Revenue Growth - For the six months ended June 30, 2022, the Group recorded total revenue of approximately MOP 127.1 million, an increase of approximately MOP 53.1 million or 71.8% from approximately MOP 74.0 million for the same period in 2021[8] - The increase in revenue was mainly due to the easing of local social quarantine measures for COVID-19, which improved construction progress for ongoing projects in Macau, and the successful management strategy to diversify risks leading to increased revenue from a new project in Hong Kong[8] - Revenue from Hong Kong projects for the Period 2022 was approximately MOP42.6 million, representing an increase of approximately 42.0% compared to MOP30.0 million for the Period 2021[13] - For the six months ended June 30, 2022, the company reported revenue of MOP 127,122,000, an increase from MOP 73,959,000 in the same period of 2021, reflecting a growth of approximately 72%[105] - Revenue from external customers for the six months ended June 30, 2022, was MOP 127,122,000, a significant increase of 72% compared to MOP 73,959,000 in 2021[144] Financial Performance - The overall gross profit for the Group was approximately MOP12.0 million for the Period 2022, with a gross profit margin decreasing from approximately 13.0% in Period 2021 to approximately 9.5% in Period 2022[23] - The gross profit for the same period was MOP 12,038,000, compared to MOP 9,604,000 in 2021, indicating a gross profit margin improvement[105] - The Group reported a net loss of approximately MOP1.4 million for the Period 2022, an improvement from a net loss of approximately MOP2.1 million in 2021[43] - Loss before taxation for the six months ended June 30, 2022, was MOP 950,000, a reduction from MOP 1,713,000 in the previous year[105] - The total comprehensive expense attributable to the owners of the company for the period was MOP 1,433,000, down from MOP 2,126,000 in 2021[105] Cost and Expenses - The Group's cost of sales amounted to approximately MOP115.1 million for the Period 2022, representing an increase of approximately 78.7% from approximately MOP64.4 million for the Period 2021[21] - Administrative expenses slightly decreased to approximately MOP 9.0 million in 2022, influenced by increased depreciation and reduced staff costs due to reallocation of engineering staff[37] - Total staff costs for the period 2022 amounted to approximately MOP11.1 million, an increase from approximately MOP7.5 million in the period 2021[70] Assets and Liabilities - As of June 30, 2022, total assets amounted to MOP 246,298,000, an increase from MOP 233,772,000 as of December 31, 2021, representing a growth of approximately 5.4%[107] - Current liabilities increased to MOP 48,417,000 from MOP 35,253,000, primarily driven by a rise in trade and other payables, which grew by 38% from MOP 29,450,000 to MOP 40,803,000[107] - Trade receivables increased to MOP 78,773,000 as of June 30, 2022, from MOP 54,648,000 as of December 31, 2021, representing a growth of 43.9%[161] - The total amount of other receivables was MOP 76,444,000 as of June 30, 2022, compared to MOP 54,981,000 in the previous period, marking an increase of 38.9%[161] Credit and Risk Management - As of June 30, 2022, the Group recognized cumulative credit loss allowance on contract assets and trade receivables of approximately MOP13.0 million and MOP4.1 million respectively[30] - Impairment loss provisions under the expected credit loss (ECL) model increased from approximately MOP 2.2 million in 2021 to approximately MOP 4.3 million in 2022, attributed to increased credit risk and slower certification of completed works[35] - The allowance for credit losses rose to MOP 4,057,000, compared to MOP 3,013,000 in the previous period, indicating an increase of 34.7%[161] Strategic Initiatives - The Group's focus remains on providing electrical-related E&M engineering works, including supply, installation, and maintenance for commercial and residential developments, hotels, and casinos in Macau[6] - The Group aims to actively seek opportunities in undertaking more E&M engineering services in the Hong Kong market and potential investments in the Greater China area[13] - The Group has developed its E&M maintenance department, including the acquisition of a workshop and equipment, to enlarge its revenue base for long-term growth[13] Market Conditions - The economy of Macau SAR experienced a GDP growth of 4.1% in Q4 2021 and 8.9% in Q1 2022, indicating a positive economic outlook despite ongoing uncertainties related to the COVID-19 pandemic[9] - Future travel restrictions and their impact on the economy remain uncertain due to the evolving conditions of the COVID-19 pandemic[9] - The Group continues to monitor the situation closely and adapt its strategies accordingly to ensure sustained growth and market presence[9] Corporate Governance - The company has maintained compliance with the Corporate Governance Code throughout the reporting period[90] - The Audit Committee reviewed the unaudited condensed consolidated financial statements for the period, confirming compliance with applicable accounting standards[102] - The company confirmed it has maintained a sufficient amount of public float for its shares as required under the Listing Rules during the reporting period[92] Shareholder Information - Directors and chief executives hold significant interests, with Mr. MK Wan owning 1.5 billion shares, representing 75% of the issued share capital[82] - As of June 30, 2022, SEM Enterprises holds 1,500,000,000 shares, representing 75.00% of the issued share capital[88]
澳达控股(09929) - 2022 - 中期财报