Revenue and Financial Performance - For the six months ended September 30, 2024, the Group generated revenue of approximately HK$138.1 million from 10 projects, compared to HK$141.3 million from 9 projects in the same period of 2023, reflecting a decrease of about 2.3%[5][6] - The top five projects contributed approximately HK$136.2 million in revenue, an increase from approximately HK$125.7 million in 2023, representing a growth of about 8.0%[5][6] - Revenue for the first half of 2024/2025 was HK$138.1 million, a decrease of 6.8% compared to HK$141.3 million in the first half of 2023/2024[102] - Total revenue for the six months ended September 30, 2024, was $1,450,000, compared to $530,000 for the same period in 2023[35] - The Group recorded a contract revenue decrease of approximately HK$3.2 million for the six months ended September 30, 2024, compared to the same period in 2023[106] - The Group's loss and total comprehensive income for the period was HK$17.2 million, compared to a loss of HK$32.4 million in the previous year[135] - The loss for the period decreased by HK$15.2 million or 46.9% to HK$17.2 million, compared to a loss of HK$32.4 million in the prior year[117] - Loss from operations narrowed to HK$17.2 million compared to HK$32.2 million in the prior year, indicating a significant improvement in operational efficiency[135] - Basic and diluted loss per share improved to HK$2.08 from HK$3.90 year-on-year[135] Assets and Liabilities - As of September 30, 2024, the company's non-current assets totaled $10,242,252, a decrease from $33,241,274 as of March 31, 2024[25] - Current assets amounted to $244,080,000, down from $261,306,000 as of March 31, 2024[25] - As of September 30, 2024, trade debtors amounted to HK$82,591,000, an increase from HK$50,348,000 as of March 31, 2024[68] - The ageing analysis of trade creditors shows total liabilities of HK$122,417,000 as of September 30, 2024, compared to HK$113,892,000 as of March 31, 2024[63] - Cash and cash equivalents reported at HK$16,531,000 as of September 30, 2024, down from HK$34,711,000 as of March 31, 2024[60] - The company reported a decrease in restricted bank deposits of $1,747,000 during the period[51] - The capital element of leases rentals paid was $65,000, compared to $2,696,000 in the previous year[51] - The company reported a decrease in retained profits to HKD 196,531,000 as of September 30, 2024, down from HKD 213,779,000[167] - Total equity decreased to HKD 244,332,000 as of 30 September 2024, down from HKD 261,580,000 as of 31 March 2024, representing a decline of approximately 6.6%[165] Operational Insights - The Group expects a rebound in the foundation industry in the coming years due to the Hong Kong government's commitment to increasing land supply and infrastructure investments[9] - The Group plans to expand its capacity and reinforce its foundation design and project management skills to capture more business opportunities[9] - The management anticipates continued improvement in operational efficiency and project execution in the upcoming periods[120] - The Group's financial resources and liquidity position remain stable, supported by existing contracts and ongoing projects[118] - The Group's performance bonds are expected to be released in accordance with the terms of the respective construction contracts[88] Staffing and Management - The company incurred staff costs of $17,040,000, an increase from $16,039,000 in the previous year[37] - Key management personnel remuneration for the six months ended September 30, 2024, was HK$3.351 million, an increase from HK$3.141 million in the same period of 2023[93] - As of 30 September 2024, the Group had 49 full-time employees, an increase from 48 as of 31 March 2024[146] Corporate Governance and Compliance - The Company has complied with the Corporate Governance Code, except for a deviation from provision C.2.1[159] - The interim financial report for the six months ended 30 September 2024 is unaudited but has been reviewed by KPMG, with an unmodified review report included[168] - The company confirmed compliance with the Model Code for Securities Transactions by Directors during the reporting period[161] Future Outlook - The Group anticipates a recovery in the construction industry in Hong Kong over the coming years due to government policies on land supply and infrastructure investment[147] - The Board is confident in the Group's ability to expand operational scale and profitability, supported by its strong reputation and financial position[147] - The Group plans to enhance its foundation design capabilities and project management skills to provide high-quality flexible solutions to clients[147] - The company is focused on enhancing its market presence and exploring potential strategic partnerships for future growth[120]

