Financial Performance - Total revenue for the six months ended June 30, 2024, was HKD 418,874,972, representing a 66.5% increase from HKD 251,335,997 in the same period of 2023[2] - Commission and fee income reached HKD 141,299,173, up 47.9% from HKD 95,510,693 year-over-year[2] - Interest income increased to HKD 72,773,734, a 57.9% rise compared to HKD 46,076,263 in the previous year[2] - Net profit for the period was HKD 88,669,217, which is a 42.5% increase from HKD 62,193,981 in the same period last year[3] - Basic earnings per share rose to HKD 0.0182, compared to HKD 0.0155 in the prior year, reflecting a 17.4% increase[2] - Total comprehensive income for the period amounted to HKD 129,333,500, up 52.0% from HKD 85,113,973 in the previous year[3] Assets and Liabilities - Non-current assets decreased to HKD 570,452,751 from HKD 594,717,619 at the end of December 2023[4] - Current liabilities decreased to HKD 8,361,618,526 from HKD 11,521,766,372 at the end of December 2023, indicating a reduction in financial obligations[5] - The company's net asset value increased to HKD 4,237,475,698 from HKD 4,123,942,198 at the end of December 2023[5] - Total assets decreased by 6.33% to HKD 15,504.03 million as of June 30, 2024, compared to HKD 16,552.02 million at the end of 2023[43] - Total liabilities fell by 9.35% to HKD 11,266.55 million, down from HKD 12,428.08 million at the end of 2023[43] Revenue Breakdown - Corporate finance income, including underwriting and advisory fees, surged to HKD 48,719,171, compared to HKD 23,993,599, marking a growth of 102.67%[14] - Net trading and investment income increased to HKD 204,802,065, up from HKD 109,749,041, reflecting an increase of 86.38%[15] - Interest income from debt investments rose to HKD 57,833,109, compared to HKD 30,567,281, representing an increase of 88.93%[15] - Wealth management services revenue increased by 26.21% to HKD 100.17 million, driven by a 33.45% rise in brokerage commissions and fees to HKD 85.22 million[38][36] - Financial products and investment income rose by 87.17% to HKD 262.64 million, capitalizing on high-yield opportunities in the USD market[42] Accounts Receivable and Payable - The company reported a significant increase in receivables, with accounts receivable rising to HKD 1,722,383,760 from HKD 1,010,886,882 year-over-year[4] - As of June 30, 2024, the accounts receivable from securities trading business amounted to HKD 1,104,530,678, an increase from HKD 722,094,853 as of December 31, 2023, representing a growth of approximately 53%[25] - The accounts receivable from financial products and investment business reached HKD 1,722,383,760, up from HKD 1,010,886,882, indicating a significant increase of about 70%[25] - The accounts payable from securities trading business totaled HKD 2,274,922,807 as of June 30, 2024, down from HKD 3,278,752,352 as of December 31, 2023, showing a decrease of about 31%[31] - The accounts payable from financial products and investment business increased to HKD 408,230,055 from HKD 17,700,269, marking a substantial rise of approximately 2200%[32] Employee Costs and Dividends - Employee costs, including director remuneration, rose to HKD 101,204,007 from HKD 71,318,719, an increase of approximately 42.0%[20] - The company did not declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[23] Risk Management and Compliance - The group has established a comprehensive risk management framework, with the board responsible for overall risk management oversight[52] - The group has implemented a liquidity risk management system to identify, monitor, and mitigate potential liquidity risks[55] - The company has established a comprehensive operational risk management framework to reduce the frequency and impact of operational risk events[57] - The company actively promotes a robust compliance and legal risk management framework, ensuring business operations align with current laws and regulations[58] - The company has implemented a market risk management policy to monitor and control risks arising from adverse changes in exchange rates, interest rates, and financial asset prices[56] Corporate Actions and Ratings - The group issued USD 300 million three-year secured bonds on February 2, 2024, with outstanding bonds amounting to HKD 2,362.34 million as of June 30, 2024[45] - The capital-to-debt ratio improved to 188.9% as of June 30, 2024, down from 210.0% at the end of 2023[45] - The group received a first-time long-term issuer default rating of "BBB" and a first-time shareholder support rating of "bbb" from Fitch, with a stable outlook[46] Business Strategy and Innovation - The group continues to enhance its wealth management business transformation and expand customer resources and diversified income sources[46] - The group aims to strengthen its leading position in the bond underwriting market and capitalize on new opportunities in equity financing[46] - The group is focused on deepening business innovation and promoting the development of derivative business[46]

