Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 58,070 thousand, a decrease of 31% compared to HKD 84,498 thousand in 2023[2] - Gross profit for the same period was HKD 27,498 thousand, down 20% from HKD 34,522 thousand in 2023[2] - Loss before tax for the period was HKD 9,902 thousand, compared to a loss of HKD 7,976 thousand in 2023, representing a 24% increase in losses[2] - The loss attributable to owners of the company was HKD 9,827 thousand, a slight increase of 4% from HKD 9,493 thousand in 2023[2] - Basic and diluted loss per share was HKD 0.500, compared to HKD 0.483 in 2023, reflecting a 4% increase in loss per share[2] - The company reported a significant increase in interest income, which rose to HKD 488,000 from HKD 453,000, marking an increase of 7.7%[36] - The group recorded a loss of approximately HKD 9.9 million after tax for the six months, slightly higher than the loss of HKD 9.6 million in the previous year, mainly due to poor performance in building materials trading and renovation construction[80] Dividends - The company does not recommend the payment of any interim dividend for the six months ended September 30, 2024[2] - The company did not declare an interim dividend for the six months ended September 30, 2024, compared to no dividend declared in 2023[65] Assets and Liabilities - Non-current assets as of September 30, 2024, totaled HKD 446,145 thousand, down from HKD 462,331 thousand as of March 31, 2024[7] - Current assets included cash and bank balances of HKD 31,508 thousand, a decrease from HKD 42,642 thousand as of March 31, 2024[7] - Total liabilities decreased from HKD 95,636 thousand as of March 31, 2024, to HKD 63,930 thousand as of September 30, 2024[7] - The company's net assets attributable to owners were HKD 372,331 thousand, down from HKD 382,158 thousand as of March 31, 2024[9] - The total reportable segment assets decreased to HKD 419,868,000 from HKD 460,872,000, a reduction of 8.9%[30] - The reportable segment liabilities also decreased to HKD (135,334,000) from HKD (168,309,000), showing a decline of 19.6%[30] - As of September 30, 2024, the group's total borrowings were approximately HKD 100.9 million, a slight decrease from HKD 128.6 million as of March 31, 2024[81] - The group's debt-to-equity ratio was approximately 27.4% as of September 30, 2024, down from 33.9% as of March 31, 2024[83] Segment Performance - The group has two reportable segments as of September 30, 2024: Hotel Operations and Building Materials Trading and Renovation Services[26] - External revenue for the hotel operations segment reached HKD 43,772,000, up from HKD 37,309,000 in the same period last year, representing a growth of 17.5%[28] - The segment revenue from building materials trading and renovation construction was approximately HKD 14.3 million, a decline of 70% from HKD 47.2 million in the previous year, attributed to poor performance in this sector[73] - Hotel operations generated segment revenue of approximately HKD 43.8 million, an increase of 17% from HKD 37.3 million year-on-year, due to improved room rates and occupancy[73] - The subsidiary engaged in building materials supply and installation reported a segment loss of HKD 9,646,000 due to various factors, including a slowdown in property prices and reduced construction activity[68] Operational Metrics - The hotel room sales generated HKD 42,234,000, an increase from HKD 35,494,000, representing a growth of 19.0%[36] - The average hotel occupancy rate in Hong Kong increased from 78.0% in 2023 to 81.0% in 2024, indicating a recovery in the tourism sector[67] - The hotel recorded a high occupancy rate of 97.46% during the reporting period, surpassing the average market rate[67] - The total number of visitors to Hong Kong in the first half of 2024 was approximately 21 million, a year-on-year increase of 64%, with 16.1 million visitors from mainland China, up about 60% from 2023[67] Cost Management - The company plans to implement strict cost control measures and reduce manpower in response to the challenging market conditions in the construction sector[68] - Administrative and other operating expenses were approximately HKD 17.4 million, compared to HKD 16.3 million in the previous year, primarily driven by hotel operating expenses[77] - Employee costs rose to HKD 23,856,000 from HKD 21,759,000, marking an increase of about 9.6%[38] - The cost of goods sold and services provided decreased significantly to HKD 30,572,000 from HKD 49,976,000, a reduction of approximately 38.9%[38] Employee and Governance - As of September 30, 2024, the group had a total of 127 employees, down from 157 employees as of March 31, 2024[90] - The audit committee has reviewed the unaudited interim financial statements for the six months ended September 30, 2024[103] - The company has adhered to all applicable corporate governance codes during the review period, with a noted deviation regarding the roles of the chairman and CEO being held by the same individual[100] Miscellaneous - The company has no major investment or capital asset plans as of the announcement date[97] - No significant investments, acquisitions, or disposals were made during the period[87] - There are no significant capital commitments for the acquisition of properties, plants, and equipment as of September 30, 2024[93] - The company provided financial guarantees totaling approximately HKD 145.7 million for bank financing to its subsidiaries, with approximately HKD 77.3 million utilized as of September 30, 2024[92] - The group operates in Hong Kong, with all revenues denominated in HKD, and faces some foreign currency exchange risks but does not anticipate significant operational difficulties from currency fluctuations[94] - As of September 30, 2024, all bank borrowings and cash balances are denominated in HKD, and the group has not implemented any foreign currency or interest rate hedging policies[96] - The interim report for the period ending September 30, 2024, will be sent to shareholders and published on the company's website[104]

