PACIFICTEXTILES-互太纺织(01382) - 2025 - 中期财报

Revenue and Sales Performance - Revenue increased by 16.2% to approximately HK $2,667.2 million, driven by a 21.9% increase in sales volume and a 4.7% decrease in average sales price[8] - Overall sales volume and revenue increased by 21.9% and 16.2% respectively during the reporting period, driven by a 28.3% increase in sales volume and a 20.6% increase in revenue at the China Nansha Plant[46] - Revenue for the six months ended 30 September 2024 increased to HK$ 2,667,177 thousand, up 16.2% compared to HK $2,294,749 thousand in the same period last year[59] - Revenue for the six months ended 30 September 2024 increased to HK$ 2,667,177 thousand, up from HK $2,294,749 thousand in the same period in 2023[110] - Southeast Asia accounted for the largest portion of revenue at HK$ 1,586,835 thousand in 2024, up from HK $1,255,195 thousand in 2023[121] Cost and Profitability - Cost of sales rose by 18.6% to approximately HK$ 2,467.1 million, consistent with the revenue growth[8] - Profit attributable to equity holders decreased by 14.1% to approximately HK $106.9 million[8] - Gross profit margin for the six months ended 30 September 2024 was 7.5%, down from 9.3% in 2023[13] - Gross profit for the six months ended 30 September 2024 decreased to HK$ 200,086 thousand, down 6.5% compared to HK $213,945 thousand in the same period last year[59] - Operating profit for the six months ended 30 September 2024 decreased to HK$ 130,232 thousand, down 21.1% compared to HK $165,124 thousand in the same period last year[59] - Profit for the period attributable to equity holders of the Company decreased to HK$ 106,862 thousand, down 14.1% compared to HK $124,463 thousand in the same period last year[59] - Basic earnings per share for the six months ended 30 September 2024 decreased to HK$ 0.08, down 11.1% compared to HK $0.09 in the same period last year[59] - Gross profit margin decreased to 7.5% in 2024 from 9.3% in 2023[110] - EBITDA margin declined to 9.4% in 2024 compared to 11.1% in 2023[110] - Net profit margin dropped to 4.0% in 2024 from 5.4% in 2023[110] - Profit attributable to equity holders of the Company declined to HK$ 106,862 thousand in 2024 from HK $124,463 thousand in 2023[139] - Basic earnings per share decreased to HK$ 0.08 in 2024 from HK $0.09 in 2023[139] Plant Operations and Production - Loss of approximately HK$ 48 million incurred at the preliminary operating stage of the newly established Vietnam Nam Dinh Plant[8] - Negative impact of approximately HK $12 million due to temporary suspension and damage at the Vietnam Hai Duong Plant caused by Typhoon Yagi[8] - The Vietnam Nam Dinh Plant entered bulk production in September 2024 with an average monthly production of 1.1 million pounds, expected to increase to 1.5 million pounds per month in the second half of the financial year[49] - The Vietnam Hai Duong Plant's production level resumed to 70% of pre-suspension levels after Typhoon Yagi damage, with full recovery expected to take several months[49] Expenses and Costs - Selling and distribution expenses increased to HK$ 29.6 million, up from HK $19.0 million in 2023, primarily due to higher freight charges[11] - Administration expenses decreased to HK$ 78.5 million from HK $82.8 million in 2023[11] - Finance costs slightly decreased by 1% to HK$ 34.2 million from HK $34.6 million in 2023[11] - Cost of raw materials and consumables used rose to HK$ 2,139,196 thousand in 2024 compared to HK $1,824,061 thousand in 2023[127] - Employee benefits expenses increased to HK$ 239,311 thousand in 2024 from HK $218,247 thousand in 2023[127] - Net finance costs were HK$ 18,003 thousand in 2024, up from HK $5,516 thousand in 2023[130] Financial Position and Ratios - Trade receivables turnover days were 59 days, while trade payables turnover days were 56 days[11] - Total assets as of 30 September 2024 were HK$ 5,563.3 million, with non-current assets at HK $2,832.8 million and current assets at HK$ 2,730.5 million[11] - Net debt position increased to HK $673.8 million from HK$ 585.7 million in March 2024, driven by higher trade receivables and inventories[13] - Current Ratio remained stable at 1.2 as of 30 September 2024 and 31 March 2024[18] - Quick Ratio