Employee Management and Development - The Group emphasizes the importance of employees as key assets for sustainable business development, offering competitive salaries and comprehensive benefits to attract and retain talent[1] - The remuneration package for employees includes salary, discretionary bonuses, and other cash subsidies to attract and retain talent[16] - The Group conducts annual salary and promotion reviews to attract and retain employees[90] - The Group is focused on enhancing employee loyalty and morale through various training programs[90] - As of March 31, 2024, the Group had 58 full-time employees, an increase from 54 as of March 31, 2023, primarily due to more project staff[90] - Total staff costs for FY2024 were approximately HK$37.2 million, compared to approximately HK$31.4 million in FY2023, indicating an increase of about 18.3%[90] Customer and Supplier Relationships - The Group maintains strong relationships with major customers, prioritizing reputable clients to secure future business opportunities and enhance job references[3] - Despite customer concentration, the Group believes its business model remains sustainable, allowing for service expansion to other customers[3] - The Group has established stable relationships with suppliers and subcontractors to effectively meet customer needs, ensuring fair procurement processes[3] - The Group's largest customer contributed approximately 51.7% of total revenue, with the top five customers accounting for 94.8%[17] - The Group's largest supplier accounted for approximately 18.1% of total procurement, while the top five suppliers accounted for 34.4% in the fiscal year 2024[17] Financial Performance - For FY2024, the Group recognized a significant increase in revenue of approximately HK$52.0 million or 27.3% compared to the prior financial year[42] - The total revenue for the year ended March 31, 2024, was HK$242,638,000, up from HK$190,621,000 in 2023, marking a significant growth[99] - Gross profit increased from approximately HK$12.8 million in FY2023 to approximately HK$26.4 million in FY2024, with the gross profit margin improving from approximately 6.7% to approximately 10.9%[84] - The Group's net profit for FY2024 was approximately HK$3.3 million, compared to a net loss of approximately HK$8.1 million in the previous year[87] - The Group confirmed other income, gains, and losses net of approximately HK$1.7 million in FY2024, compared to approximately HK$1.6 million in FY2023, including bank interest income of approximately HK$1.2 million[86] Project Management and Operations - The construction progress of the Group's key projects returned to normal during the Year after the lifting of COVID-19 restrictions[42] - The Group will maintain a prudent approach on bidding new projects while focusing on enhancing work quality, safety, and cost control[42] - The Group plans to periodically review its backlog and proactively seek potential opportunities for business expansion[42] - The Group had 15 projects in progress with a total original contract sum of approximately HK$704.4 million as of 31 March 2024[74] - The outstanding value of projects on hand was approximately HK$327.2 million, down from approximately HK$440.1 million as of 31 March 2023[61] Market Conditions and Future Outlook - The Group expects sustained competition in the local construction market due to global economic uncertainty and high interest rates affecting demand[42] - The number of residential and commercial property development projects in the Hong Kong market has decreased due to a glut of unsold units[42] - The construction industry in Hong Kong is expected to present long-term opportunities despite current global economic uncertainties[63] - Future outlook remains positive with anticipated growth in both residential and public facility sectors[102] - The Chief Executive's 2023 Policy Address highlighted commitments to land and housing supply, which are expected to drive growth in the construction sector[63] Corporate Governance and Compliance - There were no material breaches of applicable laws and regulations that significantly impacted the Group's business operations during the year[4] - The Company maintained the prescribed minimum public float for its shares as required under the Listing Rules throughout the year[5] - The Company has received annual confirmation of independence from each of the independent non-executive Directors[129] - The Company is committed to achieving a high level of corporate governance standards to safeguard shareholder interests and enhance corporate value[168] - The Company has adopted the Model Code for Securities Transactions by Directors to ensure compliance with securities transaction regulations[157] Share Capital and Securities - The total number of issued shares as of March 31, 2024, was 2,000,000,000[11] - The maximum limit of banking facilities available to the Group was approximately HK$114.7 million, with approximately HK$11.9 million utilized for performance guarantees as of 31 March 2024[88] - The Group's gearing ratio was zero as of 31 March 2024, down from approximately 23.5% as of 31 March 2023[88] - The Company did not issue any debentures during the Year[136] - The Board does not recommend the payment of a final dividend for the Year, consistent with the previous year where no dividend was paid[124]

