Financial Performance - The company reported a net loss attributable to shareholders of approximately HKD 396 million for the year ended December 31, 2024, a decrease of about 31.4% compared to a net loss of approximately HKD 577 million in 2023[4]. - In 2024, the company's revenue was approximately HKD 578 million, a decrease of about HKD 187 million or 24.4% compared to 2023, primarily due to a weak classic car market and the cessation of investment in stage sound and lighting engineering business[24]. - The gross profit for 2024 was HKD 132 million, reflecting a decrease of 23.3% year-over-year[24]. - The company reported a net loss of HKD 396 million for the year, an improvement of 31.1% compared to a loss of HKD 575 million in 2023[24]. - The company recorded a loss per share of HKD 0.25 for 2024, compared to HKD 0.43 in 2023[91]. - The group recorded a pre-tax loss of HKD 396 million for 2024, compared to a loss of HKD 577 million in 2023, indicating a 31.3% improvement year-over-year[155]. Revenue Breakdown - Revenue from the property investment and holding segment decreased by 25.0% to approximately HKD 6 million, with operating losses increasing to approximately HKD 121 million from HKD 80 million in the previous year[27]. - The Ferrari business generated revenue of approximately HKD 420 million in 2024, up from HKD 344 million in 2023, with operating profit of approximately HKD 10 million, a decrease of about HKD 2 million year-over-year[29]. - Maserati business revenue fell to approximately HKD 61 million in 2024 from a historical high of approximately HKD 126 million in 2023, resulting in an operating loss of approximately HKD 15 million due to rising operational costs[30]. - Revenue from customer contracts for 2024 was approximately HKD 572 million, compared to HKD 757 million in 2023, indicating a decrease of about 24.4%[133]. - Total revenue from Hong Kong, Macau, and mainland China was approximately HKD 576 million, a decrease of about HKD 83 million or 12.6% compared to 2023[34]. Business Operations - The real estate business in Hong Kong continues to face economic uncertainties, with expectations of ongoing challenges in the property market into 2025[7]. - The logistics business maintained profitability in 2024, although operating profit margins slightly declined due to economic recession[18]. - The company will no longer operate the stage sound and lighting engineering business after selling the related joint venture for HKD 8.1 million, expected to complete by February 28, 2025[19]. - The company is expanding its cross-border service team and launching new projects, including unloading RoRo cargo, in 2025[18]. - The company is cautiously optimistic about the long-term development of the classic car trading and investment business despite global market slowdowns[16]. Cash Management and Financial Position - The company plans to conserve cash reserves and therefore does not recommend the payment of a final dividend for 2024, consistent with no interim dividend in 2024[5]. - The company's total liabilities amounted to HKD 1,605 million, slightly decreasing from HKD 1,617 million in 2023, with 99.1% of the debt being short-term[36]. - Shareholders' equity was approximately HKD 672 million as of December 31, 2024, down from HKD 731 million at the beginning of the year, reflecting a decrease of about HKD 59 million[35]. - The company's net current liabilities increased to approximately HKD 1,150 million, up by about HKD 1,089 million due to reclassification of certain bank loans[38]. - The company expects to rely on cash generated from operating activities, additional borrowing, and fundraising activities to meet operational and capital expenditure needs[39]. Corporate Governance and Compliance - The board believes that the subsidiary has a reasonable chance of successfully defending against the legal claims, and therefore no provisions are required for the litigation as of the reporting date[51]. - The company has not reported any significant violations of applicable laws and regulations as of December 31, 2024, except for the disclosed matters[52]. - The board is dedicated to maintaining high standards of corporate governance to protect the interests of shareholders and ensure sustainable development[59]. - The company acknowledges the importance of transparency and accountability to shareholders and has adhered to all corporate governance code provisions as of December 31, 2024, except for the noted deviations[59]. Future Outlook and Strategy - The company plans to launch 3-4 new Ferrari models in 2025, including the highly acclaimed limited edition 296 series[14]. - The company aims to focus on developing core businesses and exploring new market opportunities to create long-term value for shareholders[56]. - The company is committed to integrating corporate social responsibility into its daily operations, focusing on environmental management and energy efficiency[54]. - The company is exploring acquisition opportunities to enhance its product portfolio, with a target of completing at least one acquisition by the end of the fiscal year[121]. - The company plans to enhance its market expansion strategies in the upcoming fiscal year[91].

