Financial Performance - For the six months ended June 30, 2022, the company recorded revenue of approximately HKD 250,300,000, an increase of about 33.8% compared to HKD 187,100,000 for the same period in 2021[6][11] - Gross profit rose by approximately HKD 10,900,000 or 35.0% to about HKD 41,800,000, with a stable gross profit margin of 16.7% for the six months ended June 30, 2022[13] - The group recorded a profit of approximately HKD 12,900,000 for the six months ended June 30, 2022, reversing a loss of about HKD 2,800,000 for the same period in 2021, primarily due to improved sales performance of eyewear products[22] - The net profit attributable to the company's owners was HKD 12,916 thousand, a significant recovery from a loss of HKD 2,776 thousand in the same period last year[91] - The total comprehensive income for the period was HKD 7,283 thousand, compared to a total comprehensive loss of HKD 1,696 thousand in the same period last year[94] - The group reported a profit of approximately HKD 12,916,000 for the six months ended June 30, 2022, compared to a loss of HKD 2,776,000 for the same period in 2021, marking a significant turnaround[175] Cost and Expenses - The cost of sales increased by approximately HKD 52,300,000 or 33.5% to about HKD 208,500,000 for the six months ended June 30, 2022, consistent with the increase in sales volume[12] - Sales and distribution expenses increased by approximately HKD 1,000,000 or 15.7% to about HKD 7,200,000 for the six months ended June 30, 2022, compared to approximately HKD 6,200,000 for the same period in 2021[17] - Administrative and other operating expenses slightly increased by about HKD 300,000 or 1.0% to approximately HKD 29,800,000 for the six months ended June 30, 2022, from about HKD 29,500,000 for the same period in 2021, mainly due to an increase in employee costs[18] - The cost of goods sold for the period was HKD 208,476,000, an increase of 33.5% from HKD 156,132,000 in the previous year[171] Assets and Liabilities - Total assets as of June 30, 2022, were approximately HKD 271,500,000, an increase from HKD 268,100,000 as of December 31, 2021, while net assets rose to about HKD 193,600,000 from HKD 186,300,000[23] - The debt-to-equity ratio decreased to approximately 1.8% as of June 30, 2022, down from about 2.2% as of December 31, 2021, representing a decline of approximately 18.2%[23] - The current ratio increased to approximately 3.1 times as of June 30, 2022, compared to about 2.9 times at the end of 2021, reflecting an increase of approximately 6.9%[23] - Trade receivables increased to HKD 119,455,000 as of June 30, 2022, up from HKD 102,384,000 at the end of 2021, reflecting a growth of 16.7%[181] - Trade payables increased to HKD 54,214,000 as of June 30, 2022, compared to HKD 52,665,000 at the end of 2021, indicating a rise of 2.9%[186] Cash Flow - Cash and bank balances totaled approximately HKD 28,000,000 as of June 30, 2022, a decrease of about HKD 8,900,000 from approximately HKD 36,900,000 as of December 31, 2021, mainly due to purchases of property and equipment[24] - The net cash used in operating activities was HKD 3,373 thousand for the six months ended June 30, 2022, compared to a net cash inflow of HKD 346 thousand in the same period of 2021[147] - The company’s cash and cash equivalents decreased to HKD 27,989 thousand at the end of June 30, 2022, down from HKD 36,930 thousand at the beginning of the period[150] Employee and Governance - As of June 30, 2022, the total employee benefits expenditure (including director remuneration) was approximately HKD 61.9 million, compared to HKD 46.6 million for the same period in 2021, representing a year-on-year increase of 32.5%[42] - The group had a total of 1,075 employees as of June 30, 2022, with 1,057 located in China and 18 in Hong Kong[42] - The company has adopted the corporate governance code as per the listing rules and has complied with all applicable provisions during the six months ended June 30, 2022[56] Market and Business Strategy - The eyewear industry is expected to grow at a compound annual growth rate of approximately 7.0% from 2022 to 2027, with the global eyewear market projected to reach USD 290,500,000,000 by 2027[10] - The company is committed to developing and optimizing its core eyewear business while exploring new business opportunities for revenue diversification[10] - The company has built a broad network with well-known and reliable clients worldwide, exporting quality eyewear products to over 35 countries, with Europe being the largest market[6] Shareholder Information - The company has a total issued share capital of 500,000,000 shares as of June 30, 2022[74] - Major shareholder "顶锋" holds 275,952,000 shares, representing approximately 55.19% of the company's equity[69] - The ownership structure includes 49% held by 郭君暉 and 郭君宇, and 2% held by 郭太太[64] - The group had no declared or paid dividends for the six months ended June 30, 2022, consistent with the previous year[172] Investments and Acquisitions - The company has decided to postpone the construction of a new building at the Jiangxi production base to expand production capacity due to the challenging economic environment and ongoing COVID-19 developments[54] - The group did not engage in any major acquisitions or disposals of subsidiaries, associates, or joint ventures during the six months ended June 30, 2022[44] - The company sold 70% of its stake in Dongyu Technology Group for approximately HKD 1,000 million[200] - The sale of Dongyu Technology Group was completed on April 8, 2022[200] Taxation - The group recorded a tax credit of approximately HKD 100,000 for the six months ended June 30, 2022, compared to a tax expense of HKD 600,000 for the same period in 2021, mainly due to tax refunds from prior years[20] - The effective tax rate for the group’s Chinese subsidiary was reduced to 20% due to small and micro enterprise status, compared to the standard rate of 25%[169]

