HONG KONG–(BUSINESS WIRE)–Plastec Technologies, Ltd. (OTCBB: PLTYF) (the “Company”) today reported audited financial results for the fiscal 2019 year ended December 31, 2019. See financial tables at the end of this release in Hong Kong dollars (HKD). All other amounts in this press release are presented in U.S. dollars (USD) with a conversion rate of US$1.0: HK$7.8.
Special Dividends Paid to Shareholders During Fiscal 2019 Year
During its fiscal 2019 year, the Company paid $4.10 per ordinary share to shareholders in the form of two special cash dividends, paid to shareholders of record on June 28, 2019 ($2.50 per ordinary share) and December 12, 2019 ($1.60 per ordinary share).
Current Balance Sheet Highlights
- $22.6 million in working capital at December 31, 2019, compared to $54.9 million at December 31, 2018.
- Book value per share was $1.76 at December 31, 2019, compared to $5.45 at December 31, 2018.
Management Comments
Mr. Kin Sun Sze-To, Chairman of the Company, stated, “The Company has successfully completed all intended obligations for its legacy business, while continuing to maintain our public company listing status in order to evaluate investment opportunities in the future. During this process, we have maintained a low expense structure while continuing to return capital to our shareholders in the form of special cash dividends.”
Forward Looking Statements
This press release contains “forward-looking statements.” These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Actual results may differ from expectations, estimates and projections and, consequently, you should not rely on these forward looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements.
PLASTEC TECHNOLOGIES, LTD . CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Hong Kong dollars in thousands, except number of shares, per share data and unless otherwise stated) | |||||
Year ended | Year ended | Year ended | |||
December 31, | December 31, | December 31, | |||
2017 | 2018 | 2019 | |||
HK$ | HK$ | HK$ | |||
Revenues | – | – | – | ||
Operating (expenses)/income, net | |||||
Selling, general and administrative expenses | (6,614) | (4,554) | (15,083) | ||
Other income | – | 9,954 | – | ||
Total operating (expenses)/income, net | (6,614) | 5,400 | (15,083) | ||
Income/(loss) from operations | (6,614) | 5,400 | (15,083) | ||
Interest income | 2,213 | 3,082 | 3,297 | ||
Income/(loss) before income tax expense | (4,401) | 8,482 | (11,786) | ||
Income tax expense from continuing operations | (524) | (2,435) | (729) | ||
Net income/(loss) from continuing operations attributable to the Company’s shareholders | (4,925) | 6,047 | (12,515) | ||
Discontinued operations: | |||||
Net income from discontinued operations (including gain of HK$47,845 (2018: HK$171,809, 2017: HK$141,341) upon the disposal) | 144,820 | 171,927 | 53,364 | ||
Income tax expenses from discontinued operations | – | – | – | ||
Net income from discontinued operations attributable to the Company’s shareholders | 144,820 | 171,927 | 53,364 | ||
Net income attributable to the Company’s shareholders | 139,895 | 177,974 | 40,849 | ||
Other comprehensive income: | |||||
Continuing operations | – | – | – | ||
Discontinued operations | (813) | 6,674 | – | ||
(813) | 6,674 | – | |||
Comprehensive income attributable to the Company’s shareholders | 139,082 | 184,648 | 40,849 | ||
Net income/(loss) per share: | |||||
Weighted average number of ordinary shares | |||||
Continuing operations | 12,938,128 | 12,938,128 | 12,938,128 | ||
Discontinued operations | 12,938,128 | 12,938,128 | 12,938,128 | ||
Weighted average number of diluted ordinary shares | |||||
Continuing operations | 12,938,128 | 12,938,128 | 12,938,128 | ||
Discontinued operations | 12,938,128 | 12,938,128 | 12,938,128 | ||
Basic income per share attributable from | |||||
Continuing operations | HK$(0.38) | HK$0.47 | HK$(0.97) | ||
Discontinued operations | HK$11.19 | HK$13.29 | HK$4.13 | ||
Diluted income per share attributable from | |||||
Continuing operations | HK$(0.38) | HK$0.47 | HK$(0.97) | ||
Discontinued operations | HK$11.19 | HK$13.29 | HK$4.13 | ||
PLASTEC TECHNOLOGIES, LTD. CONSOLIDATED BALANCE SHEETS (Hong Kong dollars in thousands, except number of shares, per share data and unless otherwise stated) | |||||