Financial Performance - For the year ended December 31, 2023, the group's revenue from brokerage services, corporate finance services, asset management services, guarantee financing services, and financial products and investment experienced year-on-year declines of 29.63%, 10.68%, and 23.76%, while guarantee financing services increased by 0.56% and financial products and investment surged by 7,265.53%[7] - Commission and fee income from brokerage services decreased by 29.6% to HKD 111,040,955 compared to HKD 157,800,167 in the previous year[147] - Corporate finance service commission and advisory fee income fell by 10.7% to HKD 40,833,714 from HKD 45,709,535[147] - Asset management service management and advisory fee income declined by 23.7% to HKD 15,023,082 from HKD 19,700,817[147] - Total revenue increased by 110.6% to HKD 543,354,617 from HKD 258,004,188[147] - Net profit for the year was HKD 54,564,283, a turnaround from a loss of HKD 297,402,416 in the previous year, representing a 118.3% improvement[147] - Basic earnings per share improved to HKD 0.0136 from a loss of HKD 0.0744, marking a 118.3% increase[147] - Total revenue for 2023 was HKD 543,355,000, a decrease from HKD 636,371,000 in 2021 and HKD 12,472,181,000 in 2022[156] - The net profit for 2023 was HKD 40,094,000, showing a significant recovery from the losses in previous years[156] Asset Management and Financial Position - As of December 31, 2023, the group managed 30 asset management products with a total management scale of HKD 6,200 million, and the flagship fixed income product achieved a return of 25.2% since inception[14] - The total equity attributable to ordinary shareholders increased to HKD 3,123.94 million as of December 31, 2023, compared to HKD 2,994.88 million at the end of the previous year[18] - Total assets grew by 32.7% to HKD 16,552,022,975 from HKD 12,472,181,491[152] - The return on equity for the year was 1.8%, up from a negative 9.4% in the previous year, reflecting an improvement of 11.2%[152] - The capital-to-debt ratio increased to 210.0% from 126.1%, showing an increase of 83.9%[152] - The net debt-to-equity ratio rose to 164.1% from 58.5%, indicating a significant increase of 105.6%[152] Liquidity and Risk Management - The group's net cash outflow for the year was HKD 811.80 million, a significant improvement from a net outflow of HKD 2,755.01 million in the previous year, with a bank balance of HKD 1,892.15 million as of December 31, 2023[17] - The group aims to enhance liquidity reserve management capabilities by establishing a funding center and launching innovative projects such as the first private ECP note in Hong Kong[3] - The group continues to strengthen liquidity risk management and ensure compliance with regulatory requirements, maintaining a good overall liquidity position[9] - The company is committed to enhancing its risk management and internal control systems to protect shareholder interests and assets[180] - The company maintains a neutral and stable risk preference while strengthening its compliance and risk control systems[186] Corporate Governance and Compliance - The company has confirmed compliance with relevant pricing policies and guidelines for transactions as of November 30, 2021[61] - The company’s independent non-executive directors have confirmed their independence in accordance with the listing rules[47] - The company has established a remuneration committee in accordance with the listing rules and corporate governance code[121] - The company has adopted a code of conduct for securities trading by directors, ensuring compliance with the standard code[113] - The audit committee approved the annual audit plan for the year, ensuring compliance with regulatory requirements[159] - The independent non-executive directors have reviewed and confirmed that the controlling shareholders have complied with the non-competition agreement[96] Strategic Focus and Future Plans - The group plans to continue its focus on innovation and internationalization, aiming for sustainable growth and stable profitability while adhering to compliance and risk management principles[5] - The company plans to continue its market expansion and product development strategies in the upcoming fiscal year[180] - The nomination committee will consider candidates' skills, experience, and diversity when recommending board members[171] - The company is committed to improving its ESG management capabilities and actively responding to national "dual carbon" initiatives[185] Environmental and Social Responsibility - The group received a management-level rating of "B-" in the 2023 Climate Change Rating by the Global Environmental Information Research Center (CDP)[10] - The company emphasizes the importance of energy conservation and environmental protection, promoting digital documentation and reducing paper waste[100] - The company participated in the issuance of green bonds for 16 enterprises, enhancing its engagement in green finance initiatives[185] Miscellaneous - The company made charitable donations of approximately HKD 10,000 in the current year, down from HKD 19,600 in 2022[65] - The company has not purchased, sold, or redeemed any of its listed securities during the year[66] - The company has arranged appropriate directors and officers liability insurance to protect against legal liabilities incurred while performing their duties[67] - The company has maintained a public float of at least 25% of its issued shares as of December 31, 2023[68] - The financial statements for the year have been audited by KPMG[69] - The company has entered into a financing agreement with a bank for a revolving loan facility of up to HKD 300,000,000 on May 23, 2023[87] - A subsequent financing agreement was established on November 16, 2023, for a revolving loan facility of up to USD 35,000,000[88] - The company has entered into a supplementary service agreement with a related party to provide various services, including logistics management and IT consulting[91] - The company has agreed to provide investment management services to 兴业证券集团 with a proposed maximum amount of HKD 37 million, HKD 75 million, and HKD 112 million for the years ending December 31, 2022, 2023, and 2024 respectively[92] - The company will also provide investment advisory services to 兴业证券集团 with a proposed maximum amount of HKD 20 million, HKD 26 million, and HKD 30 million for the same three years[92]

