Financial Performance - The group recorded revenue of approximately MOP 140.6 million for the year ended December 31, 2023, a decrease of about MOP 14.4 million or approximately 9.3% compared to the previous year [9] - The gross profit for the year was approximately MOP 8.1 million [9] - The available distributable reserves as of December 31, 2023, amounted to MOP 33.8 million, down from MOP 37.3 million in 2022 [22] - No final dividend was recommended for the year ended December 31, 2023, consistent with the previous year [21] Business Development and Strategy - The company announced a purchase agreement on March 14, 2024, to acquire a Hong Kong-registered company holding licenses for securities advisory and asset management, which is expected to diversify the business portfolio [10] - The company aims to actively seek new business opportunities in various sectors, including financial services, through mergers and acquisitions and partnerships with globally recognized firms [11] - The group is focused on expanding its global business market and seizing opportunities in the Greater Bay Area and other regions [10] - The group is optimistic about the recovery of the tourism and gaming sectors in Macau, driven by the reopening of borders and relaxation of COVID-19 control measures in mainland China [10] Stock Options and Equity - The company has a total of 60,000,000 shares available for issuance under the stock option plan, which represents 10% of the total issued shares [40] - As of December 31, 2023, there are 3,000,000 stock options granted under the plan, with an exercise price of HK$0.67 per share [45] - The maximum number of shares that can be issued upon the exercise of stock options under the plan is capped at 30% of the total issued shares [40] - The stock option plan is valid for a period of ten years from its adoption date unless terminated earlier by the shareholders or the board [34] - No stock options were granted, exercised, canceled, or lapsed during the year ending December 31, 2023 [40] - The fair value of the stock options granted by the company was determined to be HKD 264,000 (approximately MOP 272,000) using a binomial option pricing model [47] - The company recognized equity-settled share-based payment of approximately MOP 20,000 for the year ending December 31, 2023, compared to MOP 235,000 in 2022 [47] Corporate Governance - The group is committed to high standards of corporate governance, adhering to the principles of the Corporate Governance Code [99] - The board consists of eight members, including five executive directors and three independent non-executive directors [106] - The board's diversity policy considers various factors, including gender, age, cultural background, and industry experience, to ensure a well-rounded board composition [115] - The company has established mechanisms to ensure independent opinions are obtained during board decision-making processes [110] - The audit committee, consisting of three independent non-executive directors, has reviewed and approved the audited consolidated financial statements for the year ending December 31, 2023 [139] Risk Management - The group has adopted a three-tier risk management approach to identify, assess, and manage various risks [157] - The board and audit committee reported that the risk management and internal control systems are effective and adequate as of December 31, 2023 [158] - An internal control officer has been hired, and an independent third-party internal control consultant is engaged annually to review the internal control system [157] Environmental, Social, and Governance (ESG) - The group emphasizes sustainable growth in financial and environmental, social, and governance (ESG) aspects, balancing business development with ESG management [103] - The company emphasizes its commitment to environmental, social, and governance (ESG) principles, integrating them into its operational processes [184] - The report adheres to the ESG reporting guidelines set by the Hong Kong Stock Exchange, ensuring transparency and consistency in data presentation [186] - The company has established a clear governance framework for ESG, detailing the roles and responsibilities of the board and key management personnel [195] Shareholder Relations - The company is committed to maintaining effective communication with shareholders to enhance investor relations and understanding of business performance and strategies [177] - The company has established a process for shareholders to request special general meetings to address specified matters [172] - The company will present independent resolutions at the shareholders' meeting for significant issues, including the election of individual directors [171]

