香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於百慕達註冊成立之有限公司） （股份代號：620） 截至二零二三年六月三十日止六個月之中期業績 大唐西市絲路投資控股有限公司（「本公司」）之董事會（「董事會」）公佈本公司及其附屬公 司（統稱「本集團」）截至二零二三年六月三十日止六個月之未經審核中期業績，連同比較 數字如下： 簡明綜合損益及其他全面收益表 截至二零二三年六月三十日止六個月 截至六月三十日止六個月 二零二三年 二零二二年 附註 港幣千元 港幣千元 （未經審核） （未經審核） 收益 來自客戶合約之收益 4 4,390 546,476 預付委託方款項之利息收入 4 17,218 16,246 ...

Financial Performance - The total revenue for the year ended December 31, 2022, was approximately HKD 1,134,300,000, an increase of about 956.1% compared to HKD 107,400,000 in 2021[13] - The profit attributable to the owners of the company for the year was approximately HKD 186,400,000, compared to a loss of HKD 34,400,000 in the previous year[13] - The property development segment contributed approximately HKD 1,090,100,000 in revenue and approximately HKD 479,500,000 in profit before tax, significantly up from HKD 48,500,000 and HKD 4,800,000 respectively in 2021[14] - The increase in revenue and profit is primarily attributed to the rise in property sales during the year[13] - The total sales value of properties sold in 2022 amounted to approximately RMB 933.4 million (equivalent to about HKD 1,088.2 million) from two commercial buildings and several commercial areas[15] Dividend Policy - The company did not recommend the payment of a dividend for the year ended December 31, 2022[8] - The group did not recommend any dividend for the fiscal year ending December 31, 2022, consistent with the previous year[61] Business Strategy and Development - The company plans to focus on "cultural + technology" industry development and actively engage in the operation of digital cultural and artistic products[11] - The company aims to enhance its competitiveness in the real economy, improve technology innovation conversion capabilities, and strengthen project management and execution[11] - The company aims to explore more collaboration opportunities and develop cultural industries in Hainan and Xi'an, including participation in international art trading platforms and the issuance of digital art collectibles[24] - The company is committed to high-quality development and will continue to adapt to market changes and challenges[11] Operational Performance - The art and culture segment generated revenue of approximately HKD 37.6 million in 2022, a decrease from HKD 49.1 million in 2021, with a segment loss before tax of approximately HKD 29.9 million[16] - The wine and trade segment reported revenue of approximately HKD 6.6 million in 2022, down from HKD 9.9 million in 2021, but the loss before tax decreased to approximately HKD 9.6 million from HKD 29 million[22] - The company plans to commence leasing activities in the second quarter of 2023 following the completion of the first phase of the commercial area, which is expected to generate stable rental income[24] Risk Management - The company has established a multi-layer internal approval system to closely monitor the recoverability of its loan portfolio, including regular reviews of collateral and communication with clients[20] - The company has implemented a risk management policy to assess and manage significant risks, including hiring external professionals for annual reviews[30] - The company faces strategic risks, including adverse external events and the inability to respond timely, as well as competition in the property development and auction markets[26] - The group is exposed to operational risks, including project completion delays and potential damage or theft of consigned artworks[32] Financial Position - As of December 31, 2022, the total cash and cash equivalents amounted to approximately HKD 102,800,000, an increase of about HKD 74,700,000 from HKD 28,100,000 on December 31, 2021[30] - The group's capital debt ratio was approximately 117.3% as of December 31, 2022, down from 142.1% in 2021[31] - The group reported a foreign exchange loss of approximately HKD 56,700,000 for the year ended December 31, 2022, compared to a gain of HKD 17,400,000 in 2021[34] - The group's contingent liabilities included potential claims of approximately HKD 900,000 related to non-compliance issues, down from HKD 2,400,000 in 2021[36] - As of December 31, 2022, the group's capital commitments were approximately HKD 725,100,000, a decrease from HKD 870,800,000 in 2021[37] - The group had outstanding mortgage borrowings of approximately HKD 1,519,300,000 as of December 31, 2022, reduced from HKD 1,659,100,000 in 2021[30] Corporate Governance - The board consists of eight members, including five executive directors and three independent non-executive directors[116] - The company has adopted a board diversity policy to enhance governance and achieve sustainable development, with a commitment to appoint a female director by December 31, 2024[118] - The board is responsible for leading and monitoring the company, ensuring effective decision-making and accountability[123] - The independent non-executive directors provide independent judgment and opinions on strategic decisions and risk management[120] - The company has implemented a framework for strong governance and effective risk management systems[113] Shareholder Engagement - The company emphasizes timely and transparent communication with shareholders, maintaining a dedicated website for financial reports and shareholder communications[147] - Shareholders are encouraged to participate in annual general meetings to communicate with the board, with provisions for written inquiries to the company secretary[148] - The company has a structured approach to shareholder rights, allowing for written requests to propose resolutions at general meetings[149] Environmental, Social, and Governance (ESG) Initiatives - The company submitted its 2022 Environmental, Social, and Governance (ESG) report, complying with all "comply or explain" provisions as of December 31, 2022[156] - The report covers the company's overall environmental and social performance in property development, e-commerce, and wine operations for the fiscal year 2022[157] - The company aims to achieve environmental sustainability and promote diversity and inclusion in the workplace as part of its sustainable development strategy[173] - The board is responsible for the overall sustainability of the company and reviews the annual ESG report at least once a year[166] Sustainability Efforts - The group achieved a total greenhouse gas emission of 586.60 tons of CO2 equivalent (tCO2e) during the reporting period, a decrease of 3.42% compared to 607.37 tCO2e in 2021[187] - The annual greenhouse gas emission intensity was 0.52 tCO2e per HKD 1,000 revenue, a significant reduction of nearly 91% from 5.66 tCO2e in 2021[187] - The group implemented effective dust control measures at construction sites, including water mist spraying and vehicle wheel cleaning, to minimize dust generation[185] - The group has adopted a waste management plan to separate and recycle construction waste, aligning with local regulations[194] - The group aims to reduce overall emission intensity by 10% within 10 years, targeting 2031[195]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於百慕達註冊成立之有限公司） （股份代號：620） 截至二零二二年十二月三十一日止年度之全年業績 大唐西市絲路投資控股有限公司（「本公司」）之董事會（「董事會」）公佈本公司及其附屬公 司（統稱「本集團」）截至二零二二年十二月三十一日止年度之全年業績，連同比較數字如 下： 綜合損益及其他全面收益表 截至二零二二年十二月三十一日止年度 二零二二年 二零二一年 附註 港幣千元 港幣千元 收益 來自客戶合約之收益 5 1,096,684 65,822 預付委託方款項之利息收入 5 34,884 39,158 租金總收入 5 2,696 2,424 ...