Corporate Governance - The board held 10 meetings during the fiscal year ending March 31, 2024, with an attendance rate of 80% for executive directors[8] - Independent non-executive directors attended all 10 meetings, demonstrating full engagement in governance[8] - The company emphasizes a strong corporate culture aligned with its goals, which is crucial for sustainable growth and economic results[11] - The audit committee held 6 meetings with full attendance, ensuring thorough oversight of financial reporting and internal controls[36] - The remuneration committee conducted 2 meetings with 100% attendance, focusing on transparent compensation policies for directors and senior management[22] - The nomination committee also held 2 meetings with full attendance, actively seeking qualified candidates for board positions[28] - The company provides training for directors and management on environmental, social, and governance guidelines to enhance compliance and governance practices[12] - The board comprises members with diverse backgrounds, including land management and hotel management, contributing to a well-rounded governance structure[9] - The company has implemented a robust governance framework to address business challenges and adapt to changing regulatory environments[11] - The company reviews its insurance coverage for directors and officers annually to ensure adequate protection against liabilities arising from corporate actions[14] - The board of directors is responsible for overseeing the overall strategy development and financial performance of the group[125] - The company is actively seeking a suitable female director to achieve gender diversity on the board within the stipulated timeframe[129] - The board consists of five members, including two executive directors and three independent non-executive directors[144] - The company has established a whistleblowing policy to assist employees and business partners in reporting any suspected misconduct[123] - The audit committee is responsible for reviewing the group's financial and accounting policies and practices[142] - The company believes it has complied with all applicable provisions of the corporate governance code during the review year, with some deviations noted[143] - The remuneration committee held two meetings during the year to discuss and determine individual director remuneration based on their responsibilities and market practices[167] - The audit committee conducted six meetings, with external auditors attending two, ensuring compliance with financial reporting regulations[164] - The company aims to attract and retain directors and senior management by maintaining competitive remuneration levels[158] Financial Performance - For the fiscal year ending March 31, 2024, the group's revenue was approximately HKD 176.9 million, a significant increase of 40% compared to HKD 126.4 million in the previous year[61] - The hotel operations segment generated revenue of approximately HKD 74.4 million, up 67% from HKD 44.7 million in the previous year, driven by increased room rates and occupancy[61] - The gross profit margin for the group improved to 39.0% from 35.1% in the previous year, with hotel operations maintaining a gross margin of 54.2%[62] - The group reported a gross profit of approximately HKD 69 million for the year ending March 31, 2024, compared to HKD 44.3 million in 2023, reflecting an increase due to higher occupancy rates and average room prices[83] - The group incurred a net loss of approximately HKD 20.4 million after tax for the year, a decrease of 14.6% from the previous year's loss of HKD 23.9 million, primarily due to increased revenue[112] - The group’s building materials trading and renovation construction operations reported segment revenue of approximately HKD 102.5 million, an increase from HKD 81.7 million in the previous year[61] - Total revenue from the building materials trading and renovation construction business was approximately HKD 102.5 million for the year[108] - The company reported a total liability of HKD 118,035,000 for the year 2024, compared to HKD 113,406,000 in 2023, reflecting an increase of approximately 4.6%[181] - The company’s current liabilities increased to HKD 13,908,000 in 2024 from HKD 13,719,000 in 2023, reflecting a rise of approximately 1.4%[200] Market Conditions - The average hotel occupancy rate rose to 82.5% in 2023, compared to 66% in 2022, although total visitor numbers remain below pre-pandemic levels[70] - The government announced an expansion of the "Individual Visit" scheme to eight additional cities in mainland China, potentially increasing the customer base by over 33 million people[71] - The construction industry faces challenges due to fierce competition and declining demand for luxury building materials, impacting profit margins[52] - The management remains cautious regarding the development of the building materials and related engineering sectors due to a historical low in residential land supply[76] - The company anticipates continued benefits from the tourism sector due to relaxed visa requirements and government investments in the industry[175] Asset Management - As of March 31, 2024, the group's cash and bank balances were approximately HKD 42.6 million, down from HKD 50.2 million the previous year[87] - The group's total borrowings as of March 31, 2024, amounted to approximately HKD 128.6 million, a decrease from HKD 143.4 million in 2023[112] - The asset-liability ratio was approximately 33.9% as of March 31, 2024, compared to 35.9% the previous year[113] - The net asset liability ratio was approximately 22.7% as of March 31, 2024, down from 23.3% in 2023[113] - Current assets increased to HKD 45,035,000 in 2024 from HKD 38,406,000 in 2023, reflecting a growth of 17.5%[178] - Non-current assets decreased slightly to HKD 73,000,000 in 2024 from HKD 75,000,000 in 2023, a decline of 2.7%[178] - The company’s non-current assets were reported at HKD 7,019,000 as of March 31, 2024, down from HKD 7,321,000 in 2023, indicating a decrease of about 4.1%[200] Operational Insights - The group is actively seeking potential investment opportunities to diversify its revenue sources and enhance shareholder returns[77] - The group is prepared to adapt its business model and enter new markets to meet changing customer demands[56] - The average occupancy rate for the group's hotel, located in Tsing Yi, Hong Kong, was maintained at around 98% during the review period[80] - The company has no significant investment or capital asset plans as of the report date[120] - The company has not implemented any foreign currency or interest rate hedging policies and will closely monitor exchange rate fluctuations to manage currency risk[119] - The company provided a financial guarantee of approximately HKD 145,700,000 for bank financing to its subsidiaries as of March 31, 2024, compared to HKD 224,500,000 in 2023[118] - As of March 31, 2024, the subsidiaries utilized approximately HKD 78,094,000 of the financing, down from HKD 113,406,000 in 2023[118] - The company has a bank loan with a face value of HKD 34,960,000 due within one year, which is part of its current liabilities[180] - The company reported related party transactions amounting to HKD 383,000 in building materials trade for 2024, with no previous year comparison available[191] - The company’s total contract liabilities from building materials trade were HKD 3,658,000 in 2024, slightly down from HKD 3,683,000 in 2023, a decrease of about 0.7%[182] - The revenue from renovation construction services increased to HKD 2,476,000 in 2024, up from HKD 1,993,000 in 2023, representing a growth of approximately 24.2%[182]

