香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性及完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或倚賴該等內容而引致的任何損失承擔任何責任。 茲提述文化傳信集團有限公司（「本公司」）日期均為二零二五年七月十五日之通函（「通函」） 及股東週年大會通告（「通告」），內容有關本公司於二零二五年八月二十六日舉行之股東 週年大會（「股東週年大會」）。除文義另有所指外，本公告所用詞彙與通函所界定者具有 相同涵義。 股東週年大會投票結果 董事會欣然宣佈，通告所載之所有提呈決議案（「決議案」）已於股東週年大會上獲股東以 投票表決方式正式通過。 — 1 — 於股東週年大會上之決議案投票表決結果如下： （ 於 百 慕 達 註 冊 成 立 之 有 限 公 司 ） （股份代號：00343） 二零二五年八月二十六日舉行之 股東週年大會之投票結果 由於第一至七號（第三(ii)號決議案除外）之決議案獲得50%以上之票數贊成，故所有決議 案（第三(ii)號決議案除外）已獲正式通過為本公司之普通決議案。 於股東週年大會日期，已發行股份總數為1,668,656,816股，賦予股東 ...

New Stock Activities - Companies currently in the IPO process include Jiaxin International Resources, Shuangdeng Co., and Kanglong Chemical [1] - Other companies in the IPO process are Suteng Juchuang, Jinglian Group, Binjiang Services, and Yika [1] Earnings Announcement Dates - Companies scheduled to announce earnings include Tengsheng Bo Pharmaceutical-B, Chunquan Industrial Trust, and Jinchao Yang Group [1] - Additional companies include Zaitong, China Petroleum & Chemical Corporation, Jinyuan Development International Industry, and Runli Maritime [1] - Other firms set to report earnings are New Fire Technology Holdings, Weijun Group Holdings, and Citic Bank [1] Shareholder Meetings - Companies holding shareholder meetings include Wuxi Life, China Wangwang, Cultural Communication, and Jingneng Clean Energy [1] - Additional companies include GC Construction [1] Dividend Distribution - Companies declaring dividends include Huixian Industrial Trust, Cabin, and Baotan Holdings [1] - Other firms include Pacific Shipping, China New Town, and Victory Securities [1] - Additional companies declaring dividends are Jinsang Machine Tool China, Aihua Credit, and Gaoxin Retail [1] - First Service Holdings is also listed for dividend distribution [1] Dividend Payment Dates - Companies with scheduled dividend payment dates include Midea Real Estate, China Galaxy, CITIC Securities, and China Life [2]

Core Insights - ST Lianchuang (300343.SZ) reported a total operating revenue of 443 million yuan for the first half of 2025, an increase of 50.39 million yuan or 12.83% compared to the same period last year [1] - The net profit attributable to shareholders reached 11.70 million yuan, an increase of 24.42 million yuan compared to the same period last year [1] - The net cash inflow from operating activities was 15.92 million yuan, an increase of 34.28 million yuan year-on-year [1] Financial Ratios - The latest debt-to-asset ratio stands at 18.83%, a decrease of 2.80 percentage points from the same period last year [3] - The gross profit margin is reported at 13.50%, an increase of 4.78 percentage points year-on-year [3] - The return on equity (ROE) is 0.61%, an increase of 1.27 percentage points compared to the same period last year [3] Earnings and Turnover - The diluted earnings per share are 0.01 yuan, an increase of 0.02 yuan from the same period last year [4] - The total asset turnover ratio is 0.18 times, an increase of 0.04 times or 26.24% year-on-year [4] - The inventory turnover ratio is 2.29 times, an increase of 0.02 times, marking two consecutive years of growth, with a year-on-year increase of 0.81% [4] Shareholder Information - The number of shareholders is 66,300, with the top ten shareholders holding a total of 174 million shares, accounting for 16.29% of the total share capital [4] - The largest shareholder, Li Hongguo, holds 12.14% of the shares [4]

Group 1 - The company ST Lianchuang (300343.SZ) reported a revenue of 443 million yuan for the first half of 2025, representing a year-on-year growth of 12.83% [1] - The net profit attributable to shareholders of the listed company was 11.6992 million yuan, marking a turnaround from a loss to profit compared to the previous year [1] - The net profit attributable to shareholders after deducting non-recurring gains and losses was 4.3074 million yuan, with a basic earnings per share of 0.0110 yuan [1]

Core Viewpoint - ST Lianchuang (300343.SZ) has indicated that the company is not currently involved in the production of fluorinated liquid electronic cooling products, but its fourth-generation refrigerants can be utilized for cooling AI computing hardware [1] Company Summary - ST Lianchuang does not have any current involvement in fluorinated liquid electronic cooling products [1] - The company's fourth-generation refrigerants are applicable for AI computing hardware cooling [1]

Group 1 - The company ST Lianchuang (300343.SZ) announced a share buyback program, having repurchased a total of 12,104,900 shares as of July 31, 2025, which represents 1.13% of the total share capital [1] - The shares were repurchased through a special securities account via centralized bidding, with a maximum transaction price of 4.28 yuan per share and a minimum transaction price of 3.93 yuan per share [1] - The total amount spent on the share buyback reached approximately 50.194917 million yuan, excluding transaction fees [1]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 文化傳信集團有限公司 呈交日期: 2025年8月1日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00343 | 說明 | 普通股 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 200,000,000,000 | HKD | | 0.01 | HKD | | 2,000,000,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | 本月底結存 | | | 200,000,000,000 | HKD | | 0.01 | HKD | | 2,000,000,00 ...

[CHAIRMAN'S STATEMENT](index=6&type=section&id=CHAIRMAN%27S%20STATEMENT) [Results Overview](index=6&type=section&id=Results) For FY2025, the company's consolidated turnover decreased by 14.0% to **HKD 17.33 million**, with loss attributable to equity holders expanding to **HKD 27.96 million** and **1.7 HK cents** loss per share Key Performance Indicators for FY2025 | Indicator | FY2025 (HKD thousands) | FY2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Consolidated Turnover | 17,328 | 20,158 | -14.0% | | Loss attributable to equity holders | 27,963 | 20,782 | +34.6% | | Loss per share | 1.7 HK cents | 1.2 HK cents | +41.7% | | Final Dividend | Nil | Nil | - | [Business Review](index=6&type=section&id=BUSINESS%20REVIEW) The Group focused on cost control amidst an incomplete macroeconomic recovery, with publishing and IP licensing stable, digital marketing contracting by **95.7%**, and the new Natural Language Processing business in R&D with no significant short-term revenue Revenue Performance by Business Segment (HKD thousands) | Business Segment | FY2025 | FY2024 | YoY Change | | :--- | :--- | :--- | :--- | | Publishing and Intellectual Property Licensing | 15,990 | 15,104 | +5.9% | | Digital Marketing | 111 | 2,597 | -95.7% | | Retail and Wholesale | 1,227 | 2,457 | -50.1% | - The Natural Language Processing business focuses on developing software and chipsets for Chinese speech recognition, having secured several invention patents; due to intense market competition, the Group adopts a cautious strategy, primarily entering the market through partnerships or licensing, which may not generate significant revenue in the short term; net operating expenses for this business in the current fiscal year were approximately **HKD 2.58 million**[26](index=26&type=chunk)[27](index=27&type=chunk)[28](index=28&type=chunk) [Prospects](index=9&type=section&id=PROSPECT) The Group aims to commercialize its Natural Language Processing business for smart home, cockpit, and smartphone applications, while also revitalizing existing IP and exploring AI-generated film and television content to capitalize on Hong Kong's cultural nostalgia and original IP trends - The Group plans to apply Natural Language Processing technology to smart home, smart cockpit, and smartphone sectors through technology licensing partnerships[29](index=29&type=chunk)[31](index=31&type=chunk) - To align with market trends, the Group will revitalize its proprietary IP with partners, launching branded products and AI-generated film and television content, while maintaining traditional comic publishing and licensing businesses[29](index=29&type=chunk)[31](index=31&type=chunk) [MANAGEMENT DISCUSSION AND ANALYSIS](index=10&type=section&id=MANAGEMENT%20DISCUSSION%20AND%20ANALYSIS) [Financial Results](index=10&type=section&id=FINANCIAL%20RESULTS) The consolidated net loss attributable to owners of the Company expanded by 34.6% to **HKD 27.96 million** this fiscal year, driven by a 14.0% decline in total revenue primarily from digital marketing and retail/wholesale, despite a slight increase in publishing and IP licensing revenue, and an increase in impairment losses on right-of-use assets and intangible assets, leading to an expanded operating loss of **HKD 28.40 million** Financial Results Summary for FY2025 (HKD thousands) | Item | FY2025 | FY2024 | YoY Change | | :--- | :--- | :--- | :--- | | Total Revenue | 17,328 | 20,158 | -14.0% | | Gross Profit | 7,627 | 9,851 | -22.6% | | Gross Profit Margin | 44.0% | 48.9% | -4.9pp | | Administrative Expenses | 26,391 | 28,909 | -8.7% | | Operating Loss | 28,400 | 20,929 | +35.7% | | Loss for the Year | 27,963 | 20,782 | +34.6% | | Loss per share | 1.7 HK cents | 1.2 HK cents | +41.7% | | Net Assets | 80,119 | 108,679 | -26.3% | - Revenue decline was primarily due to the digital marketing business (**-95.7%**) and retail and wholesale business (**-50.1%**), with the former due to scaled-down operations and the latter due to a lack of bulk sales opportunities, while publishing and IP licensing revenue grew by **5.9%**[35](index=35&type=chunk)[36](index=36&type=chunk)[39](index=39&type=chunk) - Administrative expenses decreased mainly due to reductions in staff