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新确科技(01063) - 2021 - 年度财报
2022-04-28 08:49
Financial Performance - For the year ended December 31, 2021, the Group's revenue was approximately HK$200.0 million, representing an increase of approximately 15.1% compared to HK$173.7 million in 2020[19]. - Gross profit for the year was approximately HK$25.3 million, a decrease of approximately 1.2% from HK$25.6 million in 2020[21]. - The Group's net loss for the year was approximately HK$58.8 million, primarily due to a provision for expected credit loss of approximately HK$68.3 million recognized during 2021[23]. - Revenue from the B2B cross-border e-commerce segment increased by approximately 5.8%, from approximately HK$81.7 million to approximately HK$86.4 million compared to 2020[27]. - Interest income from the money lending business was approximately HK$20.1 million for the year ended December 31, 2021[22]. - The Group recorded revenue of approximately HK$200 million for the year ended December 31, 2021, representing an increase of about 15.1% compared to the previous year[36]. - Gross profit for the year was approximately HK$25.3 million, slightly down from HK$25.6 million in the previous year[36]. - The B2B cross-border e-commerce business continued to make a significant contribution to revenue, with a total revenue of HK$86.3 million from this segment[37]. Business Segments and Opportunities - Approximately 5% of the Group's revenue came from sales of telephones and related products, while approximately 40.8% came from processing and trading of used computer-related components[19]. - The Group expects limited future development in sales of residential telephones and related products due to technological evolution and changing consumer behaviors[27]. - The Group will continue to seek potential investment and business opportunities to broaden its income stream and further develop existing business segments[28]. - The Group is optimistic about the B2B cross-border e-commerce business and plans to capture more market opportunities[35]. Financial Position and Liquidity - As of December 31, 2021, the Group had cash on hand of approximately HK$52.9 million and net current assets of approximately HK$258.4 million[40]. - The current ratio was reported at 4.70, down from 6.75 in the previous year, indicating a decrease in liquidity[40]. - The Group's money lending business had total outstanding loan receivables of HK$119 million, with an interest rate between 8-10%[40]. - The largest borrower accounted for approximately 23.2% of total loan receivables, while the five largest borrowers collectively accounted for about 65.3%[40]. Share Capital and Dividends - The Group's authorised share capital was HK$600 million, divided into 100 billion shares at HK$0.006 each, with no changes during the year[47]. - The issued share capital increased to HK$8.96 million, following the issuance of 580 million new shares in August 2021[47]. - The Board does not recommend the payment of a final dividend for the year ended December 31, 2021, consistent with the previous year[69]. Corporate Governance - The company emphasized its commitment to corporate governance, adhering to the principles set out in the Corporate Governance Code throughout 2021[87]. - The board composition includes two executive directors and three independent non-executive directors, ensuring a balanced governance structure[90]. - The company follows a formal and transparent procedure for the appointment of new directors, with newly appointed directors holding office until the next general meeting[95]. - The roles of chairman and chief executive are separated, with daily operations delegated to executive directors and various committees, as the board deems it unnecessary to appoint a chairman or chief executive[95]. - The Audit Committee consists of three independent non-executive directors, ensuring a strong governance structure[115]. Risk Management and Internal Control - The Board maintains an effective risk management and internal control system to ensure operational efficiency and compliance with laws[134]. - The Group does not have an internal audit department; instead, the Board, supported by the Audit Committee, directly oversees risk management and internal control systems[144]. - The Group's risk management and internal control systems provide reasonable but not absolute assurance against material misstatement or loss[146]. - Each division is tasked with identifying and assessing principal risks quarterly and establishing mitigation plans[140]. Environmental, Social, and Governance (ESG) Initiatives - The Group's total greenhouse gas emissions in 2021 were 8.5 tonnes of CO2-equivalent, a significant decrease from 25 tonnes in 2020, indicating a reduction of 66%[182]. - The primary source of greenhouse gas emissions is "energy indirect" emissions from purchased electricity, which accounted for the majority of emissions[182]. - The Group has implemented energy-saving measures, including the installation of energy-efficient lighting systems and optimal temperature settings for air-conditioning[182]. - The Group prioritizes procurement from environmentally-friendly suppliers, particularly those using paper certified by the Programme for the Endorsement of Forest Certification (PEFC)[184]. - No cases of non-compliance with environmental protection laws and regulations were reported during the year, indicating strong adherence to environmental standards[182].
