Financial Performance - Revenue for the six months ended June 30, 2022, was HK$64,907,000, a decrease of 35.5% compared to HK$101,074,000 in 2021[6] - Gross profit for the same period was HK$5,812,000, down 59.1% from HK$14,213,000 in 2021[6] - Loss for the period was HK$47,300,000, compared to a loss of HK$946,000 in 2021, representing a significant increase in losses[6] - Loss per share attributable to owners of the Company was HK$0.03, compared to HK$0.10 in the previous year[7] - The total comprehensive loss for the period was HK$381,606,000, reflecting a deterioration from the previous year's loss of HK$297,080,000[12] - The company reported a loss before tax of HK$47,300,000 for the six months ended June 30, 2022, compared to a loss of HK$946,000 in the same period of 2021[26] - Net loss for the period attributable to owners of the Company was HK$44,240,000, compared to a loss of HK$946,000 in the prior year[46] Assets and Liabilities - Total assets less current liabilities decreased to HK$214,704,000 from HK$259,070,000 as of December 31, 2021[9] - Net current assets were HK$214,194,000, down from HK$258,447,000 in the previous year[9] - Non-current assets included right-of-use assets of HK$282,000, down from HK$395,000[9] - Cash and bank balances totaled HK$285,097,000, a decrease from HK$328,359,000[9] - Trade and other receivables decreased to HK$38,216,000 from HK$61,841,000[9] - Total equity as of June 30, 2022, was HK$213,264,000, down from HK$257,008,000[9] - The total segment liabilities as of June 30, 2022, were HK$72,343,000, slightly up from HK$71,974,000 as of December 31, 2021[34] Cash Flow - For the six months ended June 30, 2022, the company reported a net cash used in operating activities of HK$17,867,000, compared to HK$7,337,000 for the same period in 2021, indicating a significant increase in cash outflow[15] - Cash and cash equivalents at the end of the period stood at HK$37,617,000, a substantial increase from HK$11,399,000 at the end of June 2021[15] - The company reported a net decrease in cash and cash equivalents of HK$15,258,000 for the six months ended June 30, 2022, compared to a decrease of HK$10,216,000 in the same period of 2021[15] - The financing activities generated a net cash inflow of HK$2,609,000 in the current period, contrasting with a cash outflow of HK$565,000 in the previous year[15] Segment Performance - The money lending segment generated revenue of HK$4,928,000, while the securities brokerage segment reported a loss of HK$548,000[26] - Approximately 48.3% of total revenue was generated from processing and trading of used computer-related components, while B2B cross-border e-commerce and payment business contributed approximately 42.2%[69] - The B2B cross-border e-commerce segment reported a loss of HK$2,813,000, a significant improvement from a loss of HK$13,582,000 in the previous year[34] - The cross-border e-commerce business continued to significantly contribute to revenue, with a revenue of HK$27.36 million, while the securities brokerage and related services generated HK$1.23 million[83] Share Capital and Equity - The company’s share capital increased to HK$9,231,000 as of June 30, 2022, up from HK$8,958,000 at the beginning of the year[12] - The company’s contributed surplus remained stable at HK$441,253,000 as of June 30, 2022[12] - The weighted average number of ordinary shares for basic loss per share increased to 1,509,312,257 from 912,936,566[46] - The authorized share capital of the Company was HK$600 million, divided into 100 billion shares with a par value of HK$0.006 each[88] Financial Assets - Unrealized loss on financial assets at FVTPL was HK$31,113,000, indicating significant financial challenges[26] - As of June 30, 2022, the total market value of financial assets at fair value through profit or loss was approximately HK$62.2 million, down from approximately HK$87.3 million as of December 31, 2021[98] - The Group recognized a realized gain on financial assets at fair value through profit or loss of approximately HK$20,000 for the six months ended June 30, 2022, compared to a realized gain of approximately HK$16,000 for the same period in 2021[98] - The Group reported an unrealized loss on financial assets at fair value through profit or loss of approximately HK$31.1 million for the six months ended June 30, 2022[98] Corporate Governance - The company emphasizes high standards of corporate governance, focusing on a quality board and sound internal controls[116] - Independent non-executive directors were not present at the annual general meeting held on June 24, 2022, due to prior commitments[118] - The company has complied with the Model Code for securities transactions by directors throughout the six months ended June 30, 2022[119] - The company has adopted the standard code of conduct for directors' securities transactions as per Appendix 10 of the Listing Rules[122]
新确科技(01063) - 2022 - 中期财报