IT Solutions Demand and Market Trends - The Group expects steady demand for IT system upgrades, replacements, and maintenance in Macau, with ongoing IT solutions projects unlikely to be affected by the COVID-19 pandemic [12]. - Demand for remote working tools and online teaching platforms, particularly video conferencing software, has significantly increased due to COVID-19, accelerating digitalization in enterprises [12]. - The Macau Government's promotion of smart city development is expected to boost demand for IT solutions services, integrating smart technologies into various sectors [14]. - The advancement of 5G networks and data analytics is driving continuous demand for IT solutions in Macau [14]. - The Group provides IT solutions covering procurement, integration, managed services, and maintenance services to end users in Macau [12]. - The Group distributes IT products to IT solutions providers and resellers, enhancing its market presence [12]. - The overall growth of the information industry in Macau is anticipated to remain positive in the long run [12]. - Market participants in the gaming and hospitality industry are seeking new service features and value-added services due to intensifying competition [12]. - The Group's business expansion opportunities are supported by governmental policies in the Greater Bay Area [14]. - The Group's financial performance is underpinned by a comprehensive strategy to leverage emerging technologies and market trends [14]. Financial Performance - The Group's revenue for the first half of 2022 increased from approximately HK$221.2 million to approximately HK$247.0 million, representing an increase of 11.7% compared to the same period in 2021 [26]. - Revenue from enterprise IT solutions slightly decreased from approximately HK$153.6 million to approximately HK$150.7 million, primarily due to a decrease in Professional IT services revenue by approximately HK$6.0 million [27]. - Revenue from distribution and resale increased from approximately HK$67.5 million to approximately HK$96.3 million, attributed to an increase in resale orders in the PRC and fulfillment of outstanding orders in Hong Kong [35]. - The Group expects an increase in demand for enterprise IT services in the second half of 2022, focusing on expanding Managed services and IT maintenance and consultancy services [32]. - Total revenue increased by approximately HK$25.8 million or 11.7% to approximately HK$247.0 million for FP2022 from approximately HK$221.2 million for FP2021 [41]. - Gross profit increased by approximately HK$5.2 million or 11.9% to approximately HK$49.1 million for FP2022, with a stable gross profit margin of approximately 19.9% [43]. - Other income and net gains increased by approximately HK$0.6 million or 75.8% to approximately HK$1.5 million for FP2022, mainly due to one-off subsidies related to COVID-19 [44]. - Selling and distribution expenses increased by approximately HK$2.0 million or 22.7% to approximately HK$10.8 million for FP2022, attributed to higher salaries and commission expenses [45]. - General and administrative expenses decreased by approximately HK$1.6 million or 5.1% to approximately HK$29.2 million for FP2022, primarily due to reduced listing expenses [52]. - Profit and total comprehensive income for the period increased by approximately HK$3.5 million or 103.3% to approximately HK$6.9 million for FP2022, driven by revenue and gross profit growth [54]. Strategic Initiatives and Investments - The establishment of the AIoT team and BCI team aims to develop core technologies for metaverse experiences, including artificial intelligence and IoT [36]. - The Macau Government has invested extensive resources in IoT network development, which is expected to drive demand for IT solutions in the coming years [19]. - The Group maintains its leading position in the Macau IT solutions market by providing comprehensive end-to-end enterprise IT solutions [25]. - The Group plans to leverage its competitive strengths in Macau to capture business opportunities in the Greater Bay Area, particularly in Hengqin [24]. - The increase in demand for Managed services is driven by governmental bodies in Macau [30]. - The Group's strategy includes exploring new business opportunities in e-commerce and digital payment systems supported by the Macau Government [20]. Share Capital and Corporate Actions - On July 15, 2022, the Company issued a total of 125,000,000 ordinary shares at a price of HK$1.08 per share, increasing the total issued shares to 500,000,000 [73]. - The Company increased its authorized share capital from HK$380,000 to HK$100,000,000 by creating an additional 9,962,000,000 shares [196]. - The Company issued 374,988,858 shares at par value of HK$0.01 each as part of a capitalization issue on July 15, 2022 [196]. - The company was listed on the Stock Exchange on July 15, 2022, enhancing its market presence [101]. Cash Flow and Financial Position - As of June 30, 2022, the Group had cash and cash equivalents of approximately HK$15.8 million, an increase from HK$14.5 million as of December 31, 2021 [57]. - The Group's gearing ratio as of June 30, 2022, was approximately 17.7%, down from 18.6% as of December 31, 2021 [58]. - Total borrowings as of June 30, 2022, were approximately HK$31.1 million, slightly down from HK$31.5 million as of December 31, 2021 [60]. - Short-term borrowings increased to approximately HK$31.1 million as of June 30, 2022, compared to HK$25.5 million as of December 31, 2021 [60]. - The weighted average effective interest rate of the Group's borrowings was approximately 4.63% as of June 30, 2022, up from 4.15% as of December 31, 2021 [60]. - The total staff costs incurred by the Group for FP2022 were approximately HK$40.2 million, compared to approximately HK$33.3 million for FP2021 [68]. - As of June 30, 2022, the Group had capital commitments of approximately HK$0.4 million, down from HK$0.9 million as of December 31, 2021 [68]. - The Group did not have any significant contingent liabilities as of June 30, 2022 [68]. Earnings and Shareholder Returns - Basic earnings per share rose to 2.06 HK cents, up from 0.95 HK cents, reflecting a 117.9% increase [80]. - Profits attributable to shareholders for FP2022 were HK$7,136,000, a 120% increase from HK$3,238,000 in FP2021 [142]. - No interim dividend was paid or declared during FP2022 and FP2021 [141]. - The company did not recommend any interim dividend for FP2022, consistent with FP2021 [77]. Assets and Liabilities - Total assets as of June 30, 2022, amounted to HK$454,420,000, compared to HK$436,117,000 at the end of 2021, showing a growth of 4.9% [87]. - Total equity increased to HK$175,748,000 from HK$168,883,000, indicating a rise of 4.9% [87]. - Current assets totaled HK$403,635,000, up from HK$379,109,000, representing a 6.5% increase [87]. - Trade receivables as of June 30, 2022, totaled HK$178,318,000, down from HK$188,803,000 at December 31, 2021, indicating a decline of 5.4% [170]. - The Group's trade payables increased slightly to HK$109,052,000 as of June 30, 2022, compared to HK$108,753,000 at December 31, 2021, representing a growth of 0.3% [172]. - Current borrowings rose to HK$31,059,000 as of June 30, 2022, from HK$25,522,000 at December 31, 2021, marking an increase of 21.1% [175]. - The Group's total trade payables aged over 3 months increased significantly to HK$30,516,000 as of June 30, 2022, compared to HK$6,916,000 at December 31, 2021, indicating a substantial rise [173].