Financial Performance - Revenue for the year ended December 31, 2024, was HKD 37,326,000, representing a 5.52% increase from HKD 35,374,000 in 2023[2] - Gross profit increased to HKD 31,422,000, up 4.77% from HKD 29,990,000 in the previous year[3] - Loss before tax for the year was HKD 93,457,000, a 56.40% increase compared to a loss of HKD 59,757,000 in 2023[3] - Profit attributable to the owners of the company, excluding fair value changes of investment properties, was HKD 19,757,000, a 19.00% increase from HKD 16,602,000 in the prior year[2] - The company reported a total loss before tax of HKD 93,457,000 for 2024, compared to a loss of HKD 59,757,000 in 2023, indicating a deterioration in financial performance[20] - The company recorded a loss of approximately HKD 96.7 million for the year ended December 31, 2024, compared to a loss of HKD 62.6 million in 2023, primarily due to a fair value loss of investment properties amounting to HKD 116.5 million[49] - The group experienced a loss attributable to owners of approximately HKD 96.7 million for the year ended December 31, 2024, compared to a loss of HKD 62.6 million in 2023, primarily due to a fair value loss on investment properties of approximately HKD 116.5 million[55] Assets and Liabilities - Total assets decreased to HKD 1,152,038,000 from HKD 1,248,126,000, reflecting a decline of approximately 7.68%[5] - The company’s total equity attributable to owners decreased to HKD 1,131,696,000 from HKD 1,228,439,000, a decline of 7.87%[5] - The company’s total liabilities increased to HKD 20,342,000 in 2024 from HKD 19,687,000 in 2023[22] - As of December 31, 2024, the group's total property value was approximately HKD 1,084.1 million, a decrease from HKD 1,200.6 million in 2023, with office and retail properties in Hong Kong contributing 56.7% and 30.4% respectively[53] Income Sources - Office property rental income rose to HKD 19,062,000 in 2024, up from HKD 17,928,000 in 2023, reflecting an increase of 6.3%[20] - Property management fee income increased significantly to HKD 14,878,000 in 2024, compared to HKD 12,478,000 in 2023, marking a growth of 19.2%[20] - Rental income for the year was approximately HKD 32.4 million, an increase from HKD 31.1 million in 2023, with office properties contributing about HKD 19.1 million (58.9%) and retail properties contributing about HKD 13.3 million (41.1%)[44] - The group reported property management fee income of approximately HKD 4.9 million, representing 13.2% of total revenue for the year ended December 31, 2024, compared to 12.2% in 2023[51] Cash Flow and Expenses - Cash and bank balances increased to HKD 53,171,000 from HKD 33,306,000, representing a growth of 59.67%[5] - The company incurred total operating expenses of HKD 16,583,000 in 2024, a slight decrease from HKD 17,032,000 in 2023[29] - The company reported tax expenses of HKD 3.286 million for 2024, up from HKD 2.874 million in 2023, with deferred tax expenses decreasing from HKD 832,000 to HKD 321,000[5] - The company has no provisions for overseas profits tax for the year ended December 31, 2024[32] Shareholder Information - The company did not declare or pay any dividends for the year ended December 31, 2024[34] - The group has not proposed any final dividend for the year ended December 31, 2024, consistent with the previous year[60] - The company will suspend share transfer registration from April 17, 2025, to April 25, 2025, to determine the eligibility of shareholders for the annual general meeting[77] Governance and Compliance - The company has adopted the corporate governance code as per the listing rules appendix C1 and has complied with all relevant provisions as of December 31, 2024[74] - The auditor, PwC, confirmed that the performance figures in this announcement are consistent with the consolidated financial statements for the year ending December 31, 2024[76] - The audit committee, established on December 15, 2017, has reviewed the audited consolidated financial statements for the year ending December 31, 2024[79] Strategic Plans - The company aims to diversify its income sources and enhance market resilience by exploring opportunities in the financial services and technology sectors[47] - The company plans to continue acquiring high-quality assets to enhance long-term value and rental income amidst a challenging local property market[45] Employment and Operations - The group had 16 full-time employees as of December 31, 2024, with employee benefit expenses amounting to approximately HKD 8.3 million[71] - The company has adopted new and revised accounting standards, which it assessed to have no significant impact on its financial position and performance[7] - The group maintained a prudent treasury policy, ensuring a robust liquidity position throughout the review period[57] - The group has not engaged in any major acquisitions or disposals of subsidiaries, associates, or joint ventures during the year[72] - There were no purchases, sales, or redemptions of the company's listed securities during the year ending December 31, 2024[75]

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 18,566,000, an increase of 5.65% compared to HKD 17,574,000 for the same period in 2023[6]. - Gross profit for the same period was HKD 15,481,000, up from HKD 14,979,000, reflecting a gross margin improvement[6]. - The company reported a loss before tax of HKD 53,618,000, compared to a loss of HKD 15,037,000 in the previous year, indicating a significant increase in losses[6]. - The net loss for the period was HKD 55,221,000, compared to HKD 16,491,000 in the prior year, representing a year-over-year increase of 234.5%[6]. - The company’s basic and diluted loss per share for the period was HKD (7.67), compared to HKD (2.29) in the previous year, highlighting increased financial strain[6]. - The company reported a net cash outflow from investing activities of HKD 38,552,000, compared to HKD 9,281,000 in the previous period, reflecting a significant increase in investment[12]. - The company reported other income of HKD 1,018,000 for the six months ended June 30, 2024, compared to HKD 321,000 for the same period in 2023, showing a substantial increase[26]. - The income tax expense for the six months ended June 30, 2024, was HKD 1,603,000, compared to HKD 1,454,000 for the same period in 2023, reflecting an increase in tax obligations[29]. - The company reported a loss attributable to shareholders of HKD 55,221,000 for the six months ended June 30, 2024, compared to a loss of HKD 16,491,000 for the same period in 2023, representing an increase in loss of 234%[32]. - The basic loss per share for the first half of 2024 was HKD 7.67, compared to HKD 2.29 for the same period in 2023, indicating a significant decline in performance[32]. Assets and Liabilities - Total assets as of June 30, 2024, were HKD 1,192,515,000, down from HKD 1,248,126,000 at the end of 2023[9]. - The company's equity attributable to owners decreased to HKD 1,173,218,000 from HKD 1,228,439,000, reflecting the impact of the net loss[7]. - Total segment assets as of June 30, 2024, amounted to HKD 1,151,505,000, with office properties accounting for HKD 687,183,000 and retail properties for HKD 452,441,000[24]. - The total liabilities as of June 30, 