Financial Performance - The group's revenue for the six months ended June 30, 2022, decreased by approximately 12.7% to RMB 585 million, compared to RMB 670 million for the same period in 2021[8] - The group recorded a loss of approximately RMB 36 million for the six months ended June 30, 2022, a decrease of RMB 1 million or 2.7% compared to the loss of RMB 37 million for the same period in 2021[8] - Gross profit for the six months ended June 30, 2022, was approximately RMB 69 million, down about 34.9% from approximately RMB 106 million in the same period of 2021[12] - The gross profit margin for the six months ended June 30, 2022, was approximately 11.8%, a decrease of about 4.1 percentage points from approximately 15.9% in the same period of 2021[12] - Other income and gains decreased by approximately 25.0% to RMB 30 million for the six months ended June 30, 2022, compared to RMB 40 million for the same period in 2021[14] - The group reported a revenue of RMB 58.5 million for the six months ended June 30, 2022, a decrease of 12.8% compared to RMB 67.0 million for the same period in 2021[32] - The gross profit for the six months ended June 30, 2022, was RMB 6.9 million, representing a decline of 34.5% from RMB 10.6 million in the previous year[32] - The group incurred a loss before tax of RMB 3.6 million for the six months ended June 30, 2022, compared to a loss of RMB 3.7 million for the same period in 2021[32] - The company reported a total comprehensive loss of RMB 2,494,000 for the six months ended June 30, 2022, compared to a loss of RMB 3,878,000 for the same period in 2021[39] Expenses and Cost Management - Selling and distribution expenses decreased by 18.2% to approximately RMB 27 million for the six months ended June 30, 2022, from approximately RMB 33 million for the same period in 2021[15] - Administrative expenses decreased by 30.9% to approximately RMB 67 million for the six months ended June 30, 2022, compared to approximately RMB 97 million for the same period in 2021[16] - Financial expenses decreased by 11.8% to approximately RMB 15 million for the six months ended June 30, 2022, from approximately RMB 17 million for the same period in 2021[17] - The group plans to implement cost control measures, reduce unnecessary expenses, and improve production efficiency in the second half of 2022[9] - For the six months ended June 30, 2022, the total employee benefits expenses amounted to RMB 11,220,000, a decrease of 15.1% from RMB 13,224,000 in the same period of 2021[56] Sales and Market Outlook - The group expects an increase in annual sales to its second-largest customer due to new product tenders and increased production capacity[13] - The sales of spray-painted outer parts decreased by 34.9% to RMB 4,645,000 from RMB 7,135,000 year-on-year[49] - The sales of spray-plastic outer parts decreased by 30.8% to RMB 13,081,000 from RMB 18,949,000 year-on-year[49] - The group plans to enhance its market share in the white goods steel and plastic components industry in China[25] Assets and Liabilities - As of June 30, 2022, the group had pledged right-of-use assets and properties totaling approximately RMB 25.2 million, down from RMB 29.4 million as of December 31, 2021[21] - Cash and cash equivalents at the end of the period were RMB 27.2 million, compared to RMB 24.9 million at the end of the same period in 2021[37] - Total equity as of June 30, 2022, is RMB 75,074,000, a decrease of 3.2% from RMB 77,568,000 as of December 31, 2021[39] - Trade receivables decreased to RMB 36,739,000 as of June 30, 2022, down 16.4% from RMB 43,994,000 as of December 31, 2021[64] - The total trade payables decreased to RMB 26,528,000 as of June 30, 2022, down 29.1% from RMB 37,438,000 as of December 31, 2021[68] - The company's net asset value as of June 30, 2022, was RMB 751 million, down approximately 3.2% from RMB 776 million as of December 31, 2021[79] - The debt-to-equity ratio increased to approximately 60.7% as of June 30, 2022, compared to 45.5% as of December 31, 2021[79] - The total current liabilities were RMB 715 million as of June 30, 2022, compared to RMB 714 million as of December 31, 2021[79] - The company’s total non-current liabilities were RMB 19 million as of June 30, 2022, down from RMB 27 million as of December 31, 2021[79] Compliance and Governance - The company has not applied any new accounting standards that have been issued but are not yet effective, and is currently assessing their potential impact[45] - The company did not declare an interim dividend for the six months ended June 30, 2022, consistent with the previous year[59] - The company has adopted the trading standards as per GEM Listing Rules sections 5.48 to 5.67, confirming full compliance by all directors with no violations reported as of June 30, 2022[85] - The company has adhered to all applicable provisions of the Corporate Governance Code under GEM Listing Rules Appendix 15 during the reporting period, with the chairman also serving as the CEO deemed appropriate for effective management[86] - The Audit Committee, established on March 31, 2018, consists of three independent non-executive directors and is responsible for overseeing financial reporting and internal controls[91] - The Audit Committee has reviewed the unaudited consolidated financial results for the period ending June 30, 2022, ensuring compliance with applicable accounting standards and GEM Listing Rules[93]
宝申控股(08151) - 2022 - 中期财报