Financial Performance - Revenue for the year ended March 31, 2024, increased by 40% to HKD 176,944,000 compared to HKD 126,362,000 in 2023[3] - Gross profit rose by 56% to HKD 68,995,000 from HKD 44,318,000 year-on-year[3] - Loss before tax decreased by 37% to HKD 21,354,000 from HKD 33,904,000 in the previous year[4] - The net loss attributable to owners of the company improved by 15% to HKD 20,158,000 compared to HKD 23,765,000 in 2023[4] - Basic and diluted loss per share was HKD 1.03, down from HKD 1.21 in the previous year, reflecting a 15% decrease[4] - The group reported a net loss of HKD 20,398,000 for the year ending March 31, 2024, alongside current liabilities of HKD 2,740,000[37] - The group reported a pre-tax loss of HKD 21,354 thousand in 2024, an improvement from a loss of HKD 33,904 thousand in 2023[44] - The group reported a loss of approximately HKD 20.4 million after tax, a reduction of 14.6% from HKD 23.9 million in the previous year, mainly due to increased revenue[106] Assets and Liabilities - Total assets decreased to HKD 459,591,000 from HKD 485,288,000 year-on-year[6] - Non-current liabilities decreased to HKD 80,778,000 from HKD 86,077,000[7] - The company's equity attributable to owners decreased to HKD 382,158,000 from HKD 402,316,000[7] - Cash and bank balances decreased to HKD 42,642,000 from HKD 50,212,000[6] - The group's total assets decreased to HKD 555,227 thousand in 2024 from HKD 602,356 thousand in 2023, a decline of 7.8%[44] - The group's net asset value as of March 31, 2024, was approximately HKD 378.8 million, a decrease from HKD 399.2 million in the previous year, primarily due to depreciation and impairment losses on investment properties[108] - The equity attributable to owners of the company as of March 31, 2024, was approximately HKD 382.2 million, down from HKD 402.3 million in the previous year, reflecting the losses recorded during the year[109] Revenue Segments - The group's external revenue for the hotel operations segment increased to HKD 74,443 thousand in 2024 from HKD 44,702 thousand in 2023, representing a growth of 66.7%[42] - The building materials trading and renovation services segment generated external revenue of HKD 102,501 thousand in 2024, up from HKD 81,660 thousand in 2023, reflecting a growth of 25.4%[42] - Hotel room sales generated HKD 71,540,000 in 2024, up from HKD 39,607,000 in 2023, reflecting an increase of 80.5%[52] - The construction and renovation services segment reported revenue of HKD 102,501,000, an increase of 25.5% from HKD 81,660,000 in the previous year[52] - The company recorded revenue of approximately HKD 102.5 million from its building materials trading and renovation construction business during the review year[96] Expenses and Costs - The cost of services provided was HKD 107,949,000 in 2024, compared to HKD 82,044,000 in 2023, representing a 31.5% increase[58] - The administrative and other operating expenses were approximately HKD 36 million, an increase from HKD 34.6 million in the previous year, primarily due to higher hotel operating expenses[104] - Financing costs have risen by HKD 111,000, contributing to an overall increase in net loss of HKD 3,723,000 for the year ending March 31, 2024[34] - The company recognized impairment losses of HKD 350,000 for receivables in 2024, compared to no losses in 2023, indicating potential credit risk[75] Accounting Standards and Amendments - The amendments to Hong Kong Accounting Standard No. 12 clarify that the initial recognition exemption for deferred tax assets and liabilities does not apply to transactions that give rise to equal taxable and deductible temporary differences[17] - The group expects that the application of the amendments will not have a significant impact on its consolidated financial statements for the current year[18] - The amendments to Hong Kong Financial Reporting Standards and Accounting Standards will be applied on the effective date without early adoption[19] - The amendments to Hong Kong Accounting Standard No. 1 clarify that liabilities are classified as current or non-current based on rights existing at the end of the reporting period[21] - The amendments to Hong Kong Accounting Standard No. 16 introduce subsequent measurement requirements for lease liabilities arising from sale and leaseback transactions, effective from January 1, 2024[23] - The amendments to Hong Kong Financial Reporting Standard No. 10 and Hong Kong Accounting Standard No. 28 address inconsistencies in the recognition of gains or losses on the sale or contribution of assets between an investor and its associates or joint ventures[24] - The amendments to Hong Kong Accounting Standard No. 7 require additional disclosures regarding supplier financing arrangements to assess their impact on liabilities and cash flows[25] - The amendments to Hong Kong Accounting Standard No. 21 specify when a currency is convertible and require disclosures to evaluate the impact of currency convertibility on financial performance and position[26] - The company anticipates that the application of the aforementioned amendments will not have a significant impact on its consolidated financial statements[27] Market Conditions and Future Outlook - The group anticipates ongoing economic uncertainty and a challenging construction market environment[37] - The company faces intense competition in the construction industry, which has weakened project profit margins due to sluggish economic growth and decreased demand for luxury materials[93] - The company’s hotel operations are significantly influenced by inbound tourists, particularly from mainland China, whose travel habits have shifted from overnight stays to day trips[89] - The potential supply of private housing land in Hong Kong for the 2023-2024 period is estimated to provide approximately 20,550 units, driven by government land sales and various development projects[92] - The International Air Transport Association (IATA) reported a 36.9% increase in total passenger volume in 2023 compared to 2022, indicating a recovery in the travel sector[90] - The government announced the expansion of the "Individual Visit" program to eight additional cities in mainland China, increasing the potential consumer base by over 33 million people[91] Employee and Operational Information - The group employed 157 staff as of March 31, 2024, an increase from 134 in 2023[113] - The company has a warranty period of one to two years for its projects, with retention money typically released after project completion[75] Cash Flow and Financing - The group has prepared cash flow forecasts for the next 18 months, indicating sufficient cash