Financial Performance - The company's revenue for the year ended December 31, 2023, was MOP 140,580,000, a decrease of 9.5% compared to MOP 155,013,000 in 2022[7] - Gross profit for the year was MOP 8,092,000, down 76.0% from MOP 33,822,000 in the previous year[7] - The company reported a loss before tax of MOP 15,991,000, compared to a profit of MOP 9,400,000 in 2022[7] - The net loss attributable to owners of the company was MOP 10,281,000, compared to a profit of MOP 15,382,000 in the previous year[9] - Total revenue for the group in 2023 was MOP 140,580,000, a decrease of 9.4% from MOP 155,013,000 in 2022[20] - Revenue from renovation contracts was MOP 90,756,000 in 2023, down 41.2% from MOP 154,109,000 in 2022[20] - Revenue from structural engineering contracts was MOP 49,794,000 in 2023, with no revenue reported in 2022[20] - The group reported a pre-tax loss of MOP 15,991,000 in 2023, compared to a pre-tax profit of MOP 9,400,000 in 2022[23][25] - The company reported a loss attributable to shareholders of MOP 10,281,000 in 2023, compared to a profit of MOP 15,382,000 in 2022[34] - Total revenue for 2023 was approximately MOP 140.6 million, a decrease of MOP 14.4 million or 9.3% from 2022[41] - Gross profit for 2023 was approximately MOP 8.1 million, down from MOP 33.8 million in the previous year[41] - The company reported a loss of approximately MOP 15.8 million for the year ended December 31, 2023, compared to a profit of approximately MOP 9.8 million for the year ended December 31, 2022[55] Assets and Liabilities - Total assets decreased to MOP 228,780,000 from MOP 278,767,000 in 2022, reflecting a decline of 17.9%[11] - Current liabilities decreased slightly to MOP 125,210,000 from MOP 126,512,000 in the previous year[11] - The company's net asset value as of December 31, 2023, was MOP 187,238,000, down from MOP 202,085,000 in 2022[11] - Trade receivables (net of loss provisions) decreased to MOP 12,564,000 in 2023 from MOP 17,072,000 in 2022[35] - Trade and other payables totaled MOP 99,001,000 in 2023, down from MOP 126,130,000 in 2022[38] - The current ratio decreased to 1.8 times as of December 31, 2023, down from 2.2 times in 2022[59] Expenses and Costs - Administrative expenses rose to MOP 28,093,000 in 2023, compared to MOP 22,177,000 in 2022[23][25] - The group recognized a loss provision of MOP 1,578,000 for loss-making contracts in 2023, compared to MOP 41,000 in 2022[32] - The group’s total employee costs decreased to MOP 19,004,000 in 2023 from MOP 26,500,000 in 2022[32] - Administrative expenses increased by approximately MOP 5.9 million to about MOP 28.1 million, primarily due to the expansion in the Chinese market[53] - As of December 31, 2023, the total employee cost was approximately MOP 19.0 million, a decrease from MOP 26.5 million in 2022, reflecting strict cost control measures[67] Business Strategy and Operations - The company plans to continue focusing on construction services and air purification systems as part of its business strategy moving forward[12] - The company plans to expand its construction business into the Greater Bay Area of China, anticipating increased demand for infrastructure development[42] - The company announced a strategic acquisition of a Hong Kong-based company holding licenses for securities advisory and asset management, aiming to diversify revenue sources[43] - The company will cease operations in the air purification product business due to declining demand post-COVID-19[44] - Air purification business revenue decreased by approximately MOP 0.9 million or 96.7% due to reduced demand for air purification devices/systems[46] - The company completed four renovation projects and two structural projects in 2023, with a total contract value of approximately MOP 200.3 million[41] - The revenue from renovation projects decreased by MOP 63.4 million or 41.1% in 2023, while revenue from structural projects increased by MOP 49.8 million or 100% due to market expansion in China[45] Governance and Compliance - The audit committee reviewed the consolidated financial statements for the year ended December 31, 2023, confirming compliance with applicable accounting standards and listing rules[79] - The company has adhered to all relevant laws and regulations in Macau, Hong Kong, and China during the year[68] - The