香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不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。 SOUNDWILL HOLDINGS LIMITED 金 朝 陽 集 團 有 限 公 司* ( 於百慕達註冊成立之有限公司 ) (股份代號：878) 董事會會議通告 陳慶達 香港，2025 年 8 月 8 日 於本公告日期，本公司董事會之成員包括 ( i ) 執行董事︰傅金珠、陳慧苓、陳慶達及謝 偉衡 ; 及 ( i i ) 獨立非執行董事 ︰ 陳啟能 、浦炳榮及楊俊文。 * 僅供識別 1 1. 考慮及批准本公司及其附屬公司截至 2025 年 6 月 30 日止 6 個月之未經審核簡明綜 合財務業績（「2025 年中期業績」）及將於香港聯合交易所有限公司（「聯交所」） 網站及本公司網站刊登 2025 年中期業績之初步公告及報告； 2. 考慮派發中期股息(如有)； 3. 考慮暫停辦理股份過戶登記手續(如有需要)；及 4. 處理任何其他事項。 金朝陽集團有限公司(「本公司」董事(「董事」會(「董事會」)謹此 ...

Financial Performance - The group's total revenue for 2024 was HKD 21,000 million, a decrease of 5.5% from HKD 22,223 million in 2022[11]. - The property leasing segment generated revenue of HKD 331 million in 2024, down 6% from HKD 352 million in 2023[12][13]. - The property development segment saw a significant decline in revenue, dropping to HKD 23 million in 2024 from HKD 875 million in 2023, representing a decrease of 97.4%[14][15]. - The group reported a loss attributable to owners of HKD 2,492 million in 2024, compared to a loss of HKD 647 million in 2023[18][19]. - The group recorded revenue of approximately HKD 1,229,732,000 for the year ending December 31, 2024, representing an increase of about 211% compared to HKD 395,892,000 in 2023[40]. - The group reported a loss attributable to owners of approximately HKD 2,491,851,000 for 2024, an increase of 285% from HKD 646,511,000 in 2023[40]. - The net fair value loss of investment properties for 2024 was HKD 2,901 million, reflecting a year-on-year increase of 139%[41]. - The total transaction value of non-residential properties has decreased by approximately 10% despite a stabilization in sales volume over the past two years[41]. - The group’s investment properties primarily consist of commercial and industrial properties[40]. Asset and Liabilities - The group's net asset value decreased to HKD 15,677 million in 2024, down from HKD 18,460 million in 2023, reflecting a decline of 15.1%[22][23]. - The total assets decreased to HKD 17,975 million in 2024 from HKD 21,000 million in 2023[93]. - The company's cash and bank balances were HKD 1,150 million as of December 31, 2024, slightly up from HKD 1,138 million in 2023[98]. - The total borrowings decreased to HKD 1,360 million in 2024 from HKD 1,517 million in 2023, resulting in a capital debt ratio of 9% compared to 8% in the previous year[98]. - The net asset value as of December 31, 2024, was HKD 15,677 million, down from HKD 18,460 million in 2023, with a decrease in the net asset value per share from HKD 65.2 to HKD 55.3[96][97]. Market Conditions and Strategy - The rental income faced significant pressure due to market uncertainties, impacting the group's cash flow negatively[26]. - The group anticipates that the economic recovery in Hong Kong will remain sluggish in the short to medium term[41]. - The group is actively monitoring market conditions and adjusting strategies accordingly to navigate the current economic landscape[41]. - The group is adapting its marketing strategies to target younger consumers and mainland tourists in response to changing consumption patterns post-pandemic[26]. - The company plans to initiate construction on developable properties, entering a capital-intensive phase amid rising construction costs[27]. Property Development and Management - The group is focusing on enhancing its mini-storage services, launched last year, to meet the growing demand for storage space[26]. - The overall occupancy rate for the mini-storage business reached 80%, with some locations nearing 90% occupancy[73]. - The group's property management revenue for the year ending December 31, 2024, was approximately HKD 23.3 million, a 8% increase from HKD 21.5 million in 2023, but it accounted for only 2% of total revenue compared to 5% in the previous year[79]. - The company plans to expand its mini-storage services, including a new door-to-door mini-box service, which has already achieved over 60% rental rate[73]. - In 2024, the group's property development revenue primarily comes from the completion of unit sales in iCITY, with many sales agreements made in 2022 when the Hong Kong government introduced stamp duty measures to curb speculation[77]. Corporate Governance - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange listing rules, emphasizing the importance of strong corporate governance for long-term growth[108]. - The roles of the chairman and CEO are not separated, with the chairman also overseeing the overall development strategy of the group[109]. - The company is committed to maintaining high standards of corporate governance to enhance corporate image and reduce fraud risk[110]. - The board has delegated various responsibilities to committees, including the audit committee, remuneration committee, and nomination committee, to ensure effective governance[111]. - The independent non-executive directors have confirmed their independence in accordance with the listing rules, ensuring compliance with governance standards[114]. Employee and Community Engagement - The total employee compensation for the year 2024 is approximately HKD 160,552,000, slightly up from HKD 160,542,000 in 2023, with no stock option expenses incurred during the year[106]. - The average number of employees in Hong Kong and mainland China for the year was 303 and 45, respectively, compared to 297 and 33 in 2023[106]. - The company emphasizes effective communication with shareholders to enhance investor relations, including regular updates and meetings to discuss business performance and strategies[144]. - The group contributed 467 hours of volunteer service and made approximately HKD 300,000 in cash and in-kind donations to support community initiatives[168]. - The company collaborates with community service centers to launch the "Morning Sun Ambassador" environmental volunteer program, enhancing corporate social responsibility efforts[196]. Environmental, Social, and Governance (ESG) Initiatives - The group has established a governance framework to enhance sustainability and has received multiple awards for its environmental, social, and governance (ESG) efforts, including the "Social Capital Power Award 2024" and "ESG Co-Creation Award 2024"[85]. - The group aims to achieve a 6% reduction in energy consumption intensity by 2027, aligning with its sustainability goals[168]. - The group reported greenhouse gas emissions of 3,925.79 tons of CO2 equivalent for the year[168]. - The company is committed to integrating ESG principles into its operations, guided by four core pillars: talent retention, environmental protection, community building, and customer service[179]. - The board conducts comprehensive annual risk assessments, identifying key ESG risks including employee health and safety, network security, and environmental compliance[199].