Financial Performance - The group reported a net loss attributable to equity holders of HKD 166 million for the six months ended June 30, 2024, an increase of 67.7% compared to a loss of HKD 99 million in the same period last year [2]. - The loss was primarily due to an estimated unrealized fair value loss of approximately HKD 43 million on the property portfolio during the period [2]. - The company's revenue for the first half of 2024 was HKD 320 million, a decrease of 27.6% compared to HKD 442 million in the same period of 2023 [12]. - The group reported a loss before tax of HKD 165 million, compared to a loss of HKD 97 million in the previous year, indicating a deterioration in financial performance [34]. - The group recorded a net loss of approximately HKD 166 million for the six months ended June 30, 2024, with current liabilities netting around HKD 272 million [44]. - The company reported a pre-tax loss of HKD 165 million for the six months ended June 30, 2024, compared to a loss of HKD 97 million in the same period of 2023 [41]. - The group recorded other income and gains of HKD 9 million, significantly lower than HKD 44 million in the same period last year [34]. - The company’s basic loss per share for the first half of 2024 was HKD 0.104, compared to HKD 0.094 in the first half of 2023, reflecting a 10.6% increase [11]. Revenue Breakdown - Revenue from customer contracts was HKD 316 million, with Ferrari business contributing HKD 190 million, Maserati business HKD 39 million, and high-value collectibles and logistics HKD 57 million [54]. - The Ferrari business generated stable revenue of HKD 190 million in the first half of 2024, slightly up from HKD 189 million in the same period of 2023 [18]. - Maserati's revenue for the first half of 2024 decreased by 40.9% to HKD 39 million, compared to HKD 66 million in the first half of 2023 [19]. - The logistics business for valuable collectibles and automobiles reported a revenue of HKD 57 million, down 30.5% from HKD 82 million in the previous year [14]. - Revenue from external customers for the six months ended June 30, 2024, was HKD 320 million, a decrease of 27.6% from HKD 442 million in the same period of 2023 [68]. Operational Highlights - The operating profit reported for the securities business was approximately HKD 4 million, generated from interest income on receivable acceptance notes [3]. - The company recorded an operating loss of HKD 41 million in the property investment segment for the first half of 2024, compared to an operating loss of HKD 4 million in the same period of 2023, primarily due to unrealized fair value losses of HKD 43 million [16]. - The company is implementing a new experience-driven sales strategy to lead the luxury sports car market, which is expected to increase delivery volumes in 2024 [5]. - The anticipated interest rate cuts by the Federal Reserve may improve the real estate market conditions in the near future [2]. Cash Flow and Financial Position - Cash and cash equivalents decreased to HKD 24 million from HKD 47 million, a decline of approximately 49% [41][43]. - The net cash flow from operating activities was negative HKD 12 million, a decrease from a positive cash flow of HKD 50 million in the previous year [41]. - The company’s total liabilities decreased slightly to HKD 2,067 million from HKD 2,110 million, a reduction of about 2% [39]. - The company reported net current liabilities of HKD 272 million as of June 30, 2024, an increase of HKD 211 million from the end of the previous year [25]. - Total borrowings as of June 30, 2024, amounted to HKD 1,568 million, a decrease from HKD 1,617 million as of December 31, 2023 [24]. Strategic Initiatives - The company plans to conserve cash reserves and will not declare an interim dividend for the current period, consistent with the previous year [2]. - The group is actively discussing the sale of long-term assets to manage working capital and improve financial conditions [46]. - The group plans to continue controlling administrative costs and managing capital expenditures to improve cash flow [46]. - The company aims to build and develop the Blackbird automotive group to become a leader in the global automotive industry in the near future [9]. Corporate Governance and Shareholder Information - The company has a commitment to high standards of corporate governance to maximize shareholder benefits [104]. - The company’s major shareholders include Capital Force, New Capital, and Capital Winner, collectively holding 1,177,275,079 shares as of June 30, 2024 [97]. - The company’s board approved the interim report on August 28, 2024 [20]. - The company maintains a risk management and internal control system, with internal audits conducted semi-annually to assess effectiveness [105].

Financial Performance - The company reported a net loss attributable to equity holders of HKD 166 million for the six months ended June 30, 2024, an increase of 67.7% compared to a net loss of HKD 99 million in the same period last year[1]. - The loss was primarily due to an estimated unrealized fair value loss of approximately HKD 43 million on the property portfolio during the period[1]. - The company's revenue for the first half of 2024 was HKD 320 million, a decrease of 27.6% compared to HKD 442 million in the same period of 2023[16]. - The overall operating loss for the group was HKD 85 million, compared to a profit of HKD 9 million in the previous year[20]. - The company reported a basic and diluted loss per share of HKD 0.104, compared to HKD 0.094 in the previous year, an increase of 10.6%[16]. - The group recorded a net loss of approximately HKD 166 million for the six months ended June 30, 2024[56]. - The group reported a loss before tax of HKD 165 million for the six months ended June 30, 2024, compared to a loss of HKD 97 million for the same period in 2023[73]. Revenue Breakdown - Ferrari business generated revenue of HKD 190 million, maintaining stability compared to HKD 189 million in the first half of 2023[17]. - Maserati business revenue decreased by 40.9% to HKD 39 million, with an operating loss increasing to HKD 7 million from HKD 4 million in the previous year[24]. - Revenue from valuable collectibles and logistics business decreased by 30.5% to HKD 57 million, resulting in an operating loss of HKD 22 million compared to an operating profit of HKD 15 million in the first half of 2023[25]. - Cultural entertainment business generated no revenue in the current period, down from HKD 72 million in the previous year[63]. - Other businesses reported revenue of HKD 30 million, a slight increase from HKD 29 million[63]. Automotive Business Outlook - Blackbird Group continues to maintain a positive outlook on its multi-faceted automotive business despite a challenging business environment[6]. - The Ferrari business celebrated its 40th anniversary in Hong Kong with a series of events, including the launch of the new Roma Spider, which significantly boosted order volume for Q4 2023[7]. - The limited edition SF90 XX and XX Spider models received a large number of orders, with deliveries expected to begin by the end of 2024[7]. - The new V12 GT race car "12Cilindri" received substantial orders following its global debut, with the convertible model already sold out before its local launch[8]. - The Purosangue model is highly anticipated, with local Ferrari owners expressing satisfaction during its launch event, and deliveries expected to start in mid-2024[8]. - The demand for the 296 GTB and GTS convertible models remains strong, with stable growth in orders for the 819-horsepower V6 hybrid sports car in its third year of production[8]. - Ferrari's new flagship limited edition supercar, code-named "F250," is set to be launched in the second half of 2024, following the successful delivery of the Daytona SP3[9]. Cost Management and Financial Strategy - The company is committed to prudent financial management and cost-saving measures to navigate unprecedented challenges and enhance long-term shareholder value[14]. - The group plans to rely on cash generated from operations and additional borrowings to meet working capital and capital expenditure needs[33]. - The group plans to continue controlling administrative costs and managing capital expenditures[56]. - The company has streamlined its organizational structure by selling most of its investments in stage sound, lighting, and engineering businesses, which are no longer part of the group[13]. Corporate Governance and Compliance - The company maintains a commitment to high standards of corporate governance to ensure shareholder interests are maximized[44]. - The board of directors consists of two executive directors and three independent non-executive directors, ensuring a balance of responsibilities[45]. - The company has confirmed compliance with the standards for securities trading by all current directors as of June 30, 2024[46]. Asset Management - Total assets as of June 30, 2024, amounted to HKD 2,955 million, an increase from HKD 2,841 million as of December 31, 2023[54]. - The company's total liabilities decreased slightly to HKD 2,067 million from HKD 2,110 million[55]. - The group's bank borrowings amounted to HKD 1,207 million, representing 49.1% of total liabilities as of June 30, 2024[30]. - The group's equity attributable to shareholders increased by HKD 157 million to HKD 888 million as of June 30, 2024[30]. Employee and Operational Changes - The total number of employees decreased to 257 as of June 30, 2024, from 296 on December 31, 2023[40]. - The company has no outstanding share options as of June 30, 2024, maintaining a competitive compensation policy for employees[40]. Future Plans and Developments - The company will send the 2024 interim report to shareholders as appropriate, with the report also available on its website[50]. - The company is actively working with financial advisors on potential capital transactions to improve its net asset position[58]. - The group has ongoing discussions with potential buyers for the sale of long-term assets to generate cash flow[56].

