Financial Performance - The group recorded revenue of approximately HKD 125.1 million for the year ended March 31, 2024, a decrease of about 3.0% from approximately HKD 128.9 million in the previous year [10] - Gross profit for the year was approximately HKD 57.8 million, down about 9.0% from approximately HKD 63.5 million in the previous year [10] - The group's profit after tax decreased by approximately 56.9% to about HKD 8.6 million for the year ended March 31, 2024, compared to approximately HKD 20.0 million in the previous year [10] - The revenue from the performance announcement and financial report segment was approximately HKD 63.8 million, a decrease of about 7.8% from approximately HKD 69.2 million in the previous year [19] - The revenue from the company announcements and shareholder circulars segment increased by approximately 7.2% to about HKD 43.0 million, compared to approximately HKD 40.2 million in the previous year [20] - The revenue from the bond circulars and IPO prospectuses segment increased by approximately 11.7% to about HKD 9.4 million, up from approximately HKD 8.4 million in the previous year [21] - The group's net profit margin for the year was approximately 6.9%, a decrease from about 15.5% in the previous year [10] - The revenue from the fund document segment decreased by approximately HKD 4,000,000, representing a decline of about 65.4%, contributing to only 1.1% of total revenue for the year ended March 31, 2024 [24] - Other income for the year ended March 31, 2024, was approximately HKD 3,400,000, down from approximately HKD 10,600,000 for the previous year, a decrease of about 67.9% [29] Cost and Expenses - The group's service costs increased from approximately HKD 65,500,000 for the year ended March 31, 2023, to approximately HKD 67,300,000 for the year ended March 31, 2024, an increase of about 2.8% [27] - The administrative expenses remained relatively stable, with approximately HKD 30,300,000 for the year ended March 31, 2024, compared to approximately HKD 29,600,000 for the previous year [31] - The financing costs increased from approximately HKD 100,000 for the year ended March 31, 2023, to approximately HKD 300,000 for the year ended March 31, 2024 [33] Dividends and Shareholder Returns - The board does not recommend any final dividend for the year ended March 31, 2024 [14] - The total reserves available for distribution to shareholders as of March 31, 2024, is approximately HKD 69.3 million, an increase from HKD 60.7 million in 2023 [78] - The company did not recommend any final dividend for the year ending March 31, 2024, consistent with the previous year [75] Market Conditions and Future Outlook - The financial printing industry is expected to continue facing uncertainties, particularly with the expansion of paperless listing mechanisms in Hong Kong [11] - The group is prepared to capture new market opportunities in both hardware and services despite the challenges faced [11] Employee and Management Information - The average number of employees decreased from 85 for the year ended March 31, 2023, to 80 for the year ended March 31, 2024 [42] - The company’s financial director, Mr. Wen Junwei, has over 18 years of experience in accounting, auditing, and finance [68] - The company’s independent non-executive director, Mr. Liang Zhaokang, has over 24 years of experience in accounting, auditing, finance, and compliance [67] Corporate Governance - The company has adopted the corporate governance code as per the listing rules and complied with all provisions for the year ending March 31, 2024 [118] - The board of directors is responsible for the overall management of the group and regularly reviews the delegation of authority to ensure it meets the company's needs [119] - The company has established a formal and transparent procedure for the appointment and succession of directors [129] - The audit committee is composed entirely of independent non-executive directors, ensuring compliance with listing rules [136] - The audit committee's responsibilities include reviewing financial statements and overseeing the financial reporting process [137] Risk Management and Internal Controls - The company has adopted a risk management system that identifies and assesses risks related to its business operations, with no significant risks identified in the 2023 risk assessment [165] - The internal control system is aligned with the 2013 framework sponsored by the Treadway Commission, ensuring operational effectiveness, financial reporting reliability, and compliance with applicable laws [166] - The board confirmed that the risk management and internal control systems are effective and adequate, with no significant monitoring failures or weaknesses identified during the reporting period [173] Goodwill and Revenue Recognition - The goodwill of the group as of March 31, 2024, is approximately HKD 11,423,000, which is significant relative to the group's net assets [199] - Revenue recognition for financial printing services is based on measuring the progress towards fulfilling performance obligations over time [196] - Management uses significant judgments and estimates to determine the progress towards fulfilling performance obligations as of the reporting date [196] - The assessment of goodwill impairment is identified as a key audit matter due to the degree of judgment and the scale of goodwill involved [200]

Financial Performance - The company's revenue for the fiscal year 2024 was HKD 125,070,000, a decrease of approximately 3.5% from HKD 128,923,000 in 2023[2] - Gross profit for 2024 was HKD 57,758,000, down from HKD 63,452,000 in the previous year, reflecting a decline of about 9.0%[2] - The net profit attributable to the company's owners for 2024 was HKD 8,613,000, a significant decrease of approximately 56.9% compared to HKD 19,991,000 in 2023[2] - Basic and diluted earnings per share for 2024 were HKD 2.15, down from HKD 5.00 in 2023, representing a decline of about 57.0%[2] - The group's revenue decreased from approximately HKD 128,900,000 for the year ended March 31, 2023, to approximately HKD 125,100,000 for the year ended March 31, 2024, a decrease of about 3.0%[160] - The group's net profit after tax decreased by approximately 56.9% from about HKD 20,000,000 for the year ended March 31, 2023, to about HKD 8,600,000 for the year ended March 31, 2024[186] - The group's net profit margin was approximately 6.9% for the year ended March 31, 2024, down from about 15.5% for the year ended March 31, 2023[186] Revenue Segments - Revenue from the financial printing services segment for 2024 was approximately HKD 63,800,000, a decrease of about 7.8% from HKD 69,200,000 in 2023[27] - The financial printing services segment accounted for approximately 51.0% of total revenue in 2024, down from 53.7% in 2023[27] - For the fiscal year ending March 31, 2024, the group's revenue from the financial printing services segment was approximately HKD 43 million, an increase of about 7.2% from approximately HKD 40.2 million in the previous year, accounting for about 34.4% of total revenue[49] - Revenue from the segment of "Performance Announcements and Financial Reports" decreased from HKD 69,197,000 in 2023 to HKD 63,770,000 in 2024, a decline of approximately 7.0%[118] - Revenue from the "Bond Circulars and IPO Prospectuses" segment decreased significantly from approximately HKD 4,000,000 in 2023 to about HKD 1,400,000 in 2024, a reduction of about 65.4%[133] - The segment revenue from "Company Announcements and Shareholder Circulars" was HKD 43,039,000 in 2024, compared to HKD 40,152,000 in 2023, reflecting an increase of approximately 4.7%[118] - The revenue from another segment for the fiscal year ending March 31, 2024, was approximately HKD 9.4 million, an increase of about 11.7% from approximately HKD 8.4 million in the previous year, mainly due to an increase in the number of IPO projects[50] - The revenue from a specific segment for the fiscal year ending March 31, 2024, was approximately HKD 7.5 million, an increase of about 4.9% from approximately HKD 7.1 million in the previous year, driven by increased market demand for various services[75] Expenses and Costs - The group's administrative expenses for the fiscal years ending March 31, 2024, and March 31, 2023, were approximately HKD 30.3 million and HKD 29.6 million, respectively, remaining relatively stable[55] - Sales and distribution expenses increased from approximately HKD 17,400,000 for the year ended March 31, 2023, to approximately HKD 19,200,000 for the year ended March 31, 2024, representing an increase of about 10.4%[77] - The total employee costs (excluding directors' remuneration) for the fiscal year ending March 31, 2024, were HKD 42.87 million, compared to HKD 40.86 million in the previous year[38] - Employee costs, including directors' remuneration, amounted to approximately HKD 53,300,000 for the year ended March 31, 2024, up from approximately HKD 48,800,000 for the year ended March 31, 2023[83] - The group's total service costs increased from approximately HKD 65,500,000 for the year ended March 31, 2023, to about HKD 67,300,000 for the year ended March 31, 2024, an increase of about 2.8%[182] Trade Receivables and Impairment - Trade receivables as of March 31, 2024, totaled HKD 32,170,000, an increase from HKD 27,461,000 in 2023[21] - The company recognized impairment losses on trade receivables of HKD 1,723,000 in 2024, compared to HKD 3,747,000 in 2023, indicating a reduction of approximately 54.0%[23] - Trade receivables impairment loss was approximately HKD 1,700,000 for the year ended March 31, 2024, compared to approximately HKD 3,700,000 for the year ended March 31, 2023[78] - The provision for trade receivables decreased slightly from HKD 5,556,000 in 2023 to HKD 5,362,000 in 2024[152] Cash and Assets - The group’s cash and bank balances increased to HKD 78,285,000 as of March 31, 2024, from HKD 68,466,000 the previous year[110] - The group's cash and cash equivalents were approximately HKD 68,500,000 and HKD 78,300,000 for the years ended March 31, 2023, and March 31, 2024, respectively[166] - The total assets less current liabilities amounted to HKD 110,885,000 for the year ended March 31, 2024, compared to HKD 100,682,000 for the previous year[110] - The group's total equity increased to HKD 109,295,000 as of March 31, 2024, compared to HKD 100,682,000 for the previous year[110] - The group had no secured assets as of March 31, 2024, consistent with the previous year[84] - The group has no capital commitments as of March 31, 2024, consistent with the previous year[62] Market Conditions and Future Outlook - The group is facing uncertainties in the financial printing industry due to specific industry factors and cautious market sentiment affecting fundraising activities[76] - The company has applied new Hong Kong Financial Reporting Standards for the fiscal year starting April 1, 2023, which may impact future financial reporting[6] - The group is monitoring and maintaining sufficient cash levels to mitigate liquidity risks and cash flow volatility[86] - The company continues to provide services to asset management companies and other financial institutions, indicating ongoing market expansion efforts[28] Dividends and Investments - The company did not recommend any final dividend for the year ending March 31, 2024, compared to HKD 32,000,000 in 2023[151] - The board of directors did not recommend any final dividend for the year ended March 31, 2024[176] - The group did not make any significant investments or acquisitions during the year ended March 31, 2024[168]

