Financial Performance - Revenue for the first half of 2023 reached SGD 26,384,000, a 20.5% increase from SGD 21,912,000 in the same period of 2022[3] - The company reported a net loss of SGD 575,000 for the first half of 2023, compared to a profit of SGD 1,317,000 in the first half of 2022[3] - Basic and diluted loss per share for the first half of 2023 was SGD 0.07, down from earnings of SGD 0.16 per share in the same period of 2022[3] - Total revenue for the six months ended June 30, 2023, was SGD 26,384,000, an increase of 20% compared to SGD 21,912,000 for the same period in 2022[23] - Revenue from customer contracts, including sales of prepared food, beverages, and tobacco products, was SGD 22,572,000, up 24% from SGD 18,119,000 in the previous year[23] - The company reported a segment profit of SGD 2,304,000 from the food and beverage segment, compared to a profit of SGD 1,481,000 in the prior year[19] - Sales of cooked food, beverages, and tobacco products accounted for 78.2% of total revenue, increasing by approximately 26.8% to SGD 20,631,000 from SGD 16,269,000 in the previous year[43] Assets and Liabilities - Total assets as of June 30, 2023, were SGD 180,566,000, slightly down from SGD 180,972,000 at the end of 2022[4] - Current liabilities increased to SGD 22,409,000 as of June 30, 2023, compared to SGD 14,929,000 at the end of 2022[4] - The net asset value as of June 30, 2023, was SGD 76,999,000, a slight decrease from SGD 77,574,000 at the end of 2022[5] - The company’s total assets as of June 30, 2023, amounted to SGD 191,077,000, while total liabilities were SGD 114,078,000[19] - Total borrowings amounted to SGD 96,825,000 as of June 30, 2023, slightly up from SGD 95,910,000 at the end of 2022[38] - As of June 30, 2023, the group's current liabilities increased by approximately SGD 6.8 million, mainly due to an increase in the current portion of loans[54] - The group's total outstanding bank loans amounted to approximately SGD 96.8 million as of June 30, 2023, a slight increase of SGD 0.9 million or 1.0% compared to December 31, 2022[54] Cash Flow and Expenses - Cash and cash equivalents at the end of the first half of 2023 were SGD 6,703,000, up from SGD 5,946,000 at the end of 2022[8] - Operating cash flow for the first half of 2023 was SGD 3,863,000, down from SGD 4,964,000 in the first half of 2022[8] - Employee costs increased to SGD 8,492,000 from SGD 5,929,000, reflecting a rise in salaries and benefits[25] - The company incurred finance costs of SGD 1,242,000 in the first half of 2023, compared to SGD 764,000 in the same period of 2022[3] - Financial costs increased from approximately SGD 0.8 million in the first half of 2022 to SGD 1.2 million, representing a rise of about 62.6%, primarily due to rising interest rates on outstanding loans[53] - Property rental and related expenses increased by approximately SGD 0.3 million or 15.7% to about SGD 1.9 million, primarily due to the commencement of operations at Lazada One and the opening of multiple new stalls during the reporting period[48] - Management, cleaning, and utility expenses rose by approximately SGD 0.3 million or 22.7% to about SGD 1.7 million, attributed to the same factors as above[49] - Other operating expenses slightly decreased by approximately SGD 0.1 million or 2.1% to about SGD 2.3 million, mainly due to reduced legal and professional fees following the acquisition of First Capital Pte Ltd[52] Corporate Governance and Shareholder Information - The company did not recommend any interim dividend for the reporting period, consistent with the previous year[9] - The company has maintained a public float percentage in compliance with listing rules as of the report date[82] - As of June 30, 2023, the company’s major shareholders include Strong Oriental with 600,000,000 shares, representing 75.00% ownership[79] - The company completed a share sale agreement on August 23, 2023, for a total consideration of SGD 6,500,000 (approximately HKD 38,350,000)[81] - The company has adopted a share option scheme to incentivize and retain qualified personnel since February 1, 2019, with no unexercised options as of June 30, 2023[71] - The board consists of three executive directors and three independent non-executive directors, ensuring sufficient independence[73] - The company has complied with the corporate governance code throughout the reporting period[69] - The company’s chairman and CEO roles are held by the same individual, which the board believes benefits the group's business outlook and management[69] Employee and Operational Insights - The group employed 412 staff as of June 30, 2023, an increase from 373 employees as of December 31, 2022, reflecting the company's growth strategy[67] - The average credit period for customers was 7 days, with trade receivables aging analysis showing SGD 414,000 within 0 to 30 days[34] - Trade receivables increased to SGD 458,000 as of June 30, 2023, compared to SGD 300,000 at the end of 2022[33] - The company acquired property, plant, and equipment at a cost of approximately SGD 1,600,000 during the reporting period, significantly lower than SGD 21,061,000 in the same period of 2022[32] - The capital-to-debt ratio increased to approximately 125.7% as of June 30, 2023, from about 123.6% at the end of 2022, primarily due to increased borrowings during the reporting period[57] - As of June 30, 2023, the group had unutilized bank financing of at least SGD 16.6 million, aimed at maintaining sufficient liquidity for operational needs[56] - The group’s capital commitments amounted to approximately SGD 9.0 million for the redevelopment of a property held by a subsidiary as of June 30, 2023[61]
K2 F&B(02108) - 2023 - 中期财报