Business Strategy and Operations - AFMG completed the sale of its wholly-owned subsidiary Ideenion Automobil AG for a total cash consideration of €15 million to enhance operational efficiency and focus on its luxury electric vehicle business[5]. - The group signed a strategic cooperation agreement with Guangzhou JuWan Technology Co., Ltd. to develop and apply an ultra-fast charging battery system for luxury electric vehicles[4]. - AFMG's collaboration with Shanghai University of Science and Technology aims to explore new technologies and experiences related to smart mobility, focusing on smart cabin projects and smart mobility databases[3]. - The group is strategically divesting existing businesses, with a recent agreement to sell part of its lending operations for a total consideration of HK$408 million, allowing for a more focused approach to smart mobility opportunities[9]. - AFMG is preparing to leverage the significant potential of the global electric vehicle market, emphasizing its expertise in developing high-performance luxury electric vehicles[17]. - The company is committed to redefining the automotive sector by creating a new generation of efficient, intelligent, and stylish vehicles, supported by its advanced engineering capabilities[16]. - The company is establishing strategic partnerships with key industry players, including Divergent Technologies, Inc. and EV Power Holding Limited, to create an advanced mobility ecosystem[17]. - The Apollo brand has become a leader in the high-performance supercar market, appealing to ultra-high-net-worth individuals with its innovative designs and engineering excellence[16]. Financial Performance - The group's revenue for the six months ended June 30, 2023, decreased by approximately 72.5% to about HKD 127,600,000 from approximately HKD 463,400,000 in the previous period[22]. - The travel services segment generated revenue of approximately HKD 3,600,000, down from HKD 171,800,000 in the same period last year, primarily due to reduced licensing income and ongoing development of a next-generation supercar[22]. - Gross profit for the period was approximately HKD 21,800,000, with a gross margin of about 17.1%, down from 28.9% in the previous period, mainly due to a decrease in high-margin licensing income[22]. - The group reported a loss attributable to owners of approximately HKD 77,400,000 for the period, compared to a profit of HKD 5,800,000 in the same period last year[23]. - The company reported a total comprehensive loss of HKD 162,428,000 for the six months ended June 30, 2023, compared to a loss of HKD 92,195,000 for the same period in 2022[100]. - The loss attributable to the owners of the company was HKD 161,137,000 for the first half of 2023, compared to HKD 94,956,000 in the previous year[100]. - The company recorded a profit of HKD 9,363,000 during the reporting period, with a significant foreign exchange loss of HKD 101,960,000 from overseas operations[94][95]. - The group reported a revenue of HKD 127,571,000 for the six months ended June 30, 2023, a decrease from HKD 463,361,000 for the same period in 2022[62]. - The gross profit for the same period was HKD 21,771,000, down from HKD 133,688,000 in the previous year[62]. - The group incurred a loss of HKD 82,438,000 for the six months ended June 30, 2023, compared to a profit of HKD 9,363,000 in the same period of 2022[62]. Assets and Liabilities - The group’s cash and cash equivalents amounted to approximately HKD 117,200,000 as of June 30, 2023, up from HKD 52,500,000 as of December 31, 2022[32]. - The total current assets and current liabilities were approximately HKD 1,266,000,000 as of June 30, 2023[33]. - The total current assets amounted to approximately HKD 680,700,000, compared to HKD 1,340,500,000 as of December 31, 2022[43]. - The net current assets included inventory of approximately HKD 102,400,000, accounts receivable and other receivables of approximately HKD 402,500,000, and loans receivable of approximately HKD 167,600,000[43]. - The total liabilities to equity ratio as of June 30, 2023, was approximately 2.0%, slightly down from 2.1% as of December 31, 2022[46]. - The total interest-bearing bank borrowings amounted to approximately HKD 81,400,000 as of June 30, 2023, down from HKD 88,200,000 as of December 31, 2022[45]. - The company's net asset value decreased to HKD 4,098,335,000 from HKD 4,260,786,000, reflecting a decline of approximately 3.8%[109]. - The total liabilities related to assets classified as held for sale increased to HKD 585,143,000 from HKD 548,815,000, indicating a rise of about 6.6%[107]. - The company's goodwill increased to HKD 1,740,594,000 from HKD 1,641,611,000, representing a growth of approximately 6%[104]. - Current liabilities totaled HKD 680,679,000, an increase of 10% from HKD 618,890,000 as of December 31, 2022[107]. Shareholder Information - The total number of issued shares as of June 30, 2023, was 9,613,098,562[80]. - The company’s chairman holds 170,000,000 shares, representing 1.77% of the total equity[76]. - The company’s co-chairman holds 2,275,545,343 shares, representing 23.67% of the total equity[76]. - The company’s vice-chairman holds 42,400,000 shares, representing 0.44% of the total equity[76]. - Major shareholders include Weima Automobile Holdings Limited, holding 2,275,545,343 shares, which accounts for 23.67% of the total shares[131]. - The company’s major shareholder, He Jingmin, holds 956,332,474 shares, representing 9.95% of the total shares[131]. Employee and Compensation - As of June 30, 2023, the company had 68 employees, with related employee costs amounting to approximately HKD 41,300,000, a decrease from HKD 111,200,000 for the same period in 2022[151]. - The company’s employee compensation aligns with market trends and is reviewed annually based on individual performance[151]. - The company aims to attract and retain qualified participants through the 2023 Share Option Scheme, which includes employees and related entity participants[127]. Cash Flow and Dividends - The company reported a net cash flow from operating activities of (29,894) thousand HKD for the six months ended June 30, 2023[168]. - The net cash flow used in investing activities was (14,624) thousand HKD, with proceeds from the sale of property, plant, and equipment amounting to 50,000 thousand HKD[168]. - The net cash flow from financing activities was 44,925 thousand HKD, including new bank borrowings of 46,659 thousand HKD and repayment of bank borrowings of (14,013) thousand HKD[168]. - The company did not declare any interim dividend for the six months ended June 30, 2023, consistent with the previous year[159]. Financial Reporting and Standards - The financial data presented is based on the Hong Kong Financial Reporting Standards and covers the period from January 1, 2023, to June 30, 2023[171]. - The company has adopted new and revised Hong Kong Financial Reporting Standards for the preparation of the interim financial data[174]. - The company has implemented new and revised Hong Kong Financial Reporting Standards, which have no impact on its financial position or performance due to the absence of business combinations during the reporting period[180]. - The company has applied the amendments to HKAS 12 regarding deferred tax assets and liabilities, which also had no impact on its financial position or performance[182]. Segment Performance - The company operates through three reportable segments: (a) Technical Solutions, (b) Lending Division, and (c) Retail and Wholesale of jewelry products and watches[190]. - Total revenue from external customers reached HKD 127,571,000 for the six months ended June 30, 2023[195]. - The company experienced a segment loss of HKD 62,459,000 across its various business divisions[195]. - Revenue from jewelry products was HKD 3,604,000, while travel technology generated HKD 103,245,000[195]. - The segment performance for other goods showed a loss of HKD 17,978,000[195].
APOLLO出行(00860) - 2023 - 中期财报