[Company Information](index=3&type=section&id=Company%20Information) This section outlines the company's fundamental registration details, board composition, key officers, and listing information - Provides a list of executive directors, independent non-executive directors, and members of the audit, remuneration, and nomination committees[4](index=4&type=chunk) - The Company Secretary changed from Mr. Leung Cho Yi to Mr. Lam Chi Sum on July 2, 2024[4](index=4&type=chunk) - The company is listed on the Main Board of The Stock Exchange of Hong Kong Limited under stock code **745**[5](index=5&type=chunk) [Chairman's Statement](index=4&type=section&id=Chairman's%20Statement) [Annual Review](index=4&type=section&id=Annual%20Review) During the reporting period, the Group continued to focus on advertising and e-commerce, benefiting from Hong Kong's economic recovery, but recorded a net loss due to reduced gross profit and losses from subsidiary disposals - The Group continued to focus on advertising and e-commerce businesses, benefiting from Hong Kong's economic recovery and increased retail sales reflecting rising consumer demand[8](index=8&type=chunk) - The Group recorded a net loss for the year, primarily due to decreased gross profit and losses incurred from the disposal of a subsidiary[8](index=8&type=chunk) [Outlook](index=4&type=section&id=Outlook) The Group remains confident in future growth, seeing opportunities in Hong Kong's strong economic recovery and digital economy expansion, planning to develop existing businesses and explore new sectors like media and culture through acquisitions or collaborations - The Group remains confident in accelerating growth, driven by Hong Kong's strong economic recovery and the expanding digital economy[9](index=9&type=chunk) - Future plans include: - Continuing to develop advertising and e-commerce related businesses - Expanding related businesses through acquisitions, product portfolio expansion, and/or collaborations - Extending business into other sectors, such as media and culture-related businesses[12](index=12&type=chunk) [Management Discussion and Analysis](index=5&type=section&id=Management%20Discussion%20and%20Analysis) [Business and Financial Review](index=5&type=section&id=Business%20Review) For the year ended March 31, 2025, total revenue grew **57%** to **HKD 43.71 million**, driven by advertising and e-commerce; despite a gross margin decline to **9.0%**, the annual loss significantly narrowed to **HKD 4.78 million** due to expense control Financial Performance Summary | Metric | FY2025 (HKD thousands) | FY2024 (HKD thousands) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 43,708 | 27,883 | +57% | | Gross Profit | 3,947 | 5,439 | -27.4% | | Gross Margin | 9.0% | 19.5% | -10.5pp | | Loss Attributable to Owners of the Company | (4,782) | (43,668) | Loss narrowed by 89% | - The increase in revenue was primarily driven by higher turnover from the advertising and e-commerce segments[13](index=13&type=chunk) - The decline in gross margin was mainly due to an increased proportion of revenue generated from the lower-margin e-commerce segment[13](index=13&type=chunk) [Segment Business Analysis](index=5&type=section&id=Segment%20Business%20Analysis) The Group's core businesses are advertising and e-commerce; advertising revenue surged **136%** after a strategic shift to the Hong Kong market, while e-commerce, primarily focused on used iPhones and parts, saw significant growth driven by market demand and plans to diversify into non-electronic goods [Advertising Business](index=5&type=section&id=Advertising%20Business) Facing challenges in the Chinese market, the Group strategically shifted its advertising focus to Hong Kong from FY2024, achieving significant success with advertising revenue surging **136%** year-on-year to approximately **HKD 13.7 million** in FY2025, benefiting from Hong Kong's robust economic growth - Facing multiple challenges in the Chinese market, the Group strategically shifted its focus to the Hong Kong market starting from FY2024[14](index=14&type=chunk) Advertising Revenue | Fiscal Year | Advertising Revenue (HKD) | Y-o-Y Growth | | :--- | :--- | :--- | | 2025 | 約13,700,000 | +136% | | 2024 | 約5,800,000 | - | [E-commerce Business](index=5&type=section&id=E-commerce%20Business) The Group's e-commerce wholesale business, primarily in used iPhones and parts, experienced significant revenue growth driven by increased market demand; the Group is diversifying its product portfolio to include non-electronic goods such as apparel, frozen seafood, and food - The e-commerce business primarily involves wholesale of used iPhones and components, with significant revenue growth mainly due to increased market demand[15](index=15&type=chunk) - The Group is diversifying its product portfolio to include non-electronic goods, such as apparel, frozen seafood, and food (e.g., health foods and tea)[16](index=16&type=chunk) [Significant Investments](index=6&type=section&id=Significant%20Investments) As of March 31, 2025, the Group held financial assets at fair value through profit or loss valued at approximately **HKD 17.12 million** and equity instruments at fair value through other comprehensive income valued at approximately **HKD 1.08 million**, primarily including Hong Kong-listed Capital Strategic Investment Limited and Asia Resources Holdings Limited Financial Assets at Fair Value Through Profit or Loss (As of March 31, 2025) | Financial Assets at FVTPL (As of March 31, 2025) | Fair Value (HKD thousands) | % of Total Group Assets | | :--- | :--- | :--- | | Capital Strategic Investment Limited | 1,838 | 3.5% | | Asia Resources Holdings Limited | 948 | 1.8% | | Other Listed Securities | 14,338 | 27.6% | | **Total** | **17,124** | **32.9%** | Equity Instruments at Fair Value Through Other Comprehensive Income (As of March 31, 2025) | Equity Instruments at FVOCI (As of March 31, 2025) | Fair Value (HKD thousands) | % of