Financial Performance - The group's revenue for the period was approximately HKD 1,045,300,000, a decrease of 2.9% compared to HKD 1,077,000,000 in the corresponding period[23]. - Diesel sales generated revenue of approximately HKD 959,000,000, accounting for 91.7% of total revenue, with sales volume increasing by 6.9% to 234,800,000 liters[24]. - Lubricant sales revenue increased by 44.4% to approximately HKD 55,500,000, representing 5.3% of total revenue[25]. - The group's gross profit rose by 3.3% to approximately HKD 46,900,000, with a slight increase in gross margin from 4.2% to 4.5%[30]. - Profit for the period decreased by 11.0% to approximately HKD 16,000,000, with a net profit margin decline from 1.7% to 1.5%[37]. - The sales cost for the period was approximately HKD 998,400,000, a decrease of 3.2% compared to the previous period[29]. Market and Operational Challenges - Despite the challenges posed by COVID-19, the company remains committed to capturing opportunities, particularly in supporting national key engineering projects that stimulate significant demand for oil products[18]. - The company acknowledges the impact of COVID-19 on local business activities, leading to a decrease in market demand for petrochemical products[15]. - The company is closely monitoring the effects of COVID-19 and will regularly review its operations, organizational structure, and financial status[15]. - The company has faced challenges due to social unrest and the COVID-19 pandemic but remains confident in its ability to navigate these difficulties[13]. - The international oil price remains uncertain, but the stable oil prices in the Hong Kong market have provided favorable conditions, reducing business costs and creating potential profit margins[14]. Corporate Governance - The company has adopted the corporate governance code as the basis for its governance practices, ensuring shareholder interests and enhancing transparency[74]. - The board believes that the company has complied with all applicable code provisions during the reporting period[75]. - The company has established specific inquiries for all directors and relevant employees to ensure compliance with the securities trading standards[76]. - The company has a strong focus on internal control policies and overall corporate management strategies[56]. - The board is collectively responsible for guiding and supervising the company's affairs to promote its success[89]. Board Composition and Diversity - The board consists of nine directors, including five executive directors, one non-executive director, and three independent non-executive directors as of March 31, 2020[80]. - The board includes two female directors, contributing to diversity in gender, age, culture, education background, professional experience, skills, and knowledge[109]. - The company has adopted a board diversity policy aimed at maintaining a balanced and suitable diversity perspective related to business growth[106]. - The Nomination Committee is responsible for evaluating the independence of independent non-executive directors and identifying qualified candidates for board membership[105]. - The company recognizes the benefits of board diversity and considers it a key factor in maintaining competitive advantage[106]. Financial Position and Liquidity - As of March 31, 2020, the group's current assets amounted to approximately HKD 130.3 million, an increase from HKD 118 million as of March 31, 2019, representing a growth of about 10.3%[45]. - The group's current liabilities were approximately HKD 39.4 million as of March 31, 2020, compared to HKD 23.1 million as of March 31, 2019, indicating an increase of approximately 70.5%[45]. - The current ratio as of March 31, 2020, was 3.3, down from 5.1 as of March 31, 2019, reflecting a decrease of about 35.3%[45]. - The debt-to-equity ratio as of March 31, 2020, was 18.5%, up from 8.0% as of March 31, 2019, indicating an increase of 131.3%[45]. - The group recorded a net current asset value of approximately HKD 90.9 million as of March 31, 2020, down from HKD 94.9 million as of March 31, 2019, a decrease of about 4.2%[44]. Shareholder Communication and Policies - The company maintains communication with shareholders through various channels and has established a shareholder communication policy[137]. - The company will present individual resolutions for each independent matter at the shareholders' meeting to safeguard shareholder interests[139]. - Shareholders can request a special general meeting if they hold at least 10% of the paid-up capital[140]. - The company has a policy for responding to shareholder inquiries and encourages detailed contact information for timely responses[145]. - The company has adopted a dividend policy without a predetermined payout ratio, subject to financial conditions and board recommendations[147]. Management and Executive Team - The company appointed Ms. Xu Yingwen as Executive Director on June 23, 2017, with five years of experience in business management[56]. - Mr. Jiang Wenhao was appointed as Executive Director on June 23, 2017, and has seven years of experience in sales and marketing[57]. - Mr. Wang Junwen has over 20 years of experience in finance and fintech, holding professional qualifications such as MRICS, AICPA, and CFA[60]. - The management team has a robust educational background, with degrees in economics, finance, and business management[56][61]. - The company emphasizes strategic leadership and innovation in financial optimization and capital markets[60].

