Financial Performance - The loss attributable to owners of the Company for the period from January 1, 2022, to June 30, 2022, was approximately HK$21,703,000, compared to a loss of approximately HK$1,336,000 for the first six months of 2021[16]. - Revenue for the six months ended June 30, 2022, was HK$1,572,000, a decrease of 90.66% compared to HK$16,859,000 for the same period in 2021[87]. - Loss before tax for the six months ended June 30, 2022, was HK$21,794,000, compared to a loss of HK$1,297,000 in the previous year, indicating a significant increase in losses[87]. - Total comprehensive expenses for the period amounted to HK$24,322,000, a stark contrast to a total comprehensive income of HK$7,999,000 in the prior year[89]. - The company's total equity attributable to owners decreased to HK$105,527,000 from HK$80,917,000 at the end of 2021, highlighting a decline in shareholder equity[92]. Financial Position - As of June 30, 2022, the underlying current ratio was approximately 0.53, a slight decrease from 0.55 on December 31, 2021[30]. - The underlying gearing ratio was approximately (69%) as of June 30, 2022, improving from (81%) on December 31, 2021[30]. - Net current liabilities were approximately HK$195,524,000 as of June 30, 2022, up from HK$173,265,000 on December 31, 2021[31]. - The company’s accumulated losses increased to HK$1,043,074,000 as of June 30, 2022, compared to HK$1,021,371,000 at the beginning of the year[93]. - The Group had net liabilities of approximately HK$166,662,000, with interest-bearing borrowings amounting to approximately HK$115,000,000[106]. Business Operations - The Group's property rental business includes a property in Tianjin with a land use area of 11,331.30 square meters, providing a steady rental income stream[17]. - The Group is engaged in property development with a land area of approximately 29,012.72 square meters in Tianjin, where two 4-storey buildings with a total gross floor area of 18,333 square meters are under construction[23]. - The Group's business operations were affected by COVID-19 lockdown measures and a downturn in the property market in 2022[106]. - The Group aims to explore business opportunities in the natural gas sector not only in the PRC but also globally to further develop this business[24]. - The Group aims to identify and explore growth opportunities in the natural gas business both in China and globally[27]. Governance and Compliance - The Company has complied with all provisions of the Corporate Governance Code for the six months ended June 30, 2022, except for certain deviations regarding insurance cover for directors[74]. - The Audit Committee has reviewed the unaudited condensed consolidated financial statements for the six months ended June 30, 2022, with no disagreements noted[82]. - The Company did not have an internal audit function as of the report date, citing the current effectiveness of its internal control system[76]. - The roles of Chairman and Chief Executive Officer are held by the same individual, which the Board believes ensures consistent leadership[75]. Share Capital and Structure - A capital reorganisation was approved on January 24, 2022, involving share consolidation, capital reduction, and share sub-division[62]. - The share consolidation involved consolidating every ten issued shares of par value HK$0.05 into one consolidated share of par value HK$0.50[62]. - The capital reduction will reduce the par value of each issued consolidated share from HK$0.50 to HK$0.01 by cancelling HK$0.49 of paid-up capital[67]. - The share sub-division will subdivide each authorised but unissued consolidated share into fifty ordinary shares with par value HK$0.01 each[68]. - As of the report date, the capital reduction and share sub-division have not yet become effective[69]. Cash Flow and Liquidity - Cash and bank balances increased to approximately HK$3,575,000 as of June 30, 2022, compared to HK$1,862,000 at the end of 2021[31]. - The company is actively negotiating to repay outstanding liabilities and is working to collect accounts receivable to improve its financial position[111][116]. - Cost-saving measures are being implemented to minimize expenses, including administrative and operating costs[112][117]. - Potential fundraising activities are being sought, including rights issues and the issuance of new shares or convertible bonds, depending on market conditions[114][119]. - The directors believe that if the above measures are successfully implemented, the group will have sufficient cash resources to meet future working capital and financial needs[115]. Segment Performance - For the six months ended June 30, 2022, total revenue amounted to HK$1,572,000, with property management services contributing HK$647,000 and leases contributing HK$925,000[140]. - The Group's revenue from property management services in the PRC for the six months ended June 30, 2022, was HK$647,000, recognized over time[138]. - The total revenue from the property investment segment for the six months ended June 30, 2022, was HK$1,572,000, with all revenue recognized over time[140]. - The segment profit for the same period in 2022 was HK$1,395,000, compared to HK$933,000 in 2021, indicating a year-over-year increase of 49.5%[148]. - Other income, gains, and losses totaled HK$18,019,000 in 2022, slightly up from HK$18,003,000 in 2021, reflecting a marginal increase of 0.09%[150].

Financial Performance - The loss attributable to owners of the Company for the period from January 1, 2022, to June 30, 2022, was approximately HK$21,703,000, compared to a loss of approximately HK$1,336,000 for the first six months of 2021[21]. - Revenue for the six months ended June 30, 2022, was HK$1,572,000, a significant decrease of 90.66% compared to HK$16,859,000 in 2021[92]. - Loss before tax for the period was HK$21,794,000, compared to a loss of HK$1,297,000 in the previous year, indicating a substantial increase in losses[92]. - Total comprehensive expenses for the period amounted to HK$24,322,000, a stark contrast to a comprehensive income of HK$7,999,000 in the prior year[94]. - The Company incurred finance costs of HK$35,392,000, a significant rise from HK$5,774,000 in the previous year, indicating increased borrowing costs[92]. Financial Position - The Group's consolidated financial statements for the six months ended June 30, 2022, are unaudited and condensed, with detailed financial information provided on pages 15 to 40 of the report[20]. - The Group's financial position as of June 30, 2022, is detailed in the consolidated statement of financial position included in the report[20]. - As of June 30, 2022, the Group's current ratio was approximately 0.53, a slight decrease from 0.55 on December 31, 2021[35]. - The Group's deficit attributable to owners increased by approximately 30% to HK$105,527,000 from HK$80,917,000 at the end of the previous year[36]. - Current liabilities increased to HK$415,808,000 from HK$382,524,000, resulting in net current liabilities of HK$195,524,000[97]. Operational Insights - The interim report was presented by the Board of Directors, highlighting the financial results and operational insights for the first half of 2022[23]. - The Company continues to focus on its core business operations while navigating the challenges posed by the market environment[24]. - The financial performance reflects the ongoing impact of external factors affecting the infrastructure investment sector[24]. - The business operations were affected by COVID-19 lockdown measures and a downturn in the property market in the PRC[111]. - The Group's existing business is operating as usual, with efforts to improve operating results and cash flows[112]. Strategic Initiatives - The Company is committed to enhancing its operational efficiency and exploring new opportunities for growth in the infrastructure sector[24]. - The Group is adopting a more conservative strategy in property development and investment due to the uncertain real estate market in China[29]. - The Group plans to explore business opportunities in the natural gas sector both in China and globally[29]. - The Directors are taking measures to manage liquidity needs and improve financial position, including focusing on existing businesses and international expansion[112]. - The company is actively negotiating to repay outstanding liabilities and collect accounts receivables to improve its financial position[116][121]. Share Capital and Governance - The capital reorganisation approved on January 24, 2022, involved a share consolidation where every ten issued shares of par value HK$0.05 were consolidated into one share of