Financial Performance - Revenue for the first half of 2022 was HK$373,902,000, an increase of 2.0% compared to HK$363,184,000 in the same period of 2021[5] - Profit before tax for the period was HK$51,781,000, up from HK$29,760,000 in the previous year, representing a significant increase of 74.0%[9] - Basic earnings per share were HK18.8 cents, compared to HK10.2 cents in the same period last year, reflecting an increase of 84.3%[5] - The Group's turnover for the six months ended 30 June 2022 was approximately HK$373.9 million, representing an increase of approximately 3.0% compared to approximately HK$363.2 million for the last corresponding period[35] - The Group's gross profit margin for the six months ended 30 June 2022 was approximately 22.1%, an increase of approximately 2.8% over the last corresponding period's gross profit margin of approximately 19.3%[36] - EBITDA for the six months ended 30 June 2022 amounted to approximately HK$66.0 million, compared to approximately HK$43.5 million for the last corresponding period, representing an increase of approximately 51.1%[41] - The net profit attributable to owners of the Company for the six months ended 30 June 2022 was approximately HK$45.0 million, an increase of approximately 82.9% compared to approximately HK$24.6 million for the last corresponding period[45] - The profit for the period was HK$45,047,000, with a total comprehensive income of HK$19,873,000 after accounting for the final dividend of HK$14,400,000[120] Assets and Liabilities - Total assets as of June 30, 2022, were HK$1,064,620,000, a decrease from HK$1,077,387,000 as of December 31, 2021[9] - The net carrying amount of the Group's property, plant, and equipment as at 30 June 2022 was approximately HK$318.8 million, a decrease of approximately HK$28.3 million from approximately HK$347.1 million as at 31 December 2021[46] - Total current assets as at 30 June 2022 were approximately HK$696.5 million, an increase from approximately HK$679.9 million as at 31 December 2021[48] - The current ratio was around 2.8 as at 30 June 2022, compared to 2.6 as at 31 December 2021[48] - The gearing ratio of the Group was approximately 0.03 as of June 30, 2022, down from approximately 0.05 as of December 31, 2021[54] - Total liabilities remained stable at HK$811,386,000 compared to HK$812,089,000 in the previous year[103] Market and Business Strategy - The company has diversified its product mix and market coverage, particularly benefiting from increased revenue from automobile electronics[15] - The company aims to reduce reliance on a single product and market by adjusting production output according to sector demand changes[16] - The Group continues to explore business opportunities in the automotive electronics sector, which has shown significant growth recently[16] - The automotive sector accounts for a significant portion of PCB applications, with new energy vehicles requiring multiple times the PCBs compared to traditional vehicles, presenting favorable opportunities for the Group[32] - The Group's focus on the PCB business for over 32 years has allowed it to accumulate experience and networks, facilitating further development in the PCB market[33] Quality and Compliance - The Group has implemented various quality measures and achieved certifications such as ISO9001, ISO14001, and IATF16949, emphasizing the importance of product and process quality[18] - The Group has recognized the need for environmental protection and made relevant investments years ago, positioning itself better than competitors who fail to meet new environmental standards[23] Economic and External Factors - The ongoing COVID-19 pandemic and geopolitical conflicts, such as the Russia-Ukraine war, are negatively impacting the PCB market, leading to increased energy costs and inflation[72] - Despite challenges, the Group maintains a diversified market presence and a strong defensive position with a broad base of quality customers[72] - The impact of COVID-19 has led to risks in the electronics sector, affecting production activities and logistics, but the diversity of the PCB market has mitigated severe impacts[25] Investments and Dividends - No interim dividend was recommended for the six months ended June 30, 2022, consistent with the previous year[57] - The Group is exploring opportunities for investment in establishing a Greater Bay Area production base for PCBs[64] Taxation - The total tax charge for the period was HK$1,536,000 for Hong Kong and HK$5,688,000 for Mainland China, reflecting the applicable tax rates of 16.5% and 25% respectively[174] - The Group's effective tax rate in Hong Kong remained at 16.5%, while a subsidiary qualified for a reduced tax rate of 8.25% on the first HK$2,000,000 of taxable profits[177] Investment Properties - The Group's investment properties consist of residential properties and a commercial property in the PRC, leased to third parties under operating leases[188] - The total carrying amount of the Group's investment properties at the end of the reporting period was HK$28,168,000[190] - The estimated price per square metre for commercial properties in Mainland China ranged from RMB23,268 to RMB31,412 as of December 31, 2021, reflecting a potential increase in fair value[200] - The estimated price per square metre for residential properties in Mainland China ranged from RMB40,426 to RMB49,813 as of December 31, 2021, indicating significant valuation potential[200]
恩达集团控股(01480) - 2022 - 中期财报