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之內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部 或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 Minerva Group Holding Limited 嬴集團控股有限公司* （於百慕達註冊成立之有限公司） （股份代號：397） 截至二零二三年六月三十日止六個月之 中期業績公告 截至二零二三年六月三十日止六個月： – 本集團錄得收益約39,041,000港元（截至二零二二年六月三十日止六個月： 37,121,000港元）。 – 本公司擁有人應佔虧損約為34,867,000港元（截至二零二二年六月三十日止 六個月：16,163,000港元）。 – 董事會不建議派付中期股息。 於二零二三年六月三十日： – 本集團持有按公平值計入損益之金融資產約483,997,000港元（二零二二年 ...

Financial Performance - The group recorded interest income of approximately HKD 57.2 million from lending activities, down from HKD 68.1 million in the previous year, reflecting a decrease of about 13.2%[9] - Total revenue from financial services was approximately HKD 14.7 million, compared to HKD 21.4 million in the previous year, indicating a decline of around 31.3%[9] - The company reported revenue of approximately HKD 73.0 million for the year ended December 31, 2022, a decrease from HKD 95.7 million in 2021, primarily due to declines in both lending and financial services revenue[17] - Interest income from lending activities decreased by approximately HKD 10.9 million to about HKD 57.2 million in 2022, compared to HKD 68.1 million in 2021[17] - Financial services revenue fell by approximately HKD 6.7 million to about HKD 14.7 million in 2022, down from HKD 21.4 million in 2021, representing a decrease of 31.3%[22] - The net loss attributable to owners of the company was approximately HKD 171.3 million, a significant decline from a profit of HKD 153.8 million in 2021, largely due to fair value losses on financial assets of approximately HKD 153.5 million[18] - The group’s trade segment generated zero revenue this year, a decline from HKD 1.8 million in the previous year, reflecting a significant drop in demand and profitability[41] - The asset investment segment incurred a loss of approximately HKD 181.2 million, driven by poor stock performance and changes in fair value of financial assets, particularly in the Hong Kong stock market[42] - Interest income from bond investments decreased by approximately 84.1%, down to about HKD 0.7 million from HKD 4.4 million in the previous year[43] - The group experienced a decrease in the fair value of its financial assets, with a realized loss of approximately HKD 143.55 million during the year[52] Market Conditions - The Hong Kong stock market saw a 15% decline in the Hang Seng Index due to rising inflation and interest rate hikes by the Federal Reserve, which increased the federal funds rate from 0%-0.25% to 4.25%-4.5%[8] - The Hang Seng Index fell by 15.5% in 2022, marking a challenging year for the Hong Kong stock market amid geopolitical tensions and economic uncertainties[20] Investment Strategy - The group has paused its trading business due to intense price competition in the healthcare sector, but continues to explore investment opportunities in this area for sustainable returns[9] - The group is actively seeking potential investment prospects across various industries, particularly in real estate, which has become an attractive opportunity amid the current economic downturn[10] - A commercial property investment has been made in Hong Kong to ensure a stable and reliable income stream, reinforcing the group's asset investment portfolio[10] - The group remains committed to identifying valuable investment opportunities in both the real estate market and other sectors moving forward[10] - The company plans to expand its financial services and position itself as a comprehensive financial service provider focused on value extraction and helping clients achieve financial goals[17] - The company plans to further explore potential lending opportunities, including project financing, depending on market conditions and risk-return assessments[24] - The group plans to explore various business potentials and investment opportunities in the healthcare sector despite the market demand fluctuations caused by COVID-19 variants and global economic downturns[41] Lending Operations - The lending segment generated revenue of approximately HKD 57.2 million for the year ended December 31, 2022, down from HKD 68.1 million in 2021, accounting for about 78.4% of total revenue[35] - The operating profit for the lending business was approximately HKD 1.6 million in 2022, a decrease of about 91.4% compared to HKD 18.7 million in 2021[35] - The annual interest rates charged to unsecured borrowers range from 10% to 36%, while secured borrowers are charged between 9% and 24%[34] - The lending business primarily serves customers from social networks, existing clients, third-party agents, and referrals from employees and management[24] - The company has implemented strict credit policies and control measures to mitigate credit risks associated with its lending portfolio[27] - The internal credit assessment process includes verification of identity, repayment ability, and due diligence on provided information[28] - The company conducts weekly reviews of repayment records and loan portfolios, particularly focusing on overdue accounts[30] - The credit committee is responsible for evaluating and approving loans within the predetermined credit limits and regularly monitors the quality of the loan portfolio[27] - The group recorded an impairment loss of approximately HKD 28.3 million on receivables and interest, an increase from HKD 27.9 million in the previous year, primarily due to increased uncertainty regarding the recoverability of certain overdue loans[37] - As of December 31, 2022, the total loan balance was HKD 578,047 thousand, with 37% of loans overdue or not yet due but with interest overdue[39] Corporate Governance - The company has adopted all provisions of the Corporate Governance Code as per the Hong Kong Stock Exchange, except for one deviation noted in the report[140] - The board of directors consists of five members, including two executive directors and three independent non-executive directors, ensuring a balanced governance structure[142] - The company emphasizes the importance of good corporate governance standards