Revenue and Profitability - Revenue for the six months ended June 30, 2023, was HKD 2,404.8 million, representing a 9.7% increase from HKD 2,192.7 million in the same period of 2022[8]. - Profit attributable to equity shareholders was HKD 267.7 million, a decrease of 7.1% compared to HKD 303.2 million in the previous year[8]. - Adjusted profit attributable to equity shareholders was HKD 311.2 million, a decrease of 7.1% year-on-year[19]. - Net profit for the period was HKD 303,491, an increase of 13.2% compared to HKD 268,027 in the same period last year[88]. - Basic earnings per share increased to HKD 16.09, up from HKD 14.22 in 2022, reflecting a growth of 13.1%[87]. Gross Profit and Margins - Gross profit decreased to HKD 624.1 million, down 3.0% from HKD 643.3 million, resulting in a gross margin of 26.0%, a decline of 3.3 percentage points[8]. - The company's gross profit for the six months ended June 30, 2023, was HKD 624,163, a slight decrease from HKD 643,339 in the same period of 2022, indicating a decline of about 3.0%[110]. Cash Flow and Financial Position - Free cash flow from operations surged to HKD 274.9 million, a significant increase of 3,096.5% from HKD 8.6 million[8]. - Cash and cash equivalents increased to HKD 610.5 million, compared to HKD 483.3 million at the end of 2022[13]. - The company reported a significant increase in cash and cash equivalents, reaching HKD 605,069, up from HKD 483,286 at the end of 2022[89]. - Cash flow from operating activities increased by HKD 234.5 million to HKD 677.5 million, driven by higher profits and effective inventory turnover[49]. Debt and Financing - Total debt rose slightly to HKD 2,253.3 million from HKD 2,205.9 million, while net debt decreased to HKD 1,642.8 million from HKD 1,722.6 million[13]. - Net financing costs rose significantly from HKD 18.6 million to HKD 50.4 million due to higher average bank loan balances and increased borrowing in USD and HKD[38]. - The company incurred a net financing cost of HKD 50,401,000 for the six months ended June 30, 2023, compared to HKD 18,627,000 in the previous year, reflecting a significant increase of approximately 170.5%[117]. Market Performance - The aerospace, energy, and medical end markets saw a strong revenue increase of 67.3%, totaling HKD 319.8 million, driven by the recovery of the global aviation market[20]. - The diversified industrial end market revenue grew by 10.5% to HKD 1,184.1 million, with significant contributions from the hydraulic cycloidal motor business acquired last year[21]. - The automotive end market revenue decreased by 11.2% due to the impact of the South Tong factory fire and a slowdown in the Chinese economy[21]. Dividends - The company declared an interim dividend of HKD 0.08 per share, consistent with the previous year[8]. - The interim dividend declared for the six months ended June 30, 2023, was HKD 150,786,000, compared to HKD 150,664,000 for the same period in 2022, showing a marginal increase[141]. Operational Efficiency - The company reported a 52.9% increase in operating cash flow, reaching HKD 677.5 million, indicating improved working capital management[28]. - Sales and distribution expenses decreased by HKD 19.4 million or 18.8% to HKD 83.9 million, representing 3.5% of revenue compared to 4.7% in the same period last year[36]. - Administrative and other operating expenses increased by HKD 2.6 million or 1.7% to HKD 156.1 million, accounting for 6.5% of revenue, down from 7.0% year-on-year[37]. Inventory and Receivables - Inventory decreased by HKD 107.5 million to HKD 1,044.6 million, with inventory turnover days improving from 135 days to 121 days[41]. - Trade receivables increased by HKD 69.7 million to HKD 1,160.9 million, with turnover days decreasing from 88 days to 86 days[41]. Shareholder Information - As of June 30, 2023, the company’s major shareholder, Mr. Lu, holds 1,293,118,787 shares, representing 68.62% of the issued share capital[65]. - The company’s major shareholder, Tongbo Capital (Hong Kong) Limited, holds 104,205,123 shares, which is 5.53% of the issued share capital[70]. Future Outlook and Strategy - The company plans to enhance its aviation technology division and is exploring the feasibility of a potential spin-off for independent listing in the future[28]. - The company plans to continue expanding its manufacturing and marketing network across Asia, Europe, and America, focusing on core business growth[31].
鹰普精密(01286) - 2023 - 中期财报