Financial Performance - For the six months ended June 30, 2023, the Group's revenue was approximately RMB 432.7 million, representing an increase of approximately 215.5% compared to RMB 137.2 million for the same period in 2022[11]. - Revenue from the application solutions segment decreased from approximately RMB 61.8 million to approximately RMB 25.8 million, representing a decrease of approximately 58.3%[15]. - Revenue from the system maintenance services segment decreased from approximately RMB 6.2 million to approximately RMB 1.3 million, representing a decrease of approximately 79.0%[14]. - Revenue from the sales of self-developed products decreased from approximately RMB 16.3 million to approximately RMB 13.9 million, representing a decrease of approximately 14.7%[38]. - The Group recorded a net profit of approximately RMB 43.3 million for the Interim Period, compared to a net loss of approximately RMB 30.0 million for the Corresponding Period[59]. - Adjusted net profit for the six months ended June 30, 2023, was approximately RMB 94.6 million, a significant increase from RMB 4.9 million in the same period of 2022[63]. - The total gross profit for the Group was approximately RMB 244.4 million for the interim period[46]. Cost and Expenses - The cost of sales for the new media services segment increased from approximately RMB 23.5 million to approximately RMB 164.1 million, representing an increase of approximately 598.2%[18]. - The Group's cost of sales increased from approximately RMB 82.3 million in the corresponding period to approximately RMB 188.3 million for the six months ended June 30, 2023, representing an increase of approximately 128.9%[49]. - Selling expenses increased from approximately RMB 26.3 million to approximately RMB 107.7 million, an increase of approximately RMB 81.4 million, mainly due to higher salary and wage expenses for marketing talent recruitment[47]. - Administrative expenses for the six months ended June 30, 2023, were approximately RMB 88.4 million, an increase of approximately RMB 39.3 million compared to RMB 49.1 million for the same period in 2022[59]. - The sales cost for self-developed products decreased from approximately RMB 6.0 million to approximately RMB 4.6 million, a reduction of approximately 23.1%[45]. Gross Profit and Margins - The gross profit for the system maintenance services segment increased significantly from approximately RMB 54.9 million to approximately RMB 244.4 million, with a gross profit margin rising from approximately 40.0% to approximately 56.5%, an increase of about 345.3%[46][47]. - The gross profit margin for the new media services segment increased from approximately 55.5% to approximately 58.1% during the interim period[47]. - The gross profit margin for the application solutions segment improved from approximately 21.6% to approximately 27.8%, primarily due to increased adoption of domestic brand application solutions[47]. - The gross profit margin for the sales of self-developed products rose from approximately 63.5% to approximately 67.0%[47]. - The gross profit margin for the system maintenance services segment decreased from approximately 29.2% to approximately 24.7% due to increased maintenance reports during the interim period[47]. Cash Flow and Financing - Net cash inflow from operating activities during the Interim Period was approximately RMB 70.1 million, compared to a net cash outflow of approximately RMB 21.7 million in the Corresponding Period[66]. - Net cash outflow from investing activities for the Interim Period amounted to approximately RMB 39.7 million, primarily due to cash settlement for the acquisition of a subsidiary[66]. - Net cash outflow from financing activities during the Interim Period was approximately RMB 11.1 million, compared to RMB 39.4 million in the Corresponding Period, mainly due to repayment of bank and other borrowings[66]. - Total bank and other borrowings decreased from approximately RMB 126.8 million as of December 31, 2022, to approximately RMB 115.7 million as of June 30, 2023[66]. - The gearing ratio decreased to 34.4% as of June 30, 2023, from 88.3% as of December 31, 2022, due to an increase in total equity and cash[75]. Share Award Plans - The Company awarded a total of 74,471,230 shares at nil purchase price to 68 selected participants under the 2022 Share Award Plan[76]. - A conditional grant of 39,338,200 awarded shares was made to Mr. Li Liang, an executive Director, approved by independent shareholders[76]. - The 2022 Share Award Plan was adopted to recognize contributions from eligible participants to the Group's growth[169]. - The total number of awarded shares that may be issued under all schemes of the Company is 74,471,230 shares, which represents approximately 5.66% of the weighted average number of shares in issue during the Interim Period (1,315,121,374 shares)[106]. - The performance targets for the 2022 awarded shares include settled GMV, settled revenue, completion ratio of material projects, accuracy of data collected, and the number of successful new media marketing projects introduced[129]. Corporate Governance and Compliance - The Group has adopted all applicable code provisions of the Corporate Governance Code, ensuring compliance since June 19, 2023, when Mr. Li Jun was appointed as the chairman of the Board[199]. - The Audit Committee comprises three independent non-executive Directors, ensuring compliance with the Listing Rules and Corporate Governance Code[176]. - The Company confirmed compliance with the required standards set out in the Securities Dealing Code by all Directors throughout the Interim Period[111]. Employee and Remuneration - The Group had a total of 829 employees, an increase from 785 employees as of December 31, 2022, reflecting a growth of approximately 5.6%[190]. - The Company has established a remuneration policy that includes basic wages, allowances, and employee share awards based on performance assessments[168]. - The annual remuneration of Ms. Zhao as executive director has been increased to HK$1,200,000 effective from March 28, 2023[174]. - The Group recognizes the importance of skilled employees for business growth and has implemented training systems including orientation and professional training[191].
交个朋友控股(01450) - 2023 - 中期财报