Financial Performance - Revenue for the six months ended June 30, 2022, was HKD 45,124,000, a decrease of 22.8% compared to HKD 58,511,000 in the same period of 2021[4] - Gross profit for the same period was HKD 21,654,000, slightly down by 1.4% from HKD 21,953,000 in 2021[4] - Operating loss increased to HKD 34,871,000, compared to a loss of HKD 17,565,000 in the prior year, reflecting a deterioration of 98.5%[4] - The net loss for the period was HKD 35,664,000, which is 90.5% higher than the loss of HKD 18,706,000 reported in 2021[4] - Basic and diluted loss per share was HKD 1.18, compared to HKD 0.67 in the same period last year, indicating a significant increase in losses per share[4] - The company reported a total comprehensive loss of HKD 35,664,000 for the period, compared to HKD 19,294,000 in the previous year, indicating a worsening of 84.9%[7] - The company reported a pre-tax loss of HKD 35,526,000 for the six months ended June 30, 2022, compared to a loss of HKD 18,325,000 in 2021[32] - The company incurred a loss of HKD 35.7 million for the six months ended June 30, 2022, compared to a loss of HKD 18.7 million in the same period of 2021[54] - The loss attributable to owners of the company increased from HKD 18.3 million in the first half of 2021 to HKD 35.5 million in the first half of 2022[55] Assets and Liabilities - Total assets decreased to HKD 436,400,000 from HKD 467,006,000, representing a decline of 6.5%[9] - Total liabilities decreased to HKD 39,161,000 from HKD 41,000,000, a reduction of 4.5%[11] - Cash and cash equivalents at the end of the period were HKD 5,608,000, down from HKD 45,740,000 at the end of the previous year, a decrease of 87.7%[16] - Net cash generated from operating activities was HKD 5,443,000, a significant drop of 87.0% compared to HKD 42,143,000 in 2021[16] - Trade receivables as of June 30, 2022, amounted to HKD 61,264,000, down from HKD 46,104,000 in 2021, with expected credit loss provisions remaining unchanged at HKD 13,326,000[35] Dividends and Stock Options - The company did not recommend an interim dividend for the six months ended June 30, 2022, consistent with no dividend in 2021[34] - As of June 30, 2022, the total number of unexercised stock options granted under the stock option plan is 600,630,000, with 301,700,000 options granted during the period[86] - The stock options granted on May 10, 2022, have an exercise price of HKD 0.0660, while the closing price of the shares on that date was HKD 0.0670[86] - The company has a total of 455,863,000 stock options unexercised as of January 1, 2022, after accounting for 246,933,000 options that have lapsed[86] - The stock options granted to employees on April 15, 2019, totaling 246,933,000, have all lapsed by June 30, 2022[86] - The exercise period for the stock options granted on May 18, 2021, extends until May 17, 2024, with an exercise price of HKD 0.1130[86] - The company adopted a new stock option plan approved at the annual general meeting held on June 28, 2013[85] Operational Highlights - The company operates primarily in one segment, which is the internet and mobile application services[21] - The company continues to focus on expanding its settlement application services in the market[49] - The company has no capital commitments as of June 30, 2022[45] - The company has not hedged foreign currency risks related to its bank balances denominated in USD and RMB[62] Employee and Governance - The group had 57 employees as of June 30, 2022, a slight decrease from 58 employees at the end of 2021[71] - The board of directors consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[89] - The audit committee has reviewed the accounting principles and practices adopted by the group, discussing audit, internal control, and financial reporting matters[88] - The audit committee includes three members, ensuring effective oversight of financial reporting and internal controls[88] Investment and Future Plans - The group aims to diversify its investment portfolio and closely monitor market trends to adjust its investment strategies[68] - The group is focused on improving its financial condition and plans to leverage existing technological knowledge to enhance revenue streams[72] - The group has obtained a license from Japan's largest anime studio for interactive anime exhibitions in Hong Kong, indicating potential growth opportunities in the anime culture sector[72] - The group reported a total fair value loss of HKD 13.5 million on its significant investments, with notable losses from China Investment Group (HKD 5.6 million) and Huilong Holdings (HKD 1.8 million)[65] Other Financial Information - The company's debt ratio as of June 30, 2022, was approximately 9.8%, compared to 9.7% as of December 31, 2021[56] - The company paid approximately HKD 310.3 million in promotional incentives to merchants as of June 30, 2022[49] - Total non-current assets as of June 30, 2022, were HKD 22,844,000, a slight decrease from HKD 23,183,000 as of December 31, 2021[24] - The company incurred interest expenses of HKD 892,000 on bonds for the six months ended June 30, 2022, down from HKD 957,000 in 2021[27] - The company recognized a loss of HKD 63,000 on financial assets measured at fair value through profit or loss for the period[26] - Milan Station reported a revenue of approximately HKD 245.0 million and a profit of HKD 22.2 million for the year ending December 31, 2021[67] - The group reported that Huilong Holdings had a revenue of approximately HKD 191.0 million and a loss of HKD 11.9 million for the year ending April 30, 2022[66]
中国钱包(00802) - 2022 - 中期财报