company has implemented a governance code in compliance with the listing rules, ensuring adherence to all mandatory disclosure requirements[73] Shareholder Information - The group did not declare or propose any dividends for both 2023 and 2022[33] - The company did not recommend any final dividend for the year ended December 31, 2023, consistent with the previous year[81] - The company will suspend the registration of share transfers from June 13, 2024, to June 18, 2024, inclusive[83] - Shareholders must ensure that all transfer documents are submitted by June 12, 2024, at 4:30 PM to be eligible to attend the annual general meeting[83] - The registration will be handled by the company's Hong Kong share transfer agent, BDO Limited[83] - The address for document submission is Room 2103B, 21/F, 148 Electric Road, North Point, Hong Kong[83] - No share transfer registrations will be processed during the suspension period[83] - The company emphasizes the importance of timely submission for voting eligibility at the annual general meeting[83] - The annual general meeting is scheduled for June 13, 2024[83] - The suspension period includes the first and last days of the registration process[83] - The company aims to ensure a smooth process for shareholders during the registration suspension[83] - All unregistered shareholders are advised to act promptly to secure their voting rights[83] Risks - Major risks include significant fluctuations in construction material and labor costs, which could severely impact operational performance and financial results[69]

Revenue and Profitability - For the six months ended June 30, 2023, the company's revenue was approximately MOP 77.1 million, a decrease of about MOP 20.9 million or 21.4% compared to the same period last year[7]. - The company recorded a gross profit of MOP 0.6 million for the first half of 2023, down from MOP 2.3 million in the same period of 2022[7]. - Revenue from renovation projects decreased by approximately MOP 53.9 million or 55.5%, primarily due to most projects being completed in 2022[15]. - Revenue from structural engineering projects increased by approximately MOP 33.8 million or 100%, offsetting some losses from renovation projects[15]. - The group's gross profit decreased by approximately MOP 1.8 million or 75.9% compared to the same period last year[18]. - The gross profit margin for renovation projects was 0.7% in the first half of 2023, down from 1.9% in the same period of 2022[16]. - The company reported a loss before tax of MOP 10,258,000, an improvement of 15.2% compared to a loss of MOP 12,108,000 in the previous year[74]. - Total comprehensive loss for the period was MOP 10,911,000, compared to MOP 12,108,000 in 2022, indicating a reduction of 9.9%[74]. - The loss for the six months ended June 30, 2023, was approximately MOP 10.3 million, compared to a loss of MOP 12.1 million in the same period last year[26]. - The loss attributable to the owners of the company for the first half of 2023 was MOP 7,140,000, compared to MOP 7,622,000 in the same period of 2022[112]. Cash Flow and Financial Position - As of June 30, 2023, the total cash and bank balances (excluding bank overdrafts) were approximately MOP 191.8 million, down from MOP 213.4 million as of December 31, 2022[29]. - The group had a bank overdraft of approximately MOP 17 million as of June 30, 2023, compared to none as of December 31, 2022[29]. - Net cash used in operating activities for the six months ended June 30, 2023, was MOP -32,708,000, compared to MOP 50,407,000 in the same period of 2022[79]. - The net decrease in cash and cash equivalents for the six months ended June 30, 2023, was MOP -17,859,000, compared to an increase of MOP 34,164,000 in the same period of 2022[79]. - Cash and cash equivalents at the end of the period were MOP 25,158,000, down from MOP 149,214,000 at the end of June 30, 2022[79]. - Current assets decreased to MOP 269,079,000 from MOP 278,767,000, reflecting a decline of 3.5%[75]. - Current liabilities were reported at MOP 129,612,000, slightly up from MOP 126,512,000 in the previous year[75]. - Net assets decreased to MOP 191,194,000 from MOP 202,085,000, a decline of 5.4%[75]. - Total assets as of June 30, 2023, were MOP 321,754,000, a slight decrease from MOP 328,597,000 as of December 31, 2022[152]. - Total liabilities increased to MOP 130,560,000 as of June 30, 2023, compared to MOP 126,512,000 at the end of 2022[152]. Business Operations and Strategy - The company has 24 ongoing projects as of June 30, 