Financial Performance - Revenue for the year ended March 31, 2024, was HKD 242,638 thousand, representing a 27.3% increase from HKD 190,621 thousand in the previous year[2]. - Gross profit for the same period was HKD 26,393 thousand, up from HKD 12,819 thousand, indicating a significant improvement in profitability[2]. - The company reported a profit before tax of HKD 3,929 thousand, compared to a loss of HKD 8,109 thousand in the prior year, marking a turnaround in financial performance[2]. - Net profit for the year was HKD 3,320 thousand, a recovery from a loss of HKD 8,102 thousand in the previous year[2]. - Basic earnings per share for the year were HKD 0.17, compared to a loss per share of HKD 0.41 in the previous year[2]. - The group’s net profit for the fiscal year was approximately HKD 3.3 million, compared to a net loss of approximately HKD 8.1 million in the previous year[98]. - The gross profit for fiscal year 2024 was approximately HKD 26,400,000, up from about HKD 12,800,000 in fiscal year 2023, resulting in a gross margin improvement from 6.7% to 10.9%[91]. Assets and Liabilities - Total assets as of March 31, 2024, amounted to HKD 162,864 thousand, slightly up from HKD 155,587 thousand in the previous year[5]. - Current liabilities were reported at HKD 44,453 thousand, a decrease from HKD 45,015 thousand in the previous year[5]. - The company's net asset value increased to HKD 125,781 thousand from HKD 122,461 thousand year-over-year[5]. - The company reported a total contract liability of HKD (19,319) in 2024, compared to HKD (943) in 2023, indicating a significant increase in liabilities[38]. - Contract liabilities rose sharply to HKD (25,338,000) in 2024 from HKD (2,119,000) in 2023, reflecting a significant increase in obligations[59]. - The company's asset-liability ratio as of March 31, 2024, was 0%, compared to approximately 23.5% on March 31, 2023, indicating no bank borrowings were utilized[135]. Revenue Sources - The group reported revenue from external customers in Hong Kong for facade engineering and building metal finishing services, with a fair value of recognized amounts of HKD 125,293 thousand in 2024 compared to HKD 38,867 thousand in 2023, indicating a significant increase[25][28]. - The group’s total revenue from facade engineering and building metal finishing services is primarily derived from fixed-price contracts with major property developers and general contractors in Hong Kong[27]. - The company’s revenue from design, supply, and installation services for exterior wall projects was HKD 151,755 in 2024, down from HKD 162,650 in 2023[41]. - Total revenue from external customers was entirely derived from clients located in Hong Kong[42]. - The company’s income from residential properties increased to HKD 145,974,000 in fiscal year 2024, representing 60.2% of total revenue, compared to HKD 96,455,000 or 50.6% in fiscal year 2023[90]. Costs and Expenses - The total employee costs increased to HKD 37,246 thousand in 2024 from HKD 31,361 thousand in 2023, reflecting a rise of approximately 18%[33]. - The group’s operating and administrative expenses for the fiscal year were approximately HKD 22.9 million, an increase of approximately HKD 1.1 million or 5.1% from approximately HKD 21.8 million in the previous year[114]. - Financing costs rose to HKD 1,446 thousand in 2024 from HKD 1,311 thousand in 2023, representing an increase of about 10%[32]. - The actual interest rate on floating bank loans for fiscal year 2024 ranged from 6.0% to 7.8%, compared to 4.6% to 7.7% in fiscal year 2023[83]. Contracts and Projects - The company secured 12 new projects during the year, with a total contract value of approximately HKD 92.1 million, including 7 facade engineering projects and 5 building metal facade projects[87]. - The group had 15 ongoing projects with a total contract value of approximately HKD 704.4 million as of March 31, 2024[104]. - The company has secured two new contracts totaling approximately HKD 88.5 million after March 31, 2024[76]. Governance and Compliance - The company has established an audit committee consisting of three independent non-executive directors to ensure compliance with corporate governance standards[131]. - The company has consistently adhered to the corporate governance code throughout the year, with ongoing reviews to enhance governance policies[160]. - The company has not declared a final dividend for the current fiscal year, consistent with the previous fiscal year[132]. Employee and Staffing - As of March 31, 2024, the company had 58 full-time employees, an increase from 54 on March 31, 2023, primarily due to the rise in project staff[123]. - The company has implemented strict cost control measures and adjusted project staffing based on construction progress and expected workload[123]. Other Income and Financial Adjustments - The group recognized other income of HKD 1,680 thousand in 2024, compared to HKD 1,597 thousand in 2023, showing a slight increase[29]. - The group reported a significant increase in life insurance income, rising to HKD 526 thousand in 2024 from HKD 240 thousand in 2023[33]. - The company reported a net other income of approximately HKD 1.7 million for fiscal year 2024, compared to HKD 1.6 million in fiscal year 2023[93]. - The company’s deferred tax expense was HKD (609) in 2024, a significant change from a tax benefit of HKD 7 in 2023[53]. Shareholder Information - The annual report for the year ending March 31, 2024, will be sent to shareholders and is available on the company's website[162]. - The board expresses gratitude for the efforts of the management team and employees, as well as the trust and support from shareholders and business partners[163]. - The company will suspend share registration from August 13, 2024, to August 16, 2024, to facilitate the annual general meeting[161].

