Financial Performance - For the six months ended September 30, 2024, the company's revenue was approximately HKD 273,587,000, a decrease of 15.1% compared to HKD 322,182,000 for the same period in 2023[15] - The gross profit for the same period was HKD 51,613,000, with a gross margin of 18.9%, slightly up from HKD 51,105,000 and a gross margin of 15.9% in the previous year[15] - The company recorded a profit of approximately HKD 3,209,000, compared to a loss of HKD 7,960,000 in the same period last year[7] - EBITDA before expected credit losses for the period was approximately HKD 21,399,000, compared to HKD 18,777,000 for the same period last year[48] - The group reported a total comprehensive income of HKD 3,323,000, recovering from a loss of HKD 6,679,000 in the same period last year[70] - The net profit for the period was HKD 3,209,000, a significant recovery from a net loss of HKD 7,960,000 in the previous year[70] - Basic and diluted earnings per share were HKD 1.27, compared to a loss per share of HKD 3.32 in the prior year[70] - The group reported a profit attributable to owners of the company of HKD 3,209,000 for the six months ended September 30, 2024, a significant recovery from a loss of HKD 7,960,000 in the same period of 2023[116] Costs and Expenses - Financing costs during the review period were approximately HKD 9,859,000, an increase of about 22.0% from HKD 8,082,000 in the same period last year[7] - Selling and distribution expenses decreased by 13.9% to HKD 11,122,000 from HKD 12,914,000, primarily due to cost-saving measures[167] - General and administrative expenses were reduced to HKD 24,280,000 from HKD 26,526,000, reflecting a focus on cost control[167] - The financing costs increased by 22.0% to approximately HKD 9,859,000 from HKD 8,082,000, primarily due to rising interest rates during the review period[197] Cash Flow and Liquidity - Cash and cash equivalents as of September 30, 2024, were approximately HKD 22,615,000, down from HKD 26,965,000 as of March 31, 2024[20] - The group has unutilized bank financing of approximately HKD 6,261,000, which can be renewed annually, suggesting potential for continued financial support[104] - The group’s net cash used in financing activities was HKD (77,040,000) for the six months ended September 30, 2024, compared to HKD (27,104,000) in the same period of 2023[101] - The group has a current liability exceeding its current assets by HKD 50,938,000, indicating significant uncertainty regarding its ability to continue as a going concern[104] - The company maintained a current ratio of 0.80 and a quick ratio of 0.70, indicating stable liquidity[157] Assets and Liabilities - Total assets as of September 30, 2024, were HKD 304,034,000, down from HKD 321,480,000 as of March 31, 2024[157] - The group’s total liabilities included bank borrowings of HKD 98,632,000, which are repayable on demand or within one year[104] - Bank borrowings decreased by approximately 47.7% to about HKD 98,632,000 from HKD 188,550,000 as of March 31, 2024[21] - Trade and other receivables increased by approximately HKD 2,117,000 to about HKD 155,671,000, attributed to seasonal sales peaks from July to September[53] - The provision for trade receivables increased to HKD 54,471,000 as of September 30, 2024, from HKD 49,322,000 as of March 31, 2024[121] Business Strategy and Future Outlook - The company plans to conduct feasibility studies for any potential investment opportunities that may arise in the near future[29] - The group is actively seeking to diversify its business by engaging in digital marketing services through its subsidiary in China, which is expected to have a lower capital intensity and create synergies with its existing garment manufacturing business[55] - The company anticipates that sales in the U.S. market will remain flat in the coming year, highlighting the need for transformation due to challenges in the Hong Kong economic and banking environment[174] - The company is evaluating potential business development opportunities based on profitability, capital commitments, cash flow, and industry outlook to enhance financial performance[175] Employee and Operational Metrics - The group employed approximately 1,254 full-time employees as of September 30, 2024, down from 1,290 on March 31, 2024[60] - The company reported a decrease in employee costs to HKD 41,190,000 for the six months ended September 30, 2024, down from HKD 48,218,000 in the previous year[136] Other Relevant Information - The company did not enter into any agreements for significant investments or capital assets during the review period[29] - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the review period[61] - No interim dividend was proposed for the six months ended September 30, 2024, consistent with the previous year[92] - There were no significant events after September 30, 2024, that would materially affect the group's operations and financial performance[93]

Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 273,587, a decrease of 15.1% compared to HKD 322,182 for the same period in 2023[1] - Gross profit was HKD 51,613 with a gross margin of 18.9%, up from HKD 51,105 and a gross margin of 15.9% in the previous year[1] - The net profit for the period was HKD 3,209, a significant recovery from a net loss of HKD 7,960 in the same period last year[4] - EBITDA, excluding expected credit losses, was HKD 21,399, compared to HKD 18,777 for the same period in 2023, reflecting a growth of 8.7%[1] - The company reported a basic and diluted earnings per share of HKD 1.27, compared to a loss per share of HKD 3.32 in the previous year[4] - Financing costs increased to HKD 9,859 for the six months ended September 30, 2024, compared to HKD 8,082 in 2023, primarily due to higher bank loan interest[31] - The group reported a net profit of HKD 3,209 for the six months ended September 30, 2024, compared to a loss of HKD 7,960 in the same period of 2023[40] - Basic and diluted earnings per share for the period were HKD 1.27, a significant recovery from a loss of HKD 3.32 in the previous year[40] - Other income for the review period was approximately 2,015,000 HKD, down from 4,567,000 HKD in the same period last year[57] Assets and Liabilities - Total assets decreased to HKD 304,034 from HKD 321,480, while total liabilities decreased to HKD 268,260 from HKD 280,584[6] - Cash and cash equivalents decreased to HKD 22,615 from HKD 26,965, indicating a reduction in liquidity[6] - As of September 30, 2024, the group's current liabilities exceeded current assets by HKD 50,938,000[16] - The group has outstanding bank loans of HKD 98,632,000, which are repayable on demand or within one year, with cash and cash equivalents amounting to HKD 22,615,000[16] - The group has unutilized bank financing of approximately HKD 6,261,000, which can be renewed annually[16] - Trade receivables as of September 30, 2024, were HKD 128,429,000, up from HKD 123,631,000 as of March 31, 2024[10] - Trade payables increased significantly to HKD 62,169,000 as of September 30, 2024, from HKD 21,178,000 as of March 31, 2024[45] - Current assets and current liabilities were approximately HKD 205,041,000 and HKD 255,979,000 respectively, compared to HKD 218,952,000 and HKD 280,584,000 on March 31, 2024[72] - Bank borrowings amounted to approximately HKD 98,632,000 as of September 30, 2024, a decrease from HKD 188,550,000 on March 31, 2024[73] - The company's debt-to-equity ratio was approximately 326.3% as of September 30, 2024, significantly reduced from 689.9% on March 31, 2024[76] Operational Focus and Strategy - The company plans to focus on market expansion and new product development to drive future growth[11] - The group is focused on improving operational efficiency and implementing cost control measures to enhance profitability and future cash flow[16] - The company plans to continue focusing on cost control measures initiated in 2020 to navigate the challenging business environment[51] - The company is actively seeking to diversify its business by providing digital marketing services through its subsidiary in China, which is expected to generate additional revenue streams[69] Corporate Governance and Compliance - The company has not applied any new accounting standards or interpretations that have not yet come into effect during the reporting period[21] - The financial statements are prepared on a going concern basis, despite significant uncertainties regarding the group's ability to maintain profitability and access bank financing[17] - The company has adhered to all applicable corporate governance codes, except for the separation of roles between the chairman and CEO[87] - The company has adopted the standard code of conduct for securities trading by directors, confirming compliance during the review period[86] Employment and Labor Relations - The company employs approximately 1,254 full-time employees as of September 30, 2024, a slight decrease from 1,290 employees on March 31, 2024[79] - The company has not encountered any significant labor disputes or operational disruptions during the review period[79] Shareholder Information - The group did not recommend an interim dividend for the six months ended September 30, 2024, consistent with the previous year[36] - No interim dividend is recommended for shareholders for the review period[93] - The mid-term report will be sent to shareholders and published on the stock exchange and the company's website at an appropriate time[97] Miscellaneous - The group operates primarily in the manufacturing and