On August 22, K & P International (00675.HK) announced its interim performance. In the first half of 2024, the group's turnover was approximately 89.3 million Hong Kong dollars, a decrease of 6.2% from the same period last year. The overall gross margin increased by 69.1% to approximately 15.9 million Hong Kong dollars from the same period last year. The loss attributable to owners of the company was approximately 10.8 million Hong Kong dollars, compared to a loss of 24.1 million Hong Kong dollars in the same period last year, with a basic loss per share of 4.05 Hong Kong cents.

In the first half of 2024, consumer spending intentions continued to be weak due to inflation higher than the average level, long-term high credit costs, and uncertain economic prospects. As a result, the group's turnover decreased by 6.2% compared to the same period in 2023. Nevertheless, the group benefited from increased customer sales orders after the main customers cleared excess inventory in 2023, leading to a relatively higher utilization rate of the group's production line and an improvement in gross margin compared to the same period last year. In addition, due to the significant volatility of the RMB exchange rate in the first half of 2024, the group decided to terminate all forward currency contracts, resulting in a one-time realized loss of approximately 9.6 million Hong Kong dollars. Subsequently, the group will temporarily suspend the signing of forward currency contracts to manage the impact of RMB exchange rate fluctuations on future production costs.