Q2 FY2021 Highlights:
- A loss before tax of
$0.19 million for the quarter and$0.39 million for the year-to-date (Q2 FY2020: a loss of$0.78 million ; a loss of$1.56 million for the six months of FY2020); - A loss attributable to shareholders of the Company of
$0.17 million for Q2 FY2021 and$0.32 million for the year-to-date (Q2 FY2020: a loss of$0.71 million ; a loss of$1.39 million for the six months of FY2020); - A share of profit of an associate of
$0.13 million for the quarter and$0.15 million for the year-to-date, representing results from the Company's primary investment in financial services through Sunwah Kingsway Capital Holdings Limited (Q2 FY2020: a share of loss of an associate of$0.03 million ;$0.38 million for the first half of FY2020); - Revenues from the Company's Restaurant Operations investment (through
HFL Limited ) of$0.70 million
for Q2 FY2021 (Q2 FY2020:$0.87 million ) and$1.26 million for the year-to-date ($1.70 million for the six months of FY2020); - Cost of sales for
Sunwah International's Restaurant Operations investment,HFL Limited , of$0.22 million for the quarter and$0.40 million for the six months of FY2021 (Q2 FY2020:$0.26 million ;$0.49 million for the first half of FY2020); - Selling, general and administrative expenses of
$0.86 million withHFL Limited accounting for approximately$0.65 million for the quarter (Q2 FY2020:$0.96 million total with$0.77 million from the operation ofHFL Limited ) and$1.60 million for the year-to-date with$1.25 million from the operation ofHFL Limited (the first half of FY2020:$2.00 million with$1.54 million from the operation ofHFL Limited ).
"In view of increased COVID-19 restrictions in
Amid improved financial markets, the Company's flagship investment in Sunwah Kingsway Capital (SWK) performed well owing largely to solid results from proprietary investments. SWK is a highly respected domestic financial services provider in
It is noted that the performance of
Throughout the remainder of Fiscal 2021,
Financial Overview:
In accordance with the Company's refocused investments,
Financial Services Division – This division comprises the results from the Company's remaining interest (26.05%) in Sunwah Kingsway Capital Holdings Limited, its former principal subsidiary and now main investment interest (now accounted for as an associate under the equity method of accounting).
Q2 FY2021 highlights:- Share of profit totaling
$127,000 for the quarter and$145,000 for the year-to-date, up considerably from a share of loss of$29,000 in last year's comparable quarter and a share of loss of$377,000 for the six months of FY2020. - While SWK's year-over-year increase for the quarter and year-to-date is in part due to improved investor sentiment in
Hong Kong , the quarter's gain is mainly attributable to the improvement of its proprietary trading business. - Restaurant Operations – This division encompasses
Sunwah International's activities in the restaurant business following its acquisition ofHFL Limited , an Asian food and beverage company operating a premium Chinese seafood restaurant in Hong Kong. Q2 FY2021 highlights: - A loss of
$0.08 million for the quarter (Q2 FY2020: a loss of$0.16 million ) and a loss for the first half year of$0.19 million (six months of FY2020: a loss of$0.35 million ); - Revenues of
$0.70 million for the quarter (Q2 FY2020:$0.87 million ) and$1.26 million for the year-to-date (six months of FY2020:$1.70 million ); - Other Income mainly in the form of subsidies under the
Hong Kong government's Employment Support Scheme and Catering Business Subsidy Scheme (in support of Covid-19 economic recovery efforts) of$0.11 million for the current period and$0.22 million for the first half of FY2021; - Cost of sales of
$0.22 million , representing the cost of food and beverages used in restaurant operations (Q2 FY2020:$0.26 million ) and$0.40 million for the first half year (six months of FY2020$0.49 million ); - General, selling and administration expenses of
$0.54 million (Q2 FY2020:$0.57 million ) and$1.03 million for the year-to-date (six months of FY2020:$1.15 million ). This includes staff costs (wages and allowances, pension costs, employee benefits etc.) of approximately$0.37 million for the quarter (Q2 FY2020:$0.40 million ) and$0.70 million for the first half of FY2021 (six months of FY2020:$0.80 million ). - Depreciation and amortization amounting to
$0.11 million for (Q2 FY2020:$0.20 million ) and$0.22 million for the year-to-date (six months of FY2020:$0.39 million ). - Strategic Investments and other activities – This division includes strategic investments, proprietary investments and other activities of the Group. Q2 FY2021 highlights:
- A net loss of
$0.25 million for the quarter (Q2 FY2021: loss of$0.16 million ) and$0.35 million for the year-to-date (six months of FY2020:$0.40 million ) - A net fair value loss on financial assets at fair value through profit or loss of
$52,000 (Q2 FY2020: a net fair value gain of$40,000 ), mainly due to the fair value change in long-term investments. A loss of$27,000 was recorded for the year-to-date (six months of FY2020: a gain of$41,000 ); - Selling, general and administrative expenses for the quarter of
$0.21 million (Q2 FY2020:$0.20 million ) and$0.35 million for the year-to-date (six months of FY2020:$0.46 million ).
For more information on
About
Leveraging the expansive relationship network and strategic strengths of
Forward-Looking Statements
This press release announcing the financial results for
This press release contains certain statements that reflect management's expectations and objectives for the Company's future performance, opportunities and growth, which statements constitute "forward–looking information" and "forward-looking statements" (collectively "forward-looking information") under applicable securities laws. Such statements, other than statements of historical fact, are predictive in nature or depend on future events or conditions. Forward-looking information involves estimates, assumptions, judgments and uncertainties. These statements may be identified by the use of forward–looking terminology such as "may", "will", "should", "anticipate", "expect", "believe", "predict", "estimate", "continue", "intend", "plan" and variations of these words or other similar expressions. Specifically, this press release includes forward-looking information in respect of
Except as required by applicable law, management and the board of directors of the Company (the "Board of Directors") undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
SOURCE
© Canada Newswire, source