Financial Performance - The group recorded unaudited revenue of approximately HKD 136.4 million for the six months ended June 30, 2022, a decrease of about 26.9% compared to HKD 186.6 million for the same period in 2021[5]. - The group reported an unaudited adjusted loss before tax of approximately HKD 15.8 million for the six months ended June 30, 2022, compared to an adjusted profit of HKD 4.7 million for the same period in 2021[5]. - The group recorded an unaudited loss attributable to owners of the company of approximately HKD 8.2 million for the six months ended June 30, 2022, compared to a profit of HKD 7.2 million in the same period of 2021[5]. - For the three months ended June 30, 2022, the group recorded unaudited revenue of approximately HKD 91.9 million, a decrease of 12.8% from HKD 105.4 million in the same period of 2021[5]. - The group reported an unaudited profit attributable to owners of the company of approximately HKD 6.7 million for the three months ended June 30, 2022, compared to HKD 7.4 million in the same period of 2021[5]. - The group’s operating profit for the six months ended June 30, 2022, was a loss of approximately HKD 7.0 million, compared to an operating profit of HKD 12.1 million for the same period in 2021[12]. - The basic and diluted earnings per share for the six months ended June 30, 2022, was a loss of HKD 2.14, compared to earnings of HKD 1.87 for the same period in 2021[12]. - The total comprehensive income for the six months ended June 30, 2022, was a loss of approximately HKD 8.87 million, compared to a profit of HKD 9.35 million for the same period in 2021[12]. - The company reported a net loss of HKD 8,233 million for the six months ended June 30, 2022, compared to a profit of HKD 7,175 million in the same period of 2021[23]. - The group reported a loss before tax of HKD 8,656,000 for the six months ended June 30, 2022, compared to a profit before tax of HKD 9,809,000 for the same period in 2021[39]. Revenue Breakdown - Total revenue for the six months ended June 30, 2022, was HKD 144,595,000, a decrease from HKD 197,741,000 for the same period in 2021, representing a decline of approximately 27%[39]. - Revenue from restaurant operations was HKD 135,490,000, while revenue from food management and consulting services was HKD 9,105,000, indicating a significant drop in both segments compared to the previous year[39]. - Revenue from the Shanghai-style restaurant decreased by approximately 19.9% to HKD 40.2 million from HKD 50.2 million for the same period in 2021[104]. - Revenue from the Japanese restaurant decreased by approximately 32.7% to HKD 33.7 million from HKD 50.1 million for the same period in 2021[105]. - Revenue from the Thai restaurant decreased by approximately 24.5% to HKD 27.5 million from HKD 36.4 million for the same period in 2021[106]. - Revenue from the Vietnamese restaurant decreased by approximately 32.8% to HKD 16.8 million from HKD 25.0 million for the same period in 2021[109]. - Revenue from the Italian restaurant decreased by approximately 25.1% to HKD 17.3 million from HKD 23.1 million for the same period in 2021[110]. Government Support - The group received government subsidies of approximately HKD 7.1 million for the six months ended June 30, 2022, compared to HKD 5.1 million in the same period of 2021[5]. - Government grants received increased significantly to HKD 7,080,000 for the six months ended June 30, 2022, compared to HKD 5,125,000 in the same period of 2021, reflecting a 38.2% increase[54]. Assets and Liabilities - Total assets decreased to HKD 177,169 million as of June 30, 2022, down from HKD 205,980 million at the end of 2021, representing a decline of approximately 13.9%[16]. - The company's total liabilities decreased to HKD 113,175 million from HKD 133,113 million, a decrease of about 15%[18]. - The company’s equity attributable to owners decreased to HKD 57,254 million from HKD 65,650 million, a decline of about 12.2%[16]. - The company’s inventory decreased slightly to HKD 2,181 million from HKD 2,394 million, a reduction of approximately 8.9%[16]. - The company’s bank borrowings decreased to HKD 2,960 million from HKD 5,832 million, a decrease of about 49%[18]. - Trade receivables increased to HKD 7,302 million from HKD 6,614 million, reflecting a rise of approximately 10.4%[16]. - The asset-to-liability ratio as of June 30, 2022, was approximately 16.5%, a decrease from 18.4% in 2021, attributed to the repayment of bank loans during the review period[131]. Operational Challenges - The restaurant operations in Hong Kong were heavily impacted by social distancing measures from January 7 to April 20, 2022[93]. - For the six months ended June 30, 2022, the group recorded a loss of approximately HKD 8.7 million, compared to a profit of approximately HKD 8.8 million for the same period in 2021, primarily due to a significant decrease in revenue caused by the fifth wave of COVID-19 and related government restrictions[123]. - The company plans to closely monitor the evolution of the COVID-19 pandemic, which significantly impacts future business prospects[94]. Future Plans and Strategies - The company is considering expansion plans for new restaurants in Hong Kong, with ongoing discussions with several landlords for leasing units in shopping malls, although no plans have been finalized as of the report date[150]. - The company aims to enhance sales, optimize staffing, and improve ingredient utilization to achieve its operational goals[171]. - The company is focused on developing its brand portfolio through various strategies, including improving existing brands and launching new ones[175]. - The company is considering upgrading some restaurants and opening new concepts with lower capital expenditure and favorable rental terms[176]. - The company is actively engaging in marketing activities to enhance brand recognition and customer engagement[171]. Shareholder Information - Real Hero Ventures Limited holds 188,084,000 shares, representing 48.98% of the company's issued share capital[187]. - The total consideration for the acquisition of 188,084,000 shares was HKD 100,455,664.4, equating to HKD 0.5341 per share[187]. - The mandatory conditional cash offer was made at HKD 0.5341 per share for all issued shares, excluding those already owned by Real Hero and its concert parties[187]. - The offer became unconditional on July 19, 2022, and was open for acceptance until August 17, 2022[188]. - No share options have been granted under the share option scheme as of June 30, 2022[191]. - The company did not purchase, sell, or redeem any of its listed securities during the six-month review period[192]. Compliance and Review - The audit committee reviewed the interim results for the six months ended June 30, 2022, and confirmed compliance with applicable accounting standards[198]. - The interim financial results for the six months ended June 30, 2022, were unaudited and not reviewed by the company's auditors[199].
1957 & CO.(08495) - 2022 - 中期财报