to enhance shareholder value and manage risks effectively[139] - The company has maintained compliance with the Corporate Governance Code during the fiscal year ending December 31, 2022, with specific details on deviations provided in the report[140] - The board is responsible for setting the business strategy and overseeing management performance, ensuring alignment with the company's objectives[144] - The company has a policy for directors to seek independent professional advice at the company's expense when necessary[144] - All directors are required to retire at least once every three years, ensuring regular refreshment of the board[144] - The company has received annual independence confirmation from all independent non-executive directors, affirming their compliance with listing rules[152] - The company’s audit committee currently has two members, which is below the minimum requirement set by listing rules due to the resignation of Mr. Zhao Jiawei[153] - The independent non-executive director term for Ms. Chen Liping is from September 30, 2022, to April 30, 2024[152] Risk Management - The company has implemented a risk management and internal control system, which is reviewed annually to ensure its effectiveness[183] - The company engaged an independent firm to conduct internal audits and assess the effectiveness of its risk management and internal control systems, which were found to be effective and adequate[184] - The board is responsible for maintaining a robust risk management and internal control system, with management responsible for its design and implementation[187] - The audit committee discussed the internal audit report and other documentation to review the effectiveness of risk management and internal control systems[179] - The company has established an enterprise risk management framework following the COSO framework to effectively manage risks[187] - The audit committee provides regular reports to the board regarding risk management and internal audit functions[187] - The company has adopted internal control measures for handling and disclosing inside information, ensuring compliance with relevant regulations[184] - The company employs a "three lines of defense" governance structure for risk management, ensuring effective operational oversight and control[188] - Risk management framework is evaluated at least annually, with management meetings held regularly to update on risk monitoring procedures[189] - The company has established a risk register to track significant identified risks, which is reviewed and updated at least once a year[188] Shareholder Communication - The company maintains a shareholder communication policy to provide relevant information and facilitate communication with shareholders[197] - The company communicates with shareholders primarily through financial reports (semi-annual and annual), annual general meetings, and other possible shareholder meetings[200] - All company communication documents submitted to the stock exchange are available on the company's website and are regularly updated[200] - The board believes that the shareholder communication policy and its implementation are effective[200] - The company has complied with the principles and measures outlined in the shareholder communication policy throughout the year[200] - The company has provided effective channels for shareholders to express their opinions[200] - The implementation of the shareholder communication policy has been reviewed for effectiveness[200] - The company ensures that all information is accessible to shareholders through its website and the stock exchange[200] - The company is committed to maintaining transparency in its communications with shareholders[200] - The board regularly assesses the effectiveness of the communication policy[200] Employee and Compensation - The group employed 24 employees as of December 31, 2022, and provided regular training to enhance employee capabilities[70] - The company has maintained a competitive compensation scheme to attract and retain talented employees[97] - The compensation committee has reviewed and approved the remuneration proposals for newly appointed directors during the year[168] - The company's compensation policy aims to provide competitive salary levels to attract and retain successful executives, with 2 executives earning between HKD 0 to 1,000,000 and 1 executive earning between HKD 1,000,001 to 2,000,000[170] - The nomination committee considers various factors, including gender, age, culture, and professional experience, when nominating candidates for the board[175] - The board diversity policy is reviewed annually to ensure its effectiveness and to maintain a pool of potential successors[166] - The company continues to promote diversity at all employee levels, ensuring equal opportunities for all qualified employees[166] - The board currently consists of 2 female directors and 3 male directors, indicating a gender diversity ratio of 40% female and 60% male[166] - As of December 31, 2022, the overall employee gender ratio is 66.67% male and 33.33% female[166]

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之內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部 或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 Power Financial Group Limited 權 威 金 融 集 團 有 限 公 司 （於百慕達註冊成立之有限公司） （股份代號：397） 截至二零二二年十二月三十一日止年度之年度業績公告 財務摘要 截至二零二二年十二月三十一日止年度： – 本集團錄得收益約73.0百萬港元（二零二一年：95.7百萬港元）。 – 本公司擁有人應佔虧損約為171.3百萬港元（二零二一年：溢利153.8百萬 港元）。 於二零二二年十二月三十一日： – 本集團持有按公平值計入損益之金融資產約481.9百萬港元（二零二一年： ...

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之內容概不負責，對其準確性或完整性亦 不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴該等內容而引致之任何 損失承擔任何責任。 Power Financial Group Limited 金融集團 有 限 Financial Group L 權威金融集團有限公 司 （於百慕達註冊成立之有限公司 ） （股份代號：397） 有關截至二零二一年十二月三十一日止年度 年報之補充公告 茲提述權威金融集團有限公司（「本公司」，連同其附屬公司，「本集團」）截至二零二一年 十二月三十一日止年度年報（「二零二一年年報」）。除另有界定者外，本公告所用詞彙與 二零二一年年報所界定者具有相同涵義。 借貸業務 除二零二一年年報內「管理層討論與分析」一節所披露之資料外，本公司謹此於子標題「借 貸」項下補充額外資料。 本集團之借貸業務乃透過其全資附屬公司易金融科技有限公司及易財務有限公司進行， 以向個人及企業授出有抵押及無抵押貸款。該業務並無特定目標客戶群。本集團年內的 客戶主要來自社交網絡以及本集團過往客戶及現有客戶、第三方代理商、本集團員工及 管理層的轉介 ...