trading of apparel products and trademark licensing, with significant business presence in Hong Kong, China, and Sri Lanka[22] - There were no significant acquisitions or disposals of subsidiaries, joint ventures, or associates during the review period[81] - No significant investments or capital asset agreements were signed during the review period, but the company will conduct feasibility studies for potential future investment opportunities[82] - The company did not buy, sell, or redeem any of its listed securities during the review period[85] - The company entered into a loan agreement totaling USD 4,212,811 (equivalent to HKD 32,859,926) with San Tai, along with other related agreements[94] - There were no significant events affecting the group from the end of the review period until the date of the announcement[92] - The executive director and chairman of Sterling Group Holdings Limited is Ms. Wang Meihui[98] - The executive directors include Mr. Xiao Yiming, Mr. Zhong Guowei, Mr. Liang Jiawei, and Mr. Ma Jian[98] - Independent non-executive directors are Ms. Zhang Lingling, Mr. Zhou Runzhang, and Mr. Zhao Chuan[98]

Financial Performance - For the fiscal year ending March 31, 2024, the company reported revenue of HKD 571,391,000, a decrease of 8.4% from HKD 623,433,000 in the previous year[6]. - Gross profit for the same period was HKD 91,377,000, with a gross margin of 16.1%, down from 17.2% the previous year[6]. - Operating profit fell to HKD 7,442,000 from HKD 22,028,000, indicating a significant decline in profitability[6]. - The company experienced a net loss of HKD 18,360,000 compared to a profit of HKD 19,927,000 in the prior year, reflecting a substantial downturn[6]. - Revenue for the fiscal year ending March 31, 2024, was approximately HKD 571,391,000, an 8.4% decrease from HKD 623,433,000 in the previous year, reflecting a slowdown in growth after a strong 67.9% compound sales growth over the past two years[13]. - The gross profit margin for the year was 16.1%, down from 17.2% in the previous year, indicating a decline in profitability[21]. Customer and Sales Dynamics - Sales from the company's largest customer decreased by approximately 6.9% to about HKD 445,890,000, impacting overall revenue[8]. - The company is optimistic about a rebound in sales from its largest customer based on current orders and seasonal forecasts[8]. - The company is focusing on diversifying its customer base to mitigate risks associated with reliance on a few key clients[9]. - The company’s revenue breakdown by product category showed a decline across all categories, with outerwear revenue at HKD 243,226,000, down from HKD 245,423,000, and bottom wear revenue at HKD 208,864,000, down from HKD 269,453,000[17]. - The majority of the company’s revenue, approximately 99.4%, came from the United States, totaling HKD 567,791,000, while revenue from Italy dropped to zero from HKD 7,624,000[19]. - The largest customer accounted for 78.0% of the total sales revenue for the year[176]. - The top five customers contributed 93.7% of the total sales revenue for the year[176]. Financial Position and Liquidity - The total assets increased to HKD 321,480,000 from HKD 301,574,000, showing growth in the asset base despite the operational challenges[6]. - The company’s cash and bank balances improved to HKD 26,965,000 from HKD 20,851,000, indicating better liquidity management[6]. - The interest coverage ratio dropped to 0.6 times, down from 3.2 times, highlighting increased financial strain[6]. - Financing costs increased by approximately 44.8% to HKD 16,226,000 from HKD 11,205,000, attributed to rising interest rates[26]. - The company reported a significant increase in bank borrowings, rising by approximately 29.5% to HKD 188,550,000 from HKD 145,593,000, mainly due to increased trust receipt loans and additional credit facilities obtained[28]. - The company’s cash and cash equivalents increased to HKD 26,965,000 from HKD 20,851,000 in the previous year, primarily due to funds received from bank loans[28]. - The group’s current assets and current liabilities were approximately HKD 218,952,000 and HKD 280,584,000, respectively, compared to HKD 194,354,000 and HKD 241,907,000 in the previous year[33]. - Bank borrowings as of March 31, 2024, amounted to approximately HKD 188,550,000, up from HKD 145,593,000 as of March 31, 2023[34]. - The group’s debt-to-equity ratio was approximately 487.0% as of March 31, 2024, compared to 309.75% in the previous year, reflecting an increase in bank borrowings[36]. Employee and Operational Insights - The group employed approximately 1,290 full-time employees as of March 31, 2024, down from approximately 1,444 employees a year earlier[37]. - The group has not encountered any significant difficulties or disruptions in