costs, audit fees, and directors' emoluments, reflecting the company's cost control efforts[46](index=46&type=chunk)[48](index=48&type=chunk) - Other impairment losses significantly increased, primarily including **HKD 1.69 million** for right-of-use assets and **HKD 0.55 million** for intangible assets[49](index=49&type=chunk)[53](index=53&type=chunk) [Liquidity and Financial Resources](index=15&type=section&id=LIQUIDITY%20AND%20FINANCIAL%20RESOURCES) As of March 31, 2025, the Group held cash and bank balances of **HKD 18.43 million**, with net current assets of **HKD 43.85 million** and a current ratio decreasing from 6.8 to 3.5, while the gearing ratio increased from 15.5% to 20.8%; to supplement working capital, the Group secured a **HKD 2 million** short-term loan in May 2025, and the directors believe the Group's liquidity is sufficient for daily operations Liquidity and Financial Position Indicators (HKD thousands) | Indicator | March 31, 2025 | March 31, 2024 | | :--- | :--- | :--- | | Cash and bank balances | 18,430 | - | | Net current assets | 43,850 | 101,410 | | Current ratio | 3.5 | 6.8 | | Total liabilities | 17,740 | 17,600 | | Gearing ratio | 20.8% | 15.5% | - In May 2025, the Group obtained an unsecured short-term loan of **HKD 2 million** from an independent third party at an annual interest rate of **24%** to supplement working capital[62](index=62&type=chunk)[65](index=65&type=chunk) [Employment and Remuneration Policies](index=16&type=section&id=EMPLOYMENT%20AND%20REMUNERATION%20POLICIES) As of March 31, 2025, the Group had 45 employees, a decrease of 2 from the previous year, with total staff costs for the year amounting to approximately **HKD 17.77 million**, a 15.6% year-on-year decrease Employment Situation (HKD thousands) | Indicator | March 31, 2025 | March 31, 2024 | | :--- | :--- | :--- | | Total number of employees | 45 | 47 | | - Hong Kong | 30 | - | | - China | 15 | - | | Total staff costs | 17,770 | 21,060 | [Proposed Acquisition](index=17&type=section&id=PROPOSED%20ACQUISITION) The Group's plan to acquire the entire equity of Brain-like Technology (Shenzhen) Co., Ltd. for a total consideration of **HKD 63 million**, proposed to be settled by issuing consideration shares, was jointly terminated by the vendor and the company on November 29, 2024 - The original plan to acquire Brain-like Technology (IBT) for **HKD 63 million** was terminated on November 29, 2024[71](index=71&type=chunk)[72](index=72&type=chunk)[74](index=74&type=chunk) [Proposed Placing of Non-Listed Warrants](index=18&type=section&id=PROPOSED%20PLACING%20OF%20NON-LISTED%20WARRANTS) On April 16, 2025, the company agreed to use its best efforts to place up to 200 million non-listed warrants at **HKD 0.031** per warrant, expecting net proceeds of approximately **HKD 5.45 million** if fully placed, with potential additional proceeds of up to **HKD 60 million** if warrants are fully exercised at an initial exercise price of **HKD 0.3** per share, totaling approximately **HKD 65.45 million** in net proceeds primarily for IP revitalization (**67%**) and general working capital (**33%**), pending EGM approval Proposed Placing of Non-Listed Warrants Details | Item | Details | | :--- | :--- | | Number of Warrants to be Placed | Up to 200,000,000 | | Placing Price | HKD 0.031 per warrant | | Initial Exercise Price | HKD 0.3 per share | | Gross/Net Proceeds from Placing | Approx. HKD 6,200 thousand / HKD 5,450 thousand | | Additional Proceeds upon Full Exercise | Up to approx. HKD 60,000 thousand | | Use of Total Net Proceeds | - Revitalization and promotion of IP: approx. HKD 43,630 thousand (67%)<br>- General working capital: approx. HKD 21,820 thousand (33%) | [Voluntary Liquidation of Two Non-Wholly Owned Subsidiaries](index=20&type=section&id=VOLUNTARY%20LIQUIDATION%20OF%20TWO%20NON-WHOLLY%20OWNED%20SUBSIDIARIES) To reduce losses and reallocate resources, the Group initiated voluntary liquidation for two non-wholly owned subsidiaries engaged in digital marketing, with Beijing Eqmen Technology Co., Ltd. (Eqmen) liquidation completed in March 2024, Beijing Star Engine Information Technology Co., Ltd. (Beijing Star Engine) liquidation ongoing, and wholly-owned subsidiary Guangzhou Honghao Technology Co., Ltd. deregistration completed on July 4, 2024 - The voluntary liquidation of Beijing Eqmen (Eqmen) was completed in March 2024[88](index=88&type=chunk)[92](index=92&type=chunk) - The voluntary liquidation process for Beijing Star Engine (Beijing Star Engine) is still ongoing[88](index=88&type=chunk)[92](index=92&type=chunk) - Wholly-owned subsidiary Guangzhou Honghao Technology Co., Ltd. completed its deregistration on July 4, 2024[90](index=90&type=chunk)[94](index=94&type=chunk) [DIRECTORS' REPORT](index=21&type=section&id=DIRECTORS%27%20REPORT) [Principal Activities and Major Customers and Suppliers](index=21&type=section&id=PRINCIPAL%20ACTIVITIES) As an investment holding company, the company's principal subsidiaries engage in publishing, IP licensing, digital marketing, retail and wholesale, and natural language processing businesses; this year, the Group exhibited high reliance on major customers and suppliers, with the top five customers accounting for **86.5%** of turnover from continuing operations and the largest customer for **28.7%**, while the top five suppliers accounted for **74.9%** of total purchases and the largest supplier for **28.2%** - The Group's top five customers accounted for **86.5%** of turnover from continuing operations, with the largest customer contributing **28.7%**[100](index=100&type=chunk)[105](index=105&type=chunk) - The Group's top five suppliers accounted for **74.9%** of total purchases from continuing operations, with the largest supplier contributing **28.2%**[100](index=100&type=chunk)[106](index=106&type=chunk) [Share Capital and Share Option Schemes](index=23&type=section&id=SHARE%20CAPITAL%20AND%20SHARE%20OPTIONS) The company's 2013 Share Option Scheme expired in August 2023, and a new 2023 scheme was adopted in the same year; as of March 31, 2025, **14 million** unexercised share options remained under the 2013 scheme, which lapsed after April 26, 2025, and no share options were granted, exercised, cancelled, or lapsed under either scheme during the current year Outstanding Share Options under 2013 Scheme (as of March 31, 2025) | Holder Category | Name | Number of Outstanding Options | Exercise Price per Share (HKD) | Exercise Period | | :--- | :--- | :--- | :--- | :--- | | Director | Wong Kon Man Jason | 8,000,000 | 0.72 | April 27, 2022 to April 26, 2025 | | Others (Consultant) | - | 6,000,000 | 0.72 | April 27, 2022 to April 26, 2025 | | **Total** | | **14,000,000** | | | - The 2013 Share Option Scheme expired on August 11, 2023, with no further options granted thereafter; a new 2023 Share Option Scheme was adopted on August 29, 2023[184](index=184&type=chunk)[189](index=189&type=chunk) - As of the report date, all **14,000,000** share options granted under the 2013 scheme lapsed on April 26, 2025, leaving no outstanding share options under that scheme[1016](index=1016&type=chunk) [Disclosure of Interests](index=39&type=section&id=DISCLOSURE%20OF%20INTERESTS) As of March 31, 2025, Non-Executive Director Mr. Wong Kon Man held **8 million** share options, while major shareholders L&W Holding Limited, Mr. Dizon Basilio, and Ms. Chow Lai Wah Livia were deemed to jointly hold **276,975,112** shares, representing **16.6%** of the issued share capital Directors' Interests (Share Options) | Director Name | Capacity | Nature of Interest | Number of Share Options | Approximate Percentage of Issued Share Capital | | :--- | :--- | :--- | :--- | :--- | | Mr. Wong Kon Man | Beneficial Owner | Personal Interest | 8,000,000 | 0.48% | Major Shareholders' Interests (Shares) | Shareholder Name/Name | Capacity | Number of Shares Held | Approximate Percentage of Issued Share Capital | | :--- | :--- | :--- | :--- | | L&W Holding Limited | Beneficial Owner | 178,767,312 | 10.71% | | Mr. Dizon Basilio | Interest in controlled corporation and spouse's interest, etc. | 276,975,112 | 16.6% | | Ms. Chow Lai Wah Livia | Interest in controlled corporation and spouse's interest, etc. | 276,975,112 | 16.6% | [CORPORATE GOVERNANCE REPORT](index=48&type=section&id=CORPORATE%20GOVERNANCE%20REPORT) [Corporate Governance Practices and Compliance](index=48&type=section&id=CORPORATE%20GOVERNANCE%20PRACTICES) The company is committed to maintaining high corporate governance standards and has adopted the Corporate Governance Code under the Listing Rules, complying with most code provisions during the year, with deviations including independent non-executive directors not being appointed for specific terms (but subject to retirement by rotation), a temporary shortfall in the minimum number of independent non-executive directors from May 6 to July 31, 2024, and the Corporate Governance Committee having fewer members than stipulated in its written terms of reference - The company deviates from code provision B.2.2, where independent non-executive directors are not appointed for specific terms, but the company believes the arrangement for all directors to retire by rotation achieves an equally stringent governance effect[249](index=249&type=chunk)[250](index=250&type=chunk) - Due to Mr. Fan Chun Wah's resignation, the number of independent non-executive directors temporarily fell to two between May 6 and July 31, 2024, below the minimum of three required by the Listing Rules[251](index=251&type=chunk)[252](index=252&type=chunk) - The