Financial Performance - For the six months ended September 30, 2022, the Group recorded unaudited consolidated revenue of HK$304.1 million, a decrease of 20.1% from HK$380.5 million for the same period in 2021[13]. - The unaudited consolidated profit attributable to owners of the Company was HK$1.9 million, representing a decrease of 91.3% compared to HK$21.8 million for the last corresponding period[14]. - Basic and diluted earnings per share for the six months ended September 30, 2022, were HK0.5 cents, a decrease of 90.2% from HK5.1 cents for the corresponding period last year[15]. - Gross profit for the period was HK$13,470, down 67.6% from HK$41,480 in the previous year[150]. - Total comprehensive income for the period was a loss of HK$6,594, compared to a gain of HK$22,665 in the same period last year[150]. - Profit for the period was HK$1,891, a significant decline of 91.3% from HK$21,800 in the prior year[150]. Revenue Breakdown - Revenue for the current period was mainly contributed by residential development projects at N.K.I.L 6563 Kai Tak, TMTL 483 Tuen Mun Siu Hong, and TPTL 230 Tai Po Kau[13]. - Revenue from design, supply, and installation of curtain walls, aluminium windows, doors, and other products for new buildings was HK$215,170,000, down 33.0% from HK$320,841,000 in the previous year[188]. - Revenue from design, supply, and installation of aluminium windows, doors, and other products for new buildings increased to HK$79,842,000, up 42.7% from HK$55,980,000 in the previous year[188]. - Revenue from repairing, maintenance, and other services was HK$9,049,000, an increase of 143.5% compared to HK$3,723,000 in the same period last year[188]. - Revenue from Hong Kong decreased to HK$295,327,000 in 2022 from HK$377,723,000 in 2021, representing a decline of approximately 21.8%[197]. - Revenue from Mainland China increased to HK$8,734,000 in 2022 from HK$2,821,000 in 2021, showing a growth of approximately 3.1 times[197]. Dividend and Shareholder Returns - The Board has resolved to pay a first interim dividend of HK0.8 cents per share for the six months ended September 30, 2022, down from HK1.6 cents per share for the same period in 2021[20]. - Dividends paid during the period were HK$8,792,000, down from HK$11,030,000 in the previous year, reflecting a reduction in shareholder returns[164]. Financial Position and Liquidity - The Group's total cash and bank balances amounted to HK$27.8 million as of September 30, 2022, down from HK$86.6 million as of March 31, 2022[37]. - The Group's net current assets were HK$356.1 million as of September 30, 2022, compared to HK$365.1 million as of March 31, 2022[39]. - The current ratio was 5.6 times as of September 30, 2022, down from 6.2 times as of March 31, 2022[39]. - The Group is currently in a net cash position with no outstanding bank loans as of September 30, 2022[39]. - The Group's liquidity position is expected to remain healthy in the coming year, with sufficient financial resources to meet obligations and future development requirements[40]. Impact of COVID-19 - The financial results reflect the impact of the COVID-19 pandemic on construction schedules and associated costs[14]. - The pandemic has caused project delays and increased costs, impacting the Group's gross profit margin and success rate in winning tenders[33]. - The Group received government grants of HK$3,824,000 during the six months ended September 30, 2022, related to COVID-19 subsidies, while no grants were received in the same period of 2021[200]. Corporate Governance and Compliance - The Company has complied with all Code Provisions of the Corporate Governance Code, except for the absence of certain non-executive directors at the 2022 annual general meeting due to other engagements[127]. - The Company emphasizes a quality Board and transparency to all shareholders as part of its corporate governance principles[127]. - The Company has adopted the Model Code for directors' securities transactions and all directors confirmed compliance during the six months ended September 30, 2022[128]. Employee and Operational Information - The Group had 274 full-time employees as of September 30, 2022, with 125 employees located in Mainland China[139]. - The Company did not purchase, sell, or redeem any of its listed securities during the six months ended September 30, 2022[138]. Future Outlook - The global economic outlook is deteriorating, with high inflation and interest rate hikes potentially leading to a recession, which may affect Hong Kong's economic recovery[28]. - The government plans to prioritize land and housing development, which may benefit the Group as a housing construction supplier[32].
美亨实业(01897) - 2023 - 中期财报