Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 14,861,000, a decrease of 37.5% compared to HKD 23,768,000 for the same period in 2023[2] - Gross profit for the same period was HKD 9,858,000, down 30.5% from HKD 14,285,000 in 2023[2] - The net loss for the six months ended June 30, 2024, was HKD 8,983,000, an improvement of 17.4% compared to a net loss of HKD 10,883,000 in 2023[2][3] - Total comprehensive loss for the period was HKD 8,390,000, compared to HKD 9,483,000 in the previous year, indicating a 11.5% reduction in losses[3] - The company reported a basic loss per share of HKD 1.40, an improvement from HKD 1.64 in the same period last year[2] - The group reported a basic loss per share of HKD 5,606,000, compared to HKD 6,570,000 for the same period in 2023[27] - The group recorded a net loss attributable to equity holders of approximately HKD 5,600,000 for the six months ended June 30, 2024, compared to a net loss of approximately HKD 6,600,000 for the same period last year, primarily due to a reduction in net loss from Shanghai Hospital by approximately HKD 3,000,000[44] Assets and Liabilities - Non-current assets decreased to HKD 101,607,000 as of June 30, 2024, from HKD 107,999,000 as of December 31, 2023[4][6] - Current assets were HKD 21,749,000, a slight decrease from HKD 22,495,000 at the end of 2023[5] - Total liabilities decreased to HKD 245,248,000 from HKD 256,769,000, reflecting a reduction of 4.5%[6] - The total reported segment assets decreased from HKD 301,133,000 as of December 31, 2023, to HKD 290,701,000 as of June 30, 2024, indicating a decline of approximately 3.5%[20] - The total liabilities reported for the segments decreased from HKD 87,773,000 to HKD 83,910,000, representing a reduction of about 4.3%[19] - Accounts receivable as of June 30, 2024, totaled HKD 26,234,000, a slight decrease from HKD 27,379,000 at the end of 2023[30] - Accounts payable as of June 30, 2024, totaled HKD 6,991,000, an increase from HKD 4,326,000 as of December 31, 2023[37] Cash Flow and Financial Position - Cash and cash equivalents at the end of the period were HKD 20,793,000, compared to HKD 6,166,000 in the previous year, showing a significant increase[10] - Operating cash flow for the period was HKD 3,508,000, a turnaround from an outflow of HKD 16,127,000 in 2023[9] - As of June 30, 2024, cash and cash equivalents were HKD 20,793,000, slightly down from HKD 20,879,000 as of December 31, 2023[36] - The company has a net cash position of HKD 20,800,000 as of June 30, 2024, resulting in a debt-to-asset ratio of zero[63] - The total loans to third parties amounted to HKD 198,907,000, with an expected credit loss provision of HKD 69,654,000[34] Revenue Sources - The company generated revenue from external customers amounting to HKD 6,714,000 in interest income for the period, compared to HKD 15,574,000 in the previous period, showing a decline of 56.9%[18] - Revenue from medical-related services decreased to HKD 6,714,000 in the first half of 2024, down 57.1% from HKD 15,574,000 in the same period of 2023[21] - Interest income from third-party loans was HKD 8,147,000, slightly down from HKD 8,194,000 year-on-year[22] - The company confirmed third-party loan interest income of HKD 8,100,000 for the period, slightly down from HKD 8,200,000 in the same period last year[46] Expenses and Costs - Administrative expenses for the group included employee costs of HKD 6,920,000, down from HKD 11,271,000 in the same period last year[26] - Depreciation and amortization expenses for the company were HKD 4,176,000, down from HKD 4,528,000, indicating a decrease of 7.8%[18] - Depreciation of property, plant, and equipment was HKD 354,000, down from HKD 395,000 in the previous year[26] Segment Performance - Shanghai Hospital generated revenue of approximately HKD 5,900,000 and a net loss of approximately HKD 6,300,000 during the period, compared to revenue of approximately HKD 14,600,000 and a net loss of approximately HKD 9,300,000 in the same period last year[45] - The investment holding segment recorded a net loss of approximately HKD 9,400,000 before tax for the period, compared to a net loss of approximately HKD 6,500,000 in the same period last year, due to a net loss of approximately HKD 1,400,000 from realized and unrealized valuation of securities[47] - The company’s segment assets for the medical division increased from HKD 64,465,000 to HKD 71,066,000, marking an increase of approximately 10.5%[18] Corporate Governance and Compliance - The company has adopted the "Standard Code for Securities Transactions by Directors" and all directors have confirmed compliance throughout the reporting period[59] - The company is actively reviewing its corporate governance practices to ensure compliance with the Corporate Governance Code[55] - The company is seeking suitable candidates for executive director roles to comply with corporate governance requirements[55] - The board of directors guarantees the authenticity, accuracy, and completeness of the mid-term financial report for 2024, assuming individual and joint legal responsibility[71] Future Outlook and Strategy - The group plans to continue expanding its core medical business, particularly in plastic surgery and medical beauty services in China and other Asian markets[48] - Shanghai Hospital aims to enhance brand awareness and market share in 2024 by increasing marketing efforts and improving service quality[49] - The group will adopt more cautious credit assessments and procedures in its lending and related businesses due to the adverse effects of US-China trade tensions[50] - The group intends to monitor and adjust its investment portfolio to adapt to economic conditions, while exploring different short-term investment plans to improve returns[51] - The management is actively seeking other business opportunities to diversify and increase revenue sources[52] Legal and Regulatory Matters - The company is currently in litigation to recover unpaid loans from the second guarantor, with legal proceedings ongoing[58] - The company has initiated bankruptcy proceedings against the first guarantor, with a claim amounting to approximately USD 12,000,000[35] - There are no significant contingent liabilities reported as of June 30, 2024[62] Shareholder Information - Major shareholders include Tian Yuan Manganese Co., Ltd. holding 266,069,294 shares, representing 66.69% of the issued share capital, and Ningxia Tian Yuan Manganese Group Co., Ltd. holding 249,539,294 shares, representing 62.54%[70] - No interim dividend was declared for the first half of 2024, consistent with the previous year[29] - The board does not recommend the payment of an interim dividend for the six months ended June 30, 2024[54] Miscellaneous - The company has not adopted any new accounting standards or amendments during the reporting period, maintaining consistency with previous financial statements[14] - The company has not engaged in any major acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period[61] - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[60] - No stock option plans are in place as of June 30, 2024[68] - No transfers occurred between the fair value measurement levels during the reporting periods[41]