Financial Performance - Total revenue for the year ended December 31, 2024, was HKD 1,230 million, a significant increase from HKD 396 million in 2023, representing a growth of 210%[2] - The gross profit for the year was HKD 701 million, compared to HKD 353 million in the previous year, indicating a gross margin improvement[3] - The net loss attributable to shareholders for the year was HKD 2,492 million, compared to a loss of HKD 647 million in 2023, reflecting a deterioration in performance[3] - The group's profit before tax showed a substantial loss of HKD 2,407,664,000 in 2024, compared to a loss of HKD 623,693,000 in 2023, indicating a deterioration in financial performance[21] - The loss attributable to the company's owners for 2024 was approximately HKD 2,491,851,000, an increase of 285% from HKD 646,511,000 in 2023[33] Assets and Liabilities - The total assets decreased to HKD 17,975 million from HKD 21,000 million, a decline of approximately 14.4%[2] - The total liabilities decreased to HKD 1,360 million from HKD 1,517 million, showing a reduction in debt levels[2] - The capital-to-debt ratio increased slightly to 9% from 8%, indicating a marginal increase in financial leverage[2] - The group's net asset value as of December 31, 2024, was HKD 15,676,741,000, down from HKD 18,459,862,000 in the previous year[83] - The total borrowings of the group as of December 31, 2024, were HKD 1,359,858,000, down from HKD 1,516,799,000 in the previous year[84] Revenue Sources - Revenue from property development, specifically from completed properties for sale, surged to HKD 875,054,000 in 2024, compared to HKD 22,729,000 in 2023, marking an increase of over 3,850%[15] - The group's property development revenue reached HKD 875,054,000, a significant increase of 3,750% compared to HKD 22,729,000 in the previous year, accounting for 71% of total revenue[58][60] - Rental income for 2024 was approximately HKD 331,379,000, a decrease from HKD 351,684,000 in 2023, accounting for 27% of total revenue compared to 89% in the previous year[43] - The group reported a decrease in rental income from property leasing, which fell to HKD 331,379,000 in 2024 from HKD 351,684,000 in 2023, a decline of about 6%[15] - Property leasing revenue for the year was HKD 478 million, reflecting a year-on-year decline of 10%[47] Expenses and Income - Other income and losses totaled HKD 71,721,000 in 2024, down from HKD 437,888,000 in 2023, reflecting a decrease of approximately 84%[15] - The group’s administrative expenses were HKD 59,462,000 in 2024, slightly reduced from HKD 61,296,000 in 2023[21] - The group’s interest income from loans receivable increased significantly to HKD 9,022,000 in 2024 from HKD 596,000 in 2023, representing a growth of approximately 1,414%[15] - The group’s depreciation expenses for right-of-use assets decreased to HKD 529,000 in 2024 from HKD 3,248,000 in 2023, a reduction of about 84%[24] Market Conditions - The company noted a significant decline in demand for premium retail space due to changing consumer preferences and economic conditions[37] - The mainland China real estate market remains in a correction phase, with new home sales significantly down compared to the previous year[62] - The average price-to-book (P/B) ratio for the real estate sector in Hong Kong has decreased by about 48% from the end of 2015 to the end of 2024[37] - The overall price index for private subdivided industrial properties in Hong Kong decreased by 18% from 880 in 2022 to 718 in 2024[60] - The average monthly rent for private retail properties in Hong Kong Island decreased by approximately 8% from HKD 1,265 per square meter in 2021 to HKD 1,165 per square meter in 2024[47] Future Plans and Strategies - The company plans to focus on expanding its market presence and enhancing its product offerings in the upcoming year[3] - The group anticipates increased pressure on leasing operations in the coming years due to regulatory changes affecting older residential units[48] - The group plans to invest significantly in property development projects, with construction costs for certain projects expected to exceed HKD 2.2 billion[76] - The group aims to maintain its long-term strategic goals despite challenges in cash flow and potential difficulties in sustaining dividend levels[79] Corporate Governance and Compliance - The group has complied with the corporate governance code, except for the separation of the roles of chairman and CEO, which are held by the same individual[103] - The group confirmed that all directors complied with the standard code for securities trading during the year[104] - The annual performance announcement has been published on the company's website and the Hong Kong Stock Exchange website[106] - The 2024 annual report will be sent to shareholders in accordance with listing rules at an appropriate time[106] Employee and Membership Information - The total employee compensation for the year 2024 was approximately HKD 160,552,000, slightly up from HKD 160,542,000 in 2023, with an average of 303 employees in Hong Kong and 45 in mainland China[93] - The Soundwill Club saw a 16% increase in new membership, successfully boosting merchant sales[69] Dividends and Shareholder Information - The company did not declare any final or special dividends for the year, compared to HKD 0.20 and HKD 0.80 per share in 2023[2] - The board of directors did not recommend the distribution of a final dividend for the year ending December 31, 2024, compared to a final dividend of HKD 0.20 per share and a special dividend of HKD 0.80 per share in 2023[95] Miscellaneous - The group applied for a sale order for the property at the site of the Xi Yun Building with a reserve price of HKD 2,425,000,000, but no bids were received during the auction held on April 17, 2024[87] - The group has pledged investment properties and equipment with a total book value of approximately HKD 9,335,969,000 as collateral for bank financing as of December 31, 2024[91] - The group provided guarantees of approximately HKD 13,172,000 for mortgage loans obtained by property buyers as of December 31, 2024, down from HKD 40,220,000 in 2023[92] - The group has not conducted any purchases, sales, or redemptions of its listed securities during the year[98] - The group’s annual general meeting is scheduled for June 12, 2025, with a suspension of share transfer registration from June 9 to June 12, 2025[96][97]