Revenue and Profitability - The group's revenue increased by approximately 2.9% from about HKD 73,900,000 for the six months ended September 30, 2022, to about HKD 76,000,000 for the six months ended September 30, 2023[10]. - Revenue for the six months ended September 30, 2023, was HKD 76,040,000, an increase of 2.9% compared to HKD 73,920,000 for the same period in 2022[60]. - Gross profit remained relatively stable at approximately HKD 36,500,000 for the six months ended September 30, 2022, and approximately HKD 39,100,000 for the six months ended September 30, 2023[17]. - Gross profit for the same period was HKD 39,133,000, representing a gross margin of 51.5%[60]. - The net profit after tax decreased by approximately 9.4% from about HKD 14,900,000 for the six months ended September 30, 2022, to about HKD 13,500,000 for the six months ended September 30, 2023[24]. - Profit attributable to owners of the company was HKD 13,491,000, a decrease of 9.3% from HKD 14,886,000 in the previous year[60]. - The company reported a net profit of HKD 13,491,000 for the six months ended September 30, 2023, compared to HKD 14,886,000 for the same period in 2022, reflecting a decrease of approximately 9.3%[63]. - Basic and diluted earnings per share were HKD 3.37, down from HKD 3.72 in the prior year[60]. - Basic and diluted earnings per share for the six months ended September 30, 2023, were HKD 3.37, down from HKD 3.72 in the same period of 2022, reflecting a decline of 9.39%[91]. Costs and Expenses - The service costs decreased by approximately 1.4%, from about HKD 37,400,000 for the six months ended September 30, 2022, to about HKD 36,900,000 for the six months ended September 30, 2023[16]. - Sales and distribution expenses decreased from about HKD 8,200,000 for the six months ended September 30, 2022, to about HKD 7,700,000 for the six months ended September 30, 2023[19]. - Financing costs decreased from about HKD 84,000 for the six months ended September 30, 2022, to about HKD 59,000 for the six months ended September 30, 2023[22]. - The employee costs for the reporting period were approximately HKD 26.3 million, compared to HKD 24.81 million for the same period last year[29]. - Total employee costs (excluding directors' remuneration) for the period were HKD 21,185,000, a decrease of 1.74% compared to HKD 21,558,000 in the previous year[88]. - The total remuneration for directors and key management personnel for the period was HKD 6,497,000, an increase of 41.8% from HKD 4,579,000 in the same period of 2022[104]. Assets and Liabilities - The asset-liability ratio increased to 7.3% as of September 30, 2023, compared to 1.7% as of March 31, 2023[25]. - As of September 30, 2023, the group's net current assets were approximately HKD 95.6 million, an increase from HKD 83.8 million as of March 31, 2023[26]. - The group's cash and cash equivalents amounted to approximately HKD 79.3 million as of September 30, 2023, up from HKD 68.5 million as of March 31, 2023[26]. - Total assets as of September 30, 2023, amounted to HKD 142,146,000, an increase from HKD 127,054,000 as of March 31, 2023[61]. - Current liabilities totaled HKD 29,203,000, compared to HKD 26,518,000 as of March 31, 2023[61]. - Trade receivables increased significantly to HKD 48,822,000 as of September 30, 2023, compared to HKD 27,461,000 as of March 31, 2023, representing a growth of 77.8%[96]. - Trade payables as of September 30, 2023, were HKD 12,774,000, slightly up from HKD 12,279,000 as of March 31, 2023, indicating a 4.03% increase[98]. - The group had no borrowings, bank overdrafts, or bank loans as of September 30, 2023[26]. - The group has no contingent liabilities as of September 30, 2023[34]. Dividends and Shareholder Information - The company did not recommend any dividend for the six months ended September 30, 2023, compared to HKD 0.025 per share for the same period in 2022[12]. - The company did not declare any dividends for the current period, maintaining a focus on reinvestment[63]. - The major shareholders include Brilliant Ray Global Limited and Long Peak Holdings Limited, each holding 116,580,000 shares, representing 29.1% of the issued share capital[45]. - The company maintained a sufficient public float of at least 25% of its issued shares throughout the reporting period[57]. Other Income and Cash Flow - Other income decreased significantly from about HKD 7,400,000 for the six months ended September 30, 2022, to about HKD 1,800,000 for the six months ended September 30, 2023[18]. - The company recorded other income of HKD 1,755,000, down from HKD 7,406,000 in the previous year, indicating a decline of approximately 76.3%[81]. - The net cash generated from operating activities was HKD 9,814,000, a decrease of 55.0% compared to HKD 21,795,000 in the same period last year[65]. - The company’s interest income from bank deposits increased to HKD 984,000, compared to HKD 96,000 in the previous year, marking a significant increase of 927.1%[81]. - The company’s operating expenses related to financing activities decreased significantly, with net cash used in financing activities at zero compared to HKD 22,084,000 in the previous year[65]. Strategic Focus and Market Conditions - The company aims to leverage its competitive advantages to provide quality services to clients despite a weak overall market atmosphere[11]. - The company continues to focus on its core business of financial printing services, with all revenue generated from operations in Hong Kong[80]. - There were no significant investments or acquisitions made during the six months ending September 30, 2023[31]. - The group has no specific plans for significant investments or capital assets as of September 30, 2023[33]. - There were no significant events after the reporting period[36]. - The company did not grant any share options during the six months ended September 30, 2023[49]. - There were no purchases, sales, or redemptions of the company's listed securities during the reporting period[50]. - The company reported no forfeited contributions available for offsetting against the employer's contribution level during the period, consistent with the previous year[88].

Financial Performance - For the fiscal year ending March 31, 2023, the company reported revenue of approximately HKD 128.9 million, an increase of about 0.9% from HKD 127.7 million in the previous year[10]. - The gross profit for the same period was approximately HKD 63.5 million, a decrease of about 1.1% from HKD 64.2 million year-on-year[10]. - The net profit after tax increased by approximately 70.0% to about HKD 20.0 million, up from approximately HKD 11.8 million in the previous year, primarily due to an increase in other income[10]. - The net profit margin improved to approximately 15.5%, compared to about 9.2% in the previous year[10]. - Revenue from the performance announcement and financial report segment was approximately HKD 69.2 million, a 9.9% increase from HKD 63.0 million in the previous year, accounting for about 53.7% of total revenue[20]. - Revenue from the company announcements and shareholder circulars segment was approximately HKD 40.1 million, a 10.6% increase from HKD 36.3 million in the previous year, representing about 31.1% of total revenue[21]. - The revenue from the debt issuance and IPO prospectus segment decreased by approximately 61.2% to about HKD 8.4 million, down from approximately HKD 21.7 million last year, primarily due to a reduction in the number of IPO projects[22]. - The revenue from the fund document segment increased by approximately 156.9% to about HKD 4 million, up from approximately HKD 1.6 million last year[25]. - Other income for the year ended March 31, 2023, was approximately HKD 10.6 million, an increase of about HKD 7.8 million compared to approximately HKD 2.8 million for the previous year[31]. - The group's service costs increased from approximately HKD 63.6 million for the year ended March 31, 2022, to approximately HKD 65.5 million for the year ended March 31, 2023, representing an increase of about 3.0%[28]. Dividend Policy - The company has not recommended a final dividend for the fiscal year ending March 31, 2023, maintaining the interim dividend at HKD 0.025 per share[15]. - The board has established a robust dividend policy to balance shareholder returns with the need for sustainable long-term development[16]. - The total reserves available for distribution to shareholders as of March 31, 2023, are approximately HKD 60.7 million, down from HKD 72.7 million in 2022[85]. - The company declared an interim dividend of HKD 0.025 per share for the six months ended September 30, 2022, consistent with the previous year[79]. - The board does not recommend a second interim dividend for the year ended March 31, 2023, compared to HKD 0.055 per share in 2022[80]. Market Challenges and Opportunities - The company plans to leverage its competitive advantages to expand its customer base and enhance professional services despite challenges in the market[11]. - The company anticipates ongoing challenges in the financial printing industry due to market uncertainties, but is prepared to capture new opportunities in hardware and services[11]. Employee and Operational Insights - The average number of employees decreased from 91 for the year ended March 31, 2022, to 85 for the year ended March 31, 2023, with total employee costs amounting to approximately HKD 48.8 million[43]. - The sales and distribution expenses increased by approximately 14.0% to about HKD 17.4 million for the year ended March 31, 2023, primarily due to increased marketing and hospitality expenses[32]. - The company maintained good relationships with employees, with no labor disputes or recruitment difficulties affecting operations as of March 31, 2023[47]. Financial Position and Risk Management - The capital debt ratio decreased to 1.7% as of March 31, 2023, down from 5.6% in the previous year, due to a reduction in lease liabilities[39]. - The company faces low credit risk due to a diversified customer base and high credit ratings of counterparties, with expected credit loss rates on bank balances assessed as close to zero[51][53]. - Interest rate risk is minimal as bank balances are the only interest-bearing assets, with ongoing monitoring of this risk[54]. - The company has low liquidity risk, with most financial assets and liabilities maturing within one year, supported by existing shareholder funds and internal cash flows[55]. Corporate Governance - The company has adopted the corporate governance code as per the listing rules and complied with all provisions during the year ended March 31, 2023[122]. - The board of directors is responsible for the overall management of the company and has delegated daily operations and management responsibilities to executive directors and senior management[123]. - The audit committee reviewed the audited consolidated financial statements for the year ended March 31, 2023[117]. - The company has engaged external professional firms to perform internal audit functions, ensuring independence from daily operations and evaluating the risk management and internal control systems annually[175]. - The company has established a formal and transparent procedure for the appointment and succession planning of directors[131]. - The board has established three committees: audit, remuneration, and nomination, to oversee specific aspects of the group's affairs[136]. Shareholder Relations - The company has maintained an open and effective investor relations policy, providing timely updates to investors through various communication channels[180]. - The company has established a shareholder communication policy to ensure timely and clear information is provided to shareholders and investors[188]. - The board chairman is responsible for promoting effective communication between the board and shareholders, ensuring that shareholder opinions are conveyed to all board members[159]. Financial Reporting and Compliance - The financial statements reflect a true and fair view of the group's financial position as of March 31, 2023, in accordance with applicable accounting standards[190]. - The external auditor's report confirms that the financial statements have been properly prepared according to the Hong Kong Financial Reporting Standards[190]. - The company has complied with regulatory requirements regarding the distribution of meeting notices and annual reports to shareholders[184]. Goodwill and Revenue Recognition - As of March 31, 2023, the group's goodwill amounted to approximately HKD 11,423,000, which is significant relative to the group's net assets[198]. - The assessment of goodwill impairment involves judgment and requires estimates of future cash flows and the discount rate applied[198]. - Revenue recognition for financial printing services is based on the progress of fulfilling performance obligations, measured by efforts relative to total expected inputs[195]. - The total expected inputs for revenue recognition are primarily based on past experiences with similar projects[195].

