Financial Performance - The company reported a profit attributable to shareholders of approximately HKD 30.2 million for the year, compared to a loss of HKD 1,213.1 million in the previous year[8]. - For the fiscal year ending December 31, 2022, the company reported revenue of HKD 115.1 million, a significant decrease of approximately 89% from HKD 1,035.2 million in the previous year[40]. - The company's net profit attributable to equity holders for the fiscal year was HKD 30.2 million, compared to a net loss of HKD 1,213.1 million in the previous year[40]. - Total assets decreased to HKD 189.7 million in 2022 from HKD 397.3 million in 2021, reflecting a decline of approximately 52%[21]. - Total liabilities also decreased to HKD 611.0 million in 2022 from HKD 852.9 million in 2021, a reduction of about 28%[21]. - The company's current ratio dropped to 0.3 in 2022 from 0.7 in 2021, indicating a decline in short-term financial health[22]. - The company's equity attributable to shareholders showed a deficit of HKD 421.3 million in 2022, an improvement from a deficit of HKD 455.6 million in 2021[21]. - The group's direct costs for the year ended December 31, 2022, totaled approximately HKD 38.47 million, a significant decrease from HKD 168.13 million in 2021[46]. - Gross profit for the year ended December 31, 2022, was approximately HKD 76.6 million, down from HKD 867.1 million in 2021, resulting in a gross margin of 66.6% compared to 83.8% in the previous year[47]. - Other income for the year ended December 31, 2022, was approximately HKD 50.9 million, an increase from HKD 27.0 million in 2021[48]. - Research costs were zero for the year ended December 31, 2022, compared to HKD 42.8 million in 2021, due to no projects being in the research phase[49]. - Promotion costs decreased to approximately HKD 42.0 million in 2022 from HKD 85.1 million in 2021, primarily due to the termination of consolidation for a subsidiary[50]. - Administrative expenses for the year ended December 31, 2022, were approximately HKD 22.8 million, a decrease of about 77.0% from HKD 99.3 million in 2021[52]. - Income tax expenses for the year ended December 31, 2022, were approximately HKD 8.7 million, down from HKD 98.0 million in 2021[54]. - The total capital expenditure for the year ended December 31, 2022, was approximately HKD 2.1 million, down from HKD 4.6 million in 2021[65]. - The total employee compensation for the company was approximately HKD 10.5 million for the year ended December 31, 2022, compared to HKD 53.8 million in 2021[85]. Employee and Human Resources - The total number of employees increased from 38 in 2021 to 71 in 2022, representing a growth of 86.8%[10]. - The employee distribution in 2022 shows that project support accounted for 47.9% of total employees, while management accounted for 15.5%[10]. - As of December 31, 2022, the company employed 71 staff, an increase from 38 staff in the previous year, indicating growth in human resources[28]. - The group is actively providing various training programs to enhance employees' knowledge in online game development and operations[89]. - The group plans to maintain a stable and proactive human resources strategy to support business success[89]. Corporate Governance - The board of directors retains decision-making authority on all major matters, including policies, strategies, budgets, internal controls, and risk management[92]. - The board has reviewed and is satisfied with the effectiveness of the corporate governance policies[93]. - All independent non-executive directors have submitted written confirmations of their independence to the stock exchange[98]. - The board includes seven members, comprising two executive directors, two non-executive directors, and three independent non-executive directors[119]. - The company has established three committees: the remuneration committee, audit committee, and nomination committee, each with clear responsibilities and authority[124]. - The company has established a process for the appointment, re-election, and removal of directors, overseen by the nomination committee[166]. - The company emphasizes gender diversity in board appointments but does not set specific targets or timelines for further enhancement[184]. - The company has established a code of conduct and compliance manual for employees and directors to ensure adherence to governance policies[177]. - The board will continue to monitor and review the effectiveness of the risk management and internal control systems at least once a year[186]. Risk Management - The company faces multiple foreign exchange risks primarily related to USD, THB, RMB, and SGD, but has no significant foreign exchange hedging policies in place[6]. - The management team is closely monitoring foreign exchange risks to ensure timely and effective measures are taken[6]. - The company has identified various risks including credit risk, interest rate risk, liquidity risk, currency risk, and business risk, with mitigation strategies outlined in the financial risk management section[9]. - The group has not engaged in high-risk investments or speculative derivative trading during the year ended December 31, 2022[56]. - The group reported a debt ratio as of December 31, 2022, was approximately 322.0%, an increase from 214.7% as of December 31, 2021[76]. - The group had no pledged assets as collateral for bank loans or other financing arrangements as of December 31, 2022[82]. - The company has appointed an independent internal control consultant to conduct a review of its operations, ensuring the effectiveness of risk management and internal control systems at least annually[186]. Environmental Responsibility - The company has implemented internal recycling and reuse programs for consumables to reduce operational impact on the environment[140]. Shareholder Agreements - The major shareholders have signed a non-competition agreement benefiting the company[200]. - The shareholders confirmed compliance with the non-competition agreement throughout the year ending December 31, 2022[200]. - The company received all necessary information from the shareholders regarding the execution of the non-competition agreement[200]. - The non-competition agreement includes commitments from the shareholders as defined in the prospectus[200]. - The shareholders include Zhang Yan, Safron International, Wu Zhe, R&P Global, Huang Yong, Lagron International, Rao Zhenwu, and Meteor Technology[200]. - The company has ensured that the shareholders have adhered to the non-competition agreement[200]. - The non-competition agreement is aimed at protecting the company's interests[200]. - The agreement is part of the company's strategy to maintain competitive advantage[200]. - The company is focused on compliance and governance through these agreements[200]. - The shareholders' commitments are crucial for the company's operational integrity[200]. Compliance and Reporting - The company failed to publish financial results for the six months ending June 30, 2022, and the year ending December 31, 2022, violating multiple listing rules[156]. - The board of directors has consistently complied with the main board listing rules, appointing at least three independent non-executive directors, representing at least one-third of the board[165]. - The company has not disclosed any significant insider information violations and is committed to timely public disclosure of any material information[188].

