Financial Performance - For the six months ended April 30, 2022, the group's revenue decreased by approximately 34.78%, from about SGD 116.90 million to approximately SGD 76.24 million[12]. - The group's gross profit declined from approximately SGD 9.50 million for the six months ended April 30, 2021, to SGD 2.75 million, representing a decrease of about 71.05%[12]. - The gross profit margin fell to 3.61% during the current period, compared to 8.13% in the previous period[12]. - The group recorded a net loss of approximately SGD 1.02 million for the current period, a decrease of about 121.80% compared to a net profit of SGD 4.68 million in the previous period[17]. - Total revenue for the six months ended April 30, 2022, was SGD 76,245,000, a decrease of 34.8% compared to SGD 116,901,000 for the same period in 2021[60]. - Gross profit for the same period was SGD 2,749,000, down 71.1% from SGD 9,504,000 year-over-year[60]. - The company reported a loss before tax of SGD 1,921,000, compared to a profit of SGD 4,773,000 in the previous year[60]. - Basic and diluted loss per share was SGD 0.06, a decline from earnings of SGD 0.30 per share in the prior year[60]. - The company reported a loss attributable to owners of SGD 891,000 for the six months ended April 30, 2022, compared to a profit of SGD 4,742,000 in the same period of 2021, representing a significant decline[98]. Liquidity and Financial Position - As of April 30, 2022, the current ratio of the group was 2.5, compared to 2.4 on October 31, 2021, indicating strong liquidity management[20]. - The debt-to-equity ratio increased to 20.26% as of April 30, 2022, from 14.2% on October 31, 2021, primarily due to the drawdown of construction loans for the redevelopment project at 7 Kung Chong Road, Singapore[21]. - Total assets as of April 30, 2022, were SGD 146,509,000, a slight decrease from SGD 148,960,000 as of October 31, 2021[62]. - Total liabilities decreased to SGD 62,692,000 from SGD 64,124,000 year-over-year[62]. - Cash and cash equivalents were SGD 19,998,000, down from SGD 30,799,000 in the previous year[61]. - The company’s equity attributable to owners was SGD 83,827,000, a decrease from SGD 84,718,000 in the previous year[62]. Operational Highlights - The group maintained a robust order level of SGD 269 million as of April 30, 2022[8]. - The group successfully secured an additional contract for the LOGOS warehouse expansion and renovation, valued at SGD 27.36 million[8]. - The group has five ongoing projects, with expected completions ranging from Q4 2022 to Q2 2024[10]. - The company plans to focus on improving operational efficiency and exploring new market opportunities to enhance future performance[60]. Corporate Governance - The Audit Committee has reviewed the unaudited interim financial statements for the six months ended April 30, 2022, and confirmed compliance with applicable standards and regulations[43]. - The company has adopted the corporate governance code as per the listing rules, except for the separation of roles between the Chairman and CEO, which is currently held by Mr. Wang Yingde[40]. - The company emphasizes the importance of good corporate governance to fulfill its responsibilities to shareholders and enhance shareholder value[40]. - The Audit Committee consists of three independent non-executive directors, ensuring effective oversight of financial reporting and internal controls[42]. Market Outlook - The construction demand in Singapore is forecasted to be between SGD 27 billion and SGD 32 billion for the year, excluding major developments like Marina Bay Sands and Sentosa Development[31]. - The semiconductor manufacturing sector is expected to see significant investment interest due to global chip shortages and strong infrastructure support in Singapore[32]. - The group remains cautiously optimistic about future performance as global social restrictions ease and national borders reopen, despite challenges from rising construction material costs[35]. Cash Flow and Investments - Operating cash flow before changes in working capital was SGD 3,834,000, down from SGD 6,558,000 year-on-year[65]. - Net cash used in operating activities was SGD 10,137,000, an improvement from SGD 11,750,000 in the previous year[66]. - The company incurred a net cash outflow from investing activities of SGD 5,613,000, compared to SGD 2,844,000 in the prior year[66]. - Financing activities generated a net cash inflow of SGD 4,952,000, a significant increase from a net outflow of SGD 938,000 in the previous year[66]. Shareholder Information - The company has a total of 1,600,000,000 shares issued as of April 30, 2022[48]. - Mr. Wang Yingde holds 660,000,000 shares, representing approximately 41.25% of the issued share capital, while Mr. Shi Jianhua holds 540,000,000 shares, representing approximately 33.75%[47]. - The company has adopted a share option scheme allowing for the issuance of up to 160 million shares, representing 10% of the shares listed on the Hong Kong Stock Exchange[36].
HPC HOLDINGS(01742) - 2022 - 中期财报