Financial Performance - The company reported a loss attributable to shareholders of HKD 84 million for the six months ended June 30, 2023, a decrease of 4.7% compared to a loss of HKD 88.1 million for the same period in 2022[5]. - Revenue for the six months ended June 30, 2023, was approximately HKD 103.4 million, a decrease of about 37.8% from HKD 166.3 million in the same period of 2022[5]. - The overall gross profit margin for the company was 34.4% for the six months ended June 30, 2023, compared to 35.1% for the same period in 2022[5]. - The company reported a net loss attributable to the owners of the company was HKD 83,951,000, compared to HKD 88,066,000 in 2022, indicating a reduction of 4.8%[59]. - The total comprehensive loss for the period was HKD 84,178,000, an improvement from HKD 93,932,000 in the same period last year, reflecting a decrease of 10.0%[60]. - The company recorded a loss before tax of HKD 85,081,000, slightly improved from a loss of HKD 86,308,000 in the previous year, representing a decrease of 1.4%[59]. - The company reported a financial cost of HKD 4,162,000, significantly lower than HKD 20,670,000 in the previous year, indicating a decrease of 80.0%[59]. - The group’s other income, gains, and losses for the six months ended June 30, 2023, showed a net loss of HKD 45,091,000, an improvement from a loss of HKD 48,613,000 in the same period of 2022[89]. Revenue Breakdown - The QR code business generated revenue of HKD 26.5 million, a decrease of 30.6% from HKD 38.2 million in the previous year, with a segment loss of HKD 15 million[6]. - The packaging products business recorded revenue of HKD 61 million, down 50.7% from HKD 123.8 million in the previous year, with a segment profit of HKD 1.3 million[7]. - Revenue from packaging products was HKD 61,033,000, down 50.7% from HKD 123,792,000 in the previous year[85]. - Revenue from QR code packaging products and solutions was HKD 26,504,000, a decline of 30.7% from HKD 38,249,000 in 2022[87]. - Revenue from the production and sale of spirulina products increased significantly to HKD 16,808,000, compared to HKD 4,022,000 in the same period last year, representing a growth of 318.5%[87]. - Revenue from the European market for packaging products was HKD 26,505,000, a decrease of 10.3% from HKD 29,549,000 in the previous year[87]. - Revenue from the packaging products business in Hong Kong and China was HKD 25,187,000, down 69.8% from HKD 83,218,000 in 2022[87]. Assets and Liabilities - As of June 30, 2023, the company's total assets less current liabilities amounted to HKD 416,622,000, down from HKD 477,701,000 at the end of 2022[64]. - The company's cash and cash equivalents decreased significantly to HKD 40,145,000 from HKD 128,098,000 at the end of 2022, a decline of 68.7%[63]. - Non-current liabilities increased to HKD 212,730,000 from HKD 194,192,000, representing a rise of 9.6%[64]. - The company's equity attributable to owners decreased to HKD 185,494,000 from HKD 263,959,000, a decline of 29.7%[64]. - The company has a current liability exceeding current assets by approximately HKD 154,878,000, raising concerns about its ability to continue as a going concern[70]. - Trade receivables decreased from HKD 51,348,000 on December 31, 2022, to HKD 41,528,000 on June 30, 2023, with a provision for impairment of HKD 10,260,000[102]. - The group’s non-collateralized loans and interest receivables dropped from HKD 64,020,000 on December 31, 2022, to HKD 35,272,000 on June 30, 2023[105]. - Trade payables decreased from HKD 46,224,000 on December 31, 2022, to HKD 26,314,000 on June 30, 2023[108]. - Other payables and accrued liabilities totaled HKD 27,503,000 as of June 30, 2023, down from HKD 35,098,000 at the end of 2022[110]. - The group’s secured bank borrowings were HKD 59,645,000 as of June 30, 2023, compared to HKD 79,258,000 on December 31, 2022[111]. - The total amount of bank and other borrowings was HKD 380,113,000 on June 30, 2023, down from HKD 347,275,000 at the end of 2022[113]. Investments - The company reported a fair value loss of HKD 47.8 million on financial assets measured at fair value through profit or loss, compared to a loss of HKD 50.8 million in the same period last year[8]. - As of June 30, 2023, the group held listed investments valued at approximately HKD 6,200,000, unlisted investments at HKD 185,300,000, and private equity fund investments at HKD 6,500,000[36]. - The total fair value of investments as of June 30, 2023, was HKD 185,293,000, reflecting a decrease of HKD 48,272,000 compared to the previous period[38]. - The investment in China Evergrande New Energy Vehicle Group Limited amounted to 5,000,000 shares, with a fair value of HKD 6,200,000 and an unrealized loss of HKD 32,297,380[38]. - The group plans to continue monitoring its investment portfolio cautiously due to external economic challenges, including bank failures and debt default risks[50]. - The group’s investment in FreeOpt Holdings Limited showed a fair value decrease of HKD 24,483,000, with a total investment cost of HKD 150,000[36]. - The group’s investment in Seekers Partners Limited resulted in an unrealized loss of HKD 498,639, with a total investment cost of HKD 53,217[36]. - The group’s investment in Triton Algae Innovations, Ltd showed a fair value increase of HKD 8, with a total investment cost of HKD 27,300[36]. Employee and Management - As of June 30, 2023, the group had approximately 569 full-time employees in Hong Kong and mainland China, down from 570 full-time employees as of December 31, 2022[19]. - The total employee benefits expense decreased to HKD 55,377,000 in the first half of 2023, compared to HKD 65,014,000 in the same period of 2022[91]. - The company’s management team and employees were acknowledged for their professionalism and contributions to the group[22]. Shareholder and Dividends - The board did not recommend any interim dividend for the six months ended June 30, 2023, consistent with the previous year[20]. - The company reported that Mr. Wang Liang holds 622,500,000 shares, representing approximately 22.18% of the company's issued shares as of June 30, 2023[24]. - The company has commitments from directors and shareholders not to demand repayment of HKD 105,448,000 until there is sufficient cash available[71]. Stock Options and Share-Based Payments - The company has a total of 138,352,250 stock options granted under the 2012 plan, of which 78,135,577 are immediately exercisable, representing approximately 2.78% of the total issued shares as of June 30, 2023[120]. - The company recognized an expense of HKD 4,561,000 for share-based payments for the six months ended June 30, 2023, compared to HKD 8,855,000 for the same period in 2022[131]. - The stock options granted on February 21, 2019, have an exercise price of 0.48 HKD and a total of 30,000,000 options are available for other participants[124]. - The stock options granted on October 8, 2020, have an exercise price of 0.40 HKD, with a total of 36,000,000 options available for exercise[126]. - The company aims to reward and incentivize qualified participants contributing to its successful operations through the stock option plans[117]. Financial Instruments and Fair Value - The fair value of financial assets and liabilities measured at cost or amortized cost does not differ significantly from their fair value as of June 30, 2023[134]. - The total fair value of financial assets measured at fair value through profit or loss decreased from HKD 186,086,000 on December 31, 2022, to HKD 155,293,000 on June 30, 2023, reflecting a loss of HKD 30,793,000[149]. - The company experienced a net loss of HKD 140,372,000 in fair value adjustments for non-listed equity instruments during the reporting period[149]. - The fair value measurement for financial instruments did not involve any transfers between Level 1 and Level 2 inputs during the first half of 2023[143]. - The fair value of non-listed equity investments was primarily determined by the company's directors as of June 30, 2023[149].
透云生物(01332) - 2023 - 中期财报