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 14,861,000, a decrease of 37.5% compared to HKD 23,768,000 for the same period in 2023[2] - Gross profit for the period was HKD 9,858,000, with a gross margin of approximately 66.3%[2] - The net loss for the period was HKD 8,983,000, compared to a net loss of HKD 10,883,000 in the prior year, representing a 17.4% improvement[3] - Basic and diluted loss per share was HKD 1.40, an improvement from HKD 1.64 in the same period last year[2] - The company reported a total comprehensive loss of HKD 8,390,000 for the period, compared to HKD 9,483,000 in the previous year[3] - The group's reported revenue for the medical segment was HKD 5,894,000 for the six months ended June 30, 2024, down from HKD 14,634,000 in the same period of 2023, representing a decrease of approximately 59.8%[9] - The total reported segment loss for the group was HKD 8,983,000 for the six months ended June 30, 2024, compared to a loss of HKD 10,883,000 in the same period of 2023, indicating an improvement of approximately 17.4%[9] - The group reported a basic loss per share of HKD 5,606,000 for the six months ended June 30, 2024, compared to HKD 6,570,000 for the same period in 2023, showing a reduction of approximately 14.7%[12] Assets and Liabilities - Total assets as of June 30, 2024, were HKD 245,248,000, down from HKD 256,769,000 as of December 31, 2023[4] - Current assets decreased to HKD 176,790,000 from HKD 181,254,000 at the end of 2023[4] - Non-current assets were HKD 38,801,000, a decrease from HKD 43,683,000 at the end of 2023[4] - The group's total assets decreased to HKD 288,880,000 as of June 30, 2024, from HKD 301,133,000 as of December 31, 2023, a decline of about 4.1%[9] - The group's receivables as of June 30, 2024, amounted to HKD 26,234,000, slightly down from HKD 27,379,000 as of December 31, 2023, a decrease of about 4.2%[15] - Accounts payable increased to HKD 6,991,000 as of June 30, 2024, from HKD 4,326,000 as of December 31, 2023[22] - The group provided loans amounting to HKD 198,907,000 as of June 30, 2024, compared to HKD 200,760,000 as of December 31, 2023, reflecting a decrease of approximately 0.9%[18] - The group’s expected credit loss provision for receivables was HKD 6,136,000 as of June 30, 2024, compared to HKD 6,801,000 as of December 31, 2023, indicating a reduction of about 9.7%[15] Income and Expenses - Interest income for the group increased to HKD 8,412,000 in the first half of 2024, compared to HKD 8,208,000 in the same period of 2023, reflecting a growth of about 2.5%[9] - The group's administrative expenses for the medical segment were HKD 6,920,000 for the first half of 2024, down from HKD 11,271,000 in the same period of 2023, a decrease of approximately 38.5%[11] - The company recognized interest income from third-party loans of HKD 8,100,000 during the period, slightly down from HKD 8,200,000 in the previous year[26] - The company’s investment holding segment recorded a net loss of approximately HKD 1,400,000 from realized and unrealized valuation losses, compared to a net gain of HKD 3,500,000 in the same period last year[27] Dividends and Governance - The group did not declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[14] - The board does not recommend the payment of an interim dividend for the six months ending June 30, 2024, consistent with the previous period[33] - The audit committee has reviewed the unaudited interim results and financial information for the period without objection to the content and accounting practices used[32] - The company is committed to identifying suitable executive director candidates to share the responsibilities of the chairperson and CEO, ensuring compliance with corporate governance codes[34] - The company has adopted the standard code of conduct for directors' securities transactions and confirmed compliance throughout the period[36] - There were no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the period[37] Strategic Plans and Market Opportunities - The company plans to enhance marketing efforts and brand awareness for Shanghai Hospital in 2024, aiming to increase customer numbers and business scale[28] - The company is actively seeking diverse cooperation channels and enhancing communication with partners to jointly explore market opportunities[28] - The company aims to optimize its cost structure and reduce expenses to improve profit margins[28] - The company will explore new service and product developments, including joint development of medical beauty consumables[28] - Management is actively seeking other business opportunities to diversify and increase revenue sources while developing existing business[31] Legal and Compliance Matters - The company has initiated bankruptcy proceedings against the first guarantor, with a claim amount of approximately USD 12,000,000[20] - The group will continue its lending and related businesses in 2024, adopting more cautious credit assessments and procedures due to the adverse effects of US-China trade tensions[29] - The group plans to hold various trading securities and will adjust its investment portfolio to adapt to economic conditions, aiming to improve investment returns through different short-term investment plans[30]

Financial Performance - The company reported a net loss attributable to equity holders of approximately HKD 15.5 million for the fiscal year 2023, a decrease from a net loss of approximately HKD 29 million in the previous year, primarily due to an increase in valuation gains of financial assets by approximately HKD 8.6 million and a reduction in administrative expenses by HKD 15.9 million [5]. - The investment holding segment recorded a total loss of approximately HKD 3.1 million for the fiscal year 2023, compared to a net gain of approximately HKD 36.1 million in the previous year, resulting in a pre-tax loss of approximately HKD 13.2 million [6]. - The Shanghai hospital generated revenue of approximately HKD 25.6 million in fiscal year 2023, down from HKD 31.1 million in fiscal year 2022, with a net loss of approximately HKD 17.9 million [8]. - The company confirmed interest income from third-party loans of HKD 17.9 million for fiscal year 2023, an increase from HKD 16.5 million in the previous year [10]. - The basic loss per share for fiscal year 2023 was HKD 0.0388, with the net asset value per share increasing from HKD 0.39 to HKD 0.41 [11]. - In the fiscal year 2023, the company recorded a net loss of approximately HKD 27 million, a decrease from a net loss of approximately HKD 40.3 million in the