Revenue and Profitability - Revenue for the six months ended June 30, 2024, was HKD 479,998,000, a decrease of 9.5% compared to HKD 530,836,000 for the same period in 2023[3] - The company reported a loss before tax of HKD 225,808,000, compared to a profit of HKD 314,608,000 in the same period last year[3] - The net loss attributable to shareholders was HKD 239,576,000, a significant decline from a profit of HKD 274,180,000 in the prior year[3] - The company reported a loss of HKD 239,576,000 for the six months ended June 30, 2024, compared to a profit of HKD 274,180,000 in the same period of 2023, indicating a significant decline in performance[6] - Total comprehensive loss for the period was HKD 327,177,000, reflecting the impact of both operational losses and valuation adjustments[6] - Basic loss per share for the six months ended June 30, 2024, was HKD 239,576,000, compared to a profit of HKD 274,180,000 for the same period in 2023[25] - The basic earnings attributable to shareholders, excluding investment property valuation losses, slightly decreased by 4.2% to HKD 252.6 million from HKD 263.7 million in 2023[32] Assets and Liabilities - Total assets less current liabilities amounted to HKD 18,755,323,000, down from HKD 19,306,424,000 at the end of 2023[5] - Non-current assets decreased to HKD 14,301,104,000 from HKD 14,897,770,000 year-on-year[5] - Total assets as of June 30, 2024, were HKD 14,457,014,000, compared to HKD 15,055,824,000 as of December 31, 2023[16] - Total liabilities decreased to HKD 348,005,000 from HKD 403,133,000 at the end of the previous year[16] - Total liabilities increased to HKD 1,449,716,000 from HKD 1,337,058,000 in the previous year[17] - The company’s total equity decreased to HKD 17,879,591,000 from HKD 18,385,332,000 year-on-year[5] Cash Flow and Investments - The company’s cash and cash equivalents increased to HKD 1,830,487,000 from HKD 1,721,409,000[5] - The net cash generated from operating activities was HKD 75,519,000 for the six months ended June 30, 2024, an increase from HKD 53,014,000 in the prior year[7] - The net cash from investing activities was HKD 51,373,000, a decrease from HKD 376,166,000 in the same period of the previous year, indicating reduced investment activity[7] - The company had cash and listed securities amounting to HKD 3,497.8 million as of June 30, 2024, compared to HKD 3,414.7 million as of December 31, 2023[33] - The total capital commitments of the company as of June 30, 2024, were HKD 114.2 million, an increase from HKD 57.2 million as of December 31, 2023[37] Dividends and Shareholder Returns - The company paid dividends amounting to HKD 174,057,000 during the reporting period, which reflects its commitment to returning value to shareholders despite the losses[6] - The board declared an interim dividend of HKD 0.32 per share, totaling HKD 92,812,000, down from HKD 0.34 per share and HKD 98,833,000 in 2023[32] Segment Performance - Department store sales amounted to HKD 179,137,000, down 17% from HKD 215,750,000 in the previous year[11] - Property investment income was HKD 272,204,000, a decline of 16.6% from HKD 326,278,000 in the prior period[11] - The company reported a segment profit of HKD 192,545,000 for the department store business, compared to HKD 196,897,000 in the same period last year[14] - The property investment segment generated a profit of HKD 4,734,000, a decrease from HKD 165,504,000 in the previous year[14] - The department store business recorded revenue of HKD 272.2 million for the first half of 2024, a decrease of 16.6% compared to HKD 326.3 million in the same period of 2023, resulting in an operating loss of HKD 27.0 million[38] Market Conditions and Future Outlook - The group expects continued challenges in the department store business for the remainder of 2024, with no signs of improvement in the local retail environment[44] - The company continues to focus on its core businesses of department store operations and property investment, with no significant changes in strategy reported[12] Other Financial Metrics - The company experienced a net loss of HKD 225,808,000 before tax for the six months ended June 30, 2024, contrasting with a profit of HKD 314,608,000 in the same period of 2023[7] - The valuation loss on investment properties was HKD 515,758,000 for the six months ended June 30, 2024, compared to a gain of HKD 13,791,000 in the previous year[7] - The company reported a significant net loss from investment property valuation of HKD 515,758,000 for the period[17] - Financial expenses increased to HKD 1,792,000 from HKD 174,000 in the previous year, reflecting a rise in leasing liabilities[20] Employee and Corporate Actions - The total number of employees as of June 30, 2024, was 523, a decrease from 543 in the previous year[43] - The company repurchased a total of 377,000 shares at a total cost of HKD 4.489 million during the first half of 2024[46]

Financial Performance - The company reported a significant increase in revenue, achieving a total of HKD 1.2 billion, representing a 15% year-over-year growth[2]. - The group's revenue for the year ended December 31, 2023, was HKD 1,056.2 million, a slight increase of 1.5% compared to HKD 1,041.0 million in 2022[19]. - For the year ended December 31, 2023, the company reported revenue of HKD 1,056 million, a slight increase from HKD 1,041 million in 2022[118]. - Total revenue for 2023 was HKD 1,056,194, an increase of 1.1% from HKD 1,041,028 in 2022[129]. - The department store business generated net sales of HKD 639,384,000 in 2023, compared to HKD 603,748,000 in 2022, reflecting an increase of about 5.9%[182]. - The profit attributable to shareholders for the year ended December 31, 2023, was HKD 123.4 million, a significant improvement from a loss of HKD 300.9 million in 2022[19]. - The operating profit after finance costs was HKD 564 million, significantly up from HKD 170 million in the previous year[118]. - Basic earnings per share increased to HKD 1.65 from HKD 0.27 in 2022[118]. - The net profit for the year was HKD 121,117, a recovery from a loss of HKD 301,613 in 2022[129]. - Total comprehensive income for the year amounted to HKD 123,406, recovering from a total comprehensive loss of HKD 522,314 in 2022[130]. Market Expansion and Strategy - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10-12% driven by new product launches and market expansion[2]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[2]. - The company plans to continue focusing on market expansion and new product development to drive future growth[1]. - The company plans to continue its strategic focus on market expansion and new product development in the upcoming fiscal year[138]. Investment and Technology - Investment in new technology development increased by 25%, focusing on enhancing online services and customer experience[2]. - A strategic acquisition of a local competitor is in progress, expected to enhance the company's operational capabilities and customer base[2]. - The company introduced two new product lines, which are anticipated to