slightly decreased from 0.8 to 0.7 as of 30 September 2024 compared to 31 March 2024[18] - Gearing Ratio improved significantly from 50.2% to 40.8% as of 30 September 2024[18] - Debt to Equity Ratio decreased from 87.6% to 85.3% as of 30 September 2024[18] - Total assets as of 30 September 2024 were HK $5,563,295 thousand, a slight decrease from HK$ 5,565,971 thousand as of 31 March 2024[63][66] - Non-current assets increased to HK $2,832,750 thousand from HK$ 2,816,635 thousand, driven by growth in property, plant, and equipment (HK $2,301,656 thousand)[63] - Current assets decreased to HK$ 2,730,545 thousand from HK $2,749,336 thousand, with a notable increase in inventories to HK$ 1,125,113 thousand[63] - Total equity attributable to equity holders rose to HK $2,992,711 thousand from HK$ 2,954,272 thousand, supported by an increase in reserves to HK $1,717,216 thousand[63][68] - Non-current liabilities decreased to HK$ 325,685 thousand from HK $351,396 thousand, primarily due to a reduction in other non-current liabilities to HK$ 150,832 thousand[66] - Current liabilities decreased to HK $2,235,277 thousand from HK$ 2,248,121 thousand, with a significant reduction in borrowings to HK $1,096,896 thousand[66] - The company's bank borrowings as of 30 September 2024 were HK$ 1,096,896,000, with HK $1,096,896,000 repayable within 1 year or on demand[186] - The company's retained earnings as of 30 September 2024 were HK$ 1,133,957,000, with total reserves of HK $1,717,216,000[175] - The Group's bank borrowings repayable within 1 year amounted to HK$ 979,566,000 as of 30 September 2024, compared to HK $1,092,521,000 as of 31 March 2024[190] - The Group's aggregate banking facilities were approximately HK$ 3,071,698,000 as of 30 September 2024, with unused facilities amounting to HK $1,974,802,000[192] - The Group's secured borrowings amounted to HK$ 943,296,000 as of 30 September 2024, down from HK $980,350,000 as of 31 March 2024[193] - The effective interest rate for bank loans ranged from 2.9% to 6.2% for the six months ended 30 September 2024[191] - Trade and bills payables totaled HK$ 872,825,000 as of 30 September 2024, up from HK $629,757,000 as of 31 March 2024[198] - 86.7% of trade and bills payables were aged 0-60 days as of 30 September 2024, totaling HK$ 867,771,000[199] - The Group complied with all financial covenants of its bank facilities as of 30 September 2024 and 31 March 2024[194] - Bank borrowings were denominated in HK $, US$ , and RMB as of 30 September 2024, compared to only HK $and RMB as of 31 March 2024[191] Cash Flow and Investments - Total capital expenditure decreased by 80.1% to HK$ 124.6 million from HK $624.9 million in 2023, mainly due to reduced investment in the Vietnam Nam Dinh Plant[16] - Net cash inflow from operating activities for the six months ended 30 September 2024 was HK$ 98.28 million, compared to HK $269.925 million in the same period in 2023[70] - Net cash outflow from investing activities for the six months ended 30 September 2024 was HK$ 106.193 million, compared to HK $360.387 million in the same period in 2023[70] - Net cash outflow from financing activities for the six months ended 30 September 2024 was HK$ 333.679 million, compared to HK $259.5 million in the same period in 2023[70] - Cash and cash equivalents at 30 September 2024 were HK$ 548.091 million, compared to HK $808.782 million at 30 September 2023[70] Foreign Exchange and Financial Instruments - Exchange gain shrank by approximately HK$ 28 million compared to the previous period[8] - The Group managed foreign exchange risks primarily in US Dollars, Renminbi, and Vietnamese Dongs through regular reviews and hedging[20] - Financial assets at fair value through other comprehensive income totaled HK $427,000, all classified under Level 1[90][91] - Derivative financial instruments and foreign currency forward contracts under financial assets at fair value through profit or loss amounted to HK$ 239,000, classified under Level 2[95] - Total financial assets at fair value were HK $666,000, with HK$ 427,000 in Level 1 and HK $239,000 in Level 2[96] - Financial liabilities at fair value through profit or loss, including derivative financial instruments and foreign currency forward