Financial Performance - Revenue for the six months ended June 30, 2022, was $5,261,000, an increase of 51.1% compared to $3,479,000 for the same period in 2021[5] - Gross profit for the same period was $2,720,000, up 88.9% from $1,441,000 in 2021[5] - Profit before tax increased significantly to $556,000, compared to $70,000 in the previous year, representing a growth of 694.3%[5] - Net profit attributable to owners of the company for the period was $489,000, compared to $68,000 in 2021, marking a substantial increase of 620.6%[5] - Basic earnings per share for the period were $0.000669, based on a profit attributable to owners of $489,000, compared to $0.000093 for the same period in 2021[33] - Basic earnings per share for the six months ended June 30, 2022, were 0.07 cents, compared to 0.01 cents for the same period in 2021[53] Cash Flow and Liquidity - The company reported a net cash inflow from operating activities of $1,747,000, compared to $826,000 in the prior year[11] - Cash and cash equivalents at the end of the period increased to $10,399,000 from $8,780,000 at the beginning of the year[11] - The current ratio improved to 2.4 times as of June 30, 2022, compared to 2.3 times on December 31, 2021, indicating better liquidity management[55] - The group has no bank borrowings as of June 30, 2022, relying on operating cash flow to meet its obligations[55] Assets and Equity - The company’s total equity as of June 30, 2022, was $78,003,000, down from $79,616,000 at the end of 2021[7] - The company’s non-current assets totaled $86,507,000, a slight decrease from $89,268,000 at the end of 2021[7] - The group’s total assets as of June 30, 2022, included investment properties valued at $18,400,000, down from $19,660,000 at the beginning of the year[36] - As of June 30, 2022, the group's total net assets amounted to $78,003,000, with current assets of $13,565,000 and non-current assets of $86,507,000[55] Revenue Sources - Revenue from the production and sale of footwear products was $2,847,000, up from $2,095,000, marking a 36% increase year-over-year[18] - Rental income from properties increased to $2,414,000 from $1,384,000, reflecting a 74.4% growth compared to the previous year[18] Expenses and Liabilities - The cost of inventory recognized as an expense was $2,356,000, compared to $1,908,000 in the same period of 2021, indicating a 23.5% increase[27] - The company’s tax expense for the period was $67,000, significantly higher than $2,000 in the same period of the previous year[28] - Total trade and other payables as of June 30, 2022, were $3,303,000, an increase from $2,963,000 as of December 31, 2021[40] Strategic Focus and Future Outlook - The company plans to continue focusing on market expansion and new product development to drive future growth[5] - The group continues to seek suitable tenants for leasing idle domestic factories, aiming to stabilize income amidst global economic uncertainties[54] - Orders for quality footwear have started to stabilize due to the easing of pandemic measures in Europe and the United States, which is a cornerstone of the group's business[54] - The management is committed to leveraging existing resources to convert them into stable revenue streams despite ongoing global challenges[54] - The geopolitical situation remains tense, which may impact macroeconomic recovery in the coming months[54] - The group is focused on embracing challenges and seizing potential opportunities in the market[54] Corporate Governance - The board plans to appoint a new independent non-executive director before the fiscal year starting January 1, 2023, to comply with corporate governance codes[71] Dividends - The company declared an interim dividend of HK$0.01 per share, compared to no dividend in the previous year[32] - The company declared an interim dividend of 1.0 HKD cent per ordinary share for the six months ended June 30, 2022[51]
创信国际(00676) - 2022 - 中期财报