Financial Performance - For the six months ended March 31, 2024, the company reported revenue of HKD 44,068,000, an increase of 11.7% compared to HKD 39,428,000 for the same period in 2023[12]. - The net loss from continuing operations for the period was HKD 15,355,000, a decrease of 42.5% from a loss of HKD 26,792,000 in the previous year[12]. - The company recorded a net loss of HKD 15,421,000 for the period, compared to a loss of HKD 21,837,000 in the same period last year, representing a 29.5% improvement[14]. - Basic and diluted loss per share from continuing operations was HKD 0.43, improved from HKD 0.86 in the previous year[14]. - The total comprehensive loss for the period was HKD 15,421,000, compared to HKD 21,837,000 in the previous year, indicating a significant reduction in overall losses[14]. - The financial results reflect the company's efforts to streamline operations and reduce costs, contributing to improved financial health[12]. - The group recorded a loss from continuing operations of approximately HKD 15,400,000, an improvement from a loss of approximately HKD 26,800,000 in the previous period[115]. - The company reported a pre-tax loss of HKD 15,350,000 for the six months ended March 31, 2024, compared to a pre-tax loss of HKD 21,180,000 in the same period last year, showing an improvement of about 27.5%[38]. - The company reported a pre-tax loss of HKD 15,177,000 for the six months ended March 31, 2024, compared to a loss of HKD 26,472,000 for the same period in 2023, indicating a 42.5% improvement in loss[56]. Revenue Breakdown - Total revenue for the six months ended March 31, 2024, was HKD 44,068,000, an increase from HKD 39,428,000 in the same period last year, representing a growth of approximately 12.5%[37]. - Revenue from the Hong Kong market increased to HKD 40,306, up from HKD 34,610, reflecting a growth of about 16.5% year-over-year[39]. - Major client A contributed HKD 7,759,000 to revenue, compared to HKD 7,098,000 in the previous year, indicating a growth of approximately 9.3%[41]. - Revenue from licensed business rose by approximately HKD 7,300,000 or 107.4% to about HKD 14,100,000, driven mainly by an increase in placement and underwriting services[107]. - Revenue from non-licensed business decreased by approximately HKD 2,700,000 or 8.3% to about HKD 30,000,000, primarily due to declines in risk management and internal control consulting services[110]. - The corporate finance advisory business accounted for approximately 8.7% of the total revenue during the six months ending March 31, 2024[100]. - The placement and underwriting services contributed approximately 23.3% to the total revenue during the same period[100]. - Business consulting services represented about 5.9% of the total revenue for the six months ending March 31, 2024[101]. - The accounting and tax services accounted for approximately 39.7% of the total revenue during the same period[101]. Expenses and Cost Management - Administrative and other operating expenses decreased to HKD 55,928,000, down 19.3% from HKD 69,351,000 in the prior period[12]. - Total employee costs for continuing operations amounted to HKD 33,684,000, a decrease of 38.5% from HKD 54,674,000 in the previous year[48]. - Administrative and other operating expenses decreased by approximately HKD 13,500,000 or 19.5% to about HKD 55,900,000, mainly due to the absence of share-based payment expenses related to stock options[113]. Assets and Liabilities - As of March 31, 2024, the total assets amounted to HKD 190,658,000, a decrease of 7.2% from HKD 205,470,000 as of September 30, 2023[15]. - Current liabilities decreased significantly to HKD 32,765,000, down 51.2% from HKD 67,123,000[15]. - The net current assets stood at HKD 60,499,000, reflecting a decline from HKD 75,331,000[15]. - The company's equity attributable to owners decreased to HKD 183,986,000 from HKD 199,229,000, a drop of 7.6%[16]. - The total liabilities decreased to HKD 7,853,000, down from HKD 7,244,000, indicating a slight increase in financial obligations[16]. - The company’s total liabilities decreased from HKD 36,761,000 as of September 30, 2023, to HKD 5,487,000 as of March 31, 2024[78]. Cash Flow and Liquidity - The net cash used in operating activities for the six months ended March 31, 2024, was HKD (11,738) thousand, an improvement from HKD (18,827) thousand in the same period last year, representing a reduction of approximately 37.5%[26]. - Cash generated from investing activities was HKD 3,969 thousand, compared to a cash outflow of HKD (8,060) thousand in the previous year, indicating a significant turnaround[26]. - The net cash used in financing activities was HKD (3,957) thousand, a decrease from HKD 34,900 thousand in the prior year, reflecting a substantial reduction in financing outflows[26]. - The cash and cash equivalents at the end of the period were HKD 8,867 thousand, down from HKD 24,838 thousand at the end of the previous period, indicating a decrease of approximately 64.3%[26]. - The cash and cash equivalents decreased to HKD 8,867,000 from HKD 20,593,000, indicating a liquidity contraction[15]. Strategic Initiatives and Future Outlook - The company has committed to ongoing product development and market expansion strategies to enhance future performance[11]. - The board remains optimistic about future growth opportunities and is focused on strategic initiatives to drive revenue growth[11]. - Future outlook includes potential acquisitions and strategic partnerships to enhance market presence and operational efficiency[20]. - The company is actively exploring new business opportunities, particularly focusing on acquisition targets in the Greater Bay Area[121]. Share Capital and Stock Options - The total issued and paid-up share capital as of March 31, 2024, is HKD 8,920,000, with 35,681,360 shares outstanding[83]. - The company has granted 44,600,000 stock options to directors and employees since the adoption of the stock option plan until March 31, 2024[89]. - No expenses related to the stock option plan were recognized in the profit and loss statement during the period, with an amount of approximately HKD 23,032,000 for 2023[89]. - The total number of stock options granted in 2023 was 15,600,000, with 624,000 options remaining unexercised as of March 31, 2024[130]. - The total number of employee stock options granted was 28,700,000, with 1,143,600 options remaining unexercised as of March 31, 2024[130]. Compliance and Governance - The financial statements were prepared in accordance with the Hong Kong Financial Reporting Standards, ensuring compliance with applicable disclosure requirements[30]. - The company has adopted the corporate governance code as per GEM Listing Rules Appendix C1 and complied with all applicable code provisions during the reporting period[135]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited performance of the group for the period and confirmed compliance with applicable accounting standards and GEM Listing Rules[137].
亦辰集团(08365) - 2024 - 中期业绩