resources to meet future operational and financing needs[38] - As of March 31, 2024, the total bank financing obtained by the group amounted to HKD 225 million, with HKD 107 million remaining unused[41] - Total bank loans increased to HKD 118,035,000 in 2024 from HKD 113,406,000 in 2023, with a notable portion secured against commercial and hotel properties[81] - The company has a significant portion of its bank loans at floating rates, with actual rates of 5.48% and 6.24% for different loans[83] Legal and Compliance Matters - The company made a provision of HKD 3.8 million for a legal case, which included legal expenses, and reached a settlement of HKD 3.5 million[88] - The company has made provisions for a bank loan with a face value of HKD 35 million, classified as current liabilities as of March 31, 2024[88] Dividends and Shareholder Information - The company did not declare or pay any dividends for the year, consistent with the previous year[60] - The annual report for the year ending March 31, 2024, will be sent to shareholders and published on the company's website at an appropriate time[129]

Financial Performance - Revenue for the year ended March 31, 2024, increased by 40% to HKD 176,944,000 compared to HKD 126,362,000 in 2023[3] - Gross profit rose by 56% to HKD 68,995,000 from HKD 44,318,000 year-on-year[3] - Loss before tax decreased by 37% to HKD 21,354,000 from HKD 33,904,000 in the previous year[4] - Loss attributable to owners of the company reduced by 15% to HKD 20,158,000 compared to HKD 23,765,000 in 2023[4] - Basic and diluted loss per share improved to HKD (1.03) from HKD (1.21) year-on-year[4] - The group reported a loss of HKD 20,398,000 for the year ending March 31, 2024, with a net current liability of HKD 2,740,000[37] - The group reported a pre-tax loss of HKD 11,026 thousand for the hotel operations segment in 2024, an improvement from a loss of HKD 14,751 thousand in 2023[44] - The group reported a loss of approximately HKD 20.4 million after tax, a reduction of 14.6% from HKD 23.9 million in the previous year, mainly due to increased revenue[106] Assets and Liabilities - Total assets decreased to HKD 459,591,000 from HKD 485,288,000, reflecting a decline in current liabilities[6] - Non-current liabilities decreased to HKD 80,778,000 from HKD 86,077,000, indicating improved financial stability[7] - The group reported a decrease in total liabilities to HKD 176,414 thousand in 2024 from HKD 203,145 thousand in 2023, a reduction of 13.2%[44] - The total amount of unfulfilled performance obligations as of March 31, 2024, was approximately HKD 64,900,000, down from HKD 92,000,000 in 2023[55] - The group’s total assets decreased to HKD 555,227 thousand in 2024 from HKD 602,356 thousand in 2023, reflecting a decline of 7.8%[44] - The group’s net asset value as of March 31, 2024, was approximately HKD 378.8 million, a decrease from HKD 399.2 million in the previous year, primarily due to depreciation and impairment losses on investment properties[107] Cash Flow and Financing - The company reported cash and bank balances of HKD 42,642,000, down from HKD 50,212,000 in the previous year[6] - The total bank financing obtained by the group as of March 31, 2024, amounts to HKD 225 million, with HKD 107 million yet to be utilized[41] - The total borrowings amounted to approximately HKD 128.6 million, down from HKD 143.4 million in the previous year[107] - The total bank loans increased to HKD 118,035,000 in 2024 from HKD 113,406,000 in 2023, with a notable portion being secured by commercial and hotel properties[81] - The group has a provision for long service payments totaling HKD 4,364,000 in 2024, up from HKD 640,000 in 2023, reflecting increased employee retention costs[82] Revenue Segments - External revenue from hotel operations increased to HKD 74,443 thousand in 2024, up from HKD 44,702 thousand in 2023, representing a growth of 66.7%[42] - The construction and renovation services segment reported revenue of HKD 102,501,000, an increase of 25.5% from HKD 81,660,000 in the previous year[52] - Hotel room sales generated HKD 71,540,000 in 2024, up from HKD 39,607,000 in 2023, reflecting an increase of 80.5%[52] - The group aims to continue increasing hotel revenue from travel agencies, providing a relatively stable income source[41] - The company recorded revenue of approximately HKD 102.5 million from its building materials trading and renovation construction business during the review year[96] Operational Challenges and Market Conditions - The group anticipates that the economic environment will remain weak and uncertain, impacting the construction industry and increasing competition[37] - The company faces intense competition in the construction industry, which has weakened project profit margins amid sluggish economic growth[93] - The company’s customer base has shifted from local long-term residents to overseas and mainland Chinese tourists, reflecting changing travel patterns[94] - The group has acknowledged significant uncertainties regarding its ability to continue as a going concern, which may affect its capacity to realize assets and settle liabilities[39] Accounting and Reporting Standards - The company has adopted revised Hong Kong Financial Reporting Standards, which did not significantly impact its financial position or performance[11] - The amendments to Hong Kong Accounting Standard No. 12 clarify that the initial recognition exemption for deferred tax assets and liabilities does not apply to transactions that give rise to equal taxable and deductible temporary differences[17] - The group expects that the application of the amendments will not have a significant impact on its consolidated financial statements for the current year[18] - The amendments to Hong Kong Accounting Standard No. 1 classify liabilities as current or non-current based on rights existing at the end of the reporting period, regardless of the entity's expected timing of settlement[21] Employee and Operational Expenses - The group has recognized an increase in administrative expenses amounting to HKD 3,612,000 and an increase in financing costs of HKD 111,000, leading to a total increase in year-end losses of HKD 3,723,000[34] - The company incurred employee costs of HKD 52,050,000, which included a one-time subsidy of HKD 2,233,000 from the Hong Kong government[58] - The administrative and other operating expenses were approximately HKD 36 million, an increase from HKD 34.6 million in the previous year, primarily due to higher hotel operating expenses[104] Future Outlook - The company anticipates strong demand for building materials and renovation projects due to the completion of new residential units, estimated to provide around 20,550 private housing units in the upcoming years[92] - The government announced the expansion of the "Individual Visit" scheme to 8 additional cities in mainland China, increasing potential customer reach to over 33 million people[91] - The group has prepared a cash flow forecast for the next 18 months, indicating sufficient cash resources to meet future operational and financing needs[38]

