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，並明確表示概不就因本公告全 部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 Fu Shek Financial Holdings Limited 富 石 金 融 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：2263） 截 至2023年3月31日 止 年 度 的 全 年 業 績 公 告 富石金融控股有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然公佈本公司 及其附屬公司（統稱「本集團」）截至2023年3月31日止年度（「回顧年度」）的經審核 綜合財務業績，連同截至2022年3月31日止年度的比較數字。 綜合損益及其他全面收益表 截至2023年3月31日止年度 （以港元列示） 2023年 2022年 附註 千港元 千港元 收益 費用及佣金收入 3 9,120 15,999 以實際利率法計算的利息收入 27,817 22,032 36,937 38,031 ...

Revenue Performance - For the six months ended September 30, 2022, the group's revenue was approximately HKD 19.9 million, a decrease of 8.1% compared to the same period in 2021[8]. - Commission income from brokerage services decreased by 55.3% to approximately HKD 4.6 million, accounting for 23.1% of total revenue[9]. - Interest income from margin financing services increased by 53.5% to approximately HKD 14.4 million, representing 72.7% of total revenue[11]. - Commission income from placement and underwriting services decreased by 56.8% to approximately HKD 0.8 million, accounting for 4.2% of total revenue[12]. - The group recorded revenue of approximately HKD 19.9 million, a decrease of 8.1% compared to HKD 21.6 million for the six months ended September 30, 2021[16]. - Total revenue for the six months ended September 30, 2022, was HKD 19,862,000, with a segment profit of HKD 15,914,000[98]. Financial Position - As of September 30, 2022, the group's cash and bank deposits amounted to approximately HKD 119.4 million, up from HKD 103.7 million as of March 31, 2022[20]. - The group's current assets net value increased to approximately HKD 343.2 million, compared to HKD 334.8 million as of March 31, 2022, reflecting an increase of approximately HKD 8.4 million[20]. - The group maintained a debt-to-equity ratio of approximately 0.09 as of September 30, 2022, unchanged from March 31, 2022[21]. - As of September 30, 2022, the total assets amounted to HKD 574,470,000, an increase from HKD 544,047,000 as of March 31, 2022, representing a growth of approximately 5.4%[79]. - The net asset value increased to HKD 348,641,000 from HKD 339,962,000, reflecting a rise of about 2.0%[79]. - The total liabilities decreased from HKD 231,309,000 to HKD 195,446,000, a reduction of approximately 15.5%[79]. Profitability - The group's net profit was approximately HKD 8.7 million, an increase of 0.2% compared to HKD 8.7 million for the six months ended September 30, 2021[18]. - The company's pre-tax profit for the six months ended September 30, 2022, was HKD 10,323,000, a slight decrease of 2.2% compared to HKD 10,560,000 in the previous year[77]. - The total comprehensive income for the period was HKD 8,679,000, compared to HKD 8,663,000 in the same period of 2021, indicating a marginal increase[77]. - The company reported a net cash inflow from operating activities of HKD 16,953,000, compared to a net outflow of HKD 3,371,000 in the previous year[83]. Operational Efficiency - Other operating expenses decreased by 37.4% to approximately HKD 2.9 million, down from HKD 4.7 million for the six months ended September 30, 2021[17]. - Employee costs for the period were HKD 4,662,000, down from HKD 5,351,000 in the previous year[107]. - The company reported a total of HKD 3,509,000 in key management personnel compensation for the six months ended September 30, 2022, compared to HKD 4,208,000 for the same period in 2021, reflecting a decrease of about 16.6%[138]. Shareholder Information - The company has a total of 750,000,000 shares held by major shareholders, representing 75% ownership[49]. - Major shareholder Mr. Li holds 75% of the company's shares through his controlled entity, Wanshun Holdings[49]. - The major shareholders include Ms. Yang, who also holds a 75% interest through Wanshun Holdings[54]. - The company did not declare or propose any dividends to ordinary shareholders for the period ended September 30, 2022, consistent with the previous year[115]. Financing and Debt - The financing agreement I allows for a revolving loan and an overdraft facility with a maximum principal amount of HKD 15,000,000 and HKD 10,000,000 respectively[59]. - The outstanding loan amount under Financing Agreement II was HKD 30,000,000 as of September 30, 2022[67]. - The financing under Financing Agreement I had an outstanding loan amount of zero as of September 30, 2022[62]. - The company has committed to maintaining at least 51% of the voting rights under Financing Agreement II[65]. Market Outlook - The company anticipates a rebound in the global economy as COVID-19 gradually eases, maintaining Hong Kong's position as a leading financial market[15]. - The company plans to continue expanding its market presence and enhancing its service offerings in the securities trading and asset management sectors[85].

