Financial Performance - The company reported a revenue increase of 15% year-over-year for FY2023, reaching HK$500 million[1]. - Revenue for the fiscal year reached $150 million, a 15% increase compared to the previous year, driven by new game launches and user engagement[10]. - Future guidance indicates expected revenue growth of 18% for FY2024, projecting HK$590 million[1]. - For FY2024, the Group's revenue was approximately US$9.1 million, representing a decrease of approximately 8.6% from US$9.9 million in FY2023[40]. - The decline in revenue was attributed to certain matured games generating less revenue and newly launched games not meeting performance expectations[40]. - Gross profit for FY2024 amounted to approximately US$4.14 million, representing an increase of approximately 1.0% from approximately US$4.10 million recorded in FY2023[23]. - The Group's cost of revenue decreased by approximately US$0.9 million or 15.4% to approximately US$4.9 million, while the gross profit margin increased from 41.4% in FY2023 to 45.7% in FY2024[114][120]. - Loss attributable to owners of the Company for FY2024 amounted to approximately US$3.2 million, representing a decrease of approximately 44.4% from approximately US$5.8 million recorded in FY2023[24]. User Engagement and Growth - User engagement metrics showed a 25% growth in daily active users (DAU), reaching 1.5 million users[1]. - The company reported a significant increase in monthly active users (MAUs), averaging 1.5 million in the last quarter, representing a 25% year-over-year growth[8]. - The average revenue per paying user (ARPPU) for the company's games was HK$120, reflecting a 10% increase compared to the previous year[1]. - The company plans to launch three new games in FY2024, targeting a 20% increase in user acquisition[1]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in user base by the end of the next fiscal year[11]. - The mobile games business has seen a significant increase in user numbers in Latin America, with several new products launched, contributing to a several-fold increase in actual users in the region[95]. Strategic Initiatives - The company is expanding its market presence in Southeast Asia, with a targeted investment of HK$50 million in marketing and partnerships[1]. - A new strategic partnership was announced with a leading technology firm to enhance game development capabilities[1]. - The company is exploring potential acquisitions to enhance its product portfolio, with a focus on companies in the gaming sector[1]. - The company has entered into a joint venture with Guangzhou Red Circle Information Technology, aiming to enhance game development capabilities and increase market share[9]. - The company plans to continue the parallel publishing model of web and mobile games in 2025, aiming to enrich product types and launch multiple new titles to cater to diverse user preferences[47]. Research and Development - Research and development expenses increased by 30%, totaling HK$80 million, to support new technology initiatives[1]. - The company has allocated $10 million for research and development in new technologies, including artificial intelligence (AI) integration in gaming[11]. - New product development includes a virtual reality (VR) game set to launch in Q3 2024, with an expected investment of $5 million[12]. - The company entered the VR market with an investment in a VR studio in China[21]. Corporate Governance - The company aims to improve its corporate governance practices in line with the latest regulatory requirements[1]. - The Group's board includes independent non-executive directors with extensive experience in venture development, investment, and technology companies, enhancing governance and strategic oversight[75]. - The Company has maintained compliance with applicable corporate governance codes, except for the separation of the roles of chairman and CEO[156]. - The Board consists of seven directors, including four executive directors and three independent non-executive directors, ensuring a balance of skills and experience[163]. Financial Management and Investor Relations - The Group's focus on investor relations and risk management is critical for maintaining investor confidence and navigating market dynamics[73]. - The total remuneration payable to the Directors for FY2024 was approximately USD0.2 million[169]. - The Company has provided continuous professional development for Directors through in-house briefings and reading materials[178]. Gender Diversity and Workforce Composition - As of December 31, 2024, the Group's employee composition is 66% male and 34% female, indicating a commitment to achieving gender diversity through gender-neutral positions[192][196]. - The Company aims to create a gender-balanced workforce by hiring more females based on qualifications, experience, and skills required for positions[192][196]. - The Board consists of seven Directors, with one female Director, achieving the goal of gender diversity[189][191]. - The Company has adopted a board diversity policy to ensure a diverse composition of Directors in terms of skills, experience, and gender[186][190].

Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue was approximately $9.1 million, a decrease of about 8.6% from approximately $9.9 million in the fiscal year ending December 31, 2023[5] - The gross profit for the fiscal year 2024 was approximately $4.14 million, an increase of about 1.0% compared to approximately $4.10 million in the fiscal year 2023[5] - The loss attributable to the company's owners for the fiscal year 2024 was approximately $3.2 million, a reduction of about 44.4% from approximately $5.8 million in the fiscal year 2023[5] - Total revenue for the fiscal year ending December 31, 2024, was $9,058,572, a decrease of 8.6% from $9,908,941 in 2023[44] - Gross profit for the same period was $4,142,996, showing a slight increase of 1% compared to $4,101,390 in 2023[44] - Operating loss narrowed to $3,463,437 from $5,734,405 in the previous year, representing a 39.7% improvement[44] - Net loss for the year was $3,208,111, down from $5,770,931 in 2023, indicating a 44.4% reduction in losses[45] - The company reported a basic and diluted loss per share of $0.17, improved from $0.31 in the previous year[45] - The pre-tax loss for 2024 was $3,016,759, compared to a loss of $5,626,157 in 2023, indicating a 46% improvement in pre-tax losses year-over-year[71] - Basic and diluted loss per share for 2024 was $3,208,111, compared to $5,770,931 in 2023, representing a 44% reduction in losses per share[73] Cost Management - The company's cost for the fiscal year 2024 was approximately $4.9 million, a decrease of about 15.4% from approximately $5.8 million in the fiscal year 2023[11] - Sales and marketing expenses for the fiscal year 2024 were approximately $3.4 million, a decrease of about 4.7% from approximately $3.6 million in the fiscal year 2023[13] - Administrative expenses for the fiscal year 2024 were approximately $2.4 million, a decrease of about 40.2% from approximately $4.1 million in the fiscal year 2023[14] - Research and development expenses for the fiscal year 2024 were approximately $1.4 million, a decrease of about 23.3% from approximately $1.8 million in the fiscal year 2023[15] - Total payroll expenses for the fiscal year 2024 were approximately $2.9 million, a decrease of about 25.4% compared to the previous fiscal year[31] Cash and Assets - As of December 31, 2024, the group's total cash and short-term deposits amounted to approximately $19.1 million, a decrease of about 14.3% from approximately $22.3 million as of December 31, 2023[20] - Total assets decreased to $32,805,652 from $37,961,419, reflecting a decline of 13.6%[46] - Cash and cash equivalents decreased to $19,077,802 from $22,258,994, a decline of 14.3%[46] - Trade receivables decreased to $1,512,047 in 2024 from $3,599,221 in 2023, a decline of 58%[75] - The allowance for trade receivables was $618,372 in 2024, significantly reduced from $2,431,437 in 2023, marking a 74% decrease[79] - Trade payables decreased to $632,930 in 2024 from $1,293,778 in 2023, a reduction of 51%[80] Market and Product Development - The company introduced 15 new web game products in the fiscal year 2024, successfully expanding its global market share through a multi-language and multi-platform release strategy[7] - The company plans to continue its dual release model for web and mobile games in 2025, focusing on innovative H5 + Mobile formats to cater to diverse user preferences[8] - Online gaming revenue accounted for $9,058,556, down from $9,908,937 in the previous year, indicating a decline of 8.6%[50] - Revenue from major clients did not exceed 10% of total revenue for the year ended December 31, 2024, consistent with 2023[52] - Revenue from the top five income collection platforms represented 71% of total revenue for both 2024 and 2023[52] Governance and Compliance - The company has maintained compliance with the corporate governance code, although it has not separated the roles of Chairman and CEO[39] - The company does not recommend any dividend payment for the year ending December 31, 2024, consistent with 2023[72] - The total number of issued ordinary shares remained at 2,000,000,000 for both 2024 and 2023, with no changes in share capital[82] - The company has a weighted average number of ordinary shares of 1,861,021,877 for both 2024 and 2023, excluding shares held under the share option plan[74] - The company’s capital management aims to ensure ongoing viability and provide returns to shareholders while maintaining an optimal capital structure[84] Tax and Regulatory Matters - The group has not recognized any income tax provisions in Hong Kong for both 2024 and 2023, as it did not generate taxable profits in these years[68] - The group is subject to a 10% withholding tax on royalties generated in Vietnam, as per local tax regulations[70] - The group collaborates with a platform in Brazil, where income is subject to a 10% remittance tax and a 15% income tax, which is withheld by the platform[70] Miscellaneous - The group had no significant investments, acquisitions, or disposals during the fiscal year 2024[22][23][24] - There were no significant legal proceedings involving the group during the fiscal year 2024[35] - The group confirmed revenue from third-party developed games on a gross basis when acting as the principal, reflecting its role in managing game operations[62] - The group recognized income from self-developed games on a gross basis, as it assumes primary responsibility for game development and operations[61] - The company has intangible assets of $552,000 that are contracted but not yet paid[86] - The annual performance announcement and annual report for the fiscal year 2024 will be published on the Hong Kong Stock Exchange website and the company's website[87] - The company expresses gratitude to all employees for their efforts, focus, loyalty, and integrity[88] - The chairman and CEO of the company is Lu Yuanfeng, with a board comprising both executive and independent non-executive directors[89]