Financial Performance - Total revenue for the six months ended June 30, 2024, was HKD 1,030.1 million, compared to HKD 212.3 million for the same period in 2023[4]. - The net loss attributable to the company's owners was HKD 974.8 million, compared to a loss of HKD 347.7 million in the previous year[4]. - The group recorded total revenue of approximately HKD 1,030,115,000 for the six months ending June 30, 2024, an increase of approximately HKD 817,812,000 compared to HKD 212,303,000 for the same period last year[29]. - The group reported a loss attributable to owners of approximately HKD 974,829,000 for the six months ending June 30, 2024, representing an increase in loss of 180% compared to a loss of HKD 347,746,000 for the same period last year[29]. - The basic loss per share was HKD 3.44, an increase from HKD 1.23 in the same period last year[31]. - The net loss for the period was HKD 974,549, which is a substantial increase from a net loss of HKD 347,741 in the previous year, reflecting a deterioration of approximately 180%[55]. - The company reported a loss before tax of HKD 974,829,000 for the six months ended June 30, 2024, compared to a loss of HKD 347,746,000 for the same period in 2023, indicating a significant increase in losses[86]. Asset and Liability Management - The total value of assets decreased to HKD 19,488 million from HKD 21,000 million year-on-year[6]. - The net asset value dropped to HKD 17,213 million from HKD 18,460 million as of December 31, 2023[6]. - As of June 30, 2024, the group's cash and bank balances were approximately HKD 1,073,875,000, down from HKD 1,138,306,000 as of December 31, 2023[32]. - The total borrowings as of June 30, 2024, amounted to HKD 1,394,138,000, a decrease from HKD 1,516,799,000 as of December 31, 2023[32]. - The company's total non-current assets decreased to HKD 17,208,861 from HKD 18,333,084, a decline of approximately 6%[60]. - Current liabilities increased to HKD 2,118,001 from HKD 1,457,481, representing an increase of about 45%[61]. - The total liabilities for the same period were HKD 2,274,648,000, down from HKD 2,640,371,000 as of December 31, 2023[76]. Revenue Segmentation - The property leasing business generated revenue of approximately HKD 173.7 million, accounting for 17% of total revenue during the period[15]. - For the six months ending June 30, 2024, the property development segment generated revenue of approximately HKD 846,029,000, accounting for about 82% of the group's total revenue during the period[18]. - The group identified three operational segments: property development, property leasing, and building management and other services, with specific revenue contributions not detailed in the provided data[72]. Operational Strategies - The group is actively seeking to expand its business operations in various directions, aiming for a stable and healthy development of the overall real estate market in the second half of the year[18]. - The group plans to enhance its security measures by establishing a security control center equipped with advanced security systems to provide safer storage services[18]. - The group aims to maintain a cautious yet innovative management strategy to improve operational efficiency and performance in response to market demands[27]. - The overall rental income recorded a decline, but the group aims to improve this through optimizing tenant mix and enhancing property quality[15]. Investment and Capital Management - The company has not made any significant investments during the financial period ended June 30, 2024[33]. - The company has not engaged in any major acquisitions or disposals of subsidiaries, associates, or joint ventures during the six months ended June 30, 2024[35]. - The company has a capital commitment of HKD 18,630,000 for the acquisition of investment properties as of June 30, 2024[110]. Employee and Compensation - The total employee compensation for the six months ended June 30, 2024, was approximately HKD 73,911,000, compared to HKD 67,051,000 for the same period last year[38]. - Employee compensation expenses amounted to HKD 26,562,000 for the six months ended June 30, 2024, up from HKD 24,473,000 in 2023, reflecting a year-on-year increase of approximately 8.5%[86]. Corporate Governance - The company has complied with the corporate governance code, except for the separation of roles between the Chairman and the CEO, which are held by the same individual[52]. - The audit committee, composed of three independent non-executive directors, reviewed the financial statements for the six months ending June 30, 2024, with no disagreements noted[51]. Market Outlook - The group anticipates that the economic outlook will remain weak, with investors likely to adopt a conservative approach due to ongoing geopolitical tensions and inflation risks[25]. Miscellaneous - The group has established an environmental management energy-saving team to reduce carbon emissions and implement energy-saving measures[20]. - The company has not recommended the payment of an interim dividend for the six months ending June 30, 2024[28]. - The company completed the sale of its subsidiary, Zhuhai Shanshui Huacheng Property Management Co., Ltd., for a total consideration of RMB 14,907,000 (approximately HKD 15,997,000) on June 27, 2024[108].