Financial Performance - Revenue for the six months ended September 30, 2023, was HKD 84,498,000, representing a 121.5% increase compared to HKD 38,298,000 for the same period in 2022[4] - Gross profit for the same period was HKD 34,522,000, up 88.5% from HKD 18,335,000 in the previous year[4] - The company reported a loss before tax of HKD 7,976,000, an improvement from a loss of HKD 19,717,000 in the prior year[4] - Total comprehensive loss for the period was HKD 9,608,000, compared to HKD 19,784,000 in the same period last year[4] - Basic and diluted loss per share was HKD 0.483, improved from HKD 1.002 in the previous year[4] - The company reported a loss attributable to shareholders of HKD 9,493,000 for the six months ended September 30, 2023, an improvement from a loss of HKD 19,710,000 in the same period of 2022[49] - The loss for the six months ended September 30, 2023, was approximately HKD 9,600,000, a 51% reduction from HKD 19,800,000 in 2022, mainly due to an increase in gross profit[85] Assets and Liabilities - Non-current assets as of September 30, 2023, totaled HKD 481,238,000, a decrease from HKD 495,294,000 as of March 31, 2023[5] - Current assets amounted to HKD 103,642,000, down from HKD 107,062,000 at the end of the previous fiscal year[5] - Total liabilities as of September 30, 2023, were HKD 110,414,000, compared to HKD 117,068,000 as of March 31, 2023[6] - The company's net asset value was HKD 389,603,000, a decrease from HKD 399,211,000 at the end of the previous fiscal year[6] - Total assets reported as of September 30, 2023, were HKD 584,880,000, down from HKD 602,356,000 as of March 31, 2023[33] - The total liabilities as of September 30, 2023, were HKD 195,277,000, a decrease from HKD 203,145,000 as of March 31, 2023[35] - The company's non-current assets in Hong Kong were valued at HKD 481,238,000 as of September 30, 2023, compared to HKD 495,294,000 as of March 31, 2023[36] - As of September 30, 2023, total borrowings were approximately HKD 142,600,000, slightly down from HKD 143,400,000 as of March 31, 2023[86] Cash Flow and Financing - The net cash generated from operating activities was HKD 8,779,000, compared to a net cash used of HKD 12,261,000 in the prior year, indicating a turnaround in cash flow[10] - Cash and cash equivalents at the end of the period increased to HKD 56,482,000 from HKD 18,932,000 in the previous year, marking a growth of approximately 198.5%[11] - The company extracted trade finance loans amounting to HKD 8,861,000 during the financing activities, indicating a strategy to enhance liquidity[11] - The company has unutilized bank financing of HKD 102,950,000, which supports its ongoing operations and future growth plans[15] - The company incurred financing costs of HKD 3,797,000 for the six months ended September 30, 2023, compared to HKD 714,000 in the same period of 2022, indicating a substantial increase in financing expenses[42] Revenue Segmentation - The external revenue from hotel operations was HKD 37,309,000, up from HKD 20,889,000, marking an increase of 78.5% year-over-year[39] - The construction and renovation operations generated external revenue of HKD 47,189,000, compared to HKD 17,409,000, reflecting a growth of 171.5%[39] - Major clients contributed significantly to revenue, with Client A generating HKD 19,081,000, Client B HKD 17,315,000, and Client C HKD 16,506,000 for the six months ended September 30, 2023[37] Operational Efficiency and Future Plans - The company plans to continue focusing on operational efficiency and exploring new market opportunities to drive future growth[4] - The company plans to expand its newly developed construction services and furniture trading business to increase revenue and cash flow sources[15] - The company plans to continue strict cost control and prudent business development to navigate economic challenges[75] Accounting and Governance - The company adopted new accounting standards effective from April 1, 2023, including revisions to HKAS 1, HKAS 8, and HKAS 12, which do not impact the interim condensed consolidated financial statements[19][20][22][23]. - The new guidelines from the Hong Kong Institute of Certified Public Accountants regarding the cancellation of the MPF-long service payment offset mechanism will take effect on May 1, 2025, affecting the accounting treatment of long service payments and severance payments[25][26][29]. - The company has complied with all applicable corporate governance code provisions during the review period, except for the separation of the roles of chairman and CEO[110] - The audit committee, composed entirely of independent non-executive directors, reviewed the unaudited interim financial statements for the six months ending September 30, 2023[112] Market Conditions - The average daily visitor count to Hong Kong has returned to 47% of pre-pandemic levels, with over 9.5 million visitors recorded from February to May 2023[71] - The hotel occupancy rate increased to 78% in the first four months of 2023, following the full resumption of travel in February[71] - The construction output value completed by major contractors rose by 7.5% year-on-year in Q2 2023, indicating a positive trend for the building materials and renovation sectors[73]

Financial Performance - The group's revenue for the year ended March 31, 2023, was approximately HKD 126,400,000, a significant increase of 359% compared to HKD 27,500,000 in the previous year[23]. - Hotel operations generated segment revenue of approximately HKD 44,700,000, up 62.5% from HKD 27,500,000 in the previous year, due to increased room rates and occupancy[23]. - The newly reported segment, building materials trading and renovation construction, generated segment revenue of approximately HKD 81,700,000 from April 8, 2022, to March 31, 2023[23]. - The group's gross profit for the year was approximately HKD 44,300,000, compared to HKD 8,700,000 in the previous year, resulting in a gross profit margin of 35.1%[24]. - The gross profit margin for hotel operations was 54.4%, while the gross profit margin for building materials trading and renovation construction was 24.5%[24]. - The group reported a loss of approximately HKD 23,900,000 for the year, a 46% reduction from HKD 44,600,000 in the previous year, primarily due to increased gross profit[28]. - The financial performance for the year ending March 31, 2023, is detailed in the consolidated income statement and other comprehensive income statement[108]. - Revenue