Financial Performance - Net profit attributable to the company's shareholders was HKD 190,237,000, a significant improvement from a loss of HKD 592,567,000 in the previous year[8] - The company's revenue for the year was HKD 6,364,677,000, an increase of 8.4% compared to HKD 5,869,666,000 in the previous year[18] - Gross profit increased by 31.7% to HKD 1,873,531,000, with a gross profit margin of 29.4%, up 5.2 percentage points from 24.2% last year[25] - Profit before tax was HKD 297 million, compared to a loss of HKD 656 million in 2021[45] - Profit attributable to shareholders was HKD 190 million, recovering from a loss of HKD 592 million in 2021[45] - Basic and diluted earnings per share for 2022 were HKD 0.0684, recovering from a loss of HKD 0.2143 per share in 2021[60] Revenue Breakdown - Revenue from China Unicom increased by 105.2% to HKD 1,011,757,000, accounting for 15.9% of total revenue, up from 8.4% last year[19] - Revenue from base station antennas and subsystems rose by 25.8% to HKD 3,038,957,000, representing 47.8% of total revenue, up from 41.2% last year[23] - Revenue from international customers and core equipment manufacturers rose by 9.3% to HKD 2,183,885,000, accounting for 34.3% of total revenue[20] - Revenue from network system business decreased by 15.9% to HKD 1,050,111,000, representing 16.5% of total revenue, down from 21.3% last year[24] - Revenue from services increased by 3.1% to HKD 1,756,437,000, representing 27.7% of total revenue (previous year: 29.0%) [39] Expenses and Costs - Financing costs increased by 37.6% to HKD 60,198,000, accounting for 0.9% of total revenue[3] - Other expenses decreased significantly by 57.2% to HKD 183,504,000, representing 2.9% of total revenue[5] - The total tax expense for the year was HKD 153,558,000, a significant increase from HKD 16,100,000 the previous year[6] - R&D expenses decreased by 15.3% to HKD 515,798,000, representing 8.1% of total revenue (previous year: 10.4%) [27] - Sales and distribution expenses decreased by 5.3% to HKD 565,904,000, accounting for 8.9% of total revenue (previous year: 10.2%) [28] - Administrative expenses significantly reduced by 17.9% to HKD 493,411,000, making up 7.8% of total revenue (previous year: 10.2%) [29] Strategic Initiatives - The company launched a new generation of "green antenna solutions," expected to save operators approximately 23 to 34 million kWh of electricity annually per 10,000 base stations, reducing carbon emissions by 13,000 to 20,000 tons[12] - The company is actively pursuing opportunities in the 5G infrastructure market, focusing on deep coverage strategies to meet diverse customer needs[11] - The company plans to continue leveraging its technical R&D advantages to support comprehensive indoor coverage business[17] - The company is focusing on high-quality engineering projects to improve resource allocation efficiency[39] - The company plans to continue expanding its international business and developing innovative products to maintain competitiveness in the market[146] Market Position and Recognition - The company has successfully secured several major telecom projects in mainland China since the second half of 2021[1] - The company has maintained a leading position in the base station antenna market, recognized by numerous domestic and international telecom operators[33] - The company successfully entered the "5G Application Solution Comprehensive Supplier" list by the China Academy of Information and Communications Technology[16] Financial Health and Management - The company is committed to improving cash flow and managing credit risk while monitoring market trends and interest rate changes[3] - The financial leverage ratio as of December 31, 2022, was 12.7%, up from 12.5% the previous year[3] - The company aims to maintain strict control over its outstanding receivables and has established a credit control department to minimize credit risk[115] - The company maintains a healthy financial position and sufficient operating capital despite the challenges posed by the COVID-19 pandemic[171] Employee and Operational Metrics - The total employee cost for the year was HKD 1,109,052,000, down from HKD 1,221,813,000 in the previous year[184] - The group employed approximately 5,300 employees as of December 31, 2022, a decrease from 5,500 employees in the previous year[184] - The company has adopted an employee reward plan to recognize the contributions of certain employees[178] Dividends and Shareholder Returns - The proposed final dividend is HKD 1.1 per share, with a total dividend of HKD 2.1 per share for the year, resulting in a payout ratio of 30.7% [30] - Final dividend declared at HKD 0.011 per share, compared to no dividend in 2021[45] Research and Development - The company has been actively investing in R&D related to 5G to enhance competitiveness in the mobile communications industry [27] - The company is focusing on enhancing its R&D capabilities and improving product quality and service levels to meet customer demands for green, low-carbon, and high-cost-performance products[166]

Revenue Performance - For the six months ended June 30, 2022, the company's revenue increased by 25.8% to HKD 3,042,518,000 compared to HKD 2,418,128,000 for the same period last year[21]. - Revenue from China Mobile increased by 116.4% to HKD 846,311,000, accounting for 27.8% of total revenue, up from 16.2% in the previous year[22]. - Revenue from China Unicom rose by 106.7% to HKD 400,966,000, representing 13.2% of total revenue, compared to 8.0% last year[22]. - Revenue from base station antennas and subsystems surged by 123.5% to HKD 1,615,546,000, making up 53.1% of total revenue, up from 29.9% in the previous year[26]. - Revenue from network systems decreased by 26.8% to HKD 491,910,000, accounting for 16.2% of total revenue, down from 27.8% last year[26]. - Revenue from services declined by 9.8% to HKD 706,502,000, representing 23.2% of total revenue, compared to 32.4% last year[27]. - Revenue from international customers increased by 11.4% to HKD 1,015,799,000, accounting for 33.4% of total revenue, down from 37.7% last year[23]. - Revenue from ETL Company Limited decreased by 7.2% to HKD 95,533,000, representing 3.1% of total revenue, down from 4.3% last year[24]. Profitability and Financial Performance - The company achieved a turnaround from loss to profit in the first half of 2022 due to significant revenue growth driven by major telecom operators' 5G network projects[21]. - The group's gross profit increased by 24.4% year-on-year to HKD 847,126,000, with a gross margin of 27.8%, slightly down by 0.4 percentage points from the previous year[28]. - The net profit attributable to the company's shareholders was HKD 90,384,000, a significant turnaround from a loss of HKD 89,360,000 the previous year[34]. - The company reported a profit before tax of HKD 82,056 thousand, a significant recovery from a loss of HKD 89,057 thousand in the previous year[67]. - Net profit for the period was HKD 58,725 thousand, compared to a loss of HKD 116,000 thousand in the same period last year[68]. - Basic and diluted earnings per share were both HKD 3.25, recovering from a loss of HKD 3.26 per share in the prior year[67]. Expenses and Cost Management - Research and development expenses rose by 1.1% to HKD 259,477,000, accounting for 8.5% of total revenue, down from 10.6% the previous year[28]. - Sales and distribution expenses increased by 12.5% to HKD 265,088,000, representing 8.7% of total revenue, an improvement from 9.7% the previous year[29]. - Administrative expenses decreased by 0.8% to HKD 214,880,000, making up 7.1% of total revenue, down from 9.0% the previous year[30]. - Other expenses decreased significantly by 22.0% to HKD 87,574,000, accounting for 2.9% of total revenue, down from 4.6% the previous year[32]. - The total tax expense was HKD 23,331,000, a decrease from HKD 26,943,000 the previous