Financial Performance - The group recorded revenue of approximately HKD 37,121,000 for the six months ended June 30, 2022, a decrease of 25.4% compared to HKD 49,727,000 for the same period in 2021[8]. - The company reported a loss attributable to owners of approximately HKD 16,163,000, compared to a profit of HKD 171,611,000 for the same period in 2021[8]. - The total comprehensive loss for the period was HKD (15,357,000), compared to a total comprehensive income of HKD 168,045,000 for the same period in 2021[15]. - The company reported a basic and diluted loss per share of HKD (0.58) for the period[15]. - The company’s total comprehensive income for the period was HKD 168,052,000, compared to HKD 171,611,000 in the previous year, showing a slight decrease[22]. - The group recorded a loss of approximately HKD 15.6 million in impairment losses on receivables and interest for the six months ended June 30, 2022, compared to HKD 10.6 million in the previous year[138]. - The company reported a net loss attributable to shareholders of approximately HKD 16.2 million for the period, compared to a net profit of HKD 171.6 million in the same period of 2021, primarily due to a fair value loss of approximately HKD 19.5 million on financial assets[122]. Dividends and Shareholder Returns - The board does not recommend the payment of an interim dividend[9]. - The company did not declare an interim dividend for the six months ended June 30, 2022, consistent with the previous year[59]. Assets and Liabilities - As of June 30, 2022, the group held financial assets at fair value through profit or loss amounting to approximately HKD 599,208,000, an increase from HKD 585,805,000 as of December 31, 2021[10]. - The group had cash and bank balances of approximately HKD 247,114,000, up from HKD 153,035,000 as of December 31, 2021[10]. - The current ratio was approximately 62.34 times, significantly higher than 31.81 times as of December 31, 2021[10]. - The net asset value was approximately HKD 1,567,144,000, a slight decrease from HKD 1,582,501,000 as of December 31, 2021[10]. - The group’s net current assets amounted to approximately HKD 1,391,540,000, down from HKD 1,428,862,000 as of December 31, 2021[10]. - The total assets of the group as of June 30, 2022, were HKD 1,614,429,000, a slight decrease from HKD 1,628,885,000 as of December 31, 2021[45]. - The group's total liabilities increased to HKD 47,285,000 as of June 30, 2022, compared to HKD 46,384,000 as of December 31, 2021[45]. - The company’s total equity decreased to HKD 1,567,144,000 from HKD 1,582,501,000, a decline of about 1.0%[20]. Revenue Breakdown - Revenue from financial services dropped to HKD 1,471,000 in 2022 from HKD 3,576,000 in 2021, a decrease of 58.8%[35]. - Interest income from lending decreased to HKD 29,831,000 in 2022 from HKD 32,682,000 in 2021, representing a decline of 8.5%[33]. - The financial services segment reported external customer revenue of HKD 6,852,000, while the lending segment reported HKD 29,831,000 for the same period[39]. - The lending segment produced revenue of approximately HKD 29.8 million, accounting for about 80.4% of the company's total revenue, with operating profit declining by approximately 33.0% from the previous year[135]. - Overall gross profit decreased to approximately HKD 34.2 million, down from HKD 43.2 million in 2021, reflecting a decline of about 20.8%[121]. - Revenue from healthcare-related products dropped to zero, compared to HKD 1.8 million in 2021, indicating a strategic reduction in this segment due to intense market competition[121]. Cash Flow and Financing - Operating cash flow for the six months ended June 30, 2022, was HKD 77,043,000, a significant improvement from a cash outflow of HKD 91,290,000 in the same period last year[26]. - The company reported a cash and cash equivalents balance of HKD 247,114,000 at the end of June 2022, up from HKD 114,312,000 a year earlier, reflecting an increase of approximately 116.2%[26]. - The company’s bank borrowings increased to HKD 23,226,000 from zero, indicating new financing activities[20]. - The company plans to explore potential lending opportunities, including project financing, while maintaining a strict credit policy to manage risk[131]. Credit and Receivables - The company confirmed a net impairment loss of HKD 44,927,000 on receivables, compared to HKD 29,296,000 in the previous year[66]. - The company’s receivables and interest as of June 30, 2022, amounted to HKD 593,825,000, down from HKD 693,063,000 at the end of the previous year[66]. - The total expected credit loss for loans receivable was HKD 44,927,000 as of June 30, 2022, compared to HKD 60,659,000 as of December 31, 2021[71]. - The company’s management regularly reviews the credit limits of borrowers to assess credit quality[71]. - The group maintains strict control over trade receivables to minimize credit risk, reflecting a proactive approach to financial management[85]. Market Conditions and Strategic Adjustments - The group attributed the revenue decline to a significant slowdown in the Hong Kong stock market and global markets, leading to more conservative investor behavior[121]. - The global economic growth forecast for 2022 was significantly downgraded to 3.2% from 6.1% in 2021 due to various challenges including COVID-19 variants and geopolitical tensions[124]. - The group is continuously monitoring the recoverability of loans and engaging in targeted negotiations due to the negative impact of COVID-19 on clients' financial conditions[138]. - The company anticipates continued growth in the healthcare sector and is actively seeking investment opportunities in this area[169]. Corporate Governance - The company has adopted the corporate governance code as per the Stock Exchange Listing Rules and has complied with all provisions except for the separation of the roles of Chairman and CEO[190]. - The audit committee consists of three independent non-executive directors, ensuring compliance with accounting principles and internal controls[195]. - The board of directors was temporarily below the minimum requirement of independent non-executive directors but has since complied with the regulations following recent appointments[193].

