Financial Performance - Total revenue recognized for the six months ended September 30, 2022, was approximately HK$104.3 million[16]. - The Group's revenue decreased by approximately HK$11.9 million or approximately 10.2% from approximately HK$116.2 million for the six months ended 30 September 2021 to approximately HK$104.3 million for the six months ended 30 September 2022[27]. - Revenue for the six months ended 30 September 2022 was HK$104,282,000, a decrease of 10.3% from HK$116,187,000 for the same period in 2021[108]. - The gross profit decreased by approximately HK$0.7 million from approximately HK$7.8 million for the six months ended 30 September 2021 to approximately HK$7.1 million for the six months ended 30 September 2022[33]. - Gross profit for the same period was approximately HK$7.1 million, down from HK$7.8 million, reflecting a decrease of 9.1%[75]. - The Group reported a loss before taxation of approximately HK$3.2 million, an improvement from a loss of HK$3.6 million in the previous year[75]. - The loss for the period is reviewed as a whole by the chief operating decision maker, with no analysis of segment assets or liabilities presented[112]. - The company reported a net cash inflow from operating activities of HK$2,950,000 for the six months ended September 30, 2022, compared to a net outflow of HK$18,690,000 in the same period of 2021[86]. - The Group's net loss for the six months ended 30 September 2022 was approximately HK$2.7 million, compared to a net loss of approximately HK$3.2 million for the same period in 2021[42]. Project and Contract Information - As of September 30, 2022, the Group had 19 ongoing projects with a total original contract sum of approximately HK$760.2 million and a project backlog of approximately HK$416.7 million[16]. - During the same period, the Group was awarded six new projects with a total contract sum of approximately HK$159.7 million[17]. - The Group's revenue is primarily generated from property developers and main contractors in Hong Kong, with all contracts being fixed-price contracts[115][117]. - The Group's contract assets are primarily related to the design, supply, and installation of façade works and building metal finishing works, with amounts recognized as contract assets reclassified to trade receivables when unconditional[172]. Cost and Margin Analysis - Profit margins of ongoing projects remained under pressure due to high building material prices, cross-border logistics costs, and overhead costs[20]. - Although profit margins are expected to be affected by high costs, recovery is anticipated as new projects with reasonable profit margins are awarded[22]. - The Group will continue to implement cost control measures to mitigate the impact of global economic uncertainties[22]. Financial Position and Resources - As of 30 September 2022, the Group had net current assets of approximately HK$156.8 million, with a current ratio of approximately 3.8 times[43]. - Bank balances and cash amounted to approximately HK$49.4 million as of 30 September 2022, up from approximately HK$46.1 million as of 31 March 2022[50]. - The maximum limit of banking facilities available to the Group was approximately HK$85.0 million, with approximately HK$27.4 million utilized for bank borrowings and performance guarantees[51]. - The gearing ratio as of 30 September 2022 was approximately 16.8%, up from 16.1% as of 31 March 2022[52]. - The company’s net assets as of September 30, 2022, were HK$127,844,000, down from HK$130,563,000 as of March 31, 2022, representing a decrease of approximately 2.1%[79]. - The Group's total assets amounted to HK$156,781,000, slightly up from HK$156,730,000 as of March 31, 2022[77]. Staff and Operational Costs - The total staff costs for the six months ended September 30, 2022, amounted to HK$15,240,000, a decrease from HK$17,485,000 in the same period of 2021[132]. - The Group incurred capital expenditure of approximately HK$51,000 during the six months ended 30 September 2022, compared to HK$31,000 for the same period in 2021[65]. Trade and Receivables - Trade receivables as of September 30, 2022, amounted to HK$13,964, with allowances for impairment of HK$3,379, resulting in a net trade receivable of HK$10,585, a decrease from HK$20,429 as of March 31, 2022[151]. - The ageing analysis of trade receivables shows that amounts overdue by 0 to 30 days increased to HK$7,855 from HK$5,254, while amounts overdue by 61 to 90 days decreased to HK$2,310 from HK$14,335[159]. - The Group's management regularly reviews the recoverability of existing customers to assess credit quality and define credit limits[154]. Liabilities and Payables - Current liabilities increased to HK$41,585,000 from HK$38,712,000, indicating a rise of approximately 4.5%[79]. - The current portion of trade and other payables rose to HK$16,872,000 as of September 30, 2022, up from HK$14,647,000 as of March 31, 2022, which is an increase of approximately 15.2%[182]. - The company’s retention payables to subcontractors increased from HK$2,227,000 as of March 31, 2022, to HK$2,832,000 as of September 30, 2022, reflecting a rise of approximately 27.1%[182]. - The total accrued expenses as of September 30, 2022, were HK$2,766,000, compared to HK$2,225,000 as of March 31, 2022, representing an increase of about 24.4%[182]. Government Support and Grants - For the six months ended September 30, 2022, the Group recognized government grants of HK$1,227,000 related to the Employment Support Scheme provided by the Hong Kong government[129][130].
智中国际(06063) - 2023 - 中期财报