operations due to labor disputes during the reporting period[37]. - The company has established a mandatory provident fund plan in Hong Kong, with contributions of 5% of employee income, capped at HKD 1,500 per month[172]. Corporate Governance and Board Structure - The company has a diverse board with members holding qualifications in accounting, finance, and business management, enhancing its strategic decision-making capabilities[54][58]. - The company is committed to maintaining high standards of corporate governance through its independent non-executive directors who provide independent opinions on strategy and resource allocation[54][55]. - The board of directors is committed to maintaining robust corporate governance and effective internal control systems, which are crucial for enhancing corporate value and accountability[62]. - The company has established three board committees: the audit committee, the remuneration committee, and the nomination committee, to enhance governance[78]. - The board believes that the current composition of directors brings valuable experience and expertise to the company[78]. - The company has implemented a policy for directors and senior management training and continuous professional development[81]. - The board has achieved a gender diversity ratio of 25% at the board level and 75% at the overall employee level as of March 31, 2024[96]. Risk Management and Compliance - The company assesses credit risk by evaluating customers' financial conditions before extending credit[130]. - The group continues to monitor and assess specific risks related to financial, operational, and compliance activities[115]. - The group monitors and maintains sufficient levels of cash and cash equivalents to mitigate cash flow volatility[133]. - The group is exposed to foreign currency risk due to foreign currency transactions and borrowings, and actively manages this risk[135]. - The group's cash flow interest rate risk is primarily related to floating-rate bank deposits and borrowings, with management monitoring this risk[137]. - The company has implemented a policy for handling insider information, ensuring timely and fair disclosure[119]. Dividend Policy - The company does not recommend declaring a final dividend for the year ending March 31, 2024, consistent with the previous year[30]. - The board has adopted a dividend policy effective from January 1, 2019, continuing through the fiscal year ending March 31, 2024, aiming to maintain sufficient reserves for future development while providing returns to shareholders[109]. - The board will consider various factors, including the group's actual and expected financial performance, general economic conditions, and operational strategies when deciding on dividend declarations[110]. - There is no predetermined dividend payout ratio, and the declaration and payment of dividends are at the board's discretion, with no guarantee of dividends in any period[111]. - The group reported no dividends for the fiscal year ending March 31, 2024[126]. Lease Agreements and Transactions - Sterling Apparel entered into new lease agreements with Win 18 and Win 19 for office spaces in Hong Kong, each with a monthly rent of HKD 130,000, effective from February 1, 2024, to January 31, 2025[181][182]. - The total revised annual cap for rental payments for the properties is HKD 5,720,000, with HKD 3,120,000 for the 18th floor and HKD 2,600,000 for the 19th floor[185]. - The rental agreements were negotiated based on fair market rent principles and are considered continuing connected transactions under the listing rules[184][186]. - The independent non-executive directors have confirmed that the continuing connected transactions were conducted in the ordinary course of business and on normal commercial terms[186].

香 港 交 易 及 結 算 所 有 限 公 司、香 港 聯 合 交 易 所 有 限 公 司 及 香 港 中 央 結 算 有 限 公 司 對 本 公 告 的 內 容 概 不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確表示概不就因本公告全部或任何部分內容而產生或因倚賴該等內容而引致 的 任 何 損 失 承 擔 任 何 責 任。 Sterling Group Holdings Limited 美臻集團控股有限公司* （於 開 曼 群 島 註 冊 成 立 之 有 限 公 司） （股 份 代 號：1825） 截至二零二四年三月三十一日止年度的 經審核年度業績公告 | 財務摘要 | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | | | | | | | 截至三月三十一日止年度 | | | | | | | | | | | | | 二零二四年 | | 二零二三年 | | | 經營業績 | （千 港 | 元 ...

為遵守上市規則第14A.34條，於 本 公 告 日 期，本 公 司 正 與 三 泰 及JPO商討落實該 協 議 的 主 要 條 款，以 終 止 第 一 份 支 持 函 並 載 列(i)供 應 存 貨；及(ii)提供財務協助 的 條 款 及 條 件，包 括 利 率 及 可 供 確 保 三 泰 與JPO妥善履行其於該協議項下責任 的 抵 押 品。有 關 第 一 份 支 持 函 的 進 一 步 詳 情，請 參 閱 該 公 告。 遵守上市發行人董事進行證券交易的標準守則（「標 準 守 則」） 末期股息 – 32 – 我 們 認 為，綜 合 財 務 報 表 已 根 據 香 港 會 計 師 公 會（「香港會計師公會」）頒佈的香 港財務報告準則（「香港財務報告準則」）真實而公允地反映 貴集團於二零二四 年三月三十一日的綜合財務狀況以及截至該日止年度的綜合財務表現及綜合 現 金 流 量，並 已 遵 照 香 港 公 司 條 例 的 披 露 要 求 妥 為 編 製。 應用香港會計準則第1號及香港財務報告準則實務說明第2號之修訂會計政策的披 露的影響 香港財務報告準則實務說明第2號作出重大性判斷（「實 務 說 明」）亦 經 修 訂 ...

