[Performance Overview](index=1&type=section&id=Performance%20Overview) This section provides a high-level summary of the Group's overall financial and operational performance for the reporting period [Consolidated Statement of Profit or Loss](index=2&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss) This statement presents the Group's financial performance over the reporting period, detailing revenues, costs, and net profit or loss Consolidated Statement of Profit or Loss Key Data (HK$'000) | Metric | 2025 (HK$'000) | 2024 (HK$'000) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 135,556 | 53,676 | 152.5% | | Cost of sales | (93,570) | (35,576) | -163.0% | | Gross profit | 41,986 | 18,100 | 132.0% | | Other income, net | 11,774 | 484 | 2332.6% | | Reversal of expected credit loss allowance for financial assets, net | 1,560 | 403 | 287.1% | | Impairment loss on goodwill | (20,000) | – | N/A | | Selling expenses | (3,070) | (1,214) | -152.9% | | Administrative expenses | (34,248) | (27,349) | -25.2% | | Operating loss | (1,998) | (9,576) | 79.1% | | Finance income, net | 633 | 1,047 | -39.6% | | Loss before income tax | (1,365) | (8,529) | 84.0% | | Income tax credit/(expense) | 1,278 | (16) | N/A | | Loss for the year | (87) | (8,545) | 99.0% | | (Loss)/profit attributable to owners of the Company | (316) | (7,448) | 95.8% | | Basic loss per share (HK Cents) | (0.05) | (1.15) | 95.7% | [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=3&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This statement details the Group's total comprehensive income, including items not recognized in profit or loss, for the reporting period Consolidated Statement of Profit or Loss and Other Comprehensive Income Key Data (HK$'000) | Metric | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Loss for the year | (87) | (8,545) | 8,458 | | Other comprehensive expenses: | | | | | Exchange differences on translation of foreign operations | (1,205) | (2,100) | 895 | | Remeasurement of retirement benefit obligations | (123) | – | (123) | | Other comprehensive expenses for the year, net of tax | (1,328) | (2,100) | 772 | | Total comprehensive expenses for the year | (1,415) | (10,645) | 9,230 | | Total comprehensive (expenses)/income attributable to owners of the Company | (1,525) | (9,548) | 8,023 | | Non-controlling interests | 110 | (1,097) | 1,207 | [Consolidated Statement of Financial Position](index=4&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) This statement presents the Group's assets, liabilities, and equity at a specific point in time, reflecting its financial health Consolidated Statement of Financial Position Key Data (HK$'000) | Metric | 2025 (HK$'000) | 2024 (HK$'000) | Change (%) | | :--- | :--- | :--- | :--- | | **Non-current assets** | | | | | Property, plant and equipment | 6,910 | 6,839 | 1.0% | | Intangible assets | 5,906 | 7,346 | -19.6% | | Right-of-use assets | 9,931 | 1,944 | 410.8% | | Goodwill | 28,363 | 48,363 | -41.3% | | Deposits and prepayments | 11,129 | 10,954 | 1.6% | | Deferred tax assets | 937 | 36 | 2502.8% | | **Total non-current assets** | **63,176** | **75,482** | **-16.3%** | | **Current assets** | | | | | Inventories | 70,637 | 44,340 | 59.3% | | Trade receivables | 25,088 | 15,037 | 66.8% | | Other receivables, deposits and prepayments | 82,657 | 23,205 | 256.2% | | Contract assets | 843 | 854 | -1.3% | | Cash and cash equivalents | 47,773 | 37,884 | 26.1% | | **Total current assets** | **226,998** | **121,320** | **87.1%** | | **Current liabilities** | | | | | Trade payables | 8,343 | 7,874 | 6.0% | | Other payables and accrued expenses | 19,418 | 16,306 | 19.1% | | Contract liabilities | 3,042 | 4,753 | -36.0% | | Lease liabilities | 5,079 | 1,112 | 356.7% | | Bank borrowings | 8,560 | 5,421 | 57.9% | | Other borrowings | 4,000 | 4,000 | 0.0% | | Tax payable | 1,281 | 1,528 | -16.2% | | **Total current liabilities** | **49,723** | **40,994** | **21.3%** | | **Net current assets** | **177,275** | **80,326** | **120.7%** | | **Total assets less current liabilities** | **240,451** | **155,808** | **54.3%** | | **Non-current liabilities** | | | | | Lease liabilities | 7,006 | 948 | 639.0% | | Convertible bonds | 75,282 | 39,712 | 89.6% | | Retirement benefit obligations | 773 | 466 | 65.9% | | Deferred tax liabilities | 1,513 | 1,890 | -19.9% | | **Total non-current liabilities** | **84,574** | **43,016** | **96.6%** | | **Net assets** | **155,877** | **112,792** | **38.2%** | | **Equity** | | | | | Share capital | 15,448 | 13,585 | 13.7% | | Reserves | 123,835 | 82,723 | 49.7% | | Equity attributable to owners of the Company | 139,283 | 96,308 | 44.6% | | Non-controlling interests | 16,594 | 16,484 | 0.7% | | **Total equity** | **155,877** | **112,792** | **38.2%** | [Notes to the Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) This section details the Group's operating activities, basis of financial statement preparation, adoption of accounting standards, revenue composition, segment information, other income, taxation, loss per share, dividend policy, trade and other receivables/payables, share capital changes, goodwill impairment, and convertible bond treatment, providing essential background for understanding the Group's financial position and operating results [1. General Information](index=6&type=section&id=1.%20General%20Information) Baijin Life Science Holdings Limited is incorporated in the Cayman Islands and listed on the Main Board of the Hong Kong Stock Exchange. The Group's principal activities include jewelry product design and sales, real estate financial asset investment, and newly acquired skincare product sales, scientific research services, and franchise licensing and consulting services. The acquisition of Tonnett Group was completed on February 9, 2024, and its business has been consolidated into the Group - Company incorporated in the Cayman Islands on May 13, 2014, and listed on the Main Board of the Hong Kong Stock Exchange on October 17, 2014[8](index=8&type=chunk) - Group's principal activities include: (i) design and sale of jewelry products; (ii) investment in real estate financial assets; (iii) sale of skincare products under the 'FO' brand, provision of professional scientific research services, and franchise licensing and consulting services (the latter two acquired during the year ended March 31, 2024)[9](index=9&type=chunk) - Acquisition of Tonnett Julis Holdings Limited and its subsidiaries ('Tonnett Group') completed on February 9, 2024, with its business consolidated into the Group since then, contributing new principal activities[9](index=9&type=chunk) [2. Basis of Preparation of Consolidated Financial Statements](index=6&type=section&id=2.%20Basis%20of%20Preparation%20of%20Consolidated%20Financial%20Statements) The Group's consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards issued by the HKICPA and the disclosure requirements of the Hong Kong Companies Ordinance, and primarily measured on a historical cost basis, except for certain financial instruments measured at fair value. The preparation involves accounting estimates and assumptions - Consolidated financial statements prepared in accordance with Hong Kong Financial Reporting Standards issued by the HKICPA and the disclosure requirements of the Hong Kong Companies Ordinance (Cap. 622)[10](index=10&type=chunk) - Consolidated financial statements prepared on a historical cost basis, except for certain financial instruments measured at fair value[11](index=11&type=chunk) [3. Adoption of New and Revised Hong Kong Financial Reporting Standards](index=7&type=section&id=3.%20Adoption%20of%20New%20and%20Revised%20Hong%20Kong%20Financial%20Reporting%20Standards) This year, the Group first applied several revised Hong Kong Financial Reporting Standards, including amendments on sale and leaseback, classification of non-current liabilities, and supplier finance arrangements. These revisions had no significant impact on the Group's financial position and performance, particularly the 2020 and 2022 amendments on liability classification, which provided clearer guidance - Several revised Hong Kong Financial Reporting Standards, effective from April 1, 2024, were first applied this year, including HKFRS 16 (Amendment) Lease Liability in a Sale and Leaseback, HKAS 1 (Amendment) Non-current Liabilities with Covenants, etc[13](index=13&type=chunk) - Application of these amendments had no significant impact on the Group's financial position and performance and/or disclosures in the consolidated financial statements for the current and prior years[13](index=13&type=chunk)[16](index=16&type=chunk) - The 2020 amendments clarified that liabilities should be classified as current or non-current based on rights existing at year-end, irrespective of management's intention, and clarified how liabilities are settled; the 2022 amendments further clarified the classification of non-current liabilities with covenants, emphasizing that covenants complied with at or before the reporting date affect classification[14](index=14&type=chunk)[15](index=15&type=chunk) [4. Revenue](index=8&type=section&id=4.%20Revenue) The Group's revenue significantly increased to **HK$135.556 million** in FY2025, up **152.5%** from **HK$53.676 million** in FY2024. This growth was primarily driven by increased sales of jewelry products and skincare products, as well as a comprehensive uplift in consulting, franchise licensing, and scientific research services income - Revenue from sales of jewelry products and skincare products refers to amounts received and receivable from customers, net of returns and discounts; revenue from various services is recognized according to relevant services and contract terms[17](index=17&type=chunk)[18](index=18&type=chunk) Group Revenue Composition (HK$'000) | Revenue Source | 2025 (HK$'000) | 2024 (HK$'000) | Change (%) | | :--- | :--- | :--- | :--- | | Sales of jewelry products | 115,191 | 50,348 | 128.8% | | Sales of skincare products | 9,930 | 1,474 | 573.7% | | Consulting services | 5,557 | 1,009 | 450.7% | | Franchise licensing services | 3,867 | 599 | 545.6% | | Scientific research services | 1,011 | 246 | 311.0% | | **Total Revenue** | **135,556** | **53,676** | **152.5%** | [5. Segment Information](index=9&type=section&id=5.