Financial Performance - Profit for the period attributable to owners of the Company decreased by 68% to HK$46 million from HK$143 million in the previous year[6] - Basic earnings per share fell to 2.01 HK cents, down 68% from 6.21 HK cents[7] - Profit attributable to the owners of the Company decreased by approximately HK$96.9 million to approximately HK$46.3 million, representing a decrease of 68% compared to HK$143.2 million in 2018[50] - Rental income for the Period amounted to approximately HK$55.6 million, a decrease of approximately 3.8% from HK$57.8 million in 2018, mainly due to decreased occupancy rates[52] - The profit before taxation was a loss of HK$6,027,000, significantly lower than the profit of HK$298,593,000 in the prior period[185] - The loss for the period from continuing operations was HK$15,919,000, compared to a profit of HK$273,181,000 in the previous year[185] - Total comprehensive income for the period was HK$29,055,000, down 43.5% from HK$51,243,000 in 2018[192] Assets and Liabilities - Total assets decreased by 4% to HK$11,444 million compared to HK$11,933 million in 2018[6] - Current liabilities increased to HK$3,811,294,000 from HK$3,741,807,000 at the end of 2018[199] - Net current assets improved significantly to HK$3,722,403,000 compared to HK$691,183,000 in the previous period[199] - As of June 30, 2019, the Group had bank balances and cash of approximately HK$483,258,000, a decrease from HK$497,244,000 as of December 31, 2018[73] Equity and Shareholder Information - Equity attributable to owners of the Company decreased by 6% to HK$6,768 million from HK$7,186 million[6] - The shareholders' fund was approximately HK$6,768.2 million, a decrease of HK$19.4 million or 0.29% compared to December 31, 2018, primarily due to a depreciation of RMB by over 5%[92] - As of 30 June 2019, the total number of issued ordinary shares of the Company was 2,304,849,611 shares[138] - Mr. Chu holds a direct interest of 681,240,022 shares, representing approximately 29.56% of the issued shares of the Company[134] Mergers and Acquisitions - The merger between Zhong Hai You Qi and its subsidiaries was completed on July 15, 2019, with the company owning 51% of the merged entity[20] - The merger is expected to leverage the advantages of both private and state-run enterprises to enhance operational efficiency and competitiveness[20] - The merged entity will serve as a major production base for comprehensive petrochemical products in the Yangtze River Delta region[36] Investments and Financial Strategy - The group has made significant investments in non-performing assets, acquiring a portfolio valued at approximately RMB166.1 million from China Great Wall Asset Management Co. Ltd.[37] - The company plans to expand its financial services sector, focusing on non-performing asset management as a key business area[37] - The Group plans to restructure its financial asset investments business in China in the second half of 2019 to capitalize on regulatory changes[85] - The Group issued convertible bonds totaling HK$1,150 million in July 2019 to raise capital for expanding its share in the non-performing assets market[85] Operational Efficiency and Cost Management - The company aims to enhance its production of high value-added products to improve operating profit margins and ensure stable revenue contributions[20] - The management believes that optimizing production processes and strengthening cost management will enhance profitability in the petroleum refining and chemical business[90] - The company is focusing on optimizing production processes and enhancing cost management to improve operational efficiency in its oil refining business[91] Employee and Corporate Governance - The Group employed 615 employees as of June 30, 2019, an increase from 588 employees on December 31, 2018, with total staff costs from continuing operations approximately HK$24.3 million, compared to HK$21.8 million for the same period in 2018[106] - The Company has complied with all mandatory provisions set out in the Corporate Governance Code throughout the period, except for the absence of the Chairman at the annual general meeting[123] - Continuous training has been provided to employees based on the Company's needs during the period[111] Market Conditions and Future Outlook - The Group expects the global trade situation to deteriorate and crude oil demand to trend downward due to ongoing trade friction between China and the United States[90] - The non-performing loan ratio of commercial banks in China reached 1.81% by the end of the second quarter in 2019, the highest since 2009[85]