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佈之內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任何部份內容 而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 SOUNDWILL HOLDINGS LIMITED 金朝陽集團有限公司 * （於百慕達註冊成立之有限公司） （股份代號：878） 截至二零二四年六月三十日止六個月之中期業績 財務摘要 | --- | --- | --- | |------------------------|-----------------------------------------------------------------|---------------------------------------------------| | | 截至六月三十日止六個月 \n二零二四年 （未經審核） 港幣百萬元 | 二零二三年 （未經審核） 港幣百萬元 | | 收益 | 1,030.1 | 212.3 | | 投資物業公平值虧損淨額 | (1,324) | (482.9) | | 本公司擁有人應佔虧損 | (974.8) | (34 ...

ESG Management and Sustainability - The company emphasizes the importance of managing ESG risks and opportunities, particularly in response to climate change, and has updated existing policies to set ambitious yet achievable goals[22]. - The company aims to enhance its carbon emission performance and is committed to low-carbon transformation as part of its corporate social responsibility efforts[23]. - The group aims to reduce energy consumption intensity by 6% by 2027 and incorporate energy-saving measures into the selection criteria for new suppliers and investments[39]. - The total greenhouse gas emissions for the year were 3,990.38 tons of CO2 equivalent, with waste generation at 7,764.53 tons and energy consumption at 6,675.69 MWh[39]. - The group conducted a stakeholder survey to identify key ESG issues for disclosure, ensuring consistency in measuring and calculating key performance indicators[31]. - The group is committed to sustainable development through collaboration with partners, consumers, and communities to create a healthier living environment[50]. - The ESG committee monitors the group's ESG performance and develops policies and measures to manage ESG and climate-related issues[68]. - The group aims to ensure that emissions correspond with business growth by 2027[39]. - In 2023, the carbon emissions were reduced by over 70% compared to 2022[70]. - The group aims to reduce greenhouse gas emissions intensity by 6% by 2027, with a 70% reduction in waste emissions in 2023 compared to 2022[108]. - The group has established a comprehensive supplier selection process to mitigate ESG risks, focusing on diverse and responsible sourcing[96]. - The group has implemented a three-step materiality assessment to identify significant ESG issues affecting business strategy and decision-making[102]. - The group has established a matrix to assess the overall importance of 21 ESG issues based on their impact on business value and societal effects[103]. - The group plans to monitor waste generation closely to ensure alignment with business growth by 2027[108]. - The company has established a community investment strategy to ensure a positive impact on the community[93]. - The company continues to collaborate with various NGOs to support those in need within the community[93]. - Five key ESG issues identified this year include business ethics and integrity, compliance management, privacy and data security, occupational health and safety, and training and development[105]. - The group is committed to exploring solutions for environmental challenges as part of its sustainability efforts[107]. Corporate Governance - The board consists of seven members with a gender ratio of 2.5:1 as of December 31, 2023, and aims to maintain gender diversity in its composition[14]. - The company has adopted a policy for the accurate and secure handling of inside information to prevent improper management of such information[13]. - The company has retained an independent risk management firm to conduct internal audits and evaluate the effectiveness of its risk management and internal control systems[12]. - The nomination committee has held two meetings during the year, ensuring compliance with relevant laws and regulations in the candidate selection process[6]. - The audit committee is responsible for reviewing the accounting principles adopted by the group and discussing financial reporting matters, including interim and annual performance[2]. - The board is responsible for overseeing sustainability and climate-related matters, ensuring they are integrated into governance, strategy, risk management, and reporting[66]. Financial Performance - The group's total revenue for 2023 was HKD 569 million, a 19% increase from HKD 478 million in 2022[135]. - Property leasing accounted for 89% of total revenue, while property development and building management contributed 6% and 5% respectively[160]. - The group's total assets reached HKD 22,277 million in 2023, up from HKD 22,223 million in 2022[157]. - The net asset value of the group decreased to HKD 18,460 million in 2023 from HKD 19,176 million in 2022, reflecting a decline of approximately 3.7%[160]. - The group reported a loss attributable to owners of HKD 647 million in 2023, an improvement from a loss of HKD 808 million in 2022[159]. - The chairman noted that the global economic recovery was weaker than expected due to high interest rates and geopolitical factors[142]. - The group maintained a cautious outlook for 2024, considering ongoing inflation risks and central bank policies[142]. Market Strategy and Operations - The group plans to focus on expanding its property leasing portfolio in response to market conditions[152]. - The company is exploring new strategies for market expansion and potential acquisitions to enhance growth opportunities[152]. - The group reported a significant recovery in consumer traffic and rental rates, with average rental returns showing an increase during the year[164]. - Overall rental income for the group experienced a decline due to rental support measures for potential tenants and the gradual recovery of rental income[164]. - The group launched various promotional and marketing activities to enhance the competitiveness and visibility of its properties, targeting both local consumers and overseas tourists[176]. - The new industrial development project, iCITY, was completed at the end of last year and is currently in the process of tenant move-in arrangements[164]. - The group is actively expanding its mini-storage business and investing in service enhancements to meet customer expectations, including transportation services and a one-stop mini-box service[164]. - The group is focusing on identifying potential old building properties to enhance the quality and value of real estate in Hong Kong, despite a weak property transaction market due to high interest rates[182]. - The retail market is expected to recover in densely populated core areas, benefiting the group's major investment properties located in prime locations[184]. - The group recorded an increase in foot traffic and tenant sales at key properties, including the Golden Sunrise Center and its second phase, Midtown[199]. - The new industrial project, iCITY, was completed in November and has attracted significant interest from local and overseas investors, resulting in strong sales performance[200]. - The overall rental income still experienced a decline due to the need for rental support measures for certain tenants and the time required to restore rental income[199]. - The group plans to cautiously replenish land reserves and seek prudent development opportunities in the current high-interest environment[200]. - The property leasing revenue decreased from HKD 376,134,000 in 2022 to HKD 351,684,000 in 2023, reflecting the challenging market conditions[183]. - The group aims to enhance its leasing business performance by identifying more potential tenants with development opportunities[184]. - The industrial project offers 324 workspaces with flexible designs and high-quality facilities, catering to modern business needs[188]. Customer Satisfaction and Employee Development - The company prioritizes customer privacy, product quality, and cybersecurity to improve customer satisfaction and build trust[25]. - Customer satisfaction survey received 590 valid responses, with approximately 98% of respondents expressing high satisfaction with cleanliness and overall customer service[72]. - The public space cleanliness satisfaction rate was 98.8%, while customer service satisfaction was 97.6%[81]. - The company aims to gradually expand online learning resources for employees[92]. - The company has a policy in place to ensure a safe working environment for employees, with regular assessments of health and safety standards[76]. - The company is committed to developing new technologies and services to improve operational efficiency and customer satisfaction[152].

