WING ON CO(HK:00289)2023-08-30 08:31Financial Performance - For the six months ended June 30, 2023, the company reported total revenue of HKD 530,836,000, an increase of 6.5% compared to HKD 500,075,000 for the same period in 2022[3]. - The company achieved an operating profit of HKD 307,038,000, a significant recovery from an operating loss of HKD 7,846,000 in the previous year[3]. - The net profit for the period was HKD 273,594,000, compared to a net loss of HKD 106,294,000 in the same period last year, marking a turnaround in performance[3]. - Basic and diluted earnings per share were HKD 0.943, a recovery from a loss of HKD 0.365 per share in the prior year[3]. - The company reported a significant increase in other income to HKD 67,973,000, up from HKD 37,822,000 in the previous year, reflecting improved operational performance[3]. - The company reported a profit before tax of 314,608 thousand HKD for the six months ended June 30, 2023, compared to a loss of 68,302 thousand HKD in the same period of 2022[8]. - The total comprehensive income for the period was HKD 184,592,000, compared to a total comprehensive loss of HKD 266,044,000 in the same period last year[4]. - The company recorded a net increase in cash and cash equivalents of 415,630 thousand HKD, contrasting with a decrease of 261,205 thousand HKD in the prior year[8]. Assets and Liabilities - As of June 30, 2023, the company's total assets amounted to HKD 19,424,705,000, slightly down from HKD 19,477,146,000 at the end of 2022[5]. - The company's net assets stood at HKD 18,548,570,000, a decrease from HKD 18,585,266,000 at the end of the previous year[5]. - The company’s total equity as of June 30, 2023, was 18,517,309 thousand HKD, down from 19,216,319 thousand HKD at the beginning of the year[7]. - Total liabilities decreased to HKD 1,458,109,000 as of June 30, 2023, down from HKD 1,317,363,000 at the end of 2022, reflecting a reduction of 10.7%[18]. Investment and Income Segments - Department store sales amounted to HKD 215,750,000, up 20.5% from HKD 179,003,000 in the previous year[14]. - Property investment income reached HKD 326,278,000, representing a 18.7% increase from HKD 274,663,000 in the prior period[14]. - The investment property rental income totaled HKD 175,333,000, a decrease of 10.8% from HKD 196,558,000 in the previous year[14]. - The company operates in two segments: department store business and property investment, with a focus on resource allocation and performance evaluation[15]. Dividends and Shareholder Returns - The company paid dividends of 218,021 thousand HKD related to the previous year, impacting the equity position[7]. - The company declared an interim dividend of HKD 0.34 per share, totaling HKD 98,833,000 for the six months ended June 30, 2023, compared to no dividend declared for the same period in 2022[24]. - The company reported a total of HKD 218,021,000 in dividends payable for the interim period, compared to HKD 133,986,000 for the same period in 2022, showing an increase of approximately 62.9%[25]. Accounting and Compliance - The company has not adopted any new accounting standards or interpretations that have a significant impact on the financial report for the current period[10]. - The company is in the process of assessing the impact of new guidelines related to the cancellation of the offsetting mechanism for mandatory provident fund contributions[11]. - Management has begun implementing changes to accounting policies in line with new guidelines, with a full assessment expected by the end of 2023[12]. - All directors confirmed compliance with the standards set forth in the company's securities trading code during the six months ended June 30, 2023[44]. Market Outlook and Challenges - The group remains cautiously optimistic about the economic recovery in Hong Kong post-COVID-19, while facing challenges in the Australian property market due to high vacancy rates and declining rents[43].