contribute an additional HKD 200 million in revenue over the next year[2]. - The group's investment portfolio generated a profit of HKD 149.0 million in 2023, compared to a loss of HKD 206.4 million in 2022[19]. - The investment portfolio value increased to HKD 1,872.4 million as of December 31, 2023, from HKD 1,673.3 million in 2022[31]. Cost Management and Profitability - The gross profit margin improved to 40%, up from 35% in the previous year, reflecting better cost management and pricing strategies[2]. - The company has set a target to reduce operational costs by 15% through efficiency improvements and technology integration[2]. - Operating costs decreased by 2.2% to HKD 354.4 million in 2023, down from HKD 362.3 million in 2022[41]. - The overall gross margin for the group in 2023 was 55.0%, compared to 54.5% in 2022[41]. Shareholder Returns - Shareholder returns are expected to increase, with a proposed dividend of HKD 0.50 per share, up from HKD 0.40 last year[2]. - The board proposed a final dividend of HKD 0.60 per share for 2023, up from HKD 0.15 per share in 2022[19]. - The total dividend for 2023, including an interim dividend of HKD 0.34 per share, amounts to HKD 0.94 per share, compared to HKD 0.75 per share in 2022[19]. - The company aims to maintain a dividend payout ratio of approximately 50% of the annual basic profit, barring unforeseen circumstances[19]. Operational Performance - The department store business recorded revenue of HKD 639.4 million for the year ended December 31, 2023, an increase of 5.9% from HKD 603.7 million in 2022[27]. - The operating loss for the department store business decreased to HKD 2.8 million in 2023 from HKD 21.3 million in 2022, primarily due to increased revenue and gross profit[27]. - Property investment income decreased by 9.3% to HKD 388.2 million in 2023, down from HKD 428.0 million in 2022[28]. - The overall rental income from commercial properties in Hong Kong decreased by 7.8% to HKD 293.5 million in 2023, compared to HKD 318.3 million in 2022[29]. Corporate Governance and Compliance - The company has adopted the corporate governance code and has complied with all applicable provisions as of December 31, 2023[74]. - The board of directors consists of 7 members, including 1 executive chairman and 1 executive CEO, with all members confirming compliance with the securities trading standards[76][75]. - The company has established an ESG committee to assist the board in overseeing environmental, social, and governance matters[84]. - The company emphasizes standardized recruitment processes and equal development opportunities to achieve gender diversity[97]. Risk Management - The board adopted a risk management policy to ensure consistency in identifying, assessing, managing, monitoring, and reporting risks to achieve strategic goals[106]. - A significant risk identified is the group's ability to meet tenant expectations regarding building infrastructure and support services, which may impact market competitiveness and property investment profitability[106]. - The management confirmed the effectiveness of the group's risk management and internal control systems, which the board and audit committee deemed sufficient[106]. Employee and Diversity - As of December 31, 2023, the total number of employees is 533, with 388 females (73%) and 145 males (27%)[97]. - The senior management team consists of 2 males and 0 females, resulting in a 100% male representation[98]. - The company aims to enhance gender diversity on the board, currently having 1 female director out of 3 independent non-executive directors[96]. Taxation and Financial Position - The total income tax expense for 2023 is HKD 54,990,000, a decrease from HKD 89,096,000 in 2022, representing a reduction of approximately 38.4%[200]. - The effective tax rate for 2023 remains consistent at 16.5%, similar to 2022, indicating stable tax policy application[199]. - The company’s total liabilities slightly increased to HKD 1,337 million from HKD 1,317 million in 2022[118]. - The financial position remains strong with no borrowings reported as of December 31, 2023, ensuring sufficient liquidity for operational needs[24].

Financial Performance - Total revenue for the year ended December 31, 2023, was HKD 1,056,194,000, an increase of 1.5% from HKD 1,041,028,000 in 2022[3] - Operating profit for the year was HKD 564,593,000, significantly up from HKD 170,619,000 in the previous year, representing a growth of 230.5%[3] - The net profit attributable to shareholders for the year was HKD 123,360,000, compared to a loss of HKD 300,946,000 in 2022, marking a turnaround[3] - Basic and diluted earnings per share for the year were 42.4 cents, compared to a loss of 103.3 cents per share in the previous year[3] - The total comprehensive income for the year was HKD 123,406,000, recovering from a total comprehensive loss of HKD 522,314,000 in 2022[4] Assets and Equity - Non-current assets as of December 31, 2023, amounted to HKD 14,897,770,000, a decrease from HKD 15,234,885,000 in 2022[5] - Current assets increased to HKD 4,354,937,000 from HKD 4,197,833,000 in the previous year, reflecting a growth of 3.7%[5] - The net current assets as of December 31, 2023, were HKD 3,938,971,000, up from HKD 3,772,350,000 in 2022[5] - The total equity attributable to shareholders was HKD 18,355,830,000, slightly down from HKD 18,553,535,000 in the previous year[5] - The accumulated net gain from the fair value of investment properties, after deferred tax, was HKD 11,776,744,000 as of December 31, 2023, compared to HKD 12,131,503,000 in 2022[6] Dividends and Retained Earnings - The company declared dividends totaling HKD 98,794 for the year, which is a decrease from HKD 218,021 paid in the previous year[7] - The retained earnings as of December 31, 2023, were HKD 17,574,290, down from HKD 17,774,219 at the start of the year, indicating a reduction of about 1.13%[7] - Proposed final dividend per share increased to HKD 0.60 in 2023 from HKD 0.15 in 2022, representing a 300% increase[29] Revenue Segmentation - The group's total revenue for 2023 was HKD 1,167,215,000, an increase of 1.3% from HKD 1,151,989,000 in 2022[15] - The department store segment generated revenue of HKD 639,384,000 in 2023, up 5.9% from HKD 603,748,000 in 2022[15] - The property investment segment reported total rental income of HKD 416,810,000 in 2023, compared to HKD 437,280,000 in 2022, reflecting a decrease of 4.7%[15] Expenses and Liabilities - Financial expenses decreased to HKD 483,000 in 2023 from HKD 1,068,000 in 2022, a reduction of 54.8%[16] - The group’s total liabilities for 2023 were HKD 403,133,000, compared to HKD 368,628,000 in 2022, an increase of 9.3%[15] - Total liabilities increased to HKD 1,337,058,000 in 2023 from HKD 1,317,363,000 in 2022, representing a growth of 1.3%[19] Other Income and Tax - The group recorded other income of HKD 139,860,000 in 2023, significantly higher than HKD 77,700,000 in 2022, an increase of 79.9%[16] - The company reported a total tax expense of HKD 54,990,000 in 2023, down from HKD 89,096,000 in 2022, a decrease of 38.4%[26] Strategic Initiatives - The company aims to strengthen its core department store business and enhance rental income from commercial properties as part of its business strategy[40] - The group plans to continue focusing on its current market positioning and aims to provide more value-for-money products and better shopping experiences in 2024[51] - The group has initiated a renovation of its Nathan Road Wing On Plus store, expected to be completed by 2025, to enhance customer shopping experience[46] Shareholder Information - The group repurchased a total of 515,000 shares during the year, with a total payment of HKD 6.5 million[53] - The company will hold its 2024 Annual General Meeting on June 13, 2024, with a notice to be published around April 26, 2024[55] - The current executive directors include the chairman, Mr. Guo Zhi Liang, and the CEO, Mr. Guo Zhi Hang, among others[57]