Financial Performance - Total revenue for the year ended December 31, 2023, was HKD 396 million, a decrease of 17.1% from HKD 478 million in 2022[2] - The net loss attributable to shareholders for 2023 was HKD 647 million, compared to a loss of HKD 268 million in 2022, representing an increase of 141.4%[4] - Basic loss per share for 2023 was HKD 2.28, up from HKD 0.95 in 2022[6] - Rental income for 2023 was HKD 351.7 million, a decline of 6.5% from HKD 376.1 million in 2022[4] - The fair value loss on investment properties for 2023 was HKD 1,212.9 million, significantly higher than the loss of HKD 464.3 million in 2022[4] - The company reported a significant net loss before tax of HKD 623,693,000 in 2023, compared to a loss of HKD 181,671,000 in 2022[42] - The company reported a revenue of approximately HKD 395,892,000 for the year, a decrease of about HKD 82,484,000 compared to HKD 478,376,000 in the previous year, primarily due to high interest rates and changes in consumer behavior affecting the retail market[55] - The loss before tax for the year was HKD 333,922,000, compared to HKD 359,935,000 in the previous year, indicating a reduction in losses[6] - The total tax expense for the year was HKD 22,810,000, significantly lower than HKD 80,720,000 in the previous year, reflecting a decrease in taxable profits[6] - The group recorded a loss attributable to shareholders of approximately HKD 646,511,000, an increase of 141% compared to the loss of HKD 268,201,000 in the previous year, primarily due to a valuation loss on investment properties of HKD 1,212,858,000[72] Assets and Liabilities - Total assets as of December 31, 2023, were HKD 21,000 million, down from HKD 22,223 million in 2022, reflecting a decrease of 5.5%[2] - The total liabilities to equity ratio improved slightly to 8% in 2023 from 9% in 2022[2] - Cash and cash equivalents decreased to HKD 503.1 million in 2023 from HKD 1,122.5 million in 2022, a decline of 55.2%[8] - The total non-current assets decreased to HKD 18,333 million in 2023 from HKD 19,552 million in 2022, a reduction of 6.2%[8] - The group’s net asset value was HKD 18,459,862,000, down from HKD 19,175,634,000 in the previous year, with a net asset value per share of HKD 65.2 compared to HKD 67.7[73] - The group's cash and bank balances amounted to HKD 1,138,306,000, a decrease from HKD 1,394,944,000 in the previous year, while total borrowings were HKD 1,516,799,000, down from HKD 1,774,527,000[74] Revenue Breakdown - Revenue from property development decreased significantly to HKD 22,729,000 in 2023 from HKD 78,611,000 in 2022, representing a decline of 71.1%[34] - Other income, gains, and losses totaled HKD 437,888,000 in 2023, compared to HKD 52,776,000 in 2022, indicating a substantial increase[4b] - Interest income from other sources rose to HKD 54,556,000 in 2023, up from HKD 25,162,000 in 2022, an increase of 116.6%[4a] - For the year ending December 31, 2023, the revenue from the business segment was approximately HKD 21,479,000, a decrease from HKD 23,631,000 in 2022, maintaining a 5% contribution to the group's total revenue[85] - For the year ended December 31, 2023, the property leasing business generated revenue of approximately HKD 351,684,000, accounting for 89% of the group's total revenue, compared to 79% in 2022[101] - The property development segment reported revenue of approximately HKD 22,729,000, representing 6% of the group's total revenue, down from 16% in 2022[109] Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.20 per share and a special dividend of HKD 0.80 per share for 2023[2] - The board proposed a final dividend of HKD 0.20 per share and a special dividend of HKD 0.80 per share for the year ending December 31, 2023, pending shareholder approval[82] Market Outlook and Strategy - The company anticipates that the local property market will improve in 2024, with expectations of a slowdown in property price declines due to the government's removal of market control measures[54] - The company plans to increase land reserves at the appropriate time, leveraging its experience in property investment and mergers and acquisitions[54] - The mainland China real estate market faced downward pressure in the second half of the year, despite initial recovery driven by favorable policies[60] - The group plans to expand its self-storage business and increase store coverage while seeking acquisition opportunities and entering the Southeast Asian market[108] - The group aims to identify potential old building properties for revitalization to enhance property quality and value, despite a weak property transaction market due to high interest rates[115] - The group continues to face challenges in the retail market recovery, with overall economic rebound requiring more time and effort from all sectors[113] Operational Developments - The group has applied new and revised Hong Kong Financial Reporting Standards effective from January 1, 2023, including HKFRS 17 on insurance contracts and amendments to HKAS 8 regarding the definition of accounting estimates[14] - The application of the revised HKAS 1 and HKFRS Practice Statement 2 clarifies the significance of accounting policy disclosures, although it has not had a significant impact on the group's financial position and performance[16][17] - The group has implemented amendments to HKAS 12 regarding deferred tax related to single transactions, which narrows the exceptions for recognizing deferred tax liabilities and assets[18][19] - The group has also adopted amendments to HKAS 12 concerning international tax reform under Pillar Two, requiring immediate application and retrospective implementation of related tax law disclosures[20][22] - The group has not early adopted the revised HKFRS 10 and HKAS 28 regarding asset sales or contributions between investors and their associates or joint ventures, which will be effective for annual periods beginning on or after a