Financial Performance - The group's revenue for 2023 was HKD 765 million, a decrease of HKD 47 million or 5.8% compared to 2022, primarily due to a slowdown in the antique car market[16]. - The 2023 total revenue was HKD 765 million, a decrease of 5.8% compared to HKD 812 million in 2022[43]. - Gross profit for 2023 was HKD 172 million, representing a significant increase of 67.0% from HKD 103 million in 2022[43]. - The company reported a loss of HKD 575 million for the year, which is a 23.1% increase from a loss of HKD 467 million in 2022[43]. - Approximately 86.1% of the group's total revenue came from Hong Kong, Macau, and mainland China, with revenue from these regions amounting to HKD 659 million, an increase of 6.5% from the previous year[49]. Assets and Liabilities - As of December 31, 2023, the group's total borrowings amounted to HKD 1,617 million, representing 68.9% of total capital, compared to HKD 1,742 million or 59.9% in 2022[22]. - Current assets increased to HKD 1,173 million in 2023 from HKD 909 million in 2022, while current liabilities rose to HKD 1,234 million from HKD 807 million[23]. - The group's total assets included net book value assets of approximately HKD 1,814 million as of December 31, 2023, down from HKD 1,917 million in 2022[26]. - The capital-to-debt ratio increased from 59.9% as of December 31, 2022, to 68.9% as of December 31, 2023, primarily due to a decrease in shareholder equity[50]. Business Operations - The antique car and investment-grade vehicle business continued to be affected by a global market slowdown, but management remains cautiously optimistic about long-term developments in the antique car trading environment[8]. - The revenue from other businesses, including antique car repair services and multimedia operations, increased by 32.0% to HKD 66 million in 2023, although it recorded an operating loss of HKD 48 million[21]. - The Ferrari business continues to perform well, with the launch of the new Roma Spider GT and a significant number of orders received during the launch event in October 2023[6]. - The company plans to launch a fully electric vehicle series under the Folgore brand in 2024, expanding its product offerings[35]. - The new SUV model Grecale has started deliveries in the first half of 2023, receiving positive feedback from customers in Hong Kong[35]. Governance and Compliance - The company has established a remuneration committee consisting of five members, including three independent non-executive directors, to review and provide recommendations on the remuneration policies for the senior management[77]. - The company has maintained compliance with listing rules regarding the appointment of independent non-executive directors, ensuring that at least one possesses appropriate professional qualifications or financial management expertise[73]. - The company has implemented a management action plan to enhance corporate governance and compliance with relevant codes[98]. - The company’s governance practices have been updated and approved by shareholders to enhance compliance with corporate governance codes[96]. - The company has committed to continuous professional development for its directors to enhance their knowledge and skills in compliance with regulatory updates[74]. Risk Management - The company’s risk management framework helps identify current and emerging risks that could significantly impact financial performance, reputation, or business model[141]. - Major risks identified include the ongoing trade war between China and the U.S., geopolitical risks, inflation and rising interest rates, and significant changes in government policies affecting operations[161]. - The company has not used any financial instruments to hedge interest rate risks but will consider hedging significant interest rate risks as needed[83]. - The company’s treasury policy aims to minimize risks associated with foreign currency exchange and interest rate fluctuations, indicating a proactive approach to financial risk management[83]. Shareholder Information - The company has not declared any final dividends for the year 2023, nor any interim dividends for 2022[192]. - The board's discretion determines any proposed dividend payments, with final dividends requiring shareholder approval[168]. - The group plans to conserve cash reserves to address future challenges, thus the board does not recommend a final dividend for 2023[174]. - The company has a total of 87,311,145 share options available for grant under the 2021 plan, representing 5.44% of the currently issued shares of 1,604,361,452[181]. - The company aims to increase customer loyalty and order volume through the 2021 plan[183]. Sustainability and Corporate Responsibility - The company emphasizes sustainability as a core strategy for long-term development and aims to enhance corporate social responsibility to contribute to the long-term value of the company and the communities in which it operates[88]. - The group made charitable donations totaling HKD 50,000 during the year, compared to HKD 30,000 in 2022[177]. - The company encourages all business partners to adhere to its anti-corruption and bribery policy, applicable to all directors, senior officers, and employees[151]. Future Outlook - The outlook for 2024 remains uncertain and challenging due to geopolitical instability, interest rate hikes, and persistent inflation affecting local and global economic recovery[10]. - The company is focusing on cash preservation and cost-saving measures to lay the foundation for future recovery amid challenging conditions[38].