2023, including 4 structural engineering projects and 20 renovation projects[7]. - The company plans to explore opportunities in asset management and investment advisory services to diversify revenue sources[12]. - The company aims to expand its business network and customer base in Macau and mainland China[8]. - The company is engaged in providing construction services, including structural engineering and renovation works, and sales of air purification devices/systems[89]. - The company expects to recognize revenue from unfulfilled contracts in renovation and structural engineering for the fiscal years ending December 31, 2023, and December 31, 2024[94]. Employee and Management Information - The group had 68 full-time employees as of June 30, 2023, an increase from 56 employees as of December 31, 2022, due to market expansion in China[38]. - The company reported a total management compensation of MOP 3,040,000 for the six months ended June 30, 2023, compared to MOP 3,392,000 for the same period in 2022[145]. - The company’s success is largely dependent on the ability to attract and retain key management and technical personnel[43]. Risks and Challenges - Major risks include significant fluctuations in construction material and labor costs, which could severely impact operational performance and financial results[43]. - The company relies heavily on subcontractors, and poor performance or inability to provide services from them may negatively affect operations and profitability[43]. - The company faces uncertainties due to geopolitical tensions between the US and the EU, impacting global economic conditions[43]. Shareholder and Corporate Governance - As of June 30, 2023, major shareholders include Mr. Liu, holding 390 million shares (65%), and Mr. Ye, holding 60 million shares (10%)[49]. - The company has adopted a share option scheme effective from September 10, 2018, aimed at incentivizing eligible participants contributing to the group[56]. - The company has complied with all applicable corporate governance code provisions during the six months ended June 30, 2023[62]. - The audit committee, established on August 17, 2018, oversees the integrity of financial statements and the appointment of external auditors[67]. Acquisitions and Investments - The company completed the acquisition of 100% of the issued share capital of Jin Ying for a cash consideration of RMB 10,000,000 (approximately MOP 11,982,000) on January 16, 2023[138]. - The net cash outflow for the acquisition of Jin Ying was MOP 8,737,000 after accounting for cash and cash equivalents acquired[142]. - The acquisition of Jin Ying is expected to supplement the company's construction business in China[138]. - The company has an obligation to invest RMB 40,000,000 (approximately MOP 44,460,000) in Jin Ying as of June 30, 2023[150]. Other Financial Information - Other income increased to approximately MOP 4.1 million, primarily due to bank interest income of about MOP 3.5 million, up from MOP 3.0 million in the previous period[21]. - Impairment losses decreased by MOP 3.3 million or 56.8% due to the settlement of older receivables during the review period[24]. - Administrative expenses increased by approximately MOP 0.9 million to MOP 12.6 million, attributed to the expansion in the Chinese market[25]. - The company recognized impairment losses of MOP 6,529,000 for the six months ended June 30, 2023, slightly higher than MOP 6,303,000 in the same period last year[122].

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，概不會就本公告全部或任何部分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。 AB BUILDERS GROUP LIMITED 奧 邦 建 築 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） （股份代號：01615） 截至二零二三年六月三十日止六個月 中期業績公告 奧邦建築集團有限公司（「本公司」）董事會（「董事會」）謹此公告本公司及其附屬公 司截至二零二三年六月三十日止六個月之未經審核中期業績。本公告符合香港聯 合交易所有限公司證券上市規則有關隨附初步中期業績公告的資料之相關規定。 刊載中期業績公告及中期報告 此業績公告可在香港聯合交易所有限公司網站(www.hkexnews.hk)及本公司網站 (www.abbuildersgroup.com)閱覽。 本公司二零二三年中期報告將於適當時候寄發予股東並在本公司及香港聯合交易 所有限公司網站刊載。 承董事會命 奧邦建築集團有限公司 主席兼執行董事 劉朝盛先生 ...

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，概不會就本公告全部或任何部分內容而產生或 因倚賴該等內容而引致之任何損失承擔任何責任。 AB BUILDERS GROUP LIMITED 奧 邦 建 築 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） （股份代號：01615） 有關截至二零二二年十二月三十一日止年度年報 的補充公告 茲提述奧邦建築集團有限公司（「本公司」，連同其附屬公司統稱「本集團」）於 二零二三年四月二十七日刊發的截至二零二二年十二月三十一日止年度的年 報（「二零二二年年報」）。除另有界定者外，否則本公告所用詞彙與二零二二年 年報所界定者具有相同涵義。 有關所得款項用途的二零二二年年報的補充資料 除二零二二年年報第83頁管理層討論及分析「所得款項用途」一節所披露的資 料外，董事會謹此根據上市規則附錄16第11(8)及11A段提供有關該節項下所得 款項用途的進一步資料如下： 誠如二零二二年年報所披露，截至二零二二年十二月三十一日，分配至潛在合 併及收購的所得款項淨額約6.1百萬港元尚未獲動用。未動用所得款項淨額 ...