fiscal year 2022 [22]. - The loss attributable to equity holders of the company for fiscal year 2023 was approximately HKD 15.5 million, compared to HKD 29 million in fiscal year 2022 [22]. - The company's total assets as of December 31, 2023, were HKD 303 million, down from HKD 333.5 million as of December 31, 2022 [30]. - The company's net assets decreased to HKD 215.2 million in fiscal year 2023 from HKD 242 million in fiscal year 2022 [20]. - The company's operating income from the lending and related business segment was HKD 17.9 million in fiscal year 2023, compared to HKD 16.5 million in fiscal year 2022 [28]. - The company's total cash and cash equivalents decreased from HKD 26,500,000 on December 31, 2022, to HKD 20,900,000 on December 31, 2023, resulting in a net cash outflow of HKD 3,300,000 [31]. Operational Strategy - The company plans to enhance its marketing efforts and brand awareness for the Shanghai hospital in 2024, aiming to increase customer numbers and business scale [13]. - The company is actively seeking experienced hospital management personnel to improve operational levels and marketing capabilities [14]. - The management is exploring new business opportunities to diversify and increase revenue sources [17]. - Shanghai Hospital aims to diversify its service offerings and explore new revenue channels, including joint development of medical beauty consumables and new media business initiatives [39]. - The group plans to enhance its core business in the medical and cosmetic surgery sectors in China and other Asian markets, with a focus on increasing brand awareness and market share in 2024 [38]. Corporate Governance - The roles of the Chairman and CEO have been combined under Ms. Dong Wei since November 4, 2022, responsible for the overall business development strategy and planning [52]. - The board consists of six members: one executive director, two non-executive directors, and three independent non-executive directors, with no financial or familial relationships among them [46]. - All directors confirmed compliance with the standards for securities trading as per the listing rules throughout the review year [45]. - The board held 16 meetings in 2023, with Ms. Dong Wei attending all, while other directors had varying attendance rates [50]. - The company is actively seeking a suitable executive director to share the responsibilities of the Chairman and CEO to comply with governance codes [53]. - The board is responsible for formulating corporate policies and overall strategies, ensuring alignment with the company's culture and values [49]. - The company provides training for directors to ensure they understand their responsibilities under the listing rules and relevant regulations [51]. - Independent non-executive directors have confirmed their independence as per the listing rules, ensuring effective oversight [48]. - The company is committed to maintaining high standards of corporate governance and compliance with the Hong Kong Stock Exchange listing rules [44]. Risk Management - The company has established a robust risk management and internal control system to achieve strategic goals and protect shareholder investments [75]. - The risk management framework includes a three-tier structure involving the board, audit committee, and senior management to enhance risk management across the organization [76]. - The audit committee reviews significant risk assessment reports and various risk management reports [79]. - The board and audit committee are tasked with evaluating major risks faced by the company and the current state of risk management [79]. - The company ensures that adequate resources are allocated to internal audit functions and that they maintain an appropriate status within the organization [70]. - The audit committee discusses the effectiveness of the risk management and internal control systems with management [75]. - The company has established a risk management framework and conducts annual risk assessments to identify potential strategic, operational, financial, and compliance risks [80]. Environmental, Social, and Governance (ESG) - The company has implemented a top-down ESG management policy and established effective ESG management systems and processes [149]. - The report covers the fiscal year from January 1, 2023, to December 31, 2023, focusing on the company's sustainable development management policies and performance [148]. - The company emphasizes stakeholder engagement to better understand and meet their needs, concerns, and expectations regarding ESG issues [154]. - Key ESG focus areas identified during the reporting period include occupational health and safety, product and service quality management, and operational compliance in the medical beauty business [156]. - The company aims to maintain effective communication with stakeholders, including employees, customers, investors, suppliers, and the community, to enhance its ESG strategies [155]. - The company is committed to environmental protection, sustainable development, and community care through collaboration with key stakeholders and partners [153]. - The total greenhouse gas emissions for the reporting period amounted to 331,923.35 kg, an increase from 235,832.30 kg in the previous year, primarily due to higher electricity consumption and fuel usage for business vehicles [165]. - The company reported a sulfur dioxide (SOx) emission of 3.93 grams in 2023, up from 3.42 grams in 2022, and nitrogen oxides (NOx) emissions increased to 376.17 grams from 289.09 grams [161]. - The company generated 331,212.55 kg of carbon dioxide (CO2) from purchased electricity, compared to 235,213.28 kg in the previous year, indicating a significant rise in energy consumption [165]. - The company has implemented various policies to reduce emissions, including promoting the use of cleaner and renewable energy sources and enhancing energy efficiency [162]. Employee Management - The total number of employees decreased to 59 as of December 31, 2023, from 111 in the previous year [33]. - The overall employee turnover rate for 2023 is 156%, up from 78% in 2022, with male turnover at 116% and female turnover at 175% [197]. - The employee distribution by gender in 2023 is 32% female and 68% male, consistent with 2022 [188]. - In 2023, 78% of employees are full-time and 22% are part-time, unchanged from 2022 [190]. - The company emphasizes a diverse workforce, with a focus on equal opportunities and anti-discrimination policies [185]. - The company has implemented a comprehensive learning and development plan, including tailored training programs for specific departments [185]. - Health and safety measures include regular emergency drills and adherence to local government guidelines for workplace safety [198]. - The company continues to enforce virus prevention measures to ensure the health and safety of employees and customers [200].