Financial Performance - For the six months ended June 30, 2022, DTXS Silk Road Investment Holdings recorded revenue of approximately HKD 564.2 million, a significant increase from HKD 78.5 million for the same period in 2021[6]. - The profit for the same period reached approximately HKD 130 million, compared to HKD 6.8 million in the previous year, primarily due to increased property sales[6]. - The total revenue for the same period was HKD 564,221,000, compared to HKD 78,547,000 in the previous year, indicating a substantial increase of 619%[69]. - The company achieved a profit before tax of HKD 270,110,000, up from HKD 19,350,000 year-on-year, marking an increase of 1,396%[69]. - The net profit for the period was HKD 129,957,000, compared to HKD 6,810,000 in the prior year, reflecting a growth of 1,810%[69]. - The company’s total assets as of June 30, 2022, were HKD 3,374,854,000, an increase from HKD 3,222,081,000 at the end of the previous year[87]. - The company’s cash and cash equivalents rose to HKD 234,418,000 from HKD 28,124,000, showing a significant increase of 733%[87]. - The company reported a significant increase in income tax expenses, totaling HKD 140,153,000 compared to HKD 12,540,000, an increase of 1,117.73%[144]. Revenue Breakdown - The property development segment contributed approximately HKD 543.4 million in revenue, up from HKD 47.9 million in the same period of 2021, with a segment profit of approximately HKD 298.5 million compared to HKD 23.1 million previously[14]. - Revenue from property sales amounted to HKD 543,407,000, compared to HKD 47,910,000 in the previous year, indicating a growth of approximately 1,134%[123]. - The art and culture segment generated revenue of approximately HKD 17.8 million, down from HKD 27.8 million in the previous year, with a segment loss of approximately HKD 3.1 million compared to a profit of HKD 15 million in 2021[7]. - The wine and trade segment reported revenue of approximately HKD 3 million, slightly up from HKD 2.9 million in the previous year, but incurred a segment loss of approximately HKD 4.1 million compared to HKD 8.8 million in 2021[10]. - The auction and related services segment generated revenue of HKD 21,000, down from HKD 5,533,000, indicating a decline of about 99%[123]. Cash Flow and Assets - The net cash flow from operating activities for the six months ended June 30, 2022, was HKD 367,643,000, compared to a negative cash flow of HKD 463,100,000 in the same period last year[96]. - The total cash and cash equivalents increased by HKD 249,921,000, compared to a decrease of HKD (150,635,000) in the previous year[96]. - As of June 30, 2022, the total equity attributable to equity holders of the company was HKD 1,325,420,000, up from HKD 1,224,227,000 at the end of the previous year[93]. - The company’s reserves included approximately HKD 872,427,000 as of June 30, 2022, compared to HKD 813,801,000 at the end of the previous year[93]. - The company’s total assets in Mainland China as of June 30, 2022, were HKD 351,342,000, compared to HKD 368,911,000 at the end of 2021[120]. Shareholder Information - As of June 30, 2022, the total number of issued shares of the company was 667,525,230 shares[36]. - Mr. Lu Jianzhong holds 503,156,570 shares, representing approximately 75.38% of the total shareholding[1]. - Datang Xishi International Holdings Limited owns 494,660,570 shares, accounting for 74.10% of the total shareholding[40]. - The company has a total of 111,187,538 related shares potentially to be sold to Datang Xishi International Holdings under a put option agreement[3]. - The shares held by Datang Xishi International Holdings are pledged to third-party lenders as collateral[34]. Debt and Liabilities - The outstanding secured borrowings as of June 30, 2022, were approximately HKD 1.574 billion, down from HKD 1.659 billion as of December 31, 2021[18]. - The group's capital debt ratio as of June 30, 2022, was approximately 111.1%, down from 142.1% as of December 31, 2021[19]. - The company has capital commitments of HKD 960,246,000, an increase from HKD 870,769,000 as of December 31, 2021[173]. - Total liabilities decreased to HKD 630,029,000 from HKD 648,824,000, with current liabilities at HKD 628,851,000[159]. - Interest-bearing loans totaled HKD 1,573,930,000, down from HKD 1,659,062,000 as of December 31, 2021[165]. Business Strategy and Development - The company is establishing an art central business district in Xi'an, aimed at providing comprehensive services for art and collectibles, and is expected to create synergies with the Silk Road International Cultural Center[9]. - The company plans to enhance its wine distribution channels and promotional activities in Hong Kong, mainland China, and Europe to increase profitability and brand awareness[13]. - The company is focusing on cultural industry development, including art trading and digital assets like NFTs and digital artworks[17]. - The company has adjusted its auction business model and marketing strategies in response to challenges posed by the COVID-19 pandemic, including the organization of online auctions[8]. Corporate Governance - The company’s board is committed to maintaining high standards of corporate governance, which is crucial for enhancing corporate value and accountability to shareholders[65]. - The company has not proposed any interim dividend for the six months ended June 30, 2022[29]. - The company did not recommend an interim dividend for the period, consistent with the previous year[145].

