London, 8 March
2022
GRAND VISION MEDIA HOLDINGS PLC (“THE
GROUP”)
Half yearly report for the six months
ended 30 June 2021
The CEO’s Report
Overview
The disappointing full year results for
2020 have continued into the first half of 2021. Whilst the core
business has suffered badly from the ongoing business disruption
and uncertainty caused by the pandemic in the region, the Group has
been focussing on generating new revenue streams to bolster
revenues. It is hoped that these new revenue streams will come to
fruition in 2022 onwards.
Summary of Trading Results
Revenue in the period was HKD1,742K [1H2019 : HKD6,045K], which represents a significant
decline as compared to the prior year period. The Group had a loss
after tax of HKD3,335K [1H2019 :
HKD664K loss]. This was primarily as
a result of the reduced turnover resulting from the ongoing
business disruption. To mitigate against this, the Group has
managed to achieve cost savings as a result of space consolidation
and headcount reductions, and has taken advantage of Government
fiscal support aimed at helping businesses through the pandemic
whenever this was available. However, this did not prevent the
overall poor Group performance as reported.
Cash in hand at the period end was HK$490K. The Group continues to manage its cash
within its available resources.
Outlook
The Group has suffered enormously from the business disruption
and uncertainty caused by the pandemic, and particularly more so as
Hong Kong/China have been
following a strict zero COVID policy. The full year results for
2021 are expected to be well below historic levels again, but the
Group remains committed to sourcing new revenue streams to mitigate
against the decline in traditional revenues.
Responsibility Statement
We confirm that to the best of our
knowledge:
a. the condensed set of financial
statements has been prepared in accordance with IAS 34 ‘Interim
Financial Reporting’;
b. the interim management report
includes a fair review of the information required by DTR 4.2.7R
(indication of important events during the first six months and
description of principal risks and uncertainties for the remaining
six
months of the year; and,
c. the interim management report
includes a fair review of the information required by DTR 4.2.8R
(disclosure of related parties’ transactions and changes
therein).
Cautionary statement
This Interim Management Report (IMR)
has been prepared solely to provide additional information to
shareholders to
assess the Company’s strategies and the
potential for those strategies to succeed. The IMR should not be
relied on by
any other party or for any other
purpose.
The condensed accounts have not been
reviewed by the auditors.
Jonathan Lo
Chief Executive
Officer
Date : 8 March
2022
Interim Condensed
Statement of Comprehensive Income
|
Notes |
GVMH
6 months Ended
30 June
2021 |
GVMH
6 months Ended
30 June
2020 |
GVMH
Year End
31 December
2020 |
|
|
HK$’000 |
HK$’000 |
HK$’000 |
Turnover |
|
1,742 |
6,045 |
5,827 |
Cost of
Sales |
|
(1,788) |
(3,142) |
(5,129) |
Gross
Profit |
|
(46) |
2,903 |
698 |
Other
Income / Expenditure |
|
(182) |
729 |
1,720 |
Administrative expenses |
|
(2,465) |
(1,250) |
(8,996) |
Depreciation |
|
(624) |
(503) |
(843) |
Provision
for the trade receivables |
|
|
|
(2,740) |
Admission
costs |
|
- |
(2,401) |
- |
Operating
Loss |
|
(3,317) |
(522) |
(10,161) |
Finance
Cost |
|
(18) |
(142) |
111 |
Loss
before taxation |
|
(3,335) |
(664) |
(10,050) |
Tax on
loss on ordinary activities |
|
- |
- |
- |
Loss
after taxation |
|
(3,335) |
(664) |
(10,050) |
Exchange
difference arising on Translation |