Revenue Performance - In 2023, the group's revenue was HKD 765,000,000, a decrease of HKD 47,000,000 or 5.8% compared to 2022, primarily due to a slowdown in the antique car market[4]. - Total revenue for 2023 was HKD 765 million, down from HKD 812 million in 2022, indicating a decline of 5.8%[1]. - The property investment and holding segment reported a revenue of HKD 1,231 million for the year ended December 31, 2023, compared to HKD 852 million in the previous year, representing a growth of approximately 44.5%[114]. - The Ferrari business segment generated a revenue of HKD 276 million, down from HKD 446 million, indicating a decline of about 38.1% year-over-year[114]. - The Maserati business segment reported a revenue of HKD 74 million, a decrease from HKD 109 million, reflecting a decline of approximately 32.0%[114]. - The cultural entertainment segment recorded a revenue of HKD 104 million, with a slight decrease from the previous year[114]. - Revenue from high-value collectibles and logistics services was HKD 149 million in 2023, down from HKD 277 million in 2022, indicating a significant decrease of 46.3%[175]. - Revenue from the sale of Ferrari cars was HKD 69 million in 2023, down from HKD 114 million in 2022, a decline of about 39.5%[190]. - Revenue from the sale of Maserati cars increased to HKD 37 million in 2023 from HKD 11 million in 2022, marking a growth of approximately 236.4%[190]. Financial Losses - The group reported a pre-tax loss of HKD 575 million for the fiscal year ending December 31, 2023[43]. - The group’s total comprehensive loss for the year was HKD 574 million, compared to a loss of HKD 467 million in the previous year[48]. - The company reported a net loss of approximately HKD 575 million for the year ended December 31, 2023, compared to a net loss of HKD 467 million in 2022, representing a 23.1% increase in losses year-over-year[68]. - The total operating loss before tax for the group was HKD 575 million, compared to a loss of HKD 1 million in the previous year[129]. - The net loss attributable to equity holders of the parent company was HKD 577 million in 2023, compared to a loss of HKD 465 million in 2022, indicating a worsening financial position[200]. Assets and Liabilities - The company's total assets decreased to HKD 2,841 million in 2023 from HKD 3,339 million in 2022, a reduction of 14.9%[66]. - The company’s non-current assets totaled HKD 1,668 million in 2023, down from HKD 2,430 million in 2022[50]. - Non-current assets in Hong Kong, Macau, and mainland China decreased to HKD 1,554 million in 2023 from HKD 2,277 million in 2022, a decline of 31.7%[173]. - The group has a total outstanding principal amount of HKD 684,000,000 in interest-bearing bank and other borrowings classified as non-current as of December 31, 2023[94]. - Current liabilities net amount was approximately HKD 61 million as of December 31, 2023[68]. Debt and Financing - The group's capital debt ratio increased from 59.9% as of December 31, 2022, to 68.9% as of December 31, 2023, mainly due to a decrease in shareholder equity[13]. - As of December 31, 2023, the total outstanding borrowings amounted to HKD 1,617,000,000, down from HKD 1,742,000,000 in the previous year, with approximately 54.2% being long-term borrowings[21]. - The company has breached certain financial covenants on bank borrowings, with HKD 1,196 million of bank borrowings receiving waivers effective until December 15, 2024[69]. - The group has received a waiver from a bank regarding debt covenant non-compliance until December 2024, which does not significantly impact the financial statements[14]. - The group has a revolving loan facility of HKD 168 million, which is expected to be renewed every three to twelve months, with a strong historical record of renewal[39]. Operational Strategies - The group is committed to developing the Blackbird automotive group to become a leader in the global automotive industry in the near future[1]. - The group plans to continue controlling administrative costs and managing capital expenditures actively[38]. - The group aims to enhance cash flow by promoting sales and recovering outstanding receivables[45]. - The group will continue to take proactive measures to improve its liquidity and financial position[40]. - The board believes that the group will have sufficient working capital to meet its financial obligations for the next twelve months[45]. Audit and Compliance - The independent auditor's report indicated a "disclaimer of opinion" regarding the consolidated financial statements for the fiscal year ending December 31, 2023[37]. - The group has conducted three meetings of the audit committee during the fiscal year ending December 31, 2023[30]. - The group has adopted new and revised Hong Kong Financial Reporting Standards effective from January 1, 2023, with no significant impact on the financial statements[92]. - The group has implemented the revised accounting standards related to lease transactions effective January 1, 2022, with no significant impact on the financial statements[97]. Market Conditions - The group reported an unrealized fair value loss of HKD 88,000,000 in 2023, compared to HKD 126,000,000 in 2022, primarily due to declines in the property market and weak market sentiment[7]. - The group is subject to significant uncertainties regarding the successful implementation of plans to improve operating cash flow and net asset status[89]. - The group has segmented its operations into different business units for better performance monitoring and resource allocation[78].

Financial Performance - The unaudited revenue for the year ended December 31, 2023, is HKD 765 million, a decrease of 5.8% from HKD 812 million in 2022[11]. - The gross profit for the same period is HKD 157 million, representing a significant increase of 52.4% compared to HKD 103 million in 2022[11]. - The net loss for the year is HKD 575 million, compared to a net loss of HKD 467 million in 2022, reflecting an increase in losses of 23.1%[11]. - The basic and diluted loss per share is HKD 0.43, compared to HKD 0.53 in the previous year, showing a decrease in loss per share of 18.9%[11]. - The group reported a net loss of HKD 575 million for the year, compared to a loss of HKD 467 million in the previous year[31]. - The group's operating loss for the year was HKD 575 million, an increase of 23.1% from the previous year's loss of HKD 467 million[117]. - The company recorded a net loss of HKD 575 million for the year, compared to a loss of HKD 467 million in the previous year[44][47]. - The loss attributable to equity holders of the parent company for 2023 was HKD 577 million, compared to HKD 465 million in 2022, representing a year-over-year increase of 24.1%[196]. Assets and Liabilities - The total liabilities amount to HKD 2,110 million, a slight decrease of 2.6% from HKD 2,166 million in the previous year[6]. - The total current liabilities have increased to HKD 1,234 million from HKD 807 million, marking a rise of 52.7%[6]. - Non-current assets decreased to HKD 1,668 million in 2023 from HKD 2,430 million in 2022, primarily due to a decline in investment properties[33]. - The group's total assets decreased to HKD 2,841 million in 2023 from HKD 3,339 million in 2022[33]. - The total assets amounted to HKD 3,339 million, with total liabilities of HKD 2,166 million, resulting in a net asset position of HKD 1,173 million[65]. - The group's net current liabilities were HKD 61 million, a decrease from net current assets of HKD 102 million in the previous year[128]. - The group had bank and other borrowings due within one year amounting to HKD 741 million, compared to HKD 405 million in 2022[127]. - The total assets with a book value of approximately HKD 1,814 million were pledged to banks as collateral for loans[130]. Revenue Breakdown - Total revenue for the year ended December 31, 2023, was HKD 801 million, a decrease from HKD 812 million in 2022, representing a decline of approximately 1.36%[44]. - Revenue from external customers in Hong Kong, Macau, and mainland