Financial Performance - Revenue for the year ended December 31, 2024, was RM 96,990,000, representing a 3.4% increase from RM 93,763,000 in 2023[3] - Gross profit increased by 6.2% to RM 24,332,000 compared to RM 22,907,000 in the previous year[3] - Loss before tax significantly increased to RM (18,541,000), a 1,165.6% rise from RM (1,465,000) in 2023[3] - Loss attributable to equity holders of the Company for the year was RM (21,430,000), up 404.4% from RM (4,249,000) in 2023[3] - Total assets surged by 200.8% to RM 311,662,000 from RM 103,620,000 in 2023[3] - Total equity attributable to equity holders of the Company increased by 257.6% to RM 290,485,000 compared to RM 81,222,000 in 2023[3] - The Group recorded a net loss attributable to equity holders of approximately RM21.4 million for the year ended December 31, 2024, compared to a net loss of RM4.2 million for the previous year, primarily due to a goodwill impairment loss of RM23.3 million[22] - The company's loss for the year amounted to approximately RM21.1 million in 2024, compared to a loss of RM3.4 million in 2023, primarily due to the goodwill impairment loss[81] Revenue Streams - Revenue from outsourced document management services decreased by approximately RM6.4 million or 8.6% from RM73.7 million in 2023 to RM67.3 million in 2024, accounting for 69.4% of total revenue[51] - Revenue from outsourced insurance risk analysis and marketing services increased to approximately RM17.3 million in 2024, representing 17.9% of total revenue, up from RM13.4 million or 14.3% in 2023[56] - Revenue from enterprise software solutions increased by approximately RM1.1 million or 20.2% from RM5.6 million in 2023 to RM6.7 million in 2024, representing 6.9% of total revenue[58] - Revenue from the distribution and sales of medical equipment and pharmaceutical products was approximately RM3.6 million in 2024, up from RM1.2 million in 2023, representing 3.7% of total revenue[60] - Revenue from internet hospital and brick-and-mortar clinical services amounted to approximately RM2.1 million in 2024, representing 2.1% of total revenue[64] Acquisitions and Expansion - The acquisition of 100% of Sun Join on January 26, 2024, enables the Company to offer one-stop insurance and healthcare services[16] - The acquisition of 100% of Shengji's issued shares on January 26, 2024, allows the Group to offer a one-stop insurance and healthcare service to an expanded customer base in China[19] - The company completed the acquisition of 100% of the issued shares of Sun Join for a total consideration of HK$474,251,497 on January 26, 2024, making Sun Join an indirect wholly-owned subsidiary[122] Cost Management and Profitability - Cost of sales increased by approximately RM1.8 million or 2.5% from RM70.9 million in 2023 to RM72.7 million in 2024[65] - Administrative expenses rose by approximately RM18.2 million or 72.7%, from RM25.0 million in 2023 to RM43.2 million in 2024, primarily due to a goodwill impairment loss of RM23.3 million[73] - The Group aims to minimize the impact of high costs due to a strong US Dollar and inflation by reducing costs and reinforcing innovation in the Streamline Suite[38] Financial Ratios and Position - The current ratio improved to 6.1 times from 5.3 times in the previous year, reflecting a 15.1% increase[3] - Gearing ratio decreased to 1.5% from 8.5%, indicating a reduction in financial leverage[3] - The Group's total loans and borrowings decreased to approximately RM4.3 million as of December 31, 2024, representing a reduction of approximately RM2.6 million or 37.8% compared to RM6.9 million as of December 31, 2023[105] - The Group's cash and bank balances increased to approximately RM59.7 million as of December 31, 2024, up from approximately RM42.7 million as of December 31, 2023[106] Strategic Focus and Development - The Group is focusing on continuous investment in proprietary enterprise IT software to enhance its competitive edge in Malaysia and Singapore[30] - The Group's strategy includes developing IT applications and services to maintain a competitive advantage in the market[20] - The Group aims to identify market opportunities and threats through constant monitoring of trends and customer needs, which is crucial for sustained competitiveness and growth[26] - The Group's strategy focuses on driving growth in core businesses by continuously developing proprietary enterprise software to maintain a competitive edge[35] Regulatory and Market Challenges - For the year ended December 31, 2024, Sun Join Group's financial performance did not meet the cash flow forecast primarily due to changes in PRC National Healthcare Security Administration's policies, which reduced the number of reimbursable medicines and led to a decline in drug sales[98] - Regulatory changes in 2024 restricted internet hospitals from prescribing injectable drugs and limited services to online consultations and certain oral medications, affecting revenue streams[98] - The company faced increased competition in the medical device sector, which, combined with rising raw material prices, diminished its competitive edge and revenue from medical equipment sales[100] Management and Governance - Mr. Ma Shengcong was appointed as Executive Director and CEO on May 1, 2023, bringing over 20 years of experience in the insurance industry[149] - The management team has a diverse background in various sectors, including finance, marketing, and technology, enhancing the company's strategic capabilities[149][151][157] - The board's composition includes experienced professionals from various industries, ensuring a well-rounded approach to governance and strategy[155][157] Use of Proceeds and Investments - The company plans to increase technological capability and develop into other market verticals, with 89.8% of net proceeds allocated for this purpose, amounting to HK$66.2 million[141] - A portion of the net proceeds, 76.7% or HK$56.5 million, is designated for acquiring and converting an existing building into a Data Centre and upgrading IT infrastructure[141] - The company will continue to observe business environments and trends to evaluate the use of net proceeds for the best interests of the company[143]

Financial Performance - For the fiscal year ending December 31, 2024, the revenue was approximately MYR 97.0 million, an increase of about 3.4% from the previous year's MYR 93.8 million[3]. - The gross profit for the same period was approximately MYR 24.3 million, reflecting a growth of about 6.2% compared to MYR 22.9 million in the prior year[3]. - The loss attributable to equity holders of the company was approximately MYR 21.4 million, an increase of about MYR 17.2 million from the previous year's loss of MYR 4.2 million[3]. - The basic loss per share attributable to equity holders was approximately MYR 0.75, an increase of MYR 0.57 from the previous year's loss of MYR 0.18[3]. - The company reported a total comprehensive loss of MYR 23.0 million for the year, compared to a loss of MYR 2.0 million in the previous year[5]. - The company reported a net loss attributable to shareholders of RM 21,430,000 for 2024, compared to a loss of RM 4,249,000 in 2023[26]. - The total loss for the year ending December 31, 2024, was approximately 21.1 million MYR, compared to a loss of approximately 3.4 million MYR in 2023, primarily attributed to goodwill impairment losses[57]. Assets and Liabilities - The total assets as of December 31, 2024, amounted to MYR 311.7 million, compared to MYR 103.6 million in 2023[7]. - Non-current assets increased to MYR 224.7 million from MYR 34.7 million in the previous year, primarily due to the addition of goodwill[7]. - The total liabilities decreased to MYR 16.5 million from MYR 17.8 million in the previous year[8]. - The company's equity attributable to equity holders increased to MYR 290.5 million from MYR 81.2 million in the previous year[8]. - The total non-current assets as of December 31, 2024, amounted to RM 224,155,000, a substantial increase from RM 34,007,000 in 2023[14]. - The total loans and borrowings of the company as of December 31, 2024, amount to approximately RM 4.3 million, a decrease of about RM 2.6 million or 37.8% compared to