Revenue and Profitability - For the six months ended June 30, 2020, Pak Tak International Limited reported total revenue of HKD 1,164,600,000, an increase of 169.8% compared to HKD 431,700,000 for the same period in 2019[15]. - The supply chain business generated revenue of HKD 1,155,500,000, up HKD 733,800,000 from HKD 421,700,000 in the previous year, primarily due to the introduction of credit term services[8]. - The group recorded a net profit of approximately HKD 16,900,000 for the six months ended June 30, 2020, a decrease from HKD 41,100,000 for the same period in 2019, primarily due to the absence of one-time gains from discontinued operations of HKD 23,000,000 and increased financial costs and tax expenses[17]. - Revenue for the six months ended June 30, 2020, was HKD 1,164,552, a significant increase from HKD 431,680 in 2019, representing a growth of 169%[62]. - Operating profit for the same period was HKD 39,806, up from HKD 19,956 in 2019, indicating a growth of 99%[62]. - Profit before tax decreased to HKD 24,465 from HKD 21,679 in 2019, reflecting an increase of 8.3%[62]. - Net profit attributable to shareholders from continuing operations was HKD 16,880, down from HKD 18,027 in 2019, a decline of 6.4%[62]. - Total comprehensive loss for the period was HKD 9,935, compared to a comprehensive income of HKD 36,302 in 2019, indicating a significant decline[64]. Financial Position - Current assets increased to HKD 918,653 from HKD 528,210 as of December 31, 2019, showing a growth of 74%[67]. - Total liabilities increased to HKD 893,268 from HKD 521,084, reflecting a rise of 71%[67]. - The company's cash and cash equivalents decreased to HKD 47,084 from HKD 105,034, a decline of 55%[67]. - The net asset value decreased to HKD 484,526 from HKD 494,461, a reduction of 2%[70]. - The group's total assets amounted to HKD 1,436,846, while total liabilities were HKD 952,320[93]. - The group's capital debt ratio was 94.7% as of June 30, 2020, compared to 93.4% as of December 31, 2019, indicating a slight increase in leverage[23]. Cash Flow and Investments - Net cash generated from operating activities for the six months ended June 30, 2020, was HKD 243,872,000, compared to a net cash outflow of HKD 18,658,000 in 2019[78]. - Total cash outflow from investing activities was HKD 285,367,000, significantly higher than the cash outflow of HKD 2,702,000 in the previous year[78]. - The company incurred a capital portion of lease payments amounting to HKD 755,000, with interest payments on leases totaling HKD 156,000[78]. - New loan proceeds amounted to HKD 220,234,000, while loan repayments totaled HKD 149,939,000, indicating a net cash outflow from financing activities of HKD 8,571,000[78]. - The cash and cash equivalents at the end of the period were HKD 46,787,000, down from HKD 110,452,000 at the end of the previous year[78]. Business Operations and Strategy - The supply chain business is focusing on procurement and distribution of non-ferrous metals and construction materials to expand revenue sources[8]. - The group plans to continue leasing investment properties to generate rental income and may liquidate properties when necessary to enhance operational funds[10]. - The leasing business performance has been affected by COVID-19, with potential client projects delayed, prompting the management to monitor the situation closely[35]. - The company continues to monitor the impact of COVID-19 on its operations and is prepared to implement necessary adjustments[80]. - The company’s supply chain business reported significant growth, reflecting a strategic shift in operations[85]. Shareholder Information - As of June 30, 2020, the total number of shares outstanding was 2,900,000,000[38]. - Mr. Feng Guoming holds 812,000,000 shares, representing 28.00% of the total shares[40]. - Mr. Wang Jian holds 546,953,000 shares, representing 18.86% of the total shares[40]. - Major shareholders include Teng Le Holdings with 812,000,000 shares (28.00%) and Chang Feng Limited with 546,953,000 shares (18.86%)[40]. - The company did not buy, sell, or redeem any of its listed securities during the six months ended June 30, 2020[47]. - The company has no knowledge of any other individuals or corporations holding shares that require disclosure under the Securities and Futures Ordinance as of June 30, 2020[45]. Governance and Compliance - The company has adhered to the corporate governance code principles as of June 30, 2020, with the exception of certain deviations regarding the roles of the chairman and CEO[52]. - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended June 30, 2020, with no objections to the accounting treatment adopted by the group[56]. - The independent auditor found no issues