year, primarily due to an increase in deferred tax credits[33]. Research and Development - The company has applied for approximately 5,500 patents, reflecting its commitment to innovation and development in the telecommunications sector[28]. - The company is focusing on 5G technology to empower various industries and plans to deepen integration with vertical industries as 5G network construction continues globally[35]. - The company has allocated HKD 515,390,000 for R&D in 5G small base stations and Open RAN, with expected utilization by June 30, 2023[50]. Assets and Liabilities - As of June 30, 2022, the company's current assets amounted to HKD 2,139,910,000, with significant components including inventory of HKD 1,388,045,000 and trade receivables of HKD 4,126,289,000[45]. - The total liabilities as of June 30, 2022, were HKD 7,265,715,000, compared to HKD 7,328,762,000 at the end of the previous year[84]. - The company's contingent liabilities amounted to HKD 283,080,000, primarily related to performance guarantees[52]. - The company's financial leverage ratio was 14.3%, up from 12.5% on December 31, 2021[47]. Shareholder Information - The board proposed an interim dividend of HKD 0.01 per share, with a total payout ratio of 30.8% based on basic earnings per share[35]. - The total number of shares available for issuance under the share option scheme was 271,014,986, representing about 9.75% of the issued share capital[54]. - The company has a total of 678,115,129 shares held by Prime Choice Investments Limited, representing approximately 24.396% of the issued share capital[61]. - The beneficial ownership of shares by major shareholders includes 688,479,468 shares attributed to Ms. Chen Jingna, spouse of Mr. Huo, representing approximately 24.769%[61]. Stock Options and Incentives - The company has adopted a stock option plan, share reward plan, and share incentive plan, details of which are included in the financial statements[60]. - The company’s stock option plan aims to encourage and reward individuals who contribute to the success of the group[113]. - The total number of unexercised stock options represents about 5.48% of the company's issued shares as of the reporting date[130]. - The company has a remaining authorization to grant 246,516,486 stock options, which is 10% of the total shares issued as of May 28, 2018[131]. Corporate Governance - The company has complied with all code provisions during the reporting period[63]. - The audit committee has reviewed the accounting standards and practices adopted by the company without objection[66]. - There were no significant transactions with related parties during the reporting period, and no significant outstanding balances with related parties at the end of the reporting period[156].

Innovation and Technology Development - The company has applied for approximately 5,400 patents globally, showcasing its commitment to innovation and technology development[3] - The company is focused on developing new products and technologies to meet the evolving demands of the telecommunications industry[2] - The company plans to continue investing in 5G technology and research advanced technologies for the post-5G era to enhance its product offerings[21] - The company launched the "FLeX5 5G+ Industry Infrastructure Network Platform Overall Solution" and expanded its RRU product portfolio compliant with TIP standards[14][16] - The group has developed innovative solutions for 5G coverage in various scenarios, including "5G rail transit coverage solutions" and "general indoor coverage solutions," which have been applied in multiple provinces in China[40] - The group has launched two Open RAN dual-band and tri-band remote radio units (RRUs), leading industry technological innovation[43] Financial Performance - The revenue for the year was reported at HKD 5,563.7 million, with a profit attributable to equity holders of HKD 5,057.2 million[10] - The company reported a revenue of HKD 5,869,666,000 for the year ended December 31, 2021, representing a 16.1% increase from HKD 5,057,240,000 in the previous year[19] - Revenue for the year was HKD 5,869,666,000, representing a 16.1% increase from HKD 5,057,240,000 in the previous year, driven by successful tenders from major domestic telecom operators and expansion in overseas markets[23] - The company incurred an operating loss of HKD 619,664,000, compared to a loss of HKD 199,812,000 in the previous year[12] - Net loss attributable to shareholders was HKD 592,567,000, resulting in a net loss margin of 10.1%, compared to 3.8% in the previous year[12] - The company reported a comprehensive loss of HKD 582,567,000 for the year ended December 31, 2021, compared to a comprehensive loss of HKD 482,450,000 in 2020, indicating a decline in performance[197] Market Presence and Expansion - The company operates more than 30 offices in China and over 10 overseas offices, providing services in more than 100 countries and regions[4] - The company aims to expand its market presence through innovative wireless solutions and strategic partnerships[2] - The company plans to enhance its service offerings and expand its customer base in emerging markets[2] - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by 2025[57] - The company has successfully won several antenna procurement projects from major telecom operators in China, reinforcing its technical and manufacturing capabilities[21] Sustainability and Environmental Performance - The company is committed to sustainable development and has been recognized in various sustainability benchmarks[6] - The company achieved zero fines for air emissions in 2021, maintaining compliance with environmental regulations[102] - The total waste recycled in 2021 reached 18,000 tons, demonstrating the company's commitment to waste management[102] - The company aims to reduce global warming impacts and improve air quality while promoting resource conservation and reducing waste emissions[97] - The company has established an ISO 14001 environmental management system to monitor and control waste emissions[101] Research and Development - Research and development expenses surged by 29.3% to HKD 608,940,000, accounting for 10.4% of total revenue, as the company intensified its focus on 5G technology[29] - The company plans to utilize HKD 515,390,000 for R&D of 5G small cells and related technologies by June 30, 2023[47] - The company is actively exploring new business opportunities in the "5G + vertical industry applications" sector, aiming to drive future revenue growth[45] Corporate Governance - The board of directors held a total of 8 meetings and 1 annual general meeting during the fiscal year ending December 31, 2021, with all directors attending all meetings[69] - The company has complied with all corporate governance codes as per the Hong Kong Stock Exchange rules from January 1, 2021, to the date of the report[68] - The company’s management is responsible for preparing annual and interim consolidated financial statements for board approval[71] - The company has implemented an effective internal control system, reviewing the effectiveness of risk management and internal controls annually[88] Employee Welfare and Development - The company has implemented a dual career development path for employees, linking compensation and promotion to experience, ability, and performance[121] - The employee training system includes new employee orientation, professional knowledge training, and leadership development programs[123][125] - The company has established a comprehensive occupational health and safety system, integrating it with quality management to ensure employee safety[119] - The company reported zero work-related fatalities from 2018 to 2021, with work injury-related lost workdays decreasing from 7 days in 2020 to 6 days in 2021[118] Shareholder and Financial Management - The board has recommended not to declare a final dividend for the year, consistent with the previous year[38] - The company aims to expand its shareholder base and capital base through the placement and subscription[46] - The company raised a net amount of approximately HKD 686,235,000 from the placement and subscription, with a net subscription price of approximately HKD 2.98 per share[47] Risk Management - The company has established mechanisms for timely identification, assessment, and management of major risks, along with corresponding internal control measures[89] - The audit process involves identifying and assessing risks of material misstatement due to fraud or error[188] Financial Position - The total assets of the company reached HKD 11,512.6 million, indicating a stable financial position[10] - Total assets increased by 1.7% to HKD 11,512,579,000, while net asset value decreased by 8.1% to HKD 3,774,716,000[13] - The company’s total liabilities as of December 31, 2021, were HKD 2,807,287,000, compared to HKD 2,408,901,000 in 2020, indicating an increase in financial obligations[198]

