Financial Performance - Revenue for the six months ended June 30, 2023, was HKD 82,396,000, an increase of 2.02% compared to HKD 80,759,000 in the same period of 2022[2] - Gross profit for the same period was HKD 29,128,000, significantly up from HKD 13,501,000, reflecting a gross margin improvement[2] - The company reported a loss before tax of HKD 15,009,000, compared to a loss of HKD 997,000 in the prior year, indicating a substantial increase in losses[2] - Basic and diluted loss per share for the period was HKD 0.4689, compared to HKD 0.0047 in the previous year[2] - Total comprehensive loss for the period was HKD 6,016,000, a decrease from HKD 18,643,000 in the same period last year, driven by foreign exchange gains[3] - The group recorded a consolidated net loss of approximately HKD 15,009,000 for the period, compared to a net loss of HKD 997,000 for the same period in 2022[10] - The loss for the period increased by approximately HKD 14,000,000 to about HKD 15,000,000, primarily due to increased financial costs of approximately HKD 31,400,000[50] Assets and Liabilities - Non-current assets as of June 30, 2023, totaled HKD 6,509,000, up from HKD 6,368,000 at the end of 2022[4] - Current assets increased to HKD 115,658,000 from HKD 100,672,000, primarily due to higher inventory levels[4] - Total liabilities amounted to HKD 1,059,148,000, slightly up from HKD 1,053,132,000 at the end of 2022[5] - The company’s equity attributable to owners decreased to HKD (859,358,000) from HKD (854,708,000) year-over-year[5] - Current liabilities net amount was approximately HKD 1,042,517,000, slightly up from HKD 1,035,328,000 as of December 31, 2022[10] - The total assets as of June 30, 2023, amounted to HKD 122,167,000, up from HKD 107,040,000 as of December 31, 2022, indicating an increase of 14.14%[19] - The total liabilities increased to HKD 1,181,315,000 as of June 30, 2023, from HKD 1,160,172,000 as of December 31, 2022, reflecting a rise of 1.82%[19] Cash Flow - The net cash used in operating activities improved to HKD 3,264,000 from a net cash used of HKD 6,089,000 in the same period last year[8] - The net cash used in investing activities was HKD 2,086,000, a slight improvement from HKD 2,615,000 in 2022[8] - The net cash used in financing activities remained stable at HKD 2,104,000 compared to HKD 2,111,000 in the previous year[8] - The total cash and cash equivalents at the end of the period decreased to HKD 43,438,000 from HKD 73,217,000 in 2022, reflecting a decline of 40.6%[8] - As of June 30, 2023, the bank deposits and cash balance were approximately HKD 43,400,000, a decrease of about HKD 1,300,000 from December 31, 2022[66] Operational Performance - Operating income before changes in working capital for the six months ended June 30, 2023, was HKD 11,089,000, a decrease of 8.3% compared to HKD 12,091,000 in 2022[8] - The company continues to explore new strategies for market expansion and product development, although specific details were not disclosed in the report[6] - The company is focusing on improving operational performance to negotiate better terms during loan restructuring[12] - The company anticipates that production will remain below last year's levels due to rising input costs, which may exert downward pressure on revenue, gross profit, and operating profit in the second half of the year[76] Market and Sales - Jamaica remains the primary market for the company, with local sales accounting for 100.0% of total sales as of June 30, 2023, compared to 87.1% for the same period in 2022[56] - The average selling price of raw sugar increased by approximately 30.6%, while the sales volume decreased by about 22.2%[54] - The total revenue from raw sugar increased by approximately JMD 16,400,000 (about HKD 1,600,000) due to the rise in average selling prices[54] - The group sold approximately 6,270 tons of raw sugar and 10,900 tons of molasses during the period, compared to 8,100 tons of raw sugar and 13,700 tons of molasses in the previous year[53] - The average price of molasses increased by approximately 33.8% despite a decrease in sales volume of about 26.1%[54] Shareholder and Governance - The company did not declare an interim dividend for the period ended June 30, 2023, consistent with the previous year[30] - The company has not entered into any non-exempt continuing connected transactions during the reporting period[48] - The company has maintained compliance with the corporate governance code, with some deviations noted[86] - The audit committee has reviewed the unaudited consolidated interim financial statements for the six months ended June 30, 2023, which were approved by the board on August 31, 2023[90] Future Outlook - The ethanol business in Benin remains on hold due to unresolved land lease terms, impacting the company's ability to produce bioethanol[62] - The ethanol plant construction will remain suspended in the second half of 2023 while the company determines an appropriate alternative business plan[80] - The report contains forward-looking statements regarding the group's financial condition and operational performance, which may involve known and unknown risks and uncertainties[93]
华联国际(00969) - 2023 - 中期财报