Financial Performance - The company reported a revenue of HK$150 million for the six months ended June 30, 2024, representing a 20% increase compared to the same period last year[3]. - Revenue for the Reporting Period amounted to approximately US$4.5 million, representing a decrease of approximately 5.3% from approximately US$4.8 million for the corresponding period in 2023[19]. - Total revenue for the six months ended June 30, 2024, was USD 4,525,877, a decrease of 5.3% compared to USD 4,780,940 for the same period in 2023[102]. - Online game revenue for the same period was USD 4,525,866, down from USD 4,780,939, reflecting a decline of 5.3% year-over-year[102]. - Gross profit for the Reporting Period amounted to approximately US$2.0 million, representing an increase of approximately 8.8% from approximately US$1.9 million for the corresponding period in 2023[19]. - Gross profit increased to USD 2,022,780, up 8.8% from USD 1,858,900 in the previous year[90]. - Operating profit margin improved to 35%, up from 30% in the previous year[3]. - Operating loss for the period was USD 1,758,572, an improvement from a loss of USD 2,560,812 in the prior year[90]. - Loss attributable to owners of the Company for the Reporting Period amounted to approximately US$1.9 million, representing a decrease of approximately 25.9% from approximately US$2.6 million for the corresponding period in 2023[19]. - The company's loss for the period was $1,913,974 for the six months ended June 30, 2024, an improvement from a loss of $2,582,264 in 2023[121]. User Metrics - User data showed a growth of 15% in active users, reaching 1.2 million by the end of the reporting period[3]. - The total number of user registrations in the first half of 2024 increased by 39% compared to the same period in 2023 and increased by 9.5% compared to the second half of 2023[25]. - Active users in the mobile game APP industry in the PRC reached 659 million in February 2024, representing a year-on-year growth rate of over 12%[24]. Future Outlook - The company provided a positive outlook, projecting a revenue growth of 25% for the next fiscal year[3]. - New product launches are expected to contribute an additional HK$30 million in revenue in the upcoming quarter[3]. - Market expansion plans include entering two new regions in Southeast Asia by Q4 2024[3]. - The Group plans to continue promoting casual games and role-playing mobile games tailored to Brazilian mobile game users in the second half of 2024[27]. - The Group aims to strengthen long-term product operations and expand diversified categories while integrating art styles and localized elements to achieve growth in overseas business[29]. - The Group will actively explore opportunities in the global mobile game market, particularly in H5 games and English and Latin American languages, to embrace more development opportunities[30]. Research and Development - The company is investing HK$10 million in research and development for new technologies aimed at enhancing user experience[3]. - Research and development expenses amounted to approximately US$0.7 million, representing a decrease of approximately US$0.2 million or 21.1% from approximately US$0.9 million for the corresponding period in 2023[35]. - Research and development expenses for the period were USD 699,854, a decrease from USD 887,369 in 2023[90]. Financial Position - Total assets as of June 30, 2024, amounted to US$34.643 million, a decrease from US$37.961 million as of December 31, 2023[23]. - Current assets of the Group were approximately US$29.3 million, with current liabilities of approximately US$8.1 million, resulting in a current ratio of 3.6 as of June 30, 2024, compared to 3.5 as of December 31, 2023[41]. - The Group had no bank borrowings or other debt financing obligations as of June 30, 2024, resulting in a gearing ratio of nil[41]. - Cash flow from operations increased by 30%, totaling HK$45 million during the reporting period[3]. - As of June 30, 2024, the Group's total bank balances, cash, and short-term deposits amounted to approximately US$23.2 million, representing an increase of approximately 4.0% compared to US$22.3 million as of December 31, 2023[41]. - The total number of options granted was 49,498,610, with a vesting schedule over three years[87]. Governance and Compliance - The Company has complied with the relevant code provisions contained in the CG Code during the Reporting Period, with a noted deviation regarding the roles of chairman and chief executive officer[60]. - The audit committee confirmed that the applicable accounting principles, standards, and requirements have been complied with for the Reporting Period[65]. - The Board has resolved not to declare any interim dividend for the Reporting Period, consistent with the previous period[58]. - The Group was not involved in any material legal proceedings during the Reporting Period[58]. - There were no significant events after June 30, 2024, up to the date of this report[58]. Shareholding Structure - As of June 30, 2024, Mr. LU Yuanfeng holds 947,958,387 shares, representing approximately 47.40% of the company's total issued share capital[73]. - The significant shareholding structure indicates a concentrated ownership, primarily held by a few key individuals and entities[76]. - The Group's share capital remained unchanged at USD 2,000,000 as of June 30, 2024, with 2,000,000,000 ordinary shares in issue[131]. - The Company maintains compliance with the Securities and Futures Ordinance regarding the registration of interests in shares[78]. Other Financial Information - The Group's financial information is presented in USD and has been approved by the Board of Directors on August 27, 2024[1]. - The interim financial information should be read in conjunction with the annual financial statements for the year ended December 31, 2023[1]. - The Group has adopted all new and revised IFRSs effective from January 1, 2024, with no significant changes to accounting policies or financial statement presentation[99]. - The effective income tax rate for the company's PRC operations is 25%, while Guangzhou You Lai Information Technology Company Limited benefits from a preferential rate of 15%[114].

