Financial Performance - For the year ended December 31, 2019, the Group recorded a revenue of approximately HK$114,489,000, representing a year-on-year decrease of 30.0% compared to HK$163,629,000 in 2018[11]. - The profit attributable to equity shareholders for 2019 was approximately HK$1,007,000, a decrease of 92.0% compared to HK$12,581,000 in the previous year[11]. - The Group's profit before taxation for 2019 was HK$2,310,000, down from HK$18,302,000 in 2018[8]. - The Group's gross profit margin for the year was 21%, down from 32% in the previous year[30]. - The Group's gross profit decreased by approximately HK$29,469,000 or 55.5%, from approximately HK$53,100,000 for the year ended 31 December 2018 to approximately HK$23,631,000 for the year ended 31 December 2019, with a gross profit margin decline from approximately 32.5% to approximately 20.6%[47]. - Profit and total comprehensive income attributable to equity shareholders of the Company was approximately HK$1,007,000 for the year ended 31 December 2019, down from approximately HK$12,581,000 in 2018, mainly due to decreased revenue[54]. Assets and Liabilities - Current assets as of December 31, 2019, were HK$183,870,000, an increase from HK$176,066,000 in 2018[9]. - Non-current assets increased to HK$2,663,000 in 2019 from HK$1,012,000 in 2018[9]. - Total equity attributable to equity shareholders was HK$161,599,000 in 2019, slightly up from HK$160,606,000 in 2018[9]. - The Group's net assets as of December 31, 2019, were HK$161,599,000, compared to HK$160,606,000 in 2018[9]. - The Group had net current assets of approximately HK$160,269,000 as at 31 December 2019, slightly up from approximately HK$159,853,000 in 2018, with a quick ratio of approximately 7.8 times[75]. - As of December 31, 2019, the Group's gearing ratio was approximately 2.1%, up from 0.9% in 2018[78]. - Trade receivables increased by approximately HK$12,484,000 from approximately HK$20,757,000 as at 31 December 2018 to approximately HK$33,241,000 as at 31 December 2019, largely due to a payment certificate of approximately HK$18,000,000 issued near the end of 2019[56]. - Trade payables increased by approximately HK$3,563,000 from approximately HK$4,178,000 as at 31 December 2018 to approximately HK$7,741,000 as at 31 December 2019, mainly due to the purchase of HVAC systems[59]. - Retention receivables increased by approximately HK$4,717,000 from approximately HK$14,692,000 as at 31 December 2018 to approximately HK$19,409,000 as at 31 December 2019, in line with project progress[57]. Revenue and Market Challenges - The decline in revenue was primarily due to delays in a large project and slow construction progress, as well as a slowdown in the Hong Kong property market, leading to fewer new projects available for tender[13]. - The overall profitability decline was attributed to the protracted delays and slow progress in construction of significant projects[13]. - The Group's cost of services decreased by approximately HK$19,671,000 or 17.8% to approximately HK$90,858,000 for the year ended December 31, 2019, compared to approximately HK$110,529,000 in 2018[45]. - The Group aims to explore new strategies for market expansion and product development in the upcoming year[10]. - The Group aims to strengthen relationships with suppliers and existing customers while actively exploring potential development opportunities to enhance future profitability[14]. Corporate Governance and Management - The Group will continue to improve financial management, internal control, and corporate governance to ensure stable and sustainable development[15]. - The management team is committed to monitoring business operations and making significant operational decisions to ensure sustainable growth[120]. - The company emphasizes compliance and internal control through its independent non-executive directors[133]. - The management team has a diverse background in finance, law, and corporate governance, enhancing the company's strategic direction[133]. - The Company has maintained a stable management structure with experienced directors and senior management overseeing its operations[143][145]. Future Plans and Strategic Direction - The Group aims to enhance competitiveness by delivering high-quality services and maintaining good relationships with stakeholders, with no significant disputes reported during the year[164]. - Future plans include the continued expansion of market presence and potential mergers and acquisitions to drive growth[120]. - The Group is focused on becoming the preferred choice of first-tier HVAC E&M engineering subcontractor for property developers in Hong Kong[34]. - The Company is committed to expanding its market presence in the HVAC sector within Hong Kong, leveraging its expertise and experience[152]. Shareholder Information and Dividends - The Board does not recommend declaring a final dividend for the year ended 31 December 2019, consistent with the previous year where no dividend was declared[169]. - The Company does not have a fixed dividend policy, and future dividends will depend on various factors including operations, earnings, and cash flow position[170]. - As of December 31, 2019, the total reserves attributable to equity shareholders of the Company amounted to HK$85,793,000, a decrease from HK$92,745,000 in 2018[179]. - The Company has adopted a Share Option Scheme to incentivize eligible participants, with a maximum of 10% of the total shares in issue (1,000,000,000 shares) available for options[181]. Compliance and Risk Management - There was no material breach of applicable laws and regulations by the Group during the year ended 31 December 2019, which significantly impacted its business and operations[156]. - The Group's focus on risk control aims to address uncertainties that may affect financial conditions or growth prospects[165]. - The Company has a strong focus on compliance, internal control, and corporate governance, overseen by independent non-executive directors[140].