|
368 |
(486) |
257 |
Loss
and total comprehensive loss for the period |
|
(2,967) |
(1,150) |
(9,793) |
(Loss)/profit attributable to: |
|
|
|
|
Equity
holders of the Company |
|
(3,257) |
(306) |
(9,761) |
Non-controlling interests |
|
(78) |
(358) |
(289) |
|
|
(3,335) |
(664) |
(10,050) |
Total
comprehensive (loss)/income attributable to: |
|
|
|
|
Equity
holders of the Company |
|
(2,888) |
(792) |
(9,504) |
Non-controlling interests |
|
(78) |
(358) |
(289) |
|
|
(2,967) |
(1,150) |
(9,793) |
Basic and
diluted earnings per share (HK$) |
5 |
(0.0346) |
(0.0069) |
(0.1044) |
Interim Condensed
Statement of Changes in Equity
GVMH
PLC |
Share Capital |
Share
Premium |
Group
Reorganization Reserve |
Capital
Contribution arising from shareholders loan |
Exchangeand OtherReserve |
Non-Controlling Interest |
Retained
Earnings |
Total
Equity |
|
HK$’000 |
HK$’000 |
HK$’000 |
HK$’000 |
HK$’000 |
HK$’000 |
HK$’000 |
HK$’000 |
Balance at 31 December 2019 |
96,017 |
44,106 |
(96,631) |
844 |
8,358 |
(3,284) |
(69,348) |
(19,938) |
Re-Organization Reserve |
- |
- |
(2,641) |
- |
- |
- |
- |
(2,641) |
Capital
Contribution |
- |
- |
- |
2,552 |
- |
- |
- |
2,552 |
Exchange
Reserve |
- |
- |
- |
- |
(1,313) |
- |
- |
(1,313) |
Non-Controlling Interest |
- |
- |
- |
- |
- |
2,282 |
- |
2,282 |
Loss for
the period |
- |
- |
- |
- |
- |
- |
(307) |
(307) |
Balance at 30 JUNE 2020 |
96,017 |
44,106 |
(99,272) |
3,396 |
7,045 |
(1,002) |
(69,655) |
(19,365) |
Share
issue |
- |
- |
- |
- |
- |
- |
- |
- |
Re-Organization Reserve |
- |
- |
2,641 |
- |
- |
- |
- |
2,641 |
Capital
Contribution |
- |
- |
- |
(2,552) |
- |
- |
- |
(2,552) |
Exchange
Reserve |
- |
- |
- |
- |
(830) |
- |
- |
(830) |
Other
reserve |
|
|
(3,400) |
|
|
3,400 |
|
- |
Share
base payment |
|
|
|
|
975 |
|
|
975 |
Non-Controlling Interest |
- |
- |
- |
- |
- |
(2,571) |
- |
(2,571) |
Loss for
the Period |
- |
- |
- |
- |
- |
- |
(9,454) |
(9,454) |
Balance at 31 December 2020 |
96,017 |
44,106 |
(100,031) |
844 |
7,190 |
(173) |
(79,109) |
(31,156) |
Re-Organization Reserve |
- |
- |
- |
- |
- |
- |
- |
- |
Capital
Contribution |
- |
- |
- |
- |
- |
- |
- |
- |
Exchange
Reserve |
- |
- |
- |
|
(198) |
- |
- |
(198) |
Non-Controlling Interest |
- |
- |
- |
|
- |
(79) |
- |
(79) |
Loss for
the period |
- |
- |
- |
- |
- |
- |
(3,257) |
(3,257) |
Balance at 30 JUNE 2021 |
96,017 |
44,106 |
(100,031) |
844 |
6,992 |
(252) |
(82,366) |
(34,690) |
Share capital is the amount subscribed for shares at nominal
value.
The share premium has arisen on the issue of shares at a premium
to their nominal value.
Retained losses represent the cumulative loss of the Company
attributable to equity shareholders.
Interim Condensed
Statement of the Financial Position
|
Notes |
GVMH
30 June
2021 |
GVMH
30 June
2020 |
GVMH
31 December 2020 |
|
|
HK$’000 |
HK$’000 |
HK$’000 |
Assets |
|
|
|
|
Non-Current Assets |
|
|
|
|
Property,
plant and equipment |
|
131 |
219 |
170 |
Right of
use assets (IFRS16) |
|
530 |
1,397 |
1,108 |
Total
Non-Current Asset |
|
661 |
1,616 |
1,278 |
|
|
|
|
|
Current assets |
|
|
|
|
Inventories |
|
- |
985 |
- |
Trade and
Other Receivables |
|
3,363 |
7,422 |
3,549 |
Deposits
and Pre-Payments |
|
387 |
233 |
400 |
Cash and
Cash Equivalents |
|
490 |
1,643 |
855 |
Total Current Assets |
|
4,240 |
10,283 |
4,804 |
Total
Assets |
|
4,901 |
11,899 |
6,082 |
|
|
|
|
|
Equity
and Liabilities |
|
|
|
|
Share
Capital |
6 |
96,017 |
96,017 |
96,017 |
Share
Premium Account |
6 |
44,106 |
44,106 |
44,106 |
Group
Re-organization Reserve |
|
(100,031) |
(99,272) |
(100,031) |
Capital
