Revenue Performance - The revenue for the six months ended June 30, 2023, was approximately HK$173.5 million, a decrease of approximately HK$53.1 million or 23.4% compared to HK$226.6 million for the same period in 2022[18]. - Revenue from the Jewellery Business was approximately HK$155.2 million, representing a decrease of approximately HK$38.6 million or 19.9% from HK$193.8 million in the same period of 2022[20]. - The revenue of the Property Business for the six months ended June 30, 2023, was approximately HK$18.2 million, a significant decrease of approximately HK$14.7 million or 44.7% from the corresponding period in 2022[26]. - Revenue for the six months ended June 30, 2023, was HK$173,468,000, a decrease of 23.5% compared to HK$226,635,000 in the same period of 2022[144]. - Sales of jewellery products amounted to HK$155,244,000, down 20% from HK$193,781,000 year-on-year[152]. - Property sales generated revenue of HK$5,672,000, a significant decline of 74.1% compared to HK$21,916,000 in the previous year[144]. - Revenue from Hong Kong decreased to HK$108,759,000, down 23.1% from HK$141,452,000 in 2022[164]. - Revenue from Dubai increased significantly to HK$45,995,000, up 92.2% from HK$23,934,000 in 2022[164]. Profit and Loss - The gross profit for the six months ended June 30, 2023, decreased to approximately HK$45.7 million, a decline of approximately HK$2.6 million or 5.4% from HK$48.3 million in the corresponding period of 2022[21]. - The overall gross profit decreased from approximately HK$68.0 million to HK$57.6 million, representing a decrease of approximately HK$10.4 million or 15.3% from the corresponding period of 2022[27]. - Profit for the six months ended June 30, 2023, was approximately HK$24.9 million, an increase of approximately 0.8% compared to approximately HK$24.7 million for the same period in 2022[38]. - The profit for the period attributable to owners of the Company was HK$25,656,000, slightly up from HK$25,347,000 in 2022, representing a 1.2% increase[120]. - The company's total comprehensive income for the six months ended June 30, 2023, was HK$8,794,000, compared to HK$4,784,000 for the same period in 2022, representing an increase of 83.0%[125]. - The total taxation charge for the six months ended June 30, 2023, was HK$2,231,000, a decrease of 70.7% from HK$7,601,000 in the same period of 2022[180]. Cost and Expenses - Selling and distribution costs increased significantly from approximately HK$5.3 million to approximately HK$7.9 million, representing an increase of approximately HK$2.6 million or 49.1%[36]. - The Group's total salaries and related costs for the six months ended June 30, 2023, amounted to approximately HK$14.9 million, compared to approximately HK$14.4 million for the same period in 2022[55]. - Total staff costs for the period were HK$14,903,000, slightly up from HK$14,448,000 in 2022[177]. Assets and Liabilities - As of June 30, 2023, current assets amounted to approximately HK$479.3 million, while current liabilities amounted to approximately HK$167.0 million, resulting in a current ratio of approximately 2.9[44]. - The Group's total liabilities stood at HK$196,765,000, with segment liabilities for jewellery and property businesses at HK$65,958,000 and HK$31,539,000, respectively[159]. - Non-current assets as of June 30, 2023, totaled HK$347,287,000, a slight decrease from HK$353,944,000 at the end of 2022[122]. - Current assets were HK$479,268,000, down from HK$482,583,000 at the end of 2022[122]. - Cash and cash equivalents at the end of the period were HK$48,992,000 in 2023, down from HK$81,484,000 in 2022, reflecting a decrease of 39.9%[129]. Business Operations - The significant decrease in revenue from the Jewellery Business was primarily attributed to a drop in sales in the PRC, from approximately HK$28.4 million to approximately HK$0.5 million[20]. - The Group has successfully delivered completed units in the Perfect Group Jewellery Industry Park, generating stable income from property leasing and management services[14]. - The property management company in the Perfect Group Jewellery Industry Park is now fully operational, contributing to the Group's stable income[16]. - The Group continues to face challenges from the slow recovery post-COVID-19, impacting overall performance[13]. - The jewellery business continues to focus on manufacturing and sales of various products, including rings and necklaces, while the property business involves investment and management of properties[149]. Shareholder Information - Mr. Kan holds 886,959,000 shares, representing approximately 68.16% of the company's equity[69]. - Immaculate Diamonds Limited is a substantial shareholder with 729,000,000 shares, accounting for 54.36% of the company's equity[78]. - Richemont Asset Management Limited holds 91,460,997 shares, which is about 6.82% of the company's equity[78]. - Classic Sapphire Holdings Limited owns 100,620,000 shares, representing 7.50% of the company's equity[78]. - As of June 30, 2023, no other interests or short positions were reported by directors or chief executives in the company's shares[73]. Corporate Governance - The company complied with the Corporate Governance Code provisions, except for a deviation from code provision C.2.1[83]. - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended June 30, 2023[101]. - The company did not purchase, sell, or redeem any of its securities during the six months ended June 30, 2023[92]. - The role of chairman and chief executive officer is held by Mr. Kan Kin Kwong, who has extensive experience in the fine jewellery industry[89]. - The company expressed appreciation for the dedication and contributions of its staff and stakeholders[102]. Future Outlook - The performance of the Jewellery Business is expected to remain stable in the second half of the year compared to the first half, depending on the global economic recovery[62]. - Future strategies may include market expansion and potential new product development to enhance revenue streams[149].
保发集团(03326) - 2023 - 中期财报