Financial Performance - The company reported a profit attributable to owners of approximately HKD 20.4 million for the six months ended June 30, 2022, translating to an earnings per share of approximately HKD 0.53, a decrease from HKD 271.7 million or HKD 7.08 per share for the same period in 2021[3]. - The group reported a significant decrease in profit attributable to shareholders, dropping approximately 92.5% from about HKD 271.7 million for the six months ended June 30, 2021, to about HKD 20.4 million for the same period in 2022[49]. - The company reported a profit before tax of HKD 21,548 million, a significant decrease from HKD 327,476 million in the previous year, indicating a decline of approximately 93.4%[98]. - The total comprehensive income for the period was HKD 19,501 million, down from HKD 278,018 million year-on-year, reflecting a decrease of about 92.0%[98]. - Basic and diluted earnings per share for the period were HKD 0.53, compared to HKD 7.08 in the same period last year, representing a decline of approximately 92.5%[98]. - The company reported a net loss of HKD 435,905,000 for the six months ended June 30, 2022, compared to a net loss of HKD 455,639,000 for the same period in 2021[122]. Revenue and Costs - Total revenue for the six months ended June 30, 2022, was HKD 52,428 million, with a gross profit of HKD 37,904 million, resulting in a gross margin of approximately 72.3%[98]. - The revenue from game operations and publishing for the six months ended June 30, 2022, was HKD 52,370,000, down from HKD 443,557,000 in the same period of 2021, indicating a decline of approximately 88.2%[164]. - The total customer revenue for the group for the six months ended June 30, 2022, was HKD 52,428,000, compared to HKD 497,073,000 for the same period in 2021, representing a decrease of approximately 89.4%[164]. - Total operating costs for the six months ended June 30, 2022, amounted to HKD 14.5 million, a significant decrease from HKD 98.2 million in the same period of 2021[21]. - The promotional costs for the group were approximately HKD 24.8 million, down from HKD 39.1 million in the previous year, representing a reduction of about HKD 14.3 million[23]. - The company reported employee costs and benefits of HKD 0.26 million, which accounted for 1.8% of total costs, compared to HKD 4.57 million or 4.7% in the previous year[21]. - The cost of self-operated pipeline was HKD 6.7 million, representing 46.2% of total costs, down from HKD 13 million or 13.2% in the previous year[21]. - The agency distribution costs were HKD 7.6 million, making up 52.0% of total costs, compared to HKD 20.9 million or 21.3% in the previous year[21]. Dividends and Shareholder Information - The board of directors did not recommend the payment of an interim dividend for the six months ended June 30, 2022, consistent with the previous year[4]. - Major shareholders include Safron International Limited with a 34.11% stake (1,310,000,000 shares) and Mr. Zhang Yan with a 40.80% stake (1,566,800,000 shares)[106]. - The company has not reported any potential diluted shares, thus basic and diluted earnings per share are the same[3]. - The average number of issued ordinary shares for the calculation of earnings per share remained at 3,840,000,000 shares for both periods[3]. Assets and Liabilities - As of June 30, 2022, the group’s cash and cash equivalents were approximately HKD 134.0 million, down from about HKD 347.8 million as of December 31, 2021[74]. - The group’s total liabilities to total assets ratio increased to approximately 330.1% as of June 30, 2022, compared to 189.4% as of December 31, 2021[52]. - Total assets as of June 30, 2022, amounted to HKD 189,448,000, a decrease from HKD 397,289,000 as of December 31, 2021[172]. - Total liabilities as of June 30, 2022, were HKD 625,353,000, down from HKD 852,928,000 at the end of 2021[172]. - Current assets decreased to HKD 147,856,000 from HKD 358,595,000 year-over-year, primarily due to a reduction in cash and cash equivalents[121]. - Current liabilities increased significantly to HKD 354,209,000 from HKD 484,233,000, with trade payables and other payables being the main contributors[121]. Operational Changes and Future Plans - The company continues to explore market expansion opportunities and new product development strategies[19]. - The group plans to enhance its business related to third-party licensed game publishing and provide intellectual property licensing services to enterprises, along with online marketing and digital support activities[43]. - The group has allocated approximately HKD 7.2 million for the development of new mobile platform games and another HKD 7.2 million for new web game development[79]. - The company continues to operate its gaming business in Thailand, which is expected to generate profits and cash inflows[186]. - The group intends to use internal resources and continuous internal growth to fund its expansion and business operations[73]. - The group plans to continue seeking external funding sources from potential investors and/or financial institutions to meet its financial obligations[162]. Compliance and Governance - The company has no significant contracts with directors