Financial Performance - Revenue for the year ended June 30, 2020, was HK$410,668,000, representing an increase of 6.0% compared to HK$385,664,000 in 2019[4] - Adjusted loss for the year was HK$34,727,000, an improvement from a loss of HK$70,775,000 in the previous year[4] - Attributable loss for the year was HK$39,521,000, compared to a loss of HK$72,177,000 in 2019[4] - Total revenue for the year was approximately HK$411 million, representing an increase of approximately 6.5% compared to HK$386 million in 2019[40] - Loss attributable to owners of the Company was approximately HK$40 million, a significant reduction from approximately HK$72 million in 2019[41] - Other income recognized during the year was approximately HK$17 million, up from approximately HK$5.3 million in 2019[41] - General and administrative expenses increased by approximately 5.43% to approximately HK$97 million, compared to approximately HK$92 million in 2019[41] - Finance costs decreased to approximately HK$36 million from HK$40 million in 2019 due to reduced interest payments after early partial repayment of borrowings[48] Assets and Liabilities - Cash and cash equivalents as of June 30, 2020, were HK$107,051,000, down from HK$123,632,000 in 2019[4] - Total assets decreased to HK$458,766,000 from HK$644,070,000 in 2019, reflecting a decline of 28.8%[4] - Equity as of June 30, 2020, was HK$17,305,000, significantly lower than HK$72,208,000 in 2019[4] - Current assets to current liabilities ratio improved to 2.33 from 1.86 in the previous year[4] - Gearing ratio increased to 14.76 from 4.58 in 2019, indicating higher leverage[4] Business Operations - The company improved its financial position by selling properties at the right timing, retaining more resources for renewable energy development[20] - The oil tanker leasing business achieved a 100% occupancy rate, generating revenue of HK$4 million, while gasoil trading revenue was approximately HK$251 million[54] - The annualized profit ratio for gasoil trading was maintained at no less than 13% despite global economic challenges[54] - The company has been actively promoting solar energy projects, with ongoing installations across various structures in Hong Kong[55] - The solar energy professional team has optimized production procedures, improving the quality of final products through advanced simulation software[56] Strategic Initiatives - The Company established a joint venture, Champion Widex Solar Energy International Ltd, to expand its market share in solar energy projects[27] - A joint venture with OT Systems Limited was formed to develop smart medical and temperature detection equipment, responding to increased market demand due to COVID-19[27] - The strategic partnership with Multitone UK aims to leverage nearly 90 years of operational experience in communication and security systems[27] - The Group's renewable energy projects have been endorsed by CLP Power Hong Kong Limited and The Hongkong Electric Company, benefiting from the Feed-in Tariff Scheme, which has generated revenue and positive customer feedback[65] Market Conditions - U.S. oil consumption is projected to decline significantly, with transportation and industrial activities accounting for over 90% of crude oil demand[20] - The number of operating oil rigs in the U.S. dropped from 825 to 438 in mid-April 2020, indicating a significant reduction in drilling activity[20] - The company believes the pandemic will have a temporary impact on the industry, with demand expected to revive once the pandemic eases or a vaccine is deployed[20] - The hotel industry has been significantly impacted by COVID-19, prompting the company to grant a one-off rental relief for six months to its hotel operator in China[94] Investment Strategy - The Group recorded a fair value gain on financial assets at fair value through profit or loss of approximately HK$17 million for the year ended June 30, 2020, compared to a fair value loss of approximately HK$33 million in 2019[101] - As of June 30, 2020, the fair value of investments classified as financial assets at FVTPL amounted to approximately HK$69 million, an increase from approximately HK$52 million in 2019[102] - The investment portfolio comprised 10 equity securities listed on the Stock Exchange of Hong Kong, with 7 on the Main Board and 3 on the GEM[102] - The Group's balanced investment portfolio contributed to the fair value