Financial Performance - The company recorded revenue of approximately MOP 155.0 million for the year ended December 31, 2022, a decrease of about MOP 198.1 million or approximately 56.1% compared to the same period in 2021[6]. - The gross profit for the year ended December 31, 2022, was approximately MOP 33.8 million[6]. - As of December 31, 2022, the company's distributable reserves amounted to MOP 37.3 million, down from MOP 62.4 million in 2021[16]. - The company did not recommend any final dividend for the year ended December 31, 2022, consistent with the previous year[15]. - The company is actively seeking to increase revenue and promote long-term development despite ongoing challenges in the global economy[6]. Business Strategy and Outlook - The company maintains a cautiously optimistic outlook for the industry, anticipating gradual recovery in global markets as COVID-19 control measures ease[7]. - The company plans to strategically expand its construction business globally, particularly in the Guangdong-Hong Kong-Macao Greater Bay Area and other regions[7]. - The company aims to seek new business opportunities through mergers and acquisitions and collaborations with globally recognized enterprises[7]. - The company continues to implement strict cost control measures to mitigate adverse impacts on ongoing projects due to global economic instability[7]. Shareholder Information - The net proceeds from the listing on September 10, 2018, were approximately HKD 61.2 million, with specific usage details provided in the annual report[18]. - The company did not purchase, sell, or redeem any shares during the year ended December 31, 2022[65]. - Shareholders holding at least 10% of the paid-up capital have the right to request the board to convene a special general meeting[153]. Corporate Governance - The board consists of eight members, including five executive directors and three independent non-executive directors[87]. - The chairman and CEO roles are separated, with Mr. Liu Chao Sheng as chairman and Ms. Liu Qiu Yu as CEO, ensuring effective governance[102]. - The board is responsible for guiding and monitoring the company’s affairs, ensuring effective internal controls and risk management systems[109]. - The company has maintained directors and officers liability insurance throughout the year to provide adequate protection against legal claims[47]. - The board confirmed that there were no related party transactions that fell under the definition of connected transactions as per the listing rules[70]. Risk Management - The company has adopted a three-tier risk management approach to identify, assess, and manage various risks, with business units responsible for the first line of defense[138]. - The board is aware of its responsibilities regarding the effectiveness of risk management and internal control systems, which aim to manage risks to business objectives[135]. - The company has established a risk management framework that includes the identification and assessment of internal and external issues affecting daily operations[181]. Environmental, Social, and Governance (ESG) - The company integrates environmental, social, and governance (ESG) principles into its operations, aiming to build lasting relationships with stakeholders and the community[163]. - The board is responsible for overseeing the company's ESG management, identifying opportunities and risks, and ensuring effective risk management and internal controls[176]. - The company has committed to enhancing employee welfare, service quality, and community engagement as part of its sustainable development goals[169]. - The company has identified significant environmental, social, and governance (ESG) risks, including pandemic risks and climate-related risks, and has implemented measures to mitigate these impacts[182]. Employee and Board Diversity - Approximately 70% of the company's employees are male, while about 30% are female, reflecting the company's commitment to gender diversity[98]. - The company aims to include at least one female director to avoid gender homogeneity on the board[95]. - The board diversity policy considers various factors, including gender, age, cultural background, and industry experience[95]. - The company emphasizes employee development and welfare, addressing labor-related issues such as occupational health and safety[200]. Compliance and Regulations - The group has maintained compliance with relevant laws and regulations that significantly impact its business operations throughout the year[74]. - The company has not identified any violations of applicable laws and regulations in 2022[200]. - The company has established a clear governance framework for ESG, detailing the roles and responsibilities of the board and key management personnel[173].

