Financial Performance - Revenue for the six months ended September 30, 2019, was HKD 382,738,000, a decrease of 19.3% compared to HKD 474,242,000 in 2018[2] - Gross profit for the same period was HKD 71,998,000, down 10.4% from HKD 80,104,000 in 2018[2] - Net profit for the period was HKD 63,224,000, representing a decline of 11.5% from HKD 71,408,000 in the previous year[4] - Basic and diluted earnings per share were both HKD 0.0624, compared to HKD 0.0696 in 2018[2] - Total comprehensive income for the period was HKD 65,253,000, an increase of 10.4% from HKD 59,010,000 in 2018[10] - Total revenue for the period reached HKD 2,232,517, a decrease of 12,398 compared to the previous period[16] - The pre-tax profit for the period was HKD 74,541,000, with a net profit of HKD 71,408,000 after tax expenses of HKD 3,133,000[69][70] - Revenue from Hong Kong and China was HKD 372,686,000, down 18.8% from HKD 459,351,000 in the previous year[75] - The total financial expenses for the period were HKD 76,762,000, compared to HKD 58,364,000 in the previous year, indicating an increase of 31.5%[79] Assets and Liabilities - Non-current assets decreased to HKD 4,208,986,000 from HKD 4,679,067,000 as of March 31, 2019[12] - Current assets increased to HKD 2,847,425,000 from HKD 2,210,107,000 as of March 31, 2019[12] - Total liabilities increased to HKD 1,367,538,000 from HKD 1,149,146,000 as of March 31, 2019[14] - The company reported retained earnings of HKD 2,003,175, reflecting a stable financial position[16] - The company recognized lease liabilities of HKD 58,611,000 as of April 1, 2019, with current lease liabilities at HKD 22,602,000 and non-current lease liabilities at HKD 36,009,000[52] - Accounts payable as of September 30, 2019, totaled HKD 101,529,000, an increase from HKD 88,183,000 as of March 31, 2019[96] - Total borrowings amounted to approximately HKD 3.94 billion, with HKD 850 million due within one year[118] Cash Flow - Net cash generated from operating activities was HKD 19,900, up from HKD 13,833 in the previous period[19] - Cash flow from investing activities was HKD 421,367, compared to a cash outflow of HKD 117,582 in the previous period[20] - Cash flow from financing activities was HKD 34,614, an improvement from a cash outflow of HKD 54,267 in the previous period[21] - The net increase in cash and cash equivalents was HKD 475,881, compared to a decrease of HKD 158,016 in the previous period[22] - Cash and cash equivalents at the end of the period totaled HKD 1,299,979, up from HKD 708,502 in the previous period[25] - The group has a cash balance of approximately HKD 1.3 billion as of September 30, 2019, up from HKD 812 million as of March 31, 2019[118] Investment and Property - The company reported a fair value increase of investment properties amounting to HKD 20,443,000 compared to HKD 2,615,000 in 2018[2] - The fair value of investment properties as of September 30, 2019, was HKD 3,261,670,000, reflecting a decrease from HKD 3,816,951,000 as of March 31, 2019[89] - The company recognized a gain of HKD 19,560,000 from the sale of properties, machinery, and equipment during the period[78] - The total rental income net of expenses was HKD 33,122,000, down from HKD 42,999,000 in the previous year[81] - The fair value of investment properties in Hong Kong and China is determined using the residual method, reflecting the quality of completed development projects[92] Segment Performance - For the six months ended September 30, 2019, the company reported total revenue of HKD 382,738,000, with external sales from watch manufacturing and trading amounting to HKD 327,082,000[63] - The company achieved a segment profit of HKD 39,222,000, with hotel operations contributing HKD 25,048,000 to this figure[63] - The company’s segment performance included a profit of HKD 7,705,000 from property development and investment[63] Dividends and Share Capital - The company proposed an interim dividend of HKD 0.005 per share, consistent with the previous year[87] - The issued and fully paid share capital as of September 30, 2019, was HKD 101,079,000, with 1,010,794,962 shares in issue[102] - The company declared an interim dividend of HKD 0.005 per share, consistent with the previous year[114] Management and Governance - The company has established an Audit and Risk Management Committee, consisting of independent non-executive directors, to review accounting principles and practices[137] - The company has adopted a standard code for securities trading that meets or exceeds the requirements set out in the listing rules[138] - As of the report date, the executive directors include Mr. Li Yuanqing and others, while independent non-executive directors include Dr. Sun Bingshu and others[139]