Financial Performance - The total revenue for the fiscal year was approximately HKD 38.0 million, a decrease of 3.0% compared to the previous year[10]. - The net profit attributable to shareholders increased to approximately HKD 12.8 million, primarily due to increased interest income from margin financing services[10]. - Commission income from brokerage services decreased by approximately 23.0% to about HKD 13.4 million, accounting for approximately 35.1% of total revenue[12]. - The segment profit for brokerage services decreased by approximately 29.0% to about HKD 9.5 million[12]. - Margin financing interest income increased by approximately 11.8% to about HKD 22.0 million, accounting for approximately 57.9% of total revenue[13]. - Commission income from placement and underwriting services rose by approximately 24.8% to about HKD 2.6 million, representing about 6.9% of total revenue[14]. - Total revenue decreased by approximately 3.0% to about HKD 38.0 million due to competitive commission rates and reduced brokerage income[17]. - Net profit for the year was approximately HKD 12.8 million, an increase of about 19.8% compared to approximately HKD 10.7 million last year[19]. Economic Environment - The local GDP grew by 6.3% compared to the same period last year, driven by improved customer confidence and government stimulus measures[9]. - The Hong Kong economy contracted by 4.0% year-on-year in the first quarter of 2022, ending four consecutive quarters of growth[9]. Company Outlook and Strategy - The company remains optimistic about its prospects despite the competitive and volatile market environment[7]. - The company plans to leverage its management team's knowledge and experience to seize opportunities, particularly through bank financing for margin services[7]. - The company aims to maintain prudent capital management to ensure a robust liquidity position in the face of future challenges[7]. - The company anticipates a rebound in the global economy as COVID-19 vaccination programs are implemented worldwide[41]. - The company believes that Hong Kong's financial services sector will maintain its global leadership position due to its strong development history and excellent professional talent[41]. - The company plans to leverage its management team's knowledge and experience to seize opportunities, particularly through bank financing to expand its guarantee financing services[41]. COVID-19 Impact - The company will continue to monitor the impact of COVID-19 on its financial condition and operational performance[7]. - The company has suspended expansion and development plans due to the ongoing COVID-19 crisis, with intentions to resume once the situation improves[38]. - The company will closely monitor the impact of COVID-19 on its financial condition and operational performance[41]. Capital Management and Investments - Cash and bank deposits amounted to approximately HKD 103.7 million, up from approximately HKD 92.4 million in the previous year[21]. - The group’s current assets net value increased by approximately HKD 12.7 million to about HKD 334.8 million[21]. - The group utilized bank financing of HKD 30.0 million to meet margin loan demands[24]. - The total net proceeds allocated for business strategies amount to HKD 90.6 million, with HKD 46.669 million unutilized as of March 31, 2022[37]. - The company plans to establish and renovate new offices with an allocation of HKD 15.7 million, expected to be completed by the end of 2024[37]. - The company aims to expand its workforce with an investment of HKD 12.9 million, also targeted for completion by the end of 2024[37]. - The company will upgrade its IT systems with a budget of HKD 9 million, expected to be finalized by the end of 2024[37]. Shareholder and Governance Information - The board does not recommend a final dividend for the review year, consistent with the previous year[40]. - The company's distributable reserves as of March 31, 2022, were approximately HKD 61,971,000, compared to HKD 64,561,000 in 2021[75]. - No dividends were recommended for the review year, consistent with the previous year[59]. - The group has not issued any debt securities during the review year[72]. - The group has complied with all relevant laws and regulations without any significant violations during the review year[69]. - The group operates as a comprehensive financial services provider, licensed to conduct regulated activities including securities trading, advisory, and asset management[56]. - The board of directors consists of six members, including one non-executive director and three independent non-executive directors[141]. - The company has complied with the corporate governance code as per the listing rules during the review period[140]. - The total number of shares held by the public is at least 25% of the total issued share capital[130]. Management and Committee Activities - The board of directors held 6 meetings during the review year, with all members attending 100% of the meetings[167]. - The audit committee conducted 3 meetings, with all members present at each meeting[173]. - The remuneration committee held 2 meetings, with all members attending 100% of the meetings[185]. - The company established an audit committee on January 22, 2020, to oversee financial reporting and risk management[172]. - The remuneration policy for directors and senior management is linked to the group's financial performance and individual performance[185]. - The Nomination Committee was established on January 22, 2020, to review the board's structure, size, and diversity[191]. - The Nomination Committee held 2 meetings during the review year, with full attendance from all members[192]. - The committee evaluated the independence of independent non-executive directors and made recommendations for board composition changes[195]. - The board adopted a nomination policy on January 22, 2020, to enhance board diversity and governance standards[197]. - The nomination process includes advertising, candidate assessment, interviews, and recommendations to the board[198]. - The board diversity policy considers factors such as gender, age, cultural background, and professional experience[200]. - The Nomination Committee will review the progress of diversity goals annually to ensure effectiveness[200].