2024, were HKD 19,297,000, with segment liabilities for office properties at HKD 14,129,000 and retail properties at HKD 4,422,000[24]. - The company reported total liabilities of HKD 9,726,000 as of June 30, 2024, down from HKD 11,017,000 as of December 31, 2023, indicating a decrease of 11.7%[42]. Cash Flow and Liquidity - Cash and bank balances increased to HKD 43,412,000 from HKD 33,306,000, showing a positive cash flow trend[9]. - Operating cash flow for the period was HKD 8,897,000, an increase from HKD 8,129,000 in the previous period, representing an increase of 9%[12]. - Cash and bank balances at the end of the period stood at HKD 43,412,000, up from HKD 26,067,000, indicating a growth of 66.8%[12]. - The current ratio as of June 30, 2024, was 4.3, up from 3.2 as of December 31, 2023, indicating improved liquidity[56]. - The group had no borrowings as of June 30, 2024, maintaining a debt-free status[56]. Revenue Breakdown - Office property rental income increased to HKD 9,524,000 from HKD 8,925,000, marking a rise of 6.7%[21]. - Retail property rental income rose slightly to HKD 6,604,000 from HKD 6,573,000, showing an increase of 0.5%[21]. - Property management fee income increased to HKD 6,569,000 from HKD 6,182,000, which is a growth of 6.3%[21]. - The total segment revenue for office properties was HKD 9,524,000, for retail properties was HKD 6,604,000, and for property management was HKD 2,438,000, contributing to a total of HKD 22,697,000 before inter-segment eliminations[23]. - Rental income for the six months ended June 30, 2024, was approximately HKD 16.1 million, an increase from HKD 15.5 million in 2023, with office property rental contributing about 59.1%[52]. Cost Management - Administrative expenses decreased to HKD 4,817,000 from HKD 5,404,000, suggesting improved cost management[6]. - The total operating expenses for the six months ended June 30, 2024, were HKD 7,902,000, slightly down from HKD 7,999,000 in the previous year[27]. - Employee benefit expenses for the six months ended June 30, 2024, were approximately HKD 3.9 million, down from HKD 4.2 million for the same period in 2023[65]. Market Conditions and Future Outlook - The real estate industry continues to face challenges due to high global inflation and interest rates, impacting rental income, particularly in the office and retail sectors[53]. - The group emphasizes prudent financial management as a key factor for success and aims to invest in resilient portfolios to generate stable recurring income[54]. - The group plans to explore potential tenants, buyers, and investors while focusing on acquiring quality properties in strategic locations to enhance asset value and rental income[54]. - The company anticipates no significant impact on its financial position from the adoption of new accounting standards in the upcoming periods[19]. - The management is currently evaluating the potential impacts of new accounting standards that will take effect in future periods[19]. Governance and Compliance - The company has adopted the corporate governance code as per the listing rules appendix C1, ensuring compliance as of June 30, 2024[72]. - All directors have adhered to the standard code of conduct for securities trading as per listing rules appendix C3 during the six months ending June 30, 2024[73]. - The audit committee, established on December 15, 2017, has reviewed the unaudited interim consolidated financial information for the six months ending June 30, 2024[75].

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 18,566,000, representing a 5.64% increase from HKD 17,574,000 in the same period of 2023[1] - Gross profit for the same period was HKD 15,481,000, up 3.35% from HKD 14,979,000 year-on-year[1] - Loss before tax for the six months was HKD (53,618,000), a significant increase of 256.57% compared to HKD (15,037,000) in the previous year[1] - Profit attributable to the owners of the company, excluding fair value changes of investment properties, was HKD 10,079,000, a 19.39% increase from HKD 8,442,000 in 2023[1] - The company reported a net loss of HKD 55,221,000 for the six months ended June 30, 2024, compared to a net loss of HKD 16,491,000 for the same period in 2023[13] - The company reported a significant fair value loss on investment properties of HKD (65,300,000) compared to HKD (24,933,000) in the previous year[2] - The basic loss per share for the six months ended June 30, 2024, was HKD 0.0767, a significant increase from a loss of HKD 0.0229 per share in 2023[28] Assets and Liabilities - Total assets as of June 30, 2024, amounted to HKD 1,192,515,000, down from HKD 1,248,126,000 as of December 31, 2023[3] - Total liabilities decreased slightly to HKD 19,297,000 from HKD 19,687,000[5] - The total segment assets for office properties were HKD 687,183,000, while retail properties accounted for HKD 452,441,000 as of June 30, 2024[14] - Accounts receivable increased to HKD 381,000 as of June 30, 2024, from HKD 239,000 as of December 31, 2023[24] Revenue Sources - Office property rental income for the six months ended June 30, 2024, was HKD 9,524,000, up from HKD 8,925,000 in 2023, reflecting an increase of 6.70%[10] - Retail property rental income for the same period was HKD 6,604,000, slightly up from HKD 6,573,000, indicating a growth of 0.47%[10] - Property management fee income increased to HKD 6,569,000 for the six months ended June 30, 2024, compared to HKD 6,182,000 in 2023, marking a rise of 6.26%[10] - Rental income for the six months ended June 30, 2024, was approximately HKD 16.1 million, an increase from HKD 15.5 million in 2023, with office property rental contributing about 59.1%[26] - Property management fee income was approximately HKD 2.4 million for the six months ended June 30, 2024, compared to HKD 2.1 million in 2023, representing about 13.1% of total revenue[26] Cash Flow and Expenses - Cash and bank balances increased to HKD 43,412,000 from HKD 33,306,000 in the previous period[3] - Administrative expenses decreased to HKD (4,817,000) from HKD (5,404,000) year-on-year[2] - Bank interest income for the six months ended June 30, 2024, was HKD 985,000, significantly higher than HKD 321,000 in 2023, representing an increase of 206.53%[17] - Employee benefit expenses for the six months ended June 30, 2024, were approximately HKD 3.9 million, down from HKD 4.2 million in the same period of 2023[39] - Total expenses related to direct operating expenses of investment properties increased to HKD 425,000 in 2024 from HKD 113,000 in 2023[5] Dividends and Financial Strategy - The company did not declare or pay any dividends for the six months ended June 30, 2024[20] - The company did not declare any interim dividend for the six months ended June 30, 2024, consistent with the previous year[32] - The company continues to adopt a prudent financial management strategy to maintain a healthy liquidity position throughout the review period[30] - There were no significant contingent liabilities or capital commitments as of June 30, 2024, maintaining a stable financial position[33][34] - The company has no major investment plans or significant acquisitions as of June 30, 2024, indicating a cautious approach to capital allocation[35][40] Future Outlook and Market Position - The company provided a future outlook with a revenue guidance of $600 million for Q3 2024, representing a 20% increase[46] - New product launches contributed to 30% of total revenue, indicating strong market demand[46] - The company is investing $50 million in R&D for new technologies aimed at enhancing user experience[46] - Market expansion efforts have led to a 10% increase in market share in the Asia-Pacific region[46] - The company is exploring potential acquisitions to strengthen its product portfolio and market presence[46] - A new strategic partnership was announced, expected to generate an additional $20 million in revenue over the next year[46] - The gross margin improved to 45%, up from 40% in the previous quarter[46] - Operating expenses were reduced by 5%, contributing to overall profitability[46]

