Financial Performance - In FY2022, the Group's rental income increased to approximately HK$0.37 million from HK$0.28 million in FY2021, and income from leasing certain office premises rose to approximately HK$2.42 million from HK$1.26 million[4]. - The marine recreation services and hotel segment revenue decreased by approximately 37% compared to the previous year due to ongoing COVID-19 restrictions, leading to total segmental selling expenses dropping to approximately HK$8.84 million from HK$13.50 million[7]. - Other income and gains included interest income of approximately HK$16.70 million, up from approximately HK$15.43 million in FY2021, and value-added tax credits of approximately HK$3.02 million were obtained[8]. - The Group's administrative expenses increased by 12% to approximately HK$120.62 million from HK$107.62 million in FY2021[10]. - Selling expenses decreased by approximately 21% to about HK$12.53 million from HK$15.94 million in FY2021, despite an increase in agency commission costs[11]. - The Group anticipates new development opportunities in 2023 as the domestic economy begins to recover[15]. Assets and Liabilities - Total assets as of December 31, 2022, were approximately HK$10.01 billion, a 23% increase from HK$8.17 billion in the previous year, with current assets making up about 42% of total assets[20]. - The Group's total liabilities increased by 41% to approximately HK$7.07 billion from HK$5.03 billion, while total net assets decreased by 7% to approximately HK$2.94 billion[20]. - As of December 31, 2022, the current ratio decreased to approximately 0.97 times from 1.17 times in 2021, primarily due to bank borrowings classified as current liabilities[21]. - The Group's cash and deposits amounted to approximately HK$534.56 million as of December 31, 2022, a decrease from approximately HK$1,384.67 million in 2021, accounting for about 5% of total assets[21]. - Bank borrowings increased by approximately 120% to HK$3,167.01 million as of December 31, 2022, compared to HK$1,441.78 million in 2021[21]. - The total debts to total equity ratio increased to 2.12 in 2022 from 1.41 in 2021, indicating higher leverage[22]. - The total debts to total assets ratio rose to 0.62 in 2022 from 0.54 in 2021, reflecting an increase in overall debt levels[22]. Financial Strategy and Risks - The financial leasing industry is expected to maintain healthy development during the "14th Five-Year Plan" period, driven by domestic industry upgrades and macroeconomic recovery[14]. - The Group plans to focus resources on rapidly expanding its principal business of financial leasing to create greater value for shareholders[17]. - The Group's foreign exchange reserve decreased by approximately HK$240 million during the year, impacting net assets as of December 31, 2022[28]. - The Group's leasing receivables were primarily accounted for using floating interest rates, effectively hedging against interest rate risks from bank borrowings in the PRC[50]. - The Group will continue to monitor interest rate fluctuations and implement appropriate hedging strategies[54]. Corporate Governance - The Company adheres to the corporate governance code as per the Listing Rules, ensuring operational transparency and accountability[83]. - The Group emphasizes the importance of good corporate governance for sustainable development and continuously strives to uphold high standards[80]. - The Board comprises a balance of skills and experiences necessary for effective leadership, reflecting independence in decision-making[87]. - The Company has complied with all code provisions of the Corporate Governance Code for the year, ensuring adherence to applicable laws and regulations[107]. - The Company has adopted a Board Diversity Policy, considering various factors such as gender, age, and professional experience in director appointments[121]. Board Structure and Meetings - The Board consists of six Directors, all male, and aims to introduce at least one female Director by December 31, 2024, to enhance gender diversity[1]. - The Company held a total of thirteen Board meetings during the year, including four regular meetings[1]. - The Remuneration Committee held two meetings during the year to review the remuneration policy and structure for Directors and senior management[1]. - The Nomination Committee comprises two independent non-executive Directors and one executive Director, focusing on the nomination process for Board candidates[1]. - The Board has established five committees, including the newly formed ESG Committee, to oversee various aspects of corporate governance[189]. Workforce and Diversity - As of the report date, the workforce gender ratio is approximately 58% male and 42% female, indicating a balanced gender representation[1]. - The Company emphasizes the importance of gender diversity in its workforce and will periodically review this aspect in line with business development[1]. - The Board believes that gender diversity will enhance decision-making processes and foster business development[1].

