Financial Performance - The group recorded a net profit of approximately HKD 16.3 million for the six months ended September 30, 2022, compared to HKD 1.3 million in the same period of 2021, representing a significant increase [15]. - Revenue for the period increased by approximately HKD 13.7 million or about 12.0% to approximately HKD 128.3 million, primarily due to the undertaking of several large construction projects [9]. - Gross profit decreased slightly to approximately HKD 11.2 million, with a gross profit margin of about 8.7%, down 1.4 percentage points from 10.1% in the same period of 2021 [10]. - The total comprehensive income attributable to the owners of the company for the period was HKD 16,259,000, compared to a loss of HKD 9,765,000 in the previous year [36]. - Basic earnings per share for the six months ended September 30, 2022, was HKD 0.406, compared to HKD 0.032 for the same period in 2021, reflecting a significant increase [66]. - Cash flow from operating activities for the six months ended September 30, 2022, was HKD 24,832,000, a significant improvement from a cash outflow of HKD 4,906,000 in the prior year [45]. Government Support - The group received government subsidies of approximately HKD 12 million through the "Employment Support Scheme" during the period [7]. - The company recognized government subsidies related to the COVID-19 pandemic amounting to HKD 1,221,000 during the six-month period ended September 30, 2022 [59]. Assets and Liabilities - The group had a total of approximately HKD 42.1 million in bank balances and cash as of September 30, 2022, compared to HKD 23.0 million as of March 31, 2022 [16]. - There were no outstanding debts as of September 30, 2022, maintaining a zero debt ratio [17]. - The company’s total assets as of September 30, 2022, were HKD 149,951,000, up from HKD 142,188,000 as of March 31, 2022 [39]. - The total equity attributable to the owners of the company increased to HKD 103,575,000 from HKD 87,316,000 as of March 31, 2022 [39]. - Trade receivables as of September 30, 2022, were HKD 17,263,000, down from HKD 69,079,000 as of March 31, 2022, indicating a reduction in credit losses [73]. - Trade and other payables amounted to HKD 46,376 million as of September 30, 2022, down from HKD 54,872 million as of March 31, 2022, reflecting a decrease of 15.5% [83]. Investments and Expenditures - The group invested approximately HKD 5.8 million in the purchase of property, plant, and equipment during the period, funded entirely by internal resources [22]. - The company plans to utilize HKD 84,200,000 from the proceeds for various purposes, including purchasing machinery and increasing workforce [30]. - The company invested approximately HKD 58 million in property, plant, and equipment during the period, compared to approximately HKD 2.1 million for the same period in 2021 [70]. Workforce and Employment - The company employed 100 full-time staff as of September 30, 2022, an increase from 72 full-time staff as of March 31, 2022 [32]. - The total salary cost incurred by the company during the period was approximately HKD 169,000,000, compared to HKD 148,000,000 in the same period last year, reflecting a rise in compensation expenses [32]. Challenges and Outlook - The group continues to face challenges such as material price fluctuations and a shortage of skilled labor in the construction industry [7]. - The group remains optimistic about the future of foundation engineering and is committed to improving operational efficiency and business profitability [8]. Corporate Governance - The company is committed to maintaining good corporate governance to protect shareholder interests [103]. - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited interim results [109]. - There have been no arrangements for directors to purchase shares or debt securities of the company during the reporting period [105]. - The company has not bought, sold, or redeemed any of its securities during the reporting period [106]. Shareholder Information - The issued share capital remained at HKD 40,000 million with 4,000,000,000 shares as of both September 30, 2022, and March 31, 2022 [82]. - The company holds 2,040,000,000 shares, representing 51.096% of the total equity [97]. - The spouse of the major shareholder, Ms. Cai Meizhu, also holds 2,040,000,000 shares, equating to 51.096% [98]. - Kingkey Investment Fund SPC holds 204,000,000 shares, which is 5.196% of the total equity [97]. - The company has maintained sufficient public float as per listing rules [108].
汛和集团(01591) - 2023 - 中期财报