Financial Performance - The company's revenue for the six months ended September 30, 2023, was approximately HKD 322,182,000, a decrease of 4.6% compared to HKD 337,736,000 in the same period of 2022[5]. - Gross profit for the same period was HKD 51,105,000, with a gross margin of 15.9%, slightly up from 15.6% in the previous year[5]. - Operating profit decreased to HKD 7,161,000 from HKD 11,328,000 year-on-year, resulting in a net loss of HKD 7,960,000 compared to a profit of HKD 11,328,000 in the prior period[5][7]. - The company reported a net loss attributable to shareholders of HKD 7,960 for the six months ended September 30, 2023, compared to a profit of HKD 11,328 in 2022[77]. - Basic and diluted loss per share for the period was HKD (3.32), down from earnings of HKD 5.66 in the previous year[79]. Financing Costs - The company experienced a significant increase in financing costs, rising approximately 83.7% to HKD 8,082,000 from HKD 4,399,000 in the previous year[7]. - Financing costs rose by 83.7% to approximately HKD 8,082,000, compared to approximately HKD 4,399,000 in the same period last year, mainly due to rising interest rates[15]. - The actual interest rates for bank loans ranged from 5.38% to 7.69% as of September 30, 2023, compared to 1.70% to 7.70% as of March 31, 2023[102]. Assets and Liabilities - The total assets as of September 30, 2023, were HKD 287,673,000, a decrease from HKD 301,574,000 as of March 31, 2023[5]. - The asset-liability ratio as of September 30, 2023, was approximately 315.2%, up from 309.8% as of March 31, 2023, due to net losses attributed to expected credit losses on trade and other receivables[22]. - The company's current ratio was 0.77, slightly down from 0.80, indicating a decrease in liquidity[5]. - The company's net asset value decreased to HKD 40,324,000 as of September 30, 2023, from HKD 47,003,000 as of March 31, 2023[47]. - The total financial liabilities were HKD 239,389,000 as of September 30, 2023, down from HKD 246,153,000 as of March 31, 2023, indicating a reduction of 2.8%[108]. Cash Flow - The net cash generated from operating activities for the six months ended September 30, 2023, was HKD 19,396,000, a decrease of 70.4% compared to HKD 65,422,000 in the same period of 2022[19]. - Cash and cash equivalents decreased by HKD 6,867,000, ending at HKD 15,138,000 compared to HKD 31,494,000 at the end of the previous period[19]. - The company’s cash and cash equivalents decreased to HKD 15,138,000 as of September 30, 2023, from HKD 20,851,000 as of March 31, 2023, a decline of 27.5%[108]. Revenue Sources - For the six months ended September 30, 2023, the group's revenue was approximately HKD 322,182,000, with 99.4% coming from the United States, a slight decrease from HKD 337,736,000 in the same period of 2022[10]. - Outerwear contributed HKD 165,874,000 to revenue, with a sales volume increase of approximately 10.9%[9]. - Revenue from customer contracts for the six months ended September 30, 2023, was HKD 322,182, a decrease of 4.2% compared to HKD 337,736 in 2022[64]. Cost Management - The company maintained a focus on cost control, reducing sales and distribution expenses significantly from HKD 18,652,000 to HKD 12,914,000[6]. - Sales and distribution costs decreased by 30.8% to approximately HKD 12,914,000, down from approximately HKD 18,652,000 in the previous year[13]. - General and administrative expenses increased by 12.9% to approximately HKD 26,526,000, up from approximately HKD 23,495,000, with employee costs rising due to performance bonuses[14]. Employee and Management - As of September 30, 2023, the company employed approximately 1,364 full-time employees, a decrease from 1,444 employees as of March 31, 2023[24]. - The total compensation for key management personnel increased to HKD 6,910,000 for the six months ended September 30, 2023, compared to HKD 5,132,000 for the same period in 2022, representing a rise of 34.7%[106]. Corporate Governance - The company has adopted a standard code for securities trading, confirming compliance by all directors during the review period[29]. - The company has adhered to all applicable corporate governance codes, except for the separation of the roles of Chairman and CEO[30]. Market Outlook - The group anticipates that the shipment volume for the second half of the fiscal year ending March 31, 2024, will be lower than the same period last year due to intense competition in holiday sales[20]. - The company expects continued growth in sales performance in the U.S. retail market over the next four years[94].