Financial Performance - The pre-tax profit for 2023 was HKD 73,157,762, a significant recovery from a loss of HKD 305,283,511 in 2022[8] - The company reported a basic earnings per share of HKD 13.64 for 2023, recovering from a loss of HKD 74.35 per share in 2022[8] - The net profit for 2023 was HKD 54,564,283, a turnaround from a loss of HKD 297,402,416 in 2022[44] - The total comprehensive income for 2023 amounted to HKD 129,064,496, compared to a loss of HKD 392,320,270 in 2022[44] - Total revenue for 2023 reached HKD 543,354,617, a significant increase from HKD 258,004,188 in 2022, representing a growth of approximately 110.5%[43] Revenue Breakdown - Commission and fee income decreased to HKD 166,897,751 in 2023 from HKD 223,210,519 in 2022, a decline of about 25.2%[43] - Interest income surged to HKD 121,850,597 in 2023, compared to HKD 49,393,205 in 2022, marking an increase of approximately 146.3%[43] - The total amount raised in the primary market for Hong Kong equity fundraising was HKD 150.7 billion, a significant decrease of 40.70% year-on-year[137] - The average daily trading volume in the secondary market for Hong Kong stocks was HKD 105 billion, reflecting a year-on-year decline of 15.93%[137] Assets and Liabilities - The company's total assets increased to HKD 15,957,305,356 in 2023 from HKD 11,928,645,856 in 2022, reflecting a growth of approximately 33.4%[35] - Total liabilities rose to HKD 11,521,766,372 in 2023, up from HKD 6,397,295,638 in 2022, indicating an increase of about 80.5%[35] - The net asset value for 2023 was HKD 4,435,538,984, down from HKD 5,531,350,218 in 2022, a decrease of approximately 19.8%[35] - The group's total assets grew by 32.71% to HKD 16,552.02 million as of December 31, 2023, compared to HKD 12,472.18 million in the previous year[177] - The group's total liabilities increased by 46.60% to HKD 12,428.08 million as of December 31, 2023, up from HKD 8,477.30 million in the previous year[177] Employee Costs - Employee costs increased to HKD 196,919,115 in 2023 from HKD 160,103,290 in 2022, reflecting a rise of approximately 23%[1] - As of December 31, 2023, the group employed 230 full-time employees, an increase from 193 employees in the previous year, with total compensation amounting to HKD 196.92 million, up from HKD 160.10 million[183] Impairment and Losses - The impairment loss on collateralized margin loans decreased dramatically to HKD 6,417,671 in 2023 from HKD 81,936,022 in 2022, indicating a reduction of about 92%[4] - The company reported a financial asset impairment loss of HKD 8,416,652 in 2023, a significant reduction from HKD 82,462,673 in 2022[43] - The group recorded a pre-tax loss of HKD 305,283,511 for the year, with significant losses in various segments including asset management and financial products[75] Taxation - The tax expense for 2023 was HKD 18,593,479, compared to a tax credit of HKD 7,881,095 in 2022, indicating a turnaround in tax position[8] - The company reported a current year Hong Kong profits tax of HKD 5,972,862, a substantial increase from HKD 19,354 in the previous year[23] - Deferred tax for the current year amounted to HKD 12,660,544, compared to a negative HKD 11,874,070 in the previous year, indicating a significant turnaround[23] Risk Management - The company aims to strictly control outstanding receivables and monitor credit risk to mitigate potential losses[12] - The group has established a comprehensive risk management structure involving the board, management, and risk management committees to oversee and guide risk management efforts[187] - The group has implemented strict liquidity management measures, including daily monitoring reports and liquidity stress tests, to ensure compliance with capital requirements[192] - The group has developed policies to monitor and control market risks associated with new transactions and business launches[193] Strategic Initiatives - The company plans to offset certain accounts receivable and payable when it has legal rights to do so, indicating a strategic approach to managing its financial position[18] - The group will continue to enhance its professional development and improve profitability through wealth management business transformation and optimizing customer and revenue structure[180] - The group aims to maintain growth in its debt financing business by focusing on high-quality project issuances and enhancing its underwriting ranking[180] - The group continues to focus on enhancing its asset management capabilities and expanding its product offerings[180] Dividends - The company did not recommend any final dividend for the year ended December 31, 2023, consistent with the previous year[104] - The group has not proposed any final dividends for the year ending December 31, 2023[200]

Financial Performance - For the six months ended June 30, 2023, the company recorded sponsorship fee income of HKD 3.34 million, a year-on-year increase of 102.42% from HKD 1.65 million in 2022[15]. - The company achieved a profit of HKD 140.32 million from financial products and investments, compared to a loss of HKD 22.99 million in 2022, representing a year-on-year growth of 710.35%[16]. - For the six months ending June 30, 2023, the company reported total revenue of HKD 251,335,997, with brokerage commission and fee income contributing HKD 63,864,439 and interest income contributing HKD 46,076,263[68]. - Total revenue for the six months ended June 30, 2023, was HKD 251,335,997, compared to HKD 93,195,343 for the same period in 2022, indicating a significant increase[89]. - The company reported a profit attributable to ordinary shareholders of HKD 62,193,981 for the six months ended June 30, 2023, compared to a loss of HKD 198,345,423 for the same period in 2022, indicating a significant turnaround in performance[96]. - The pre-tax profit for the period was HKD 74,893,259, reflecting the overall performance across various segments[68]. - The