Financial Performance - The total revenue for the fiscal year ended December 31, 2023, was HKD 45,230,000, a decrease of 16.5% compared to HKD 54,216,000 in 2022[5] - Gross profit for the same period was HKD 27,945,000, down 19.7% from HKD 34,825,000 in the previous year[5] - The net loss for the year was HKD 26,957,000, an improvement of 33.1% compared to a net loss of HKD 40,349,000 in 2022[5] - Basic and diluted loss per share was HKD 3.88, compared to HKD 7.28 in the prior year, indicating a reduction in loss per share by 46.5%[5] - The total comprehensive income for the group was impacted by a net loss of HKD (3,904) thousand in 2023, compared to a loss of HKD (5,030) thousand in 2022, showing an improvement[22] - The net loss before tax for 2023 was HKD 15,484,000, an improvement from a loss of HKD 29,036,000 in 2022[32] - The company recorded a net loss of approximately HKD 27 million for the fiscal year 2023, a decrease from a net loss of approximately HKD 40.3 million in the previous year, primarily due to an increase in fair value gains of HKD 8.6 million and a reduction in administrative expenses of HKD 15.9 million[45] Assets and Liabilities - Total assets decreased to HKD 256,769,000 from HKD 289,312,000, reflecting a decline of 11.2% year-over-year[9] - Non-current assets decreased to HKD 121,700,000 from HKD 143,718,000, a reduction of 15.3%[9] - Cash and cash equivalents at year-end were HKD 20,879,000, down from HKD 26,496,000, a decrease of 21.5%[9] - Accounts receivable decreased to HKD 6,387,000 in 2023 from HKD 15,992,000 in 2022, a reduction of 60%[35] - The total amount of loans provided to third parties was HKD 200,760,000, slightly down from HKD 200,850,000 in 2022[38] - The expected credit loss provision for loans was HKD 69,536,000 in 2023, compared to HKD 66,575,000 in 2022, indicating a slight increase[38] - The company’s total liabilities include accounts payable of HKD 4.3 million and other payables of HKD 37.4 million as of the reporting date[44] Segment Performance - The healthcare segment generated revenue of HKD 27,366 thousand in 2023, down from HKD 37,702 thousand in 2022, representing a decline of approximately 27.5%[22] - The lending and related businesses segment reported an increase in interest income from HKD 16,514 thousand in 2022 to HKD 17,864 thousand in 2023, an increase of about 8.2%[22] - The investment holding segment reported a loss before tax of HKD (13,243) thousand in 2023, compared to a profit of HKD 18,242 thousand in 2022, indicating a significant decline in performance[22] - The total reported segment revenue for 2023 was HKD 45,382 thousand, down from HKD 54,244 thousand in 2022, a decrease of approximately 16.3%[22] - Medical-related services revenue decreased to HKD 27,366,000 in 2023 from HKD 37,702,000 in 2022, representing a decline of 27.5%[24] - The medical segment generated revenue of approximately HKD 25.6 million in fiscal year 2023, down from HKD 31.1 million in the previous year, with a net loss of approximately HKD 17.9 million compared to HKD 19 million in the prior year[47] Administrative and Other Expenses - Administrative expenses were reduced to HKD 40,752,000 from HKD 56,633,000, a decrease of 28.1%[5] - The company incurred administrative expenses of HKD 20,039,000 in 2023, down from HKD 26,961,000 in 2022, a decrease of 25.5%[31] - The interest expense on lease liabilities was HKD 3,543,000 in 2023, a decrease from HKD 3,959,000 in 2022, reflecting a reduction of 10.5%[28] Dividends and Future Plans - The company did not declare any final or interim dividends for the year ending December 31, 2023, consistent with 2022[33] - The company has not recommended the distribution of a final dividend for the fiscal year 2023[49] - The company plans to continue expanding its medical and cosmetic surgery services in China and other Asian markets, anticipating growth in consumer spending in the medical beauty industry[50] - The group will continue to hold various securities and will monitor and adjust the investment portfolio as needed to adapt to the economic environment[52] - The group is actively seeking other business opportunities to diversify and increase revenue sources[54] Credit and Risk Management - The company recognized expected credit loss of HKD 10,013,000, significantly higher than HKD 800,000 in the previous year[5] - The company will adopt more cautious credit assessments and procedures in its lending and related businesses due to the adverse impacts of trade disputes and the COVID-19 pandemic[51] Bankruptcy Proceedings - The company has initiated bankruptcy proceedings against the first guarantor, with a claim amount of approximately USD 12 million submitted on May 19, 2022[41] Segment Reporting - The group confirmed deferred tax assets related to temporary differences, which are expected to offset taxable profits in the future, with no significant impact on financial performance[17] - The group has identified four reportable segments: Investment Holding, Healthcare, Lending and Related Businesses, and Hotels, with no combined operating segments[18]