for the year ended March 31, 2023, was HKD 126,362,000, a significant increase from HKD 27,515,000 in the previous year, representing a growth of 358%[166]. - Gross profit for the same period was HKD 44,318,000, compared to HKD 8,659,000, indicating a gross margin improvement[166]. - The company reported a total comprehensive loss of HKD 23,929,000 for the year, a reduction from a loss of HKD 44,603,000 in the prior year, showing a 46% improvement[166]. Assets and Liabilities - The total borrowings as of March 31, 2023, amounted to approximately HKD 143,400,000, an increase from HKD 81,700,000 the previous year, mainly used for business operations[29]. - The group’s asset-liability ratio increased to approximately 35.9% as of March 31, 2023, compared to 19.3% the previous year[29]. - The company's equity decreased to HKD 399,211,000 from HKD 423,140,000, a decline of 5.6%[170]. - Current liabilities increased to HKD 117,068,000 from HKD 98,191,000, resulting in a net current liability position of HKD 10,006,000[168]. - Non-current liabilities rose to HKD 86,077,000 from HKD 14,878,000, primarily due to new bank loans[170]. - The group reported an annual loss of HKD 23,929,000 for the year ended March 31, 2023, with a net current liability of HKD 10,006,000[151]. Cash Flow and Financing - The company's cash and bank balance as of March 31, 2023, was approximately HKD 50,200,000, compared to HKD 21,400,000 in the previous year[29]. - The company raised HKD 133,000,000 through bank loans during the year, significantly higher than HKD 30,000,000 raised in the previous year, marking an increase of 343.3%[176]. - The company experienced a net cash outflow from operating activities of HKD (22,152,000) for the year ended March 31, 2023, compared to HKD (16,460,000) in the previous year, indicating a worsening of cash flow by about 34.1%[174]. - The company has secured new bank financing of HKD 70,000,000 post-reporting period, with unused bank financing totaling HKD 111,500,000 as of the date of the financial statements[198]. Business Operations and Market Conditions - The hotel occupancy rate decreased by 11.8% to 38.3% in 2022 due to a 26% drop in tourist arrivals to 5.7 million[9]. - In the first five months of 2023, the number of visitors to Hong Kong reached 10 million, recovering to over 60% of pre-pandemic levels[10]. - The company aims to expand its business portfolio and diversify revenue sources through potential investments, including acquiring a major stake in Yonglun Haoxiang[14]. - The company remains optimistic about the long-term prospects of the construction materials trade and design and renovation services in Hong Kong[14]. - The global travel industry is expected to recover, with hotel occupancy rates gradually increasing as COVID-19 restrictions are lifted[14]. - The construction materials and renovation projects are expected to see strong demand due to new residential units being completed[13]. - The company continues to focus on expanding its operations and enhancing its service offerings in the hospitality sector, particularly through the management of the 永倫800酒店[178]. - The company acknowledges that the ongoing COVID-19 pandemic has negatively impacted its financial performance, particularly due to reliance on mainland Chinese travelers[195]. Corporate Governance - The board of directors consists of five members, including two executive directors and three independent non-executive directors[50]. - The company has adopted a whistleblowing policy to assist employees and business associates in reporting any suspected misconduct[45]. - The company has established an anti-bribery and corruption policy to help employees identify and avoid unethical business practices[47]. - The board is committed to maintaining high standards of corporate governance and believes that its structure does not affect the effective operation of the group[43]. - The board held 12 meetings during the fiscal year ending March 31, 2023, with all directors receiving at least 14 days' notice for regular meetings[53]. - The board members have diverse backgrounds, including land management, hotel management, and business expertise, contributing to the company's governance[56]. - The company emphasizes the importance of board diversity, considering factors such as gender, age, culture, and professional experience in its board composition[89]. - The company is actively seeking to appoint at least one suitable female director to enhance gender diversity on the board[58]. - The company has established a governance framework that emphasizes integrity, accountability, and transparency to enhance productivity and brand reputation[60]. Risk Management - The board is responsible for evaluating and determining the acceptable level of risk associated with achieving strategic objectives, including ESG risks[98]. - An independent professional was hired to assess the overall risk management system and internal control procedures, with no significant deficiencies reported[101]. - The company has established policies and procedures to identify, assess, manage, monitor, and report risks, including strategic, credit, operational, market, liquidity, legal, regulatory, and ESG risks[99]. - The internal audit function monitors governance and provides assurance on the adequacy and effectiveness of risk management and internal control systems[101]. - The company has prepared cash flow forecasts for an 18-month period post-reporting to assess the appropriateness of the going concern basis for its financial statements[197]. - The company continues to operate under the assumption of going concern despite uncertainties in the economic environment[195]. Audit and Compliance - The audit committee, consisting of three independent non-executive directors, has reviewed the audited consolidated financial statements for the year ending March 31, 2023[141]. - The company paid HKD 1,320,000 for statutory audit fees for the financial statements for the year ended March 31, 2023[90]. - The independent auditor has confirmed that the consolidated financial statements reflect the group's financial position accurately as of March 31, 2023[149]. - The company has maintained the required public float as per the listing rules as of the report date[143]. - The financial statements were prepared in accordance with Hong Kong Financial Reporting Standards and the Hong Kong Companies Ordinance[160].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈內容概不負責，對 其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何部分 內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於百慕達註冊成立之有限公司） 22 （股份代號： ） 截至二零二三年三月三十一日止年度 年度業績公佈 財務摘要 截至三月三十一日止年度 增加／ 二零二三年 二零二二年 （減少） % 千港元 千港元 126,362 27,515 359% 收益 44,318 8,659 412% 毛利 (33,904) (42,421) –20% 除所得稅開支前虧損 (23,765) (44,406) –46% ...