Financial Performance - Total revenue for the year ended December 31, 2021, was approximately HKD 107.4 million, a decrease of 44.4% from HKD 193.1 million in 2020[12] - The company reported a loss attributable to owners of approximately HKD 33.7 million, compared to a profit of HKD 32.6 million in 2020[12] - The group recorded a loss of approximately HKD 34.4 million for the year ended December 31, 2021, compared to a profit of approximately HKD 30.2 million in 2020[22] - The arts and culture segment contributed approximately HKD 49.1 million in revenue, down from HKD 75.5 million in 2020, with a segment profit before tax of approximately HKD 23.6 million, down from HKD 49.3 million[23] - The wine and trade segment generated approximately HKD 9.9 million in revenue, a significant decrease from HKD 107.7 million in 2020, and recorded a segment loss before tax of approximately HKD 29 million[24] - The property development segment contributed approximately HKD 48.5 million in revenue, up from HKD 10 million in 2020, with a segment profit before tax of approximately HKD 4.8 million, compared to a loss of HKD 4.4 million in 2020[26] Dividend Policy - The company does not recommend the payment of a dividend for the year ended December 31, 2021[12] - The board does not recommend the payment of dividends for the year ended December 31, 2021, consistent with the previous year[77] - The company has adopted a dividend policy that considers financial performance, retained earnings, and capital expenditure needs before declaring dividends[77] - The board will review the dividend policy as necessary, considering applicable laws and regulations[77] Strategic Development - The company is nearing completion of two office buildings in the DTXS Silk Road International Financial Center project, with one building already sold[15] - The Hainan International Cultural and Art Trading Center commenced operations in June 2021, seeking development cooperation opportunities in various fields[15] - The company plans to continue the development of digital cultural and artistic products, leveraging technologies for authentication, traceability, and digital asset transactions[15] - The company aims to complete the remaining construction and sales of properties in the DTXS Silk Road International Financial Center project[16] - The focus will be on the "one heart, two bodies" strategy, emphasizing the international cultural and art trading center and the cultural tourism complex[16] - The company is committed to enhancing its digital economy and cultural industry, aiming for significant growth and strength in its operations[16] - The year 2022 is seen as a critical year for transformation and upgrading, aligning with national development goals[16] - The group plans to develop a comprehensive cultural and artistic operation center in Xi'an, with a total construction area of approximately 260,000 square meters[27] - The group aims to explore cooperation opportunities and focus on cultural product development amidst ongoing economic challenges and the impact of COVID-19[28] Risk Management - The group faces various risks, including strategic, operational, financial, and compliance risks, and has implemented a risk management policy to address these challenges[33] - The group's capital debt ratio as of December 31, 2021, was approximately 142.1%, significantly up from 44.8% in 2020[36] - The group has established a risk management policy to identify, assess, and manage significant risks, with senior management reviewing these risks at least once a year[189] - The board of directors is responsible for assessing and determining the nature and extent of risks while overseeing the effectiveness of the risk management and internal control systems, reviewed at least annually[189] - An external consulting firm has been engaged to conduct an annual review of the internal control system, with risk management and internal control reports submitted to the audit committee at least annually[189] Shareholder Communication - The company emphasizes timely, accurate, and transparent communication with shareholders and has adopted a shareholder communication policy available on its website[190] - The company maintains ongoing dialogue with shareholders, particularly through annual general meetings and other shareholder meetings[190] - Shareholders have the right to submit written inquiries to the board and are encouraged to participate in shareholder meetings[192] - Shareholders can propose resolutions at shareholder meetings if they represent at least 5% of the voting rights or a minimum of 100 shareholders[193] Corporate Governance - The company has complied with the corporate governance code as stipulated by the Hong Kong Stock Exchange[149] - The board consists of eight members, including five executive directors and three independent non-executive directors[152] - The company has established four board committees: audit, remuneration, nomination, and investment committees, each with defined responsibilities[163] - The independent non-executive directors confirmed their independence as per the listing rules[156] - The audit committee held two meetings during the fiscal year, reviewing the financial reporting system and internal control systems[167] - The remuneration committee also conducted two meetings, reviewing the remuneration of directors and senior management, with recommendations submitted to the board for approval[168] - The nomination committee is tasked with reviewing the composition of the board and establishing procedures for the nomination and appointment of directors[169] - The company has adopted a remuneration policy that ensures transparency and prevents conflicts of interest in the determination of director remuneration[168] Employee Management - The group had approximately 109 employees as of December 31, 2021, down from 125 in 2020[39] - The group is focused on enhancing employee productivity through performance-based compensation and incentives[39] - Employee contributions are highly valued, and the group regularly reviews compensation and benefits to attract and retain talent[72] - All directors are required to participate in ongoing professional development to ensure they contribute informed and relevant insights to the board[161] Financial Position - As of December 31, 2021, the total cash and cash equivalents amounted to approximately HKD 28,100,000, a decrease of about HKD 165,300,000 from HKD 193,400,000 as of December 31, 2020[35] - The foreign exchange gains from overseas operations for the year ended December 31, 2021, were approximately HKD 17,400,000, down from HKD 41,700,000 in 2020[38] - The group's contingent liabilities as of December 31, 2021, included potential claims from property buyers amounting to approximately HKD 2,400,000 and guarantees provided to banks totaling approximately HKD 537,400,000[42] - The group's capital commitments as of December 31, 2021, were approximately HKD 870,800,000, a decrease from HKD 1,343,600,000 in 2020[43] - The company’s financial statements are prepared in accordance with Hong Kong Financial Reporting Standards and reflect a true and fair view of the group's financial position as of December 31, 2021[183]