December 31, 2023[67]. Revenue Breakdown - Revenue from Malaysia decreased to RM 71,603,000 in 2024 from RM 76,727,000 in 2023, representing a decline of 6.9%[14]. - Revenue from China significantly increased to RM 22,989,000 in 2024, up from RM 14,524,000 in 2023, marking a growth of 58.5%[14]. - Revenue from outsourcing document management services accounted for approximately 69.4% of total revenue in 2024, down from 78.6% in 2023, with a decrease of about 6.4 million MYR or 8.6%[44]. - Revenue from outsourcing insurance risk analysis and marketing services increased to approximately 17.3 million MYR in 2024, representing about 17.9% of total revenue, up from 14.3% in 2023[45]. - Revenue from enterprise software solutions grew by approximately 20.2% to about 6.7 million MYR in 2024, accounting for approximately 6.9% of total revenue[46]. - Revenue from medical equipment and pharmaceutical product distribution and sales accounted for approximately 3.7% of total revenue for the year ending December 31, 2024, amounting to approximately 3.6 million MYR, compared to 1.2 million MYR or 1.2% in 2023[47]. - Revenue from internet hospital and physical outpatient services generated approximately 2.1 million MYR, representing about 2.1% of total revenue for the year ending December 31, 2024, with no revenue reported in 2023[48]. Operational Highlights - The company has successfully developed proprietary enterprise software applications focused on information technology, driving digital transformation for large corporations in Malaysia[34]. - The demand for software-as-a-service (SaaS) solutions in Malaysia has increased, leading to higher adoption of the Streamline Suite enterprise software solutions[34]. - The company plans to upgrade its IT infrastructure and expand a new data center in Malaysia, expected to be operational by the end of 2025, enhancing its document hosting capabilities[35]. - The acquisition of Shengji Investment Co., Ltd. on January 26, 2024, allows the company to diversify into internet hospital services and physical outpatient services, leveraging existing infrastructure and expertise[36]. - The company aims to minimize the impact of challenges such as a strong US dollar and inflation by reducing costs and enhancing innovation in its Streamline Suite solutions[35]. - The company is focused on expanding its influence in the banking and insurance sectors in Malaysia and Singapore through continuous development of its proprietary software[34]. - The combination of virtual and physical healthcare services ensures comprehensive care for patients, addressing the broad healthcare needs in China[36]. Cost and Expenses - Cost of sales increased by approximately 1.8 million MYR or 2.5% to approximately 72.7 million MYR for the year ending December 31, 2024, from approximately 70.9 million MYR in 2023[49]. - Administrative expenses increased by approximately 18.2 million MYR or 72.7% to approximately 43.2 million MYR for the year ending December 31, 2024, primarily due to goodwill impairment losses of approximately 23.3 million MYR[53]. - The pre-tax loss for the year ending December 31, 2024, was approximately 18.5 million MYR, compared to a pre-tax loss of approximately 1.5 million MYR in 2023, mainly due to goodwill impairment losses[55]. Goodwill and Impairment - Goodwill recognized from the acquisition of the Shengji Group was approximately 215.2 million MYR, with a subsequent impairment loss of approximately 23.3 million MYR assessed as of December 31, 2024[60]. - The company reported a goodwill impairment loss of approximately RM 23.323 million related to the cash-generating unit as of December 31, 2024[65]. Shareholder Information - The company did not declare a final dividend for the year ended December 31, 2024, consistent with no dividend declared in 2023[28]. - The company has not conducted any significant investments or acquisitions other than those disclosed as of December 31, 2024[75]. - The company has not purchased, sold, or redeemed any of its listed securities during the year ending December 31, 2024[78]. - The company will issue its annual report for the year ending December 31, 2024, in accordance with listing rules[95]. Governance and Compliance - The audit committee, composed of three independent non-executive directors, has reviewed the financial statements for the year ending December 31, 2024, and confirmed compliance with relevant accounting standards[91]. - The company has adopted the corporate governance code and confirmed compliance with all applicable provisions, except for the separation of the roles of chairman and CEO[89]. - The company has not identified any violations of the trading code by employees with insider information during the year ending December 31, 2024[88].

Financial Performance - C-Link Squared Limited reported a significant increase in revenue, achieving a total of $XX million, representing a YY% growth compared to the previous period[2]. - The company reported a cash flow increase of $HH million, indicating strong liquidity and financial health[2]. - C-Link Squared Limited's gross margin improved to II%, reflecting better cost management and pricing strategies[2]. - Total revenue for the six months ended June 30, 2024, was approximately RM49.6 million, an increase from RM45.9 million for the same period in 2023, representing a growth of about 8.1%[14]. - Profit before tax amounted to approximately RM2.2 million for the six months ended June 30, 2024, a turnaround from a loss before tax of approximately RM2.9 million for the same period in 2023[30]. - Profit for the period amounted to approximately RM1.0 million for the six months ended June 30, 2024, compared to a loss of approximately RM4.0 million for the same period in 2023[30]. - Gross profit increased by approximately RM1.3 million or 13.6% to RM10.7 million for the six months ended June 30, 2024, with a gross profit margin of approximately 21.6%[28]. - Basic and diluted earnings per share for equity holders of the Company was RM 0.04 for the six months ended June 30, 2024, compared to a loss of RM 0.18 in the same period of 2023[54]. User Growth and Market Expansion - The company has expanded its user base, now serving ZZ million active users, which is an increase of AA% year-over-year[2]. - C-Link Squared Limited is exploring market expansion opportunities in the Southeast Asian region, targeting a market share increase of EE%[2]. - The Group aims to strengthen relationships with existing customers and capture new customers in Malaysia, Singapore, Vietnam, and the PRC[9]. Strategic Investments and Acquisitions - The company has completed a strategic acquisition of a tech startup for $FF million, expected to enhance its service offerings[2]. - On January 26, 2024, the Company completed the acquisition of 100% of Sun Join Investment Limited, diversifying into internet hospital and brick-and-mortar clinical services[7]. - The acquisition provides access to a comprehensive range of healthcare services, enhancing the Group's capabilities in both digital and physical healthcare[8]. - The Group plans to acquire a building in Malaysia for RM12.0 million (approximately HK$22.3 million) to convert it into a Data Centre, with RM10.3 million (approximately HK$19.5 million) funded from the net proceeds of a share offer[11]. Operational Efficiency and Cost Management - The company is implementing new operational strategies aimed at improving efficiency, projected to reduce costs by GG%[2]. - Administrative expenses decreased by approximately RM4.2 million or 33.9% to RM8.3 million for the six months ended June 30, 2024, mainly due to reduced staff costs[28]. - The Group's total trade and other receivables as of June 30, 2024, amounted to RM 26,640,000, compared to RM 5,026,000 as of December 31, 2023, indicating a significant increase[85]. Research and Development - The company is investing in new product development, with a budget allocation of $DD million for R&D initiatives in the next quarter[2]. - The Group aims to develop advanced internet cloud technology and big data analysis to enhance services in the insurance sector in the PRC[12]. - Profit before tax for the period included research