The total revenue for the six months ended June 30, 2022, was HKD 736,020, an increase of 3.6% compared to HKD 710,856 for the same period in 2021[2]. - The gross profit for the period was HKD 117,467, down from HKD 136,563 in the previous year, reflecting a decrease of approximately 14%[2]. - The net loss for the six months ended June 30, 2022, was HKD 39,810, a significant improvement compared to a net loss of HKD 65,779 in the same period of 2021, representing a reduction of about 39.4%[2]. - The basic loss per share for the period was HKD 0.30, compared to HKD 0.51 for the same period last year[4]. - The total comprehensive loss for the period was HKD 64,389, compared to HKD 57,498 in the previous year, indicating an increase in losses[6]. - Cash generated from operating activities was HKD 23,801,000, a significant decrease from HKD 81,675,000 in the prior year[14]. - The company experienced a net cash outflow from operating activities of HKD 8,391,000, compared to a net inflow of HKD 41,763,000 in the previous year[14]. - The company reported a significant foreign exchange loss of HKD 24,505 during the period, compared to a gain of HKD 8,196 in the previous year[6]. - The company reported a net loss of HKD 39,810,000 for the six months ended June 30, 2022[19]. - The loss attributable to the company's owners for the same period was HKD 43,902,000, a decrease of approximately 40.6% from HKD 73,899,000 in the first half of 2021[99]. Revenue Breakdown - Revenue from hospital fees and charges increased to HKD 705,153,000, up from HKD 662,217,000 in the same period last year, representing a growth of approximately 6.5%[24]. - Total revenue for the six months ended June 30, 2022, was HKD 732,685,000, with medical services contributing HKD 705,153,000, elderly care services HKD 27,151,000, and property development HKD 381,000[26]. - Revenue from inpatient medical services was HKD 251,820,000, outpatient medical services HKD 238,573,000, and other medical services HKD 5,689,000[26]. - The elderly care services generated revenue of HKD 13,919,000, while nutrition product sales contributed HKD 3,666,000[26]. - Property sales accounted for HKD 9,566,000, leading to a total of HKD 9,947,000 from property development[26]. - Revenue recognized at a point in time was HKD 708,036,000, while revenue recognized over time was HKD 24,649,000[26]. Assets and Liabilities - Non-current assets decreased to HKD 2,214,251 as of June 30, 2022, from HKD 2,507,443 as of December 31, 2021, indicating a decline of approximately 11.7%[8]. - Current liabilities amounted to HKD 1,300,720, a slight decrease from HKD 1,338,475 at the end of 2021[10]. - The total assets less current liabilities stood at HKD 2,042,056, a decrease from HKD 2,151,063 at the end of 2021[10]. - Total liabilities as of June 30, 2022, were HKD 1,689,909,000, with medical segment liabilities at HKD 1,132,518,000[49]. - The company’s current liabilities exceeded its current assets as of June 30, 2022, indicating potential liquidity issues[19]. - The total value of mortgaged assets as of June 30, 2022, was HKD 887,303,000, compared to HKD 882,295,000 as of December 31, 2021[87]. Operational Highlights - The company operates in three main segments: medical services, elderly care, and property development, all primarily in mainland China[40]. - The company established medical alliance agreements with Nanjing Mingzhou Rehabilitation Hospital and Southeast University Hospital to enhance cooperation in medical projects[107]. - The company is expanding its high-end comprehensive clinic services in Nanjing, with ongoing renovations to provide a wide range of medical services[107]. - The Kunming Hospital recorded a total of 171,452 outpatient visits, an increase from 134,820 visits in the previous year, and 8,520 inpatient admissions, up from 7,294 admissions[112]. - The Nanjing Hospital achieved 1,340,016 outpatient visits, significantly higher than 491,565 visits in the previous year, and 13,536 inpatient admissions, slightly down from 14,412 admissions[112]. Challenges and Future Outlook - The company continues to face significant uncertainty due to the ongoing economic conditions and the impact of the COVID-19 pandemic on demand for its services and products[21]. - The elderly care division anticipates continued operational impacts from the severe pandemic situation in the second half of 2022, with a focus on maintaining stable operations[146]. - The company expects ongoing volatility in the economic and business environment due to factors such as COVID-19 variants, geopolitical tensions, and rising interest rates[148]. - The company will maintain a prudent approach and continue to review and adjust its business and investment strategies to adapt to the challenging economic environment[148]. Shareholder Information - Major shareholders include Tongfang Co., Ltd. and Resuccess Investments Limited, each holding approximately 27.62% of the issued shares[156]. - The company’s executive Ms. Zhuang holds a total of 2,604,889,140 shares, representing approximately 17.99% of the issued ordinary shares[149]. - Major shareholders include Tianan China Investment Limited holding 1,857,529,625 shares, representing 12.82% of the issued ordinary shares[160]. - The total issued share capital of the company as of June 30, 2022, is 14,480,072,773 shares[160]. Governance and Compliance - The company has complied with the corporate governance code as per the listing rules during the six months ending June 30, 2022[166]. - The audit committee reviewed the accounting principles and practices adopted by the group, including the interim financial statements for the six months ending June 30, 2022[165]. - The board of directors confirmed compliance with the standard code of conduct for securities transactions during the six months ending June 30, 2022[167].
中国医疗网络(00383) - 2022 - 中期财报