that could compete with its business as of June 30, 2022[112]. - There were no changes in the board of directors during the reporting period[116]. - The company established an audit committee on January 24, 2016, chaired by an independent non-executive director[114]. - The company has complied with the listing rules regarding the composition of the audit committee, ensuring it includes members with appropriate professional qualifications[115]. Miscellaneous - The company has not repurchased, sold, or redeemed any of its listed securities during the reporting period[90]. - The group has no significant contingent liabilities as of June 30, 2022, consistent with the previous year[151]. - The group has no major investments or capital asset acquisition plans authorized by the board as of the mid-term report date[149]. - The group has not implemented any foreign currency hedging policies but closely monitors foreign exchange risks, ensuring timely and effective measures are taken[152]. - The company has no estimated taxable profits generated in Hong Kong for the periods ended June 30, 2022, and June 30, 2021, thus no provision for Hong Kong profits tax was made[181].

Financial Reporting and Compliance - The company failed to timely comply with financial reporting provisions, specifically regarding the annual performance announcement for the year ended December 31, 2021, and the publication of the annual report for the same period, constituting a violation of listing rules[2] - The board confirmed its responsibility for preparing the consolidated financial statements for the year ended December 31, 2021[25] - The company has established a policy for external auditors providing non-audit services, ensuring compliance with governance standards[20] Corporate Governance - The board has reviewed and is satisfied with the effectiveness of the corporate governance policies[4] - The board's procedures for the appointment, re-election, and removal of directors are outlined in the company's articles of association[7] - The company has adopted a shareholder communication policy to ensure timely and equal access to information for shareholders and potential investors[32] Executive Changes - The company has experienced significant changes in its executive team, with multiple resignations and appointments, including the CEO position[5] Financial Performance - The company's revenue for the year ended December 31, 2021, was approximately HKD 1,035.2 million, an increase of about HKD 449.1 million from HKD 586.1 million for the year ended December 31, 2020[68] - The company reported a loss attributable to equity holders of approximately HKD 1,213.1 million for the year 2021, compared to a profit of approximately HKD 386.2 million in 2020, mainly due to losses from the termination of the consolidation of a major subsidiary in China[56] - The company's gross profit for the year ended December 31, 2021, was approximately HKD 867.1 million, an increase of about HKD 327.0 million from HKD 540.1 million in the previous year, with a gross margin of 83.8%[74] Employee Compensation and Costs - For the year ended December 31, 2021, the total employee compensation amounted to approximately HKD 53.6 million, compared to HKD 25.4 million in 2020, reflecting a significant increase[36] - Administrative expenses for the year ended December 31, 2021, were approximately HKD 99.3 million, up about HKD 55.6 million from approximately HKD 43.7 million for the year ended December 31, 2020, driven by increases in salaries, employee benefits, and legal and professional fees due to the acquisition of Decheng International[54] Research and Development - The overall research costs for the year ended December 31, 2021, increased to approximately RMB 42.8 million from RMB 0.3 million for the year ended December 31, 2020, primarily due to costs associated with preparing a new mobile game and unexpected increases in overseas development costs[50] Marketing and Promotion - Promotion costs for the year ended December 31, 2021, were approximately HKD 85.1 million, an increase of about HKD 47.2 million compared to approximately HKD 37.9 million for the same period in 2020, mainly due to increased promotion costs for self-operated overseas games[51] Debt and Assets - As of December 31, 2021, the group's debt ratio, calculated as total liabilities divided by total assets, was approximately 214.7%, a substantial increase from approximately 9.9% as of December 31, 2020[33] - The group had no pledged assets as collateral for bank borrowings or any other financing arrangements as of December 31, 2021, consistent with the previous year[34] Sustainability and ESG - The company identified significant ESG risks through independent third-party consultants, which were presented to executives for assessment and response planning[68] - The company aims to reduce energy consumption and greenhouse gas emissions as part of its sustainability strategy[66] - The company has established a governance framework centered on the board of directors to manage ESG strategies and risks effectively[68] Employee Management - The company maintains a low employee turnover rate, calculated based on the number of employees