par value HK$0.50[67]. - The capital reduction will reduce the par value of each issued consolidated share from HK$0.50 to HK$0.01 by cancelling HK$0.49 of paid-up capital on each issued consolidated share[72]. - The company has complied with all provisions of the Corporate Governance Code for the six months ended June 30, 2022, except for certain deviations regarding insurance cover for directors and the separation of roles between the chairman and CEO[79][80]. - The Audit Committee, consisting of three independent non-executive Directors, has reviewed the financial reporting process and internal control system, with no disagreements noted on the unaudited condensed consolidated financial statements for the six months ended June 30, 2022[86][87]. - The company has adopted the Model Code for Securities Transactions by Directors and confirmed compliance for the six months ended June 30, 2022[85][88]. Assets and Liabilities - The Group had net liabilities of approximately HK$166,662,000, with interest-bearing borrowings amounting to approximately HK$115,000,000[111]. - Trade receivables as of June 30, 2022, amounted to HK$138,208,000, with a net amount of HK$51,494,000 after an allowance for credit losses of HK$86,714,000[171]. - The Group's interest-bearing borrowing was secured by pledged shares held by a substantial shareholder, Mr. Ye De Chao, and was personally guaranteed by him[191]. - The Group's contingent liabilities included a financial guarantee contract for a loan of approximately HK$93,712,000 as of June 30, 2022, down from HK$97,960,000 in 2021[196]. - The Group had no other material contingent liabilities as of June 30, 2022, compared to none in 2021[200].

Financial Performance - The Group's revenue for the year ended December 31, 2021, was approximately HK$3,157,000, a significant decrease from approximately HK$127,414,000 for the year ended December 31, 2020, representing a decline of about 97.5%[14]. - The loss attributable to owners of the Company for the year ended December 31, 2021, was approximately HK$581,677,000, compared to a loss of approximately HK$278,857,000 for the previous year, indicating an increase in loss of about 108.7%[14]. - The increase in loss was primarily due to a fair value loss on investment properties amounting to approximately HK$24,944,000 and an impairment loss on property, plant, and equipment of approximately HK$113,999,000[35]. - The loss from changes in fair value of investment properties was approximately HK$24,944,000 in 2021, down from approximately HK$77,966,000 in 2020[14]. - Impairment losses recognized in respect of property, plant, and equipment amounted to approximately HK$113,999,000 in 2021, compared to HK$87,937,000 in 2020, reflecting an increase of about 29.7%[14]. - Impairment losses recognized for financial assets under the expected credit losses model were approximately HK$192,300,000 in 2021, significantly higher than HK$40,723,000 in 2020, marking an increase of about 371.5%[14]. - The share of losses of associates was approximately HK$169,558,000 in 2021, compared to HK$144,569,000 in 2020, representing an increase of about 17.3%[14]. Strategic Direction - The Group adopted a more conservative view and strategy in property development and investment due to the uncertain real estate market in the PRC caused by the COVID-19 pandemic[19]. - The Group plans to continue identifying and exploring business opportunities in the natural gas sector both in the PRC and globally to further develop this business[19]. Liquidity and Financial Position - The underlying current ratio as of December 31, 2021, was approximately 0.55, a decline from 1.72 in 2020, indicating liquidity challenges[39]. - The underlying gearing ratio was approximately (81%) as of December 31, 2021, compared to 24% in 2020, reflecting a significant increase in debt relative to equity[39]. - The equity attributable to owners of the Company was a deficit of approximately HK$80,917,000 as of December 31, 2021, a decrease of approximately 117% from HK$483,087,000 at the end of the previous year[40]. - The net current liabilities as of December 31, 2021, were approximately HK$173,265,000, compared to net current assets of HK$153,450,000 in 2020[40]. - As of December 31, 2021, the Group's current liabilities exceeded its current assets by approximately HK$173,265,000, resulting in net liabilities of approximately HK$142,340,000[162]. - Cash and cash equivalents were only approximately HK$1,862,000 as of the reporting date[162]. Corporate Governance - The company has complied with all provisions of the Corporate Governance Code for the year ended December 31, 2021, except for certain deviations regarding insurance for directors and the separation of roles between the chairman and CEO[66][67]. - The Board of Directors consists of three executive directors and three independent non-executive directors, with two independent directors having served for over nine years and eligible for re-election[76]. - The company does not currently have an internal audit function, as the Board believes there is no immediate need based on the size and complexity of the business[71][74]. - The company is committed to maximizing shareholder value and enhancing transparency, accountability, and independence[65][68]. - The Board meets regularly to monitor performance and ensure compliance with statutory and regulatory requirements[79]. - Independent non-executive directors are encouraged to participate actively in Board meetings and have access to independent professional advice[78]. - The company will review its corporate governance practices periodically to improve effectiveness[65][68]. - The Board Diversity Policy aims to achieve a balanced mix of skills, experience, and perspectives among board members to enhance decision-making effectiveness[93]. - The Company has established mechanisms to ensure independent opinions and information are provided to the Board, particularly from independent non-executive directors[82]. - The Board is satisfied that the other commitments of the INEDs do not conflict with their duties as directors[90]. - The nomination committee will review the Board Diversity Policy and measurable objectives at least annually to ensure its effectiveness[99]. - The Company provides newly appointed directors with an induction package to ensure they understand the business and their responsibilities under the Listing Rules[101]. Risk Management - The Board reviewed significant risks, including ESG risks, and the Company's ability to respond to changes in the business environment[184]. - The management is responsible for the ongoing design and implementation of the risk management and internal control systems, which are reviewed annually for effectiveness[186]. - The Group has established procedures to identify and manage significant risks, with annual reviews conducted by the Board[187]. - The risk management strategies include risk retention, avoidance, sharing, and transfer to mitigate potential losses[195]. - The internal control systems aim to reduce business-related risks and provide reasonable assurance against material misstatements[191]. - Significant internal control deficiencies are reported to the Board promptly to ensure timely remediation[192]. - The Board considers the risk management and internal control systems to be reasonably effective and adequate for the year ended December 31, 2021[193]. - The Group has adopted a Whistleblowing Policy to allow confidential reporting of concerns related to possible improprieties[197]. - The Anti-Bribery and Anti-Corruption Policy outlines guidelines and responsibilities to prevent and report fraud and corruption[198]. Employee and Gender Diversity - The Group had approximately 14 staff members as of December 31, 2021, with remuneration based on performance and industry practices[34]. - The Company has a commitment to gender diversity, currently having one female director, with plans to increase this proportion over time[98]. - The Group employed 14 individuals during the financial year, with approximately 50% being female, indicating a commitment to gender diversity in recruitment[100]. - The company maintains a commitment to diversity in its hiring practices, reflecting its broader corporate governance principles[103]. Audit and Financial Oversight - The Audit Committee consists entirely of Independent Non-executive Directors (INEDs) as of December 31, 2021[138]. - The chairman of the Audit Committee, Mr. HE Jin Geng, is a qualified accountant with relevant financial experience[138]. - The Audit Committee reviews the Company's financial reports and