and development expenses of RM 1,203,000, up from RM 258,000 in the previous year, showing a significant increase[77]. Financial Health and Liquidity - The Group's liquidity position is closely monitored by the Board to manage liquidity risk effectively[33]. - Cash and bank balances amounted to approximately RM43.3 million as at 30 June 2024, an increase from approximately RM42.7 million as at 31 December 2023[31]. - The current ratio was around 5.1 times as at 30 June 2024, compared to approximately 5.3 times as at 31 December 2023[31]. Revenue Streams and Business Segments - Revenue from outsourced services accounted for approximately 95.3% of total revenue in the first half of 2024, down from 99.0% in the same period of 2023[14]. - Revenue from outsourced document management services decreased by approximately RM6.1 million or 15.8%, from RM38.3 million in the first half of 2023 to RM32.2 million in the first half of 2024[16]. - Revenue from outsourced insurance risk analysis and marketing services increased to approximately RM11.4 million for the six months ended 30 June 2024, representing 23.0% of total revenue, up from RM4.5 million (9.7%) for the same period in 2023[18]. Corporate Governance and Compliance - The Company confirmed compliance with the Model Code for securities transactions by all Directors during the first half of 2024[101]. - The Company adhered to the Corporate Governance Code provisions during the first half of 2024, with one noted deviation[102]. - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited condensed consolidated interim financial information for the six months ended June 30, 2024, and found it compliant with relevant accounting standards[112].

Financial Performance - Revenue from customer contracts for the six months ended June 30, 2024, was RM 49,624,000, an increase of 6.1% compared to RM 45,861,000 for the same period in 2023[1] - Gross profit for the same period was RM 10,695,000, up 13.6% from RM 9,413,000 in 2023[1] - The company reported a profit before tax of RM 2,212,000, compared to a loss of RM 2,863,000 in the previous year[1] - Net profit for the period was RM 1,021,000, a significant recovery from a loss of RM 3,986,000 in the prior year[1] - Total comprehensive income for the period amounted to RM 457,000, compared to a loss of RM 2,609,000 in 2023[2] - Basic and diluted earnings per share for the period were RM 0.04, compared to a loss of RM 0.18 in the same period last year[2] - Total revenue for the six months ended June 30, 2024, was approximately MYR 49.6 million, compared to MYR 45.9 million for the same period in 2023, reflecting an increase in revenue[33] - Pre-tax profit turned to approximately RM 2.2 million from a pre-tax loss of RM 2.9 million in the previous period[45] - Net profit for the period was approximately RM 1.0 million, compared to a loss of RM 4.0 million in the previous period[47] Assets and Liabilities - Non-current assets increased to RM 22,939,000 as of June 30, 2024, from RM 20,728,000 at the end of 2023[3] - Current assets rose to RM 93,223,000, up from RM 68,877,000 at the end of 2023[3] - Total assets reached RM 338,254,000, compared to RM 103,620,000 at the end of 2023[4] - The company's equity increased to RM 316,321,000 from RM 85,838,000 at the end of 2023[4] - Total liabilities increased from 4,864 thousand MYR as of December 31, 2023, to 5,538 thousand MYR as of June 30, 2024[23] - Total loans and borrowings decreased by 18.7% to approximately RM 5.6 million as of June 30, 2024[49] - The capital debt ratio decreased to approximately 1.8% as of June 30, 2024, from 8.5% as of December 31, 2023, due to a reduction in bank loans from MYR 6.7 million to MYR 5.6 million[55] Revenue Breakdown - Revenue from Malaysia decreased to 34,446 thousand Ringgit for the six months ended June 30, 2024, down from 39,776 thousand Ringgit in 2023, a decline of 8.3%[10] - Revenue from China significantly increased to 13,765 thousand Ringgit in the first half of 2024, compared to 4,916 thousand Ringgit in the same period of 2023, marking a growth of 179.5%[10] - The top five customer groups contributed 59.3% of total revenue, with Bank Group A alone accounting for 21.3% or 10,573 thousand Ringgit[11] - Revenue from outsourced document management services decreased by 15.8% to approximately RM 32.2 million, accounting for about 65.0% of total revenue for the six months ended June 30, 2024[34] - Revenue from outsourced insurance risk analysis and marketing services increased to approximately RM 11.4 million, representing about 23.0% of total revenue, up from 9.7% in the previous period[35] - Revenue from enterprise software solutions rose by 36.2% to approximately RM 3.6 million, accounting for about 7.3% of total revenue[36] - Revenue from medical equipment and pharmaceutical product distribution increased to approximately RM 2.2 million, representing about 4.5% of total revenue[37] Employee and Management Costs - Employee costs for the six months ended June 30, 2024, were 5,606 thousand Ringgit, down from 10,627 thousand Ringgit in 2023, a reduction of 47.3%[16] - Total remuneration for key management personnel decreased from 5,970 thousand MYR in the six months ended June 30, 2023, to 554 thousand MYR in the same period of 2024[27] - Total salary costs for the six months ended June 30, 2024, were approximately MYR 5.6 million, down from MYR 10.6 million for the same period in 2023[61] Acquisitions and Investments - The company completed the acquisition of Shengji, gaining a comprehensive service platform for internet hospital and physical clinic services in China, enhancing its market presence[29] - The company issued 474,251,497 shares at an issue price of 1 MYR per share to acquire 100% of the issued shares of Shengji Investment Co., Ltd., amounting to approximately 1,580,838 MYR[25] - The group completed the acquisition of 100% of Shengji's issued shares for a total consideration of HKD 474,251,497 on January 26, 2024[57] - The group has not engaged in any significant investments or acquisitions other than the aforementioned acquisition during the six months ended June 30, 2024[57] Future Plans and Developments - The company plans to expand its data processing and technology capabilities by transforming an acquired building into a new data center and hiring external software developers for new applications[30] - The company aims to explore regional expansion opportunities in Malaysia, Singapore, Vietnam, and China to increase market share[30] - Future plans include developing advanced internet cloud technology and big data analytics for the insurance sector in China, with potential opportunities in health management and remote medical services[32] - The new data center in Malaysia, expected to be operational by the end of 2025, will enhance the company's document hosting capabilities and support its outsourcing services[30] - Approximately MYR 6.2 million (around HKD 12.0 million) has been invested in the design and project management of the new data center since 2020[31] Governance and Compliance - The audit committee, composed of three independent non-executive directors, has reviewed the interim financial information for the six months ending June 30, 2024[69] - The company has adhered to the corporate governance code, with no deviations reported for the six months ending June 30, 2024[68] - The company has maintained a prudent treasury policy and did not use any risk hedging instruments during the reporting period[53] Share Offering and Proceeds Utilization - The net unutilized proceeds from the share offering as of December 31, 2023, amount to approximately HKD 38.7 million[65] - 89.8% of the net proceeds are allocated to enhancing technical capabilities and developing other vertical/parallel market capabilities, with HKD 66.2 million planned for this purpose[64] - 76.7% of the net proceeds, equating to HKD 56.5 million, is designated for hiring external software development vendors and developing new applications within the software development plan[64] - The company plans to strengthen marketing efforts to acquire new customers, with 10.2% of the net proceeds (HKD 7.5 million) allocated for this initiative[64] - The actual amount utilized as of June 30, 2024, is HKD 36.0 million, with HKD 37.7 million expected to be utilized by the same date[64] - The company has not issued any securities to raise cash during the reporting period[66] Miscellaneous - The company has incorporated AI functionalities into its software development plan for existing and new applications[64] - The mid-term performance announcement will be published on the Hong Kong Stock Exchange and the company's website[70] - The mid-term report for the six months ending June 30, 2024, will be released at an appropriate time[70] - The board of directors is chaired by Ma Shengcong, who is also the executive director[70] - The executive directors include Ma Shengcong and Zhang Ying, while the non-executive directors are Ling Sheng Shyan and Dr. Wu Xianyi[70] - Independent non-executive directors include Yang Junhui, Qian Jian Guang, and Xie Yaozu[70]