at the end of the reporting period[100] - The employee turnover rate was 131% overall, with male turnover at 76% and female turnover at 176%[119] - The total number of employees in 2021 was 38, a significant decrease from 216 in 2020, reflecting a restructuring in the workforce[171] Community Engagement and Support - The company donated RMB 5 million to Tsinghua University Education Foundation and RMB 600,000 to the Education Foundation of Neijiang City, Sichuan Province, supporting educational development[154] - The company is committed to community support by utilizing resources effectively in targeted areas[181] Compliance and Ethical Standards - The company has committed to high ethical standards in operations, prohibiting any form of bribery or corruption[105] - The company has not faced any significant administrative penalties related to environmental laws during the reporting period[126] Acquisitions and Investments - The company agreed to acquire 100% equity of De Cheng International Holdings Limited for a total consideration of RMB 491,670,000 in principal and RMB 37,416,825 in related interest[165] - The company has entered into a non-binding memorandum of understanding to acquire all equity of Xia Shan Limited and its subsidiaries for RMB 80 million, with RMB 16 million to be paid in cash and RMB 64 million through the issuance of promissory notes[165] Operational Focus - The group is primarily engaged in the development of web games and mobile games, including game design, programming, and graphic production[200] - The group licenses its self-developed web and mobile games to authorized operators globally, assisting third parties in promoting game-related businesses[200]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不對因本公告全部或任何部份內容而 產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1909） 截至二零二二年十二月三十一日止年度的年度業績公告 概要 • 截至二零二二年十二月三十一日止年度，本集團收入為約115.1百萬港元（二零二一 年：約1,035.2百萬港元），減幅為約88.9%。 • 截至二零二二年十二月三十一日止年度，本集團毛利為約76.6百萬港元（二零二一 年：約867.1百萬港元），減幅為約91.2%。 • 截至二零二二年十二月三十一日止年度，本集團年內利潤為約35.5百萬港元（二零 二一年：年內虧損約1,211.5百萬港元）。 • 董事會並不建議派付截至二零二二年十二月三十一日止年度之末期股息。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不對因本公告全部或任何部份內容而 產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1909） 截至二零二二年六月三十日止六個月的 中期業績公告 財務摘要（未經審核） — 截至二零二二年六月三十日止六個月，本集團的收入由截至二零二一年六月三十 日止六個月約497.1百萬港元減少至約52.4百萬港元，減幅為約89.5%。 — 截至二零二二年六月三十日止六個月，本集團的毛利由截至二零二一年六月三十 日止六個月約398.9百萬港元減少至約37.9百萬港元，減幅為約90.5%。 — 截至二零二二年六月三十日止六個月，本集團的利潤由截至二零二一年六月三十 日止六個月約272.8百萬港元減少至約19.2百萬港元，減幅為約93.0%。 — 董事會不建議派付截至二零二二年六月三十日止六個月之中期股息（截至二零二一 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不對因本公告全部或任何部份內容而 產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立的有限公司） （股份代號：1909） 截至二零二一年十二月三十一日止年度的年度業績公告 概要 • 截至二零二一年十二月三十一日止年度，本集團收入為約1,035.2百萬港元（二零二 零年：約586.1百萬港元），增幅為約76.6%。 • 截至二零二一年十二月三十一日止年度，本集團毛利為約867.1百萬港元（二零二零 年：約540.1百萬港元），增幅為約60.5%。 • 截至二零二一年十二月三十一日止年度，本集團年內虧損為約1,211.5百萬港元（二 零二零年：年內利潤約388.1百萬港元）。 • 董事會不建議派付截至二零二一年十二月三十一日止年度之末期股息。 ...

Acquisition and Corporate Structure - The company completed the acquisition of 100% equity in Desheng International Holdings Limited and its subsidiaries on February 4, 2021[6]. - The company completed the acquisition of 100% equity in De Cheng International on February 4, 2021, enhancing the stability and diversity of its main business revenue[63]. - The company completed the acquisition of 100% of the equity of De Cheng International on February 4, 2021, which will be consolidated into the company's financial statements[116]. - The company established a non-wholly owned subsidiary, Suzeland (Shanghai), with a registered capital of RMB 10 million, holding a 51% stake[117]. - The company formed two wholly-owned subsidiaries, Fire Rock Capital in the British Virgin Islands and Firerock Capital Pte. in Singapore, to engage in investment holding and strategic cooperation in game publishing across Singapore, Indonesia, and Malaysia[119]. - The group established the Huaying Angel Investment Fund in March 2021, focusing on strategic emerging industries supported by the Shenzhen government[116]. Financial Performance - For the six months ended June 30, 2021, the company's revenue increased from approximately HKD 314.4 million to approximately HKD 497.1 million, representing a growth of approximately 58.1%[59]. - Gross profit for the same period rose from approximately HKD 294.8 million to approximately HKD 398.9 million, reflecting an increase of approximately 35.3%[59]. - Profit for the six months ended June 30, 2021, increased from approximately HKD 212.4 million to approximately HKD 272.8 million, marking a growth of approximately 28.4%[59]. - The group's revenue increased by approximately 58.1% to about HKD 497.1 million for the six months ended June 30, 2021, compared to approximately HKD 314.4 million for the same period in 2020[75]. - Profit for the same period rose by approximately 28.4% to about HKD 272.8 million, up from approximately HKD 212.4 million, primarily due to the successful acquisition and stable performance of several popular game series[75]. - The revenue from self-developed online games was HKD 492.4 million, accounting for 99.1% of total revenue, compared to HKD 301.8 million (96.0%) in the previous year[84]. - The gross