total comprehensive income for the period was HKD 85,113,973, a recovery from a total comprehensive loss of HKD 206,170,874 in the same period last year[120]. Cash Flow and Liquidity - The company's net cash outflow for the six months ended June 30, 2023, was HKD 635.41 million, significantly improved from a net outflow of HKD 2,755.01 million as of December 31, 2022[19]. - The company reported a net cash inflow from operating activities of HKD 12,299,366 for the six months ended June 30, 2023, compared to a net cash outflow of HKD 862,795,844 in the previous year[154]. - The financing activities resulted in a net cash inflow of HKD 641,715,960, contrasting with a net cash outflow of HKD 112,141,494 in the prior year[154]. - The company is committed to maintaining strict liquidity management measures, including daily monitoring and future cash flow forecasting[47]. - The liquidity risk management framework is in place to identify, monitor, and mitigate potential liquidity risks, ensuring compliance with applicable legal requirements[46]. Assets and Liabilities - As of June 30, 2023, total liabilities increased by 28.80% to HKD 10,918.54 million from HKD 8,477.30 million as of December 31, 2022[18]. - Current assets increased from HKD 11,928,645,856 as of December 31, 2022, to HKD 14,555,848,751 as of June 30, 2023, representing an increase of about 22.0%[108]. - Total liabilities rose from HKD 6,397,295,638 as of December 31, 2022, to HKD 10,002,511,805 as of June 30, 2023, marking an increase of approximately 56.0%[109]. - The company's total equity as of June 30, 2023, was HKD 4,079,991,675, reflecting a decrease from HKD 3,994,877,702 at the beginning of the year[150]. - The total assets amounted to HKD 4,688,437,943, an increase from HKD 2,843,382,488 as of December 31, 2022, representing a growth of approximately 64.7%[170]. Investment and Financing Activities - The company adopted a conservative investment strategy, primarily allocating to investment-grade bonds and maintaining a short to medium duration position[16]. - The company is actively exploring and broadening its financing channels, including bank loans and bond issuance, to meet its financing needs[47]. - The company secured a non-committal revolving loan facility of up to HKD 300 million on October 21, 2022, and up to USD 30 million on June 13, 2023, with a requirement to maintain at least 51% equity ownership[38][39]. - The company extracted HKD 1,750,000,000 from a total bank credit facility of HKD 7,437,000,000 as of June 30, 2023, compared to HKD 1,000,000,000 extracted from HKD 8,316,000,000 as of December 31, 2022[192]. Compliance and Risk Management - The company has established a compliance management policy to ensure adherence to regulatory requirements and promote a strong compliance culture[50]. - The company continues to enhance its reputation risk management system, ensuring no significant reputation risk events occurred during the reporting period[31]. Market Position and Recognition - The company was officially included in the MSCI Hong Kong Micro Cap Index on May 31, 2023[11]. - The company ranked 18th among Chinese brokers in total equity financing amount, including stock underwriting, with a total of USD 1.24 million[15]. - The Hong Kong Stock Exchange launched a dual counter model for HKD and RMB, which is expected to strengthen Hong Kong's position as an offshore RMB center[10].

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之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不對因本公告全部或任何部 份內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 China Industrial Securities International Financial Group Limited 興證國際金融集團有限公司 （於開曼群島註冊成立之有限公司） 6058 （股份代號： ） 截至二零二三年六月三十日止六個月 中期業績公告 興證國際金融集團有限公司（「本公司」）董事會（「董事會」）宣佈本公司及其附屬公司 （統稱「本集團」）截至二零二三年六月三十日止六個月之未經審核簡明綜合業績， 連同比較數字如下： ...

Financial Performance - The company reported a total revenue of HKD 258.00 million for the year ended December 31, 2022, a decrease of 59.5% compared to HKD 636.37 million in 2021[21]. - The net loss for the year was HKD 297.40 million, a significant decline of 841.8% from a profit of HKD 40.09 million in the previous year[21]. - Brokerage commission and fee income fell by 25.1% to HKD 157.80 million, while corporate finance service income dropped by 44.7% to HKD 45.71 million[9]. - The group's operating revenue for the year ended December 31, 2022, was HKD 258.00 million, a decrease of 59.46% compared to HKD 636.37 million in 2021[30]. - The group reported a net loss after tax of HKD 297.40 million for the year ended December 31, 2022, compared to a net profit of HKD 40.09 million in 2021[30]. - Revenue from brokerage services decreased by 25.15%, corporate finance services by 44.67%, asset management services by 40.48%, margin financing services by 68.52%, and financial products and investment business by 97.81%[30]. Assets and Liabilities - Total assets decreased by 25.7% to HKD 12.47 billion from HKD 16.79 billion in 2021[14]. - The company's equity attributable to ordinary shareholders declined by 11.6% to HKD 2.99 billion[14]. - As of December 31, 2022, total assets decreased by 25.74% to HKD 12,472.18 million from HKD 16,794.80 million in 2021[42]. - The group's total liabilities decreased by 31.68% to HKD 8,477.30 million from HKD 12,407.61 million in the previous year[42]. Economic Impact - The Hong Kong economy contracted by 3.5% in 2022, impacting the capital markets significantly[21]. - The Hang Seng Index and the Hang Seng China Enterprises Index fell by 15.5% and 18.59% respectively during the year[21]. - Despite challenges, the mainland China's GDP grew by 3% in 2022, highlighting a stable economic performance compared to other major economies[21]. - The average daily trading volume of Hong Kong stocks decreased by 25.08% to HKD 124.9 billion in 