Environmental Sustainability - The company recorded a carbon footprint of 0.68 kg per kWh of electricity sold in 2022 according to the Hong Kong Electric's sustainability report[2]. - The company has not reported any significant hazardous or non-hazardous waste during the reporting period, promoting a paperless office environment[1]. - The company encourages a paperless work environment by implementing measures such as default double-sided printing and allowing employees to use personal devices for meetings[1]. - The company is committed to integrating sustainable development principles into its business strategy and daily operations[115]. Financial Performance - For the year ended December 31, 2023, revenue was approximately HKD 35.4 million, a decrease of 5.71% from HKD 37.5 million in 2022[120]. - Gross profit for the same period was approximately HKD 30.0 million, down from HKD 32.0 million in 2022, reflecting a decline of 6.41%[121]. - The loss before tax increased to approximately HKD 59.8 million in 2023, compared to a loss of HKD 35.7 million in 2022, marking a 67.44% increase in losses[120]. - The net profit attributable to the company's owners, excluding changes in fair value of investment properties, was approximately HKD 16.6 million, down 8.84% from HKD 18.2 million in 2022[120]. - The group recorded rental income of approximately HKD 31.1 million for the year ended December 31, 2023, a slight decrease from HKD 33.5 million in 2022[171]. - Of the total rental income, approximately HKD 17.9 million or 57.6% came from office properties, while HKD 13.2 million or 42.4% came from retail properties[171]. - Property management fee income was approximately HKD 4.3 million, representing 12.2% of total revenue for the year, up from 10.8% in 2022[171]. Governance and Compliance - The board of directors does not recommend any dividend payment for the year ending December 31, 2023, consistent with the previous year[4]. - The company has established a nomination committee to review the board's structure and diversity at least once a year[27]. - The company established a remuneration committee to recommend overall remuneration policies for all directors and senior management, ensuring no director determines their own remuneration[36]. - The audit committee held two meetings during the year to review the group's annual and interim performance[42]. - The audit committee is responsible for monitoring the company's internal control procedures and corporate governance responsibilities[39]. - The company has implemented a policy to ensure compliance with legal and regulatory requirements, which is monitored by the audit committee[40]. - The company is committed to ensuring that all related party transactions are conducted on normal commercial terms and are subject to annual review by the audit committee[41]. - The company acknowledges the importance of protecting shareholder privacy and will not disclose shareholder information without consent, except as required by law[71]. - The board is responsible for preparing the consolidated financial statements to accurately reflect the group's financial position and performance for the year ending December 31, 2023[72]. - The board believes that the consolidated financial statements provide a fair, clear, and understandable assessment as required by statutory disclosures[72]. Risk Management - The board has established a risk management policy aimed at ensuring stable business growth and addressing business-related risks proactively[76]. - The company has a framework for risk management procedures to ensure all significant risks are identified, assessed, and managed effectively[77]. - The board regularly reviews the effectiveness of the risk management and internal control systems, confirming their adequacy for the year ending December 31, 2023[83]. - The board has delegated risk management responsibilities to the audit committee, which oversees the management's implementation of risk management systems[75]. - The company faces risks related to fluctuations in the fair value of investment properties, which may differ from actual realizable values[90]. - The company is susceptible to impacts from sudden outbreaks of infectious diseases, which can negatively affect operations and rental income[91]. Shareholder Relations - The board of directors is committed to maintaining ongoing dialogue with shareholders and potential investors to enhance long-term shareholder value[57]. - The company’s dividend policy will be determined by the board based on profitability, cash flow, financial condition, capital requirements, and other relevant factors[70]. - The group has not proposed any final dividend for the year ending December 31, 2023, consistent with the previous year[100]. - The group’s distributable reserves as of December 31, 2023, are approximately HKD 369,353,000, compared to HKD 367,520,000 in 2022[104]. Management and Leadership - The company has a strong leadership team with diverse backgrounds in finance, law, and property management, enhancing strategic planning capabilities[197]. - The executive director has over 30 years of experience in property investment and related activities, overseeing overall administrative work[196]. - The independent non-executive director has over 31 years of auditing and accounting experience, contributing to the company's financial oversight[196]. - The chairman has received multiple social awards for contributions to the community, reflecting the company's commitment to social responsibility[195]. - The company aims to enhance its operational management and market development strategies through experienced leadership[195]. - The executive director has been with the company since 1992, indicating strong institutional knowledge and continuity in management[196]. Market Conditions - The real estate industry faces challenges due to high global inflation and interest rates, impacting economic growth and creating uncertainty in growth prospects[172]. - The group's business performance is sensitive to the economic conditions and consumer confidence in Hong Kong, which may impact the real estate market[93]. - The company emphasizes prudent financial management as a key factor for success and is prepared to seize new opportunities despite market challenges[172]. - The company will focus on investing in a resilient portfolio to generate stable recurring income and create value for shareholders[172].