Financial Performance - Revenue for the six months ended September 30, 2022, was HKD 38,298,000, a significant increase from HKD 15,586,000 in the same period last year, representing a growth of 145.1%[6] - Gross profit for the same period was HKD 18,335,000, compared to HKD 6,630,000 in the previous year, indicating a growth of 176.5%[7] - The company reported a loss before tax of HKD 19,717,000, which is an increase from a loss of HKD 15,600,000 in the prior year, reflecting a deterioration of 26.9%[8] - Total comprehensive loss for the period was HKD 19,784,000, compared to HKD 16,399,000 in the previous year, marking an increase of 20.5%[9] - Basic and diluted loss per share was HKD 1.002, compared to HKD 0.830 in the same period last year, representing a decline of 20.7%[11] - The group reported a loss attributable to owners of the company of HKD 19,710,000 for the six months ended September 30, 2022, compared to a loss of HKD 16,325,000 in the same period of 2021[91] - The net loss after tax for the period was approximately HKD 19,780,000, an increase of 21% from HKD 16,400,000 in the previous year, primarily due to impairment losses on office properties[123] Assets and Liabilities - Non-current assets as of September 30, 2022, totaled HKD 508,202,000, slightly down from HKD 512,378,000 as of March 31, 2022[14] - Current assets increased significantly to HKD 48,064,000 from HKD 23,831,000, showing a growth of 101.0%[15] - Current liabilities rose to HKD 133,193,000 from HKD 98,191,000, indicating an increase of 35.7%[16] - Net assets decreased to HKD 403,356,000 from HKD 423,140,000, reflecting a decline of 4.7%[17] - Trade receivables increased to HKD 14,675,000 as of September 30, 2022, from HKD 4,712,000 as of March 31, 2022, showing a growth of 211.5%[95] - The total borrowings of the group as of September 30, 2022, were approximately HKD 99,200,000, compared to HKD 81,700,000 as of March 31, 2022[127] - The group's cash and bank balances as of September 30, 2022, were approximately HKD 18,900,000, down from HKD 21,400,000 as of March 31, 2022[127] - The net asset value of the group as of September 30, 2022, was HKD 403,400,000, a decrease from HKD 423,100,000 as of March 31, 2022[127] Cash Flow - The net cash used in operating activities was HKD 12,261,000, compared to HKD 5,652,000 in the previous year, representing an increase of 116.6%[28] - Cash and cash equivalents at the end of the period were HKD 18,932,000, a decrease from HKD 21,382,000 at the beginning of the period[34] - The company utilized HKD 5,948,000 in investing activities, compared to HKD 2,860,000 in the previous year, marking an increase of 107.3%[31] - Financing activities generated a net cash inflow of HKD 15,759,000, a significant increase from an outflow of HKD 4,963,000 in the prior year[33] - The net cash outflow from operating activities was primarily due to a significant increase in working capital changes, particularly a decrease in trade and other receivables by HKD 25,186,000[28] Business Segments - The hotel operations segment generated external revenue of HKD 20,889,000, while the building materials trading and renovation segment contributed HKD 17,409,000[56] - Revenue from hotel operations in Hong Kong increased to HKD 20,889,000 for the six months ended September 30, 2022, compared to HKD 15,586,000 in the same period of 2021, representing a growth of 34.8%[76] - The newly reported segment, building materials trading and renovation services, generated revenue of approximately HKD 17,410,000 from April 8, 2022, to September 30, 2022[124] Strategic Initiatives - The company continues to explore new strategies for market expansion and product development to enhance future performance[27] - The group is focusing on increasing hotel occupancy rates by targeting long-stay customers and exploring different customer segments[46] - The outlook for the building materials trading and renovation services sector is optimistic due to demand for new residential projects, providing opportunities for business expansion[126] Governance and Compliance - The board believes that the current governance structure, where the chairman also serves as the CEO, does not affect the effective operation of the group[141] - The company confirmed that all directors complied with the standards of the securities trading code during the six months ending September 30, 2022[148] - The audit committee reviewed the unaudited interim financial statements for the six months ending September 30, 2022, and discussed accounting principles and internal controls with management[145] Employee and Shareholder Information - The total number of employees increased to approximately 128 as of September 30, 2022, up from 105 as of March 31, 2022[130] - The major shareholder, Mr. Lun Yau-ki, holds 1,358,055,354 shares, representing approximately 69.06% of the company's equity as of September 30, 2022[132] - The company participates in a mandatory provident fund scheme for all eligible employees[130] - The board has reviewed the compensation policy regularly, referencing market terms for employee remuneration[130] Miscellaneous - The company has no significant foreign exchange risk as its transactions are primarily conducted in HKD[129] - The company did not recommend any interim dividend for the six months ended September 30, 2022, consistent with the previous year[91] - The group received government subsidies amounting to HKD 400,000 during the reporting period, compared to HKD 150,000 in the previous year, reflecting a 166.7% increase[84]

Financial Performance - The group's revenue for the year ended March 31, 2022, was approximately HKD 27,515,000, an increase of 12.4% compared to HKD 24,490,000 in the previous year[9]. - The total comprehensive loss attributable to the company's owners for the year was approximately HKD 44,406,000, compared to HKD 43,263,000 in the previous year[9]. - The company reported a net loss of HKD 44,603,000 for the fiscal year ending March 31, 2022[134]. - Total comprehensive loss for the year was HKD 44,603,000, compared to HKD 43,517,000 in the prior year, indicating a 2.5% increase in losses[153]. - Gross profit decreased to HKD 8,659,000, down 22.0% from HKD 11,089,000 year-on-year[153]. - The company reported a loss before tax of HKD 42,421,000, slightly improved from a loss of HKD 42,558,000 in the previous year[153]. - The net asset value decreased to HKD 423,140,000 from HKD 467,743,000, reflecting a decline of 9.5%[158]. - Cash and cash equivalents at year-end were HKD 21,382,000, down from HKD 26,759,000, a decrease of 20.1%[164]. Assets and Liabilities - The total borrowings as of March 31, 2022, amounted to approximately HKD 81,700,000, an increase from HKD 61,700,000 the previous year[18]. - As of March 31, 2022, the company's debt-to-equity ratio was approximately 19.32%, up from 13.19% a year earlier[20]. - The net debt-to-equity ratio as of March 31, 2022, was about 14.26%, compared to 7.46% the previous year[20]. - As of March 31, 2022, the company had current liabilities netting HKD 74,360,000, raising significant doubts about its ability to continue as a going concern[134]. - The company had bank loans of approximately HKD 81.7 million due within one year as of March 31, 2022[20]. - The company confirmed that the consolidated financial statements for the year ended March 31, 2022, were prepared in accordance with applicable accounting standards and reflect a true and fair view of the group's financial position and performance[72]. Operational Updates - The average hotel occupancy rate for the year was approximately 50.8%[16]. - The group anticipates a recovery in the hotel and tourism industry following the relaxation of travel restrictions due to increased global vaccination rates[11]. - The renovation project for all 800 hotel rooms