Financial Performance - For the six months ended June 30, 2022, the company's revenue was approximately HKD 476.4 million, an increase of about 31.8% compared to the same period last year[5]. - The sales volume of sleepwear and loungewear products reached approximately 13.3 million units, representing a year-on-year increase of approximately 29.1%[4]. - The average selling price of sleepwear and loungewear products increased by approximately 4.0% compared to the previous year due to changes in the product mix[5]. - The gross profit for the first half of 2022 was approximately HKD 122.1 million, with an average gross profit margin of approximately 25.6%, up from 24.1% in the same period last year[7]. - The company's net profit attributable to owners increased by approximately 8.0% to approximately HKD 34.2 million for the six months ended June 30, 2022[14]. - The profit before tax increased to HKD 46,954,000, up from HKD 40,540,000 year-on-year, reflecting a growth of approximately 10.5%[67]. - The net profit for the period was HKD 33,262,000, compared to HKD 30,889,000 in the previous year, marking an increase of about 7.7%[67]. - Basic and diluted earnings per share rose to HKD 2.74, up from HKD 2.53 in the prior year, representing an increase of 8.3%[69]. - The company reported a total of HKD 291,698,000 in cost of goods sold for the six months ended June 30, 2022, compared to HKD 239,795,000 in the same period of 2021, an increase of 21.6%[106]. Assets and Liabilities - As of June 30, 2022, the group's current assets were approximately HKD 701.3 million, an increase of 18.3% from HKD 593.1 million on December 31, 2021[20]. - Total assets as of June 30, 2022, were HKD 701,258,000, compared to HKD 593,109,000 at the end of 2021, showing a growth of approximately 18.3%[71]. - Current liabilities increased to HKD 389,441,000 from HKD 238,278,000, indicating a rise of about 63.5%[71]. - The company's equity attributable to owners decreased to HKD 479,576,000 from HKD 524,681,000, reflecting a decline of approximately 8.6%[73]. - Trade receivables, net, decreased to HKD 34,215,000 as of June 30, 2022, from HKD 37,562,000 as of December 31, 2021, a decline of 6.2%[112]. - Trade payables increased significantly to HKD 151,235,000 as of June 30, 2022, from HKD 93,174,000 as of December 31, 2021, representing a rise of 62.2%[115]. Cash Flow and Investments - Operating cash flow for the six months ended June 30, 2022, was HKD 116,703,000, compared to a cash outflow of HKD 3,672,000 in the same period of 2021[83]. - The company reported a net cash outflow from investing activities of HKD 34,470,000, an improvement from HKD 44,943,000 in the previous year[83]. - Cash and cash equivalents increased by HKD 51,674,000 during the period, compared to a decrease of HKD 12,075,000 in the previous year[83]. - The group invested in 16 marketable bond instruments with a total principal of approximately USD 9 million, resulting in an unrealized loss of approximately HKD 7 million[24]. - The group also invested in 12 funds with a total principal of approximately HKD 88.1 million, incurring an unrealized loss of approximately HKD 4 million[26]. Strategic Developments - The company plans to establish a production facility in Honduras, expected to start production in the second half of 2022, to shorten delivery times to customers in the Americas[17]. - The investment plan for a production facility in Thua Thien-Hue Province, Vietnam, has been approved, which will double the company's production capacity upon completion[17]. - The group plans to expand its product offerings by adding children's clothing, which is expected to become a significant growth driver[19]. - The company plans to continue focusing on expanding its product offerings and market presence in the coming periods[90]. Shareholder Information - As of June 30, 2022, Mr. Tan and Mrs. Tan collectively hold 838,076,505 shares, representing 67.1% of the company's issued share capital[36]. - Strategic King Holdings Limited, controlled by Mr. Tan (90% ownership) and Mrs. Tan (10% ownership), holds the same number of shares, indicating significant control over voting rights[37]. - The company has not issued or agreed to issue any share options under the share option scheme, which allows for the issuance of up to 125,000,000 shares, equivalent to 10% of the company's issued share capital[46]. - The company did not recommend any interim dividend for the six months ending June 30, 2022, consistent with the previous year[55]. - The company declared a dividend of HKD 0.059 per share for the six months ended June 30, 2022, totaling approximately HKD 73,800,000, compared to HKD 0.036 per share or HKD 45,000,000 in the same period of 2021, representing a 64.4% increase in total dividends[107]. Compliance and Governance - The board of directors has confirmed compliance with the corporate governance code, except for the combined roles of Chairman and CEO held by Mr. Tan[53]. - There are no reported interests or stakes held by directors or major shareholders in competing businesses[49]. - The company has not entered into any significant contracts with directors that would create a direct or indirect interest during the reporting period[50]. - The company has adhered to the securities trading code for directors throughout the reporting period[51]. - The company has maintained sufficient public float as required by the listing rules during the reporting period[54]. Foreign Exchange and Risks - The group experienced a foreign exchange loss of HKD 6,805,000 due to currency fluctuations, compared to a gain of HKD 5,857,000 in the previous year[67]. - The group has established foreign exchange options to hedge against currency risks between RMB and USD as of June 30, 2022[23].
捷隆控股(01425) - 2022 - 中期财报