December 31, | December 31, | ||||
2018 | 2019 | ||||
HK$ | HK$ | ||||
ASSETS | |||||
Current assets | |||||
Cash and cash equivalents | 272,750 | 185,530 | |||
Deposits, prepayment and other receivables | 1,685 | 1,754 | |||
Consideration receivable | 165,506 | – | |||
Current assets from discontinued operations | 1,724 | – | |||
Total current assets | 441,665 | 187,284 | |||
Property, plant and equipment, net | 786 | 423 | |||
Intangible assets | 438 | 438 | |||
Non-current assets from discontinued operations | 120,550 | – | |||
Total assets | 563,439 | 188,145 | |||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||
Current liabilities | |||||
Other payables and accruals | 776 | 1,341 | |||
Tax payable | 8,678 | 9,407 | |||
Current liabilities from discontinued operations | 3,676 | – | |||
Total current liabilities | 13,130 | 10,748 | |||
Total liabilities | 13,130 | 10,748 | |||
Commitments and contingencies | – | – | |||
Shareholders’ equity | |||||
Ordinary shares (U.S.$0.001 par value; 100,000,000 authorized, 12,938,128 and 12,938,128 shares issued and outstanding as of December 31, 2018 and 2019, respectively) | 101 | 101 | |||
Additional paid-in capital | 26,049 | 26,049 | |||
Accumulated other comprehensive income | (30 | ) | (30 | ) | |
Retained earnings | 524,189 | 151,277 | |||
Total shareholders’ equity | 550,309 | 177,397 | |||
Total liabilities and shareholders’ equity | 563,439 | 188,145 | |||
PLASTEC TECHNOLOGIES, LTD. CONSOLIDATED STATEMENTS OF CASH FLOWS (Hong Kong dollars in thousands, except number of shares, per share data and unless otherwise stated) | ||||||
Year ended | Year ended | Year ended | ||||
December 31, | December 31, | December 31, | ||||
2017 | 2018 | 2019 | ||||
HK$ | HK$ | HK$ | ||||
Operating activities | ||||||
Net income | 139,895 | 177,974 | 40,849 | |||
Less: Net income from discontinued operations | (144,820) | (171,927) | (53,364) | |||
Net income/(loss) from continuing operations | (4,925) | 6,047 | (12,515) | |||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Amortisation | 363 | 363 | 363 | |||
Changes in operating assets and liabilities: | ||||||
Deposits, prepayment and other receivables | (402) | (310) | (70) | |||
Other payables and accruals | (475) | (221) | 565 | |||
Tax payables | 524 | 2,435 | 729 | |||
Net cash provided by/(used in) continuing operations | (4,915) | 8,314 | (10,928) | |||
Net cash provided by/(used in) discontinued operations | (16,774) | 17,168 | 11,986 | |||
Net cash provided by/(used in) operating activities | (21,689) | 25,482 | 1,058 | |||
Investing activities | ||||||
Net cash inflow from disposals of subsidiaries (net of cash disposed of HK$93 for the year 2019, HK$49,666 for the year 2018 and HK$ nil for the year 2017) | 131,686 | 350,655 | 325,413 | |||
Net cash provided by continuing operations | 131,686 | 350,655 | 325,413 | |||
Net cash used in discontinued operations | (48,943) | (101,410) | – | |||
Net cash provided by investing activities | 82,743 | 249,245 | 325,413 | |||
Financing activity | ||||||
Dividends paid | (151,376) | (403,669) | (413,761) | |||
Net cash used in continuing operations | (151,376) | (403,669) | (413,761) | |||
Net cash used in discontinued operations | – | – | – | |||
Net cash used in financing activity | (151,376) | (403,669) | (413,761) | |||
Net decrease in cash and cash equivalents | (90,322) | (128,942) | (87,290) | |||
Effect of exchange rate changes | (813) | 6,674 | – | |||
Cash and cash equivalents, beginning of year | 486,222 | 395,087 | 272,820 | |||
Cash and cash equivalents, end of year | 395,087 | 272,819 | 185,530 | |||
Less: cash and cash equivalents from discontinued operations | (94,516) | (69) | – | |||
Cash and cash equivalents, end of year from continuing operations | 300,571 | 272,750 | 185,530 | |||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
Interest income | 2,213 | 3,082 | 3,297 | |||
Income taxes paid | – | – | – | |||
SUPPLEMENTAL DISCLOSURE OF NON-CASH ACTIVITY: | ||||||
Consideration receivable | 141,341 | 165,506 | – | |||
Contacts
Plastec Technologies, Ltd.
HL Ning, Chief Financial Officer
[email protected]
INVESTOR RELATIONS:
The Equity Group Inc.
Adam Prior, Senior Vice President
(212) 836-9606
[email protected]