Contribution arising from Shareholder’s Loan |
|
844 |
3,396 |
844 |
Exchange
and Other Reverses |
|
6,992 |
7,045 |
7,190 |
Non-Controlling Interest |
|
(252) |
(1,002) |
(173) |
Retained
Earnings |
|
(82,366) |
(69,655) |
(79,109) |
Total
Equity |
|
(34,690) |
(19,365) |
(31,156) |
|
|
|
|
|
Liabilities |
|
|
|
|
Non-Current Liabilities |
|
|
|
|
Convertible Bonds |
|
6,041 |
5,401 |
5,968 |
Shareholders loans |
|
9,232 |
8,584 |
9,227 |
Total
Non-Current Liabilities |
|
15,273 |
13,985 |
15,195 |
Current Liabilities |
|
|
|
|
Trade and
Other Payables |
|
15,033 |
14,379 |
14,282 |
Amount
Due to Directors |
|
3,263 |
1,426 |
3,567 |
Lease
Liability |
|
558 |
1,449 |
1,156 |
Deposits
Received |
|
28 |
25 |
92 |
Shareholder loan |
|
5,436 |
- |
2,946 |
Total
Current Liability |
|
24,318 |
17,279 |
22,043 |
Total
Liabilities |
|
39,591 |
31,264 |
37,238 |
|
|
|
|
|
Total
Equity and Liabilities |
|
4,901 |
11,899 |
6,082 |
Interim Condensed
Cash Flow Statement
|
|
GVMH
6 Months
Ended
30 JUNE 2021 |
GVMH
6 Months
Ended
30 JUNE 2020 |
GVMH
For the year ended 31 December 2020 |
|
|
HK$’000 |
HK$’000 |
HK$’000 |
Cash
flows from operating activities |
|
|
|
|
Operating
loss |
|
(3,335) |
(664) |
(10,050) |
Add:
Depreciation |
|
46 |
503 |
843 |
Add:
Finance Cost |
|
578 |
142 |
31 |
Add:
Share based payment |
|
- |
- |
975 |
Add:
Provision for the trade receivables |
|
- |
- |
2,740 |
Less:
Reserve of overprovided interest |
|
- |
- |
(143) |
Changes in working capital |
|
(2,711) |
(19) |
(5,604) |
(Increase) / decrease in inventories |
|
- |
19 |
1,004 |
(Increase) / decrease in receivables |
|
199 |
(857) |
109 |
Decrease
in deposits and prepayments |
|
- |
- |
- |
Increase
/ (decrease) in payables |
|
(595) |
3,150 |
826 |
Decrease
in deposit received |
|
- |
- |
10 |
Net
cash flow from/(used in) operating activities |
|
(3,107) |
2,293 |
(3,655) |
|
|
|
|
|
Investing Activities |
|
|
|
|
Acquisition of fixed assets |
|
(7) |
(246) |
(248) |
Net cash flow from investing activities |
|
(7) |
(246) |
(248) |
|
|
|
|
|
Cash flows from financing activities: |
|
|
|
|
Payment of lease liabilities |
|
(616) |
(329) |
(636) |
Increase in an amount due from director |
|
- |
- |
3,052 |
Increase in convertible loans |
|
- |
- |
- |
(Repayment of) / proceeds from Shareholder loans |
|
2,587 |
416 |
3,796 |
Net cash flow from financing activities |
|
1,971 |
87 |
6,212 |
|
|
|
|
|
Net cash flow for the period |
|
(1,143) |
2,134 |
2,309 |
Opening Cash and cash equivalents |
|
855 |
510 |
510 |
Effect on Foreign exchange rate changes |
|
778 |
(1,001) |
(1,964) |
Closing Cash and cash equivalents |
|
490 |
1,643 |
855 |
Notes to the Interim Condensed
Financial Statements
1. General
Information
GRAND VISION MEDIA HOLDINGS PLC (‘the Company’) is a media
company incorporated in the United
Kingdom. Details of the registered office, the officers and
advisers to the Company are presented on the Directors and Advisers
page at the end of this report. The information within these
interim condensed financial statements and accompanying notes must
be read in conjunction with the audited annual financial statements
that have been prepared for the period ended 31 December
2020.
2. Basis of
Preparation
These unaudited condensed consolidated interim financial
statements for the six months ended 30 June
2021 were approved by the board and authorised for issue on
8 March 2022.
The basis of preparation and accounting policies set out in the
Annual Report and Accounts for the year ended 31 December 2020 have been applied in the
preparation of these condensed interim financial statements.