Financial Performance - The loss attributable to owners of the Company for 2018 was approximately HK$49.4 million, a significant decline from a profit of HK$260.2 million in 2017, representing a 119% change [5]. - Basic loss per share for 2018 was 2.14 HK cents, compared to earnings of 11.29 HK cents in 2017, marking a 119% decrease [14]. - The Group recorded a loss of approximately HK$49,375,000 for the year 2018, compared to a profit of approximately HK$260,201,000 in 2017, resulting in a basic loss per share of HK$2.14 [17]. - The significant loss was primarily due to the five-month production suspension of its subsidiary, TZ United East, which led to an increase in losses by approximately HK$373,638,000 [17]. - The profit contribution from Zhong Hai You Qi decreased by approximately HK$185,102,000 due to falling international crude oil prices and inventory impairment losses [17]. Assets and Liabilities - Total assets decreased by 5% to HK$11,345 million in 2018 from HK$11,946 million in 2017 [5]. - Equity attributable to owners of the Company fell by 5% to HK$6,749 million in 2018 from HK$7,103 million in 2017 [5]. - Bank deposits, bank balances, and cash decreased by 42% to HK$860 million in 2018 from HK$1,485 million in 2017 [5]. - The Group's total borrowings amounted to approximately HK$2,923,790,000, with short-term borrowings at HK$1,723.5 million (59%) and long-term borrowings at HK$1,200.3 million (41%) [90]. - The total liabilities of the Group were HK$2,923,790,000, down from HK$3,231,120,000 in the previous year [136]. Operational Performance - The significant increase in operating losses of approximately HK$373.6 million was primarily due to the suspension of production at Taizhou United East Petrochemical Company for five months [15]. - The annual production capacity of TZ United East increased significantly from 110,000 tons to 1,600,000 tons after the completion of the Binjiang Project [33]. - TZ United East processed 582,100 tons of raw materials in 2018, a decrease of 50% from 1,160,900 tons in 2017 [38]. - Revenue from raw materials sold dropped by 82% to HK$6.4 million in 2018, down from HK$34.9 million in 2017 [38]. - TZ United East's subcontracting income fell by 46% to HK$385.9 million in 2018, compared to HK$715.2 million in 2017 [38]. Investment and Development - The Group is actively searching for investment and merger and acquisition opportunities to generate significant profits and cash flows [76]. - The Group invested RMB116,000,000 (approximately HK$129,500,000) for an 8.29% equity interest in Beijing TeraSolar, with RMB58,000,000 (approximately HK$64,700,000) paid as partial payment in 2015 [61][65]. - JC International received an investment of RMB100 million (approximately HK$124.6 million) for a 10% equity interest [56]. - The Group has unutilized banking facilities of approximately HK$317,000,000, indicating potential for future financing [91]. Employee and Management - The Group employed 588 employees at the end of the reporting period, an increase from 559 in the previous year [142]. - Total staff costs for the year increased by approximately 9% to around HK$173,982,000, primarily due to a special bonus of HK$25,000,000 paid to three key staff and redundancy costs of approximately HK$6,300,000 [142]. - The Group emphasizes attracting and retaining talented individuals, providing ongoing training, and offering competitive compensation packages [197]. - The company is committed to attracting and retaining talent in a work environment focused on fairness, mutual respect, and integrity [200]. Market Conditions and Future Outlook - The Board anticipates continued uncertainties in 2019 due to the trade war between China and the United States and Brexit, which may further impact global macroeconomic conditions [20]. - The Group expects to benefit from the future development trend of the Chinese economy, as its business activities are primarily conducted in the China market [21]. Environmental and Safety Practices - The Group is committed to providing a healthy and safe workplace, complying with all applicable health and safety laws and regulations [198]. - Energy-saving measures are enforced in the Group's offices to reduce electricity consumption and greenhouse gas emissions [199]. - The Group has adopted policies to promote recycling and the use of eco-friendly stationery, resulting in more efficient resource use and waste reduction [199].