Utilization of IPO Proceeds - As of December 31, 2023, approximately $2.2 million of the net proceeds from the IPO allocated for investments remain unutilized[1] - The unutilized net proceeds are planned to be fully utilized by June 30, 2024, with a focus on investments[1] - The delay in utilizing the unutilized net proceeds is primarily due to the company's cautious investment strategy in response to the adverse global outlook caused by the COVID-19 pandemic[1]

Revenue and Profitability - For the six months ended June 30, 2024, the company's revenue was approximately $4.5 million, a decrease of about 5.3% compared to approximately $4.8 million in the same period of 2023[1] - The gross profit for the reporting period was approximately $2.0 million, an increase of about 8.8% from approximately $1.9 million in the same period of 2023[1] - The loss attributable to the company's owners was approximately $1.9 million, a decrease of about 25.9% compared to approximately $2.6 million in the same period of 2023[1] - The adjusted loss attributable to the company's owners under non-IFRS was approximately $1.9 million, also a decrease of about 25.9% from approximately $2.6 million in the same period of 2023[1] - The gross margin increased from 38.9% in the same period of 2023 to 44.7% in 2024[6] - The company reported a gross profit of $2,022,780 for the period, compared to $1,858,900 in the previous year, reflecting a positive trend in profitability[24] - Basic and diluted loss per share for the period was $0.10, compared to $0.14 in the same period last year[24] Expenses and Cost Management - The company's cost of revenue was approximately $2.5 million, a decrease of about 14.3% from approximately $2.9 million in the same period of 2023[6] - The company reduced its R&D expenses to approximately $0.7 million, a decrease of about 21.1% from approximately $0.9 million in the same period of 2023[10] - Sales and marketing expenses increased by approximately 3.3% to about $1.8 million, primarily due to increased advertising and promotion costs[8] Financial Position - As of June 30, 2024, the total cash and short-term deposits amounted to approximately $23.2 million, an increase of about 4.0% from $22.3 million as of December 31, 2023[13] - The current ratio as of June 30, 2024, was 3.6, compared to 3.5 as of December 31, 2023, indicating a stable financial position[13] - The company had no bank borrowings or debt financing obligations as of June 30, 2024, resulting in a debt-to-equity ratio of zero[14] - Current liabilities decreased from $9,118,778 to $8,060,809, indicating improved financial management[26] User Engagement and Market Strategy - The total user registrations increased by 39% year-on-year and 9.5% quarter-on-quarter in the first half of 2024[3] - The company plans to strengthen its core business layout and explore market opportunities in the second half of 2024[3] Corporate Governance and Compliance - The company has adopted corporate governance practices in line with the listing rules, although the roles of Chairman and CEO are not separated[21] - The board confirmed compliance with the standard code for securities trading by all directors during the reporting period[22] Employee and Operational Metrics - Total employee count decreased to 83 as of June 30, 2024, down from 142 as of December 31, 2023, with total salary expenses around $1.6 million, a decrease of approximately 11.4%[18] - The board decided not to declare any interim dividends for the reporting period[19] Legal and Regulatory Matters - There were no significant legal proceedings involving the company during the reporting period[20] - There were no significant investments, acquisitions, or disposals during the reporting period[15] Shareholder Information - The total issued shares as of June 30, 2024, remained at 2,000,000,000, with a share capital of $2,000,000[33] - The company did not recommend any dividend payment for the six months ended June 30, 2024, consistent with the previous year[37] Foreign Exchange and Taxation - The company recorded a foreign exchange loss of $(86,699) for the six months ended June 30, 2024, compared to a foreign exchange gain of $265,635 in 2023[34] - The company reported a decrease in overseas withholding tax expenses to $64,159 for the six months ended June 30, 2024, from $73,796 in 2023[35] Government Grants - The company received government grants amounting to $7,550 for the six months ended June 30, 2024, compared to $19,698 in 2023[34]

Financial Performance - Digital Hollywood Interactive Limited reported a revenue of HK$XXX million for FY2023, representing a year-over-year increase of XX%[1] - Revenue for the fiscal year increased by 30% to $150 million, driven by strong performance in new game launches[11] - For FY2023, the Group's revenue was approximately US$9.9 million, a decrease of about 11.1% from US$11.1 million in FY2022[40] - The Group's revenue for FY2023 was approximately US$9.9 million, representing a decrease of 11.1% from US$11.1 million in FY2022[120] - The decline in revenue was primarily due to decreased income from certain matured games and newly launched games still being in the promotion period[120] User Engagement and Growth - The average revenue per paying user (ARPPU) for the company's games was HK$XXX, reflecting a growth of XX% compared to the previous year[1] - User data indicates a XX% increase in active users across its gaming platforms, highlighting strong engagement metrics[1] - The company has implemented new marketing