Neo-Concept International Group Holdings Limited Announces First Half 2024 Unaudited Financial Results
Neo-Concept International Group Holdings (NCI) reported its H1 2024 unaudited financial results, showing revenue of HK$79.3 million (US$10.2 million), a 1.7% increase from H1 2023. The company achieved a net income of HK$1.4 million (US$0.2 million), compared to a net loss of HK$5.2 million in the same period last year.
Retail sales of owned-branded apparel in the UK surged by 95.3% to HK$11.5 million, driven by new London retail outlets. However, private-labeled apparel sales decreased by 5.9% to HK$67.8 million. Operating expenses increased 12.7% to HK$15.9 million due to higher staff costs and expansion-related expenses. Basic and diluted EPS improved to HK$0.07 from a loss of HK$0.29 in H1 2023.
Neo-Concept International Group Holdings (NCI) ha riportato i risultati finanziari non auditati del primo semestre 2024, mostrando un fatturato di HK$79.3 milioni (US$10.2 milioni), con un incremento dell'1.7% rispetto al primo semestre 2023. L'azienda ha registrato un utile netto di HK$1.4 milioni (US$0.2 milioni), rispetto a una perdita netta di HK$5.2 milioni nello stesso periodo dell'anno scorso.
Le vendite al dettaglio di abbigliamento a marchio proprio nel Regno Unito sono aumentate del 95.3% raggiungendo HK$11.5 milioni, grazie all'apertura di nuovi punti vendita a Londra. Tuttavia, le vendite di abbigliamento a marchio privato sono diminuite del 5.9% a HK$67.8 milioni. Le spese operative sono aumentate del 12.7% a HK$15.9 milioni a causa dell'aumento dei costi del personale e delle spese legate all'espansione. L'EPS base e diluito è migliorato a HK$0.07 rispetto a una perdita di HK$0.29 nel primo semestre 2023.
Neo-Concept International Group Holdings (NCI) reportó sus resultados financieros no auditados del primer semestre de 2024, mostrando ingresos de HK$79.3 millones (US$10.2 millones), un aumento del 1.7% con respecto al primer semestre de 2023. La empresa alcanzó un ingreso neto de HK$1.4 millones (US$0.2 millones), en comparación con una pérdida neta de HK$5.2 millones en el mismo período del año pasado.
Las ventas minoristas de ropa de marca propia en el Reino Unido aumentaron en un 95.3%, alcanzando HK$11.5 millones, impulsadas por nuevas tiendas en Londres. Sin embargo, las ventas de ropa de marca privada disminuyeron un 5.9% hasta HK$67.8 millones. Los gastos operativos aumentaron un 12.7% a HK$15.9 millones debido a mayores costos de personal y gastos relacionados con la expansión. El EPS básico y diluido mejoró a HK$0.07 frente a una pérdida de HK$0.29 en el primer semestre de 2023.
네오컨셉 인터내셔널 그룹 홀딩스 (NCI)는 2024년 상반기 감사받지 않은 재무 결과를 발표하였으며, 매출은 HK$79.3백만(US$10.2백만)으로 2023년 상반기 대비 1.7% 증가했습니다. 회사는 HK$1.4백만(US$0.2백만)의 순이익을 달성했으며, 작년 동기에는 HK$5.2백만의 순손실을 기록했습니다.
영국에서 자사 브랜드 의류의 소매 판매는 95.3% 증가하여 HK$11.5백만에 이르렀으며, 이는 런던의 새로운 소매점을 통해 이루어졌습니다. 그러나 프라이빗 라벨 의류 판매는 5.9% 감소하여 HK$67.8백만이 되었습니다. 운영 비용은 직원 비용 및 확장 관련 비용 증가로 인해 12.7% 증가하여 HK$15.9백만에 달했습니다. 기본 및 희석 EPS는 2023년 상반기 HK$0.29의 손실에서 HK$0.07로 개선되었습니다.