%20Segment%20Information) The Group currently has three operating segments: jewelry business, strategic investment, and skincare business. In FY2025, both jewelry and skincare businesses saw significant revenue growth, with jewelry being the largest contributor. The skincare segment's loss expanded, while the jewelry and strategic investment segments achieved profit - Following the acquisition of Tonnett Group on February 9, 2024, the Group now has three operating segments: (a) jewelry business (design and sale of jewelry products); (b) strategic investment (investment in real estate financial assets); (c) skincare business (sale of skincare products under the 'FO' brand, provision of professional scientific research services, and franchise licensing and consulting services)[20](index=20&type=chunk)[21](index=21&type=chunk) Reportable Segment Revenue and Profit/(Loss) by Operating Segment (HK$'000) | Segment | 2025 Segment Revenue | 2024 Segment Revenue | Revenue Change (%) | 2025 Segment Profit/(Loss) | 2024 Segment Profit/(Loss) | Profit/(Loss) Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jewelry Business | 115,191 | 50,348 | 128.8% | 20,888 | 4,070 | 413.2% | | Strategic Investment | – | – | N/A | 4,351 | 444 | 880.0% | | Skincare Business | 20,365 | 3,328 | 511.9% | (25,122) | (5,148) | -388.0% | | **Total** | **135,556** | **53,676** | **152.5%** | **117** | **(634)** | **118.5%** | - Segment results represent the profit/(loss) generated by each segment, excluding certain administrative expenses, net other income, and finance costs incurred by the Company and investment holding companies[23](index=23&type=chunk) [6. Other Income, Net](index=11&type=section&id=6.%20Other%20Income,%20Net) The Group's net other income significantly increased to **HK$11.774 million** in FY2025, primarily due to gains from the disposal of a subsidiary and fair value changes in profit guarantees, offsetting fair value losses on convertible bonds Other Income, Net (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Exchange (loss)/gain, net | (62) | 4 | (66) | | Gain on disposal of a subsidiary | 4,048 | – | 4,048 | | Write-off of property, plant and equipment | (30) | – | (30) | | Impairment loss on pearl prepayments | 724 | (2,284) | 3,008 | | Fair value change of convertible bonds (loss)/gain | (4,482) | 2,997 | (7,479) | | Fair value change of profit guarantee gain | 10,882 | – | 10,882 | | Others | 694 | (233) | 927 | | **Total** | **11,774** | **484** | **11,290** | - On July 29, 2024, the Group disposed of its entire interest in Thriving Oasis Limited for a consideration of HK$1, recognizing a gain of **HK$4.048 million**[24](index=24&type=chunk) [7. Loss Before Income Tax](index=11&type=section&id=7.%20Loss%20Before%20Income%20Tax) The Group's loss before income tax significantly narrowed to **HK$1.365 million** in FY2025, an **84%** reduction from **HK$8.529 million** in FY2024. This was primarily due to an increase in the reversal of inventory impairment losses, despite increases in employee benefit expenses, depreciation, and amortization Components of Loss Before Income Tax (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Cost of inventories sold | 99,450 | 47,986 | 51,464 | | Cost of services | 2,342 | 430 | 1,912 | | Reversal of inventory impairment loss, net | (8,222) | (12,840) | 4,618 | | Employee benefit expenses | 18,170 | 15,103 | 3,067 | | Auditor's remuneration — audit services | 1,612 | 1,600 | 12 | | Auditor's remuneration — non-audit services | 103 | 656 | (553) | | Depreciation of property, plant and equipment | 2,223 | 465 | 1,758 | | Depreciation of right-of-use assets | 2,999 | 1,259 | 1,740 | | Amortization of intangible assets | 1,440 | 205 | 1,235 | | Reversal of expected credit loss allowance for trade receivables, net | (2,558) | (413) | (2,145) | | Expected credit loss allowance for other receivables, net | 983 | 12 | 971 | | Expected credit loss allowance for deposits, net | 15 | (2) | 17 | | **Total expected credit loss allowance, net** | **(1,560)** | **(403)** | **(1,157)** | [8. Income Tax Credit/(Expense)](index=12&type=section&id=8.%20Income%20Tax%20Credit/(Expense)) The Group recorded an income tax credit of **HK$1.278 million** in FY2025, compared to an income tax expense of **HK$16 thousand** in FY2024, primarily due to an increase in deferred tax credits Income Tax Credit/(Expense) (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | | :--- | :--- | :--- | | Current tax | – | (18) | | Deferred tax credit | 1,278 | 2 | | **Income tax credit/(expense)** | **1,278** | **(16)** | [9. Loss Per Share](index=12&type=section&id=9.%20Loss%20Per%20Share) The Group's basic loss per share significantly narrowed to **0.05 HK Cents** in FY2025, a **95.7%** reduction from **1.15 HK Cents** in FY2024, primarily due to a substantial decrease in loss attributable to owners of the Company Loss Per Share Calculation (HK$'000/Thousand Shares) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Loss attributable to owners of the Company (HK$'000) | (316) | (7,448) | | Weighted average number of ordinary shares (Thousand shares) | 693,896 | 644,990 | | **Basic loss per share (HK Cents)** | **(0.05)** | **(1.15)** | - As of March 31, 2025 and 2024, unexercised convertible bonds had an anti-dilutive effect on loss per share; share options were not assumed to be exercised as their exercise price was higher than the average market price of shares[27](index=27&type=chunk) [10. Dividends](index=12&type=section&id=10.%20Dividends) The Board does not recommend the payment of any dividends for the financial year ended March 31, 2025, consistent with FY2024 - The Board does not recommend the payment of any dividends for the year ended March 31, 2025 (2024: nil)[28](index=28&type=chunk) [11. Trade Receivables, Other Receivables, Deposits and Prepayments](index=12&type=section&id=11.%20Trade%20Receivables,%20Other%20Receivables,%20Deposits%20and%20Prepayments) As of March 31, 2025, the Group's net trade receivables increased to **HK$25.088 million**, and total other receivables, deposits, and prepayments significantly rose to **HK$82.657 million**, primarily due to **HK$41.970 million** in compensation receivable from Tonnett Group's failure to meet target profit Trade Receivables (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Jewelry Business | 15,898 | 17,413 | (1,515) | | Skincare Business | 19,460 | 10,516 | 8,944 | | Trade receivables, gross | 35,358 | 27,929 | 7,429 | | Less: allowance for expected credit losses | (10,270) | (12,892) | 2,622 | | **Trade receivables, net** | **25,088** | **15,037** | **10,051** | Other Receivables, Deposits and Prepayments (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Other receivables, net | 29,148 | 14,338 | 14,810 | | Compensation receivable | 41,970 | – | 41,970 | | Deposits | 796 | 709 | 87 | | Prepayments | 10,743 | 8,158 | 2,585 | | **Total current** | **82,657** | **23,205** | **59,452** | | Non-current deposits | 175 | – | 175 | | Non-current prepayments | 10,954 | 10,954 | – | | **Total non-current** | **11,129** | **10,954** | **175** | | **Total** | **93,786** | **34,159** | **59,627** | - As of March 31, 2025, Tonnett Group failed to achieve the target profit, and according to the profit guarantee, the vendor is required to pay the Group approximately **HK$41.97 million** in compensation, which has been recognized as a receivable[31](index=31&type=chunk) [12. Trade Payables, Other Payables and Accrued Expenses](index=14&type=section&id=12.%20Trade%20Payables,%20Other%20Payables%20and%20Accrued%20Expenses) As of March 31, 2025, the Group's trade payables increased to **HK$8.343 million**, and other payables and accrued expenses rose to **HK$19.418 million**, totaling **HK$27.761 million**, primarily due to increases in accrued salaries, employee benefits, and amounts due to directors Trade Payables, Other Payables and Accrued Expenses (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | Change (HK$'000) | | :--- | :--- | :--- | :--- | | Trade payables | 8,343 | 7,874 | 469 | | Accrued salaries and employee benefits | 7,035 | 4,146 | 2,889 | | Other payables and accrued expenses | 12,383 | 12,160 | 223 | | **Total** | **27,761** | **24,180** | **3,581** | - As of March 31, 2025, other payables included **HK$5.222 million** due to Mr. Zhang Shimin, a director of the Company (2024: nil), which is unsecured, interest-free, and has no fixed repayment terms[32](index=32&type=chunk) [13. Share Capital](index=14&type=section&id=13.%20Share%20Capital) As of March 31, 2025, the Company's issued share capital increased to **HK$15.448 million**, with total shares rising to **772.391 million**, primarily due to the issuance of **93.139 million** new shares during the year under subscription agreements, raising net proceeds of approximately **HK$44.5 million** Changes in Issued and Fully Paid Share Capital (Thousand Shares/HK$'000) | Date | Number of Shares (Thousand shares) | Share Capital (HK$'000) | | :--- | :--- | :--- | | As at April 1, 2023 | 639,298 | 12,786 | | Shares issued (Note (a)) | 39,954 | 799 | | As at March 31, 2024 and April 1, 2024 | 679,252 | 13,585 | | Shares issued (Note (b)) | 93,139 | 1,863 | | **As at March 31, 2025** | **772,391** | **15,448** | - On September 30, 2024, **27,779,373 new shares** were issued at **HK$0.48 per share**, raising net proceeds of **HK$13.23 million**[34](index=34&type=chunk) - On March 28, 2025, **65,359,433 new shares** were issued at **HK$0.48 per share**, raising net proceeds of **HK$31.27 million**[34](index=34&type=chunk) [14. Goodwill](index=15&type=section&id=14.%20Goodwill) As of March 31, 2025, the Group's goodwill carrying amount was **HK$28.363 million**, a decrease of **HK$20 million** from the previous year, primarily due to the recognition of an **HK$20 million** impairment loss on goodwill arising from the acquisition of Tonnett Group, as its recoverable amount was lower than its carrying amount Changes in Goodwill (HK$'000) | Item | Amount (HK$'000) | | :--- | :--- | | As at April 1, 2023 | – | | Acquisition of Tonnett Group | 48,363 | | As at March 31, 2024 and April 1, 2024 | 48,363 | | Impairment loss | (20,000) | | **As at March 31, 2025** | **28,363** | - Management reviews goodwill annually; the recoverable amount of Tonnett Group is calculated based on value in use, using a five-year financial budget, a pre-tax discount rate of **21.5%**, revenue growth rates of **10% to 15%** during the five-year forecast period, and a **3%** growth rate thereafter[36](index=36&type=chunk) - Due to the impairment review, as of March 31, 2025, the recoverable amount of Tonnett Group was lower than its carrying amount, resulting in the recognition of an impairment loss of **HK$20 million**[36](index=36&type=chunk) [15. Convertible Bonds](index=16&type=section&id=15.