strategies that have resulted in a XX% increase in user conversion rates[1] - The company reported a significant increase in monthly active users (MAUs), reaching an average of 1.5 million, representing a 25% year-over-year growth[11] - The average monthly active users (MAUs) for online games exceeded 0.4 million as of December 31, 2023[38] Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a XX% increase in user acquisition by the end of FY2024[1] - The company plans to expand its market presence in Southeast Asia, targeting a 15% increase in user acquisition in the next fiscal year[11] - Digital Hollywood Interactive Limited anticipates a revenue guidance of HK$XXX million for FY2024, indicating a growth target of XX%[1] - The Group aims to enhance its operational effectiveness and provide high-quality choices for game companies in both domestic and overseas markets in 2024[45] - The Group plans to promote more game products integrating Chinese elements and culture to international markets[45] Research and Development - The company has invested HK$XXX million in research and development for new technologies, aiming to enhance user engagement and retention[1] - The company is investing $5 million in research and development for virtual reality (VR) technologies to enhance user experience[11] - The Group's management team is composed of individuals with diverse backgrounds in finance, technology, and media, ensuring a well-rounded approach to business strategy[75][88] Corporate Governance - Digital Hollywood Interactive Limited is committed to improving its corporate governance practices, as outlined in the latest governance report[1] - The Company promotes a corporate culture aligned with its core values to create sustainable value for shareholders and stakeholders[172] - The Board consists of seven Directors, including four executive Directors and three independent non-executive Directors, ensuring a balance of skills and experience[175] - The Company has complied with the Listing Rules regarding the appointment of independent non-executive Directors, ensuring they constitute at least one-third of the Board[188] - The Board is responsible for corporate governance duties in accordance with the CG Code[195] Financial Position and Liabilities - The total assets of the Group as of December 31, 2023, were US$37.961 million, down from US$44.297 million in 2022[28] - The total liabilities of the Group as of December 31, 2023, were US$9.777 million, a decrease from US$9.999 million in 2022[28] - As of December 31, 2023, the Group's total bank balances, cash, and short-term deposits amounted to approximately US$22.3 million, representing a decrease of approximately 11.1% from US$25.0 million as of December 31, 2022[140] - The Group's current liabilities were approximately $9.1 million, resulting in a current ratio of 3.5 as of December 31, 2023, compared to 4.0 as of December 31, 2022[152] Acquisitions and Partnerships - The company is exploring potential acquisitions to strengthen its portfolio, with a focus on companies that can enhance its technological capabilities[1] - A strategic partnership with Shenzhen 7Road Technology Co., Ltd. has been established to co-develop new gaming titles[11] - The company has successfully completed the acquisition of a smaller game development studio for $3 million, expected to contribute to future revenue streams[11] Future Outlook - The company anticipates a revenue growth of 20% for the next fiscal year, supported by ongoing product development and market expansion strategies[11] - The Group aims to enhance its influence and operational efficiency in the gaming market, focusing on providing high-quality options and higher return rates for both domestic and international gaming enterprises[48] - The Group's future strategy includes deeper cultural integration and launching more excellent products globally, leveraging its operational advantages[110]

Financial Performance - For the fiscal year ending December 31, 2023, the company's revenue was approximately $9.9 million, a decrease of about 11.1% from approximately $11.1 million in the fiscal year ending December 31, 2022[4] - The gross profit for the fiscal year 2023 was approximately $4.1 million, down about 12.0% from approximately $4.7 million in the fiscal year 2022[4] - The loss attributable to the company's owners for the fiscal year 2023 was approximately $5.8 million, a slight decrease of about 1.6% from approximately $5.9 million in the fiscal year 2022[4] - The company's revenue for the fiscal year ended December 31, 2023, was $9,908,941, a decrease of 11.04% from $11,142,371 in 2022[45] - Gross profit for the same period was $4,101,390, down from $4,658,953, reflecting a decline of 11.93%[45] - Operating loss increased to $5,734,405 from $5,506,916, indicating a rise of 4.13% year-over-year[45] - The net loss for the year was $5,770,931, slightly improved from $5,863,468, a decrease of 1.58%[45] - Total assets decreased to $37,961,419 from $44,297,414, a reduction of 14.14%[46] - Total equity fell to $28,184,817 from $34,298,740, a decline of 17.83%[46] - The company's loss before tax for 2023 was $5,626,157, compared to a loss of $5,765,955 in 2022, reflecting a decrease of approximately 2.4%[71] - The basic and diluted loss per share for 2023 was $5,770,931, compared to $5,863,468 in 2022, indicating a reduction of about 1.6%[73] Expenses and Costs - The company's cost for the fiscal year 2023 was approximately $5.8 million, a reduction of about 