Core Viewpoint - The article highlights significant stock movements in the Hong Kong and US markets, indicating various companies experiencing notable gains due to specific events or developments. Hong Kong Market Highlights - Li Auto (02015) saw a rise of over 3% as the launch of the Li i8 is set for July 29 [1] - Chinese banks experienced gains, with Zhengzhou Bank (06196) up 6.06%, Minsheng Bank (01988) up 4.97%, CITIC Bank (00998) up 3.24%, and Industrial and Commercial Bank of China (01398) up 1.8% [1] - Jiuyuan Gene (02566) increased by over 6% following the approval of its drug by the National Medical Products Administration [1] - Conant Optical (02276) rose over 6% as its net profit is expected to increase by over 30% year-on-year [1] - Puxing Energy (00090) surged over 220% after acquiring equity in HashKey Holdings Limited, entering the digital asset finance sector [1] - Blucube (00325) saw a rise of over 8% as it faced its first share unlock, with an accelerated pace of new product launches [1] - InnoCare Pharma (02577) rose over 5% as TSMC exited the GaN business, prompting cornerstone investors to extend their lock-up period [2] - Jitu Express (01519) increased over 4% due to strong package volume performance in Southeast Asia [2] - Apple-related stocks saw gains, with Cowell (01478) up 5.14%, Sunny Optical (02382) up 4.99%, BYD Electronics (00285) up 4.67%, and AAC Technologies (02018) up 1.89% [2] - From Yuzhi Agriculture (00875) surged over 13% as the company aims to build a comprehensive modern agriculture flagship group [2] - Fenbi (02469) rose over 5% following an upgrade to its AI question-answering system, which is expected to drive performance growth [2] - E-Surfing (02550) increased over 16% after Barclays acquired a 280 million stake and partnered with Huawei Cloud [2] - Cryptocurrency ETF and related stocks rose, with New Fire Technology Holdings (01611) up 10.82%, Xiong'an Technology (01647) up 10.23%, and others [2] - Superstar Legend (06683) surged over 20% as Jay Chou joined Douyin, gaining over 10 million followers [3] - Cornerstone Pharmaceuticals (02616) rose over 4% after its drug production application was approved by NMPA [3] - Longguang Group (03380) opened over 4% higher as its debt restructuring plan was approved by creditors [3] - Saijing Technology (00580) opened over 8% after announcing a projected net profit of approximately 90 million, a 167% year-on-year increase [3] - Derin Holdings (01709) opened nearly 15% higher as it plans to tokenize up to 500 million HKD in assets for distribution to shareholders [3] US Market Highlights - Deutsche Bank (DB.US) rose over 3% as it restructures its wealth management business in Germany to improve profitability [4] - UnitedHealth (UNH.US) fell over 1% amid reports of a US Department of Justice investigation into its medical insurance billing [4] - Futu Holdings (FUTU.US) increased over 9% after Morgan Stanley raised its target price to 160 USD [4] - Boeing (BA.US) rose over 3% as June aircraft deliveries reached an 18-month high [4] - Meta (META.US) increased nearly 2% as it reportedly invested 3.5 billion USD to enhance its AI smart glasses business [4] - Nvidia (NVDA.US) rose nearly 2%, reaching a historic high with a market capitalization of 4 trillion USD [4] - Microsoft (MSFT.US) hit a historic high with a market capitalization of 3.74 trillion USD, following an upgrade from Oppenheimer [4]

Group 1 - The cryptocurrency concept stocks in Hong Kong experienced a volatile rise in early trading, with notable gains in several companies [1] - Guotai Junan International (01788.HK) saw an increase of over 7% [1] - Other companies such as Guofu Quantum (00290.HK), New Fire Technology Holdings (01611.HK), and Boya Interactive (00434.HK) also followed with upward movements [1]

Group 1 - The stock price of Sinohope Technology Holdings (01611.HK) closed at 3.080 HKD on July 4, down 4.64% from the previous trading day, with an intraday high of 3.500 HKD, marking a near one-year high [1] - On the same day, the net capital outflow was 300.79 thousand HKD, with unspecified amounts flowing in and out [1] Group 2 - Sinohope Technology focuses on digital asset custody, providing various custody solutions to help enterprises securely and conveniently use digital assets [2] - The company's core product, the MPC self-custody platform SINOHOPE, utilizes MPC-CMP technology to support distributed management of private key shards and collaborative signing, addressing single point risks associated with private keys [2] - Sinohope aims to create a next-generation secure and compliant custody platform, allowing users to fully control and recover private keys while reducing operational barriers and enhancing security against hacking and theft [2] - The management team comprises talents from both digital asset and traditional finance sectors, bringing extensive industry experience and unique business insights [2] - The company adheres to principles of safety, compliance, professionalism, and diversity in services, offering centralized and decentralized mixed services, as well as customized products for institutional and high-net-worth clients [2]