Financial Performance - Revenue for the six months ended June 30, 2023, was HKD 23,768,000, a decrease of 4.9% compared to HKD 24,984,000 in the same period of 2022[3] - Gross profit for the same period was HKD 14,285,000, down 14.2% from HKD 16,649,000 year-on-year[3] - Operating loss narrowed to HKD 8,914,000 from HKD 20,013,000 in the previous year, indicating improved operational efficiency[3] - The net loss for the period was HKD 10,883,000, significantly reduced from HKD 22,200,000 in the prior year[4] - Basic and diluted loss per share improved to HKD 1.64 from HKD 4.64 year-on-year[3] - The net loss for the six months ended June 30, 2023, is HKD 6,570,000, compared to a loss of HKD 11,632,000 for the same period in 2022[14] - The company reported a total comprehensive income of HKD (6,705,000) for the six months ended June 30, 2023[12] - The reported segment loss for the six months was HKD 10,883,000, an improvement from a loss of HKD 22,200,000 in the previous year[27] - The company reported a net loss attributable to equity holders of approximately HKD 6,600,000 for the period, a significant decrease from a net loss of approximately HKD 18,500,000 in the same period last year, primarily due to a turnaround from unrealized losses to unrealized gains in securities[67] Assets and Liabilities - Total assets as of June 30, 2023, were HKD 275,665,000, a decrease from HKD 289,312,000 at the end of 2022[6] - Cash and cash equivalents decreased to HKD 6,166,000 from HKD 26,496,000 at the end of 2022, reflecting liquidity challenges[6] - Non-current assets decreased to HKD 125,795,000 from HKD 143,718,000, primarily due to depreciation and amortization[6] - The company’s total liabilities as of June 30, 2023, are not explicitly stated but are implied to have increased due to the reported losses and cash outflows[12] - Total reported segment assets as of June 30, 2023, were HKD 319,374,000, a decrease from HKD 333,529,000 at the end of 2022[29] - Total reported segment liabilities decreased to HKD 86,688,000 from HKD 91,360,000 at the end of 2022[29] - The company’s accounts payable decreased to HKD 39,535,000 as of June 30, 2023, from HKD 40,005,000 as of December 31, 2022, showing a slight reduction in liabilities[58] Cash Flow and Financing - The net cash used in operating activities for the six months ended June 30, 2023, is HKD 16,127,000, compared to HKD 11,632,000 in the previous year[14] - The company’s cash flow from operating activities included interest received of HKD 2,389,000, down from HKD 6,883,000 in the previous year[14] - The financing activities resulted in a cash outflow of HKD 4,203,000 for lease liabilities during the six months ended June 30, 2023[16] - As of June 30, 2023, the company had no bank borrowings and reported a net cash position of HKD 6,200,000, resulting in a debt-to-asset ratio of zero[89] Revenue Segments - For the six months ended June 30, 2023, the total reported segment revenue was HKD 23,782,000, a decrease of 4.9% compared to HKD 24,994,000 in 2022[27] - Medical service revenue for the same period was HKD 15,574,000, down 17.8% from HKD 18,785,000 in 2022[30] - Revenue from Shanghai Hospital for the period was approximately HKD 14,600,000, compared to HKD 12,900,000 in the same period last year, while the net loss was approximately HKD 9,300,000, slightly improved from HKD 9,700,000[68] Cost Management - The company is focusing on cost control, with administrative expenses reduced to HKD 23,103,000 from HKD 29,400,000 year-on-year[3] - The total employee cost for the six months ended June 30, 2023, was HKD 11,300,000, with a total of 90 employees[92] Credit and Risk Management - The company has made significant provisions for expected credit losses, with a total of HKD 67,211,000 as of June 30, 2023, reflecting a cautious approach to credit risk management[51] - The company has a policy of assessing the recoverability of loans on an individual basis, which includes evaluating the credit quality of borrowers[51][52] - The company will adopt more cautious credit assessments and procedures in its lending and related businesses due to the ongoing global economic challenges[74] Shareholder Information - As of June 30, 2023, major shareholders hold significant stakes in the company, with Dong Jufeng and Jia Tianjiang each owning approximately 66.69% of the issued share capital, totaling 266,069,294 shares[96] - Tianyuan Manganese Industry Co., Ltd. holds a beneficial interest of 62.54%, with 249,539,294 shares, and an additional 4.14% represented by 16,530,000 shares under a mortgage interest[96] - The company confirms that there are no other individuals, apart from the directors and senior management, holding 5% or more of the shares as of June 30, 2023[98] Corporate Governance - The board of directors guarantees the authenticity, accuracy, and completeness of the mid-year financial report for 2023, ensuring no misleading statements or significant omissions[98] - The audit committee, composed of three independent non-executive directors, reviewed the interim results and financial information without objection[76] - The company is actively seeking suitable candidates to fulfill the role of executive director to comply with corporate governance codes[79] - The company has adopted the "Standard Code for Securities Transactions by Directors" and confirmed compliance throughout the period[84]

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 依賴該等內容而引致之任何損失承擔任何責任。 CHINA TIAN YUAN HEALTHCARE GROUP LIMITED 中 國 天 元 醫 療 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） 557 （股份代號： ） 二零二三年中期業績－公告 截至二零二三年六月三十日止六個月之未經審核綜合業績 業績 中國天元醫療集團有限公司（「本公司」）董事（「董事」）會（「董事會」）公告本公司、 其附屬公司及聯營公司（「本集團」）截至二零二三年六月三十日止六個月（「期 內」）之未經審核綜合業績，連同比較數字列載如下。 ...