date to be determined[23] - The group anticipates that the application of the 2020 and 2022 amendments to HKAS 1 will not lead to a reclassification of liabilities as of December 31, 2023[28] Employee and Community Engagement - The average number of employees in Hong Kong and mainland China was 297 and 33, respectively, with total employee compensation amounting to approximately HKD 160,542,000, an increase from HKD 141,455,000 in the previous year[71] - The group is actively involved in community service through its volunteer team, focusing on supporting underprivileged students and promoting recycling efforts[64] Technological Innovations - The company plans to introduce artificial intelligence and IoT technologies to enhance property management efficiency and safety[86] - The group has introduced AI delivery robots and smart concierge services in its iCITY project, enhancing user experience with high-end services[68] - The company has optimized its online shopping platform, Soundwill Club, to enhance customer experience and improve competitiveness[63] Environmental Initiatives - An environmental management energy-saving team has been established to implement energy-saving measures and improve energy efficiency[87] - The group emphasizes sustainable development in its operations and marketing standards to meet industry benchmarks[115]

Financial Performance - The group's total revenue for the first half of 2023 was HKD 18,751 million, a decrease from HKD 19,176 million in 2022[6]. - Total revenue for the six months ended June 30, 2023, was HKD 212,303,000, a decrease of 21.5% compared to HKD 270,251,000 in the same period of 2022[58]. - The net loss before tax for the period was HKD 329,264,000, compared to a profit of HKD 100,714,000 in the previous year[58]. - The total loss for the period was HKD 347,741,000, contrasting with a profit of HKD 62,398,000 in the same period last year[58]. - The company reported a basic loss per share of HKD (1.23) for the six months ended June 30, 2023, compared to a profit of HKD 0.22 for the same period in 2022[44]. - The net loss attributable to the company's owners for the same period was HKD 347.7 million, compared to a profit of HKD 62.8 million in the previous year, indicating a significant downturn[168]. Assets and Liabilities - As of June 30, 2023, the group's total assets amounted to approximately HKD 12,570,511,000, a slight decrease from HKD 12,661,647,000 as of December 31, 2022[22]. - The group's net asset value as of June 30, 2023, was HKD 569 million, down from HKD 260 million in 2021[6]. - The total current liabilities increased to HKD 1,832,164,000 as of June 30, 2023, from HKD 1,206,165,000 as of December 31, 2022[45]. - The net current assets decreased to HKD 1,124,081,000 as of June 30, 2023, compared to HKD 1,464,845,000 as of December 31, 2022[45]. - The company's total bank loans amounted to HKD 1,974,663,000, up from HKD 1,774,527,000 as of December 31, 2022, indicating a growth of approximately 11.3%[134]. Revenue Sources - The property leasing business generated revenue of approximately HKD 182.7 million for the six months ended June 30, 2023, accounting for about 86% of the group's total revenue[178]. - Rental income for the period was HKD 182,666,000, down from HKD 195,876,000, a decrease of 6.3%[58]. - The property development segment recorded revenue of approximately HKD 19.0 million, representing about 9% of the group's total revenue for the period[162]. - The company's total revenue from interest income and other bank interest for the six months ended June 30, 2023, was HKD 31,240,000, a substantial increase from HKD 7,616,000 in the previous year, reflecting a growth of approximately 310%[100]. Operational Developments - The group introduced a new 24-hour digital industrial landmark, iCITY, which will provide 601 workspaces and is expected to be completed in Q4 2023[10]. - The group has expanded its mini-storage business to 40 locations as of June 30, 2023, aiming to enhance customer service and operational efficiency[180]. - The overall leasing activity has become more active, with a satisfactory occupancy rate and improved rental income expected as consumer traffic increases[8]. - The company is focusing on optimizing its tenant mix and enhancing property quality while investing in digital operations to improve management and marketing efficiency[176]. Financial Management - The group maintained a capital debt ratio of 11% as of June 30, 2023, compared to 9% at the end of 2022[18]. - The company has committed but unprovided capital expenditures for investment properties amounting to HKD 18,900,000 as of June 30, 2023[147]. - The company expects that the application of new accounting standards will not have a significant impact on its financial position or performance, but may affect the disclosure of its significant accounting policies[54]. - The company has not identified any property consolidation business projects during the reporting periods, indicating a focus on property sales and management services[95]. Community Engagement and Sustainability - The group has implemented energy-saving measures to reduce carbon emissions and align with government environmental policies[13]. - The group has actively participated in community service and supported non-profit organizations by providing mini-storage space for logistics needs[15]. - The group has been recognized for its efforts in social service and employee welfare, receiving awards such as the "Caring Company" from the Hong Kong Council of Social Service[185]. Economic Outlook - The company anticipates that the local economy will see better progress in the second half of 2023, driven by the recovery of the tourism industry and government initiatives[27]. - The global economic outlook remains uncertain, with slowing economic growth and rising inflation and interest rates impacting international trade and market performance[186].

