Revenue Performance - Revenue for the first half of 2023 increased by approximately 37.5% to approximately HK$31,932,000 compared to HK$23,224,000 in 2022[2] - Revenue from apparel operation rose by 74.3% to approximately HK$26,431,000 for the six months ended June 30, 2023, up from HK$15,162,000 in 2022[139] - Revenue from money lending operation decreased by approximately 48.8% to approximately HK$4,124,000 compared to HK$8,062,000 in 2022[145] - Revenue from IP application and products operation was approximately HK$1,377,000 for the reporting period, as the operation commenced in July 2022[150] - Revenue from external customers for the six months ended June 30, 2023, was HK$31,932,000, representing a 37.5% increase from HK$23,224,000 in the same period of 2022[38] - Revenue from Mainland China increased significantly to HK$27,808,000 in 2023 from HK$12,823,000 in 2022, marking a growth of 116.5%[38] Profit and Loss - Gross profit remained unchanged at approximately HK$6,199,000 for both periods, with apparel operations recovering to a gross profit of approximately HK$1,836,000 from a gross loss of HK$1,863,000 in 2022[2] - Loss attributable to owners of the Company decreased by 48.2% to approximately HK$21,251,000 from HK$40,992,000 in 2022, primarily due to the reversal of expected credit loss on loans and interest receivables[2] - Total comprehensive income for the period attributable to owners of the Company was a loss of approximately HK$23,889,000, compared to a loss of HK$41,522,000 in 2022[5] - The company reported a loss for the period of HK$21,251,000 for the six months ended June 30, 2023, compared to a loss of HK$40,992,000 for the same period in 2022, showing an improvement of approximately 48%[9] - Segment loss for the six months ended June 30, 2023, was HK$40,967,000, compared to a loss of HK$17,645,000 in the same period of 2022[48] Financial Position - Cash and bank balances decreased to HK$24,340,000 from HK$52,012,000 as of December 31, 2022[6] - Trade receivables increased to HK$44,568,000 from HK$39,065,000 as of December 31, 2022[6] - Net current assets decreased to HK$176,903,000 from HK$184,194,000 as of December 31, 2022[6] - As of June 30, 2023, the company's net assets decreased to HK$201,836,000 from HK$209,300,000 as of December 31, 2022, representing a decline of approximately 3.3%[8] - The total equity attributable to the owners of the Company was HK$201,041,000 as of June 30, 2023, down from HK$208,432,000 at the end of 2022, indicating a decrease of about 3.5%[9] - Total assets amounted to HK$259,679,000, with segment assets for design, manufacturing, and trading of apparels at HK$81,092,000, money lending services at HK$115,992,000, and trendy cultural products at HK$50,327,000[31] - The Group's total liabilities as of 30 June 2023 were HK$57,843,000, with segment liabilities for design, manufacturing, and trading of apparels at HK$18,055,000, money lending services at HK$1,116,000, and trendy cultural products at HK$4,151,000[31] Cash Flow and Financing - Net cash used in operating activities for the six months ended June 30, 2023, was HK$29,041,000, compared to HK$26,346,000 for the same period in 2022, reflecting an increase in cash outflow of about 10.2%[11] - The company generated HK$3,358,000 from financing activities in the first half of 2023, a significant decrease from HK$32,784,000 in the same period of 2022, representing a decline of about 89.8%[11] - The company reported a net fair value loss on financial assets of HK$4,497,000 for the six months ended June 30, 2023[46] - Total borrowings and lease liabilities were approximately HK$30,613,000 as of June 30, 2023, down from HK$31,457,000 as of December 31, 2022[182] Expenses and Costs - Employee benefit expenses for the six months ended June 30, 2023, were HK$23,753,000, compared to HK$25,574,000 in 2022, showing a decrease of 7.1%[49] - Selling and distribution expenses increased by 87.6% to approximately HK$1,743,000, representing 5.5% of revenue, up from 4.0% in 2022[164][167] - Administrative expenses decreased by approximately 12.4% to HK$33,144,000, down from HK$37,838,000 in 2022[165][168] - Finance costs increased by 782.7% to approximately HK$3,257,000, primarily due to interest expenses from convertible bonds[171][174] Share Capital and Options - The company’s share capital increased to HK$20,248,000 as of June 30, 2023, from HK$19,836,000 at the end of 2022, marking an increase of approximately 2.1%[9] - The total number of issued and fully paid ordinary shares increased to 2,024,774,324 as of June 30, 2023, from 1,983,636,359 as of December 31, 2022[114] - The company granted 168,850,000 share options on January 17, 2023, with an exercise price of HK$0.23 per share, and an estimated fair value of HK$20,568,000[120] - The total number of options outstanding at the beginning of the period was 16,900,000, with no options granted during the period[126] - The company continues to manage its share option scheme actively, reflecting its commitment to employee incentives and retention[126] Taxation and Compliance - The Group's estimated assessable profits in Hong Kong are subject to a profits tax rate of 16.5%, with the first HK$2,000,000 taxed at 8.25%[54][57] - The corporate income tax rate for the Group's PRC subsidiaries is 25%, unchanged from 2022[55][58] - The applicable withholding income tax rate for dividends distributed from the Group's PRC profits is 5%[56][59] Business Operations and Strategy - The company has not reported any significant changes in its business operations during the period[13] - The company plans to continue its market expansion and product development strategies in the upcoming periods[120] - The Group maintained a prudent financial management approach, ensuring a healthy liquidity position throughout the review period[190]
天机控股(01520) - 2023 - 中期财报