Financial Performance - The company reported a net loss of HKD 2.1 million for the year ended December 31, 2021, an improvement from a net loss of HKD 13.5 million in 2020[8]. - For the year ended December 31, 2021, the group recorded revenue of approximately HKD 434.7 million, an increase of about 22.7% compared to approximately HKD 354.2 million for the year ended December 31, 2020[19]. - The cost of sales increased by approximately HKD 72.2 million or 24.6% to approximately HKD 366.3 million for the year ended December 31, 2021, primarily due to the increase in revenue[20]. - Gross profit rose by approximately HKD 8.3 million or 13.8% to approximately HKD 68.4 million, with a slight decrease in overall gross margin from about 17.0% to 15.7% due to rising production costs[21]. - Other income increased by approximately HKD 1.9 million to about HKD 8.5 million, mainly from sales of scrap and rework services, as well as government subsidies[22]. - The company recorded a net loss of approximately HKD 2,100,000 for the year ended December 31, 2021, a significant decrease of approximately HKD 13,500,000 compared to the previous year, primarily due to improved export sales and revenue recovery from the COVID-19 pandemic[30]. - Trade receivables impairment loss was approximately HKD 200,000 for the year ended December 31, 2021, compared to approximately HKD 1,700,000 for the previous year, reflecting a decrease in expected credit losses[24]. - The company's financing costs decreased by approximately HKD 100,000 or 18.4% to approximately HKD 500,000 for the year ended December 31, 2021, mainly due to the repayment of bank loans[28]. - Administrative and other operating expenses increased by approximately HKD 6,100,000 or 11.2% to approximately HKD 60,900,000, primarily due to an increase in employee costs[27]. - The company's current ratio improved to approximately 2.9 times as of December 31, 2021, compared to approximately 2.5 times at the end of the previous year, indicating better liquidity[31]. - The company had cash and bank balances of approximately HKD 36,900,000 as of December 31, 2021, a decrease of approximately HKD 39,500,000 from HKD 76,400,000 in the previous year, mainly due to year-end procurement and loan repayments[34]. - The company's debt-to-equity ratio improved to approximately 2.1% as of December 31, 2021, down from approximately 7.3% at the end of the previous year, indicating a stronger financial position[31]. - The company's distributable reserves as of December 31, 2021, were approximately HKD 80.2 million, a decrease from HKD 82.5 million in 2020[157]. Market Conditions and Business Strategy - The company has decided to pause the capacity expansion of its production facility in Jiangxi due to market uncertainties and the ongoing impact of COVID-19[9]. - The company remains cautiously optimistic about short-term business development prospects and aims for stable and effective growth in 2022[9]. - Consumer spending in Europe showed signs of recovery in 2021, contributing to the company's improved performance[8]. - The European economy experienced a rebound in the second half of 2021 after initial impacts from COVID-19[8]. - The European market showed signs of recovery, with consumer spending rebounding to 70%-85% of pre-pandemic levels towards the end of 2021[15]. - The global eyewear market value reached USD 140 billion in 2021, reflecting a year-on-year growth of 9.5%[15]. - The group aims to diversify its business and revenue sources to mitigate potential risks and uncertainties in the future[16]. - The company plans to seek new business opportunities to achieve better diversification[9]. - The group plans to enhance supply chain flexibility and automation to adapt to changing market conditions[16]. - The company continues to explore potential opportunities beyond its core eyewear business to ensure sustainable growth[16]. Corporate Governance - The company has adopted the corporate governance code as per the Listing Rules, ensuring compliance with all applicable provisions for the year ended December 31, 2021[84]. - The board consists of three executive directors, three non-executive directors, and three independent non-executive directors, reflecting a balanced composition for effective leadership[90]. - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[84]. - The independent non-executive directors have extensive experience in accounting, corporate governance, and financial analysis, contributing to the board's effectiveness[79]. - The company has a dedicated audit committee, remuneration committee, nomination