Financial Performance - For the nine months ended July 31, 2023, revenue decreased by approximately 8% to HKD 68,568,000 compared to HKD 74,341,000 for the same period in 2022[2]. - Profit attributable to owners for the nine months ended July 31, 2023, decreased by approximately 51% to HKD 2,185,000, down from HKD 4,453,000 in the same period of 2022[2]. - Basic earnings per share for the nine months ended July 31, 2023, decreased by approximately 51% to HKD 0.34, compared to HKD 0.69 for the same period in 2022[2]. - Total comprehensive income for the nine months ended July 31, 2023, was HKD 7,590,000, compared to HKD 12,000 for the same period in 2022[5]. - Other income for the group was HKD 2,050,000, a decrease of 52% compared to HKD 4,246,000 in the previous nine months, attributed to a decline in agency service income[21]. - Profit attributable to the company's owners was HKD 2,185,000, a decrease of 51% from HKD 4,453,000 in the previous nine months[21]. Revenue Segmentation - The environmental products segment saw a 22% decline in revenue, dropping from HKD 48,838,000 to HKD 38,167,000[16]. - The water supply segment experienced a 19% increase in revenue, rising from HKD 25,503,000 to HKD 30,401,000, attributed to supplying treated water to rural areas[16]. - The group's revenue proportion increased from 34% in the previous period to 44% in the current period, resulting in a gross profit margin increase to 36% from 32% in the previous nine months[21]. Profitability and Expenses - Gross profit for the nine months ended July 31, 2023, increased to HKD 24,793,000 from HKD 23,486,000 in the same period of 2022, reflecting a growth of approximately 5.6%[4]. - Operating profit for the nine months ended July 31, 2023, decreased to HKD 5,296,000 from HKD 6,911,000, representing a decline of approximately 23.3%[4]. - Sales expenses increased by 8% to HKD 2,669,000 from HKD 2,462,000 in the previous nine months, due to increased travel expenses[21]. - Administrative expenses rose by 3% to HKD 18,878,000 from HKD 18,359,000 in the previous nine months, driven by higher employee-related costs and rent expenses[21]. - The company’s financing costs for the nine months ended July 31, 2023, increased to HKD 650,000 from HKD 593,000 in the same period of 2022[4]. - The company’s administrative expenses for the nine months ended July 31, 2023, were HKD 18,878,000, slightly up from HKD 18,359,000 in the same period of 2022[4]. Corporate Governance - The company maintained compliance with the GEM Listing Rules and corporate governance codes throughout the reporting period[28]. - Major shareholders hold significant stakes, with Jiang Lili's family trust owning 344,621,200 shares, representing 53.06% of the issued shares[23]. - The company has established various committees, including a remuneration committee and an audit committee, to oversee governance and compliance matters[32][36]. - The board of directors includes executive directors Mr. Wu Zhengwei and Mr. Liang Weilun, and non-executive directors Dr. Lv Xinrong, Ms. Chen Shaoping, Professor Ni Jun, and Mr. Zhou Jinrong[37]. Strategic Developments - The company is expanding its environmental products business by establishing offices and service centers in Ningbo, Shanghai, and Shunde, with plans to extend its service network to other regions in mainland China[17]. - The company is optimistic about the potential development of energy-saving hydraulic technology in the industrial market, despite current challenges[17]. - The Tianjin water plant is equipped with advanced facilities for continuous water quality monitoring and has implemented an automated online system for pipeline status checks[19]. - The completion of the new intercity railway is expected to positively impact the economic integration and collaborative development of the water supply area[19]. Other Information - The company did not declare an interim dividend for the nine months ended July 31, 2023, compared to no dividend in the previous year[13]. - No significant acquisitions or disposals of subsidiaries or associated companies occurred during the nine months ended July 31, 2023[29]. - The company did not purchase or redeem any of its listed securities during the nine months ended July 31, 2023[26]. - The third quarter performance report for 2023 was released by the company, indicating ongoing financial assessments[38].
环康集团(08169) - 2023 Q3 - 季度财报