gain, indicating a strategic approach to securities investments amidst global economic challenges[101] Technological Development - The "IoT Facility Management System" developed by the technical team supports multiple industrial communication protocols and can connect with various IoT devices, transforming old equipment into remotely controllable systems[81] - The Mesh Network System is designed to upgrade outdated management systems in old buildings, significantly reducing construction work, time, and costs associated with upgrades[80] - The integration of big data analysis, machine learning, and artificial intelligence with IoT is expected to improve management efficiency and establish intelligent management solutions[81] - The company aims to provide customized solutions for clients, enhancing their operational capabilities in the face of evolving market demands[72] Diversification Strategy - The acquisition of a 51% equity interest in a Hong Kong company owning a hotel in Dongguan aligns with the company's diversification strategy, despite current market challenges[93] - The company can terminate subcontracting agreements with the hotel operator, allowing for potential redevelopment into a residential commercial complex[93] - The Group plans to redevelop the Dongguan property into a new residential commercial building project if the lease agreement is terminated[96] - The Group's management remains focused on strategic diversification and potential market expansion opportunities[96]

Financial Performance - Revenue for the six months ended December 31, 2019, was HK$260,615,000, representing a 154% increase compared to HK$102,554,000 in the previous period[5]. - Gross profit for the same period was HK$47,119,000, up from HK$41,723,000, indicating a growth of 12%[5]. - Profit before taxation was HK$8,702,000, a significant recovery from a loss of HK$80,157,000 in the previous period[5]. - Profit for the period was HK$8,515,000, compared to a loss of HK$80,503,000 in the previous period, marking a turnaround[5]. - Other income, gains, and losses increased to HK$12,920,000 from HK$4,243,000, reflecting a growth of 205%[5]. - Total comprehensive income for the period was HK$8,290,000, compared to a loss of HK$73,637,000 in the previous period[11]. - Earnings per share for the period was HK$0.01, recovering from a loss per share of HK$0.12 in the previous period[11]. - The company reported a gain on disposal of subsidiaries amounting to HK$5,342,000[5]. - The Group reported a profit before taxation of HK$8,702,000 for the period, compared to a loss in the previous year, indicating a positive turnaround[148]. - For the six months ended December 31, 2019, the company reported earnings attributable to owners of HK$5,465,000, a significant improvement compared to a loss of HK$81,317,000 in the same period of 2018[192]. Assets and Liabilities - As of December 31, 2019, total assets amounted to HK$ 333,661,000, an increase from HK$ 319,243,000 as of June 30, 2019, representing a growth of approximately 4.4%[15]. - Current liabilities decreased to HK$ 88,069,000 from HK$ 255,085,000, indicating a significant reduction of about 65.5%[15]. - Net current assets increased to HK$ 245,592,000, up from HK$ 218,404,000, reflecting a growth of approximately 12.4%[15]. - Total equity rose to HK$ 128,274,000, compared to HK$ 123,444,000, marking an increase of about 3.4%[20]. - Trade and other receivables increased significantly to HK$ 122,515,000 from HK$ 81,844,000, representing a growth of approximately 49.8%[15]. - Cash and cash equivalents decreased to HK$ 101,170,000 from HK$ 123,632,000, a decline of about 18.2%[15]. - Inventories decreased to HK$ 31,329,000 from HK$ 57,847,000, indicating a reduction of approximately 45.8%[15]. - The company reported a finance lease payable of HK$ 2,299,000, a decrease from HK$ 463,000, reflecting a significant change in liabilities[20]. - Non-controlling interests decreased slightly to HK$ 50,190,000 from HK$ 51,236,000, a decline of about 2.0%[20]. - The company’s interest in a joint venture decreased to zero from HK$ 449,000, indicating a complete divestment from that investment[15]. Cash Flow - The net cash used in operating activities was HK$83,721,000, compared to HK$20,403,000 in the previous year, indicating increased cash outflow[32]. - The net cash inflows from the disposal of subsidiaries amounted to HK$160,065,000, demonstrating