2022[32]. Business Strategy and Goals - The group aims to enhance its international professional platform and strengthen its wealth management and institutional business pillars in 2023[26]. - The group plans to optimize its internal sales resources and upgrade its institutional business development model in 2023[26]. - The group will continue to focus on compliance and strict risk control while enhancing revenue and profit structure in 2023[26]. Awards and Recognition - The group has received multiple awards, including the Bloomberg Businessweek 2022 Wealth Management "Outstanding Award" and the "Best Wealth Management Award" from Zhitong Finance[35]. Risk Management - The group has established a comprehensive risk management framework involving the board of directors, management, risk management committee, and various departments to ensure effective risk control[52]. - The group has implemented a three-line defense risk management structure to enhance the efficiency and effectiveness of risk management operations[53]. - The group closely monitors credit risk exposure and conducts regular stress tests to mitigate potential losses from credit defaults[55]. - The liquidity risk management system is in place to ensure sufficient funds are available to meet obligations and operational needs[56]. - The group has set market risk limits and regularly reviews market strategies to adapt to changes in performance and market conditions[59]. - The operational risk management framework aims to reduce the frequency and impact of operational risk events through robust internal controls and procedures[60]. - Business continuity management mechanisms are established to ensure stable operations during unexpected events[61]. - The group has established a robust compliance and legal risk management framework, continuously monitoring and optimizing policies to align with changing regulations[63]. Corporate Governance - The company emphasizes high standards of business ethics and corporate governance in all its operations[152]. - The board consists of seven members, with three being female, reflecting a gender diversity policy[164]. - The company has adopted a board diversity policy to enhance effectiveness, considering factors such as gender, age, and professional experience[164]. - The company has adhered to the corporate governance code throughout the year[151]. - The board is responsible for overseeing the effectiveness of the group's risk management and internal control systems[191]. Shareholder Communication - The company emphasizes effective communication with shareholders through annual and special general meetings, providing a platform for dialogue with the board[196]. - The company maintains a commitment to transparency, ensuring shareholders have access to accurate and comprehensive information[194]. - Shareholder communication policies are designed to facilitate active engagement and informed decision-making by shareholders[194]. Dividends and Remuneration - The company did not declare any dividends for the year, maintaining a basic loss per share of HKD 0.0744[9]. - The board did not recommend any final dividend for the year ended December 31, 2022, consistent with the previous year[90]. - The company has adopted a dividend policy ensuring that the total annual dividend will not be less than 40% of the net profit attributable to the owners for that year[197]. - The remuneration policy for directors includes salary, pension contributions, and other benefits, reviewed regularly based on market levels and company performance[112]. Financing Agreements - The company has established multiple financing agreements over the years, indicating a reliance on external financing to support operations and growth[115][116][117][120]. - The company is actively managing its financing structure to ensure compliance with ownership requirements to avoid defaults[119][120].

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之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不對因本公告全部或任何部 分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 China Industrial Securities International Financial Group Limited 興證國際金融集團有限公司 （於開曼群島註冊成立之有限公司） 6058 （股份代號： ） 截至二零二二年十二月三十一日止年度的 全年業績公告 業績 興證國際金融集團有限公司（「本公司」）董事（「董事」）會（「董事會」）宣佈本公司及其 附屬公司（統稱為「本集團」）於截至二零二二年十二月三十一日止年度之綜合業績， 連同截至二零二一年十二月三十一日止年度之比較數字如下： ...

Financial Performance - Total revenue for the six months ended June 30, 2022, was HKD 93,195,343, a decrease from HKD 425,750,172 in the same period of 2021[15] - The company reported a loss of HKD 198,345,423 for the six months ended June 30, 2022, compared to a profit of HKD 53,831,260 in the same period of 2021[15] - Commission and fee income decreased to HKD 100,560,756 from HKD 151,048,768 year-on-year, representing a decline of approximately 33.4%[15] - Interest income for the period was HKD 18,595,371, down from HKD 73,719,676 in the previous year, indicating a decrease of about 74.8%[15] - The company incurred total operating expenses of HKD 80,873,385, compared to HKD 92,955,332 in the prior year, reflecting a reduction of approximately 13%[15] - The basic loss per share for the period was HKD (0.0496), compared to earnings per share of HKD 0.0135 in the same period last year[15] - The company’s total comprehensive loss for the period amounted to HKD 206,170,874, contrasting with a total comprehensive income of HKD 53,831,260 in the prior year[15] - Total revenue and other income for the six months ended June 30, 2022, was HKD 100,560,756, a decrease of 33.5% from HKD 151,048,768 in the same period of 2021[46] - The company reported a pre-tax loss of HKD 198,903,690 for the six months ended June 30, 2022, compared to a pre-tax profit of HKD 62,405,692 in the previous year[62] - The company reported a loss attributable to ordinary shareholders of HKD (198,345,423) for the six months ended June 30, 2022, compared to a profit of HKD 53,831,260 for the same period in 2021[69] Assets and Liabilities - Non-current assets decreased from HKD 76,002,382 to HKD 55,135,437, a decline of approximately 27.4%[19] - Accounts receivable increased significantly from HKD 1,518,484,994 to HKD 2,051,743,599, representing a growth of about 35%[19] - Current liabilities decreased from HKD 10,039,601,724 to HKD 10,514,235,059, an increase of approximately 4.7%[19] - Total equity decreased from HKD 4,387,197,972 to HKD 4,181,027,098, a decline of around 4.7%[22] - Cash and cash equivalents decreased from HKD 5,458,957,080 to HKD 4,479,497,967, a reduction of approximately 17.9%[19] - The company's net asset value decreased from HKD 6,393,158,345 to HKD 6,207,344,193, a decline of about 2.9%[19] - The company’s total liabilities increased from HKD 10,039,601,724 to HKD 10,514,235,059, an increase of about 4.7%[19] - The company’s deferred tax assets increased from HKD 121,593,827 to HKD 126,135,961, an increase of approximately 3.5%[19] - Total assets increased by 1.62% to HKD 17,066.22 million, while total liabilities rose by 3.85% to HKD 12,885.19 million as of June 30, 2022[162] Cash Flow and Financing - For the six months ended June 30, 2022, the net cash used in operating activities was HKD (862,795,844), compared to HKD (692,946,987) for the same period in 2021, representing an increase of approximately 24.5%[32] - The net cash used in financing activities was HKD (112,141,494), a significant decrease from HKD 2,562,504,287 in the same period of 2021[32] - The company raised bank loans amounting to HKD 750,000,000 during the period, compared to HKD 44,694,144,990 in the previous year[32] - The company reported a decrease in interest paid, which was HKD (55,092,067) compared to HKD (116,402,907) in the previous year, indicating a reduction of approximately 52.7%[32] - The company’s cash flow from operating activities included interest received of HKD 112,368,113, down from HKD 181,735,906 in the previous year, a decrease of approximately 38.2%[32] Revenue Breakdown - Brokerage service revenue decreased by 43.63% to HKD 68.43 million, primarily due to low investor trading activity amid market volatility[152] - Corporate finance revenue increased by 27.13% to HKD 20.43 million, driven by a 68.76% rise in debt securities placement and underwriting commissions[156] - Asset management revenue fell by 13.77% to HKD 11.71 million, with total assets under management at HKD 7,295 million as of June 30, 2022[157] - Loan and financing revenue dropped by 76.12% to HKD 15.62 million, reflecting a strategic reduction in low-quality margin financing[158] - Financial products and investment recorded a loss of HKD 22.99 million, a decline of 110.99% from a profit of HKD 209.28 million in 2021[159] Risk Management and Compliance - The group maintains a neutral and prudent risk appetite, focusing on sustainable development and compliance with risk control standards[175] - The group emphasizes the importance of a comprehensive risk management framework, which includes a three-line defense model to ensure effective risk management execution[177] - The group has established liquidity risk management policies to identify, monitor, and mitigate potential liquidity risks, ensuring compliance with applicable legal requirements[179] - The group faces market risks related to adverse changes in exchange rates, interest rates, and financial asset prices, with established policies to monitor and control these risks[184] - The group has implemented an operational risk management framework to reduce the frequency and impact of operational risk events, covering all departments and personnel[185] - The compliance management framework includes three lines of defense to ensure adherence to legal regulations and to provide compliance advice for various business plans[189] Shareholder Information - As of June 30, 2022, the largest shareholder, 兴证（香港）金融控股有限公司, holds 2,077,337,644 shares, representing 51.93% of the total shares[198] - 嘉实资本管理有限公司 and its affiliates collectively hold 293,232,000 shares, accounting for 7.33% of the total shares[198] - China Credit Trust Co., Ltd holds 40% of the total issued share capital of Jiashi Fund Management Co., Ltd[199] - Jiashi Fund Management Co., Ltd holds 75% of the total issued share capital of Jiashi Capital Management Co., Ltd[199] - Chen Jiaquan owns 70% of the total issued share capital of Chongye Holdings Limited[199] - Chen Jiaquan is the sole director of Haokang Financial Holdings Group Limited[199] - Yang Zhiying is considered to have an interest in all shares owned by Chen Jiaquan according to the Securities and Futures Ordinance[200]

Financial Performance - The company achieved a total revenue of HKD 636.37 million for the year ended December 31, 2021, representing a 10.3% increase from HKD 576.70 million in 2020[25]. - The net profit for the year was HKD 40.09 million, a significant turnaround from a net loss of HKD 492.54 million in 2020, marking an increase of 108.1%[25]. - Commission and fee income from brokerage services rose to HKD 210.82 million, up 14.0% from HKD 184.97 million in the previous year[9]. - Income from corporate finance services decreased by 36.1% to HKD 82.62 million, down from HKD 129.28 million in 2020[9]. - Interest income from loans and financing services fell by 36.6% to HKD 95.61 million, compared to HKD 150.83 million in 2020[9]. - The net profit margin improved to 6.3% from a negative 85.4% in the previous year, reflecting a 91.7% change[18]. - The return on equity (ROE) for the year was 1.2%, a significant recovery from a negative 13.6% in 2020[18]. - The group achieved a revenue of HKD 636.37 million for the year ended December 31, 