Financial Performance - The company reported a net profit attributable to shareholders of approximately HKD 153.8 million, an increase of 247.9% compared to HKD 44.2 million in 2020[7]. - Total revenue for the year was approximately HKD 95.7 million, a slight decrease from HKD 101.7 million in 2020, primarily due to a decline in revenue from healthcare-related products[13]. - The lending division generated sustainable interest income of approximately HKD 68.1 million, up from HKD 55.3 million in 2020[7]. - The financial services business recorded total revenue of HKD 21.4 million, representing a growth of approximately 30.6% from HKD 16.4 million in 2020[7]. - The company reported a gross profit improvement to approximately HKD 84.7 million, up from HKD 80.0 million in 2020, driven by growth in its lending and financial services segments[13]. - The group recorded an impairment loss on receivables of approximately HKD 27.9 million for the year ended December 31, 2021, compared to HKD 2.5 million in 2020, primarily due to an increase in receivables and uncertainty regarding the recoverability of certain overdue loans[26]. - The company reported no dividend payment for the fiscal year ending December 31, 2021, consistent with the previous year[78]. Revenue Segments - The healthcare-related products segment saw a revenue decline to approximately HKD 1.8 million from HKD 14.8 million in 2020 due to increased market competition[13]. - The group's revenue from healthcare-related products was approximately HKD 1.8 million in 2021, a significant decrease from HKD 14.8 million in 2020, resulting in a segment loss of approximately HKD 0.8 million[27]. - The lending segment generated revenue of approximately HKD 68.1 million, accounting for about 71.1% of the group's total revenue, with interest income increasing from approximately HKD 55.3 million in 2020[22]. - Interest income from clients, including margin and cash clients, was approximately HKD 18.3 million in 2021, up from HKD 12.7 million in 2020[18]. Investments and Acquisitions - The company completed the acquisition of approximately 1.05% of TNG FinTech Group Inc., aiming to enhance synergies within its existing business matrix[8]. - The group acquired 609,000 shares of TNG FinTech Group Inc. for USD 4.2 million (approximately HKD 32.76 million), representing about 1.05% of its issued share capital[33]. - The significant investment in 康健 International Medical Group Limited amounted to 706,342,000 shares, with an investment cost of HKD 866.8 million, representing approximately 9.39% of 康健's issued shares as of December 31, 2021[44]. - The fair value of the investment in 康健 was approximately HKD 310.8 million, accounting for about 19.08% of the group's audited total assets and 19.64% of the group's audited net asset value as of December 31, 2021[44]. - The group recorded a fair value gain of approximately HKD 121.7 million from its investment in 康健 during the year[44]. Market Conditions and Future Outlook - The company anticipates that market conditions in 2022 will be similar to the previous year, with potential social distancing measures due to ongoing COVID-19 variants[11]. - The group plans to explore potential lending opportunities for project financing, subject to market conditions and risk assessments[19]. - The group aims to explore investment opportunities in the healthcare sector, which continues to grow due to increasing health awareness[53]. - The Hong Kong Stock Exchange is expected to see 120 IPOs in 2022, raising approximately HKD 350 to 400 billion, positioning Hong Kong among the top three global IPO markets[50]. Corporate Governance - The company has appointed several independent non-executive directors to enhance governance and oversight[67][71]. - The board proposed a capital restructuring to eliminate the entire amount of the share premium account, which amounted to approximately HKD 3,800.25 million, to increase the company's distributable reserves[47]. - The proposed cancellation of the share premium account was approved by shareholders on June 18, 2021, and became effective on June 21, 2021[47]. - The company has adopted the new corporate governance code effective from January 1, 2022, aiming to enhance shareholder value and transparency[127]. - The board of directors consists of six members, including three executive directors and three independent non-executive directors, ensuring a balanced governance structure[130]. - The company has maintained compliance with the previous corporate governance code throughout the fiscal year ending December 31, 2021, with a noted deviation in one specific area[127]. Risk Management - The company has established internal controls for handling and disclosing insider information, promoting a culture of transparency and compliance[186]. - The board is responsible for maintaining an effective internal control system and has conducted an annual review of the risk management and internal control systems, ensuring adequate resources and training for staff[185]. - The company employs a "three lines of defense" governance structure for risk management, with risks assessed at least annually based on their likelihood and potential impact[189]. - The company has a risk register to track identified significant risks and actions taken to mitigate them, ensuring proactive risk management[189]. - The effectiveness of the risk management framework is evaluated at least annually, with management meetings held regularly to update on risk monitoring procedures[189]. Shareholder Engagement - Shareholders holding at least 1/20 of total voting rights or 100 shareholders can submit a request for a resolution at the general meeting[200]. - The request must include a resolution and a statement not exceeding 1,000 words signed by all relevant shareholders[200]. - Requests must be submitted at least six weeks before the meeting for resolutions requiring notice, or at least one week for other requests[200]. - Upon verification, the company secretary will request the board to include the resolution in the annual general meeting agenda or call a special general meeting[200].