%20Convertible%20Bonds) As of March 31, 2025, the carrying amount of convertible bonds increased to **HK$75.282 million**. During the year, as Tonnett Group failed to achieve target profit, management opted for cash compensation, leading to the fair value of the profit guarantee no longer offsetting the convertible bonds, and recognizing a **HK$10.882 million** gain from fair value changes in the profit guarantee Changes in Convertible Bonds (HK$'000) | Item | 2025 (HK$'000) | 2024 (HK$'000) | | :--- | :--- | :--- | | Beginning of year | 39,712 | – | | Issued during the year, net of fair value of profit guarantee | – | 42,709 | | Transfer of profit guarantee | 31,088 | – | | Fair value change of convertible bonds | 4,482 | (2,997) | | **End of year** | **75,282** | **39,712** | - According to the sale and purchase agreement for the acquisition of Tonnett Group, the Company issued non-interest-bearing unlisted convertible bonds with a principal amount of **HK$31.5 million** to the vendor[38](index=38&type=chunk) - In FY2025, Tonnett Group failed to achieve the target profit, and management opted to pay compensation in cash (Mode 1), resulting in the fair value of the profit guarantee no longer offsetting the convertible bonds, and recognizing a gain of **HK$10.882 million** from fair value changes in the profit guarantee[40](index=40&type=chunk) [Management Discussion and Analysis](index=17&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the Group's FY2025 financial performance, operating conditions of each business segment, future outlook, liquidity, capital structure, and other significant matters. The Group's loss significantly narrowed, primarily due to revenue growth in jewelry and skincare businesses, while actively expanding new business models and markets [Financial Overview](index=17&type=section&id=Financial%20Overview) The Group's loss for FY2025 significantly decreased by **99.0%** to **HK$0.1 million**, with profit attributable to owners of the Company at **HK$0.3 million** (FY2024: loss of **HK$7.4 million**), and basic loss per share narrowed by **95.7%** to **0.05 HK Cents**. This was primarily due to increased revenue and gross profit (especially from the jewelry business), increased reversal of expected credit loss allowance, and increased net other income, partially offset by goodwill impairment loss and increased administrative expenses - Consolidated profit attributable to shareholders of the Company was **HK$0.3 million** (FY2024: loss of **HK$7.4 million**)[41](index=41&type=chunk) - The Group's loss for FY2025 was **HK$0.1 million** (FY2024: loss of **HK$8.5 million**), representing a **99.0%** reduction in loss[41](index=41&type=chunk) - Basic loss per share was **0.05 HK Cents** (FY2024: loss of **1.15 HK Cents** per share), a **95.7%** reduction compared to FY2024[41](index=41&type=chunk) - Significant reduction in loss primarily due to increased revenue and gross profit (mainly from the jewelry business segment), increased net reversal of expected credit loss allowance for trade and other receivables, and increased net other income, offset by impairment loss on goodwill and increased administrative expenses[41](index=41&type=chunk) [Business Review](index=17&type=section&id=Business%20Review) The Group's jewelry business segment saw significant revenue growth and is actively expanding into high-end and Asian markets. The skincare business segment's revenue substantially increased after the acquisition of Tonnett Group, but segment loss expanded due to flagship beauty club opening costs, sales strategy adjustments, and R&D delays. The strategic investment segment disposed of its co-working space investment to seek new revenue streams [Jewelry Business Segment](index=17&type=section&id=Jewelry%20Business%20Segment) As a major global pearl trader, the Group's jewelry business segment revenue increased to **HK$115.2 million** in FY2025, with a return on capital of **24.0%**. The Group is collaborating with local brands to develop the high-end jewelry market and plans to sell jade, pearls, and jewelry products to mainland China and other Asian countries, while strictly controlling costs and actively participating in exhibitions to maintain competitiveness - The Group is one of the world's largest pearl traders and purchasers, with customers globally[42](index=42&type=chunk) - Segment revenue from the jewelry business segment increased from **HK$50.3 million** in FY2024 to **HK$115.2 million** in FY2025[42](index=42&type=chunk) - Return on capital for jewelry products was **24.0%** in FY2025 (FY2024: **6.9%**)[42](index=42&type=chunk) - Group is collaborating with local brands to develop the high-end jewelry market and plans to sell jade, pearls, and jewelry products to mainland China and other Asian countries[42](index=42&type=chunk)[43](index=43&type=chunk) [Skincare Business Segment](index=18&type=section&id=Skincare%20Business%20Segment) Following the acquisition of Tonnett Group, the skincare business segment's total revenue contribution increased to **HK$20.4 million** in FY2025. However, segment loss rose due to operating costs for a self-operated flagship beauty club, reduced average selling prices from sales strategy adjustments, fluctuating raw material supply, intensified market competition, and R&D project delays. The Group has launched FO brand whitening products containing pearl ingredients to leverage product cross-synergies - Acquisition of Tonnett Julis Holdings Limited and its subsidiaries completed on February 9, 2024, with its skincare business segment contributing revenue and results to the Group[44](index=44&type=chunk)[45](index=45&type=chunk) - In FY2025, the skincare business segment's total revenue contribution was **HK$20.4 million** (FY2024: **HK$3.3 million**)[46](index=46&type=chunk) - The increase in segment loss was primarily due to: (a) increased operating expenses from establishing a flagship beauty club; (b) decreased average selling prices of skincare products due to distribution through large distributors; (c) decreased raw material sales due to fluctuating supply; (d) weakened distributor sales contribution due to intensified market competition; (e) reduced revenue due to delays in R&D projects; and (f) decreased consulting service revenue due to a shift from consulting services[47](index=47&type=chunk) - The Group has developed FO brand whitening products containing pearl ingredients and launched FO Pearl Whitening Cream and FO Pearl Whitening Essence in FY2025 to leverage synergies between pearl products and skincare products[48](index=48&type=chunk) [Strategic Investment Segment](index=19&type=section&id=Strategic%20Investment%20Segment) In FY2025, the Group disposed of a subsidiary holding co-working business investments for a consideration of **HK$1**, in response to the negative impact of economic recession on co-working space demand, and plans to seek suitable investment projects to expand revenue sources - In FY2024, the Group maintained its co-working space investment business through the strategic investment segment, but it was adversely affected by the economic recession[49](index=49&type=chunk) - In FY2025, on July 29, 2024, the Group disposed of a subsidiary holding co-working business investments for a consideration of **HK$1**[49](index=49&type=chunk) - The Group expects to continue its efforts to identify suitable investment projects to expand its revenue sources[49](index=49&type=chunk) [Litigation](index=20&type=section&id=Litigation) As of the reporting date, the Group was not involved in any other significant litigation or arbitration - As of the reporting date, the Group was not involved in any other significant litigation or arbitration[50](index=50&type=chunk) [Financial Guarantees](index=20&type=section&id=Financial%20Guarantees) As of March 31, 2025, the Group had no financial guarantees - As of March 31, 2025, the Group had no financial guarantees[51](index=51&type=chunk) [Outlook](index=20&type=section&id=Outlook) Despite the economic downturn, the Group's jewelry business revenue grew, and it will continue to expand jade products, seek partnerships, explore the high-end jewelry market, and optimize operations. For the skincare business, the Group is building a flagship beauty club to enhance customer experience and promote products, leveraging synergies between pearl products and skincare to horizontally expand into the women's consumer goods market, aiming for cross-selling opportunities - The Group's jewelry business segment revenue increased in FY2025, but the economic downturn is expected to persist for several years[52](index=52&type=chunk) - Group has introduced jade products, is seeking collaborations with other enterprises to expand customer base, and is partnering with local brands to explore the high-end jewelry market[52](index=52&type=chunk) - The Group will continue to improve the development of its jewelry business, actively participate in exhibitions and VIP events, and optimize operational efficiency and productivity[53](index=53&type=chunk) - Since September 2024, the Group has initiated the construction of a flagship beauty club, aiming to provide a vibrant display space, optimize customer relationship management and user experience, and serve as a platform for skincare product promotion, directly participating in the beauty and health services market[53](index=53&type=chunk) - The Group believes the skincare market has immense potential and will leverage pearl products as raw materials for skincare, conducting product collaborations to horizontally expand the range of women's consumer products, bringing potential partnership and cross-selling opportunities[54](index=54&type=chunk)[55](index=55&type=chunk) [Financial Review](index=21&type=section&id=Financial%20Review) The Group's revenue increased to **HK$135.6 million** in FY2025, and gross profit rose to **HK$42 million**, primarily contributed by the jewelry and skincare businesses. Selling and administrative expenses increased by **30.7%** to **HK$37.3 million**, mainly due to expenses from the newly acquired skincare business. Loss attributable to owners of the Company significantly decreased by **95.8%** to **HK$0.3 million**, primarily benefiting from revenue and gross profit growth, and increased reversal of expected credit loss allowance, but partially offset by goodwill impairment loss and increased administrative expenses. An impairment loss of **HK$20 million** on goodwill was recognized as Tonnett Group's recoverable amount was lower than its carrying amount [Revenue and Gross Profit](index=21&type=section&id=Revenue%20and%20Gross%20Profit) In FY2025, revenue increased to **HK$135.6 million** (2024: **HK$53.7 million**), with the jewelry business contributing **HK$115.2 million** and the skincare business **HK$20.4 million**. Gross profit increased to **HK$42 million** (2024: **HK$18.1 million**), but the gross profit margin decreased compared to 2024, mainly due to increased reversal of inventory impairment losses when selling inventories - Revenue for FY2025 increased to **HK$135.6 million** (FY2024: **HK$53.7 million**)[57](index=57&type=chunk) - Jewelry business segment revenue was **HK$115.2 million** (2024: **HK$50.3 million**), and skincare business segment revenue was **HK$20.4 million** (2024: **HK$3.3 million**)[57](index=57&type=chunk) - Gross profit increased by **HK$23.9 million** to **HK$42 million** (FY2024: **HK$18.1 million**)[57](index=57&type=chunk) - Gross profit margin in FY2024 was higher than in FY2025, primarily due to increased reversal of impairment losses on inventories when selling such inventories[57](index=57&type=chunk) [Selling and Administrative Expenses](index=21&type=section&id=Selling%20and%20Administrative%20Expenses) In FY2025, selling