Revenue and Sales Performance - The company's revenue for the six months ended September 30, 2019, was approximately HKD 591.2 million, an increase of 9.0% compared to HKD 542.5 million for the corresponding period[11]. - Diesel sales generated revenue of approximately HKD 542.6 million, accounting for about 91.8% of total revenue, with sales volume increasing by approximately 22.2% to about 130.2 million liters[12]. - Lubricant sales revenue increased to approximately HKD 30.6 million, representing about 5.2% of total revenue, with sales volume rising by 7.7% to about 1.4 million liters[15]. - Revenue from fleet card services rose by approximately 39.7% to about HKD 15.3 million, driven by promotional activities to attract more customers[16]. - Revenue for the six months ended September 30, 2019, was HKD 591,209,000, representing an increase of 8.9% from HKD 542,510,000 in the same period of 2018[88]. - Diesel sales contributed HKD 542,574,000, up 6.9% from HKD 507,332,000 in the previous year[138]. - Fleet card service revenue increased by 39.5% to HKD 15,336,000 from HKD 10,974,000[138]. - Lubricant sales rose by 40.6% to HKD 30,562,000 compared to HKD 21,721,000 in the prior period[138]. Profitability and Expenses - Gross profit increased by approximately 31.4% to about HKD 29.4 million, with gross profit margin reflecting the rise in selling prices[21]. - Profit for the period increased by approximately HKD 2,100,000 or 19.7% to about HKD 12,800,000, with net profit margins of approximately 2.2% and 2.0% for the current and prior periods, respectively[28]. - Profit before tax increased to HKD 15,416,000, compared to HKD 12,608,000 in the previous year, reflecting a rise of 22.6%[88]. - Net profit for the period was HKD 12,847,000, which is a 19.7% increase from HKD 10,734,000 in the prior year[88]. - Basic earnings per share rose to HKD 1.28, up from HKD 1.07, marking an increase of 19.6%[88]. - Administrative expenses increased by approximately 33.7% to about HKD 9.3 million, primarily due to higher legal and professional fees[23]. - Administrative expenses increased to HKD 9,328,000 from HKD 6,973,000, reflecting a rise of 33.8%[88]. - Financing costs increased by approximately HKD 181,000 or 90.5% to HKD 381,000 due to increased bank borrowings[24]. - Financing costs rose to HKD 381,000, compared to HKD 200,000 in the previous year, indicating an increase of 90.5%[88]. Assets and Liabilities - Current assets as of September 30, 2019, were approximately HKD 142,200,000, up from HKD 118,000,000 as of March 31, 2019[35]. - Current liabilities increased to approximately HKD 51,500,000 from HKD 23,100,000, with bank borrowings rising to approximately HKD 31,700,000 from HKD 13,600,000[35]. - The current ratio decreased to 2.76 from 5.1, while the debt-to-equity ratio increased to 31.0% from 13.9%[35]. - The group recorded a net asset value of approximately HKD 90,700,000 as of September 30, 2019, compared to HKD 94,900,000 as of March 31, 2019[34]. - The company’s total liabilities increased to HKD 51,491,000 as of September 30, 2019, compared to HKD 23,124,000 as of March 31, 2019, representing a significant increase of approximately 122.5%[90]. - As of September 30, 2019, the company's bank borrowings amounted to HKD 31,716,000, an increase from HKD 13,623,000 as of March 31, 2019, representing a growth of 132.7%[179]. - The company has short-term bank borrowings due within one year totaling HKD 3,210,000, compared to HKD 2,445,000 in the previous period, reflecting a 31.3% increase[179]. Cash Flow and Investments - Cash and cash equivalents increased to HKD 76,978,000 as of September 30, 2019, up from HKD 55,053,000 at the beginning of the period, marking a rise of approximately 39.5%[99]. - The net cash generated from operating activities was HKD 14,348,000 for the six months ended September 30, 2019, significantly higher than HKD 1,978,000 for the same period in 2018[96]. - The company raised new bank loans amounting to HKD 19,500,000 during the financing activities, compared to HKD 10,000,000 in the previous period[99]. - The group acquired property, plant, and equipment valued at HKD 8,141,000 during the period, significantly lower than HKD 56,397,000 in the same period last year[168]. Accounting Policies and Standards - The adoption of Hong Kong Financial Reporting Standard 16 resulted in a significant change in accounting policies, specifically the removal of the distinction between operating and finance leases, requiring