Financial Performance - The Group recorded a revenue decrease of approximately 11.3%, from approximately RM105.7 million for the year ended December 31, 2022, to approximately RM93.8 million for the year ended December 31, 2023[17]. - The Group reported a net loss attributable to equity holders of approximately RM4.2 million for the year ended December 31, 2023, compared to a loss of approximately RM0.8 million in 2022[18]. - The company's gross profit decreased by approximately RM0.5 million or 2.3%, from RM23.5 million in 2022 to RM22.9 million in 2023[43]. - The Group's gross profit decreased by RM0.5 million or 2.3% to approximately RM22.9 million in 2023, while gross profit margin increased by 2.2 percentage points to approximately 24.4%[75]. - Loss before tax amounted to approximately RM1.5 million for the year ended 31 December 2023, compared to a profit before tax of approximately RM2.7 million in 2022[105]. - The Group's loss for the year was approximately RM3.4 million for 2023, compared to a profit of approximately RM0.3 million in 2022[130]. - The Group did not recommend the distribution of a final dividend for the year ended 31 December 2023, consistent with 2022[131]. Revenue Breakdown - Revenue from outsourced document management services decreased from approximately RM77.6 million in 2022 to approximately RM73.7 million in 2023[17]. - Revenue from outsourced insurance risk analysis and marketing services in the PRC decreased from approximately RM21.9 million in 2022 to approximately RM13.4 million in 2023[17]. - Total revenue for the year ended December 31, 2023, was approximately RM93.8 million, a decrease from RM105.7 million in 2022, with outsourced services contributing approximately 98.8% of total revenue[64]. - Revenue from outsourced document management services accounted for approximately 78.6% of total revenue in 2023, down from 73.4% in 2022, with a decrease of RM3.9 million or 5.0% due to a shift towards paperless document delivery[68]. - Revenue from outsourced insurance risk analysis and marketing services represented approximately 14.3% of total revenue in 2023, down from 20.7% in 2022, primarily due to decreased demand linked to COVID-19 impacts[71]. - Revenue from the distribution and sales of medical equipment represented approximately 1.2% of total revenue in 2023, an increase from 0.4% in 2022, amounting to RM1.2 million[95]. Financial Ratios and Position - The current ratio improved to 5.3 times in 2023 from 4.7 times in 2022, reflecting a 13.6% increase[11]. - The gearing ratio decreased from 15.8% in 2022 to 8.5% in 2023, a reduction of 7.3 percentage points[11]. - Total loans and borrowings decreased by approximately RM6.5 million or 48.5%, from RM13.4 million in 2022 to RM6.9 million in 2023[132]. - The Group's gearing ratio improved to approximately 8.5% as at 31 December 2023, down from approximately 15.8% in 2022, due to reduced interest-bearing bank loans[118]. - As at 31 December 2023, the Group maintained a cash and bank balance of approximately RM42.7 million, down from RM53.9 million in 2022[112]. - Cash and bank balances decreased to approximately RM42.7 million as of December 31, 2023, down from RM53.9 million as of December 31, 2022[135]. - The Group's capital gearing ratio improved to approximately 8.5% as of December 31, 2023, compared to 15.8% in the previous year, reflecting a reduction in total borrowings[145]. Strategic Initiatives - The Group aims to focus on developing IT applications and services to maintain a competitive edge in the market[14]. - The adoption of SaaS is accelerating changes in the outsourced document management services industry, impacting future strategies[21]. - The management team will continue to explore new business opportunities in the PRC to enhance growth[16]. - The Group's competitive strengths include proprietary technology and an extensive customer base, which are crucial for future developments[16]. - The company aims to strengthen its business model to be "Future Ready" by investing in scaling up solutions and services to capitalize on market opportunities[49]. - The Group plans to enhance its data processing and technical capacity by engaging external software development vendors for new applications within the Streamline Suite[58]. - The Group aims to develop advanced internet cloud technology and big data analytics to create efficient service systems for insurance and related industries in China[66]. - The Group plans to engage external software development vendors and develop new applications, including livestreaming and AI capabilities, as part of its software development plan[185]. Operational Developments - The company is converting an existing building acquired in 2022 into a new Data Centre to enhance its IT infrastructure and expand outsourced document management services[33]. - The new Data Centre facility in Malaysia will enhance the company's document hosting capabilities for electronic distribution and enterprise software solutions[47]. - The company has invested approximately RM6.2 million (around HK$12.0 million) in the design and project management of the Data Centre since 2020[81]. - The acquisition of a building in Malaysia for the Data Centre was completed for RM12.0 million (approximately HK$22.3 million), with RM10.3 million funded from the net proceeds of a share offer[81]. - The conversion of the acquired building into a Data Centre began in June 2022 and is expected to be completed by the end of 2025[81]. - The Group has successfully developed proprietary enterprise software applications to drive digital transformation for large companies in the banking, insurance, and retail industries in Malaysia[54]. Marketing and Sales Efforts - The Group plans to reallocate unutilized net proceeds from previous fundraising efforts to enhance marketing and promotion efforts to attract new customers[159]. - The Group has completed certain marketing and sale activities in Singapore and Vietnam, which are in line with the use of net proceeds purpose as set out in the 2023 Announcement[163]. - The Group plans to formulate enhanced marketing and sale strategies to promote its products and services in Singapore and Vietnam[163]. - The Group has encountered delays in engaging suitable external service providers for marketing and customer support services in Singapore and Vietnam[163]. - The Group aims to step up marketing and sales efforts to reach new customers, with a current utilisation percentage of 10.2%[163]. - The Group's marketing and sales efforts will include engaging external service providers for customer support services related to its Streamline Suite products[185]. Management and Governance - Ms. Zhang Ying was appointed as an Executive Director on May 1, 2023, bringing over 18 years of experience in marketing and technology, particularly in AI[194]. - Dr. Wu Xianyi has over 30 years of experience in actuarial science and statistics, serving as a Non-Executive Director since July 30, 2021[197]. - Ling Sheng Shyan has been a Non-Executive Director since February 15, 2019, providing strategic advice to the Group[198]. - Dr. Zeng Jianhua, appointed as an Independent Non-Executive Director on June 7, 2021, has over nine years of experience in the biomedical and healthcare industry[200].