Summary of Key Points Core Viewpoint - As of July 3, a total of 120 stocks reached their 52-week highs, indicating a strong market performance with notable leaders in the list [1]. Group 1: Top Performers - The top three stocks with the highest increase rates are: - 富誉控股 (Fuyou Holdings) at 90.76%, closing at 0.435 with a peak of 0.475 [1] - 信义能源 (Xinyi Energy) at 65.00%, closing at 1.200 with a peak of 1.980 [1] - 中国三三传媒 (China San San Media) at 42.86%, closing at 1.710 with a peak of 1.900 [1] Group 2: Additional Notable Stocks - Other notable stocks include: - ITE HOLDINGS at 34.21% increase, closing at 0.047 with a peak of 0.051 [1] - 星凯控股 (Xingkai Holdings) at 30.00%, closing at 0.480 with a peak of 0.650 [1] - 北京北辰实业股份 (Beijing Beichen Industrial) at 26.47%, closing at 0.940 with a peak of 1.290 [1] Group 3: Overall Market Trends - The overall trend shows a significant number of stocks achieving new highs, reflecting positive investor sentiment and market conditions [1].

Asset Management and Financial Performance - During the period ending March 31, 2025, the total AUM for Sinohope Asset Management reached approximately $88.7 million, with 12 funds launched in collaboration with partners[10]. - The total revenue for the group during the period ending March 31, 2025, was approximately HKD 3,455.7 million, an increase of about 427.1% or HKD 2,800.1 million compared to the previous period[27]. - The group recorded a gross profit of approximately HKD 11.0 million during the period, down from HKD 32.1 million in the previous period[28]. - The net loss for the group during the period was approximately HKD 12.3 million, compared to a net profit of HKD 101.2 million in the previous period, resulting in a basic and diluted loss per share of HKD 0.0264[29]. - The revenue generated from asset management services was approximately HKD 12.8 million, a decrease of about HKD 4.5 million or 25.7% compared to HKD 17.3 million in the previous period[32]. - The revenue from custody services was approximately HKD 0.6 million, an increase of about HKD 0.2 million or 64.3% compared to HKD 0.4 million in the previous period[35]. - The revenue from cryptocurrency trading business was approximately HKD 3,437.8 million, with a gross profit of approximately HKD 4.5 million, down from HKD 7.7 million in the previous period[37]. - The group provided technical solutions generating revenue of approximately HKD 3.7 million, up from HKD 2.9 million in the previous period due to effective marketing and brand building[30]. - Other income and gains for the period 2025 amounted to approximately HKD 6.0 million, an increase of about HKD 7.0 million from a loss of approximately HKD 0.9 million in 2024, primarily due to gains from cryptocurrency investments[38]. Acquisitions and Strategic Partnerships - The company has agreed to acquire shares representing 100% of the issued share capital of a British Virgin Islands company for a consideration of $30,462,086.38 (approximately HKD 237,604,273.76) on August 16, 2024[16]. - The company will also acquire approximately 7.69% of the issued share capital of BitTrade for a consideration of $2,769,435.22 (approximately HKD 21,601,594.72) on August 16, 2024[17]. - The company has completed the acquisition agreements for both the British Virgin Islands company and BitTrade, integrating their financial performance into the group's financial statements[17]. - Following the completion of the acquisition, Avenir will become a wholly-owned subsidiary, and BitTrade will be an indirect subsidiary, with their financial performance consolidated into the company's financial statements[84]. Market Environment and Economic Outlook - The global economic environment has shown signs of recovery from high inflation, with expectations of a potential interest rate cut cycle beginning in the second half of the year[12]. - The external environment remains complex, with geopolitical tensions and trade frictions impacting market volatility, particularly in the crypto sector[6][7]. - The company is leveraging its experience in compliance operations to drive growth despite external challenges[8]. - The company is strategically positioned to leverage Hong Kong's favorable regulatory environment and its unique geographical advantages for future growth in the digital asset and fintech sectors[14]. Operational Efficiency and Cost Management - Administrative expenses for the period 2025 were approximately HKD 39.3 million, a significant decrease of about HKD 14.8 million or 27.4% from approximately HKD 54.1 million in 2024, attributed to cost management measures[39]. - Financing