Financial Compliance and Reporting - The interim financial information for the six months ended June 30, 2022, was reviewed and found to be in compliance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" [14] - The condensed consolidated income statement for the period is unaudited and includes key financial metrics [16] - The Group has adopted several amendments to HKFRSs effective from January 1, 2022, but these amendments did not have a material effect on the Group's financial results [71] Governance and Leadership - The company has established an Environmental, Social and Governance (ESG) Committee effective from July 1, 2022, to enhance its governance framework [4] - The board of directors includes executive and independent non-executive members, ensuring a diverse governance structure [4] - The company has appointed Wang Daxiong as a non-executive director effective from July 1, 2022, strengthening its leadership team [4] - The audit committee is chaired by Lee Man Chun, Tony, ensuring oversight of financial reporting [4] - The company has a dedicated remuneration committee to address compensation matters for its executives [4] Financial Performance - For the six months ended June 30, 2022, the turnover was HK$476,167,000, an increase from HK$473,753,000 in 2021 [18] - Gross profit decreased to HK$106,869,000 from HK$120,819,000, reflecting a decline of approximately 11.5% [18] - Profit for the period was HK$21,758,000, down from HK$54,373,000, representing a decrease of about 60% [23] - Total comprehensive income for the period was a loss of HK$117,828,000, compared to a gain of HK$72,099,000 in the previous year [23] - Basic and diluted earnings per share decreased to HK$0.35 from HK$0.93, a decline of approximately 62% [18] Assets and Liabilities - Non-current assets decreased to HK$4,031,116,000 from HK$4,367,594,000, a reduction of about 7.7% [27] - Current liabilities increased to HK$3,418,253,000 from HK$3,238,608,000, an increase of approximately 5.6% [30] - Total assets less current liabilities decreased to HK$4,728,551,000 from HK$4,929,198,000, a decline of about 4.1% [30] - The company reported a fair value loss on investment properties of HK$2,009,000 compared to a gain of HK$470,000 in the previous year [18] Cash Flow and Financing Activities - Net cash used in operating activities for 2022 was HK$ (70,059), a significant improvement from HK$ (1,353,561) in 2021, indicating a reduction in cash outflow [61] - Net cash generated from investing activities was HK$ 7,042, compared to HK$ 20,519 in the previous year, reflecting a decrease in investment cash flow [61] - New bank loans raised amounted to HK$ 1,221,282, a substantial increase from HK$ 516,668 in 2021, indicating a strong financing activity [61] - Net cash generated from financing activities was HK$ 94,042, a decrease from HK$ 1,758,274 in the previous year, suggesting a reduction in financing inflows [61] - The net increase in cash and cash equivalents for the period was HK$ 31,025, down from HK$ 425,232 in 2021, reflecting a decline in overall liquidity [61] Business Segments and Operations - The company is primarily engaged in investment holding, leasing, bulk commodity trading, property development, and marine recreation services, indicating a diversified business model [64] - For the six months ended June 30, 2022, the Group's total turnover was HK$476,167,000, with external sales from leasing at HK$186,102,000 and bulk commodity trade at HK$240,724,000 [77] - The segment results for leasing were HK$65,328,000, while bulk commodity trade generated a segment result of HK$1,743,000, and marine recreation services and hotel reported a loss of HK$11,365,000 [77] Taxation and Dividends - Current tax expense for the period was HK$21,449,000, slightly down from HK$22,802,000 in the previous year [132] - The company did not declare any interim dividend for the six months ended 30 June 2022 and 2021 [141] - The final dividend of HK$0.54 per ordinary share for the year ended 31 December 2021 totaled HK$32,209,000, approved on 24 June 2022 [140] Receivables and Payables - Trade and bills receivables reached HK$36,738,000 as of June 30, 2022, up from HK$30,062,000 as of December 31, 2021 [174] - Prepayments to suppliers significantly increased to HK$59,685,000 