and administrative expenses increased by **HK$8.8 million** or **30.7%** to **HK$37.3 million**, primarily due to expenses incurred by the newly acquired skincare business within the year - Selling and administrative expenses increased by **HK$8.8 million** or **30.7%** to **HK$37.3 million** in FY2025 (FY2024: **HK$28.6 million**)[58](index=58&type=chunk) - The increase was primarily due to expenses incurred by the newly acquired skincare business within the year[58](index=58&type=chunk) [Loss Attributable to Owners of the Company](index=21&type=section&id=Loss%20Attributable%20to%20Owners%20of%20the%20Company) Loss attributable to owners of the Company significantly decreased by **HK$7.1 million** or **95.8%** to **HK$0.3 million** in FY2025, with total comprehensive loss of **HK$1.4 million**. This was primarily due to increased revenue and gross profit (mainly from the jewelry business), increased net reversal of expected credit loss allowance for financial assets, and increased net other income, partially offset by goodwill impairment loss, increased administrative expenses, and increased exchange differences on translation of foreign operations. An impairment loss of **HK$20 million** on goodwill was recognized as Tonnett Group's recoverable amount was lower than its carrying amount - Loss attributable to owners of the Company significantly decreased by **HK$7.1 million** or **95.8%** to **HK$0.3 million** in FY2025 (FY2024: loss of **HK$7.4 million**)[59](index=59&type=chunk) - The Group's total comprehensive loss for FY2025 was **HK$1.4 million** (FY2024: total comprehensive loss of **HK$10.6 million**)[59](index=59&type=chunk) - Primarily due to increased revenue and gross profit (mainly from the jewelry business), increased net reversal of expected credit loss allowance for financial assets, and increased net other income, offset by impairment loss on goodwill, increased administrative expenses, and increased exchange differences on translation of foreign operations[59](index=59&type=chunk) - In FY2025, an impairment loss of **HK$20 million** on goodwill arising from the acquisition of Tonnett Group was recognized[59](index=59&type=chunk) [Liquidity and Capital Resources](index=22&type=section&id=Liquidity%20and%20Capital%20Resources) As of March 31, 2025, the Group's total equity grew by **38.2%** to **HK$155.9 million**, cash and cash equivalents increased to **HK$47.8 million**, net current assets rose to **HK$177.3 million**, and the current ratio improved to **4.6 times**. The Group has sufficient financial resources to meet future needs, despite increases in bank borrowings and effective annual interest rates - As of March 31, 2025, the Group's total equity was **HK$155.9 million** (2024: **HK$112.8 million**), an increase of **38.2%** from the previous year[60](index=60&type=chunk) - As of March 31, 2025, the Group had cash and cash equivalents of **HK$47.8 million** (March 31, 2024: **HK$37.9 million**)[60](index=60&type=chunk) - The Group's net current assets were **HK$177.3 million** (March 31, 2024: **HK$80.3 million**)[60](index=60&type=chunk) - The current ratio (total current assets divided by total current liabilities) was **4.6 times** (March 31, 2024: **3.0 times**)[60](index=60&type=chunk) - As of March 31, 2025, the Group's outstanding bank borrowings were **HK$8.6 million** (March 31, 2024: **HK$5.4 million**), with effective annual interest rates ranging from **4.88% to 6.53%** (March 31, 2024: **3.95% to 4.35%**)[61](index=61&type=chunk) [Capital Structure](index=22&type=section&id=Capital%20Structure) As of March 31, 2025, the Company's total issued shares increased to 772,391,072, and issued share capital rose to **HK$15.447821 million**. During the year, the Group issued 93,139,006 new shares through two subscriptions, raising net proceeds of approximately **HK$44.5 million**, all used for the Group's general working capital - As of March 31, 2025, the Company's total issued shares were **772,391,072** (March 31, 2024: **679,252,266** shares), and issued share capital was **HK$15.447821 million** (March 31, 2024: **HK$13.585045 million**)[62](index=62&type=chunk) - On September 30, 2024, **27,779,373 new shares** were issued, raising net proceeds of **HK$13.23 million**[62](index=62&type=chunk) - On March 28, 2025, **65,359,433 new shares** were issued, raising net proceeds of **HK$31.27 million**[62](index=62&type=chunk) [Capital Commitments](index=23&type=section&id=Capital%20Commitments) As of the reporting period end, the Group had no other significant commitments apart from capital commitments for certain property, plant, and equipment of approximately **HK$6.281 million**, which increased from the previous year - As of the reporting period end, the Group had no other significant outstanding commitments apart from capital commitments for certain property, plant and equipment of approximately **HK$6.281 million** (March 31, 2024: **HK$2.898 million**)[64](index=64&type=chunk) [Cumulative Profit Guarantee under Acquisition](index=23&type=section&id=Cumulative%20Profit%20Guarantee%20under%20Acquisition) As Tonnett Group failed to meet the target profit in the sale and purchase agreement, its cumulative net profit was only **HK$65,067**, resulting in the vendor being required to pay the Group **HK$41.97 million** in compensation. The Board has opted for cash payment to settle the entire compensation and believes the compensation mechanism protects the interests of the Company and its shareholders - Tonnett Group's cumulative net profit for the two years ended December 31, 2023 and 2024 was **HK$65,067**, failing to meet the target profit in the sale and purchase agreement[65](index=65&type=chunk) - The vendor and guarantor are required to pay the Group compensation of **HK$41.97 million**[65](index=65&type=chunk) - The Board has opted for Mode 1 (i.e., cash payment) to settle the entire compensation[65](index=65&type=chunk) - The Board believes the compensation mechanism has considered the possibility of the target group failing to achieve expected future performance and protects the overall interests of the Company and its shareholders[66](index=66&type=chunk) [Change of Company Name](index=24&type=section&id=Change%20of%20Company%20Name) The Company's name was changed from 'Affluent Partners Holdings Limited' to 'Baijin Life Science Holdings Limited' on November 27, 2024, and '佰金生命科學控股有限公司' was adopted as the new Chinese name, registered in Hong Kong - The Company's name was changed from 'Affluent Partners Holdings Limited' to 'Baijin Life Science Holdings Limited' on November 27, 2024, and '佰金生命科學控股有限公司' was adopted as the new Chinese name[68](index=68&type=chunk) - The Registrar of Companies in Hong Kong issued a Certificate of Registration of Alteration of Name of Registered Non-Hong Kong Company on January 2, 2025, confirming the new name's registration in Hong Kong[68](index=68&type=chunk) [Strategic Cooperation Framework Agreement](index=24&type=section&id=Strategic%20Cooperation%20Framework%20Agreement) The Group signed a strategic cooperation framework agreement with Hangzhou Changwei Hospital Co., Ltd. to jointly establish an intelligent medical service model and enhance medical service levels. This collaboration will focus on developing specialized intelligent medical information systems, service platforms, and management systems for cell empowerment. This agreement represents the Group's commitment to business diversification and expanding revenue sources, with customized intelligent medical service model software development commencing after the reporting period - The Group signed a strategic cooperation framework agreement with Hangzhou Changwei Hospital Co., Ltd. to jointly establish an intelligent medical service model equipped with professional knowledge and treatments[69](index=69&type=chunk) - The development of the intelligent medical service model primarily involves establishing (a) a specialized intelligent medical information system for cell empowerment; (b) a specialized intelligent medical service platform for cell empowerment treatment and management; and (c) a dedicated intelligent medical management system for cell empowerment[69](index=69&type=chunk) - The Board believes that entering into the cooperation framework agreement represents the Group's commitment to diversifying its business and expanding its revenue sources[70](index=70&type=chunk) - Subsequent to the reporting period, the Group and Hangzhou Changwei commenced the development and design of customized intelligent medical service model software[70](index=70&type=chunk) [Issue of New Shares under General Mandate](index=25&type=section&id=Issue%20of%20New%20Shares%20under%20General%20Mandate) In FY2025, the Group issued a total of 93,138,806 new shares through two subscriptions, both at an issue price of **HK$0.48 per share**, raising net proceeds of approximately **HK$44.5 million**, all used for the Group's general working capital - On September 30, 2024, **27,779,373 subscription shares** were issued at a subscription price of **HK$0.48 per share**, raising net proceeds of approximately **HK$13.2 million**, which have been used for the Group's general working capital in FY2025[71](index=71&type=chunk) - On March 28, 2025, **65,359,433 subscription shares** were issued at a subscription price of **HK$0.48 per share**, raising net proceeds of approximately **HK$31.3 million**, which have been used for the Group's general working capital[72](index=72&type=chunk) [Significant Acquisitions and Disposals of Subsidiaries](index=25&type=section&id=Significant%20Acquisitions%20and%20Disposals%20of%20Subsidiaries) In FY2025, the Group had no significant acquisitions or disposals of subsidiaries - In FY2025, the Group had no significant acquisitions or disposals of subsidiaries[73](index=73&type=chunk) [Exchange Rate Fluctuation Risk](index=25&type=section&id=Exchange%20Rate%20Fluctuation%20Risk) The Group primarily operates in Hong Kong and China, facing exchange rate fluctuation risks for currencies like USD and RMB. Due to the HKD's peg to the USD, USD risk is not significant. The Group manages foreign exchange risk by closely monitoring exchange rate movements and may use hedging instruments like forward foreign exchange contracts - The Group primarily operates in Hong Kong and China, exposed to exchange rate fluctuations of various currencies such as USD and RMB[74](index=74&type=chunk) - As the Hong Kong Dollar remains pegged to the US Dollar, the Group is not exposed to any significant US Dollar foreign exchange risk[75](index=75&type=chunk) - The Group manages its foreign exchange risk by closely monitoring exchange rate movements and may use hedging derivative instruments such as forward foreign exchange contracts when appropriate[75](index=75&type=chunk) [Human Resources](index=26&type=section&id=Human%20Resources) As of March 31, 2025, the Group employed a total of **75 employees** (2024: **89 employees**), with