香港交易及結算所有限公司、香港聯合交易所有限公司及香港中央結算有限 公司對本公告的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明 確表示概不就因本公告全部或任何部分內容而產生或因倚賴該等內容而引致 的任何損失承擔任何責任。 Sterling Group Holdings Limited 美 臻 集 團 控 股 有 限 公 司* （於開曼群島註冊成立之有限公司） （股份代號：1825） 截 至 二 零 二 三 年 九 月 三 十 日 止 六 個 月 中 期 業 績 公 告 財務摘要 截至九月 三十日止六個月 二零二三年 二零二二年 經營業績（千港元） 收入 322,182 337,736 毛利 51,105 52,789 毛利率 15.9% 15.6% 銷售及分銷成本 (12,914) (18,652) 一般及行政開支 (26,526) (23,495) 經營溢利 7,161 11,328 貿易及其他應收款項確認預期信貸虧損淨額 （「預期信貸虧損」） (15,121) – 期內（虧損）╱溢利 (7,960) 11,328 ...

Financial Performance - The company reported a revenue of HKD 623,433,000 for the fiscal year ending March 31, 2023, representing a significant increase of 36.7% compared to HKD 455,970,000 in the previous year[6]. - Gross profit for the same period was HKD 107,184,000, with a gross margin of 17.19%, up from 13.39% in the prior year[6]. - The net profit for the year was HKD 19,927,000, a turnaround from a net loss of HKD 38,847,000 in the previous year, resulting in a net profit margin of 3.2%[6][8]. - The company achieved an EBITDA of HKD 47,103,000, compared to HKD 9,656,000 in the previous year, indicating a strong operational recovery[6]. - The company's revenue increased by approximately 36.7% from about HKD 455,970,000 in the previous year to approximately HKD 623,433,000[15]. - Gross profit margin improved significantly from 13.4% to 17.2%, indicating a notable enhancement in profitability[15]. - Net profit for the reporting period was approximately HKD 19,927,000, compared to a net loss of about HKD 38,847,000 in the previous year[15]. - Operating profit for the reporting period was approximately HKD 22,028,000, a recovery from an operating loss of HKD 1,174,000 in the previous year[16]. - EBITDA for the reporting period was HKD 45,002,000, a significant increase from a comparable EBITDA loss of approximately HKD 28,017,000 in the previous year[16]. Customer and Market Dynamics - The largest customer contributed to a 49.1% increase in sales compared to the previous year, highlighting the importance of this client to the company's revenue[8]. - The company is optimistic about maintaining stable sales from its largest customer in the upcoming fiscal year, despite potential slight declines compared to the strong performance reported[8]. - The company has diversified its customer base, reducing reliance on a single customer that previously accounted for over 95% of sales[10]. - The majority of revenue, approximately 97.9%, came from the United States, totaling HKD 609,905,000, compared to HKD 436,514,000 in the previous year[21]. - The group reported a rebound in sales revenue of approximately 68% compared to two years ago, but does not plan to achieve further sales growth for the fiscal year ending March 31, 2024[32]. - The group expects to maintain sales revenue similar to the previous year based on current orders from its largest customer, a prominent U.S. brand[32]. Operational Efficiency and Cost Management - The company has implemented cost-saving measures to enhance operational efficiency in its factories located in Panyu, China, and Sri Lanka[10]. - Sales and distribution costs rose by approximately 28.5% to about HKD 31,943,000, primarily due to increased tariffs and freight costs[25]. - Financing costs increased by approximately 147.0% to about HKD 11,205,000, mainly due to a sharp rise in interest rates[27]. - Other income for the reporting period was approximately HKD 10,655,000, up from HKD 7,661,000 in the previous year, driven by government subsidies and interest income[23]. Corporate Governance and Compliance - The company has maintained compliance with the corporate governance code as per the Hong Kong Stock Exchange regulations throughout the reporting period[58]. - The board consists of a diverse group of directors, including three independent non-executive directors, ensuring compliance with independence guidelines[67]. - The company has implemented measures to assess and monitor its corporate culture, including employee feedback and turnover rates[57]. - The board has confirmed that all directors have adhered to the securities trading guidelines as stipulated by the listing rules[61]. - The company has a strong commitment to enhancing corporate governance and internal control systems to protect shareholder interests[56]. - The board has achieved its diversity goals and confirmed the