Revenue and Profitability - Revenue from the construction business increased by approximately 10.0% or $14.9 million, from approximately $149.5 million for FH 2018/19 to approximately $164.4 million for FH 2019/20[10] - Revenue from data centre premises leasing decreased approximately 3.7% or $2.8 million, from approximately $74.7 million for FH 2018/19 to approximately $71.9 million for FH 2019/20[12] - The Group's consolidated revenue for FH 2019/20 was approximately $367.5 million, representing a 35.1% increase compared to $272.0 million in the same period last year[22] - The Group's revenue for the six months ended 30 September 2019 was approximately $367.5 million, representing an increase from $272.0 million in the same period of 2018, which is a growth of 35.2%[37] - Profit from operations was approximately $76.8 million, down from $90.8 million in the previous year, reflecting a decline of 15.4%[37] - Net profit for FH 2019/20 was approximately $44.0 million, a decrease of 14.3% compared to $51.3 million in FH 2018/19[26] - Basic and diluted earnings per share reported at 6.2 cents, down from 7.2 cents in the same period last year, a decline of 13.9%[37] - The profit attributable to equity shareholders for the six months ended September 30, 2019, was $43,957,000, a decrease of 14.5% compared to $51,286,000 in 2018[76] - Underlying profit attributable to equity shareholders was $25,787,000, down 50.8% from $52,388,000 in the previous year[77] Construction and Development Projects - The Grand Marine project has presold 75% of its residential units, with cumulative presale proceeds of approximately $3.6 billion recorded[16] - The Grand Marine project is expected to be completed in late 2021, with a gross floor area of approximately 400,000 square feet[16] - Revenue of approximately $131.1 million was recognized from the sale of 3 apartments in the Cristallo development during the review period[17] - The Group entered into 9 provisional sales and purchase agreements for Cristallo with an aggregate contract sum of approximately $517.5 million[17] - The Group sold over 75% of the residential units in the "Ming Qiao Hui" project, achieving a total pre-sale amount of approximately $3.6 billion[18] - The Group's construction business primarily serves prominent local developers, focusing on property development projects[10] Financial Position and Assets - The Group's outstanding bank borrowings as of September 30, 2019, were approximately $4,102.8 million, up from $3,970.8 million as of March 31, 2019[27] - The gearing ratio increased to approximately 145.5% as of September 30, 2019, compared to 141.1% as of March 31, 2019[27] - Total assets as of September 30, 2019, amounted to HKD 6,090,555, an increase from HKD 6,073,169 as of March 31, 2019[42] - The total equity as of September 30, 2019, was HKD 2,818,903, a marginal increase from HKD 2,814,522[44] - The Group's secured bank loans increased to $4,102,774,000 as of September 30, 2019, compared to $3,970,757,000 as of March 31, 2019[95] - The Group's investment properties were pledged against bank loans, indicating a strategy to leverage assets for financing[81] Operating Expenses and Costs - Operating expenses increased by 56.4% to approximately $46.7 million, primarily due to sales commissions and marketing expenses related to the sales of Cristallo and The Grand Marine project[25] - Gross profit decreased by 11.0% to approximately $100.7 million, with a gross margin of 27.4%, down from 41.6% in the previous year[22] - Staff costs, including directors' remuneration, amounted to $60,511,000, slightly up from $59,305,000 in 2018[67] - Finance costs decreased to $24,560,000 in 2019 from $27,915,000 in 2018, a reduction of 8.5%[58] Market and Strategic Outlook - The Group is actively seeking opportunities to replenish its land bank and is looking for suitable land parcels for developing a third high-tier data center[20] - The management remains optimistic about the local residential housing market despite overall sentiment weakening in the second half of 2019[20] Segment Information - The Group operates in three segments: Construction, Property Leasing, and Property Development, each requiring different business strategies[56] - The Construction segment involves contracting for residential buildings, commercial buildings, and data centers for external customers and group companies[56] - The Property Leasing segment focuses on leasing data centers and office premises[56] - The Property Development segment is engaged in the development and sales of properties[56] Shareholder Information - Mr. Chan Hung Ming holds 478,321,470 shares, representing 67.39% of the company's issued share capital[122] - Mr. Lau Chi Wah holds 53,146,830 shares, representing 7.49% of the company's issued share capital[122] - Lau CW Company Limited pledged 53,146,830 shares to Banco Well Link, S.A. on March 14, 2019[127] - Ms. Cheung Shuk Fong is deemed to have an interest in Mr. Lau Chi Wah's shares, also amounting to 53,146,830 shares or 7.49%[125] Compliance and Governance - The Company established an audit committee in compliance with Rule 3.21 of the Listing Rules, comprising four independent non-executive directors[130] - The Company complied with all code provisions of the Corporate Governance Code throughout the six months ended September 30, 2019[130] - The Company adopted the Model Code for Securities Transactions by Directors, confirming compliance by all Directors during the reporting period[130]

