英皇钟表珠宝(00887) - 2024 - 中期业绩

Financial Performance - Total revenue increased by 11.5% to HKD 2,597 million for the six months ended June 30, 2024, compared to HKD 2,330 million in 2023[2] - Gross profit rose by 7.6% to HKD 780 million, while net profit remained stable at HKD 185 million, down 0.5% from HKD 186 million in 2023[3] - Adjusted EBITDA increased by 2.9% to HKD 282 million, reflecting the company's core operational performance[2] - The group reported a revenue of HKD 2,597 million for the six months ended June 30, 2024, compared to HKD 2,330 million for the same period in 2023, representing an increase of approximately 11.5%[14] - The gross profit for the same period was HKD 780 million, up from HKD 725 million in 2023, indicating a growth of about 7.6%[14] - The company reported a pre-tax profit of HKD 224,739,000 for the six months ended June 30, 2024, compared to HKD 223,314,000 for the same period in 2023, reflecting a slight increase of about 0.6%[27] - The company reported a basic earnings per share of HKD 0.0272 for the six months ended June 30, 2024, compared to HKD 0.0274 for the same period in 2023, reflecting a slight decrease in profitability[31] Sales and Market Performance - Jewelry sales surged by 77.4% to HKD 965 million, accounting for 37.2% of total revenue, compared to 23.3% in 2023[3] - The total external sales from Hong Kong amounted to HKD 1,456,042,000, while sales from China and other Asia-Pacific regions were HKD 665,038,000 and HKD 307,638,000, respectively[24] - The segment profit for Hong Kong was HKD 137,223,000, while Macau and China reported segment profits of HKD 28,923,000 and HKD 119,146,000, respectively, contributing to a total segment profit of HKD 341,971,000[25] Store Operations and Expansion - The company operates a total of 90 stores across Hong Kong, Macau, mainland China, Singapore, and Malaysia as of June 30, 2024[4] - Over 75% of the stores in mainland China are located in first-tier and new first-tier cities, aligning with the company's target customer base[5] - The company plans to continue expanding its market presence in Hong Kong, Macau, and China, focusing on retail sales of watches and jewelry[22] Product Development and Marketing - The company launched new jewelry collections aimed at millennials and Generation Z, enhancing its product diversity and personalization in the wedding jewelry market[7] - The company aims to enhance brand recognition and value to increase market share in the wedding market and strengthen customer relationships[7] - The group plans to enhance brand promotion and customer relationship management to increase brand exposure and capture market opportunities in China and Southeast Asia[9] Financial Position and Liquidity - As of June 30, 2024, the group's bank balance and cash on hand increased to HKD 733 million, up from HKD 620 million on December 31, 2023[10] - The net cash position of the group was zero, with a net debt ratio of zero as of June 30, 2024, maintaining a strong financial position[10] - The current ratio improved to 7.6 from 7.3, and the quick ratio increased to 1.6 from 1.5, reflecting enhanced liquidity[10] - The company has approximately HKD 1,043 million in available but undrawn bank financing, providing additional financial flexibility[10] - The total equity of the group as of June 30, 2024, was HKD 5,187 million, an increase from HKD 5,047 million at the end of 2023, reflecting a solid capital structure[17] Employee and Operational Costs - The total employee cost for the period was HKD 185 million, an increase from HKD 161 million in 2023, indicating a rise in workforce expenses[11] - Employee costs, including director remuneration, totaled HKD 170,699,000 for the six months ended June 30, 2024, up from HKD 147,223,000 in the same period of 2023, representing an increase of approximately 15.9%[27] Dividend and Taxation - The board declared an interim dividend of HKD 0.65 per share, down from HKD 0.76 per share in 2023[3] - The total tax expense for the six months ended June 30, 2024, was HKD 38,606,000, slightly lower than HKD 38,820,000 for the same period in 2023[5] - The company has no tax provisions for Malaysia as its subsidiaries did not generate taxable profits during the periods[29] Inventory and Receivables Management - The company reported a significant inventory cost of HKD 1,135,000,000 included in the cost of sales for the six months ended June 30, 2024, compared to zero inventory write-downs in the same period of 2023[27] - Trade receivables decreased to HKD 43,199,000 as of June 30, 2024, from HKD 73,437,000 as of December 31, 2023, indicating improved collection efficiency[33] - Trade payables decreased significantly to HKD 59,629,000 as of June 30, 2024, from HKD 122,063,000 as of December 31, 2023, suggesting better cash management[37] Corporate Governance and Compliance - The company has adopted its own securities trading code for directors, which complies with the standards set out in the Listing Rules Appendix C3[40] - No purchases, sales, or redemptions of the company's listed securities were made by the company or any of its subsidiaries during the period[41] - The interim results announcement has been published on the Hong Kong Stock Exchange website and the company's website, with the interim report to be issued at an appropriate time[42] - The board announced a change in the composition of the remuneration committee, effective October 1, 2024, with Ms. Fan Min Cheung appointed as a member[43] - The company secretary and authorized representative will change, with Ms. Zhong Hao Ying resigning and Ms. Feng Pei Ling appointed effective September 2, 2024[44]