that would lead to a belief that the interim financial information was not prepared in accordance with HKAS 34 as of June 30, 2020[60]. Tax and Financial Instruments - The company reported a total tax expense of HKD 7,585,000 for the six months ended June 30, 2020, compared to HKD 3,652,000 in 2019, indicating a significant increase[114]. - The group carefully assesses the tax implications of transactions to determine tax provisions, which requires regular review of tax law changes[167]. - Deferred tax assets/liabilities are recognized based on unutilized tax losses and deductible temporary differences, contingent on the likelihood of future taxable profits[167]. Fair Value Measurements - The fair value of investment properties is determined by independent professional valuers, and changes in assumptions can lead to adjustments in fair value[169]. - The fair value of financial instruments measured at cost or amortized cost did not differ significantly from their fair value as of June 30, 2020[162]. - The company uses a discounted cash flow model for the valuation of unlisted equity instruments, with a discount rate range of 10.6%[159].

Financial Performance - For the year ended December 31, 2019, the company recorded a net profit of approximately HKD 54,500,000, a significant increase from a net loss of HKD 9,100,000 in the same period of 2018[22]. - The total revenue for the year ended December 31, 2019, was HKD 1,466,300,000, an increase of 35.7% compared to HKD 1,080,500,000 for the year ended December 31, 2018[36]. - The total expenses increased from HKD 1,043,800,000 to HKD 1,411,500,000, primarily due to significant growth in the supply chain business[37]. - The group reported a total debt of approximately HKD 461.6 million as of December 31, 2019, an increase from HKD 323.9 million in 2018[101]. - The company recorded a net profit of approximately HKD 54,500,000 for the year ended December 31, 2019, compared to a net loss of approximately HKD 9,100,000 for the previous year[38]. Business Operations - The supply chain business generated revenue of HKD 1,445,400,000, an increase of HKD 399,800,000 compared to the corresponding period in 2018, primarily due to the expansion of credit terms in the supply chain of non-ferrous metals and construction materials[27]. - The company aims to expand its supply chain and leasing businesses, targeting high-value and reputable clients[23]. - The company has diversified its business risks by exploring opportunities in supply chain, leasing, lending, securities investment, and property investment since 2017[21]. - The supply chain business provides value-added services, including inventory management and logistics support, to enhance revenue sources[27]. - The company has shifted its focus from garment business to supply chain and leasing operations following the sale of its garment business[26]. Corporate Governance - The board consists of eight directors, including three executive directors, two non-executive directors, and three independent non-executive directors as of December 31, 2019[161]. - The company has adopted a code of conduct for securities trading by directors, confirming compliance with the standard code for the year ending December 31, 2019[158]. - The independent non-executive directors have confirmed their independence, and at least one possesses appropriate professional qualifications or financial management expertise[164]. - The board is responsible for reviewing and supervising the group's financial and business performance, aiming to provide higher returns to shareholders[162]. - The company has established a diversity policy for the Board, considering various factors such as gender, age, and professional experience[183]. Risk Management - The company will closely monitor the impact of the COVID-19 pandemic on its business and financial performance[23]. - Management will remain prudent in safeguarding resources amid uncertainties from the US-China trade dispute and the COVID-19 outbreak, aiming for steady growth[70]. - The Audit Committee monitored the effectiveness of internal controls and risk management systems[172]. - The company has established internal monitoring procedures for handling and disclosing inside information to comply with listing rules and regulations[196]. - The board confirmed the effectiveness of the internal control and risk management systems based on the recommendations from the external professional and the audit committee's opinions[196]. Employee and Shareholder Information - The total employee cost for the year was approximately HKD 14,700,000, representing 1.0% of the group's revenue[63]. - The group had approximately 40 employees as of December 31, 2019, a decrease from