Financial Performance - For the six months ended June 30, 2023, the revenue was HK$10,877,000, a decrease of 44.1% compared to HK$19,404,000 for the same period in 2022[10] - The gross loss for the six months ended June 30, 2023, was HK$3,728,000, compared to a gross profit of HK$13,063,000 for the same period in 2022[10] - The loss before taxation for the six months ended June 30, 2023, was HK$13,722,000, compared to a profit of HK$5,415,000 for the same period in 2022[11] - The total comprehensive loss for the period attributable to owners of the Company was HK$13,478,000 for the six months ended June 30, 2023, compared to a profit of HK$5,613,000 for the same period in 2022[11] - The basic and diluted loss per share for the six months ended June 30, 2023, was HK$2.37, compared to a profit of HK$1.15 for the same period in 2022[11] - The Group reported a loss attributable to owners of the Company of HK$12,366,000 for the three months ended June 30, 2023, compared to a profit of HK$4,240,000 in the same period of 2022[53] - For the six months ended June 30, 2023, total revenue was HK$10,877,000, a decrease of 44.2% from HK$19,404,000 in the same period of 2022[38] - The Group did not declare or propose any dividends for the six months ended June 30, 2023, consistent with the same period in 2022[50] Assets and Liabilities - As of June 30, 2023, the total current assets were HK$46,676,000, a decrease from HK$50,241,000 as of December 31, 2022[14] - The total current liabilities as of June 30, 2023, were HK$27,574,000, down from HK$32,134,000 as of December 31, 2022[14] - Non-current assets as of June 30, 2023, were HK$13,417,000, slightly decreased from HK$13,619,000 as of December 31, 2022[14] - As of June 30, 2023, net current assets increased to HK$19,102,000 from HK$18,107,000 as of December 31, 2022, reflecting a growth of approximately 5.5%[15] - Total assets less current liabilities rose to HK$32,519,000, up from HK$31,726,000, indicating an increase of about 2.5%[15] - Total equity as of June 30, 2023, was HK$32,519,000, compared to HK$31,726,000 at the end of 2022, marking an increase of about 2.5%[15] - Trade receivables decreased from HK$37,937,000 as of 31 December 2022 to HK$34,436,000 as of 30 June 2023[59] - Trade payables increased from HK$9,035,000 as of 31 December 2022 to HK$9,497,000 as of 30 June 2023[65] Cash Flow - Net cash used in operating activities improved to HK$2,396,000 from HK$9,321,000 in the same period last year, a reduction of approximately 74.3%[20] - The net cash generated from financing activities was HK$4,017,000, compared to HK$4,726,000 in the previous year, showing a decrease of about 15%[20] - Cash and cash equivalents at June 30, 2023, were HK$3,526,000, up from HK$1,908,000 at the beginning of the year, reflecting an increase of approximately 84.6%[23] - The company issued new shares resulting in proceeds of HK$14,152,000 during the first half of 2023, compared to HK$7,776,000 in the same period of 2022, representing an increase of about 81.5%[20] - As of June 30, 2023, the Group had bank balances and cash of approximately HK$3,526,000, up from approximately HK$1,908,000 as of December 31, 2022[96] Operating Expenses - The Company reported a significant increase in operating expenses, which rose to HK$8,824,000 for the six months ended June 30, 2023, compared to HK$6,627,000 for the same period in 2022[10] - Operating expenses increased by approximately 33% from approximately HK$6,627,000 for the six months ended June 30, 2022, to approximately HK$8,824,000 for the six months ended June 30, 2023[81] - Employee costs increased to approximately HK$6,356,000 for the six months ended June 30, 2023, compared to approximately HK$4,086,000 for the same period in 2022, with a headcount of approximately 14 employees as of June 30, 2023[111] Share Capital and Equity - The company's share capital increased to HK$12,442,000 from HK$10,368,000, representing a growth of approximately 19.9%[18] - Accumulated losses increased to HK$99,976,000 as of June 30, 2023, from HK$86,498,000 at the beginning of the year, indicating a rise of approximately 15.7%[18] - Non-controlling interests decreased to HK$407,000 from HK$163,000, reflecting a change of approximately 149.1%[15] - The issuance of 103,680,000 new shares was completed on 3 April 2023, increasing the total issued shares to 622,080,000[68] - As of June 30, 2023, the Company had 622,080,000 shares issued, with Mr. Lui Man Wah holding 137,423,300 shares, representing 22.09% of the total[140] - Muhammad Shaifadila Binti holds 57,856,000 shares, accounting for 9.30% of the total shares issued as of June 30, 2023[143] Corporate Governance and Compliance - The company has complied with the Corporate Governance Code for the reporting period, except for Code Provision A.2.1, which states that the roles of chairman and CEO should be separated[159] - The company will continue to review its corporate governance practices to enhance standards and meet shareholder expectations[161] - All Directors confirmed compliance with the required standards of dealings regarding securities transactions during the six months ended June 30, 2023[155] - The company has established a code of conduct for Directors' securities transactions that meets the standards set out in the GEM Listing Rules[153] - The Audit Committee has reviewed the unaudited condensed consolidated financial results for the six months ended June 30, 2023, prior to recommending them to the Board for approval[168] Risks and Outlook - The Company has acknowledged the potential risks associated with investing in small and mid-sized companies listed on GEM, emphasizing the importance of careful consideration by prospective investors[2] - The company remains cautiously optimistic about its business outlook despite the ongoing impacts of the pandemic on the advertising industry[75] - The Group does not anticipate any significant foreign currency or interest rate risks that would materially impact its operational performance[123][124] Other Information - The Group did not have any significant investments, acquisitions, or disposals during the six months ended June 30, 2023[98][99] - There were no significant events relevant to the business or financial performance of the Group after the reporting period[162] - The condensed consolidated financial results for the six months ended June 30, 2023, have not been audited by the company's auditor[168] - The Group's credit policy includes ongoing monitoring of trade and other receivables to minimize credit risk, focusing on customers' payment history and current financial condition[126] - The Group's liquidity risk management involves regular monitoring of cash requirements and compliance with lending covenants to ensure sufficient cash flow[128]
惠陶集团(08238) - 2023 - 中期财报