costs for the period 2025 were approximately HKD 0.1 million, a reduction of about HKD 4.6 million or 97.4% from approximately HKD 4.7 million in 2024[40]. - The company is focused on upgrading its custody services to provide value-added services and improve product capabilities, aiming to compete with leading custodians[70]. - The company has established operational infrastructure to support business growth, including expanding IT infrastructure and hiring experienced management personnel[61]. Employee and Management Changes - The total employee cost for the six months ended March 31, 2025, was approximately HKD 28.5 million, a decrease from HKD 33.9 million for the same period in 2024, reflecting a reduction in workforce from 86 to 75 employees[65]. - The total number of employees as of March 31, 2025, was 75, down from 86 as of September 30, 2024[65]. - The total compensation for key management personnel, including directors, was HKD 3,261,000 for the six months ended March 31, 2025, down from HKD 3,916,000 in 2024, a decrease of 16.7%[167]. Stock Options and Share Capital - The company plans to increase its authorized share capital by 200,000,000 shares, raising the total from HKD 500,000 (500,000,000 shares) to HKD 700,000 (700,000,000 shares)[20]. - The company has proposed to update the share option plan's authorized limit to 10% of the issued shares as of March 31, 2025, allowing for a total of 46,656,066 shares to be issued under the plan[19]. - The company’s authorized share capital was increased from 500,000,000 shares to 700,000,000 shares, as approved by shareholders on March 31, 2025[140]. - The total issued and paid-up share capital increased to 466,560,665 shares as of March 31, 2025, following the issuance of 157,000,000 new shares[139]. Risk Management and Compliance - The company is committed to enhancing its anti-money laundering policies and procedures to comply with relevant regulations, which may impact performance if not adhered to[64]. - The overall risk management strategy focuses on mitigating potential adverse impacts on financial performance due to unanticipated factors in financial markets[96]. - The company has not made any significant changes to its risk management policies since the fiscal year ending September 30, 2024[96]. Future Outlook and Growth Strategies - The company aims to explore innovative business models and enhance its industry ecosystem within a compliant framework, reflecting its adaptability to regulatory changes[14]. - The company is committed to providing differentiated solutions to clients, aiming to capture opportunities in the evolving digital finance landscape[14]. - The company is investing $F million in R&D for new technologies aimed at enhancing user experience and operational efficiency[187]. - Overall, the company remains optimistic about achieving its long-term growth targets, with a commitment to sustainable practices[187].

Group 1 - New Fire Technology Holdings (01611.HK) increased by 7.61% [1] - OK Blockchain Chain (01499.HK) rose by 4.17% [1] - Xiong'an Technology (01647.HK) saw a rise of 4.05% [1] Group 2 - The U.S. Senate passed the landmark GENIUS Act, advancing federal regulation efforts for stablecoins [1] - The legislation puts pressure on the House of Representatives to plan the next phase of national digital asset regulation [1]

Financial Performance - Revenue for the six months ended March 31, 2025, was HKD 3,455,679,000, representing a 427.1% increase compared to HKD 655,608,000 for the same period in 2024[2] - Gross profit decreased to HKD 10,990,000, down 65.8% from HKD 32,141,000, resulting in a gross margin of only 0.3% compared to 4.9% in the previous year[2] - The company reported a loss before tax of HKD 12,300,000, a decline of 112.4% from a profit of HKD 99,266,000 in the prior year[2] - Basic and diluted loss per share was HKD (2.64), a significant drop from earnings of HKD 21.42 per share in the same period last year[5] - The company experienced a net loss of HKD 12,300,000 for the period, compared to a profit of HKD 101,167,000 in the same period last year[6] - The company reported a net loss attributable to shareholders of HKD 12,300,000 for the six months ended March 31, 2025, compared to a profit of HKD 99,813,000 in the same period of 2024[35] - The group reported a loss before tax of approximately HKD 12.3 million for the period 2025, compared to a profit of approximately HKD 99.3 million in 2024, primarily due to a decrease in other business income by approximately HKD 16.7 million, mainly from the suspension of cryptocurrency mining services[72] Cash and Equity - Cash and cash equivalents as of March 31, 2025, were HKD 61,856,000, a slight decrease of 0.7% from HKD 62,282,000 as of September 30, 2024[2] - Total equity decreased to HKD 275,485,000, down 2.3% from HKD 281,909,000 at the end of the previous reporting period[8] - The