Financial Performance - The group's revenue increased by 6.1% to HKD 530.8 million for the six months ended June 30, 2023, compared to HKD 500.1 million in 2022, primarily due to growth in the department store business [8]. - The attributable profit for the period was HKD 274.2 million, a significant increase from a loss of HKD 106.4 million in 2022, driven by investment portfolio gains of HKD 93.0 million compared to a loss of HKD 190.4 million in the previous year [8]. - Basic earnings per share were HKD 0.943, compared to a loss of HKD 0.365 per share in 2022, with basic earnings excluding property valuation gains at HKD 0.907 per share, up from a loss of HKD 0.188 [8]. - The operating profit for the group was HKD 306.9 million for the six months ended June 30, 2023, compared to an operating loss of HKD 8.5 million in 2022 [22]. - The net profit attributable to shareholders for the six months ended June 30, 2023, was HKD 274.2 million, a recovery from a loss of HKD 106.4 million in 2022 [22]. - The company reported a profit before tax of HKD 314.6 million, a significant recovery from a loss of HKD 68.3 million in the same period last year [33]. - The company reported a comprehensive income of HKD 274,180 thousand for the period, compared to a loss of HKD 89,118 thousand in the previous period [27]. - The group recorded a profit of HKD 196,897,000 for the six months ended June 30, 2023, compared to a loss of HKD 19,217,000 in the same period last year [42]. Dividends and Shareholder Returns - The board declared an interim dividend of HKD 0.34 per share, totaling HKD 98,833,000, compared to no dividend in 2022 [8]. - The company declared an interim dividend of HKD 98,833,000, equating to HKD 0.34 per share, compared to no interim dividend in the previous year [62]. Cash and Liquidity - The group's cash and listed securities amounted to approximately HKD 3,508.9 million as of June 30, 2023, up from HKD 3,370.9 million at the end of 2022 [9]. - The group had no borrowings as of June 30, 2023, and maintained a strong cash position, indicating no liquidity issues [10]. - Cash and cash equivalents increased to HKD 1,963,231 thousand from HKD 1,562,081 thousand, marking a significant increase of approximately 25.6% [24]. - The company recorded a net increase in cash and cash equivalents of HKD 415.6 million, contrasting with a decrease of HKD 261.2 million in the same period last year [33]. - Cash and cash equivalents increased to HKD 2,439,584,000 as of June 30, 2023, compared to HKD 2,362,467,000 at the end of 2022, reflecting a stronger liquidity position [59]. Asset and Liability Management - As of June 30, 2023, total assets decreased slightly to HKD 19,424,705 thousand from HKD 19,477,146 thousand as of December 31, 2022, representing a decrease of approximately 0.27% [24][25]. - The company's total liabilities increased to HKD 4,432,268 thousand from HKD 4,197,833 thousand, an increase of about 5.58% [24]. - Non-current liabilities decreased to HKD 876,135 thousand from HKD 891,880 thousand, a reduction of about 1.77% [25]. - The equity attributable to shareholders decreased to HKD 18,517,309 thousand from HKD 18,553,535 thousand, a decline of approximately 0.20% [25]. - The company's total assets amounted to HKD 29.1 billion as of June 30, 2023, reflecting a stable financial position [31]. Investment and Market Outlook - The investment portfolio generated a profit of HKD 93.0 million for the six months ended June 30, 2023, a significant recovery from a loss of HKD 190.4 million in 2022 [16]. - The group maintains a cautious optimism regarding the economic and business activities in Hong Kong post-COVID-19, despite slower-than-expected recovery [18]. - The group anticipates challenges in the Australian property market due to high vacancy rates and downward pressure on office rents [18]. - The company plans to continue its investment strategy focusing on property development and acquisition to enhance its portfolio [34]. - The group’s property investment portfolio is located in Hong Kong, Australia, and the United States, indicating ongoing market expansion efforts [40]. Operational Performance - The department store business generated revenue of HKD 326.3 million, an increase of 18.8% from HKD 274.7 million in 2022, with operating profit of HKD 4.7 million compared to a loss of HKD 19.2 million [13]. - Property investment income decreased by 12.2% to HKD 192.2 million from HKD 218.9 million in 2022, with commercial property income in Hong Kong down 4.4% to HKD 151.1 million [14]. - The overall occupancy rate for commercial properties in Hong Kong remained stable at approximately 93% as of June 30, 2023, compared to 94% in 2022 [14]. - The department store business generated revenue of HKD 215,750,000 from product sales, up 20.5% from HKD 179,003,000 in the previous year [39]. - The property investment segment reported total rental income of HKD 175,333,000, a decrease of 10.8% from HKD 196,558,000 in the prior period [39]. Compliance and Governance - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange during the six months ended June 30, 2023 [80]. - The board of directors confirmed compliance with the standards for securities trading during the six months ended June 30, 2023 [81]. Related Party Transactions - The company paid HKD 11,735,000 in rent and management fees to a related company during the current period, consistent with the same amount for the six months ended June 30, 2022 [78]. - The company received HKD 2,777,000 in rent and management fees from a related company during the current period, unchanged from the previous year [78]. - The company incurred commission fees of HKD 421,000 to related companies for securities trading, an increase of 97.2% compared to HKD 213,000 for the six months ended June 30, 2022 [78]. - The company reported receivables of HKD 10,308,000 from related companies as of June 30, 2023, down from HKD 13,620,000 as of December 31, 2022 [78]. - The company generated HKD 850,000 in income from building and lease management services provided to a related company, a decrease from HKD 907,000 for the same period last year [78].

