Financial Performance - The Group's revenue increased by approximately 119.2% to approximately HK$358.9 million for the six months ended 31 December 2021 compared to the same period last year[24]. - Gross profit rose approximately 113.3% from approximately HK$62.3 million for the six months ended 31 December 2020 to approximately HK$133.0 million for the six months ended 31 December 2021[24]. - Net profit for the period increased by approximately HK$23.4 million from approximately HK$27.5 million for the six months ended 31 December 2020 to approximately HK$50.9 million for the six months ended 31 December 2021[25]. - Basic earnings per share was HK10.60 cents, compared to HK5.74 cents for the corresponding period in 2020[26]. - Profit for the period reached HK$50.9 million, up 84.6% from HK$27.5 million in the previous year[105]. - Profit before tax for the six months ended December 31, 2021, was HK$66,427,000, compared to HK$33,641,000 for the same period in 2020, representing a 97.5% increase[115]. - Total comprehensive income for the period was HK$51,814,000, which includes profits and exchange differences[113]. Revenue Breakdown - Revenue from packaging printing increased by approximately 10.8% to approximately HK$114.9 million for the six months ended 31 December 2021, driven by global economic growth and recovery in retail markets[35]. - Revenue from paper gift set printing surged approximately 580.5% to approximately HK$201.7 million for the six months ended 31 December 2021, due to the resumption of delayed projects and foreign customers returning production to the PRC[38]. - Revenue from card printing increased by approximately 24.1% to approximately HK$21.5 million for the six months ended 31 December 2021, attributed to the launch of new board and card game projects[39]. - Revenue from smart package printing rose approximately 72.5% to approximately HK$17.2 million for the six months ended 31 December 2021, as retail customers organized promotional sales[41]. - Revenue from other printing services increased by approximately 15.4% to approximately HK$3.6 million for the six months ended 31 December 2021, due to higher demand for these services[42]. - Revenue from Europe reached HK$143,701,000, up from HK$41,990,000, indicating a growth of 242% year-over-year[128]. - Revenue from the People's Republic of China (PRC) surged to HK$78,864,000, compared to HK$6,332,000 in the previous year, marking an increase of 1,150%[128]. Cost and Expenses - Administrative expenses increased to approximately HK$60.1 million for the six months ended 31 December 2021 from approximately HK$29.4 million for the same period in 2020[52]. - Selling and distribution expenses rose to approximately HK$5.0 million for the six months ended 31 December 2021 from approximately HK$2.9 million for the same period in 2020[53]. - Direct labor costs increased to approximately HK$37.6 million for the six months ended December 31, 2021, compared to approximately HK$14.4 million for the same period in 2020, due to hiring more temporary workers[82]. - A provision for redundancy costs of approximately HK$16.2 million was recorded for the period ended December 31, 2021, while no such provision was made for the same period in 2020[82]. Assets and Liabilities - As of 31 December 2021, net assets amounted to approximately HK$417.9 million, an increase from approximately HK$385.3 million as of 30 June 2021[69]. - Cash and bank balances amounted to approximately HK$227.1 million as of 31 December 2021, up from approximately HK$204.4 million as of 30 June 2021[71]. - Total non-current assets increased to HK$290,039,000 as of December 31, 2021, compared to HK$131,788,000 on June 30, 2021, reflecting a significant growth[108]. - Current assets totaled HK$395,543,000, up from HK$358,420,000, indicating a rise of approximately 10.4%[108]. - Non-current liabilities increased to HK$132,107,000 from HK$88,000, indicating a rise of approximately 50.2%[108]. - Trade receivables increased to HK$106,060,000 as of 31 December 2021, up from HK$81,930,000 as of 30 June 2021, reflecting a 29.5% increase[167]. Challenges and Strategies - The Group's operations have been challenged by logistical delays, labor shortages, and supply chain disruptions due to the COVID-19 pandemic[20]. - The Group is focused on enhancing cost efficiency to improve profitability amidst ongoing market challenges[24]. - The interim period 2021/2022 is expected to be challenging due to COVID-19 impacts and trade tensions between the USA and China[45]. - The Group is accelerating machine automation and seeking advanced printing technologies to enhance competitiveness in an uncertain business environment[46]. - The Group is exploring opportunities to promote smart package and sustainable products to differentiate from competitors[46]. Dividends and Shareholder Information - The directors recommended an interim dividend of HK1.8 cents per share, up from HK1.5 cents in 2020, expected to be distributed on March 18, 2022[83]. - The Company declared a final dividend of HK$19,200,000 for the year 2021[113]. - The Company holds a long position of 360,000,000 shares, representing approximately 75% of the total issued share capital of its controlled corporation[197]. - The Company and its associated corporations are actively disclosing interests in accordance with listing rules, ensuring transparency in shareholdings[199].
新兴印刷(01975) - 2022 - 中期财报