Financial Performance - For the six months ended June 30, 2023, the revenue was approximately HKD 1,601,552,000, an increase of about HKD 173,060,000 or 12.1% compared to HKD 1,428,492,000 for the same period in 2022[19]. - The gross profit for the same period was approximately HKD 867,319,000, representing a 24.7% increase from HKD 695,334,000 in the prior year, with a gross margin of 54.2%[19]. - EBITDA for the six months ended June 30, 2023, was approximately HKD 369,754,000, an increase of 71.2% from HKD 215,929,000 in the previous year[19]. - Net profit for the period was approximately HKD 210,276,000, a significant increase of 109.3% compared to HKD 100,443,000 for the same period in 2022[19]. - The basic earnings per share for the six months ended June 30, 2023, was HKD 0.2213, up from HKD 0.1044 in the previous year[19]. - Total group revenue for the period was approximately HKD 1,601,552,000, an increase of about 12.1% compared to HKD 1,428,492,000 for the six months ended June 30, 2022[51]. - Profit before tax increased significantly to HKD 274,958,000, representing a 102.6% growth compared to HKD 135,395,000 in the previous year[119]. - Profit attributable to equity holders for the six months ended June 30, 2023, was HKD 211,201,000, compared to HKD 99,851,000 in 2022, reflecting a 112% increase[159]. Revenue Breakdown - Revenue from fixed dental materials, including crowns and bridges, was approximately HKD 1,014,260,000, an increase of about HKD 90,204,000, accounting for 67.4% of total revenue[29]. - The revenue from removable denture equipment was approximately HKD 350,576,000, an increase of about HKD 88,287,000 compared to the six months ended June 30, 2022, representing 23.3% of total group revenue[30]. - The revenue from other equipment was approximately HKD 139,254,000, an increase of about HKD 14,502,000 compared to the six months ended June 30, 2022, accounting for 9.3% of total group revenue[31]. - Revenue from the European market was approximately HKD 710,045,000, an increase of about HKD 93,615,000, accounting for 44.3% of total group revenue[41]. - Revenue from the North American market was approximately HKD 393,656,000, an increase of about HKD 31,208,000, representing 24.6% of total group revenue[44]. - The Greater China market recorded revenue of approximately HKD 351,203,000, an increase of about HKD 31,964,000 compared to the six months ended June 30, 2022, representing approximately 21.9% of the total group revenue[46]. - The Australia market generated revenue of approximately HKD 124,257,000, an increase of about HKD 11,390,000 compared to the six months ended June 30, 2022, accounting for approximately 7.8% of total group revenue[47]. - Other markets, including Indian Ocean countries, Malaysia, Taiwan, and Singapore, recorded revenue of approximately HKD 22,391,000, an increase of about HKD 4,883,000 compared to the six months ended June 30, 2022, representing approximately 1.4% of total group revenue[49]. Cost and Expenses - Selling and distribution expenses increased by about 6.0% to approximately HKD 201,369,000, accounting for about 12.6% of total group revenue[55]. - Administrative expenses rose by approximately 3.6% to about HKD 376,054,000, representing about 23.5% of total group revenue[56]. - Financing costs increased by approximately 133.6% to about HKD 20,783,000, accounting for about 1.3% of total group revenue[59]. - Income tax expenses increased by approximately 85.1% from HKD 34,952,000 for the six months ended June 30, 2022, to HKD 64,682,000 for the six months ended June 30, 2023[60]. Operational Efficiency - Adjusted EBITDA for the six months ended June 30, 2023, was HKD 369,886,000, compared to HKD 216,364,000 for the same period in 2022, reflecting an increase in operational efficiency[64]. - Net cash flow from operating activities increased significantly to HKD 214,283,000 for the six months ended June 30, 2023, from HKD 56,923,000 for the same period in 2022[66]. - Cash generated from operating activities increased to HKD 278,096,000, up from HKD 125,773,000 year-over-year, representing a growth of approximately 121%[133]. Investments and Capital Expenditures - Capital expenditures amounted to approximately HKD 57,052,000, primarily for upgrading production facilities and equipment[71]. - The company invested approximately HKD 12,963,000 in acquiring cutting-edge technology machinery and incurred R&D costs of about HKD 24,974,000 during the period[71]. - Research and development costs for the period were HKD 24,974,000, compared to HKD 22,779,000 in 2022, reflecting a focus on innovation[152]. Employee and Compensation - As of June 30, 2023, the group employed a total of 6,860 employees, an increase from 6,830 employees as of December 31, 2022[90]. - Total employee costs for the six months ended June 30, 2023, amounted to approximately HKD 725,358,000, compared to HKD 703,475,000 for the same period in 2022, reflecting an increase of about 3.5%[90]. - The group maintains a competitive compensation policy to retain employees, including salaries, discretionary bonuses, and contributions to benefit plans[90]. Shareholder Information - The board declared an interim dividend of HKD 0.060 per share, compared to HKD 0.037 per share for the same period in 2022[19]. - The company repurchased a total of 2,048,000 shares at a total cost of approximately HKD 5,523,000 (before expenses)[111]. - The highest share price during the repurchase in May 2023 was HKD 2.52, while in June 2023, it reached HKD 3.00[112]. Corporate Governance and Compliance - The company has complied with the corporate governance code as per the listing rules during the six months ending June 30, 2023[115]. - The audit committee reviewed the interim results for the six months ending June 30, 2023[116]. - The company is committed to social responsibility and community engagement through sponsorships and donations[117]. Risks and Challenges - The group faces various business risks, including global economic fluctuations and geopolitical risks, which may adversely affect its financial condition and operating performance[78]. - The group has not established any interest rate agreements or derivative transactions to hedge against interest rate fluctuations[82].
现代牙科(03600) - 2023 - 中期财报