Company Briefs: Lung Kee (Bermuda)

Lung Kee (Bermuda)

Hong Kong-based mould maker Lung Kee (Bermuda) yesterday posted a net profit of HK$75.7 million (S$13.1 million) for the six months to June 30, a rise of 16 per cent, compared with the same period the previous year. Quarterly figures were not available.

Revenue dropped 10.1 per cent to HK$1.06 billion from the preceding year, on the back of an "unfavourable aggregate business operating environment".

The firm said that after the Brexit vote, the export business to European countries slowed down, owing to the weak economic performances in those countries.

"Despitea sign that the economic growth pace of China was slowing down as affected by the sluggish performance in the external economy, the turnover of the automobile industry was still booming," it added.

That helped to stimulate the rapid growth of automotive parts and components business, which further boosted the demand for quality products the firm produced.

Lung Kee said that coupled with the customers' shortage of technical labour, some of them ordered mould products with high machining content, leading to an increase in income and a greater profit margin.

Earnings per share for the six months to June 30 stood at 11.99 HK cents, up from 10.33 HK cents last year. It declared an interim dividend of seven HK cents and an interim special dividend of five HK cents.

China Sports International

China Sports International, a branded sports fashion footwear and apparel company, recorded a 97.6 per cent improvement in its second quarter net loss.

Losses for the three months to June 30 narrowed to 7.3 million yuan (S$1.5 million), while revenue fell 13.7 per cent to 47.7 million yuan. Turnover was affected by "the persistent and increasing competition in the sportswear industry".

The firm said: " Our distributors continued to be weary of the intensified competition and became more prudent in placing their orders for footwear and apparel products, which has affected the overall footwear revenue."

It added that there were no enhanced features and functionality for its products, which made it more difficult to attract distributors.

Quarterly loss per share was 0.71 fen, which was better than a loss per share of 31.54 fen a year earlier.

Net asset value per share stood at 40.48 fen as at June 30, down from 49.1 fen as at Dec 31.

A version of this article appeared in the print edition of The Straits Times on August 16, 2016, with the headline 'Company Briefs'. Print Edition | Subscribe