company’s total non-current assets are located entirely in China, including Hong Kong[26] - As of March 31, 2025, the company reported trade receivables of HKD 1,705,000, a decrease of 61% from HKD 4,384,000 as of September 30, 2024[41] - The company’s trade receivables from related parties amounted to HKD 1,007,000 as of March 31, 2025, down from HKD 2,759,000 as of September 30, 2024[40] - The company’s total assets related to trade and other receivables were HKD 190,958,000 as of March 31, 2025, compared to HKD 240,685,000 as of September 30, 2024[41] - As of March 31, 2025, the group had no outstanding borrowings, maintaining a debt-to-asset ratio of 0%[82] Acquisitions and Investments - The company has entered into agreements to acquire 100% of Avenir Asset Holding Limited for $30,462,086.38 and approximately 7.69% of BitTrade Inc. for $2,769,435.22, totaling approximately $33,231,521.60[10] - Avenir Asset Holding Limited will become a wholly-owned subsidiary, and BitTrade will be an indirect subsidiary, with their financial performance consolidated into the company's financial statements[11] - The acquisition of Avenir Asset Holding Limited and BitTrade is part of the company's strategy to expand its presence in the cryptocurrency trading business[10] - The company is committed to integrating the financial results of the acquired entities into its overall financial performance[11] - The group has completed the acquisition of over 50% of the shares in the compliant exchange BitTrade, which will result in an indirect ownership of 92.31% upon completion of the acquisition[100] Revenue Sources - Cryptocurrency trading business revenue was HKD 3,437,756,000, a substantial increase from HKD 620,989,000 in the previous year[4] - Cryptocurrency trading accounted for HKD 3,437,756,000 of the total revenue, compared to HKD 620,989,000 in the previous year, indicating a growth of around 453%[27] - Revenue from the asset management services was approximately HKD 12.8 million for the 2025 period, a decrease of approximately 25.7% from HKD 17.3 million in the 2024 period[62] - Revenue from the custody services increased to approximately HKD 0.6 million in the 2025 period, up approximately 64.3% from HKD 0.4 million in the 2024 period[64] - The technology solutions business generated revenue of approximately HKD 3.7 million in the 2025 period, compared to approximately HKD 2.9 million in the 2024 period[59] Operational Changes and Strategies - The company continues to focus on expanding its services in the virtual asset ecosystem, including asset management and cryptocurrency trading[9] - The group aims to enhance its one-stop virtual asset service ecosystem, focusing on compliance exchange operations and integrating custody, asset management, and quantitative product services[99] - The group plans to expand its asset management business in Hong Kong, offering a more diversified virtual asset investment fund structure to professional investors[101] - The group has implemented a series of network controls to mitigate digital asset custody risks, including two-factor authentication and daily wallet management[93] - The group is committed to adhering to anti-money laundering regulations, with ongoing monitoring and reporting procedures in place to reduce compliance risks[95] - The group is developing a comprehensive upgrade of its one-stop virtual asset service platform to optimize user experience and facilitate seamless asset management[99] - The group has introduced various quantitative trading strategies, including Delta neutral strategies and high-frequency trading strategies, to provide clients with stable returns and risk-neutral services[101] Governance and Compliance - The company has adopted new and revised Hong Kong Financial Reporting Standards that do not have a significant impact on its financial performance and position[16] - The new Hong Kong Financial Reporting Standard No. 18 will affect the presentation of the consolidated income statement and future disclosures in the consolidated financial statements[20] - The group has adopted all applicable corporate governance code provisions as of March 31, 2025[103] - The board of directors includes non-executive director Mr. Li Lin (Chairman), executive directors Mr. Du Jun (CEO) and Ms. Zhang Li, and independent non-executive directors Mr. Yu Junjie, Mr. Ye Weiming, and Dr. Lin Jiali[107] Market Risks - The group is facing unique risks related to the rapid development of the digital asset market, including regulatory changes and market volatility, and is implementing operational infrastructure to support business growth[92] Other Financial Information - The company did not recommend the payment of an interim dividend for the six months ended March 31, 2025[33] - The company’s financing costs for the six months ended March 31, 2025, were HKD 122,000, down from HKD 4,679,000 in the previous