Financial Performance - Total revenue for 2019 was HK$613,410,000, a decrease of 57.0% from HK$1,423,933,000 in 2018[7] - Underlying profit for 2019 was HK$129,581,000, down 24.4% from HK$171,292,000 in 2018[7] - Construction segment revenue decreased to HK$264,918,000 from HK$1,274,528,000, a decline of 79.2%[7] - Property leasing revenue increased slightly to HK$157,460,000 from HK$149,405,000, a growth of 5.7%[7] - Property development revenue was HK$191,032,000, with no prior year comparison available[7] - The Group's profit for the year was HK$149.0 million, a decrease of HK$22.8 million or 13.3% compared to HK$171.8 million in FY 2017/18[11] - The Group's net profit for FY 2018/19 was approximately HK$149.0 million, representing a decrease of 13.3% from HK$171.8 million in FY 2017/18[34] - The underlying profit, excluding changes in fair value of investment properties, was approximately HK$129.6 million, a decrease of 24.4% compared to the previous year's underlying profit of HK$171.3 million[34] Liquidity and Financial Ratios - Current ratio decreased to 2.62 from 3.79 in 2018, indicating reduced liquidity[7] - Gearing ratio increased to 141.1% from 129.7% in 2018, reflecting higher leverage[7] - Net gearing ratio rose to 135.3% from 116.0% in 2018, indicating increased debt levels[7] - Total cash balances as of March 31, 2019, were approximately HK$162.7 million, a decrease from HK$378.2 million the previous year[36] - The current ratio was 2.62 times, indicating sufficient working capital for present operations and future business expansion[36] - The Group's liquidity ratio was 2.62 times as of March 31, 2019, compared to 3.79 times a year earlier[39] Revenue Breakdown - Revenue from the construction business decreased by approximately 79.2% or HK$1,009.6 million, from HK$1,274.5 million in FY 2017/18 to HK$264.9 million in FY 2018/19[18] - Revenue from data centre premises leasing increased by approximately 5.0% or HK$7.2 million, from HK$145.0 million in FY 2017/18 to HK$152.2 million in FY 2018/19[20] - Revenue from the building construction segment decreased by 79.2%, while revenue from the property development segment partially offset this decline due to sales from the Cristallo properties[32] Assets and Liabilities - The Group's total assets as of 31 March 2019 were HK$7,050.8 million, an increase from HK$6,725.4 million in the previous year[9] - The Group's total liabilities as of 31 March 2019 were HK$4,236.3 million, up from HK$3,960.3 million in the previous year[9] - The value of construction projects in hand as of 31 March 2019 amounted to approximately HK$1.63 billion[19] Dividends and Shareholder Returns - The total dividends for FY 2018/19 will amount to 9.8 HK cents per share, representing a payout ratio of approximately 53.7%[15] - The Group's interim dividend was 4.0 HK cents per share, and a final dividend of 5.8 HK cents per share is proposed for payment[46] - The Group's policy is to reward shareholders while retaining adequate capital for business development, with dividends declared based on operational results and financial conditions[46] Corporate Governance - The Company has complied with all code provisions set out in the Corporate Governance Code throughout FY 2018/19[114] - The Company emphasizes accountability to all shareholders as a core element of its corporate governance principles[148] - The Board is responsible for corporate governance duties, including policy development and compliance monitoring[167] - The Company has established three committees: Remuneration Committee, Audit Committee, and Nomination Committee to oversee specific aspects of the Group's affairs[169] - The Remuneration Committee consists of all four independent non-executive Directors, ensuring no Director determines their own remuneration[171] Management and Team Experience - The Company has a strong management team with extensive experience in construction, property development, and data center leasing[120][121][123] - The management team includes members with qualifications from recognized institutions, enhancing the Company's credibility and expertise[122][125] - Mr. Yuen Ying Wai has over 35 years of experience in quantity surveying and construction project management, including 11 years in high-tier data center construction[121] - Mr. Kwan Wing Wo has over 28 years of experience in auditing, accounting, and finance, previously holding a management position in a listed company for 12 years[123] Risk Management - The Board has established a risk management system based on the "Three Lines of Defence" model to manage risks effectively[183] - The Audit Committee reviewed the adequacy and effectiveness of the Group's risk management and internal controls, finding no significant areas of concern[188] - The Group's internal control and risk management system is designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement[188] Shareholder Communication - The company emphasizes the importance of effective communication with shareholders to enhance investor relations and transparency[192] - The company maintains a website for public access to updates on business developments, financial information, and corporate governance practices[194] - The company has established a shareholders' communication policy that will be regularly reviewed for effectiveness[194]