Revenue Performance - The company's interim revenue for the six months ended June 30, 2021, increased by 8.0% to HKD 2,418,128,000 compared to HKD 2,238,485,000 for the same period last year[22]. - Revenue from China Mobile decreased by 23.3% to HKD 391,022,000, accounting for 16.2% of total revenue, down from 22.8% last year[23]. - Revenue from international customers rose by 12.2% to HKD 911,715,000, representing 37.7% of total revenue, up from 36.3% last year[24]. - Revenue from network systems business increased by 27.3% to HKD 671,699,000, accounting for 27.8% of total revenue, up from 23.6% last year[25]. - Revenue from services increased by 14.5% to HKD 782,882,000, representing 32.4% of total revenue, up from 30.5% last year[27]. - Revenue from other businesses, including wireless transmission, rose by 18.5% to HKD 137,634,000, accounting for 5.6% of total revenue[27]. - Revenue from other customers in mainland China increased by 38.3% to HKD 341,435,000, representing 14.1% of total revenue, up from 11.0% last year[24]. - Revenue for the six months ended June 30, 2021, was HKD 2,418,128, an increase of 8.0% compared to HKD 2,238,485 for the same period in 2020[78]. - Revenue from manufacturing and selling telecommunications network systems and related installation services was HKD 2,315,146,000, up from HKD 2,156,093,000 in the previous year, reflecting a growth of 7.4%[96]. - Revenue from telecommunications services provided to operators increased to HKD 102,982,000 from HKD 76,759,000, representing a growth of 34.2%[96]. Profitability and Loss - Gross profit decreased by 6.3% to HKD 680,986,000, with a gross margin of 28.2%, down from 32.5% last year[28]. - The group reported an operating loss of HKD 72,539,000, a significant decrease from an operating profit of HKD 81,258,000 in the previous year[34]. - Net loss attributable to the company's owners was HKD 89,360,000, compared to a profit of HKD 53,137,000 in the previous year[35]. - The company reported a loss of HKD 116,000 for the six months ended June 30, 2021, compared to a profit of HKD 823 in 2020[78]. - The company reported a loss before tax of HKD 89,057,000 for the six months ended June 30, 2021, compared to a profit of HKD 39,962,000 in the same period of 2020[92]. - The group reported a pre-tax profit of HKD 256,763,000 for the six months ended June 30, 2021, compared to a profit of HKD 174,204,000 for the same period in 2020, indicating a significant increase[99]. Expenses and Costs - R&D expenses increased by 47.4% to HKD 256,763,000, representing 10.6% of total revenue, up from 7.8% last year[29]. - Sales and distribution expenses increased by 21.4% to HKD 235,734,000, accounting for 9.7% of the group's revenue[30]. - Administrative expenses decreased by 7.6% to HKD 216,705,000, representing 9.0% of the group's revenue[31]. - Financing costs reduced by 48.1% to HKD 21,425,000, making up 0.9% of the group's revenue[32]. - Other expenses declined by 8.9% to HKD 112,307,000, which is 4.6% of the group's revenue[33]. - Employee benefits expenses totaled HKD 478,330,000, up from HKD 416,274,000, marking an increase of 14.9%[99]. Financial Position - As of June 30, 2021, the company's net current assets amounted to HKD 2,083,972,000, with inventory at HKD 1,406,027,000 and trade receivables at HKD 4,149,449,000[47]. - The average accounts receivable turnover period improved to 312 days from 320 days year-on-year, while the average accounts payable turnover period decreased to 419 days from 470 days[48]. - Non-current assets totaled HKD 3,016,441 thousand as of June 30, 2021, a decrease of 2.6% from HKD 3,096,550 thousand as of December 31, 2020[80]. - Current assets amounted to HKD 8,181,930 thousand, slightly down from HKD 8,228,611 thousand, reflecting a decrease of 0.6%[81]. - Total liabilities increased to HKD 6,097,958 thousand from HKD 6,000,826 thousand, representing a rise of 1.6%[81]. - The net asset value stood at HKD 4,597,575 thousand, up from HKD 4,550,034 thousand, indicating an increase of 1.0%[81]. - Total liabilities were reported at HKD 6,600,796,000 as of June 30, 2021, compared to HKD 6,291,691,000 in the same period of 2020[92]. - Total equity as of June 30, 2021, was HKD 4,550,034,000, a decrease of HKD 116,000,000 compared to the previous period[83]. Cash Flow and Financing - The company reported a net cash flow from operating activities of HKD (48,274,000) for the six months ended June 30, 2021, compared to HKD (418,938,000) in the same period last year[84]. - Cash and cash equivalents increased by HKD 38,756,000, with a closing balance of HKD 1,774,005,000 as of June 30, 2021[86]. - The company raised HKD 469,559,000 in new bank loans, compared to HKD 90,463,000 in the previous year[85]. - The company raised a net amount of approximately HKD 686,235,000 from a placement of 282,000,000 shares at HKD 3.05 per share, aimed at funding expansion and development plans[53]. - The company incurred financing costs of HKD 21,425,000, down from HKD 41,296,000 in the previous year[84]. Corporate Governance and Compliance - The audit committee reviewed the accounting standards and practices adopted by the company, confirming no objections to the interim financial statements[77]. - The company has complied with all corporate governance code provisions during the reporting period[74]. - The financial statements were approved and authorized for publication by the board on August 26, 2021[165]. Research and Development - The company has applied for over 5,100 patents as of the end of the reporting period, up from approximately 4,800 patents at the end of 2020[29]. - The company continues to invest in 5G new technologies and research advanced technologies for the post-5G era, aiming to provide high-cost performance products and services for global operators[47]. - The company is actively exploring "5G + vertical industry applications," achieving technological advancements in mobile robotics and establishing mainstream AGV model series[46]. Stock Options and Incentives - The company has adopted a share incentive plan to recognize contributions from selected employees and retain talent for ongoing development, effective for ten years from the adoption date[141]. - The total number of unexercised stock options as of June 30, 2021, was 179,780,500, representing about 5.68% of the company's issued shares[136]. - The company granted 50,000,000 stock options during the same period at an exercise price of HKD 2.030[124]. - The company confirmed stock option expenses of approximately HKD 3,606,000 during the reporting period[131]. Market Outlook - The company remains optimistic about business prospects, focusing on advanced technologies and innovative products for the 5G and post-5G era[37]. - The company remains optimistic about business prospects for the second half of 2021, supported by recent wins in antenna product projects from major telecom operators in China[47]. - The company achieved significant progress in international business, maintaining stable partnerships with key international mobile operators and leading telecom equipment vendors, resulting in overall business growth despite market challenges[45].