These interim financial statements have been prepared in accordance
with the recognition and measurement principles of the UK adopted
International Financial Reporting Standards (“IFRS”) that are
expected to be applicable to the financial statements for the year
ending 31 December 2021 and on the
basis of the accounting policies expected to be used in those
financial statements.
The figures for the six months ended 30
June 2021 and 30 June 2020 are
unaudited and do not constitute full accounts. The comparative
figures for the period ended 31 December
2020 are extracts from the 2020 audited accounts. The
independent auditor’s report on the 2020 accounts was not
qualified.
Going Concern
The directors are satisfied that the Company has sufficient
resources to continue in operation for the foreseeable future, a
period of not less than 12 months from the date of this report.
Accordingly, they continue to adopt the going concern basis in
preparing the condensed financial statements.
Standards and Interpretations adopted
with no material effect on financial statements
There are no other IFRS or IFRIC interpretations that are not
yet effective that would be expected to have material impact on the
Group.
3. Segmental
Reporting
In the opinion of the Directors, the Company has one class of
business, being that of out of home media and marketing and
operates in the Peoples Republic of
China/Hong Kong.
4. Company Result
for the period
The operating loss of the Company for the six months ended
30 June 2021 was HK$ 544,593 (2020:
loss of HK$ 585,869, year ended
31 December 2020: HK$ 1,329,171). The current period operating loss
incorporated the following main items:
|
GVMH
30 JUNE 2021 |
GVMH
30 JUNE 2020 |
GVMH
31 December
2020 |
(Unaudited) |
(Unaudited) |
(Audited) |
|
|
HK$‘000 |
HK$‘000 |
|
|
|
|
Accounting and
administration fees |
- |
- |
168 |
Employment
expenses |
323 |
297 |
600 |
Rent fees |
- |
- |
- |
Legal and professional
fees |
166 |
150 |
281 |
Other expenses |
56 |
139 |
280 |
Total |
545 |
586 |
1,329 |
5. Earnings per
Share
Earnings per share data is based on the Company result for the
six months and the weighted average number of shares in issue.
Basic loss per share is calculated by dividing the loss
attributable to equity shareholders by the weighted average number
of ordinary shares in issue during the period:
|
GVMH
30 June
2021 |
GVMH
30 June 2020 |
GVMH
31 December
2020 |
|
HK$ |
HK$ |
HK$ |
Loss after tax |
(3,335,000) |
(664,000) |
(10,050,000) |
Weighted average number of ordinary
shares in issue |
96,287,079 |
96,287,079 |
96,287,079 |
Basic and diluted loss per
share |
(0.0346) |
(0.0069) |
(0.1044) |
Basic and diluted earnings per share are the same, since where a
loss is incurred the effect of outstanding share options and
warrants is considered anti-dilutive and is ignored for the purpose
of the loss per share calculation. There were no potential dilutive
shares in issue during the period.
6. Share
Capital
Ordinary shares are classified as equity. Proceeds from issuance
of ordinary shares are classified as equity. Incremental costs
directly attributable to the issuance of new ordinary shares are
deducted against share capital.
Allotted, called up and fully
paid ordinary shares of 10p each |
Number of shares |
Share Capital |
Share
Capital |
Share
Premium |
Share Premium |
|
|
£ |
HK$ |
£ |
HK$ |
Balance at 31 December 2019 |
96,287,079 |
9,628,708 |
96,017,186 |
4,422,954 |
44,105,565 |
Balance at 30 JUNE 2020 |
96,287,079 |
9,628,708 |
96,017,186 |
4,422,954 |
44,105,565 |
Balance at 31 December 2020 |
96,287,079 |
9,628,708 |
96,017,186 |
4,422,954 |
44,105,565 |
Balance at 30 JUNE 2021 |
96,287,079 |
9,628,708 |
96,017,186 |
4,422,954 |
44,105,565 |
|
|
|
|
|
|
|
|
|
|
|
|
7 Events
Subsequent to 30 June 2021
There were no events subsequent to the balance sheet date.
8.
Reports
This interim condensed financial statements will be available
shortly on the Company website at www.gvmh.co.uk
For more information:
Grand Vision Media Holdings plc |
http://gvmh.co.uk/ |
Ajay Rajpal, Director |
Tel: +44 (0) 20 7866 2145
or info@gvmh.co.uk |
- ENDS -