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佈之內容概不負責， 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佈之全部或任何 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。 （於開曼群島註冊成立之有限公司） 1841 （股份代號： ） 截至二零二三年三月三十一日止年度之 全年業績公佈 全年業績 優越集團控股有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣佈本公司及 其附屬公司截至二零二三年三月三十一日止年度之經審核綜合業績，連同截至二零 二二年三月三十一日止年度之比較數字如下： 綜合損益及其他全面收益表 截至二零二三年三月三十一日止年度 二零二三年 二零二二年 附註 千港元 千港元 4 128,923 127,739 收益 (65,471) (63,579) 服務成本 63,452 64,160 毛利 ...

Revenue and Profitability - The group's revenue increased by approximately 4.9% from about HKD 70,500,000 for the six months ended September 30, 2021, to about HKD 73,900,000 for the six months ended September 30, 2022[8]. - Revenue from the performance announcement and financial reporting segment rose by approximately HKD 4,200,000 to about HKD 40,500,000, while the company announcement and shareholder circular segment increased by approximately HKD 6,000,000 to about HKD 24,300,000[12]. - The group's profit after tax increased by approximately 9.2% from HKD 13,600,000 to HKD 14,900,000 for the six months ended September 30, 2022[22]. - Profit before tax increased to HKD 18,011,000, compared to HKD 15,871,000 in the previous year, reflecting a growth of 13.5%[62]. - Net profit attributable to the owners of the company was HKD 14,886,000, up from HKD 13,629,000, representing an increase of 9.2%[62]. - Basic and diluted earnings per share for the period were HKD 3.72, compared to HKD 3.41 in the previous year, indicating a growth of 9.1%[62]. Costs and Expenses - Service costs increased by approximately 10.0%, from about HKD 34,000,000 to about HKD 37,400,000, with employee costs, translation costs, and printing costs accounting for approximately 36.0%, 35.1%, and 23.3% of total service costs, respectively[13]. - Administrative expenses remained relatively stable, with approximately HKD 14,100,000 for the six months ended September 30, 2021, and about HKD 14,700,000 for the same period in 2022[17]. - Income tax expenses increased from about HKD 2,200,000 to approximately HKD 3,100,000 for the respective periods[21]. - Employee costs for the reporting period amounted to approximately HKD 24,810,000, an increase from HKD 23,800,000 for the six months ended September 30, 2021[26]. - Financing costs decreased from about HKD 158,000 to approximately HKD 84,000 over the same periods[20]. Other Income and Government Support - Other income rose from about HKD 2,400,000 to approximately HKD 7,400,000, primarily due to government subsidies of about HKD 2,100,000 received under the employment support scheme[15]. - The group received government subsidies of HKD 2,100,000 under the employment support scheme during the reporting period[22]. - Other income for the six months was HKD 7,406,000, significantly higher than HKD 2,394,000 in the same period last year, marking an increase of 209.5%[62]. Assets and Liabilities - The group's current assets net value decreased from approximately HKD 87,100,000 to HKD 84,300,000 between March 31, 2022, and September 30, 2022[24]. - The group's cash and cash equivalents remained relatively stable at approximately HKD 78,700,000 and HKD 78,400,000 as of March 31, 2022, and September 30, 2022, respectively[24]. - The company's total equity decreased to HKD 105,577,000 from HKD 112,691,000, a decline of 6.3%[68]. - The company's total liabilities decreased to HKD 84,337,000 from HKD 87,066,000, a reduction of 3.4%[65]. - Trade and other receivables increased to HKD 38,005,000 from HKD 21,516,000, representing a significant increase of 76.5%[65]. Dividends and Shareholder Returns - The board proposed an interim dividend of HKD 0.025 per share, consistent with the previous period[10]. - The company declared a dividend of HKD 14,886,000 during the period, which was paid out from retained earnings[68]. - The company proposed an interim dividend of HKD 0.025 per share for the six months ended September 30, 2022, consistent with the previous year's interim dividend[98]. Market Outlook and Future Plans - The group anticipates that the weak market sentiment may negatively impact fundraising activities and IPO numbers, affecting profitability in the financial printing industry[9]. - The company plans to continue expanding its financial printing services, focusing on enhancing operational efficiency and exploring new market opportunities[75]. Corporate Governance and Compliance - The company maintained a sufficient public float of at least 25% of its issued shares throughout the reporting period[57]. - The company has adopted the corporate governance code as per the listing rules and has complied with it during the reporting period[52]. Miscellaneous - There were no significant investments or acquisitions made during the six months ended September 30, 2022[28]. - The company did not grant any share options during the six months ended September 30, 2022, and had no unexercised options as of that date[49]. - The company has no major future investment or capital asset plans as of September 30, 2022[30]. - The company acquired machinery and equipment for approximately HKD 100,000 during the reporting period, compared to HKD 111,000 in the same period of 2021[102]. - The short-term benefits for key management personnel in the six months ended September 30, 2022, amounted to HKD 4,534,000, slightly down from HKD 4,593,000 in the same period of 2021[112]. - The post-employment benefits for key management personnel decreased to HKD 45,000 in 2022 from HKD 57,000 in 2021[112].

Financial Performance - For the fiscal year ending March 31, 2022, the company reported revenue of approximately HKD 127.7 million, a decrease of about 4.9% from HKD 134.4 million in the previous year[6] - The gross profit for the same period was approximately HKD 64.2 million, down about 3.4% from HKD 66.4 million year-on-year[6] - The company's net profit after tax decreased by approximately 57.4% to about HKD 11.8 million, compared to HKD 27.6 million for the fiscal year ending March 31, 2021[6] - The net profit margin for the fiscal year was approximately 9.2%, a decrease from about 20.5% in the previous year[6] - The group's revenue for the year ended March 31, 2022, was approximately HKD 127,700,000, a decrease of about 4.9% from approximately HKD 134,400,000 for the previous year[14] - The revenue from the performance announcement and financial report segment was approximately HKD 63,000,000, a decrease of about 13.1% from approximately HKD 72,400,000 for the previous year[14] - The revenue from the bond announcement and IPO prospectus segment was approximately HKD 21,700,000, an increase of about 13.0% from approximately HKD 19,200,000 for the previous year[14] - The group's gross profit decreased to approximately HKD 64,200,000, a reduction of about 3.4% from approximately HKD 66,400,000 for the previous year[16] - The service cost for the year ended March 31, 2022, was approximately HKD 63,600,000, a decrease of about 6.5% from approximately HKD 68,000,000 for the previous year[16] - For the fiscal year ending March 31, 2022, the group's net profit decreased by approximately 57.4% to HKD 11,800,000 from HKD 27,600,000 for the year ending March 31, 2021[22] - The group's pure profit margin was approximately 9.2% for the fiscal year ending March 31, 2022, down from about 20.5% for the fiscal year ending March 31, 2021[22] Dividends and Shareholder Returns - The board has established a robust dividend policy to balance shareholder returns with the long-term sustainability of the company[8] - The company declared an interim dividend of HKD 0.025 per share for the six months ending September 30, 2021, and a second interim dividend of HKD 0.055 per share for the fiscal year ending March 31, 2022[8] - The board does not recommend any final dividend for the year ending March 31, 2022, compared to a final dividend of HKD 0.125 per share for the previous year[1] - The total reserves available for distribution to shareholders as of March 31, 2022, were approximately HKD 72.7 million, down from HKD 121 million in 2021[52] Market and Business Strategy - The company plans to leverage its competitive advantages to expand its customer base and enhance professional services[8] - The company is preparing to seize new market opportunities, particularly focusing on initial public offerings[6] - The group aims to expand its business relationships with financial institutions and law firms to enhance its market share in the bond announcement and IPO prospectus segments[14] Administrative and Operational Changes - The company expanded its office space by approximately 40% to provide more meeting rooms and enhance client services[6] - Administrative expenses increased from approximately HKD 24,900,000 to approximately HKD 29,900,000, primarily due to an increase in trade receivables impairment losses and depreciation of machinery and equipment[19] - The average number of employees decreased from 96 to 91 between the fiscal years ending March 31, 2021, and March 31, 2022[24] - The group incurred employee costs of approximately HKD 53,600,000 for the fiscal year ending March 31, 2022, compared to HKD 48,700,000 for the previous year[24] Risk Management and Compliance - The company has adopted a risk management system that identifies, assesses, and manages risks related to its business operations[146] - The internal control system is aligned with the 2013 framework sponsored by the Treadway Commission, ensuring operational effectiveness and compliance with applicable laws[150] - The company has implemented measures to ensure the confidentiality of insider information and compliance with disclosure regulations[154] - The board of directors has confirmed compliance with the standard code for securities trading as of March 31, 2022[140] Corporate Governance - The board consists of five members, including one female, achieving gender diversity standards[101] - The company has three independent non-executive directors, meeting the requirement of at least one-third of the board[105] - The audit committee includes three independent non-executive directors, with the chairman possessing appropriate professional qualifications[113] - The audit committee's main responsibilities include reviewing financial statements and overseeing the financial reporting process[114] - The company has established a formal and transparent procedure for the appointment and succession planning of directors[106] Financial Reporting and Audit - The company is responsible for preparing consolidated financial statements that fairly reflect the financial position according to Hong Kong Financial Reporting Standards and the Companies Ordinance[191] - The audit committee is tasked with overseeing the financial reporting process of the group[192] - The auditors must assess the appropriateness of the going concern basis used by the company's directors and identify any significant uncertainties that may affect the group's ability to continue as a going concern[196] - The auditors evaluate the overall presentation, structure, and content of the consolidated financial statements, including disclosures, to ensure fair reporting of transactions[198] Shareholder Communication - The company has established an investor relations policy to provide timely updates to investors regarding business developments and financial performance[165] - The company ensures that all shareholders receive meeting notices and relevant documents at least 20 business days before the annual general meeting[168] - The company has a shareholder communication policy to ensure timely and clear information is provided to shareholders and investors[172]