Total Group Assets | | :--- | :--- | :--- | | Regal Time Group Limited | 514 | 1.0% | | Other Listed Securities | 567 | 1.1% | | **Total** | **1,081** | **2.1%** | [Capital Structure and Use of Proceeds](index=8&type=section&id=Capital%20Structure) During the reporting period, the company completed a capital reorganization (involving capital reduction and share split) and a rights issue, raising net proceeds of approximately **HKD 15.1 million** at **HKD 0.1** per share, primarily allocated for e-commerce business development (**HKD 11.3 million**) and general working capital (**HKD 3.8 million**) - During the year, the company completed a capital reorganization (capital reduction and share split) and a rights issue[27](index=27&type=chunk) Use of Rights Issue Proceeds | Use of Rights Issue Proceeds | Planned Amount (HKD) | Amount Utilized (As of 2025/3/31) | | :--- | :--- | :--- | | Development of e-commerce business | 約11,300,000 | - | | General working capital | 約3,800,000 | 約800,000 | | **Net Proceeds** | **約15,100,000** | **約800,000** | [Liquidity, Financing and Others](index=8&type=section&id=Liquidity%20and%20Financing) As of March 31, 2025, the Group's total cash and bank balances significantly increased to approximately **HKD 15.04 million**, with a notable improvement in net current assets; the Group had no bank borrowings, resulting in a zero gearing ratio, and the number of employees decreased from **22** to **17** during the year Liquidity Position | Liquidity Position | March 31, 2025 (HKD thousands) | March 31, 2024 (HKD thousands) | | :--- | :--- | :--- | | Cash and bank balances | 15,042 | 727 | | Total current assets | 50,795 | 29,772 | | Total current liabilities | 7,301 | 15,289 | | Bank borrowings | 0 | 0 | - As of March 31, 2025, the Group had **17** employees, a decrease from **22** in the previous year[38](index=38&type=chunk) [Directors' Report](index=9&type=section&id=Directors'%20Report) [Business and Financial Review](index=10&type=section&id=Principal%20Businesses) The Company's principal business is investment holding, with subsidiaries engaged in advertising and e-commerce; as the Group recorded a loss for the year, the Board does not recommend paying any dividends - The Company's principal business is investment holding, with details of its subsidiaries' main businesses provided in Note 21 to the financial statements[40](index=40&type=chunk) - The Board does not recommend paying any dividends for the year ended March 31, 2025[42](index=42&type=chunk) [Share Option Scheme](index=10&type=section&id=Share%20Option%20Scheme) The company's share option scheme adopted on August 29, 2014, expired on August 28, 2024; during the reporting year, no new share options were granted, exercised, or cancelled, but **9,665,200** options lapsed, leaving **5,888,400** unexercised as of the reporting date - The company's share option scheme adopted on August 29, 2014, expired on August 28, 2024[46](index=46&type=chunk)[61](index=61&type=chunk) - During the review year, no share options were granted, exercised, or cancelled, but **9,665,200** share options lapsed; as of the reporting date, **5,888,400** share options remained unexercised[46](index=46&type=chunk)[49](index=49&type=chunk) [Major Customers and Suppliers](index=13&type=section&id=Major%20Customers%20and%20Suppliers) This year, sales to the top five customers accounted for **44.93%** of total sales, with the largest customer at **9.15%**, a significant decrease from last year's **89.96%** and **53.07%** respectively; for suppliers, the top five accounted for **100%** of total purchases, with the largest supplier's share decreasing from **73.91%** to **43.01%** Customer and Supplier Concentration | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Sales to Top 5 Customers % | 44.93% | 89.96% | | Sales to Largest Customer % | 9.15% | 53.07% | | Purchases from Top 5 Suppliers % | 100.00% | 100.00% | | Purchases from Largest Supplier % | 43.01% | 73.91% | [Key Risks and Uncertainties](index=14&type=section&id=Key%20Risks%20and%20Uncertainties) The Group's key risks include operational risk from non-recurring contracts and customer churn, equity price risk from financial asset market fluctuations, and liquidity risk related to meeting payment obligations - **Operational Risk**: Revenue primarily derives from non-recurring contracts, and failure to secure new contracts continuously will adversely affect operations and financial performance[69](index=69&type=chunk) - **Equity Price Risk**: Arises from fluctuations in market prices of the Group's financial asset investments[70](index=70&type=chunk) - **Liquidity Risk**: Refers to the possibility of the Group failing to meet its payment obligations when due, managed by monitoring cash flows and maintaining sufficient cash[71](index=71&type=chunk) [Directors' and Shareholders' Interests](index=17&type=section&id=Directors'%20and%20Chief%20Executives'%20Interests%20and%20Short%20Positions%20in%20Shares%20and%20Underlying%20Shares) The report discloses four directors each holding interests in **490,700** unlisted share options; as of the reporting date, no substantial shareholders held **5%** or more interests requiring disclosure under the SFO, and the company maintained a sufficient public float of not less than **25%** of its issued shares Directors' Interests in Unlisted Share Options | Director Name | Number of Unlisted Share Options | % of Issued Share Capital | | :--- | :--- | :--- | | Ms. Sun Wei | 490,700 | 0.21% | | Ms. Man Hau Chun | 490,700 | 0.21% | | Ms. Wong Miu Kwan | 490,700 | 0.21% | | Ms. Wong Yuk Kit | 490,700 | 0.21% | - As of March 31, 2025, no person held **5%** or more of the share capital requiring disclosure under the Securities and Futures Ordinance[96](index=96&type=chunk) - As of the date of this annual report, the Company maintained a sufficient public float of not less than **25%** of its issued