Tat Hong Equipment Service Co., Ltd. Announces 2022/23 Interim Results

Tat Hong Equipment Service Co., Ltd. (“Tat Hong” or the “Company”, together with its subsidiaries, the “Group”) (Stock Code: 2153), the first foreign-owned tower crane service provider established in the PRC, has announced its interim results for the six months ended 30 September 2022 (the “Period”).

During the Period, the Group recorded revenue of approximately RMB 387.4 million, representing a decrease of approximately 6.8% as compared with that for the six months ended 30 September 2021. Loss attributable to equity shareholders of the Company for the period amounted to approximately RMB 41.9 million, mainly due to the one-off currency exchange loss on USD borrowings and the economic downturn caused by the COVID-19 pandemic (the “Pandemic”). The overall gross profit and gross profit margin decreased to RMB75.5 million and 19.5%, respectively.

The Group’s total Tonne Metres (TM) in use increased from approximately 1,479,145 for the period ended 30 September 2021 to 1,577,983 for the period ended 30 September 2022. As at 30 September 2022, the Group had 292 projects in progress with a total outstanding contract value of approximately RMB 605 million and 37 projects on hand with a total expected contract value of approximately RMB 68 million. Of these projects, the Group expects to complete contract work of approximately RMB 348 million by the end of 30 September 2023, demonstrating solid earnings visibility.

Despite the gradual recovery in major economies and the surge in vaccination and immunity rates, the Pandemic has put pressure on every component of the Group’s industry value chain. To contain the spread of the Pandemic throughout the country, numerous cities have adopted anti-pandemic measures, such as persistent or intermittent lockdowns, and certain projects were temporarily suspended on account of these measures. From April to June 2022, the Group’s economic activities in eastern China were affected to a certain extent. In the meantime, against the backdrop of interest hikes by the US Fed and global inflation, economies around the world have encountered significant instability and pressure in the first half of the year. As the external environment remains volatile, the Group strives to adjust its operational strategy, optimise its management structure, and make timely and appropriate decisions in a bid to mitigate the risks brought by the Pandemic.

Mr. Sean Yau, CEO of Tat Hong Equipment Service Co., Ltd. said, “After years of the lingering Pandemic, the market remains sluggish and real estate has been severely impacted. Fortunately, the Group has optimised its business structure by placing a greater emphasis on the other business segments, reducing the real estate to approximately 30% of total revenue, which will mitigate the negative impact of the industry’s downturn. In the meantime, we will shift our focus to the energy, infrastructure and public construction segments.”

“With the continuous introduction of favourable policies and the development direction of the 14th Five Year Plan, which includes initiatives centred on ‘new infrastructure, new urbanisation and major projects’ and the aim of carbon neutrality, we believe that there are unexpected opportunities emerging in the (energy) infrastructure market. With our strong reputation and expertise, we are confident about the Group’s prospects.”

Mr. Roland Ng, Chairman of Tat Hong Equipment Service Co., Ltd. concluded, “Going forward, we will use the Pandemic as an opportunity to stimulate and accelerate transformation, to accelerate the adoption and improvement of the digital platform ‘iSmartCon’, so as to further optimise the management of various stages of the production process. Moreover, we will focus on analysing the impact of the Pandemic on each business sector and project, reviewing and modifying strategic plans, and communicating updates with all stakeholders including suppliers, clients and employees. The Group will continue its efforts in meeting the increasing customer demands for prefabricated construction using medium and large size tower cranes, and to establish a standardised post-market service eco-system for tower cranes, with the aim of providing a sustainable foundation for a green, safe and environmentally friendly tower crane service industry value chain, while adhering to the proper safety standards and PRC prevention and control policies.”

About Tat Hong Equipment Service Co., Ltd. (Stock Code: 2153)

Tat Hong Equipment Service Co., Ltd. is the first foreign-owned tower crane service provider established in the PRC. Since 2007, the Group has established as a tower crane service provider for one-stop tower crane solution services from consultation, technical design, commissioning, construction to after-sales services primarily to Chinese Special-tier and Tier-1 EPC contractors. Guided by its core values, “Virtue, Safety and Excellence”, the Group has successfully established its market position and maintained stable, reputable and loyal customer base in the construction industry in the PRC.






