Financial Performance - Revenue for the six months ended September 30, 2020, was $45,137,000, a decrease of 21% compared to $57,202,000 for the same period in 2019[5] - Gross profit for the same period was $301,000, down from $907,000, resulting in a gross margin of approximately 0.67%[5] - The company reported a loss of $417,000 for the six months ended September 30, 2020, compared to a profit of $296,000 in the prior year[5] - Basic and diluted loss per share was 0.08 cents, compared to 0.03 cents in the previous year[5] - The group reported a pre-tax loss of $417,000 for the six months ended September 30, 2020, compared to a loss of $92,000 for the same period in 2019[28] - The group recorded a net loss attributable to shareholders that increased by approximately 353.26% compared to the same period in 2019, primarily due to decreased sales volume and changes in expenses[48] Assets and Liabilities - Total assets as of September 30, 2020, were $27,955,000, a decrease from $29,724,000 as of March 31, 2020[8] - Cash and bank balances decreased to $10,244,000 from $10,425,000[8] - The company’s total equity decreased to $13,025,000 from $13,442,000 as of March 31, 2020[8] - Trade receivables decreased to $17,711,000 from $19,299,000[8] - The company reported trade payables and other payables totaling $3,742,000 as of September 30, 2020, compared to $13,021,000 as of March 31, 2020[36] - As of September 30, 2020, the company had approximately $11,100,000 in unreturned prepayments, all of which have been fully impaired[35] Cash Flow and Operating Activities - Net cash used in operating activities was $8,011,000, an improvement from $29,501,000 in the previous year[12] - The group’s cash and bank balances were approximately $10.24 million, showing no significant fluctuation from $10.43 million as of March 31, 2020[50] Operational Efficiency and Future Plans - The company plans to focus on improving operational efficiency and exploring new market opportunities in the upcoming periods[15] - The group anticipates a more challenging business environment due to the impact of the COVID-19 pandemic on oil and gas prices, as well as uncertainties related to trade tensions between China and Australia[49] Employee and Management Costs - The group’s employee costs for the six months ended September 30, 2020, were $232,000, a decrease from $370,000 in the same period of 2019, reflecting a reduction of approximately 37.4%[25] - The company’s key management personnel compensation for the six months ended September 30, 2020, was $56,000, down from $138,000 in the same period of 2019[40] Share Capital and Dividends - The group did not declare any interim dividend for the six months ended September 30, 2020, consistent with the previous year[27] - The average number of ordinary shares issued during the period was 513,175,401, an increase from 342,116,934 shares in the same period of 2019[28] - The total number of shares issued by the company as of the adoption date is 340,616,934, with a maximum of 34,061,693 options available for issuance under the share option plan, representing 10% of the issued shares[62] Rights Issue and Fund Utilization - The company completed a rights issue on March 26, 2020, raising net proceeds of approximately HKD 52,900,000 (approximately $6,826,000) for general trading operations and working capital[43] - The company plans to use approximately 90% of the net proceeds from the rights issue for coal and other commodity trading, with the remaining 10% for general operational costs[43] - As of September 30, 2020, the company had a total of $5,600,000 in unutilized net proceeds from the rights issue[43] Corporate Governance - The company has complied with the corporate governance code, except for a deviation regarding the separation of roles between the chairman and the CEO[72] - The audit committee consists of three independent non-executive directors who review the accounting principles and internal controls of the group[76] - The company has confirmed that all directors have complied with the standards of the code of conduct for securities transactions during the review period[73]

Financial Performance - The company reported revenue of approximately $99.9 million for the fiscal year ending March 31, 2020, a decrease of about 49.6% compared to $198.3 million in the previous fiscal year[5]. - Gross profit remained stable at approximately $1.3 million for both fiscal years, indicating no significant fluctuation despite the drop in revenue[10]. - The company recorded a net loss attributable to shareholders of approximately $700,000, a reduction of about 53.3% from the previous year's loss[5]. - The total sales volume of coal was approximately 1.82 million tons, down from about 2.81 million tons in the previous year, reflecting a decrease in demand[10]. - Financial expenses decreased to $600,000 from $900,000 in the previous year, primarily due to reduced income and increased interest on lease liabilities[11]. - The distributable reserves as of March 31, 2020, amounted to $5,988,000, a decrease from $6,798,000 in 2019[41]. - The company did not recommend any dividend distribution for the fiscal year ending March 31, 2020, reflecting a conservative approach to capital allocation amid uncertainties[27]. Cash and Debt Management - The company's cash and bank balances increased to approximately $10.4 million as of March 31, 2020, compared to $3.8 million the previous year, largely due to a rights issue that generated cash proceeds of about $6.8 million[14]. - The debt-to-equity ratio improved to approximately 123% from 258% the previous year, indicating better financial stability[14]. - The company completed a rights issue on March 26, 2020, issuing 171,058,467 shares at a price of HKD 0.335 per share, raising a net amount of approximately HKD 52,900,000 (about USD 6,826,000) for