shares[97](index=97&type=chunk) [Corporate Governance Report](index=20&type=section&id=Corporate%20Governance%20Report) [Board and Committees](index=20&type=section&id=Board%20of%20Directors) The Board comprises six directors, including three executive and three independent non-executive directors, meeting Listing Rules requirements; during the reporting period, the Board held **6** meetings, and the audit, remuneration, and nomination committees also met, fulfilling their respective duties with **100%** attendance from all members - The Board currently comprises **six** directors, including **three** executive directors and **three** independent non-executive directors, complying with Listing Rules requirements[104](index=104&type=chunk) - The company has established a Remuneration Committee, Audit Committee, and Nomination Committee to enhance Board functions[108](index=108&type=chunk) Board and Committee Meeting Attendance | Committee/Board | Meetings Held (During the Year) | Member Attendance Rate | | :--- | :--- | :--- | | Board of Directors | 6 | 100% | | Remuneration Committee | 1 | 100% | | Audit Committee | 2 | 100% | | Nomination Committee | 1 | 100% | [Director Nomination and Diversity Policy](index=23&type=section&id=Board%20Diversity%20Policy) The company has adopted director nomination and board diversity policies to ensure a diverse range of backgrounds, skills, and experiences, considering factors like gender, age, and professional background during selection; the current board exhibits diversity in age, gender, educational background, and professional experience - The company has adopted a nomination policy and a board diversity policy, considering factors such as gender, age, cultural and educational background, professional qualifications, and skills when selecting director candidates[117](index=117&type=chunk)[121](index=121&type=chunk) - The current Board composition demonstrates diversity in age (**30 to 69 years**), gender (**4 female, 1 male**), educational background (e.g., finance, accounting), and professional experience (e.g., accounting, management, media)[122](index=122&type=chunk)[123](index=123&type=chunk) [Risk Management and Shareholder Communication](index=26&type=section&id=Risk%20Management%20and%20Internal%20Control) The Board is fully responsible for establishing, maintaining, and reviewing the company's risk management and internal control systems, engaging an independent consultant for annual reviews; additionally, the company has formulated shareholder communication and dividend policies to ensure effective communication and sound dividend distribution decisions - The Board is fully responsible for the risk management and internal control systems, having appointed an independent internal control review consultant for annual reviews[130](index=130&type=chunk) - The company has established a shareholder communication policy, utilizing various channels such as annual reports, circulars, and general meetings to communicate with shareholders[133](index=133&type=chunk) - The company adopted a dividend policy in March 2019, where dividend decisions consider factors such as the Group's financial performance, capital requirements, and liquidity position[136](index=136&type=chunk)[138](index=138&type=chunk) [Biographies of Directors](index=29&type=section&id=Biographies%20of%20Directors) [Biographies of Directors](index=29&type=section&id=Biographies%20of%20Directors) This section provides detailed biographies of the executive and independent non-executive directors, including their personal backgrounds, academic qualifications, professional credentials, and extensive experience across various industries - **Ms. Sun Wei (Executive Director)**: Holds a Master of Science degree in Finance from Clark University, USA, with over **five** years of experience in accounting and administration[139](index=139&type=chunk) - **Mr. Liu Kwong Sang (Independent Non-Executive Director)**: A practicing accountant in Hong Kong with over **27** years of experience in the accounting profession and a fellow member of several professional accounting bodies[140](index=140&type=chunk) - **Ms. Wong Miu Kwan (Independent Non-Executive Director)**: Possesses over **10** years of experience in the information technology and media industries, with extensive operational and management expertise[143](index=143&type=chunk) [Environmental, Social and Governance Report](index=30&type=section&id=Environmental,%20Social%20and%20Governance%20Report) [Environmental Aspect](index=33&type=section&id=Environmental%20Aspect) The Group's environmental impact is limited, primarily from office electricity consumption; total greenhouse gas emissions were **2.4 tonnes CO2e** from purchased electricity, with a target to reduce Scope 2 emissions and energy intensity by **5%** from 2024 levels by 2028, and climate change-related physical and transition risks have been assessed Environmental Performance Indicators (2024/25) | Environmental Performance Indicator (2024/25) | Data | Unit | | :--- | :--- | :--- | | Total GHG Emissions (Scope 2) | 2.4 | tonnes CO2e | | GHG Emissions Intensity (per employee) | 0.14 | tonnes CO2e/employee | | Total Energy Consumption | 4.0 | MWh | | Energy Consumption Intensity (per employee) | 0.235 | MWh/employee | - The Group has set a target to reduce both Scope 2 emissions intensity and energy intensity by **5%** from the 2024 baseline year by **2028**[157](index=157&type=chunk)[162](index=162&type=chunk) - The Group has identified and assessed climate change risks, including physical risks from extreme weather and transition risks such as increased compliance costs and technological shifts[166](index=166&type=chunk)[167](index=167&type=chunk) [Social Aspect](index=37&type=section&id=Social%20Aspect) The Group strictly adheres to labor laws, committed to providing equal opportunities and a healthy, safe work environment; during the reporting period, total employees were **17** with a **6%** turnover rate, all receiving an average of **2.5** hours of training, with no work-related fatalities, and established supply chain management, product responsibility, and anti-corruption policies - The Group complies with labor laws in China and Hong Kong, adheres to "open, fair, and just" recruitment principles, and has adopted an equal employment opportunity policy[168](index=168&type=chunk)[169](index=169&type=chunk)[170](index=170&type=chunk) Employment and Safety Indicators (2024/25) | Employment and Safety Indicator (2024/25) | Data | | :--- | :--- | | Total Employees | 17 persons | | Total Employee Turnover Rate | 6% | | Percentage of Employees Trained | 100% | | Average Training Hours per Employee | 2.5 hours | | Work-related Fatalities | 0 persons | - The Group has established supply chain management, product responsibility (including data privacy protection), and anti-corruption policies, with no significant violations or corruption cases reported during the period[179](index=179&type=chunk)[182](index=182&type=chunk)[186](index=186&type=chunk)[187](index=187&type=chunk) [Independent Auditor's Report](index=47&type=section&id=Independent%20Auditor's%20Report) [Independent Auditor's Report](index=48&type=section&id=Independent%20Auditor's%20Report) The auditor, BDO Limited, issued an unmodified opinion on the Group's consolidated financial statements, deeming them to fairly present the Group's financial position as of March 31, 2025, and its financial performance and cash flows for the year; "Expected credit losses on trade receivables" was identified as a key audit matter due to its significance and subjective management judgment - The auditor concluded that the consolidated financial statements fairly present the Group's financial position, performance, and cash flows in accordance with Hong Kong Financial Reporting Standards, issuing an unmodified opinion[194](index=194&type=chunk) - A key audit matter identified was "Expected credit losses on trade receivables" due to its material significance to the consolidated financial position and the subjective judgment and management estimates involved in its assessment[199](index=199&type=chunk)[201](index=201&type=chunk) - The consolidated financial statements for the prior year (ended March 31, 2024) were audited by another auditor, who issued an unmodified opinion[202](index=202&type=chunk) [Consolidated Financial Statements](index=52&type=section&id=Consolidated%20Financial%20Statements) [Consolidated Statement of Profit or Loss](index=53&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss) For the year ended March 31, 2025, the Group's revenue was **HKD 43.71 million**, a **57%** year-on-year increase, while gross profit was **HKD 3.95 million**, down **27%**; the annual loss significantly narrowed from **HKD 43.67 million** to **HKD 4.78 million** due to reversal of impairment losses on trade receivables and controlled expenses, with basic loss per share at **4.84 HK cents** Consolidated Statement of Profit or Loss (For the Year Ended March 31) | Consolidated Statement of Profit or Loss (For the Year Ended March 31) | 2025 (HKD thousands) | 2024 (HKD thousands, Restated) | | :--- | :--- | :--- | | Revenue | 43,708 | 27,883 | | Gross Profit | 3,947 | 5,439 | | Net Reversal/(Provision) for Impairment Losses on Trade Receivables | 6,668 | (34,451) | | Loss Before Tax | (4,782) | (44,434) | | Loss for the Year Attributable to Owners of the Company | (4,782) | (43,668) | | Loss Per Share (Basic and Diluted) | (4.84) HK cents | (45.44) HK cents | [Consolidated Statement of Financial Position](index=55&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of March 31, 2025, the Group's total assets were **HKD 51.88 million**, a **62%** increase year-on-year, while total liabilities significantly decreased to **HKD 7.30 million**; total equity increased from **HKD 16.75 million** to **HKD 44.58 million** due to the rights issue and narrowed losses, indicating a substantial improvement in the financial position Consolidated Statement of Financial Position (As of March 31) | Consolidated Statement of Financial Position (As of March 31) | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | **Assets** | | | | Non-current assets | 1,081 | 2,267 | | Current assets | 50,795 | 29,772 | | **Total Assets** | **51,876** | **32,039** | | **Equity and Liabilities** | | | | Total equity | 44,575 | 16,750 | | Current liabilities | 7,301 | 15,289 | | **Total Liabilities** | **7,301** | **15,289** | | **Total Equity and Liabilities** | **51,876** | **32,039** | [Consolidated Statement of Cash Flows](index=58&type=section&id=Consolidated%20Statement%20of%20Cash%20Flows) For the year ended March 31, 2025, net cash outflow from operating activities improved to **HKD 0.96 million** from **HKD 5.64 million** last year; financing activities generated a net cash inflow of **HKD 15.30 million** from the rights issue, leading to a significant increase in year-end cash and cash equivalents from **HKD 0.73 million** to **HKD 15.04 million** Consolidated Statement of Cash Flows (For the Year Ended March 31) | Consolidated Statement of Cash Flows (For the Year Ended March 31) | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Net cash used in operating activities | (955) | (5,638) | | Net cash used in investing activities | (34) | – | | Net cash from financing activities | 15,304 | – | | Net increase/(decrease) in cash and cash equivalents | 14,315 | (5,638) | | Cash and cash equivalents at end of year | 15,042 | 727 | [Notes to the Consolidated Financial Statements](index=59&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) The notes provide detailed explanations of the financial statements, covering accounting policies, segment information, financial instrument risks, related party transactions, and equity changes; key highlights include advertising and e-commerce as primary revenue sources, significant