Financial Performance - The total revenue for the group for the six months ended September 30, 2021, was approximately HKD 21.6 million, representing a 3.0% increase compared to the same period in 2020[7]. - Net profit for the period was approximately HKD 8.7 million, representing a 29.0% increase from approximately HKD 6.7 million for the six months ended September 30, 2020[19]. - The company reported total revenue of HKD 21,621,000, an increase of 3.05% compared to HKD 20,983,000 for the same period in 2020[71]. - The company's profit before tax for the same period was HKD 10,560,000, representing a 29.3% increase from HKD 8,161,000 in the previous year[71]. - The company reported a net profit of HKD 8,663,000 for the six months ended September 30, 2021, compared to HKD 6,713,000 for the same period in 2020, representing a year-over-year increase of approximately 29.05%[75]. Revenue Breakdown - Commission income from the brokerage services decreased by 0.6% to approximately HKD 10.3 million, accounting for 47.5% of total revenue[8]. - Interest income from margin financing services increased by 0.8% to approximately HKD 9.4 million, representing 43.5% of total revenue[10]. - Commission income from placement and underwriting services rose by 48.1% to approximately HKD 1.9 million, accounting for 9.0% of total revenue[11]. - Total revenue from commission and brokerage income for the six months ended September 30, 2021, was HKD 12,219 thousand, up from HKD 11,651 thousand in the previous year, indicating a growth of about 4.88%[85]. - The brokerage services segment generated revenue of HKD 10,275,000, while the margin financing services segment contributed HKD 9,402,000, indicating strong performance in these areas[91]. Expenses and Costs - Other operating expenses decreased by 5.2% to approximately HKD 4.7 million, down from approximately HKD 4.9 million for the six months ended September 30, 2020[17]. - Employee costs increased by approximately 31.4% to about HKD 5.4 million, compared to HKD 4.1 million for the six months ended September 30, 2020[28]. - The total employee costs for the six months ended September 30, 2021, amounted to HKD 5,351,000, an increase from HKD 4,554,000 in the same period of 2020, showing a rise of approximately 17.5%[99]. - The total commission expenses for the six months ended September 30, 2021, were HKD 1,526,000, compared to HKD 809,000 in the same period of 2020, representing an increase of approximately 88.5%[91][93]. - Interest expenses for the six months ended September 30, 2021, totaled HKD 268,000, a decrease from HKD 956,000 in the same period of 2020, reflecting better cost management[100]. Assets and Liabilities - As of September 30, 2021, the group's cash and bank deposits totaled approximately HKD 97.9 million, an increase from approximately HKD 92.4 million as of March 31, 2021[20]. - The group's current assets net value was approximately HKD 330.1 million, an increase of about HKD 8.0 million from approximately HKD 322.1 million as of March 31, 2021[20]. - The company’s current liabilities rose to HKD 243,057 thousand as of September 30, 2021, compared to HKD 211,176 thousand as of March 31, 2021, marking an increase of approximately 15.08%[73]. - The total liabilities as of September 30, 2021, included accounts payable of HKD 229,443,000, an increase from HKD 206,198,000 as of March 31, 2021, reflecting a rise of approximately 11.3%[120]. - The company’s receivables decreased to HKD 270,002 thousand as of September 30, 2021, from HKD 295,770 thousand as of March 31, 2021, representing a decline of approximately 8.73%[73]. Shareholder Information - The board does not recommend the payment of an interim dividend for the period[37]. - The controlling shareholders have committed to a non-competition agreement effective from the company's listing date, prohibiting them from engaging in competitive businesses directly or indirectly[45]. - As of September 30, 2021, Mr. Li holds a 75% equity interest in the company, represented by 750,000,000 shares[49]. - The controlling shareholder Wan Shun holds a 75% equity interest in the company, also represented by 750,000,000 shares[54]. - The company reported no dividends declared or proposed for the period ended September 30, 2021, consistent with the previous year where no dividends were paid[106]. Future Outlook and Strategy - The group plans to expand its margin financing services to capture market opportunities[15]. - The group anticipates a gradual recovery in the global economy as COVID-19 vaccination programs are implemented worldwide[14]. - The group aims to enhance its capabilities to solidify its position in the industry amidst external economic factors[15]. - The group has adopted a conservative approach to its expansion plans due to the ongoing COVID-19 crisis and market uncertainties[34]. - The group plans to utilize the net proceeds of approximately HKD 90.6 million from its listing for various purposes, including expanding its placement and underwriting business and upgrading IT systems[32].