Financial Performance - The company recorded revenue of approximately HKD 78.5 million for the six months ended June 30, 2021, a decrease of 46.5% compared to HKD 147.4 million for the same period in 2020[6]. - Profit for the period reached approximately HKD 68 million, significantly up from HKD 26.9 million in the same period last year[6]. - Total revenue for the period was HKD 78,547,000, a decline of 46.8% compared to HKD 147,382,000 in the previous year[72]. - Revenue from customer contracts for the six months ended June 30, 2021, was HKD 56,330,000, a decrease of 51.3% from HKD 115,822,000 in the same period of 2020[72]. - The group reported a pre-tax profit of HKD 20,358,000 for the six months ended June 30, 2021, compared to HKD 18,557,000 for the same period in 2020, an increase of 9.7%[124]. - The company reported a basic earnings per share of HKD 0.55 for the period, down from HKD 4.14 in the previous year[78]. - The company recorded a total tax expense of HKD 12,540,000 for the six months ended June 30, 2021, compared to a tax credit of HKD 1,620,000 for the same period in 2020[128]. - Total comprehensive income for the period was HKD 13,203,000, compared to HKD 16,208,000 in the previous year, reflecting a decrease of 18.4%[77]. Segment Performance - The arts and culture segment generated revenue of approximately HKD 27.8 million, down from HKD 44.7 million in the previous year, with a segment profit before tax of HKD 15 million compared to HKD 28.3 million[7]. - The auction business faced challenges due to COVID-19, leading to a decrease in commission income to approximately HKD 13.5 million compared to the previous year[8]. - The wine and trade segment was restructured, contributing revenue of approximately HKD 2.9 million, a significant drop from HKD 102.4 million, with a segment loss before tax of HKD 8.8 million compared to a loss of HKD 0.8 million in the prior year[10]. - The property development segment reported revenue of approximately HKD 47.9 million, a substantial increase from HKD 0.3 million, with a profit before tax of HKD 23.1 million compared to a loss of HKD 2.1 million in the previous year[15]. - The wine and trade segment reported a loss of HKD 8,802,000 for the six months ended June 30, 2021, highlighting challenges in this area[103]. Cash Flow and Financial Position - As of June 30, 2021, the group's cash and bank balances totaled approximately HKD 39,400,000, a decrease of about HKD 154,000,000 from HKD 193,400,000 on December 31, 2020[19]. - The net cash flow used in operating activities for the six months ended June 30, 2021, was HKD (463,100,000), compared to HKD (72,217,000) for the same period in 2020, indicating a significant increase in cash outflow[88]. - The company reported a net cash outflow from investing activities of HKD (101,980,000) for the six months ended June 30, 2021, compared to HKD (241,212,000) in the previous year, showing a decrease in cash used for investments[88]. - Financing activities generated a net cash inflow of HKD 414,445,000 for the six months ended June 30, 2021, a substantial increase from HKD 39,171,000 in the same period of 2020[88]. - The company's total non-current liabilities, including interest-bearing loans and deferred tax liabilities, stood at HKD 412,993,000 as of June 30, 2021[83]. - The company's net asset value increased to HKD 1,251,985,000 as of June 30, 2021, compared to HKD 1,241,716,000 at the end of 2020, indicating a positive trend in asset management[83]. Shareholding and Corporate Governance - Datang Xishi International Holdings Limited holds 383,473,032 shares, representing approximately 57.34% of the total issued shares[1]. - The major shareholder, Mr. Lü Jianzhong, owns approximately 50.60% of Datang Xishi Cultural Industry Investment Group Limited[1]. - The company has a significant concentration of ownership, with Datang Xishi International Holdings and its affiliates controlling approximately 74.10% of the shares[44]. - The shareholding structure indicates a high level of control by a few major shareholders, which may impact corporate governance and decision-making[46]. - The company has granted put options to Ion Tech, which could affect future share distribution depending on the exercise of these options[48]. Business Development and Future Plans - The company is developing a cultural and arts center in Xi'an, which will include a comprehensive range of functions for art and collectibles[9]. - The company plans to establish various distribution channels and promotional activities for its wine business in Hong Kong, mainland China, and Europe[14]. - The company is confident in completing the development of the Silk Road International Cultural Center, which will include three office buildings and a shopping mall[16]. Employee and Management Information - The company employed approximately 133 staff members as of June 30, 2021, an increase from 125 on December 31, 2020[25]. - The company appointed a new CEO with an annual salary of HKD 2,700,000 effective September 1, 2021[69]. - Total compensation for key management personnel was HKD 3,487,000 for the period, down from HKD 5,492,000 in the previous year, indicating a decrease of 36.5%[184]. Risks and Liabilities - The group recorded foreign exchange gains of approximately HKD 6,400,000 from overseas operations for the six months ended June 30, 2021, down from HKD 41,700,000 for the previous period[24]. - The group’s contingent liabilities included potential claims of approximately HKD 2,100,000 related to non-compliance issues and guarantees totaling approximately HKD 538,200,000[26]. - The group does not anticipate facing claims based on the guarantees provided and has not recognized any provisions for potential liabilities[179].

