Financial Performance - For the period ending June 30, 2022, Cornerstone Financial Holdings Limited reported total revenue of approximately HKD 24,000,000 and a net loss of approximately HKD 17,000,000[5]. - The group's revenue for the six months ended June 30, 2022, was approximately HKD 23,726,173, a decrease of about 11% compared to HKD 26,644,274 for the same period in 2021[22]. - Gross profit for the same period was approximately HKD 14,439,425, down about 18% from HKD 17,703,145 in the previous year, resulting in a gross margin decrease from approximately 66% to 61%[23]. - The net loss attributable to the company's owners for the six months ended June 30, 2022, was approximately HKD 16,736,640, compared to a net loss of HKD 5,441,189 for the same period in 2021[22]. - The group’s EBITDA for the six months ended June 30, 2022, was approximately HKD (10,466,455), compared to HKD 491,046 in the same period of the previous year, indicating a significant decline in operational performance[22]. - The company reported a pre-tax loss of HKD 16,220,858 for the six months ended June 30, 2022, compared to a pre-tax loss of HKD 4,619,478 for the same period in 2021, representing a significant increase in losses[83]. - The group reported a pre-tax loss of HKD 16,997,798 for the first half of 2022, compared to a loss of HKD 5,854,365 in the same period of 2021[97]. - The company reported a segment loss of HKD 4,096,060 for advertising and media services for the six months ended June 30, 2022, compared to a profit of HKD 220,437 in the same period of 2021[83]. Revenue Breakdown - Advertising and media business contributed approximately HKD 19,000,000 to revenue, down from HKD 20,000,000 in the same period last year, indicating a recovery not yet back to pre-COVID-19 levels[5]. - Financial services segment generated revenue of approximately HKD 4,000,000, a decrease from HKD 7,000,000 in the same period last year, attributed to reduced trading volumes[5]. - Revenue from customer contracts for the six months ended June 30, 2022, was HKD 19,693,945, a decrease of 9% from HKD 21,651,927 in the same period of 2021[70]. - Advertising and media services generated revenue of HKD 19,387,395 in the first half of 2022, down from HKD 20,076,814 in 2021, reflecting a decrease of about 3.4%[75]. - Financial services revenue for the six months ended June 30, 2022, was HKD 4,338,778, compared to HKD 6,567,460 in the same period of 2021, indicating a decline of approximately 33.5%[82]. Expenses and Costs - Administrative expenses increased by approximately 33% to HKD 30,300,000, primarily due to professional service fees and employee costs[24]. - Total service costs increased to HKD 9,286,748 in the first half of 2022, up from HKD 8,941,129 in the same period of 2021, representing a rise of 3.9%[90]. - The company incurred depreciation expenses of HKD 4,530,301 across its segments for the six months ended June 30, 2022[77]. - Depreciation of right-of-use assets was HKD 2,179,488 for the first half of 2022, compared to HKD 1,365,045 in the same period of 2021, reflecting a significant increase of 60%[90]. Cash Flow and Financial Position - The company's cash and cash equivalents as of June 30, 2022, were approximately HKD 114,000,000, an increase from HKD 102,000,000 as of December 31, 2021[27]. - Operating cash flow for the six months ended June 30, 2022, was a net outflow of HKD 45,280,863, compared to an inflow of HKD 1,654,801 in the same period of 2021[59]. - The company's total equity as of June 30, 2022, was HKD 215,501,557, compared to HKD 179,498,725 at the end of December 2021, indicating an increase of approximately 20%[54]. - Total assets as of June 30, 2022, amounted to HKD 255,888,099, an increase from HKD 215,120,594 as of December 31, 2021[49]. - The total liabilities as of June 30, 2022, were HKD 66,340,622, up from HKD 69,778,071 as of December 31, 2021, indicating a decrease of about 5.5%[77]. Business Development and Strategy - The company aims to explore various opportunities for business development and expansion despite current economic conditions[5]. - Management remains cautiously optimistic about future business prospects as government measures to control the pandemic are expected to improve the economy[5]. - The company is actively seeking ways to increase financial resources to facilitate business growth in response to anticipated demand for new margin loans[8]. - The company continues to upgrade flat screens to programmatic digital out-of-home (pDOOH) displays in Singapore, anticipating significant growth in this area over the coming years[11]. - The company is actively seeking to expand its digital outdoor media network by adding new static/LED outdoor locations[19]. Shareholder and Capital Information - The company completed a rights issue in April 2022, raising approximately HKD 65,000,000 to support the development of its financial services business[5]. - The company issued 172,063,836 new shares during the rights issue completed on April 26, 2022, raising capital at a subscription price of HKD 0.38 per share[112]. - The total issued share capital increased to 229,418,448 shares as of June 30, 2022, up from 57,354,612 shares at the end of 2021, representing a 300% increase[112]. - The company did not recommend any dividend for the six months ended June 30, 2022, consistent with the previous year[37]. Risk Management and Governance - The Audit Committee has been established and is responsible for reviewing the company's risk management and internal control systems, as well as financial statements[138]. - The company has complied with the corporate governance code as per the GEM Listing Rules during the six months ending June 30, 2022[136]. - The company has adopted the GEM Listing Rules regarding the conduct of securities trading by directors, and there were no reported breaches of these standards during the six months ending June 30, 2022[135].
基石金融(08112) - 2022 - 中期财报