Financial Performance - The company reported a net loss attributable to equity holders of approximately HKD 29 million for the fiscal year 2022, compared to a net loss of approximately HKD 16.9 million in the previous year, primarily due to the negative impact of COVID-19 on revenue from the Shanghai hospital[6]. - The investment holding segment recorded a total realized and unrealized gain of approximately HKD 36.1 million in fiscal year 2022, a significant increase from approximately HKD 1.7 million in the previous year, resulting in a profit before tax of approximately HKD 18.2 million[7]. - Revenue from the Shanghai hospital decreased significantly to approximately HKD 31.1 million in fiscal year 2022, down from HKD 66.7 million in fiscal year 2021, due to lockdowns and restrictions in Shanghai[8]. - The company’s basic loss per share for fiscal year 2022 was HKD 0.0728, compared to HKD 0.0422 in the previous year[11]. - The company reported a total revenue of HKD 54.2 million for fiscal year 2022, a decrease from HKD 94.6 million in fiscal year 2021[18]. - The company recorded a net loss of approximately HKD 40.3 million for the fiscal year 2022, compared to a net loss of approximately HKD 19.1 million in the fiscal year 2021, primarily due to the negative impact of COVID-19 on revenue from the Shanghai hospital[22]. - The investment holding segment reported a total net gain of approximately HKD 36.1 million for the fiscal year 2022, significantly up from approximately HKD 1.7 million in the fiscal year 2021[23]. - Revenue from the Shanghai hospital was approximately HKD 31.1 million in fiscal year 2022, down from approximately HKD 66.7 million in fiscal year 2021, with a net loss of approximately HKD 19 million[24]. - The company confirmed third-party loan interest income of HKD 16.5 million for fiscal year 2022, slightly down from HKD 16.8 million in fiscal year 2021[27]. Business Strategy and Expansion - The company plans to continue expanding its core business in cosmetic and medical services in China and other Asian markets, anticipating growth in consumer spending in the medical beauty industry[13]. - The company is actively seeking new business opportunities to diversify and increase revenue sources[16]. - The company aims to explore various short-term investment plans to improve investment returns using its cash reserves[15]. - The group aims to further develop and expand its core business in the medical and cosmetic surgery sectors in China and other Asian markets, anticipating growth in consumer spending in the Chinese medical beauty industry[37]. - The group will continue its lending and related businesses, adopting more cautious credit assessments and procedures in light of global economic disruptions and trade disputes[38]. Corporate Governance - The board of directors held 24 meetings in 2022, with attendance rates for executive directors ranging from 21/24 to 24/24[48]. - The company has a clear division of responsibilities between the chairman and the CEO, with the current chairman and CEO being the same person since November 4, 2022[50]. - Non-executive and independent non-executive directors serve a term of two years and must stand for re-election at the annual general meeting[53]. - The company ensures that all directors receive appropriate training and are provided with comprehensive onboarding materials upon their appointment[49]. - The board is actively seeking suitable candidates to share the responsibilities of the chairman and CEO to comply with governance codes[51]. - The company emphasizes the importance of effective communication with shareholders and encourages open discussions among directors[52]. - The board is responsible for approving strategic plans, significant operational matters, investments, and loans, while also reviewing financial performance[47]. - Independent non-executive directors have attended various committee meetings, with attendance rates for some reaching 100%[48]. - The company has established a culture of ethical and responsible conduct, which is reinforced throughout the organization[47]. - The chairman plays a crucial role in ensuring that all directors are adequately informed and that board meetings are effective[52]. Risk Management and Internal Control - The company has established a robust risk management and internal control system aimed at achieving strategic goals and protecting shareholder investments[70]. - The risk management framework includes a three-tier structure involving the board, senior management, and business function management[71]. - The company conducts annual risk assessments to identify potential strategic, operational, financial, and compliance risks[75]. - An independent internal audit function regularly reviews the effectiveness of the company's risk management and internal control measures[77]. - The board is satisfied with the effectiveness and adequacy of the current risk management and internal control systems[78]. Environmental, Social, and Governance (ESG) Initiatives - The company has implemented a top-down management approach for ESG management and established effective ESG management systems and processes[147]. - The company reported a total greenhouse gas emission of 235,831.65 kg in 2022, a slight decrease from 240,598.67 kg in 2021[162]. - The company generated 3.42 grams of sulfur dioxide (SOx) emissions in 2022, an increase from 1.85 grams in 2021[160]. - The nitrogen oxides (NOx) emissions rose to 289.09 grams in 2022, compared to 62 grams in 2021[160]. - The company utilized 235,213 kg of carbon dioxide (CO2) emissions from purchased electricity in 2022, down from 240,258 kg in 2021[162]. - The company engaged in various stakeholder communications to enhance its ESG strategies and identify improvement opportunities[153]. - The company emphasized the importance of stakeholder feedback in shaping its sustainable development initiatives[155]. - The company has committed to reducing emissions through energy efficiency and the use of cleaner energy sources[161]. - The company has implemented policies to manage waste and emissions in compliance with relevant environmental regulations[156]. - The company identified occupational health and safety, product quality management, and operational compliance as key ESG focus areas during the reporting period[155]. Employee Management and Turnover - The overall employee turnover rate for the group in 2022 was 78%, a significant increase from 11% in 2021[196]. - The turnover rate for male employees in 2022 was 60%, compared to 8% in 2021, while for female employees it was 87%, up from 12%[196]. - The turnover rate for employees aged 18-25 reached 150% in 2022, compared to 13% in 2021[196]. - The group has a total of 111 employees as of December 31, 2022, down from 112 in 2021[183]. - The group has implemented a comprehensive learning and development plan to enhance employee skills and retention[182]. - The group emphasizes compliance with environmental regulations and has taken steps to ensure supply chain stability amid climate change risks[180]. - The group encourages the use of natural and pollution-free materials in beauty products to promote environmental sustainability[180]. - The group has expanded its supplier network to mitigate the impact of extreme weather on logistics and quality[180]. Health and Safety Measures - The company emphasizes the health and safety of both customers and employees, implementing various healthcare plans including regular preventive health check-ups and medical insurance[198]. - The company adheres strictly to relevant laws and regulations regarding occupational health and safety, particularly in the medical beauty sector, ensuring compliance with multiple national standards[199]. - To mitigate the risk of infection during surgeries, the company mandates medical staff to wear protective gear, including impermeable gloves and masks, and conducts monthly training on infection control[199]. - The company has established multiple infection prevention measures in response to COVID-19, including regular nucleic acid testing for employees and disinfection facilities in public areas[200]. - The vaccination completion rate for medical staff reached 100% for the third dose during the year, highlighting the company's commitment to employee health[200].