committee, and risk management committee to oversee various aspects of governance[81]. - The board regularly reviews the contributions of directors to ensure they are fulfilling their responsibilities effectively[87]. - The company has confirmed compliance with the securities trading standards code as of December 31, 2021[85]. - The roles of the Chairman and CEO have been clearly distinguished according to corporate governance guidelines[93]. - The board held one annual general meeting and six board meetings during the year ended December 31, 2021, with all executive directors attending all meetings[96]. - The board complied with listing rules by having at least three independent non-executive directors, with one possessing appropriate accounting or financial management expertise[97]. - All directors participated in training courses and seminars related to their duties, ensuring compliance with corporate governance standards[107]. - The audit committee consists of three independent non-executive directors, responsible for reviewing financial reporting processes and risk management systems[110]. - The Audit Committee held three meetings during the year ended December 31, 2021, reviewing interim and annual financial statements, and recommended the reappointment of auditors to the Board[112]. - The Remuneration Committee conducted two meetings, reviewing the remuneration policies for directors and senior management, and assessing the performance of executive directors[114]. - The Nomination Committee held one meeting, evaluating the structure and composition of the Board and recommending the reappointment of directors[121]. - The Risk Management Committee held one meeting, reviewing the risk management system and assessing sanctions-related risks faced by the Group[122]. - The Group engaged an independent internal control consultant to review the effectiveness of its internal control systems, covering financial, operational, and compliance matters[123]. - The Group confirmed that there are no significant uncertainties regarding its ability to continue as a going concern[127]. Shareholder Information - The company has a significant ownership stake of 59.19% held by Top Peak Holdings Limited[61]. - The major shareholders include Mr. Guo Junhui, Mr. Guo Junyu, and Mrs. Guo, each holding 275,952,000 shares, which equates to 55.19% ownership[181][182]. - The company has not granted any rights to directors or their spouses to purchase shares or debt securities since its listing date up to December 31, 2021[179]. - The company has adopted a share option scheme to incentivize directors and eligible employees, although no options have been granted or exercised as of December 31, 2021[187]. - The shareholding structure indicates that Mr. Guo Junhui and Mr. Guo Junyu each own 49% of the controlling entity, Top Peak Holdings Limited, which holds the shares[182]. - The company has established a remuneration committee to review its remuneration policy based on operational performance and market standards[184]. - There are no disclosed interests or short positions in shares or related securities by any directors or senior management as of December 31, 2021[178]. - The company has not made any arrangements that would allow directors to profit from purchasing shares or debt securities during the reporting period[179]. - The share option plan was conditionally adopted on June 22, 2019, to reward contributions from eligible participants[187]. - The company has confirmed that there are no options granted or exercised under the share option plan as of the report date[187]. - The stock option plan aims to reward and encourage eligible participants for their contributions to the group[190]. - Eligible participants include employees, non-executive directors, suppliers, customers, and individuals providing R&D support[192]. - The subscription price for shares under the stock option plan will be determined by the board and cannot be lower than the higher of the closing price on the grant date or the average closing price over the previous five trading days[195]. - The total number of shares that can be granted under the stock option plan is capped at 10% of the issued shares at the time of listing[197]. - As of the date of the report, the number of shares available for issuance is 50,000,000, representing 10% of the issued shares at the time of listing and the report date[200]. Employee and Operational Information - The total employee benefit expenses, including directors' remuneration, were approximately HKD 111,500,000 for the year ended December 31, 2021, compared to HKD 84,700,000 for the previous year[49]. - The group employed a total of 1,035 employees as of December 31, 2021, with 1,016 in China and 19 in Hong Kong[49]. - The company has been involved in the production of lithium iron phosphate battery cells and battery packs through its subsidiary Henan Lixuan Technology Co., Ltd.[64]. - The management team is actively involved in formulating corporate and business strategies to enhance market presence[66]. - The company is exploring market expansion opportunities and potential mergers and acquisitions to drive growth[66]. - The company has a strategic focus on developing new products and technologies in the eyewear sector[66].