Financial Performance - The group recorded revenue of approximately HKD 478,376,000 for the year, a decrease of about HKD 90,515,000 compared to HKD 568,891,000 in the previous year, primarily due to the impact of COVID-19 on tenants' businesses and reduced rental income[9] - The company's revenue for the year ended December 31, 2022, was HKD 478 million, a decrease of 16% from HKD 569 million in 2021[30] - The loss attributable to the owners of the company was approximately HKD 268,201,000, a reduction of 66.8% from HKD 807,930,000 in the previous year, mainly due to a decrease in investment property valuation losses[11] - The loss attributable to the company's owners was HKD 268 million, compared to a loss of HKD 808 million in the previous year, representing a 66.8% improvement[30] - The total assets as of December 31, 2022, were HKD 22,223 million, slightly down from HKD 22,277 million in 2021[30] - The total borrowings decreased to HKD 1,775 million from HKD 1,872 million, indicating a reduction of 5.2%[30] - The cash and bank balances increased to HKD 1,394 million from HKD 1,137 million, showing a growth of 22.6%[33] Asset Management - As of December 31, 2022, the group's net asset value was HKD 19,175,634,000, down from HKD 19,541,700,000 in the previous year, with a net asset value per share of HKD 67.7 compared to HKD 69.0 previously[12] - The group completed the sale of several wholly-owned subsidiaries for a total consideration of HKD 95,300,000 during the fiscal year ending December 31, 2022[17] - The group entered into a sale agreement for the transfer of all issued shares of Linking Smart Limited for a consideration of HKD 3,208,815,000[15] Employee and Compensation - The average number of employees in Hong Kong and mainland China was 308 and 36, respectively, with total employee compensation for the year amounting to approximately HKD 141,455,000, an increase from HKD 128,540,000 in the previous year[5] - As of December 31, 2022, the gender ratio of employees in Hong Kong was 69% male and 31% female, with a target ratio of no more than 3:1 for male to female employees[180] - The group reported a gender distribution of 69% male and 31% female among its workforce[197] - Age distribution shows that 52% of employees are over 50 years old, while 9% are under 31[197] - The workforce consists of 69% general staff, 25% office staff, and 6% management[197] Corporate Governance - The group has adopted high standards of corporate governance to enhance corporate image and reduce fraud risk, which is crucial for long-term growth[7] - The company has engaged an independent professional firm for internal audit functions as required by the stock exchange[155] - The company confirmed that all directors complied with the standard code for securities trading during the year[154] - The company has implemented a policy for the accurate and secure handling and disclosure of inside information[156] - The group is committed to improving corporate governance practices to balance performance and regulatory compliance[200] Sustainability and Social Responsibility - The group aims to enhance its environmental management systems and set long-term carbon reduction targets for its properties[26] - The group received multiple awards for corporate social responsibility and environmental initiatives during the year[27] - The group has set long-term carbon reduction goals and enhanced governance transparency as part of its sustainable management strategy[100] - The group has actively identified ESG risks and opportunities to develop sustainability strategies and implement related policies[188] - The group has established a volunteer team to encourage employee participation in charitable activities, focusing on contributions to low-income families[190] Market and Economic Outlook - The overall economic environment remains uncertain, influenced by geopolitical risks and inflationary pressures[58] - The group anticipates gradual improvement in the operating environment as signs of economic recovery in Hong Kong emerge[59] - The group expects to benefit from government measures to revitalize the local tourism industry and the reopening of borders with mainland China, which may positively impact business revenue[97] - The rental business is expected to benefit from the easing of travel restrictions, leading to a recovery in the tourism and retail sectors[29] Business Strategy and Development - The company plans to continue focusing on local real estate market developments and land reserve expansion opportunities[28] - The group plans to continue expanding its land reserves through strategic acquisitions to enhance future development opportunities[60] - The group plans to focus on acquiring old properties in various districts to enhance investment in projects with appreciation potential[115] - The group aims to enhance competitiveness through innovative strategies, including advanced technology and improved service quality[82] - The group plans to continue diversifying its business and enhancing synergy among its operations to adapt to market conditions and seize investment opportunities[74] Risk Management - The group emphasized the importance of long-term sustainable risk management in response to ongoing global pandemic instability and extreme weather events[188] - The board has maintained effective risk management and internal control systems to protect shareholder investments and assets, with no significant internal control deficiencies identified for the year[179] - The group has conducted an annual risk assessment to identify strategic, operational, financial, and compliance risks, prioritizing them in the internal audit plan[178] Marketing and Customer Engagement - The group has implemented effective marketing strategies to boost tenant sales and foot traffic[71] - The active membership of the Soundwill Club mobile app showed significant growth, driven by the introduction of a new restaurant reservation feature[71] - The group is committed to enhancing customer privacy management, building quality construction, and improving cybersecurity to increase customer satisfaction and trust[190] Project Development - The new iCITY industrial development project in Kwai Chung received positive sales responses during its pre-sale phase[60] - The new industrial development project iCITY launched at the beginning of the year received positive market response, indicating strong demand for new developments[74] - The new 24-hour digital industrial landmark iCITY, located at 111 Dai Jeng Ping Street, Kwai Chung, will provide 601 workspaces with a building area of approximately 335 to 510 square feet, expected to be completed in Q4 2023[122] - The company anticipates that the easing of pandemic policies and improvements in the overall economic environment will positively impact the project market by the end of the year[122]