independence of all independent non-executive directors[68]. - The company has conducted its annual general meeting and adhered to the principles and regulations set forth in the corporate governance code[65]. - The board of directors has established a three-year service contract for all executive directors, which can be terminated with a written notice of at least three months[69]. Risk Management and Internal Controls - The company has established a risk management and internal control system to minimize risks, with risk assessments conducted semi-annually[112]. - The board believes that the risk management and internal control systems are effective and sufficient[115]. - The group has engaged an independent professional internal control consultant to review its major business processes and internal control systems[115]. - The group has no internal audit department but will review the need for one at least annually[115]. - The group is exposed to foreign currency risk due to foreign currency transactions and borrowings, which it manages and monitors[131]. - The group will consider hedging against significant interest rate fluctuations as part of its risk management strategy[133]. Employee and Operational Structure - As of March 31, 2023, the group employed approximately 1,444 full-time employees, an increase from approximately 1,381 full-time employees as of March 31, 2022[36]. - The group has completed restructuring actions initiated in 2020, including downsizing its Hong Kong office and relocating sales functions to its factory in China, to reduce management costs and better respond to sales fluctuations[32]. - There are no significant labor disputes or strikes that disrupted operations during the year[169]. Shareholder Engagement and Financial Management - The company is committed to engaging with shareholders through annual general meetings to address their concerns and questions[104]. - The board will consider various factors, including the group's financial performance and cash flow, when deciding on dividend declarations[107]. - The company has no predetermined dividend payout ratio, and the declaration and payment of dividends are at the board's discretion[108]. - The group did not recommend paying a final dividend for the year ended March 31, 2023[123]. - The company has adopted a dividend policy effective from January 1, 2019, aiming to maintain sufficient reserves for future development while providing returns to shareholders[106]. Strategic Initiatives and Future Outlook - The company has actively expanded its customer base and product offerings, attracting several new clients, including a prestigious American fashion brand[14]. - The company plans to enhance its digital marketing efforts, with an investment of $K million to increase brand awareness and customer reach[46]. - The management team emphasized the importance of sustainability initiatives, aiming for a J% reduction in carbon footprint by the end of the fiscal year[46]. - Recent acquisitions are expected to enhance operational efficiency, projected to save the company $G million annually[46]. - The R&D budget has been increased by H%, focusing on developing new technologies and products[46]. Audit and Financial Reporting - The audit committee held four meetings during the fiscal year ending March 31, 2023, with attendance as follows: Mr. Cai Wei Xuan (2/2), Mr. Zeng Hao Xian (4/4), Ms. Zhang Ling Ling (4/4), and Mr. Chen Ji Xuan (2/2)[79]. - The audit committee reviewed the group's financial information, including accounting policies and compliance with accounting standards and listing rules[78]. - The independent auditor's report confirms that the consolidated financial statements fairly present the financial position of the group as of March 31, 2023, in accordance with Hong Kong Financial Reporting Standards[200].

香港交易及結算所有限公司、香港聯合交易所有限公司及香港中央結算有限 公司對本公告的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明 確表示，概不對因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 致的任何損失承擔任何責任。 Sterling Group Holdings Limited 美臻集團控股有限公司* （於開曼群島註冊成立之有限公司） （股份代號：1825） 截 至 二 零 二 三 年 三 月 三 十 一 日 止 年 度 的 經 審 核 年 度 業 績 公 告 財務摘要 截至三月三十一日止年度 二零二三年 二零二二年 經營業績（千港元） 收入 623,433 455,970 毛利 107,184 61,069 毛利率 17.19% 13.39% 銷售及分銷成本 (31,943) (24,863) 一般及行政費用 (49,061) (50,814) 經營溢利╱（虧損） 22,028 (1,174) 應收款項預期信貸虧損撥備 (2,101) (37,673) 年度溢利╱（虧損）淨額 19,927 (38,847) ...

