Financial Performance - The Group's overall revenue decreased by 66.7% from approximately HK$412,700,000 during the six months ended 30 September 2021 to approximately HK$137,316,000 during the Period[13]. - The gross profit decreased by 216.4% from approximately HK$18,076,000 during the Comparative Period to a gross loss of approximately HK$21,045,000 during the Period[14]. - The gross profit margin decreased from approximately 4.4% during the Comparative Period to a gross loss margin of approximately 15.3% during the Period[14]. - The net loss for the Period was approximately HK$46,193,000, significantly higher than the net loss of approximately HK$4,911,000 during the Comparative Period[26]. - The loss before tax for the period was HK$46,193,000, compared to a loss of HK$4,911,000 in the same period of 2021, reflecting a worsening financial performance[106]. - The loss per share for the period was 11.5 cents, compared to 1.2 cents in the previous year, indicating a larger loss per share[106]. - The total equity as at 30 September 2022 was HK$28,948,000, a decrease from HK$75,141,000 as at 31 March 2022, reflecting a decline of 61%[116]. - The company reported retained profits of HK$(59,455,000) as of 30 September 2022, compared to HK$(13,262,000) as of 31 March 2022, indicating a worsening of 348%[116]. Revenue and Income - Other income increased from approximately HK$2,193,000 during the Comparative Period to approximately HK$5,345,000 during the Period[18]. - The increase in other income was mainly due to a non-recurring government grant of approximately HK$2,152,000 under the Employment Support Scheme launched by the Hong Kong SAR Government[18]. - The Group's overall revenue decreased by approximately 64.5% to approximately HK$137,316,000 during the Period, compared to approximately HK$412,700,000 during the Comparative Period[27]. - Reportable segment revenue for foundation services was HK$137,316,000, a decrease of 63.5% from HK$376,098,000 in the same period last year[141]. - The group did not report any revenue from trading of electronic devices for the six months ended 30 September 2022, down from HK$36,602,000 in the same period last year[152]. Expenses and Costs - The increase in project costs was attributed to unexpected changes in on-site arrangements and work schedules due to the fifth wave outbreak of COVID-19 during the Period[14]. - Administrative and other operating expenses decreased by 14.9% from approximately HK$18,303,000 during the Comparative Period to approximately HK$15,578,000 during the Period[21]. - Employee benefits expense, including salaries and bonuses, decreased to HK$25,914,000 in 2022 from HK$35,310,000 in 2021, a decline of about 26%[164]. - Costs of construction materials decreased to HK$39,059,000 in 2022 from HK$122,176,000 in 2021, representing a reduction of approximately 68%[164]. Assets and Liabilities - As of September 30, 2022, total assets were HK$488,033,000, down from HK$586,124,000 as of March 31, 2022, showing a decrease in total assets[110]. - Current liabilities amounted to HK$461,094,000, a decrease from HK$489,598,000 as of March 31, 2022, indicating a reduction in short-term obligations[110]. - Net assets as of September 30, 2022, were HK$28,948,000, significantly lower than HK$75,141,000 as of March 31, 2022, reflecting a decline in equity[112]. - The Group's total debts as of September 30, 2022, were approximately HK$261,565,000, down from approximately HK$281,749,000 as of March 31, 2022[44]. - The Group's trade payables decreased to approximately HK$1,697,000 as of 30 September 2022, down from approximately HK$17,192,000 as of 31 March 2022[182]. Cash Flow and Financing - For the six months ended 30 September 2022, net cash generated from operating activities was HK$23,055,000, compared to HK$8,134,000 for the same period in 2021, representing an increase of 184%[118]. - The net cash used in financing activities was HK$(18,718,000) for the six months ended 30 September 2022, compared to net cash generated of HK$53,508,000 in the same period of 2021[118]. - The company raised bank borrowings of HK$106,879,000 during the period, down from HK$217,000,000 in the previous year, a decrease of 51%[118]. - The carrying amount of the Unsecured Loan was approximately HK$93,788,000 as of 30 September 2022, compared to approximately HK$92,894,000 as of 31 March 2022[194]. Corporate Governance and Compliance - The Board does not recommend the payment of an interim dividend to shareholders for the period[69]. - The Company has complied with the Corporate Governance Code provisions during the period, except for the establishment of a standalone internal audit department[71]. - The audit committee, comprising three independent non-executive directors, has reviewed the interim financial statements for the period[99]. - The Board regularly reviews the effectiveness of the Group's internal control system, including financial, operational, and compliance controls[80]. Future Outlook and Strategy - The Group remains optimistic about the foundation industry in Hong Kong, supported by government plans to increase land supply for housing development over the next five years[34]. - The Group will continue to explore suitable investment opportunities to broaden its revenue base and maximize returns to shareholders[40]. - The Group plans to monitor global economic developments closely and adjust its business strategies as necessary[41].
剑虹集团控股(01557) - 2023 - 中期财报