Financial Performance - The audited consolidated profit attributable to owners for the year ended March 31, 2019, was HKD 221,825,779, compared to HKD 218,708,930 for the year ended March 31, 2018, representing a slight increase of 0.97%[8] - Basic and diluted earnings per share for the year ended March 31, 2019, were both HKD 0.217, compared to HKD 0.215 and HKD 0.213 for the year ended March 31, 2018, indicating a year-on-year increase of 0.93%[8] - The company's revenue for the year ended March 31, 2019, was HKD 881,447,549, a decrease of 37.2% compared to HKD 1,405,711,077 in 2018[173] - Gross profit for the year was HKD 160,943,090, down from HKD 174,694,714 in the previous year, reflecting a decline of 7.8%[173] - The company reported a net profit of HKD 221,825,779, slightly up from HKD 218,708,930 in 2018, indicating a growth of 1.0%[176] - The total comprehensive income for the year was HKD 242,274,451, compared to HKD 200,992,867 in the previous year, reflecting an increase of approximately 20.5%[183] Dividends - The board proposed a final dividend of HKD 0.03 per share and a special cash dividend of HKD 0.01 per share, consistent with the previous year's dividends[9] - The company declared an interim dividend of HKD 0.005 per share, totaling HKD 5,101,510 for the year ended March 31, 2019[55] - The proposed final dividend is HKD 0.03 per share and a special cash dividend of HKD 0.01 per share, amounting to approximately HKD 40,526,000[55] - The company aims to balance sufficient capital for business development and shareholder returns, considering actual and expected performance, liquidity, and future expansion plans when determining dividends[140] - The company reported a decrease in dividends paid, totaling HKD (45,770,629) for the year, slightly lower than HKD (46,102,109) in the previous year[183] Revenue and Profit Segments - The watch manufacturing and trading segment experienced a decline in revenue and profit due to the adverse effects of the US-China trade war[10] - The hotel operations segment continued to grow, with improved revenue and profit performance compared to the previous year, driven by enhanced brand recognition[14] - The group anticipates continued weak demand for quartz watches and accessories, expecting another challenging year due to the ongoing trade war[19] - The group continues to improve hotel operations to enhance room rates and occupancy, resulting in satisfactory growth in revenue and profit from the hotel business[33] Investments and Assets - The group entered into a sale agreement for the second phase of a mixed-use development project in Toronto, Canada, for CAD 107,000,000, with a net book value of approximately CAD 56,700,000 as of February 28, 2019[31] - The fair value of the group's investment properties reached HKD 3,816,951,052, with an increase of HKD 415,178,334 recognized in the consolidated income statement for the year[151] - The group's available-for-sale development properties amounted to HKD 881,054,373 as of March 31, 2019, with significant management estimates involved in determining their recoverable amounts[157] - The valuation of available-for-sale development properties is based on the lower of cost and net realizable value, which is estimated by deducting estimated completion costs and selling costs from actual or estimated selling prices[157] Financial Position and Borrowings - The total borrowings of the group as of March 31, 2019, were approximately HKD 3,876 million, an increase of about HKD 423 million from HKD 3,453 million in 2018[34] - The capital-to-debt ratio as of March 31, 2019, was 1.35, up from 1.20 in 2018, calculated based on long-term borrowings of approximately HKD 3,202 million and shareholders' equity of approximately HKD 2,374 million[34] - The group had cash and bank balances totaling approximately HKD 812 million as of March 31, 2019, down from HKD 865 million in 2018[34] - The company’s long-term bank loans rose to HKD 3,201,974,212 from HKD 2,679,999,609, an increase of 19.4%[181] Corporate Governance - The company has complied with the corporate governance code as per the listing rules, with some deviations noted in the annual report[85] - The board of directors consists of nine members, including five executive directors, one non-executive director, and three independent non-executive directors[101] - The attendance rate for board meetings was 100% for all directors, with four meetings held during the year[105] - The company has established a set of standards for securities trading by directors, ensuring compliance with the relevant regulations[99] Audit and Compliance - The independent auditor's report confirms that the consolidated financial statements fairly reflect the group's financial position as of March 31, 2019, in accordance with Hong Kong Financial Reporting Standards[147] - The audit report for the year was conducted by Guo Wei CPA Limited, which will be proposed for reappointment at the upcoming annual general meeting[93] - The independent auditor's report emphasizes the importance of professional judgment and maintaining professional skepticism throughout the audit process[165] - The auditor identified and assessed risks of material misstatement due to fraud or error, designing audit procedures to address these risks[165] Market and Strategic Outlook - The group is exploring strategies to diversify its product offerings, including the development of other electronic products, in response to the changing global trade environment[26] - A new multifunctional sports watch with Bluetooth connectivity and various tracking features is being developed to enhance the product lineup[28] - The group is carefully monitoring the market to determine the optimal timing for launching sales of its luxury residential development project in Hong Kong[21]