impairment provisions for aged trade receivables, and the completion of capital reorganization and rights issue during the year, which significantly altered the equity structure - The Group's principal businesses are advertising (revenue of **HKD 13.69 million**) and e-commerce (revenue of **HKD 30.02 million**)[331](index=331&type=chunk)[337](index=337&type=chunk) - As of March 31, 2025, total trade receivables amounted to **HKD 55.74 million**, with impairment provisions of **HKD 39.27 million**, including **HKD 43.01 million** for receivables aged over **365** days[366](index=366&type=chunk) - During the year, the company completed a capital reorganization (capital reduction and share split) and a rights issue, increasing issued ordinary shares from **78.12 million** to **234.37 million**, and changing the par value from **HKD 0.4** to **HKD 0.01**[374](index=374&type=chunk)[375](index=375&type=chunk) [Financial Summary](index=117&type=section&id=Financial%20Summary) [Five-Year Financial Summary](index=117&type=section&id=Financial%20Summary) This section summarizes the Group's key financial data over the past five fiscal years, showing a revenue rebound this year after several years of decline, though annual losses persisted; total assets and net assets also recovered this year following continuous decreases, partly due to the rights issue Five-Year Performance Summary | Five-Year Performance Summary (HKD thousands) | 2025 | 2024 | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | 43,708 | 27,883 | 43,019 | 67,457 | 78,095 | | Loss for the Year Attributable to Owners of the Company | (4,782) | (43,668) | (1,498) | (34,551) | (56,317) | Five-Year Assets and Liabilities Summary | Five-Year Assets and Liabilities Summary (HKD thousands) | 2025 | 2024 | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Assets | 51,876 | 32,039 | 78,006 | 87,103 | 101,806 | | Total Liabilities | (7,301) | (15,289) | (17,025) | (30,768) | (35,956) | | Net Assets | 44,575 | 16,750 | 60,981 | 56,335 | 65,850 |

Summary of Key Points Core Viewpoint - As of July 11, a total of 167 stocks reached their 52-week highs, indicating a strong market performance with notable leaders in the stock price increases [1]. Group 1: Top Performing Stocks - The top three stocks with the highest increase rates are: - Mistrategy Equity (02902) with a high rate of 67.86% and a closing price of 1.600 [1] - Kexuan Power Holdings (00476) with a high rate of 58.73% and a closing price of 1.000 [1] - Xingzheng International (06058) with a high rate of 36.00% and a closing price of 0.590 [1] Group 2: Notable Stock Performance - Other notable stocks include: - China National Cultural Industry (00745) with a high rate of 34.62% [1] - Aluminum Corporation of China International (02068) with a high rate of 28.21% [1] - Shandong Xinhua Pharmaceutical (00719) with a high rate of 13.20% [1] Group 3: Additional Stocks with Significant Increases - Additional stocks with significant increases include: - Yuyuan Agriculture (09858) with a high rate of 12.62% [1] - WuXi AppTec (02359) with a high rate of 11.70% [1] - Kailai Ying (06821) with a high rate of 10.90% [1] Group 4: 52-Week Low Rankings - The 52-week low rankings show: - XI II Nan CO (07311) with a low rate of -12.60% [5] - XI II Nan Strategy (07399) with a low rate of -11.18% [5] - Ying Tai Medical (01501) with a low rate of -10.67% [5]

Group 1 - The core viewpoint of the article highlights the significant stock performance of China National Cultural Industry, with a recent increase of 25.0% and a cumulative rise of 202.33% over the past month, outperforming the Hang Seng Index by 19.78% [1] - As of March 31, 2025, China National Cultural Industry reported total revenue of 40.3351 million yuan, a year-on-year increase of 56.76%, and a net profit attributable to shareholders of -4.413 million yuan, reflecting a year-on-year growth of 89.05% [1] - The company's gross profit margin stands at 9.03%, with a debt-to-asset ratio of 14.07% [1] Group 2 - Currently, there are no institutional investment ratings for China National Cultural Industry [2] - In terms of industry valuation, the media and entertainment sector has an average price-to-earnings (P/E) ratio of -15.24 times, while China National Cultural Industry has a P/E ratio of -25.49 times, ranking 54th in the industry [2] - The company primarily engages in providing advertising media services and film production and distribution [2]

Summary of Key Points Core Viewpoint - As of July 7, a total of 102 stocks reached their 52-week highs, indicating a positive market trend with notable performances from specific companies such as China National Cultural Industry, Shoujia Technology, and Yunzhisheng [1]. Group 1: Stocks Reaching 52-Week Highs - China National Cultural Industry (00745) achieved a closing price of 0.430 with a peak of 0.435, marking a high rate of 24.29% [1]. - Shoujia Technology (00103) closed at 0.550, reaching a high of 0.610, reflecting a 17.31% increase [1]. - Yunzhisheng (09678) had a closing price of 386.800 and a peak of 391.600, with a high rate of 15.65% [1]. - Other notable stocks include Charoen Pokphand International (03839) at 15.09%, Japan Kyosei (00627) at 13.92%, and China San San Media (08087) at 11.05% [1]. Group 2: Additional Stocks with Significant Increases - Green Tea Group (06831) reached a high of 10.33% with a closing price of 9.080 [1]. - Beihai Kangcheng-B (01228) and Pinchuang Holdings (08066) both achieved a high rate of 10.00% [1]. - Other companies with notable increases include Zhongshen Jianye (02503) at 9.45% and Baishida Holdings (01168) at 7.73% [1]. Group 3: Stocks with Lower Performance - The report also highlights stocks that did not perform as well, with some reaching 52-week lows, such as Aidewei Construction Group (06189) with a low rate of -11.11% [3]. - Other underperformers include Macau Legend (01680) at -6.33% and Gu Dou Holdings (08308) at -6.00% [3].