Revenue and Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 138,092,000, a decrease of 2% from HKD 141,308,000 in the same period of 2023[3] - The company's contract revenue for the six months ended September 30, 2024, was approximately HKD 138.1 million, a decrease of about HKD 3.2 million compared to HKD 141.3 million in the same period of 2023[38] - Direct costs decreased to HKD 147,469,000 from HKD 162,797,000, resulting in a gross loss of HKD 9,377,000, improved from a gross loss of HKD 21,489,000 in 2023[3] - The gross loss decreased from approximately HKD 21.5 million in 2023 to about HKD 9.4 million in 2024, with the gross loss margin improving from 15.2% to 6.8%[38] - Operating loss for the period was HKD 17,175,000, significantly reduced from HKD 32,236,000 in the previous year[3] - The total comprehensive loss for the period was HKD 17,248,000, compared to HKD 32,393,000 in the same period last year[3] - Basic and diluted loss per share improved to HKD 2.08 from HKD 3.90 in the previous year[3] - For the six months ended September 30, 2024, the company reported a basic loss per share of HKD 0.021 (17,248,000 HKD loss) compared to a loss of HKD 0.039 (32,393,000 HKD loss) for the same period in 2023[24] Assets and Liabilities - Cash and bank balances decreased to HKD 58,638,000 from HKD 78,565,000 as of March 31, 2024[6] - Total assets decreased to HKD 392,831,000 from HKD 394,990,000[6] - Total equity decreased to HKD 244,332,000 from HKD 261,580,000[9] - The current ratio decreased to 2.6 as of September 30, 2024, from 3.0 as of March 31, 2024[39] - The debt-to-equity ratio increased to 5.3% as of September 30, 2024, from 5.0% as of March 31, 2024, primarily due to a decrease in total equity from losses incurred during the period[39] Operational Highlights - As of September 30, 2024, the company had a total of 10 ongoing projects contributing to revenue, with a total uncompleted contract amount of HKD 523.1 million[35] - The company did not secure any new contracts during the six months ended September 30, 2024[35] - The company’s administrative and other operating expenses decreased by approximately HKD 2.1 million to about HKD 9.2 million compared to HKD 11.3 million in the previous year[38] - As of September 30, 2024, the group had 49 full-time employees, an increase from 48 on March 31, 2024[42] Corporate Governance and Shareholder Matters - The company is committed to high standards of corporate governance and has adhered to the corporate governance code, with the exception of the separation of the roles of Chairman and CEO[50][51] - The board has decided not to declare an interim dividend for the six months ended September 30, 2024, consistent with the previous period[47] - The company and its subsidiaries did not purchase, sell, or redeem any of the company's listed securities during the period[48] - The board expresses gratitude for the efforts of management and all employees, as well as support from shareholders and business associates during the period[56] Future Outlook - The board anticipates a recovery in the construction industry in Hong Kong over the coming years due to government policies aimed at increasing land supply and infrastructure investment[46] Other Financial Information - Other income increased to HKD 1,450,000 from HKD 530,000, driven by bank interest income and sales of scrap materials[18] - The group reported no capital commitments as of September 30, 2024[43] - There were no contingent liabilities other than those disclosed in note 11 as of September 30, 2024[44] - The interim financial report for the six months ended September 30, 2024, was reviewed by KPMG and is included in the report[53]

IN CONSTRUCTION HOLDINGS LIMITED 現 恆 建 築 控 股 有 限 公 司 (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) (Stock code 股份代號 : 1500) 2023/2024 ↑ ANNUAL REPORT 1 現恆建築控股有限公司 1 2023/2024 年報 Financial Summary 132 財務摘要 3 現恆建築控股有限公司 3 2023/2024 年報 PRINCIPAL BANKERS Bank of China (Hong Kong) Limited Wing Lung Bank Limited The Hongkong and Shanghai Banking Corporation Limited 註冊辦事處 Windward 3 Regatta Office Park PO Box 1350 Grand Cayman KY1-1108 Cayman Islands IN CONSTRUCTION HOLDINGS LIMITED ...