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，概不會就本公告全部或任何部分內容 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。 AB BUILDERS GROUP LIMITED 奧 邦 建 築 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） （股份代號：01615） 截至二零二二年十二月三十一日止年度 全年業績公告 奧邦建築集團有限公司（「本公司」）董事會（「董事會」）謹此公告本公司及其附屬 公司截至二零二二年十二月三十一日止年度之經審核全年業績。本公告符合香 港聯合交易所有限公司證券上市規則有關隨附初步全年業績公告的資料之相關 規定。 刊載全年業績公告及年報 此業績公告可在香港聯合交易所有限公司網站(www.hkexnews.hk)及本公司網站 (www.abbuildersgroup.com)閱覽。 本公司二零二二年年報將於適當時候寄發予股東並在本公司及香港聯合交易所 有限公司網站刊載。 承董事會命 奧邦建築集團有限公司 ...

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，概不會就本公告全部或任何部分內容而產生或 因倚賴該等內容而引致之任何損失承擔任何責任。 AB BUILDERS GROUP LIMITED 奧邦建築集團有限公司 （股份代號：01615） （於開曼群島註冊成立之有限公司） 有關截至二零二一年十二月三十一日止年度年報 的補充公告 茲提述奧邦建築集團有限公司（「本公司」，連同其附屬公司統稱「本集團」）於 二零二二年四月二十八日刊發的截至二零二一年十二月三十一日止年度的年 報（「二零二一年年報」）。除非文義另有所指外，否則本公告所用詞彙與二零 二一年年報所界定者具有相同涵義。 有關所得款項用途的二零二一年年報的補充資料 除二零二一年年報第41頁管理層討論及分析「所得款項用途」一節所披露的資 料外，董事會謹此根據上市規則附錄16第11(8)段提供有關該節項下所得款項淨 額用途的進一步資料如下： – 1 – （百萬港元） | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------| ...

Financial Performance - The company's revenue for the six months ended June 30, 2022, was approximately MOP 98.0 million, a decrease of about MOP 32.1 million or 24.7% compared to the same period last year[9]. - The gross profit for the first half of 2022 was MOP 2.3 million, down from MOP 2.7 million in the same period of 2021[9]. - For the six months ended June 30, 2022, the group's gross profit decreased by approximately MOP 0.4 million or 13.4% compared to the same period last year[17]. - The group reported a total loss of MOP 12,108,000 for the six months ended June 30, 2022, compared to a loss of MOP 13,452,000 in the prior year, indicating an improvement of 10.0%[86]. - Basic loss per share was MOP 0.01 for the six months ended June 30, 2022, compared to MOP 0.02 in the same period of 2021[86]. - The company reported other income of MOP 3,028,000 for the six months ended June 30, 2022, significantly higher than MOP 998,000 in the same period of 2021[86]. - The group incurred an administrative expense of MOP 11,656,000, contributing to a loss before tax of MOP 12,108,000 for the six months ended June 30, 2022[116]. - The loss attributable to the owners of the company for the six months ended June 30, 2022, was MOP 7,622,000, compared to a loss of MOP 11,813,000 in the same period of 2021[128]. Revenue Breakdown - Revenue for the six months ended June 30, 2022, was MOP 98,041,000, a decrease of 24.7% from MOP 130,154,000 in the same period of 2021[107]. - Revenue from renovation contracts was MOP 97,162,000, a decrease of 21.6% compared to MOP 123,798,000 in the prior year[107]. - The revenue from renovation projects decreased by approximately MOP 26.6 million or 21.5%, primarily due to fewer awarded projects in 2022[14]. - The revenue from air purification business increased by approximately MOP 0.7 million or 357.8%, driven by increased demand for air purification devices/systems[15]. - The external customer revenue from Macau was MOP 82,894,000, a decrease from MOP 96,219,000 in the previous year[121]. Cash Flow and Financial Position - As of June 30, 2022, the group's cash and bank balances totaled approximately MOP 215.5 million, an increase of about MOP 34.2 million from MOP 181.3 million as of December 31, 2021[30]. - The total cash balance at the end of the period was MOP 149,214,000, up from MOP 71,424,000 at the end of the previous year[93]. - The company’s cash and cash equivalents increased to MOP 149,214,000 as of June 30, 2022, from MOP 115,050,000 as of December 31, 2021, an increase of 29.6%[88]. - Net cash generated from operating activities was MOP 50,407,000, a significant improvement from MOP -11,988,000 in the previous year[93]. - Current assets decreased to MOP 301,438,000 as of June 30, 2022, from MOP 328,288,000 as of December 31, 2021, a decline of 8.2%[88]. - Total liabilities as of June 30, 2022, were MOP 160,156,000, compared to MOP 175,834,000 as of December 31, 2021, reflecting a decrease of 8.9%[88]. - Net assets as of June 30, 2022, were MOP 180,125,000, down from MOP 192,056,000 as of December 31, 2021, a decline of 6.2%[88]. Operational Insights - The company was awarded 2 renovation projects during the review period, with a total contract value of approximately MOP 5.6 million[9]. - The company has 25 ongoing projects as of June 30, 2022, including 3 structural engineering projects and 22 