Revenue Performance - Total revenue from contracts with customers for the year ended December 31, 2023, was RM 93,763,000, a decrease of 11.3% from RM 105,680,000 in 2022[7] - Revenue from Malaysia was RM 76,727,000, down 4.7% from RM 80,621,000 in the previous year[3] - The revenue from outsourced document management services was RM 73,682,000, a decrease from RM 77,574,000 in 2022[7] - Total revenue for the year ended December 31, 2023, was approximately 93.8 million MYR, a decrease from 105.7 million MYR in 2022, primarily due to a decline in outsourcing document management services[50] - Revenue from outsourcing document management services accounted for approximately 78.6% of total revenue in 2023, down from 73.4% in 2022, with a decrease of about 3.9 million MYR or 5.0%[51] - Revenue from outsourcing insurance risk analysis and marketing services was approximately 14.3% of total revenue in 2023, down from 20.7% in 2022, totaling about 13.4 million MYR[52] Financial Performance - The company reported a pre-tax loss of 4,249 thousand MYR for the year ending December 31, 2023, compared to a loss of 807 thousand MYR in 2022, reflecting an increase in losses[32] - The pre-tax loss for the year ending December 31, 2023, was approximately 1.5 million MYR, compared to a pre-tax profit of about 2.7 million MYR in 2022, primarily due to decreased gross profit and increased administrative expenses[66] - The company's net loss for the year ending December 31, 2023, was approximately 3.4 million MYR, compared to a net profit of about 0.3 million MYR in 2022[68] - The loss attributable to equity holders of the company for the year ended December 31, 2023, was approximately MYR 4.2 million, an increase in loss of MYR 3.4 million compared to approximately MYR 0.8 million in the previous year[123] - The total comprehensive loss for the year was approximately MYR 2.021 million, compared to MYR 15 thousand in the previous year[124] Assets and Liabilities - The company’s trade receivables net amount was 19,675 thousand MYR as of December 31, 2023, slightly down from 19,774 thousand MYR in 2022[35] - Total loans and borrowings decreased by approximately 6.5 million MYR or 48.5% to about 6.9 million MYR as of December 31, 2023[73] - Cash and bank balances amounted to approximately 42.7 million MYR as of December 31, 2023, down from about 53.9 million MYR in 2022[74] - Current liabilities as of December 31, 2023, were approximately MYR 12.887 million, a decrease from MYR 16.898 million in the previous year[129] - Total assets as of December 31, 2023, were approximately MYR 103.620 million, down from MYR 111.760 million in the previous year[131] - The total equity attributable to equity holders of the company as of December 31, 2023, was approximately MYR 81.222 million, a decrease from MYR 84.561 million in the previous year[132] Expenses and Costs - The company's cost of sales decreased by approximately 11.3 million MYR or 13.8% to about 70.9 million MYR in 2023, primarily due to reduced postal costs from decreased document delivery services[60] - The company's gross profit slightly decreased by approximately 0.5 million MYR or 2.3% to about 22.9 million MYR for the year ending December 31, 2023, while the gross margin increased by about 2.2 percentage points to approximately 24.4%[62] - Administrative expenses increased by approximately 3.6 million MYR or 16.8% to about 25.0 million MYR for the year ending December 31, 2023, primarily due to increased employee costs and higher provisions for expected credit losses[63] - The company incurred total finance costs of RM 459,000 for the year ended December 31, 2023, compared to RM 446,000 in 2022[21] Customer and Market Insights - The top five customer groups contributed 60.39% of total revenue, with Bank Group A accounting for 23.09% (RM 21,653,000) and Bank Group B for 16.15% (RM 15,147,000)[4] - The company aims to increase its market share in local markets, focusing on acquiring new customers primarily in Malaysia, Singapore, Vietnam, and China[46] - The company’s Streamline Suite software application suite has seen increased demand, particularly from financial institutions in Malaysia, highlighting growth in SaaS solutions[43] Strategic Initiatives - The company is upgrading its IT infrastructure and expanding its data center capabilities, expected to be operational by the end of 2025, to enhance document management services[43] - The company plans to enhance its data processing and technology capabilities by engaging external software developers to create new applications within the Streamline Suite[46] - The company has invested approximately 6.2 million MYR (about 12.0 million HKD) in data center design and project management since 2020, with plans to complete the data center by the end of 2025[47] - The company plans to enhance its marketing and sales strategies to expand its customer base in Singapore and Vietnam, with a focus on hiring suitable external service providers for marketing and customer support[97] Compliance and Governance - The audit committee, composed of three independent non-executive directors, reviewed the financial statements for the year ended December 31, 2023, and found them compliant with relevant accounting standards[108] - The company has adopted the standard code for securities trading by directors and confirmed compliance for the year ended December 31, 2023[100] - The company has maintained compliance with the corporate governance code, with some deviations disclosed[101] - The company did not recommend the payment of a final dividend for the year ended December 31, 2023[123] Employee and Compensation - As of December 31, 2023, the total employee count was 165, a decrease from 168 in 2022, with total compensation costs amounting to approximately 16.9 million MYR, up from 13.5 million MYR in 2022[89]