recognition of right-of-use assets and lease liabilities for all leases except short-term and low-value leases[110]. - The Group's accounting policy changes did not have a significant impact on the financial performance and position for the current and prior periods[109]. - The Group's lease liabilities are presented as a separate line item in the consolidated financial statements, reflecting the present value of future lease payments[127]. - The transition to HKFRS 16 did not require restating comparative figures for the previous reporting period, which may limit comparability with prior financial statements[110]. Dividends and Share Capital - No interim dividend was recommended for the six months ended September 30, 2019[31]. - The company declared a final dividend of HKD 10,000,000 during the reporting period[93]. - The company has a total of 10,000,000,000 shares authorized and issued, maintaining the same number as of March 31, 2019[184].

Financial Performance - The company's revenue for the period reached HKD 1,077,000,000, representing a 30.1% increase from HKD 828,100,000 in the corresponding period[13] - Diesel sales generated revenue of approximately HKD 1,006,700,000, accounting for 93.5% of total revenue, with sales volume increasing by 14.4% to 219,600,000 liters[14] - Lubricant sales revenue was approximately HKD 43,700,000, representing 4.1% of total revenue, with sales volume decreasing by about 10% to 2,700,000 liters[15] - The gross profit for the period was approximately HKD 45,400,000, a decrease of 4.3% compared to the previous year[9] - The net profit for the period was approximately HKD 18,000,000, reflecting a significant increase of 163.9% from the previous year[9] - Profit for the period increased by 163.9% to approximately HKD 18,000,000, with net profit margin rising from 0.8% to 1.7%[27] - Sales costs increased by 32.1% to approximately HKD 1,031,600,000 from HKD 780,700,000, aligning with revenue trends[19] - Gross profit decreased from approximately HKD 47,500,000 to HKD 45,400,000, with a slight decline in gross margin from 5.7% to 4.2%[20] - Fleet card services generated revenue of approximately HKD 21,500,000 and HKD 23,200,000, accounting for 2.0% and 2.8% of total revenue respectively[16] - Revenue from other products, primarily asphalt and kerosene, was approximately HKD 5,100,000 and HKD 3,400,000, representing 0.5% and 0.4% of total revenue respectively[18] Operational Developments - The company acquired a large multifunctional site in Tsuen Wan to enhance production capacity and operational efficiency[10] - The company is optimistic about growth potential in Vietnam, a rapidly growing economy, and has begun selling lubricant products there[10] - The company expects continued demand for diesel and lubricants due to major infrastructure projects in Hong Kong[10] - The company is actively seeking potential sales destinations to expand its business scale[10] Corporate Governance - The company has adopted the corporate governance code as per the Stock Exchange Listing Rules, ensuring transparency and accountability[65] - The company has complied with all applicable code provisions of the corporate governance code during the reporting period[66] - The company has established a securities trading code for all directors and relevant employees, ensuring adherence to regulations throughout the reporting period[67] - The company is committed to maintaining high corporate governance standards to protect shareholder interests and enhance corporate value[65] - The independent non-executive directors play a crucial role in the audit and remuneration committees, ensuring objective decision-making[71] - The board consists of eight directors, including five executive directors and three independent non-executive directors[71] - The company has a dedicated company secretary with over 25 years of experience in providing corporate services[62] - The board regularly reviews the contributions of directors to ensure they are fulfilling their responsibilities adequately[68] - The company has established three committees: the audit committee, the remuneration committee, and the nomination committee, each with specific written terms of reference[100] - The chairman and the CEO roles are held by different individuals, ensuring a clear division of responsibilities[75] Risk Management and Compliance - The company confirmed the effectiveness of its risk management and internal control systems as of March 31, 2019, ensuring reasonable