internal controls[137]. - The Audit Committee continuously monitors the adequacy of resources and qualifications of the Group's accounting and internal audit functions[185]. - All members of the Audit Committee are independent non-executive directors, ensuring unbiased oversight[140]. - The audit fees for the year ended December 31, 2021, were HK$820,000 for HLB Hodgson Impey Cheng Limited and HK$950,000 for Asian Alliance (HK) CPA Limited, compared to HK$1,000,000 for the previous year[155]. - The Company’s audit fees for non-audit services were nil for both 2021 and 2020[155]. Future Plans and Measures - The Company is exploring various business opportunities to increase cash inflow and improve its financial position[167]. - The Group is actively negotiating to repay outstanding liabilities and collect account receivables[168]. - Cost-saving measures are being enforced to minimize expenses, including administrative and operating costs[169]. - The Company is in negotiations for potential loan capitalisation to reduce debt and increase the shareholder base[175]. - The Group is seeking fundraising opportunities such as rights issues and placements of new shares, depending on market conditions[176]. - The consolidated financial statements for the year ended December 31, 2021, have been prepared on a going concern basis, assuming successful implementation of the above measures[177].

Financial Performance - The Group's revenue for the year ended December 31, 2021, was approximately HK$3,157,000, a significant decrease from approximately HK$127,414,000 for the year ended December 31, 2020, representing a decline of about 97.5%[21]. - The loss attributable to owners of the Company for the year ended December 31, 2021, was approximately HK$581,677,000, compared to a loss of approximately HK$278,857,000 for the previous year, indicating an increase in loss of about 108.7%[21]. - The loss arising on change in fair value of investment properties amounted to approximately HK$24,944,000, down from approximately HK$77,966,000 in 2020[21]. - The impairment loss recognized in respect of property, plant, and equipment was approximately HK$113,999,000, an increase from HK$87,937,000 in 2020[21]. - The impairment loss recognized in respect of financial assets under expected credit losses model was approximately HK$192,300,000, compared to HK$40,723,000 in 2020, reflecting a significant increase[21]. - The share of losses of associates amounted to approximately HK$169,558,000, up from HK$144,569,000 in 2020[21]. - The underlying current ratio as of December 31, 2021, was approximately 0.55, a decrease from 1.72 in 2020, reflecting a decline in liquidity[46]. - The Group's equity attributable to owners of the Company was a deficit of approximately HK$80,917,000, a decrease of approximately 117% from HK$483,087,000 at the end of the previous year[47]. - The net current liabilities as of December 31, 2021, were approximately HK$173,265,000, compared to net current assets of HK$153,450,000 in 2020[47]. - Cash and cash equivalents were only approximately HK$1,862,000 as of December 31, 2021[169]. Impact of COVID-19 - The COVID-19 pandemic has negatively impacted the Group's business activities and contributed to deteriorating macroeconomic conditions during the financial year[20]. - The Company has continued to face challenges due to government-imposed restrictions and lockdowns affecting business operations[20]. - The Group's overall performance has been negatively impacted by the COVID-19 pandemic, leading to a conservative approach in its business strategies[26]. - The Group adopted a more conservative view and strategy in property development and investment due to the uncertain atmosphere in the PRC real estate market caused by the ongoing COVID-19 pandemic[26]. - The Group will adopt a more conservative view and strategy regarding property development and investment due to the ongoing economic challenges posed by COVID-19[42]. Corporate Governance - The Company has complied with all provisions of the Corporate Governance Code for the year ended December 31, 2021, except for certain deviations regarding insurance cover for directors and the separation of roles between the chairman and CEO[73]. - The Board comprises three executive directors and three independent non-executive directors, with two independent directors having served for more than nine years and subject to re-election[80]. - The Company does not currently have an internal audit function, as the Board believes there is no immediate need based on the size and complexity of the business[78]. - The Company is committed to maximizing shareholder value and enhancing transparency, accountability, and independence[72]. - The Board has a range of necessary skills and experiences to discharge their duties effectively[84]. - The Company will review its corporate governance practices regularly to improve effectiveness[72]. - The Board held a total of four board meetings during the financial year, with a 100% attendance rate for all directors[92]. - Independent non-executive directors (INEDs) represented at least one-third of the Board as of December 31, 2021, in compliance with Listing Rules[96]. - The Company has mechanisms in place to ensure independent views are available to the Board, including obtaining independent professional advice[89]. - The Board conducts regular and ad hoc meetings to monitor senior management performance and ensure compliance with statutory requirements[90]. Risk Management - The Board reviewed significant risks, including ESG risks, and the Company's ability to respond to changes in the business environment[191]. - The management is responsible for the ongoing design and monitoring of the risk management and internal control systems, which are reviewed annually for effectiveness[193]. - The Group has established procedures to identify and manage significant risks, with annual reviews conducted by the Board[194]. - The management identifies risks by considering internal and external factors, assessing and prioritizing them based on impact and occurrence[197]. - The internal control systems aim to reduce risks and minimize adverse impacts, providing reasonable assurance against material misstatement[198]. - Significant internal control deficiencies are reported to the Board for prompt remediation actions[199]. - For the year ended December 31, 2021, the risk management and internal control systems were deemed reasonably effective and adequate[200]. Business Strategy - The Group plans to continue identifying and exploring thriving business opportunities in the natural gas sector both in the PRC and globally to further develop this business area[26]. - The Company is exploring various business opportunities to increase cash inflow and improve its financial position[174]. - The Group is actively negotiating to repay outstanding liabilities and collect account receivables[175]. - Cost-saving measures are being enforced to minimize expenses, including administrative and operating costs[176]. - The Company is in negotiations regarding potential debt capitalisation to reduce debt and increase the shareholder base[182]. - The Group is seeking fundraising opportunities such as rights issues and placements of new shares, depending on market conditions[183]. - The consolidated financial statements for the year ended December 31, 2021, have been prepared on a going concern basis, assuming successful implementation of the above measures[184]. Remuneration and Board Diversity - The Remuneration Committee reviewed the remuneration packages of Directors and senior management, including discretionary bonuses based on individual performance and the Group's profitability[126]. - The Remuneration Committee met once during the financial year to determine specific remuneration packages for executive Directors and senior management[127]. - The Company has a commitment to gender diversity, currently having one female director, with plans to increase this proportion over time[105]. - The Group employed 14 individuals during the financial year, with approximately 50% being female, indicating a commitment to gender diversity in recruitment[107]. - The Board Diversity Policy aims to achieve a balanced mix of skills, experience, and perspectives to enhance decision-making effectiveness[100]. - The Nomination Committee reviewed the Board Diversity Policy and measurable objectives at least annually to ensure effectiveness[106]. - The company’s diversity policy aims for gender equality on the Board, with a commitment to increasing the proportion of female members when selecting candidates[110].