China was HKD 659 million, an increase from HKD 619 million in 2022, while revenue from other regions decreased to HKD 106 million from HKD 193 million[52]. - The Ferrari business segment generated revenue of HKD 358 million, while the Maserati business segment contributed HKD 131 million, showing a significant increase of 168.8% for Maserati compared to HKD 49 million in the previous year[44][55]. - The collectibles and logistics segment reported revenue of HKD 149 million, down from HKD 277 million in the previous year, indicating a decline of approximately 46.3%[55]. - The cultural entertainment segment generated revenue of HKD 72 million, an increase from HKD 62 million in 2022, reflecting a growth of about 16.1%[55]. - Revenue from Ferrari business was HKD 344 million, while Maserati business generated HKD 126 million, and the high-value collectibles and logistics business contributed HKD 149 million[71]. - Revenue from Hong Kong, Macau, and mainland China accounted for HKD 659 million, representing 86.1% of total revenue, with a year-on-year increase of 6.5%[124]. - Revenue from other regions decreased by 45.1%, totaling HKD 106 million, down from HKD 193 million in 2022[124]. Operational Insights - The company is currently working on cash flow forecasts and expects to publish the audited annual results by mid-April 2024[8]. - The company is committed to maintaining transparency and fulfilling regulatory requirements while working closely with auditors to finalize the annual results[8]. - The company achieved a total of HKD 55 million in other income, including HKD 19 million from the sale of subsidiaries and HKD 8 million from interest on receivables[81]. - The company maintained a strong market position, delivering approximately 60% of the total luxury sports cars in the market for the calendar year 2023[94]. - The company’s management expressed satisfaction with the continued positive momentum in its multifaceted automotive business despite challenging market conditions[93]. - The company plans to conserve cash reserves and implement cost-saving measures in response to the current challenging environment, with no dividends proposed for 2023[108][115]. - The company aims to leverage its experienced management team to navigate unprecedented challenges and pursue sustainable long-term growth[115]. Market Conditions and Future Outlook - The company anticipates a recovery in the property market in Hong Kong in the second half of 2024, driven by potential interest rate cuts and recent government measures[92]. - The global economic recovery post-pandemic remains slow, influenced by geopolitical instability, interest rate hikes, and persistent inflation, affecting recovery rates across various industries[200]. Governance and Compliance - The company has adopted new and revised Hong Kong Financial Reporting Standards effective from January 1, 2023, which may impact future financial reporting[20]. - The company has established an audit committee consisting of three independent non-executive directors, ensuring compliance with the listing rules[156]. - The company’s independent non-executive directors confirmed their independence as per the listing rules, maintaining their eligibility[160]. - The company is committed to ensuring accurate financial reporting and governance practices as outlined in its corporate governance report[157]. Employee and Operational Changes - The total number of employees as of December 31, 2023, was 296, down from 325 in 2022[142]. - The company’s employee benefits expenses, excluding directors and CEO remuneration, rose to HKD 108 million in 2023 from HKD 92 million in 2022[169].

Financial Performance - The company reported a net loss attributable to equity holders of HKD 99 million for the six months ended June 30, 2023, an increase of 482.3% compared to a net loss of HKD 17 million in the same period last year[3]. - The increase in loss was primarily due to the absence of one-time litigation compensation income of HKD 93 million in the previous year and an increase in financing costs by HKD 21 million due to rising interest rates[3]. - The company's revenue for the first half of 2023 was HKD 442 million, an increase of 12.2% compared to HKD 394 million in the same period of 2022[20]. - The net loss attributable to equity holders of the parent company was HKD 99 million, a significant increase of 482.4% from a net loss of HKD 17 million in the first half of 2022[21]. - The financing costs rose by 65.6% to HKD 53 million, up from HKD 32 million in the previous year[20]. - The company recorded a pre-tax loss of HKD 97 million, compared to a loss of HKD 19 million in the previous year[49]. - The operating loss for the six months ended June 30, 2023, was HKD 9 million, compared to an operating profit of HKD 32 million for the same period in 2022[74]. Revenue Breakdown - Maserati's revenue surged by 266.7% to HKD 66 million, compared to HKD 18 million in the first half of 2022[30]. - The cultural and entertainment business recorded a revenue increase of 380.0%, reaching HKD 72 million, up from HKD 15 million in the same period last year[32]. - The Ferrari business generated revenue of HKD 189 million, with an operating profit of HKD 7 million, reflecting effective cost control measures[29]. - Revenue from Hong Kong, Macau, and Mainland China reached HKD 396 million, a 43.5% increase from HKD 276 million in the same period of 2022[36]. - Revenue from high-value collectibles and logistics business decreased to HKD 82 million from HKD 132 million, a decline of 38%[59]. - The segment revenue from the "Cultural and Entertainment" business was HKD 72 million, up from HKD 15 million in the previous year, reflecting a significant growth[73]. Cost Management and Cash Flow - The company plans to conserve cash reserves and will not recommend an interim dividend for the six months ended June 30, 2023[4]. - The company plans to maintain cash reserves and continue cost-saving measures in response to the uncertain economic environment[21]. - The company reported a net cash flow from operating activities of HKD 50 million for the six months ending June 30, 2023, compared to HKD 14 million in the same period of 2022[54]. - Cash flow from investing activities showed a net outflow of HKD 5 million, compared to an inflow of HKD 16 million in the previous year[55]. - Cash flow from financing activities resulted in a net outflow of HKD 37 million, an improvement from a net outflow of HKD 64 million in the same period last year[55]. Organizational Changes and Strategy - The company has simplified its organizational structure by selling part of its investment in the stage sound and lighting business[16]. - The company plans to continue exploring new product development and market expansion strategies in the upcoming quarters[49]. - The company aims to expand its market presence through innovative business strategies and potential acquisitions in the automotive sector[134]. - The company is focused on developing new products and technologies within the automotive sector to enhance its competitive edge[134]. - Future outlook includes strategic initiatives aimed at increasing revenue and market share in the automotive industry[134]. Shareholder Information and Capital Structure - The company issued 731,250,000 shares as part of the conversion of HKD 117 million of convertible bonds[47]. - The company issued a total of 731,250,000 shares on May 22, 2023, increasing the total number of issued shares to 1,604,361,452[48]. - As of June 30, 2023, the company had 1,604,361,452 shares issued and fully paid, an increase from 873,111,452 shares as of December 31, 2022, representing an increase of approximately 83.5%[98]. - The company's total issued capital increased from HKD 87 million to HKD 160 million due to the issuance of additional shares[99]. - Major shareholder Capital Winner Investments Limited holds 29.20% of the total issued shares[119]. - Major shareholder New Capital Industrial Limited holds 28.21% of the total issued shares[119]. - Major shareholder