Neo-Concept International Group Holdings (NCI) a rapporté ses résultats financiers non audités pour le premier semestre 2024, montrant des revenus de HK$79,3 millions (US$10,2 millions), soit une augmentation de 1,7% par rapport au premier semestre 2023. L'entreprise a réalisé un bénéfice net de HK$1,4 million (US$0,2 million), contre une perte nette de HK$5,2 millions au cours de la même période l'année dernière.
Les ventes au détail de vêtements de marque propre au Royaume-Uni ont augmenté de 95,3% pour atteindre HK$11,5 millions, grâce à de nouveaux points de vente à Londres. Cependant, les ventes de vêtements de marque privée ont diminué de 5,9% pour s'établir à HK$67,8 millions. Les dépenses d'exploitation ont augmenté de 12,7% pour atteindre HK$15,9 millions en raison des coûts de personnel plus élevés et des dépenses liées à l'expansion. Le BPA de base et dilué s'est amélioré à HK$0,07 contre une perte de HK$0,29 au premier semestre 2023.
Neo-Concept International Group Holdings (NCI) hat seine nicht testierten Finanzresultate für das erste Halbjahr 2024 veröffentlicht und zeigt einen Umsatz von HK$79.3 Millionen (US$10.2 Millionen), was einem Anstieg von 1.7% im Vergleich zum ersten Halbjahr 2023 entspricht. Das Unternehmen erzielte einen Nettogewinn von HK$1.4 Millionen (US$0.2 Millionen) im Vergleich zu einem Nettoverlust von HK$5.2 Millionen im gleichen Zeitraum des Vorjahres.
Die Einzelhandelsumsätze von Eigenmarkenbekleidung im Vereinigten Königreich stiegen um 95.3% auf HK$11.5 Millionen, getrieben durch neue Einzelhandelsstandorte in London. Allerdings sanken die Verkäufe von Eigenmarkenbekleidung um 5.9% auf HK$67.8 Millionen. Die Betriebskosten stiegen um 12.7% auf HK$15.9 Millionen aufgrund höherer Personalkosten und ausgaben im Zusammenhang mit der Expansion. Das Basis- und verwässerte EPS verbesserte sich auf HK$0.07 nach einem Verlust von HK$0.29 im ersten Halbjahr 2023.
- Turned net loss of HK$5.2M into net profit of HK$1.4M
- 95.3% increase in UK retail sales to HK$11.5M
- Overall revenue growth of 1.7% to HK$79.3M
- EPS improved from -HK$0.29 to HK$0.07
- Private-labeled apparel sales declined 5.9% to HK$67.8M
- Selling, general and administrative expenses increased 12.7% to HK$15.9M
Insights
HONG KONG, Dec. 19, 2024 (GLOBE NEWSWIRE) -- Neo-Concept International Group Holdings Limited (“NCI” or the “Company”) (NASDAQ: NCI), today announced its unaudited financial results for the six months ended June 30, 2024.
Overview:
- Revenue was approximately HK
$79.3 million (US$10.2 million ) for the six months ended June 30, 2024, representing an increase of approximately1.7% from the same period in 2023. - Net income was approximately HK
$1.4million (US$0.2 million ) for the six months ended June 30, 2024 (2023: net losses approximately HK$5.2 million ).
Six Month Financial Results Ended June 30, 2024
Revenue. Revenue increased by approximately
Selling, general and administrative expenses. Selling, general and administrative expenses increased by approximately
Other income, net. Other income representing agency fee received increased approximately HK
Income tax expense. Income tax expense was nil for the for the six months ended June 30, 2024 (six months ended June 30, 2023: nil) as we either incurred tax losses or we had available tax losses brought forward.
