Financial Performance - The revenue for the six months ended June 30, 2022, was RM 868.0 million, an increase of 12.2% compared to RM 773.7 million for the same period in 2021[11]. - The net profit after tax for the period was RM 7.8 million, a significant decrease of 51.7% from RM 16.2 million in the same period last year[15]. - The gross profit for the six months ended June 30, 2022, decreased by 24.8% to 35.3 million MYR from 46.9 million MYR in the same period of 2021, resulting in a gross margin decline from 6.1% to 4.1%[24]. - Operating profit decreased to 13,117 thousand MYR from 24,288 thousand MYR, indicating a decline of 45.9% year-over-year[87]. - The company reported a total comprehensive income of 7,847 thousand MYR for the six months ended June 30, 2022, compared to 16,241 thousand MYR for the same period in 2021, reflecting a decline of approximately 52%[96]. - The company reported a profit attributable to owners of the company of 7,847 thousand MYR for the six months ended June 30, 2022, compared to 16,241 thousand MYR for the same period in 2021, representing a decrease of approximately 51.7%[131]. Sales and Revenue - The sales volume of ferrous scrap metal was 384,646 tons, a decrease of 7.9% compared to the previous year, primarily due to the lack of export sales in 2022[14]. - The average selling price of scrap metal increased compared to the previous year, contributing to revenue growth despite lower sales volume[14]. - The group's sales revenue from black scrap metal for the six months ended June 30, 2022, was 810.457 million MYR, a 14.2% increase from 709.673 million MYR in the same period of 2021[21]. - Total revenue from transportation services increased significantly to 1,808 thousand MYR in 2022 from 837 thousand MYR in 2021, marking an increase of approximately 116.5%[118]. Assets and Liabilities - Total assets increased to RM 319.2 million from RM 280.0 million year-on-year[11]. - Total liabilities increased to RM 109.2 million from RM 73.2 million year-on-year[11]. - Non-current assets totaled RM 66.6 million as of June 30, 2022, compared to RM 38.2 million as of December 31, 2021[11]. - The current ratio as of June 30, 2022, was 2.7 times, down from 3.6 times as of December 31, 2021[31]. - The debt-to-equity ratio increased to 29% as of June 30, 2022, compared to 16.7% as of December 31, 2021[34]. - The group's total borrowings as of June 30, 2022, amounted to 58.8 million MYR, up from 33.4 million MYR as of December 31, 2021[33]. Cash Flow and Financial Management - The net cash used in operating activities for the six months ended June 30, 2022, was (7,717) thousand MYR, compared to a net cash generated of 13,229 thousand MYR for the same period in 2021, indicating a significant decline[99]. - The financing activities generated a net cash inflow of 14,659 thousand MYR for the six months ended June 30, 2022, compared to a net cash outflow of (367) thousand MYR in the same period of 2021[99]. - Operating cash flow for the six months ended June 30, 2022, was 12,143 thousand MYR, a decrease of 48% from 23,673 thousand MYR in 2021[178]. - The company closely monitors the cash flow forecasts to ensure sufficient liquidity for operational needs[47]. Corporate Governance and Compliance - The company has committed to high standards of corporate governance to protect shareholder interests and enhance corporate value and accountability[67]. - The company has fully complied with the corporate governance code during the review period, except for a deviation regarding the roles of the chairman and CEO[67]. - The company has not disclosed any other interests or short positions held by directors or senior management as of June 30, 2022[59]. Employee and Operational Metrics - The total employee costs and related expenses for the six months ended June 30, 2022, amounted to 9.3 million MYR, a decrease of 8.8% compared to 10.2 million MYR for the same period in 2021[69]. - As of June 30, 2022, the group employed 178 staff in Malaysia, an increase from 162 staff as of June 30, 2021[69]. Future Plans and Investments - The company plans to establish a new waste facility on the east coast of Peninsular Malaysia, with an investment of 4,546 thousand MYR[87]. - The company has allocated 6,389 thousand MYR for the expansion of its Selangor waste facility, expected to be completed by Q2 2023[87].
兴合控股(01891) - 2022 - 中期财报