中国新华电视(08356) - 2024 - 中期财报

Financial Performance - The Group's revenue for the six months ended 30 September 2023 increased by approximately 1.4% to approximately HK$225.7 million compared to HK$222.5 million in 2022[9]. - The Group's loss for the six months ended 30 September 2023 increased by 147.0% to approximately HK$2.6 million, up from approximately HK$1.1 million in 2022[9]. - Basic loss per share attributable to the owners of the Company for the six months ended 30 September 2023 was approximately HK0.07 cent, compared to approximately HK0.03 cent in 2022[9]. - Total comprehensive loss for the period attributable to the owners of the Company was approximately HK$2.7 million for the six months ended 30 September 2023, compared to HK$1.1 million in 2022[14]. - The Group reported other income of approximately HK$572,000 for the six months ended 30 September 2023, down from HK$3.1 million in 2022[12]. - Profit from operations for the six months ended 30 September 2023 was approximately HK$3.6 million, down from HK$5.3 million in 2022[12]. - The total loss before income tax for the six months ended September 30, 2023, was HK$2,480,000, compared to a loss of HK$1,860,000 in the same period of 2022, reflecting a deterioration in performance[63]. - The company reported a loss attributable to owners of approximately HK$2,722,000, compared to a loss of approximately HK$1,082,000 for the same period in 2022, indicating an increase in loss of 151%[94]. Expenses and Costs - Administrative and operating expenses for the six months ended 30 September 2023 were approximately HK$7.9 million, compared to HK$7.2 million in 2022[12]. - The Group's cost of services decreased by approximately 2.7% to approximately HK$214.8 million compared to HK$220.7 million in the previous year[142]. - Service costs decreased by approximately 2.7% to approximately HK$214.8 million from HK$220.7 million in the previous year, primarily due to stagnation in media and advertising business[145]. - Staff costs for the six months ended September 30, 2023, totaled HK$53,779,000, up from HK$49,721,000 in 2022, reflecting an increase of approximately 4.2%[81]. - Total staff costs for the period amounted to approximately HK$53.8 million, representing an increase of approximately 8.2$49.7 million in the previous year[187]. Assets and Liabilities - As of September 30, 2023, total assets decreased to HK$232,039,000 from HK$245,543,000 as of March 31, 2023, representing a decline of approximately 5.5%[16]. - Current liabilities increased to HK$626,237,000 from HK$587,953,000, marking an increase of about 6.5%[17]. - The net current liabilities rose to HK$419,351,000, compared to HK$370,510,000, indicating an increase of approximately 13.2%[16]. - The total liabilities as of September 30, 2023, were HK$629,438,000, a decrease from HK$640,349,000 as of March 31, 2023, reflecting a reduction of approximately 1.4%[17]. - The company recorded a loss of HK$2,722,000 for the period, contributing to an accumulated loss of HK$1,697,897,000 as of September 30, 2023[19]. - As of September 30, 2023, the Group had unaudited net current liabilities of approximately HK$419,351,000 and unaudited net liabilities of approximately HK$397,399,000[35]. - The Group's promissory notes amount to approximately HK$42,276,000 with interest of approximately HK$6,890,000, due for repayment within the next twelve months[35]. - The Group owes a substantial shareholder approximately HK$24,587,000, which is repayable on demand[35]. Shareholder and Financing Activities - The Company has entered into a conditional agreement to issue 1,666,666,667 subscription shares at HK$0.012 per share for a total consideration of approximately HK$20,000,000[36]. - The Company is negotiating to amend the terms of the Convertible Notes, reducing the interest rate from 3$64,128,000 to offset the Convertible Notes Interest[36]. - Mr. Kan has confirmed to provide financial support to the Group and granted a loan facility of up to HK$60,000,000 to maintain the going concern of the Company[36]. - The company is negotiating with promissory notes holders to extend repayment dates for principal and interest amounts[36]. Market and Operational Insights - The Group is exploring digital marketing business opportunities in overseas markets but has not yet identified suitable business opportunities or strategic partners[132]. - The Group has been actively monitoring market conditions and enhancing cost control measures to maintain competitiveness despite market challenges[136]. - The Group's media and advertising business remains stagnant following the expiry of exclusive broadcasting rights in August 2021[134]. - The media and advertising business segment is expected to improve in the coming year due to better macroeconomic conditions and increased advertising budgets from clients[165]. - The Group will continue to strengthen its cost control measures and actively participate in tendering to maintain market competitiveness in the civil engineering services sector[160]. - The Group remains conservatively optimistic about its construction business due to long-term infrastructure investment policies in Hong Kong[160]. Other Financial Metrics - The company recognized interest income of HK$3,000 during the six months ended September 30, 2023, compared to HK$2,000 in the same period in 2022[50]. - The income tax expense for the six months ended September 30, 2023, was HK$113,000, compared to a credit of HK$810,000 in 2022, showing a significant change in tax position[87]. - The company’s current tax provision for the period was HK$137,000, compared to a prior year over-provision of HK$1,023,000, reflecting a change in tax strategy[87]. - The company’s subsidiary in the PRC is subject to a 25$3,866,000 for the six months ended September 30, 2023[122].