Financial Performance - The group's revenue for the reporting period decreased by 10.0% to approximately HKD 221.5 million, down from approximately HKD 246.0 million in the previous period[7]. - Gross profit for the reporting period was approximately HKD 26.2 million, with a gross margin of 11.8%, compared to a gross profit of approximately HKD 34.9 million and a gross margin of 14.2% in the previous period[4]. - The group's net profit for the reporting period was approximately HKD 7.5 million, down from approximately HKD 16.3 million in the previous period[23]. - Revenue from concrete pouring services for the six months ended September 30, 2023, was HKD 218,377, a decrease of 9.8% from HKD 242,220 for the same period in 2022[32]. - The group reported a total profit of HKD 31,879 for the six months ended September 30, 2023, compared to HKD 245,974 in the previous period[42]. - The group’s pre-tax profit for the six months ended September 30, 2023, was HKD 21,517[44]. - The company's profit attributable to owners for the six months ended September 30, 2023, was HKD 7,511,000, a decrease of 53.9% from HKD 16,294,000 in the same period of 2022[70]. - The total comprehensive income attributable to shareholders for the period was HKD 7,752,000, down from HKD 16,044,000 in the previous year[158]. - The basic and diluted earnings per share were HKD 0.76, a decline of 48.3% from HKD 1.49 in the prior year[158]. Expenses and Costs - Other income decreased significantly to approximately HKD 100,000 from approximately HKD 5.3 million in the previous period, primarily due to a reduction in government subsidies[5]. - Administrative and other operating expenses increased by 73.9% to approximately HKD 16 million, up from approximately HKD 9.2 million in the previous period, mainly due to higher legal and professional fees[6]. - The group's tax expense for the reporting period was approximately HKD 2.6 million, down from approximately HKD 5.2 million in the previous period[22]. - Employee costs, including director remuneration, increased to HKD 103,785 for the six months ended September 30, 2023, compared to HKD 77,961 in the previous year[67]. - The company’s liabilities related to assets classified as held for sale increased to HKD 182,359,000 from HKD 131,749,000, marking an increase of 38.3%[163]. Cash Flow and Assets - As of September 30, 2023, the group had cash and cash equivalents of approximately HKD 60.1 million, down from HKD 203.5 million as of March 31, 2023[25]. - The total assets as of September 30, 2023, amounted to HKD 794,270, with segment assets for concrete pouring at HKD 360,761 and loan financing at HKD 136,896[47]. - The total trade and other receivables decreased from HKD 300,193,000 as of March 31, 2023, to HKD 213,090,000 as of September 30, 2023[82]. - The cash and bank balances decreased significantly to HKD 60,121,000 from HKD 203,498,000, indicating a decline of 70.5%[163]. - The net cash generated from operating activities for the six months ended September 30, 2023, was HKD 13,376,000, compared to a net cash used of HKD 27,005,000 in the same period of 2022[117]. Shareholder Information - The company did not declare any interim dividend for the six months ended September 30, 2023, consistent with the previous period[31]. - The total number of issued and fully paid ordinary shares as of April 1, 2023, was 1,095,388,000[100]. - The major shareholder, Prestige Rich Holdings Limited, holds 609,100,000 shares, representing 55.61% of the total equity[113]. - The company completed a share buyback offer, repurchasing approximately 119,999,994 shares, representing about 100% of the issued share capital of its subsidiary[72]. Strategic Developments - The group secured 30 construction projects with a total contract value of approximately HKD 1.4 billion, with 27 projects already generating revenue during the reporting period[14]. - The group plans to continue exploring opportunities to expand its concrete-related services and improve its operational model[15]. - The company is in the process of submitting a new listing application related to a significant acquisition, expected to be submitted by December 2023[150]. - The company has agreed to acquire 59% equity in Guangzhou Xiangjing Cemetery Co., Ltd. for HKD 142,407,107, with part of the payment to be made in cash and part through a loan transfer[102]. Risk Management and Compliance - The company has maintained its risk management policies since the year-end[191]. - The company is monitoring foreign exchange risk and has taken appropriate measures to manage this risk[121]. - The company has not engaged in any derivative activities or used financial instruments to hedge against foreign exchange risks as of September 30, 2023[121]. - The audit committee has reviewed and approved the interim financial results, ensuring compliance with applicable accounting standards and regulations[116]. Market and Industry Outlook - Management remains optimistic about the construction industry’s resilience and aims to maintain profitability amid ongoing economic challenges[46]. - The company has not reported any new product launches or significant technological advancements during this period[175]. - There are no indications of market expansion or mergers and acquisitions in the current report[175].
创建集团控股(01609) - 2024 - 中期财报