Financial Performance - Revenue for the six months ended December 31, 2023, was HK$89,336,000, a significant increase from HK$3,538,000 in the previous period, representing a growth of 2,425%[9] - Gross profit for the same period was HK$6,505,000, compared to HK$712,000 in the previous period, indicating a substantial increase[9] - Profit before taxation reached HK$51,092,000, a turnaround from a loss of HK$5,531,000 in the previous period[9] - Profit for the period was HK$50,798,000, compared to a loss of HK$5,768,000 in the previous period, marking a significant improvement[9] - Earnings per share for the period was HK$1.84 cents, compared to a loss of HK$(0.22) cents in the previous period[12] - Total comprehensive income for the period was HK$5,418,000, compared to a total comprehensive loss of HK$5,420,000 in the previous period[11] - The company reported a profit for the period of HK$50,590,000 for the six months ended December 31, 2023, compared to a loss of HK$5,963,000 in the same period last year[21] - Total comprehensive income for the period was HK$5,023,000, compared to a total comprehensive loss of HK$4,567,000 in the previous year[21] - Profit before tax for the six months ended December 31, 2023, was HK$51,092,000, compared to a loss of HK$5,768,000 in the same period of 2022, indicating a significant turnaround[26] - Profit attributable to owners of the Company for the six months ended 31 December 2023 was approximately HK$51 million, a turnaround from a loss of approximately HK$6.0 million in the previous period, mainly due to a one-off gain from the disposal of a subsidiary[137] Assets and Liabilities - As of December 31, 2023, total assets amounted to HK$181,807,000, an increase from HK$131,554,000 as of June 30, 2023, representing a growth of 38%[14] - Current liabilities increased significantly to HK$100,193,000 from HK$32,584,000, indicating a rise of 207%[14] - Net current assets decreased to HK$81,614,000 from HK$94,071,000, reflecting a decline of 13%[14] - Total equity attributable to owners of the Company increased to HK$116,275,000 from HK$111,252,000, marking a growth of 4%[18] - Cash and cash equivalents stood at HK$8,527,000, a slight decrease from HK$9,147,000 as of June 30, 2023[14] - The company’s non-current assets totaled HK$42,680,000, showing a marginal increase from HK$42,476,000[14] - The company recorded an exchange difference loss of HK$7,774,000 due to foreign operations translation[11] - The company recorded a cumulative exchange difference of HK$37.606 million related to the net assets of the subsidiaries released upon loss of control[72] Cash Flow and Investments - Net cash generated from investing activities was HK$53,653,000, a recovery from a net cash outflow of HK$6,765,000 in the previous year[28] - The company reported a net cash inflow of HK$58,334,000 from financing activities, compared to a net cash outflow of HK$3,422,000 in the previous year[28] - Total cash used in operating activities was HK$108,869,000, a significant increase from HK$2,835,000 in the same period last year[26] - The company received HK$2,474,000 from loan receivables, marking a positive cash inflow from this segment[28] - The company reported a loss on the disposal of financial assets of HK$406,000, with no such losses reported in the previous year[26] - The company’s interest income decreased to HK$668,000 from HK$874,000 in the previous year, reflecting a decline of 23.6%[26] Revenue Segments - Revenue from Smart City Solutions amounted to HK$73,962,000, compared to HK$87,000 in the previous year, indicating a substantial increase in this segment[46] - Revenue from the design and sales of renewable energy products and solutions reached HK$15,374,000, up from HK$3,451,000, reflecting a growth of approximately 345%[46] - The segment result for Smart City Solutions was HK$4,513,000, while the overall segment result showed a loss of HK$19,825,000 for the Group[50] - The Group's total revenue for the six months ended December 31, 2023, was HK$89,336,000, a significant increase from HK$3,538,000 in the same period of 2022, representing a growth of approximately 2,525%[46] Expenses and Costs - General and administrative expenses increased to HK$11,491,000 from HK$8,975,000 in the previous period, reflecting a rise of 28%[9] - The total income tax expense for the period was HK$294,000, compared to HK$237,000 in the same period of 2022[61] - The company incurred finance costs of HK$25,000, down from HK$67,000 in 2022, indicating improved cost management[26] - General and administrative expenses increased by approximately 22% to about HK$11 million, up from approximately HK$9 million in the previous year, mainly due to increased legal and professional fees[144] Contracts and Projects - The Group secured a service contract for the Lanzhou Project valued at approximately RMB100.2 million, with on-site work commencing in October 2023 and expected completion by June 2024[161] - A service contract for the Gansu Project valued at approximately RMB38.9 million was also secured, with similar timelines for commencement and completion[162] - The company signed a service contract worth approximately RMB 100.2 million for the Lanzhou project, which involves the installation of an AI model training computing platform and an educational cloud platform, expected to commence in October 2023 and be completed by June 2024[166] - The company has entered into ten new projects under the Smart City Solution Business during the review period, indicating a strong project pipeline[175] Market Conditions and Challenges - The Renewable Energy Business faced significant challenges from 2020 to early 2023 due to delays in approvals, project cancellations, and reduced feed-in tariff rates, impacting overall performance[174] - The company reported a temporary suspension of inverter sales due to changing market conditions and geopolitical factors in Europe, affecting its major customer base[174] - The management maintains a cautious approach towards the gasoil trading business due to volatile global crude oil prices and ongoing geopolitical tensions, with no concrete plans for resumption at this time[179] - The Group has adopted a cautious approach in its refined oil trading business, avoiding losses amid fluctuating global oil prices[181] Investments and Equity - Listed equity investments in Hong Kong decreased from HK$34,223,000 to HK$10,877,000, a decline of approximately 68%[105] - The Group's investment portfolio comprised 6 equity securities as of December 31, 2023, down from 8 as of June 30, 2023[189] - The Group's investment in STAR CM Holdings Limited was sold during the review period to mitigate risks after the stock price dropped by over 75% due to controversies surrounding a popular television show[186] Dividends and Share Capital - The board of directors resolved not to pay any interim dividend for the six months ended December 31, 2023[80] - The authorized share capital remained at 160,000,000 shares with a total amount of HK$1,600,000 as of 31 December 2023[116] - The Group did not declare an interim dividend for the six months ended 31 December 2023, consistent with the previous year[135]
冠军科技集团(00092) - 2024 - 中期业绩