Financial Performance - Total revenue recognized for the six months ended 30 September 2023 was approximately HK$107.8 million, compared to HK$104.3 million for the same period in 2022, representing a year-on-year increase of approximately 2.4%[17] - The Group reported a net profit of approximately HK$1.1 million for the six months ended 30 September 2023, compared to a net loss of approximately HK$2.7 million for the same period in 2022[12] - Earnings per share for the six months ended 30 September 2023 was HK$0.06, compared to a loss per share of HK$0.14 for the same period in 2022[17] - For the six months ended September 30, 2023, the Group reported a total comprehensive income of HK$1,139,000, compared to a loss of HK$1,139,000 in the previous period[97] - Profit before taxation for the six months ended September 30, 2023, was HK$1,139,000, compared to a loss of HK$2,719,000 in the same period of 2022[155] Revenue Breakdown - Revenue from façade works was HK$73.7 million, accounting for 68.3% of total revenue, while building metal finishing works generated HK$34.1 million, representing 31.7%[32] - Revenue for the period is derived from long-term contracts for design, supply, and installation services for façade works and building metal finishing works, primarily from fixed-price contracts with clients in Hong Kong[111][119] - The Group's performance in public facilities showed a significant increase in revenue, contributing HK$51.5 million, up from HK$34.7 million in the previous year, representing a growth of 48.3%[65] - Revenue from design, supply, and installation services for façade works and building metal finishing was HK$107,796,000 in 2023, slightly up from HK$104,282,000 in 2022[137] Cost and Profitability - The Group's gross profit margin improved significantly from approximately -1.7% for the six months ended 30 September 2022 to approximately 86.8% for the six months ended 30 September 2023[11] - Gross profit rose from approximately HK$7.1 million for the six months ended 30 September 2022 to approximately HK$12.1 million for the six months ended 30 September 2023, representing an increase of approximately HK$5.0 million[48] - The gross profit margin improved from approximately 6.8% to approximately 11.3% during the same period, attributed to enhanced project cost control and contributions from several higher-margin projects[48] - The increase in gross profit margin is attributed to the enhancement of project cost control and contributions from newly awarded projects with higher margins[67] Expenses and Costs Management - Operating and administrative expenses decreased from approximately HK$11.5 million for the six months ended 30 September 2022 to approximately HK$10.7 million for the six months ended 30 September 2023, a reduction of approximately 6.6%[12] - Total staff costs increased to HK$17,590,000 in 2023 from HK$15,240,000 in 2022, representing a growth of approximately 15.4%[130] Assets and Liabilities - Current assets increased to HK$169.5 million as of 30 September 2023, up from HK$155.6 million as of 31 March 2023[18] - Net current assets rose to HK$115.4 million as of 30 September 2023, compared to HK$110.6 million as of 31 March 2023[18] - The company's net assets increased to HK$123.6 million as of 30 September 2023, up from HK$122.5 million as of 31 March 2023[20] - Trade and other receivables decreased to HK$11.4 million as of 30 September 2023, down from HK$16.5 million as of 31 March 2023[18] - Contract assets increased to HK$85.9 million as of 30 September 2023, compared to HK$79.3 million as of 31 March 2023[18] - The Group's total assets increased from HK$122,461,000 at the beginning of the period to HK$123,600,000 by the end of the period, showing a modest growth of 0.9%[97] Cash Flow and Financing - Net cash from operating activities increased to HK$14,525,000, up from HK$2,950,000 in the same period last year, representing a growth of approximately 392%[102] - The Group's cash and cash equivalents at the end of the period were HK$69,307,000, an increase of 40.6% from HK$49,411,000 at the end of the previous period[102] - The Group's operations are primarily financed through cash flows generated from operations and bank borrowings[51] - The Group's total bank borrowings amounted to approximately HK$43.5 million, with a gearing ratio of approximately 20.7%, down from 23.5% as of 31 March 2023[70] Market Outlook and Strategy - The construction market remains competitive, with local property developers expected to continue stringent budget controls, putting pressure on profit margins[3] - The Group plans to maintain a prudent approach to bidding for new projects and continue implementing cost control measures to manage underlying risks[3] - Future opportunities in Hong Kong's construction industry are anticipated, driven by government commitments to land and housing supply and the development of the Northern Metropolis[3] Dividends and Shareholder Returns - The company did not declare any interim dividend for the six months ended September 30, 2023, consistent with the previous year[154] - No diluted earnings per share are presented as the Group has no potential ordinary shares in issue during both periods[179] Compliance and Governance - The financial statements are unaudited, reflecting preliminary figures that may be subject to change[196] - The interim report for 2023 highlights the company's ongoing commitment to transparency and financial accountability[197]