Financial Performance - For the six months ended June 30, 2019, the company reported revenue of HKD 41,092,000, a decrease of 52.2% compared to HKD 85,913,000 in the same period of 2018[6] - Gross profit for the same period was HKD 10,681,000, down 64.3% from HKD 29,869,000 year-on-year[6] - The company recorded a profit before tax of HKD 2,426,000, a decline of 82.1% from HKD 13,546,000 in the previous year[6] - Net profit for the period was HKD 1,908,000, a decrease of 81.0% compared to HKD 10,025,000 in 2018[6] - Basic earnings per share fell to HKD 0.19, down 81.0% from HKD 1.00 in the same period last year[6] - The group’s net profit after tax decreased by over 80% due to the slowdown in the Hong Kong real estate market and general economic uncertainties[66] - Gross profit fell by approximately HKD 19,188,000 or 64.2% to about HKD 10,681,000, with the gross profit margin declining from approximately 35% to 26%[72] Assets and Liabilities - Total assets as of June 30, 2019, were HKD 172,323,000, a slight decrease from HKD 176,066,000 at the end of 2018[8] - Current liabilities decreased to HKD 10,699,000 from HKD 16,213,000 at the end of 2018, indicating improved liquidity[8] - The company’s net asset value increased to HKD 162,490,000 from HKD 160,606,000 at the end of 2018[8] - As of June 30, 2019, trade receivables amounted to HKD 26,943,000, a decrease of 25% from HKD 35,960,000 as of December 31, 2018[12] - Trade payables as of June 30, 2019, were HKD 5,452,000, an increase of 30.5% from HKD 4,178,000 as of December 31, 2018[51] - The financing lease obligations as of June 30, 2019, were HKD 138,000, a decrease from HKD 298,000 as of December 31, 2018[53] Cash Flow - The company’s cash and cash equivalents increased to HKD 117,756,000 from HKD 107,391,000 at the end of 2018[8] - The net cash used in financing activities decreased significantly to HKD (654) thousand from HKD (10,226) thousand in the previous year, indicating improved cash flow management[12] - The net increase in cash and cash equivalents for the six months ended June 30, 2019, was HKD 11,241 thousand, compared to HKD 18,102 thousand in the same period of 2018, reflecting a decrease of approximately 37.5%[12] - The cash and cash equivalents at the beginning of the period were HKD 106,515 thousand, which increased to HKD 117,756 thousand by the end of the period, showing a positive cash position[12] Operational Focus - The company plans to focus on operational efficiency and cost management to improve profitability in the upcoming periods[6] - The group will continue to enhance its service capabilities and pursue long-term stable business growth despite recent adverse business conditions[80] Accounting Standards - The company has adopted the new Hong Kong Financial Reporting Standard 16 (HKFRS 16) for leases, which has resulted in the recognition of additional right-of-use assets and lease liabilities[19] - The transition to HKFRS 16 has led to the measurement of lease liabilities at the present value of remaining lease payments, which may impact future financial statements[24] - The company has not applied any new standards or interpretations that have not yet come into effect for the current accounting period, ensuring compliance with existing regulations[18] - The group expects to reflect any changes in accounting policies in the annual financial statements for the year ending December 31, 2019, indicating ongoing adjustments to financial reporting practices[18] Employee and Administrative Costs - Employee costs for the six months ended June 30, 2019, amounted to HKD 11,326,000, slightly down from HKD 11,556,000 in 2018[40] - Administrative expenses increased to approximately HKD 9,321,000 from HKD 8,981,000, mainly due to higher professional consultancy fees[73] - The group employed 68 employees as of June 30, 2019, down from 79 employees on December 31, 2018[92] Share Capital and Dividends - The company did not recommend the payment of an interim dividend for the reporting period[42] - The board does not recommend the payment of an interim dividend for the reporting period, compared to HKD 18,000,000 in the same period last year[76] - The company's authorized share capital increased to HKD 50,000,000 as of June 30, 2019, from HKD 380,000 at the time of incorporation[60] Governance and Compliance - The financial report is prepared in accordance with the applicable disclosure provisions of the Stock Exchange of Hong Kong, ensuring transparency and adherence to regulatory standards[15] - The company has maintained compliance with the corporate governance code as per the Hong Kong Stock Exchange regulations[108] - The audit committee has reviewed the unaudited interim financial results for the reporting period[111]

Financial Performance - Revenue for the year ended December 31, 2018, was HK$163,629,000, an increase from HK$125,846,000 in 2017, representing a growth of 30%[7] - Profit for the year was HK$12,581,000, down from HK$23,404,000 in 2017, indicating a decrease of 46%[7] - Current assets as of December 31, 2018, totaled HK$176,066,000, significantly higher than HK$86,530,000 in 2017, reflecting an increase of 103%[7] - Net assets reached HK$160,606,000 in 2018, compared to HK$48,177,000 in 2017, showing a substantial growth of 234%[7] - Current liabilities decreased to HK$16,213,000 in 2018 from HK$39,409,000 in 2017, a reduction of 59%[7] - Non-current liabilities were HK$259,000 in 2018, down from HK$536,000 in 2017, indicating a decrease of 52%[7] - The company reported a profit before taxation of HK$18,302,000 for 2018, compared to HK$28,734,000 in 2017, a decline of 36%[7] - Total equity