Financial Performance - The group recorded revenue of approximately HKD 49,727,000 for the six months ended June 30, 2021, a decrease of 5.4% compared to HKD 52,863,000 for the same period in 2020[4] - Profit attributable to the owners of the company was approximately HKD 171,611,000, significantly up from HKD 10,853,000 in the same period last year, representing a growth of 1,480%[4] - The total comprehensive income for the period was HKD 168,045,000, compared to HKD 1,340,000 for the same period in 2020[15] - Basic and diluted earnings per share were HKD 6.17 for the current period, compared to HKD 0.39 for the same period last year[22] - The company reported a pre-tax profit of HKD 171,709 thousand for the six months ended June 30, 2021, compared to HKD 175,721 thousand in 2020, a decrease of 2.3%[66] - The pre-tax profit for the six months ended June 30, 2021, was HKD 11,748 million, compared to HKD 13,260 million for the same period in 2020, indicating a decrease of 11.4%[70] - Interest income for the six months ended June 30, 2021, was HKD 72 million, significantly down from HKD 1,387 million in the same period of 2020[82] Assets and Liabilities - The group held financial assets at fair value through profit or loss amounting to approximately HKD 456,355,000 as of June 30, 2021, an increase of 54.7% from HKD 294,903,000 as of December 31, 2020[6] - The net current assets amounted to approximately HKD 1,426,884,000, up from HKD 1,245,863,000 as of December 31, 2020, indicating a growth of 14.5%[6] - Total assets less current liabilities amounted to approximately HKD 1,590,229,000, an increase from HKD 1,422,184,000 as of December 31, 2020[6] - The total assets of the group as of June 30, 2021, were HKD 1,627,446 million, an increase from HKD 1,456,134 million as of December 31, 2020, reflecting a growth of 11.7%[74] - The group reported a total liability of HKD 37,217 million as of June 30, 2021, compared to HKD 33,950 million as of December 31, 2020, marking an increase of 9.0%[74] - The group’s total liabilities increased by 9.0% from HKD 33,950 million as of December 31, 2020, to HKD 37,217 million as of June 30, 2021[74] Cash Flow - The group’s cash and bank balances were approximately HKD 114,312,000 as of June 30, 2021, down from HKD 204,512,000 as of December 31, 2020[6] - The net cash used in operating activities for the six months ended June 30, 2021, was HKD (91,290) thousand, compared to HKD (115,172) thousand for the same period in 2020, indicating a 20.7% improvement[51] - The net cash generated from investing activities was HKD 4,213 thousand in 2021, down from HKD 7,486 thousand in 2020, showing a decrease of 43.4%[51] - The total cash and cash equivalents at the end of the period were HKD 114,312 thousand, down from HKD 258,677 thousand at the end of June 2020, a decline of 55.8%[51] Dividends - The company did not recommend the payment of an interim dividend for this period[5] - The company did not recommend an interim dividend for the six months ended June 30, 2021, consistent with the previous year[90] Credit and Receivables Management - The company has maintained a credit limit review process for potential borrowers, ensuring strict control over trade receivables[142] - The company continues to evaluate the credit quality of potential clients before granting credit limits, with an average credit period of 30 days for customers[138] - As of June 30, 2021, the total trade receivables overdue amounted to approximately HKD 0, compared to HKD 346,000 as of December 31, 2020[143] - The estimated impairment loss provision for trade receivables as of June 30, 2021, was approximately HKD 1,003,000, with no provision recorded as of December 31, 2020[144] - The expected credit loss provision for trade receivables was assessed as not significant due to the absence of default history from counterparties, with other receivables and prepayments totaling approximately HKD 7,115,000 as of June 30, 2021[164] - The overdue trade receivables are related to independent clients with a good track record, leading management to believe that no impairment provision is necessary[143] Legal Proceedings - The company has ongoing legal proceedings involving Classictime Investments Limited, which may impact its financial position, although the outcome remains uncertain[193] - The company is involved in ongoing legal proceedings related to a claim against Authority Securities, seeking a declaration that a previous judgment was obtained through fraud[200] - The claim against Authority Securities has been stayed due to a liquidation order mentioned in the report[200] - An appeal was filed by Mr. Sin against the Coleman J order on March 9, 2020, with the hearing taking place on July 9, 2021[200] - As of the report date, the judgment regarding the appeal has not yet been delivered[200] Financial Instruments and Fair Value - The company’s financial instruments are primarily measured at amortized cost, with fair value approximating book value for certain assets and liabilities[186] - The fair value changes in financial assets for the six months ended June 30, 2021, included a transfer of one asset from Level 3 to Level 1, indicating a shift in valuation[192] - The company reported a fair value gain of HKD 2,107 thousand for the period, reflecting positive market conditions[191] - The company’s investment in listed equity securities classified as fair value through profit or loss was HKD 72,960 thousand as of June 30, 2021, compared to HKD 67,144 thousand at the end of 2020[187]