Financial Performance - The total revenue for the fiscal year was approximately HKD 39.2 million, a decrease of 36.3% compared to the previous year[14]. - The net profit attributable to the owners of the company decreased to approximately HKD 10.7 million, primarily due to reduced income from placement and underwriting services[14]. - Commission income from securities brokerage services decreased by 23.0% to approximately HKD 17.4 million, accounting for 44.3% of total revenue[15]. - Interest income from margin financing services increased by 14.5% to approximately HKD 19.7 million, representing 50.3% of total revenue[16]. - Commission income from placement and underwriting services dropped by 90.3% to approximately HKD 2.1 million, constituting 5.4% of total revenue[18]. - Total revenue for the year was approximately HKD 39.2 million, a decrease of 36.3% compared to HKD 61.5 million in the previous year[20]. - Net profit for the year was approximately HKD 10.7 million, down 21.4% from approximately HKD 13.6 million in the previous year[23]. Operating Expenses - The company experienced an increase in operating expenses and employee costs compared to the previous year[14]. - Other operating expenses increased by 31.0% to approximately HKD 9.7 million, primarily due to higher professional fees and compliance consulting costs[21]. - The group employed 17 staff members as of March 31, 2021, with employee costs amounting to approximately HKD 10.2 million, an increase of about HKD 3.1 million[33]. Market Conditions - The trading volume in the securities market increased by about 67% compared to the previous year, reflecting active trading activities despite a challenging economic environment[10]. - The company adopted a cautious approach in taking on new placement and underwriting projects due to uncertain economic prospects and market volatility[14]. - The company remains optimistic about its prospects, believing that business will rebound as market and investor sentiment improves[8]. Capital and Funding - The company successfully raised approximately HKD 90.6 million through the public offering of 250 million shares at an issue price of HKD 0.50 per share[13]. - The net proceeds received by the group amount to approximately HKD 90.6 million, intended for various purposes including business expansion and IT system upgrades[38]. - The allocation of net proceeds includes HKD 27 million for expanding placement and underwriting business, and HKD 10.2 million for financing guarantee business[39]. - As of March 31, 2021, unutilized proceeds amount to HKD 46.6 million, with a total of HKD 44 million already utilized[39]. Corporate Governance - The board consists of six directors, including one non-executive director, two executive directors, and three independent non-executive directors[130]. - The board has complied with the corporate governance code regarding the appointment of at least three independent non-executive directors[136]. - The company has adopted standard codes for securities trading by directors and confirmed compliance during the review year[138]. - The board reviews the diversity policy annually to ensure its effectiveness and appropriateness[180]. Risk Management - The company has implemented effective risk management and internal control systems, with an independent consulting firm auditing these systems annually[191]. - The board is responsible for ensuring that the company maintains good corporate governance and effective risk management practices[183]. - The risk management process includes risk identification, assessment, management measures, and monitoring[184]. - The company has no immediate need to establish an internal audit function due to the board's capability to oversee risk management and internal control systems[191]. Shareholder Matters - The board does not recommend the distribution of a final dividend for the review year[42]. - The group did not recommend any dividend payment for the review year (2020: none)[60]. - Shareholders holding at least 10% of the company's paid-up capital can request a special general meeting within two months of their request[199]. - If the board does not convene the meeting within 21 days of the request, the requesting shareholders can call the meeting themselves[199]. Compliance and Regulations - The group has complied with all relevant laws and regulations without any significant violations during the review year[69]. - The company confirms compliance with the disclosure requirements of Chapter 14A of the Listing Rules during the review year[84]. - The company has received annual confirmations from independent non-executive directors regarding their independence[87]. Employee Matters - The remuneration policy for directors and senior management is linked to the group's financial performance and individual performance[162]. - The company secretary completed no less than 15 hours of relevant professional training during the review year[192]. - Employee costs for the year amounted to HKD 10.2 million (2020: HKD 7.1 million), reflecting an increase in workforce from 16 to 17 employees[80].

