Revenue Performance - The total revenue for the period was approximately HKD 22.6 million, a significant decrease of about 40.1% compared to approximately HKD 37.7 million in the previous period[10]. - Revenue from home goods exports contributed approximately 88.8% to total revenue, amounting to about HKD 20.1 million, down approximately 40.4% from the previous period[10]. - E-commerce revenue fell to approximately HKD 1.7 million, a decline of about 22.7% from approximately HKD 2.2 million in the previous period[10]. - Revenue for the six months ended September 30, 2023, was HKD 22,565,000, a decrease of 40.2% compared to HKD 37,732,000 for the same period in 2022[62]. - For the six months ended September 30, 2023, revenue from home goods sales of HKD 22,565,000, a decrease of 40.2% compared to HKD 37,732,000 for the same period in 2022[81]. - Revenue from the UK market increased to HKD 5,188,000 for the six months ended September 30, 2023, up 62.2% from HKD 3,198,000 in the same period last year[84]. - Revenue from Denmark decreased significantly to HKD 4,153,000, down 73.6% from HKD 15,782,000 for the same period in 2022[84]. Profitability and Loss - The company recorded a loss attributable to owners of approximately HKD 3.8 million, compared to a profit of approximately HKD 0.9 million in the previous period[12]. - The company reported a net loss attributable to owners of HKD 3,833,000 for the six months ended September 30, 2023, compared to a profit of HKD 877,000 in the same period of 2022[100]. - The gross profit margin decreased from approximately 32.8% in the previous period to about 30.2% in the current period, primarily due to lower margin products ordered by two major customers[10]. - Gross profit for the six months ended September 30, 2023, was HKD 7,003,000, down 44.9% from HKD 12,708,000 in the previous year[62]. Expenses and Costs - Selling and distribution expenses decreased by approximately 16.1% to about HKD 5.2 million from approximately HKD 6.2 million in the previous period[19]. - Administrative expenses remained stable at approximately HKD 6.1 million compared to the previous period[20]. - Financial costs increased from approximately HKD 8,000 to about HKD 25,000, representing a 2.1 times increase due to higher interest expenses on lease liabilities[22]. - Income tax expenses decreased by approximately 93.9% from about HKD 98,000 to around HKD 6,000, primarily due to insufficient provisions in previous years[23]. - The company incurred a depreciation expense of HKD 283,000 for right-of-use assets during the six months ended September 30, 2023[104]. - The company reported short-term employee benefits of HKD 1,252 million for the six months ended September 30, 2023, compared to HKD 1,325 million for the same period in 2022, a decrease of approximately 5.5%[126]. Cash Flow and Financial Position - As of September 30, 2023, the group's cash and bank balance was approximately HKD 18.2 million, down from about HKD 26.0 million as of March 31, 2023[25]. - Cash and cash equivalents decreased to HKD 18,209,000 as of September 30, 2023, from HKD 26,044,000 at the beginning of the period[71]. - Operating cash outflow for the six months was HKD 8,112,000, compared to HKD 6,688,000 in the same period last year[71]. - The company’s total assets decreased to HKD 28,174,000 as of September 30, 2023, from HKD 34,609,000 as of March 31, 2023[66]. - The company’s equity decreased to HKD 25,500,000 as of September 30, 2023, from HKD 29,089,000 as of March 31, 2023[66]. - The debt-to-equity ratio decreased from approximately 3.7% to about 2.9%, mainly due to the repayment and amortization of lease liabilities[27]. Inventory and Receivables - Inventory increased to HKD 1,840,000 as of September 30, 2023, compared to HKD 1,560,000 as of March 31, 2023[66]. - Trade receivables rose to HKD 6,771,000 as of September 30, 2023, from HKD 5,526,000 as of March 31, 2023[66]. - The total inventory value as of September 30, 2023, was HKD 1,840,000, an increase from HKD 1,560,000 as of March 31, 2023[106]. - The total amount of prepayments decreased from HKD 1,479 million to HKD 1,354 million, a reduction of approximately 8.4%[111]. - The aging analysis of trade receivables shows that amounts overdue by 0 to 30 days decreased from HKD 3,708 million to HKD 1,829 million, a reduction of about 50.7%[108]. Corporate Governance and Compliance - The company has adopted the corporate governance code as per GEM listing rules, although the roles of Chairman and CEO are not separated[48]. - The company has confirmed compliance with the trading code for directors during the period[49]. - There are no significant events that require disclosure after September 30, 2023, up to the report date[46]. - The company has not adopted any new or revised Hong Kong Financial Reporting Standards that would have a significant impact on the financial statements for the period[79]. - The company’s management is currently evaluating the impact of new and revised accounting standards but has not identified any significant effects on its operating performance and financial position[79]. Future Outlook - The company anticipates a challenging operating environment for the second half of the fiscal year 2024, with significant uncertainty due to inflation and geopolitical tensions[13]. - The company plans to continuously launch a wider variety of products and expand its sales network and customer base to enhance revenue and profitability[13].
舍图控股(08392) - 2024 - 中期财报