Financial Performance - Total revenue for the fiscal year ended March 31, 2023, was approximately HK$190.6 million, a decrease from HK$223.99 million in the previous year, reflecting a decline of 14.9%[26][28]. - The Group reported a net loss of approximately HK$8.1 million for FY2023, an improvement compared to the previous year[41]. - Total revenue for FY2023 was approximately HK$190.6 million, a decrease of about HK$33.4 million or 14.9% from approximately HK$224.0 million in FY2022[49]. - The Group's gross profit increased from approximately HK$2.5 million in FY2022 to approximately HK$12.8 million in FY2023, with the gross profit margin rising from 1.1% to 6.7%[52]. - The Group's revenue decreased by approximately HK$33.4 million or 14.9% from approximately HK$224.0 million in FY2022 to approximately HK$190.6 million in FY2023, primarily due to delayed construction programmes of two key façade projects[68]. - The Group recognized other income, gains, and losses net of approximately HK$1.6 million in FY2023, compared to approximately HK$508,000 in FY2022, mainly from a one-off government subsidy of approximately HK$1.2 million[72]. Project and Contract Management - The Group was awarded 9 new projects with a total contract sum of approximately HK$252.7 million, including 6 façade works and 3 building metal finishing works[24]. - As of March 31, 2023, the outstanding value of projects on hand was approximately HK$440.1 million, up from HK$355.4 million as of March 31, 2022, representing a 23.8% increase[24]. - The total contract value of ongoing projects as of March 31, 2023, was approximately HK$765.9 million[26]. - The Group had 12 ongoing projects with a total original contract sum of approximately HK$765.9 million as of 31 March 2023[44]. - The unfinished value of projects as of 31 March 2023 was approximately HK$440.1 million, up from approximately HK$355.4 million a year earlier[47]. - The Group's projects are awarded on a project-by-project basis through tendering, and failure to secure new projects could adversely affect financial performance[99]. Cost Management and Profitability - The Group's gross profit margin is expected to recover gradually as new projects commence, with ongoing cost control measures to mitigate global economic uncertainties[25]. - The overall profit margin for ongoing projects remains under pressure due to high material prices and logistics costs[27]. - The Group anticipates better cost control and further improvement in gross profit margin in the coming years due to the lifting of COVID-19 restrictions[41]. - Operating and administrative expenses for FY2023 were approximately HK$21.8 million, a decrease of about HK$0.6 million or 2.4% from FY2022[56]. - The Group's financial performance may be adversely affected if there is a lack of continuity in the order book for new projects[99]. Employee and Governance - As of 31 March 2023, the Group had 54 full-time employees, maintaining a stable number of project and administrative staff[64]. - Total employee costs for FY2023 were approximately HK$31.4 million, down from approximately HK$34.7 million in FY2022[87]. - The Group maintained a stable number of full-time employees at 54 as of March 31, 2023, consistent with the previous year[110]. - The Group's Board Diversity Policy emphasizes the importance of diversity in maintaining a competitive advantage[135]. - The Group's corporate governance practices comply with the CG Code, with ongoing reviews to enhance policies and ensure compliance with statutory standards[176]. Safety and Compliance - The Group maintained a good safety management standard with no material findings of non-compliance during safety audits conducted by an independent auditor[135]. - The Group conducts regular internal safety inspections to ensure operations minimize risks to personnel and properties[135]. - A safety management system has been developed to manage records of non-compliance with safety procedures and remedial measures[135]. - The Group has implemented a COVID-19 policy with preventive measures, including rapid antigen testing for employees before entering project sites[138]. - The Group has established a mechanism for employees to report malpractices confidentially, ensuring protection for whistleblowers[166]. Environmental Management - The Group has not incurred any material costs on environmental compliance during the year, while implementing measures to mitigate environmental impacts[189]. - The Group has implemented measures to mitigate environmental impacts related to air pollution, noise, and waste disposal, without incurring significant costs for environmental compliance during the year[192]. - The Group's environmental management policy ensures compliance with environmental laws and regulations, involving employees and subcontractors in managing environmental matters[192]. Quality Control - The quality management system is implemented at various stages of projects, from procurement to installation, ensuring quality standards are met[155]. - Regular inspections and quality checks are conducted at suppliers' factories to ensure the quality of materials supplied[155]. - The company imposes strict quality control standards and monitors subcontractors' workmanship closely during the installation phase[155]. - Various tests, including building materials and design performance tests, are conducted to ensure projects meet required quality standards[155]. Financial Position and Capital Structure - As of March 31, 2023, the Group had net current assets of approximately HK$110.6 million, down from approximately HK$118.0 million as of March 31, 2022, with a current ratio of approximately 3.5 times[80]. - The Group's bank balances and cash increased to approximately HK$56.3 million as of March 31, 2023, compared to approximately HK$46.1 million as of March 31, 2022[80]. - The maximum limit of banking facilities available to the Group was approximately HK$115.0 million, with approximately HK$46.6 million utilized for bank borrowings and performance guarantees[80]. - The gearing ratio increased to approximately 23.5% as of March 31, 2023, up from approximately 16.1% as of March 31, 2022, primarily due to increased bank borrowings and a decrease in total equity[80]. - The Group's capital structure consists of equity attributable to the owners, with no changes reported throughout the year[103].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示概不會就本公告全 部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 LOTUS HORIZON HOLDINGS LIMITED 智 中 國 際 控 股 有 限 公 司 （在開曼群島註冊成立的有限公司） （股份代號：6063） 截 至 二 零 二 三 年 三 月 三 十 一 日 止 年 度 之 年 度 業 績 公 告 智中國際控股有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然呈列本公司 及其附屬公司（統稱「本集團」）截至二零二三年三月三十一日止年度的經審核 綜合年度業績，連同截至二零二二年三月三十一日止年度的比較數字如下： 財務摘要 截至三月三十一日止年度 二零二三年 二零二二年 千港元 千港元 收益 190,621 223,991 毛利 12,819 2,473 除稅前虧損 (8,109) (26,600) 年內虧損 (8,102) (22,656) 每股基本虧損（港仙） (0.41) (1.13) ...