is expected to be completed by July 2022, after which occupancy rates are projected to gradually improve[16]. - The group received approximately HKD 300,000 in subsidies from the Hong Kong government's anti-epidemic fund, a significant decrease from HKD 5,700,000 received in the previous year[17]. - The management is targeting long-stay customers to improve hotel occupancy rates as a temporary measure to alleviate liquidity pressure[187]. Corporate Governance - The board of directors held 11 meetings during the fiscal year ending March 31, 2022[37]. - The company has established a training program for newly appointed directors to ensure they understand their statutory and regulatory responsibilities as directors of a Hong Kong listed company[39]. - The company has purchased appropriate directors and officers liability insurance for each board member, with annual reviews of coverage and limits[40]. - The audit committee is responsible for reviewing the independence of external auditors and monitoring the integrity of financial statements, including annual and half-year reports[56]. - The audit committee conducted an annual review of the risk management and internal control systems, covering all significant financial, operational, and compliance monitoring functions[85]. Risk Management and Internal Controls - The audit committee is responsible for reviewing the company's financial monitoring, internal control, and risk management systems[60]. - The company has established arrangements for employees to confidentially raise concerns regarding financial reporting and internal controls[60]. - The board ensures that resources, qualifications, training, and budget for accounting, internal control, and financial reporting functions are adequate[85]. - The company must communicate any significant deficiencies in internal controls identified during the audit to the audit committee[148]. - The financial statements have been prepared on a going concern basis, despite significant uncertainties regarding the group's ability to continue operations due to COVID-19 impacts[184]. Investments and Acquisitions - The group completed the acquisition of 51% of a company involved in furniture and building materials supply, as well as design and renovation services[13]. - The company completed the first phase of acquiring 51% of Result Best Limited for a total consideration not exceeding HKD 33,400,000[129]. - There were no significant investments, acquisitions, or disposals of subsidiaries or associates during the year[131]. Compliance and Reporting - The company has complied with relevant regulations regarding the disclosure of inside information, ensuring timely and balanced public announcements[86]. - The company secretary has completed no less than 15 hours of relevant professional training as required by the listing rules[87]. - The company intends to apply new standards that have been issued but are not yet effective, including revisions to accounting standards related to liabilities classification and accounting policy disclosures[169]. Environmental and Social Responsibility - The company is committed to environmental sustainability and will publish its ESG report within a month of the annual report[128].

Financial Performance - The company reported a total comprehensive loss attributable to owners of the company of HKD 16,325,000 for the six months ended September 30, 2021, compared to a loss of HKD 24,038,000 in the same period last year, representing a 32.3% improvement [6]. - Revenue for the six months ended September 30, 2021, was HKD 15,586,000, an increase of 74.5% from HKD 8,947,000 in the previous year [6]. - Gross profit for the period was HKD 6,630,000, significantly up from HKD 743,000, indicating a gross margin improvement [6]. - The company reported an operating loss before tax of HKD 15,600,000 for the six months ended September 30, 2021, compared to a loss of HKD 20,835,000 in the same period of 2020, representing a 25.5% improvement [17]. - The net loss after tax for the period was approximately HKD 16,400,000, a reduction of 32.1% from HKD 24,170,000 in the previous year, attributed to increased revenue [59]. - Loss attributable to owners for the six months ended September 30, 2021, was HKD (16,325,000), an improvement from HKD (24,038,000) in the same period of 2020 [43]. Expenses and Cost Management - The company reported a decrease in administrative and other operating expenses to HKD 11,521,000 from HKD 11,725,000, reflecting a cost control strategy [6]. - Employee costs increased to HKD 10,606,000 from HKD 9,691,000 in the previous year [39]. - The cost of services provided was HKD 8,956,000, compared to HKD 8,204,000 in the previous year [39]. - The company reported a decrease in interest expenses to HKD 409,000 for the six months ended September 30, 2021, down from HKD 735,000 in the previous year, reflecting improved debt management [17]. - Financing costs totaled HKD 696,000, a decrease from HKD 763,000 in the previous year [37]. Cash Flow and Liquidity - The net cash and bank balances decreased to HKD 13,284,000 from HKD 26,759,000, indicating a liquidity challenge [8]. - Net cash used in operating activities was HKD 5,652,000 for the six months ended September 30, 2021, down from HKD 8,094,000 in the previous year, indicating a 30.2% reduction in cash outflow [17]. - Cash and cash equivalents decreased by HKD 13,475,000, ending with HKD 13,284,000 as of September 30, 2021, compared to HKD 15,360,000 at the end of the previous year [19]. - The company has a net current liability of HKD 56,923,000 as of September 30, 2021, compared to HKD 49,277,000 as of March 31, 2021, indicating a worsening liquidity position [23]. - The company has drawn down HKD 50,000,000 and HKD 60,000,000 from revolving loan facilities as of September 30, 2021, to ensure sufficient working capital [25]. Assets and Equity - Total assets less current liabilities stood at HKD 464,847,000 as of September 30, 2021, down from HKD 480,447,000 as of March 31, 2021 [10]. - The company's equity attributable to owners decreased to HKD 454,162,000 from HKD 470,487,000, reflecting the impact of the loss during the period [10]. - The group's net asset value as of September 30, 2021, was HKD 451,300,000, a decrease from HKD 467,700,000 as of March 31, 2021 [62]. - As of September 30, 2021, total borrowings amounted to approximately HKD 56,700,000, down from HKD 61,700,000 as of March 31, 2021 [62]. - The capital-to-debt ratio as of September 30, 2021, was approximately 12.56%, compared to 13.19% as of March 31, 2021 [62]. Market and Operational Outlook - Future outlook remains cautious due to ongoing market uncertainties and operational challenges [6]. - The company continues to explore market expansion opportunities but has not provided specific details or targets [6]. - The company has not disclosed any new product launches or technological advancements during this reporting period [6]. - The group received government subsidies of HKD 150,000 during the six months ended September 30, 2021, down from HKD 400,000 in the same period of 2020 [37]. Corporate Governance and Compliance - The company has maintained compliance with the public float requirements as per the listing rules [75]. - The company has adopted a code of conduct for directors' securities transactions that meets or exceeds the standards set out in the listing rules [75]. - The audit committee, composed entirely of independent non-executive directors, reviewed the group's unaudited interim financial statements for the six months ended September 30, 2021 [73]. - The group did not declare an interim dividend for the six months ended September 30, 2021, consistent with the previous year [58]. - There were no significant events occurring after September 30, 2021, up to the date of this report [75].