assurance against significant misstatements or losses[129] - The company has engaged an external professional firm to provide internal audit functions and independently review the adequacy and effectiveness of risk management and internal control systems[129] - The company has implemented monitoring procedures to strictly prohibit unauthorized access to and use of inside information[131] - The independent non-executive directors have reviewed the compliance of controlling shareholders with the non-competition agreement and found that they have adhered to its terms[140] - The company has established a disclosure policy to ensure that inside information is released to the public in a timely and equal manner according to applicable laws and regulations[130] Shareholder Relations - The company maintains communication with shareholders through various channels and has established a shareholder communication policy to ensure that shareholder concerns are addressed[142] - The company emphasizes effective communication with shareholders to enhance investor relations and understanding of business performance[149] - The board of directors is committed to responding to shareholder inquiries and maintaining dialogue through annual general meetings[149] - The company has a shareholder communication policy that is regularly reviewed for effectiveness[150] Board Diversity and Composition - The company has adopted a board diversity policy, recognizing the benefits of diversity and considering various factors such as gender, age, cultural background, and professional qualifications in its board composition[112] - The board aims to maintain a balanced and suitable level of diversity in line with the company's business growth, and will consider setting measurable targets to implement the board diversity policy[112] - The board of directors has delegated the responsibility of selecting and appointing directors to the nomination committee, which has established relevant selection criteria and processes[115] - The attendance record of directors at board meetings indicates full participation, with all directors attending 100% of the board meetings held during the reporting period[123] Compensation and Remuneration - The company has established a formal and transparent process for developing a compensation policy to ensure no director participates in determining their own remuneration[105] - The compensation committee held two meetings during the reporting period to review the company's compensation policies and provide recommendations on executive director and senior management compensation changes for the year ending March 31, 2020[105] Experience and Expertise - The group has over 47 years of experience in the sales and distribution of diesel, lubricants, and other petrochemical products[44] - The CEO has four years of experience in promoting fleet card business and sales of petrochemical products[48] - The marketing manager has four years of experience in sales and marketing, focusing on fleet card promotion[51] - The non-executive director has over 20 years of experience in finance and fintech, holding multiple professional qualifications[52] - The independent non-executive director has a master's degree in finance (investment management) and has been appointed to the audit and nomination committees[53] - The company’s management team has extensive experience, with key members having over 20 years in finance and operations[59][58] Share Capital and Ownership - Junlong holds a total of 750,000,000 shares, representing 75% of the company's issued share capital[181] - Mr. Xu and Ms. Tang each own 35% of Junlong, while Mr. Xu Yehao owns 30%[188] - The company has no other directors or senior executives with disclosed interests in the company's shares or related securities as of March 31, 2019[181] - There are no significant transactions or contracts involving directors or related entities that directly or indirectly hold substantial interests in the company[189] - The company has not entered into any major contracts with its controlling shareholders for services provided[190] Dividend Policy - The company proposed a final dividend of HKD 0.01 per ordinary share for the year ended March 31, 2019, compared to no dividend in 2018[156] - As of March 31, 2019, the company had no distributable reserves, consistent with the previous year[163] - The company has not established a predetermined dividend payout ratio, allowing flexibility based on financial conditions[151]