Revenue Growth - Revenue increased by 178.0% from approximately RMB30.4 million for the six months ended 30 June 2022 to approximately RMB84.6 million for the six months ended 30 June 2023, driven by increased sales demand from Chinese customers post-COVID-19 and revenue from newly acquired subsidiaries[18]. - Revenue from sales of shoes and clothing rose from approximately RMB17.4 million for the six months ended 30 June 2022 to approximately RMB63.1 million for the six months ended 30 June 2023[22]. - The Group's revenue increased by 178.0% to approximately RMB 84.6 million for the six months ended 30 June 2023, compared to approximately RMB 30.4 million for the same period in 2022[34]. - Revenue for the six months ended June 30, 2023, was RMB 84,610,000, compared to RMB 30,433,000 for the same period in 2022, representing an increase of 177%[93]. - Revenue from fabric sales was RMB 13,139,000, while shoes and clothes sales generated RMB 63,053,000, and elastic webbings contributed RMB 8,418,000[143]. Expenses and Costs - Selling and distribution expenses surged by 701.6% from approximately RMB0.8 million for the six months ended 30 June 2022 to approximately RMB6.2 million for the six months ended 30 June 2023, due to increased transportation fees and promotion costs[1]. - General and administrative expenses decreased by 14.2% from approximately RMB14.7 million for the six months ended 30 June 2022 to approximately RMB12.7 million for the six months ended 30 June 2023, as the Group strictly controlled administrative costs[1]. - The Group's cost of sales rose by 162.5% from approximately RMB 28.1 million for the six months ended 30 June 2022 to approximately RMB 73.8 million for the six months ended 30 June 2023[42]. - The cost of sales increased by 162.5% from approximately RMB28.1 million for the six months ended 30 June 2022 to approximately RMB73.8 million for the six months ended 30 June 2023, consistent with overall revenue growth[68]. Profitability and Loss - Loss attributable to the owners of the Company decreased from approximately RMB50.3 million for the six months ended 30 June 2022 to approximately RMB8.9 million for the six months ended 30 June 2023[16]. - Loss per share decreased from RMB0.9105 for the six months ended 30 June 2022 to RMB0.0027 for the six months ended 30 June 2023[16]. - Gross profit for the same period was RMB 10,813,000, up from RMB 2,315,000 in 2022, indicating a significant improvement in profitability[93]. - Loss before tax decreased to RMB 9,067,000 in 2023 from RMB 49,658,000 in 2022, showing a reduction of approximately 82%[93]. - The total loss attributable to the owners of the company was RMB (8,868,000) for the period, compared to RMB (50,279,000) in the previous year[187]. Financial Position - The Group's borrowings decreased to approximately RMB 244.5 million as of 30 June 2023, down from RMB 1,076.1 million as of 31 December 2022[48]. - The Group's bank and cash balance was approximately RMB 23.6 million as of 30 June 2023, compared to approximately RMB 1.3 million as of 31 December 2022[47]. - The Group's net current liabilities improved to RMB (454,316,000) from RMB (1,226,749,000), reflecting a significant reduction in liabilities[119]. - As of June 30, 2023, net liabilities were reported at RMB (254,491,000), a reduction from RMB (1,175,335,000) at the end of 2022[96]. - The total equity attributable to the owners of the company at 30 June 2023 was RMB 1,311,619,000, up from RMB 679,186,000 at 30 June 2022[97]. Workforce and Operations - The total workforce increased to 321 as of 30 June 2023, up from 167 as of 31 December 2022[53]. - The Group plans to continue monitoring the industry and regularly review its business expansion plans to align with the best interests of the Group and its shareholders[3]. - The Group has incorporated a new subsidiary to start a new online advertising business in the second half of 2023, aiming to diversify income sources[56]. - The management is actively exploring opportunities for acquisitions of companies in Hong Kong and China to mitigate trading risks and enhance financial stability[57]. Corporate Governance and Compliance - The Board has resolved not to declare any dividend for the six months ended 30 June 2023, consistent with the previous year[79]. - The company complied with the Corporate Governance Code throughout the reporting period, except for code provision A.1.8 regarding insurance cover for directors[107]. - The Audit Committee, comprising three independent non-executive directors, oversees the financial reporting process and risk management[109]. - The Regulatory Compliance Committee ensures business operations comply with relevant laws and regulations[113]. - The company will continue to review and enhance its corporate governance practices to meet CG Code requirements[107]. Acquisitions and Investments - The acquisition of Leader Elastic Limited on April 28, 2023, involved purchasing 80.95% of its issued share capital, which is expected to enhance the production and sales of elastic webbing for bras and underwear[135]. - The total consideration for the acquisition of 80.95% equity interest in Leader Elastic Limited was approximately RMB 18,546,000[156]. - The acquisition of Leader Elastic Limited resulted in a gain on bargain purchase of RMB 7,767,000[149]. - The fair value of identifiable net assets of Leader Elastic Group at acquisition was RMB 44,908,000, with a purchase consideration of RMB 18,546,000[137]. Cash Flow and Liquidity - For the six months ended 30 June 2023, the net cash generated from operating activities was RMB 30,468,000, compared to a net cash used of RMB 3,560,000 in the same period of 2022[98]. - The company reported a net cash used in financing activities of RMB 5,370,000 for the period, compared to a net cash generated of RMB 2,015,000 in the previous year[98]. - The net cash used in investing activities was RMB 2,823,000 for the six months ended 30 June 2023, compared to a net cash generated of RMB 2,000,000 in the same period of 2022[98]. - As of June 30, 2023, the cash and cash equivalents at the end of the period were RMB 23,573,000, compared to RMB 692,000 at the end of June 2022[98].
满地科技股份(01400) - 2023 - 中期财报