Financial Performance - Revenue for the six months ended June 30, 2023, was HKD 162,597,000, an increase of 4.3% compared to HKD 155,276,000 in 2022[1] - Gross profit decreased to HKD 11,352,000, down 28.5% from HKD 15,855,000 in the same period last year[1] - Profit before tax for the period was HKD 3,012,000, a decline of 59.9% from HKD 7,501,000 in 2022[1] - Basic earnings per share decreased to HKD 0.20, down from HKD 0.49 in the previous year, representing a 59.2% decline[1] - Total comprehensive income for the six months ended June 30, 2023, was approximately HKD 3.0 million, down from approximately HKD 7.5 million for the same period in 2022, resulting in a net profit margin of about 1.9% compared to 4.8%[43] Cash Flow and Assets - Cash generated from operating activities was HKD 42,413,000, compared to a cash outflow of HKD 11,230,000 in the same period last year[6] - Total assets decreased to HKD 244,233,000 from HKD 279,763,000 at the end of 2022, reflecting a decline of 12.7%[3] - The net cash and cash equivalents at the end of the period were HKD 17,289,000, down from HKD 33,079,000 in the previous year[6] - The current ratio improved to approximately 2.2 times as of June 30, 2023, compared to approximately 1.9 times as of December 31, 2022[45] - The debt-to-equity ratio was zero as of June 30, 2023, down from 6.8% as of December 31, 2022[46] Liabilities and Equity - Current liabilities decreased to HKD 111,775,000 from HKD 148,686,000, a reduction of 25%[3] - The company reported a total equity of HKD 149,167,000 as of June 30, 2023, an increase from HKD 146,155,000 at the end of 2022[3] - The total liabilities, including trade payables, decreased to HKD 111,775,000 as of June 30, 2023, from HKD 137,526,000 at the end of 2022, a reduction of 18.7%[28][29] Employee Costs - The total employee costs increased to HKD 28,710,000 in 2023 from HKD 25,633,000 in 2022, marking an increase of 8.1%[18] - Employee costs for the six months ended June 30, 2023, were approximately HKD 28.7 million, compared to HKD 25.6 million for the same period in 2022, representing an increase of about 12.1%[57] - As of June 30, 2023, the group employed a total of 127 employees, down from 139 employees as of December 31, 2022[57] Segment Performance - The segment performance for building services engineering showed a profit of HKD 9,483,000, down 29.0% from HKD 13,333,000 in 2022[16][17] - Cost of sales rose from approximately HKD 139.4 million to approximately HKD 151.2 million, an increase of about 8.5%, primarily due to the commencement of several large projects awarded last year[40] - Gross profit decreased from approximately HKD 15.9 million to approximately HKD 11.4 million, a decline of about 28.4%, with a gross profit margin dropping from 10.2% to 7.0%[41] Corporate Governance and Management - The company has adhered to the corporate governance code, except for the separation of the roles of Chairman and CEO, which is currently held by the same individual[77] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited condensed consolidated financial statements for the relevant period[84] - The company will review the necessity of appointing a suitable candidate for the CEO role if required in the future[77] Shareholder Information - The company repurchased a total of 280,000 shares in July 2023 at a total cost of approximately HKD 16,800, reducing the total issued shares to 1,529,720,000[74] - As of June 30, 2023, Mr. Wong held 653 million shares, representing 42.68% of the company, while Ms. So held 1,037.49 million shares, representing 67.81%[64] - The company did not declare any interim dividends for the relevant period[79] Future Plans and Developments - The company plans to undertake larger projects and expand its service scope by applying for additional licenses and hiring qualified staff[37] - The company has not disclosed any new product developments or market expansion strategies during this reporting period[1] - No significant acquisitions or disposals of subsidiaries, associates, or joint ventures occurred during the reporting period[55] Financial Management - The company maintained a prudent financial management strategy, ensuring a stable liquidity position throughout the reporting period[48] - The company utilized its financial resources effectively by repurchasing shares, as authorized by shareholders at the annual general meeting[74] - The company has not made any purchases, sales, or redemptions of its listed securities during the relevant period, except for the aforementioned share repurchase[74]
立基工程控股(01690) - 2023 - 中期财报