Corporate Governance Committee currently has three members, fewer than the four stipulated in its written terms of reference, and the Board will identify candidates to fill the vacancy[253](index=253&type=chunk)[255](index=255&type=chunk) [Board of Directors](index=50&type=section&id=BOARD%20OF%20DIRECTORS) The Board of Directors is primarily responsible for leading and controlling the Group, formulating overall strategies, and overseeing financial performance; the roles of Chairman and Chief Executive Officer are segregated, held by Mr. Wong Kon Man and Dr. Liu Yin Hung respectively, though the CEO has been on leave for personal reasons since June 2024, with his duties temporarily assumed by Managing Director Mr. Kwan Kin Chung; the Board held 5 meetings during the year, with generally high director attendance Board Meeting Attendance (FY2025) | Director Name | Position | Attendance/Meetings Held | | :--- | :--- | :--- | | Mr. Kwan Kin Chung | Executive Director | 5/5 | | Mr. Wong Kon Man | Non-Executive Director (Chairman) | 5/5 | | Dr. Liu Ka Ying | Non-Executive Director (Vice Chairman) | 5/5 | | Mr. Wong Kwan Kit | Independent Non-Executive Director | 5/5 | | Mr. Mong Yat Lik | Independent Non-Executive Director | 5/5 | | Mr. Fung Ting Ho | Independent Non-Executive Director | 3/3 | - The roles of Chairman and Chief Executive Officer are segregated, but since June 2024, Chief Executive Officer Dr. Liu Yin Hung has been on leave for personal reasons, with his duties temporarily assumed by Managing Director Mr. Kwan Kin Chung[266](index=266&type=chunk)[267](index=267&type=chunk) [Board Committees](index=54&type=section&id=BOARD%20COMMITTEES) The company has an Audit Committee, Remuneration Committee, Nomination Committee, and Corporate Governance Committee; the Audit Committee, comprising three independent non-executive directors, held 4 meetings this year to review financial statements and internal controls; the Remuneration Committee, comprising two independent non-executive directors and one executive director, held 1 meeting; the Nomination Committee, comprising three independent non-executive directors, held 2 meetings and has adopted a Board Diversity Policy - The Audit Committee comprises three independent non-executive directors, chaired by Mr. Wong Kwan Kit, and held 4 meetings this year[279](index=279&type=chunk)[283](index=283&type=chunk) - The Remuneration Committee comprises two independent non-executive directors and one executive director, chaired by Mr. Wong Kwan Kit, and held 1 meeting this year[285](index=285&type=chunk)[288](index=288&type=chunk) - The Nomination Committee comprises three independent non-executive directors, chaired by Mr. Fung Ting Ho, and held 2 meetings this year[290](index=290&type=chunk)[298](index=298&type=chunk) - As of March 31, 2025, the Board's gender ratio was **16.6%** female and **83.4%** male[304](index=304&type=chunk) [Accountability and Audit](index=61&type=section&id=ACCOUNTABILITY%20AND%20AUDIT) Directors are responsible for preparing true and fair financial statements; this year, audit and non-audit service fees paid to the auditor were **HKD 1 million** and **HKD 0.23 million** respectively; the Group conducts annual reviews of its risk management and internal control systems through the Audit Committee and Corporate Governance Committee; due to scale and cost-effectiveness considerations, the Group has not established an internal audit department but engages independent consultants for reviews, and the Board considers the existing systems to be adequate and effective - This year, audit service fees paid to the auditor amounted to **HKD 1 million**, and non-audit service fees amounted to **HKD 0.23 million**[309](index=309&type=chunk)[312](index=312&type=chunk) - The Group has not established an internal audit function but engages independent consultants to review its risk management and internal control systems; the Board considers these systems to be adequate and effective, with no significant control failures or deficiencies identified[326](index=326&type=chunk)[327](index=327&type=chunk) [INDEPENDENT AUDITOR'S REPORT](index=69&type=section&id=INDEPENDENT%20AUDITOR%27S%20REPORT) [Auditor's Opinion](index=69&type=section&id=OPINION) Addison & Co. CPA Limited issued an unmodified opinion on the company's consolidated financial statements for the year ended March 31, 2025, affirming that the statements present a true and fair view of the Group's consolidated financial position, performance, and cash flows in accordance with Hong Kong Financial Reporting Standards and are properly prepared in compliance with the disclosure requirements of the Hong Kong Companies Ordinance - The auditor issued an unmodified opinion, stating that the consolidated financial statements present a true and fair view of the Group's financial position and performance[350](index=350&type=chunk)[353](index=353&type=chunk) [Key Audit Matters](index=70&type=section&id=KEY%20AUDIT%20MATTERS) This year's key audit matter is the Net Realizable Value (NRV) assessment of fine wines inventory, deemed critical due to its materiality to the overall statement of financial position (carrying amount approximately **HKD 30.05 million**) and the significant judgment involved in its NRV estimation; the auditor addressed this by discussing the assessment process with management, evaluating the reasonableness of estimates (including obtaining external valuation reports and conducting independent market research), among other procedures - The key audit matter is the Net Realizable Value (NRV) assessment of fine wines inventory, due to its material carrying amount (approximately **HKD 30.05 million**) and the significant judgment involved in its estimation[358](index=358&type=chunk)[361](index=361&type=chunk) - The auditor's procedures included discussing management's assessment process, evaluating the reasonableness of NRV estimates, obtaining external valuation reports, assessing valuation methodologies and key assumptions, and conducting independent market research[360](index=360&type=chunk)[363](index=363&type=chunk) [CONSOLIDATED FINANCIAL STATEMENTS](index=78&type=section&id=CONSOLIDATED%20FINANCIAL%20STATEMENTS) [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=78&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20PROFIT%20OR%20LOSS%20AND%20OTHER%20COMPREHENSIVE%20INCOME) For FY2025, the Group's revenue decreased by 14.0% year-on-year to **HKD 17.33 million**, and gross profit decreased by 22.6% to **HKD 7.63 million**; due to a significant reduction in other income and an increase in other losses, the loss for the year expanded from **HKD 20.93 million** to **HKD 28.40 million**, with loss attributable to owners of the Company at **HKD 27.96 million** and basic loss per share at **1.7 HK cents** Consolidated Income Statement Summary (HKD thousands) | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Revenue | 17,328 | 20,158 | | Gross Profit | 7,627 | 9,851 | | Loss before tax | (28,728) | (20,808) | | Loss for the Year | (28,400) | (20,929) | | Loss attributable to owners of the Company | (27,963) | (20,782) | | Total Comprehensive Expenses | (28,560) | (23,712) | [Consolidated Statement of Financial Position](index=81&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20FINANCIAL%20POSITION) As of March 31, 2025, the Group's total assets were **HKD 97.86 million**, total liabilities were **HKD 17.74 million**, and net assets were **HKD 80.12 million**, a 26.3% decrease from **HKD 108.68 million** in the prior year; non-current assets significantly increased due to a substantial rise in intangible assets, while current assets sharply declined due to reduced other receivables and cash, and current liabilities remained largely stable Consolidated Statement of Financial Position Summary (HKD thousands) | Item | March 31, 2025 | March 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Non-current assets | 36,635 | 7,268 | | Current assets | 61,226 | 119,014 | | **Total Assets** | **97,861** | **126,282** | | **Liabilities and Equity** | | | | Current liabilities | 17,379 | 17,603 | | Non-current liabilities | 363 | – | | **Total Liabilities** | **17,742** | **17,603** | | **Net Assets** | **80,119** | **108,679** | | Equity attributable to owners of the Company | 85,484 | 113,787 | | Non-controlling interests | (5,365) | (5,108) | | **Total Equity** | **80,119** | **108,679** | [Consolidated Statement of Cash Flows](index=86&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20CASH%20FLOWS) For FY2025, the Group experienced a net cash outflow from operating activities of **HKD 12.43 million**, a net cash outflow from investing activities of **HKD 0.55 million**, and a net cash outflow from financing activities of **HKD 7.06 million**, resulting in a net decrease in cash and cash equivalents of **HKD 20.04 million**, with the period-end balance of cash and cash equivalents at **HKD 18.43 million** Consolidated Cash Flow Statement Summary (HKD thousands) | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Net cash used in operating activities | (12,425) | (19,745) | | Net cash used in investing activities | (553) | (3,530) | | Net cash (used in) generated from financing activities | (7,063) | 5,477 | | Net decrease in cash and cash equivalents | (20,041) | (17,798) | | Cash and cash equivalents at beginning of year | 38,228 | 61,497 | | **Cash and cash equivalents at end of year** | **18,429** | **38,228** | [Notes to the Consolidated Financial