Financial Performance - For the six months ended June 30, 2023, the company reported total revenue of HKD 530,836,000, an increase of 6.5% compared to HKD 500,075,000 for the same period in 2022[3]. - The company achieved an operating profit of HKD 307,038,000, a significant recovery from an operating loss of HKD 7,846,000 in the previous year[3]. - The net profit for the period was HKD 273,594,000, compared to a net loss of HKD 106,294,000 in the same period last year, marking a turnaround in performance[3]. - Basic and diluted earnings per share were HKD 0.943, a recovery from a loss of HKD 0.365 per share in the prior year[3]. - The company reported a significant increase in other income to HKD 67,973,000, up from HKD 37,822,000 in the previous year, reflecting improved operational performance[3]. - The company reported a profit before tax of 314,608 thousand HKD for the six months ended June 30, 2023, compared to a loss of 68,302 thousand HKD in the same period of 2022[8]. - The total comprehensive income for the period was HKD 184,592,000, compared to a total comprehensive loss of HKD 266,044,000 in the same period last year[4]. - The company recorded a net increase in cash and cash equivalents of 415,630 thousand HKD, contrasting with a decrease of 261,205 thousand HKD in the prior year[8]. Assets and Liabilities - As of June 30, 2023, the company's total assets amounted to HKD 19,424,705,000, slightly down from HKD 19,477,146,000 at the end of 2022[5]. - The company's net assets stood at HKD 18,548,570,000, a decrease from HKD 18,585,266,000 at the end of the previous year[5]. - The company’s total equity as of June 30, 2023, was 18,517,309 thousand HKD, down from 19,216,319 thousand HKD at the beginning of the year[7]. - Total liabilities decreased to HKD 1,458,109,000 as of June 30, 2023, down from HKD 1,317,363,000 at the end of 2022, reflecting a reduction of 10.7%[18]. Investment and Income Segments - Department store sales amounted to HKD 215,750,000, up 20.5% from HKD 179,003,000 in the previous year[14]. - Property investment income reached HKD 326,278,000, representing a 18.7% increase from HKD 274,663,000 in the prior period[14]. - The investment property rental income totaled HKD 175,333,000, a decrease of 10.8% from HKD 196,558,000 in the previous year[14]. - The company operates in two segments: department store business and property investment, with a focus on resource allocation and performance evaluation[15]. Dividends and Shareholder Returns - The company paid dividends of 218,021 thousand HKD related to the previous year, impacting the equity position[7]. - The company declared an interim dividend of HKD 0.34 per share, totaling HKD 98,833,000 for the six months ended June 30, 2023, compared to no dividend declared for the same period in 2022[24]. - The company reported a total of HKD 218,021,000 in dividends payable for the interim period, compared to HKD 133,986,000 for the same period in 2022, showing an increase of approximately 62.9%[25]. Accounting and Compliance - The company has not adopted any new accounting standards or interpretations that have a significant impact on the financial report for the current period[10]. - The company is in the process of assessing the impact of new guidelines related to the cancellation of the offsetting mechanism for mandatory provident fund contributions[11]. - Management has begun implementing changes to accounting policies in line with new guidelines, with a full assessment expected by the end of 2023[12]. - All directors confirmed compliance with the standards set forth in the company's securities trading code during the six months ended June 30, 2023[44]. Market Outlook and Challenges - The group remains cautiously optimistic about the economic recovery in Hong Kong post-COVID-19, while facing challenges in the Australian property market due to high vacancy rates and declining rents[43].