general trade operations and working capital[16]. Business Strategy and Risk Management - The company aims to strategically develop its business to mitigate the adverse effects of global economic uncertainties and unfavorable trade factors[6]. - The company plans to continue managing business risks prudently in response to changes in the business environment[6]. - The company anticipates a challenging global business environment, with potential risks including the ongoing US-China trade war and the impact of the COVID-19 pandemic, which may lead to decreased sales and profitability in the short term[21]. - The company is focused on enhancing its risk management framework in accordance with listing rules and aims to maintain baseline risks within acceptable limits[154]. Corporate Governance - The board of directors confirmed their independence and compliance with the relevant listing rules[57]. - The company has adhered to the corporate governance code as per the listing rules, except for a deviation regarding the separation of the roles of Chairman and CEO[95][96]. - The board consists of five members, including two executive directors and three independent non-executive directors, with no financial or business relationships among them[97]. - The company has received annual confirmation of independence from all independent non-executive directors, ensuring compliance with listing rules[99]. - The board has adopted a diversity policy for board members, considering factors such as gender, age, cultural background, and professional experience[129]. Employee and Workplace Policies - As of March 31, 2020, the company had a total of 9 full-time employees, maintaining a consistent workforce compared to the previous year[22]. - Employee turnover rate is 11%, with 20% for male employees and 25% for non-management staff[171]. - Training attendance rate for all employees reached 100%, with average training hours of 9 hours for males and 7.5 hours for females[172]. - The company has established health and safety policies to ensure a safe working environment for employees[185]. - No workplace accidents were reported during the fiscal year ending March 31, 2020[173]. Environmental and Social Responsibility - The company is committed to environmental sustainability and has implemented green office measures to reduce energy consumption and waste[30]. - The company has not faced any environmental regulatory sanctions during the fiscal year, indicating compliance with all applicable environmental laws and regulations[159]. - The company encourages energy conservation and waste reduction through various environmental policies and initiatives[163]. - The company has a sustainable development governance policy that emphasizes compliance with environmental and social laws applicable in its operating regions[158]. Audit and Compliance - The audit committee reviewed the accounting principles and practices adopted by the group, including the audited consolidated financial statements for the year ending March 31, 2020[85]. - The independent auditor's fees for the year ending March 31, 2020, totaled $56,000, with $43,000 for audit services and $13,000 for non-audit services related to rights issue[138]. - The audit committee is responsible for reviewing the effectiveness of the group's risk management and internal control systems[123]. Shareholder Communication - The company maintains a high level of transparency in communication with shareholders and investors, ensuring timely access to information through financial reports and annual general meetings[139]. - The board has adopted a dividend policy effective January 1, 2019, aimed at balancing shareholder interests with prudent capital management, considering factors such as financial performance and cash requirements[142].

Financial Performance - Revenue for the six months ended September 30, 2019, was $57.202 million, a decrease of 54% compared to $124.289 million in the same period of 2018[5] - Gross profit for the same period was $0.907 million, slightly down from $0.928 million year-over-year[5] - Operating profit increased to $0.296 million from $0.085 million in the previous year, indicating a significant improvement in operational efficiency[5] - The company reported a loss before tax of $0.092 million, an improvement from a loss of $0.377 million in the prior year[5] - The basic and diluted loss per share improved to $0.03 from $0.11 year-over-year, reflecting better performance despite ongoing losses[5] - Total revenue from external customers for the six months ended September 30, 2019, was $57,202,000, a decrease from $124,289,000 for the same period in 2018, representing a decline of approximately 54%[30] - The pre-tax loss for the six months ended September 30, 2019, was $92,000, compared to a loss of $377,000 for the same period in 2018, showing an improvement in financial performance[37] - Basic loss per share for the six months ended September 30, 2019, was $0.00027, compared to $0.0011 for the same period in 2018, reflecting a reduction in losses per share[37] - The company recorded a net loss attributable to shareholders of approximately $75.60% reduction compared to the same period in 2018, mainly due to improved gross margin despite decreased sales volume[60] Cash Flow and Liquidity - Cash and cash equivalents decreased to $2.665 million from $3.848 million at the beginning of the period, reflecting cash flow challenges[10] - As of September 30, 2019, the company had cash and bank balances of approximately $2.67 million, down from $3.85 million as of March 31, 2019[63] - The company had discounted notes receivable of $31.66 million as of September 30, 2019, compared to $2.96 million as of March 31, 2019[65] - Trade receivables increased significantly to $42.390 million from $22.276 million, indicating potential issues with cash