year[28] - The company incurred a loss of HKD 4,326,000 from foreign exchange differences during the reporting period[27] - The company recognized a loss provision of HKD 10,250,000 during the six months ended March 31, 2025, compared to no loss provision in the same period last year[40] - The company completed a claim submission for FTX deposits amounting to approximately USD 18,089,000 (equivalent to about HKD 141,748,000) which has been accepted by the liquidator[37] - The company entered into a sale agreement for the claim amount at a price of approximately USD 19,500,000 (equivalent to about HKD 152,125,000) on May 24, 2024[38] - The company increased its authorized share capital from 500,000,000 shares to 700,000,000 shares with a par value of HKD 0.001 per share[42] - The company issued 157,000,000 new ordinary shares at a subscription price of HKD 2.08 per share, raising approximately HKD 324,605,000 after expenses[43] - The group recorded total revenue of approximately HKD 3,455.7 million for the six months ended March 31, 2025, an increase of approximately 427.1% or HKD 2,800.1 million compared to HKD 655.6 million for the six months ended March 31, 2024[58] - The group reported a gross profit of approximately HKD 11.0 million for the 2025 period, down from approximately HKD 32.1 million in the 2024 period[58] - Other income and gains for the 2025 period amounted to approximately HKD 6.0 million, an increase of approximately HKD 7.0 million from a net loss of approximately HKD 0.9 million in the 2024 period[69] - Administrative expenses for the 2025 period were approximately HKD 39.3 million, a significant decrease of approximately 27.4% from approximately HKD 54.1 million in the 2024 period[70] - The net cash used in operating activities for the period 2025 was approximately HKD 46.2 million, a decrease from approximately HKD 52.3 million in 2024, attributed to reduced cash used in administrative expenses and the acquisition of cryptocurrency for operational purposes[76] - The net cash from investing activities for the period 2025 was approximately HKD 41.8 million, significantly up from approximately HKD 0.7 million in 2024[77] - The net cash used in financing activities for the period 2025 was approximately HKD 0.4 million, a substantial decrease from approximately HKD 223.0 million in 2024, mainly due to lease liability repayments[79] - Major customers accounted for 37.9% of total revenue, while the top five customers represented 90.2% of total revenue for the period 2025[86] - The group has no significant contingent liabilities as of March 31, 2025, apart from those disclosed in the previous annual report[85] - The group had cash and cash equivalents of approximately HKD 61.9 million as of March 31, 2025, compared to HKD 62.3 million as of September 30, 2024[89] - The average number of ordinary shares outstanding increased slightly from 465,960,665 shares in 2024 to 466,173,190 shares in 2025[34]

Business Expansion and Acquisitions - SINOHOPE plans to acquire a majority stake in the Japanese cryptocurrency exchange BitTrade for over $33.23 million, aiming to expand its ecosystem and influence in the global cryptocurrency market[11]. - The acquisition will be settled by issuing up to 119,909,000 new shares, resulting in SINOHOPE indirectly holding 92.31% of BitTrade's shares[11]. - The company is in the process of acquiring a 7.69% stake in BitTrade for USD 2,769,435.22, which will make BitTrade an indirect subsidiary upon completion of the acquisition[37]. - A significant acquisition agreement was made for the purchase of shares in a British Virgin Islands company for a total consideration of $30,462,086.38 (approximately HKD 237,604,273.76)[36]. - The company entered into a conditional agreement to acquire BVI shares for USD 30,462,086.38 (approximately HKD 237,604,273.76)[187]. - The company also agreed to acquire approximately 7.69% of BitTrade shares for USD 2,769,435.22 (approximately HKD 21,601,594.72)[188]. Financial Performance - The company recorded total revenue from continuing operations of approximately HKD 1,569.4 million for the fiscal year ending September 30, 2024, a decrease of about 44.6% or HKD 1,264.2 million compared to HKD 2,833.6 million for the fiscal year ending September 30, 2023[40]. - The gross profit for the fiscal year 2024 was approximately HKD 44.2 million, an increase of about 325.7% or HKD 33.8 million compared to HKD 10.4 million in fiscal year 2023[40]. - The company achieved a net profit of approximately HKD 56.3 million in fiscal year 2024, compared to a net loss of approximately HKD 288.7 million in fiscal year 2023[41]. - Revenue from asset management services increased significantly to approximately HKD 25.6 million in fiscal year 2024, a rise of about 495.3% or HKD 21.3 million from HKD 4.3 million in fiscal year 2023[45]. - The total assets under management reached