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所產生或因 倚賴該等內容而引致之任何損失承擔任何責任。 CHINA TIAN YUAN HEALTHCARE GROUP LIMITED 中 國 天 元 醫 療 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） 557 （股份代號： ） 二零二二年末期業績－公佈 截至二零二二年十二月三十一日止年度之 經審核綜合業績 中國天元醫療集團有限公司（「本公司」）董事（「董事」）會（「董事會」）公佈本公司 及其附屬公司、合營安排及聯營公司（「本集團」）截至二零二二年十二月三十一 日止年度（「二零二二年財年」）之綜合業績，連同比較數字列載如下。 ...

Financial Performance - For the six months ended June 30, 2022, the company reported a revenue of HKD 24,984,000, a decrease of 48.5% compared to HKD 48,439,000 in the same period of 2021[4] - The gross profit for the same period was HKD 16,649,000, resulting in a gross margin of approximately 66.7%[4] - The company incurred a loss before tax of HKD 22,200,000, compared to a loss of HKD 6,411,000 in the prior year, indicating a significant increase in losses[4] - The basic and diluted loss per share for the period was HKD 4.64, compared to HKD 1.53 in the previous year, reflecting a worsening financial position[4] - Total comprehensive loss for the period was HKD 20,719,000, compared to HKD 3,324,000 in the same period last year, highlighting a substantial increase in overall losses[6] - The net loss for the six months ended June 30, 2022, was HKD 18,538,000, compared to a net loss of HKD 6,137,000 for the same period in 2021, representing an increase in losses of approximately 203%[58] - The company reported a net loss attributable to equity holders of approximately HKD 18,500,000 for the six months ended June 30, 2022, compared to a net loss of approximately HKD 6,100,000 for the same period last year, indicating a significant increase in losses[90] Assets and Liabilities - As of June 30, 2022, total assets amounted to HKD 311,195,000, down from HKD 340,042,000 at the end of 2021[10] - The group's total assets as of June 30, 2022, were HKD 345,737,000, a decrease from HKD 376,383,000 as of December 31, 2021, reflecting a reduction of approximately 8%[42] - Total liabilities decreased to HKD 82,421,000 as of June 30, 2022, from HKD 92,348,000 as of December 31, 2021, indicating a decline of around 11%[44] - The company's equity attributable to owners decreased to HKD 237,907,000 from HKD 256,247,000, indicating a decline in shareholder value[13] Cash Flow and Liquidity - The company's cash and cash equivalents decreased to HKD 51,190,000 from HKD 65,699,000, indicating a decline in liquidity[10] - For the six months ended June 30, 2022, the net cash used in operating activities was HKD (11,632) thousand, compared to HKD 26,533 thousand for the same period in 2021, indicating a significant decline in cash flow from operations[21] - The total cash and cash equivalents decreased by HKD 14,509 thousand, with cash and cash equivalents at the beginning of the period being HKD 65,699 thousand, compared to HKD 58,178 thousand at the same time last year[24] - The cash and cash equivalents as of June 30, 2022, were HKD 51,190 thousand, down from HKD 81,220 thousand in 2021, reflecting a decrease of approximately 37% year-over-year[25] - Cash used in investing activities was HKD (758) thousand for the six months ended June 30, 2022, compared to HKD (1,408) thousand in the same period of 2021, showing a reduction in investment outflows[21] - Cash used in financing activities was HKD (2,119) thousand, slightly increasing from HKD (2,083) thousand in the previous year, indicating stable financing cash flows[21] Segment Performance - The company operates in four reportable segments: Investment Holding, Medical, Lending and Related Services, and Hotel, with each segment contributing differently to overall performance[32][34] - The management assesses the performance of each segment based on operating profit, which includes revenues and expenses directly attributable to each segment[37] - Revenue from medical services, including royalties, was HKD 5,855,000 for the six months ended June 30, 2022, down from HKD 36,815,000 in 2021, a decline of about 84%[44] - The medical division generated revenue of approximately HKD 12,900,000 during the period, down from HKD 36,800,000 in the same period last year, resulting in a net loss of approximately HKD 9,700,000[91] - The investment holding division recorded realized and unrealized valuation losses of approximately HKD 3,000,000, compared to HKD 800,000 in the same period last year, leading to a pre-tax loss of approximately HKD 19,100,000[94] Foreign Exchange and Interest Income - The company reported a foreign exchange gain of HKD 1,113,000 for the period, compared to a gain of HKD 3,074,000 in the previous year, suggesting fluctuations in currency impact[6] - The group reported a net foreign exchange loss of HKD 3,497,000 for the six months ended June 30, 2022, compared to a gain of HKD 536,000 in 2021[50] - Interest income from third-party loans was HKD 6,199,000 for the six months ended June 30, 2022, down from HKD 8,427,000 in 2021, a decrease of about 26%[46] - The company confirmed third-party loan interest income of HKD 6,200,000 for the period, down from HKD 8,400,000 in the same period last year[92] Administrative and Employee Costs - The group incurred administrative expenses primarily related to holding investments and medical services, which included employee costs totaling HKD 13,686,000 for the six months ended June 30, 2022, down from HKD 22,099,000 in 2021, a reduction of about 38%[51] - The total employee cost for the six months ended June 30, 2022, was HKD 13,700,000, with a total of 112 employees[115] Corporate Governance and Compliance - The company adopted the "Standard Code for Securities Transactions by Directors" and confirmed compliance throughout the period[107] - The company is committed to transparency in accordance with the Securities and Futures Ordinance[120] - The board of directors is responsible for the company's strategic decisions and oversight[120] - The company continues to comply with regulatory requirements regarding shareholding disclosures[120] - The company emphasizes the importance of maintaining accurate records as per the Securities and Futures Ordinance[120] - The company is focused on corporate governance and accountability to its shareholders[120] - The company aims to uphold its reputation through adherence to legal and regulatory standards[120] - The company is dedicated to fostering trust and integrity in its financial reporting practices[120] Other Notable Points - The company declared no interim dividend for the six months ended June 30, 2022, consistent with the previous year[60] - The company did not recognize deferred tax assets for tax losses of approximately HKD 172,900,000 as of June 30, 2022, due to the low likelihood of future taxable profits[55] - The company has not adopted