as of June 30, 2022, from HK$15,132,000 as of December 31, 2021 [174] - Other receivables decreased to HK$19,915,000 as of June 30, 2022, down from HK$29,773,000 as of December 31, 2021 [174] - Trade payables were reported at HK$9,533,000 as of June 30, 2022, significantly higher than HK$1,296,000 as of December 31, 2021 [189] - Other payables and accruals increased to HK$68,766,000 as of June 30, 2022, from HK$51,361,000 as of December 31, 2021 [189] Loans and Borrowings - The total bank borrowings amounted to HK$1,969,078,000 as of June 30, 2022, an increase from HK$1,441,775,000 as of December 31, 2021 [192] - Secured bank borrowings increased to HK$1,468,579,000 as of June 30, 2022, compared to HK$981,456,000 as of December 31, 2021 [192] - The effective interest rates of bank loans ranged from 2.25% to 4.90% per annum as of June 30, 2022, compared to 1.99% to 4.90% as of December 31, 2021 [198]

Financial Performance - The Group recorded a turnover of approximately HK$1,173 million in 2021, representing an increase of approximately 26% compared to HK$932 million in 2020[16]. - Profit before income tax for the year amounted to approximately HK$170 million, reflecting a growth of approximately 7.6% from HK$158 million in the previous year[16]. - The significant increase in profit before tax was primarily due to the sharp rise in profit contribution from the leasing business, with segment results of approximately HK$197 million, a year-on-year increase of approximately 62%[16]. - The Group's consolidated turnover for the year ended December 31, 2021, was approximately HK$1,172.68 million, representing an increase of approximately 26% compared to the previous year[30]. - The consolidated profit before income tax was approximately HK$169.81 million, representing a 7% increase from approximately HK$158.08 million last year, driven by a 46% year-on-year surge in consolidated gross profit to approximately HK$272.31 million[37]. Leasing Business - The leasing business generated a segment turnover of approximately HK$315 million, which is an increase of approximately 115% year-on-year[16]. - Finance lease receivables and loans receivable for the year reached approximately HK$5.87 billion, representing a year-on-year increase of approximately 183%[17]. - The Group's leasing segment achieved a revenue increase of 115% year-on-year, with rental income from operating leases surging by over 6 times compared to the previous year[43]. - Chengtong Leasing completed 37 finance lease and sales and leaseback projects, along with 24 consultancy service projects, marking an increase of over 100% in project numbers year-on-year[43]. - The Group's leasing receivables had an aggregate carrying value of approximately HK$3,907.63 million, significantly up from approximately HK$199.99 million in 2020[144]. Asset Management - Total assets of the Group amounted to approximately HK$8.17 billion, indicating a year-on-year increase of approximately 100%[17]. - The Group's total assets reached approximately HK$80.17 billion, reflecting a year-on-year growth of about 100%[22]. - As of December 31, 2021, the Group's total assets amounted to approximately HK$8,167.81 million, representing an increase of approximately 109% compared to HK$3,906.75 million as of December 31, 2020[126]. - The Group's total liabilities increased to approximately HK$5,026.10 million as of December 31, 2021, from approximately HK$921.48 million as of December 31, 2020, marking a rise of 445%[126]. Securities Issuance - The Group successfully issued two phases of asset-backed securities (ABS) totaling approximately RMB3 billion, with over 70% of the underlying assets being state-owned enterprise and green assets[17]. - The second phase of ABS achieved an average coupon rate of 3.6%, setting a new record[17]. - The Group successfully issued two phases of asset-backed securities totaling approximately RMB 30 billion, achieving an average coupon rate of 3.6%[22]. Business Strategy - The Group aims to strengthen strategic guidance and increase efforts in divesting non-core businesses while focusing on leasing as its principal business[23]. - The Group plans to actively promote the restructuring of its marine recreation services and hotel business due to ongoing losses impacted by