Financial Performance - The company reported a revenue of HKD 8,000 million for the year 2020, showing a significant increase compared to previous years[23]. - The company reported a profit attributable to equity holders of HKD 200 million, demonstrating its profitability despite market challenges[23]. - The company’s total annual sales revenue for the year 2020 was HKD 505.884 million, a decrease of 12.48% compared to HKD 577.992 million in 2019[116]. - The company reported a significant increase in revenue, with a year-on-year growth of 15% in the last fiscal year[62]. - The company has set a revenue guidance for the next fiscal year, projecting a growth of 10% to 12%[64]. - The company reported a significant increase in revenue, with a year-on-year growth of 15% in the latest quarter[68]. - The company provided a positive outlook for the next quarter, projecting a revenue growth of 10% to 12%[70]. - New product launches are expected to contribute an additional $50 million in revenue over the next year[71]. Market Presence and Expansion - The company operates more than 30 offices in China and over 10 offices worldwide, providing services in more than 100 countries and regions[6]. - The company aims to expand its market presence and enhance its product offerings through ongoing research and development initiatives[4]. - The company plans to continue investing in 5G technology and new product development to enhance competitiveness and market share[37]. - The company aims to strengthen partnerships with international mobile operators and mainstream equipment manufacturers to expand its overseas market presence[37]. - The international business of the group achieved significant growth despite challenges from the COVID-19 pandemic and global economic slowdown, with overall operating performance increasing against the trend[52]. - The group is actively exploring "5G + vertical industry applications," promoting efficient integration of 5G technology with smart manufacturing[53]. - Market expansion plans include entering three new international markets by the end of the next fiscal year[67]. Research and Development - The company has applied for approximately 4,800 patents globally, showcasing its commitment to innovation and technology development[5]. - The company achieved significant progress in its network systems, including the rapid development of integrated high-power series products and the successful application of 5G dual-mode iCell products[35]. - R&D expenses increased by 35.8% to HKD 471,055,000, representing 9.3% of total revenue, up from 6.0% in the previous year[44]. - The company is investing in R&D, with a budget increase of 25% for new technology development[66]. - The company has a strong focus on R&D, particularly in wireless optimization and smart manufacturing, to enhance its product offerings and market competitiveness[75]. Awards and Recognition - The company was awarded the Technological Achievement Grand Award at the 2020 HK Awards for Industries, highlighting its industry recognition[7]. - The company received multiple awards for its innovative technologies, including the Guangdong Patent Gold Award and the National Invention Exhibition Gold Award[36]. - The group received multiple awards in 2020, including the Guangdong Patent Gold Award and Silver Award, and was recognized as a national intellectual property demonstration enterprise[152]. Financial Position and Assets - The total assets of the company reached HKD 12,000 million, indicating a stable financial position[23]. - Total assets increased by 1.3% to HKD 11,325,161,000, while net asset value rose by 18.7% to HKD 4,106,913,000[26]. - The financial leverage ratio of the group as of December 31, 2020, was 12.2%, down from 15.7% as of December 31, 2019[56]. - The group has maintained a flexible financial position to support long-term development[167]. Corporate Governance - The company has a strong commitment to corporate governance, ensuring transparency and accountability, and has complied with all relevant codes since January 1, 2020[78]. - The board consists of 11 members, including 6 executive directors, 1 non-executive director, and 4 independent non-executive directors, with expertise in management, wireless communication, R&D, accounting, finance, and law[79]. - The company emphasizes the importance of shareholder interests and has implemented specific measures to uphold these interests through its governance practices[78]. - The company has established a governance structure involving the shareholders' meeting, board of directors, and management to ensure effective decision-making and compliance in operations[109]. Environmental and Social Responsibility - The company emphasizes the importance of ESG management, integrating risk management related to safety, employee health, energy conservation, and corporate culture into daily operations[108]. - The company is committed to sustainable development, focusing on reducing global warming impacts and improving air quality while promoting resource conservation awareness[109]. - The company achieved zero fines for air emissions in 2020, adhering to national environmental laws and regulations[113]. - The company has established an ISO 14001 environmental management system to ensure compliance and improve environmental performance[113]. - The company has implemented a lifecycle management approach to minimize environmental impact during production and service processes[112]. Employee Welfare and Training - The company employed approximately 5,747 employees as of December 31, 2020, with a focus on gender equality and employee welfare[124]. - The average training hours per employee increased from 19.91 hours in 2019 to 21.84 hours in 2020 for male employees, and from 40.53 hours in 2019 to 41.95 hours in 2020 for female employees[136]. - The company has implemented a dual career development pathway for employees, with 100% of employees required to undergo training annually[135]. - The company has invested significantly in improving the working environment and safety measures, including providing necessary protective equipment and conducting regular safety training[133]. Risk Management - The group has implemented an effective internal control system covering financial monitoring, operational oversight, and employee conduct to ensure robust risk management and asset security[97]. - The board has reviewed the effectiveness of the group's risk management and internal control systems, confirming their adequacy and effectiveness[101]. - The group has established defined units and personnel responsible for managing various risks, including credit, strategy, legal, compliance, market, and operational risks[98]. Supply Chain and Procurement - The total number of suppliers decreased by 6% from 1,169 in 2019 to 1,099 in 2020, with a 3% increase in first-tier domestic cities and a 20% decrease in other domestic cities[147]. - The company signed agreements with over 520 suppliers regarding corporate social responsibility, ensuring compliance with legal and sustainable development standards[147]. - The procurement amount from the top five suppliers was less than 30% of total procurement[169]. Shareholder Information - The company’s distributable reserves as of December 31, 2020, were HKD 348,918,000[167]. - The board did not recommend a final dividend for the year, considering the group's financial performance and future development[167]. - The independent auditor's report confirms that the consolidated financial statements reflect the group's financial position accurately as of December 31, 2020[196].