Revenue Performance - For the six months ended September 30, 2020, the group's revenue was approximately HKD 21.0 million, a decrease of 34.7% compared to HKD 32.2 million for the same period in 2019[14] - The group recorded revenue of approximately HKD 21.0 million for the reporting period, a decrease of 34.7% compared to HKD 32.1 million for the six months ended September 30, 2019[24] - For the six months ended September 30, 2020, the company reported total revenue of HKD 20,983,000, a decrease of 34.5% compared to HKD 32,120,000 for the same period in 2019[82] - The group reported a total revenue of HKD 20,983,000 for the six months ended September 30, 2020, a decrease of 12.0% compared to HKD 23,886,000 for the same period in 2019[104] Income Breakdown - Commission income from the securities brokerage business decreased by 4.7% to approximately HKD 10.3 million, accounting for 49.3% of total revenue[16] - Interest income from margin financing services increased by 13.3% to approximately HKD 9.3 million, representing 44.5% of total revenue[17] - Commission income from underwriting and placing services decreased by 90.0% to approximately HKD 1.3 million, accounting for 6.2% of total revenue[19] - The asset management service generated revenue of HKD 3,000, with a segment loss of HKD 57,000 during the reporting period[20] - Commission and brokerage income from the Hong Kong market was HKD 9,713,000, down 4.8% from HKD 10,206,000 in the previous year[104] Profitability - Net profit for the reporting period was approximately HKD 6.7 million, down 19.9% from approximately HKD 8.4 million for the six months ended September 30, 2019[26] - The company recorded a profit before tax of HKD 8,161,000, down 32.5% from HKD 12,144,000 in the same period last year[82] - The net profit for the period was HKD 6,713,000, representing a decrease of 20% compared to HKD 8,382,000 for the same period in 2019[82] - The brokerage services segment reported a profit of HKD 8,479,000, contributing significantly to the overall profitability of HKD 15,693,000[112] Expenses and Costs - Other operating expenses increased by 101.1% to approximately HKD 4.9 million, compared to HKD 2.5 million for the six months ended September 30, 2019[25] - Employee costs for the six months ended September 30, 2020, amounted to HKD 4,071,000, an increase of 34% compared to HKD 3,189,000 for the same period in 2019[7] - Financing costs for the six months ended September 30, 2020, totaled HKD 956,000, compared to HKD 677,000 for the same period in 2019, representing an increase of 41.3%[8] Financial Position - As of September 30, 2020, the group's cash and bank deposits amounted to approximately HKD 79.7 million, down from approximately HKD 149.5 million as of March 31, 2020[27] - The group's current assets net value increased to approximately HKD 317.5 million as of September 30, 2020, compared to approximately HKD 310.5 million as of March 31, 2020[27] - The debt-to-equity ratio as of September 30, 2020, was approximately 0.17, up from 0.03 as of March 31, 2020[28] - As of September 30, 2020, total assets amounted to HKD 640,000,000, compared to HKD 635,000,000 as of March 31, 2020[84] - The company's cash and cash equivalents increased to HKD 79,693,000 from HKD 149,531,000, indicating a decrease in liquidity[84] Operational Adjustments - The group implemented work-from-home policies to minimize COVID-19 transmission, adapting to new operational arrangements[14] - The group has maintained a cautious approach in its underwriting and placing business due to market volatility since the outbreak of COVID-19[19] - The overall performance of the financial services industry in Hong Kong remained relatively stable during the first half of 2020 despite the pandemic[13] Shareholder Information - As of September 30, 2020, Mr. Li Qing Song holds a 75% equity interest in the company, represented by 750,000,000 shares[59] - Major shareholders, including Wan Shun Holdings, hold a 75% equity interest in the company, with similar holdings reported by other related parties[64] - The company has confirmed that all major shareholders have adhered to the non-competition agreement established on January 22, 2020, during the reporting period[57] Compliance and Governance - The company has adopted the standard code of conduct for securities trading as per the listing rules, confirming compliance by all directors during the reporting period[48] - The Audit Committee was established on January 22, 2020, consisting of three members to ensure regulatory compliance and review the unaudited interim financial statements for