Financial Performance - Revenue for the six months ended September 30, 2022, increased by 37.2% to HKD 337,736,000 from HKD 246,156,000 in the same period last year[7]. - Gross profit rose by 53.6% to HKD 52,789,000, with a gross margin of 15.6%, up from 14.0%[6]. - Net profit surged to HKD 11,328,000, compared to HKD 329,000 in the previous year, reflecting a strong recovery[8]. - EBITDA for the period was HKD 20,854,000, significantly higher than HKD 9,648,000 in the same period last year[8]. - Revenue for the six months ended September 30, 2022, was HKD 337,736,000, representing a 37.1% increase from HKD 246,156,000 in the same period of 2021[40]. - Gross profit increased to HKD 52,789,000, up 53.8% from HKD 34,366,000 year-on-year[40]. - Net profit for the period was HKD 11,328,000, a significant increase from HKD 329,000 in the previous year[40]. - The company reported a total comprehensive income of HKD 9,084,000 for the period, compared to a loss of HKD 24,000 in the previous year[40]. - The basic and diluted earnings per share for the six months ended September 30, 2022, were HKD 5.66, compared to HKD 0.06 for the same period in 2021, indicating a substantial increase[72]. Expenses and Costs - Sales and distribution expenses increased by 61.9% to HKD 18,652,000, primarily due to air freight costs incurred to meet delivery schedules[8]. - Interest expenses rose by 89.7% to HKD 4,399,000 due to increased rates and sales volume[8]. - General and administrative expenses decreased by 4.3% to approximately HKD 23,495,000, down from HKD 24,550,000, with employee costs also declining due to a reduction in administrative staff[15]. - Financing costs increased by 89.7% to approximately HKD 4,399,000 from HKD 2,319,000, attributed to rising interest rates during the period[16]. - Employee costs, including directors' remuneration, decreased to HKD 46,118,000 in the first half of 2022 from HKD 49,664,000 in the same period of 2021, reflecting a reduction of approximately 5.1%[66]. Assets and Liabilities - The company reported a current ratio of 0.74 and a quick ratio of 0.57 as of September 30, 2022[6]. - The company’s total assets decreased to HKD 306,753,000 from HKD 324,238,000 as of March 31, 2022[6]. - Cash and cash equivalents at the end of the period were HKD 31,494,000, down from HKD 33,391,000 at the beginning of the period[44]. - Inventory increased by approximately 12.6% to HKD 45,071,000 from HKD 40,024,000, driven by anticipated sales growth in the coming months[18]. - Trade receivables decreased to HKD 108,429,000 as of September 30, 2022, from HKD 124,311,000 as of March 31, 2022, a decline of about 12.8%[86]. - Trade payables rose to HKD 49,048,000 as of September 30, 2022, up from HKD 41,606,000 as of March 31, 2022, representing an increase of approximately 17.8%[90]. - Bank borrowings decreased to HKD 122,261,000 as of September 30, 2022, from HKD 161,863,000 as of March 31, 2022, a reduction of about 24.3%[91]. - The total financial liabilities were HKD 266,414,000 as of September 30, 2022, compared to HKD 292,962,000 as of March 31, 2022[100]. Revenue Breakdown - The apparel product categories contributing to revenue included outerwear (HKD 149,539,000), bottoms (HKD 125,808,000), tops (HKD 26,399,000), and others (HKD 35,990,000)[10]. - Revenue from garment sales for the six months ended September 30, 2022, was HKD 337,736,000, an increase of 37.1% compared to HKD 246,156,000 for the same period in 2021[58]. - The primary market for sales was the United States, generating HKD 322,352,000, which represents 95.4% of total revenue[58]. - Revenue from the US accounted for 95.4% of total revenue, increasing from 90.8% in the previous year, while revenue from Italy decreased significantly from 6.0% to 1.2%[11]. Corporate Governance and Shareholder Information - The board confirms compliance with the corporate governance code during the review period[30]. - The company did not recommend the distribution of an interim dividend to shareholders for the review period[37]. - The major shareholder, Moonlight Global Holdings Limited, holds 40,100,000 shares, representing 20.05% of the company[34]. - No shares of the company have been purchased, sold, or redeemed by the company or its subsidiaries since the listing date on October 19, 2018[28]. - The company has not granted any options under the share option scheme since its adoption[35]. Future Outlook - The company expects a rebound in profits for the second half of the fiscal year ending March 31, 2023, although the increase may be lower than the first half due to seasonal shipping patterns[20]. - The company anticipates continued growth in sales performance over the next four years, driven by a strong recovery in the U.S. retail market[84]. - The company plans to continue expanding its market presence in the United States, Italy, and the United Kingdom, focusing on apparel manufacturing and trading[45].