Employee and Compensation - As of December 31, 2023, the group had 17 full-time employees, with employee benefits expenses amounting to approximately HKD 9.0 million, a slight increase from HKD 8.9 million in 2022[1]. Financial Performance - The group recorded a gross profit of approximately HKD 30.0 million for the year ended December 31, 2023, compared to HKD 32.0 million in 2022[21]. - The group reported a loss attributable to owners of approximately HKD 62.6 million for the year ended December 31, 2023, compared to a loss of HKD 39.0 million in 2022, primarily due to a fair value loss of investment properties of approximately HKD 79.2 million[21]. - For the year ended December 31, 2023, the total revenue was HKD 35,374,000, a decrease of 5.71% from HKD 37,517,000 in 2022[59]. - The gross profit for the same period was HKD 29,990,000, down 6.41% from HKD 32,045,000 in 2022[59]. - The loss before tax increased to HKD 59,757,000, representing a 67.44% increase from a loss of HKD 35,688,000 in 2022[59]. - The net loss attributable to shareholders was HKD 62,631,000, compared to a loss of HKD 38,966,000 in the previous year[61]. - The company reported a net loss for the year of HKD 62.6 million, compared to a net loss of HKD 38.97 million in 2022, indicating a worsening financial performance[100]. Revenue and Income - Rental income for the year ended December 31, 2023, was approximately HKD 31.1 million, a decrease from HKD 33.5 million in 2022, reflecting a slower-than-expected recovery in the Hong Kong real estate market[39]. - Property management fee income was approximately HKD 4.3 million for the year ended December 31, 2023, compared to HKD 4.1 million in 2022, accounting for about 12.2% of total revenue[39]. - The company reported a total revenue of HKD 8,168,000 from inter-segment property management fees, down from HKD 8,685,000 in 2022[97]. - The total segment revenue for the year ended December 31, 2023, was HKD 43.5 million, with inter-segment revenue of HKD 8.2 million deducted, resulting in total revenue of HKD 35.4 million[100]. - The total revenue for the year ended December 31, 2023, was HKD 35.4 million, down from HKD 37.5 million in 2022, reflecting a decrease of approximately 2.1 million due to the slow recovery of the Hong Kong real estate market[120]. Assets and Liabilities - The group's total property value was approximately HKD 1,200.6 million as of December 31, 2023, down from HKD 1,280.0 million in 2022[20]. - The total assets as of December 31, 2023, were HKD 1,248,126,000, down from HKD 1,309,860,000 in 2022[62]. - The investment properties decreased to HKD 1,200,560,000 from HKD 1,279,793,000 in 2022[62]. - The total liabilities as of December 31, 2023, were HKD (19,687,000), compared to HKD (18,790,000) in 2022[77]. - The company’s non-current assets (excluding deferred tax assets) located in Hong Kong amounted to HKD 1,211,012,000 as of December 31, 2023, down from HKD 1,290,513,000 in 2022[78]. Cash and Financial Position - The company reported a cash and bank balance of HKD 33,306,000, an increase from HKD 17,409,000 in the previous year[62]. - As of December 31, 2023, the company's cash and bank balances amounted to approximately HKD 33.3 million, an increase from HKD 17.4 million in 2022[121]. - The company's current ratio as of December 31, 2023, was approximately 3.2, compared to 1.7 in 2022, indicating improved liquidity[121]. - The company maintained a prudent financial management strategy, ensuring a robust liquidity position throughout the review period[123]. Investment Properties - The company has maintained 38 investment properties as of December 31, 2023, unchanged from 2022[40]. - The fair value loss on investment properties for the year ended December 31, 2023, was approximately HKD 79.2 million, up from HKD 57.2 million in 2022[91]. - The company incurred direct operating expenses of HKD 287,000 for investment properties generating rental income, significantly reduced from HKD 814,000 in 2022[82]. Corporate Governance and Dividends - The group did not recommend any dividend payment for the year ended December 31, 2023, consistent with 2022[37]. - The group has adopted the corporate governance code as outlined in Appendix C1 of the listing rules[15]. Future Outlook and Challenges - The company anticipates challenges in the real estate industry due to high global inflation and interest rates, which may hinder economic growth[114]. - The company is focused on investing in a resilient portfolio to generate stable recurring income and create value for shareholders[132]. Miscellaneous - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the year ended December 31, 2023[2]. - The company did not receive any government subsidies for the year ended December 31, 2023, compared to HKD 432,000 in 2022 from the employment retention scheme[106]. - The company has no provisions for impairment of receivables as of December 31, 2023, and 2022[87]. - There were no significant contingent liabilities reported for the year ended December 31, 2023[134]. - The company did not provide any financial assistance or guarantees to its subsidiaries as of December 31, 2023[129]. - The company has not experienced any significant events from January 1, 2023, to the date of the announcement[130]. - The company has extended the maturity date of its unsecured revolving loan financing to January 2, 2025, to support its property investment activities and financial services expansion[118]. - The weighted average number of ordinary shares issued remained constant at 720,000,000 shares for both 2023 and 2022[138]. - The basic loss per share increased to HKD 8.70 in 2023 from HKD 5.41 in 2022[138].

