Financial Performance - Revenue for the three months ended June 30, 2023, was HK$13,720,000, an increase of 17.1% compared to HK$11,716,000 for the same period in 2022[10]. - Gross profit for the same period was HK$3,914,000, significantly up from HK$1,090,000, reflecting a gross profit margin improvement[10]. - Loss before tax decreased to HK$1,933,000 from HK$5,988,000 year-over-year, indicating a reduction in losses by approximately 67.7%[12]. - Total comprehensive loss attributable to owners of the Company for the period was HK$1,899,000, compared to HK$5,860,000 in the previous year, marking a 67.7% improvement[12]. - Basic and diluted loss per share for the period was HK$0.01, down from HK$0.04 in the same period last year[12]. - Administrative expenses decreased to HK$5,755,000 from HK$6,369,000, showing a reduction of approximately 9.6%[10]. - The Group's accumulated losses as of June 30, 2023, were HK$159,456,000, up from HK$157,523,000 at the beginning of the period[14]. - The total equity of the Group as of June 30, 2023, was HK$46,083,000, down from HK$47,982,000 at the start of the period[14]. - The Group's total revenue recognized at a point in time was HK$1,260,000 from the sale of fine and rare wines, and HK$9,330,000 from design services[37]. - The Group's loss for the period decreased to approximately HK$1,900,000, down by about HK$4,100,000 from HK$6,000,000 in the same period last year[98]. Revenue Breakdown - The Group's revenue for the three months ended June 30, 2023, includes income from design, fitting out, engineering, procurement of furnishings, rental and installation services, sale of fine wines, and interest income from money lending[31]. - Revenue from design, fitting out, and engineering services was HK$9,330,000, a decrease of 4.7% from HK$9,790,000 in the previous year[37]. - Revenue from leasing of construction equipment increased significantly to HK$2,996,000, up 80.3% from HK$1,660,000 in the prior year[37]. - Sale of fine and rare wines generated revenue of HK$1,260,000, a substantial increase from HK$125,000 in the same period last year[37]. - Revenue from public housing maintenance and refurbishment works amounted to approximately HK$8,300,000, an increase of about HK$1,100,000 compared to HK$7,200,000 in the previous year[104]. Expenses and Costs - Other income for the period was HK$244,000, compared to HK$353,000 in the previous year, reflecting a decline of 30.9%[10]. - Total finance costs decreased to HK$163,000 in Q1 2023 from HK$205,000 in Q1 2022, a reduction of approximately 20.49%[56]. - Salaries and wages included in cost of sales/services rendered decreased to HK$519,000 in Q1 2023 from HK$569,000 in Q1 2022, a decline of about 8.80%[58]. - Depreciation of property, plant, and equipment for Q1 2023 was approximately HK$1,549,000, down from HK$1,698,000 in Q1 2022, reflecting a decrease of about 8.80%[60]. - Loss before tax for the three months ended June 30, 2023, was impacted by various costs, including a total of HK$2,902,000 in salaries and wages[58]. Financial Position - The Group's net current assets were approximately HK$30.5 million as of June 30, 2023, compared to HK$31.2 million as of March 31, 2023[134]. - The current ratio remained stable at approximately 2.1 times as of June 30, 2023, with no material fluctuations during the period[134]. - Total equity attributable to owners of the Company was approximately HK$46.1 million as of June 30, 2023, down from HK$48.0 million as of March 31, 2023[137]. - The Group's total borrowings included lease liabilities of approximately HK$7.2 million and other borrowings of HK$5.0 million, with a gearing ratio of approximately 26.5%, down from 30.3%[138]. Governance and Compliance - The Company has established an audit committee, a remuneration committee, a nomination committee, and a compliance committee as per GEM Listing Rules[184]. - The audit committee reviewed the unaudited condensed consolidated financial statements for the three months ended June 30, 2023, ensuring compliance with applicable accounting standards[189]. - The Company has complied with the Corporate Governance Code provisions, except for the separation of the roles of chairman and chief executive[185]. - The Group's financial reporting process, risk management, and internal control systems are supervised by the audit committee[188]. Future Outlook - The Group is actively seeking new projects and negotiating with contractors to improve the lease out rate of scaffolding equipment, which is expected to be a major source of income in the future[111]. - The Group plans to develop business relationships with existing contractors and customers to enhance income streams and sustainability in its design, fitting out, and engineering services business[106]. - The Group continues to seek potential contractors/customers to enhance the rental rate of scaffolding equipment[115]. Shareholder Information - The Group did not recommend any dividend for the three months ended June 30, 2023, consistent with the previous year[71]. - As of June 30, 2023, Hong Kong ChaoShang Group Limited held approximately 29.48% of the issued shares, totaling 46,221,600 shares[157]. - The total number of Shares issued and to be issued upon exercise of the Options granted and to be granted shall not exceed 1% of the total number of Shares in issue, which is 1,567,800 Shares as of June 30, 2023[167].
中新控股(08125) - 2024 Q1 - 季度财报