[Company Information](index=3&type=section&id=Company%20Information) This section provides fundamental corporate information for Superior Group Holdings Limited, including board members, auditors, and key governance details - The Board of Directors includes Executive Directors Mr. Lam Kim Wan (Chairman) and Mr. Fong Wing Kwong (Chief Executive Officer), and Independent Non-executive Directors Mr. Yu Ming Wai, Ms. Sze Tak On, and Mr. Leung Siu Hong[4](index=4&type=chunk) - The company's auditor is Shinewing (HK) CPA Limited, and the Hong Kong share registrar is Tricor Investor Services Limited[4](index=4&type=chunk) - The company has established an Audit Committee, Remuneration Committee, and Nomination Committee to enhance corporate governance[4](index=4&type=chunk) [Management Discussion and Analysis](index=4&type=section&id=Management%20Discussion%20and%20Analysis) This section outlines Superior Group Holdings Limited's operating results and financial position for the six months ended September 30, 2021, noting decreased revenue and profit due to reduced government subsidies, alongside strategic initiatives and a proposed interim dividend [Business Review](index=4&type=section&id=Business%20Review) For the six months ended September 30, 2021, group revenue decreased by approximately **4.8%** year-on-year, primarily due to declines in performance announcements and financial reports, and corporate announcements and shareholder circulars, partially offset by an increase in debt circulars and IPO prospectuses - Group revenue decreased by approximately **4.8%** year-on-year[7](index=7&type=chunk) Segment Revenue Changes (HKD Thousands) | Segment | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | Change | | :----------------------------- | :-------------------------- | :-------------------------- | :----- | | Performance Announcements and Financial Reports | 36,300 | 42,900 | (6,600) | | Corporate Announcements and Shareholder Circulars | 18,300 | 19,700 | (1,400) | | Debt Circulars and IPO Prospectuses | 12,700 | 8,000 | 4,700 | [Outlook](index=4&type=section&id=Outlook) The group anticipates continued uncertainty in the global economy and Hong Kong financial markets but is actively responding by expanding office space by approximately **40%** to enhance client experience and rebranding to "Superior International Corporate Services Limited" to explore new opportunities, particularly in IPO projects - The global economy and Hong Kong financial markets are expected to remain shrouded in various uncertainties stemming from the COVID-19 pandemic and industry-specific factors[8](index=8&type=chunk) - The group capitalized on lower rental costs to lease additional office space, expanding its total office area by approximately **40%** to provide more meeting rooms and establish a newly renovated headquarters, enhancing client experience[8](index=8&type=chunk) - Superior International Financial Printing Limited has been renamed Superior International Corporate Services Limited to explore new opportunities, with a particular focus on initial public offering projects[8](index=8&type=chunk) [Financial Review](index=5&type=section&id=Financial%20Review) The group's financial performance declined overall this period, with reduced revenue, cost of services, and gross profit; profit for the period significantly decreased by **28.1%** due to the absence of prior-period government subsidies, while administrative expenses rose from increased depreciation of machinery and equipment Key Financial Metrics Changes (HKD Thousands) | Metric | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | Change Rate | | :------------------- | :-------------------------- | :-------------------------- | :------- | | Revenue | 70,500 | 74,100 | (4.8%) | | Cost of Services | 34,000 | 35,800 | (4.9%) | | Gross Profit | 36,500 | 38,300 | (4.7%) | | Other Income | 2,400 | 7,400 | (67.6%) | | Selling and Distribution Expenses | 7,300 | 7,600 | (3.9%) | | Administrative Expenses | 14,100 | 13,000 | 8.5% | | Profit for the Period | 13,600 | 19,000 | (28.1%) | - Other income significantly decreased, primarily due to the absence of approximately **HKD 5.2 million** in government subsidies from the Employment Support Scheme received in the prior period[14](index=14&type=chunk) - Administrative expenses increased by approximately **HKD 1.3 million**, mainly due to higher depreciation of machinery and equipment[16](index=16&type=chunk) [Liquidity, Financial Resources, and Capital Structure](index=7&type=section&id=Liquidity,%20Financial%20Resources,%20and%20Capital%20Structure) The group maintains a sound financial position with stable gearing, though net current assets and cash and cash equivalents decreased; the group has no borrowings and plans to fund future operations from cash generated by business operations Liquidity Metrics | Metric | As at September 30, 2021 | As at March 31, 2021 | | :------------------- | :-------------- | :-------------- | | Gearing Ratio | 6.7% | 6.6% | | Net Current Assets | HKD 97,400,000 | HKD 131,500,000 | | Cash and Cash Equivalents | HKD 95,600,000 | HKD 132,500,000 | - The group had no borrowings, bank overdrafts, bank loans, or bank facilities at the end of the reporting period[23](index=23&type=chunk) - The group intends to fund its future operations, capital expenditures, and other capital needs with cash generated from business operations and available cash and bank balances[23](index=23&type=chunk) [Employees and Remuneration Policy](index=7&type=section&id=Employees%20and%20Remuneration%20Policy) As of September 30, 2021, the group employed **91** full-time employees, with a slight decrease in employee costs, emphasizing talent retention and performance-based remuneration - As of September 30, 2021, the group employed **91** full-time employees (September 30, 2020: 95 employees)[23](index=23&type=chunk) - Employee costs (including directors' emoluments) for the reporting period were approximately **HKD 23.8 million** (corresponding period in 2020: approximately HKD 25.2 million)[23](index=23&type=chunk) - Remuneration policy considers group performance, individual employee performance, and prevailing market levels[23](index=23&type=chunk) [Significant Investments / Acquisitions and Disposals](index=7&type=section&id=Significant%20Investments%20%2F%20Acquisitions%20and%20Disposals) For the six months ended September 30, 2021, the group made no significant investments or material acquisitions and disposals - The group made no significant investments or material acquisitions and disposals during the six months ended September 30, 2021[25](index=25&type=chunk) [Pledge of Assets](index=7&type=section&id=Pledge%20of%20Assets) As of September 30, 2021, and September 30, 2020, the group had not pledged any of its assets - As of September 30, 2021, and September 30, 2020, the group had not pledged any of its assets[26](index=26&type=chunk) [Future Plans for Material Investments or Capital Assets](index=7&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) As of September 30, 2021, the group had no specific plans for material investments or capital assets - As of September 30, 2021, there were no specific plans for material investments or capital assets[27](index=27&type=chunk) [Contingent Liabilities](index=7&type=section&id=Contingent%20Liabilities) As of September 30, 2021, and September 30, 2020, the group had no significant contingent liabilities - As of September 30, 2021, and September 30, 2020, the group had no significant contingent liabilities[28](index=28&type=chunk) [Dividends](index=8&type=section&id=Dividends) The Board recommends an interim dividend of **2.5 HK cents** per share for the six months ended September 30, 2021, totaling **HKD 10 million**, payable by January 14, 2022, with share transfer registration suspended from December 14 to 17, 2021 - The Board recommends an interim dividend of **2.5 HK cents** per share for the six months ended September 30, 2021 (six months ended September 30, 2020: nil), amounting to **HKD 10 million**[31](index=31&type=chunk) - The interim dividend is expected to be paid on or before Friday, January 14, 2022[31](index=31&type=chunk) - To ascertain the entitlement to the proposed interim dividend, the company will suspend share transfer registration from Tuesday, December 14, 2021, to Friday, December 17, 2021[32](index=32&type=chunk) [Foreign Exchange Risk](index=8&type=section&id=Foreign%20Exchange%20Risk) Given that the group's business activities are conducted solely in Hong Kong and primarily denominated in Hong Kong Dollars, the directors consider the group's foreign exchange risk to be insignificant - The group's business activities are conducted solely in Hong Kong and primarily denominated in Hong Kong Dollars, thus the directors consider the group's foreign exchange risk to be insignificant[33](index=33&type=chunk) [Events After Reporting Period](index=8&type=section&id=Events%20After%20Reporting%20Period) There were no significant events concerning the group after the end of the reporting period of this report - There were no significant events concerning the group after the end of the reporting period of this report[34](index=34&type=chunk) [Acknowledgements](index=8&type=section&id=Acknowledgements) The group extends its sincere gratitude to its clients, business partners, shareholders, and all employees for their continuous support, trust, loyal contributions, and hard work - The group takes this opportunity to express its sincere gratitude to its clients, business partners, and shareholders for their continuous support and trust[35](index=35&type=chunk) - The group also sincerely thanks all employees for their loyal contributions and hard work during the period[35](index=35&type=chunk) [Other Information](index=9&type=section&id=Other%20Information) This section discloses corporate governance-related information for Superior Group Holdings Limited, including directors' and substantial shareholders' equity interests, share option scheme, share dealings, compliance with corporate governance code, updates on directors' information, and the audit committee's operations, confirming compliance with listing rules and maintaining sufficient public float [Directors' and Chief Executive's Interests and Short Positions in Shares, Underlying Shares, and Debentures of the Company and its Associated Corporations](index=9&type=section&id=Directors'%20and%20Chief%20Executive's%20Interests%20and%20Short%20Positions%20in%20Shares,%20Underlying%20Shares,%20and%20Debentures%20of%20the%20Company%20and%20its%20Associated%20Corporations) As