Group 1 - As of July 4, 96 stocks reached a 52-week high, with Tongyuan International (03830), ITE HOLDINGS (08092), and China National Cultural Industry (00745) leading the high rate at 36.07%, 25.49%, and 25.00% respectively [1] - The top three stocks by closing price that reached a 52-week high are Tongyuan International at 0.078, ITE HOLDINGS at 0.052, and China National Cultural Industry at 0.300 [1] - Other notable stocks that reached a 52-week high include Nippon Kyoei (00627) at 21.54% and Sanofi (02257) at 21.50% [1] Group 2 - The 52-week low rankings show that Health Road (02587) had the largest decline at -18.31%, followed by Rongda Technology (09881) at -12.43% [3] - Other stocks that reached a 52-week low include New Stone Culture (01740) at -8.62% and Emperor Entertainment Hotel (00296) at -5.00% [3] - The list of stocks with significant declines also includes Qiyi Technology (01739) at -3.38% and Huanying Media (01003) at -2.86% [3]

Summary of Key Points Core Viewpoint - As of July 3, a total of 120 stocks reached their 52-week highs, indicating a strong market performance with notable leaders in the list [1]. Group 1: Top Performers - The top three stocks with the highest increase rates are: - 富誉控股 (Fuyou Holdings) at 90.76%, closing at 0.435 with a peak of 0.475 [1] - 信义能源 (Xinyi Energy) at 65.00%, closing at 1.200 with a peak of 1.980 [1] - 中国三三传媒 (China San San Media) at 42.86%, closing at 1.710 with a peak of 1.900 [1] Group 2: Additional Notable Stocks - Other notable stocks include: - ITE HOLDINGS at 34.21% increase, closing at 0.047 with a peak of 0.051 [1] - 星凯控股 (Xingkai Holdings) at 30.00%, closing at 0.480 with a peak of 0.650 [1] - 北京北辰实业股份 (Beijing Beichen Industrial) at 26.47%, closing at 0.940 with a peak of 1.290 [1] Group 3: Overall Market Trends - The overall trend shows a significant number of stocks achieving new highs, reflecting positive investor sentiment and market conditions [1].

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) [Consolidated Statement of Profit or Loss](index=1&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss) For the year ended March 31, 2025, the Group's revenue increased by **56.7%** year-on-year to **HK$43.71 million**, and despite gross profit decreasing from **HK$5.44 million** to **HK$3.95 million**, the annual loss significantly narrowed from **HK$43.67 million** in the prior year to **HK$4.78 million**, primarily due to a net reversal of impairment losses on trade receivables Consolidated Statement of Profit or Loss Summary (HKD '000) | Metric | 2025 | 2024 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | 43,708 | 27,883 | +56.7% | | Gross Profit | 3,947 | 5,439 | -27.4% | | Loss Before Tax | (4,782) | (44,434) | Loss narrowed by 89.2% | | Loss for the Year Attributable to Owners of the Company | (4,782) | (43,668) | Loss narrowed by 89.1% | | Basic Loss Per Share (HK cents) | (4.84) | (45.44) | Loss narrowed by 89.3% | - The year saw a net reversal of impairment losses on trade receivables of **HK$6.67 million**, compared to an impairment loss provision of **HK$34.45 million** in the prior year, which was a key factor in the significant narrowing of the annual loss[2](index=2&type=chunk) [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This year, total other comprehensive income amounted to **HK$17.30 million**, primarily due to a **HK$18.49 million** gain from reclassification of cumulative exchange reserves upon disposal of overseas operations, resulting in a turnaround to total comprehensive income attributable to owners of the Company of **HK$12.52 million**, compared to a total comprehensive expense of **HK$44.23 million** in the prior year Other Comprehensive Income/(Expense) Summary (HKD '000) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Loss for the Year | (4,782) | (43,668) | | Other Comprehensive Income/(Expense) for the Year | 17,303 | (563) | | **Total Comprehensive Income/(Expense) for the Year Attributable to Owners of the Company** | **12,521** | **(44,231)** | - A reclassification adjustment of cumulative exchange reserves amounting to **HK$18.49 million** from the disposal of overseas operations was the primary reason for the other comprehensive income recorded this year[3](index=3&type=chunk) [Consolidated Statement of Financial Position](index=3&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of March 31, 2025, the Group's total assets increased to **HK$51.88 million**, and total liabilities significantly decreased to **HK$7.30 million**, leading to a substantial improvement in the balance sheet with total equity rising from **HK$16.75 million** to **HK$44.58 million**, and net current assets increasing from **HK$14.48 million** to **HK$43.49 million** Consolidated Statement of Financial Position Summary (HKD '000) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | **Assets** | | | | Non-current Assets | 1,081 | 2,267 | | Current Assets | 50,795 | 29,772 | | **Total Assets** | **51,876** | **32,039** | | **Equity and Liabilities** | | | | Total Equity | 44,575 | 16,750 | | Current Liabilities | 7,301 | 15,289 | | **Total Liabilities** | **7,301** | **15,289** | | **Total Equity and Liabilities** | **51,876** | **32,039** | - Cash and cash equivalents significantly increased from **HK$0.727 million** to **HK$15.04 million**, substantially enhancing the Group's liquidity[4](index=4&type=chunk) [Notes to the Consolidated Financial Statements](index=5&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) [1. Company Information](index=5&type=section&id=1.%20Company%20Information) The Company is an exempted limited liability company incorporated in the Cayman Islands, primarily engaged in design services and advertising through mobile devices, e-commerce, film trading and production, with financial statements prepared in Hong Kong Dollars - The Group is primarily engaged in mobile device design and advertising, internet product sales (e-commerce), film trading and production, and other related services[7](index=7&type=chunk) - The Company's directors believe that the Company has no direct and ultimate holding company or ultimate controlling party[7](index=7&type=chunk) [3. Segment Information](index=7&type=section&id=3.