Financial Performance - For the six months ended June 30, 2023, the company recorded a loss of approximately HKD 16.5 million, compared to a loss of approximately HKD 4.5 million for the same period in 2022[9]. - The company's revenue for the six months ended June 30, 2023, was HKD 17,574 million, down from HKD 19,203 million in 2022, representing a decrease of approximately 8.5%[74]. - The gross profit for the same period in 2023 was HKD 14,979 million, compared to HKD 16,355 million in 2022, indicating a decline of about 8.4%[74]. - The company recorded other income of HKD 321 million for the six months ended June 30, 2023, down from HKD 499 million in 2022, representing a decrease of approximately 35.7%[74]. - The company incurred a total comprehensive loss of HKD 16,491,000 for the six months ended June 30, 2023, compared to a loss of HKD 4,503,000 for the same period in 2022[80]. - The company reported a net loss of HKD 16,491,000 for the period, reflecting ongoing challenges in the market[142]. - For the six months ended June 30, 2023, the company recorded a loss attributable to owners of approximately HKD 16,491,000, compared to a loss of HKD 4,503,000 for the same period in 2022[175]. Operating Loss and Expenses - The company's operating loss for the six months ended June 30, 2023, was HKD 15,037 million, significantly higher than the operating loss of HKD 2,823 million in 2022[74]. - The total segment loss for the first half of 2023 was HKD 15,827,000, compared to a loss of HKD 15,037,000 in the previous year[142]. - Employee benefits expenses, including director remuneration, were HKD 4,206,000, down from HKD 4,412,000 in the previous year[149]. - Unallocated company income and expenses netted to HKD 790,000, contributing to the overall loss[142]. Revenue Breakdown - Total revenue for the first half of 2023 was HKD 17,574,000, a decrease of 8.5% from HKD 19,203,000 in the same period of 2022[137]. - Office property rental income decreased to HKD 8,925,000, down 16.5% from HKD 10,687,000 year-on-year[137]. - Retail property rental income increased slightly to HKD 6,573,000, up 2.4% from HKD 6,422,000 in the previous year[137]. - Property management fee income was HKD 6,182,000, a decrease of 4.5% from HKD 6,474,000 in 2022[137]. - Rental income for the six months ended June 30, 2023, was approximately HKD 15.5 million, down from HKD 17.1 million in 2022, with office property rental contributing about HKD 6.6 million or 42.4%[200]. - Property management fee income for the same period was approximately HKD 2.1 million, consistent with 2022, representing about 11.8% of total revenue[200]. - The company’s property management fee income accounted for 10.9% of total revenue in 2022, slightly increasing to 11.8% in 2023[200]. Assets and Liabilities - Total liabilities as of June 30, 2023, were HKD 9,854 million, a decrease from HKD 10,913 million as of December 31, 2022[6]. - As of June 30, 2023, total assets amounted to HKD 1,293,260,000, a slight decrease from HKD 1,309,860,000 as of December 31, 2022, representing a decline of approximately 1.2%[76]. - The company reported a total equity attributable to owners of HKD 1,274,579,000 as of June 30, 2023, down from HKD 1,291,070,000, representing a decline of about 1.3%[76]. - The total liabilities decreased slightly to HKD 18,681,000 from HKD 18,790,000, reflecting a reduction of about 0.6%[78]. - The company’s deferred tax liabilities increased to HKD 7,788,000 from HKD 7,301,000, reflecting an increase of approximately 6.7%[78]. - The company’s retained earnings as of June 30, 2023, were HKD 902,971,000, down from HKD 919,462,000, indicating a decrease of about 1.8%[80]. - The cash and bank balances increased to HKD 26,067,000 from HKD 17,409,000, marking a significant increase of approximately 49.5%[76]. - The cash and cash equivalents decreased by HKD 1,152,000 during the period, compared to a decrease of HKD 70,289,000 in the previous year[82]. - The company’s current assets net amount was HKD 16,769,000, a significant increase from HKD 7,740,000 in the previous period[78]. - As of June 30, 2023, accounts receivable amounted to HKD 388,000, a significant increase from HKD 72,000 as of December 31, 2022[183]. Investment Properties - The fair value loss on investment properties for the six months ended June 30, 2023, was approximately HKD 24.9 million, compared to HKD 14.3 million in 2022, reflecting an increase in losses[9]. - The fair value of investment properties decreased to HKD 1,254,860,000 from HKD 1,279,793,000 at the beginning of the year[152]. - The group has not made any significant acquisitions of non-current assets during the six months ended June 30, 2023[121]. Financial Management and Strategy - The company emphasized the importance of prudent financial management, which has been a key factor in its success[21]. - The company plans to focus on a resilient investment portfolio to generate stable recurring income and create value for shareholders[21]. - The group expects that the adoption of new accounting standards will not have a significant impact on its financial position and performance[113]. - The group has not recognized any overseas profits tax provisions for the six months ended June 30, 2023[128]. - The weighted average number of ordinary shares issued remained constant at 720,000 shares for both periods[175]. - The company did not declare or pay any dividends for the six months ended June 30, 2023[174]. - The company received government subsidies of HKD 288,000 under the Employment Support Scheme aimed at maintaining employment during the COVID-19 pandemic[170]. - The company reported no impairment provisions for accounts receivable as of June 30, 2023[185]. - Financing expenses from related companies amounted to HKD 37,000 in 2022, with no such expenses reported for 2023[192].