Financial Performance - For the year ended December 31, 2021, the company reported a revenue of HKD 18,182,000, a decrease of 1.0% from HKD 127,414,000 in 2020[2] - The gross profit for 2021 was HKD 2,102,000, down from HKD 2,831,000 in 2020, indicating a decline of 25.8%[2] - The operating loss for 2021 was HKD (94,522,000), compared to HKD (343,677,000) in 2020, showing an improvement of 72.5%[2] - The net loss for the year was HKD (106,064,000), a reduction from HKD (348,497,000) in the previous year, representing a 69.6% decrease[3] - The basic and diluted loss per share for 2021 was HKD (19.52), compared to HKD (65.31) in 2020, reflecting a significant improvement[2] - The group reported a pre-tax loss of approximately HKD 83,344,000 for the year ended December 31, 2021, compared to a loss of HKD 278,857,000 in 2020, indicating an improvement of 70%[34] - The total segment loss before tax for the year was HKD 106,064,000, with significant contributions from financial costs and other operational losses[39] - The loss attributable to the company's owners for the year ended December 31, 2021, was approximately HKD 83,344,000, compared to a loss of HKD 278,857,000 for the previous year[55] Assets and Liabilities - Total assets as of December 31, 2021, were HKD 359,538,000, slightly down from HKD 365,585,000 in 2020[5] - The company's cash and bank balances decreased to HKD 1,862,000 from HKD 18,491,000 in the previous year, a decline of 89.9%[5] - The company's equity attributable to owners decreased to HKD 419,429,000 from HKD 483,087,000, a drop of 13.2%[5] - The total liabilities for the group amounted to HKD 221,028,000, with property investment liabilities at HKD 28,462,000 and natural gas liabilities at HKD 9,643,000[39] - The accounts receivable total for the year 2021 was HKD 157,851,000, with a provision for credit losses of HKD 51,885,000, resulting in a net accounts receivable of HKD 105,966,000[43] Revenue Sources - Total revenue from external customers for the year ended December 31, 2021, was HKD 18,182,000, with property investment contributing HKD 2,368,000 and natural gas contributing HKD 15,814,000[39] - Property management fee income increased to HKD 1,057,000 in 2021 from HKD 1,022,000 in 2020, reflecting a growth of 3.4%[18] - Sales of construction materials significantly dropped to HKD 15,814,000 in 2021 from HKD 125,097,000 in 2020, a decline of 87.3%[18] - The group recognized interest income from bank deposits of HKD 5,000 in 2021, down from HKD 307,000 in 2020, a decrease of 98.4%[18] Investment and Future Outlook - The group aims to seek investment opportunities in China to expand its portfolio of investment development projects, focusing on areas with development potential and ideal returns[52] - The group expects stable rental income from its property investments, particularly in the Tianjin area, due to the low interest rate environment and appreciation potential[50] Compliance and Governance - The company has adopted the standard code of conduct for securities trading by directors as outlined in Appendix 10 of the Listing Rules, confirming compliance for the year ended December 31, 2021[69] - The audit committee, composed of three independent non-executive directors, has reviewed the accounting principles and practices adopted by the group, discussing audit, internal control, and financial reporting procedures[70] COVID-19 Impact - The group did not recognize any government subsidies related to COVID-19 for the year ended December 31, 2021, compared to HKD 108,000 in 2020[18] - Due to COVID-19 travel restrictions and quarantine measures in certain regions of China, the annual performance audit for the year ended December 31, 2021, could not be completed[72] Shareholder Information - The group did not recommend any dividend for the year ended December 31, 2021, consistent with the previous year[31] - The board has decided not to recommend any final dividend for the year ended December 31, 2021, consistent with the previous year[67] Financial Ratios - The group has a current liquidity ratio of approximately 1.63 as of December 31, 2021, down from 1.72 in the previous year[57] - The capital debt ratio as of December 31, 2021, was approximately 29%, an increase from 24% in the previous year[57]

Financial Performance - The loss attributable to owners of the Company for the period from January 1, 2021, to June 30, 2021, was approximately HK$1,336,000, compared to a loss of approximately HK$2,495,000 for the same period in 2020[7]. - Revenue for the six months ended June 30, 2021, was HK$16,859,000, an increase of 34.5% compared to HK$12,506,000 for the same period in 2020[63]. - Gross profit for the same period was HK$1,027,000, representing a 6.3% increase from HK$966,000 in 2020[63]. - Profit from operations increased to HK$4,477,000, up 16% from HK$3,860,000 in the previous year[63]. - Loss before taxation improved to HK$1,297,000, a reduction of 46.6% compared to HK$2,429,000 in 2020[63]. - Total comprehensive income for the period was HK$7,999,000, compared to a loss of HK$19,993,000 in the prior year, indicating a significant recovery[65]. - The net translation differences on foreign operations contributed HK$7,744,000 to other comprehensive income, a notable improvement from a loss of HK$11,878,000 in 2020[65]. - The company reported a loss of HK$1,297,000, an improvement from a loss of HK$2,429,000 in the same period of 2020[65]. - The total comprehensive loss for the period was HK$18,789,000, compared to a loss of HK$19,993,000 in the previous year[74]. Property Sales and Development - As of June 30, 2021, 39,241.48 square meters of the gross floor area of the commercial building have been sold, and approximately 20,100 square meters of the gross floor area of the service apartment have been sold[9]. - The total gross floor area of the Jiangning Project is approximately 74,642.00 square meters, including a basement of approximately 14,518.00 square meters and land use rights of approximately 20,050.90 square meters[7]. - The Company is focused on property development and investment, particularly in the Jiangning Development Zone, Nanjing, Jiangsu Province, PRC[7]. - The Group anticipates greater development potential for its properties in Tianjin due to the rapid growth of the logistics and commercial sectors[14]. - The acquisition of the property by Tianjin Jun Hua Logistics is believed to have appreciation potential in value, enhancing the Group's investment portfolio[11]. Financial Position - The Group's equity attributable to owners was approximately HK$490,713,000, reflecting an increase of about 1.6% from HK$483,087,000 at the end of the previous year[16]. - The underlying current ratio was approximately 1.71 as of June 30, 2021, compared to 1.72 on December 31, 2020[16]. - The underlying gearing ratio was approximately 23% as of June 30, 2021, down from 24% at the end of the previous year[16]. - The net current assets were approximately HK$159,497,000 as of June 30, 2021, compared to HK$153,450,000 on December 31, 2020[16]. - The Group's total assets less current liabilities increased to HK$493,736,000 as of June 30, 2021, up from HK$485,912,000 at the end of 2020[67]. - Current assets amounted to HK$385,211,000, reflecting an increase from HK$365,585,000 at the end of 2020[67]. - The Group's total equity as of June 30, 2021, was HK$780,118,000, a slight decrease from HK$800,111,000 at the