renovation projects[9]. - Significant fluctuations in construction materials and labor costs may lead to cost overruns, severely impacting operational and financial performance[44]. - The company relies heavily on subcontractors for project completion, and poor performance from these subcontractors may negatively impact operations and profitability[44]. - The ability to attract and retain key management and technical personnel is crucial for the company's success[44]. Strategic Plans and Market Outlook - The company aims to expand its business network and customer base in Macau, Hong Kong, and mainland China[10]. - The board remains cautiously optimistic about the development of the construction industry and the company's long-term growth[11]. - The company plans to actively seek new business opportunities in the Greater Bay Area through mergers and collaborations with well-known enterprises[11]. - The ongoing COVID-19 pandemic and geopolitical tensions have created uncertainty in the global economy, affecting project cash flows and inventory levels[44]. Share-Based Payments and Governance - The stock option plan adopted on August 17, 2018, aims to incentivize qualified participants contributing to the group[60]. - The company granted 3,000,000 stock options to its investment president at an exercise price of HKD 0.272 and HKD 0.670, with the options exercisable in three tranches from May 29, 2022, to November 29, 2023, and expiring on August 16, 2028[62]. - The fair value of the stock options at the grant date was determined to be HKD 264,000, equivalent to approximately MOP 272,000, using a binomial option pricing model[70]. - The company recognized a share-based payment expense of approximately MOP 177,000 related to the stock options granted[70]. - The company has complied with all applicable corporate governance codes as of June 30, 2022[71].

Financial Performance - The company recorded revenue of approximately MOP 353.1 million, representing a significant increase of 78.7% compared to the previous year[16]. - Gross profit for the year was approximately MOP 17.2 million, with a substantial reduction in loss attributable to shareholders amounting to MOP 44.2 million[16]. - The gross profit for the year ended December 31, 2021, was approximately MOP 17.2 million, compared to a gross loss of approximately MOP 16.9 million in 2020[178]. - Renovation projects contributed MOP 344.1 million or 97.4% to total revenue in 2021, while structural engineering projects contributed MOP 8.5 million or 2.4%[176]. - The gross profit margin for renovation projects was 4.9% in 2021, a significant improvement from a gross loss margin of 9.4% in 2020[179]. - The group faced currency risk primarily from procurement of raw materials and sales receipts in currencies other than its functional currency, mainly HKD and RMB[196]. - The group had a total of 136 full-time employees as of December 31, 2021, down from 146 employees the previous year, due to strict cost control measures[197]. Business Strategy and Opportunities - The company plans to continue strict cost control measures to mitigate adverse impacts on ongoing projects due to global economic instability[17]. - The company is actively seeking new business opportunities in the Guangdong-Hong Kong-Macao Greater Bay Area to enhance its competitive strength[17]. - The company plans to continue actively participating in government and private project tenders to expand its business network and customer base in Macau and mainland China[174]. - The company is strategically expanding its construction business into the Guangdong-Hong Kong-Macau Greater Bay Area, enhancing its competitiveness[174]. - The company remains cautiously optimistic about the industry outlook, anticipating gradual stabilization of the Macau economy in 2022[17]. - The company will maintain strict cost control measures to ensure stable development in a challenging market environment[174]. Shareholder Information - As of December 31, 2021, Mr. Liu holds 390,000,000 shares, representing a 65% stake in the company[62]. - Mr. Ye holds 60,000,000 shares, which accounts for a 10% ownership in the company[62]. - Laos International Holdings Limited, owned by Mr. Liu, holds 255,000,000 shares, equating to a 42.5% stake[66]. - WHM Holdings Limited, owned by Mrs. Liu, holds 135,000,000 shares, representing a 22.5% stake[66]. - The company did not