Financial Performance - For the year ended December 31, 2022, the company reported a loss attributable to owners of HKD 268 million, compared to a loss of HKD 808 million in the previous year, representing a 66.8% improvement[1]. - The basic loss per share for the year was HKD 0.95, down from HKD 2.85 in the prior year, indicating a significant reduction in losses[1]. - The total comprehensive loss for the year was HKD 268 million, a significant improvement from HKD 808 million in the previous year[1]. - The group reported a loss attributable to owners of the company of HKD 268,201,000 for 2022, compared to a loss of HKD 807,930,000 in 2021, indicating a significant improvement[44]. - The net loss for the year was HKD 262.391 million, compared to a net loss of HKD 808.100 million in 2021, indicating an improvement[133]. - Total revenue for the year ended December 31, 2022, was HKD 478.376 million, a decrease of about HKD 90,515,000 compared to HKD 568,891,000 in the previous year[90]. - Revenue from property development was HKD 78,611 thousand, down 38.2% from HKD 127,048 thousand in the previous year[13]. - Revenue from property leasing was HKD 376,134 thousand, a decrease of 10.2% compared to HKD 418,915 thousand in the prior year[13]. - Gross profit for the year was HKD 395.788 million, down 13.8% from HKD 458.925 million in the previous year[133]. Assets and Liabilities - Total assets amounted to HKD 22,223 million, while total liabilities were HKD 1,775 million, resulting in a capital-to-debt ratio of 9%[1]. - The company’s net asset value per share was HKD 67.7, slightly down from HKD 69.0 in the previous year[1]. - As of December 31, 2022, the group's net asset value was HKD 19,175,634,000, down from HKD 19,541,700,000 in the previous year[92]. - The company's total non-current assets decreased to HKD 19.552 billion from HKD 20.005 billion, a reduction of 2.3%[135]. - Current assets increased to HKD 2.671 billion from HKD 2.271 billion, reflecting a growth of 17.6%[135]. - The total trade receivables increased to HKD 46,565,000 in 2022 from HKD 30,039,000 in 2021, representing a growth of 55%[46]. - The net amount of loans receivable decreased to HKD 3,904,000 in 2022 from HKD 5,168,000 in 2021, a decline of 24%[46]. - The total trade payables increased to HKD 18,466,000 in 2022 from HKD 17,405,000 in 2021, reflecting a growth of 6%[46]. - Non-current liabilities rose significantly to HKD 1,841,157,000 from HKD 606,348,000, primarily due to increased borrowings[147]. Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.20 per share, consistent with the previous year's proposal[1]. - The board proposed a final dividend of HKD 0.20 per share for the year ended December 31, 2022, which is the same as the previous year[117]. Operational Efficiency and Growth Strategies - The company aims to enhance its operational efficiency and explore new market opportunities to drive future growth[2]. - The group aims to enhance its asset value through various investment opportunities and strengthen business synergies[49]. - The group plans to continue exploring other business opportunities and investments beyond real estate to enhance returns[74]. - The group is focusing on acquiring old properties in various districts to enhance investment potential and improve building quality[59]. - The group has actively engaged in marketing activities with local banks and partners to boost tenant sales and foot traffic, capitalizing on the improving pandemic situation[23]. Environmental and Social Responsibility - The group has committed resources to support the sustainable development of several non-profit organizations, responding to social needs[24]. - The group has focused on reducing energy consumption and plastic waste in its major investment properties, aligning with the trend of carbon reduction[24]. - The group aims to enhance its environmental management systems and set long-term carbon reduction targets for its properties[85]. Market Conditions and Future Outlook - The property leasing market is gradually recovering, with improved business sentiment and consumer confidence noted in the fourth quarter of the previous year[50]. - The group expects the local market to benefit from improved tourism demand and consumer sentiment, supporting economic recovery[87]. - The new industrial development project iCITY received positive market response since its pre-sale launch at the beginning of the year[49]. - The new 24-hour digital industrial landmark, iCITY, is expected to be completed in Q4 2023, featuring 601 units[177]. Employee and Compensation - Employee compensation expenses, including directors' remuneration and fixed contribution costs, increased to HKD 141,455,000 in 2022 from HKD 128,540,000 in 2021, reflecting a rise of 10%[1]. - The average number of employees in Hong Kong and mainland China was 308 and 36, respectively, with total employee compensation amounting to approximately HKD 141,455,000[116]. Compliance and Governance - The company has adopted revised Hong Kong Financial Reporting Standards, which did not have a significant impact on the financial position and performance for the year[130]. - The board of directors has proposed amendments to the company's articles of association, pending approval at the annual general meeting[123]. - The company has confirmed sufficient public float of its shares as of the announcement date[104]. - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the year[96].