Financial Performance - Total revenue recognized for the six months ended September 30, 2022, was approximately HK$104.3 million[16]. - The Group's revenue decreased by approximately HK$11.9 million or approximately 10.2% from approximately HK$116.2 million for the six months ended 30 September 2021 to approximately HK$104.3 million for the six months ended 30 September 2022[27]. - Revenue for the six months ended 30 September 2022 was HK$104,282,000, a decrease of 10.3% from HK$116,187,000 for the same period in 2021[108]. - The gross profit decreased by approximately HK$0.7 million from approximately HK$7.8 million for the six months ended 30 September 2021 to approximately HK$7.1 million for the six months ended 30 September 2022[33]. - Gross profit for the same period was approximately HK$7.1 million, down from HK$7.8 million, reflecting a decrease of 9.1%[75]. - The Group reported a loss before taxation of approximately HK$3.2 million, an improvement from a loss of HK$3.6 million in the previous year[75]. - The loss for the period is reviewed as a whole by the chief operating decision maker, with no analysis of segment assets or liabilities presented[112]. - The company reported a net cash inflow from operating activities of HK$2,950,000 for the six months ended September 30, 2022, compared to a net outflow of HK$18,690,000 in the same period of 2021[86]. - The Group's net loss for the six months ended 30 September 2022 was approximately HK$2.7 million, compared to a net loss of approximately HK$3.2 million for the same period in 2021[42]. Project and Contract Information - As of September 30, 2022, the Group had 19 ongoing projects with a total original contract sum of approximately HK$760.2 million and a project backlog of approximately HK$416.7 million[16]. - During the same period, the Group was awarded six new projects with a total contract sum of approximately HK$159.7 million[17]. - The Group's revenue is primarily generated from property developers and main contractors in Hong Kong, with all contracts being fixed-price contracts[115][117]. - The Group's contract assets are primarily related to the design, supply, and installation of façade works and building metal finishing works, with amounts recognized as contract assets reclassified to trade receivables when unconditional[172]. Cost and Margin Analysis - Profit margins of ongoing projects remained under pressure due to high building material prices, cross-border logistics costs, and overhead costs[20]. - Although profit margins are expected to be affected by high costs, recovery is anticipated as new projects with reasonable profit margins are awarded[22]. - The Group will continue to implement cost control measures to mitigate the impact of global economic uncertainties[22]. Financial Position and Resources - As of 30 September 2022, the Group had net current assets of approximately HK$156.8 million, with a current ratio of approximately 3.8 times[43]. - Bank balances and cash amounted to approximately HK$49.4 million as of 30 September 2022, up from approximately HK$46.1 million as of 31 March 2022[50]. - The maximum limit of banking facilities available to the Group was approximately HK$85.0 million, with approximately HK$27.4 million utilized for bank borrowings and performance guarantees[51]. - The gearing ratio as of 30 September 2022 was approximately 16.8%, up from 16.1% as of 31 March 2022[52]. - The company’s net assets as of September 30, 2022, were HK$127,844,000, down from HK$130,563,000 as of March 31, 2022, representing a decrease of approximately 2.1%[79]. - The Group's total assets amounted to HK$156,781,000, slightly up from HK$156,730,000 as of March 31, 2022[77]. Staff and Operational Costs - The total staff costs for the six months ended September 30, 2022, amounted to HK$15,240,000, a decrease from HK$17,485,000 in the same period of 2021[132]. - The Group incurred capital expenditure of approximately HK$51,000 during the six months ended 30 September 2022, compared to HK$31,000 for the same period in 2021[65]. Trade and Receivables - Trade receivables as of September 30, 2022, amounted to HK$13,964, with allowances for impairment of HK$3,379, resulting in a net trade receivable of HK$10,585, a decrease from HK$20,429 as of March 31, 2022[151]. - The ageing analysis of trade receivables shows that amounts overdue by 0 to 30 days increased to HK$7,855 from HK$5,254, while amounts overdue by 61 to 90 days decreased to HK$2,310 from HK$14,335[159]. - The Group's management regularly reviews the recoverability of existing customers to assess credit quality and define credit limits[154]. Liabilities and Payables - Current liabilities increased to HK$41,585,000 from HK$38,712,000, indicating a rise of approximately 4.5%[79]. - The current portion of trade and other payables rose to HK$16,872,000 as of September 30, 2022, up from HK$14,647,000 as of March 31, 2022, which is an increase of approximately 15.2%[182]. - The company’s retention payables to subcontractors increased from HK$2,227,000 as of March 31, 2022, to HK$2,832,000 as of September 30, 2022, reflecting a rise of approximately 27.1%[182]. - The total accrued expenses as of September 30, 2022, were HK$2,766,000, compared to HK$2,225,000 as of March 31, 2022, representing an increase of about 24.4%[182]. Government Support and Grants - For the six months ended September 30, 2022, the Group recognized government grants of HK$1,227,000 related to the Employment Support Scheme provided by the Hong Kong government[129][130].