新确科技(01063) - 2021 - 中期财报
2021-09-21 08:36
Financial Performance - Revenue for the six months ended June 30, 2021, increased to HK$101,074,000, representing a 10.1% growth compared to HK$91,611,000 in 2020[4] - Gross profit for the same period rose to HK$14,213,000, up from HK$12,717,000, indicating a gross margin improvement[4] - Loss for the period attributable to the owners of the Company was HK$946,000, a significant reduction from a loss of HK$12,771,000 in the previous year[4] - The company reported a loss per share of HK$0.10 for the period, compared to a loss per share of HK$1.68 in the previous year[4] - The Group's unaudited consolidated loss for the period was approximately HK$0.9 million, a significant decrease from approximately HK$12.8 million in the same period of 2020, primarily due to an unrealized gain on financial assets of approximately HK$9.0 million[80] - The company reported a loss before tax of HK$13,004,000 for the six months ended June 30, 2021, compared to a loss of HK$305,000 in the same period of 2020[30] Revenue Segmentation - Total revenue for the six months ended June 30, 2021, was HK$101,074,000, with the cross-border e-commerce segment contributing HK$55,789,000, which is a significant portion of the total revenue[23] - The telephones and related equipment segment generated revenue of HK$4,620,000, while the used computer-related components segment contributed HK$29,654,000[23] - Interest income from the money lending business amounted to HK$10,222,000, showcasing a stable income stream from this segment[23] - Approximately 55.2% of the Group's total revenue was contributed by B2B cross-border e-commerce and payment business[79] - Revenue from the processing and trading of used computer-related components accounted for approximately 29.3% of total revenue[79] Assets and Liabilities - Trade and other receivables increased to HK$60,027,000, compared to HK$40,919,000 at the end of 2020, reflecting a 46.8% rise[5] - Loan receivables grew to HK$175,166,000, up from HK$168,595,000, showing a 3.4% increase[5] - Financial assets at fair value through profit or loss (FVTPL) increased to HK$73,427,000 from HK$61,050,000, marking a 20.3% growth[5] - Current liabilities rose to HK$77,255,000, compared to HK$44,121,000 at the end of 2020, indicating a 75.2% increase[5] - Total segment assets increased to HK$337,119,000 as of June 30, 2021, from HK$299,153,000 at the end of 2020, marking a growth of 13%[30] - Total segment liabilities rose to HK$80,214,000 as of June 30, 2021, compared to HK$44,121,000 at the end of 2020, indicating a 82% increase[34] Cash Flow - Net cash used in operating activities for the six months ended June 30, 2021, was HK$7,337,000, compared to HK$4,953,000 in the same period of 2020, indicating an increase of approximately 48%[10] - Net cash used in investing activities was HK$2,314,000 for the first half of 2021, while there were no cash outflows recorded in the same period of 2020[10] - Net cash used in financing activities decreased to HK$565,000 in 2021 from HK$1,290,000 in 2020, reflecting a reduction of approximately 56%[10] - The total cash and cash equivalents at the end of the period were HK$11,399,000, down from HK$23,930,000 in 2020, representing a decrease of about 52%[10] Corporate Governance - The Company emphasizes high standards of corporate governance practices[125] - The Company has adopted the Model Code regarding directors' securities transactions and all Directors have complied with the required standards throughout the six months ended June 30, 2021[133] - The Company has complied with the principles set out in the Corporate Governance Code, with noted deviations addressed by the Board[134] - The Company has maintained a balanced understanding of shareholder views through its governance practices, despite some directors' absence at meetings[136] Future Plans and Opportunities - The Group plans to develop a virtual asset trading platform to capitalize on the growing market for digital assets, aiming to enhance its financial services income stream[82] - The Group will continue to seek potential investment and business opportunities to broaden its income sources and further develop existing business segments[83] - The Group remains optimistic about the cross-border e-commerce business and plans to capture more market opportunities as they arise[90]
新确科技(01063) - 2020 - 年度财报
2021-04-29 12:39