approximately USD 99.1 million as of the report date, up from approximately USD 81.8 million as of March 31, 2024[45]. - Revenue from the technology solutions business was approximately HKD 6.8 million in fiscal year 2024, a decrease of about 32% from HKD 10 million in fiscal year 2023[42]. - The company recorded total revenue from cryptocurrency trading business of approximately HKD 1,520.3 million, with a cost of sales of about HKD 1,511.1 million, resulting in a gross profit of approximately HKD 9.2 million, compared to a gross loss of HKD 2.7 million in fiscal year 2023[49]. - Other income for fiscal year 2024 was approximately HKD 4.8 million, a substantial increase of about HKD 11.3 million from a net loss of HKD 6.2 million in fiscal year 2023, primarily due to gains from cryptocurrency price increases[53]. - Administrative expenses decreased significantly to approximately HKD 106.2 million in fiscal year 2024, down about HKD 80.6 million or 43.1% from approximately HKD 186.8 million in fiscal year 2023[54]. - Financing costs for fiscal year 2024 were approximately HKD 4.8 million, a reduction of about HKD 10.3 million or 68.4% from approximately HKD 15.1 million in fiscal year 2023[55]. - The group achieved a profit before tax of approximately HKD 56.4 million in fiscal year 2024, a turnaround from a loss of approximately HKD 282.2 million in fiscal year 2023[56]. - The net cash used in operating activities for fiscal year 2024 was approximately HKD 10.7 million, a decrease from approximately HKD 245.2 million in fiscal year 2023[62]. - The net cash used in investing activities for fiscal year 2024 was approximately HKD 21.9 million, compared to a net cash inflow of approximately HKD 11.5 million in fiscal year 2023[63]. - As of September 30, 2024, the group had no outstanding borrowings, a significant change from HKD 467.2 million in borrowings as of September 30, 2023[67]. - The group did not declare a final dividend for fiscal year 2024, consistent with the previous year[59]. - The company declared a dividend using reserves amounting to HKD 279,452,000, which includes accumulated losses of HKD 312,895,000 and other reserves of HKD 592,347,000[178]. Regulatory and Compliance - The company upgraded the "Hong Kong VASP Licensing Guardian Program" in September 2024, significantly improving the efficiency of the licensing application process for virtual asset service providers[10]. - The company plans to focus on compliance asset management and the development of innovative MPC one-stop custody products in the upcoming fiscal year[83]. - The company aims to expand its TCSP compliant custody services, integrating virtual asset custody and trading services into a single product offering[84]. - The company has implemented measures to manage foreign currency risks through natural hedging and forward foreign exchange contracts[77]. - The company has adopted the corporate governance code as its corporate governance policy and practices, ensuring compliance with the listing rules[105]. - The board is responsible for the overall leadership direction and monitoring of the group's strategic decisions and performance[106]. - The company has established three committees to assist in fulfilling its corporate governance responsibilities[105]. - The company ensures that the roles of chairman and CEO are held by different individuals to avoid power concentration[109]. - The board's composition is reviewed annually to ensure compliance with listing rules regarding independent directors[110]. - The company has adopted a code of conduct for directors' securities trading, ensuring compliance with the standards set out in the listing rules[128]. Corporate Governance - The company has purchased adequate insurance for all directors to cover potential liabilities arising from their duties[106]. - The company secretary, Ms. Peng, was appointed on August 30, 2024, bringing over 10 years of experience in corporate governance[101]. - The board regularly reviews corporate governance practices to meet stakeholder expectations and comply with regulatory requirements[104]. - The board is committed to maintaining high standards of corporate governance and business ethics, which are crucial for improving group performance[104]. - The board consists of six members, including one non-executive director, two executive directors, and three independent non-executive directors[108]. - The company has a diversity policy in place, aiming to maintain a balanced representation, with a target to sustain the current female representation ratio[112]. - As of the fiscal year ending September 30, 2024, the company employed 86 staff members, with approximately 36% being female[117]. - The board held five meetings during the year to discuss major issues and review financial and operational performance[118]. - All independent non-executive directors have provided annual confirmations