Topic: Press release summary



Hong Kong – Civil Service College holds 11th talk of series on country’s foreign affairs (with photos)

Civil Service College holds 11th talk of series on country’s foreign affairs (with photos)

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     The Civil Service College held the 11th talk of the series on the country’s foreign affairs jointly with the Office of the Commissioner of the Ministry of Foreign Affairs (OCMFA) in the Hong Kong Special Administrative Region (HKSAR) today (November 25). As the finale of this series, the talk, on the topic of “Global Climate Governance and International Co-operation on Climate Change”, was delivered via video-conferencing by Special Representative for Climate Change Negotiations of the Ministry of Foreign Affairs Mr Qi Dahai. Over 130 civil servants in the directorate and senior ranks took part in the talk through online access.


 


     Addressing the talk, the Secretary for the Civil Service, Mrs Ingrid Yeung, said that combating climate change is an important issue across the globe. The country actively engages in the global governance on climate change, implements a series of strategies, measures and actions, and makes important pledges on addressing climate change.


 


     The HKSAR Government actively supports the green development strategy of the country and shoulders the responsibility of promoting decarbonisation. Hong Kong will continue to serve the country’s needs with Hong Kong’s strengths, and contribute to green development of the motherland and the world. There is a need for civil servants to acquire a deeper understanding of the global governance of climate change and decarbonisation so as to act in better concert with the country’s overall strategy in handling the relevant areas of work.


 


     A thematic briefing session on “International Landscape and China’s Foreign Relations in 2021”, delivered by the Commissioner, Mr Liu Guangyuan, in December 2021, opened the series of talks on the country’s foreign affairs. Since then, monthly talks on different topics delivered by relevant officials of the MFA have been held with a total attendance of 3 200 by civil servants in the directorate and senior ranks.


Hong Kong – Resumption of service at Returning Officer’s office of Legislative Council Election Committee constituency by-election

Resumption of service at Returning Officer’s office of Legislative Council Election Committee constituency by-election

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     The Registration and Electoral Office announced that the service of the office of the Returning Officer for the 2022 Legislative Council Election Committee constituency by-election will resume from 9am today (November 3).


 


     The nomination period for the by-election runs from November 1 to 14. Nominations are accepted from 9am to 5pm from Monday to Friday, and from 9am to noon on Saturdays. Nominees who want to submit their nomination forms must personally hand in the completed nomination forms to the Returning Officer during the nomination period.


 


     For enquiries, please call the election hotline on 2891 1001.


Hong Kong – Service suspension of Community Vaccination Centres and outreach teams of Home Vaccination Service

Service suspension of Community Vaccination Centres and outreach teams of Home Vaccination Service

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Attention duty announcers, radio and TV stations:

 

Please broadcast the following as soon as possible and repeat it at suitable intervals:

 

     The Government announced today (August 25) that as the No. 8 Tropical Cyclone Warning Signal is still in force, all Community Vaccination Centres (CVCs) and Hospital COVID-19 Vaccination Stations (HCVSs) under the COVID-19 Vaccination Programme will remain closed and suspend vaccination service. The CVCs/HCVSs will open and resume vaccination service three hours after the cancellation of the No. 8 Tropical Cyclone Warning Signal and they will operate until the normal closing time.

 

     For persons with a booking affected by the closure of the CVCs, their booking will be rescheduled to a later date and they will be informed of their new appointment date and time by SMS notification. If their booking is for the first or second vaccination dose and the CVCs resume vaccination service later today, they may go to the CVC they selected in their original booking during the remaining opening hours for vaccination today.

 

     The Home Vaccination Service scheduled for today has been cancelled. The relevant medical organisations will inform persons affected of the updated vaccination arrangement.

Hong Kong – Pilotage service to be suspended

Pilotage service to be suspended

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Attention duty announcers, radio and TV stations:



Please broadcast the following as soon as possible and repeat it at suitable intervals:



     The Marine Department has received notification from the Hong Kong Pilots Association Limited that due to the tropical cyclone, the pilotage service will be suspended from noon today (August 24). Shipowners, agents, masters and other port users are advised to pay attention.