Financial Performance - For the year ended December 31, 2020, the Group's revenue was approximately HK$173.7 million, representing a decrease of approximately 14.2% compared to HK$202.5 million in 2019[6]. - Gross profit for the year was approximately HK$25.6 million, a slight increase of approximately 0.9% from HK$25.4 million in 2019[6]. - The net loss for the year was approximately HK$70.1 million, primarily due to an expected credit loss provision of approximately HK$88.0 million recognized during 2020[6]. - The B2B cross-border e-commerce segment's revenue increased by approximately 23.9% from approximately HK$65.9 million to approximately HK$81.7 million compared to 2019[6]. - For the year ended December 31, 2020, the Group's total revenue was approximately HK$81.7 million, with a gross profit of HK$1.8 million[17]. - The Group reported a net loss of approximately HK$67.3 million for the year ended December 31, 2020[17]. Financial Position - As of December 31, 2020, the Group had cash on hand of approximately HK$21.6 million and net current assets of approximately HK$253.8 million[20]. - The Group's current ratio improved to 6.75 in 2020 from 6.55 in 2019, indicating strong liquidity[20]. - The total market value of financial assets at fair value through profit or loss was approximately HK$61.1 million as of December 31, 2020, up from HK$39.9 million in 2019[30]. - The Group recognized an unrealized gain of approximately HK$10.6 million on financial assets at fair value through profit or loss for the year ended December 31, 2020[31]. - The gearing ratio was reported at 0.014 as of December 31, 2020, indicating low leverage[20]. Business Strategy - The Group plans to continue deploying more resources to the e-commerce business due to the limited future development expected in the sales of residential telephones and related products[8]. - The Group will seek potential investment and business opportunities to broaden its income stream and further develop existing business segments[8]. - The Group's strategy will be repositioned towards more optimistic business segments in response to the unpredictable business environment[8]. Corporate Governance - The company emphasizes high standards of corporate governance, focusing on a quality Board and sound internal controls[49]. - The company has a board composition that meets the requirement of having at least three INEDs, representing one-third of the total board members[55]. - The roles of chairman and chief executive are not performed by the same individual, aligning with the CG Code[66]. - Continuous professional development is mandated for all directors to ensure their contributions remain informed and relevant[58]. - The company follows a formal and transparent procedure for the appointment of new directors, with re-election occurring at the next general meeting[60]. - The company conducts periodic reviews of its corporate governance practices to ensure compliance with the CG Code[52]. - The Board concluded that the Group's risk management and internal control systems were in place and effective[125]. Risk Management - The Group's risk management framework is designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[125]. - Each division is tasked with identifying and assessing principal risks quarterly and establishing mitigation plans[117]. - The Group does not have an internal audit department; the Board, supported by the Audit Committee, directly oversees risk management and internal control systems[121]. - The external auditors' remuneration for audit services during the financial year 2020 was HK$600,000[126]. Environmental Impact - In 2020, the total amount of electricity consumed was 38.4 MWh, an increase from 17 MWh in 2019, with an energy consumption intensity of 0.008 MWh per square foot[151]. - The total amount of water use in 2020 was 17.4 cubic meters, with a water consumption intensity of 0.003 cubic meters per square foot of floor area[154]. - The Group's total GHG emissions in 2020 was 25.0 tonnes of CO2-equivalent, up from 13.7 tonnes in 2019, with the GHG intensity for the year being 0.005 tonnes of CO2-equivalent per square foot[164][167]. - The Group has implemented energy-saving measures, including the installation of an energy-efficient lighting system and encouraging the use of electric fans[151]. - The Group prioritizes the efficient use of water and will continue to monitor water consumption for improvements[155]. Employee Relations - The Group employed a total of 11 employees as of December 31, 2020, down from 18 in 2019[181]. - The employee turnover rate was 11% for males and 0% for females[190]. - The Group has implemented various occupational health and safety measures, with no non-compliance cases noted during the year[197]. - The Group's remuneration policies are based on employee performance and market conditions, with regular reviews to ensure competitiveness[179]. - The Group provides professional development opportunities and a healthy working environment to attract and retain qualified employees[176]. Shareholder Engagement - The Company maintains an ongoing dialogue with shareholders, encouraging participation in annual general meetings with at least 20 clear business days' notice[131]. - Shareholders have the right to propose separate resolutions on substantial issues at meetings, with all resolutions voted by poll[140]. - Special general meetings can be convened by shareholders holding not less than one-tenth of the paid-up capital[141]. - The Company maintains a website with extensive information on business developments, financial information, and updates[131].