total staff costs of approximately **HK$18.2 million** (2024: **HK$15.1 million**). Remuneration is determined based on performance, experience, market conditions, and individual performance - As of March 31, 2025, the Group employed a total of **75 employees** (March 31, 2024: **89 employees**)[76](index=76&type=chunk) - Total staff costs for 2025 (including directors' emoluments and mandatory provident fund contributions) were approximately **HK$18.2 million** (2024: **HK$15.1 million**)[76](index=76&type=chunk) - Employee remuneration is determined based on their performance and experience, with the compensation package referenced against market conditions and individual performance[76](index=76&type=chunk) [Other Information](index=26&type=section&id=Other%20Information) This section covers the company's disclosures regarding securities dealings, independence of independent non-executive directors, audit committee functions, dealings in listed securities, compliance with corporate governance code, and auditor's scope of work, emphasizing the company's commitment to high standards of corporate governance and noting the deviation where CEO responsibilities are collectively undertaken by executive directors [Directors' Securities Transactions](index=26&type=section&id=Directors'%20Securities%20Transactions) The Company has adopted the Model Code set out in Appendix C3 of the Listing Rules as the code of conduct for directors' dealings in the Company's securities. Upon enquiry, all directors confirmed compliance with the Model Code during FY2025 - The Company has adopted the Model Code set out in Appendix C3 of the Listing Rules as the code of conduct for directors' dealings in the Company's securities[77](index=77&type=chunk) - All directors confirmed that they have complied with the required standards set out in the Model Code for the year ended March 31, 2025[77](index=77&type=chunk) [Independence of Independent Non-Executive Directors](index=26&type=section&id=Independence%20of%20Independent%20Non-Executive%20Directors) The Company complies with Listing Rules requirements, having three independent non-executive directors. The Board has reviewed and confirmed the independence of all independent non-executive directors and found no matters impairing their independence - The Company has complied with the requirements of Rules 3.10(1), 3.10(2) and 3.10A of the Listing Rules, having three independent non-executive directors[78](index=78&type=chunk) - The Board has reviewed the independence of all independent non-executive directors and considers them to be independent as defined in the Listing Rules[78](index=78&type=chunk) [Audit Committee](index=27&type=section&id=Audit%20Committee) The Audit Committee, comprising three independent non-executive directors, has reviewed the Group's accounting principles, internal controls, risk management, and financial reporting matters with management, including the audited consolidated financial statements for the year ended March 31, 2025 - The Audit Committee, comprising three independent non-executive directors of the Company, has reviewed the accounting principles and practices adopted by the Group with management and discussed internal controls, risk management, and financial reporting matters[79](index=79&type=chunk) - The Audit Committee has reviewed the Group's audited consolidated financial statements for the year ended March 31, 2025[79](index=79&type=chunk) [Purchase, Redemption or Sale of Listed Securities](index=27&type=section&id=Purchase,%20Redemption%20or%20Sale%20of%20Listed%20Securities) Neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities during the year ended March 31, 2025 - Neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities during the year ended March 31, 2025[80](index=80&type=chunk) [Corporate Governance Code](index=27&type=section&id=Corporate%20Governance%20Code) The Group has adopted the Corporate Governance Code set out in Appendix C1 of the Listing Rules and has complied with all code provisions and applicable recommended best practices during FY2025. The only deviation is the absence of a Chief Executive Officer, with responsibilities collectively undertaken by all executive directors, an arrangement the Board considers effective and efficient - The Group has adopted corporate governance policies with reference to the Corporate Governance Code set out in Appendix C1 of the Listing Rules[81](index=81&type=chunk) - The Directors believe that the Company has complied with all code provisions and, where applicable, the recommended best practices of the Corporate Governance Code for the year ended March 31, 2025[81](index=81&type=chunk) - Deviation: Currently, no senior officer holds the title of Chief Executive Officer, and these responsibilities have been/will continue to be collectively undertaken by all executive directors (i.e., Mr. Zhang Shimin, Mr. Dong Peng, and Dr. Su Yaoyao)[81](index=81&type=chunk) [Scope of Work of BDO Limited](index=28&type=section&id=Scope%20of%20Work%20of%20BDO%20Limited) The Group's auditor, BDO Limited, has agreed the figures in the preliminary announcement for the consolidated statement of financial position, statement of profit or loss, statement of comprehensive income, and statement of changes in equity, and their related notes for the year ended March 31, 2025, with the amounts in the audited consolidated financial statements. This work does not constitute an assurance engagement, and therefore no opinion or assurance conclusion has been issued on the preliminary announcement - The Group's auditor, BDO Limited, has agreed the relevant figures in the preliminary announcement for the consolidated statement of financial position, consolidated statement of profit or loss, consolidated statement of profit or loss and other comprehensive income, and consolidated statement of changes in equity, and their related notes for the year ended March 31, 2025, with the amounts contained in the Group's audited consolidated financial statements for that year[82](index=82&type=chunk) - This work does not constitute an assurance engagement, and therefore BDO Limited has not issued any opinion or assurance conclusion on the preliminary announcement[82](index=82&type=chunk) [Resumption of Trading](index=28&type=section&id=Resumption%20of%20Trading) This section provides information regarding the temporary suspension and subsequent application for resumption of trading of the Company's shares on the Stock Exchange - At the Company's request, trading in shares was suspended from 9:00 a.m. on July 2, 2025, pending the release of this announcement[83](index=83&type=chunk) - The Company has applied to the Stock Exchange for the resumption of trading in shares on the Stock Exchange from 9:00 a.m. on July 28, 2025[83](index=83&type=chunk)

Core Viewpoint - Baijin Life Sciences (01466.HK) has announced a delay in the publication of its 2025 annual results due to a longer-than-expected handover process following changes in the management of its subsidiary [1] Group 1: Announcement Details - The company has stated that it has only recently gained full control over the operations of its subsidiary, which has contributed to the delay in the annual results [1] - The expected publication date for the 2025 annual results is set for July 25, 2025 [1] Group 2: Trading Suspension - According to Listing Rule 13.5, if the issuer fails to publish periodic financial information as required, the stock exchange typically requires a suspension of trading in the issuer's securities [1] - If the company does not announce the 2025 annual results by June 30, 2025, trading of its shares is expected to be suspended starting from 9:00 AM on July 2, 2025 [1]

Financial Performance - For the six months ended September 30, 2024, the company reported a profit before income tax of HK$706,000[19] - The Company reported a total comprehensive loss of HK$9,682 for the period, compared to a loss of HK$6,227 in the previous period, indicating an increase in losses of approximately 55.5%[41] - Revenue for the six months ended September 30, 2024, was HK$70,900,000, a significant increase from HK$25,121,000 in the same period of 2023, representing a growth of 182%[126] - Gross profit for the period was HK$16,805,000, compared to HK$3,617,000 in the previous year, indicating a substantial improvement[126] - The operating profit for the period was HK$794,000, a recovery from an operating loss in the previous year[126] - Loss for the period decreased to HK$1,901,000 from HK$2,318,000 year-over-year, showing a reduction in losses[127] - Total comprehensive expense for the period was HK$5,356,000, compared to HK$3,079,000 in the prior year, reflecting increased expenses[127] Assets and Liabilities - Total assets as of September 30, 2024, amounted to HK$147,717,000, an increase from HK$121,320,000 as of March 2024[15] - Current liabilities were reported at HK$73,885,000, with trade and other payables amounting to HK$53,159,000[15] - Total liabilities stood at HK$129,259,000, with unallocated corporate liabilities at HK$59,379,000[90] - As of September 30, 2024, total assets amounted to HK$196,802, with unallocated goodwill at HK$48,363 and unallocated corporate assets at HK$25,520[55] - The total liabilities of the Company as of September 30, 2024, were HK$84,010, with unallocated corporate liabilities at HK$53,443[55] - Non-current liabilities increased significantly to HK$55,374,000 as of September 30, 2024, up from HK$43,016,000 as of March 31, 2024[129] - Net assets decreased to HK$107,436,000 from HK$112,792,000, indicating a decline in overall asset value[129] Cash Flow - The company experienced a net cash used in operating activities of HK$8,392,000 for the six months ended September 30, 2024[19] - The group reported a net cash generated from investing activities of HK$230,000, a decrease from HK$690,000 in the previous year[112] - Net cash generated from financing activities increased significantly to HK$18,000,000 compared to HK$371,000 in the prior period[112] - Cash and cash equivalents stood at HK$44,370,000 as of September 30, 2024[15] - Cash and cash equivalents at the end of the period were HK$44,370,000, up from HK$41,231,000 year-over-year[112] Segment Performance - Segment revenue from pearl and fine jewellery products was HK$70,151, while skincare business revenue was HK$3,598, and research and solutions development services generated HK$16,114, contributing to a total segment revenue of HK$122,919[55] - The skincare solutions business segment generated a profit of HK$7,204,000, while the sales of pearls and fine jewellery products reported a loss of HK$2,078,000[86] - The total segment profit for the group was HK$5,088,000, indicating a positive performance overall despite some segments reporting losses[86] - The skincare solutions segment's revenue was HK$15,156,000, while research and solutions development services reported revenue of HK$849,000[86] - The