collection[7] - As of September 30, 2019, trade receivables amounted to $40,208,000, an increase from $20,501,000 as of March 31, 2019, indicating a rise in outstanding receivables[40] - Total liabilities increased to $38.040 million from $18.823 million, raising concerns about the company's financial leverage[7] - The debt-to-equity ratio was approximately 530% as of September 30, 2019, compared to 258% as of March 31, 2019[65] Operational Strategy - The company plans to focus on operational improvements and cost management strategies to enhance future profitability[5] - The company operates in a single business segment, which is coal trading, and continues to focus on this core area for revenue generation[28] - The company will continue to focus on improving gross margins in coal trading and managing business risks amid an unstable business environment[62] - The company has engaged in long-term coal supply agreements with suppliers, ensuring a steady supply of coal for its trading operations[42] - The company has no coal inventory policy, relying on supplier relationships to meet customer demands[57] Accounting and Reporting - The unaudited interim financial statements for the six months ended September 30, 2019, were prepared in accordance with the applicable disclosure provisions of the Hong Kong Stock Exchange Listing Rules[11] - The Group adopted the new Hong Kong Financial Reporting Standard No. 16 on leases, which introduces a single accounting model for lessees, requiring the recognition of right-of-use assets and lease liabilities for all leases[15] - The interim financial statements were prepared using the same accounting policies as those adopted in the annual financial statements for the year ended March 31, 2019, except for the new standards adopted[14] - The cumulative impact of the first-time application of HKFRS 16 was recognized as an adjustment to the opening balance of equity as of April 1, 2019[15] - The Group's accounting policies for leases did not change significantly except for the adoption of HKFRS 16, which replaced HKAS 17[14] - The Group will continue to account for previously classified operating leases under HKAS 17, while contracts assessed as non-lease service arrangements will remain unrecognized[17] - The new definition of leases under HKFRS 16 is based on the concept of control over the identified asset's use[16] - The Group's right-of-use assets will be measured at cost, which includes the initial amount of lease liabilities and any lease payments made before the commencement date[20] - The interim financial statements do not constitute the Group's statutory annual consolidated financial statements for the fiscal year ended March 31, 2019[11] Corporate Governance - The company has complied with the corporate governance code, except for the separation of roles between the chairman and CEO, which are held by the same individual[86] - The company has adopted the standard code of conduct for securities transactions by directors and confirmed compliance during the review period[88] - The audit committee consists of three independent non-executive directors: Mr. Yan Xinghan (Chairman), Mr. Yang Jianbang, and Mr. Zhang Zhenxi[89] - The audit committee has reviewed the accounting principles and practices adopted by the group, discussing internal controls and financial reporting matters, including the review of interim financial statements[89] Employee and Management Information - The company’s management reported a total remuneration of $138,000 for key management personnel for the six months ending September 30, 2019, compared to $47,000 in the previous year[55] - The group employed a total of 9 full-time employees in Hong Kong as of September 30, 2019, maintaining a competitive and fair compensation policy[84] Shareholder Information - The maximum number of share options that can be granted under the share option plan shall not exceed 10% of the issued share capital as of the date of shareholder approval[73] - As of September 30, 2019, the total number of issued shares was 340,616,934, allowing for a maximum of 34,061,693 shares to be issued under the share option plan, which represents 10% of the issued shares[74] - The total number of shares available for issuance under the share option plan is 32,561,693, equivalent to 9.52% of the total issued shares as of the mid-term report date[74] - No share options were granted, lapsed, or cancelled during the six months ended September 30, 2019[77] - Reignwood International Holdings Company Limited holds 182,459,527 shares, representing 53.33% of the issued share capital as of September 30, 2019[80] - The company had no arrangements that would grant directors or senior management rights to acquire shares or securities during the review period[78]

Financial Performance - For the fiscal year ending March 31, 2019, the company reported revenue of approximately $198.3 million, showing no significant change compared to the previous fiscal year[5] - Gross profit for the same period was approximately $1.3 million, an increase of about 221.3% year-over-year[5] - The company reduced its net loss attributable to shareholders to approximately $1.5 million, a decrease of about 40.4% from the previous year[5] - The company's coal and other trading business generated revenue of $198.3 million, a slight decrease of 0.20% or $400,000 compared to the previous year[10] - Total coal sales volume was approximately 2.81 million tons, compared to 2.82 million tons in the previous year[10] - Operating expenses, including employee benefits, rent, and corporate expenses, were approximately $1.9 million, down from $2.2 million in the previous year[11] - Financial costs increased to $900,000 from $700,000, primarily due to increased utilization of 150-day notes[11] - The pre-tax loss for the year was $1.5 million, down from $2.5 