Financial Performance - The total revenue for the year ended December 31, 2020, was approximately HKD 193.1 million, a decrease of 18% compared to HKD 235.4 million in 2019[13]. - The profit attributable to the owners of the company was approximately HKD 32.6 million, significantly up from HKD 10.3 million in 2019, indicating a growth of 216%[13]. - The group's revenue for the year was approximately HKD 193,100,000, a decrease of about 18% compared to HKD 235,400,000 in 2019, primarily due to reduced sales of goods[19]. - Profit for the year was approximately HKD 30,200,000, an increase of about 268% compared to HKD 8,200,000 in 2019[19]. - The arts and culture segment contributed approximately HKD 75,500,000 in revenue, up from HKD 55,200,000 in 2019, with a segment profit before tax of approximately HKD 49,300,000, compared to HKD 20,700,000 in 2019[20]. - The wine and trade segment generated approximately HKD 107,700,000 in revenue, down from HKD 180,200,000 in 2019, and recorded a segment loss before tax of approximately HKD 6,200,000, compared to a loss of HKD 5,800,000 in 2019[21]. - The property development segment contributed approximately HKD 10,000,000 in revenue, with a segment loss before tax of approximately HKD 4,400,000[22]. Strategic Development - The company focused on strategic development by injecting quality assets from the parent group into its operations, aiming for transformation and innovation[14]. - The company plans to deepen its focus on the "international cultural and artistic trading center" and "cultural tourism complex" as part of its strategic goals for 2021[17]. - The company aims to leverage its resources for strategic synergy and investment in the real economy to enhance its capital operation returns[17]. - The company is optimistic about future expansion prospects and project breakthroughs in its strategic initiatives[14]. Business Operations - The auction business shifted to online platforms due to the pandemic, achieving a transaction rate of 73% during the "2021 New Year Art Auction" with over 1,000 lots[16]. - The wine business expanded its product coverage in Hong Kong, mainland China, Japan, Southeast Asia, and Europe, contributing to continuous sales growth[16]. - The company has adjusted its business strategy in response to the COVID-19 pandemic, focusing on online auctions and optimizing financial performance[20]. - The company will continue to explore opportunities in collaboration with strategic partners to expand its business network[25]. Acquisitions and Investments - The company completed the acquisition of 100% of the issued share capital of Hong Kong Datang Xishi Industrial Holdings Limited on March 12, 2020, which indirectly holds approximately 69.97% equity in Xi'an Datang Xishi Industrial Co., Ltd.[28]. - The company sold its wholly-owned subsidiary Taiyuan Development Limited for HKD 16,756,000, with the transaction completed on February 3, 2020[28]. - The company acquired a 30% stake in Taifu Limited for approximately HKD 4,780,000 on February 18, 2021, making it the sole beneficial owner of Taifu[37]. - The company completed the acquisition of Hong Kong Datang West Market Holdings Limited on March 12, 2020, focusing on property investment and development[64]. Financial Position - As of December 31, 2020, the total cash and cash equivalents amounted to approximately HKD 193,400,000, a decrease of about HKD 156,700,000 from HKD 350,100,000 on December 31, 2019[34]. - The company's capital debt ratio as of December 31, 2020, was approximately 44.8%, compared to not applicable in 2019[36]. - The company's contingent liabilities as of December 31, 2020, included potential claims of approximately HKD 3,100,000 related to property buyers and guarantees totaling approximately HKD 538,000,000 provided to banks[40]. - The company's capital commitments as of December 31, 2020, were approximately HKD 1,343,600,000, compared to HKD 148,700,000 in 2019[41]. Management and Governance - The company employed approximately 125 staff members as of December 31, 2020, an increase from 87 in 2019[39]. - Yang Xingwen appointed as executive director in December 2015, with extensive financial accounting experience[46]. - Xu Zhihong became the co-CEO on September 1, 2020, and has a strong background in financial strategy planning[49]. - Huang Guodun served as CEO since November 2015, bringing rich financial and accounting experience from various industries[50]. - The company has appointed independent non-executive directors with annual remuneration of HKD 300,000 each, with terms starting from May 29, 2020, and September 1, 2020, respectively[90]. - The board of directors consists of eight members, including five executive directors and three independent non-executive directors[154]. Risk Management - The company faced various operational risks, including risks related to art authentication and valuation, as well as the inability to retain key management personnel[32]. - The company has established a risk management policy to identify, assess, and manage significant risks[191]. - The company has a risk mitigation plan for identified significant risks and assigns responsible personnel[191]. Shareholder Communication - The company emphasizes timely and accurate communication with shareholders and the investment community, ensuring transparency in its operations[192]. - The company encourages shareholder participation in annual general meetings to provide opportunities for communication with the board[195]. - Shareholders have the right to submit written requests for resolutions to be proposed at general meetings, requiring at least 5% of total voting rights or 100 shareholders[196]. - The company maintains a website as a platform for communication with shareholders, providing access to financial reports and other business information[192].