Revenue Performance - For the six months ended June 30, 2020, Comba Telecom Systems Holdings Limited reported a revenue decline of 18.6% to HKD 2,238,485,000 compared to HKD 2,751,224,000 for the same period in 2019[9]. - Revenue from China Mobile Communications Group decreased by 36.0% to HKD 509,935,000, accounting for 22.8% of total revenue, down from 29.0% in the previous year[10]. - Revenue from China Unicom decreased by 59.0% to HKD 186,635,000, representing 8.3% of total revenue, down from 16.6% in the previous year[11]. - Revenue from China Telecom decreased by 12.8% to HKD 232,693,000, accounting for 10.4% of total revenue, compared to 9.7% in the previous year[11]. - Revenue from China Tower increased significantly by 63.4% to HKD 173,281,000, driven by growing demand for indoor distribution solutions[11]. - Revenue from international customers rose by 4.9% to HKD 812,237,000, representing 36.3% of total revenue, up from 28.1% in the previous year[12]. - Revenue from antenna and subsystem business decreased by 45.0% to HKD 834,350,000, accounting for 37.3% of total revenue, down from 55.1% in the previous year[13]. - Revenue from network systems increased by 7.8% to HKD 405,616,000, representing 18.1% of total revenue, up from 13.7% in the previous year[14]. - Revenue from services increased by 11.6% to HKD 724,470,000, accounting for 32.4% of total revenue, up from 23.6% in the previous year[14]. - Revenue from other businesses, including wireless transmission and integrated solutions, increased by 52.7% to HKD 197,290,000, accounting for 8.8% of total revenue[15]. - Revenue from wireless transmission business surged by 248.2% to HKD 119,046,000, driven by product upgrades and market expansion[15]. Profitability and Expenses - Gross profit decreased by 16.7% to HKD 726,610,000, with a gross margin of 32.5%, up 0.8 percentage points from the previous year[15]. - Operating profit decreased by 30.7% to HKD 81,258,000, primarily due to a reduction in total revenue[20]. - Net profit attributable to the company's owners decreased by 35.4% to HKD 53,137,000[21]. - Selling and distribution expenses decreased by 30.6% to HKD 194,143,000, accounting for 8.7% of total revenue[17]. - Administrative expenses declined by 16.5% to HKD 234,605,000, representing 10.5% of total revenue[18]. - R&D expenses fell by 16.6% to HKD 174,204,000, representing 7.8% of total revenue, while the number of patents applied increased to over 4,600[16]. Dividends and Shareholder Returns - The company proposed an interim dividend of HKD 0.007 per share, down from HKD 0.01 per share last year, with a total payout ratio of 33.5%[22]. - The interim dividend record date is set for September 4, 2020, with dividends to be distributed on September 15, 2020[61]. Financial Position - Total assets as of June 30, 2020, were HKD 7,858,437 thousand, down from HKD 8,887,859 thousand at the end of 2019[64]. - Current liabilities decreased to HKD 5,155,427 thousand from HKD 5,390,209 thousand, showing a reduction of 4.4%[65]. - Non-current liabilities decreased significantly from HKD 1,889,863 thousand to HKD 1,136,264 thousand, a reduction of 40%[65]. - The company’s net asset value increased to HKD 4,566,746 thousand from HKD 3,897,017 thousand, reflecting a growth of 17.2%[65]. - Total equity as of June 30, 2020, was HKD 3,805,614,000, reflecting a decrease of HKD 52,548,000 compared to the previous period[66]. - The company’s financial leverage ratio was 13.5%, down from 15.7% on December 31, 2019[37]. Cash Flow and Liquidity - The company's operating cash flow for the six months ended June 30, 2020, was a net outflow of HKD 418,938,000, compared to a net outflow of HKD 173,684,000 for the same period in 2019, indicating a significant decline in operational performance[68]. - Cash flow from investing activities showed a net outflow of HKD 73,458,000 for the six months ended June 30, 2020, an improvement from a net outflow of HKD 113,842,000 in the previous year[69]. - Total cash and cash equivalents at the end of the period were HKD 1,772,039,000, up from HKD 1,497,971,000 at the end of June 2019, showing an increase in liquidity[70]. - The company raised HKD 686,235,000 through share issuance during the financing activities, which significantly contributed to the net cash inflow from financing activities of HKD 433,839,000[69]. 5G Development and Market Position - The company anticipates continued growth in 5G network construction despite challenges posed by the COVID-19 pandemic, with a focus on new product development and market expansion[23]. - The company has developed market-leading innovative solutions for 5G indoor distribution, including new antennas for residential and tunnel coverage, which are now being supplied in certain regions[26]. - The company is actively participating in 5G technology and product research and development, aiming to enhance indoor network efficiency and address the challenges posed by 5G construction[27]. - The commercial 5G open platform small base station, 5G Cloud Small Station, has been piloted in over ten provinces, achieving compatibility with existing 5G commercial terminals[28]. - The number of 5G users in China has surpassed 100 million, driven by the three major operators' efforts in promoting 5G infrastructure as part of the new infrastructure initiative[30]. - The company maintains stable partnerships with international mobile operators and telecom equipment manufacturers, despite varying impacts of the pandemic on global 5G construction[32]. Stock Options and Employee Incentives - The company has a stock option plan in place to encourage and reward eligible individuals contributing to the group's business success[106]. - The maximum number of shares that can be issued under the stock option plan is capped at 30% of the total issued shares at any time[107]. - The company’s stock options granted to directors and major shareholders require prior approval from independent non-executive directors[108]. - The total expense recognized for employee services in the consolidated income statement for the six months ended June 30, 2020, was approximately HKD 15,083,000, compared to HKD 12,149,000 for the same period in 2019, representing an increase of 24%[122]. - The company continues to evaluate its stock option plan and may adjust the number of options granted based on performance and market conditions[110]. Contingent Liabilities and Commitments - The group had contingent liabilities of HKD 346,309,000 related to performance guarantees as of June 30, 2020, down from HKD 442,892,000 as of December 31, 2019, representing a decrease of approximately 21.8%[130]. - Capital commitments for property, plant, and equipment amounted to HKD 29,346,000 as of June 30, 2020, an increase from HKD 16,210,000 as of December 31, 2019, reflecting an increase of approximately 81.1%[131].