the six months ending September 30, 2020[49] - The unaudited consolidated financial statements have been reviewed by the Audit Committee and the company's auditor, Deloitte[50] Impairment and Provisions - The group recorded a provision for expected credit losses of approximately HKD 1.6 million due to uncertain economic outlook and market volatility[17] - Impairment losses recognized for accounts receivable from securities trading amounted to HKD 1,572,000 for the six months ended September 30, 2020, with no impairment losses recorded in the same period of 2019[9] - The company recognized an impairment loss provision of HKD 1,572,000 for accounts receivable from individual clients as of September 30, 2020, compared to zero as of March 31, 2020[149] Cash Flow and Liquidity - The operating cash flow before changes in working capital for the six months ended September 30, 2020, was HKD 11,225,000, compared to HKD 13,347,000 for the same period in 2019, indicating a decrease of about 15.9%[88] - The net cash used in operating activities for the six months ended September 30, 2020, was HKD 112,971,000, a significant increase from HKD 11,492,000 in the previous year[88] - The cash and cash equivalents decreased by HKD 69,838,000 during the period, compared to a decrease of HKD 13,078,000 in the same period of the previous year[88] Initial Public Offering (IPO) - The net proceeds from the IPO amounted to approximately HKD 90.6 million, with planned uses including expanding placement and underwriting business, and upgrading IT systems[39] - The company raised HKD 2,500,000 from the issuance of 250,000,000 shares at HKD 0.5 each during its initial public offering on February 19, 2020[169] Other Financial Information - The company reported commission income from related parties totaling HKD 465,000 for the six months ended September 30, 2020, compared to HKD 143,000 for the same period in 2019, representing a significant increase of 225.9%[171] - Interest income from related parties was HKD 19,000 for the six months ended September 30, 2020, down from HKD 39,000 in the same period of 2019, indicating a decrease of 51.3%[171] - The company received fee income from related parties amounting to HKD 27,000 for the six months ended September 30, 2020, slightly up from HKD 25,000 in the same period of 2019, reflecting a growth of 8%[171]

Financial Performance - Total revenue for the fiscal year ended March 31, 2020, was approximately HKD 61.5 million, a decrease of about 5.8% compared to the previous year[22] - The net profit attributable to shareholders was HKD 13.6 million, with an adjusted net profit of HKD 34.0 million, reflecting a decrease of approximately 17.1% year-on-year[22] - The total revenue for the group was approximately HKD 61.5 million, a decrease of 5.8% compared to the previous year (HKD 65.3 million) due to delays and cancellations in certain underwriting and placement projects[37] - The net profit attributable to the owners of the company decreased to approximately HKD 13.6 million, down 64.0% from approximately HKD 37.8 million in the previous year[41] - The interest income from margin financing services increased by 28.8% to approximately HKD 17.2 million, accounting for 28.0% of total revenue[33] - Commission income from placement and underwriting services decreased by 24.6% to approximately HKD 21.7 million, representing 35.3% of total revenue[35] - The brokerage service commission income decreased by 1.2% to approximately HKD 22.6 million, accounting for 36.7% of total revenue[32] - The company’s adjusted net profit, excluding listing expenses, was approximately HKD 34.0 million, a decrease of 17.1% from approximately HKD 41.0 million in the previous year[41] - The listing expenses for the year amounted to approximately HKD 20.4 million, significantly higher than HKD 1.9 million in the previous year[40] - Increased operational expenses were noted due to one-time charitable donations and higher audit fees[22] Market Conditions - The ongoing COVID-19 pandemic has severely impacted Hong Kong's capital markets, leading to the worst performance since the 2008 financial crisis[22] - The company anticipates continued volatility in financial markets due to various risks and uncertainties, including the COVID-19 situation and geopolitical tensions[24] - The overall market environment was negatively impacted by the COVID-19 pandemic, leading to a significant reduction in investor appetite for new issuances in the Hong Kong capital market[28] - The financial services industry in Hong Kong saw a total of 148 IPOs raising USD 40 billion during the fiscal