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大同集团(00544) - 2022 - 中期财报
DAIDO GROUPDAIDO GROUP(HK:00544)2022-09-20 04:21

Financial Performance - The total revenue for the six months ended June 30, 2022, was approximately HKD 133 million, an increase of about 26.7% compared to approximately HKD 105 million in the same period last year[5]. - The group recorded a profit of approximately HKD 2.3 million, a significant improvement from a loss of approximately HKD 39 million in the same period last year, representing a loss reduction of 105.9%[5]. - Gross profit for the same period was HKD 29,323,000, significantly up from HKD 7,893,000, reflecting a gross margin improvement[37]. - The company reported a profit before tax of HKD 2,326,000, a turnaround from a loss of HKD 38,786,000 in the previous year[37]. - The company reported a net profit attributable to owners of HKD 2,326,000 for the six months ended June 30, 2022, compared to a loss of HKD 38,990,000 in the previous period[48]. - Total comprehensive income for the period was HKD 1,650,000, compared to a total comprehensive loss of HKD 38,773,000 in the prior period[48]. - The basic and diluted earnings per share for the period were HKD 0.8 cents, compared to a loss of HKD 13.4 cents per share in the prior year[38]. - The basic and diluted earnings per share for the period were HKD 0.008, a significant recovery from a loss per share of HKD 0.134 in the previous year[64]. Revenue Sources - The main source of income is from the operation of cold storage and related services, which has been impacted by the COVID-19 pandemic and trade tensions, leading to operational inefficiencies and deferred income[7]. - Revenue from cold storage and related services was HKD 116,693,000, up 42.4% from HKD 81,914,000 in the previous year[54]. - Revenue from food and beverage trading decreased to HKD 16,075,000, down 29.5% from HKD 22,848,000 in the prior year[54]. - The group reported a segment profit of HKD 17,145,000 from cold storage services, compared to a segment loss of HKD 24,134,000 in the previous year[55]. Cost Management - The group has implemented strict cost control measures over the past two years to maintain profitability in its food and beverage trading segment[12]. - Employee-related costs for the six months totaled HKD 34,056,000, down from HKD 40,881,000 in the same period last year, indicating a reduction of 16.5%[35]. - The company incurred a total of HKD 42,293,000 in net cash used in financing activities during the six months ended June 30, 2022[47]. Assets and Liabilities - The group's cash and bank balances as of June 30, 2022, were approximately HKD 64.8 million, an increase from HKD 59.9 million as of December 31, 2021[19]. - As of June 30, 2022, total assets less current liabilities amounted to HKD 161,719,000, down from HKD 217,792,000 at the end of 2021[41]. - The company’s lease liabilities decreased to approximately HKD 117,400,000 from HKD 144,900,000 as of December 31, 2021[31]. - Total liabilities decreased to HKD 278,545,000 from HKD 310,897,000 in the previous period[57]. - The company’s current liabilities net amount was HKD 10,254,000, primarily due to the reclassification of bank borrowings of HKD 35,000,000 from non-current liabilities[48]. Strategic Initiatives - The group has launched an online B2C e-commerce grocery shopping platform named "Urban Mart," which aims to reach retail customers and sell various daily products[13]. - The group has expanded the temperature-controlled area of its warehouse in Kwai Hing to meet the increasing demand for storage and logistics services during the pandemic[9]. - The group has terminated several low-margin distribution channels to focus resources on higher-margin channels in its food and beverage trading business[12]. - The group continues to seek opportunities in the logistics sector and diversify its customer base to meet the demand for refrigerated facilities during the pandemic[16]. - The group aims to enhance its logistics services in Hong Kong, responding to increasing industry standards and government support[16]. Risk Management and Internal Control - The board is responsible for maintaining an effective risk management and internal control system to achieve the company's objectives and ensure reasonable assurance against material misstatements or losses[117]. - The internal control measures include regular meetings of executive directors and senior management to review the financial and operational performance of key subsidiaries[119]. - An independent internal control consultant has been appointed to evaluate the adequacy and effectiveness of the risk management and internal control systems of several subsidiaries[117]. - As of June 30, 2022, the board believes that the company has sufficient risk management and internal control procedures to meet current operational needs[119]. - The existing risk management and internal control systems are deemed effective and adequate, with ongoing reviews and updates planned as necessary[119]. Share Capital and Financing - The company underwent a capital restructuring in March 2022, consolidating every ten shares into one and reducing the par value per share from HKD 0.10 to HKD 0.01[27][29]. - The company raised approximately HKD 11,600,000 from the subscription of 468,800,000 new shares at a price of HKD 0.0248 per share[109]. - The net proceeds of HKD 11,500,000 from the subscription are allocated as follows: 69% for general working capital and 31% for repaying bond interest expenses[111]. - The company has a bank financing of HKD 3,500,000 secured against HKD 1,700,000 in bank deposits, with approximately HKD 1,410,000 utilized as of June 30, 2022[81]. Government Support and Subsidies - The company received government subsidies amounting to HKD 2,745,000 during the current reporting period[58]. Management and Governance - The board of directors has not appointed a chairman during the reporting period, believing that collective decision-making by the board is sufficient[113]. - The audit committee reviewed the unaudited consolidated results for the six months ended June 30, 2022, and confirmed compliance with applicable accounting standards and regulations[116]. - The company has adopted a written securities trading policy for directors, ensuring compliance with the standards set out in the listing rules[114].