2021, representing a year-on-year increase of 10.3% from HKD 576.70 million in 2020[35]. - The net profit after tax for the group was HKD 40.09 million, a significant recovery from a net loss of HKD 492.54 million in 2020[35]. - Brokerage service revenue increased by 14.0% to HKD 210.82 million, up from HKD 184.97 million in the previous year[40]. - The group's asset management business saw a 12.5% increase in revenue, while corporate financing services revenue decreased by 36.1%[35]. - The group's financial products and investment income surged by 160.6% to HKD 214.22 million, compared to HKD 82.20 million in 2020[46]. Asset and Liability Management - The company's total assets decreased by 8.0% to HKD 16.79 billion from HKD 18.26 billion in the previous year[18]. - The total underwriting amount for USD bonds was USD 1,363 million, with a market share of 0.66%, representing a growth of 19.38% year-on-year, ranking 7th among Chinese brokers[41]. - Total assets decreased by 8.0% to HKD 16,794.80 million, while total liabilities decreased by 16.8% to HKD 12,407.61 million as of December 31, 2021[47]. - The capital-to-equity ratio decreased by approximately 43.1% to 1.181, down from 2.076 in the previous year[50]. - The group's net cash inflow was HKD 3,172.73 million, a significant improvement from a cash outflow of HKD 3,073.73 million in 2020[48]. Business Strategy and Development - The group plans to optimize its business structure and aims for sustainable growth in revenue and profit, aligning with the national "14th Five-Year Plan"[30]. - The group plans to enhance its business development, focusing on wealth management and institutional business, while exploring alternative investment opportunities[51]. - The group has established a neutral and moderately conservative internal control management culture, enhancing its operational service capabilities through financial technology[27]. Risk Management - The group has established a comprehensive risk management framework involving the board of directors, management, risk management committee, and various departments to ensure effective risk control[60]. - The group implements a risk appetite and limit management system, maintaining a neutral to conservative risk preference to identify and assess potential risks related to credit, liquidity, market, and operations[60]. - The group closely monitors credit risk exposure and conducts regular stress tests to mitigate potential losses from clients failing to meet obligations[61]. - The liquidity risk management system is designed to identify, monitor, and mitigate potential liquidity risks, ensuring compliance with applicable legal requirements[64]. - The group actively manages market risk by setting limits and regularly reviewing market strategies to adapt to changes in performance and market conditions[65]. - The group has implemented an operational risk management framework that covers all departments and activities, ensuring that operational risks are monitored and controlled[67]. Corporate Governance - The board of directors consists of seven members, including one non-executive director, three executive directors, and three independent non-executive directors[157]. - The company has complied with the corporate governance code, with the exception of a few deviations noted during the year[153]. - The audit committee has reviewed the audited consolidated financial statements for the year ended December 31, 2021[149]. - The company has established a code of conduct for directors' securities trading, confirming compliance with the standard code[173]. - The chairman and CEO roles are clearly separated, with distinct responsibilities outlined in writing[167]. - The company has adopted a board diversity policy considering factors such as gender, age, cultural background, and professional experience[164]. - The audit committee includes one non-executive director and two independent non-executive directors, ensuring compliance with corporate governance standards[176]. Human Resources - The total number of full-time employees increased to 210, with total compensation amounting to HKD 159.93 million, down from HKD 169.96 million in 2020[55]. - The company provides necessary training for newly appointed directors to ensure understanding of operations and responsibilities[168]. - The remuneration committee reviewed the compensation of directors and made recommendations regarding service contracts for two executive directors[181]. Related Party Transactions - The company has ongoing related party transactions with 兴证（深圳） and has adhered to pricing policies as per the relevant guidelines[134]. - The company has extended the service agreement with 兴证（深圳） for an additional three years, with proposed annual caps of HKD 59 million, HKD 94 million, and HKD 145 million for the years ending December 31, 2022, 2023, and 2024 respectively[129]. - The company has confirmed compliance with the non-competition agreement established with its controlling shareholders[138]. Leadership and Management - Mr. Huang, appointed as a non-executive director, has over 21 years of experience in the financial services industry[75]. - Mr. Li, the CEO, has over 18 years of experience in the financial services sector and has held multiple key positions in various subsidiaries[77]. - Ms. Zeng, with over 15 years of experience in financial services, previously served as the Chief Financial Officer of the company[81]. - Ms. Zhang, appointed as the Chief Financial Officer, has over 13 years of experience in the financial services industry[82]. - Ms. Hong, an independent non-executive director, has over 43 years of experience in the accounting industry[86]. - Mr. Tian, an independent non-executive director, has over 21 years of experience in the financial services sector[87].

