Financial Performance - Revenue for the six months ended June 30, 2022, was HKD 576,399 thousand, representing a 3.05% increase from HKD 559,351 thousand in 2021[47] - Gross profit decreased by 13.53% to HKD 181,601 thousand from HKD 210,009 thousand year-on-year[47] - Net profit for the period dropped significantly by 94.44% to HKD 6,214 thousand compared to HKD 111,722 thousand in the previous year[47] - The company reported a loss attributable to owners of the company of HKD 24,185 thousand, a decline of 134.80% from a profit of HKD 69,505 thousand in 2021[47] - EBITDA decreased by 43.43% to HKD 162,162 thousand from HKD 286,638 thousand year-on-year[47] - Revenue for the six months ended June 30, 2023, was HKD 576,399,000, an increase of 3% compared to HKD 559,351,000 in the same period of 2022[50] - Gross profit decreased to HKD 181,601,000 from HKD 210,009,000, representing a decline of 13.6% year-over-year[50] - The net profit for the period was HKD 6,214,000, a significant decrease of 94.4% from HKD 111,722,000 in the previous year[50] - The total comprehensive income for the period was HKD (96,763,000), compared to HKD 144,212,000 for the same period last year, representing a decline of 167.2%[64] Assets and Liabilities - Total assets as of June 30, 2022, were HKD 3,713,526 thousand, down 3.84% from HKD 3,861,867 thousand at the end of 2021[47] - Total liabilities decreased by 5.10% to HKD 1,837,209 thousand from HKD 1,936,001 thousand in the previous year[47] - Current assets were HKD 1,695,651 thousand, a decrease of 2.48% from HKD 1,738,848 thousand[47] - Total assets decreased to HKD 2,270,861,000 from HKD 2,319,770,000 year-over-year[59] - Current liabilities decreased to HKD 1,442,665,000 from HKD 1,542,086,000, reflecting a reduction of 6.5%[59] Cash Flow - For the six months ended June 30, 2023, the net cash generated from operating activities was HKD 10,876,000, a decrease of 91.8% compared to HKD 132,184,000 for the same period in 2022[67] - The net cash used in investing activities was HKD (93,345,000), compared to HKD (117,706,000) in the previous year, indicating a 20.6% improvement[67] - The net cash used in financing activities was HKD (15,198,000), a significant reduction from HKD (216,970,000) in the prior year, reflecting a 92.0% decrease[67] - As of June 30, 2023, cash and cash equivalents decreased to HKD 179,181,000 from HKD 227,139,000, a decline of 21.1%[67] Shareholder Information - The basic and diluted earnings per share were HKD (1.26), compared to HKD 4.35 in the same period last year[50] - The company’s equity attributable to shareholders was HKD 1,370,239,000, down from HKD 1,407,592,000, reflecting a decrease of 2.7%[64] - The company did not recommend any interim dividends for the reporting periods[128] Operational Focus - The company plans to focus on market expansion and new product development in the upcoming quarters[51] - The company plans to continue expanding its market presence and developing new technologies in the water supply and wastewater treatment sectors[76] - The company is focusing on enhancing its operational efficiency and reducing costs to improve overall financial performance in the upcoming periods[76] Revenue Breakdown - Water supply services generated revenue of HKD 72,083,000, a decrease of 5% from HKD 75,710,000 in 2022[83] - Wastewater treatment services revenue increased by 6% to HKD 43,183,000 from HKD 40,572,000 in 2022[83] - Revenue from water-related installation and construction services rose by 17% to HKD 150,651,000 compared to HKD 128,742,000 in 2022[83] - Revenue from electricity sales decreased by 14% to HKD 221,676,000 from HKD 256,703,000 in 2022[83] Legal and Financial Challenges - The company is pursuing legal actions to recover outstanding loans totaling approximately 35,400,000 HKD from a borrower, with a final judgment issued in favor of the company[185] - The company has taken steps to enforce a judgment in China, which was recognized and accepted for execution by the local court, allowing the company to recover outstanding debts[188] - The company is actively involved in arbitration proceedings related to the loan agreements and guarantees with the borrower[188] - The company has initiated legal actions to recover debts and enforce arbitration awards, with no significant financial impact expected due to adequate provisions made[200]
中国水业集团(01129) - 2022 - 中期财报