Financial Performance - Revenue for the three months ended September 30, 2023, was HK$12,172,000, an increase of 34.5% compared to HK$9,044,000 in the same period of 2022[12]. - Gross profit for the six months ended September 30, 2023, was HK$10,452,000, representing a 41.5% increase from HK$7,398,000 in the prior year[12]. - Loss from operations for the three months ended September 30, 2023, was HK$3,892,000, a decrease in loss compared to HK$6,000,000 in the same period of 2022[12]. - Loss before tax for the six months ended September 30, 2023, was HK$10,733,000, compared to HK$7,909,000 in the previous year, indicating a worsening of financial performance[12]. - The company reported a total comprehensive loss attributable to owners of HK$10,792,000 for the six months ended September 30, 2023, compared to HK$7,935,000 in the same period of 2022[12]. - Basic and diluted loss per share for the three months ended September 30, 2023, was HK$0.49, an improvement from HK$0.75 in the prior year[12]. - The company recorded a total comprehensive income loss of HK$10,792,000 for the six months ended September 30, 2023[15]. - For the three months ended September 30, 2023, the company reported a loss of HK$3,932,000 compared to a loss of HK$6,003,000 for the same period in 2022, representing a 34.5% improvement[55]. - For the six months ended September 30, 2023, the loss increased to HK$10,733,000 from HK$7,935,000 in 2022, indicating a 35.4% increase in losses year-over-year[55]. Revenue Breakdown - Revenue for the six months ended September 30, 2023, was HK$21,469,000, slightly up from HK$21,354,000 in the same period of 2022, indicating a growth of 0.5%[34]. - Sales of biometrics identification devices, security products, and other accessories amounted to HK$8,012,000 for the three months ended September 30, 2023, compared to HK$6,021,000 in 2022, marking a 33.1% increase[34]. - Provision of auxiliary and other services generated revenue of HK$4,160,000 for the three months ended September 30, 2023, up from HK$3,023,000 in 2022, reflecting a growth of 37.7%[34]. Expenses and Costs - Selling and distribution costs increased to HK$4,481,000 for the six months ended September 30, 2023, compared to HK$3,376,000 in the previous year, indicating higher marketing expenses[12]. - Administrative and other operating expenses rose to HK$16,861,000 for the six months ended September 30, 2023, compared to HK$12,689,000 in the same period of 2022, reflecting increased operational costs[12]. - Staff costs, including salaries and bonuses, rose to HK$8,589,000 for the three months ended September 30, 2023, up from HK$7,543,000 in 2022, reflecting a 13.9% increase[55]. - Staff costs for the six months ended September 30, 2023, were approximately HK$16.9 million, an increase of approximately HK$2.6 million compared to approximately HK$14.3 million in the previous year[101]. Assets and Liabilities - As of September 30, 2023, total assets less current liabilities amounted to HK$25,908,000, a decrease of 30.8% from HK$37,494,000 as of March 31, 2023[14]. - Net current assets decreased to HK$25,364,000, down 31.5% from HK$36,938,000 as of March 31, 2023[14]. - Cash and cash equivalents at the end of the period were HK$8,948,000, a significant decrease of 50.0% from HK$17,868,000 at the beginning of the period[17]. - Total equity as of September 30, 2023, was HK$23,804,000, down 31.4% from HK$34,596,000 as of March 31, 2023[15]. - The company’s bank borrowings increased to HK$1,000,000 as of September 30, 2023, compared to no borrowings as of March 31, 2023[14]. Cash Flow - The company reported a net cash used in operating activities of HK$7,910,000 for the six months ended September 30, 2023, compared to HK$6,993,000 for the same period in 2022[17]. - The Group's cash and bank balances decreased to approximately HK$8.9 million as of September 30, 2023, down from approximately HK$17.9 million as of March 31, 2023[105]. Corporate Governance - The Group has committed to high standards of corporate governance, ensuring compliance with the Corporate Governance Code since its listing[151]. - The company has established an Audit Committee in compliance with GEM Listing Rules, enhancing corporate governance[190]. - The roles of chairman and chief executive officer are held by the same individual, which the Board believes is in the best interest of the Group for effective management[153]. - The company has maintained a clear governance structure with independent oversight, which is crucial for investor confidence[190]. Future Plans and Strategies - The Group plans to reallocate part of the unutilised net proceeds from the Listing to enhance after-sales services, improve the IT system, and focus on research and development of touchless biometrics identification devices and AIoT[95]. - The Group aims to diversify the functions of its touchless biometrics identification devices by utilising AIoT to capture the healthcare-related market[96]. - The Group aims to strengthen marketing capabilities and expand its product portfolio to increase market share in Hong Kong, Macau, and the PRC[140]. - The Group's strategy includes the development of non-contact biometric identification devices and AIoT technologies[145]. Shareholding and Securities - As of September 30, 2023, Delighting View Global Limited holds 108,000,000 shares, representing approximately 13.5% of the Company's issued share capital[167]. - Mr. Tony Yuen and Ms. Pauline Yuen each have a controlled corporation interest in 108,000,000 shares, equating to 13.5% of the Company's issued share capital[168]. - No purchases, sales, or redemptions of the Company's listed securities occurred during the six months ended September 30, 2023[180]. Audit and Compliance - The unaudited condensed consolidated financial statements for the three and six months ended September 30, 2023, have been reviewed by the Audit Committee, confirming compliance with applicable accounting standards and GEM Listing Rules[191]. - The financial information disclosed is deemed adequate by the Audit Committee, ensuring transparency for stakeholders[191].
懒猪科技(08379) - 2024 - 中期财报