ai163005705577_Kelfred IR2021 cover_5.3mm output.pdf 1 27/8/2021 下午5:37 KELFRED Incorporated in the Cayman Islands with limited liability Stock code: 1134 Interim Report 2021 Interim Report 2021 中期報告 於開曼群島 註冊成立的 有限公司 股份代號 : 1134 HOLDlNGS LIMITED 恒發光學控股有限公司 中期報告 2021 簡明綜合損益及其他全面收益表 19 簡明綜合財務狀況表 20 簡明綜合權益變動表 22 簡明綜合現金流量表 23 01 恒發光學控股有限公司 • 2021 中期報告 目錄 公司資料 2 管理層討論及分析 3 企業管治 12 其他資料 13 簡明綜合損益表 18 簡明綜合中期財務資料附註 25 | --- | --- | |----------------------------------------------------------------------------------- ...

Financial Performance - The company reported a net loss of approximately HKD 13.5 million for the year ended December 31, 2020, compared to a net profit of HKD 9.1 million for the year ended December 31, 2019, representing a decline of about 247%[6]. - Revenue decreased by approximately 14.3% year-on-year due to the impact of the COVID-19 pandemic, leading to delays or cancellations of sales orders and reduced demand from overseas customers[6]. - For the year ended December 31, 2020, the company's revenue decreased by approximately HKD 59.2 million or 14.3% to about HKD 354.2 million compared to HKD 413.4 million for the year ended December 31, 2019[19]. - Gross profit decreased by approximately HKD 36.2 million or 37.6% to about HKD 60.1 million for the year ended December 31, 2020, resulting in a gross margin drop from approximately 23.3% to 17.0%[23]. - The group recorded a net other loss of approximately HKD 7,400,000 for the year ended December 31, 2020, compared to a net other income of approximately HKD 3,700,000 for the year ended December 31, 2019, primarily due to exchange rate fluctuations[25]. - The group recognized an impairment loss of approximately HKD 1,700,000 for trade receivables for the year ended December 31, 2020, based on expected credit losses, considering past losses and the impact of COVID-19[26]. - The group reported a loss of approximately HKD 13,500,000 for the year ended December 31, 2020, compared to a profit of approximately HKD 9,100,000 for the year ended December 31, 2019, primarily due to decreased export sales and profit margin declines caused by COVID-19[32]. - The company reported no significant contingent liabilities as of December 31, 2020[48]. Cost Management - Cost control measures were implemented to reduce operating costs during the pandemic, and short-term subsidies were received from the governments of China and Hong Kong to retain local employees[6]. - Selling and distribution expenses decreased by approximately HKD 6,900,000 or 32.4% to approximately HKD 14,400,000 for the year ended December 31, 2020, mainly due to reduced demand for prototypes and samples caused by COVID-19[27]. - Administrative and other operating expenses decreased by approximately HKD 11,300,000 or 17.1% to approximately HKD 54,800,000 for the year ended December 31, 2020, due to cost control measures and the absence of non-recurring listing expenses[28]. - Net financing costs decreased significantly by approximately HKD 1,300,000 or 68.4% to approximately HKD 600,000 for the year ended December 31, 2020, primarily due to the gradual repayment of bank loans[30]. - Income tax expenses decreased from approximately HKD 4,600,000 for the year ended December 31, 2019, to approximately HKD 1,300,000 for the year ended December 31, 2020, mainly due to the group's business losses[31]. Business Development and Strategy - The company intends to conduct due diligence on target companies in the new energy vehicle sector to explore further business opportunities[8]. - The company will continue to focus on its core eyewear business while seeking new opportunities for business and revenue diversification[8]. - The company anticipates a gradual recovery in the eyewear industry, projecting moderate growth over the next five years[18]. - The company plans to diversify its business and revenue sources by exploring new opportunities, such as entering the new energy vehicle sector[18]. - The company established a showroom and design laboratory in Hong Kong in May 2020, along with a new internal design team to enhance customer relationships and exchange information on market preferences[7]. - A strategic cooperation agreement was signed to establish a joint venture in Jiangxi, China, focusing on the new energy vehicle business, with the joint venture partners having extensive experience in the industry[8]. - The joint venture was officially established in March 2021, although the company has not yet injected capital into it[8]. Corporate Governance - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[80]. - The board of directors consists of two executive directors, two non-executive directors, and three independent non-executive directors as of December 31, 2020[84]. - The company has adopted the corporate governance code as per the listing rules, ensuring