about 510 employees in 2018[63]. - The management expresses gratitude to shareholders, customers, suppliers, and employees for their support and contributions[24]. - All directors attended the annual general meeting, demonstrating commitment to shareholder engagement[167]. - The company did not declare any dividends for the year ended December 31, 2019, consistent with the previous year[95]. Investments and Financial Assets - The fair value of financial assets measured at fair value through other comprehensive income was HKD 238,660,000 as of December 31, 2019, compared to HKD 85,768,000 in 2018[52]. - The group has no significant investments as of December 31, 2019, with the fair value of other listed shares being less than 1% of total assets[60]. - The financing lease receivables amounted to HKD 74,900,000 as of December 31, 2019, with recognized income of HKD 8,500,000 for the year[28]. - The lending business reported receivables of HKD 15,000,000, with recognized income of HKD 7,600,000 for the year, and a return rate between 8% and 12%[30]. - Rental income from investment properties in Yunfu, China, was HKD 4,900,000, with a fair value of HKD 191,100,000 as of December 31, 2019[29]. Related Party Transactions - The company engaged in several related party transactions, which are disclosed in the consolidated financial statements[107]. - The independent non-executive directors confirmed that the related party transactions were conducted in the ordinary course of business and on normal commercial terms[114]. - The company has complied with the disclosure requirements under the relevant listing rules regarding related party transactions[113]. - The company has not entered into any management contracts regarding the management and administration of any part of its key business during the period[121]. - There were no significant transactions, arrangements, or contracts in which directors or their related entities had a substantial interest during the year ended December 31, 2019[119]. Future Outlook - The company plans to continue focusing on potential collaboration opportunities in the construction, new economy, entertainment, and renewable energy sectors[28]. - The group aims to increase revenue growth and profitability by expanding product variety, enhancing marketing efforts, and broadening the customer base[70]. - The group will continue to adopt a cautious approach in property investment, lending, and securities investment to maintain the current scale of these businesses[70]. - The COVID-19 pandemic has significantly impacted the group's performance this year, affecting economic and business operations in China[70]. - The company will continue to appoint external independent professionals to review its internal controls and risk management systems[196].

Revenue and Profitability - For the six months ended June 30, 2019, the total revenue of the company was HKD 431.7 million, an increase of 18.8% compared to HKD 363.4 million for the same period in 2018[16] - The supply chain business generated revenue of HKD 421.7 million, up from HKD 350.2 million in the corresponding period of 2018, reflecting an increase of HKD 71.5 million[7] - The group recorded a net profit of approximately HKD 41,100,000 for the six months ended June 30, 2019, compared to a net profit of approximately HKD 200,000 for the same period in 2018, primarily due to a one-time gain of HKD 35,900,000 from the sale of the garment business and a profit contribution of HKD 6,600,000 from the supply chain business[19] - Revenue for the six months ended June 30, 2019, was HKD 431,680,000, an increase of 18.8% compared to HKD 363,399,000 for the same period in 2018[59] - Operating profit for the same period was HKD 19,956,000, representing a growth of 31.5% from HKD 15,188,000 in 2018[59] - Profit before tax increased to HKD 21,679,000, up 78.5% from HKD 12,133,000 in the previous year[59] - Net profit for the period was HKD 41,057,000, a significant rise from HKD 191,000 in the same period last year[61] - Basic and diluted earnings per share from continuing and discontinued operations were HKD 1.42, compared to HKD 0.01 in 2018[61] Financial Position - The group's cash and cash equivalents (excluding bank overdrafts) were HKD 110,500,000 as of June 30, 2019, down from HKD 138,400,000 as of December 31, 2018, while interest-bearing borrowings totaled HKD 261,800,000, down from HKD 323,900,000[22] - The capital debt ratio was 53.0% as of June 30, 2019, down from 70.8% as of December 31, 2018, indicating improved financial stability[23] - Other receivables, prepayments, and deposits increased significantly from HKD 34,500,000 as of December 31, 2018, to HKD 121,300,000 as of June 30, 2019, mainly due to a