Financial Performance - The company reported a consolidated profit of HK$XX million for the year ended April 30, 2019, representing a year-on-year increase of XX%[88] - The Group recorded a turnover of approximately HK$202.3 million, representing a decrease of approximately HK$113.2 million from approximately HK$315.5 million in the previous financial year[29] - The net loss attributable to owners of the Company increased by approximately HK$6.7 million or 33.2%, from approximately HK$20.2 million for the year ended April 30, 2018, to approximately HK$26.9 million for the Year[29] - Revenue from the watches business decreased by approximately HK$130.1 million or 42.0% to approximately HK$179.3 million, primarily due to the expiry of franchise licenses for two major brands[46] - The overall gross profit decreased by approximately HK$14.5 million or 13.9% to approximately HK$89.6 million for the Year[52] - Loss before income tax increased by approximately HK$6.9 million or 43.9% to approximately HK$22.6 million for the Year[61] - The Group's revenue for the Year was approximately HK$202.3 million, a decrease of approximately HK$113.2 million or 35.9% from HK$315.5 million for the year ended 30 April 2018[46] Strategic Outlook - The company provided a positive outlook for the upcoming year, projecting a revenue growth of XX% driven by new product launches and market expansion strategies[88] - The company plans to expand its market presence in Southeast Asia, targeting a XX% increase in market share within the next fiscal year[88] - A strategic acquisition was completed, which is expected to contribute an additional HK$XX million in annual revenue[88] - The Group plans to actively seek acquisitions to expand its business and create better returns for shareholders[43] Product Development and Innovation - Investment in research and development increased by XX%, focusing on innovative technologies to enhance product offerings[88] - The company has introduced a new product line that is anticipated to generate HK$XX million in sales within the first year of launch[88] - The Group plans to promote product diversification and ensure product quality to strengthen relationships with key customers and diversify its customer base[34] Cost Management - Operating expenses were reduced by XX%, improving overall profitability margins[88] - The Group will remain cautious in controlling expenses, particularly rental expenses, which comprise a major part of operating expenses[35] - Under-performing shops will either be closed or relocated to more cost-effective locations[35] - Selling and distribution costs decreased by approximately HK$11.8 million or 12.8% to approximately HK$80.5 million, mainly due to reduced operating lease expenses and staff costs[54] - Administrative expenses increased by approximately HK$5.6 million or 20.8% to approximately HK$32.5 million, primarily due to higher operating lease expenses and consulting fees[58] Corporate Governance - The company aims to enhance its corporate governance practices in line with the latest regulations, ensuring compliance and transparency[88] - The Board has complied with all applicable code provisions of the Corporate Governance Code throughout the year, with minor exceptions noted[133] - The company emphasizes good corporate governance to enhance shareholder value and accountability[131] - The management structure incorporates elements of good corporate governance to achieve effective accountability[132] - The Company has maintained compliance with the Listing Rules, ensuring that the number of INEDs is at least one-third of the Board members[153] Board Composition and Responsibilities - The Board of Directors consists of six members, with Independent Non-executive Directors (INEDs) representing more than one-third of the Board[146] - The Audit Committee comprises three Independent Non-Executive Directors (INEDs) and is chaired by Mr. Tian Zhiyuan[180] - The Company Secretary is responsible for maintaining minutes of all Board meetings, ensuring proper documentation and communication among Directors[170] - The Board is responsible for overseeing the management of business affairs and ensuring adequate financial and human resources are in place[139] Financial Management - Total cash and cash equivalents as of April 30, 2019, were approximately HK$22.5 million, down from approximately HK$54.6 million as of April 30, 2018[67] - The current ratio decreased from approximately 1.7 times as of April 30, 2018, to approximately 1.3 times as of April 30, 2019[67] - The Group maintained a net cash position as of April 30, 2019, making the gearing ratio not applicable[67] - The Group had no borrowings as of April 30, 2019, compared to approximately HK$6.6 million as of April 30, 2018[91] Remuneration and Training - The Remuneration Committee held one meeting during the year to review and recommend remuneration-related matters for Directors and senior management[195] - The company has established a formal and transparent procedure for developing the remuneration policy for all Directors and senior management[192] - Continuous professional development programs were provided to all directors to ensure their contributions remain informed and relevant[165] - The company is committed to funding and arranging suitable training for directors to enhance their knowledge and skills[165]