新确科技(01063) - 2020 - 中期财报
2020-09-07 09:04
Financial Performance - Revenue for the six months ended June 30, 2020, was HK$91,611,000, a decrease of 2.7% from HK$93,878,000 in 2019[4] - Gross profit for the period was HK$12,717,000, compared to HK$11,777,000 in 2019, reflecting an increase of 8%[4] - Loss for the period attributable to the owners of the Company was HK$12,771,000, a significant improvement from a loss of HK$24,224,000 in 2019[4] - For the six months ended June 30, 2020, the company reported a total comprehensive loss of HK$246,217,000, compared to a loss of HK$214,904,000 for the same period in 2019, representing an increase in loss of approximately 14.6%[8] - Loss per share for the period was HK$1.68, an improvement from HK$3.18 in the same period of 2019[4] - The Group recorded an unaudited consolidated loss of approximately HK$12.8 million, primarily due to an unrealized loss on financial assets of approximately HK$4.9 million and expected credit losses of approximately HK$9.8 million[77] Assets and Liabilities - Total assets less current liabilities decreased to HK$298,673,000 from HK$309,407,000 as of December 31, 2019[5] - Net current assets were HK$297,425,000, down from HK$308,144,000 at the end of 2019[5] - Trade and other receivables decreased to HK$35,179,000 from HK$47,662,000 in 2019, indicating a reduction of 26.3%[5] - Cash and bank balances totaled HK$343,525,000, down from HK$363,638,000 at the end of 2019[5] - Total segment assets decreased to HK$297,676,000 as of June 30, 2020, down from HK$310,550,000 at the end of 2019[29] - Total segment liabilities were HK$39,440,000, a decrease from HK$48,717,000 at the end of 2019[29] Cash Flow - Net cash used in operating activities for the first half of 2020 was HK$4,953,000, an improvement from HK$16,019,000 in the same period of 2019, indicating a reduction in cash outflow by approximately 69.0%[10] - Cash and cash equivalents at the end of the period were HK$23,930,000, down from HK$51,679,000 at the end of June 2019, reflecting a decrease of approximately 53.7%[10] - The net decrease in cash and cash equivalents for the first half of 2020 was HK$6,243,000, an improvement from HK$14,804,000 in the same period of 2019, showing a reduction of approximately 57.9%[10] - The company reported a net cash outflow from financing activities of HK$1,290,000 in the first half of 2020, compared to a cash inflow of HK$1,213,000 in the same period of 2019[10] Segment Performance - Segment profit from money lending was HK$7,838,000, while other segments reported losses, leading to a total segment profit of HK$5,940,000[26] - Revenue from the design and sales of telephone and related products decreased by approximately HK$9.7 million or approximately 26.8% compared to the previous year[79] - The processing and trading of used computer-related components segment expanded by approximately 62.3%, increasing from approximately HK$11.0 million to approximately HK$17.8 million compared to the same period in 2019[84] - The cross-border B2B e-commerce services continued to contribute significantly to revenue, with a revenue of HK$37,107,000 for the period[88] - The revenue from the used computer-related components segment increased by approximately 62.3% to about HK$17,800,000 compared to approximately HK$11,000,000 in the same period of 2019[89] Share Capital and Options - The authorized share capital of the Company was HK$600,000,000, divided into 100,000,000,000 shares of HK$0.006 each[100] - A total of 76,070,000 share options were granted to directors and employees during the review period under the share option scheme[1] - The percentage of shareholding for directors as of June 30, 2020, was calculated based on the issued share capital of 760,786,566 shares[1] - The weighted average exercise price of share options was HK$0.5344[116] - The total number of outstanding share options as of June 30, 2020, was 1,902,000 that have vested[115] Corporate Governance - The Company emphasizes high standards of corporate governance, focusing on transparency and accountability to shareholders[4] - The roles of chairman and chief executive officer are not separated, which is a deviation from the CG Code, but the Board believes this practice is appropriate given the business nature[4] - The Company has adopted the Model Code for directors' securities transactions and confirmed compliance during the reporting period[126] - The Company has not engaged any non-executive directors on a specific term, deviating from Code Provision A.4.1 of the CG Code[124] Future Outlook - The Group plans to evaluate different business segments and reposition its strategy in more optimistic areas due to the unpredictable business environment[84] - The Group will continue to seek potential investment and business opportunities to broaden its income stream and further develop existing business segments[85] - The management team continuously assesses foreign currency exposure to minimize the impact of foreign exchange fluctuations on the Group's operations[97]
