Appasia Latest QR Summary

Summary of AppAsia Q2 2024 Financial Report:

1. Financial Position 💰
✅- Assets: Total assets increased from RM 28,353,000 in 2023 to RM 30,988,000 in Q2 2024. This includes growth in trade receivables, digital assets, and property, plant and equipment.
✅- Equity: Total equity rose from RM 24,879,000 in 2023 to RM 28,529,000 in Q2 2024. Components include share capital, warrants reserve, fair value reserve, and retained earnings.
✅- Net assets per ordinary share: Increased from RM 0.0229 to RM 0.0253.

2. Comprehensive Income 💵
✅- Revenue: Grew from RM 4,704,000 in Q2 2023 to RM 7,543,000 in Q2 2024. Cumulative revenue for the period ended 30 Jun 2024 was RM 14,912,000 compared to RM 9,626,000 in the same period of 2023.
- Profit before taxation: Was RM 823,000 in Q2 2024 compared to RM 889,000 in Q2 2023. Cumulative profit before taxation for 2024 was RM 2,268,000 versus RM 1,691,000 in 2023.
- Net profit for the period: RM 593,000 in Q2 2024 and RM 766,000 in Q2 2023. Cumulative net profit for 2024 was RM 1,645,000 compared to RM 1,405,000 in 2023.
- Total comprehensive income for the period: RM 483,000 in Q2 2024 and RM 703,000 in Q2 2023. Cumulative total comprehensive income for 2024 was RM 1,944,000 versus RM 1,587,000 in 2023.

3. Statement of Changes in Equity 🧾
- Details of changes in share capital, treasury shares, warrants reserve, other reserve, share issuance scheme option reserve, fair value reserve, and retained earnings.

4. Statement of Cash Flows 📊
- Net cash used in operating activities was RM -4,489,000 in Q2 2024 compared to net cash generated of RM 3,969,000 in Q2 2023.
- Net cash used in investing activities was RM -1,538,000 in Q2 2024 compared to net cash generated of RM 283 in Q2 2023.
- Net cash generated from financing activities was RM 1,526,000 in Q2 2024 compared to net cash used of RM -2,670,000 in Q2 2023.

5. Other Information
- Segmental Information: Group segregated into Investment Holding & Others, Digital Solutions, E-Commerce Business, and Financial Services. Revenue and segment results provided for each segment.
- Valuation of Property: Valuations of property, plant and equipment and investment properties unchanged from audited statements.
- Material Events: No significant material events subsequent to the current financial quarter.
- Related Party Transactions: Rental of premises with companies where a director has substantial financial interest.
- Performance Review: Higher revenue in Q2 2024 compared to Q2 2023 mainly due to increase in E-Commerce division. Slightly lower PBIT and PBT due to weaker performance from E-Media business in Digital Solutions segment.
- Prospects: Management confident in improving performance especially in Digital Solutions segment and exploring export opportunities.
- Taxation: Income tax expense details provided.
- Earnings per Share: Basic and diluted earnings per share computed for current quarter and cumulative period.
- Derivative Financial Instruments: Group does not hold any derivative financial instruments and there are no gains/losses from fair value changes of financial liabilities.

⚠️ Conclusion on Investment
Determining if it is worth investing in AppAsia based solely on this report is challenging. The company has shown some positive trends such as increased revenue and total assets. However, there are also concerns such as a decrease in certain profit margins and net cash used in operating and investing activities. Additionally, the report does not provide a comprehensive analysis of the company's competitive position, industry outlook, and potential risks. Therefore, further research and analysis would be needed to make a more informed decision on whether to invest in AppAsia.