Financial Performance - The group's revenue for the year ended December 31, 2020, was approximately HKD 101,716,000, an increase of about 20.84% compared to HKD 84,172,000 in 2019[12]. - The net profit attributable to the company's owners significantly increased to approximately HKD 44,190,000, compared to a net loss of approximately HKD 71,651,000 in 2019, marking a turnaround[13]. - Gross profit for 2020 was HKD 80.030 million, compared to HKD 74.116 million in 2019, reflecting an increase of 7.8%[187]. - The profit before tax for 2020 was HKD 46.716 million, a significant recovery from a loss of HKD 69.433 million in 2019[187]. - The net profit for the year was HKD 44.179 million, compared to a loss of HKD 71.243 million in the previous year[187]. - Total comprehensive income for the year was HKD 37.833 million, a recovery from a total comprehensive loss of HKD 69.861 million in 2019[187]. - Basic earnings per share for 2020 was HKD 1.59, compared to a loss per share of HKD 2.57 in 2019[189]. - The company reported a significant reduction in administrative expenses, amounting to HKD 24.727 million in 2020, down from HKD 60.870 million in 2019[187]. Revenue Sources - Interest income from the lending business grew by approximately 14.64% compared to 2019, contributing to the overall revenue increase[12]. - Margin financing interest income surged to approximately HKD 12,665,000, a growth of about 107.05% from HKD 6,117,000 in 2019[12]. - The new trading business related to medical products contributed approximately HKD 14,844,000 in revenue, which was not present in 2019[12]. - The revenue from the group's securities business was approximately HKD 16,425,000, a significant increase of about 102.68% compared to HKD 8,104,000 in 2019[18]. - The lending business generated interest income of approximately HKD 55,342,000, an increase of about 14.64% compared to HKD 48,274,000 in 2019[22]. Business Segments - The lending segment's profit for the year was approximately HKD 38,604,000, up from HKD 30,248,000 in 2019[13]. - The financial services segment turned a profit of approximately HKD 958,000, recovering from a loss of approximately HKD 26,902,000 in the previous year[13]. - The new trading business focused on medical products contributed approximately HKD 14,844,000 in revenue and generated an operating profit of about HKD 386,000[24]. Investment and Assets - The group reduced its investment portfolio size to allocate more resources to better-performing business activities, achieving a turnaround in the asset investment segment[25]. - The group's bond investment interest income for the year was approximately HKD 15,105,000, a decrease of about 45.65% compared to HKD 27,794,000 in 2019[27]. - As of December 31, 2020, the group's financial assets measured at fair value through profit or loss amounted to approximately HKD 294,903,000, up from HKD 249,128,000 in 2019[28]. - The group's investment in listed equity securities was approximately HKD 227,759,000 as of December 31, 2020, compared to HKD 150,673,000 in 2019[28]. - The fair value of the group's listed bond investments was zero as of December 31, 2020, down from HKD 11,705,000 in 2019[28]. Financial Position - The company has approximately HKD 204,512,000 in bank balances and cash as of December 31, 2020, down from HKD 389,225,000 in 2019[49]. - The net current assets reached approximately HKD 1,245,863,000, an increase from HKD 1,034,024,000 in 2019[49]. - The current ratio is approximately 41.14 times, up from 21.44 times in 2019[49]. - The debt-to-asset ratio is approximately 2.33%, improved from 3.54% in 2019[49]. - The company has zero outstanding borrowings as of December 31, 2020, compared to HKD 20,800,000 in 2019[49]. Corporate Governance - The board comprises experienced directors with extensive backgrounds in finance and management, enhancing governance[66]. - The company has adopted the Corporate Governance Code and has complied with all applicable provisions, except for a deviation noted in paragraph A.2.1[121]. - The board consists of five members, including two executive directors and three independent non-executive directors, who held seven meetings during the year[123]. - The audit committee held four meetings during the year to review the group's financial statements and discuss the effectiveness of internal controls and risk management[141]. - The company emphasizes good corporate governance standards to enhance shareholder value and manage risks effectively[120]. Future Plans - The group plans to enhance its digital and intelligent trading services to improve user experience and strengthen core competitiveness[9]. - The group aims to explore new investment opportunities in fintech, vaccination, and health check services as part of its future strategy[10]. - The company plans to expand its business by hiring licensed representatives from defunct small and medium-sized securities firms[44]. - The company aims to enter the IPO margin financing business, having established an arrangement with a licensed bank in October 2020[44]. - The company plans to expand its lending business to include retail loans and project financing[45]. Employee Relations - The group employed 29 employees as of December 31, 2020, providing regular training to enhance employee capabilities[54]. - The group has maintained good relationships with employees, customers, and suppliers, which is crucial for achieving its business objectives[84]. Risk Management - The group has engaged an independent firm to assist in identifying and assessing risks, and to conduct internal control audits, with the board adopting recommended measures for risk management[151]. - The enterprise risk management framework was established in 2017, with the board responsible for maintaining effective internal controls and management responsible for implementing the system[152]. - The group employs a "three lines of defense" governance structure for risk management, with a risk register maintained to track significant identified risks[154].