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佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1500） 截至二零二四年三月三十一日止年度的 年度綜合業績公佈 年度綜合業績 現恆建築控股有限公司（「本公司」）董事會（「董事會」）欣然提呈本公司及其附屬公 司（統稱「本集團」）截至二零二四年三月三十一日止年度的年度綜合業績，連同截 至二零二三年三月三十一日止年度的比較數字如下： 1 綜合損益及其他全面收益表 | | | 二零二四年 | 二零二三年 | | --- | --- | --- | --- | | | 附註 | 千元 | 千元 | | 非流動負債 | | | | | 租賃負債 | | – | 65 | | 資產淨值 | | 261,580 | 274,435 | | 資本及儲備 | | | | | 股本 | | 8,300 | 8,300 | | 儲備 | | 253,280 | 266,135 | | 總權益 | | 261,580 | 274, ...

Financial Performance - Revenue for the six months ended September 30, 2023, was approximately HK$141.3 million, a decrease from HK$166.1 million in the same period of 2022[11]. - The Group recorded a gross loss of approximately HK$21.5 million, compared to a gross loss of HK$1.2 million in the corresponding period of 2022, resulting in a gross loss margin increase from 0.7% to 15.2%[24]. - The loss for the period increased by HK$18.9 million or 140% to HK$32.4 million, compared to HK$13.5 million in the prior year[25]. - For the six months ended September 30, 2023, the Group's revenue was approximately HK$141.3 million, a decrease from HK$166.1 million in the same period of 2022, representing a decline of about 14.9%[26]. - The five major projects contributed approximately HK$125.7 million to revenue, down from HK$157.2 million in the previous year, with the largest project accounting for 36.3% of total revenue[26]. - The Group recorded a gross loss of approximately HK$21.5 million, an increase of about HK$20.3 million from a gross loss of HK$1.2 million in the same period last year, resulting in a gross loss margin of 15.2%[26]. - The Group's loss for the period increased by 140% to HK$32.4 million, compared to HK$13.5 million in the same period last year[28]. - Loss from operations increased to HK$32.2 million, up from HK$13.3 million in the prior year, reflecting higher operational challenges[71]. - Total comprehensive loss for the period was HK$32.4 million, compared to a loss of HK$13.5 million in the same period last year[71]. - The company reported a basic and diluted loss per share of HK$3.90 for the six months ended September 30, 2023, compared to HK$1.62 in the previous year[71]. - For the six months ended 30 September 2023, the company reported a loss of HK$32,393,000, compared to a loss of HK$13,453,000 for the same period in 2022, indicating a significant increase in losses[76]. Project and Contract Information - Two new projects with an aggregate contract value of HK$642 million were awarded during the six months ended September 30, 2023[19]. - As of September 30, 2023, nine projects with an outstanding contract sum of HK$900.8 million were in progress[20]. - The top five projects contributed approximately HK$125.7 million in revenue, down from HK$157.2 million in the previous year, with the top project accounting for 36.3% of total revenue[23]. - The increase in gross loss was primarily due to provisions for liquidated and ascertained damages from unexpected delays in certain foundation projects[24]. - The Group's focus on private sector construction projects continues, with an emphasis on becoming the main contractor for design and build contracts[15]. Financial Position and Liquidity - As of September 30, 2023, the current ratio was 3.0, down from 3.8 as of March 31, 2023, while the gearing ratio decreased to 6.5% from 6.7%[30]. - The Group had cash and bank balances of approximately HK$76.7 million as of September 30, 2023, down from HK$112.0 million as of March 31, 2023[30]. - Current assets as of September 30, 2023, totaled HK$364.0 million, slightly down from HK$372.9 million as of March 31, 2023[73]. - Net current assets decreased to HK$241.7 million from HK$274.1 million, indicating a reduction in liquidity[73]. - Total equity as of September 30, 2023, was HK$242.0 million, down from HK$274.4 million as of March 31, 2023[74]. - Cash and cash equivalents at the end of the period decreased to HK$33,259,000 from HK$81,250,000 at the end of the same period last year, representing a decline of 59%[78]. - The total equity attributable to equity shareholders of the company decreased to HK$242,042,000 as of 30 September 2023, down from HK$301,211,000 a year earlier, a reduction of 19.6%[76]. - The company