Revenue Performance - The Group's revenue for the six months ended December 31, 2022, was approximately S$6.6 million, representing an increase of approximately S$1.6 million, or 32.5%, compared to S$5.0 million for the same period in 2021[3]. - Revenue from integrated design and building services was S$6.1 million for the six months ended December 31, 2022, compared to S$4.8 million in the previous year, indicating a significant growth[20]. - The digital assets custodian solution business generated revenue of S$104,330 during the reporting period, marking its first contribution to the Group's earnings[20]. - The Group reported total revenue of S$6,586,372 for the six months ended December 31, 2022, an increase from S$4,970,978 in the same period of 2021, representing a growth of approximately 32.4%[78]. - The engineering segment generated revenue of S$6,482,042, while the FinTech platform segment contributed S$104,330, indicating a significant reliance on the engineering segment for revenue[73]. Financial Losses - The Group recorded a consolidated loss after tax of S$1.78 million for the six months ended December 31, 2022[9]. - For the six months ended December 31, 2022, the company reported a loss before taxation of S$7,294,021, compared to a loss of S$1,640,786 in the same period of 2021, indicating a significant increase in losses[61]. - The consolidated loss after tax for the period was S$7,411,142, compared to a loss of S$1,778,880 in the previous year, reflecting a substantial increase in losses[79]. - The total comprehensive loss for the period amounted to S$7,911,488, compared to S$1,763,920 in the same period of 2021, highlighting a worsening financial position[79]. - Loss attributable to owners of the Company for the six months ended 31 December 2022 was S$7,410,525, compared to S$1,778,880 for the same period in 2021, representing an increase of 317%[132]. Cash Flow and Assets - The operating cash flows before working capital changes were negative at S$6,547,703, compared to a negative S$1,377,405 in the previous year, reflecting worsening cash flow conditions[61]. - Net cash used in operating activities for the six months was S$7,498,804, a substantial increase from S$643,010 in the prior year, highlighting ongoing operational challenges[61]. - Total current assets decreased to S$18,962,911 as of December 31, 2022, from S$25,455,985 on June 30, 2022[46]. - Total non-current assets decreased to S$7,152,438 as of December 31, 2022, from S$7,989,090 on June 30, 2022[46]. - Cash and cash equivalents at the end of the period were S$10,278,213, down from S$20,234,375 at the end of the previous period[88]. Operational Challenges - The Group's ongoing projects were gradually restarted post-pandemic, contributing to the increase in revenue[3]. - The company is focusing on enhancing its operational strategies to address the increased losses and improve cash flow management moving forward[61]. - Administrative expenses surged to S$9,650,470, up from S$2,891,412 in the prior year, indicating increased operational costs[78]. - Total staff costs for the six months ended 31 December 2022 amounted to S$8,228,488, significantly higher than S$2,700,356 in the same period of 2021, marking an increase of approximately 204%[151]. Market and Future Outlook - The Group has obtained a market data supplier license from the Hong Kong Stock Exchange, aiming to develop market data services and risk management systems[1]. - The digital assets custodian solution business is expected to continue its organic growth, aligning with future market needs[1]. - Future outlook includes potential market expansion and new product development initiatives to drive revenue growth[61]. - The Group is developing a fintech platform aimed at enabling global users to explore and monetize various asset classes, including traditional financial markets and digital assets[185]. - The Group is optimistic about acquiring the Virtual Asset Trading Platform Operators Licence and has submitted the application to the Securities and Futures Commission (SFC)[183]. Shareholder Information - The Group's total equity decreased to S$20,803,558 from S$28,442,483, indicating a decline in shareholder value[82]. - The basic and diluted loss per share for the six months ended 31 December 2022 was 0.82 Singapore cents, up from 0.21 Singapore cents in 2021, indicating a significant increase in loss per share[132]. - The weighted average number of ordinary shares for calculating basic and diluted loss per share increased to 898,630,137 in 2022 from 838,260,870 in 2021, reflecting a growth of approximately 7.2%[132]. - The board does not recommend the payment of an interim dividend for the six months ended December 31, 2022, consistent with 2021[109]. Cryptocurrency and Digital Assets - As of December 31, 2022, the fair value of cryptocurrencies held by the Group is S$10,947, down from S$12,266 on June 30, 2022[25]. - The fair value of cryptocurrencies received from customers is S$4,080,225 as of December 31, 2022, compared to S$40,786 on June 30, 2022[25]. - The impairment loss on cryptocurrencies was S$147, showing the impact of market volatility on the company's digital asset holdings[61]. - The Group applies IAS 2 guidance for measuring virtual assets at fair value less costs to sell[25]. - The Group has no significant costs to sell virtual assets as per its assessment[25].
HKE HOLDINGS(01726) - 2023 - 中期财报