of their independence as required by listing rules[111]. - The board's diversity policy is reviewed annually by the nomination and corporate governance committee[112]. Market Environment and Trends - The external environment in 2024 is expected to be favorable for the global economy, with the Federal Reserve's interest rate cuts and increased liquidity in financial markets[6]. - The cryptocurrency market's total market capitalization has surpassed $3.9 trillion, driven by supportive policies from the newly elected U.S. president[6]. - Hong Kong's introduction of Bitcoin and Ethereum spot ETFs in 2024 is expected to boost confidence in traditional financial institutions and facilitate greater acceptance of crypto assets[7]. - Following the U.S. presidential election, Bitcoin surged past $100,000, with significant inflows into Bitcoin and Ethereum spot ETFs[15]. - The Hong Kong government aims to position the city as a global digital asset hub, enhancing its role in the Web3.0 landscape[16]. - Since the introduction of the virtual asset trading platform licensing regime in June 2023, the crypto industry in Hong Kong has seen new opportunities for growth[16]. Technology and Innovation - The company launched the MPC wallet equality feature in February 2024, enhancing transparency and usability by allowing stakeholders to have true control over funds[10]. - In April 2024, SINOHOPE released a BTC Layer2 co-custody product, facilitating multi-party custodial management of Bitcoin ecosystem assets[10]. - SINOHOPE's MPC technology addresses single-point risks associated with private key management, enhancing security for clients[10]. - The company launched a one-stop public chain ecosystem solution, providing comprehensive blockchain technology and infrastructure support to numerous leading enterprises in the Web3 ecosystem[14]. - The company will continue to innovate core custody technologies, such as distributed key derivation and threshold signatures, to enhance security and operational transparency for clients[84]. Employee and Stakeholder Relations - The company is committed to providing career development opportunities for its employees, recognizing their knowledge and skills[174]. - The company has established good relationships with its raw material suppliers and aims to enhance customer service satisfaction[174]. - The company encourages shareholders to submit written proposals regarding the group's operations, strategies, or management at shareholder meetings[152]. - The company maintains effective communication with shareholders to enhance investor relations and understanding of the group's business and performance[161]. - The group has a commitment to timely and non-selective disclosure of information to enable informed investment decisions by shareholders and investors[161]. Risk Management - The company has established an internal audit function to maintain good corporate governance and internal control systems[146]. - The board believes that the risk management and internal control systems are effective and sufficient after considering various strengthening measures[146]. - The company has implemented measures to enhance internal monitoring procedures regarding related party transactions[147]. - The finance department will continue to independently execute internal audit functions, assessing all significant aspects including legal risks and compliance controls[146].

Acquisition and Transactions - The company has announced a further delay in the issuance of the circular regarding a very significant acquisition and related transactions, now expected to be sent by January 23, 2025[3] - The unaudited pro forma financial information of the expanded group is expected to be issued by December 23, 2024[7] Compliance - All directors have confirmed full compliance with the "Standard Code for Securities Transactions" for the year ending September 30, 2024, with no exceptions reported[4]

Financial Performance - For the fiscal year ending September 30, 2024, the company reported total revenue from continuing operations of HKD 1,520,345, a decrease of 45.9% from HKD 2,810,576 in the previous year[2]. - The gross profit for the year was HKD 44,224, with a gross margin of 2.8%, reflecting a significant increase of 325.7% compared to the previous year's gross profit of HKD 10,389[2]. - The company achieved a profit before tax from continuing operations of HKD 56,379, compared to a loss of HKD 282,173 in the previous year, marking a turnaround of 120.0%[2]. - Basic earnings per share from continuing operations increased to HKD 11.66, a 113.2% improvement from a loss of HKD 88.29 per share in the previous year[2]. - The company reported a total comprehensive income of HKD 55,131, compared to a loss of HKD 266,766 in the previous year[14]. - The company reported a pre-tax profit of HKD 54,322,000 for the year 2024, compared to a loss of