新确科技(01063) - 2019 - 年度财报
2020-04-28 08:53
Financial Performance - For the year ended December 31, 2019, the Group's revenue was approximately HK$202.5 million, a decrease of approximately 9.5% compared to HK$223.7 million in 2018[20] - Gross profit for the year was approximately HK$25.4 million, representing an increase of approximately 12.2% from HK$22.6 million in 2018[22] - The Group's net loss for the year was approximately HK$42.8 million, primarily due to an unrealized loss on financial assets of approximately HK$14.8 million and share option expenses of approximately HK$17.0 million[22] - Revenue from the telecommunications and related components segment was HK$78.3 million, with a gross profit of HK$3.0 million, resulting in a net loss of HK$1.2 million[40] - The Group recorded revenue of approximately HK$202.5 million for the year ended December 31, 2019, a decrease of about 9.5% compared to the previous year[39] Business Segments - Approximately 38.7% of the Group's revenue came from sales of telephone and related products, while 32.6% was contributed by B2B cross-border e-commerce business[20] - The processing and trading of used computer-related components and the financial arm, including securities brokerage and money lending, also contributed to the Group's revenue[38] - The Group is engaged in scaffolding, fitting out services, money lending, securities brokerage, and asset management[50] - The Group's operations include securities brokerage, underwriting, and money lending services in Hong Kong[1] Strategic Plans - The Group plans to deploy more resources into the cross-border e-commerce segment to capture market opportunities as they arise[24] - The Group will continue to seek potential investment and business opportunities to broaden its income stream and develop existing business segments[30] - The Group continues to focus on cross-border e-commerce and plans to allocate more resources to capture market opportunities[39] Financial Position - As of December 31, 2019, the gross amount of the loan portfolio held by the Group was approximately HK$250.6 million, with interest income from money lending business at approximately HK$19.7 million for the year[23] - The Group had cash and bank balances of approximately HK$30.2 million and net current assets of approximately HK$308.1 million as of December 31, 2019[43] - The current ratio improved to 6.55 in 2019 from 4.50 in 2018, indicating better liquidity[43] - Total market value of financial assets at fair value through profit or loss was approximately HK$39.9 million as of December 31, 2019, down from HK$55.3 million in 2018[46] - The Group's issued and fully paid share capital was approximately HK$4.56 million, divided into 15,215,731,320 shares as of December 31, 2019[43] - The Group's gearing ratio was 0.009 in 2019, indicating low financial leverage[43] Corporate Governance - The Company emphasizes corporate governance and presents its annual financial statements for the year ended 31 December 2019[71] - The Board consists of 2 executive directors and 3 independent non-executive directors, meeting the requirement of having at least three INEDs as per the Listing Rules[76] - The Company follows a formal procedure for the appointment of new directors, with all newly appointed directors subject to re-election at the next general meeting[81] - The Company conducts periodic reviews of its corporate governance practices to ensure compliance with the Corporate Governance Code[74] - Each independent non-executive director has confirmed their independence annually, in line with the Listing Rules[76] Risk Management - The Board maintains effective risk management and internal control systems, covering financial, operational, and compliance controls[127] - The Group has established a risk management policy to identify, evaluate, and manage principal risks affecting the business[132] - The risk management framework is designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[140] - The Group does not have an internal audit department, with the Board directly responsible for risk