attributable to equity shareholders of the company was HK$160,606,000 in 2018, up from HK$48,177,000 in 2017, marking an increase of 234%[7] Revenue and Growth Strategies - The Group's revenue increased by approximately HK$37,783,000 or 30.0% to approximately HK$163,629,000 for the year ended 31 December 2018[22] - The increase in revenue was primarily due to several large-scale projects, with a substantial portion of contract revenue recorded during the year following project execution progress[23] - The Group focuses on providing HVAC E&M engineering services primarily for new residential property developments in Hong Kong[12] - The Group aims to expand its market presence and enhance product offerings in the upcoming fiscal year[9] - New product development and technological advancements are key strategies for future growth and market expansion[9] Cost and Expenses - The Group's cost of services increased by approximately HK$36,409,000 or 49.1% to approximately HK$110,529,000 for the year ended 31 December 2018, compared to approximately HK$74,120,000 for the year ended 31 December 2017[25] - Gross profit increased by approximately HK$1,374,000 or 2.7% to approximately HK$53,100,000 for the year ended 31 December 2018, while the gross profit margin decreased from approximately 41.1% to 32.5%[26] - Total subcontracting fees increased by approximately HK$26,431,000 or 90.3% from approximately HK$29,276,000 for the year ended 31 December 2017 to HK$55,707,000 for the year ended 31 December 2018[26] - Administrative expenses increased from approximately HK$19,624,000 for the year ended 31 December 2017 to approximately HK$20,982,000 for the year ended 31 December 2018[33] - Listing expenses increased by approximately HK$11,900,000 or 307.3% from approximately HK$3,872,000 for the year ended 31 December 2017 to approximately HK$15,772,000 for the year ended 31 December 2018[34] Assets and Liabilities - Trade receivables decreased by approximately HK$6,602,000 from approximately HK$27,359,000 as at 31 December 2017 to approximately HK$20,757,000 as at 31 December 2018[44] - Retention receivables increased by approximately HK$2,628,000 from approximately HK$12,064,000 as at 31 December 2017 to approximately HK$14,692,000 as at 31 December 2018[45] - Trade payables decreased by approximately HK$1,839,000 from approximately HK$6,017,000 as at 31 December 2017 to approximately HK$4,178,000 as at 31 December 2018[47] - Other payables and accruals increased by approximately HK$403,000 from approximately HK$4,512,000 as at 31 December 2017 to approximately HK$4,915,000 as at 31 December 2018[48] - As of December 31, 2018, the Group's net current assets were approximately HK$159,853,000, a significant increase from HK$47,121,000 in 2017[56] Management and Governance - The Group has established a strong management team with diverse expertise in finance, law, and corporate governance, enhancing operational efficiency[90][91][98] - The management team is committed to maintaining high standards of corporate governance and internal controls to safeguard shareholder interests[91][98] - The Group's leadership structure includes experienced professionals with backgrounds in finance, law, and engineering, contributing to its strategic direction[90][91][98] - The ongoing focus on compliance and governance is expected to strengthen the Group's market position and investor confidence[91][98] - The Company emphasizes the importance of corporate governance and compliance in its operations[103] Environmental, Social, and Governance (ESG) - The Group's Environmental, Social and Governance (ESG) Report covers the period from January 1, 2018, to December 31, 2018[183] - The Group has complied with the ESG Reporting Guide and will continue to optimize the disclosure of key performance indicators (KPIs)[183] - The Group actively undertook social responsibilities and promoted regional economic development and employment[186] - The Group has implemented an environmental management system to comply with environmental protection laws, including the Air Pollution Control Ordinance and Noise Control Ordinance[192] - The Group generated no significant hazardous and non-hazardous waste due to its business nature during the Reporting Period[195] Future Outlook and Plans - The Group intends to expand its professional talent pool by hiring chartered engineers and other specialists over the next two to three years, depending on business growth[55] - The Group's future outlook includes expanding service capabilities in HVAC E&M engineering services while pursuing stable returns for shareholders[53] - The Group plans to maintain stable business growth by strengthening relationships with suppliers and existing customers while exploring new development opportunities[18] - The Group aims to enhance competitiveness by delivering high-quality services and maintaining good relationships with stakeholders[125] Shareholder and Capital Management - The net proceeds from the Share Offer amounted to approximately HK$102.4 million, intended for specific purposes as outlined in the Prospectus[115] - The Company has not purchased, sold, or redeemed any of its listed securities during the year ended December 31, 2018[132] - The Company did not make any donations during the year ended December 31, 2018, compared to HK$57,000 in 2017[132] - The Board does not have a fixed dividend policy, and future dividends will depend on various factors including operations and earnings[131] - The Company has no significant foreign currency risk as its monetary assets, liabilities, and transactions are primarily denominated in Hong Kong dollars[67]