Financial Performance - For the six months ended June 30, 2023, total revenue was RM 34,959,000, representing a 67.5% contribution from major customers[8]. - The basic loss per share for the six months ended June 30, 2023, was RM (0.18), compared to RM (0.02) for the same period in 2022[44]. - The Group's net loss attributable to equity holders for the six months ended June 30, 2023, was RM (4,318,000), compared to RM (401,000) in the previous year[44]. - Total revenue for the six months ended June 30, 2023, was approximately RM45.9 million, a decrease from RM51.8 million for the same period in 2022, representing a decline of about 3.6%[157]. - Gross profit for the six months ended June 30, 2023, was approximately RM9.4 million, a decrease of about RM1.2 million or 11.1% from RM10.6 million in the same period of 2022[161]. - The Group reported a loss of approximately RM4.0 million for the six months ended June 30, 2023, compared to a loss of about RM17,000 in the same period of 2022[167]. - The loss for the period amounted to approximately RM4.0 million for the six months ended June 30, 2023, compared to a loss of approximately RM17,000 for the same period in 2022[185]. Revenue Breakdown - Revenue from outsourced document management services accounted for approximately 83.5% of total revenue for the six months ended June 30, 2023, up from 73.8% in the same period of 2022[159]. - Revenue from outsourced insurance risk analysis and marketing services decreased to approximately RM4.5 million, representing about 9.7% of total revenue for the six months ended June 30, 2023, down from approximately RM10.9 million or 21.1% in the same period of 2022[159]. - Revenue from the distribution and sales of medical equipment represented approximately 1.0% of total revenue for the six months ended June 30, 2023, amounting to approximately RM0.5 million, up from RM0.1 million or 0.2% in the same period of 2022[161]. - Revenue from enterprise software solutions increased by approximately RM0.1 million or 3.6% from RM2.6 million for the six months ended 30 June 2022 to RM2.7 million for the six months ended 30 June 2023[181]. Expenses and Costs - Staff costs increased to RM 10,627,000 for the six months ended June 30, 2023, up from RM 6,220,000 in 2022, reflecting a significant rise in employee-related expenses[41]. - Administrative expenses increased by approximately RM2.6 million or 26.8% from RM9.9 million for the six months ended 30 June 2022 to RM12.5 million for the six months ended 30 June 2023, primarily due to increased staff costs[183]. - Cost of sales decreased by approximately RM4.8 million or 11.5% from RM41.2 million for the six months ended June 30, 2022, to RM36.4 million for the same period in 2023[161]. Assets and Liabilities - The Group's total non-current assets as of June 30, 2023, were RM 33,920,000, an increase from RM 31,757,000 as of December 31, 2022[30]. - Total assets decreased to RM98,403 thousand from RM111,760 thousand as of December 31, 2022, reflecting a decline of approximately 12%[108]. - Total liabilities decreased from RM 23,901,000 as of December 31, 2022, to RM 13,153,000 as of June 30, 2023, representing a reduction of approximately 45%[95]. - Current liabilities decreased significantly to RM7,164 thousand from RM16,898 thousand, indicating a reduction of approximately 58%[108]. - The Group's total equity as of June 30, 2023, was RM 85,250,000, down from RM 87,859,000 as of December 31, 2022, indicating a decrease of approximately 3%[95]. Cash Flow and Liquidity - Cash and cash equivalents amounted to RM 37,931,000, compared to RM 9,916,000 in the previous period[79]. - The Group's cash and bank balances were approximately RM37.9 million as of June 30, 2023, down from approximately RM53.9 million as of December 31, 2022[187]. - The Group maintained a healthy liquidity position and did not use any risk hedging tools for the six months ended June 30, 2023[172]. - The Group's current ratio as of June 30, 2023, was approximately 9.0 times, up from approximately 4.7 times as of December 31, 2022, indicating a strong liquidity position[188]. Corporate Governance and Management - The company has established an Audit Committee consisting of three independent non-executive Directors to ensure compliance with governance standards[60]. - The company has maintained a high standard of corporate governance, with ongoing reviews of the Board's structure and effectiveness[59]. - Mr. Ma has been appointed as the new chairman and CEO since May 1, 2023, following Mr. Ling's resignation, focusing on daily operations and strategic business plans[75]. Strategic Development and Future Plans - The company is engaged in the operation of outsourced insurance risk analysis services and medical equipment distribution, with plans for strategic business development in the PRC[75]. - The Group aims to develop advanced internet cloud technology and big data analysis for the insurance industry in the PRC, focusing on sustainable growth[136]. - The Group plans to pursue strategic acquisitions and business opportunities to expand its market presence regionally[128]. - The Group is considering partnerships with AI technology firms to integrate AI and machine learning into its applications[134]. - The Group has expanded its presence in China since July 2021, providing outsourced insurance risk analysis and marketing services, and began distributing and selling medical equipment in China from April 2022[138]. Technology and Innovation - The upgraded Streamline Suite platform will integrate live streaming and video technology, enhancing customer interaction capabilities[132]. - The Group has allocated RM4.7 million (approximately HK$8.8 million) from the Share Offer proceeds to acquire livestreaming and video technology, enhancing its Streamline Suite platform for real-time customer interactions[154]. - Future plans include integrating advanced capabilities such as customer data analytics and artificial intelligence (AI) to improve the efficiency of the Streamline Suite platform[154]. - The integration of livestreaming and video technology capabilities is expected to be fully completed by the end of June 2024, enhancing customer engagement[155].