Statements](index=90&type=section&id=NOTES%20TO%20THE%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) This section elaborates on the Group's significant accounting policies, key accounting estimates, and sources of uncertainty, providing detailed breakdowns and explanations for various items in the financial statements, with key content including segment information (Note 10), intangible assets (Note 20), financial instruments and risk management (Note 38), and related party transactions (Note 39) - Segment information (Note 10) indicates the Group's operations are divided into four segments: Publishing and IP Licensing, Digital Marketing, Retail and Wholesale, and Natural Language Processing; this year, Publishing and IP Licensing was the primary source of revenue and profit, while the Natural Language Processing segment incurred the largest segment loss[816](index=816&type=chunk)[820](index=820&type=chunk) - Intangible assets (Note 20) carrying value significantly increased from **HKD 5.53 million** to **HKD 29.76 million**, primarily due to the addition of **HKD 28.34 million** in patented technology; concurrently, an impairment loss of **HKD 0.55 million** was recognized on intellectual property[913](index=913&type=chunk)[921](index=921&type=chunk) - Financial Instruments and Risk Management (Note 38) details the Group's exposure to market risks (currency, interest rate, price), credit risk, and liquidity risk, along with their management policies; notably, credit risk concentration is high, with the top two customers accounting for **58%** of trade receivables[1052](index=1052&type=chunk)[1087](index=1087&type=chunk) [FINANCIAL SUMMARY](index=300&type=section&id=FINANCIAL%20SUMMARY) [Five-Year Financial Summary](index=300&type=section&id=Five-Year%20Financial%20Summary) Over the past five years, the Group's revenue has shown a continuous downward trend, decreasing from **HKD 207 million** in FY2021 to **HKD 17.33 million** in FY2025; although the annual loss narrowed in the last two years, the loss for FY2025 expanded compared to FY2024, and the Group's total assets and net assets have also decreased year by year, reflecting a contraction in business scale and ongoing operational challenges Five-Year Performance Summary (HKD thousands) | As of March 31 | 2021 | 2022 | 2023 | 2024 | 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | 206,605 | 62,365 | 30,600 | 20,158 | 17,328 | | Loss before tax | (71,042) | (39,574) | (38,503) | (20,808) | (28,728) | | Loss attributable to owners of the Company | (57,191) | (28,943) | (37,223) | (20,782) | (27,963) | Five-Year Assets and Liabilities Summary (HKD thousands) | As of March 31 | 2021 | 2022 | 2023 | 2024 | 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Assets (Current + Non-current) | 174,202 | 190,906 | 147,757 | 108,679 | 80,482 | | Total Liabilities (Current + Non-current) | (1,628) | (12) | (357) | - | (363) | | **Net Assets** | **172,574** | **190,894** | **147,400** | **108,679** | **80,119** |

[Company Information and Disclaimer](index=1&type=section&id=Company%20Information%20and%20Disclaimer) This section provides the company's registration details and clarifies the disclaimer from Hong Kong Exchanges and Clearing Limited regarding the announcement content - Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited are not responsible for the content of this announcement, make no representation, and accept no liability for any loss[1](index=1&type=chunk) - The Company is incorporated in Bermuda as a limited liability company with stock code: **00343**[2](index=2&type=chunk) [Financial Performance Overview](index=1&type=section&id=Financial%20Performance%20Overview) This section presents a high-level summary of the company's key financial performance indicators for the fiscal years 2025 and 2024 Key Financial Performance Overview for FY2025 | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Annual Loss | (28,400) | (20,929) | 35.7% increase | | Annual Loss Attributable to Owners of the Company | (27,963) | (20,782) | 34.6% increase | | Basic and Diluted Loss Per Share (HK cents) | (1.7) | (1.2) | 41.7% increase | | Revenue | 17,328 | 20,158 | (14.0%) decrease | | Gross Profit | 7,627 | 9,851 | (22.6%) decrease | | Gross Profit Margin | 44.0% | 48.9% | (4.9) percentage points | [Consolidated Financial Statements](index=1&type=section&id=Consolidated%20Financial%20Statements) This section presents the audited consolidated statement of profit or loss and other comprehensive income and the consolidated statement of financial position as of March 31, 2025 [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=1&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the year ended March 31, 2025, the Group reported revenue of 17,328 Thousand HKD, gross profit of 7,627 Thousand HKD, and an expanded annual loss of 28,400 Thousand HKD Summary of Consolidated Statement of Profit or Loss and Other Comprehensive Income | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Revenue | 17,328 | 20,158 | | Cost of Sales | (9,701) | (10,307) | | Gross Profit | 7,627 | 9,851 | | Other Income | 565 | 4,638 | | Other Gains or Losses | (1,743) | 4,039 | | Loss Before Tax | (28,728) | (20,808) | | Annual Loss | (28,400) | (20,929) | | Annual Loss Attributable to Owners of the Company | (27,963) | (20,782) | [Consolidated Statement of Financial Position](index=3&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of March 31, 2025, the Group's non-current assets significantly increased to 36,635 Thousand HKD, while current assets decreased to 61,226 Thousand HKD, leading to a reduction in total equity Summary of Consolidated Statement of Financial Position | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Non-current Assets | 36,635 | 7,268 | | Current Assets | 61,226 | 119,014 | | Current Liabilities | 17,379 | 17,603 | | Net Current Assets | 43,847 | 101,411 | | Net Assets | 80,119 | 108,679 | | Equity Attributable to Owners of the Company | 85,484 | 113,787 | | Cash and Cash Equivalents | 18,429 | 38,228 | [Notes to the Consolidated Financial Statements](index=5&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) This section provides detailed explanations on the basis of preparation, accounting policies, revenue, segment performance, asset and liability items, and post-reporting period events [1. Basis of Preparation](index=5&type=section&id=1.%20Basis%20of%20Preparation) The consolidated financial statements are prepared in accordance with HKFRSs, comply with listing rules, and are presented in HKD for convenience, despite RMB being the functional currency - The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards issued by the HKICPA and comply with the disclosure requirements of the Listing Rules and the Hong Kong Companies Ordinance[7](index=7&type=chunk) - The statements are prepared on a historical cost basis, with certain financial instruments measured at fair value[7](index=7&type=chunk) - The Company's functional currency is RMB, but for the convenience of HKEX users, it is presented in HKD[7](index=7&type=chunk) [2. Application of New and Revised HKFRSs](index=5&type=section&id=2.%20Application%20of%20New%20and%20Revised%20HKFRSs) The Group adopted several new and revised HKFRSs effective April 1, 2024, which had no material impact on current or prior period financial performance or position - This year, several revised HKFRSs were first applied, including lease liabilities in a sale and leaseback transaction and classification of liabilities as current or non-current[8](index=8&type=chunk) - The application of new and revised standards had no material impact on the Group's financial position and performance for the current and prior years[8](index=8&type=chunk) [3. Revenue](index=6&type=section&id=3.%20Revenue) For the year ended March 31, 2025, total Group revenue decreased by **14.0%** to 17,328 Thousand HKD, primarily from publishing and IP licensing, with significant declines in digital marketing and retail/wholesale Revenue Source Analysis | Revenue Source | 2025 (Thousand HKD) | 2024 (Thousand HKD) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Sales of Comic Books | 12,971 | 12,419 | 4.4% increase | | Intellectual Property Licensing Revenue | 3,019 | 2,685 | 12.4% increase | | Sales of Alcoholic Beverages | 1,227 | 2,457 | (50.0%) decrease | | Social Media Marketing | 111 | 113 | (1.8%) decrease | | New Media Advertising Revenue | – | 2,484 | (100.0%) decrease | | **Total** | **17,328** | **20,158** | **(14.0%) decrease** | - The Hong Kong market contributed the vast majority of revenue (**17,217 Thousand HKD**), while revenue from the China market significantly decreased to **111 Thousand HKD**[11](index=11&type=chunk)[13](index=13&type=chunk) [4. Segment Information](index=7&type=section&id=4.%20Segment%20Information) The Group's operating segments include publishing and IP licensing, digital marketing, retail and wholesale, and natural language processing, with the latter incurring the largest loss in FY2025 - The Group's operating segments include publishing and intellectual property licensing, digital marketing, retail and wholesale, and natural language processing[15](index=15&type=chunk) Segment Revenue and Results | Segment | 2025 Revenue (Thousand HKD) | 2024 Revenue (Thousand HKD) | 2025 Segment Results (Thousand HKD) | 2024 Segment Results (Thousand HKD) | | :--- | :--- | :--- | :--- | :--- | | Publishing and Intellectual Property Licensing | 15,990 | 15,104 | 1,738 | 1,384 | | Digital Marketing | 111 | 2,597 | (916) | 2,236 | | Retail and Wholesale | 1,227 | 2,457 | (767) | (887) | | Natural Language Processing | – | – | (8,605) | (2,873) | | **Consolidated Total** | **17,328** | **20,158** | **(8,550)** | **(140)** | - In 2025, non-current assets were primarily concentrated in China (**25,288 Thousand HKD**), compared to Hong Kong (**6,080 Thousand HKD**) in 2024, reflecting a shift in investment focus[22](index=22&type=chunk) [5. Other Income](index=13&type=section&id=5.