had cash generated from investing activities of HK$3,121,000 for the six months ended 30 September 2023, compared to HK$5,239,000 in the same period of 2022, a decrease of 40.4%[78]. - The company’s retained profits decreased to HK$194,241,000 as of 30 September 2023, down from HK$226,634,000 at the beginning of the period, a decline of 14.3%[76]. Corporate Governance and Management - The company emphasizes its commitment to high standards of corporate governance and transparency[57]. - The board believes that the current arrangement of having the same individual serve as both Chairman and CEO does not impair the balance of power and authority[58]. - The company has resolved not to pay any interim dividend for the six months ended September 30, 2023, consistent with the previous year[52]. - The company has not identified any significant events requiring disclosure after September 30, 2023[54]. - The remuneration of key management personnel for the six months ended September 30, 2023, was HK$3,141,000, a decrease of 15.1% from HK$3,702,000 in the same period of 2022[137]. Future Outlook - The Group expects a rebound in the foundation industry in the coming years due to increased land supply and infrastructure investments by the Hong Kong government[42]. - To maintain competitiveness, the Group plans to expand its capacity, enhance foundation design capabilities, and improve project management skills[43]. Audit and Compliance - The interim financial report was authorized for issue on 27 November 2023, and it is unaudited but reviewed by KPMG[88]. - The interim financial report for In Construction Holdings Limited as of September 30, 2023, has been reviewed and is in compliance with Hong Kong Accounting Standard 34[145]. - The report includes the consolidated statement of financial position, profit or loss, changes in equity, and cash flow for the six-month period ending September 30, 2023[145]. - No significant issues were identified that would indicate the interim financial report is not materially prepared according to the relevant standards[145]. - The review was conducted in accordance with Hong Kong Standard on Review Engagements 2410, focusing on inquiries and analytical procedures[141]. - The directors are responsible for the preparation and presentation of the interim financial report[145]. - The report confirms that the financial information is accurate and reliable as of the review date[145]. - KPMG conducted the review and issued the report on November 27, 2023[147].

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佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1500） 截至二零二三年九月三十日止六個月的 未經審核中期業績公佈 中期業績 現恆建築控股有限公司（「本公司」）董事會（「董事會」）欣然提呈本公司及其附屬公 司（統稱「本集團」）截至二零二三年九月三十日止六個月的未經審核綜合中期業績， 連同截至二零二二年同期的比較數字如下： ...

Financial Performance - The Group's revenue for the financial year 2022/23 was HK$332.4 million, down HK$129.8 million from FY21/22[29]. - Gross profit decreased to HK$5.2 million, a decline of HK$86.5 million compared to FY21/22[30]. - For the financial year 2022/23, the Group recorded a net loss of HK$15.3 million, compared to a profit of HK$74.3 million in the previous year[52][55]. - Revenue for the financial year 2022/23 was approximately HK$332.4 million, a decrease of HK$129.8 million from HK$462.2 million in 2021/22[50][51]. - Gross profit for the financial year 2022/23 was approximately HK$5.2 million, down from HK$91.7 million in the previous year, resulting in a gross profit margin decrease to 1.6% from 19.8%[51][53]. - Administrative and other operating expenses increased to approximately HK$22.3 million, primarily due to foreign exchange losses from Renminbi deposits[52][54]. Contracts and Projects - The Group was awarded 2 new contracts with an aggregate contract sum of HK$156.1 million, compared to 5 new contracts totaling HK$411.6 million in the previous financial year[16]. - The Group was awarded two new projects with a total contract value of HK$156.1 million during the financial year 2022/23[42][53]. - As of March 31, 2023, there were seven ongoing or yet-to-commence projects with an outstanding contract sum of HK$427.1 million[42][53]. - The top five projects contributed revenue of HK$316.2 million, with the largest project accounting for 46.4% of total revenue[50][51]. Operational