COVID-19[25]. - The Group plans to deepen business development in four major areas: energy saving and environmental protection, transportation and logistics, internet data centers, and new energy[118]. - The Group will steadily expand its cross-border leasing business and gradually open up domestic and overseas financing channels[118]. - The Group aims to accelerate the construction and sales of the CCT-Champs-Elysees project while gradually withdrawing from property development[118]. Corporate Governance - The Group emphasizes the importance of good corporate governance for sustainable development and strives to uphold high standards continuously[163]. - The Company complied with all code provisions of the Corporate Governance Code for the Year, except for the absence of Professor He Jia at the AGM due to other commitments[163]. - The Board is responsible for major matters, including risk management strategies and significant financial decisions, ensuring the healthy growth of the Company[163]. - The Board comprises a balanced mix of skills and experiences, ensuring effective leadership and independent decision-making[165]. - The Company has consistently met the Listing Rules requirements for independent non-executive directors, maintaining at least three such directors, representing over one-third of the Board[165]. Financial Ratios - The current ratio as of December 31, 2021, was approximately 1.17 times, down from approximately 2.32 times in 2020, indicating a decrease in liquidity[126]. - The debt to equity ratio was approximately 1.41 times, and the debt to asset ratio was approximately 0.54 times, indicating increased leverage due to the focus on leasing business[132]. - The interest coverage ratio was approximately 28 times, representing a year-on-year increase of approximately 40% from 20 times as of December 31, 2020[132]. Operational Efficiency - The Group completed a total of 37 projects throughout the year, enhancing its operational efficiency[17]. - The segmental cost of revenue increased by approximately HK$79.44 million or 40 times from last year to approximately HK$81.44 million, primarily due to the rapid expansion of the leasing business[47]. - The Group had more than 60 active leasing customers, primarily state-owned enterprises, with comparatively low non-performing exposures[53]. Market Performance - The Group's international trade revenue increased significantly by approximately 71% to approximately HK$755.43 million for the year, while total segment revenue increased by approximately HK$77.54 million or 11% from the previous year[57]. - The trading of steel products grew by 82% to HK$520.90 million, while chemicals increased by 77% to HK$225.28 million; however, coal and others decreased by 67% to HK$9.25 million[62]. - Revenue from marine recreation services rose by about 35% to approximately HK$13.77 million, up from HK$10.21 million in 2020[80]. Future Outlook - The Group does not have any future plans for material investments or capital assets in the coming year[146]. - There are no significant future investment or capital asset plans disclosed for the upcoming year beyond what is reported in the annual report[150]. - No significant events occurred after the end of the reporting period[151].

中國誠通發展集團有限公司 China Chengtong Development Group Limited ( 於香港註冊立之有限公司) 股份託 Stok Code: 217 .. . | --- | --- | --- | --- | --- | |----------|-----------------------------------------------------------------------------|-------|-------------|------------| | | | | | | | Contents | | | | | | 目錄 | | | | Non-Ac/Ac | | 2 | Corporate Information 公司資料 | | 非財務╱財務 | Date 日期 | | 4 | Report on Review of Interim Financial Information 中期財務資料的審閱報告 | | | | | 6 | Condensed Consolidated Income Statement 簡明綜合收益表 | | | | | 7 | Co ...

中國誠通發展集團有限公司 China Chengtong Development Group Limited ( 於香港註冊成立之有限公司 ) (Incorporated in Hong Kong with limited liability) 股份代號 Stock Code: 217 61.320 67.112 77.218 53.682 87.322 69.321 59.113 ANNUAL REPORT 年 度 報 告 CONTENTS 目錄 2 Corporate Information 公司資料 Chairman's Statement 4 主席致辭 Management Discussion and Analysis 6 管理層討論與分析 Biographies of Directors and Senior Management 23 董事及高级管理層履歷 Corporate Governance Report 28 企業管治報告 Directors' Report 45 董事會报告 Independent Auditor's Report 67 獨立核數師報告 Consolidated Inc ...