%20Other%20Income) For the year ended March 31, 2025, other income significantly decreased to 565 Thousand HKD, primarily due to the absence of impairment loss reversals on trade receivables and prepayments recognized in the prior year Details of Other Income | Other Income Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Bank Interest Income | 120 | 177 | | Imputed Interest Income on Loans Receivable | 268 | 183 | | Reversal of Impairment Loss on Trade Receivables Previously Recognized | – | 1,491 | | Reversal of Impairment Loss on Prepayments Previously Recognized | – | 2,453 | | **Total** | **565** | **4,638** | - Other income in 2024 included reversals of impairment losses received due to civil claims against digital marketing business customers and suppliers for misconduct[25](index=25&type=chunk) [6. Other Gains or Losses](index=13&type=section&id=6.%20Other%20Gains%20or%20Losses) For the year ended March 31, 2025, the Group recorded other losses of 1,743 Thousand HKD, a significant shift from the prior year's gains, primarily due to the absence of subsidiary disposal gains and new legal claim provisions Details of Other Gains or Losses | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Gains (Losses) from Fair Value Changes of Financial Assets at FVTPL | 447 | (5,936) | | Gain on Derecognition of a Subsidiary | – | 10,942 | | Gain on Disposal of a Subsidiary | – | 823 | | Net Exchange Loss | (580) | (2,499) | | Provision for Legal Claims | (1,579) | – | | **Total** | **(1,743)** | **4,039** | [7. Finance Costs](index=13&type=section&id=7.%20Finance%20Costs) For the year ended March 31, 2025, finance costs increased to 133 Thousand HKD from 69 Thousand HKD in the prior year Finance Costs | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Finance Costs | 133 | 69 | [8. Other Impairment Losses](index=14&type=section&id=8.%20Other%20Impairment%20Losses) For the year ended March 31, 2025, other impairment losses significantly increased to 2,241 Thousand HKD, primarily due to higher impairment losses on right-of-use assets and intangible assets Details of Other Impairment Losses | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Impairment Loss on Intangible Assets | 552 | – | | Impairment Loss on Right-of-Use Assets | 1,689 | 254 | | Impairment Loss on Prepayments | – | 560 | | Impairment Loss on Associates | –* | 157 | | **Total** | **2,241** | **971** | [9. Loss Before Tax](index=14&type=section&id=9.%20Loss%20Before%20Tax) For the year ended March 31, 2025, loss before tax expanded to 28,728 Thousand HKD, driven by increased staff costs, intangible asset amortization, and legal and consulting fees Loss Before Tax and Key Expenses | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Loss Before Tax | (28,728) | (20,808) | | Staff Costs | 16,436 | 19,777 | | Auditor's Remuneration | 1,230 | 1,600 | | Amortisation of Intangible Assets | 3,322 | 488 | | Legal, Consultancy and Other Professional Fees | 3,919 | 5,437 | [10. Income Tax Credit (Expense)](index=15&type=section&id=10.%20Income%20Tax%20Credit%20(Expense)) For the year ended March 31, 2025, the Group recorded an income tax credit of 328 Thousand HKD, primarily due to increased deferred tax credits, with Hong Kong profits tax at 16.5% and China subsidiaries at 25% Details of Income Tax Credit (Expense) | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Current Tax - Hong Kong Profits Tax | 88 | 154 | | Deferred Tax - Deferred Tax Credit | (416) | (9) | | **Income Tax Credit (Expense)** | **(328)** | **121** | - Hong Kong profits tax is calculated at **16.5%** (or a two-tiered rate of **8.25%/16.5%**), while Chinese subsidiaries are taxed at **25%**[30](index=30&type=chunk) [11. Dividends](index=15&type=section&id=11.%20Dividends) No dividends were paid or proposed by the Company for the year ended March 31, 2025, or since the end of the reporting period - No dividends were paid or proposed for the years ended March 31, 2025, and 2024[32](index=32&type=chunk) [12. Loss Per Share](index=16&type=section&id=12.%20Loss%20Per%20Share) For the year ended March 31, 2025, basic and diluted loss per share attributable to owners of the Company expanded to **1.7 HK cents**, with the weighted average number of shares remaining unchanged Loss Per Share Calculation | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Weighted Average Number of Shares for Basic and Diluted Loss Per Share Calculation (Thousand shares) | 1,668,657 | 1,668,657 | | Annual Loss Attributable to Owners of the Company for Basic and Diluted Loss Per Share Calculation (Thousand HKD) | (27,963) | (20,782) | | Basic and Diluted Loss Per Share (HK cents) | (1.7) | (1.2) | - The exercise of share options was not assumed in calculating diluted loss per share as it would result in a reduction in loss per share[33](index=33&type=chunk) [13. Goodwill and Impairment Assessment](index=16&type=section&id=13.%20Goodwill%20and%20Impairment%20Assessment) As of March 31, 2025 and 2024, the Group's goodwill carrying amount was zero, as goodwill from Yi Qimen and Hui Chuan Network was fully impaired or derecognized Goodwill Carrying Amount | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Goodwill Carrying Amount | – | – | - Goodwill of Yi Qimen was fully impaired as of March 31, 2021, and derecognized upon its deregistration on March 31, 2024[36](index=36&type=chunk)[37](index=37&type=chunk) - Goodwill of Hui Chuan Network was fully impaired as of March 31, 2022, and derecognized upon its disposal on March 31, 2024[38](index=38&type=chunk)[39](index=39&type=chunk) [14. Intangible Assets](index=18&type=section&id=14.%20Intangible%20Assets) As of March 31, 2025, intangible assets significantly increased to 29,761 Thousand HKD, driven by new patent technology additions, with an impairment loss of 552 Thousand HKD recognized for intellectual property Intangible Assets Carrying Amount | Intangible Asset Category | 2025 Carrying Amount (Thousand HKD) | 2024 Carrying Amount (Thousand HKD) | | :--- | :--- | :--- | | Club Memberships | 1,385 | 1,385 | | Intellectual Property | 3,100 | 4,140 | | Patent Technology | 25,276 | – | | **Total** | **29,761** | **5,525** | - New patent technology additions amounted to **28,341 Thousand HKD** in 2025[40](index=40&type=chunk) - An impairment loss of **552 Thousand HKD** was recognized for intellectual property due to challenging market conditions and failure to meet budgeted financial performance[41](index=41&type=chunk) [15. Trade Receivables](index=20&type=section&id=15.%20Trade%20Receivables) As of March 31, 2025, net trade receivables were 3,666 Thousand HKD, slightly higher than the prior year, with reduced credit loss provisions and a decrease in receivables overdue by more than 90 days Details of Trade Receivables | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Gross Trade Receivables | 3,889 | 4,408 | | Less: Provision for Credit Losses | (223) | (943) | | **Net Trade Receivables** | **3,666** | **3,465** | Ageing Analysis of Trade Receivables | Ageing | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | 0 – 60 days | 1,706 | 1,439 | | 61 – 90 days | 701 | 442 | | 91 – 180 days | 1,108 | 1,264 | | Over 180 days | 151 | 320 | [16. Other Receivables, Deposits and Prepayments](index=21&type=section&id=16.%20Other%20Receivables,%20Deposits%20and%20Prepayments) As of March 31, 2025, total other receivables, deposits, and prepayments significantly decreased to 6,718 Thousand HKD, mainly due to a substantial reduction in intangible asset deposits for the natural language processing business Details of Other Receivables, Deposits and Prepayments | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Net Other Receivables | 50 | 80 | | Net Deposits and Prepayments | 6,668 | 35,733 | | **Total** | **6,718** | **35,813** | - Intangible asset deposits decreased from **33,269 Thousand HKD** (2024) to **4,859 Thousand HKD** (2025)[46](index=46&type=chunk) [17. Loans Receivable](index=22&type=section&id=17.%20Loans%20Receivable) As of March 31, 2025, net loans receivable decreased to 5,029 Thousand HKD, with the Group extending loan maturities for all borrowers and reclassifying some loans as non-current Details of Loans Receivable | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Gross Loans Receivable from Independent Third Parties | 6,736 | 8,068 | | Less: Provision for Credit Losses | (1,707) | (112) | | **Net Loans Receivable** | **5,029** | **7,956** | - Loan maturity dates have been extended, with some reclassified as non-current items (**4,344 Thousand HKD**)[47](index=47&type=chunk) - As of March 31, 2025, loans receivable with a carrying amount of **5,029 Thousand HKD** were considered overdue[47](index=47&type=chunk) [18. Trade Payables, Other Payables and Accruals](index=23&type=section&id=18.