Financial Performance - Total revenue from contracts with customers for the six months ended June 30, 2023, was 45,861 thousand MYR, down from 51,770 thousand MYR in the same period of 2022, indicating a decrease of about 11.4%[9] - The company reported a net loss attributable to equity holders of 4,318 thousand MYR for the six months ended June 30, 2023, compared to a loss of 401 thousand MYR in the same period of 2022, reflecting a significant increase in losses[15] - Total revenue for the six months ended June 30, 2023, was approximately RM 45.9 million, a decrease from RM 51.8 million for the same period in 2022, primarily from outsourcing services[37] - The group reported a loss of approximately RM 4.0 million for the six months ended June 30, 2023, compared to a loss of RM 17,000 for the same period in 2022, attributed to reduced gross profit and increased administrative expenses[45] - For the six months ended June 30, 2023, the company reported a total comprehensive loss of RM 2,609,000 compared to a profit of RM 484,000 for the same period in 2022, representing a significant decline[119] - The company's basic and diluted loss per share for the six months ended June 30, 2023, was RM 0.18, compared to RM 0.02 for the same period in 2022, indicating a worsening financial performance[119] Assets and Liabilities - The total assets as of June 30, 2023, amounted to 98,403 thousand MYR, a decrease from 111,760 thousand MYR as of December 31, 2022, representing a decline of approximately 11.9%[3] - The company’s total liabilities as of June 30, 2023, were 34,147 thousand MYR, compared to 32,289 thousand MYR as of December 31, 2022, indicating an increase of about 5.8%[3] - As of June 30, 2023, total loans and borrowings amounted to approximately RM 8.1 million, a decrease of RM 5.3 million or 39.6% from RM 13.4 million as of December 31, 2022[46] - The company’s net assets as of June 30, 2023, were reported at 85,250 thousand MYR, a slight decrease from 87,859 thousand MYR at the end of 2022[111] - Total liabilities decreased to RM 13,153,000 as of June 30, 2023, from RM 23,901,000 as of December 31, 2022, showing a reduction of about 45%[124] Employee Costs - Employee costs for the six months ended June 30, 2023, totaled 10,627 thousand MYR, up from 6,220 thousand MYR in the same period of 2022, marking an increase of approximately 70.5%[13] - The total employee compensation for the six months ended June 30, 2023, was approximately RM 10.6 million, an increase from RM 6.2 million for the same period in 2022[55] Revenue Sources - The revenue from outsourcing services, particularly document management, was 38,293 thousand MYR for the six months ended June 30, 2023, slightly up from 38,194 thousand MYR in the same period of 2022[9] - The group’s revenue from outsourcing services accounted for approximately 99.0% of total revenue for the six months ended June 30, 2023, compared to 99.8% for the same period in 2022[37] - Revenue from enterprise software solutions accounted for approximately 5.8% of total revenue for the six months ended June 30, 2023, up from 4.9% for the same period in 2022, with an increase from approximately 2.6 million MYR to approximately 2.7 million MYR, representing a growth of about 3.6%[71] - Revenue from medical equipment distribution and sales accounted for approximately 1.0% of total revenue for the six months ended June 30, 2023, compared to approximately 0.2% for the same period in 2022, increasing from approximately 0.1 million MYR to approximately 0.5 million MYR[72] Strategic Plans - The company plans to expand its market share locally and explore regional expansion to capture more market share[34] - The company aims to enhance its service offerings in Malaysia, including electronic document delivery and medical ID card printing, as part of its growth strategy[32] - The group plans to develop advanced internet cloud technology and big data analytics to create comprehensive and efficient service systems for clients in the insurance sector in China[36] - The company plans to allocate 89.8% of its unutilized funds to enhance technical capabilities and develop new applications through external software developers[89] - The company aims to strengthen its marketing efforts to acquire new customers, reallocating part of its unutilized funds for this purpose, which is projected to be 10.2% of the total[89] - The company is seeking strategic acquisitions and business opportunities to expand its operations and improve its service offerings[151] Operational Changes - The company has adopted new international financial reporting standards, which did not have a significant impact on its performance or financial position during the reporting period[5] - The company’s management structure has changed, with Mr. Ma taking over as both Chairman and CEO from May 1, 2023, following Mr. Ling's resignation[60] - The company is upgrading its IT infrastructure and expanding its hosting capabilities, with a new data center expected to be completed by the end of June 2024, enhancing its document hosting capabilities for clients[65] - The company has transformed an existing building acquired in 2022 into a new data center to upgrade its IT infrastructure and expand its outsourcing document management services[151] Compliance and Regulations - The company has established internal policies to comply with relevant regulations in China, including the Data Security Law and the Personal Information Protection Law[181] Cash Flow and Financing - As of June 30, 2023, cash and bank balances amounted to approximately MYR 37.9 million, down from MYR 53.9 million as of December 31, 2022[191] - The capital debt ratio as of June 30, 2023, was approximately 10.0%, a decrease from 15.8% as of December 31, 2022, due to a reduction in interest-bearing bank loans from approximately MYR 13.4 million to MYR 8.1 million[194] - The company did not engage in any significant investments or acquisitions during the six months ended June 30, 2023[196]

Revenue Performance - Revenue from outsourced insurance risk analysis and marketing services was approximately RM21.9 million, representing 20.7% of total revenue for the year ended 31 December 2022, down from 22.9% in 2021[4] - Revenue from enterprise software solutions increased by approximately RM0.7 million or 14.9% to approximately RM5.8 million for the year ended 31 December 2022, compared to RM5.1 million in 2021[5] - Revenue for the year ended December 31, 2022, was RM59,236,000, a decrease of RM7,466,000 compared to RM51,770,000 in the previous year[19] - Revenue from outsourced document management services fell from RM81.2 million in 2021 to RM77.6 million in 2022, while revenue from insurance risk analysis services decreased from RM25.6 million to RM21.9 million during the same period[98] - The Group's revenue decreased by approximately 5.6% from RM111.9 million in 2021 to RM105.7 million in 2022, primarily due to declines in outsourced document management and insurance risk analysis services[98] Profitability and Expenses - Gross profit decreased by approximately RM3.2 million or 11.9% to approximately RM23.4 million for the year ended 31 December 2022, with a gross profit margin of 22.2%, down from 23.8% in 2021[8] - Administrative expenses increased by approximately RM3.4 million or 18.7% to approximately RM21.4 million for the year ended 31 December 2022, primarily due to increased staff costs and research costs[8] - Profit before tax decreased to approximately RM2.7 million for the year ended 31 December 2022, down from RM9.1 million in 2021[9] - Profit for the year amounted to approximately RM0.3 million for the year ended 31 December 2022, down from RM4.5 million in 2021[9] - The Group reported a net loss attributable to shareholders of RM0.8 million for the year ended December 31, 2022, compared to a net profit of RM2.7 million in the previous year, primarily due to reduced gross profit and increased administrative expenses[22] Dividends and Reserves - The company did not recommend the distribution of a final dividend for the year ended 31 December 2022, compared to no dividend in 2021[9] - As of December 31, 2022, the Company's reserves available for distribution to shareholders amounted to approximately RM19.3 million, a decrease from RM29.8 million in 2021[141] - The board does not recommend a final dividend for the year ended December 31, 2022, maintaining a focus on cash reserves for working capital and future growth[116] Investments and Capital Expenditures - As of December 31, 2022, the Group had capital commitments of approximately RM1.3 million for converting an existing building into a Data Centre and RM4.8 million for acquiring intangible assets related to livestreaming and video technology[11] - The Group has allocated approximately RM6.2 million (equivalent to approximately HK$12.0 