%20Segment%20Information) The Group's operations are divided into two main segments: advertising and e-commerce, with the advertising segment turning profitable this year with **HK$9.36 million** in results, while the e-commerce segment shifted from profit to loss with **HK$1.38 million** in losses, leading to an overall segment result improvement from a **HK$41.40 million** loss last year to a **HK$7.97 million** profit Segment Revenue and Results (HKD '000) | Segment | Revenue (2025) | Revenue (2024) | Results (2025) | Results (2024) | | :--- | :--- | :--- | :--- | :--- | | Advertising | 13,686 | 5,800 | 9,357 | (42,753) | | E-commerce | 30,022 | 22,083 | (1,384) | 1,352 | | **Total** | **43,708** | **27,883** | **7,973** | **(41,401)** | - All revenue from external customers originated from the Hong Kong region[17](index=17&type=chunk) [9. Loss Per Share](index=11&type=section&id=9.%20Loss%20Per%20Share) Basic and diluted loss per share for the year was **4.84 HK cents**, a significant narrowing from **45.44 HK cents** (restated) in the prior year, with the weighted average number of shares increasing due to the rights issue in March 2025 Loss Per Share Calculation | Metric | 2025 | 2024 (Restated) | | :--- | :--- | :--- | | Loss for the Year Attributable to Owners of the Company (HKD '000) | (4,782) | (43,668) | | Weighted Average Number of Shares (thousands) | 98,749 | 96,097 | | **Basic and Diluted Loss Per Share (HK cents)** | **(4.84)** | **(45.44)** | [10. Trade Receivables](index=12&type=section&id=10.%20Trade%20Receivables) At the end of the reporting period, total trade receivables amounted to **HK$55.74 million**, with a net amount of **HK$16.48 million** after an impairment allowance for credit losses of **HK$39.27 million**, and despite some overdue amounts, management believes these balances are recoverable due to no recent default records - Net trade receivables increased from **HK$11.29 million** to **HK$16.48 million**, while the allowance for credit losses decreased from **HK$55.02 million** to **HK$39.27 million**[36](index=36&type=chunk) - The credit period granted to customers is a maximum of **90 days**[37](index=37&type=chunk) [Management Discussion and Analysis](index=13&type=section&id=Management%20Discussion%20and%20Analysis) [Business and Financial Review](index=13&type=section&id=Business%20and%20Financial%20Review) This year, the Group's revenue grew by **57%** year-on-year to approximately **HK$43.71 million**, driven by both advertising and e-commerce segments, while the gross profit margin decreased from **19.5%** to **9.0%** due to a higher proportion of lower-margin e-commerce revenue, and the loss attributable to owners of the Company significantly narrowed to **HK$4.78 million**, primarily due to the net impact of impairment loss provisions on trade receivables - Revenue increased by **57%** year-on-year to approximately **HK$43.71 million**, primarily due to increased turnover in both the advertising and e-commerce segments[40](index=40&type=chunk) - Gross profit margin decreased from **19.5%** to **9.0%**, mainly due to an increased proportion of revenue from the lower-margin e-commerce segment[40](index=40&type=chunk) - Loss attributable to owners of the Company significantly decreased from **HK$43.67 million** to **HK$4.78 million**[40](index=40&type=chunk) [Significant Investments](index=13&type=section&id=Significant%20Investments) The Group maintains a diversified investment portfolio and closely monitors market trends, with financial assets held for trading totaling approximately **HK$17.12 million** and equity instruments at fair value through other comprehensive income totaling approximately **HK$1.08 million** at the end of the reporting period, and the Group remains committed to achieving long-term returns from its investments Financial Assets Held for Trading (HKD '000) | Name of Investee Company | Fair Value as at March 31, 2025 | Percentage of Total Assets | | :--- | :--- | :--- | | Capital Strategic Investment Limited (2324.HK) | 1,838 | 3.5% | | Asia Resources Holdings Limited (8413.HK) | 948 | 1.8% | | Other Listed Securities | 14,338 | 27.6% | | **Total** | **17,124** | **32.9%** | Equity Instruments at Fair Value Through Other Comprehensive Income (HKD '000) | Name of Investee Company | Fair Value as at March 31, 2025 | Percentage of Total Assets | | :--- | :--- | :--- | | Regal Time Group Holdings Limited (1327) | 514 | 1.0% | | Other Listed Securities | 567 | 1.1% | | **Total** | **1,081** | **2.1%** | - The Group's investment strategy is to invest in a diversified and flexible portfolio to maximize sustainable long-term returns[45](index=45&type=chunk) [Capital Structure, Liquidity and Financial Resources](index=15&type=section&id=Capital%20Structure%2C%20Liquidity%20and%20Financial%20Resources) At the end of the reporting period, the Group's cash and bank balances significantly increased to **HK$15.04 million**, with no bank borrowings and a zero gearing ratio, and during the year, the Company completed a capital reorganization and rights issue, improving its capital structure and liquidity position - As of March 31, 2025, total cash and bank balances were approximately **HK$15.04 million**, compared to **HK$0.727 million** in the prior year[50](index=50&type=chunk) - The Group had no bank borrowings and a zero gearing ratio as of March 31, 2025[50](index=50&type=chunk) - During the year, the Company completed a capital reorganization and rights issue, issuing **156 million** rights shares[49](index=49&type=chunk) [Share Option Scheme](index=16&type=section&id=Share%20Option%20Scheme) As of March 31, 2025, outstanding share options granted under the share option scheme involved **5,888,400 shares**, representing **2.51%** of the issued shares, with **9,665,200** options lapsing during the year and no new options granted or exercised - As of March 31, 2025, outstanding share options involved **5,888,400 shares**, representing **2.51%** of the issued shares[60](index=60&type=chunk) - A total of **9,665,200** share options lapsed during the year[63](index=63&type=chunk) [Outlook](index=19&type=section&id=Outlook) The Group remains confident in accelerated growth for 2025, primarily driven by Hong Kong's strong economic recovery and the expansion of the digital economy, with future plans including continued development of existing businesses, seeking acquisition and collaboration opportunities, and potential expansion into other industries such as media and culture for business diversification - The Group is optimistic about future growth, viewing Hong Kong's economic recovery and the expansion of the digital economy as key