strategic investment and financial services segment did not report any revenue during this period[86] - Segment revenue for the six months ended September 30, 2024, totaled HK$70,900,000, with the sales of pearls and fine jewellery products contributing HK$50,417,000[86] Corporate Governance and Compliance - The interim financial statements have been prepared in accordance with Hong Kong Accounting Standards, ensuring compliance with local regulations[24] - The Company has complied with all code provisions as set out in the Corporate Governance Code throughout the six months ended 30 September 2024, except for the separation of the roles of chairman and chief executive officer[144] - The Company has adopted a corporate governance statement of policy to guide the application of corporate governance principles[144] - The condensed consolidated financial statements have not been audited but have been reviewed by the Company's audit committee[59] - The Audit Committee comprises three independent non-executive Directors who have recommended the adoption of the interim results to the Board[199] Shareholder and Equity Information - For the six months ended September 30, 2024, the total equity attributable to equity holders of the Company decreased to HK$86,626, down from HK$96,308 as of April 1, 2024, representing a decline of approximately 10.5%[41] - The Company has no controlling shareholder, with Pacific Wish Limited being the substantial shareholder[45] - The Company was listed on the Main Board of The Stock Exchange of Hong Kong Limited on October 17, 2014[45] - The Group's share capital as of 30 September 2024 was HK$200,000, with 10,000,000 ordinary shares authorized at HK$0.02 each[183] - The Company issued 39,954,338 new shares at an issue price of HK$0.2628 to satisfy the aggregate consideration for the acquisition of Tonnett Group[165] Strategic Focus and Development - The company is focused on expanding its skincare solutions through self-developed brands and high-end functional skincare products[23] - The company is engaged in strategic investments and financial services, enhancing its operational capabilities[23] - The company is focused on expanding its strategic investment and financial services segment, aiming for growth in this area[114] - The company is actively pursuing new product development and market expansion strategies to enhance its competitive position[114] - The group currently operates five segments following the acquisition of Tonnett Julis Holdings Limited on February 9, 2024[81] Other Financial Information - The Company has adopted new and amended HKFRSs effective from April 1, 2024, but these changes had no material impact on the financial performance for the current and prior periods[51] - The financial statements have been prepared on a historical cost basis, except for certain financial instruments measured at fair values[47] - Interest received decreased to HK$609,000 from HK$690,000 in the previous year, indicating a potential area for improvement[112] - Interest expenses on borrowings increased to HK$289,000 in the six months ended 30 September 2024, compared to HK$87,000 in the same period in 2023[167] - Key management compensation for the six months ended 30 September 2024 was HK$2,374,000, a decrease from HK$5,946,000 in the same period in 2023[168] - The Group incurred rental expenses of HK$180,000 for the office property rented from a related party during the six months ended 30 September 2024, consistent with the previous year[171] - The landlord of the rented property is a wholly owned subsidiary of Far East Holdings International Limited, which is listed on the Main Board of the Stock Exchange[172] - The Group's related party transactions were conducted based on mutually agreed terms[171] - There were no purchases, sales, or redemptions of the Company's listed securities for the six months ended 30 September 2024[198] - The Group's segment performance monitoring allocates all liabilities to operating segments, excluding certain financial instruments and borrowings[187] - The changes in director's information were disclosed in accordance with Rule 13.51B(1) of the Listing Rules, with no other information required to be disclosed[197] - The group has not completed the initial allocation of goodwill from a business combination, which will be finalized in the current financial year[91] - No options were lapsed, granted, exercised, or cancelled under the New Share Option Scheme during the reporting period[142] - The new share option scheme will be valid for ten years and includes performance targets for options to vest[138] - The maximum number of shares that may be issued upon exercise of Options yet to be granted under the New Share Option Scheme is 67,925,226, representing approximately 10% of the total number of shares in issue of the Company (i.e. 679,252,266 ordinary shares)[142]

Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 70,900,000, compared to HKD 25,121,000 for the same period in 2023, representing a 182% increase[5] - Gross profit for the same period was HKD 16,805,000, up from HKD 7,613,000, indicating a 121% increase year-over-year[5] - The net loss for the six months ended September 30, 2024, was HKD 1,901,000, an improvement from a net loss of HKD 2,318,000 in the prior year[5] - The company reported a significant increase in other income, netting HKD 3,617,000 compared to HKD 605,000 in the previous year, marking a 498% increase[5] - For the six months ended September 30, 2024, total revenue was HKD 70,900 million, with sales of pearl and high-end jewelry products contributing HKD 50,417 million[24] - The segment profit for the pearl and high-end jewelry products was a loss of HKD 2,078 million, while the skincare solutions business generated a profit of HKD 7,204 million[24] - The company reported a consolidated loss attributable to shareholders of approximately HKD 6,200,000 for the six months ended September 30, 2024, compared to a loss of HKD 2,300,000 for the same period in 2023[86] Assets and Liabilities - Total assets as of September 30, 2024, were HKD 147,717,000, compared to HKD 121,320,000 as of March 31, 2024, reflecting a 22% increase[9] - Current liabilities increased to HKD 73,885,000 from HKD 40,994,000, representing an 80% rise[9] - The company’s equity attributable to shareholders decreased to HKD 86,626,000 from HKD 96,308,000, indicating a decline of 10%[11] - Total liabilities were HKD 129,259 million, with HKD 69,880 million related to segment liabilities[27] - The total accounts receivable, net of expected credit loss provisions, amounted to HKD 26,392,000 as of September 30, 2024[57] Cash Flow and Financial Position - The company’s cash and cash equivalents stood at HKD 44,370,000 as of September 30, 2024, compared to HKD 37,884,000 at the end of March 2024, showing a 17% increase[9] - The group’s total equity was approximately HKD 107,400,000 as of September 30, 2024, down from HKD 112,800,000 as of March 31, 2024, due to losses incurred during the period[115] - The current ratio as of September 30, 2024, was 2.0, down from 3.0 as of March 31, 2024, indicating a decrease in liquidity[115] Business Operations and Strategy - The company operates primarily in the procurement, processing, design, production, and wholesale distribution of pearl and high-end jewelry products[14] - The company plans to relocate its main business office to a new address effective October 30, 2024[13] - The company has reported a significant increase in sales and operational efficiency, which is expected to continue into the next fiscal period[5] - The company aims to enhance its market presence through new product development and potential mergers and acquisitions[27] - The company is actively collaborating with a local brand to expand into the high-end jewelry market in Hong Kong[88] - The company has begun exploring the high-end jewelry market using high-quality materials and craftsmanship, with a local brand partnership contributing 21.4% to total revenue as of September 30, 2024[127] Acquisitions and New Segments - The company completed the acquisition of Tonnett Julis Holdings Limited and its subsidiaries on February 9, 2024, expanding its operational segments to five[22] - The skincare solutions business segment operates under the brand "FO," selling products through contracts with cosmetic stores and hospitals, as well as online platforms[22] - Revenue contribution from the newly acquired skincare solutions business segment was HKD 20,500,000 in the first half of 2024, with HKD 15,200,000 from skincare solutions, HKD 800,000 from R&D services, and HKD 4,500,000 from brand marketing and consulting services[94] - The company has agreed to acquire a target group primarily engaged in scientific and pharmaceutical research services for a total consideration of HKD 42,000,000[99] Employee and Operational Costs - The company’s employee benefits expenses, including directors' remuneration, were HKD 9,368,000 for the six months ended September 30, 2024, compared to HKD 8,620,000 in 2023, an increase of 9%[42] - The group employed a total of 84 employees as of September 30, 2024, with total employee costs amounting to approximately HKD 9,400,000, compared to HKD 8,600,000 in the first half of 2023[122] - Selling and administrative expenses increased by approximately HKD 7,700,000 or 65.3% to about HKD 19,500,000, primarily due to expenses from newly acquired businesses[112] Market Outlook and Future Plans - The company anticipates that the global jewelry market will recover to normal levels in the foreseeable future despite current fluctuations[87] - The skincare market is considered to have significant potential, with the group's pearl products being integrated as ingredients in skincare products, creating opportunities for collaboration and cross-selling[131] - The group will continue to strengthen its pearl and high-end jewelry business by participating in major jewelry exhibitions to optimize business efficiency and productivity[128]