of September 30, 2021, Executive Directors Mr. Lam Kim Wan and Mr. Fong Wing Kwong each held a **29.1%** long position in the company's shares through controlled corporations, while Independent Non-executive Director Mr. Yu Ming Wai held a **0.1%** beneficial interest, with no other equity derivatives or short positions held by directors or the chief executive Directors' Long Positions in Company Shares | Director's Name | Long/Short Position | Capacity | Number of Shares Held | Approximate Percentage of Issued Share Capital | | :----------- | :------- | :--------------- | :--------------- | :----------------------- | | Mr. Lam Kim Wan | Long Position | Interest in controlled corporation | 116,580,000 | 29.1% | | Mr. Fong Wing Kwong | Long Position | Interest in controlled corporation | 116,580,000 | 29.1% | | Mr. Yu Ming Wai | Long Position | Beneficial interest | 580,000 | 0.1% | - Mr. Lam Kim Wan and Mr. Fong Wing Kwong each hold share interests through their wholly-owned Brilliant Ray Global Limited and Long Peak Holdings Limited, respectively[39](index=39&type=chunk)[40](index=40&type=chunk) - As of September 30, 2021, no director or chief executive of the company held any interests in underlying shares of the company or its associated corporations, whether in physical settlement, cash settlement, or other equity derivatives[40](index=40&type=chunk) [Substantial Shareholders' Interests and Short Positions in Shares and Underlying Shares of the Company](index=10&type=section&id=Substantial%20Shareholders'%20Interests%20and%20Short%20Positions%20in%20Shares%20and%20Underlying%20Shares%20of%20the%20Company) As of September 30, 2021, Brilliant Ray Global Limited and Long Peak Holdings Limited each held a **29.1%** long position in the company's shares, Wise Reward Enterprises Limited held **6.0%**, and Long Style Investments Limited and its associates (including New Work Investments Limited, United Asia Finance Limited, and Lee Sing Fai, Lee Suk Wai, Lee Sing Hwong) collectively held a **5.4%** long position Substantial Shareholders' Long Positions in Company Shares | Name | Long/Short Position | Capacity | Number of Shares Held | Approximate Percentage of Issued Share Capital | | :----------------------------- | :------- | :--------------- | :--------------- | :----------------------- | | Brilliant Ray Global Limited | Long Position | Beneficial owner | 116,580,000 | 29.1% | | Long Peak Holdings Limited | Long Position | Beneficial owner | 116,580,000 | 29.1% | | Wise Reward Enterprises Limited | Long Position | Beneficial owner | 24,000,000 | 6.0% | | Mr. Lam Man Yiu | Long Position | Interest in controlled corporation | 24,000,000 | 6.0% | | Long Style Investments Limited | Long Position | Beneficial owner | 21,630,000 | 5.4% | | New Work Investments Limited | Long Position | Interest in controlled corporation | 21,630,000 | 5.4% | | United Asia Finance Limited | Long Position | Interest in controlled corporation | 21,630,000 | 5.4% | | Mr. Lee Sing Hwong | Long Position | Interest in controlled corporation | 21,630,000 | 5.4% | | Mr. Lee Sing Fai | Long Position | Interest in controlled corporation | 21,630,000 | 5.4% | | Ms. Lee Suk Wai | Long Position | Interest in controlled corporation | 21,630,000 | 5.4% | - Brilliant Ray is wholly-owned by Mr. Lam Kim Wan, Long Peak by Mr. Fong Wing Kwong, and Wise Reward Enterprises Limited by Mr. Lam Man Yiu[41](index=41&type=chunk)[42](index=42&type=chunk)[43](index=43&type=chunk) - Long Style Investments Limited is wholly-owned by New Work Investments Limited, which is controlled by United Asia Finance Limited, whose ultimate controlling shareholders are the trustees of the Lee and Lee Trust (Lee Sing Fai, Lee Suk Wai, and Lee Sing Hwong)[43](index=43&type=chunk) [Share Option Scheme](index=11&type=section&id=Share%20Option%20Scheme) The company adopted a share option scheme on March 23, 2016, but no share options were granted or remained outstanding during the six months ended September 30, 2021; under the scheme, the company may issue up to **40 million** shares, representing **10%** of the existing issued share capital - The company conditionally adopted a share option scheme on March 23, 2016[45](index=45&type=chunk) - No share options were granted during the six months ended September 30, 2021, and no share options remained outstanding as of September 30, 2021[45](index=45&type=chunk) - As of September 30, 2021, the company could issue **40 million** shares under the scheme, representing **10%** of the company's existing issued share capital as of the date of this report[45](index=45&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=11&type=section&id=Purchase,%20Sale%20or%20Redemption%20of%20the%20Company's%20Listed%20Securities) For the six months ended September 30, 2021, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities - For the six months ended September 30, 2021, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[46](index=46&type=chunk) [Pre-emptive Rights](index=11&type=section&id=Pre-emptive%20Rights) The company's articles of association do not contain provisions for pre-emptive rights, and Cayman Islands law does not impose restrictions on such rights - The company's articles of association do not contain provisions for pre-emptive rights, and Cayman Islands law does not impose restrictions on such rights[47](index=47&type=chunk) [Corporate Governance](index=11&type=section&id=Corporate%20Governance) The company has adopted and complied with the Corporate Governance Code set out in Appendix 14 of the Listing Rules, and has consistently adhered to it throughout the six months ended September 30, 2021 - The company has adopted the code provisions set out in the Corporate Governance Code in Appendix 14 of the Listing Rules as its own corporate governance code[48](index=48&type=chunk) - For the six months ended September 30, 2021, the company has consistently complied with the code provisions set out in the Corporate Governance Code[48](index=48&type=chunk) [Directors' and Controlling Shareholders' Interests in Competing Business](index=12&type=section&id=Directors'%20and%20Controlling%20Shareholders'%20Interests%20in%20Competing%20Business) For the six months ended September 30, 2021, no director, controlling shareholder of the company, or their respective close associates had any interest in a business that competes or is likely to compete with the group's business - For the six months ended September 30, 2021, no director, controlling shareholder of the company, or their respective close associates had any interest in a business that competes or is likely to compete with the group's business[51](index=51&type=chunk) [Directors' Securities Transactions](index=12&type=section&id=Directors'%20Securities%20Transactions) The company has adopted the Model Code as its code of conduct for directors' securities transactions, and all directors confirmed compliance during the reporting period; the company also applies the same standards to employees who may possess unpublished inside information - The company has adopted the Model Code as its own code of conduct governing directors' securities transactions[52](index=52&type=chunk) - Following specific enquiries, all directors confirmed their compliance with the required standards set out in the Model Code for the six months ended September 30, 2021[52](index=52&type=chunk) - The company has adopted the same standards for securities transactions for employees who may possess unpublished inside information of the company or its securities, and for directors or employees of its subsidiaries[53](index=53&type=chunk) [Update on Directors' Information](index=12&type=section&id=Update%20on%20Directors'%20Information) In accordance with Rule 13.51B(1) of the Listing Rules, Mr. Yu Ming Wai resigned as an executive director of Feishang Anthracite Resources Limited (stock code: 1738) on September 27, 2021 - Mr. Yu Ming Wai resigned as an executive director of Feishang Anthracite Resources Limited (stock code: 1738), a company listed on the Stock Exchange, on September 27, 2021[50](index=50&type=chunk) [Sufficiency of Public Float](index=12&type=section&id=Sufficiency%20of%20Public%20Float) Based on publicly available information and to the best of the directors' knowledge, the company maintained a sufficient public float of at least **25%** of its issued shares as required by the Listing Rules throughout the six months ended September 30, 2021 - Throughout the six months ended September 30, 2021, the company maintained a sufficient public float of at least **25%** of its issued shares as required by the Listing Rules[54](index=54&type=chunk) [Audit Committee](index=12&type=section&id=Audit%20Committee) The company's Audit Committee, established on March 23, 2016, comprises three independent non-executive directors and has reviewed the group's unaudited condensed consolidated interim financial statements for the six months ended September 30, 2021 - The company's Audit Committee was established on March 23, 2016, with written terms of reference complying with the Listing Rules and the Corporate Governance Code[55](index=55&type=chunk) - The Audit Committee comprises three independent non-executive directors[55](index=55&type=chunk) - The Audit Committee has reviewed the group's unaudited condensed consolidated interim financial statements for the six months ended September 30, 2021[55](index=55&type=chunk) [Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=13&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended September 30, 2021, Superior Group Holdings Limited's revenue, gross profit, and profit for the period all decreased year-on-year; revenue fell by **4.8%**, gross profit by **4.7%**, and profit and total comprehensive income attributable to owners of the company significantly decreased by **28.1%**, primarily due to reduced government subsidies in other income, with basic and diluted earnings per share declining accordingly Summary of Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (HKD Thousands) | Metric | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | Change Rate | | :------------------------------------------------- | :-------------------------- | :-------------------------- | :------- | | Revenue | 70,491 | 74,051 | (4.8%) | | Cost of Services | (34,018) | (35,781) | (4.9%) | | Gross Profit | 36,473 | 38,270 | (4.7%) | | Other Income | 2,394 | 7,424 | (67.8%) | | Selling and Distribution Expenses | (7,270) | (7,605) | (4.4%) | | Administrative Expenses | (14,102) | (12,953) | 8.9% | | Impairment Loss on Trade Receivables | (1,466) | (2,402) | (39.0%) | | Finance Costs | (158) | (37) | 327.0% | | Profit Before Tax | 15,871 | 22,697 | (30.1%) | | Income Tax Expense | (2,242) | (3,728) | (39.9%) | | Profit and Total Comprehensive Income Attributable to Owners of the Company | 13,629 | 18,969 | (28.1%) | | Earnings Per Share (HK cents) – Basic and Diluted | 3.41 | 4.74 | (28.1%) | - The decrease in profit for the period was primarily due to the absence of