million in the previous year, mainly due to improved gross profit and reduced salary costs[9] - As of March 31, 2019, the group's cash and bank balances were approximately $3.8 million, down from $8.4 million as of March 31, 2018, primarily due to payments for daily operations and trade activities[13] - The group's debt-to-equity ratio as of March 31, 2019, was approximately 258%, a significant decrease from 669% as of March 31, 2018[13] - The group has no significant capital expenditure plans and believes it has sufficient liquidity to meet current and future operational funding needs[14] - The distributable reserves as of March 31, 2019, were $6,798,000, a decrease from $8,172,000 in 2018, reflecting a decline of approximately 17%[41] Corporate Governance - The company’s board of directors includes both executive and independent non-executive members, with specific terms regarding their re-election at the annual general meeting[46][47] - The company’s remuneration policy is designed to attract and retain talented employees, with regular reviews based on market conditions and individual performance[50] - The company has established a nomination committee, a remuneration committee, and an audit committee to oversee specific areas of the group's affairs[109] - The board emphasizes the importance of high corporate governance standards to build trust with shareholders and the investment community[93] - The company has applied the corporate governance code and principles throughout the fiscal year, with one exception regarding the separation of roles between the chairman and CEO[94] - The board is responsible for overseeing management and strategic planning to enhance shareholder value[95] - The board consists of five members, including two executive directors and three independent non-executive directors[97] - The board held a total of four meetings during the fiscal year ending March 31, 2019[102] - All independent non-executive directors possess appropriate professional qualifications or expertise in accounting or related financial management[99] - The company has appropriate insurance arrangements for directors and senior management against liabilities arising from the group's business[101] - The company maintains high transparency in communication with shareholders and investors, ensuring timely access to information[138] Risk Management - The company is committed to implementing stricter internal control and risk management procedures in the new fiscal year[152] - The board believes that the group's risk management and internal control systems are effective[153] - The group adopts a three-tier risk management approach to identify, assess, and mitigate risks[156] Environmental and Social Responsibility - The company emphasizes compliance with environmental and social laws applicable to its operating regions[161] - The group will continue to review and enhance its environmental, social, and governance performance for sustainable business development[161] - The total electricity consumption for the year ended March 31, 2019, was approximately 79,300 kWh, and total water consumption was about 300 cubic meters[168] - The total carbon emissions for the year were approximately 50 tons, attributed to indirect emissions related to electricity consumption[170] - The company strictly adheres to all applicable labor laws and regulations, ensuring no use of child or forced labor[172] - The company has implemented various measures to promote environmental awareness, including encouraging waste recycling and energy-saving practices[166] - The company has not faced any environmental regulatory sanctions during the reporting period[168] Employee and Training - As of March 31, 2019, the company had 9 employees, with 89% holding a bachelor's degree or higher[174] - The employee turnover rate was 33% in Hong Kong, with 22% for male employees and 11% for female employees[174] - The average training hours for male, female, management, and non-management employees were 5 hours, 10 hours, 4 hours, and 10 hours, respectively, with a training attendance rate of 100%[175] Shareholder Rights and Dividends - The dividend policy adopted on January 1, 2019, aims to balance shareholder interests with prudent capital management[140] - The board has the discretion to declare dividends based on the company's ability to pay, considering various financial factors[142] - Shareholders holding at least 10% of the company's paid-up capital can request a special general meeting if the board does not convene within 21 days of the request[147] - Shareholders with at least 20% of the voting rights or 100 shareholders can propose written resolutions for the upcoming annual general meeting[148] Compliance and Reporting - The audit opinion confirmed that the consolidated financial statements fairly represent the group's financial status and performance for the year ending March 31, 2019[198] - The company has implemented measures to prevent child labor and forced labor, ensuring compliance with relevant laws and regulations[193] - The report includes key performance indicators related to employee training and development, focusing on the percentage of trained employees by gender and employee category[190] - The company has established policies for managing environmental and social risks within its supply chain[190] - The group has established a comprehensive operational and service conduct code to protect customer privacy and data confidentiality[178] - No incidents of non-compliance regarding privacy protection and product liability were reported for the fiscal year ending March 31, 2019[178] - The group encourages employees, customers, suppliers, and stakeholders to report any misconduct, with no reports of bribery, corruption, extortion, fraud, or money laundering received for the fiscal year ending March 31, 2019[179]