trade deposit of RMB 100,000,000 (equivalent to HKD 114,100,000) for the purchase of non-ferrous metals[20] - Contract liabilities amounted to approximately HKD 45,700,000 as of June 30, 2019, compared to none as of December 31, 2018, primarily due to advance payments from customers for non-ferrous metal trades of RMB 40,000,000 (equivalent to HKD 45,500,000)[21] - Total liabilities decreased from HKD 335,440 thousand to HKD 286,174 thousand, a decline of approximately 14.7%[66] - The company's equity attributable to shareholders increased from HKD 457,793 thousand to HKD 494,095 thousand, an increase of approximately 7.9%[68] Business Operations - The company completed the sale of its manufacturing and distribution of garment business for RMB 10,000 (approximately HKD 11,364) on May 31, 2019[13] - The company will continue to lease investment properties to generate rental income and may liquidate properties when necessary to enhance operational liquidity[9] - The company plans to expand its supply chain and leasing businesses in China, expecting growth in construction materials supply and machinery leasing services, with a credit financing agreement signed for up to RMB 90,000,000 for construction machinery leasing[36] - The company’s operating segments include supply chain business, leasing business, property investment and consultancy, lending business, and securities investment[92] Corporate Governance - The company has complied with the corporate governance code principles as per the listing rules, with some deviations noted[49] - The board believes that the current structure of having the same individual as both Chairman and CEO is beneficial for strong leadership[50] - The company will continue to review the effectiveness of its corporate governance structure and make changes as necessary[51] Shareholder Information - As of June 30, 2019, the total number of issued shares was 2,900,000,000[40] - Mr. Feng holds 812,000,000 shares, representing 28.00% of the company's equity[41] - Mr. Wang holds 546,953,000 shares, representing 18.86% of the company's equity[41] - Mr. Huang holds 275,500,000 shares, representing 9.50% of the company's equity[41] Accounting and Reporting Standards - The interim financial data is prepared in accordance with the Hong Kong Financial Reporting Standards, specifically HKFRS 34, and should be read in conjunction with the annual consolidated financial statements for the year ended December 31, 2018[79] - The company adopted HKFRS 16 "Leases" effective January 1, 2019, which introduces a single accounting model for lessees, requiring recognition of right-of-use assets and lease liabilities for all leases[80] - The implementation of HKFRS 16 is not expected to have a significant impact on the financial performance and position of the group, as it previously applied HKAS 40 for investment properties[86] Investment Properties - As of June 30, 2019, the total value of investment properties was HKD 194,338,000, an increase from HKD 186,683,000 as of December 31, 2018, representing a growth of approximately 3.5%[139] - The fair value of investment properties increased by HKD 8,110,000 during the period, compared to a decrease of HKD 10,107,000 in the previous period[143] - The group’s investment properties are classified under Level 3 fair value measurement, based on observable inputs from recent comparable sales transactions in the Chinese property market[141] Cash Flow and Financing Activities - The net cash used in operating activities for the six months ended June 30, 2019, was HKD (18,658) thousand, an improvement from HKD (38,233) thousand in the previous year[76] - The company reported a net cash inflow from financing activities in the first half of 2019 was HKD 18,032,000, compared to HKD 53,819,000 in the same period of 2018, indicating a decrease of 66.5%[115] - The company raised new loans amounting to HKD 191,183 thousand during the period[76] Discontinued Operations - The company’s discontinued operations in the garment manufacturing and distribution business were terminated as of May 31, 2019[93] - The company reported a total loss from discontinued operations of HKD 23,030,000 for the first half of 2019, compared to a loss of HKD 9,941,000 in the first half of 2018[113]