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。 Thing On Enterprise Limited 晉 安 實 業 有 限 公 司 （於開曼群島註冊成立之有限公司） （股份代號：2292） 截至二零二三年六月三十日止六個月之 中期業績公告 財務摘要 截至六月三十日止六個月 二零二三年 二零二二年 變動 千港元 千港元 % （未經審核） （未經審核） 收益 17,574 19,203 (8.48) 毛利 14,979 16,355 (8.41) 除所得稅前虧損 (15,037) (2,860) 425.77 本公司擁有人應佔期內溢利 ...

Investment Properties Valuation - The fair value of investment properties decreased from HKD 1,363,347,000 on January 1, 2021, to HKD 1,279,793,000 on December 31, 2022, reflecting a total decline of HKD 83,554,000 over the two-year period[1]. - The fair value change of investment properties was a loss of HKD 26,377,000 for the year ended December 31, 2021, and a loss of HKD 57,177,000 for the year ended December 31, 2022[1]. - The fair value of investment properties as of December 31, 2022, is HKD 1,279,793,000, a decrease from HKD 1,336,970,000 in 2021, representing a decline of approximately 4.2%[30]. - The fair value of office properties in Hong Kong is HKD 826,200,000, down from HKD 867,800,000 in the previous year, indicating a decrease of about 4.8%[37]. - The fair value of retail properties in Hong Kong is HKD 453,593,000, compared to HKD 469,170,000 in 2021, reflecting a decline of approximately 3.3%[37]. - The total investment property fair value change for the year 2022 was a decrease of HKD 57,177,000, with office properties decreasing by HKD 41,600,000 and retail properties by HKD 15,577,000[42]. - The valuation of the company's investment properties was conducted by an independent professional valuer, ensuring adherence to the relevant valuation standards[2]. - The financial team of the company reviews the independent valuation reports every six months to ensure accuracy and compliance with valuation standards[4]. - The company continues to evaluate market conditions and property characteristics to optimize the valuation of its investment properties[31]. Financial Performance - The company reported a significant increase in the unit sale price for office properties, ranging from HKD 11,020 to HKD 43,439 per square foot, which could lead to a substantial increase in fair value[37]. - The group reported a pre-tax loss of HKD (35,688,000) in 2022, compared to a loss of HKD (5,114,000) in 2021[100]. - The group's operating cash flow before changes in working capital was HKD 21,601,000 in 2022, slightly up from HKD 21,272,000 in 2021[100]. - The total revenue from office property rental was HKD 20,450,000, while retail property rental revenue was HKD 13,002,000, and property management fee income was HKD 12,750,000, resulting in a total revenue of HKD 37,517,000 for the year[186]. - The total revenue for the previous year was HKD 37,616,000, indicating a slight decrease of 0.26% year-over-year[198]. - The segment loss for office properties was HKD 32,479,000, while retail properties reported a loss of HKD 8,181,000, leading to an overall segment loss of HKD 36,706,000[196]. - The company reported cash and bank balances with a fair value equivalent to their book value, with interest rates ranging from 0.5% to 5% for bank deposits[53][54]. Shareholder and Governance - As of December 31, 2022, major shareholders, including Mr. Wang, hold 75% of the issued share capital, amounting to 540,000,000 shares[63][67]. - The company has adopted a standard code of conduct for securities trading, confirming compliance by all directors for the fiscal year ending December 31, 2022[69]. - The company has a shareholder communication policy to ensure equal and timely access to information for shareholders[162]. - The company aims to ensure effective and timely communication of information to shareholders and potential investors[165]. - The company’s website provides updated information on its business activities and governance[170]. - The company has complied with the listing rules and established an audit committee on December 15, 2017, which reviewed the audited consolidated financial statements for the year ended December 31, 2022[122]. Environmental, Social, and Governance (ESG) - The board is committed to integrating environmental, social, and governance (ESG) principles into business operations, emphasizing the importance of managing related risks and opportunities[126]. - The company aims to balance the interests of all stakeholders, including employees, suppliers, customers, and the environment, in its daily operations[133]. - The company has identified significant ESG issues through stakeholder communication, including compliance with listing rules and corporate governance[136]. - The company plans to enhance transparency in its sustainability performance by disclosing more comprehensive ESG information in the long term[132]. - The board is responsible for overseeing the effectiveness of the ESG risk management and internal control systems[127]. - The company has established various communication channels to engage with stakeholders regarding its business success and sustainability performance[135]. - The company is committed to reducing waste and protecting the environment in response to regulatory expectations[133]. - Carbon emissions for the year 2022 were recorded at 35.94 tons of CO2 equivalent, slightly up from 35.59 tons in 2021, indicating a 0.98% increase[141]. - Carbon emissions density remained stable at 0.06 tons of CO2 equivalent per square meter of floor area for both 2021 and 2022[141]. - The company has implemented measures to promote a paperless office environment, significantly minimizing paper waste during administrative processes[142]. - The company has not reported any confirmed environmental violations or complaints during the reporting period[140]. - The company continues to educate employees on energy efficiency to reduce greenhouse gas emissions associated with electricity consumption[141]. Capital Structure and Financing - The company has secured a total of HKD 1 billion in unsecured revolving loan financing, with interest rates linked to the Hong Kong Interbank Offered Rate (HIBOR)[58][59]. - The company extended the loan financing agreement, with the new maturity date set for January 2, 2024, from the previous date of July 3, 2023[27]. - As of December 31, 2022, the group had no outstanding borrowings, a significant change from HKD 78,651,000 in borrowings reported at the end of 2021[116]. - Total borrowings as of December 31, 2022, were zero, compared to HKD 78,651 thousand in 2021[178]. - The company maintained a prudent liquidity risk management policy, ensuring sufficient cash and available credit facilities[172]. - The