Financial Performance - Comba Telecom reported a revenue of HKD 8,000 million for 2019, representing a significant increase compared to previous years[10]. - The company's revenue for the year ended December 31, 2019, was HKD 5,779,916,000, representing a 2.1% increase from HKD 5,663,310,000 in the previous year[12]. - Gross profit increased by HKD 317,583,000 to HKD 1,776,184,000, with a gross margin of 30.7%, up from 25.8% in the previous year[12]. - Net profit attributable to shareholders was HKD 151,749,000, a significant turnaround from a loss of HKD 171,384,000 in the previous year[12]. - The company reported a profit before tax of HKD 130,675, a turnaround from a loss of HKD 150,934 in the previous year[187]. - Net profit for the year was HKD 68,822, recovering from a loss of HKD 199,336 in 2018, marking a substantial improvement[187]. - The company reported a significant increase in revenue, achieving a total of $1.2 billion, representing a year-over-year growth of 15%[22]. - The company provided a positive outlook for the next quarter, projecting a revenue growth of 10% to 12%[24]. - The company has set a future outlook with a revenue guidance of $500 million for the next fiscal year, representing a 10% increase[52]. Market Presence and Expansion - The company has established over 30 offices in China and more than 10 overseas offices, providing services in over 100 countries and regions[6]. - The company aims to expand its market presence through innovative technology and comprehensive wireless solutions[6]. - The company plans to strengthen its overseas market presence and enhance cooperation with international mobile operators and mainstream equipment vendors[20]. - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025[50]. - Market expansion plans include entering two new international markets, aiming for a 5% market share within the first year[27]. Research and Development - Comba Telecom has applied for over 4,400 patents globally, showcasing its commitment to innovation and R&D[6]. - The company launched the industry's first commercial 5G cloud small cell in collaboration with China Mobile Research Institute and Intel[14]. - The company is actively exploring the integration of 5G indoor distribution and industrial internet innovations, achieving substantial progress in 5G industry applications, including a successful application of 5G Cloud Small Station in industrial manufacturing[34]. - The company is committed to developing customized products and solutions for operators, leveraging its technological advantages in both base station antennas and indoor distribution products[34]. - The company plans to invest $100 million in new technology research and development over the next three years[49]. Corporate Governance - The company has complied with the corporate governance code since January 1, 2019, as per the rules of the Hong Kong Stock Exchange[62]. - The board of directors highlighted the commitment to sustainable practices, aiming for a 25% reduction in carbon emissions by 2025[31]. - The company aims to enhance its corporate governance practices to protect shareholders' interests[62]. - The independent non-executive directors possess appropriate accounting qualifications and relevant financial management expertise[62]. - The company has established clear procedures for shareholders to propose resolutions at general meetings[83]. Environmental and Social Responsibility - The company emphasizes sustainable development and social responsibility as part of its core values and business strategy[90]. - The greenhouse gas emissions in 2019 were 29,273 tons of CO2 equivalent, a decrease of 14.97% from 34,425 tons in 2018[96]. - The company achieved a reduction in the greenhouse gas emissions density to 0.051 tons per HKD 10,000 revenue, down 15.59% from 0.060 tons in 2018[96]. - The amount of hazardous waste generated decreased significantly by 84.57%, from 11 tons in 2018 to 2 tons in 2019[96]. - The group donated a total of HKD 861,955 in 2019 for social charity, poverty alleviation, and social activities[132]. Employee Management and Development - The total employee cost for the year was HKD 1,164,803,000, slightly up from HKD 1,161,962,000 in the previous year[46]. - The company employed 6,003 employees as of December 31, 2019, ensuring competitive compensation and benefits for its workforce[100]. - The employee turnover rate in 2019 was 14%, showing an increase from 12% in 2018[105]. - The average training hours per employee in 2019 were 19.91 hours for males and 40.53 hours for females, indicating a focus on employee development[112]. - The company has established an ISO45001 occupational health and safety system and an SA8000 social responsibility system to ensure employee safety and health[107]. Financial Position and Assets - Total assets reached HKD 12,000 million, reflecting the company's strong financial position[10]. - The net value of current assets as of December 31, 2019, was HKD 2,782,904,000, including inventory of HKD 1,191,244,000 and trade receivables of HKD 3,997,781,000[40]. - The company's cash and cash equivalents stood at HKD 1,867,186 thousand in 2019, slightly down from HKD 1,893,859 thousand in 2018[192]. - The company's total assets increased to HKD 3,461,209,000 in 2019 from HKD 3,278,153,000 in 2018, indicating growth in asset base[196]. - The company reported a total equity of HKD 3,897,017 thousand in 2019, which is an increase from HKD 3,805,614 thousand in 2018[194].