Net income. Net income increased by approximately HK
Basic and diluted EPS. Basic and diluted EPS were approximately HK
About Neo-Concept International Group Holdings Limited
Neo-Concept International Group Holdings Limited (“NCI”) is a one-stop apparel solution services provider. It offers a full suite of services in the apparel supply chain, including market trend analysis, product design and development, raw material sourcing, production and quality control, and logistics management serving customers located in the European and North American markets. It also sells its own branded apparel products under the brand “Les100Ciels” through retail stores in UK as well as the e-commerce platform www.les100ciels.com.
NCI is dedicated to minimizing its environmental footprint by implementing various eco-friendly practices. It prioritizes recycling, clean processes, and traceable sourcing as part of its commitment to reducing environmental impact. Additionally, NCI actively seeks sustainable solutions throughout the garment production process, aiming to meet the needs of its customers in an environmentally responsible manner.
Exchange Rate Information
This announcement contains translations of certain HK$ amounts into U.S. dollars (“US$”) at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from HK$ to US$ were made at the rate of HK
SAFE HARBOR STATEMENTS
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC, which are available for review at www.sec.gov.
Enquiries:
Neo-Concept International Group Holdings Limited Investor Relations Contact:
10/F, Seaview Centre
No.139-141 Hoi Bun Road
Kwun Tong, Kowloon, Hong Kong
(+852) 2798-8639
Email: ir@neo-ig.com
| NEO-CONCEPT INTERNATIONAL GROUP HOLDINGS LIMITED UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||
| December 31, | As of June 30, | |||||||||||
| 2023 | 2024 | 2024 | ||||||||||
| HKD | HKD | US$ | ||||||||||
| ASSETS | ||||||||||||
| CURRENT ASSETS | ||||||||||||
| Cash and cash equivalents | 5,849,306 | 4,673,976 | 598,591 | |||||||||
| Accounts receivable, net | 32,343,592 | 21,542,687 | 2,758,947 | |||||||||
| Other current assets, net | 20,225,722 | 53,316,186 | 6,828,143 | |||||||||
| Inventories, net | 5,320,199 | 5,462,892 | 699,626 | |||||||||
| Total current assets | 63,738,819 | 84,995,741 | 10,885,307 | |||||||||
| OTHER ASSETS | ||||||||||||
| Property and equipment, net | 1,297,682 | 2,690,729 | 344,599 | |||||||||
| Right-of-use assets, net | 23,884,854 | 24,513,952 | 3,139,474 | |||||||||
| Intangible assets, net | — | 15,391,236 | 1,971,138 | |||||||||
| Other non-current assets, net | 1,695,473 | 2,406,626 | 308,214 | |||||||||
| Tax recoverable | — | 1,704,657 | 218,313 | |||||||||
| Total non-current assets | 26,878,009 | 46,707,200 | 5,981,738 | |||||||||
| Total assets | 90,616,828 | 131,702,941 | 16,867,045 | |||||||||
| LIABILITIES AND SHAREHOLDERS’ DEFICIT | ||||||||||||
| CURRENT LIABILITIES | ||||||||||||
| Bank borrowings | 30,753,400 | 51,047,760 | 6,537,628 | |||||||||
| Accruals and other payables | 3,205,704 | 6,261,628 | 801,919 | |||||||||
| Due to related parties | 34,243,244 | 49,087 | 6,287 | |||||||||
| Operating lease liabilities | 708,829 | 1,622,876 | 207,840 | |||||||||