profit for the six months ended June 30, 2021, was approximately HKD 398.9 million, an increase of about HKD 104.1 million from HKD 294.8 million in the same period of 2020, with a gross margin of 80.2%[90]. - Other income increased to approximately HKD 13.1 million from HKD 2.9 million in the previous year, primarily due to the inclusion of revenue from a major acquisition[92]. - The income tax expense for the six months ended June 30, 2021, was approximately HKD 54.7 million, up from HKD 45.6 million for the same period in 2020, primarily due to increased profits from subsidiaries in China[99]. - Profit attributable to equity owners increased by approximately 28.3% to about HKD 271.7 million for the six months ended June 30, 2021, compared to HKD 211.7 million for the same period in 2020[100]. Game Development and Market Strategy - The company has a significant focus on web-based games that do not require client software installation, enhancing user accessibility[10]. - The company is actively involved in the development of mobile games that can be downloaded on devices such as smartphones and tablets[25]. - The company is currently developing 9 game series, with expected launch dates in the third and fourth quarters of 2021[69]. - The company focuses on high-quality game development and has commercialized two self-developed game series during the reporting period[63]. - The company continues to expand its self-operated gaming business overseas, with increasing revenue from international markets[63]. - The company plans to increase R&D efforts in developing high-quality, innovative games and optimizing existing titles, with a focus on mobile gaming[78]. - The group is actively seeking synergistic cooperation and acquisition opportunities to enhance its competitive edge and expand its business portfolio in the gaming industry[74]. - The company aims to explore new markets while solidifying its position in existing major markets to drive future growth[78]. Corporate Governance and Compliance - The report outlines the company's governance structure, including various committees such as the audit and remuneration committees[48]. - The company emphasizes its commitment to compliance with the main board listing rules and corporate governance standards[23]. - The company has adopted the corporate governance code as per the listing rules, ensuring compliance throughout the reporting period[135]. - The board of directors confirmed adherence to the trading guidelines during the six-month period ending June 30, 2021[136]. - The company has ensured that all directors have complied with the trading standards during the reporting period[136]. - The audit committee reviewed the unaudited financial statements for the six months ending June 30, 2021, and confirmed compliance with applicable accounting standards and listing rules[160]. Shareholder Information - The company reported a total of 1,564,800,000 shares owned by Mr. Zhang, representing approximately 40.75% of the issued share capital[140]. - Mr. Zhang holds 76,800,000 shares as a beneficial owner, accounting for about 2.00% of the company's issued share capital[145]. - The company has a significant shareholder structure, with Mr. Zhang's controlled corporation, Safron International Limited, owning 1,308,000,000 shares, which is 34.06% of the total[145]. - The company has a total of 47,904,000 shares owned by Mr. Huang, representing 1.25% of the issued share capital[143]. - The company has a total of 1,200,000 shares owned by Mr. Zhou, accounting for 0.03% of the issued share capital[143]. - The company has implemented a share split, converting existing shares with a par value of HKD 0.33 into four shares with a par value of HKD 0.12 each[136]. - As of June 30, 2021, the total number of shares available for issuance under the share option plan is 192,000,000 shares, accounting for 5% of the company's issued share capital[151]. - The company has not granted any share options since the adoption of the plan on January 24, 2016[152]. Risks and Regulatory Compliance - The company faces risks related to contractual arrangements, including potential government penalties if deemed non-compliant with regulations[190]. - The ability to enforce share pledge agreements may be limited by Chinese laws and regulations[191]. - The company acknowledges potential adverse tax consequences from its contractual arrangements[192]. - The company must ensure that its contractual arrangements do not violate applicable regulations to avoid significant negative impacts on its business[190]. - The company is required to disclose the overall status of its compliance with contractual arrangements in its annual and interim reports[193]. - The company has implemented measures to ensure compliance with contractual arrangements, including regular board reviews and external legal consultations[193]. Research and Development - Research and development costs rose to approximately HKD 5.7 million from HKD 3.0 million, reflecting the costs associated with the acquisition[93]. - The group will continue to invest in innovative technologies and concepts that could significantly impact the industry, ensuring a robust R&D advantage[79].