government subsidies received in the period ended September 30, 2020, under the Employment Support Scheme for job retention and combating COVID-19[58](index=58&type=chunk) [Unaudited Condensed Consolidated Statement of Financial Position](index=14&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of September 30, 2021, Superior Group Holdings Limited's total assets, net current assets, and net assets all decreased compared to March 31, 2021; contract assets and bank balances significantly declined within current assets, while trade and other receivables increased, and non-current assets saw reductions in machinery and equipment and right-of-use assets Summary of Condensed Consolidated Statement of Financial Position (HKD Thousands) | Metric | As at September 30, 2021 (Unaudited) | As at March 31, 2021 (Audited) | Change | | :----------------------------- | :-------------------------- | :-------------------------- | :----- | | **Non-current Assets** | | | | | Property, Plant and Equipment | 10,784 | 13,159 | (2,375) | | Right-of-Use Assets | 7,781 | 9,904 | (2,123) | | Goodwill | 11,423 | 11,423 | 0 | | Lease Deposits | 1,462 | 1,462 | 0 | | **Total Non-current Assets** | **31,450** | **35,948** | **(4,498)** | | **Current Assets** | | | | | Contract Assets | 1,312 | 15,426 | (14,114) | | Trade and Other Receivables | 35,651 | 22,618 | 13,033 | | Income Tax Recoverable | 195 | 1,175 | (980) | | Bank Balances | 95,550 | 132,493 | (36,943) | | **Total Current Assets** | **132,708** | **171,712** | **(39,004)** | | **Current Liabilities** | | | | | Trade and Other Payables | 25,993 | 27,560 | (1,567) | | Contract Liabilities | 4,860 | 8,252 | (3,392) | | Lease Liabilities | 4,457 | 4,354 | 103 | | Income Tax Payable | – | 18 | (18) | | **Total Current Liabilities** | **35,310** | **40,184** | **(4,874)** | | **Net Current Assets** | **97,398** | **131,528** | **(34,130)** | | **Total Assets Less Current Liabilities** | **128,848** | **167,476** | **(38,628)** | | **Non-current Liabilities** | | | | | Lease Liabilities | 4,043 | 6,300 | (2,257) | | Deferred Tax Liabilities | 241 | 241 | 0 | | **Total Non-current Liabilities** | **4,284** | **6,541** | **(2,257)** | | **Net Assets** | **124,564** | **160,935** | **(36,371)** | | **Capital and Reserves** | | | | | Share Capital | 4,000 | 4,000 | 0 | | Reserves | 120,564 | 156,935 | (36,371) | | **Total Equity** | **124,564** | **160,935** | **(36,371)** | - Net current assets decreased from approximately **HKD 131.5 million** to approximately **HKD 97.4 million**[60](index=60&type=chunk) - Bank balances decreased from approximately **HKD 132.5 million** to approximately **HKD 95.6 million**[60](index=60&type=chunk) [Unaudited Condensed Consolidated Statement of Changes in Equity](index=15&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) For the six months ended September 30, 2021, Superior Group Holdings Limited's total equity decreased from **HKD 160.935 million** at the beginning of the period to **HKD 124.564 million**, primarily due to the declaration and payment of a **HKD 50 million** dividend for the year ended March 31, 2021, partially offset by profit for the period of **HKD 13.629 million** Summary of Condensed Consolidated Statement of Changes in Equity (HKD Thousands) | Item | Share Capital | Share Premium | Other Reserves | Retained Profits | Total | | :-------------------------------------------------------- | :----- | :------- | :------- | :------- | :------- | | As at April 1, 2021 (Audited) | 4,000 | 35,954 | (1) | 120,982 | 160,935 | | Profit and Total Comprehensive Income for the Period | – | – | – | 13,629 | 13,629 | | Dividend Declared and Paid for the Year Ended March 31, 2021 | – | – | – | (50,000) | (50,000) | | **As at September 30, 2021 (Unaudited)** | **4,000** | **35,954** | **(1)** | **84,611** | **124,564** | | As at April 1, 2020 (Audited) | 4,000 | 35,954 | (1) | 93,399 | 133,352 | | Profit and Total Comprehensive Income for the Period | – | – | – | 18,969 | 18,969 | | **As at September 30, 2020 (Unaudited)** | **4,000** | **35,954** | **(1)** | **112,368** | **152,321** | - The decrease in total equity was primarily due to the declaration and payment of a **HKD 50 million** dividend for the year ended March 31, 2021[63](index=63&type=chunk) [Unaudited Condensed Consolidated Statement of Cash Flows](index=16&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) For the six months ended September 30, 2021, Superior Group Holdings Limited's cash and cash equivalents saw a net decrease of **HKD 36.943 million**, mainly attributable to a significant increase in net cash used in financing activities (primarily dividend payments) and a decrease in net cash generated from operating activities Summary of Condensed Consolidated Statement of Cash Flows (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :--------------------------------- | :-------------------------- | :-------------------------- | | Net Cash Generated from Operating Activities | 13,222 | 26,211 | | Net Cash (Used in) Generated from Investing Activities | (7) | 308 | | Net Cash Used in Financing Activities | (50,158) | (37) | | **Net (Decrease) Increase in Cash and Cash Equivalents** | **(36,943)** | **26,482** | | Cash and Cash Equivalents at April 1 | 132,493 | 105,214 | | **Cash and Cash Equivalents at September 30** | **95,550** | **131,696** | - Net cash used in financing activities significantly increased to **HKD 50.158 million**, primarily due to dividend payments[66](index=66&type=chunk) - Net cash generated from operating activities decreased from **HKD 26.211 million** to **HKD 13.222 million**[66](index=66&type=chunk) [Notes to the Unaudited Condensed Consolidated Interim Financial Statements](index=17&type=section&id=Notes%20to%20the%20Unaudited%20Condensed%20Consolidated%20Interim%20Financial%20Statements) This section provides detailed notes to Superior Group Holdings Limited's unaudited condensed consolidated interim financial statements, covering company information, basis of preparation, accounting policy changes, revenue analysis, segment information, other income, finance costs, income tax expense, profit for the period, dividends, earnings per share, property, plant and equipment acquisitions, trade and other receivables and payables, share capital structure, and related party transactions [1. Company Information](index=17&type=section&id=1.%20Company%20Information) Superior Group Holdings Limited was incorporated in the Cayman Islands as an exempted company on April 20, 2015, operating as an investment holding company with its principal operating subsidiary engaged in financial printing services, and its ultimate holding company being Brilliant Ray Global Limited - The company was incorporated as an exempted company in the Cayman Islands on April 20, 2015[72](index=72&type=chunk) - The company is an investment holding company, and its principal operating subsidiary is engaged in providing financial printing services[73](index=73&type=chunk) - Its parent company and ultimate holding company is Brilliant Ray Global Limited[72](index=72&type=chunk) [2. Basis of Preparation](index=17&type=section&id=2.%20Basis%20of%20Preparation) The condensed consolidated financial statements are presented in Hong Kong Dollars, prepared on a historical cost basis, and comply with Hong Kong Financial Reporting Standards, Hong Kong Generally Accepted Accounting Principles, and applicable disclosure provisions of the Listing Rules; these statements are unaudited but have been reviewed by the Audit Committee - The unaudited condensed consolidated financial statements are presented in Hong Kong Dollars, which is the group's functional currency[74](index=74&type=chunk) - The condensed consolidated financial statements are prepared on a historical cost basis and in accordance with Hong Kong Financial Reporting Standards and Hong Kong Generally Accepted Accounting Principles issued by the Hong Kong Institute of Certified Public Accountants[75](index=75&type=chunk) - The condensed consolidated financial statements have not been audited by the company's independent auditor but have been reviewed by the Audit Committee[76](index=76&type=chunk) [3. Changes in Accounting Policies](index=18&type=section&id=3.%20Changes%20in%20Accounting%20Policies) During this interim period, the group first applied amendments to Hong Kong Financial Reporting Standards issued by the Hong Kong Institute of Certified Public Accountants, including those related to Covid-19-related rent concessions and Phase 2 of interest rate benchmark reform, which had no significant impact on the group's financial position or performance - The group has first applied the amendments to the Conceptual Framework for Financial Reporting and the following revised Hong Kong Financial Reporting Standards, issued by the Hong Kong Institute of Certified Public Accountants, which are mandatorily effective for annual periods beginning on or after April 1, 2021[78](index=78&type=chunk) - The application of the revised Hong Kong Financial Reporting Standards had no significant impact on the group's financial position and performance for the current and prior periods and/or the disclosures contained in these condensed consolidated financial statements[78](index=78&type=chunk) [4. Revenue](index=18&type=section&id=4.%20Revenue) The group's revenue primarily derives from providing financial printing services in Hong Kong, totaling **HKD 70.491 million** for the six months ended September 30, 2021, a decrease from **HKD 74.051 million** in the prior year, though revenue from debt circulars and IPO prospectuses increased - Revenue refers to revenue generated from providing financial printing services in Hong Kong[79](index=79&type=chunk) Revenue by Segment (HKD Thousands) | Segment | 2021 (Unaudited) | 2020 (Unaudited) | | :----------------------------- | :----------------- | :----------------- | | Performance Announcements and Financial Reports | 36,327 | 42,889 | | Corporate Announcements and Shareholder Circulars | 18,298 | 19,702 | | Debt Circulars and IPO Prospectuses | 12,743 | 8,032 | | Fund Documents | 978 | 572 | | Others | 2,145 | 2,856 | | **Total** | **70,491** | **74,051** | [5. Segment Information](index=19&type=section&id=5.%20Segment%20Information) In accordance with HKFRS 8, the group is primarily engaged in providing financial printing services, constituting a single reportable and operating segment; all revenue is derived from Hong Kong, and all assets and liabilities are located in Hong Kong, thus no segment or geographical information is presented - The group is primarily engaged in providing financial printing services, which constitutes a single reportable and operating segment[83](index=83&type=chunk) - All of the group's revenue is derived from Hong Kong, and its assets and liabilities are all located in Hong Kong, thus no geographical information is presented[83](index=83&type=chunk) [6. Other Income](index=19&type=section&id=6.