Challenges - The adverse financial results were impacted by loss-making projects due to delays caused by adverse weather and other unforeseen difficulties[15]. - The Group experienced temporary manpower shortages due to COVID-19 infections among staff, which slowed down project progress[14]. - The management is seeking extensions for project completion from employers due to delays caused by uncontrollable factors[15]. - The Group faces risks related to construction delays and potential claims for damages, which could adversely impact financial performance[59][62]. - The Group's financial performance may be adversely affected if it is unable to secure new tenders or obtain new contract awards with comparable contract sums after completing existing contracts[66]. Strategic Focus - The Group aims to focus on "design and build" projects to maintain profit margins and safeguard shareholder interests moving forward[23]. - The Group's focus on design and build projects allows for more cost-efficient construction solutions[41][53]. - The management expressed confidence in the construction industry's resilience as the local economy gradually recovers from COVID-19[23]. - The Group expects a rebound in the foundation industry in the medium run due to government policies on land supply and infrastructure investments[98]. - The Group plans to expand capacity and enhance project management skills to maintain its competitive edge[98]. Leadership and Management - The company has a strong leadership team with extensive experience across various sectors of the construction and engineering industries[106]. - The company is focused on project management, quality control, and strategic development in the construction sector[105]. - The company aims to leverage its experienced management team to enhance operational efficiency and market competitiveness[108]. Financial Position - As of March 31, 2023, the current ratio improved to 4.3 from 3.8 in 2022[83]. - The gearing ratio decreased to 7.4% as of March 31, 2023, down from 6.7% in 2022, primarily due to the repayment of HK$5.0 million in lease liabilities[83]. - The Group's cash and bank balances were HK$112.0 million as of March 31, 2023, compared to HK$147.8 million in 2022, with HK$43.6 million being restricted bank balances[83]. - The Group had no bank overdrafts as of March 31, 2023, maintaining a light debt leverage[83]. - The capital structure consisted of equity of HK$274.4 million and debts of HK$18.3 million as of March 31, 2023[83]. Shareholder Information - The Group's reserves available for distribution to equity shareholders amounted to approximately HK$130,692,000 as of 31 March 2023[141]. - The Board has resolved not to declare a final dividend for the Financial Year 2022/23[128]. - The largest customer contributed 46.4% to the Group's sales, with the five largest customers combined accounting for 95.1%[189]. - The largest supplier accounted for 19.2% of the Group's purchases, while the five largest suppliers combined represented 59.6%[186]. Compliance and Governance - The Company has complied with all necessary registrations and certifications for its business operations in Hong Kong during the financial year 2022/2023[78]. - The Company has received annual confirmations of independence from all independent non-executive Directors[152]. - The independent non-executive directors have confirmed compliance with the non-competition agreements, with no known violations since their inception[171]. - The company has taken out insurance against liabilities and costs associated with defending proceedings against its directors[161]. - The controlling shareholders have declared compliance with the undertakings given under the non-competition agreements disclosed in the prospectus[170]. Employee Information - The Group had 53 full-time employees as of March 31, 2023, an increase from 51 in 2022[87]. - The Group has a low staff turnover rate of 5% in the project management team in 2023, indicating a stable workforce[74].

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佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1500） 截至二零二三年三月三十一日止年度的 年度綜合業績公佈 年度綜合業績 現恆建築控股有限公司（「本公司」）董事會（「董事會」）欣然提呈本公司及其附屬公 司（統稱「本集團」）截至二零二三年三月三十一日止年度的年度綜合業績，連同截 至二零二二年三月三十一日止年度的比較數字如下： ...