Financial Reporting and Compliance - The interim financial information for the six months ended June 30, 2020, was prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" without any material discrepancies[14]. - The review of the interim financial information was conducted in compliance with the relevant provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[9]. - The independent review report confirms that no significant issues were identified during the review process[14]. - The company is committed to maintaining compliance with Hong Kong accounting standards and regulations[14]. - The interim report includes detailed financial statements and explanatory notes spanning pages 6 to 44[8]. Financial Performance - The company reported a condensed consolidated income statement and comprehensive income statement for the period, reflecting its financial performance[8]. - Turnover for the six months ended June 30, 2020, was HK$527,035,000, representing an increase of 3.3% compared to HK$507,888,000 in 2019[16]. - Gross profit for the same period was HK$73,538,000, up from HK$54,928,000, indicating a significant increase of 33.7%[16]. - Profit for the period decreased to HK$14,332,000 from HK$17,182,000, reflecting a decline of 16.8% year-over-year[19]. - Earnings per share attributable to owners of the Company was HK$0.26, down from HK$0.32 in the previous year, a decrease of 18.8%[16]. - Total comprehensive income for the period attributable to owners of the Company was a loss of HK$99,937,000, compared to a gain of HK$89,453,000 in 2019[19]. Assets and Liabilities - Non-current assets as of June 30, 2020, totaled HK$1,314,209,000, a decrease from HK$1,020,462,000 at the end of 2019[21]. - Current liabilities increased to HK$750,474,000 from HK$636,039,000, representing an increase of 17.9%[24]. - Net current assets as of June 30, 2020, were HK$1,511,966,000, down from HK$1,939,893,000, a decrease of 22.0%[24]. - Total equity as of June 30, 2020, was HK$2,788,006,000, a decrease from HK$2,914,216,000 at the end of 2019, reflecting a decline of 4.3%[24]. Cash Flow and Financing Activities - For the six months ended June 30, 2020, net cash used in operating activities was HK$350,679,000, compared to HK$25,566,000 in 2019, indicating a significant increase in cash outflow[40]. - Net cash generated from investing activities was HK$222,358,000, a decrease from HK$280,135,000 in the same period of 2019[40]. - Cash and cash equivalents at the end of the period were HK$666,666,000, down from HK$1,075,838,000 at the end of June 2019, reflecting a decrease of approximately 38%[40]. - The company reported a net increase in cash and cash equivalents of HK$17,414,000 for the period, compared to a net decrease of HK$81,862,000 in the previous year[40]. - The total cash flow from financing activities resulted in a net increase of HK$17,414,000, contrasting with a net decrease of HK$110,907,000 in the prior year[40]. Segment Performance - For the six months ended June 30, 2020, the Group's total turnover was HK$527,035,000, with external sales from finance leasing at HK$59,752,000 and bulk commodity trade at HK$443,771,000[59]. - The segment results showed a profit before income tax of HK$29,342,000, with finance leasing contributing HK$55,103,000 and bulk commodity trade contributing HK$1,010,000[59]. - The property development segment generated revenue of HK$17,812,000, while property investment and marine recreation services contributed HK$699,000 and HK$5,001,000 respectively[59]. Related Party Transactions and Contingent Liabilities - Related party transactions were disclosed, indicating ongoing business relationships during the reporting period[170]. - As of June 30, 2020, the Group had contingent liabilities of approximately HK$252,036,000 related to guarantees for mortgage loans, up from HK$207,145,000 at the end of 2019, an increase of 21.6%[194]. - The financial impact of the guarantees provided is considered minor by the board of directors, and thus no provision has been made in the interim financial information[198]. Corporate Governance - The audit committee is chaired by Lee Man Chun, Tony, ensuring oversight of financial reporting[4]. - The company has established a remuneration committee to oversee compensation practices, chaired by He Jia[4]. - The company’s issued and fully paid share capital remained at HK$2,185,876,000 as of June 30, 2020, with 5,808,735,000 shares[149].