Capital Force International Limited holds 15.97% of the total issued shares[119]. Debt and Liabilities - The total outstanding borrowings as of June 30, 2023, were HKD 1,607 million, a decrease from HKD 1,742 million at the end of 2022[38]. - The company's total liabilities decreased to HKD 2,124 million from HKD 2,166 million at the end of 2022[52]. - The company reported a total outstanding principal amount of HKD 220 million for the 2025 convertible bonds, which are due on December 31, 2025[133]. - The company redeemed HKD 30.2 million of the 2024 bonds, leaving an outstanding principal of HKD 220 million[133]. Corporate Governance - The company has maintained compliance with corporate governance codes, except for a minor deviation regarding the separation of the roles of Chairman and CEO, which are currently held by Mr. Mai[124][125]. - The company has amended its company bylaws to enhance corporate governance standards, which were approved by shareholders at the annual general meeting held on June 30, 2023[127]. - The Audit Committee has reviewed the group's interim report, including the unaudited condensed consolidated financial statements for the six months ending June 30, 2023[130].

Financial Performance - The company reported a loss for the year ending December 31, 2022, with financial details available on pages 54 to 151 of the annual report[116]. - The board of directors does not recommend a final dividend for 2022 due to the challenging environment, with no interim dividend distributed in 2022[116]. - As of December 31, 2022, the company calculated its distributable reserves to be HKD 841 million, with an additional HKD 223 million in share premium available for distribution as scrip dividends[125]. - The company's revenue for 2022 was HKD 812 million, an increase of HKD 81 million or 11.1% compared to 2021[173]. - The gross profit for 2022 was HKD 103 million, a decrease of 14.9% from HKD 121 million in 2021[173]. - The net loss attributable to equity holders of the parent company was HKD 465 million, a reduction of 10.1% from HKD 517 million in the previous year[173]. - The company recorded a significant decrease in net loss due to a legal settlement that confirmed a gain of approximately HKD 93 million[174]. - Revenue from the Maserati business was HKD 49 million, representing a substantial increase of 188.2% compared to HKD 17 million in 2021[177]. - The company generated HKD 619 million, or 76.2% of total revenue, from Hong Kong, Macau, and mainland China, with a 1.1% increase from the previous year[181]. - The total borrowings amounted to HKD 1,742 million, which is 59.9% of the total capital, an increase from 55.5% in 2021[183]. - The company's equity attributable to equity holders decreased to HKD 1,166 million from HKD 1,621 million at the beginning of the year, a reduction of HKD 455 million[184]. - The company reported an operating loss of HKD 265 million in the securities business, an improvement from a loss of HKD 287 million in the previous year[179]. - The property investment segment recorded a revenue of HKD 11 million but faced an operating loss of HKD 119 million due to market declines[179]. - The property investment and holding segment recorded a loss of HKD 119 million in 2022, primarily due to a decline in the property market leading to unrealized fair value losses[193]. - The company did not declare a final dividend for 2022, maintaining cash reserves to address future challenges[192]. Borrowings and Capital Structure - As of December 31, 2022, the total outstanding borrowings amounted to HKD 1,742,000,000, a decrease from HKD 2,025,000,000 in 2021, with approximately 76.8% being long-term borrowings[1]. - The company plans to utilize cash generated from operating activities, additional borrowings if necessary, and the sale of non-core assets to meet working capital and capital expenditure needs[3]. - As of December 31, 2022, the company's capital commitments were approximately HKD 5,000,000, unchanged from 2021, with plans to fund these commitments through internal resources[4]. - The company had assets with a net book value of approximately HKD 1,917,000,000 pledged to banks as collateral for borrowings, down from HKD 2,274,000,000 in 2021[7]. Corporate Governance - The company is committed to maintaining high levels of corporate governance to ensure shareholder interests are maximized[26]. - The company has not reported any significant violations of laws and regulations that could impact its operations as of the reporting date[16]. - The board of directors held a total of 12 meetings during the fiscal year ending December 31, 2022[37]. - The attendance rate for the board meetings was high, with the executive director 麥紹棠 attending 10 out of 11 meetings[38]. - The company has adopted a code of conduct for securities trading, which all directors confirmed compliance with for the fiscal year ending December 31, 2022[36]. - The board consists of two executive directors and three independent non-executive directors, ensuring a balanced and diverse composition[41]. - The company has ensured that all independent non-executive directors meet the independence criteria as per the listing rules[45]. - The company encourages continuous professional development for directors, with training records maintained[47]. - The company has arranged appropriate insurance for directors and senior management against legal liabilities[39]. - The board has established a governance framework to ensure compliance with listing rules and regulations[43]. - The company has held three annual general meetings during the fiscal year, allowing shareholders to engage with the board[37]. - The chairman and managing director, currently both held by 麥紹棠, are not required to retire annually under the company's existing articles[51]. - The company held three meetings of the Remuneration Committee in the fiscal year ending December 31, 2022[60]. - The Remuneration Committee reviewed the remuneration policies and structures for directors and senior management, providing recommendations to the board[60]. - The Audit Committee conducted three meetings in 2022, reviewing the 2021 annual report, including governance and financial statements[67]. - The Audit Committee ensured the integrity and reliability of the company's financial reporting and internal control systems[64]. - The company has established a competitive remuneration scheme for directors and senior management based on skills, experience, and performance[62]. - The Nomination Committee consists of five members, including three independent non-executive directors, and is chaired by the company's executive chairman[71]. - The company’s independent non-executive directors are not required to retire by rotation under current company rules[56]. - The company’s governance practices include a clear delineation of responsibilities among the board committees[57]. - The company has a robust risk management system and internal controls in place, as reviewed by the Audit Committee[67]. - The Remuneration Committee's decisions are influenced by market conditions and the company's performance[62]. - The Nomination Committee held two meetings in 2022 to review the board's structure, composition, and diversity[72]. - The board consists of five members as of December 31, 2022, with one female member, reflecting a gender diversity of approximately 12.5%[80]. - The company has a commitment to avoid a single-gender senior management team, with 87.5% of senior staff being male[80]. - The external auditor, Ernst & Young, was paid a total of HKD 3,451,000 for audit and non-audit services in the fiscal year ending December 31, 2022[85]. - The board reviewed the effectiveness of the risk management and internal control systems and deemed them sufficient for the year 2022[87]. - The Nomination Committee's policy was adopted in January 2019 to ensure a diverse range of skills and experiences among board candidates[78]. - The company aims to enhance board diversity as a key factor in achieving strategic goals and