Financial Performance - Revenue for the six months ended June 30, 2023, amounted to approximately MOP 68.1 million[14] - Gross profit for the same period was approximately MOP 115,000, resulting in a gross profit margin of 0.2%[14] - The Group's revenue for the Period decreased by MOP19.1 million or 21.9% compared to the corresponding period in 2022, primarily due to sluggish demand for E&M engineering services in Macau[19] - The gross profit margin fell from 18.1% for the six months ended 30 June 2022 to 0.2% for the Period, with gross profit decreasing from approximately MOP15.8 million to approximately MOP0.1 million[20] - The Group recorded a net loss of approximately MOP5.4 million for the Period, compared to a net profit of approximately MOP8.4 million for the same period in 2022[29] - The company reported a loss before tax of MOP 5,354,000, compared to a profit of MOP 9,641,000 in the prior year[111] - Total comprehensive loss for the period was MOP 5,368,000, compared to a profit of MOP 8,401,000 in the same period last year[111] - Earnings per share for the period were a loss of 1.07 MOP cents, down from earnings of 1.68 MOP cents in the previous year[111] Financial Position - As of June 30, 2023, the Group had bank balances of approximately MOP 118.2 million and net current assets of approximately MOP 177.6 million[15] - As of 30 June 2023, the Group had net current assets of approximately MOP177.6 million, with a current ratio of 6.0 times[31] - The Group's bank balances, including short-term bank deposits and pledged bank deposits, were approximately MOP118.2 million as of 30 June 2023[31] - The Group had bank mortgage borrowing of approximately MOP13.1 million as of 30 June 2023, with a gearing ratio of 6.4%[37] - The Group's debt-to-equity ratio was 6.4% as of June 30, 2023, compared to 6.2% as of December 31, 2022[43] - Total assets amounted to MOP 252,148,000, a slight decrease from MOP 259,872,000 as of December 31, 2022[113] - Total equity decreased to MOP 203,838,000 as of June 30, 2023, from MOP 214,776,000 at the beginning of the year[113] Operational Highlights - The Group maintained 25 ongoing projects, with 14 related to the public sector as of June 30, 2023[13] - The Group did not experience any work suspensions or project delays in the first half of 2023[13] - The Group continued to actively submit new project tenders to ensure stable operations and stimulate revenue growth[13] - The demand for repair and maintenance services is expected to increase due to the strategies of casino and hotel operators in Macau[10] - The Group expects the performance of the industry to gradually recover in the fourth quarter of 2023 due to the reopening of Macau's borders and the renewal of casino licenses for another 10 years[54] - The Group anticipates new hotel and casino projects as well as refurbishment projects to be launched in Macau, with the tendering process expected to begin in the fourth quarter of 2023[56] Staffing and Corporate Governance - The Group's commitment to preserving its current size resulted in no staff redundancies during the first half of 2023[15] - The Group currently has 65 employees in Macau, an increase from 61 employees as of December 31, 2022[49] - The Group has not granted any share options under its Share Option Scheme since its adoption on August 21, 2020[50] - The company is committed to maintaining good corporate governance standards to protect shareholder interests and enhance corporate value[65] - The company has complied with the corporate governance code, except for the specific deviation mentioned regarding the roles of Chairman and CEO[65] Cash Flow and Dividends - The company paid dividends totaling MOP 5,570,000 during the first half of 2023, a significant reduction from MOP 30,946,000 in the same period of 2022[116] - The company did not declare any interim dividend for the six months ended June 30, 2023, consistent with the previous year[82] - The company has not proposed any dividends for the six months ended June 30, 2023, compared to no dividends proposed in the same period last year[164] Contract Assets and Receivables - Contract assets increased significantly to MOP 61,193,000 as of June 30, 2023, compared to MOP 41,907,000 at the end of 2022, indicating growth in project commitments[113] - The allowance for credit losses for contract assets rose to MOP 166,000, compared to MOP 54,000 at the end of 2022[169] - Trade receivables decreased significantly to MOP 17,886,000 from MOP 40,935,000, a decline of 56.4%[188] - The overdue balances included approximately MOP 1,066,000 that have been overdue for more than 90 days, compared to MOP 100,000 as of December 31, 2022, indicating a significant increase in long-term overdue receivables[192] Interest Rates and Bank Deposits - Pledged bank deposits as of June 30, 2023, carried interest rates between 2.0% and 3.3% per annum, with an original maturity of 6 months[195] - Short-term bank deposits had interest rates ranging from 3.4% to 4.2% per annum as of June 30, 2023, compared to 1.1% to 4.1% as of December 31, 2022, reflecting an increase in interest rates[196] - Bank balances carried a prevailing market interest rate of 0.01% per annum, unchanged from December 31, 2022[197]
濠江机电(01408) - 2023 - 中期财报