Financial Performance - Total revenue for the three months ended March 31, 2023, decreased by approximately 60.3% to about HKD 10.4 million compared to HKD 26.2 million in the same period of 2022[13] - The average revenue per project dropped from approximately HKD 1.31 million in 2022 to about HKD 0.50 million in 2023, a decrease of 62.1%[11] - Gross profit for the three months was approximately HKD 2.0 million, down about 59.2% from HKD 4.9 million in the previous year, with a slight increase in gross margin from 18.6% to 19.2%[14] - Adjusted EBITDA for the period was approximately (HKD 3.7 million), compared to (HKD 0.8 million) in the same period last year, primarily due to a decrease in overall gross profit[16] - The company recorded a loss attributable to owners of approximately HKD 3.1 million for the three months, compared to a loss of about HKD 1.6 million in the previous year[16] - Operating loss for the three months ended March 31, 2023, was HKD 3,399 thousand, compared to an operating loss of HKD 1,069 thousand for the same period in 2022[22] - The net loss for the period was HKD 3,734 thousand, compared to a net loss of HKD 1,264 thousand for the same period in 2022[22] - Revenue from design and renovation services was HKD 9,937,000, down 61.0% from HKD 26,116,000 in the previous year[32] - The group recorded a loss attributable to owners of the company of HKD 3,089,000 for the three months ended March 31, 2023, compared to a loss of HKD 1,595,000 for the same period in 2022[38] Project Management - The number of projects remained unchanged at 20, with a 20% increase in office projects from 15 to 18, while commercial and residential projects decreased by 66.7% and 50.0%, respectively[6] - The number of completed projects and ongoing projects remained stable, indicating consistent project management despite revenue declines[6] Operating Expenses and Cost Control - Operating expenses increased to approximately HKD 6.5 million from HKD 6.2 million in the previous year, mainly due to higher employee costs[16] - The company continues to implement extensive cost control measures to maintain profit margins amid ongoing economic challenges[14] Cash and Liabilities - As of March 31, 2023, the group's cash and cash equivalents amounted to approximately HKD 11.6 million, a decrease from HKD 12.2 million as of December 31, 2022[17] - The current ratio as of March 31, 2023, was approximately 0.8, down from 0.9 as of December 31, 2022[17] - Total liabilities as of March 31, 2023, were approximately HKD 77.1 million, an increase from HKD 70.3 million as of December 31, 2022[17] - The debt-to-capital ratio decreased to approximately 24.6% as of March 31, 2023, from 30.2% as of December 31, 2022, primarily due to a reduction in borrowings[17] Share Options and Ownership - As of March 31, 2023, the company had 22,877,200 unexercised share options available under its share option scheme[41] - The share option scheme allows for a maximum of 1% of the issued shares to be granted to eligible participants within any 12-month period[39] - The company issued 22,116,000 share options on January 19, 2023, which, if fully exercised, would result in the issuance of approximately 6.1% of the company's total issued shares[40] - As of March 31, 2023, the company has a total of 18,941,200 shares held by beneficial owner Chen Hongkai, representing 5.26% of the issued shares[45] - Beneficial owner Lu Yujian holds 72,252,000 shares, accounting for 20.05% of the company's issued shares as of March 31, 2023[47] - The spouse of Chen Hongkai holds 39,600 shares, which is 0.01% of the issued shares[45] - The company has not disclosed any other individuals holding 5% or more of the company's shares apart from those mentioned[47] Corporate Governance - The company has complied with all corporate governance codes as per GEM Listing Rules Appendix 15 during the three months ended March 31, 2023[50] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited financial information for the three months ended March 31, 2023[53] - No arrangements were made for directors and senior management to benefit from purchasing the company's shares or debt securities as of March 31, 2023[46] - The company has adopted a code of conduct regarding securities trading by directors, which is stricter than the GEM Listing Rules[51] - There were no interests or potential conflicts of interest reported by directors in any competing businesses during the three months ended March 31, 2023[48] Future Outlook - Future outlook remains cautious due to the ongoing adverse effects of COVID-19 on the Hong Kong economy[14] - The company did not declare any interim dividend for the three months ended March 31, 2023, consistent with the previous year[20] - On March 21, 2023, the company completed the acquisition of a 34% stake in Shunyu Asset Management Limited for HKD 500,000[21] - The effective tax rate for the group remains at 16.5% for both the current and previous year[36] - The group generated other income of HKD 7,000, down 95.7% from HKD 163,000 in the previous year[33] - The group reported a net gain from the sale of property, plant, and equipment of HKD 634,000, and a gain from the sale of subsidiaries of HKD 448,000, totaling HKD 1,082,000 for the period[35]
简朴新生活(08360) - 2023 Q1 - 季度财报