Financials
Financials
Half Year Financial Statements
Statement Of Profit And Loss For The 6 Months Ended 30 June 2007
Click here for FY 2006 Financials
Review of Performance
OverviewFor the six months ended 30 June 2007, the Group continued to encounter challenging operating environment in the face of increasing raw material and energy prices, increasing wages and operating costs, and appreciating RMB against USD.
Group revenue increased by 11.8% to US$11.89 million for the 6 months ended 30 June 2007. Revenue growth is achieved in all regions, except Japan, which registered a slight decrease. Despite that, Japan, which takes up 23% of total revenue, is still the Group’s major market.
ProfitabilityThe Group’s profit dropped by 57% compared to the same period last year. This was mainly due to the following:
- Rising raw material prices, wages, electricity costs
- Appreciating RMB against USD, which resulted in foreign exchange losses
The Group expects the same business environment prevailing in the first half year to continue. The Group will focus on the following in the second half of FY 2007:
- Intensify our customer focus on strategic customers and customers with better gross profit margins.
- Achieve production efficiencies, especially in its in house brand
- Develop its design and product development capabilities
- Source for better material prices
- Hedge its currency exposures
A balance sheet (for the issuer and group), together with a comparative statement as at the end of the immediately preceding financial year
