Financial Performance - For the six months ended September 30, 2023, the company reported revenue of HKD 58,694,000, a slight decrease of 1.3% compared to HKD 59,482,000 in the same period of 2022[6]. - Gross profit for the same period increased to HKD 12,928,000, up 10.3% from HKD 11,719,000 year-on-year[6]. - The company achieved a profit before tax of HKD 1,764,000, a significant improvement from a loss of HKD 4,460,000 in the previous year[6]. - Basic and diluted earnings per share for the six months were HKD 1.06, compared to a loss of HKD 2.67 in the same period last year[6]. - The company reported a net profit of HKD 1,764,000 for the six months ended September 30, 2023, compared to a net loss of HKD 4,460,000 for the same period in 2022[40]. - The group reported a profit attributable to owners of approximately HKD 1,760,000, a significant improvement from a loss of approximately HKD 4,460,000 in the previous period[69]. Revenue Breakdown - Revenue from digital advertising services decreased by 37.5% to HKD 3,196,000 for the six months ended September 30, 2023, down from HKD 5,066,000 in the same period of 2022[21]. - Revenue from social media management services decreased by 14.2% to HKD 15,324,000 for the six months ended September 30, 2023, compared to HKD 17,858,000 in the same period of 2022[21]. - Revenue from creative and technology services increased by 10.4% to HKD 40,174,000 for the six months ended September 30, 2023, up from HKD 36,558,000 in the same period of 2022[21]. - Revenue from external customers for the six months ended September 30, 2023, was HKD 58,694,000, a decrease of 1.33% compared to HKD 59,482,000 for the same period in 2022[29]. - Revenue from external customers in China was HKD 8,225,000, down 13.78% from HKD 9,540,000 in the previous year[29]. - Revenue from external customers in Taiwan decreased by 27.83% to HKD 1,967,000 from HKD 2,725,000 year-on-year[29]. - Revenue from external customers in Hong Kong increased by 2.72% to HKD 48,502,000 compared to HKD 47,217,000 in the same period last year[29]. Assets and Liabilities - Total assets increased to HKD 63,459,000 as of September 30, 2023, compared to HKD 58,083,000 at the end of March 2023[7]. - The company's cash and cash equivalents stood at HKD 18,327,000, slightly down from HKD 18,491,000 at the end of the previous period[7]. - Trade receivables rose to HKD 39,992,000 from HKD 36,114,000, indicating improved collection efficiency[7]. - The company reported a total equity of HKD 22,150,000 as of September 30, 2023, up from HKD 20,019,000 at the end of March 2023[7]. - Trade payables increased to HKD 26,103,000 as of September 30, 2023, compared to HKD 24,550,000 as of March 31, 2023[49]. - As of September 30, 2023, trade receivables amounted to HKD 48,929,000, an increase from HKD 46,095,000 as of March 31, 2023[45]. Cash Flow - For the six months ended September 30, 2023, the net cash generated from operating activities was HKD 968,000, compared to a net cash used of HKD 2,731,000 in the same period of 2022, representing a significant turnaround[12]. - The net cash used in investing activities for the six months ended September 30, 2023, was HKD 729,000, a decrease from HKD 5,465,000 generated in the same period of 2022[12]. - The net cash used in financing activities for the six months ended September 30, 2023, was HKD 770,000, compared to HKD 2,612,000 used in the same period of 2022[12]. - The cash and cash equivalents at the end of the period were HKD 18,327,000, an increase from HKD 12,891,000 at the end of the same period in 2022[12]. Cost Management - Total employee costs for the six months were HKD 15,563,000, a decrease of 29.93% from HKD 22,182,000 in the previous year[39]. - Selling expenses decreased by approximately 38.85% to about HKD 2,790,000, mainly due to reduced marketing-related expenses and sales staff costs[64]. - Administrative expenses decreased by approximately 38.46% to about HKD 8,880,000, primarily due to lower depreciation of right-of-use assets and administrative staff costs[65]. - The company has implemented cost-saving measures to ensure business stability amid strict regulations in Hong Kong and mainland China[57]. Market Outlook and Strategy - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[6]. - The reopening of borders in early 2023 has led to an increase in customer inquiries, indicating a more optimistic market demand[57]. - The gradual recovery of the tourism industry is seen as a positive growth indicator, with the company prepared to support clients in this sector[57]. - The company aims to leverage advanced artificial intelligence tools to enhance service efficiency and optimize processes[58]. - The company has diversified its customer base and expanded into new business sectors to increase revenue sources in a changing business environment[57]. Corporate Governance - The company is committed to high standards of corporate governance and has implemented measures to enhance internal control systems and ongoing professional training for directors[102]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited consolidated results for the period and confirmed compliance with applicable accounting standards[105]. - The company has adopted a code of conduct for directors regarding securities trading, ensuring compliance with GEM Listing Rules standards[99]. - The roles of chairman and CEO were held by the same individual until October 20, 2023, when a new chairman and CEO were appointed, which the board believes aids in executing business strategies effectively[103].
国恩控股(08121) - 2024 - 中期财报