company actively reviews and manages its capital structure to enhance shareholder value[177]. Related Party Transactions - The independent non-executive directors confirmed that the ongoing related party transactions were conducted on normal commercial terms and in the best interest of shareholders[22]. - The company has complied with the disclosure requirements under the Listing Rules regarding related party transactions[23]. - Rental income and property management fee income from related companies remained stable at HKD 4,811,000 in 2022, compared to HKD 4,809,000 in 2021[107]. Assets and Liabilities - The total assets decreased from HKD 1,582,727,000 in 2021 to HKD 1,524,592,000 in 2022[113]. - The group's equity attributable to owners increased from HKD 1,082,758,000 in 2021 to HKD 1,083,775,000 in 2022[113]. - The group reported a decrease in total liabilities from HKD 499,969,000 in 2021 to HKD 440,817,000 in 2022[113]. - Current liabilities as of December 31, 2022, included other payables and accrued expenses totaling HKD 10,622 thousand[174]. - Other payables and accrued expenses totaled HKD 10,913,000 in 2022, down from HKD 13,043,000 in 2021, indicating a decrease of approximately 16.4%[57].

Financial Performance - Revenue for the six months ended June 30, 2022, was HKD 19,203,000, representing an increase of 3.1% compared to HKD 18,625,000 for the same period in 2021[13] - Gross profit for the same period was HKD 16,355,000, slightly up from HKD 16,164,000, indicating a stable gross margin[13] - Operating loss decreased to HKD 2,823,000 from HKD 7,470,000 year-on-year, showing improved operational efficiency[13] - Loss before tax was HKD 2,860,000, down from HKD 7,714,000 in the previous year, reflecting a significant reduction in losses[13] - The company reported a loss of HKD 4,503,000 for the period, compared to a loss of HKD 9,245,000 in the same period last year, indicating a positive trend[13] - Basic and diluted loss per share improved to HKD 0.63 from HKD 1.28 year-on-year, reflecting better performance[13] Assets and Liabilities - The total assets as of June 30, 2022, were HKD 1,343,627,000, a decrease from HKD 1,428,140,000 at the end of 2021[17] - Cash and bank balances decreased to HKD 7,561,000 from HKD 77,850,000, indicating a liquidity challenge[17] - Total liabilities were HKD 18,094,000, significantly reduced from HKD 98,104,000, suggesting improved financial stability[20] - The group’s current liabilities exceeded current assets by HKD 1,293,000 as of June 30, 2022, raising concerns about liquidity[31] - The company’s total receivables, prepayments, deposits, and other receivables amounted to HKD 2,010,000 as of June 30, 2022, compared to HKD 1,686,000 as of December 31, 2021, indicating an increase of 19.2%[82] Cash Flow and Financing - Operating cash flow for the six months ended June 30, 2022, was HKD 8,365,000, a decrease of 20.2% from HKD 10,482,000 in the same period of 2021[26] - Net cash used in financing activities was HKD 78,688,000, significantly higher than HKD 10,399,000 in the previous year, indicating increased debt repayments[26] - The net decrease in cash and cash equivalents for the period was HKD 70,289,000, compared to a slight increase of HKD 83,000 in the prior year[26] - Cash and cash equivalents at the end of the period stood at HKD 7,561,000, down from HKD 2,976,000 at the end of June 2021[26] - Interest paid on borrowings decreased to HKD 37,000 from HKD 244,000, reflecting lower financing costs[26] - The group received HKD 34,000 in bank interest, a decrease from HKD 932,000 in the previous year, indicating lower interest income[26] Revenue Sources - Office property rental income reached HKD 10,687,000, up 2.28% from HKD 10,449,000 in the previous year[40] - Retail property rental income was HKD 6,422,000, slightly increasing from HKD 6,389,000, reflecting a growth of 0.52%[40] - Property management fee income rose to HKD 6,474,000, compared to HKD 6,224,000, marking an increase of 4.01%[40] - After deducting inter-segment revenue of HKD 4,380,000, the net property management fee income was HKD 2,094,000[50] - Rental income for the six months ended June 30, 2022, was approximately HKD 17.1 million, an increase from HKD 16.8 million in 2021, with 62.5% coming from office properties[104] Operational Strategy - The company continues to focus on operational improvements and cost management strategies to enhance profitability in the future[8] - The company plans to continue seeking quality property investments in Hong Kong, mainland China, and other international cities to mitigate risks associated with reliance on a single geographic market[106] - The company has a clear strategy for market expansion and enhancing its property management services[127] Corporate Governance - The company has established an audit committee to review the interim results for the six months ended June 30, 2022[146] - The company has complied with all relevant provisions of the corporate governance code as of June 30, 2022[144] Dividends and Share Capital - The company did not declare or pay any dividends for the six months ended June 30, 2022, consistent with the previous year[61] - The company has a total of 720,000 issued and fully paid ordinary shares as of June 30, 2022[87] - The company has a total of 540 million ordinary shares held by Mr. Wang, representing 75.0% of the issued share capital[131]

Financial Performance - The company recorded rental income of approximately HKD 33.9 million for the year ended December 31, 2021, a decrease from HKD 36.5 million in 2020, representing a decline of about 7.1%[12] - The group recorded a loss of approximately HKD 8.4 million for the year ended December 31, 2021, compared to a loss of approximately HKD 79.8 million for the year ended December 31, 2020[31] - The fair value loss of investment properties for the year was approximately HKD 26.4 million, down from HKD 101.8 million in 2020[31] - The group achieved a profit of approximately HKD 18.0 million for the year ended December 31, 2021, excluding the fair value changes of investment properties, compared to HKD 21.9 million in 2020[31] - For the year ended December 31, 2021, the group reported a loss before tax of HKD 5.1 million, significantly improved from a loss of HKD 76.3 million in 2020, representing a 93.3% reduction in losses[36] - The group’s total property value was approximately HKD 1,337.0 million, a decrease from HKD 1,363.3 million in 2020[34] - The group’s cash and bank balances as of December 31, 2021, were