sustainable development[80]. - The attendance of existing members at the Nomination Committee meetings was 100% for most members, indicating strong engagement[76]. - The board's diversity policy includes considerations of gender, age, cultural background, and professional experience[80]. - The company is committed to regularly reviewing its nomination policy to ensure its effectiveness[78]. - The company acknowledges the importance of risk management and internal controls in achieving strategic goals, adopting a conservative approach to manage and coordinate strategic risks for sustainable development and long-term shareholder returns[93]. - The board is responsible for assessing the nature and extent of risks the group is willing to take to achieve its strategic objectives and ensuring the establishment and maintenance of an effective risk management and internal control system[94]. - The group has identified major and emerging risks, including the impact of the COVID-19 outbreak, the ongoing trade war between China and the U.S., geopolitical risks, inflation and rising interest rates, and significant changes in government policies affecting operations[100]. - The company has implemented measures to mitigate identified risks, which will evolve in response to changes in the business and external environment[100]. - The internal audit department is responsible for reviewing and assessing the effectiveness of the risk management and internal control systems, reporting results to the board through the audit committee[99]. - All department heads are required to confirm the effectiveness of the risk management and internal control systems to the board annually[98]. - The board oversees the implementation and monitoring of the risk management and internal control systems[94]. - The company has a diversified business portfolio, including telecommunications, electronics, real estate development, and financial services, with over 46 years of experience in manufacturing and distribution[165]. - The executive team has extensive experience in the electronics industry, with over 43 years of combined experience in various roles[166]. - The company is committed to maintaining effective internal controls and compliance with listing rules, as highlighted by recent regulatory scrutiny[168]. - The board of directors has no evidence suggesting any misconduct that would affect the suitability of its members[168]. - The company has a strong leadership team with a focus on strategic planning and overall management[170]. - The independent directors bring a wealth of experience from various sectors, enhancing corporate governance[167]. - The company is actively involved in market expansion and product development, leveraging its diverse expertise[165]. - The management team is focused on enhancing operational efficiency and driving growth through strategic initiatives[170]. - The company has a history of successful leadership in the media and luxury retail sectors, contributing to its overall strategy[170]. - The board includes members with significant experience in accounting and financial management, ensuring sound financial oversight[170]. Employee Relations and Corporate Social Responsibility - The total number of employees as of December 31, 2022, was 325, an increase from 271 in 2021, with a compensation policy based on fairness and performance[9]. - The company made charitable donations of approximately HKD 30,000 in 2022 and encourages employees to participate in community charity and volunteer activities[23]. - The company emphasizes compliance with all relevant labor laws and regulations, providing competitive compensation and benefits to employees[20]. - The company has invested significant resources to provide a safe, healthy, and clean working environment for employees, implementing various measures during the COVID-19 pandemic[28]. - The company encourages employee training and development, offering various training courses and seminars[21]. - The company is committed to high standards of business integrity and prohibits any form of corruption or bribery[111]. - The company has established a whistleblowing policy to encourage reporting of misconduct, applicable to all employees and third parties[110]. Business Operations and Market Position - The company has established strong relationships with major real estate agents in Hong Kong to efficiently sell, purchase, and lease properties[16]. - Since the appointment as the official dealer for Ferrari in Hong Kong and Macau in March 2023, the company has rapidly built good relationships with customers, and Ferrari is very satisfied with the progress[16]. - The company has been the official importer and distributor for Maserati in Hong Kong and Macau since the first half of 2021, establishing strong customer relationships and receiving positive feedback from Maserati[16]. - The company’s major business segments include property, securities, automotive, collectibles investment, and cultural entertainment[114]. - Blackbird Group, a subsidiary, continues to maintain a strong development momentum in its automotive business despite challenging market conditions[196]. - Blackbird Concessionaires received orders for the new Ferrari models launched in 2022, including the highly anticipated Purosangue, which will have a launch event in Hong Kong in Spring 2023[197]. - The Ferrari service center in Kwai Chung, covering 70,000 square feet, continues to perform well, offering a full range of automotive services[198]. - Blackbird Group's appointment as the official importer for Ferrari in Hong Kong and Macau reflects its long-term commitment to the brand and strengthens its partnership with Ferrari[198]. - The appointment of Blackbird Tridente as the official importer and distributor for Maserati in Hong Kong and Macau marks another significant milestone in the company's automotive business development[199]. - Blackbird Tridente opened a new Maserati showroom in Causeway Bay, covering an area of 8,400 square feet[200]. - The company launched a new SUV model, Grecale, in Hong Kong[200]. - Grecale features an attractive design, advanced technology, and a competitive pricing strategy[200]. - The company is optimistic about the momentum of the Grecale and expects it to become one of Maserati's best-selling models soon[200]. Shareholder Communication and Dividends - The company has adopted a dividend policy to allow for the declaration and distribution of dividends, enabling shareholders to share in profits while retaining sufficient reserves for future growth[107]. - The company ensures active communication with shareholders through various channels, including shareholder meetings, company publications, and its website[107]. - The company has no plans to issue new shares or enter into agreements that would lead to the issuance of shares as of the end of the year[121]. - The company has a share option plan approved on June 23, 2021, allowing for the issuance of options up to 10% of the total issued shares at that time, which was 873,111,452 shares[147]. - No share options were granted under the 2021 plan as of the report date[149]. - The company’s stock option plan allows for a maximum issuance of shares not exceeding 1% of the total issued shares as of the grant date[151]. - The exercise price of any stock option granted under the 2021 plan must not be lower than the highest of the closing price on the grant date, the average closing price of the five trading days preceding the grant date, or the par value of the shares[153]. - The board has the discretion to impose specific holding periods for stock options at the time of grant, with a maximum exercise period of 10 years from the grant date[153]. - The company’s independent non-executive directors must approve any stock options granted to directors, senior executives, or major shareholders[151]. - As of December 31, 2022, the beneficial ownership of shares by directors and senior executives was recorded, with a significant percentage held by Mr. Mai at 211.50% of the issued shares[156].

