Financial Performance - The Group reported a revenue of HK$41,012,000 for the six months ended 30 June 2023, a decrease of 38.3% compared to HK$66,432,000 in the same period of 2022[4]. - Gross profit for the period was HK$749,000, down 91.7% from HK$9,056,000 in 2022[4]. - The loss from operations was HK$32,061,000, significantly improved from a loss of HK$100,046,000 in the previous year[4]. - The Group incurred a net loss of approximately HK$39,284,000, compared to a net loss of HK$105,424,000 in the prior period, indicating a reduction in losses[12]. - Total comprehensive loss for the period was HK$43,379,000, down from HK$113,471,000 in the previous year, reflecting a 61.7% reduction[187]. - The Group's loss attributable to shareholders for the first half of 2023 was approximately HK$39,284,000, a decrease from HK$105,424,000 in the same period of 2022[151]. Assets and Liabilities - Net liabilities increased to HK$180,413,000 as of 30 June 2023, compared to HK$128,312,000 at the end of 2022[6]. - The total equity attributable to owners of the Company was reported at HK$180,413,000, reflecting a decrease from HK$128,312,000[6]. - The Group's current liabilities amounted to approximately HK$114,256,000, raising concerns about its ability to continue as a going concern[12]. - The Group's net current liabilities increased to HK$114,256,000 as of June 30, 2023, compared to HK$71,295,000 at December 31, 2022[180]. - The Group's total assets less current liabilities were reported at HK$5,218,000, a significant decrease from HK$66,073,000 at the end of 2022[180]. Revenue Segments - Revenue from the online gaming segment was HK$7,697,000, while the esports segment generated HK$11,221,000, contributing to the overall revenue[22]. - Revenue from the game publishing business decreased year-on-year by approximately 35.5% to HK$7,697,000, with a segment loss of approximately HK$28,857,000[153]. - The esports business revenue for the first half of 2023 was approximately HK$11,221,000, representing a year-on-year decrease of approximately 67.4%[158]. Cash Flow and Financing - The Group's net cash used in operating activities for the six months ended June 30, 2023, was HK$17,261,000, compared to a net cash generated of HK$1,616,000 in the same period of 2022[182]. - Total cash and cash equivalents at June 30, 2023, were HK$22,138,000, down from HK$55,407,000 at the same date in 2022, reflecting a decrease of 60%[182]. - The Group's cash flow from financing activities was HK$4,238,000 for the six months ended June 30, 2023, down from HK$37,481,000 in the same period of 2022[182]. Operational Developments - The Group's Metasens project has made significant progress and will continue to diversify its business, particularly in game publishing and esports sectors[127]. - The company plans to launch several new games this year, including two games incorporating blockchain and metaverse concepts[132]. - A PC-based metaverse game is currently undergoing closed testing, allowing players to create and customize their virtual worlds[133]. - The esports team will receive increased resources to enhance performance in competitive gaming[139]. Management and Governance - The Group's financial statements were prepared on a going concern basis, indicating confidence in meeting future financial obligations[193]. - The Group's financial position reflects significant uncertainty regarding its ability to continue as a going concern due to the current liabilities exceeding current assets[194]. - The Group's management believes it has sufficient financial resources to meet its operational funding needs and financial obligations in the foreseeable future[90]. Shareholder Information - No dividend has been paid, declared, or proposed during the interim period, consistent with the previous year[52]. - The weighted average number of ordinary shares for calculating basic and diluted loss per share was 311,036,000 for both 2023 and 2022[33]. - The Group's issued and fully paid ordinary shares remained at 311,036,000 shares as of June 30, 2023, with a total value of HK$3,110,000[68].
帝国科技集团(00776) - 2023 - 中期财报