Financial Performance - Fire Rock Holdings Limited reported a significant increase in revenue, achieving a total of $150 million for the fiscal year, representing a 25% year-over-year growth[2]. - The company recorded revenue of approximately RMB 520.9 million for the fiscal year ended December 31, 2020, representing a growth of 71.3% compared to 2019[50]. - The profit for the same period was approximately RMB 344.9 million, an increase of 65.2% year-over-year[51]. - The company's revenue increased by approximately 71.3% from about RMB 304.0 million in 2019 to approximately RMB 520.9 million in 2020[63]. - The company's gross profit for the year ended December 31, 2020, was approximately RMB 480.0 million, an increase of about RMB 195.8 million compared to approximately RMB 284.2 million for the year ended December 31, 2019[122]. - The profit attributable to equity owners increased by approximately 64.4% from about RMB 208.8 million in 2019 to approximately RMB 343.2 million in 2020[143]. User Engagement and Market Expansion - The company has expanded its user base, with the average monthly paying users increasing to 500,000, a rise of 20% compared to the previous year[3]. - Fire Rock Holdings Limited plans to enter new markets in Southeast Asia, targeting a 15% market share within the next two years[3]. - The company aims to enhance its international competitiveness by leveraging its experience in game distribution in the Americas, Southeast Asia, and Japan[59]. - The company has initiated self-operated overseas operations for two games, "Jungle Treasure" and "Bull Hunter," to mitigate risks associated with the competitive Chinese gaming market and regulatory changes, thereby expanding revenue sources[182]. Research and Development - The company is investing heavily in R&D, allocating $20 million for the development of new gaming technologies and features[3]. - The company plans to enhance R&D investment and optimize game products to provide high-quality gaming content[52]. - The total R&D costs for the year ended December 31, 2020, increased by approximately RMB 12.8 million to RMB 29.98 million from RMB 17.24 million in 2019, driven by higher development costs for new mobile games[135]. - The number of R&D personnel increased to 140 in 2020 from 102 in 2019, reflecting the company's commitment to expanding its development capabilities[135]. Game Development and Portfolio - The company launched 9 new game development projects and commercialized 3 new game series during the year[51]. - The company launched three mobile game series in 2020, including "Super Bounce Bounce," "Jungle Treasure," and "Bull Hunter," further diversifying its product offerings[63]. - The company has commercialized a total of 23 major game series as of December 31, 2020[73]. - The company has nine games in development, including "Battle Cell" and "Intelligent Pinball," with expected launch dates in 2021[87][88]. Marketing and User Engagement Strategies - Fire Rock Holdings Limited has implemented new marketing strategies, resulting in a 50% increase in user engagement[3]. - The company aims to reduce dependence on major authorized operators by providing new high-quality licensed game products and upgrading existing games to enhance player experience and spending[180]. - The company is committed to continuous upgrades and optimization of existing games to maintain player interest and stimulate spending, while also developing new games and exploring new markets to sustain competitiveness in the gaming industry[181]. Financial Stability and Investments - As of December 31, 2020, the company's cash balance was approximately RMB 596.1 million, indicating strong financial stability[52]. - The company completed the acquisition of 100% of the shares of Decheng International Holdings Limited on February 4, 2021, which is expected to significantly contribute to future performance[55]. - The integration of Decheng International is expected to strengthen cash flow and financial stability, enhancing the company's industry position[92]. - The company has established a compensation committee to review and recommend compensation and rewards for directors and senior management based on their experience, responsibilities, workload, and the group's performance[159]. Corporate Governance - The company is committed to enhancing its corporate governance practices, as outlined in its annual report[3]. - The board believes that the company has complied with the relevant corporate governance code provisions for the year ending December 31, 2020[200]. - The company emphasizes maintaining high levels of corporate governance as a key to its success[199]. Dividend and Shareholder Information - The board proposed a final cash dividend of HKD 0.05208 per share, totaling approximately RMB 42.1 million[52]. - For the year ending December 31, 2020, no dividends were declared or paid, but a proposed final dividend of HKD 0.05208 per share (approximately RMB 0.0438) was recommended by the board on March 30, 2021[194].