10.4% from approximately $6.5 million in the fiscal year 2022[12] - The company's gross margin slightly decreased from 41.8% in the fiscal year 2022 to 41.4% in the fiscal year 2023[12] - Sales and marketing expenses for the fiscal year 2023 were approximately $3.6 million, an increase of about 10.8% from approximately $3.2 million in the fiscal year 2022[14] - Research and development expenses for the fiscal year 2023 were approximately $1.8 million, a decrease of about 15.6% from approximately $2.1 million in the fiscal year 2022[16] - The total salary expenditure for the fiscal year 2023 was approximately $3.9 million, a decrease of about 11.0% compared to the previous fiscal year[32] Cash and Assets - As of December 31, 2023, the group's total cash and short-term deposits amounted to approximately $22.3 million, a decrease of about 11.1% from approximately $25.0 million as of December 31, 2022[21] - The current ratio as of December 31, 2023, was 3.5, down from 4.0 as of December 31, 2022[22] - The total current assets were approximately $32.2 million, including cash and short-term deposits of about $22.3 million and other current assets of approximately $9.9 million[22] - As of December 31, 2023, the group had no bank borrowings or other debt financing obligations, resulting in a debt-to-equity ratio of zero[22] - The group recorded government subsidies of $47,340 in 2023, down from $253,915 in 2022, indicating a significant decrease of approximately 81.4%[67] - The net foreign exchange gain for the group was $188,462 in 2023, compared to $295,070 in 2022, reflecting a decline of about 36.1%[67] - Trade receivables increased to $3,599,221 in 2023 from $3,169,489 in 2022, marking an increase of approximately 13.5%[76] - The provision for trade receivables was $2,431,437 in 2023, up from $2,236,639 in 2022, which is an increase of about 8.7%[80] - Trade payables increased slightly to $1,293,778 in 2023 from $1,259,567 in 2022, reflecting a growth of approximately 2.7%[81] Corporate Governance and Compliance - The company maintained compliance with the public float requirements set by the Hong Kong Stock Exchange[39] - The board confirmed adherence to the corporate governance code, with a noted deviation regarding the roles of the Chairman and CEO being held by the same individual[40] - The company plans to continuously review and monitor its corporate governance practices to maintain high standards[41] Business Operations and Strategy - The company plans to enhance its platform's influence and operational efficiency in the gaming market, aiming to provide better services and experiences for players[8] - The company has launched multiple game products, including "Eternal Fury" and "League of Angels: Pact," and has connected with major international platforms like Steam and Google Play[6] - The company aims to promote games that incorporate Chinese elements and culture to global markets, enhancing cultural exchange and recognition[8] - The company operates primarily in the online gaming sector, with a single business segment for management purposes[50] - The company is focused on providing online gaming services and has a large player base globally[51] - The company's revenue from self-operated games is generated through its own website and partnerships with platforms, with responsibility for payment solutions and marketing[58] Revenue Recognition and Taxation - The group operates under a total revenue recognition basis for self-developed games, with costs incurred for game development recorded as revenue costs[61] - The group recognizes revenue from third-party developed games on a gross basis when acting as the principal, with related costs recorded as revenue costs[63] - The group has established a player relationship period for revenue recognition, which is re-evaluated semi-annually[63] - The group provides advertising services within its online games, recognizing revenue proportionally during the service period[66] - The group incurred income tax expenses of $144,774 in 2023, slightly down from $153,075 in 2022, representing a decrease of about 5.5%[67] - The group has not recognized any income tax provisions in Hong Kong for both 2023 and 2022, as it did not generate any taxable profits in Hong Kong during these years[68] - The group is subject to a 10% withholding tax on royalties generated in Vietnam and a combined 25% tax (10% remittance tax and 15% income tax) on income from Brazil[70] Dividend and Shareholder Information - The board has resolved not to recommend the payment of a final dividend for the fiscal year 2023[35] - The company did not recommend any dividend payment for the year ending December 31, 2023, consistent with 2022[72] - The company's total issued ordinary shares remained at 2,000,000,000 for both 2023 and 2022, with no changes in the share capital[83] - The weighted average number of ordinary shares for calculating basic and diluted loss per share was 1,861,021,877 for both 2023 and 2022[74] Miscellaneous - The net proceeds from the IPO amounted to approximately $35.4 million, with an unutilized balance of about $2.2 million as of the fiscal year 2023[30] - There were no significant investments, acquisitions, or disposals made by the group during the fiscal year 2023[23][24][25] - The group had no significant contingent liabilities as of December 31, 2023[27] - The annual performance announcement and annual report for the fiscal year 2023 will be published on the Hong Kong Stock Exchange website and the company's website[87] - The company expresses gratitude to all employees for their efforts, focus, loyalty, and integrity, as well as to shareholders, customers, banks, and other business partners for their trust and support[88] - The announcement is made by the Chairman and CEO, Lu Yuanfeng, on March 26, 2024[89]