beginning of the year[74]. Cash Flow and Liquidity - The Group's cash and bank balances decreased to approximately HK$2,982,000 as of June 30, 2021, from HK$18,491,000 at the end of the previous year[16]. - For the six months ended June 30, 2021, the net cash used in operating activities was HK$15,847,000, a significant decrease compared to HK$168,414,000 generated in the same period of 2020[75]. - Cash and cash equivalents at June 30, 2021, were HK$2,982,000, a decrease from HK$159,848,000 at the same date in 2020[75]. - The Group reported a net cash generated from investing activities of HK$3,000 for the six months ended June 30, 2021, compared to HK$98,000 in 2020[75]. Shareholder Information - As of June 30, 2021, Mr. Ye De Chao holds 1,189,290,512 shares, representing 27.85% of the company's issued share capital[29]. - Central Huijin Investment Ltd. and China Construction Bank Corporation both have interests in 1,189,290,512 shares, also accounting for 27.85% of the issued share capital[37][39]. - Expert Ever Limited, owned by Zhang Xiaojun, holds 383,956,000 shares, which is 8.99% of the company's issued share capital[43]. - The total number of issued and fully paid ordinary shares remained unchanged at 4,269,910, with a nominal value of HK$213,496,000 as of June 30, 2021[119]. Operational Highlights - The Group is actively seeking investment opportunities in the PRC to expand its development portfolio and diversify income streams[14]. - The company has not disclosed any new product or technology developments in the interim report[34]. - There are no reported mergers or acquisitions in the interim report[34]. - The company continues to monitor market conditions for potential expansion opportunities[34]. - The report does not provide specific future performance guidance or outlook[34]. Expenses and Costs - General and administrative expenses increased to HK$13,453,000 from HK$8,851,000, reflecting a rise of 52.5%[63]. - Total borrowing costs decreased to HK$5,774,000 from HK$6,289,000, reflecting an 8.2% reduction[84]. - Cost of inventories sold rose to HK$15,653,000 from HK$11,370,000, indicating a 37.5% increase[87]. - The depreciation of right-of-use assets was HK$202,000, slightly up from HK$198,000 in the previous year[87]. Risks and Compliance - The Group had no material foreign exchange exposure risks during the period[19]. - The Group's PRC subsidiaries are subject to a corporate income tax rate of 25%[89]. - The Group did not provide for Hong Kong Profits Tax as there were no estimated assessable profits arising in Hong Kong during the period[89].

Stock Code 股份代號: 600 Annual Report 2020 年度報告 目錄 contents | --- | --- | |--------------------------------------------------------------------------|--------------------------| | Corporate Information | 公司資料 | | Chairman's Statement | 主席報告 | | Management Discussion and Analysis | 管理層討論與分析 | | Corporate Governance Report | 企業管治報告 | | Environmental, Social and Governance Report | 環境、社會及管治報告 | | Directors and Senior Management | 董事及高級管理層 | | Directors' Report | 董事會報告 | | Independent Auditors' Report | 獨立核數師報告 | ...

Financial Performance - For the six months ended June 30, 2020, the company reported a loss attributable to owners of approximately HKD 2,495,000, compared to a loss of approximately HKD 1,695,000 for the same period in 2019[10]. - Revenue for the six months ended June 30, 2020, was HKD 12,506 thousand, a decrease of 50.7% compared to HKD 25,372 thousand in 2019[44]. - Gross profit for the same period was HKD 966 thousand, slightly up from HKD 930 thousand in 2019, indicating a gross margin improvement[44]. - Operating profit decreased to HKD 3,860 thousand from HKD 10,160 thousand, reflecting a decline of 62.0% year-over-year[44]. - The company reported a loss before tax of HKD 2,429 thousand, compared to a loss of HKD 1,540 thousand in the previous year, representing a 57.8% increase in losses[44]. - Total comprehensive loss for the period was HKD 19,993 thousand, significantly higher than HKD 4,100 thousand in 2019, marking an increase of 387.5%[46]. - Basic and diluted loss per share for the period was HKD 0.06, compared to HKD 0.04 in the same period last year[44]. - The company reported a cumulative loss of HKD 163,332,000 as of June 30, 2020, compared to HKD 133,623,000 as of June 30, 2019, indicating an increase in cumulative losses[53]. Assets and Liabilities - The net asset value was approximately HKD 190,415,000, a decrease of about 1.1% from HKD 192,475,000 at the end of 2019[5]. - Cash and bank balances amounted to approximately HKD 159,848,000, significantly up from HKD 2,024,000 at the end of 2019[5]. - The total liabilities secured by properties, plants, and equipment were approximately HKD 117,675,000 as of June 30, 2020, down from HKD 119,962,000 at the end of 2019[24]. - The company's net assets as of June 30, 2020, were HKD 780,118 thousand, down from HKD 800,111 thousand at the end of 2019[50]. - The company's total assets decreased from HKD 851,638,000 as of June 30, 2019, to HKD 800,111,000 as of June 30, 2020, reflecting a decline of approximately 6.0%[53]. - The foreign exchange reserve as of June 30, 2020, was a negative HKD 92,767,000, compared to a negative HKD 58,725,000 as of June 30, 2019, indicating increased foreign exchange losses[57]. Cash Flow - The net cash generated from operating activities for the six months ended June 30, 2020, was HKD 168,414,000, compared to a net cash outflow of HKD 17,229,000 for the same period in 2019[57]. - The cash and cash equivalents as of June 30, 2020, were HKD 159,848,000, down from HKD 523,234,000 as of June 30, 2019, representing a decrease of approximately 69.5%[57]. - The net cash used in financing activities for the six months ended June 30, 2020, was HKD 184,000, compared to HKD 11,700,000 for the same period in 2019, showing a reduction in cash outflow[57]. - The company’s investment activities generated a net cash inflow of HKD 98,000 for the six months ended June 30, 2020, a decrease from HKD 833,000 in the same period of 2019[57]. Shareholder Information - Major shareholders included Central Huijin Investment Ltd. and China Construction Bank Corporation, each holding 27.85% of the issued share capital[33]. - The total issued and paid-up ordinary shares remained at 4,269,910, with a par value of HKD 0.05 as of both June 30, 2020, and December 31, 2019[94]. - The company did not recommend any interim dividend for the six months ended June 30, 2020[83]. Employee and Management - The group has approximately 26 employees in Hong Kong and China as of June 30, 2020, with compensation determined based on employee performance and industry standards[17]. - The total compensation for key management personnel during the period was HKD 448,000, consistent with the same period in 2019[96]. - The company incurred total employee costs of HKD 1,790,000, an increase from HKD 1,442,000 in the previous year[71]. Corporate Governance - The company maintained compliance with the corporate governance code, with the roles of Chairman and CEO held by the same individual to ensure consistent leadership[37]. - The audit committee, composed of three independent non-executive directors, reviewed the financial reporting process and internal controls[41]. - The company has adopted the standard code for securities transactions by directors and confirmed compliance during the reporting period[38]. Business Operations - The company