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的內容概不負責，對其準確性或完整性亦不 發表任何聲明，並明確表示，概不對因本公佈全部或任何部份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。 （於開曼群島註冊成立並於百慕達存續之有限公司） （股份代號：00138） 截至2022年12月31日止年度 全年業績公佈 主席報告 本人謹代表董事會，報告本集團截至2022年12月31日止年度的全年業績。 業績 在困難的經營環境下，本集團錄得母公司股權擁有人應佔虧損淨額465,000,000港元，較2021年的虧 損淨額517,000,000港元減少10.1%。虧損錄得顯著減少是由於本集團於2013年就擬購買在香港的商業 物業發展項目及同一地點的停車場發展發起法律訴訟而確認收益約93,000,000港元，部分被加息的影 響抵銷所致，有關詳情於本公佈「財務回顧」一節進一步闡述。 ...

Financial Performance - The company reported a loss attributable to equity holders of HKD 17,000,000 for the six months ended June 30, 2022, a significant reduction of 79.3% compared to a loss of HKD 82,000,000 in the same period last year[5]. - The company's revenue for the first half of 2022 was HKD 394 million, an increase of HKD 112 million or 39.7% compared to the same period in 2021[27]. - The group reported a loss attributable to equity holders of the parent of HKD 17 million for the six months ended June 30, 2022, compared to a loss of HKD 82 million in the same period of 2021[107]. - The group incurred a loss of HKD 19 million for the six months ended June 30, 2022, a significant reduction from a loss of HKD 84 million in the prior year[58]. - Total revenue for the six months ended June 30, 2022, was HKD 394 million, up 40% from HKD 282 million in the same period of 2021[80]. Business Segments Performance - The property business recorded an operating loss of HKD 12,000,000, compared to an operating loss of HKD 3,000,000 in the previous year, primarily due to an unrealized fair value loss of HKD 8,000,000 on investment properties[7]. - The securities business reported an operating loss of less than HKD 1,000,000, consistent with the same period last year[10]. - The cultural entertainment segment faced challenges, resulting in an operating loss of HKD 6 million, an improvement from a loss of HKD 9 million in the same period last year[18]. - The automotive logistics business performed well, providing satisfactory operating profit margins, and a new contract was signed with Ferrari for roadside assistance services in Hong Kong[18]. - The Maserati business is expected to become a significant revenue source and contribute to income and profit growth for the group[20]. Cash Flow and Liquidity - The company reported a cash flow from operating activities of HKD 45 million for the six months ended June 30, 2022, compared to HKD 14 million in the same period of 2021, representing a significant increase[70]. - The net cash flow from investing activities was HKD 16 million for the six months ended June 30, 2022, compared to a net outflow of HKD 11 million in the previous year[71]. - The total cash and cash equivalents decreased by HKD 34 million, resulting in a closing balance of HKD 23 million as of June 30, 2022[71]. - The company experienced an increase in inventory by HKD 73 million, which impacted cash flow from operations[70]. - The company's accounts receivable increased by HKD 13 million, indicating potential challenges in cash collection[70]. Strategic Initiatives - The company is in the process of selling its entire 29.19% stake in GBA, with a total deposit of HKD 60,000,000 received from the buyer[11]. - The company aims to focus resources on core businesses by divesting from GBA investments[11]. - The company plans to maintain cash reserves and implement cost-saving measures to prepare for future recovery[20]. - The company is actively monitoring the performance of its operating segments, which include property investment, securities business, and various automotive operations[90]. - The company is considering strategic acquisitions to enhance its product portfolio and market reach[183]. Corporate Governance - The company complied with the relevant requirements of the listing rules regarding non-exempt connected transactions[141]. - The board believes that good corporate governance maximizes shareholder benefits and has adhered to all relevant codes[163]. - The roles of the chairman and CEO are not separated, which deviates from the corporate governance code, but the board believes this structure ensures effective communication and management execution[164]. - The company has adopted a code of conduct for directors' securities trading, which is not less stringent than standard regulations[168]. - The company plans to ensure that directors (excluding the chairman) rotate at least once every three years to comply with governance codes[166]. Market Outlook - The company provided an optimistic outlook, projecting a revenue growth of 10-12% for the next fiscal year[183]. - The company is expanding its market presence in the Greater Bay Area, targeting a 25% market share by 2025[181]. - The company anticipates continued growth in its revenue streams, particularly in the luxury automotive sector and related services[90]. - New product launches are expected to contribute an additional HKD 300 million in revenue over the next year[184]. - Research and development expenses increased by 30%, focusing on innovative technologies and product enhancements[182].