contracts, totaled HK$ 294,000, classified under Level 2[102] - No transfers between fair value levels occurred during the six months ended 30 September 2024[103] - No changes were made to the valuation techniques applied as of 31 March 2024[105] Taxation and Dividends - Income tax expense was HK $15.4 million, with an average effective tax rate of 12.8%, down from 15.2% in 2023[11] - Current income tax expense decreased to HK$ 15,355 thousand in 2024 from HK $22,980 thousand in 2023[132] - Two subsidiaries in the PRC are recognized as High and New-technology Enterprises, entitled to a concessional CIT rate of 15%[134] - The standard PRC CIT rate is 25%, while the Vietnam CIT rate is 20%[134] - Interim dividend declared at HK$ 7 cents per share for the six-month period ended 30 September 2024, totaling HK $97,703,000 (2023: HK$ 98,211,000)[145] - Dividends paid to equity holders amounted to HK1,522,773 thousand in 2024 from HK $1,493,673 thousand in 2023[123] - Other income and other gains/losses netted HK$ 38,243 thousand in 2024, down from HK $52,960 thousand in 2023[125] - Depreciation of property, plant and equipment increased to HK$ 110,497 thousand in 2024 from HK $95,365 thousand in 2023[127] - No potential dilutive shares were issued during the period ended 30 September 2024, resulting in diluted earnings per share being the same as basic earnings per share[141] - Property, plant, and equipment balance as at 30 September 2024 was HK$ 2,301,656,000, compared to HK $2,012,336,000 in 2023[148] - Right-of-use assets balance as at 30 September 2024 was HK$ 165,816,000, compared to HK $172,645,000 in 2023[150] - Interests in associates and balances with associates as at 30 September 2024 was HK$ 250,915,000, compared to HK $251,112,000 as at 31 March 2024[151] - Share of net assets and goodwill in associates as at 30 September 2024 was HK$ 256,643,000 and HK $107,955,000 respectively[153] - The quoted market value of the Group's interest in PT Sri Lanka increased to HK$ 206,822,000 as of 30 September 2024, up from HK $194,057,000 as of 31 March 2024[155] - The recoverable amount of the Group's interest in PT Sri Lanka was approximately HK$ 226,470,000 as of 30 September 2024, higher than the net carrying amount of HK $213,677,000[155] - The Group's share of contingent liability related to a pending tax claim against PT Sri Lanka was approximately HK$ 3,582,000 as of 30 September 2024[155] - Cash and bank deposits held by the Group's associate in the PRC decreased to HK $45,795,000 as of 30 September 2024 from HK$ 54,885,000 as of 31 March 2024[155] - Trade and bills receivables increased to HK $993,456,000 as of 30 September 2024 from HK$ 737,683,000 as of 31 March 2024[158] - The top two customers accounted for 48% and 15% of the Group's trade and bills receivables as of 30 September 2024, compared to 38% and 24% as of 31 March 2024[159] - The provision for impairment of trade and bills receivables increased to HK $4,302,000 as of 30 September 2024 from HK$ 2,000,000 as of 31 March 2024[163] - The company repurchased a total of 3,027,000 shares at an aggregate consideration of HK $5,124,000 during the period ended 30 September 2024, and all repurchased shares were cancelled[166][168] - The company's profit attributable to equity holders for the period ended 30 September 2024 was HK$ 106,862,000, with total comprehensive income of HK $113,351,000[175] - Dividends paid during the period ended 30 September 2024 amounted to HK$ 69,788,000[175] - Currency translation differences resulted in a loss of HK $6,489,000, impacting other comprehensive income[68] - The company repurchased and canceled shares worth HK$ 5,124 thousand, reducing share capital to HK $1,395 thousand[68] - Total comprehensive income for the six months ended 30 September 2024 was HK$ 110,791 thousand, compared to a total comprehensive loss of HK $18,708 thousand in the same period last year[61] - Total comprehensive income for the six months ended 30 September 2024 attributable to equity holders of the Company was HK$ 113,351 thousand, compared to a total comprehensive loss of HK$17,592 thousand in the same period last year[61] - Currency translation differences for the six months ended 30 September 2024 resulted in a gain of