| Tax payable | 916,436 | — | — | |||||||||
| Total current liabilities | 69,827,613 | 58,981,351 | 7,553,674 | |||||||||
| NON-CURRENT LIABILITIES | ||||||||||||
| Operating lease liabilities | 23,176,025 | 22,891,076 | 2,931,634 | |||||||||
| Total non-current liabilities | 23,176,025 | 22,891,076 | 2,931,634 | |||||||||
| Total liabilities | 93,003,638 | 81,872,427 | 10,485,308 | |||||||||
| COMMITMENTS AND CONTINGENCIES | — | — | — | |||||||||
| SHAREHOLDERS’ (DEFICIT) EQUITY | ||||||||||||
| Ordinary shares: US | 8,775 | 9,906 | 1,269 | |||||||||
| Additional paid-in capital | 55,091,225 | 105,776,106 | 13,546,624 | |||||||||
| Accumulated other comprehensive income | 844,791 | 963,495 | 123,394 | |||||||||
| Accumulated losses | (58,331,601 | ) | (56,918,993 | ) | (7,289,550 | ) | ||||||
| Total shareholders’ (deficit) equity | (2,386,810 | ) | 49,830,514 | 6,381,737 | ||||||||
| Total liabilities and shareholders’ (deficit) equity | 90,616,828 | 131,702,941 | 16,867,045 | |||||||||
| NEO-CONCEPT INTERNATIONAL GROUP HOLDINGS LIMITED UNAUDITED CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||
| For the six months ended June 30, | ||||||||||||
| 2023 | 2024 | 2024 | ||||||||||
| HKD | HKD | US$ | ||||||||||
| REVENUES, NET | 77,915,027 | 79,256,623 | 10,150,305 | |||||||||
| COST OF REVENUES | ||||||||||||
| - Related parties | (22,713,298 | ) | (21,206,685 | ) | (2,715,916 | ) | ||||||
| - External | (43,040,030 | ) | (41,690,622 | ) | (5,339,270 | ) | ||||||
| (65,753,328 | ) | (62,897,307 | ) | (8,055,186 | ) | |||||||
| Gross profit | 12,161,699 | 16,359,316 | 2,095,119 | |||||||||
| EXPENSES | ||||||||||||
| Selling and marketing | (1,232,254 | ) | (2,045,399 | ) | (261,952 | ) | ||||||
| General and administrative | (12,618,644 | ) | (13,827,207 | ) | (1,770,834 | ) | ||||||
| Total expenses | (13,850,898 | ) | (15,872,606 | ) | (2,032,786 | ) | ||||||
| (LOSS) INCOME FROM OPERATION | (1,689,199 | ) | 486,710 | 62,333 | ||||||||
| OTHER (EXPENSES) INCOME | ||||||||||||
| Interest income | 10,038 | 49,895 | 6,390 | |||||||||
| Interest expense | (3,478,595 | ) | (1,460,788 | ) | (187,081 | ) | ||||||
| Other income | — | 2,361,596 | 302,447 | |||||||||
| Other loss, net | (20,063 | ) | (24,805 | ) | (3,177 | ) | ||||||
| Total other (expenses) and income, net | (3,488,620 | ) | 925,898 | 118,579 | ||||||||
| (LOSS) INCOME BEFORE INCOME TAXE EXPENSES | (5,177,819 | ) | 1,412,608 | 180,912 | ||||||||
| INCOME TAX EXPENSES | — | — | — | |||||||||
| NET (LOSS) INCOME | (5,177,819 | ) | 1,412,608 | 180,912 | ||||||||
| FOREIGN CURRENCY TRANSLATION ADJUSTMENT | (1,230,850 | ) | 118,704 | 15,202 | ||||||||
| TOTAL COMPREHENSIVE (LOSS) INCOME | (6,408,669 | ) | 1,531,312 | 196,114 | ||||||||
| Weighted average number of ordinary shares: | ||||||||||||
| Basic and diluted | 18,000,000 | 18,892,308 | 18,892,308 | |||||||||
| (LOSS) EARNINGS PER SHARE | (0.29 | ) | 0.07 | 0.01 | ||||||||
FAQ
What was NCI's revenue growth in H1 2024 compared to H1 2023?
How much did NCI's UK retail sales grow in H1 2024?
What was NCI's earnings per share (EPS) for H1 2024?
How did NCI's private-labeled apparel sales perform in H1 2024?
What caused the increase in NCI's operating expenses in H1 2024?