%20Other%20Income) Other income significantly decreased from **HKD 7.424 million** in the prior period to **HKD 2.394 million** in 2021, primarily due to the absence of approximately **HKD 5.223 million** in government subsidies received in the prior period, while reversal of impairment loss on trade receivables increased Other Income Details (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :----------------------------- | :-------------------------- | :-------------------------- | | Bank Interest Income | 105 | 477 | | Government Subsidies | – | 5,223 | | Others | 77 | 207 | | Reversal of Impairment Loss on Trade Receivables | 2,212 | 1,517 | | **Total** | **2,394** | **7,424** | - The decrease in other income was primarily due to the absence of approximately **HKD 5.2 million** in government subsidies received in the period ended September 30, 2020, under the Employment Support Scheme for job retention and combating COVID-19[84](index=84&type=chunk) [7. Finance Costs](index=19&type=section&id=7.%20Finance%20Costs) Finance costs increased from **HKD 37,000** in the prior period to **HKD 158,000** in 2021, entirely attributable to interest on lease liabilities Finance Costs Details (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :------------------- | :-------------------------- | :-------------------------- | | Interest on Lease Liabilities | 158 | 37 | [8. Income Tax Expense](index=20&type=section&id=8.%20Income%20Tax%20Expense) Income tax expense decreased from **HKD 3.728 million** in the prior period to **HKD 2.242 million** in 2021; Hong Kong profits tax is calculated at **8.25%** on the first **HKD 2 million** of assessable profits and **16.5%** on the remainder, while the company, incorporated in the Cayman Islands, is exempt from local taxation Income Tax Expense Details (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :------------------- | :-------------------------- | :-------------------------- | | Current Tax: Hong Kong Profits Tax | 2,242 | 3,728 | | Deferred Tax | – | – | | **Total** | **2,242** | **3,728** | - Hong Kong profits tax is calculated at **8.25%** on the first **HKD 2 million** of estimated assessable profits for the period and **16.5%** on the remaining assessable profits[87](index=87&type=chunk) - The company, being an exempted company incorporated in the Cayman Islands, is not subject to any tax on profit, income, gains, or appreciation by individuals or corporations[88](index=88&type=chunk) [9. Profit for the Period](index=21&type=section&id=9.%20Profit%20for%20the%20Period) Profit for the period is arrived at after deducting various expenses; for the six months ended September 30, 2021, total staff costs (excluding directors' emoluments) decreased, while depreciation of machinery and equipment and right-of-use assets increased Profit for the Period Deductions (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :------------------------------------ | :-------------------------- | :-------------------------- | | Salaries, Wages, and Other Benefits | 20,652 | 21,975 | | Contributions to Defined Contribution Retirement Benefit Plans | 689 | 712 | | **Total Staff Costs (Excluding Directors' Emoluments)** | **21,341** | **22,687** | | Directors' Emoluments | 2,447 | 2,497 | | Depreciation of Property, Plant and Equipment | 2,487 | 1,145 | | Depreciation of Right-of-Use Assets | 2,122 | 1,459 | - Depreciation of machinery and equipment increased by approximately **HKD 1.342 million**, and depreciation of right-of-use assets increased by approximately **HKD 663,000**[91](index=91&type=chunk) [10. Dividends](index=21&type=section&id=10.%20Dividends) The Board recommends an interim dividend of **2.5 HK cents** per share for the six months ended September 30, 2021; the company paid a final dividend of **12.5 HK cents** per share, totaling **HKD 50 million**, for the year ended March 31, 2021, during the period - The Board recommends an interim dividend of **2.5 HK cents** per share for the six months ended September 30, 2021 (six months ended September 30, 2020: nil)[92](index=92&type=chunk) Dividends Paid (HKD Thousands) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :------------------------------------------------- | :-------------------------- | :-------------------------- | | Final Dividend Paid for the Year Ended March 31, 2021 of 12.5 HK cents per share | (50,000) | – | [11. Earnings Per Share](index=22&type=section&id=11.%20Earnings%20Per%20Share) For the six months ended September 30, 2021, basic and diluted earnings per share attributable to owners of the company were **3.41 HK cents**, a decrease from **4.74 HK cents** in the prior period; diluted earnings per share are the same as basic earnings per share due to the absence of potentially dilutive ordinary shares outstanding Earnings Per Share Calculation (HKD Thousands/Thousands of Shares) | Item | Six Months Ended September 30, 2021 | Six Months Ended September 30, 2020 | | :------------------------------------ | :-------------------------- | :-------------------------- | | Profit Used for Basic Earnings Per Share Calculation | 13,629 | 18,969 | | Weighted Average Number of Ordinary Shares Used for Basic Earnings Per Share Calculation | 400,000 | 400,000 | | **Basic and Diluted Earnings Per Share (HK cents)** | **3.41** | **4.74** | - Diluted earnings per share for the six months ended September 30, 2021, and 2020, are the same as basic earnings per share because there were no potentially dilutive ordinary shares outstanding[94](index=94&type=chunk) [12. Property, Plant and Equipment](index=22&type=section&id=12.%20Property,%20Plant%20and%20Equipment) During the reporting period, the group's expenditure on acquiring property, plant and equipment was approximately **HKD 111,000**, a decrease from approximately **HKD 169,000** in the prior period - During the reporting period, the group incurred approximately **HKD 111,000** (six months ended September 30, 2020: approximately HKD 169,000) on the acquisition of property, plant and equipment[95](index=95&type=chunk) [13. Trade and Other Receivables](index=23&type=section&id=13.%20Trade%20and%20Other%20Receivables) As of September 30, 2021, total trade and other receivables amounted to **HKD 35.651 million**, an increase from March 31, 2021; trade receivables (net of impairment allowance) increased, with a significant rise in receivables aged between **31 and 180 days**, and the group's average credit period granted to customers is **30 days** Trade and Other Receivables Details (HKD Thousands) | Item | As at September 30, 2021 (Unaudited) | As at March 31, 2021 (Audited) | | :----------------------------- | :-------------------------- | :-------------------------- | | Trade Receivables | 37,873 | 27,642 | | Less: Impairment Allowance for Trade Receivables | (4,894) | (7,107) | | **Net Trade Receivables** | **32,979** | **20,535** | | Other Receivables and Deposits | 2,672 | 2,083 | | **Total Trade and Other Receivables** | **35,651** | **22,618** | Ageing Analysis of Trade Receivables (Net of Impairment Allowance, HKD Thousands) | Ageing | As at September 30, 2021 (Unaudited) | As at March 31, 2021 (Audited) | | :---------------- | :-------------------------- | :-------------------------- | | Within 30 days | 11,951 | 11,017 | | 31 to 60 days | 3,781 | 1,914 | | 61 to 90 days | 5,812 | 1,412 | | 91 to 180 days | 8,295 | 3,226 | | 181 to 365 days | 2,810 | 2,873 | | Over 365 days | 330 | 93 | | **Total** | **32,979** | **20,535** | - The average credit period granted by the group to its trade customers is **30 days**[97](index=97&type=chunk) [14. Trade and Other Payables](index=24&type=section&id=14.%20Trade%20and%20Other%20Payables) As of September 30, 2021, total trade and other payables amounted to **HKD 25.993 million**, a decrease from March 31, 2021; trade payables decreased, while accrued bonuses and commissions increased, and the average credit period granted to the group ranges from **30 to 90 days** Trade and Other Payables Details (HKD Thousands) | Item | As at September 30, 2021 (Unaudited) | As at March 31, 2021 (Audited) | | :----------------------------- | :-------------------------- | :-------------------------- | | Trade Payables | 13,478 | 16,156 | | Accrued Bonuses and Commissions | 5,398 | 4,512 | | Payables for Acquisition of Property, Plant and Equipment | 2,756 | 2,820 | | Accrued Expenses | 4,361 | 4,072 | | **Total Trade and Other Payables** | **25,993** | **27,560** | Ageing Analysis of Trade Payables (HKD Thousands) | Ageing | As at September 30, 2021 (Unaudited) | As at March 31, 2021 (Audited) | | :---------------- | :-------------------------- | :-------------------------- | | Within 30 days | 10,067 | 14,947 | | 31 to 60 days | 2,670 | 582 | | 61 to 90 days | 48 | – | | Over 90 days | 693 | 627 | | **Total Trade Payables** | **13,478** | **16,156** | - The average credit period granted ranges from **30 to 90 days**[100](index=100&type=chunk) [15. Share Capital](index=25&type=section&id=15.%20Share%20Capital) As of September 30, 2021, the company's authorized share capital was **HKD 80 million**, divided into **8 billion** ordinary shares of **HKD 0.01** each; the issued and fully paid share capital was **HKD 4 million**, comprising **400 million** ordinary shares, all of which rank pari passu in all respects Share Capital Structure | Item | Number of Ordinary Shares | Share Capital (HKD) | | :------------------------------------ | :--------------- | :----------- | | Authorized: As at March 31, 2021 and September 30, 2021 | 8,000,000,000 | 80,000,000 | | Issued and Fully Paid: As at March 31, 2021 and September 30, 2021 | 400,000,000 | 4,000,000 | - All issued shares rank pari passu in all respects with all existing issued shares[103](index=103&type=chunk) [16. Related Party Transactions](index=25&type=section&id=16.%20Related%20Party%20Transactions) Total remuneration for key management personnel (directors and other key management) for the period was **HKD 4.65 million**, primarily consisting of short-term benefits, representing a slight decrease from the prior period Key Management Personnel Remuneration (HKD Thousands) | Item | 2021 (Unaudited) | 2020 (Unaudited) | | :------------------- | :----------------- | :----------------- | | Short-term Benefits | 4,593 | 4,871 | | Post-employment Benefits | 57 | 63 | | **Total** | **4,650** | **4,934** |