any new accounting standards or interpretations that would have a significant impact on the interim financial statements for the current accounting period[31] - The company has initiated bankruptcy proceedings against a guarantor for a loan that has defaulted, with a court hearing scheduled for April 19, 2022[69] - The company provided loans to third parties amounting to HKD 178,030,000 as of June 30, 2022, with an expected credit loss provision of HKD 66,377,000[66] - The company’s policy includes individual assessments for the impairment of receivables, considering credit quality changes from the initial loan date to the reporting date[67] - The company did not report any significant contingent liabilities as of June 30, 2022[88] - The group had no pledged assets as of June 30, 2022[113] - The major shareholders included Dong Jufeng with a 66.69% stake and Tianyuan Manganese Industry Co., Ltd. with a 62.54% stake[119] - The group is exposed to foreign currency risks primarily in GBP, SGD, PHP, RMB, KRW, and USD, but had no unsettled foreign exchange contracts as of the reporting date[114] - No individuals other than the company's directors and senior executives held any interests in the company's shares as of June 30, 2022[120] - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the period[109] - There were no purchases, sales, or redemptions of the company's listed securities during the period[108]

Financial Performance - The company reported a net loss attributable to equity holders of approximately HKD 16.9 million for the fiscal year 2021, a decrease from a net loss of approximately HKD 65.1 million in the previous year[5]. - The company reported a revenue of HKD 94,588,000 for the fiscal year 2021, a significant increase of 67.6% compared to HKD 56,340,000 in 2020[12]. - The net loss for the fiscal year 2021 was approximately HKD 19,063,000, a reduction from a net loss of HKD 110,035,000 in 2020, indicating an improvement in financial performance[15]. - The basic loss per share for the fiscal year 2021 was HKD 4.22, compared to HKD 16.31 in the previous year, reflecting a decrease in losses per share[12]. - The total comprehensive loss of HKD 13,336,000 for the year was significantly lower than HKD 109,282,000 in 2020[187]. - The gross profit for 2021 was HKD 71,307,000, up from HKD 37,574,000 in 2020, indicating a significant improvement in profitability[185]. Revenue Sources - Patent fee income from the subsidiary, Puaip, was approximately HKD 11.1 million in fiscal year 2021, compared to HKD 2.7 million in the previous year[5]. - The Shanghai hospital generated revenue of approximately HKD 66.7 million and a net loss of approximately HKD 14.5 million in fiscal year 2021[5]. - The medical division contributed patent royalty income of approximately HKD 11,100,000 in 2021, a substantial increase from HKD 2,700,000 in 2020[15]. - The Shanghai hospital recorded revenue of HKD 66,700,000 in 2021, compared to HKD 36,200,000 in the previous year, indicating a growth of 84.5%[15]. Assets and Liabilities - The total assets of the company decreased to HKD 376,399,000 in 2021 from HKD 381,296,000 in 2020, showing a decline of 0.2%[14]. - The company's net assets stood at HKD 284,051,000 in 2021, down from HKD 297,387,000 in 2020, representing a decrease of 4.5%[14]. - The total liabilities included lease liabilities amounting to HKD (55,991,000), reflecting the company's financial obligations[198]. - The company's total assets less current liabilities amounted to HKD 340,042,000, compared to HKD 349,431,000 in 2020, indicating a slight decrease in net asset position[190]. Investment and Growth Strategy - The company plans to continue developing its core business in the medical and cosmetic surgery sectors in China and other Asian markets[8]. - Future growth in the Chinese medical beauty industry is anticipated, supported by the company's management experience and investment in the Shanghai hospital[8]. - The company intends to monitor and adjust its investment portfolio in response to economic conditions and will explore various short-term investment plans[11]. - The group plans to explore different short-term investment programs to improve investment returns using cash reserves in various currencies[22]. Risk Management and Governance - The company has established a robust risk management and internal control system to achieve strategic goals and protect shareholder investments[57]. - The risk management framework includes a three-tier structure involving the board, audit committee, and senior management to enhance risk management across the organization[58]. - The board of directors is responsible for reviewing the effectiveness of the risk management and internal control systems annually, covering all significant aspects including strategic, financial, operational, and compliance monitoring[69]. - The company has implemented a three-year audit plan based on risk assessment results, prioritizing identified risks for annual audit projects[64]. Corporate Governance - The board of directors consists of seven members, including two executive directors, two non-executive directors, and three independent non-executive directors[31]. - The company regularly reviews its corporate governance practices to ensure compliance with the corporate governance code[29]. - The chairman and CEO roles are clearly defined, with the chairman responsible for board operations and the CEO managing daily business operations[36]. - The company has adopted a board diversity policy to enhance governance standards and board effectiveness through diverse perspectives[42]. Employee and Operational Insights - The group's total employee costs increased to HKD 40,200,000 in fiscal year 2021 from HKD 29,100,000 in fiscal year 2020, primarily due to full-year employee costs from Shanghai Hospital[17]. - The group has implemented various training programs to enhance employee skills and knowledge, crucial for maintaining service quality[17]. - The company has committed to environmental sustainability initiatives, including effective resource utilization and waste reduction measures[20]. Shareholder Information - The company has a dividend policy that is subject to various factors including overall business conditions, cash flow, financial performance, and market conditions[76]. - No dividends were recommended for the fiscal year ending December 31, 2021, consistent with the previous year[83]. - The largest customer accounted for 12% of total sales, while the top five customers combined represented 23% of total sales[82]. - The largest supplier accounted for 10% of total purchases, and the top five suppliers combined represented 24% of total purchases[82].