Financial Performance - The company recorded revenue from continuing operations of approximately HKD 147.4 million for the six months ended June 30, 2020, compared to HKD 88.4 million for the same period in 2019, representing a year-over-year increase of 66.5%[7]. - Profit for the period reached approximately HKD 26.9 million, a significant increase from HKD 3 million in the same period of 2019, marking an increase of 796.7%[7]. - Revenue from customer contracts reached HKD 115,822,000, a 62.0% increase from HKD 71,410,000 in the previous year[87]. - Total income, including interest from prepaid contracts and rental income, amounted to HKD 147,382,000, up 66.5% from HKD 88,430,000 year-on-year[87]. - The total comprehensive income for the period was HKD 16,208,000, significantly higher than HKD 1,413,000 in the previous year[90]. - The company reported a profit attributable to equity holders of HKD 27,664,000, compared to HKD 3,124,000 in the previous year[90]. - The company reported a pre-tax loss of HKD 8,439,000 for the six months ended June 30, 2019, indicating a turnaround in performance for the current reporting period[141]. - The company reported a profit of HKD 27,664,000 for the six months ended June 30, 2020, compared to a profit of HKD 3,124,000 in the same period of 2019, representing a significant increase[174]. Segment Performance - The arts and culture segment contributed approximately HKD 44.7 million in revenue, up from HKD 21.1 million in 2019, with a pre-tax profit of approximately HKD 28.3 million compared to HKD 5.2 million in the previous year[8]. - The e-commerce segment generated revenue of approximately HKD 102.1 million, an increase from HKD 65.9 million in 2019, although pre-tax profit decreased to approximately HKD 300,000 from HKD 400,000[14]. - The wine segment reported revenue of approximately HKD 300,000, down from HKD 1.4 million in 2019, with a pre-tax loss of approximately HKD 1.1 million compared to a loss of HKD 500,000 in the previous year[11]. - The property development segment reported revenue of approximately HKD 300,000, with a pre-tax loss of approximately HKD 2.1 million, as this segment was newly established[16]. - Revenue from external customers in the cultural segment reached HKD 14,720,000, while the e-commerce segment generated HKD 102,057,000, contributing to a total of HKD 117,354,000 from external customers[139]. Cash Flow and Financial Position - As of June 30, 2020, the company's bank balance and cash totalled approximately HKD 56.4 million, a decrease of about HKD 293.7 million from HKD 350.1 million on December 31, 2019[21]. - The net cash flow used in operating activities for the six months ended June 30, 2020, was HKD (72,217,000), compared to HKD (31,193,000) for the same period in 2019, indicating a significant increase in cash outflow[101]. - The net cash flow used in investing activities for the six months ended June 30, 2020, was HKD (243,516,000), a substantial decrease from HKD 4,569,000 in 2019, reflecting increased investment expenditures[101]. - The net cash flow from financing activities for the six months ended June 30, 2020, was HKD 39,171,000, compared to HKD 672,000 in 2019, showing a notable improvement in financing activities[101]. - The total liabilities for current liabilities were HKD 1,110,542,000, a significant increase from HKD 91,655,000 in the previous year[92]. - The net asset value was HKD 1,183,701,000, down from HKD 1,272,817,000 at the end of the previous year[95]. - The company reported a total equity of HKD 1,569,683,000 as of June 30, 2020, compared to HKD 1,026,900,000 as of June 30, 2019, indicating growth in shareholder equity[101]. Corporate Governance and Compliance - The company’s interim results for the six months ended June 30, 2020, were reviewed by the audit committee but not by external auditors[80]. - The company adhered to the corporate governance code principles as per the listing rules, with some exceptions regarding attendance at shareholder meetings[82]. - The company confirmed compliance with the standard code of conduct for securities trading by all directors and senior management during the six months ended June 30, 2020[83]. - The company’s board is committed to maintaining high standards of corporate governance to enhance shareholder accountability[82]. Strategic Developments - The company established two art central business district centers in Xi'an and Hong Kong, aimed at providing comprehensive services for art and collectibles[10]. - The company is actively exploring different distribution channels and planning promotional events for its wine products in Hong Kong, China, and Europe to enhance profitability and brand awareness[13]. - The company plans to develop the Silk Road International Cultural Center in Xi'an, covering a total construction area of approximately 120,000 square meters for three office buildings[17]. - The shopping mall within the Silk Road International Cultural Center is estimated to have a total construction area of about 30,000 square meters and aims to attract local and international retail operators[17]. - The company is exploring collaboration opportunities centered around the cultural industry, including art trading platforms and cultural tourism experiences[20]. Shareholder Information - The company’s major shareholder, Mr. Lü Jianzhong, holds 373,596,736 shares, representing 73.90% of the total shares[43]. - Datang Xishi International Holdings owned 72.63% of the company's shares, totaling 484,784,274 shares[1]. - Ms. Zhu Ronghua held a spouse interest in 493,280,274 shares, representing 73.90% of the total shares[3]. - Ion Tech held 111,187,538 shares, accounting for 16.66% of the total shares[1]. - The company has granted options for a total of 3,500,000 shares at an exercise price of 3.000, valid until January 27, 2026[60]. Accounting and Reporting - The company has implemented new accounting policies in accordance with Hong Kong Financial Reporting Standards, ensuring compliance and transparency in financial reporting[116]. - The accounting policies adopted for the interim financial data are consistent with those used for the annual consolidated financial statements for the year ended December 31, 2019[123]. - The group has not made significant adjustments to its interim financial data due to the adoption of new and revised standards[124]. - The group has four reportable segments: Arts and Culture, Wine, E-commerce, and Property Development[132].