Financial Performance - Total revenue for the fiscal year ending March 31, 2024, was HKD 53,676,000, a decrease from HKD 86,880,000 in the previous year, representing a decline of approximately 38.3%[4] - Gross profit for the fiscal year was HKD 18,100,000, compared to HKD 7,827,000 in the previous year, indicating an increase of approximately 131.1%[4] - The net loss attributable to the company for the year was HKD 8,545,000, compared to a profit of HKD 8,676,000 in the previous year, reflecting a significant shift in performance[4] - Basic and diluted loss per share for the year was HKD 0.01, compared to a profit of HKD 0.01 per share in the previous year[4] - Operating expenses increased to HKD 27,349,000 from HKD 16,254,000, marking an increase of approximately 68.5%[4] - The company reported a comprehensive loss of HKD 10,645,000 for the year ending March 31, 2024, compared to a comprehensive income of HKD 9,649,000 in 2023, indicating a significant decline in performance[5] - The company reported a loss of HKD 7,448,000 for the year ending March 31, 2024, compared to a profit of HKD 8,676,000 in 2023, indicating a significant decline in performance[65] Assets and Liabilities - The total assets as of March 31, 2024, amounted to HKD 155,808,000, an increase from HKD 78,775,000 in the previous year, reflecting growth in the company's asset base[7] - The company's cash and cash equivalents decreased to HKD 37,884,000 from HKD 41,261,000 year-over-year, showing a decline in liquidity[7] - The total liabilities increased to HKD 40,994,000 in 2024 from HKD 21,076,000 in 2023, indicating a rise in the company's financial obligations[8] - The company's equity attributable to shareholders rose to HKD 96,308,000 in 2024, up from HKD 78,288,000 in 2023, demonstrating an improvement in shareholder value[8] Strategic Initiatives - The company plans to focus on new product development and market expansion strategies in the upcoming fiscal year[3] - The company is exploring potential mergers and acquisitions to enhance its market position and operational capabilities[3] - Future guidance indicates a cautious outlook due to current market conditions and previous performance trends[3] - The company aims to improve operational efficiency and reduce costs in response to the recent financial performance[3] Acquisitions and Investments - The company completed the acquisition of Tonnett Julis Holdings Limited on February 9, 2024, which is expected to contribute to new core activities in skincare and pharmaceutical research services[14] - The company issued new shares resulting in an increase in share capital to HKD 13,585,000 from HKD 6,393,000, marking a rise of approximately 112.0%[10] - The company has recognized HKD 59,000 in interest payable on loans, an increase from HKD 37,000 in 2023[80] - The company has completed the acquisition of Tonnett Julis Holdings Limited and its group of companies for a total consideration of HKD 42,000,000, with HKD 10,500,000 paid through the issuance of shares and HKD 31,500,000 through convertible bonds[102] Revenue Breakdown - Revenue from the sale of pearls and jewelry products is HKD 50,348,000, down from HKD 85,230,000, indicating a decrease of about 41%[46] - The skincare solutions business reported a revenue of HKD 1,474,000, compared to no revenue in the previous year, marking a significant growth[46] - The brand marketing and consulting services generated revenue of HKD 1,609,000, a decrease from HKD 1,650,000, reflecting a decline of about 2.5%[46] Employee and Operational Costs - Employee benefits expenses increased to HKD 15,103,000 in 2024 from HKD 10,071,000 in 2023, reflecting a growth of approximately 50.7%[57] - Selling and administrative expenses rose by HKD 12 million or 72.3% to HKD 28.6 million, primarily due to expenses from newly acquired businesses and increased professional fees[117] Corporate Governance and Compliance - The board of directors has confirmed compliance with the corporate governance code and has not identified any issues affecting the independence of independent non-executive directors[135] - The company is committed to high standards of corporate governance to enhance transparency and protect stakeholder interests[139] Market Conditions and Future Outlook - The company plans to focus on market expansion in Asia, particularly in China, where revenue increased from HKD 538,000 in 2023 to HKD 3,328,000 in 2024[55] - The company aims to enhance its product offerings and technology development to improve future performance and market position[55] - The company plans to participate in major jewelry exhibitions worldwide to optimize operational efficiency and maintain competitiveness[111]

Financial Performance - Revenue for the six months ended September 30, 2023, was HK$25,121,000, a decrease of 49.8% compared to HK$50,002,000 in the same period of 2022[9]. - Gross profit for the same period was HK$7,613,000, down 40.4% from HK$12,763,000 year-over-year[9]. - Operating loss for the period was HK$2,906,000, compared to an operating profit of HK$11,043,000 in the previous year[9]. - Loss attributable to equity holders of the Company was HK$2,318,000, a significant decline from a profit of HK$10,258,000 in the prior year[9]. - Basic and diluted loss per share was (0.36) HK cents, compared to earnings of 1.81 HK cents per share in the same period last year[9]. - The Company reported a total comprehensive loss of HK$3,079,000 for the period, compared to a comprehensive income of HK$9,423,000 in the previous year[11]. - For the six months ended September 30, 2023, the company reported a loss of HK$3,079,000 compared to a profit of HK$9,423,000 for the same period in 2022, indicating a significant decline in performance[14]. - The company reported a loss before income tax of HK$2,318,000 for the six months ended September 30, 2023, compared to a profit of HK$10,258,000 in the prior year, highlighting a substantial downturn in profitability[16]. - The Group reported a loss attributable to equity holders of approximately HK$2,318,000 for the six months ended 30 September 2023, compared to a profit of HK$10,258,000 in 2022[81]. - The consolidated loss attributable to equity holders for the six months ended 30 September 2023 was approximately HK$2.3 million, compared to a profit of HK$10.3 million for the same period in 2022[171]. Assets and Liabilities - Total assets as of September 30, 2023, were HK$97,962,000, slightly down from HK$98,872,000 as of March 31, 2023[13]. - Net current assets decreased to HK$74,859,000 from HK$77,359,000 as of March 31, 2023[13]. - Total equity attributable to equity holders of the Company was HK$75,259,000, down from HK$78,338,000 as of March 31, 2023[13]. - The total equity attributable to equity holders of the company decreased from HK$78,062,000 as of September 30, 2022, to HK$75,259,000 as of September 30, 2023, reflecting a reduction of approximately 3.6%[14]. - Trade receivables increased to HK$21,929,000 as of September 30, 2023, compared to HK$19,744,000 as of March 31, 2023, with a net amount of HK$7,125,000 after an allowance for expected credit losses (ECL) of HK$14,804,000[91]. - Other receivables, deposits, and prepayments rose to HK$6,623,000 as of September 30, 2023, up from HK$5,984,000 as of March 31, 2023[102]. - Trade payables decreased significantly to HK$3,787,000 as of September 30, 2023, from HK$9,006,000 as of March 31, 2023[105]. - The total amount of trade and other payables and accruals was HK$19,801,000 as of September 30, 2023, compared to HK$18,755,000 as of March 31, 2023[105]. Cash Flow and Management - Cash flows from operating activities showed a net cash used of HK$376,000 for the six months ended September 30, 2023, compared to HK$10,712,000 used in the same period of 2022, indicating an improvement in cash flow management[18]. - The company generated HK$690,000 from investing activities in the first half of 2023, a significant increase from HK$4,000 in the same period of 2022[18]. - Cash and cash equivalents remained stable at HK$41,231,000, compared to HK$41,261,000 as of March 31, 2023[13]. - The cash and cash equivalents at the end of the period were HK$41,231,000, up from HK$17,289,000 at the end of September 2022, representing an increase of approximately 138.0%[18]. - The company’s finance costs decreased to HK$102,000 in the first half of 2023 from HK$789,000 in the same period of 2022, reflecting improved cost management[16]. Segment Performance - For the six months ended September 30, 2023, the segment revenue from the sale of pearls and jewellery products was HK$25,121,000[41]. - The segment profit from the sale of pearls and jewellery products was HK$137,000, while the strategic investment and financial services segment reported a loss of HK$269,000, resulting in a total segment loss of HK$132,000[41]. - Segment revenue for the sale of pearls and jewellery products was HK$48,915,000, while strategic investment and financial services generated HK$1,087,000, totaling HK$50,002,000[45]. - Segment profit for the sale of pearls and jewellery products was HK$15,241,000, with a loss of HK$1,781,000 from strategic investment and financial services, resulting in a total profit of HK$13,460,000[45]. Operational Strategy - The Group plans to launch jade products in the upcoming jewellery fair/show to boost sales and broaden the customer base, targeting mainland China and other Asian markets[178]. - The Group will continue to strictly control costs and improve operational efficiency to maintain competitiveness[179]. - The Group has been actively participating in various important jewellery and gem fairs globally to seek opportunities for customer base expansion[179]. - The management has downsized the co-working space network in Hong Kong to mitigate losses due to COVID-19 impacts[181]. - The Group's management believes the decrease in sales of pearl and jewellery products is temporary and anticipates a recovery in the global jewellery market[174]. Share Capital and Options - The company’s share capital remained unchanged at HK$12,786,000 as of September 30, 2023, consistent with the previous year[14]. - The Group completed a rights issue resulting in the issuance of 319,648,964 rights shares, raising net proceeds of approximately HK$32,772,000 for loan repayment and working capital[119]. - The share capital increased by approximately HK$6,393,000 and share premium by HK$26,379,000 following the rights issue[119]. - The maximum number of shares that may be issued upon exercise of all outstanding options under the Scheme shall not exceed 30% of the Company's issued share capital[137]. - The total number of shares issued and to be issued upon exercise of options granted to each participant in any 12-month period shall not exceed 1% of the shares in issue[144]. - Any share options granted to a substantial shareholder or independent non-executive director in excess of 0.1% of the shares of the Company, with an aggregate value exceeding HK$5 million, require prior shareholder approval[145]. - The nominal consideration for accepting the option is HK$1.00, payable within 28 days from the date of offer[150]. - The Scheme is valid for a period of 10 years from its adoption date, ending on 25 September 2024[153]. - For all share options granted, 50% of the options are exercisable after 12 months and the remaining 50% after 24 months from the date of grant[154].

香 港 交 易 及 結 算 所 有 限 公 司 及 香 港 聯 合 交 易 所 有 限 公 司 對 本 公 告 之 內 容 概 不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全 部 或 任 何 部 份 內 容 而 產 生 或 因 倚 賴 該 等 內 容 而 引 致 之 任 何 損 失 承 擔 任 何 責 任。 AFFLUENT PARTNERS HOLDINGS LIMITED 錢唐控股有限公司* （於開曼群島註冊成立之有限公司） （股份代號：1466） 網 址：http://www.affluent-partners.com 截 至2023年9月30日 止 六 個 月 之 中 期 業 績 公 告 錢 唐 控 股 有 限 公 司（「本 公 司」）董 事 會（「董 事 會」）謹 此 呈 報 本 公 司 及 其 附 屬 公 司（統 稱「本 集 團」）截 至2023年9月30日 止 六 個 月 之 簡 明 綜 合 中 期 業 績， 連 同2022年 同 期 之 比 較 數 字。 * 僅 供 識 別 – 1 – 簡 明 綜 合 中 期 ...