Financial Performance - The Group recorded a turnover of approximately HK$1,110.60 million for the year, representing an increase of approximately 9% compared to HK$1,020.89 million in 2018[10]. - Profit before tax for the year amounted to approximately HK$90.01 million, a decrease from approximately HK$168.91 million in 2018; excluding last year's disposal income, profit before tax increased by approximately HK$31.89 million[10]. - The consolidated profit before income tax was approximately HK$90.01 million, a year-on-year decrease of approximately 47%, but increased by approximately 55% when excluding non-recurring income from 2018[19]. - The profit attributable to owners of the Company for the year amounted to approximately HK$47.54 million, representing a year-on-year decrease of approximately 58%[19]. - The profit before tax from finance leasing was approximately HK$66.77 million, representing a year-on-year increase of approximately 51%[22]. - The turnover from the bulk commodity trade business segment was approximately HK$870.15 million, which was similar to the previous year[24]. - The turnover for the commodity trading segment was approximately HK$870.15 million, similar to HK$865.24 million in 2018, with a pre-tax profit of approximately HK$3.51 million, a decrease of about 19% year-on-year[26]. - The sales volume of coal trading decreased by approximately 17% year-on-year to approximately 0.71 million tons, with turnover decreasing by approximately 24% to approximately HK$467.82 million[25]. - The average unit selling price of coal decreased by approximately 3% from approximately RMB600 per ton to approximately RMB580 per ton[25]. Business Strategy and Operations - The Group is gradually withdrawing from the domestic coal trading business while continuing to engage in bulk commodity trade with a joint venture formed with Chengtong International Limited[11]. - The Group's strategy in property development is to gradually exit current projects, focusing on selling the CCT-Champs-Elysees project in Zhucheng City and restructuring the Dafeng City project[11]. - The Group aims to expand its finance leasing business prudently while leveraging resources from its controlling shareholder[12]. - The finance leasing business is confirmed as the prime focus for future development, laying a solid foundation for rapid growth in the coming years[11]. - The Group plans to withdraw from land development in Dafeng City, Jiangsu Province, with relevant land not yet resumed as of December 31, 2019[39]. - The Group entered into a joint venture with Chengtong International, owning 51% of the venture, to enhance international procurement and sales capabilities[58]. - The Group conditionally agreed to sell 41% of Chengtong Energy for approximately HK$27.38 million, marking a strategic exit from coal trading in the PRC[62]. Property Development - Underwater World Hotel completed reconstruction and began trial operations in August 2019, expected to enhance economic impact and public profile[11]. - The revenue from property development increased by approximately 116% year-on-year to approximately HK$131.93 million, while revenue from finance leasing increased by approximately 40% to approximately HK$74.47 million[19]. - The property development segment's turnover was approximately HK$131.93 million, a substantial year-on-year increase of approximately 116%, with pre-tax profit rising approximately 104% to HK$41.82 million[32]. - The CCT-Champs-Elysees project saw residential area sales increase by approximately 128% to about 20,329 square meters, with sales revenue of approximately HK$131.93 million, up about 118% year-on-year[32]. - As of December 31, 2019, the completed and unsold residential area of the CCT-Champs-Elysees project was approximately 10,483 square meters, down from approximately 29,392 square meters in 2018[36]. - The Group expects the entire CCT-Champs-Elysees project to be completed and delivered in 2023[36]. Financial Position - As of December 31, 2019, equity attributable to owners of the Company amounted to approximately HK$2,780.84 million, representing an increase of approximately 1% compared to HK$2,761.71 million as of December 31, 2018[70]. - Total assets of the Group as of December 31, 2019, were approximately HK$3,600.66 million, reflecting an increase of approximately 0.3% from the previous year[70]. - Total current assets decreased by approximately 14% to approximately HK$2,575.93 million, accounting for approximately 72% of total assets, primarily due to the utilization of cash and deposits[70]. - Total