Financial Performance - The group recorded revenue of approximately HKD 52,863,000 for the six months ended June 30, 2020, compared to HKD 41,180,000 for the same period in 2019, representing a growth of 28.5%[4] - The profit attributable to the company's owners was approximately HKD 10,853,000, down from HKD 13,353,000 in the same period of 2019, indicating a decrease of 18.7%[4] - The total comprehensive income for the period was HKD 1,340,000, significantly lower than HKD 22,448,000 for the same period in 2019, showing a decline of 94.0%[10] - The company reported a basic and diluted earnings per share of HKD 0.39 for the period, down from HKD 0.48 in the same period of 2019[10] - The pre-tax profit for the six months ended June 30, 2020, was HKD 11,748,000, a significant increase from HKD 14,569,000 in the previous year[36] - The financial services segment reported a loss of HKD 2,121,000, while the trading segment achieved a profit of HKD 16,020,000, contributing to an overall profit of HKD 13,260,000[36] Assets and Liabilities - The group held financial assets at fair value through profit or loss amounting to approximately HKD 284,303,000 as of June 30, 2020, an increase from HKD 249,128,000 as of December 31, 2019[6] - The total assets amounted to HKD 1,202,354,000 as of June 30, 2020, compared to HKD 1,084,611,000 as of December 31, 2019, indicating an increase of 10.9%[11] - The total liabilities decreased to HKD 48,464,000 as of June 30, 2020, from HKD 50,749,000 as of December 31, 2019[42] - The total equity as of June 30, 2020, was HKD 1,385,604 thousand, a marginal increase from HKD 1,383,677 thousand as of December 31, 2019[13] - The company's non-current liabilities related to lease liabilities increased to HKD 6,291 thousand as of June 30, 2020, from HKD 162 thousand as of December 31, 2019[13] Cash Flow and Financing - The net cash used in operating activities for the six months ended June 30, 2020, was HKD (115,172) thousand, compared to HKD (74,562) thousand for the same period in 2019, indicating a decline in operational cash flow[17] - The net cash used in financing activities for the six months ended June 30, 2020, was HKD (22,862) thousand, compared to HKD (13,845) thousand in the same period of 2019, indicating increased financing costs[17] - The company’s cash and cash equivalents decreased by HKD 130,548 thousand during the six months ended June 30, 2020, compared to a decrease of HKD 80,414 thousand in the same period of 2019[17] - The company had no outstanding borrowings, a decrease from HKD 20,800,000 on December 31, 2019[195] Receivables and Credit Management - Total receivables and interest as of June 30, 2020, amounted to HKD 471,761,000, an increase from HKD 368,310,000 as of December 31, 2019, reflecting a growth of about 28.1%[64] - The company reported that approximately 73.31% of receivables and interest were fully secured by collateral as of June 30, 2020, compared to 84.99% as of December 31, 2019[70] - The overdue trade receivables amounted to approximately HKD 530,000 as of June 30, 2020, with no prior default records from the related independent clients[117] - The company maintains strict control over its trade receivables to minimize credit risk, with an average credit term of 30 days for its customers[115] Investment Activities - The company reported a significant increase in the fair value changes of financial assets, amounting to HKD 2,838,000 compared to HKD 9,240,000 in the previous year[50] - The investment portfolio included 12 listed equity securities, with 11 of them representing about 3.81% of the group's total assets as of June 30, 2020[173] - The group held 674,762,000 shares of Kang Jian International Medical Group, representing approximately 8.97% of its issued shares, with a book value of about HKD 153,171,000[184] - The group recorded a fair value gain of approximately HKD 18,219,000 from its investment in Kang Jian during the period[184] Business Strategy and Future Outlook - The company plans to expand its lending business into retail lending and project financing, with a new subsidiary registered on July 31, 2020, applying for a money lender license[192] - The company is actively exploring opportunities to diversify its business scope to mitigate market volatility impacts[189] - The company is enhancing its collaboration with referral agents to expand its loan portfolio and customer base[191] - The trade branch is developing its website to capture online market opportunities and is negotiating exclusive distribution of medical products with local and overseas suppliers[192] Legal and Compliance - The company is currently involved in multiple legal proceedings, including a lawsuit against its wholly-owned subsidiary, Classictime Investments Limited, which may impact its financial status[144] - The company has not made any provisions for the ongoing legal proceedings, as it is currently deemed too early to assess potential outcomes[152] - The company has identified errors in previously reported financial data and has made corrections to the comparative information for the six months ended June 30, 2019[154]