year, outperforming Nasdaq[20] Funding and Capital Management - The company successfully raised approximately HKD 90.6 million in net proceeds from its listing on the Hong Kong Stock Exchange on February 19, 2020, which is expected to provide sufficient funding for future expansion[21] - The net proceeds from the IPO amounted to approximately HKD 90.6 million, which will be used for expanding placement and underwriting business, providing funding for margin financing, and upgrading IT systems[55] - As of March 31, 2020, the group's cash and bank deposits totaled approximately HKD 149.5 million, a significant increase from HKD 30.2 million in 2019[42] - The net current assets as of March 31, 2020, were approximately HKD 310.5 million, up by about HKD 127.0 million from HKD 183.5 million in 2019[42] - The debt-to-equity ratio as of March 31, 2020, was approximately 0.03, a decrease from 0.16 in 2019[43] - As of March 31, 2020, the group's bank borrowings were HKD 10.0 million, down from HKD 30.0 million in 2019[45] Corporate Governance and Management - The company operates as a comprehensive financial services provider under the Securities and Futures Ordinance in Hong Kong, primarily through its subsidiary, Kafuda Securities, licensed for regulated activities including Type 1 (Securities Trading), Type 4 (Advising on Securities), and Type 9 (Asset Management) [77] - The management team includes experienced professionals with over 20 years in general business administration and finance, enhancing the company's strategic direction and operational management [66][72] - The company has a strong focus on risk management, with key personnel responsible for overseeing risk policies and compliance in regulated activities [66][72] - The board comprises independent non-executive directors with extensive experience in various industries, providing independent opinions on the company's strategy and performance [68][70] - The financial director oversees financial reporting, planning, and monitoring, ensuring robust financial governance within the organization [72] - The company aims to expand its market presence and enhance its service offerings through strategic initiatives and potential acquisitions [77] - The management team is committed to maintaining high standards of corporate governance and operational integrity [68][69] Employee and Operational Insights - Employee costs for the year were approximately HKD 7.1 million, an increase of about HKD 1.8 million from HKD 5.3 million in 2019[50] - The group reported that sales to the top five customers accounted for 29.5% of total sales for the year, down from 32.0% in 2019, with the largest customer contributing 8.1% of total sales, down from 13.1% in 2019[97] - The group has not issued any debt securities during the review year[90] - The group has not made any investments in properties during the review year[89] - The group has not entered into any management contracts for significant portions of its business during the review year[101] Shareholder and Equity Information - The company has a total of 750,000,000 shares held by Mr. Li, representing a 75% ownership stake[123] - Mr. Li owns 60% of the issued share capital of Wan Shun Holdings Limited, which is considered as having an interest in the shares held by Wan Shun[124] - Major shareholders hold 75% of the company's shares, with specific individuals having controlled interests[129] - The public float of the company's shares is at least 25% as of the report date[142] Compliance and Legal Matters - The group has complied with all relevant laws and regulations without any significant violations during the review year[87] - The group has confirmed compliance with the disclosure requirements of the Listing Rules during the review year[103] - The company has no significant litigation or arbitration pending as of the report date[138] - The independent non-executive directors confirmed that the controlling shareholders complied with the non-competition agreement during the review period[116] Risk Management - The board is committed to maintaining effective risk management and internal control systems, which aim to manage rather than eliminate risks associated with achieving business objectives[198] - The risk management process includes risk identification, assessment, management measures, and control and review, with management responsible for monitoring and communicating risks[199] - The board has sufficient capability to oversee the design and implementation of risk management and internal control systems, negating the immediate need for an internal audit function[199]