recommend any final dividend for the year ended December 31, 2021, consistent with the previous year[27]. - The company ensures that all resolutions presented at shareholder meetings are voted on, with results published on the company's and stock exchange's websites[164]. - Shareholders holding at least 10% of the paid-up capital have the right to request a special general meeting to address specified matters[165]. - The company maintains a contact point for shareholders to raise inquiries, ensuring transparency and communication[166]. Corporate Governance - The board of directors consists of eight members, including five executive directors and three independent non-executive directors[101]. - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange's listing rules and has complied with applicable provisions during the reporting period[97]. - The company has maintained compliance with the main board listing rules, ensuring at least three independent non-executive directors, constituting over one-third of the board[113]. - The chairman and CEO roles are separated, with Liu Chaosheng as chairman and Liu Qiuyu as CEO, focusing on business development and daily management[110]. - Independent non-executive directors confirmed their independence annually, and all were deemed independent by the company[113]. - The company has established three committees (Audit, Remuneration, and Nomination) to oversee specific matters, with most members being independent non-executive directors[123]. - The Remuneration Committee, also established on August 17, 2018, consists of three members, with all members attending 3 out of 3 meetings in 2021, ensuring no director determines their own remuneration[128][130]. - The Nomination Committee, formed on August 17, 2018, is responsible for reviewing the board's structure and diversity, with its members attending meetings with a record of 2 out of 2 for the chairman[141][142]. Risk Management and Compliance - The company emphasizes the importance of risk management and internal control systems, which are designed to manage risks associated with achieving business objectives[144]. - The Audit Committee assists the board in overseeing the design, implementation, and monitoring of risk management and internal control systems[145]. - The company has adopted a three-tier risk management approach to identify, assess, and manage various risks, ensuring that risks remain within acceptable limits[147]. - The board and audit committee have reported the effectiveness of the risk management and internal control systems, deeming them sufficient without any significant concerns affecting shareholders[148]. - The company has implemented monitoring procedures to strictly prohibit unauthorized access and use of insider information[149]. - The company has maintained compliance with relevant laws and regulations that significantly impact its business operations throughout the year[89]. - The company has not received any environmental violation notices related to its operations or those of its subcontractors during the reporting period[84]. Internal Controls and Auditing - The company has engaged an independent third-party internal control consultant to review its internal control systems annually, with no significant deficiencies identified during the review period[147]. - The external auditor's fee for the fiscal year ending December 31, 2021, was HKD 550,000, with additional fees of HKD 150,000 and HKD 50,000 for non-audit services and Macau income tax services, respectively[158]. - The Audit Committee was established on August 17, 2018, and held three meetings in 2021, reviewing and approving the audited consolidated financial statements for the year ended December 31, 2020, and the unaudited consolidated financial statements for the period ended June 30, 2021[124]. Employee and Administrative Information - Employee costs totaled approximately MOP 37.3 million for the year ended December 31, 2021, compared to MOP 40.1 million for the previous year[197]. - Administrative expenses decreased from MOP 31.4 million to MOP 28.5 million, a reduction of approximately MOP 2.9 million due to tightened cost control amid economic uncertainty[183]. - The group had no significant investments, acquisitions, or disposals during the year ended December 31, 2021[195]. - The group has no significant capital commitments as of December 31, 2021[194].