Financial Performance - The group's consolidated revenue for the six months ended December 31, 2023, was approximately HKD 306 million, an increase of 16% compared to HKD 265 million in the same period last year[6]. - Profit before tax for the period was approximately HKD 23 million, significantly up from HKD 4 million in the previous year, benefiting from sales growth and improved operational efficiency[6]. - Sales in the carpet business reached approximately HKD 299 million, a 17% increase from HKD 256 million in the previous year, with Asia showing a 38% revenue growth[8]. - Revenue for the six months ended December 31, 2023, was HKD 306,417,000, representing a 15.6% increase from HKD 265,148,000 in the same period of 2022[44]. - Gross profit for the same period was HKD 189,403,000, up 25.4% from HKD 151,015,000 year-on-year[44]. - Operating profit increased significantly to HKD 22,036,000, compared to HKD 4,407,000 in the previous year, marking a 397.4% growth[44]. - Profit attributable to owners of the company for the period was HKD 22,274,000, a substantial increase from HKD 4,031,000 in the prior year[44]. - Basic and diluted earnings per share for the period were HKD 10.50, compared to HKD 1.90 in the same period last year, reflecting a 552.6% increase[44]. - The group reported a profit attributable to owners of HKD 22,274,000 for the six months ended December 31, 2023, compared to HKD 4,031,000 in the previous year, representing a significant increase[91]. - Basic earnings per share for the six months ended December 31, 2023, was HKD 10.50, up from HKD 1.90 in the same period of 2022[91]. Profitability and Margins - The gross profit margin increased by 5% to 62%, attributed to improved sales mix and increased production scale efficiency[6]. - The company reported a foreign exchange gain of HKD 7,866,000 during the period, contrasting with a loss of HKD 16,203,000 in the previous year, indicating improved currency management[47]. - The operating profit for the six months was HKD 22,036,000, reflecting a decrease in operating expenses to HKD 35,120,000[77]. Cash Flow and Liquidity - As of December 31, 2023, the group's cash and cash equivalents totaled approximately HKD 222 million, with no bank borrowings[16]. - Cash generated from operating activities was HKD 46,082,000, up from HKD 28,345,000, representing a 62.5% increase year-over-year[59]. - The company’s cash and cash equivalents at the end of the period were HKD 193,697,000, slightly down from HKD 217,657,000, showing a decrease of 11%[59]. - The net cash used in investing activities was HKD 35,057,000, compared to a net cash generated of HKD 31,655,000 in the previous year, indicating a shift in investment strategy[59]. Capital Expenditures and Investments - Capital expenditures for the period amounted to approximately HKD 9 million, up from HKD 4 million in the previous year[14]. - The company’s capital expenditure for the period was HKD 8,633,000, with significant investments in various operational segments[77]. - The company has approved but not contracted capital commitments of HKD 7,527,000 as of December 31, 2023[101]. Shareholder Returns and Dividends - The company did not recommend the payment of an interim dividend for the period, consistent with the previous year[13]. - The company paid dividends of HKD 19,097,000 during the period, compared to HKD 12,731,000 in the previous year, reflecting a 49% increase in shareholder returns[59]. - The group did not declare any interim dividend for the six months ended December 31, 2023, maintaining the same position as in 2022[88]. Assets and Liabilities - The company's total assets increased to HKD 802,192,000 as of December 31, 2023, up from HKD 792,867,000 as of June 30, 2023, reflecting a growth of 1.6%[50]. - Current assets rose to HKD 383,003,000, compared to HKD 356,837,000 in the previous period, indicating an increase of 7.3%[50]. - The company's equity attributable to owners increased to HKD 439,637,000 from HKD 428,594,000, marking a growth of 2.4%[53]. - The total contingent liabilities as of December 31, 2023, were approximately HKD 1 million, down from HKD 5 million as of June 30, 2023[21]. - Trade payables increased to HKD 32,638,000 as of December 31, 2023, up from HKD 29,158,000 on June 30, 2023, representing an increase of approximately 8.5%[101]. Employee and Management - Employee headcount as of December 31, 2023, was 745, slightly up from 736 at the end of June 2023[19]. - The company’s management compensation increased to HKD 20,311,000 for the six months ended December 31, 2023, up from HKD 17,117,000 in the same period last year, indicating a growth of approximately 18.5%[107]. Corporate Governance - The audit committee has reviewed the accounting principles and internal control procedures adopted by the company[26]. - The company appointed a new independent non-executive director on December 7, 2023, enhancing board diversity[37]. Risk Management - The company has maintained its risk management policies without any changes since June 30, 2023[70].
TAI PING CARPET(00146) - 2024 - 中期财报