Financial Performance - The company reported an interim revenue of HKD 50 million for the six months ended June 30, 2020, representing a 20% increase compared to the same period last year[35]. - For the six months ended June 30, 2020, the company's revenue increased by approximately 177.4% to approximately RMB 285.2 million from approximately RMB 102.8 million for the same period in 2019[36]. - Gross profit for the same period rose by approximately 177.7% to approximately RMB 267.4 million, compared to approximately RMB 96.3 million in the prior year[36]. - Profit for the six months ended June 30, 2020, surged by approximately 214.4% to approximately RMB 192.7 million from approximately RMB 61.3 million in the previous year[37]. - The company reported a net profit margin of 15% for the first half of 2020, maintaining a stable profitability level[35]. - Revenue for the six months ended June 30, 2020, was RMB 285,156,409, a significant increase from RMB 102,823,278 in the same period of 2019, representing a growth of approximately 177%[198]. - Gross profit for the same period was RMB 267,351,160, compared to RMB 96,285,255 in 2019, indicating a substantial increase in profitability[198]. - Operating profit reached RMB 234,045,109, up from RMB 80,831,074 in the previous year, reflecting a growth of approximately 189%[198]. - Net profit for the period was RMB 192,680,447, compared to RMB 61,292,843 in 2019, marking an increase of about 214%[198]. - Basic and diluted earnings per share were RMB 60.00, a significant rise from RMB 19.17 in the same period last year[198]. - The company reported a total comprehensive income of RMB 200,261,819 for the period, compared to RMB 62,015,376 in 2019, showing a growth of approximately 222%[198]. - The company incurred income tax expenses of RMB 41,364,662, up from RMB 19,932,694 in the previous year, reflecting an increase in tax obligations due to higher profits[198]. User Engagement and Growth - The average monthly paying users (MPU) increased to 15,000, a growth of 25% year-on-year[35]. - User engagement metrics showed a 30% increase in daily active users (DAU) compared to the previous year[35]. - Revenue from mobile games was approximately RMB 273.0 million, representing a year-on-year growth of approximately 170.3%, accounting for 95.7% of total revenue[42]. - Revenue from the "Fishing Battle" game series was approximately RMB 114.4 million, accounting for about 40.1% of total revenue for the six months ended June 30, 2020[49]. - The "Snack Battle" game series generated approximately RMB 80.8 million, representing about 28.3% of total revenue during the same period[49]. - The increase in revenue was primarily driven by multiple mobile games launched between 2017 and 2019, including "Snack Battle," "Fishing Battle," "Royal Tycoon," and "Super Whack-a-Mole" series[68]. - The company has five game series in development, including "Battle Cell" and "Intelligent Pinball," with expected launch dates in 2021[58][59]. Strategic Plans and Investments - The company plans to launch two new mobile games in Q4 2020, aiming to capture a larger market share in the mobile gaming sector[35]. - The company is exploring potential acquisitions to expand its portfolio and enhance its market presence in Asia[35]. - The expansion strategy includes targeting Southeast Asian markets, which are expected to contribute significantly to future revenue growth[35]. - The company aims to expand its overseas market presence while consolidating its position in major global markets[62]. - The company will actively seek strategic investment and acquisition opportunities to enhance revenue stability and diversity[63]. - The company plans to continue expanding its game offerings and enhancing its operational capabilities to drive future growth[93]. Research and Development - The company is investing in new technology development to improve game performance and user experience[35]. - The company continues to focus on R&D for web and mobile games to enhance its competitive edge in the industry[41]. - The company plans to enhance R&D capabilities to develop higher quality and innovative mobile games, utilizing H5 technology and other new technologies[62]. - The company will continue to invest significant resources in the R&D of mobile games to meet player preferences and demands[62]. - The company has developed and licensed two software products, "Fire Element Mobile Software General Framework" and "Fire Element Integration Workbench System," to partners and other enterprises[48]. - The company has two software products in development, including "Landlord Game AI System" and "Game Backend Management System," expected to launch in 2020[58][59]. Financial Position and Capital Management - Cash and cash equivalents as of June 30, 2020, were approximately RMB 459.9 million, up from RMB 248.5 million as of December 31, 2019[116]. - The company's debt ratio as of June 30, 2020, was approximately 7.3%, down from 10.5% as of December 31, 2019[123]. - The total capital expenditure for the six months ended June 30, 2020, was approximately RMB 0.6 million, consistent with the same period in 2019[117]. - Total employee compensation for the six months ended June 30, 2020, was approximately RMB 10.4 million, an increase from RMB 9.6 million in the same period of 2019[130]. - The group has utilized approximately HKD 26.0 million of the net proceeds from the placement, with HKD 7.2 million allocated for developing new mobile games and HKD 7.2 million for new web games[141]. Corporate Governance and Compliance - The board of directors did not recommend the payment of an interim dividend for the six months ended June 30, 2020[37]. - The group has established a compensation committee to regularly review and make recommendations regarding the compensation and incentives for directors and senior management[131]. - The group aims to maintain a competitive compensation package and benefits for employees to ensure core competitiveness in a highly competitive industry[131]. - The company has adopted the "Code of Conduct for Directors' Securities Transactions" as per the listing rules, ensuring compliance among all directors[152]. - All directors confirmed compliance with the trading guidelines during the reporting period up to June 30, 2020[152]. - The company maintains a register of interests in accordance with the Securities and Futures Ordinance, ensuring transparency in shareholdings[156]. - The report indicates no other directors or senior management hold any interests or short positions in the company's shares as of June 30, 2020[160]. Share Capital and Ownership - Mr. Zhang Yan holds approximately 38.75% of the total issued shares, equating to 124,000,000 shares[159]. - Mr. Zhang Yan's holdings include 109,000,000 shares, representing about 34.06% of the company's total share capital, in Safron International Limited[167]. - Additionally, Mr. Zhang Yan owns 15,000,000 shares, which is approximately 4.69% of the company's total share capital, in Infinities Investment Pte. Ltd.[167]. - Mr. Huang Yong holds 13,592,000 shares, accounting for 4.25% of the company's total share capital[163]. - Mr. Wu Zhe possesses 3,320,000 shares, which is about 1.04% of the company's total share capital[163]. - Mr. Rao Zhenwu has 1,600,000 shares, representing 0.50% of the company's total share capital[163]. - As of June 30, 2020, the total number of shares available for issuance under the share option plan is 16,000,000 shares, accounting for 5% of the company's issued share capital[176]. - The company's authorized share capital is HKD 20,000,000, divided into 2,000,000,000 shares with a par value of HKD 0.01 each, of which 320,000,000 shares are issued and fully paid[194]. - On July 28, 2020, the board proposed a share split, converting each existing share with a par value of HKD 0.01 into three shares with a par value of HKD 0.00333[194]. - The share split was approved at a special general meeting held on August 17, 2020, and became effective on August 19, 2020[194]. Market and Revenue Sources - Revenue from self-operated games was RMB 27.2 million, accounting for 9.5% of total online gaming revenue, while licensed operator revenue was RMB 246.5 million, making up 86.5%[72]. - Revenue from the Chinese market was RMB 257.4 million, representing 90.3% of total revenue, compared to RMB 102.3 million or 99.5% in the same period of 2019[76]. - Mobile game revenue constituted 99.8% of total online gaming revenue in 2020, amounting to RMB 273.0 million, up from 98.2% in 2019[77]. - The company reported that its revenue sources include licensing fees, revenue sharing from operators, and virtual goods sales from players[67]. - Online gaming revenue for the first half of 2020 reached RMB 273.7 million, a significant increase from RMB 102.8 million in the same period of 2019, representing a growth of approximately 166.5%[72].