HKD 287,371,000 in 2023[51]. - The company recorded total revenue from continuing operations of approximately HKD 1,569.4 million for the fiscal year ending September 30, 2024, a decrease of about 44.6% or HKD 1,264.2 million compared to HKD 2,833.6 million for the fiscal year ending September 30, 2023[133]. - Gross profit for the fiscal year 2024 was approximately HKD 44.2 million, an increase of about 325.7% or HKD 33.8 million compared to HKD 10.4 million in fiscal year 2023[133]. - The group recorded a net profit after tax of approximately HKD 56.3 million for fiscal year 2024, compared to a net loss of approximately HKD 277.3 million in 2023[157]. Cash Position and Equity - The net cash position improved to HKD 62,282, a 142.4% increase from a net cash position of HKD (147,044) in the previous year[2]. - Total equity increased by 31.9% to HKD 281,909, up from HKD 213,776 in the previous year[2]. - The total equity attributable to owners of the company was HKD 281,909 thousand in 2023, compared to HKD 206,350 thousand in 2024[18]. - As of September 30, 2024, the group has no outstanding borrowings, compared to HKD 467.2 million as of September 30, 2023, resulting in an asset-to-liability ratio of approximately zero, down from 218.5% in the previous year[166]. - The group reported cash and cash equivalents of HKD 62.3 million as of September 30, 2024, a significant improvement from a net cash position of HKD (147.0) million in the previous year[174]. Revenue Sources - Cryptocurrency trading revenue was HKD 1,520,345,000, down 46.0% from HKD 2,810,576,000 in the prior year[34]. - The technology solutions business generated revenue of approximately HKD 6.8 million in fiscal year 2024, a decrease of about 32% from HKD 10 million in fiscal year 2023[136]. - Asset management services generated revenue of approximately HKD 25.6 million in fiscal year 2024, a significant increase of about 495.3% or HKD 21.3 million compared to HKD 4.3 million in fiscal year 2023[139]. - The revenue from custody services for the fiscal year 2024 was approximately HKD 1.2 million, an increase of about HKD 0.1 million or 6.8% compared to HKD 1.1 million in 2023, driven by the rise in virtual asset prices[143]. - The revenue from cryptocurrency trading business in fiscal year 2024 was approximately HKD 1,520.3 million, with a cost of sales of approximately HKD 1,511.1 million, resulting in a gross profit of about HKD 9.2 million, compared to a gross loss of approximately HKD 2.7 million in 2023[145]. Liabilities and Financial Obligations - Non-current liabilities increased to HKD 110,238 thousand in 2023 from HKD 2,148 thousand in 2024[18]. - As of September 30, 2024, the company has total liabilities of HKD 173,526,000, a significant increase from HKD 12,549,000 in the previous year[76]. - The company recognized a credit loss provision of HKD 4,800,000, a decrease from HKD 5,450,000 in 2023[58]. - The company incurred a loss of HKD 11,412,000 from discontinued operations related to contract manufacturing[45]. Corporate Actions and Governance - The company changed its name from "New Huo Technology Holdings Limited" to "Sinohope Technology Holdings Limited" on September 13, 2023[113]. - The new stock abbreviation will change from "NEW HUO TECH" to "SINOHOPE TECH" effective October 16, 2023[114]. - The company issued 157,000,000 new shares at a subscription price of HKD 2.08 per share as part of two subscription agreements[111]. - The company did not purchase, redeem, or sell any of its listed securities during the fiscal year 2024[190]. - The audit committee has reviewed the accounting principles and practices adopted by the group, discussing audit and financial reporting matters[191]. Future Outlook and Strategic Plans - The company plans to expand its cryptocurrency trading business, which has shown significant growth potential[2]. - Future guidance indicates a cautious outlook, with expectations of continued volatility in the cryptocurrency market impacting revenue[2]. - The group plans to focus on compliance asset management, innovative development of one-stop custody products, and expansion of compliant virtual asset exchanges in 2025[182]. - By 2025, the group aims to introduce new virtual asset-related products for professional investors, including VA funds, Bitcoin and Ethereum ETFs, and structured VA products[183]. - The acquisition of BitTrade is expected to enhance the group's market position and facilitate expansion into the compliance business in Japan and other regions, strengthening its competitiveness in the cryptocurrency sector[185]. Legal Matters - The company is currently involved in three lawsuits related to online fraud in the UK, with potential liabilities amounting to approximately HKD 66,057,000[104][105][107]. - A lawsuit in the US seeks to recover approximately HKD 250,756,000 related to transactions with FTX Trading Limited[108].