Revenue Performance - For the six months ended June 30, 2019, the company's revenue increased by 10.3% to HKD 2,751,224,000, compared to HKD 2,493,733,000 for the same period in 2018[6]. - Revenue from China Mobile increased by 17.0% to HKD 797,019,000, accounting for 29.0% of total revenue, up from 27.3% in the previous year[7]. - Revenue from China Unicom surged by 118.1% to HKD 455,551,000, representing 16.6% of total revenue, compared to 8.4% in the previous year[8]. - Revenue from other customers, including China Tower, rose by 128.7% to HKD 377,213,000, making up 13.7% of total revenue, up from 6.6% in the previous year[9]. - Revenue from international customers decreased by 18.1% to HKD 774,153,000, which accounted for 28.1% of total revenue, down from 37.9% in the previous year[10]. - Revenue from antenna and subsystem business increased by 13.9% to HKD 1,516,423,000, representing 55.1% of total revenue, up from 53.4% in the previous year[11]. - Revenue from services rose by 12.9% to HKD 649,249,000, accounting for 23.6% of total revenue, compared to 23.1% in the previous year[12]. - Revenue from other businesses, including wireless transmission and private networks, increased by 70.8% to HKD 129,163,000, accounting for 4.7% of total revenue[13]. Profitability - Gross profit rose by 11.4% to HKD 840,253,000, with a gross profit margin of 30.5%, up 0.3 percentage points from the previous year[14]. - Operating profit surged by 120.1% to HKD 117,252,000, primarily due to increased revenue[18]. - Net profit attributable to the company's shareholders rose by 291.0% to HKD 82,214,000[19]. - Profit before tax increased significantly to HKD 63,573, compared to HKD 23,972 in the previous year, marking a growth of 164.5%[51]. - Net profit for the period was HKD 39,038, a substantial increase from HKD 7,555, reflecting a growth of 417.5%[51]. - Basic earnings per share rose to HKD 3.35, compared to HKD 0.86 in the same period last year, an increase of 288.4%[51]. Costs and Expenses - Research and development costs increased by 24.6% to HKD 176,718,000, representing 6.4% of total revenue[14]. - Financing costs increased by 83.2% to HKD 53,679,000, accounting for 2.0% of total revenue[17]. - Total employee costs for the period were HKD 581,862,000, down from HKD 1,161,962,000 year-on-year[38]. - The group’s employee benefits expenses for the six months ended June 30, 2019, amounted to HKD 581,862, compared to HKD 532,640 in the same period of 2018[83]. Dividends and Shareholder Returns - The board proposed an interim dividend of HKD 0.01 per share, with a total payout ratio of 29.9%[20]. - The company declared an interim dividend of HKD 0.01 per share on August 15, 2019, totaling approximately HKD 24,782,000[89]. Financial Position - As of June 30, 2019, the company's net current assets amounted to HKD 3,235,270,000, with current assets including inventory of HKD 1,332,223,000 and trade receivables of HKD 4,427,565,000[32]. - The financial leverage ratio as of June 30, 2019, was 16.6%, down from 17.7% as of December 31, 2018[34]. - Total liabilities decreased to HKD 5,444,027 thousand from HKD 6,962,963 thousand, showing a reduction of about 21.8%[53]. - The company's equity increased to HKD 3,882,114 thousand as of June 30, 2019, compared to HKD 3,805,614 thousand at the end of 2018, marking a growth of approximately 2%[54]. - The total assets less current liabilities rose to HKD 5,928,716 thousand from HKD 4,339,678 thousand, reflecting an increase of about 36.5%[54]. Market and Business Outlook - The company is optimistic about business prospects with the official launch of 5G services in China, anticipating large-scale commercial deployment starting in 2020[20]. - The company continues to lead in the base station antenna market, recognized as a top supplier for eight consecutive years[21]. - The company is actively enhancing R&D for 5G antennas and has achieved significant breakthroughs in medium-frequency base station filters[22]. - The company launched the industry's first commercial 5G open platform small base station, the 5G Cloud Station, during the Shanghai World Mobile Congress, addressing the coverage challenges of 5G networks[23]. - The company is actively collaborating with other manufacturers to introduce flexible and reliable open indoor solutions for various vertical industry applications, contributing to the establishment of a new 5G ecosystem[24]. - The three major operators in mainland China are focusing on expanding 4G networks and preparing for 5G deployment, with expected gradual recovery in capital expenditure on wireless networks[25]. International Expansion - The company achieved significant breakthroughs in international markets, providing high-density wireless solutions for major venues in Brazil and deploying indoor wireless networks in Abu Dhabi's YAS Mall[28]. - The company successfully won multiple contracts for rail transit communication projects in cities like Kunming, Hangzhou, and Beijing, laying a solid foundation for its rail communication business[27]. Cash Flow and Investments - Net cash flow from operating activities was negative HKD 171,422,000, improving from negative HKD 480,598,000 in the previous year[58]. - The company invested HKD 129,119,000 in property, plant, and equipment during the period, significantly higher than HKD 46,086,000 in the prior year[58]. - The company reported a net cash outflow from investing activities of HKD 113,842,000, compared to HKD 71,020,000 in the previous year[58]. - The company’s cash flow from financing activities resulted in a net outflow of HKD 107,192,000, contrasting with a net inflow of HKD 410,167,000 in the previous year[58]. Share Capital and Options - The total number of issued ordinary shares as of June 30, 2019, was 2,478,161,418, an increase from 2,419,474,860 shares as of December 31, 2018[99]. - The company granted 80,000,000 options during the period at an exercise price of HKD 1.890[106]. - The total number of options exercised during the six months ended June 30, 2019, was 58,686,558 at an average exercise price of HKD 1.327[106]. - The company recognized stock option expenses of approximately HKD 12,149,000 for the six months ended June 30, 2019, compared to HKD 7,592,000 for the same period in 2018[120]. Compliance and Governance - The company has adhered to all corporate governance codes during the reporting period[47]. - The financial statements were prepared in accordance with HKAS 34, and should be read in conjunction with the annual financial statements for the year ended December 31, 2018[2].