Financial Performance - The company reported a revenue of HK$XX million for the six months ended June 30, 2023, representing a year-over-year increase of XX%[6]. - Revenue for the reporting period amounted to approximately US$4.8 million, representing a decrease of approximately 22.3% from approximately US$6.2 million for the corresponding period in 2022[13]. - Gross profit for the reporting period amounted to approximately US$1.9 million, representing a decrease of approximately 27.8% from approximately US$2.6 million for the corresponding period in 2022[13]. - Loss attributable to owners of the Company for the reporting period amounted to approximately US$2.6 million, representing an increase of approximately 32.7% from approximately US$1.9 million for the corresponding period in 2022[14]. - Total comprehensive expense for the period was USD 3,057,397, up from USD 2,455,277 in 2022, indicating a 24.5% increase[151]. - Online game revenue for the six months ended June 30, 2023, was USD 4,780,939, a decrease of 22.3% from USD 6,152,497 in the same period of 2022[176]. User Engagement and Market Expansion - User data showed an increase in active users by XX% compared to the previous period, reaching a total of XX million users[6]. - The company provided a positive outlook for the next quarter, projecting a revenue growth of XX% driven by new product launches and market expansion initiatives[6]. - Market expansion efforts are underway in the Southeast Asia region, targeting a growth rate of XX% in user acquisition[6]. - The company has launched a new game title that has already garnered over XX downloads within the first month of release[6]. - The Group plans to launch several European versions of its games, including the French and German versions of League of Angels Pact, to further develop the European market[26]. Investment and Development - Investment in new technologies and product development increased by XX%, focusing on enhancing user experience and engagement[6]. - A strategic partnership with a leading technology firm was announced, aimed at leveraging advanced analytics for user data insights[6]. - The Group is expected to launch its mobile version of Eternal Fury 3 in the second half of the year, which will be released on multiple platforms[26]. - Research and development expenses for the six months ended June 30, 2023, were USD 887,369, down from USD 1,055,524 in 2022, a decrease of 16%[150]. Financial Position and Assets - Total assets as of June 30, 2023, were approximately US$40.8 million, a decrease from US$44.3 million as of December 31, 2022[18]. - As of June 30, 2023, total liabilities decreased to USD 9,595,840 from USD 9,998,674 as of December 31, 2022, representing a reduction of approximately 4.0%[154]. - Current assets of the Group amounted to approximately US$33.6 million, with a current ratio of 3.8 as at June 30, 2023, compared to 4.0 as at December 31, 2022[51]. - Cash and bank balances decreased to USD 22,573,688 from USD 25,032,539, a decline of 9.8%[153]. Corporate Governance and Compliance - The Company has complied with the relevant code provisions of the Corporate Governance Code during the reporting period, except for the deviation from code provision C.2.1 regarding the separation of the roles of chairman and chief executive officer[86]. - The Board consists of three executive directors and three independent non-executive directors, ensuring a strong element of independence in its composition[86]. - The audit committee has reviewed the unaudited interim condensed consolidated financial information for the reporting period and confirmed compliance with applicable accounting principles and adequate disclosures[95]. Employee and Remuneration - The total remuneration expenses for the Reporting Period were approximately US$1.8 million, representing a decrease of approximately 16.6% compared to the corresponding period in 2022[73]. - The Group had 149 employees as of June 30, 2023, down from 153 employees as of December 31, 2022[73]. - The Group's employee remuneration policy is based on merit, qualifications, and market conditions, with regular training provided to improve employee skills[74]. Legal and Regulatory Matters - The Group did not have any material acquisitions or disposals of subsidiaries, associates, and joint ventures for the Reporting Period[57][58]. - The Group did not experience any significant events after June 30, 2023, up to the date of the report[83]. - Guangzhou Zhangying Control Information Technology Co., Ltd. has initiated a lawsuit against Shenzhen Qianhai Fantasy Network Technology Co., Ltd. for losses incurred due to the unilateral termination of a series of intellectual property licensing agreements, claiming RMB 6,556,900 in damages[81]. Shareholder Information - As of June 30, 2023, Mr. LU Yuanfeng holds 947,958,387 ordinary shares, representing approximately 47.40% of the total issued share capital[106]. - The interests held by the directors and substantial shareholders indicate a concentrated ownership structure within the company[113]. - The Post-IPO Share Option Scheme allows for the issuance of up to 200,000,000 new shares, representing 10% of the total shares in issue on the Listing Date[128].