drivers[67](index=67&type=chunk) - Future plans include: - Continued development of advertising and e-commerce businesses - Business expansion through acquisitions, product portfolio enhancement, and collaborations - Diversification into other industries such as media and culture[73](index=73&type=chunk) [Other Information](index=20&type=section&id=Other%20Information) [Dividend](index=20&type=section&id=Dividend) The Board does not recommend the payment of any dividend for the year ended March 31, 2025 - The Board does not recommend the payment of any dividend for the current year[69](index=69&type=chunk) [Corporate Governance](index=20&type=section&id=Corporate%20Governance) The Group has complied with all code provisions of the Corporate Governance Code during the reporting year, and all directors have confirmed compliance with the Model Code for Securities Transactions by Directors - The Group has adopted and consistently complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 to the Listing Rules during the current year[71](index=71&type=chunk) [Directors' and Major Shareholders' Interests](index=21&type=section&id=Directors%27%20and%20Major%20Shareholders%27%20Interests) The report discloses that four directors each hold **490,700** unlisted share options, and apart from the disclosed options, no directors or chief executives held disclosable interests in shares, and furthermore, no major shareholders held disclosable interests or short positions at the end of the reporting period - Four directors (Sun Wei, Man Qiaozhen, Wang Miaojun, Wang Yujie) each hold **490,700** unlisted share options, each representing **0.21%** of the issued share capital[74](index=74&type=chunk) - As of March 31, 2025, no major shareholders held any interests or short positions in the shares or underlying shares that are required to be disclosed under the Securities and Futures Ordinance[77](index=77&type=chunk)

Group 1 - The core point of the article highlights the performance of China National Cultural Industry (00745.HK), which saw a significant increase in its stock price by 34.27% to HKD 0.239 per share, with a trading volume of 2.1087 million shares and a turnover of HKD 431,800, reflecting a volatility of 30.9% [1] - Over the past month, China National Cultural Industry has achieved a cumulative increase of 1.71%, and since the beginning of the year, it has risen by 60.79%, outperforming the Hang Seng Index by 22.01% [1] - Financial data shows that as of September 30, 2024, the company reported total operating revenue of HKD 23.5097 million, a year-on-year growth of 4.33%, while the net profit attributable to the parent company was a loss of HKD 1.1552 million, with a year-on-year increase of 82.51%. The gross profit margin stood at 13.67%, and the debt-to-asset ratio was 47.6% [1] Group 2 - Currently, there are no institutional investment ratings for China National Cultural Industry [2] - In terms of industry valuation, the average price-to-earnings (P/E) ratio for the media and entertainment sector (TTM) is -6.98 times, with a median of -1.49 times. China National Cultural Industry has a P/E ratio of -1.11 times, ranking 99th in the industry [2] - The company primarily engages in providing advertising media services and film production and distribution [2]

Share Option Scheme - The maximum number of shares available for issuance under the share option scheme is clarified to be 15,555,325 shares, correcting a previous printing error[3] Annual Report - The annual report for the year ending March 31, 2024, was published on July 31, 2024[3] - No other changes were made to the content of the annual report aside from the clarification mentioned[4] Corporate Governance - The announcement was made on June 16, 2025, indicating ongoing corporate governance and transparency efforts[6] - The board acknowledges the error and takes responsibility for ensuring accurate information dissemination[3] Board of Directors - The board of directors consists of executive directors Sun Wei and Man Qiaozhen, along with independent non-executive directors Liao Guangsheng, Wang Miaojun, and Wang Yujie[6] Communication and Accountability - The company emphasizes the importance of accurate reporting and accountability in its communications[2] - The announcement is part of the company's commitment to maintaining investor relations and providing updates on corporate matters[2] - The company continues to focus on its operational integrity and shareholder communication[2] Company Information - The company operates under the name China National Culture Group Limited, registered in the Cayman Islands[2]

Group 1: Market Performance - The automotive parts sector saw significant stock price increases, with Tongxin Transmission rising by 22.83%, and several other companies, including Meichen Technology and Xinrui Technology, hitting the 20% daily limit [1][2] - Other notable performers included Jindao Technology, Huayang Transmission, and Disenli, all of which experienced gains exceeding 10% [1][2] Group 2: Policy Impact - Recent directives from the Ministry of Industry and Information Technology and the State-owned Assets Supervision and Administration Commission aim to stabilize supply chains and promote high-quality development in the automotive industry [1][3] - The implementation of the "Regulations on Ensuring Payment to Small and Medium Enterprises" on June 1 mandates that large enterprises must pay small and medium suppliers within 60 days of delivery, addressing long-standing payment issues in the automotive supply chain [1][3] Group 3: Corporate Commitments - Major automotive companies, including FAW Group, Dongfeng Motor, and Guangzhou Automobile Group, have committed to limiting supplier payment terms to 60 days, aligning with the new regulations and promoting a healthier industry ecosystem [3][4][5] - This collective commitment is seen as a move to resist unhealthy competition and restore balance within the industry [3][12] Group 4: Industry Dynamics - The average accounts payable turnover days for 32 listed vehicle manufacturers reached 109.74 days, while 241 listed auto parts companies had an average accounts receivable turnover of 100.99 days, indicating significant pressure on smaller suppliers [11] - The automotive industry has historically seen a power imbalance, with large manufacturers exerting significant influence over payment terms, often leading to financial strain on smaller suppliers [11][12]