aims to seek investment opportunities in China to expand its future project portfolio and diversify income streams, despite challenges posed by COVID-19[16]. - The total construction area of the Jiangning project is approximately 74,642.00 square meters, which includes about 14,518.00 square meters of basement and approximately 20,050.90 square meters of land use rights[11]. - As of June 30, 2020, approximately 1,600 square meters of commercial building area had been sold and approximately 19,600 square meters had been leased, while about 20,100 square meters of serviced apartment area had been sold[11]. - Segment revenue from property investment was HKD 1,054,000, while revenue from the natural gas segment was HKD 11,452,000[79]. - Revenue from sales of construction materials was HKD 11,452,000, down 53.2% from HKD 24,446,000 year-on-year[68]. - Property management fee income increased to HKD 437,000, up 20.4% from HKD 363,000 in the previous year[68]. - Other income, including interest from bank deposits and compensation income, totaled HKD 18,098,000, a decrease of 4.0% from HKD 18,833,000 in 2019[69]. Risk Management - The company had no significant foreign exchange risk during the period[25]. - The company’s cash and bank balances include approximately HKD 156,063,000 in RMB, highlighting the company's exposure to non-convertible currency risks[89]. - The aging analysis of trade payables indicated that as of June 30, 2020, there were HKD 25,235,000 overdue by more than 90 days, compared to HKD 29,877,000 as of December 31, 2019, showing a reduction of approximately 15%[91]. Other Information - The company reported no significant events after June 30, 2020, indicating stability in operations[97]. - The company has not adopted any new share option schemes since the expiration of the previous scheme on July 11, 2018[30].

Financial Performance - The Group's revenue for the year ended December 31, 2019, was approximately HK$56,935,000, an increase from HK$56,182,000 in 2018, representing a growth of 1.34%[12] - The loss attributable to owners of the Company for the year ended December 31, 2019, was approximately HK$28,909,000, compared to a loss of HK$20,088,000 in 2018, indicating an increase in loss of 43.8%[12] - The Group's revenue for the year ended December 31, 2019, was approximately HK$56,935,000, an increase of about 1.3% compared to HK$56,182,000 for the year ended December 31, 2018[41] - The loss attributable to owners of the Company for the year ended December 31, 2019, was approximately HK$28,909,000, compared to a loss of approximately HK$20,088,000 for the year ended December 31, 2018, indicating an increase in loss of about 43.7%[41] Property Development - As of December 31, 2019, approximately 1,600 square meters of the commercial building in the Jiangning Project have been sold, and approximately 19,600 square meters have been rented out[12] - The total gross floor area of the Jiangning Project is approximately 74,642.00 square meters, including a basement of approximately 14,518.00 square meters[12] - The service apartment component of the Jiangning Project has sold approximately 20,100 square meters[24] - The investment in the Jiangning Project is expected to provide an annual return of not less than 12% of the consideration, ensuring stable revenue streams[25] - Tianjin Hui Li Yuan Power Equipment Co. Ltd. is developing two 4-storey buildings with a total gross floor area of 18,333 square meters, with further construction planned for additional buildings[16] - The Group anticipates greater development potential for the land owned by Tianjin Hui Li Yuan due to the fast development of Tianjin's logistics industry[16] - Tianjin Jun Hua Logistics owns a property with a land use area of 11,331.30 square meters, including a one-storey building of 704.16 square meters and a four-storey building of 10,807.91 square meters[31] - Tianjin Jun Hua Logistics Company Limited owns a property with a land use area of 11,331.30 square meters, which is expected to provide steady rental income amid a low interest rate environment[15] - Tianjin Hui Li Yuan has a land area of approximately 29,012.72 square meters, currently used for industrial purposes, with two buildings under construction totaling 18,333 square meters[32] - The company anticipates greater development potential for the land as Tianjin's logistics and commercial sectors grow[34] Financial Position - As of December 31, 2019, the underlying current ratio was approximately 1.87, down from 2.26 in 2018[50] - The underlying gearing ratio as of December 31, 2019, was approximately 16%, a decrease from 27% in 2018[50] - The Group's equity attributable to owners of the Company was approximately HK$732,376,000, representing a decrease of about 6.3% from HK$781,480,000 at the end of the previous year[50] - Net current assets as of December 31, 2019, were approximately HK$192,475,000, down from HK$356,514,000 in 2018[50] - Cash and bank balances as of December 31, 2019, were approximately HK$2,024,000, significantly reduced from HK$553,114,000 in 2018[50] - The Group had no material contingent liabilities other than certain properties of a subsidiary pledged for a loan obligation of approximately HK$89,400,000[50] Corporate Governance - The Company has adopted its own code on corporate governance practices, ensuring compliance with the Corporate Governance Code throughout the financial year[60] - The Board of Directors consists of three executive directors and three independent non-executive directors, with independent directors representing at least one-third of the Board[76] - The Company held a total of 4 board meetings during the financial year, with all directors achieving a 100% attendance rate[73] - Each independent non-executive director has confirmed their independence annually, in compliance with the Listing Rules[77] - The Company has adopted a code of conduct for directors' securities transactions, ensuring compliance with the Model Code throughout the financial year[66] - All directors participated in continuous professional development programs during the year to enhance their knowledge and skills[79] - The Company has established a sound system of internal control and risk management to protect the interests of all shareholders[70] - The Board is collectively responsible for the success of the Company and is accountable for its management and operations[70] - The Company has appointed independent non-executive directors with appropriate professional qualifications and financial expertise as required by the Listing Rules[76] - Sufficient notices and agendas were provided for board meetings to ensure informed decision-making[71] - The Company has engaged external consultants for independent professional advice on legal matters during the year[66] Committees and Meetings - The Remuneration Committee reviewed the remuneration packages of Directors and Senior Management, including discretionary bonuses based on individual performance and the Group's profitability[95] - As of December 31, 2019, the Remuneration Committee was chaired by Mr. Yu Hong Gao, with a majority of independent non-executive Directors ensuring objective views on remuneration[94] - The Nomination Committee held two meetings during the financial year to select and recommend candidates for directorship based on experience and qualifications[106] - The Board reserves decision-making on major matters, including