Anchorstone Holdings Limited (Anchorstone) has reported an unaudited net loss attributable to shareholders of HK$3.39 million for the six months ended 30 June 2026, a marked improvement from the HK$8.73 million loss recorded a year earlier. The reduced deficit follows the completion of a HK$121.60 million rights issue in early June, which enabled full repayment of outstanding bank borrowings and shifted the Group’s equity position from a HK$113.69 million deficit at end-2025 to a HK$2.62 million surplus as at 30 June 2026.
Revenue contracted 61% year on year to HK$10.93 million, reflecting slower construction progress and lingering weakness in Hong Kong and Mainland China property markets. Supply-and-installation services accounted for 100% of turnover, with Hong Kong contributing 62% (HK$6.77 million) and the Mainland 38% (HK$4.15 million). No stone-sales revenue was booked during the period (1H25: HK$6.52 million).
Tight cost control and favourable project mix lifted gross profit 153% to HK$6.30 million, expanding gross margin to 57.7% (1H25: 8.9%). Operating loss narrowed to HK$4.20 million (1H25: HK$7.07 million), while finance costs dropped sharply to HK$0.20 million (1H25: HK$1.60 million) after bank debt repayment and reduced director loans. The period also included a HK$3.35 million loss from deconsolidating Pacific Marble and Granite Limited, which entered winding-up proceedings.
Anchorstone’s liquidity improved materially: cash and restricted cash rose to HK$50.0 million (31 December 2025: HK$7.50 million), and net current assets reached HK$43.50 million versus a HK$42.60 million deficit six months earlier. All bank borrowings (HK$31.32 million at year-end 2025) were cleared, leaving the Group debt-free on this front, though director loans stood at HK$39.20 million. Current ratio strengthened to 2.28x (31 December 2025: 0.56x), while the gearing ratio was 193.3% owing to the remaining director loans.
Administrative expenses fell slightly to HK$7.43 million, assisted by lower staff costs and professional fees. The Group recognised an income-tax credit of HK$1.00 million due to prior-year over-provision. Basic and diluted loss per share widened to 0.74 HK cent (1H25: 0.39 HK cent) as the average share base contracted following a share consolidation preceding the rights issue.
No interim dividend was declared. Management reiterated a prudent stance on new construction commitments amid elevated material costs and soft demand, while signalling intent to leverage existing industry relationships and explore diversification into sectors such as the Chinese ginseng value chain to broaden revenue streams.