Financial Performance - The turnover for the Review Period decreased by approximately 10.9% to approximately HK$124.4 million compared to HK$139.6 million for the same period in 2017[16]. - Revenue decreased by approximately HK$15.2 million or 10.9% from approximately HK$139.6 million to approximately HK$124.4 million for the Review Period[30]. - Revenue for the six months ended October 31, 2018, was HK$124,430,000, a decrease of 10.8% compared to HK$139,624,000 for the same period in 2017[131]. - Loss before income tax decreased by approximately HK$0.5 million or 6.4% to approximately HK$7.3 million for the review period[45]. - Loss before income tax for the six months ended 31 October 2018 was HK$7,264,000, compared to a loss of HK$7,820,000 for the same period in 2017[187]. - The company reported a loss for the period of HK$8,294,000, compared to a loss of HK$8,278,000 in the previous year, indicating a slight increase in losses[135]. Gross Profit and Margins - Gross profit for the Review Period was approximately HK$51.9 million, an increase from approximately HK$44.9 million in the same period in 2017[16]. - Overall gross profit increased by approximately HK$7.0 million or 15.6% to approximately HK$51.9 million during the review period[39]. - Gross profit margin of the watches business increased from approximately 32.2% to approximately 35.7% due to the reversal of provision for slow-moving inventories[35]. - The gross profit of the watches business was approximately HK$40.3 million, down from approximately HK$44.9 million in the same period in 2017, with a gross profit margin increase of approximately 3.5%[16]. Expenses - Administrative expenses increased by approximately HK$8.3 million or 143.1% from approximately HK$5.8 million to approximately HK$14.1 million due to higher operating lease expenses and staff salaries[38]. - Selling and distribution expenses decreased by approximately HK$2.8 million or 6.0% from approximately HK$46.7 million to approximately HK$43.9 million[37]. - Total cost of sales, selling and distribution costs, and administrative expenses decreased to HK$130,567,000 from HK$147,190,000, a decrease of approximately 11.3%[197]. - Employee benefit expense increased to HK$16,972,000 from HK$14,590,000, representing an increase of about 16.3%[198]. Cash Flow and Liquidity - Total cash and cash equivalents as of 31 October 2018 were approximately HK$44.0 million, down from approximately HK$54.6 million as of 30 April 2018[48]. - Cash and cash equivalents decreased to HK$44,022,000 from HK$54,603,000[132]. - The company’s operating cash flow was impacted by income tax payments of HK$1,290,000, which were not present in the previous year[135]. - For the six months ended 31 October 2018, the net cash generated from operations was HK$3,111,000, a decrease of 87.2% compared to HK$24,247,000 for the same period in 2017[135]. Market Outlook and Business Strategy - The Group expects a larger decline in sales in the second half of the financial year 2018/2019 due to the expiry of franchise licenses for two major brands[21]. - The market outlook for the fertilizers industry is improving, supporting stable growth in fertilizer prices due to increasing demand[20]. - The Group aims to strengthen relationships with key customers and diversify its customer base to create new drivers for future development[20]. - The Group plans to open single brand shops with other brands and has opened a new concept shop with unique designs[22]. Corporate Governance - The company has established an Audit Committee comprising three independent non-executive directors to comply with the Listing Rules[92]. - Mr. Meng Guangyin serves as both the Chairman and CEO, which deviates from the Corporate Governance Code provision A.2.1, but the board believes this is in the best interest of the company[87]. - The company has complied with all provisions of the Corporate Governance Code except for A.2.1 and E.1.2[89]. Shareholding and Securities - As of October 31, 2018, Mr. Meng Guangyin holds 600,000,000 shares, representing a 75% shareholding interest in the company[97]. - The total number of shares issued as of October 31, 2018, is 800,000,000[111]. - The company did not redeem any of its listed securities during the review period[113]. - The company did not purchase or sell any listed securities during the review period[117]. Financial Instruments and Accounting Standards - The Group has adopted HKFRS 9, which introduces changes to the classification and measurement of financial instruments, replacing HKAS 39[150]. - The expected credit loss (ECL) model under HKFRS 9 replaces the incurred loss model, requiring earlier recognition of credit losses[157]. - The Group's revenue recognition has changed due to the adoption of HKFRS 15, which now requires revenue to be recognized when the customer obtains control of the promised goods or services[169].