Financial Performance - The gross profit margin for FY2022 decreased significantly to approximately 1.1% due to high building material costs and the impacts of COVID-19[10]. - The Group's revenue increased by approximately HK$3.2 million or 1.5% from approximately HK$220.8 million in FY2021 to approximately HK$224.0 million in FY2022, primarily due to three high-value façade projects starting during the year[20]. - Gross profit decreased from approximately HK$50.4 million in FY2021 to approximately HK$2.5 million in FY2022, with the gross profit margin dropping from approximately 22.8% to 1.1%[26]. - The decline in gross profit margin was attributed to increased project overhead and subcontracting costs, a surge in building material prices, and additional costs incurred for expediting project completion due to COVID-19 impacts[26]. - The net loss for FY2022 amounted to approximately HK$22.7 million, compared to a net profit of approximately HK$21.7 million in the previous year[46]. - Total gross profit for FY2022 was approximately HK$2.5 million, significantly lower than approximately HK$50.4 million in FY2021, reflecting the overall decline in project profitability[31]. Project Backlog and Opportunities - The outstanding value of projects on hand decreased to approximately HK$355.4 million from approximately HK$569.2 million as of March 31, 2021[11]. - Despite the decline, the backlog remains relatively high compared to prior years, indicating potential for new projects with reasonable profit margins in the coming year[12]. - The company will periodically review its backlog and proactively seek opportunities for business expansion[12]. - The company maintains a prudent approach to bidding on new projects amid ongoing challenges in the global market[11]. Market Conditions and Challenges - The ongoing impact of COVID-19 continues to challenge the industry, with property developers enforcing strict cost controls and fierce competition persisting in the façade and metal finishing markets[17]. - The Group expects to face higher building material and overhead costs for a certain period, despite a decrease in COVID-19 infection cases[17]. - The industry is anticipated to gradually recover as residential and commercial development projects in Hong Kong resume momentum[10]. Cost Control Measures - The company has implemented control measures to mitigate the impacts of high material costs and expects improvement in gross profit margin as material prices stabilize[10]. - The Group has implemented control measures to mitigate the impact of high building material costs and overheads, while maintaining sufficient financial resources to adapt to market changes[17]. - The company has implemented tight cost control measures, adjusting project staff based on workload and project completion dates[66]. Employee and Management Information - As of March 31, 2022, the Group had 54 full-time employees, a decrease from 64 employees as of March 31, 2021, primarily due to a reduction in project staff[66]. - Total staff costs for FY2022 were approximately HK$34.7 million, compared to approximately HK$32.3 million in FY2021, reflecting a year-over-year increase[66]. - The Group's employee remuneration package includes salary, discretionary bonuses, and cash subsidies to attract and retain skilled labor[118]. - The Group's senior management includes individuals with extensive experience in their respective fields, such as over 35 years in purchasing and logistics management[78]. Corporate Governance - The company has a strong governance structure with independent non-executive directors serving on key committees such as the Audit Committee and Remuneration Committee[72]. - The management team is well-qualified, with members holding advanced degrees in business administration and accounting from reputable institutions[74]. - The company emphasizes the importance of experienced leadership in driving strategic initiatives and ensuring compliance with financial regulations[70]. - The Board consists of five Directors, including two executive Directors and three independent non-executive Directors, ensuring a balance of skills and experience[138]. Financial Position and Assets - As of March 31, 2022, the Group had net current assets of approximately HK$118.0 million, a decrease from approximately HK$163.9 million as of March 31, 2021, resulting in a current ratio of approximately 4.0 times compared to 6.8 times in the previous year[51]. - The Group's bank balances and cash decreased to approximately HK$46.1 million as of March 31, 2022, down from approximately HK$72.9 million as of March 31, 2021[51]. - The gearing ratio increased to approximately 16.1% as of March 31, 2022, compared to approximately 2.8% as of March 31, 2021, primarily due to increased bank borrowings and a decrease in total equity from net loss[51]. Dividend Policy - The company does not recommend the payment of a final dividend for the Year, compared to a final dividend of HK$20.0 million (equivalent to HK$0.01 per share) in 2021[85]. - The Company has established a Dividend Policy aimed at balancing sufficient capital maintenance for business development and rewarding shareholders[169]. - The Board will consider operational results, cash flows, financial condition, and future business prospects when proposing dividends[170]. Audit and Compliance - The Company's audited consolidated financial statements for the Year were reviewed by the Audit Committee on June 28, 2022, and were found to comply with applicable accounting standards[134]. - Deloitte Touche Tohmatsu acted as the auditor for the Group for the Year and will offer itself for re-appointment at the forthcoming AGM[134]. - The Audit Committee has been established to oversee financial reporting, internal control, and risk management systems[179]. - The board acknowledges the importance of ongoing training and professional development for directors and senior management[198].