management and internal control systems[135] Environmental Responsibility - The Group committed to high standards of corporate social responsibility and compliance with relevant laws and regulations during the year[1] - The Group aims to minimize negative environmental impacts by optimizing resource use and promoting environmental stewardship among clients and partners[172] - The Group's sustainability vision integrates economic, social, and environmental well-being into business decision-making[2] - The Group emitted 13,664 kg of carbon dioxide equivalent greenhouse gases in 2019, a decrease of 3% from 14,106 kg in 2018[182] - The Group has implemented a series of air pollution emission measures to improve indoor air quality, including ensuring air inlets are away from pollutants and performing regular maintenance on air units[195] Shareholder Relations - The Company promotes investor relations and enhances communication with existing shareholders and potential investors[157] - Shareholders have the right to propose separate resolutions on substantial issues at shareholders' meetings[157] - All resolutions at shareholders' meetings are voted by poll, with results posted on the SEHK website[157] - The Company encourages shareholders to send written enquiries regarding their rights to the principal office in Hong Kong[162]
新确科技(01063) - 2019 - 中期财报
2019-09-09 08:37
Financial Performance - Revenue for the six months ended June 30, 2019, was HK$93,878,000, a decrease of 24.2% compared to HK$123,824,000 in 2018[3] - Gross profit for the period was HK$11,777,000, slightly down from HK$11,927,000 in the previous period[2] - Loss before tax for the period was HK$23,718,000, compared to a profit of HK$6,670,000 in the same period last year[2] - Loss for the period amounted to HK$24,224,000, a significant decline from a profit of HK$6,065,000 in 2018[2] - Total comprehensive expense for the period was HK$24,280,000, compared to a total comprehensive income of HK$6,026,000 in the previous year[2] - Basic and diluted loss per share was HK$0.16, compared to earnings of HK$0.04 per share in the prior period[2] Assets and Liabilities - Current assets decreased to HK$390,903,000 from HK$435,057,000 at the end of 2018[6] - Trade and other receivables decreased to HK$44,914,000 from HK$54,868,000 in the previous period[6] - Net assets as of June 30, 2019, were HK$332,349,000, down from HK$339,719,000 at the end of 2018[6] - The company recognized lease liabilities of HK$2,197,000 as part of its non-current liabilities[6] - Total segment assets as of June 30, 2019, amounted to HK$364,615,000, a decrease from HK$394,202,000 as of December 31, 2018[34] - Total segment liabilities were HK$55,657,000 as of June 30, 2019, down from HK$93,004,000 at the end of 2018[37] Cash Flow - Net cash used in operating activities decreased to HK$16,019,000 in 2019 from HK$25,531,000 in 2018, representing a reduction of approximately 37.5%[10] - Net cash generated from financing activities was HK$1,213,000 in 2019, down from HK$3,447,000 in 2018, indicating a decline of about 64.8%[10] - Cash and cash equivalents at the end of the period were HK$51,679,000, a decrease from HK$63,412,000 in 2018, reflecting a decline of approximately 18.6%[10] - The net decrease in cash and cash equivalents for the period was HK$14,804,000, compared to a decrease of HK$22,082,000 in 2018, indicating an improvement of about 32.9%[10] Segment Performance - For the six months ended June 30, 2019, total revenue was HK$93,878,000, with external sales from telephones and related equipment contributing HK$35,972,000[25] - The money lending segment generated an interest income of HK$9,349,000, while the securities brokerage segment reported a loss of HK$1,210,000[25] - Approximately 38.3% of the Group's revenue was derived from sales of telephone and related products, while 39.9% was contributed by B2B cross-border e-commerce business[75] Accounting Policies and Standards - The Group adopted HKFRS 16 from January 1, 2019, recognizing lease liabilities measured at the present value of remaining lease payments[16] - The Group has not early adopted new or amended HKFRSs that are not yet effective, including HKFRS 17 on Insurance Contracts, effective from January 1, 2021[19] - The cumulative effect of the initial application of HKFRS 16 was recognized without restating comparative information, impacting the opening balance sheet on January 1, 2019[18] Shareholder Information - The percentage shareholding is calculated based on the Company's issued share capital of 15,215,731,320 as of June 30, 2019[110] - The number of share options exercisable under the Share Option Scheme was 1,746,916,000 shares, representing approximately 11.48% of the issued shares[118] - No dividends were paid or proposed during the six months ended June 30, 2019, and 2018[55] Corporate Governance - The company is committed to high standards of corporate governance practices and procedures[125] - All directors, including non-executive directors, are subject to retirement by rotation at least once every three years[128] - The company has complied with the Model Code for securities transactions by directors throughout the six months ended June 30, 2019[130]