non-current assets increased by approximately 77% to approximately HK$1,024.73 million, representing approximately 28% of total assets, mainly due to an increase in loans receivable from finance leasing[70]. - Total liabilities amounted to approximately HK$686.45 million, a decrease of approximately 1% compared to the previous year[70]. - The current ratio was approximately 4.0 times, a decrease of approximately 0.7 times from 4.7 times as of December 31, 2018, indicating good liquidity[70]. Risk Management and Governance - The Company has established a risk management department, with one executive director serving as the general manager, responsible for internal audit and ongoing review of the risk management and internal control system[178]. - The board considers the risk management and internal control system to be adequate and effective in safeguarding the group's assets and protecting the interests of shareholders, customers, and employees[179]. - The Company conducted a comprehensive review of its risk management and internal control system for the period from January 1, 2019, to December 31, 2019, finding no significant changes in the nature and extent of risks faced compared to 2018[182]. - The Board confirmed that the internal control and risk management system is adequate and effective, complying with the Corporate Governance Code[182]. - The Company has established transparent procedures for developing remuneration policies to ensure no Director participates in deciding their own remuneration[145]. Management and Leadership - The Group's management emphasizes stringent risk management in all business operations, particularly in finance leasing and bulk commodity trade[11]. - The company has a strong leadership team with diverse backgrounds in finance, management, and economics, enhancing its strategic decision-making capabilities[108]. - The management team emphasizes the importance of innovation and technology development to drive future growth and competitiveness[110]. - The Company has complied with all code provisions of the Corporate Governance Code for the year, except for a deviation regarding the roles of Chairman and Managing Director from December 1, 2018, to October 22, 2019[119]. - The Company has separated the roles of Chairman and Managing Director since October 22, 2019, ensuring compliance with the Corporate Governance Code[119]. Shareholder Relations - The Company will continue to enhance communications and relationships with shareholders and investors to keep them informed of developments[193]. - The Company ensures that all resolutions of general meetings are conducted by way of poll, with results posted on relevant websites[187]. - Shareholders representing at least 5% of total voting rights may require the Directors to convene an extraordinary general meeting[194].

Financial Reporting Compliance - The interim financial information for the six months ended June 30, 2019, was reviewed and found to be in compliance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" [15] - The independent review was conducted in accordance with Hong Kong Standard on Review Engagements 2410 [10] - The interim financial information is prepared in accordance with Hong Kong Accounting Standards, ensuring compliance with regulatory requirements [48] - The report was prepared by BDO Limited, a certified public accountant firm [16] - The independent auditor's report on the financial statements for the year ended 31 December 2018 was unqualified, indicating no significant issues [50] Financial Performance - Turnover for the six months ended June 30, 2019, was HK$507,888,000, a decrease of 23.5% from HK$663,385,000 in 2018 [18] - Gross profit for the same period was HK$54,928,000, down 13.7% from HK$63,666,000 in 2018 [18] - Profit for the period increased to HK$17,182,000, representing a growth of 16.3% compared to HK$14,763,000 in 2018 [21] - Basic and diluted earnings per share attributable to owners of the Company rose to HK$0.32, up from HK$0.25 in 2018 [18] - Total comprehensive income for the period was HK$87,916,000, significantly higher than HK$11,185,000 in 2018 [21] - Other income for the period was HK$27,575,000, an increase of 10.2% from HK$24,814,000 in 2018 [18] - The total comprehensive income for the period ended June 30, 2019, was HK$89.453 million, with a profit of HK$18.733 million from other comprehensive income [42] Assets and Liabilities - Non-current assets increased to HK$734,015,000 as of June 30, 2019, compared to HK$578,607,000 at the end of 2018 [23] - Current liabilities