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万民好物(08217) - 2024 - 中期财报
WMHWWMHW(HK:08217)2023-11-14 12:16

Revenue Performance - The total revenue for the six months ended September 30, 2023, decreased to approximately HKD 20,533,000, down from HKD 37,787,000 for the same period in 2022, representing a decline of about 45.6%[14] - The decrease in revenue was primarily due to several large construction projects nearing completion and intense industry competition[8] - Revenue for the six months ended September 30, 2023, was HKD 20,533,000, a decrease of 45.5% compared to HKD 37,787,000 for the same period in 2022[51] - Revenue from major clients for the six months ended September 30, 2023, included HKD 3,010,000 from Client 1 and HKD 15,483,000 from Client 3, compared to HKD 8,493,000 and HKD 28,084,000 respectively in 2022, showing a decrease of 64% and 45%[69] Financial Performance - The group's performance improved from a loss of approximately HKD 4,143,000 for the six months ended September 30, 2022, to a profit of approximately HKD 583,000 for the six months ended September 30, 2023[15] - Gross profit for the six months ended September 30, 2023, was HKD 583,000, compared to a gross loss of HKD 4,143,000 for the same period in 2022[51] - Operating loss for the six months ended September 30, 2023, was HKD 19,273,000, compared to an operating profit of HKD 352,000 for the same period in 2022[51] - Net loss attributable to equity holders for the six months ended September 30, 2023, was HKD 19,633,000, compared to a net loss of HKD 369,000 for the same period in 2022[51] - Other income/loss shifted from income of approximately HKD 15,137,000 for the six months ended September 30, 2022, to a loss of approximately HKD 12,639,000 for the six months ended September 30, 2023[16] - The net cash used in operating activities for the six months ended September 30, 2023, was HKD (6,179,000), compared to HKD (3,605,000) for the same period in 2022, indicating a 71% increase in cash outflow[57] Cost Management - Administrative expenses decreased from approximately HKD 10,642,000 for the six months ended September 30, 2022, to approximately HKD 7,217,000 for the six months ended September 30, 2023, primarily due to a reduction in professional fees and expected credit losses[17] - Financing costs decreased from approximately HKD 721,000 for the six months ended September 30, 2022, to approximately HKD 360,000 for the six months ended September 30, 2023[18] - The total employee cost for the six months ended September 30, 2023, was approximately HKD 2,898,000, down from approximately HKD 5,115,000 for the six months ended September 30, 2022[30] - The impairment losses recognized for the six months ended September 30, 2023, were HKD 5,348,000, compared to HKD 7,485,000 in 2022, indicating a reduction of 29%[73] Investment and Future Prospects - The government has committed to an average annual capital expenditure exceeding HKD 100 billion from 2024 to 2028, which is expected to create more market opportunities[9] - The company has recently secured several projects that are anticipated to ensure sustainable development and enhance employee loyalty[8] - The company plans to assess the feasibility of obtaining licenses to operate civil engineering and related operations in countries such as Japan and Thailand[9] - The company aims to maintain a diversified investment portfolio and closely monitor investment performance and market trends to adjust its investment strategy accordingly[12] - The company remains confident about its prospects for the coming years despite challenges such as difficult geological conditions and adverse weather[9] Corporate Governance and Compliance - The company has complied with all applicable corporate governance codes as per GEM Listing Rules during the reporting period[39] - The company has established an audit committee to oversee financial reporting and internal controls, consisting of three independent non-executive directors[50] Client Dependency and Risks - The company's revenue is heavily reliant on a small number of clients, with the top five clients contributing approximately 100% of total revenue for the six months ended September 30, 2023, and the largest client accounting for about 75.4% of total revenue[33] - The company faces significant risks, including reliance on a limited number of clients, potential cash flow issues, and the impact of adverse weather conditions on operations[33] Shareholder Information - The board recommended not to declare an interim dividend for the six months ended September 30, 2023, and September 30, 2022[31] - The company has issued a total of 26,974,800 stock options under its stock option plan, with each option granting the holder the right to subscribe for one share at HKD 0.16[43] - The company has not purchased, sold, or redeemed any of its listed securities during the six months ended September 30, 2023[38] - The company granted a total of 26,974,800 share options to employees and consultants, aimed at retaining and incentivizing non-employees to enhance company value[47] Asset and Liability Management - Total assets as of September 30, 2023, were HKD 92,538,000, down from HKD 105,191,000 as of March 31, 2023[53] - Current liabilities increased to HKD 61,902,000 as of September 30, 2023, compared to HKD 54,964,000 as of March 31, 2023[53] - The company's non-current assets are located entirely in Hong Kong, with all revenue derived from local clients[68] - The company did not acquire or dispose of any property, plant, and equipment during the six months ended September 30, 2023[80]