On August 17, The Group announced its unaudited interim results for the 6-month ended June 30, 2016. The Group’s overall revenue grew by HK$13.9 million, or 13.0% to HK$120.6 million (2015: HK$106.8 million). Overall gross profit rose by HK$11.6 million, or 20.1% to HK$69.5 million (2015: HK$57.9 million) and the gross profit margin also improved to 57.6% (2015: 54.2%)
Nevertheless, the Group recorded some setback in other non-operating incomes during the reporting period. In particular, the interest income decreased by HK$2.6 million, or 51.4% to HK$2.4 million (2015: HK$5.0 million) and the valuation gain on investment properties dropped by HK$1.7 million, or 77.3% to HK$0.5 million (2015: HK$2.2 million). In addition, the Group accelerated its investment in research and development (“R&D”) of its software products and incurred additional costs of approximately HK$3.0 million during the reporting period.
As a net result of the above mentioned, the Group recorded a slight decrease of 2.8% in consolidated net profit attributable to shareholders to HK$22.6 million (2015: HK$23.3 million). The basic earnings per share was 9.36 HK cents (2015: 9.64 HK cents) or a decrease of 2.9% compared with same period last year.
Despite over HK$74 million cash outflow used in acquisitions during the reporting period, the Group’s liquidity position remained strong. In view of the sustained healthy financial position and the improving business trend, the Broad recommended the distribution of an interim dividend of 7 HK cents (2015: 7 HK cents).
Mr. Ng Cheung Shing, Chairman of the Group commented on the outlook of the second half of the year that "The uncertainties looming over the global and Chinese economies will continue to present challenges to the Group. Nonetheless, the Group’s solid customer base and long term service contracts on hand will continue to generate stable revenue for the Group. Coupling with the Group’s solid financial position and experience in managing software and IT services businesses, the Group will continue to look for acquisition opportunities in order to expand its software and services portfolio and business coverage.”