overall strategies and budgets, ensuring corporate governance principles are maintained[91] - The daily management and operation of the Group are delegated to senior management, with periodic reviews by the Board[92] - The Board has established internal committees, including the Remuneration, Nomination, Audit, and Corporate Governance Committees, to enhance compliance and independence[93] - The attendance rate for the Remuneration Committee meeting was 100% for all members during the financial year[104] - The responsibilities of the Remuneration Committee include determining specific remuneration packages for executive Directors and Senior Management[101] - The corporate governance report emphasizes the separation of roles between the Chairman and Chief Executive Officer to ensure clear responsibilities[89] - The Nomination Committee considers external recruitment professionals when necessary to enhance board diversity and align with corporate strategy[106] - The Nomination Committee held 1 meeting in 2019 with a 100% attendance rate from all members[109] - The Audit Committee conducted 2 meetings during the financial year, achieving a 100% attendance rate from all members[118] - The Corporate Governance Committee held 1 meeting in the financial year, with all members attending at a 100% rate[125] - The Audit Committee reviewed the Group's accounting principles and practices, interim and annual reports, and discussed auditing and internal control matters with external auditors[116] - The Corporate Governance Committee is responsible for developing and reviewing corporate governance policies and practices, ensuring compliance with legal and regulatory requirements[121] - The Chairman of the Audit Committee, Mr. He Jin Geng, is a qualified accountant with relevant financial experience[115] - The Corporate Governance Committee consists of four members, including three independent non-executive Directors and one executive Director[120] - The Nomination Committee assessed the independence of all independent non-executive directors[109] - The Audit Committee made recommendations to the Board regarding the appointment of external auditors and their independence[114] Audit and Risk Management - The Company has implemented a code of conduct applicable to employees and Directors, monitored by the Corporate Governance Committee[121] - For the year ended December 31, 2019, the audit fees paid to external auditors were HK$1,000,000, a decrease from HK$1,180,000 in 2018[1] - The Company has adopted a dividend policy that allows for the declaration and payment of dividends, subject to the Group having distributable profits and not affecting operations[1] - The consolidated financial statements for the year ended December 31, 2019, were reviewed by the Audit Committee and audited by HLB Hodgson Impey Cheng Limited[1] - The Board is responsible for evaluating risks and ensuring effective risk management and internal control systems are in place[1] - The Audit Committee continuously reviews significant risks and internal controls relevant to the Group's operations[1] - An external advisory firm was engaged for the internal audit function, and no significant deficiencies were identified in the internal control system for the year ended December 31, 2019[1] - The risk management and internal control system were deemed reasonably effective and adequate for the year ended December 31, 2019[1] - The Group engaged external consultants for internal audit work to ensure the effectiveness and efficiency of its risk management and internal control systems, with no significant deficiencies found as of December 31, 2019[148] - The Board believes that the risk management and internal control systems cover all significant monitoring areas, including financial, operational, compliance monitoring, and risk management functions, and are deemed reasonable and effective[148] Corporate Communication and Social Responsibility - The Company adopted an amended and restated articles of association on June 21, 2019, which is available on the Company's website and the Stock Exchange's website[160] - The Company held a total of 1 general meeting during the financial year, with attendance records for individual directors documented[170] - The Company maintains a corporate website to enhance effective communication with shareholders, providing timely announcements and relevant financial and non-financial information[162] - The Group is committed to continuous improvements in corporate social responsibility, as highlighted in its Environmental, Social, and Governance (ESG) report for the year ended December 31, 2019[176] - The ESG report is prepared in accordance with the ESG Reporting Guide set out in the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[174] - The Group's ESG report presents policies, initiatives, and performance related to environmental and social aspects, complying with relevant laws and regulations[175] - The Company encourages shareholders to participate in general meetings or appoint proxies to vote on their behalf if unable to attend[169] - The Company has a proactive policy for promoting corporate transparency and communication with shareholders and potential investors through mandatory interim and final reports[159] Environmental Impact - The Group's total greenhouse gas emissions for Scope 2 and Scope 3 during the year ended December 31, 2019, were approximately 46,872 kg and 4,722 kg, respectively[194] - The emission intensity was about 906 kg per million HKD revenue[194] - The Group did not produce any hazardous waste during the reporting period and primarily managed office paper waste[191] - The Group has implemented waste management programs, including recycling of paper materials, printing cartridges, and batteries[191] - The main source of carbon dioxide emissions is from energy use, with established energy-saving initiatives to reduce the carbon footprint[193] - The Group actively encourages staff to protect the environment through training, education, and communication[184] - The Group has complied with local environmental laws and regulations, with no cases of non-compliance reported during the period[185] - The resources used by the Group are mainly attributed to electricity and water consumed at its office, with regular assessments conducted[200] - The Group's environmental policies include measurable objectives communicated to employees[184] - The Group's waste management efforts include encouraging staff to reduce paper consumption through duplex printing and reusing paper[191]