%20Trade%20Payables,%20Other%20Payables%20and%20Accruals) As of March 31, 2025, net trade payables were 899 Thousand HKD, slightly lower than the prior year, while other payables and accruals remained stable at 8,891 Thousand HKD Details of Trade Payables, Other Payables and Accruals | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Trade Payables | 899 | 946 | | Other Payables and Accruals | 8,891 | 8,331 | - Other payables and accruals primarily include deposits received, accrued operating expenses, accrued salaries, and accrued employee termination costs[51](index=51&type=chunk) [19. Disposal/Derecognition of Subsidiaries](index=24&type=section&id=19.%20Disposal/Derecognition%20of%20Subsidiaries) In FY2024, the Group disposed of Hui Chuan Network and derecognized Yi Qimen, recognizing gains of 823 Thousand HKD and 10,942 Thousand HKD, respectively, leading to goodwill derecognition - On April 13, 2023, the Group disposed of its entire equity interest in Hui Chuan Network for **57 Thousand HKD**, recognizing a gain of **823 Thousand HKD**[52](index=52&type=chunk)[53](index=53&type=chunk) - On March 20, 2024, the Group derecognized Yi Qimen (55% owned), recognizing a gain on derecognition of **10,942 Thousand HKD**[54](index=54&type=chunk) [20. Provisions](index=25&type=section&id=20.%20Provisions) As of March 31, 2025, the Group made a provision of 1,565 Thousand HKD for legal claims related to a supplier dispute, resulting in the freezing of a Chinese subsidiary's bank account Details of Provisions | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Provision for Legal Claims | 1,565 | – | - The provision was made for legal proceedings in China with a supplier, resulting in the freezing of a bank account of approximately **RMB1,052,000**[55](index=55&type=chunk) [21. Comparative Figures](index=25&type=section&id=21.%20Comparative%20Figures) Certain comparative figures have been reclassified to conform with the current year's presentation, providing a more appropriate view of the Group's affairs - Certain comparative figures have been reclassified to conform with the current year's presentation, providing a more appropriate view of the Group's affairs[56](index=56&type=chunk) [22. Events After the Reporting Period](index=25&type=section&id=22.%20Events%20After%20the%20Reporting%20Period) Post-reporting period, the Company entered a warrant placing agreement to raise working capital and secured a 2 million HKD unsecured fixed loan at 24% annual interest - On April 16, 2025, the Company entered into a warrant placing agreement with a placing agent to place up to **200 million** warrants at an initial subscription price of **0.3 HKD** per share[57](index=57&type=chunk) - On May 16, 2025, the Company obtained a **2 million HKD** unsecured fixed loan from a third party at an annual interest rate of **24%**, repayable by June 16, 2025, for partial working capital[57](index=57&type=chunk) [Management Discussion and Analysis](index=26&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the Group's FY2025 financial performance, liquidity, human resources, significant transactions, and operations, outlining future strategies focused on resource conservation and cost control [Dividends](index=26&type=section&id=Dividends) No dividends were paid or proposed by the Company for the years ended 2025 and 2024 - No dividends were paid or proposed for the years ended 2025 and 2024[58](index=58&type=chunk) [Financial Results](index=26&type=section&id=Financial%20Results) For the year ended March 31, 2025, the Group's consolidated net loss increased by **34.6%** to 27,963 Thousand HKD, driven by a **14.0%** revenue decline, reduced gross margin, and increased impairment losses [1. Revenue](index=26&type=section&id=1.%20Revenue) For the year ended March 31, 2025, overall Group revenue decreased by **14.0%** to 17,328 Thousand HKD, with publishing and IP licensing showing slight growth, while digital marketing and retail/wholesale significantly declined Revenue Changes by Business Segment | Business Segment | 2025 Revenue (Thousand HKD) | 2024 Revenue (Thousand HKD) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Publishing and Intellectual Property Licensing | 15,990 | 15,104 | 5.9% increase | | Digital Marketing | 111 | 2,597 | (95.7%) decrease | | Retail and Wholesale | 1,227 | 2,457 | (50.0%) decrease | | **Total Revenue** | **17,328** | **20,158** | **(14.0%) decrease** | - The significant decrease in digital marketing revenue was due to reduced operating scale, as the Group prioritized cash and working capital preservation[60](index=60&type=chunk) [2. Gross Profit and Gross Profit Margin](index=27&type=section&id=2.%20Gross%20Profit%20and%20Gross%20Profit%20Margin) For the year ended March 31, 2025, gross profit decreased to 7,627 Thousand HKD, and gross profit margin fell to **44.0%**, primarily due to the recognition of production costs in the digital marketing segment Changes in Gross Profit and Gross Profit Margin | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Gross Profit | 7,627 | 9,851 | | Gross Profit Margin | 44.0% | 48.9% | - The decrease in gross profit margin was due to the recognition of production costs in the digital marketing business segment during the year[62](index=62&type=chunk) [3. Selling Expenses](index=27&type=section&id=3.%20Selling%20Expenses) For the year ended March 31, 2025, selling expenses significantly decreased to zero from 1,949 Thousand HKD, primarily due to reduced revenue and operating scale in the digital marketing segment Changes in Selling Expenses | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Selling Expenses | – | 1,949 | - The decrease in selling expenses was mainly due to reduced revenue and operating scale from the consolidation of the digital marketing business segment since 2024[63](index=63&type=chunk) [4. Administrative Expenses](index=27&type=section&id=4.%20Administrative%20Expenses) For the year ended March 31, 2025, total administrative expenses decreased to 26,391 Thousand HKD, primarily due to reduced digital marketing activities and ongoing cost control measures Administrative Expenses and Key Components | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Administrative Expenses | 26,391 | 28,909 | | Staff Costs | 11,915 | 14,498 | | Depreciation of Right-of-Use Assets | 1,924 | 342 | | Directors' Remuneration | 3,282 | 4,204 | - The decrease in administrative expenses was mainly due to reduced business activities in the digital marketing segment and streamlined operations through continuous cost control[64](index=64&type=chunk) [5. Other Impairment Losses](index=28&type=section&id=5.%20Other%20Impairment%20Losses) For the year ended March 31, 2025, other impairment losses increased to 2,241 Thousand HKD, primarily comprising impairment losses on right-of-use assets and intangible assets Details of Other Impairment Losses | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Impairment Loss on Right-of-Use Assets | 1,689 | 254 | | Impairment Loss on Intangible Assets | 552 | – | | Impairment Loss on Prepayments | – | 560 | | Impairment Loss on Associates | – | 157 | [6. Other Expenses](index=28&type=section&id=6.%20Other%20Expenses) For the year ended March 31, 2025, other operating expenses decreased, primarily due to lower R&D costs and legal/consulting fees, reflecting ongoing cost control measures Details of Other Expenses | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Research and Development Costs | 1,481 | 2,423 | | Legal, Consultancy and Other Professional Fees | 3,919 | 5,437 | - The decrease in other operating expenses was mainly due to streamlined operations through continuous cost control measures[67](index=67&type=chunk) [7. Annual Loss](index=28&type=section&id=7.%20Annual%20Loss) For the year ended March 31, 2025, the Group's operating loss expanded to 28,400 Thousand HKD, with net assets and net assets per share both decreasing Annual Loss and Net Assets | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Annual Loss | 28,400 | 20,929 | | Net Assets | 80,119 | 108,679 | | Net Assets Per Share (HKD) | 0.05 | 0.07 | [Liquidity and Financial Resources](index=29&type=section&id=Liquidity%20and%20Financial%20Resources) As of March 31, 2025, the Group's cash and bank balances were 18,429 Thousand HKD, with net current assets significantly decreasing to 43,847 Thousand HKD and a liquidity ratio of **3.5** Overview of Liquidity and Financial Resources | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Cash and Bank Balances | 18,429 | 38,228 | | Net Current Assets | 43,847 | 101,411 | | Current Ratio | 3.5 | 6.8 | | Total Liabilities | 17,742 | 17,603 | | Gearing Ratio (Equity Attributable to Owners of the Company) | 20.8% | 15.5% | - The Group faces foreign exchange risk related to RMB but no significant foreign exchange rate fluctuation risk[69](index=69&type=chunk) - Post-reporting period, an unsecured fixed loan of **2 million HKD** was obtained at an annual interest rate of **24%** for partial working capital[69](index=69&type=chunk) [Deposits Paid for Intangible Assets](index=29&type=section&id=Deposits%20Paid%20for%20Intangible%20Assets) As of March 31, 2025, the Group paid approximately 4,859 Thousand HKD in intangible asset deposits for NLP technology development and production of software and chipsets, primarily for Chinese speech recognition Intangible Asset Deposits | Item | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Intangible Asset Deposits (Natural Language Processing Business) | 4,859 | 33,269 | - The deposits are for the development and production of software and chipsets with natural language processing technology, primarily for Chinese speech recognition chips[71](index=71&type=chunk) [Employment and Remuneration Policies](index=29&type=section&id=Employment%20and%20Remuneration%20Policies) As