Annual General Meeting and Corporate Governance - The company will hold its 32nd Annual General Meeting on June 13, 2023, at 10:30 AM[3] - The audited consolidated financial statements for the year ended December 31, 2022, will be reviewed and adopted[4] - The company plans to propose a final dividend and a special dividend[4] - The board of directors will be re-elected, including Mr. Guo Zhiqiang and Ms. Tan Huizhu[4] - The company seeks to authorize the board to issue additional shares not exceeding 20% of the total issued shares[5] - The company intends to authorize the repurchase of shares not exceeding 10% of the total issued shares[6] - The company will propose amendments to its Articles of Association, which will take effect immediately after the meeting[8] - The record date for attendance and voting at the AGM is set for June 13, 2023[10] - The share transfer registration will be suspended from June 6 to June 13, 2023[10] - All completed share transfer forms must be submitted by June 5, 2023, at 4 PM for registration[10] - The company is seeking shareholder approval for a proposed final dividend and special dividend, with the record date set for June 19, 2023[11] - The company currently has no plans to issue new shares despite seeking general authorization for share issuance under the Hong Kong Stock Exchange rules[11] - The annual report dated April 28, 2023, has been sent to all shareholders, detailing further information on the proposed resolutions[11] - The company emphasizes that all resolutions will be voted on at the annual general meeting as per the Hong Kong Stock Exchange regulations[11] - The board of directors includes experienced members with extensive backgrounds in finance and management, enhancing corporate governance[19][20][21] - The company has established various committees, including audit, remuneration, and nomination committees, to ensure effective oversight[14] - The company’s auditor is KPMG, a recognized public interest entity auditor, ensuring compliance with accounting and financial reporting standards[16] - The company has a strong commitment to shareholder communication, with announcements regarding meeting arrangements posted on its website[11] - The company advises shareholders to exercise caution in attending the annual general meeting during adverse weather conditions[11] - The board proposed a final dividend of HKD 0.15 per share for the year 2022, down from HKD 0.46 per share in 2021, along with a special dividend of HKD 0.60 per share to celebrate the 115th anniversary of its department store business[44] Financial Performance and Position - The group’s revenue for 2022 decreased by 7.8% to HKD 1,041.0 million compared to HKD 1,129.3 million in 2021, primarily due to a decline in core business revenue[29] - The group recorded a loss attributable to shareholders of HKD 300.9 million for 2022, compared to a profit of HKD 552.5 million in 2021, mainly due to an unrealized net loss of HKD 259.5 million from the investment portfolio[29] - Basic earnings per share for 2022 were HKD 0.1033 loss, down from HKD 0.1894 profit in 2021; excluding property valuation losses, basic earnings per share were HKD 0.0269, down from HKD 0.1441 in 2021[29] - The group's equity as of December 31, 2022, was HKD 18,553.5 million, a decrease of 3.4% from HKD 19,216.3 million in 2021[31] - The group had cash and listed securities of approximately HKD 3,370.9 million as of December 31, 2022, down from HKD 3,540.3 million in 2021, indicating sufficient liquidity for capital commitments and operational needs[31] - The group recorded an operating loss of HKD 21.3 million in its department store business for 2022, compared to an operating profit of HKD 17.1 million in 2021[36] - The group recorded a share of the joint venture's post-tax loss of HKD 18.1 million in 2022, compared to a profit of HKD 14.7 million in 2021, resulting in an overall loss of HKD 16.2 million for the group in 2022, down from a profit of HKD 21.1 million in 2021[38] - The group recorded a foreign exchange loss of HKD 0.7 million in 2022, compared to a gain of HKD 3.4 million in 2021, indicating challenges in currency fluctuations affecting financial results[39] - The group aims to maintain a dividend policy of distributing approximately 50% of annual basic profit to shareholders, barring unforeseen circumstances or significant capital needs[45] - The company reported a loss before tax of HKD 213 million in 2022, compared to a profit of HKD 681 million in 2021[130] - The total assets decreased to HKD 19,903 million in 2022 from HKD 20,639 million in 2021, reflecting a decline of 3.6%[130] - The company’s independent auditor issued an unqualified opinion on the financial statements, confirming compliance with Hong Kong Financial Reporting Standards[132] Investment and Market Strategy - The company reported a significant increase in overseas investment activities, reflecting a strategic focus on international market expansion[22] - The company plans to focus on market expansion and new product development in the upcoming year[146] - The group plans to renovate its store on Nathan Road in Yau Ma Tei to enhance customer shopping experience and product variety, while expecting stable rental income from commercial properties in Hong Kong and Australia despite challenges in the property leasing market[41] - The group aims to strengthen its core business and seek expansion opportunities to improve profitability, focusing on department store operations and increasing rental income from commercial properties[30] - The company plans to continue its focus on investment property management and expansion in the coming year[151] Employee and Workforce Management - The total employee cost, excluding directors' remuneration, was approximately HKD 185.6 million in 2022, down from HKD 194.5 million in 2021, with a total of 551 employees as of December 31, 2022, compared to 600 in 2021[40] - The company has a total of 551 employees, with 74% being female and 26% male as of December 31, 2022[111] - The company aims to improve gender diversity on the board and has implemented measures to identify potential successors[109] - The company has established mechanisms to ensure independent viewpoints are considered in board decisions[103] - The board's composition is currently balanced, with one female independent non-executive director[109] - The company has implemented standardized recruitment processes and emphasized work-life balance to promote gender diversity[112] Risk Management and Compliance - The board confirmed its responsibility for assessing and managing risks, including ESG-related risks, to achieve strategic objectives[119] - The company has ensured compliance with relevant laws and regulations affecting its operations, including those related to product safety and employee welfare[61] - The group has engaged external consultants to evaluate the adequacy and effectiveness of its risk management and internal control systems[120] - The board reviews the risk management and internal control systems annually, with external consultants assisting in the evaluation process[120] - The board has identified a significant new risk related to the aging workforce in the department store business, which may impact operations and service quality[121] Financial Reporting and Accounting Policies - The group adopts HKAS 16 for property, plant, and equipment, with land and buildings not revalued to fair value at each reporting date[163] - The group assesses contracts to determine if they contain a lease, recognizing right-of-use assets and lease liabilities at the lease commencement date[166] - The group recognizes expected credit losses on financial assets measured at amortized cost, including cash and cash equivalents, trade receivables, and lease receivables[169] - The group confirms government grants when reasonable assurance is received and conditions are met, recognizing them in the income statement in the same period as the related expenses[192] - The group’s financial statements present operating segments consistent with the information provided to the highest management for resource allocation and performance assessment[197]