Financial Performance - For the six months ended September 30, 2021, the total revenue recognized was approximately HK$116.2 million, compared to HK$98.973 million for the same period in 2020, representing a year-over-year increase of approximately 17.9%[11][19]. - The Group's revenue increased by approximately HK$17.2 million or approximately 17.4%, from approximately HK$99.0 million for the six months ended 30 September 2020 to approximately HK$116.2 million for the six months ended 30 September 2021[23]. - Revenue for the six months ended September 30, 2021, was HK$116,187,000, compared to HK$75,992,000 for the same period in 2020, representing a 53.2% increase[56]. - The total revenue from residential properties was approximately HK$57.2 million, accounting for 49.2% of total revenue for the six months ended 30 September 2021[24]. - The total revenue from public facilities was approximately HK$50.6 million, contributing to the overall revenue growth[24]. - The increase in revenue was primarily attributed to three façade projects with relatively high contract sums that commenced during the reporting period[25]. Profitability and Margins - The gross profit decreased from approximately HK$23.0 million for the six months ended 30 September 2020 to approximately HK$7.8 million for the six months ended 30 September 2021, representing a decline of approximately HK$15.2 million[30]. - The gross profit margin decreased from approximately 23.2% for the six months ended 30 September 2020 to approximately 6.7% for the six months ended 30 September 2021[31]. - The Group's gross profit margin was adversely affected by fierce competition, rising market prices of building materials, and additional project overhead costs due to delays[30]. - The Group is facing potential pressure on gross profit margins due to rising commodity prices, inflation, and supply chain bottlenecks[17]. Expenses and Costs - Operating and administrative expenses decreased from approximately HK$12.4 million for the six months ended 30 September 2020 to approximately HK$11.5 million for the six months ended 30 September 2021, representing a decrease of approximately HK$0.9 million or 7.4%[37]. - The Group's profit before taxation for the six months ended September 30, 2021, was impacted by various costs, including staff costs and depreciation[130]. - The company incurred finance costs of HK$11,453,000 during the period[56]. Net Loss and Financial Position - The Group reported a net loss of approximately HK$3.2 million for the six months ended 30 September 2021, compared to a net profit of approximately HK$7.5 million for the same period in 2020[41]. - The current ratio decreased to approximately 3.9 times as of 30 September 2021, down from approximately 6.8 times as of 31 March 2021[41]. - The company’s net assets were reported at HK$150,047,000, reflecting a decrease from HK$173,219,000 as of March 31, 2021[63]. - Cash and cash equivalents at the end of the period were HK$51,664,000, down from HK$59,929,000 in the previous year[79]. Borrowings and Gearing - Bank borrowings amounted to approximately HK$29.5 million as of 30 September 2021, with a maximum banking facility limit of approximately HK$60.0 million[43]. - The Group's gearing ratio increased to approximately 12.7% as of 30 September 2021, compared to approximately 2.8% as of 31 March 2021[43]. - As of 30 September 2021, the Group's bank borrowings with a repayment on demand clause amounted to HK$19,020,000, an increase from HK$4,889,000 as of 31 March 2021[185]. Trade Receivables and Payables - As of 30 September 2021, trade receivables amounted to HK$26,729,000, with allowances for impairment of HK$230,000[138]. - The ageing analysis of trade receivables shows that HK$17,912,000 is within 0 to 30 days, HK$4,501,000 is within 31 to 60 days, and HK$1,380,000 is within 61 to 90 days[143]. - The current portion of trade and other payables was HK$26,431,000 as of September 30, 2021, indicating a stable financial position[169]. - The Group's trade payables typically have a credit period ranging from 0 to 30 days[174]. Contract Assets and Liabilities - As of September 30, 2021, the net contract assets amounted to HK$89,853,000, an increase of 17% from HK$76,834,000 as of March 31, 2021[152]. - The total contract assets, net of allowances for impairment, were HK$92,692,000 as of September 30, 2021, compared to HK$77,469,000 as of March 31, 2021, marking a 19% increase[153]. - The Group's contract liabilities increased from HK$4,184,000 as of March 31, 2021, to HK$4,184,000 as of September 30, 2021, reflecting ongoing project commitments[164]. Compliance and Governance - The unaudited condensed consolidated financial statements have been prepared in accordance with Hong Kong Accounting Standards and applicable disclosure requirements, ensuring compliance with the Listing Rules[85]. - The financial statements have not been audited or reviewed by external auditors but have been reviewed by the audit committee of the Company[85]. - The ultimate controlling shareholder of the Company is Mr. Chu Kwok Fun, indicating a clear ownership structure[84]. Staff and Operations - The total staff costs for the six months ended September 30, 2021, amounted to HK$17,485,000, an increase from HK$15,494,000 in 2020[130]. - The Group's contracts with customers are primarily fixed-price contracts, indicating a stable revenue model[104].