million) for the design and project management of the Data Centre since 2020[38] - The Group acquired a building in Malaysia for RM12.0 million (approximately HK$22.3 million) to convert into a Data Centre, with RM10.3 million (approximately HK$19.5 million) funded from the net proceeds of the Company's share offer[38] - The conversion of the building into the Data Centre began in June 2022 and is expected to be completed by the end of 2023[38] Strategic Initiatives and Future Plans - The Group is investing in upgrading its IT infrastructure and expanding capacity to host its Streamline Suite in a new Data Centre facility in Malaysia[25] - The new Data Centre facility aims to enhance document hosting capabilities for electronic distribution and enterprise software solutions to existing and new customers[25] - The Group's future growth prospects are viewed positively, with a focus on innovation and adapting to market demands[25] - Future plans include developing advanced internet cloud technology and big data analysis for the insurance industry in the PRC[39] - The Group intends to strengthen relationships with existing customers and capture new customers in Malaysia, Singapore, and the PRC[36] Compliance and Risk Management - The Group's subsidiary in the PRC must comply with the PRC Data Security Law and the PRC Personal Information Protection Law, with specific requirements still to be clarified[130] - The Group regularly obtains legal advice to manage and control policy and regulatory risks associated with its operations in the PRC[130] - The Group's management is focused on ensuring compliance with relevant regulations and making necessary operational adjustments[130] Market Conditions and Demand - The market demand is evolving, driven by the COVID-19 pandemic, with a focus on advanced technologies such as artificial intelligence for customer engagement and automation[25] - The Group has experienced increased demand for SaaS solutions in Malaysia, leading to a rise in enterprise software solutions services from existing and new customers[74] Governance and Management - The Group's board of directors includes both executive and independent non-executive members, ensuring a diverse governance structure[128] - The Group has experienced changes in its board composition, with several appointments and resignations in 2022 and 2023[128]

Financial Performance - For the fiscal year ended December 31, 2022, total revenue was approximately MYR 105.7 million, a decrease of about 5.6% from MYR 111.9 million in the previous year[11]. - Gross profit for the same period was approximately MYR 23.4 million, down approximately 11.9% from MYR 26.6 million in 2021[11]. - The company reported a loss attributable to shareholders of approximately MYR 0.8 million, compared to a profit of MYR 2.7 million in the previous year[11]. - Basic loss per share for the year was approximately MYR 0.10, a decline from a basic earnings per share of MYR 0.34 in the prior year[11]. - The company's total comprehensive loss for the year was MYR 15,000, compared to a total comprehensive income of MYR 6.01 million in 2021[12]. - The group’s pre-tax profit was approximately RM 2.7 million for the year ended December 31, 2022, down from RM 9.1 million for the year ended December 31, 2021[129]. - The group’s net profit for the year ended December 31, 2022, was approximately RM 0.3 million, a decrease from RM 4.5 million for the year ended December 31, 2021[130]. Revenue Sources - Revenue from outsourcing services was MYR 105.68 million, with significant contributions from document management and insurance marketing services[24]. - Revenue from major customer groups accounted for 62.80% of total revenue, down from 74.73% in the previous year, indicating a diversification in revenue sources[42]. - Outsourced document management services and related software applications contributed approximately 99.6% of total revenue in 2022[96]. - Revenue from outsourced insurance risk analysis and marketing services was approximately 21.9 million Ringgit in 2022, down from 25.6 million Ringgit in 2021, representing about 20.7% of total revenue[98]. - Revenue from enterprise software solutions increased by approximately RM 0.7 million or 14.9% to about RM 5.8 million for the year ended December 31, 2022, compared to RM 5.1 million for the year ended December 31, 2021[99]. Assets and Liabilities - Total assets as of December 31, 2022, were MYR 111.76 million, down from MYR 117.16 million in 2021[6]. - Non-current liabilities decreased to MYR 7.00 million in 2022 from MYR 9.87 million in 2021[15]. - The company's total liabilities decreased from 19,422 million MYR to 16,898 million MYR, a reduction of approximately 13%[34]. - The net current assets decreased from 77,789 million MYR to 62,573 million MYR, representing a decline of about 19.5%[34]. - The total trade receivables net amount decreased from 21,257 million MYR to 19,774 million MYR, a decline of approximately 7%[67]. - As of December 31, 2022, the company's debt-to-equity ratio was approximately 15.2%, down from 18.4% on December 31, 2021, primarily due to a reduction in interest-bearing bank loans from approximately RM 16.2 million to RM 13.4 million[136]. Cash Flow and Investments - The company’s cash and bank balances were MYR 53.93 million, down from MYR 66.28 million in the previous year[14]. - The company invested RM 3.0 million in a structured financial product issued by CIMB Islamic Bank, which matured in April 2022, yielding approximately RM 35,000 in interest income during the investment period[137]. - The company generated approximately RM 21,000 in interest from its investment portfolio during the period from January 1, 2022, to April 18, 2022[137]. - The company’s investment strategy focuses on low-risk products to generate stable interest income, with regular monitoring of investment performance[137]. Dividends - The company did not recommend a final dividend for the year ended December 31, 2022, compared to no final dividend in the previous year[11]. - The group did not recommend a final dividend for the year ended December 31, 2022, consistent with the previous year where no dividend was declared[159]. Operational Developments - The company plans to expand its data processing and technology capabilities by converting an existing building into a new data center[92]. - The acquisition of a building in Malaysia for 12.0 million Ringgit (approximately 22.3 million HKD) is aimed at upgrading IT infrastructure and expanding outsourced services[94]. - The construction of the new data center is expected to be completed by the end of 2023[94]. - The company aims to maintain and strengthen relationships with existing clients while acquiring new clients in Malaysia, Singapore, and China[93]. - The company has utilized approximately 6.2 million Ringgit (around 12.0 million HKD) from internal resources for data center design and project management since 2020[94]. - The company is committed to compliance with China's data security and personal information protection laws[95]. - The company experienced a decline in demand for outsourced insurance risk analysis services due to the unprecedented COVID-19 outbreak in China[98]. - The group plans to develop advanced internet cloud technology and big data analytics to create comprehensive and efficient service systems for clients in the insurance and insurance-related industries in China[116]. - The company is upgrading its IT infrastructure and expanding its data center capabilities in Malaysia to enhance document hosting for its outsourcing and enterprise software solutions[199]. - The new data center facility will improve the company's ability to provide electronic distribution and enterprise software solutions, supporting its outsourcing document management services[199]. Employee and Administrative Expenses - The total employee compensation for the year ended December 31, 2022, was approximately RM 13.5 million, an increase from RM 11.3 million in 2021[173]. - Administrative expenses increased by approximately RM 3.4 million or 18.7% to about RM 21.4 million for the year ended December 31, 2022, primarily due to increased employee costs and research costs related to insurance risk analysis services[104]. - The group had 168 employees as of December 31, 2022, down from 172 employees in the previous year[173]. Compliance and Governance - The company’s board committees' terms of reference were revised and adopted on January 3, 2023[140]. - The company has not identified any violations of the standard code of conduct regarding securities trading by its employees for the year ending December 31, 2022[151]. - The group’s auditor, Ernst & Young PLT, reviewed the financial statements and confirmed that they were consistent with the amounts presented in the consolidated financial statements[155].