Financial Performance - Total revenue for the year ended December 31, 2022, was HKD 1,041,028, a decrease of 7.8% from HKD 1,129,277 in 2021[3] - Operating profit for the year was HKD 170,619, down 64.6% from HKD 481,868 in the previous year[3] - The company reported a net loss of HKD 301,613 for the year, compared to a profit of HKD 552,641 in 2021, marking a significant decline[4] - The basic and diluted loss per share was HKD 103.3 cents, compared to earnings of HKD 189.4 cents per share in the prior year[3] - Total comprehensive loss for the year amounted to HKD 522,314, compared to a total comprehensive income of HKD 379,863 in 2021[4] - The company's revenue from department store operations decreased to HKD 603,748,000 in 2022 from HKD 658,601,000 in 2021, representing a decline of approximately 8.3%[10] - The total rental income from investment properties was HKD 379,614,000 in 2022, down from HKD 411,750,000 in 2021, indicating a decrease of about 7.8%[10] - The reported segment revenue for 2022 was HKD 1,151,989,000, a decrease of 7% from HKD 1,238,765,000 in 2021[14] - The segment profit for the department business was HKD 427,980,000 in 2022, down from HKD 461,179,000 in 2021, reflecting a decline of approximately 7%[14] - The company reported a loss attributable to shareholders of HKD 300,946,000 for 2022, compared to a profit of HKD 552,495,000 in 2021, resulting in a basic loss per share of HKD 103.3, down from HKD 189.4 in the previous year[27] Asset and Equity Changes - Non-current assets decreased to HKD 15,704,796 from HKD 16,381,429, indicating a decline of 4.1%[5] - Current assets included cash and cash equivalents of HKD 1,562,081, down from HKD 2,544,963 in the previous year[5] - The company's total assets less current liabilities were HKD 19,477,146, a decrease from HKD 20,196,972 in 2021[5] - As of December 31, 2022, the total equity attributable to shareholders was HKD 18,553,535,000, a decrease from HKD 19,216,319,000 as of December 31, 2021, reflecting a decline of approximately 3.4%[6] - Total assets reported for 2022 were HKD 15,367,668,000, a decrease of 4% from HKD 16,006,005,000 in 2021[16] - Shareholders' equity decreased by 3.4% to HKD 18,553.5 million as of December 31, 2022, from HKD 19,216.3 million in 2021[37] Income and Expenses - Other income increased significantly to HKD 103,297 from HKD 44,327 in the previous year, reflecting a growth of 133.3%[3] - The company’s total tax expense for 2022 was HKD 89,096,000, a decrease from HKD 128,351,000 in 2021, with the current year tax provision for Hong Kong profits tax at HKD 45,490,000[24] - The company’s financial expenses decreased to HKD 1,068,000 in 2022 from HKD 2,070,000 in 2021, a reduction of approximately 48%[15] - The company reported a net loss from fair value adjustments of financial instruments amounting to HKD 259,475,000 in 2022, compared to a gain of HKD 22,221,000 in 2021[21] Dividends and Share Repurchase - The company declared dividends totaling HKD 99,097,000 for the year, compared to HKD 210,019,000 for the previous year, reflecting a significant reduction in dividend payouts[7] - The company proposed a final dividend of HKD 0.15 per share for 2022, compared to HKD 0.46 per share in 2021, with total proposed dividends amounting to HKD 218,199,000, down from HKD 233,145,000[25] - The company repurchased shares amounting to HKD 7,056,000 during the year, contributing to the overall decrease in equity[6] - The company repurchased a total of 477,000 shares during the year ended December 31, 2022, at a total cost of HKD 7,075,000[49] Operational Insights - The company operates in two segments: department store operations and property investment, with no single customer accounting for more than 10% of total revenue[12] - The overall occupancy rate of the group's commercial properties in Hong Kong dropped to 92% in 2022 from 94% in 2021[43] - The group plans to continue enhancing its core business and seek expansion opportunities to improve profitability[36] - The group expects gradual improvement in department store performance in 2023 as social and economic activities in Hong Kong recover, although full recovery to pre-COVID-19 levels will take time[47] - The group had a total of 551 employees as of December 31, 2022, down from 600 in 2021, with no significant changes to compensation and benefits policies[46] Future Outlook - The company plans to renovate its store on Nathan Road in Yau Ma Tei to enhance customer shopping experience and offer a wider variety of products and services[47] - The group recorded a share of the joint venture's post-tax loss of HKD 18.1 million in the automotive dealership business in China for 2022, compared to a profit of HKD 14.7 million in 2021[44] - The group incurred an investment loss of HKD 206.4 million in 2022, compared to a gain of HKD 90.2 million in 2021, primarily due to negative returns from securities and bonds[45] Reporting and Compliance - The company has not adopted any new accounting standards that would have a significant impact on the financial statements for the current period[9] - The company will hold its 2023 Annual General Meeting on June 13, 2023[51] - The 2022 annual report will be published on the Stock Exchange's website later[52]

Financial Performance - For the six months ended June 30, 2022, the group's revenue decreased by 10.8% to HKD 500.1 million, down from HKD 560.9 million in 2021, primarily due to a decline in department store business revenue[8]. - The group recorded a loss attributable to shareholders of HKD 106.4 million for the six months ended June 30, 2022, compared to a profit of HKD 399.6 million in 2021, largely due to unrealized losses in the investment portfolio and a valuation loss of HKD 51.9 million on investment properties[8]. - Basic loss per share was HKD 36.5 cents, compared to earnings of HKD 136.9 cents per share in 2021; excluding the valuation loss on investment properties, the basic loss per share was HKD 18.8 cents[8]. - The total comprehensive loss for the period was HKD 266.0 million, compared to a total comprehensive income of HKD 331.1 million in the previous year[23]. - The company reported a loss before tax of HKD 68,302,000 for the six months ended June 30, 2022, compared to a profit of HKD 482,765,000 for the same period in 2021[32]. - The total comprehensive income for the period was reported as a loss of HKD 4,125 thousand, compared to a profit of HKD 155,824 