Revenue and Profitability - Revenue for the six months ended 30 September 2022 was approximately HK$166.1 million, a decrease of approximately HK$185.0 million compared to HK$351.1 million in the corresponding period in 2021[14] - The Group recorded a gross loss of approximately HK$1.2 million, down from a gross profit of approximately HK$103.4 million in the same period last year, resulting in a gross loss margin of -0.7% compared to a gross profit margin of 29.5% in 2021[15] - The loss for the period was HK$13.5 million, compared to a profit of HK$78.6 million in the corresponding period of the previous year[16] - Revenue for the six months ended September 30, 2022, was approximately HK$166.1 million, a decrease from HK$351.1 million in the same period of 2021[17] - The group recorded a gross loss of approximately HK$1.2 million, down from a gross profit of HK$103.4 million in the previous year, resulting in a gross margin decline from 29.5% to a gross loss margin of 0.7%[17] - The group incurred a loss of HK$13.5 million for the period, compared to a profit of HK$78.6 million in the same period last year[19] - Total comprehensive loss for the period was HK$13,453,000, compared to a total comprehensive income of HK$78,589,000 in the same period of 2021[63] - Basic and diluted loss per share was HK$1.62, down from earnings of HK$9.47 per share in the previous year[63] Project and Contract Status - The top five projects contributed approximately HK$157.2 million in revenue, with the leading project accounting for 43.3% of total revenue[14] - As of 30 September 2022, six projects with an outstanding contract sum of HK$407.4 million were either in progress or had not yet commenced, with one project completed during the period[12] - The decrease in contract revenue was attributed to provisions for liquidated damages on certain foundation projects due to unexpected delays[15] - No new projects were awarded to the Group during the six months ended 30 September 2022[12] Financial Position and Ratios - The current ratio decreased to 3.4 as of September 30, 2022, from 4.3 as of March 31, 2022[21] - The gearing ratio improved to 6.9% as of September 30, 2022, down from 7.4% as of March 31, 2022, primarily due to the repayment of HK$2.5 million in lease liabilities[21] - Cash and bank balances were approximately HK$126.8 million as of September 30, 2022, compared to HK$147.8 million as of March 31, 2022[21] - Current assets decreased to HK$423,850,000 from HK$410,445,000 as of March 31, 2022[65] - Net current assets decreased to HK$300,765,000 from HK$314,172,000 as of March 31, 2022[65] - Total equity as of September 30, 2022, was HK$301,211,000, down from HK$314,664,000 as of March 31, 2022[67] Cash Flow and Financing - For the six months ended September 30, 2022, the net cash used in operating activities was HK$21,264,000, compared to HK$86,185,000 generated in the same period of 2021[22] - The net cash generated from investing activities was HK$5,239,000, a significant improvement from the net cash used of HK$1,295,000 in the prior year[22] - The net cash used in financing activities was HK$2,683,000, slightly lower than the HK$2,690,000 used in the same period of 2021[22] - Cash and cash equivalents at the end of the period were HK$81,250,000, down from HK$96,355,000 at the end of the same period in 2021[22] - The company reported a decrease in cash and cash equivalents of HK$18,708,000 for the six months ended September 30, 2022, compared to an increase of HK$82,200,000 in the prior year[22] Shareholding and Corporate Governance - As of September 30, 2022, Mr. Lau Pak Man holds a total of 337,520,000 shares, representing approximately 40.67% of the issued share capital of the Company[35] - Mr. Cheng Wing Cheong holds a total of 275,900,000 shares, representing approximately 33.24% of the issued share capital of the Company[35] - Ms. Kwan Kit Sum Kit holds a total of 337,520,000 shares, representing approximately 40.67% of the issued share capital of the Company[35] - The roles of chairman and chief executive officer are held by the same individual, Mr. Lau Pak Man, which deviates from the Corporate Governance Code[50] - The company has committed to maintaining an aggregate beneficial shareholding of not less than 50% by its controlling shareholders as part of its loan agreements[57] Operational Challenges and Future Outlook - The Group expects a rebound in the foundation industry in the coming years due to the Hong Kong government's commitment to increasing land supply and infrastructure investments[30] - The progress of some construction projects has been slowed down due to staff being quarantined during the COVID-19 pandemic, leading to temporary manpower shortages[30] - The Group will continue to assess the impact of the COVID-19 pandemic on its operational and financial aspects[30] - The Group aims to provide qualitative and flexible solutions to its customers to maintain its competitive edge[30] Compliance and Audit - The interim financial report for the six months ended September 30, 2022, has been reviewed by KPMG, ensuring compliance with relevant standards[54] - The interim financial report as of September 30, 2022, is prepared in accordance with Hong Kong Accounting Standard 34, with no material discrepancies noted[130] - KPMG conducted the review and found no issues that would affect the integrity of the financial report[132] Dividends and Shareholder Returns - The company has not declared any interim dividend for the six months ended September 30, 2022, compared to HK$0.03 for the same period in 2021[47] - The company did not declare any interim dividend for the six months ended September 30, 2022, compared to a dividend of 3 cents for the same period in 2021[113]

