Financial Performance - The group managed and coordinated 65 exhibition and event projects, generating revenue of approximately RMB 51.87 million, a decrease of RMB 3.03 million or about 5.51% year-on-year[13]. - Total revenue decreased from approximately RMB 54.90 million in the six months ended June 30, 2022, to approximately RMB 51.87 million in the same period of 2023, representing a year-on-year decrease of about 5.51% or approximately RMB 3.03 million[22]. - Revenue for the six months ended June 30, 2023, was RMB 51,873,000, a decrease of 5.5% compared to RMB 54,900,000 for the same period in 2022[125]. - The company reported a net loss attributable to shareholders of RMB 9,201,000 for the six months ended June 30, 2023, compared to a loss of RMB 8,146,000 in the same period last year[128]. - The group recorded a loss before income tax of approximately RMB 9.20 million, an increase of approximately RMB 1.06 million compared to a loss of approximately RMB 8.14 million for the six months ended June 30, 2022[44]. - The company’s basic loss per share was RMB 7.67, compared to RMB 7.46 in the previous year, indicating a slight deterioration in per-share performance[102]. - The net proceeds from the IPO amounted to HKD 72.50 million, with a net amount of HKD 36.34 million available for use as of June 30, 2023[57]. - The company reported a cash inflow from operating activities of RMB 1,485,000, a significant recovery from cash outflow of RMB 9,720,000 in the previous year[108]. Revenue Breakdown - Revenue from automotive-related exhibitions and activities increased from approximately RMB 24.99 million to approximately RMB 28.53 million, a year-on-year increase of about 14.13% or approximately RMB 3.53 million, accounting for 55.00% of total revenue[23]. - Revenue from non-automotive-related exhibitions and activities was approximately RMB 18.88 million, accounting for 36.40% of total revenue[24]. - Revenue from exhibition hall services decreased from approximately RMB 3.50 million to approximately RMB 2.25 million, a year-on-year decrease of about 35.76% or approximately RMB 1.25 million, accounting for 4.33% of total revenue[24]. - Revenue from advertising services plummeted from approximately RMB 26.41 million to approximately RMB 2.22 million, a year-on-year decrease of about 91.60% or approximately RMB 24.19 million, accounting for 4.27% of total revenue[24]. Operational Capacity - The group completed 50 out of 65 projects during the reporting period, indicating a robust operational capacity despite market challenges[13]. - The group completed 45 exhibition and event projects, 3 exhibition hall projects, and 2 advertising projects during the reporting period[19]. - The group aims to shift advertising-related services towards exhibition and exhibition hall businesses, focusing resources on higher-margin operations[22]. Economic Context - The domestic GDP for the first half of 2023 reached RMB 593,034 billion, with a year-on-year growth of 5.5%[12]. - The overall economic recovery in China is evident, with macro policies showing positive effects and steady progress towards high-quality development[12]. - The Chinese economy showed a recovery trend in the first half of 2023, with GDP reaching RMB 593,034 million, a year-on-year increase of 5.5%[18]. - The group reported a GDP growth of 6.3% year-on-year in the second quarter of 2023, highlighting a stable recovery in the domestic economy[80]. Cost Management - Total service costs decreased from approximately RMB 54.67 million to approximately RMB 50.85 million, a year-on-year decrease of about 6.99% or approximately RMB 3.82 million[29]. - The cost of exhibition and event-related services decreased from approximately RMB 47.83 million to approximately RMB 43.78 million, a year-on-year decrease of about 8.47% or approximately RMB 4.05 million, accounting for 86.10% of total service costs during the reporting period[30]. - Total selling expenses for the reporting period were approximately RMB 3.91 million, an increase of approximately 5.73% or about RMB 0.21 million compared to approximately RMB 3.70 million for the six months ended June 30, 2022[35]. - Administrative expenses for the reporting period were approximately RMB 7.07 million, a year-on-year increase of approximately 50.90% or about RMB 2.39 million compared to approximately RMB 4.68 million for the six months ended June 30, 2022[39]. Financial Position - Total assets decreased to RMB 123,584,000 from RMB 137,071,000, a decline of 9.8%[104]. - Current assets fell to RMB 116,772,000 from RMB 129,195,000, a decrease of 9.6%[104]. - Total equity decreased to RMB 12,916,000 from RMB 22,117,000, reflecting a decline of 41.5%[104]. - The company has approximately HKD 3.03 million in unused proceeds from the IPO, which is planned to be fully utilized by December 31, 2023[58]. - The debt-to-equity ratio as of June 30, 2023, was 69.68%, compared to 45.21% as of December 31, 2022[54]. Management and Governance - The board of directors confirmed that the report's information is accurate and complete, with no misleading or fraudulent elements[12]. - The company has adopted the GEM Listing Rules for securities trading standards, confirming compliance by all directors[98]. - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ending June 30, 2023, ensuring compliance with applicable accounting standards[99]. - The company has not reported any significant contingent liabilities as of June 30, 2023[72]. - The company did not engage in any significant transactions with related parties during the periods ended June 30, 2022, and June 30, 2023[138]. Human Resources - As of June 30, 2023, the group employed 76 staff, with a total employee cost of approximately RMB 8.54 million, up from RMB 6.09 million in the same period of 2022, reflecting an increase of 40.2%[73]. - The total remuneration for key management personnel for the six months ended June 30, 2023, was RMB 1,958,000, an increase of 103.9% compared to RMB 962,000 for the same period in 2022[139]. Risks and Challenges - The company faces significant risks including intense competition in the exhibition services industry and reliance on the automotive sector for most of its clients[62]. - The company anticipates potential pressure on resource allocation due to proposals with lower profit margins for new market segments[70]. - The company has not made any significant changes to its risk management policies since the end of the previous year[123].
天平道合(08403) - 2023 - 中期财报