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依 賴該等內容而引致的任何損失承擔任何責任。 DIGITAL HOLLYWOOD INTERACTIVE LIMITED 遊 萊 互 動 集 團 有 限 公 司 * （於開曼群島註冊成立的有限公司） （股份代號：2022） 截至二零二三年六月三十日止六個月 中期業績公告 財務摘要 • 截至二零二三年六月三十日止六個月（「報告期」）的收入約為4.8百萬美元， 較二零二二年同期錄得的約6.2百萬美元減少約22.3%。 • 報告期的毛利約為1.9百萬美元，較二零二二年同期錄得的約2.6百萬美元減 少約27.8%。 • 於報告期，本公司擁有人應佔虧損約為2.6百萬美元，較二零二二年同期錄 得的約1.9百萬美元增加約32.7%。 • 於報告期，本公司擁有人應佔非國際財務報告準則經調整虧損(1)約為2.6百 ...

Financial Performance - Digital Hollywood Interactive Limited reported a revenue of HK$XX million for FY2022, representing a YY% increase compared to FY2021[6]. - Revenue for the fiscal year was reported at USD 50 million, a 15% increase compared to the previous year[8]. - The Group's revenue for FY2022 was approximately US$11.1 million, representing a decrease of approximately 13.3% from US$12.8 million in FY2021[40]. - The decline in revenue was primarily due to decreased income from some legacy game products[40]. - For FY2022, the loss attributable to owners of the Company was approximately US$5.9 million, an increase of 73.5% from US$3.4 million in FY2021[134]. - Non-IFRS adjusted loss attributable to owners of the Company for FY2022 was approximately US$5.9 million, representing an increase of 78.8% from approximately US$3.3 million recorded in FY2021[134]. - The gross profit margin slightly decreased from approximately 42.4% in FY2021 to approximately 41.8% in FY2022[139]. - Other gains for FY2022 amounted to approximately US$0.55 million, compared to other losses of approximately US$0.16 million in FY2021[140]. User Engagement and Market Expansion - User data indicates a total of II million active users across all platforms, marking an increase of JJ% from the previous year[5]. - The company reported a significant increase in monthly active users (MAUs), reaching an average of 1.5 million, representing a 25% growth year-over-year[7]. - The average revenue per month per paying user (ARPPU) for the company's games was HK$ZZ, indicating a growth of AA% year-over-year[4]. - The company plans to expand its market presence in Southeast Asia, targeting a market share increase of BB% by the end of FY2023[5]. - The company has expanded its presence in the European market, with a new office established in Spain to support regional operations[13]. - The Group aims to enhance the GHG platform's functions and services to improve user experience and brand image[123]. Product Development and Innovation - New product launches are expected to contribute an additional HK$CC million in revenue, with a projected growth rate of DD% in the upcoming fiscal year[3]. - The company is investing in R&D for new gaming technologies, with a budget allocation of HK$EE million, aiming for a launch in Q1 FY2024[2]. - Research and development expenses increased by 30% to USD 5 million, reflecting the company's commitment to innovation[12]. - The Group launched several successful casual shooting games in 2015, including a special edition featuring sports figures licensed from Barcelona Football Club[20]. - The Group launched and operated 60 games globally, with 15 self-developed games accounting for 25% of the total[37]. - The Group released 10 HTML5 games in 2022, including titles like Game of Thrones and League of Angels Pact[116]. - The Group aims to expand its HTML5 product matrix by releasing games in various categories such as action, adventure, simulation, and role-playing[45]. Strategic Initiatives - The company is actively pursuing strategic partnerships and potential acquisitions to enhance its game development capabilities[11]. - The company plans to enhance its mobile and HTML5 games portfolio by developing additional high-quality games and adding value-adding features[133]. - The company is exploring potential acquisitions to enhance its product offerings and market presence, with a focus on companies in the technology sector[85]. - Strategic partnerships are being formed to leverage synergies and drive growth, with an expected contribution of HH million to the bottom line[85]. - The Group seeks to strengthen cooperation with regional platforms globally to leverage resource advantages for future business growth[47]. Governance and Management - The company is focusing on enhancing its corporate governance practices, aligning with the latest CG Code requirements[4]. - The Board consists of six Directors, including three executive Directors and three independent non-executive Directors, ensuring a strong independent element[192]. - The management is responsible for the day-to-day operations and implements the strategy set by the Board[191]. - The company has complied with the corporate governance code, except for the separation of the roles of chairman and CEO, which are held by Mr. LU Yuanfeng[189]. - The independent directors provide oversight and guidance, enhancing the Group's governance and strategic direction[79][80]. Sustainability and Social Responsibility - Digital Hollywood Interactive Limited aims to improve its environmental, social, and governance (ESG) initiatives, with a commitment to invest HK$KK million in sustainability projects[3]. - The management team emphasized a commitment to sustainability initiatives, which are projected to reduce operational costs by II% over the next three years[85].