Financial Performance - The company recorded revenue of approximately HKD 84,172,000 for the year ended December 31, 2019, representing an increase of about 102.27% compared to HKD 41,613,000 in 2018[21] - The net loss attributable to shareholders narrowed to approximately HKD 71,651,000, a decrease of about 85.70% from HKD 500,918,000 in 2018[21] - The fair value loss on financial assets decreased to approximately HKD 68,884,000, down from HKD 389,366,000 in 2018[21] - The financial services segment generated revenue of approximately HKD 8,104,000, an increase from HKD 7,396,000 in the previous year, but recorded an operating loss of about HKD 26,902,000, compared to HKD 24,072,000 the previous year[24] - The lending business reported interest income of approximately HKD 48,274,000, representing a year-over-year increase of about 137.34%, with operating profit rising by approximately 152.68% to HKD 30,248,000[26] - The asset investment segment saw a significant reduction in losses from fair value changes, decreasing from approximately HKD 389,366,000 to about HKD 68,884,000[27] - Bond investments generated interest income of approximately HKD 27,794,000, an increase of about 100.29% compared to the previous year[28] - The lending business contributed approximately 57.35% of the group's total revenue, serving as a key driver for improved performance and cash flow[26] Cash and Liquidity - Cash and cash equivalents stood at approximately HKD 389,225,000 as of December 31, 2019, compared to HKD 224,543,000 in 2018[22] - The group's current ratio was approximately 21.44 times, up from 17.85 times in 2018, indicating improved liquidity[65] - The debt-to-asset ratio was approximately 3.54%, a decrease from 6.41% in 2018, reflecting a stronger balance sheet[65] - The group’s financial assets at fair value through profit or loss were approximately HKD 249,128,000, down from HKD 420,696,000 the previous year[30] - The group held bank balances and cash of approximately HKD 389,225,000, an increase from HKD 224,543,000 in 2018[65] Investment Strategy - The company plans to continue cautious evaluation of new investments and prudent management of existing loans and bond portfolios in response to market uncertainties[19] - The company aims to diversify its business through acquisitions at relatively low costs during the economic downturn[19] - The group is actively seeking opportunities in the securities capital market advisory business, although efforts have been hampered by adverse investment conditions[24] - The group aims to expand its investment scope and build a more balanced portfolio covering both short-term and long-term returns[60] - The group will consider reasonable adjustments to its bond investment direction in response to market changes, as the bond market is expected to be a safe haven for stable returns[63] Risk Management - The company faces significant risks including changes in legal regulations, credit risk in its loan portfolio, and market risk related to its financial asset investments[59] - The company’s overall liquidity and financial guidance are under strict monitoring to ensure financial stability[59] - The company has established internal controls for collecting, using, and retaining data related to the expected credit loss measurement[197] - The company employs a "three lines of defense" governance structure for risk management, involving operational management, financial and compliance teams, and independent internal audits[177] - The effectiveness of the risk management framework is evaluated at least annually, ensuring alignment with the company's objectives[177] Corporate Governance - The company has adopted the corporate governance code principles and complied with all applicable code provisions, except for a deviation regarding the roles of the chairman and CEO[136] - The board of directors consists of five members, including two executive directors and three independent non-executive directors, with eight meetings held during the year[138] - The independent non-executive directors have confirmed their independence according to the relevant guidelines, ensuring compliance with the listing rules[146] - The company has maintained a high standard of corporate governance, which is believed to enhance accountability to shareholders and creditors[135] - The board is responsible for formulating the business strategy and overall policy, while management is authorized to implement the group's strategies and business objectives[138] Shareholder Information - The company has adopted a dividend policy aimed at sharing profits with shareholders while retaining liquidity for future growth opportunities[187] - The board has the discretion to declare dividends based on operational and financial performance, capital needs, and economic conditions[187] - Shareholders holding at least 1/20 of the total voting rights or 100 shareholders can submit a request for a resolution at the general meeting, with costs borne by the requesting shareholders[186] - The company must convene a special general meeting within 21 days of receiving a valid request if the board does not call a meeting[186] - Shareholders can inquire about their shareholdings through the company's transfer agent or by contacting the company directly[184] Employee and Community Engagement - The group employed 24 staff members as of December 31, 2019, and provides regular training to enhance employee capabilities[69] - The group made charitable donations amounting to HKD 10,000 during the year, compared to none in the previous year[89] Audit and Compliance - The total fees paid or payable to the auditor for audit and non-audit services amounted to HKD 1,708,000, with audit services accounting for HKD 1,500,000[168] - The independent auditor's report confirms that the consolidated financial statements reflect the group's financial position accurately as of December 31, 2019[190] - The audit committee held two meetings during the year to review the audited consolidated financial statements for the year ended December 31, 2018, and the unaudited consolidated financial information for the six months ended June 30, 2019[163]