Financial Performance - The loss attributable to owners of the Company for the period from January 1, 2019, to June 30, 2019, was approximately HK$1,695,000, a decrease from HK$3,030,000 in the same period of 2018, mainly due to a significant decrease in share of loss of associates[9]. - For the six months ended June 30, 2019, the company reported revenue of HK$25,372,000, an increase of 83.5% compared to HK$13,832,000 in the same period of 2018[78]. - The gross profit for the same period was HK$930,000, down from HK$1,280,000, indicating a decrease of 27.3%[78]. - The profit from operations was HK$10,160,000, which represents an increase of 7.6% from HK$9,444,000 in the previous year[78]. - The loss for the period was HK$1,540,000, an improvement from a loss of HK$3,243,000 in the same period of 2018, reflecting a reduction of 52.5%[78]. - The total comprehensive loss for the period was HK$4,100,000, compared to HK$12,013,000 in the previous year, showing a significant decrease of 65.9%[80]. - The company incurred finance costs of HK$11,700,000, slightly reduced from HK$12,500,000 in the previous year[78]. - The share of results of associates showed a loss of HK$2,669,000, an improvement from a loss of HK$4,634,000 in the same period of 2018[78]. - General and administrative expenses were HK$6,934,000, which is an increase from HK$6,311,000 in the previous year[78]. - The company reported a loss before taxation of HK$1,540,000 for the six months ended 30 June 2019, compared to a loss of HK$3,056,000 for the same period in 2018[145][151]. Assets and Liabilities - As of June 30, 2019, the Group's current ratio was approximately 2.09, down from 2.26 as of December 31, 2018[21]. - The underlying gearing ratio was approximately 28% as of June 30, 2019, compared to 27% as of December 31, 2018[21]. - The equity attributable to owners of the Company was approximately HK$777,338,000, a decrease of approximately 0.5% from HK$781,480,000 at the end of the previous year[22]. - The net current assets were approximately HK$355,914,000 as of June 30, 2019, slightly down from HK$356,514,000 as of December 31, 2018[22]. - Cash and bank balances were approximately HK$523,234,000 as of June 30, 2019, compared to HK$553,114,000 as of December 31, 2018[22]. - Total assets less current liabilities amounted to HK$855,602,000, a slight decrease from HK$859,716,000 as of December 31, 2018[82]. - The company's net assets stood at HK$847,538,000 as of June 30, 2019, down from HK$851,638,000 at the end of 2018[82]. - Total equity attributable to owners of the company was HK$777,338,000, a decrease from HK$781,480,000[82]. - Cash and cash equivalents totaled HK$523,234,000 as of June 30, 2019, down from HK$553,114,000 at the end of 2018, indicating a decrease of 5.4%[171]. - Trade creditors increased to HK$37,418,000 as of June 30, 2019, from HK$13,153,000 at the end of 2018, representing a growth of 184.5%[176]. Investments and Revenue Streams - The investment from the subscription agreement is expected to provide an annual return of not less than 12% of the consideration, generating stable revenue streams for the Group[12]. - Tianjin Jun Hua Logistics Company Limited owns a property with a land use area of 11,331.30 square meters, which is expected to provide steady rental income amid the current low interest rate environment[13]. - As of June 30, 2019, approximately 1,600 square meters of the commercial building have been sold at an average selling price of approximately RMB 37,100 per square meter, while approximately 9,100 square meters have been rented out[11]. - The service apartment building, with approximately 20,100 square meters of gross floor area, was sold at an average selling price of approximately RMB 12,300 per square meter as of June 30, 2019[11]. - Rental income from leasing properties decreased to HK$563,000, down 40.7% from HK$947,000 in 2018[132]. - Property management fee income was HK$363,000, a slight increase of 4.9% from HK$346,000 in 2018[132]. - Sales of construction materials significantly increased to HK$24,446,000, up 95.5% from HK$12,539,000 in 2018[132]. - Other income for the period was HK$18,833,000, a decrease of 1.4% from HK$19,109,000 in 2018[134]. Corporate Governance and Compliance - The Company has maintained corporate governance provisions in its articles of association[69]. - The company has complied with all code provisions set out in the Corporate Governance Code for the six months ended June 30, 2019[72]. - The Audit Committee has reviewed the financial reporting process and internal control system, confirming no disagreements with the accounting principles adopted by the Group[76]. - The company did not recommend any interim dividend for the six months ended 30 June 2019, consistent with the previous year[150][154]. - The Group did not provide for Hong Kong Profits Tax as there were no estimated assessable profits arising in Hong Kong during the period[140]. Shareholding and Management - As of June 30, 2019, Mr. Ye De Chao holds 1,189,290,512 shares, representing 27.85% of the issued share capital of the Company[38]. - Central Huijin Investment Ltd. and China Construction Bank Corporation each hold 1,189,290,512 shares, also representing 27.85% of the issued share capital[52][54]. - Expert Ever Limited, owned by Zhang Xiaojun, holds 383,956,000 shares, which is 8.99% of the issued share capital[58][59]. - The Company has not adopted a new share option scheme since the previous one expired on July 11, 2018[49]. - No directors or chief executives had any other interests or short positions in the Shares or debentures of the Company as of June 30, 2019[44]. - The interests of the directors and chief executive were required to be notified to the Company and the Stock Exchange under the Securities and Futures Ordinance[39]. Cash Flow and Financial Position - For the six months ended June 30, 2019, net cash generated from operating activities was HK$ (17,229,000), a decrease from HK$ 42,055,000 in 2018, indicating a significant decline in operational cash flow[88]. - Net cash generated from investing activities was HK$ 833,000, down from HK$ 1,109,000 in the same period last year, reflecting reduced investment income[88]. - Net cash used in financing activities was HK$ (11,700,000), slightly improved from HK$ (12,500,000) in 2018, showing a marginal reduction in financing outflows[88]. - The total cash and cash equivalents at June 30, 2019, were HK$ 523,234,000, down from HK$ 662,034,000 at the same time last year, representing a decrease of approximately 21%[88]. - The effect of foreign exchange rate changes on cash and cash equivalents was a decrease of HK$ (1,784,000), compared to a decrease of HK$ (5,550,000) in 2018, indicating improved stability in foreign exchange impacts[88]. Lease Accounting - The Group adopted HKFRS 16 "Leases" on January 1, 2019, requiring recognition of right-of-use assets and lease liabilities for all leases, except for short-term leases and low-value leases[118]. - The Group recognized lease liabilities at the present value of remaining lease payments, discounted using the implicit interest rate or incremental borrowing rate[118]. - As of January 1, 2019, the carrying amount of right-of-use assets related to operating leases was HK$1,774,000[128]. - The Group applied practical expedients, including not recognizing lease liabilities for leases ending within 12 months from the initial application date[123]. - Lease payments for short-term and low-value leases are recognized in profit or loss on a straight-line basis over the lease term[118]. - The Group's right-of-use assets are presented as a separate line item on the consolidated statement of financial position[118]. Future Outlook - The management anticipates greater development potential for land in Tianjin due to the rapid growth of the logistics and commercial sectors[19]. - The Group will continue to seek investment opportunities in the PRC to expand its development portfolio[19]. - The company is primarily engaged in property development and investment, as well as natural gas business, which are key areas of focus for future growth[92]. - The interim report indicates a need for the company to explore new strategies for market expansion and product development to improve financial outcomes[92].