新确科技(01063) - 2018 - 年度财报
2019-04-29 09:02
Financial Performance - For the year ended December 31, 2018, the Group's revenue was approximately HK$223.7 million, a decrease of approximately 36.1% compared to HK$350.0 million in 2017[7] - Gross profit for the year was approximately HK$22.6 million, representing a decrease of approximately 28.8% from HK$31.8 million in 2017[11] - The Group's net loss for the year was approximately HK$24.8 million, primarily due to an unrealized loss on financial assets of approximately HK$28.4 million[11] - The Group recorded a revenue of approximately HK$223.7 million, representing a decrease of approximately 36.1% compared to the previous year[22] - The gross profit for the year was approximately HK$22.6 million, down from approximately HK$31.8 million in the previous year[22] Revenue Sources - Approximately 41.7% of the Group's revenue came from sales of telephone and related products, while 35.4% was contributed by B2B cross-border e-commerce and payment business[7] - The Group's financial arm, including securities brokerage and money lending, contributed to the revenue, with specific revenue figures for each segment detailed in the report[22] Business Strategy - The Group plans to allocate more resources to the cross-border e-commerce and payment segment to capture market opportunities[13] - The Group will continue to seek potential investment and business opportunities to broaden its income streams[14] Financial Position - As at 31 December 2018, the Group had cash on hand of approximately HK$66.5 million and net current assets of approximately HK$338.2 million[25] - The total market value for financial assets at fair value through profit or loss was approximately HK$55.3 million as at 31 December 2018, down from approximately HK$68.7 million in 2017[36] - The Group's current ratio decreased to 4.50 in 2018 from 7.79 in 2017, indicating a decline in liquidity[25] Corporate Governance - The company emphasizes high standards of corporate governance, including transparency and accountability to shareholders[66] - The independent non-executive directors have confirmed their independence in accordance with Listing Rules[72] - The company is committed to ongoing reviews of its corporate governance practices to ensure compliance with the CG Code[68] - The board composition includes two executive directors and three independent non-executive directors, meeting the Listing Rules requirement[71] Risk Management - The Board maintains an effective risk management and internal control system to ensure operational efficiency and compliance with applicable laws and regulations[140] - The internal control system is designed to provide reasonable assurance on the effectiveness and efficiency of operations and reliability of financial reporting[140] - The Group's risk management policy outlines the process for identifying, evaluating, and managing principal risks affecting the business[150] Environmental Responsibility - The report covers the group's overall performance in environmental and social areas from January 1, 2018, to December 31, 2018[177] - The group is committed to sustainable development by integrating economic, social, and environmental well-being into business decision-making[177] - The Group emitted 14,106 kg of carbon dioxide equivalent greenhouse gases in 2018, an increase of 11% from 12,666 kg in 2017[195] - The Group has implemented energy-saving measures, including the installation of energy-saving lighting systems and optimizing air-conditioning settings[189] Shareholder Engagement - The company encourages shareholder proposals at general meetings and ensures separate resolutions for substantial issues[171] - Shareholders holding at least one-tenth of the paid-up capital can requisition a special general meeting[170] - The company maintains open communication with investors and welcomes suggestions from stakeholders[168]