Financial Performance - Revenue for the year ended March 31, 2023, was HK$86,880,000, representing a 38.7% increase from HK$62,647,000 in 2022[16] - Gross profit decreased to HK$7,827,000, down 28.8% from HK$10,992,000 in the previous year[16] - Profit before income tax improved significantly to HK$8,726,000, compared to a loss of HK$15,462,000 in 2022, marking a change of 156.4%[16] - Basic earnings per share for 2023 was HK$0.01, a turnaround from a loss of HK$0.04 in 2022, reflecting a 125.0% increase[16] - The consolidated profit attributable to equity holders for FY23 was HK$8.7 million, a significant increase of 156.1% compared to a loss of HK$15.5 million in FY22[30] - Profit attributable to equity holders increased by HK$24.2 million or 156.1% to HK$8.7 million in FY23, compared to a loss of HK$15.5 million in FY22[74] Assets and Equity - Net assets increased to HK$78,338,000, a substantial rise of 118.4% from HK$35,867,000 in 2022[16] - Total equity as of 31 March 2023 was HK$78.3 million, representing an increase of 118.1% from HK$35.9 million in 2022[79] - Cash and cash equivalents rose to HK$41,261,000, up 75.0% from HK$23,585,000 in the previous year[16] - Cash and cash equivalents increased to HK$41.3 million as of 31 March 2023, up from HK$23.6 million in the previous year[80] Profitability Ratios - Gross profit margin decreased to 9.0% from 17.5%, a decline of 8.5 percentage points[17] - Return on equity improved to 18.7%, a significant increase of 61.8 percentage points from (43.1)% in 2022[17] - The return on capital for pearls and jewellery products was (2.0)% in FY23, down from 3.7% in FY22[32] - The return on capital employed in the sale of pearls and jewellery products was (2.0)% in 2023, compared to 3.7% in 2022[100] - The return on capital employed in strategic investment and financial services improved to 37.8% from (34.4)% in the previous year[100] Liquidity and Financial Position - Current ratio increased to 4.6 from 1.7, indicating improved liquidity[17] - The current ratio improved to 4.6 as of 31 March 2023, compared to 1.7 in the previous year, indicating better liquidity[80] - Gearing ratio decreased to 0.02 from 0.83, reflecting a stronger equity position[17] Business Strategy and Market Expansion - The Group plans to launch jade products in Q4 FY23 to boost sales and expand the customer base, targeting mainland China and Asian markets[33] - The Group is focusing investments in real estate, co-working spaces, and asset management sectors, with a potential acquisition of a new feminine products business[25] - The Group is preparing to enter the jade products market to broaden its customer base due to changing consumption patterns[63] - A memorandum of understanding was signed for a potential acquisition of a skincare solutions brand, which could enhance profitability[66] Operational Challenges and Adjustments - The Group has downsized its co-working space network in Hong Kong due to declining demand and has fully impaired investments in this sector in previous years[39] - The company has reduced the scale of its co-working space business due to significant impacts from social movements and the COVID-19 pandemic, leading to decreased demand and rental income[42] - The group has recognized its investment in the co-working space industry as a financial asset measured at fair value, which has been fully impaired[42] Risk Management - The Group faces strategic risk due to potential failure in identifying or implementing the correct strategy, which could adversely impact profitability and reputation[110] - Economic risk is present as downturns in economic conditions may lead to increased bad debts and lower asset values, affecting the Group's performance[110] - Credit risk involves potential financial loss if customers fail to meet their contractual obligations, necessitating thorough credit quality assessments before loan approvals[110] - Operational risk arises from increasing labor costs and shortages, which could significantly impact the Group's operations and profitability[111] - Liquidity risk indicates the possibility of not meeting financial obligations, prompting regular monitoring of liquidity and financial position[111] - Price risk is associated with changes in equity prices affecting the Group's income and asset values, requiring regular portfolio monitoring[111] - Exchange risk involves fluctuations in foreign exchange rates impacting the Group's income and asset values, necessitating close monitoring of financial statements[111] Corporate Governance - The company has complied with all code provisions of the Corporate Governance Code throughout the year ended 31 March 2023, with certain deviations disclosed[130] - The Board held 7 meetings during the year ended 31 March 2023, with attendance details provided in the report[140] - The Board believes the current composition satisfies the balance of expertise, skills, and experience required for effective corporate governance[135] - The Company has adopted the Model Code for Securities Transactions by Directors, with all Directors confirming compliance throughout the year[131] - The Board maintains a necessary balance of skills and experience to safeguard the interests of the Group and its shareholders[135] Diversity and Inclusion - The company has a female employee ratio of approximately 56% across all levels of the workforce, including senior management[161] - The Board has adopted a diversity policy emphasizing gender balance and aims to appoint at least one female director by December 31, 2024[160] - The Board Diversity Policy was amended in December 2018 to enhance diversity in terms of gender, age, and professional experience[155] - The company recognizes the importance of a diverse Board in achieving strategic objectives and sustainable development[156] Audit and Compliance - The Audit Committee held 2 meetings during the year ended March 31, 2023, to review interim and annual results, internal control review report, and risk assessment report[164] - The Company aims to appoint at least one female director by December 31, 2024, to enhance gender diversity on the Board[166] - The terms of reference for both the Audit and Remuneration Committees are available on the Company's and Stock Exchange's websites, ensuring transparency[170] - The Board is responsible for overseeing the preparation of financial statements for the year ended March 31, 2023, ensuring they present a true and fair view of the Group's state of affairs[194]

香 港 交 易 及 結 算 所 有 限 公 司 及 香 港 聯 合 交 易 所 有 限 公 司 對 本 公 告 之 內 容 概 不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全 部 或 任 何 部 份 內 容 而 產 生 或 因 倚 賴 該 等 內 容 而 引 致 之 任 何 損 失 承 擔 任 何 責 任。 AFFLUENT PARTNERS HOLDINGS LIMITED 錢唐控股有限公司* （於開曼群島註冊成立之有限公司） （股份代號：1466） 截 至2023年3月31日 止 財 政 年 度 之 全 年 業 績 公 告 業 績 錢 唐 控 股 有 限 公 司（「本 公 司」）董 事 會（「董 事」或「董 事 會」）欣 然 宣 佈 本 公 司 及 其 附 屬 公 司（以 下 統 稱「本 集 團」）截 至2023年3月31日 止 年 度 之 綜 合 業 績， 連 同 去 年 之 比 較 數 字 如 下： * 僅 供 識 別 – 1 – 綜 合 收 益 表 截 至2023年3月31日 止 年 度 2023年 2022年 附 ...

Financial Performance - Revenue for the six months ended September 30, 2022, was HK$50,002,000, an increase from HK$31,159,000 in the same period of 2021, representing a growth of 60.6%[8]. - Gross profit for the same period was HK$12,763,000, significantly up from HK$122,000 in 2021[8]. - Operating profit for the period was HK$11,043,000, compared to an operating loss of HK$12,133,000 in the previous year[8]. - Profit before income tax was HK$10,258,000, a turnaround from a loss of HK$14,395,000 in the prior year[8]. - Profit attributable to equity holders of the Company for the period was HK$10,258,000, compared to a loss of HK$14,395,000 in 2021[8]. - Basic and diluted earnings per share for the period were 1.81 HK cents, compared to a loss of 5.39 HK cents in the previous year[8]. - Total comprehensive income for the period attributable to equity holders was HK$9,423,000, recovering from a loss of HK$14,395,000 in 2021[11]. - The total comprehensive income for the period was HK$10,258,000, a turnaround from a total comprehensive loss of HK$9,423,000 in the same period of 2021[21]. Assets and Liabilities - As of September 30, 2022, total assets amounted to HK$96,684,000, an increase from HK$79,555,000 as of March 31, 2022, representing a growth of approximately 21.5%[13]. - The net current assets increased to HK$76,479,000 from HK$34,092,000, indicating a significant improvement of approximately 124%[13]. - Total equity attributable to equity holders of the Company increased to HK$78,062,000 as of September 30, 2022, up from HK$35,867,000 as of March 31, 2022, reflecting a growth of approximately 117%[13]. - Total assets as of September 30, 2022, amounted to HK$98,450, with segment assets from Hong Kong at HK$74,282 and from the UK at HK$17,233[72]. - Total liabilities as of September 30, 2022, were HK$20,388, with segment liabilities from Hong Kong at HK$8,643 and from the PRC at HK$1,362[72]. - The Group's unallocated corporate assets were valued at HK$4,371, while unallocated corporate liabilities stood at HK$10,383[72]. Cash Flow - Cash used in operations for the six months ended September 30, 2022, was HK$10,712,000, which is a deterioration from HK$1,591,000 used in the same period of 2021[23]. - Cash and cash equivalents at the end of the period decreased to HK$17,289,000 in 2022 from HK$25,496,000 in 2021, a decline of approximately 32%[26]. - The company reported a net decrease in cash and cash equivalents of HK$5,889,000 for the six months ended September 30, 2022, compared to an increase of HK$1,072,000 in 2021[26]. - The effect of foreign exchange rate changes resulted in a decrease of HK$407,000 in cash and cash equivalents for the six months ended September 30, 2022[26]. Segment Information - For the six months ended September 30, 2022, segment revenue from the sale of pearls and jewellery products was HK$48,915, while strategic investment and financial services generated HK$50,002, totaling HK$98,917[53]. - Segment profit for the sale of pearls and jewellery products was HK$15,241, whereas strategic investment and financial services incurred a loss of HK$1,781, resulting in an overall segment profit of HK$13,460[54]. - Revenue from external customers for the six months ended 30 September 2022 was HK$50,002,000, a significant increase from HK$31,159,000 in the same period of 2021[112]. - Revenue from a single customer in the USA accounted for approximately HK$40,432,000, representing over 81% of total revenue for the group[113]. Credit and Receivables - The reversal of allowance for expected credit loss on trade receivables was HK$7,990,000, indicating improved collection performance[95]. - Trade receivables increased to HK$13,612,000 as of September 30, 2022, compared to HK$5,667,000 as of March 31, 2022, representing a significant growth[146]. - The allowance for expected credit losses (ECL) on trade receivables decreased from HK$17,639,000 to HK$9,637,000, indicating improved credit quality[147]. - The Group's net trade receivables as of September 30, 2022, were HK$13,612,000, reflecting a recovery from previous periods[147]. Investments - The Group holds a 33% equity interest in Dellos Group Limited and its subsidiaries as of September 30, 2022[133]. - The Group's investment in associates, particularly in Dellos F&B, has been fully written down due to its bankruptcy proceedings initiated in July 2020[138]. - The Group's management considers it highly unlikely that any future economic benefits will arise from the investment in Dellos Group[138]. Employee and Administrative Expenses - Administrative expenses increased to HK$7,390,000 from HK$6,861,000 in the previous year[8]. - Employee benefit expenses showed a significant increase, amounting to (HK$18,164,000) compared to HK$8,600,000 in the previous year[116]. Taxation - The company has not made any provision for Hong Kong profits tax due to tax losses carried forward, which are available for offset against estimated assessable profits[121]. - The PRC corporate income tax rate applicable to the company's subsidiaries in China remains at 25% for the estimated assessable profits during the period[122]. Other Financial Information - The company did not recommend any interim dividend for the six months ended 30 September 2022, consistent with the previous year where no dividend was declared[122]. - The Group's financial assets are classified as measured at amortised cost, reflecting the intention to collect contractual cash flows[192].