thousand in the previous period[27]. Assets and Liabilities - As of June 30, 2022, the group's total equity was HKD 18,813.6 million, a decrease of 2.1% from HKD 19,207.5 million as of December 31, 2021[9]. - The total assets of the group as of June 30, 2022, were HKD 20,136,961,000, down from HKD 20,640,212,000 at the end of the previous year, representing a decline of 2.4%[43]. - Total liabilities decreased to HKD 1,290,694,000 from HKD 1,391,542,000, indicating a reduction of 7.3%[42]. - Net assets as of June 30, 2022, were HKD 18,846,267 thousand, down from HKD 19,248,670 thousand, a decrease of approximately 2.1%[25]. - The company's equity attributable to shareholders decreased to HKD 18,813,647 thousand from HKD 19,216,319 thousand, reflecting a decline of about 2.1%[25]. Cash Flow and Liquidity - The group had cash and listed securities of approximately HKD 3,203.9 million as of June 30, 2022, providing sufficient liquidity for current obligations and working capital needs[9]. - Cash and cash equivalents decreased to HKD 2,259,409 thousand from HKD 2,544,963 thousand, a decline of around 11.2%[24]. - The company’s operating cash flow for the six months ended June 30, 2022, was a net outflow of HKD 111,013,000, compared to a net inflow of HKD 73,062,000 in the same period of 2021[32]. - The company reported a net cash outflow from financing activities of HKD 165,504,000 for the six months ended June 30, 2022, compared to HKD 244,228,000 in the same period of 2021[32]. Revenue Breakdown - Department store business revenue fell by 14.4% to HKD 274.7 million for the first half of 2022, impacted by weak retail conditions and reduced customer traffic due to COVID-19 restrictions[13]. - Property investment income for the six months ended June 30, 2022, was HKD 218.9 million, a decrease of 8.0% from HKD 239.8 million in 2021, with a 3.2% decline in income from commercial properties in Hong Kong[14]. - The property investment segment generated revenue of HKD 280,676,000, down from HKD 294,827,000, reflecting a decline of 4.9% year-over-year[39]. - The total reported segment revenue for the department store business was HKD 274,663,000, a decrease of 14.4% from HKD 320,783,000 in the same period last year[39]. Investment Performance - The group's investment portfolio suffered a loss of HKD 190.4 million due to significant market volatility, compared to a gain of HKD 99.0 million in the same period of 2021[16]. - The net loss from the valuation of investment properties was HKD 51,895,000, while the previous period recorded a net gain of HKD 168,631,000, indicating a significant decline in property valuation[51]. - Total income from property investments decreased to HKD 225,412,000, with direct expenses amounting to HKD 180,094,000, leading to a net income of HKD 45,318,000[46]. Employee and Management Information - The group had 555 employees as of June 30, 2022, down from 621 employees a year earlier[17]. - Employee costs, excluding directors' remuneration, were HKD 90,541,000, a slight decrease from HKD 92,631,000 in the previous period[46]. - The total remuneration for key management personnel for the six months ended June 30, 2022, was HKD 18,516,000, slightly down from HKD 18,596,000 in the same period of 2021[73]. Future Outlook - The group anticipates continued challenges in the department store business for the second half of 2022 due to ongoing COVID-19 impacts and expected inflation and interest rate increases[18]. - The group's investment properties in Hong Kong and Australia are expected to face downward pressure on rental income but are still projected to contribute stable rental income in the second half of the year[18]. - The company is focusing on enhancing its investment properties and exploring new market opportunities to drive future growth[29]. Shareholder Information - The company has a total of 180,545,138 shares held by major shareholders, representing 61.985% of the issued voting shares[84]. - The individual equity holdings of directors include 郭志標 with 1,508,298 shares (0.518%), 郭志桁 with 649,050 shares (0.223%), and 郭志樑 with 480,620 shares (0.165%)[78]. - The company repurchased its own shares during the period to enhance the net asset value per share and earnings per share[85].

Financial Performance - The company reported a significant increase in revenue for the fiscal year ending December 31, 2021, with a total revenue of HKD 1.2 billion, representing a 15% year-over-year growth[2]. - The net profit for the same period was HKD 300 million, which is a 20% increase compared to the previous year[2]. - The group’s revenue decreased by 4.9% to HKD 1,129.3 million for the year ended December 31, 2021, compared to HKD 1,187.6 million in 2020, primarily due to the impact of COVID-19 on core business revenue[26]. - The group recorded a profit attributable to shareholders of HKD 552.5 million for the year, a significant recovery from a loss of HKD 456.1 million in 2020, mainly due to a net gain of HKD 180.1 million from investment property valuations[26]. - Basic earnings per share increased to HKD 189.4 cents, compared to a loss of HKD 156.2 cents per share in 2020; however, basic earnings excluding non-cash items decreased by 4.2% to HKD 144.1 cents[26]. - The group aims to strengthen its core department store business and enhance rental income from commercial property investments, which are key profit contributors[27]. - The company reported a profit of HKD 552,495,000 for the year ended December 31, 2021, compared to a loss in the previous year[140]. - Total comprehensive income for the year was HKD 379,532,000, reflecting a significant recovery from the previous year's loss[141]. Dividends and Shareholder Returns - The company plans to distribute a final dividend of HKD 0.50 per share, subject to shareholder approval at the annual general meeting[4]. - The board proposed a final dividend of HKD 0.46 per share for the year, down from HKD 0.72 per share in 2020, resulting in a total dividend of HKD 0.80 per share for 2021[26]. - The company declared dividends totaling HKD 210,019,000 for the year, reflecting its commitment to returning value to shareholders[140]. - The total dividend paid to shareholders was HKD 309,116,000 in 2021, compared to HKD 221,920,000 in 2020[143]. Corporate Governance - The company has established an audit committee to enhance corporate governance and oversight of financial reporting[11]. - The company has adopted the corporate governance principles and complied with the Hong Kong Stock Exchange's Listing Rules, ensuring high standards of corporate governance[84]. - The board consists of 8 members, including 4 executive directors and 4 independent non-executive directors, with all directors attending 100% of board meetings and annual general meetings[89]. - The board is responsible for the overall business strategy, policies, and plans, requiring approval for all major acquisitions, sales, and capital transactions[92]. - The company established an ESG committee to assist the board in fulfilling its responsibilities regarding environmental, social, and governance matters[95]. Market Expansion and Strategy - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025[19]. - New product launches are expected to contribute an additional $200 million in revenue, with a focus on innovative