Financial Performance - Revenue for the six months ended September 30, 2023, was HKD 517,490,000, representing a 28% increase from HKD 404,590,000 in the same period of 2022[5] - Gross profit for the same period was HKD 94,661,000, up from HKD 83,563,000, indicating an increase of 13%[5] - Net profit for the period was HKD 20,340,000, compared to HKD 19,698,000 in the previous year, reflecting a growth of 3.3%[5] - Basic and diluted earnings per share remained at HKD 1.6, unchanged from the previous year[5] - Total comprehensive income for the period was HKD 9,051,000, a significant recovery from a loss of HKD 1,622,000 in the same period last year[7] - Total revenue for the group reached HKD 517,490,000, representing a 28% increase from HKD 404,590,000 in the same period last year[28] - The group’s net profit for the mid-2023 period was approximately HKD 20.3 million, an increase of about HKD 0.6 million or 3% compared to mid-2022 (approximately HKD 19.7 million) [89] Revenue Segmentation - Revenue from IT infrastructure solutions service significantly increased to HKD 391,980,000, up 47.5% from HKD 265,663,000 in 2022[28] - The company continues to focus on expanding its IT application and solution development services, which generated HKD 46,441,000 in revenue, up 24.3% from HKD 37,397,000[28] - The IT maintenance and support services segment generated revenue of approximately HKD 67.3 million, a decrease of about 24% from HKD 88.7 million in the previous year, accounting for about 13% of total revenue[75] - The IT secondment services segment's revenue decreased by approximately 9% to HKD 11.7 million, representing about 2% of total revenue[72] Cash and Liquidity - Cash and cash equivalents rose to HKD 238,615,000, up from HKD 216,920,000, indicating improved liquidity[10] - The group reported a net increase in cash and cash equivalents of HKD 21,365,000, down from HKD 38,137,000 in the previous year[20] - The cash and cash equivalents at the end of the period stood at HKD 238,615,000, compared to HKD 144,719,000 at the end of the same period last year, marking a 64.8% increase[20] - The group's liquidity ratio as of September 30, 2023, was approximately 2.4 times, compared to approximately 2.3 times as of March 31, 2023[97] Expenses and Costs - Employee costs, including directors' remuneration, rose to HKD 85,235,000 for the six months ended September 30, 2023, compared to HKD 82,850,000 in the same period of 2022[41] - General and administrative expenses increased by approximately 11% to HKD 70.1 million, primarily due to an increase in employee costs of about HKD 2.4 million[83] - Financing costs for the mid-2023 period were approximately HKD 0.92 million, an increase of about HKD 0.25 million or 37% compared to mid-2022 (approximately HKD 0.67 million) [87] Assets and Liabilities - Non-current assets in Hong Kong amounted to HKD 100,826,000 as of September 30, 2023, slightly down from HKD 101,174,000 as of March 31, 2023[36] - Trade receivables increased to HKD 299,784,000 as of September 30, 2023, compared to HKD 282,743,000 as of March 31, 2023, with a provision for bad debts of HKD 1,302,000[58] - Trade payables rose to HKD 146,822,000 as of September 30, 2023, from HKD 138,960,000 as of March 31, 2023[60] - The group's total liabilities related to trade and other payables amounted to HKD 178,823,000 as of September 30, 2023, down from HKD 190,181,000 as of March 31, 2023[60] Shareholder Information - As of September 30, 2023, the company’s issued share capital was HKD 21,939,758, divided into 877,590,312 shares with a par value of HKD 0.025 each[138] - Mr. Li Changyuan held 173,094,800 shares, representing approximately 19.72% of the company's issued share capital, while Dr. Cai Zhaohui held 143,072,000 shares, representing approximately 16.30%[134] - The major shareholders include individuals who are considered concert parties, collectively holding 173,094,800 shares, equivalent to 19.72% of the issued share capital[143] Corporate Governance - The board of directors has adopted and complied with all provisions of the corporate governance code, except for the separation of the roles of chairman and CEO, which is currently not in place[125] - The company has established an audit committee consisting of one non-executive director and two independent non-executive directors, ensuring proper governance[145] - The company is committed to maintaining transparency and has made its audit committee's terms of reference available on its website[145] Future Outlook - The company plans to continue focusing on market expansion and new product development to drive future growth[5] - The company plans to enhance its marketing and promotion efforts for the CKB project in Malaysia, which is expected to generate stable rental income in the foreseeable future[76] - The group has not yet commenced operations in the property leasing segment, which is expected to contribute to future revenue growth[28] Risks and Challenges - The company acknowledges various risks and uncertainties that may adversely affect its business and financial condition, including global inflation and local competition challenges[77] - The group faced foreign exchange risks due to project CKB and will continue to assess and consider hedging significant foreign currency risks as necessary[118]
扬科集团(01460) - 2024 - 中期财报