Revenue Growth - Revenue increased by 39.7% from approximately $85.1 million for the six months ended June 30, 2021, to approximately $118.9 million for the six months ended June 30, 2022[7]. - The group's revenue increased by 39.7% from approximately $85.1 million for the six months ended June 30, 2021, to approximately $118.9 million for the six months ended June 30, 2022[21]. - North American revenue rose by 67.7% from approximately $56.3 million to approximately $94.4 million during the same period[21]. - Revenue from Chinese operations decreased by 14.7%, from approximately RMB 186.7 million (approximately $28.8 million) to approximately RMB 159.3 million (approximately $24.5 million)[21]. - Total revenue for the six months ended June 30, 2022, was $118.93 million, an increase from $85.13 million in the same period of 2021, representing a growth of 39.8%[96]. Profitability - Gross profit for the six months ended June 30, 2022, was $44.2 million, compared to $29.7 million for the same period in 2021, reflecting a gross margin of 37.2%[4]. - Adjusted net profit for the six months ended June 30, 2022, was $18.8 million, compared to $14.5 million for the same period in 2021, with an adjusted net profit margin of 15.8%[4]. - The group's net profit increased by 44.0% from approximately $9.1 million for the six months ended June 30, 2021, to approximately $13.1 million for the six months ended June 30, 2022, with a net profit margin of 11.0% compared to 10.6% in the previous period[32]. - Adjusted net profit rose by 29.7% from approximately $14.5 million for the six months ended June 30, 2021, to approximately $18.8 million for the six months ended June 30, 2022, with an adjusted net profit margin of 15.8% down from 17.1%[34]. - EBITDA increased by 51.2% from approximately $21.5 million for the six months ended June 30, 2021, to approximately $32.5 million for the six months ended June 30, 2022, with an EBITDA margin of 27.3% compared to 25.3% in the previous period[35]. Assets and Liabilities - Total assets as of June 30, 2022, were $492.9 million, an increase from $475.8 million as of December 31, 2021[4]. - The total liabilities as of June 30, 2022, were $164.9 million, compared to $152.8 million as of December 31, 2021[4]. - Cash and cash equivalents decreased to $67.8 million as of June 30, 2022, from $144.6 million as of December 31, 2021[4]. - Goodwill increased by 88.8% from approximately $71.5 million as of December 31, 2021, to approximately $135.0 million as of June 30, 2022, mainly due to the acquisition of Experimur[41]. - Trade and other receivables increased by 19.8% from approximately $42.5 million as of December 31, 2021, to approximately $50.9 million as of June 30, 2022, driven by business growth[42]. Operational Developments - The company has over 1,500 employees and operates 22 facilities across three countries[7]. - The company completed the construction of a 25,000 square foot facility in Hayward, California, which began operations in May 2022, enhancing capabilities in LC-MS bioanalysis and biopharmaceutical testing[11]. - The acquisition of Experimur LLC, completed on January 10, 2022, expands the company's service offerings in toxicology and non-clinical development services for the pharmaceutical and biotechnology sectors[12]. - The new GMP kilogram laboratory in Shanghai, covering 7,000 square feet, became fully operational during the reporting period, enhancing chemical service capabilities[15]. - A new 89,000 square feet facility in Suzhou is expected to be operational by Q4 2022, aimed at improving formulation development and manufacturing capabilities[16]. Shareholder Actions - The company has repurchased a total of 11,688,000 shares at a total cost of approximately HKD 35,243,000, reflecting confidence in its business outlook[56]. - The company has not declared an interim dividend for the six months ended June 30, 2022, consistent with the previous year[54]. - The company aims to enhance its position as a value-added partner, focusing on solving complex drug discovery and development issues for clients[51]. - The company has identified the small and medium-sized biopharmaceutical market as a rapidly growing area with further development opportunities[51]. - The total amount raised from the IPO, after deducting underwriting fees and related expenses, was approximately $193.2 million, with an unutilized net balance of about $28.8 million as of June 30, 2022[52]. Tax and Regulatory Matters - The effective tax rate increased to 26.9% for the six months ended June 30, 2022, from 21.1% in the previous period, leading to a rise in income tax expense from approximately $2.4 million to approximately $4.8 million[31]. - The group's subsidiaries in China benefit from a preferential tax rate of 15% due to their status as high-tech enterprises[9]. - The consolidated income tax rate for the six months ended June 30, 2022, was 24.62%, a decrease from 25.50% for the same period in 2021[9]. Cash Flow and Investments - The net cash generated from operating activities for the six months ended June 30, 2022, was $24,511 thousand, compared to $12,424 thousand for the same period in 2021, representing a 97% increase[87]. - Net cash used in investing activities was $(102,412) thousand for the six months ended June 30, 2022, compared to $(40,815) thousand for the same period in 2021, indicating a significant increase in investment outflows[87]. - Capital expenditures for the six months ended June 30, 2022, were approximately $20.8 million, a decrease of 27.3% from $28.6 million for the same period in 2021[46]. - The company has capital commitments totaling $24,718,000 as of June 30, 2022, down from $85,695,000 as of December 31, 2021[149]. - The company incurred a cash outflow of $(74,911) thousand for the acquisition of subsidiaries, compared to $(1,000) thousand in the previous year, indicating a substantial increase in acquisition activity[87].
方达控股(01521) - 2022 - 中期财报