Financial Performance - Total revenue for the six months ended June 30, 2021, was HKD 425,750,172, an increase of 4.5% compared to HKD 405,921,643 for the same period in 2020[11]. - Customer commission and fee income decreased to HKD 151,048,768, down 15.2% from HKD 177,879,148 in the previous year[11]. - Interest income fell to HKD 73,719,676, a decrease of 25.5% compared to HKD 99,064,775 in 2020[11]. - Investment income and net gains amounted to HKD 200,981,728, an increase of 55.8% from HKD 128,977,720 in the prior year[11]. - The group reported a profit before tax of HKD 62,405,692, compared to a loss of HKD 324,501,345 in the same period last year[11]. - The net profit for the period was HKD 53,831,260, a significant recovery from a loss of HKD 285,841,245 in 2020[11]. - Basic earnings per share for the period was HKD 0.0135, compared to a loss per share of HKD 0.0715 in the previous year[11]. - The pre-tax profit for the period was HKD 62,405,692, a significant recovery from a pre-tax loss of HKD 324,501,345 in the previous year[57]. - Net profit turned positive at HKD 53.83 million, a significant increase of HKD 339.67 million year-on-year[161]. Assets and Liabilities - Non-current assets decreased to HKD 363,884,298 from HKD 455,303,277 as of December 31, 2020[15]. - Current assets increased significantly, with accounts receivable rising to HKD 6,347,443,645 from HKD 3,481,413,395[15]. - Total liabilities increased to HKD 13,933,099,679 from HKD 12,576,672,689 as of December 31, 2020[15]. - As of June 30, 2021, the company's net asset value increased to HKD 4,400,935,593 from HKD 3,347,104,333 as of December 31, 2020, representing a growth of approximately 31.4%[18]. - The total equity attributable to the owners of the company improved to HKD 4,400,935,593, compared to HKD 3,347,104,333 in the previous year, indicating a significant recovery in financial health[23]. - The total liabilities as of June 30, 2021, included bonds of HKD 2,341,150,134, which were not present in the previous year's report, indicating new debt issuance[18]. - The cumulative losses decreased to HKD (832,979,496) from HKD (886,810,756) year-over-year, showing a reduction in accumulated losses[23]. - The company’s total reserves amounted to HKD 3,400,935,593 as of June 30, 2021, compared to HKD 3,347,104,333 at the beginning of the year, reflecting a slight increase in overall reserves[23]. - Total assets increased by 25.93% to HKD 22,999.41 million as of June 30, 2021[172]. - Total liabilities rose by 24.68% to HKD 18,598.47 million as of June 30, 2021[172]. Cash Flow and Financing - The company reported a net cash outflow from operating activities of HKD (692,946,987) for the six months ended June 30, 2021, compared to HKD (104,129,975) in the same period of 2020, reflecting a deterioration in cash flow management[28]. - Financing activities generated a net cash inflow of HKD 2,562,504,287, a substantial increase compared to a net cash outflow of HKD (375,595,286) in the previous year, indicating improved financing conditions[28]. - The company issued perpetual securities amounting to HKD 1,000,000,000 during the reporting period, enhancing its capital structure[28]. - The company’s cash and cash equivalents at the end of the reporting period stood at HKD 4,154,195,135, down from HKD 4,841,244,697 a year earlier, indicating a decline in liquidity[28]. - The group reported accounts payable to the immediate holding company of HKD 2,290,734,000 as of June 30, 2021, slightly up from HKD 2,286,899,000 as of December 31, 2020[107]. - The group issued a three-year secured bond of $300 million in February 2021, with net proceeds used to repay short-term bank loans[174]. Revenue Segments - The brokerage segment continues to be a key revenue driver, with significant contributions from securities and futures brokerage commissions[54]. - The brokerage segment generated revenue of HKD 121,543,353, while the asset management segment contributed HKD 23,873,717, indicating strong performance across divisions[55]. - User data showed a notable increase in client activity, with brokerage revenue rising from HKD 83,964,664 in the first half of 2020 to HKD 121,403,047 in the first half of 2021, marking a growth of approximately 44.4%[59]. - Corporate finance revenue decreased by 80.85% to HKD 16.07 million, primarily due to intensified industry competition and a strategic shift to improve project quality[165]. - Asset management revenue grew by 35.82% to HKD 13.58 million, with total assets under management increasing by 27.73% to HKD 9,334 million[167]. - Financial products and investment revenue rose by 40.32% to HKD 209.28 million, attributed to a conservative investment strategy amid market uncertainties[169]. Risk Management - The group maintains a neutral to conservative risk appetite and emphasizes strict internal control management to support business development amid economic uncertainties[175]. - The group has established a comprehensive risk management framework, including a three-line defense model to ensure effective risk management execution[183]. - The group actively monitors credit risk and has implemented a tiered authorization mechanism for credit approvals to mitigate potential losses[187]. - The group has developed liquidity risk management policies to ensure sufficient funding for obligations and business operations, utilizing various financing channels[188]. - The group has established policies and procedures to monitor and control market risks, including interest rates, exchange rates, stock prices, and commodity prices[190]. Management and Governance - The remuneration and short-term benefits for key management personnel increased from HKD 14,173,461 to HKD 24,142,616, representing a growth of approximately 70%[150]. - The group has established a reputation risk management mechanism to identify, assess, and mitigate potential reputation risks, ensuring no major reputation risk events occurred during the reporting period[196]. - As of June 30, 2021, the group’s directors and senior management held shares in the company, with Huang Yilin owning approximately 0.06% (2,264,384 shares) and Wang Xiang owning approximately 0.20% (8,131,197 shares)[199].