Financial Performance - The total revenue for the year ended December 31, 2019, was approximately HKD 235.4 million, compared to HKD 136 million in 2018, representing an increase of 73.1%[11] - The company reported a profit attributable to owners of approximately HKD 10.3 million, a significant turnaround from a loss of HKD 126.9 million in 2018[11] - The group's revenue for the year was approximately HKD 235,400,000, an increase of about 73.1% compared to HKD 136,000,000 in 2018, primarily due to increased sales of goods[19] - The profit for the year was approximately HKD 8,200,000, a significant turnaround from a loss of HKD 128,900,000 in 2018[19] - The arts and culture segment contributed approximately HKD 55,200,000 in revenue, up from HKD 40,100,000 in 2018, with a pre-tax profit of approximately HKD 20,700,000 compared to HKD 5,300,000 in 2018[20] - The e-commerce segment generated approximately HKD 178,300,000 in revenue, a substantial increase from HKD 89,900,000 in 2018, and achieved a pre-tax profit of approximately HKD 1,300,000, recovering from a loss of HKD 600,000 in 2018[26] - The wine segment reported revenue of approximately HKD 1,900,000, down from HKD 6,100,000 in 2018, with a loss of approximately HKD 7,100,000 compared to a loss of HKD 1,700,000 in 2018[24] - The engineering services segment recorded revenue of approximately HKD 51,100,000, up from HKD 13,900,000 in 2018, with a pre-tax profit of approximately HKD 29,900,000, recovering from a loss of HKD 24,900,000 in 2018[27] Strategic Developments - The company successfully introduced New World Development Company Limited as a strategic shareholder and was included in the MSCI Hong Kong Small Cap Index, indicating market recognition of its transformation efforts[12] - The Silk Road International Cultural Center project, located in Xi'an, is a key asset injection aimed at establishing a comprehensive art industry chain and is expected to provide sustainable revenue sources[13] - The Silk Road Cultural and Tourism Town project has been recognized as an outstanding characteristic town, focusing on high-quality development and innovation in cultural and art transactions[16] - The company plans to strengthen its existing business, streamline operations, and enhance efficiency while focusing on the development of the cultural industry in 2020[16] - The company introduced a new property development segment in the first quarter of 2020, aiming to create synergies with existing and new businesses[28] Risk Management - The company is facing various risks, including strategic risks from global economic downturns and operational risks related to client retention and project completion[40] - The company has implemented a risk management policy to assess and manage significant risks, with external professionals reviewing the effectiveness of its internal control systems annually[40] - The company anticipates challenges in 2020 due to geopolitical tensions and the global pandemic, which may impact auction events and wine sales[15] - The company anticipates that the COVID-19 outbreak will inevitably impact all business operations, with expected delays in planned auctions and reduced sales due to social distancing measures[28] - The company has established risk management policies to identify, assess, and manage significant risks, with senior management reviewing risks at least annually[197] Shareholder and Governance - The board does not recommend the distribution of dividends for the year ended December 31, 2019, consistent with the previous year[93] - The group has adopted a dividend policy that considers financial performance, retained earnings, and operational needs before declaring dividends[94] - The company has a total of 493,180,274 shares held by directors and key executives, representing approximately 73.89% of the total shareholding[117] - The company has purchased directors and officers liability insurance to provide adequate protection for its directors and management[111] - The board consists of ten members, including four executive directors, two non-executive directors, and four independent non-executive directors[163] - The company has adopted the standard code for securities transactions by directors as per the listing rules[161] - The company has confirmed compliance with the independence requirements for all independent non-executive directors[167] - The company emphasizes timely and transparent communication with shareholders, maintaining a dedicated website for financial reports and shareholder communications[198] Acquisitions and Investments - The company completed the acquisition of 85% of a financial e-commerce company for HKD 40.8 million to develop its online market for art and collectibles[44] - The company completed the acquisition of Hong Kong Datang Xishi Industrial Holdings Limited on March 12, 2020, expanding its property investment and development business[84] - The company agreed to acquire 100% of the issued share capital of the target company, which indirectly holds approximately 69.97% of the equity in Xi'an Datang Xishi Industrial Co., Ltd.[59] - The acquisition involves 373,596,736 shares, representing about 55.97% of the company's issued share capital as of November 29, 2019[59] - The company allocated HKD 327.8 million from the fundraising on August 28, 2019, for the acquisition of Hong Kong Datang Xishi Industrial Holdings Limited[47] Employee and Operational Insights - The group had approximately 87 employees as of December 31, 2019, an increase from 84 employees in 2018[56] - The company emphasizes the importance of continuous professional development for all directors to ensure informed contributions to the board[173] - The company provides necessary onboarding materials to new directors to ensure they understand their responsibilities under listing rules and relevant laws[173] - The board of directors held four meetings during the fiscal year, with attendance rates for executive directors ranging from 75% to 100%[187] Environmental and Social Responsibility - The group has established a culture of energy conservation and implemented measures to reduce carbon emissions in its operations[86] - The group has a significant focus on sustainable development and responsible environmental practices in its business operations[86]

