Revenue Performance - The Group recorded revenue of approximately HK$199.9 million for the six months ended 30 September 2023, representing an increase of 22.7% compared to HK$162.9 million for the same period in 2022[17]. - The increase in revenue was attributed to the commencement of value-added services in the second half of 2022, contributing approximately HK$40.8 million, and an increase of approximately HK$3.8 million from the Lifestyle Entertainment Segment due to the resumption of normal business hours after lifting Covid-19 measures[17]. - The Group's total revenue for the six months ended September 30, 2023, was HK$199,875,000, compared to HK$162,931,000 in the same period of 2022, reflecting an overall increase of 22.7%[160]. - Revenue from club and restaurant operations in Hong Kong increased to HK$10,216,000 for the six months ended September 30, 2023, compared to HK$6,411,000 in the same period of 2022, representing a growth of 59.5%[160]. - Revenue from property management contracts in Mainland China was HK$156,520,000 for the six months ended September 30, 2023, slightly down from HK$148,831,000 in the previous period, indicating a decrease of 5.1%[160]. - The Group's revenue from property management related value-added services in Mainland China was HK$40,828,000 for the six months ended September 30, 2023, with no revenue reported in the previous period[160]. Profitability and Earnings - The Group recorded a net profit of approximately HK$8.5 million for the six months ended 30 September 2023, down from approximately HK$18.3 million for the same period in 2022[31][33]. - Profit for the period was HK$8,467,000, down 53.7% from HK$18,290,000 in the previous year[121]. - Basic and diluted earnings per share decreased to 1.7 cents from 3.2 cents year-on-year[121]. - Profit before taxation for the six months ended September 30, 2023, was HK$15,895,000, down from HK$24,271,000 in 2022, a decline of 34.5%[176]. - Profit before taxation for the six months ended 30 September 2023 was $8,467,000, a decrease of 46.1% compared to $15,665,000 for the same period in 2022[193]. - Total comprehensive income for the period was HK$(11,568,000), compared to HK$(12,343,000) in the previous year, showing a slight improvement[123]. Operational Costs and Expenses - Staff costs increased by approximately 3.9% or HK$2.7 million to approximately HK$72.2 million for the six months ended 30 September 2023, primarily due to an increase in the number of staff in the Lifestyle Entertainment Segment[21]. - Advertising and marketing expenses increased by approximately 127.3% or HK$1.4 million to approximately HK$2.5 million for the six months ended 30 September 2023 from approximately HK$1.1 million for the same period in 2022[22][24]. - Total operating expenses decreased to $15,596,000 in 2023 from $19,494,000 in 2022, reflecting a reduction of 20.5%[185]. - Legal and professional fees increased to $2,543,000 in 2023 from $2,306,000 in 2022, an increase of 10.3%[185]. - The cost of inventories sold increased significantly to HK$42,690,000 from HK$5,465,000, indicating a substantial rise in operational costs[121]. Financial Position and Assets - As of 30 September 2023, the Group's total current assets were approximately HK$359.7 million, down from HK$380.2 million as of 31 March 2023, while current liabilities decreased to approximately HK$192.0 million from HK$234.6 million[32][34]. - The current ratio improved to 1.9 times as of 30 September 2023, compared to 1.6 times as of 31 March 2023[32][34]. - Cash at bank and in hand was approximately HK$263.1 million as of 30 September 2023, down from HK$286.4 million as of 31 March 2023[36][38]. - Non-current assets decreased from HK$157,480,000 to HK$143,079,000, a reduction of 9.1%[126]. - Current assets decreased from HK$380,260,000 to HK$359,664,000, a decline of 5.4%[126]. - Net current assets increased to HK$167,632,000, up 15.0% from HK$145,686,000[127]. Strategic Initiatives and Challenges - The Lifestyle Entertainment Segment faced significant challenges post-Covid-19, with no significant improvement in performance compared to the pandemic period, largely due to shifts in customer behavior towards online entertainment[12]. - The Group's strategic changes in response to the macro-economic environment have not yet yielded significant improvements in the Lifestyle Entertainment Segment[12]. - The economic downturn and changing consumer attitudes have impacted the performance of the Lifestyle Entertainment Segment, necessitating ongoing strategic adjustments[12]. - The Property Management Segment is expected to maintain steady growth and profitability despite a slowdown in China's real estate industry, focusing on high-quality property management services[60]. - The Group plans to expand its value-added services related to property management to create future growth momentum and long-term value for customers and shareholders[61]. Shareholder Information and Corporate Governance - The Group did not recommend the payment of an interim dividend for the six months ended September 30, 2023, consistent with the previous year[65]. - The Company has adopted the Model Code for Securities Transactions as its code of conduct for Directors[66]. - All Directors confirmed full compliance with the Model Code for Securities Transactions during the six months ended September 30, 2023[66]. - The interests of substantial shareholders were disclosed under the provisions of the Securities and Future Ordinance[79]. - The company has complied with the Corporate Governance Code during the six months ended September 30, 2023[102]. Cash Flow and Financing Activities - Cash generated from operations increased significantly to HK$5,452,000 for the six months ended September 30, 2023, compared to HK$1,105,000 in the same period of 2022, representing a growth of approximately 394%[132]. - Net cash used in operating activities improved to HK$(4,748,000) in 2023 from HK$(11,678,000) in 2022, indicating a reduction of about 59%[134]. - Net cash used in financing activities decreased significantly to HK$(5,328,000) in 2023 from HK$(20,530,000) in 2022, a reduction of about 74%[134]. - The effect of foreign exchange rate changes resulted in a decrease of HK$16,705,000 in cash and cash equivalents for the six months ended September 30, 2023, compared to a decrease of HK$28,046,000 in the same period of 2022[134]. Accounting and Reporting Standards - The interim financial report has been prepared in accordance with HKAS 34, ensuring compliance with relevant financial reporting standards[138]. - The company has not applied any new accounting standards that are not yet effective for the current accounting period, indicating stability in accounting practices[151]. - The Group is currently assessing the impacts of new accounting guidelines issued by HKICPA, which may affect future financial reporting[152].
奥克斯国际(02080) - 2024 - 中期财报