adherence to all applicable provisions[80]. - The independent non-executive directors meet the requirement of having at least three independent members on the board[93]. - The company has established four committees: audit, remuneration, nomination, and risk management, with clear written terms of reference[103]. - The board retains decision-making authority on significant matters, including policies, strategies, budgets, and major transactions[96]. - The company emphasizes the importance of ethical standards and effective leadership within its governance framework[79]. - The board of directors is collectively responsible for guiding and overseeing the company's affairs, ensuring effective internal controls and risk management systems[96]. Shareholder Information - The company has a significant shareholding structure, with major shareholders holding 343,952,000 shares, representing 68.79% of the total shares[167]. - The board did not recommend the payment of a final dividend for the year ended December 31, 2020, while a dividend of HKD 0.02 per share for the previous year was approved, totaling approximately HKD 10 million[143]. - The company has not made any arrangements for shareholders to waive or agree to waive any dividends[144]. - The company has maintained effective communication with shareholders, particularly through annual general meetings and other shareholder meetings[134]. Risk Management - The company confirmed that there are no significant uncertainties regarding its ability to continue as a going concern[118]. - The company has adopted a dividend policy effective March 23, 2020, with the distribution ratio determined by the Board based on various factors[120]. - The company does not have an internal audit function and will engage external personnel to review its risk management and internal control systems annually[116]. - The Risk Management Committee held one meeting during the year to review the risk management system and assess potential sanction-related risks[115]. - The company appointed an independent internal control consultant to review the effectiveness of its internal control systems, covering financial, operational, and compliance matters[116]. Employee Relations - The company emphasized the importance of maintaining good relationships with employees and provided formal and on-the-job training to enhance their skills and knowledge[49]. - As of December 31, 2020, the company had a total employee benefit expenditure of approximately HKD 84.7 million, down from HKD 111 million in 2019, reflecting a decrease of about 23.8%[49]. Leadership and Experience - The company has over 21 years of experience in eyewear product trade, manufacturing, and design, with a focus on overall business development strategy and major business decisions[61]. - The CEO has over 19 years of experience in the same industry, responsible for significant operational decisions and business management oversight[62]. - The company is led by a board that includes members with extensive experience in accounting, corporate finance, and management, totaling over 40 years in the field[68]. - The management team has a strong educational background, with degrees in accounting and business management from reputable institutions[68]. - The company is positioned for future growth, leveraging the extensive experience of its leadership team in the eyewear market[62].

INTERIM REPORT | 中期報告 2020 ITC d Incorporated in the Cayman Islands with limited liability 於開曼群島註冊成立的有限公司 Stock code | 股份代號 : 1134 恒發光學控股有限公司 • 2020 中期報告 公司資料 2 管理層討論及分析 3 企業管治 13 其他資料 14 簡明綜合損益表 19 簡明綜合損益及其他全面收益表 20 簡明綜合財務狀況表 21 簡明綜合權益變動表 23 簡明綜合現金流量表 24 簡明綜合中期財務資料附註 26 目錄 01 2020 中期報告 • 恒發光學控股有限公司 公司資料 | --- | --- | |--------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------| | | | | 執行董 ...

R 有限公司 股份代號： 1134 註冊成立的 於開曼群島 f 恒發光學 控股有限公司 KELFRED HOLDINGS LIMITED 19 公司資料2 主席報告3 四年財務概要5 管理層討論及分析7 董事及高級管理層履歷 15 企業管治報告 19 董事會報告 32 獨立核數師報告 53 綜合損益表 59 綜合損益及其他全面收益表 60 綜合財務狀況表 61 綜合權益變動表 63 綜合現金流量表 64 綜合財務報表附註 66 目 錄 公司資料 | --- | --- | |---------------------------------------------------------------------|-------------------------------------------------------------------------------------------------| | | | | 執行董事 郭君暉先生 （主席） 郭君宇先生 （行政總裁） | 總部及香港主要營業地點 香港 新界沙田 | | 非執行董事 郭茂群先生 陳燕華女士 | 安平街 6 號 新貿中心 B 座 16 ...

中期報告 2019 9 KELFRED HOLDINGS LIMITED 恒發光學控股有限公司 (於開曼群島註冊成立的有限公司) 服發代號：1134 恒發光學控股有限公司 • 2019 中期報告 公司資料 2 管理層討論及分析 3 企業管治 11 其他資料 12 簡明綜合損益表 17 簡明綜合損益及其他全面收益表 18 簡明綜合財務狀況表 19 簡明綜合權益變動表 21 簡明綜合現金流量表 22 簡明綜合中期財務資料附註 24 目錄 01 2019 中期報告 • 恒發光學控股有限公司 | --- | --- | |---------------------------------------------------------------------|-------------------------------------------------------------------------------------| | | | | 公司資料 | | | 執行董事 郭君暉先生 郭君宇先生 非執行董事 郭茂群先生 陳燕華女士 | 總部及香港主要營業地點 香港 新界沙田 安平街 6 號 新貿中心 B 座 16 ...