approximately HKD 77.9 million, slightly down from HKD 78.1 million in 2020[38] - The group’s current ratio was approximately 6.1 as of December 31, 2021, compared to 6.6 in 2020[38] - The company has not made any charitable donations for the year ended December 31, 2021, similar to 2020[147] Revenue Sources - Of the total rental income, approximately HKD 21.0 million (61.9%) came from office properties, while HKD 12.9 million (38.1%) came from retail properties, indicating a shift in revenue sources compared to 2020[12] - Property management fee income was approximately HKD 3.7 million, accounting for about 9.9% of total revenue, down from 10.3% in 2020[12] - The rental income from investment properties constitutes the vast majority of the group's revenue, making it susceptible to market fluctuations and tenant payment issues[134] Market Conditions and Strategy - The company anticipates continued volatility in the property market and plans to cautiously evaluate potential investment opportunities[13] - The ongoing COVID-19 pandemic has led to a slight decrease in revenue, but the company has not experienced significant impacts on its financial condition or operations[13] - The company aims to maintain performance in Hong Kong while seeking quality properties in mainland China and other international cities to mitigate geographic market risks[13] - The company is exploring investment opportunities in the financial sector, including financial investments and technology services, to diversify revenue sources[13] - The management team will closely monitor market changes and make strategic adjustments to the asset portfolio to minimize the impact of global economic instability[13] - The financial condition and operating performance of the company may be adversely affected by any downturn in the Hong Kong real estate market, which is sensitive to economic conditions and consumer confidence[138] Corporate Governance - The company has maintained compliance with all relevant corporate governance codes as of December 31, 2021[63] - The board consists of six members, ensuring a balanced composition with strong independent elements[66] - The board held four meetings during the fiscal year ending December 31, 2021, with all directors attending all meetings[76] - The company conducted one annual general meeting on April 28, 2021, with full attendance from all directors[79] - All directors participated in ongoing professional development to enhance their knowledge and skills[81] - The Nomination Committee held one meeting to review the board's structure, diversity, and the independence of non-executive directors[88] - The Remuneration Committee met once to review the remuneration policies for directors and senior management, ensuring no director set their own pay[90] - The company has established an audit committee in compliance with listing rules and corporate governance codes, consisting of three members[94] - The audit committee is responsible for monitoring the company's internal control systems and compliance with legal and regulatory requirements[95] - The company emphasizes open communication with shareholders and regularly discloses information regarding annual and interim performance[111] Risk Management - The company has a risk management system in place, which is reviewed annually[99] - The company has established a risk management policy aimed at ensuring stable business growth and proactively addressing business-related risks[120] - The board is responsible for maintaining effective risk management and internal control systems to protect shareholder investments and company assets[119] - The board has reviewed the effectiveness of the risk management and internal control systems, concluding they are adequate as of December 31, 2021[128] Shareholder Information - The company raised approximately HKD 194.0 million from its global offering, with net proceeds after underwriting fees and expenses[58] - As of December 31, 2021, the company utilized HKD 119.5 million of the raised funds, leaving HKD 74.5 million unutilized[59] - The board decided to extend the expected timeline for utilizing the unutilized net proceeds to December 31, 2023, and repurpose it for loan repayment[58] - The company plans to use the unutilized net proceeds to reduce interest expenses, which is deemed beneficial for long-term business development[58] - The company has fully utilized all proceeds from the listing as of January 31, 2022, including the repayment of approximately HKD 74.5 million in loans[59] - The company acknowledges that any future dividend payments will be determined by the board based on profitability, cash flow, financial condition, and other relevant factors[113] Related Party Transactions - The independent non-executive directors confirmed that the related party transactions were conducted in the ordinary course of business and on normal commercial terms[166] - The external auditor provided an unqualified opinion on the group's related party transactions, confirming compliance with the listing rules[168] - Significant related party transactions conducted in the normal course of business are detailed in the consolidated financial statements[177] Share Option Scheme - The company has adopted a share option scheme to incentivize selected participants, with a total of 72,000,000 shares available for issuance, accounting for 10% of the issued shares as of the report date[192] - The share option scheme will remain effective until December 14, 2027[194] - No share options have been granted under the share option scheme from the adoption date to the report date[195] Non-Competition Agreements - The company has established a non-competition agreement to prevent major shareholders from engaging in competing businesses during the restricted period[198] - The company has received written confirmations from all parties regarding their compliance with non-competition agreements for the year ended December 31, 2021[199] - Independent non-executive directors have reviewed the written confirmations and confirmed no known violations of the non-competition agreements[199] Operational Management - The company is actively involved in property management, including leasing, tenant relations, and property renovations[29] - The group has a strong focus on operational management and strategic planning to navigate market challenges[31] - The company maintains good relationships with employees, customers, and suppliers, focusing on providing quality service and consumer experience[142]