technology solutions[18]. - The company provided an optimistic outlook, projecting a revenue growth of 10-12% for the next fiscal year[17]. - The company plans to continue focusing on market expansion and new product development strategies moving forward[136]. Operational Efficiency - The company plans to implement cost-saving measures aimed at reducing operational expenses by 5% over the next year[18]. - Customer satisfaction ratings improved to 90%, reflecting the success of recent service enhancements[19]. - Research and development expenses increased by 18%, totaling $150 million, to support new technology initiatives[17]. Financial Position and Assets - The group's total equity as of December 31, 2021, was HKD 19,216.3 million, reflecting a 0.3% increase from HKD 19,155.5 million in 2020[28]. - Cash and listed securities amounted to approximately HKD 3,540.3 million as of December 31, 2021, providing sufficient liquidity for capital commitments and operational needs[28]. - The total assets of the company in 2021 were HKD 20,639 million, remaining stable compared to HKD 20,633 million in 2020[122]. - The company’s total liabilities in 2021 were HKD 1,391 million, a decrease from HKD 1,447 million in 2020[122]. Investment and Property Management - The total fair value of investment properties held by the group as of December 31, 2021, is HKD 15,529 million, representing 75% of the total assets of the group[128]. - The company recorded a net gain from investment properties of HKD 180,076 thousand in 2021, compared to a loss of HKD 886,418 thousand in 2020[200]. - The company’s investment properties include commercial properties in Hong Kong, Houston, and Melbourne, with a total area of approximately 1,358,000 square feet[124]. Health and Safety Measures - The company is closely monitoring the impact of COVID-19 on its operations and will implement necessary health measures for shareholder meetings[9]. - The company plans to maintain strict health and safety measures in office properties and department stores due to the rapid development of the pandemic in Hong Kong[38]. - The company has implemented strict health and safety measures in its office properties and department stores to prevent the spread of the pandemic[60]. Shareholder Information - The major shareholder, 永安國際集團有限公司, holds 180,545,138 shares, which is 61.956% of the issued voting shares[78]. - Publicly held shares exceed 25% of the company's total issued shares[79]. - The company repurchased its own shares during the year to enhance the net asset value per share and earnings per share[81]. Risk Management - The board confirmed the establishment and maintenance of an effective risk management and internal control system to protect the group's assets[111]. - The risk management system was reviewed by an external consultant, who did not identify any major new risks during the year[113]. - The group monitors the default risk of specified debtors and recognizes expected credit losses when they exceed the carrying amount[166].

Revenue Performance - The group's revenue decreased by 8.2% to HKD 560.9 million for the six months ended June 30, 2021, compared to HKD 611.3 million in 2020, primarily due to a decline in department store sales[9]. - The total reported segment revenue for the first half of 2021 was HKD 615,610,000, a decrease of 8.3% from HKD 671,067,000 in the same period of 2020[63]. - The company's retail business generated sales of HKD 320,783,000, a decrease of 12.7% from HKD 367,773,000 in the previous year[57]. Profitability - The attributable profit for the period was HKD 399.6 million, a significant recovery from a loss of HKD 337.8 million in 2020, mainly due to a net gain of HKD 168.6 million from investment property valuations[9]. - Operating profit increased to HKD 308.7 million from HKD 142.3 million in the previous year, marking a substantial improvement[31]. - The net profit for the period was HKD 399.7 million, a turnaround from a loss of HKD 337.5 million in 2020[31]. - The overall comprehensive income for the period was HKD 331.1 million, compared to a loss of HKD 409.0 million in 2020[34]. Earnings Per Share - Basic earnings per share increased by 197.4% to HKD 0.922, compared to HKD 0.310 in 2020, excluding the net gain from investment property valuations[9]. - The company reported a consolidated profit attributable to shareholders of HKD 399,578,000 for the six months ended June 30, 2021, compared to a loss of HKD 337,811,000 for the same period in 2020, resulting in a basic earnings per share of HKD 136.9 compared to a loss of HKD 115.6[75]. Dividends - The interim dividend declared is HKD 0.34 per share, totaling HKD 99,165,000, compared to HKD 0.11 per share and HKD 32,120,000 in 2020[10]. - The company declared a final dividend of HKD 0.72 per share for the six months ended June 30, 2021, compared to HKD 0.65 per share in 2020, resulting in a total dividend payment of HKD 210,019,000 for 2021 versus HKD 189,801,000 for 2020, representing an increase of approximately 10.7%[90]. Assets and Liabilities - As of June 30, 2021, the group's total equity was HKD 19,271.3 million, a 0.6% increase from December 31, 2020[11]. - Total assets decreased slightly to HKD 20,301,351 thousand as of June 30, 2021, compared to HKD 20,186,786 thousand at the end of 2020, reflecting a 0.57% increase[39]. - The company's total liabilities decreased to HKD 997,866 thousand from HKD 1,000,735 thousand, a reduction of 0.19%[39]. - Total segment assets increased to HKD 16,122,298,000 as of June 30, 2021, compared to HKD 16,070,018,000 at the end of 2020, representing a growth of 0.3%[68]. Cash Flow and Liquidity - The group's cash and listed securities amounted to approximately HKD 3,598.2 million, providing sufficient liquidity for current obligations and operational needs[11]. - The net cash generated from operating activities was HKD 73,062,000, significantly up from HKD 10,983,000 in the same period last year[51]. - Cash and cash equivalents rose to HKD 2,671,638 thousand from HKD 2,570,282 thousand, marking an increase of 3.93%[39]. Investment Properties - Property investment income for the six months ended June 30, 2021, was HKD 239.8 million, a decrease of 5.9% from HKD 254.8 million in 2020[19]. - The net gain from investment property valuations was HKD 168,631,000, a recovery from a loss of HKD 427,473,000 in the previous year[66]. - Total income from investment properties for the six months ended June 30, 2021, included a net gain of HKD 168,631,000, a significant recovery from a net loss of HKD 427,473,000 in the previous year[82]. Market Outlook - The group is cautiously optimistic about local consumption recovery due to improvements in the labor market and government initiatives, including a HKD 1.8 million lottery for vaccinated customers[24]. - The overall occupancy rate of commercial investment properties in Hong Kong dropped to 94% from 98% in 2020, primarily due to a decrease in rental rates during new lease signings and renewals[19]. Corporate Governance - The company complied with the corporate governance code as per the Hong Kong Stock Exchange during the six months ended June 30, 2021[113]. - The major shareholder, Wing On Corporate Management (BVI) Limited, holds 61.902% of the issued share capital, equivalent to 180,545,138 shares[124].