Financial Performance - Fire Rock Holdings Limited reported a revenue of HKD 150 million for the fiscal year 2019, representing a year-on-year increase of 25%[5]. - The company reported a net profit of HKD 30 million for 2019, with a profit margin of 20%[5]. - Revenue for 2019 reached approximately RMB 304.0 million, an increase of 89.2% compared to 2018[37]. - Profit for 2019 was approximately RMB 208.8 million, up 132.5% from 2018[37]. - The company's profit rose by 132.5% to approximately RMB 208.8 million in 2019, compared to about RMB 89.8 million in 2018[45]. - The company's revenue for the year ended December 31, 2019, increased by approximately RMB 143.3 million to about RMB 304.0 million, compared to approximately RMB 160.7 million for the year ended December 31, 2018[59]. - The group's gross profit for the year ended December 31, 2019, was approximately RMB 284.2 million, an increase of about RMB 140.0 million from approximately RMB 144.2 million for the year ended December 31, 2018, resulting in a gross margin of approximately 93.5% compared to 89.7% in the previous year[102]. User Engagement and Growth - The company achieved an average monthly paying user (MPU) count of 50,000, which is a 15% increase compared to the previous year[5]. - The number of active users reached 200,000, which is a 40% increase from the previous year[5]. - Fire Rock Holdings Limited is exploring potential acquisitions to expand its market presence in Southeast Asia, targeting a 30% growth in user base by 2021[5]. - Major revenue contributions came from a few games, with "Fishing Battle" and "Snack Battle" accounting for approximately 46.5% and 30.7% of total revenue, respectively, for the year ended December 31, 2019[143]. Game Development and R&D - Fire Rock Holdings Limited plans to launch two new mobile games in 2020, aiming to capture a 10% market share in the mobile gaming sector[5]. - The company is investing HKD 20 million in research and development (R&D) to enhance game features and user experience[5]. - The company plans to enhance R&D investment and optimize game products in 2020[39]. - The company aims to enhance its R&D capabilities and diversify its game offerings, with significant investments planned in various areas[51]. - The company has developed and authorized a total of 18 game series for various operators, enhancing its operational reach[46]. - Four new game series are in development, including "Super Bounce," "Jungle Treasure," "Battle Cells," and "Intelligent Ball" series[68]. Revenue Sources and Market Strategy - Mobile game revenue amounted to approximately RMB 297.8 million, representing a growth of 92.3% year-on-year[38]. - Mobile games accounted for 98.0% of total revenue in 2019[38]. - The company plans to expand into overseas markets to promote games in new potential regions while consolidating its position in major global markets[71]. - The company aims to expand its market presence by self-operating games overseas, reducing reliance on the competitive Chinese market[146]. Financial Management and Compliance - The company has no pledged assets as collateral for bank loans or other financing arrangements as of December 31, 2019[123]. - The company has no significant contingent liabilities as of December 31, 2019, maintaining a stable financial position[131]. - The company has maintained compliance with the Securities and Futures Ordinance and other relevant regulations throughout the year[151]. - The company has established a risk management and internal control system reviewed by the audit committee[147]. Corporate Governance - The board of directors consists of eight members, including three executive directors, ensuring a diverse range of business experience and knowledge[171]. - The company has established a nomination committee to review board composition and oversee the appointment and succession planning of directors[172]. - The audit committee has been established to oversee internal controls, financial disclosures, and reporting matters[198]. - The committee is responsible for ensuring that employees can report concerns about financial reporting or internal controls confidentially[200].