Revenue Growth - The company's revenue increased by approximately $27,752,000 or 44.1% to about $90,657,000, driven by growth in beauty product sales on the YesStyle platform and AsianBeautyWholesale[2]. - Revenue from AsianBeautyWholesale rose by approximately $13,249,000 or 317.4% to about $17,423,000, attributed to a 34.3% increase in average order value, a 212.7% increase in order volume, and a 174.8% increase in customer count[2]. - Revenue for the six months ended June 30, 2023, was $90,657,000, an increase of 44.3% compared to $62,905,000 for the same period in 2022[174]. - Revenue from the United States was $40,581,000, up from $31,465,000 in 2022, indicating a growth of about 29.1%[181]. - The company aims to continue expanding its sales through the YesStyle platform and AsianBeautyWholesale, which have been key drivers of revenue growth[152]. Profitability - The company recorded a profit of approximately $1,563,000, a turnaround from a loss of $2,264,000 in the previous period[35]. - The company reported a net profit attributable to owners of the company of $1,563,000 for the six months ended June 30, 2023, compared to a loss of $2,264,000 in the prior year[100]. - The total comprehensive income for the period was $1,526 thousand, a significant recovery from a total comprehensive loss of $(2,367) thousand in the same period of the previous year[106]. - The company has reversed the net loss trend observed in 2021 and 2022, indicating a positive shift in financial performance[152]. Cost and Expenses - The company's gross profit increased by approximately $6,404,000 or 29.4% to about $28,182,000, while the gross margin decreased by about 3.5 percentage points to approximately 31.1%[11]. - Sales costs rose by approximately $21,348,000 or 51.9% to about $62,475,000, primarily due to increased revenue, with freight costs as a percentage of revenue decreasing to 22.0% from 25.1%[7]. - Sales expenses increased by approximately $2,072,000 or 22.8% to about $11,146,000, driven by higher marketing and promotional costs, which rose by approximately $1,042,000 or 32.0%[18]. - The cost of goods sold for the period was $41,963,000, compared to $24,907,000 in the previous year, reflecting an increase of approximately 68.5%[195]. Cash Flow and Liquidity - Cash and bank balances decreased by approximately $8,912,000, primarily due to cash used in operating activities of about $7,993,000[37]. - The net cash used in operating activities for the six months ended June 30, 2023, was $(7,993) thousand, compared to $(6,521) thousand for the same period in 2022, indicating a decline in cash flow from operations[109]. - The company plans to meet future liquidity needs through a combination of operating cash and proceeds from its listing[33]. - The company’s cash flow from financing activities improved to $(661) thousand for the six months ended June 30, 2023, compared to $(3,347) thousand in the same period of 2022, showing a reduction in cash outflow[109]. Investments and Capital Expenditures - Capital expenditures amounted to approximately $252,000, an increase of about 231.6% compared to $76,000 in the previous period[36]. - The company has no specific near-term plans for significant investments or capital assets, but may seek investment or acquisition opportunities for sustainable growth[49]. - The company has allocated HKD 18.5 million to optimize platform content and IT capabilities to improve user experience[90]. Shareholder Information - The total number of shares held by the directors and senior management as of June 30, 2023, is approximately 154,606,530 shares, representing about 39.03% of the company's issued share capital[56]. - The company has a strategic partnership with 嘉泓物流, which is expected to positively impact both businesses and provide potential returns for shareholders[47]. - The company granted 198,500 stock options during the reporting period, with each option allowing the holder to subscribe for 10 shares[85]. Corporate Governance - The audit committee, consisting of one non-executive director and three independent non-executive directors, oversees financial reporting and internal control systems[84]. - The company has confirmed compliance with the corporate governance code, except for a deviation regarding the internal audit function[86]. - The company plans to review its corporate governance policies annually and adhere to the "comply or explain" principle[87]. Employee Information - Employee costs decreased by approximately $966,000 or 10.6%, with the number of administrative staff reducing from 401 to 373[23]. - As of June 30, 2023, the company employed a total of 478 employees, a decrease from 489 employees as of December 31, 2022[94]. Market and Operational Strategy - The company continues to focus on strategic initiatives to enhance operational efficiency and market presence, although specific new products or technologies were not detailed in the provided data[110]. - The company has implemented appropriate internal controls and risk management measures related to sanctions, with no transactions in sanctioned countries during the reporting period[95].
喆丽控股(02209) - 2023 - 中期财报