of March 31, 2025, the Group had 45 employees with total staff costs of 17,769 Thousand HKD, and management regularly reviews remuneration and offers discretionary bonuses and share options Employment and Remuneration Overview | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Total Number of Employees | 45 | 47 | | Total Staff Costs (Thousand HKD) | 17,769 | 21,061 | - Management regularly reviews remuneration packages to ensure competitiveness and offers discretionary bonuses and share options[72](index=72&type=chunk) [Acquisition of Entire Equity Interest in a Company (Involving Issue of Consideration Shares Under General Mandate)](index=30&type=section&id=Acquisition%20of%20Entire%20Equity%20Interest%20in%20a%20Company%20(Involving%20Issue%20of%20Consideration%20Shares%20Under%20General%20Mandate)) The Group's proposed acquisition of Brain-like Technology for 63,000 Thousand HKD, to be settled by issuing new shares, was terminated as of November 29, 2024 - The Group had planned to acquire the entire equity interest in Brain-like Technology for **63,000 Thousand HKD**, to be settled by issuing **191,000,000** new shares[73](index=73&type=chunk) - As of November 29, 2024, the proposed transaction was terminated[74](index=74&type=chunk) [Proposed Placing of Unlisted Warrants Under General Mandate](index=30&type=section&id=Proposed%20Placing%20of%20Unlisted%20Warrants%20Under%20General%20Mandate) The Company proposes to place up to **200 million** unlisted warrants to raise approximately 6,200 Thousand HKD (net 5,450 Thousand HKD) for general working capital, with potential additional funds for IP activation and general working capital upon full exercise - The Company proposes to place up to **200 million** warrants at **0.031 HKD** each, raising approximately **6,200 Thousand HKD** in gross proceeds and **5,450 Thousand HKD** in net proceeds[75](index=75&type=chunk)[76](index=76&type=chunk) - The net proceeds will be used as general working capital for the Group[76](index=76&type=chunk) - Upon full exercise of the warrants, an additional **60,000 Thousand HKD** is expected to be raised, with approximately **67%** for IP activation and promotion, and **33%** for general working capital[77](index=77&type=chunk) [Voluntary Liquidation of Two Non-wholly Owned Subsidiaries](index=31&type=section&id=Voluntary%20Liquidation%20of%20Two%20Non-wholly%20Owned%20Subsidiaries) The Group initiated voluntary liquidation for Beijing Yi Qimen Technology Co., Ltd. and Beijing Xinghe Engine Information Technology Co., Ltd. to mitigate losses and reallocate resources, with Yi Qimen's liquidation completed in March 2024 - The Group is undergoing voluntary liquidation for Yi Qimen and Beijing Xinghe Engine to reduce losses and reallocate resources[80](index=80&type=chunk) - The voluntary liquidation of Yi Qimen was completed in March 2024, while the liquidation of Beijing Xinghe Engine is still ongoing[80](index=80&type=chunk) [Derecognition of a Wholly-owned Subsidiary](index=31&type=section&id=Derecognition%20of%20a%20Wholly-owned%20Subsidiary) This year, the Group derecognized Guangzhou Honghao Technology Co., Ltd., a wholly-owned subsidiary engaged in digital marketing, with completion on July 4, 2024 - The Group derecognized Guangzhou Honghao Technology Co., Ltd., a wholly-owned subsidiary engaged in digital marketing, with completion on July 4, 2024[81](index=81&type=chunk) [Capital Commitments and Contingent Liabilities](index=32&type=section&id=Capital%20Commitments%20and%20Contingent%20Liabilities) As of March 31, 2025, the Group had no significant capital commitments or contingent liabilities - As of March 31, 2025, the Group had no significant capital commitments or contingent liabilities[82](index=82&type=chunk) [Business Review](index=32&type=section&id=Business%20Review) Amidst a challenging economic environment, the Group's total revenue decreased by **14.0%**, with ongoing efforts in resource conservation, business restructuring, and cost control across its diverse segments [Publishing and Intellectual Property Licensing Business](index=32&type=section&id=Publishing%20and%20Intellectual%20Property%20Licensing%20Business) This business segment showed stable performance with 2025 revenue of 15,990 Thousand HKD, and the Company plans to expand its comic publishing and distribution Publishing and Intellectual Property Licensing Business Revenue | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Revenue | 15,990 | 15,104 | - The Company is focusing more on sales of published books with owned or licensed copyrights and plans to expand its comic publishing and distribution business in the last quarter of the fiscal year[84](index=84&type=chunk) [Digital Marketing](index=32&type=section&id=Digital%20Marketing) Following voluntary liquidation and restructuring, digital marketing business significantly contracted, with revenue decreasing by **95.7%** to 111 Thousand HKD and employee count reduced Digital Marketing Business Revenue | Metric | 2025 (Thousand HKD) | 2024 (Thousand HKD) | | :--- | :--- | :--- | | Revenue | 111 | 2,597 | - The business significantly scaled down, with the total number of employees reduced from **3** to **1**[85](index=85&type=chunk) - The voluntary liquidation process for Beijing Xinghe Engine is still ongoing[85](index=85&type=chunk) [Retail and Wholesale Business](index=32&type=section&id=Retail%20and%20Wholesale%20Business) The Group's premium alcoholic beverage retail and wholesale business maintains stable sales but faces revenue instability due to market demand, focusing on inventory turnover and positive cash flow - Premium alcoholic beverages are primarily for high-end consumers or restaurants, with wholesale sales being the main focus[86](index=86&type=chunk) - Sales are stable but revenue is unstable due to market demand[86](index=86&type=chunk) - The Group is focused on selling large quantities of alcoholic beverages to generate positive cash flow and turn over inventory[86](index=86&type=chunk) [Natural Language Processing Business](index=33&type=section&id=Natural%20Language%20Processing%20Business) The Group continues to invest in NLP technology development, focusing on Chinese speech recognition with several patents, incurring 2,581 Thousand HKD in net operating expenses for FY2025, and plans a cautious market entry via partnerships - The Group invests in developing and producing software and chipsets with natural language processing technology, focusing on Chinese speech recognition, and has obtained several invention patents[87](index=87&type=chunk) Natural Language Processing Business Overview | Metric | 2025 (Thousand HKD) | | :--- | :--- | | Net Operating Expenses (excluding amortization, impairment, legal provisions) | 2,581 | | Number of Employees | 14 | - The Group adopts a cautious strategy to enter the market through cooperation or licensing, which may not generate significant revenue in the short term[87](index=87&type=chunk) [Outlook](index=33&type=section&id=Outlook) The Group aims for sustainable growth in existing businesses and seeks to commercialize its NLP business through technology licensing, while also planning to expand IP and comic ventures with AI-generated content - Committed to maintaining the sustainable development of existing businesses and hopes the natural language processing business will enter the market and generate profits as soon as possible[88](index=88&type=chunk) - The natural language processing business will operate through technology licensing partnerships, applied in smart homes, intelligent cockpits, and smartphones[88](index=88&type=chunk) - Plans to revitalize and expand the scope of intellectual property and comic businesses, launching a series of products under its own IP brands, and AI-created film and television works[88](index=88&type=chunk) [Corporate Governance and Other Information](index=34&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section details the Group's corporate governance practices, including share transfer arrangements, listed securities transactions, audit committee operations, code compliance, and adjustments to board composition [Closure of Register of Members](index=34&type=section&id=Closure%20of%20Register%20of%20Members) To determine eligibility for the 2025 AGM, the register of members will be closed from August 21 to August 26, 2025, with all transfer documents due by 4:30 p.m. on August 20, 2025 - The register of members will be closed from **August 21 to August 26, 2025**[89](index=89&type=chunk) - All transfer documents must be lodged by **4:30 p.m. on August 20, 2025**[89](index=89&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=34&type=section&id=Purchase,%20Sale%20or%20Redemption%20of%20Listed%20Securities) For the year ended March 31, 2025, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - For the year ended March 31, 2025, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[90](index=90&type=chunk) [Audit Committee](index=34&type=section&id=Audit%20Committee) The Company's Audit Committee, comprising three independent non-executive directors, reviewed the Group's accounting principles, internal controls, risk management, and financial reporting, including the audited financial statements for the year ended March 31, 2025 - The Audit Committee comprises **three** independent non-executive directors[91](index=91&type=chunk) - The Committee has reviewed the Group's accounting principles, internal controls, risk management, and financial reporting matters, including