Financial Performance - The company recorded revenue from continuing operations of approximately HKD 116.4 million for the six months ended June 30, 2019, compared to HKD 89.9 million for the same period in 2018, representing a year-over-year increase of 29.2%[7] - The company achieved a profit of approximately HKD 3 million for the six months ended June 30, 2019, compared to a loss of HKD 34.3 million for the same period in 2018, marking a significant turnaround[7] - Total revenue for the six months ended June 30, 2019, was HKD 116,420,000, an increase from HKD 89,928,000 in the same period of 2018, representing a growth of approximately 29.5%[82] - Operating profit for the period was HKD 4,995,000, compared to a loss of HKD 31,808,000 in the previous year, indicating a significant turnaround[82] - Profit from continuing operations for the period was HKD 2,981,000, a recovery from a loss of HKD 34,276,000 in the same period of 2018[82] - The total comprehensive income for the period was HKD 1,413,000, compared to a loss of HKD 39,272,000 in the previous year, showing a substantial improvement[82] - Basic earnings per share from continuing and discontinued operations was HKD 0.56, a recovery from a loss of HKD 6.07 in the same period of 2018[84] Segment Performance - The art and culture segment contributed approximately HKD 21.1 million in revenue, with a segment profit of approximately HKD 9 million, compared to HKD 22.4 million and HKD 8.7 million respectively in the prior year[8] - The auction business contributed approximately HKD 14.4 million in segment profit, with a decrease in revenue due to fewer auction events held compared to the previous year[9] - The e-commerce segment reported revenue of approximately HKD 65.9 million, an increase from HKD 61.4 million in the prior year, achieving a segment profit of HKD 400,000 compared to a loss of HKD 200,000[14] - The engineering services segment saw a significant increase in revenue to approximately HKD 28 million, with a segment profit of approximately HKD 11.8 million, compared to a loss of HKD 11.9 million in the previous year[15] Cash Flow and Liquidity - As of June 30, 2019, the group's bank balances and cash totaled approximately HKD 28,400,000, a decrease of about HKD 26,000,000 from HKD 54,400,000 on December 31, 2018[19] - The company reported a net cash position of HKD 28,422,000 as of June 30, 2019, down from HKD 54,437,000 at the end of 2018, indicating a decrease in liquidity[87] - For the six months ended June 30, 2019, the company reported a net cash outflow from operating activities of HKD 31,279,000, compared to HKD 28,409,000 for the same period in 2018, indicating a 6.5% increase in cash outflow[95] - The company generated a net cash inflow from investing activities of HKD 4,843,000, a significant improvement from a net cash outflow of HKD 1,917,000 in the previous year[95] Investments and Future Plans - The company plans to utilize approximately HKD 200 million from a recent share subscription to further develop its auction business and expand art financing services[9] - The company plans to allocate approximately HKD 327,800,000 for investment in the Xi'an cultural project development, which aims to create a comprehensive cultural and artistic center[34] - The company plans to utilize approximately HKD 8,000,000 for the development of the online market for art and collectibles[38] - The company plans to expand its market presence and invest in new product development to drive future growth[92] - The company is focusing on enhancing operational efficiency and reducing costs to improve overall financial performance moving forward[92] Corporate Governance and Compliance - The company is committed to maintaining high standards of corporate governance, which is essential for enhancing corporate value and accountability to shareholders[67] - The company has adopted a standard code for securities trading by directors and senior management, ensuring compliance during the six months ended June 30, 2019[69] - The company will appoint an independent non-executive director within three months following the appointment of Dr. Zheng Jiachun to ensure compliance with listing rules[68] Shareholder Information - As of June 30, 2019, the total number of issued shares of the company was 555,937,692 shares[63] - Mr. Lu Jianzhong holds a personal interest of 4,996,000 shares and a corporate interest of 373,596,736 shares, totaling 382,092,736 shares, which represents approximately 68.73% of the total shareholding[61] - The major shareholder, Datang, holds 373,596,736 shares, representing 67.20% of the total shareholding[61] Taxation and Liabilities - The total income tax expense for the period was HKD 391,000, a decrease of 72.5% compared to HKD 1,416,000 in the prior period[198] - The total tax expense for the period was HKD 1,331,000, down 44.9% from HKD 2,414,000 in the previous period[198] - The company's Hong Kong profits tax is calculated at a rate of 16.5%, while the tax rate for its Chinese subsidiaries is 25%[199] - The group has not incurred any significant contingent liabilities as of June 30, 2019[25] Accounting and Financial Reporting - The company has implemented new accounting standards, which may impact future financial reporting and performance metrics[107] - The company recognized lease liabilities of HKD 5,883,000 and right-of-use assets of HKD 5,915,000 upon the initial application of HKFRS 16 on January 1, 2019[131] - The company measures the right-of-use assets at cost, which includes the initial measurement amount of lease liabilities and any lease payments made before the commencement date, minus any lease incentives received[116]