Financial Performance - The revenue from garment manufacturing and trading for the year ended December 31, 2018, was approximately HKD 278,300,000, an increase of about 45% compared to the nine months ended December 31, 2017[21]. - Total revenue for the year ended December 31, 2018, was HKD 1,358,800,000, a significant increase of 80.8% compared to HKD 751,500,000 for the nine months ended December 31, 2017[36]. - General trading segment recorded revenue of approximately HKD 1,045,600,000 for the year ended December 31, 2018, up from HKD 542,800,000 for the nine months ended December 31, 2017[32]. - The apparel business revenue increased from HKD 191,400,000 for the nine months ended December 31, 2017, to HKD 278,300,000 for the year ended December 31, 2018, reflecting an increase of HKD 86,900,000[36]. - The group recorded a net loss of HKD 9,100,000 for the year ended December 31, 2018, compared to a net profit of HKD 30,500,000 for the nine months ended December 31, 2017, primarily due to a significant decrease in fair value gains from investment properties[40]. Lending and Investment - The group's receivables from lending amounted to approximately HKD 45,100,000 for the year, down from HKD 60,500,000 for the nine months ended December 31, 2017[22]. - The interest income from the lending business was approximately HKD 3,900,000, with a repayment ratio between 8% and 10%[29]. - The group will adopt a prudent strategy to minimize credit risk by focusing on high-income clients in the lending business[22]. - The long-term securities investments did not perform well as of December 31, 2018, but the group believes in the potential for stable long-term returns[22]. - The group’s financial assets measured at fair value through profit or loss amounted to HKD 210,000, compared to HKD 26,329,000 in 2017[53]. Business Strategy and Future Outlook - The group plans to focus on developing existing business segments to achieve stable growth and improve returns in 2019[23]. - The group aims to explore suitable future business opportunities to expand revenue and cash flow sources while considering funding requirements and associated business risks[23]. - The company anticipates significant challenges in the garment business for 2019 due to global political and economic instability, including US-China trade disputes and Brexit[72]. - Management plans to focus resources on developing general trade, lending, leasing, and securities investment businesses[72]. - The group will continue to monitor business developments closely to improve the situation in the garment sector[28]. Financial Position and Capital Management - Cash and cash equivalents as of December 31, 2018, were HKD 138,400,000, down from HKD 535,800,000 as of December 31, 2017[41]. - The capital debt ratio as of December 31, 2018, was 70.8%, a decrease from 82.9% as of December 31, 2017[41]. - The group raised approximately HKD 192,000,000 through capital raising activities, with specific allocations for loan repayment and acquisitions[49]. - The group has no capital commitments as of December 31, 2018[48]. - The group completed the acquisition of a commercial property in Hong Kong for HKD 71,300,000, intended for use as office space[62]. Corporate Governance and Management - The company reported audited financial statements for the year ending December 31, 2018[93]. - The management team includes experienced professionals with over 28 years in finance and investment management[85][90]. - The company has a commitment to transparency and accountability in its financial reporting practices[93]. - The board of directors consists of independent non-executive members with extensive backgrounds in finance and law[85][86]. - The company has established a set of corporate governance principles and practices consistent with the listing rules[164]. Shareholder Information - The total number of shares issued by the company was 2,900,000,000[137]. - Mr. Feng Guoming holds 812,000,000 shares, representing 28.00% of the company's equity[141]. - The major shareholder, Tengle Holdings, also holds 812,000,000 shares, equivalent to 28.00%[141]. - The company maintained a sufficient public float of at least 25% of its issued shares as of December 31, 2018[155]. - The company did not recommend any dividend payment for the year ended December 31, 2018[70]. Risk Management - The group has a strict policy for managing foreign exchange and interest rate risks, closely monitoring these risks and considering hedging when necessary[46]. - The group’s cash flow interest rate risk is managed dynamically, considering various low-cost methods to mitigate this risk[46]. - The audit committee reviewed the financial reporting procedures, internal controls, and risk management systems during the year[183]. Employee and Operational Information - The total employee cost for the year ended December 31, 2018, was approximately HKD 56,400,000, representing 4.2% of the company's revenue[69]. - The company made charitable donations of HKD 30,000 for the year ending December 31, 2018, consistent with the previous year[104]. - The company has no management contracts related to any part of its key business during the period[130].