Contracts and Projects - The Group was awarded 5 new contracts with an aggregate contract sum of HK$411.6 million, compared to 4 new contracts with a total of HK$468.2 million in the previous financial year[19] - The ongoing projects faced delays due to COVID-19, resulting in manpower shortages and slow progress, particularly during the 4th and 5th waves of the pandemic[17] - The management is hopeful for time extensions on project completions due to unforeseen delays caused by the pandemic[18] - The Group continues to provide quality and flexible solutions to the construction industry, leveraging technical know-how and stringent quality control[16] - The Group undertook 16 projects contributing to revenue and gross profit, compared to 19 projects in the previous year[39] - As of March 31, 2022, seven projects with an outstanding contract sum of HK$569.2 million were either in progress or not yet commenced[35] - The increase in revenue and gross profit was attributed to projects undertaken during the year and recovery of certified variation orders for completed projects[39] - The Group's business relies on successful tenders for foundation works, with contract awards varying from year to year due to their non-recurring nature[42] - The Group faces risks related to construction progress, including potential damage to adjacent buildings, which could lead to additional costs and project delays[40] Financial Performance - For the financial year 2021/22, the group reported revenue of approximately HK$462.2 million, an increase of HK$83.4 million from the previous year[39] - Gross profit for the same period was approximately HK$91.7 million, up by HK$35.1 million compared to the previous year[39] - The gross profit margin improved to 19.8% in 2021/22 from 14.9% in 2020/21[29] - Profit before taxation increased by HK$40.6 million or 120.5% to HK$74.3 million for the financial year 2021/22[39] - Administrative and other operating expenses decreased by approximately HK$8.9 million to HK$18.8 million[39] - The top five projects contributed revenue of HK$423.6 million, with the largest project accounting for 54.3% of total revenue[39] - The Group's financial performance may be adversely affected if it fails to secure new tenders or contract awards after completing current contracts[43] - The Group's future growth and profitability are closely tied to the health of the property market and the construction industry in Hong Kong[44] Market Outlook - The Group aims to focus on "design and build" projects to maintain profit margins and safeguard shareholder interests as the economy is expected to recover[24] - The economic outlook for Hong Kong is optimistic with upcoming government projects expected to stimulate growth[24] - The Group expects a rebound in the foundation industry in the long run due to the Hong Kong government's commitment to increasing land supply and infrastructure investments[68] - The group anticipates a long-term recovery in the construction industry due to the Hong Kong government's increased land supply policy and commitment to infrastructure investment[70] - Despite intense competition in the Hong Kong construction sector, the board remains confident in the group's future net profit and operational scale growth, supported by its strong reputation and financial stability[70] Management and Governance - The management team has successfully built credibility and trust with existing and new customers despite the challenges posed by the pandemic[16] - The Group maintains a low staff turnover rate of 5% in the project management team for 2022, down from 9% in 2021, indicating a stable workforce[50] - The Group has established long-term relationships with customers and partners, with some relationships exceeding 10 years, which is crucial for its business model[49] - The Company is committed to achieving high standards of corporate governance and transparency[161] - The roles of chairman and chief executive officer are held by the same individual, which the board believes ensures consistent strategic planning[163] - The Board oversees major matters including policy formulation, overall strategies, and risk management systems, ensuring objective decision-making in the Company's interests[167] Shareholder Information - The Board proposes a final dividend of HK$0.03 per ordinary share for the year ended March 31, 2022, compared to HK$0 for the previous year[95] - As of March 31, 2022, the Company's reserves available for distribution to equity shareholders amounted to approximately HKD 1.5 billion[102] - The Company has not entered into any management contracts concerning the management and administration of its business during the financial year 2021/22[102] - The Company has taken out insurance against liabilities and costs associated with defending any proceedings against its Directors[116] - The Company has maintained compliance with the Listing Rules, ensuring at least three independent non-executive Directors, with one possessing appropriate professional qualifications[165] Risk Factors - The Group experienced difficulties with raw material shortages from Mainland China due to transportation issues during the pandemic[17] - The construction industry in Hong Kong is influenced by external factors such as government policies and economic conditions, which may impact future project availability[44] - The Group's ability to maintain its registrations is critical, as any failure could materially affect its business operations[40] - The ongoing COVID-19 pandemic has impacted construction projects, leading to manpower shortages and slower progress, but the Group has managed to redeploy staff to maintain project timelines[69] - The Group is committed to evaluating the ongoing impact of COVID-19 on its operations and finances, implementing preventive measures to mitigate its effects[70]