Company Overview - Comba Telecom has established over 30 offices in China and more than 10 overseas offices, providing services in over 80 countries and regions[3]. - The company was established in 1997 and listed on the Hong Kong Stock Exchange in 2003, indicating over 20 years of industry experience[1]. - The R&D headquarters is located in Guangzhou Science City, with additional research institutions in Nanjing, Washington, and California[2]. - Comba Telecom focuses on innovative technology to lead in the wireless and information communications systems market[1]. - The company has a strong presence in the telecommunications sector, providing solutions and services to global customers[1]. - The company has a dedicated research institute with over 17 years of experience in technology management and strategic operations[72]. - The company has been expanding its service business and market operations since 1998[70]. Innovation and R&D - The company has applied for over 3,700 Chinese and international patents, showcasing its commitment to innovation[2]. - The company launched a new smart indoor distribution solution aimed at 5G applications in 2018[20]. - Multiple 5G Massive MIMO antennas were successfully deployed in global trials during 2018[20]. - The company won multiple awards for its research and development in communication technology, including the "China Patent Gold Award" for its cavity-type microwave devices[23]. - The company is focused on enhancing R&D capabilities and expanding partnerships to develop 5G products and solutions, aiming to increase its influence and competitiveness in the international market[45]. - The company is investing in R&D, with a budget increase of 25% for new technology development[56]. - The company has a strong focus on research and development in wireless communication and telecommunications, with a diverse board bringing expertise in these areas[79]. Financial Performance - Revenue for the year ended December 31, 2018, was HKD 5,663.3 million, an increase of 1.8% from HKD 5,563.7 million in 2017[16]. - Gross profit for 2018 was HKD 1,458.6 million, with a gross margin of 25.8%, down from 26.5% in 2017[16]. - The company reported a net loss attributable to shareholders of HKD 171.4 million for 2018, compared to a profit of HKD 27.4 million in 2017[16]. - Total assets increased by 3.8% to HKD 11,302.6 million in 2018 from HKD 10,891.7 million in 2017[17]. - The company achieved a significant increase in net cash position, reaching HKD 179.3 million, compared to a net debt of HKD 72.3 million in 2017[17]. - Operating cash flow for 2018 was HKD 825.6 million, a significant increase of 156.2% from HKD 322.3 million in 2017[16]. - The company recorded an operating loss of HKD 77,277,000 compared to an operating profit of HKD 101,095,000 in the previous year[37]. - The net loss for the fiscal year was HKD 171,384,000, attributed to increased 4G network investment costs and one-time expenses from organizational restructuring[22]. Revenue Breakdown - Revenue from international customers and core equipment manufacturers grew by 42.6% to HKD 1,880,781,000, accounting for 33.2% of total revenue[28]. - Revenue from China Mobile Group and its subsidiaries was HKD 1,682,334,000, a slight increase of 1.2% from HKD 1,662,626,000 in the previous year[27]. - Revenue from China Unicom Group decreased by 36.6% to HKD 520,166,000, while revenue from China Telecom Group fell by 39.2% to HKD 783,323,000[27]. - Revenue from other customers, including China Tower and rail transit communication clients, increased significantly by 60.4% to HKD 611,754,000[28]. - The revenue from the antenna and subsystem business increased by 18.4% to HKD 2,837,888,000, accounting for 50.1% of the total revenue[31]. - Revenue from the network systems business decreased by 23.8% to HKD 765,370,000[30]. Corporate Governance - The company has committed to high levels of corporate governance to ensure transparency and accountability, adhering to the corporate governance code as per the Hong Kong Stock Exchange[74]. - The board of directors consists of eight members, including six executive directors and two independent non-executive directors[75]. - The company has confirmed the independence of its independent directors in accordance with the listing rules[165]. - The company’s chairman and CEO roles are clearly separated, with distinct responsibilities for strategic leadership and overall operations[84]. - The company emphasizes the importance of board diversity for improving overall performance and is dedicated to achieving this through various criteria[92]. - The company has received annual independence confirmations from its independent directors, ensuring compliance with regulatory requirements[165]. Environmental and Social Responsibility - The company emphasizes sustainable development and social responsibility as part of its corporate culture[109]. - The greenhouse gas emissions in 2018 amounted to 34,425 tons of CO2 equivalent, a 41.51% increase from 24,327 tons in 2017[114]. - The total amount of harmless waste generated was 300 tons, a decrease of 2.47% from 307 tons in 2017[114]. - The company aims to enhance environmental performance by adopting a lifecycle management approach to minimize adverse environmental impacts[111]. - The group has actively participated in disaster communication rescue efforts, including support during Typhoon Mangkhut and floods in Sichuan[151]. - The group donated a total of HKD 713,000 in 2018 for social charity, poverty alleviation, and community activities[151]. Employee and Talent Management - The company employed approximately 6,700 employees as of December 31, 2018, with total employee costs amounting to HKD 1,161,962,000 for the year[51]. - The employee turnover rate for 2018 was 13.28%, with a notable difference between domestic (24.46%) and overseas (1.82%) turnover rates[125]. - The average training hours per employee in 2018 were 24.52 for males and 51.93 for females, indicating a focus on gender-specific training[130]. - The company has established a dual career path system for employees, linking compensation and promotion to experience, ability, and performance[129]. - The company has invested in employee wellness initiatives, including fitness facilities and professional psychological counseling services[120]. Market Expansion and Strategic Initiatives - The company plans to continue expanding its international market presence and strengthen strategic cooperation with major international equipment manufacturers[25]. - The company is strategically investing in 5G infrastructure and related technologies, including smart manufacturing and industrial IoT, to capture future opportunities[46]. - The company is actively seeking and developing new eco-friendly technologies and materials to reduce the use of toxic substances[116]. - The company is considering strategic acquisitions to enhance its product offerings and market presence[58]. - Market expansion plans include entering three new international markets by the end of the year[57]. Risk Management - The company has initiated a comprehensive risk management system to enhance risk awareness and integrate it into daily business decisions[99]. - The audit committee has reviewed the effectiveness of the risk management and internal control systems and confirmed their adequacy[101]. - The company aims to continuously improve processes and strengthen systematic management to enhance operational efficiency and risk monitoring[98]. - The board of directors is responsible for the design, implementation, and monitoring of the risk management and internal control systems[98]. Related Party Transactions - The company entered into related party transactions with WaveLab Holdings, involving the sale of wireless transmission and access products, with a total transaction value of HKD 49,848,000, which is within the annual cap of HKD 147,000,000[178]. - The independent non-executive directors reviewed the related party transactions and confirmed they were established based on fair and reasonable terms[181]. - The company’s related party transactions were conducted in the ordinary course of business and on normal commercial terms, ensuring fairness and reasonableness[181]. Shareholder Information - The company repurchased a total of 50,752,000 shares at a total cost of HKD 71,410,000, aiming to enhance shareholder value[162]. - The board proposed no final dividend for the year, reflecting a flexible approach to financial performance and future development[158]. - As of December 31, 2018, the company's distributable reserves were HKD 368,170,000, in addition to a share premium account of HKD 598,797,000[163].