Financial Performance - For the fiscal year ending March 31, 2021, the company recorded revenue of approximately HKD 134.4 million, a decrease of about 8.3% from approximately HKD 146.6 million in the previous year[6]. - The gross profit for the same period was approximately HKD 66.4 million, down about 12.8% from approximately HKD 76.1 million year-on-year[6]. - The net profit after tax increased to approximately HKD 27.6 million, representing a growth of about 6.4% compared to approximately HKD 25.9 million in the previous year[6]. - The company's net profit margin improved slightly to approximately 20.5%, compared to about 17.7% in the previous year[6]. - Revenue for the year ended March 31, 2021, was HKD 134,356,000, a decrease of 8.2% from HKD 146,551,000 in 2020[188]. - Gross profit decreased to HKD 66,384,000, down 12.8% from HKD 76,148,000 in the previous year[188]. - Other income increased significantly to HKD 8,890,000, compared to HKD 3,396,000 in 2020, representing a growth of 162.5%[188]. - Profit before tax rose to HKD 31,680,000, an increase of 3.5% from HKD 30,601,000 in the prior year[188]. - Net profit attributable to owners was HKD 27,583,000, up 6.4% from HKD 25,920,000 in 2020[188]. - Basic and diluted earnings per share increased to HKD 6.90, compared to HKD 6.48 in the previous year[188]. Revenue Breakdown - Revenue from the compliance documents segment was approximately HKD 35,700,000, maintaining relative stability compared to approximately HKD 34,300,000 from the previous year, accounting for about 26.5% of total revenue[9]. - Revenue from the debt issuance and IPO prospectus segment was approximately HKD 72,400,000, compared to approximately HKD 74,800,000 from the previous year, representing about 53.9% of total revenue[9]. - The revenue from the asset management services segment was approximately HKD 2,100,000, a decrease of about 21.6% from approximately HKD 2,600,000 in the previous year, accounting for about 1.5% of total revenue[13]. - The revenue from other services, including independent translation and design, increased by approximately 30.9% to about HKD 5,000,000, driven by increased market demand[13]. Expenses and Costs - Administrative expenses decreased from approximately HKD 30,200,000 to approximately HKD 24,900,000, primarily due to reductions in depreciation, employee costs, and legal fees[18]. - The group's service costs decreased from approximately HKD 70,400,000 to approximately HKD 68,000,000, a reduction of about 3.5%[15]. - The group's sales and distribution expenses decreased from approximately HKD 15,400,000 to approximately HKD 14,500,000, a decrease of about 5.6%[15]. - The group's income tax expense decreased from approximately HKD 4,700,000 to approximately HKD 4,100,000, mainly due to a reduction in taxable profits after deducting non-taxable government subsidies of approximately HKD 5,200,000[19]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.125 per share for the fiscal year, compared to no interim dividend in the previous year[7]. - The company has established a robust dividend policy to balance shareholder returns with long-term sustainable development[7]. - The company reported a total reserve available for distribution to shareholders of approximately HKD 121 million as of March 31, 2021, compared to HKD 93.4 million in 2020, representing a year-over-year increase of 29.5%[45]. - The company did not declare any interim dividends for the year ended March 31, 2021, while it declared a final dividend of HKD 0.125 per share[42]. Market and Economic Conditions - The ongoing COVID-19 pandemic and specific industry factors are expected to create uncertainties affecting the global economy and the financial printing industry[6]. - The company is preparing to seize new market opportunities, particularly focusing on initial public offering projects[6]. Governance and Management - The company has a strong governance structure with various committees including audit, remuneration, and nomination committees[33]. - The management team has extensive experience, with the CEO having over 25 years in management and business development[30]. - The CFO has over 29 years of experience in accounting, auditing, finance, and compliance[31]. - The independent non-executive director has over 23 years of experience in accounting and finance[33]. - The company has a diverse board with members having international qualifications and memberships in various accounting and governance organizations[33]. - The company emphasizes the importance of independent non-executive directors in providing independent judgment on strategy, policy, and performance[99]. Risk Management and Compliance - The company has established an effective risk management and internal control system, complying with the relevant codes[132]. - The board has reviewed the effectiveness of the risk management and internal control systems, finding them to be effective and adequate[146]. - The company has implemented measures to prevent insider trading and ensure accurate public disclosures[141]. - The internal audit function is independent and evaluates the risk management and internal control systems annually[145]. Shareholder Information - The company is required to hold a special general meeting upon the request of shareholders holding at least 10% of the paid-up capital[154]. - Shareholders can submit written inquiries to the board through the company secretary, ensuring transparency and communication[152]. - The company has established a shareholder communication policy to ensure timely and comprehensive information is provided to shareholders and investors[159].

Revenue and Profitability - The group's revenue decreased by approximately 7.9%, from about HKD 80,400,000 for the six months ended September 30, 2019, to about HKD 74,100,000 for the same period in 2020[6] - Revenue from the bond prospectus and IPO prospectus segment decreased by approximately HKD 8,500,000, while revenue from the performance announcement and financial reporting segment increased by approximately HKD 1,000,000, and revenue from company announcements and shareholder circulars increased by approximately HKD 1,100,000[9] - Gross profit decreased by approximately 15.8%, from about HKD 45,500,000 to about HKD 38,300,000[12] - The group's profit after tax decreased by approximately 1.1% or about HKD 200,000 to approximately HKD 19,000,000 for the six months ended September 30, 2020, compared to HKD 19,200,000 for the same period in 2019[20] - Profit attributable to owners of the company was HKD 18,969,000, slightly down from HKD 19,180,000, representing a decrease of 1.1%[57] - Basic and diluted earnings per share were HKD 4.74, compared to HKD 4.80 for the previous year, indicating a decline of 1.3%[57] Income and Expenses - Other income increased significantly from about HKD 1,100,000 to approximately HKD 7,400,000, mainly due to government subsidies of about HKD 5,200,000 received under the employment support scheme[13] - Employee costs, including director remuneration, amounted to approximately HKD 25,200,000 for the reporting period, compared to approximately HKD 24,600,000 for the same period in 2019[23] - The company incurred total employee costs of 22,687 thousand HKD for the six months ended September 30, 2020, an increase from 22,045 thousand HKD in the same period in 2019, representing an increase of about 2.9%[88] - The company’s income tax expense for the six months ended September 30, 2020, was 3,728 thousand HKD, up from 3,592 thousand HKD in the same period of 2019, reflecting an increase of about 3.8%[86] - Financing costs decreased from approximately HKD 107,000 to about HKD 37,000[17] - The company reported a decrease in financing costs, with interest on lease liabilities dropping to 37 thousand HKD from 107 thousand HKD in the previous year, a reduction of approximately 65.4%[84] Dividends and Share Capital - The group did not recommend any dividend for the six months ended September 30, 2020, compared to HKD 0.025 per share for the same period in 2019[8] - The company did not declare any dividends for the six months ended September 30, 2020, compared to a total dividend distribution of 40,000 thousand HKD for the same period in 2019[91] - The total issued and paid-up share capital remained at HKD 4,000,000 as of September 30, 2020, unchanged from March 31, 2020[102] Assets and Liabilities - The asset-liability ratio increased significantly to 8.2% as of September 30, 2020, compared to 1.1% as of March 31, 2020, primarily due to lease liabilities from two lease agreements confirmed on August 7, 2020[21] - The group's net current assets increased from approximately HKD 118,300,000 as of March 31, 2020, to approximately HKD 134,200,000 as of September 30, 2020[22] - Cash and cash equivalents rose from approximately HKD 105,200,000 as of March 31, 2020, to approximately HKD 131,700,000 as of September 30, 2020[22] - Total assets as of September 30, 2020, were HKD 168,873,000, an increase from HKD 149,705,000 as of the previous year, reflecting a growth of 12.8%[59] - Cash and cash equivalents at the end of the period were HKD 131,696,000, up from HKD 110,057,000, representing an increase of 19.6%[66] - Non-current assets increased to HKD 26,583,000 from HKD 15,021,000, a significant rise of 77.5%[59] Trade Receivables and Payables - Trade receivables impairment losses increased from approximately HKD 1,900,000 to about HKD 2,400,000[16] - Trade receivables (net of impairment) increased to HKD 32,940,000 as of September 30, 2020, from HKD 23,389,000 as of March 31, 2020, representing a growth of 40.9%[95] - Trade payables decreased to HKD 13,252,000 as of September 30, 2020, down from HKD 15,234,000 as of March 31, 2020, a decline of 13.0%[97] - Total trade and other payables amounted to HKD 23,390,000 as of September 30, 2020, compared to HKD 25,375,000 as of March 31, 2020, reflecting a decrease of 8.0%[97] - The aging analysis of trade receivables shows that HKD 12,362,000 is within 30 days, up from HKD 10,807,000 in the previous period, indicating a 14.4% increase[96] - Trade receivables over 365 days increased to HKD 665,000 as of September 30, 2020, from HKD 310,000 as of March 31, 2020, a rise of 114.8%[96] Corporate Governance and Compliance - The company has adopted the corporate governance code as per the listing rules and has complied with it during the reporting period[45] - There were no interests held by directors or controlling shareholders in any competing businesses as of September 30, 2020[47] - The company confirmed compliance with the non-competition agreement by its major shareholders during the reporting period[52] - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2020[54] Future Outlook and Challenges - The group anticipates challenges due to global economic downturn and uncertainties from the COVID-19 pandemic, impacting market sentiment and investor confidence[7] - The group aims to leverage its competitive advantages in branding and network to expand its customer base while enhancing professional service levels[7] Other Information - The group had no significant investments or acquisitions during the six months ended September 30, 2020[25] - There were no major investment or capital asset plans as of September 30, 2020[28] - The group had no contingent liabilities as of September 30, 2020[29] - The group does not face significant foreign exchange risks as its business activities are conducted primarily in Hong Kong and denominated in HKD[30] - There were no significant events after the reporting period ended[31] - No share options were granted during the six months ended September 30, 2020, and there were no unexercised options as of that date[42] - The company did not purchase, sell, or redeem any of its listed securities during the six months ended September 30, 2020[43] - The company has implemented financial risk management to ensure all payables are settled within the credit period[105]