decreased to HK$527,532,000 from HK$641,365,000 at the end of 2018 [26] - Net assets as of June 30, 2019, were HK$2,985,060,000, an increase from HK$2,897,144,000 at the end of 2018 [26] - The total assets at fair value through other comprehensive income were HK$2,851.158 million as of June 30, 2019 [42] - The Group's total current assets were HK$313,593,000 and non-current assets were HK$387,551,000 as of June 30, 2019, compared to HK$421,236,000 and HK$245,700,000 respectively as of December 31, 2018 [152] Cash Flow - For the six months ended June 30, 2019, the net cash used in operating activities was HK$25,566,000, a significant decrease compared to HK$178,735,000 generated in the same period of 2018 [45] - Cash flow from investing activities generated a net cash of HK$280,135,000, a recovery from a net cash used of HK$451,600,000 in the prior year [45] - The net cash used in financing activities was HK$81,862,000, contrasting with a net cash generated of HK$2,838,000 in the same period of 2018 [45] - The total cash and cash equivalents at the end of the period increased to HK$1,075,838,000 from HK$557,678,000 at the end of the previous year [45] - The company reported a decrease in cash generated from operating activities, indicating potential challenges in operational efficiency [45] Accounting Policies - The Group has adopted HKFRS 16 for the first time, which introduces a single lessee accounting model requiring recognition of assets and liabilities for all leases over twelve months [54] - The new definition of a lease under HKFRS 16 focuses on the concept of control, determining if a customer controls the use of an identified asset [58] - The changes in accounting policies, particularly HKFRS 16, have not had a significant effect on the interim financial information, except for the recognition of lease liabilities [60] - The Group has transitioned to HKFRS 16 using the modified retrospective approach, with no restatement of 2018 information [69] Segment Information - The Group's total turnover for the six months ended June 30, 2019, was HK$507,888,000, with external sales and income from property development at HK$16,199,000 and finance leasing at HK$33,050,000 [99] - Segment results showed a fair value gain on other financial assets measured at fair value through profit or loss of HK$29,401,000, with property development contributing HK$3,681,000 [99] - The hotel and marine travelling services segment recorded a loss of HK$3,905,000 [99] - The property development segment reported assets of HK$718,696,000, a decrease from HK$849,182,000 in the previous period [122] Taxation and Expenses - Total income tax expense for the period was HK$12,145,000, down from HK$14,795,000 in 2018, reflecting a decrease of 17.9% [134] - Current tax expense decreased to HK$11,866,000 in 2019 from HK$13,200,000 in 2018, a reduction of 10.1% [134] - The Group capitalized finance costs of HK$1,858,000 on properties under development, up from HK$823,000 in 2018, representing a 126.5% increase [141] - Unallocated corporate expenses amounted to HK$21,362,000, impacting the profit before income tax which was HK$29,327,000 [99] Management and Governance - The board of directors includes Zhang Bin as Chairman and Managing Director [5] - The remuneration for key management personnel during the six months ended June 30, 2019, was HK$540,000, a decrease from HK$1,240,000 in the same period of 2018 [190] - The Group operates in an economic environment dominated by government-related entities, as it is ultimately controlled by the government of the PRC [185] Receivables and Payables - Trade and bills receivables as of June 30, 2019, were HK$7,383,000, down from HK$8,475,000 as of December 31, 2018 [158] - The total trade and other payables as of June 30, 2019, amounted to HK$114,063, a decrease from HK$120,726 as of December 31, 2018 [171] - The Group made a loss allowance of HK$1,000 against the gross amount of trade and bills receivables as of June 30, 2019, compared to nil as of December 31, 2018 [162]

| CORPORATE INFORMATION 公司資料 | 2 | | --- | --- | | CHAIRMAN'S STATEMENT 主席致辭 | 4 | | MANAGEMENT DISCUSSION AND ANALYSIS 管理層討論與分析 | 6 | | BIOGRAPHIES OF DIRECTORS AND SENIOR MANAGEMENT 董事及高級管理層履歷 | 21 | | CORPORATE GOVERNANCE REPORT 企業管治報告 | 24 | | ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT 環境、社會及管治報告 | 41 | | DIRECTORS' REPORT 董事會報告 | 66 | | INDEPENDENT AUDITOR'S REPORT 獨立核數師報告 | 85 | | CONSOLIDATED INCOME STATEMENT 綜合收益表 | 90 | | CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 綜合全面收益表 | 91 | | CONSOLIDATED ...