the audited financial statements[91](index=91&type=chunk) [Compliance with Corporate Governance Code](index=34&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The Company complied with all Code on Corporate Governance provisions during the reporting period, with the exception of directors' rotation, which is addressed by its articles of association - The Company has complied with all code provisions of the Corporate Governance Code during the reporting period[92](index=92&type=chunk) - There was a deviation from Code Provision B.2.2 (rotation of directors), but the Company's articles of association require all directors to retire by rotation at the AGM, which is considered sufficient[92](index=92&type=chunk) [Minimum Number of Independent Non-executive Directors](index=35&type=section&id=Minimum%20Number%20of%20Independent%20Non-executive%20Directors) Following Mr. Fan Chun Wah's resignation, the Company temporarily had fewer than the minimum required independent non-executive directors, but compliance was restored with Mr. Fung Ting Ho's appointment on July 31, 2024 - After Mr. Fan Chun Wah's resignation, the number of independent non-executive directors was temporarily below the minimum required by Listing Rule 3.10(1)[93](index=93&type=chunk) - Following Mr. Fung Ting Ho's appointment, the Company now meets the requirement of at least **three** independent non-executive directors[93](index=93&type=chunk) [Minimum Number of Members of Corporate Governance Committee](index=35&type=section&id=Minimum%20Number%20of%20Members%20of%20Corporate%20Governance%20Committee) The Corporate Governance Committee currently has three members, which is below the four members stipulated in its terms of reference, and the Board is seeking to fill the vacancy - The Corporate Governance Committee currently consists of **three** members, which is fewer than the **four** members stipulated in its written terms of reference[94](index=94&type=chunk) - The Board is in the process of identifying suitable candidates to fill the vacancy to meet the requirement[94](index=94&type=chunk) [Chairman of Nomination Committee](index=35&type=section&id=Chairman%20of%20Nomination%20Committee) Following Mr. Kwan Kin Chung's resignation, independent non-executive director Mr. Fung Ting Ho was appointed as the new Chairman of the Nomination Committee, ensuring compliance with Listing Rule 3.27A - Following Mr. Kwan Kin Chung's resignation as Chairman of the Nomination Committee, independent non-executive director Mr. Fung Ting Ho was appointed as the new Chairman[95](index=95&type=chunk) - The Company has complied with Listing Rule 3.27A regarding the Chairman of the Nomination Committee[95](index=95&type=chunk) [Compliance with the Model Code for Securities Transactions by Directors of Listed Issuers](index=35&type=section&id=Compliance%20with%20the%20Model%20Code%20for%20Securities%20Transactions%20by%20Directors%20of%20Listed%20Issuers) The Company adopted the Model Code for Securities Transactions by Directors of Listed Issuers, and all directors confirmed compliance during the reporting period - The Company has adopted the Model Code as set out in Appendix C3 of the Listing Rules as its code for directors' dealings in the Company's securities[96](index=96&type=chunk) - Following enquiry, all directors confirmed compliance with the Model Code during the reporting period[96](index=96&type=chunk) [Other Information](index=36&type=section&id=Other%20Information) This announcement is published on the HKEX and Company websites, with the annual report to follow, and the Board comprises one executive, two non-executive, and three independent non-executive directors as of the announcement date - The results announcement is published on the HKEX and the Company's website, and the annual report will be dispatched to shareholders and published on the website in due course[97](index=97&type=chunk) - As of the date of this announcement, the Board comprises Mr. Kwan Kin Chung (Executive Director), Mr. Wong Kon Man (Chairman and Non-executive Director), Dr. Liu Ka Ying (Vice Chairman and Non-executive Director), Mr. Wong Kwun Kit, Mr. Mong Yat Lik, and Mr. Fung Ting Ho (Independent Non-executive Directors)[99](index=99&type=chunk)

Revenue Performance - Total revenue decreased by 16.7% from HK$9,355,000 in 2023 to HK$7,792,000 in 2024[7] - Revenue from the publishing and IP licensing business was HK$7,680,000 in 2024, slightly up from HK$7,574,000 in 2023[8] - Revenue from the digital marketing segment plummeted by 93.7%, from HK$1,781,000 in 2023 to HK$112,000 in 2024[11] - Revenue for the six months ended September 30, 2024, was HK$7,792,000, a decrease of 16.7% compared to HK$9,355,000 in the same period of 2023[47] - Revenue from Publishing and IPs licensing was HK$7,680,000, while Digital marketing generated HK$112,000, indicating a significant reliance on the publishing segment[102] Financial Results - Gross profit for the period was HK$3,527,000, down 39.2% from HK$5,806,000 year-over-year[47] - Loss for the period was HK$11,620,000, an improvement from a loss of HK$19,310,000 in the previous year, representing a 39.5% reduction in losses[51] - Other income decreased significantly to HK$277,000 from HK$1,073,000, reflecting a decline of 74.1%[47] - Total comprehensive expense for the period was HK$10,409,000, compared to HK$25,064,000 in the same period last year, indicating a 58.5% reduction[51] - The company reported a basic and diluted loss per share of HK$0.7, compared to HK$0.8 in the previous year[51] Operational Changes - The total number of employees in the digital marketing segment reduced from 4 to 1[11] - The Group is planning to expand its business in the last quarter of the fiscal year, including publishing and distribution of certain comic titles[8] - The restructuring efforts are aimed at conserving resources and controlling costs amid a challenging operating environment[7] - The Group's net operating expenses for the six months ended 30 September 2024 amounted to approximately HK$1,151,000, primarily due to personnel and business promotion costs[24] - As of 30 September 2024, the total headcount of the Group is 50, a decrease from 55 on 30 September 2023[28] AI and Technology Development - The Group has invested in the development of software and chipset with natural language processing technology, focusing on Chinese language voice recognition[19] - A strategic alliance was formed with iFlytek and Imitation Brain Technology to develop AI speech technology for real-time human interaction[20] - The Group is focusing on the development and improvement of AI speech technology, particularly for real-time human-computer interaction[24] - The strategic partnership with iFlytek and IBT aims to develop AI speech recognition technology, with products like the Feilong Master mobile phone and IoT applications expected to be launched gradually[29] - The Group's focus on AI speech recognition chips is expected to position them as core components in IoT interactions, applicable in various devices[23] Cash Flow and Assets - Cash and cash equivalents decreased to HK$24,741,000 from HK$38,228,000, reflecting a decline of 35.3%[53] - Net current assets as of September 30, 2024, were HK$91,772,000, down from HK$101,411,000 as of March 31, 2024[53] - The company reported a net cash outflow from investment activities of HK$518,000, a significant decrease from a net inflow of HK$98,000 in the previous year[72] - The total cash and cash equivalents at the end of the period were HK$24,741,000, down from HK$50,309,000 at the end of the same period last year, representing a decrease of 50.9%[72] - The company made an advance of HK$600,000 to an associate, which was not present in the previous year's financials, indicating new financial engagements[72] Shareholder and Equity Information - The company’s total equity as of September 30, 2024, was HK$98,270,000, down from HK$108,679,000 as of March 31, 2024[57] - The authorized share capital remains at 200,000,000 shares, with issued and fully paid shares at 1,668,657,000 as of both September 30, 2024, and March 31, 2024[190] - No dividend was paid, declared, or proposed during both interim periods, as determined by the directors of the Company[141] - The company adopted a new share option scheme (2023 Scheme) effective for 10 years from August 29, 2023, replacing the expired 2013 Scheme[194] Impairment and Losses - The total impairment loss on right-of-use assets was HK$2,412,000, indicating a significant financial impact for the company[129] - The impairment loss recognized in respect of right-of-use assets was HK$2,412,000 for the six months ended September 30, 2024[119] - The company reported a loss before tax for the period, with significant costs attributed to impairment losses and staff expenses[128] - The loss for the period was HK$19,310,000, compared to a loss of HK$13,931,000 in the previous period[60] Market and Product Development - The Group continues to enhance its comic business by activating its intellectual properties and expanding its scope, in line with the ongoing cultural sentiment in Hong Kong[30] - The company has plans for market expansion and new product development, although specific details were not disclosed in the report[60] - The Group's digital marketing services focus on the PRC market, indicating potential for future growth in that region[99] - The Group's efforts in AI technology development are expected to support future profitability and market competitiveness[28]