successful divestitures during the period[32]. - The cash generated from the disposal of financial assets at fair value was HK$29,273,000, contributing positively to the cash flow[32]. - For the six months ended December 31, 2019, net cash used in financing activities was HK$92,687,000, compared to net cash generated of HK$25,821,000 in the same period of 2018[36]. - The repayment of other interest-bearing borrowings amounted to HK$20,000,000, a decrease from HK$51,234,000 in the previous year[36]. - Cash and cash equivalents at the end of the period were HK$101,170,000, down from HK$109,686,000 at the end of the previous year[36]. - The net decrease in cash and cash equivalents was HK$24,441,000, compared to an increase of HK$3,603,000 in the prior year[36]. - Interest paid during the period was HK$14,970,000, a decrease from HK$16,505,000 in the previous year[36]. - The effect of foreign exchange rate changes resulted in an increase of HK$1,979,000, compared to a decrease of HK$6,451,000 in the prior year[36]. - The Group's cash and cash equivalents at the beginning of the period were HK$123,632,000, compared to HK$112,534,000 at the start of the previous year[36]. Lease Accounting - The Group has applied HKFRS 16 for the first time in the current interim period, superseding HKAS 17 "Leases" and related interpretations[56]. - The Group applies the short-term lease recognition exemption to leases of premises and motor vehicles with a lease term of 12 months or less, recognizing lease payments as expenses on a straight-line basis[60]. - Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities[61]. - Right-of-use assets are depreciated from the commencement date to the end of the useful life if the Group is reasonably certain to obtain ownership at the end of the lease term[65]. - Lease liabilities are recognized at the present value of lease payments that are unpaid at the commencement date[66]. - The Group uses the incremental borrowing rate at the lease commencement date to calculate the present value of lease payments if the implicit interest rate is not readily determinable[66]. - The Group has adopted HKFRS 16, which significantly impacts lease accounting policies, requiring the remeasurement of lease liabilities and corresponding adjustments to right-of-use assets whenever there are changes in lease terms or assessments of purchase options[69]. - Lease liabilities are adjusted based on interest accretion and lease payments after the commencement date, reflecting changes in market rental rates[70]. - For lease modifications not accounted for as separate leases, the Group remeasures lease liabilities based on the modified lease term using a revised discount rate[78]. - The Group has chosen to apply HKFRS 16 to contracts previously identified as leases under HKAS 17, without reassessing contracts that were not identified as containing a lease[79]. Revenue Breakdown - Revenue from technology system sales, including software licensing, amounted to HK$51,875,000, up from HK$47,419,000 in 2018, reflecting an increase of 5.2%[136]. - The revenue from trading gasoil and leather surged to HK$180,640,000, compared to HK$30,192,000 in the previous year, marking a substantial increase of 497%[136]. - The segment result for technology system sales was HK$8,860,000, while the trading of gasoil and leather contributed HK$10,848,000 to the overall performance[154]. - The Group's strategic investments in renewable energy products generated revenue of HK$1,112,000, reflecting ongoing diversification efforts[137]. Expenses and Depreciation - Total depreciation for property, plant, and equipment was HK$4,538,000, while depreciation of right-of-use assets was HK$1,503,000[177]. - The carrying value of property, plant, and equipment as of December 31, 2019, was HK$64,136,000, reflecting an increase from HK$63,326,000 at the beginning of the period[200]. - The Group's total unallocated expenses for the period were HK$11,065,000, impacting the overall profitability[149]. - The company’s unallocated expenses, net, were HK$15,717,000 for the period[doc id='169']. Taxation - The corporate income tax rate for the company's German subsidiary remained at 15%, while the UK corporate income tax rate was 19%[183]. - The company’s PRC subsidiaries were subject to a 25% enterprise income tax rate, with no estimated assessable profit for the reporting periods[185].