Financial Performance - Revenue for the six months ended June 30, 2022, was HK$91,807,000, representing an increase of 15.4% compared to HK$79,619,000 in the same period of 2021[10]. - Gross profit for the same period was HK$25,254,000, up from HK$22,554,000, indicating a growth of 12.0%[10]. - Loss before tax for the period was HK$35,673,000, compared to a loss of HK$18,035,000 in the prior year, reflecting an increase in losses of 97.5%[10]. - Loss for the period amounted to HK$34,387,000, which is significantly higher than the loss of HK$11,445,000 recorded in the previous year, marking an increase of 200.5%[10]. - Total comprehensive loss for the period was HK$127,904,000, compared to HK$17,609,000 in the same period last year, indicating a substantial increase of 726.5%[13]. - Basic and diluted loss per share attributable to ordinary equity holders of the parent was HK(0.54) cents, compared to HK(0.20) cents in the previous year[18]. - Other income and gains, net, decreased to HK$22,851,000 from HK$41,456,000, a decline of 44.8%[10]. - Selling and distribution expenses increased to HK$6,429,000 from HK$5,691,000, reflecting a rise of 13.0%[10]. - Administrative expenses decreased to HK$55,951,000 from HK$63,293,000, a reduction of 11.5%[10]. - The company reported a share of losses from joint ventures amounting to HK$6,788,000, compared to HK$1,689,000 in the previous year, indicating a significant increase in losses of 302.5%[10]. Assets and Liabilities - Total non-current assets decreased from HK$2,087,133,000 as of December 31, 2021, to HK$1,912,330,000 as of June 30, 2022, representing a decline of approximately 8.4%[20]. - Current assets decreased from HK$750,827,000 as of December 31, 2021, to HK$687,059,000 as of June 30, 2022, reflecting a reduction of about 8.5%[20]. - Total current liabilities decreased from HK$246,300,000 as of December 31, 2021, to HK$216,913,000 as of June 30, 2022, indicating a decline of approximately 11.9%[20]. - Net assets decreased from HK$2,496,619,000 as of December 31, 2021, to HK$2,295,443,000 as of June 30, 2022, a decrease of around 8.1%[22]. - Total equity attributable to the owners of the parent decreased from HK$2,293,624,000 as of December 31, 2021, to HK$2,181,038,000 as of June 30, 2022, reflecting a decline of approximately 4.9%[22]. - Cash and cash equivalents increased from HK$239,136,000 as of December 31, 2021, to HK$137,928,000 as of June 30, 2022, showing a decrease of about 42.3%[20]. - The company reported a total of HK$470,146,000 in net current assets as of June 30, 2022, down from HK$504,527,000 as of December 31, 2021, a decline of approximately 6.8%[20]. - Non-controlling interests decreased significantly from HK$202,995,000 as of December 31, 2021, to HK$114,405,000 as of June 30, 2022, a drop of about 43.5%[22]. - Total non-current liabilities decreased from HK$95,041,000 as of December 31, 2021, to HK$87,033,000 as of June 30, 2022, indicating a reduction of approximately 8.4%[22]. Cash Flow and Financing - Cash flows used in operating activities amounted to HK$1,009,000, a significant improvement from HK$55,628,000 used in the previous year, reflecting a reduction in cash outflow[64]. - Net cash flows from investing activities were negative at HK$90,564,000, compared to a positive inflow of HK$6,906,000 in the prior year, primarily due to increased investments and disposals[67]. - The company had cash and cash equivalents of HK$137,928,000 at the end of the period, down from HK$436,231,000 at the end of June 2021, representing a decrease of approximately 68.3%[70]. - New bank loans amounted to HK$37,807,000, while repayments of bank loans were HK$36,255,000, indicating a net increase in bank loans during the period[70]. - The company received bank interest income of HK$444,000, a decrease from HK$2,469,000 in the previous year, reflecting lower interest rates or reduced cash balances[67]. - The company incurred finance costs of HK$602,000, down from HK$949,000 in the previous year, suggesting improved cost management in financing[64]. Revenue Breakdown - Total revenue from contracts with customers for the six months ended June 30, 2022, was approximately HK$91,807,000, representing an increase of 15.5% compared to HK$79,619,000 for the same period in 2021[102]. - Revenue from the sale of goods was HK$88,126,000 for the six months ended June 30, 2022, up from HK$75,662,000 in 2021, indicating a growth of 16.4%[103]. - Revenue from rendering of services decreased slightly to HK$3,681,000 in 2022 from HK$3,957,000 in 2021, reflecting a decline of 7.0%[103]. - The Group's revenue is recognized when control of goods is transferred at a point in time, while service revenue is recognized over time[108]. Accounting Policies and Compliance - The interim condensed consolidated financial information for the six months ended 30 June 2022 has been prepared in accordance with the applicable disclosure requirements of the Listing Rules and Hong Kong Accounting Standard 34[76]. - The accounting policies adopted are consistent with those applied in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2021, with the adoption of revised Hong Kong Financial Reporting Standards for the current period[80]. - Amendments to HKFRS 3 and HKAS 37 were applied prospectively, clarifying the recognition principles for business combinations and onerous contracts, respectively, with no impact on the financial position or performance of the Group during the period[88]. - The Group has not identified any onerous contracts as of 1 January 2022, indicating no adverse financial implications from the amendments[88]. - The interim financial information does not include all the information and disclosures required in the annual financial statements, and should be read in conjunction with the Group's annual consolidated financial statements[76]. Market and Operational Insights - The company is involved in providing medical care, health care, and geriatric care services and products in the People's Republic of China, indicating a focus on the healthcare sector[73]. - The Group's operating segment information indicates that the majority of revenue is generated from Mainland China, highlighting the importance of this market[96]. - The Group's financial instruments and deferred tax assets are primarily located in Mainland China, which is a key market for the Group[96]. - The Group's financial liabilities were not modified during the reporting period, indicating stability in financial management[94]. - The Group's overall financial performance demonstrates resilience and growth potential in a competitive market environment[102]. Investment and Fair Value - The fair value reserve of financial assets at fair value through other comprehensive income was reported at HK$7,814,000, indicating fluctuations in investment valuations[26]. - The fair value of equity investments designated at fair value through other comprehensive income decreased from HK$323,881,000 as of December 31, 2021, to HK$234,192,000 as of June 30, 2022, a decrease of approximately 27.8%[173]. - Financial assets at fair value through profit or loss increased from HK$253,169,000 as of December 31, 2021, to HK$340,759,000 as of June 30, 2022, an increase of approximately 34.5%[173]. - The total fair value of financial instruments as of June 30, 2022, is HK$234,192,000, with HK$198,879,000 from observable inputs[186]. - The fair values of listed equity and debt investments are based on quoted market prices, ensuring accurate valuation in the financial statements[175]. Shareholder Information - The company did not recommend any payment of interim dividend to shareholders for the six months ended 30 June 2022, consistent with the previous year[9]. - The company has 278,000 share options outstanding as of 30 June 2022, with no movement under the share option scheme during the period[138]. - The exercise of all outstanding share options would result in additional share capital of HK$55,600,000 and share premium of HK$105,060,000[147].
北京健康(02389) - 2022 - 中期财报