Financial Performance - Revenue for the first quarter ended September 30, 2022, was SGD 8,126,843, representing a 70.5% increase from SGD 4,779,288 in the same period of 2021[7]. - Gross profit for the same period was SGD 2,009,450, up from SGD 1,351,871, indicating a gross margin improvement[7]. - The company reported a net loss of SGD 1,099,058 for the first quarter, compared to a loss of SGD 576,677 in the prior year, reflecting a 90.5% increase in losses[7]. - The total comprehensive loss for the period was SGD 1,401,943, compared to SGD 550,513 in the same quarter of the previous year, indicating a 154.5% increase in comprehensive losses[10]. - Basic and diluted loss per share was SGD 0.13, compared to SGD 0.06 in the prior year, reflecting a worsening in per-share performance[16]. - The company reported a total loss of SGD 1,099,058 for the three months ended September 30, 2022, compared to a loss of SGD 576,677 in the same period of 2021, reflecting increased operational costs[39]. - The company recorded a net loss attributable to owners of approximately SGD 1.2 million for the period, compared to a net loss of approximately SGD 0.5 million for the three months ended September 30, 2021, primarily due to increased administrative and wage expenses from business expansion in China[111]. Revenue Breakdown - Revenue from network, audio, and communication system services was SGD 2,581,290, while e-commerce operations generated SGD 5,545,553, indicating strong performance in both segments[39]. - Total revenue for the company was SGD 8,126,843, compared to SGD 4,779,288 in the same period last year, reflecting a year-over-year increase of approximately 70.5%[49]. - Revenue from external customers in China reached SGD 6,653,008, significantly up from SGD 2,932,820 in the previous year, indicating strong growth in this market[49]. Expenses and Costs - Administrative expenses rose to SGD 1,529,997, up from SGD 700,933, marking a 118.5% increase year-over-year[7]. - The total sales/service cost for the quarter was SGD 6,117,393, which is a 78.5% increase from SGD 3,427,417 in the same period last year[7]. - The company’s employee costs totaled SGD 2,065,602, up from SGD 1,378,740 in the previous year, highlighting increased investment in human resources[58]. - The cost of sales for materials was SGD 5,184,653, compared to SGD 2,937,362 in the previous year, indicating a significant rise in production costs[60]. - Financial costs rose by approximately SGD 60,700 or 1.9 times to about SGD 93,300, mainly due to increased borrowings to fund the expansion of the CP and NSC divisions in China[107]. Other Income and Financial Metrics - Other income increased to SGD 121,226 from SGD 37,608, showing a growth of 222.5%[7]. - The company experienced a foreign exchange loss of SGD 302,885, contrasting with a gain of SGD 26,164 in the previous year, indicating a significant negative impact from currency fluctuations[10]. - The company experienced a foreign exchange gain of SGD 97,952, contrasting with a loss of SGD 104,485 in the previous year, showcasing improved currency management[52]. - The company’s total other income and expenses amounted to SGD 121,226, with financial costs of SGD 512,594 and tax expenses of SGD 21,142 for the reporting period[39]. Strategic Focus and Operations - The company operates primarily in Singapore and China, focusing on sales and integrated services for network, audio, and communication systems, as well as e-commerce operations[34]. - The company’s operational segments are strategically managed, with distinct risks and returns associated with each segment, including network services and e-commerce[37]. - The company plans to strengthen its team by recruiting skilled IT engineers and enhancing training investments to improve technical service capabilities[90]. - The company aims to expand its service system by broadening its product and service range based on key clients, including system integration and mainstream domestic security products[90]. - The company is focused on deepening its presence in the financial and railway sectors while actively seeking new clients in these industries[90]. - The company is exploring opportunities in e-commerce channels, particularly through partnerships with platforms like JD.com and Tmall, and is investing in private traffic operations to create new business growth points[83]. Capital and Funding - As of September 30, 2022, the company utilized 63.0% of the net proceeds from its IPO, amounting to HKD 27.7 million out of the planned HKD 44.0 million[117]. - The company has fully utilized the budget for expanding and training sales and marketing, technical, and support personnel, with an expenditure of HKD 11.6 million[117]. - The company plans to establish a new sales office in Singapore, with a budget of HKD 10.0 million, and has not yet utilized any of these funds[117]. - The company has incurred HKD 2.5 million in expenses related to repaying part of its bank loans, with 60.0% of the budget utilized[117]. - The company raised approximately HKD 44.0 million from its listing on the GEM of the Hong Kong Stock Exchange after deducting related expenses[171]. Corporate Governance and Compliance - The company did not declare or pay any dividends during the reporting period, consistent with the previous year[72]. - The company did not recommend the payment of dividends during the period, consistent with the previous quarter[112]. - On October 28, 2022, the company adopted a revised and restated memorandum and articles of association to comply with the latest legal and regulatory requirements[175]. - The board confirmed that there have been no significant changes to the nature of the company's business during the relevant period, and the company continues to receive invitations to bid and projects from clients[171]. - The company has maintained sufficient public float as required by the GEM listing rules during the relevant period[198]. - The company has adopted the trading standards as the code of conduct for directors regarding securities transactions[196]. - There have been no significant changes in the information of directors that need to be disclosed according to GEM listing rules[197].
ISP GLOBAL(08487) - 2023 Q1 - 季度财报