Financial Performance - Revenue for the six months ended June 30, 2023, decreased by 30.7% to HKD 384,233,000 compared to HKD 554,521,000 in the same period last year[12] - Net profit for the period decreased by 23.7% to HKD 28,013,000, with basic earnings per share dropping by 23.0% to HKD 4.7[14] - Gross profit fell by 14.7% to HKD 109,534,000, with a gross margin increase of 5.3 percentage points to 28.5% due to RMB depreciation and cost reduction measures[14] - Profit before tax decreased to HKD 32,258,000, a decline of 26.1% from HKD 43,667,000 in the previous year[66] - The company's profit before tax for the six months ended June 30, 2023, was HKD 3,614,000, compared to HKD 3,429,000 for the same period in 2022, representing an increase of approximately 5.4%[102] Revenue Breakdown - The revenue from smart wearable device frames and components increased by 28.2% to HKD 124,577,000 compared to HKD 97,204,000 in the previous year[23] - Revenue from watch bands decreased by 30.2% to HKD 123,796,000, while revenue from fashion jewelry fell by 58.3% to HKD 21,153,000[46] - Revenue from mobile phone frames and parts decreased to HKD 114,707,000 from HKD 229,380,000, a decline of 50.0%[98] - Revenue from China was HKD 190,696,000, down 18.7% from HKD 234,595,000 in the previous year[100] - Revenue from smart wearable device frames and parts was HKD 124,577,000, up 28.2% from HKD 97,204,000 in the previous year[98] Expenses and Costs - Administrative and other expenses decreased by 14.6% to HKD 55,710,000, primarily due to reduced salaries and maintenance costs[26] - Employee costs, including director remuneration, amounted to HKD 156,983,000, down 29.2% from HKD 221,552,000 in 2022[34] - R&D expenses decreased by 13.6% to HKD 17,513,000, mainly due to reduced salaries[52] - Direct material costs decreased by 44.0% to HKD 116,107,000 from HKD 207,054,000[130] - Direct labor costs decreased by 32.7% to HKD 111,303,000 from HKD 165,357,000[130] Assets and Liabilities - Total assets as of June 30, 2023, were HKD 1,181,580,000, a decrease of 10.2% from HKD 1,316,034,000[9] - Current liabilities decreased to HKD 210,896,000 from HKD 301,396,000, indicating a reduction of 30.0%[67] - Total borrowings decreased by 40.4% to HKD 70,466,000 from HKD 118,287,000[9] - Trade receivables amounted to HKD 142,656,000, down from HKD 186,982,000 as of December 31, 2022, with a turnover period of 77.6 days[56] - The total trade receivables as of June 30, 2023, amounted to HKD 246,537,000, down from HKD 302,431,000 at the end of 2022, reflecting a decrease of about 18.5%[119] Cash Flow and Financing - The net cash generated from operating activities was HKD 95,315,000, significantly lower than HKD 213,599,000 for the same period last year, reflecting a decrease of 55.3%[94] - The company reported a net cash outflow from investing activities of HKD 34,993,000, compared to HKD 37,887,000 in the previous year[94] - Cash and cash equivalents were HKD 246,862,000, down from HKD 270,794,000, a decrease of 8.8%[67] - The company has an outstanding loan amount of approximately HKD 48,083,000 and available undrawn facilities of HKD 132,000,000[166] - The company entered into a bank financing agreement for a revolving loan of USD 1,000,000 and a term loan of HKD 150,000,000, with the term loan to be repaid in 60 equal monthly installments starting one month after drawdown[165] Corporate Governance and Shareholder Information - The company has complied with all applicable corporate governance codes during the six-month period ending June 30, 2023[189] - The company is committed to maintaining high levels of corporate governance to enhance transparency and accountability, benefiting shareholder interests[200] - As of June 30, 2023, Mr. Yao Hanming holds a 60% beneficial ownership in Ming Fung Group (Hong Kong) Limited, which directly owns approximately 95.45% of Ming Fung Investment Limited, and Ming Fung Investment Limited holds 396,000,000 shares of the company, representing 66% of the total issued share capital[158] - The company has established a nomination committee consisting of four independent non-executive directors and one executive director[170] - The company emphasizes the importance of effective two-way communication with the financial community and stakeholders to enhance shareholder value[168]
盈利时(06838) - 2023 - 中期财报