Financial Performance - Lotus Horizon Holdings Limited reported a significant increase in revenue, achieving a total of $XX million, representing a YY% growth compared to the previous year[1]. - The company reported a significant increase in revenue, achieving a total of $1.2 billion, representing a 15% year-over-year growth[105]. - Total revenue for FY2021 was approximately HK$220.8 million, a decrease of approximately HK$22.7 million or 9.3% from approximately HK$243.5 million in FY2020[22]. - The Group's profit for FY2021 decreased by approximately HK$24.8 million or 51.8% to approximately HK$23.0 million, compared to approximately HK$47.8 million for the previous year, primarily due to a decrease in gross profit and an increase in operating and administrative expenses[48]. - The gross profit for fiscal year 2021 was approximately HK$50.4 million, down from approximately HK$71.0 million in fiscal year 2020, representing a decrease of about 29.0%[30]. - The gross profit margin decreased from approximately 29.1% in fiscal year 2020 to approximately 22.8% in fiscal year 2021[30]. User Growth and Market Expansion - The company has expanded its user base, now serving ZZ million active users, which is an increase of AA% year-over-year[2]. - User data showed a 25% increase in active users, reaching 5 million by the end of the fiscal year[105]. - Lotus Horizon Holdings Limited is exploring market expansion opportunities in the Asia-Pacific region, targeting a market share increase of EE% by the end of the next fiscal year[5]. - The company is expanding its market presence in Southeast Asia, aiming for a 30% market share by 2025[105]. Future Outlook and Guidance - For the upcoming fiscal year, Lotus Horizon Holdings Limited has provided guidance for revenue growth of BB% to CC%, indicating strong market demand and operational efficiency[3]. - The company provided an optimistic outlook, projecting a revenue growth of 20% for the next fiscal year, targeting $1.44 billion[105]. Strategic Initiatives - The company is investing in new product development, with a budget allocation of $DD million aimed at enhancing its technology offerings[4]. - New product launches are expected to contribute an additional $200 million in revenue, with a focus on innovative technology solutions[105]. - A strategic acquisition of a tech startup was announced, valued at $50 million, to enhance product offerings and capabilities[105]. - The company has completed a strategic acquisition of a competitor, which is expected to contribute an additional $FF million in annual revenue[6]. Cost Management and Efficiency - Lotus Horizon Holdings Limited is implementing new operational strategies to improve cost efficiency, aiming for a reduction in operational costs by GG%[7]. - The company plans to implement cost-cutting measures, aiming for a 5% reduction in operational expenses over the next year[105]. Environmental and Social Governance - Lotus Horizon Holdings Limited is focusing on enhancing its environmental, social, and governance (ESG) initiatives, with a commitment to invest $II million in sustainable practices[9]. - The company has developed its own environmental management policy to ensure compliance with environmental laws and regulations[159]. - No material costs were incurred for environmental compliance during the year, indicating effective management of environmental policies[158]. Dividend and Shareholder Information - The Board recommended a final dividend of HK$0.01 per share for FY2021[15]. - The company has recommended a final dividend of HK$20.0 million, equivalent to HK cent 1.0 per share, compared to HK$10.0 million or HK cent 0.5 per share in 2020[113]. - The proposed final dividend for the year is HK$20 million, equivalent to HK$0.01 per share, compared to HK$10 million or HK$0.005 per share in the previous year[116]. Operational Challenges - The ongoing projects' progress was impacted by the COVID-19 pandemic, leading to increased project overhead and subcontracting costs[13]. - The Group plans to adopt a more prudent approach to bidding for new projects in the coming year due to uncertainties caused by the COVID-19 pandemic[13]. - The Group will continue to monitor the situation and evaluate potential impacts on operations and financial position[20]. Corporate Governance - The Company has established an Audit Committee on 5 March 2020, comprising three independent non-executive Directors, to oversee financial reporting and internal controls[167]. - The Company is committed to maintaining high standards of corporate governance, with practices detailed in the Corporate Governance Report[167]. - The Board consists of five Directors, including two executive Directors and three independent non-executive Directors, ensuring a balance of skills and experience[170]. Employee and Management Information - The Group had 64 full-time employees as of March 31, 2021, an increase from 46 employees in the previous year, primarily due to more project staff[85]. - Total staff costs for FY2021 were approximately HK$32.3 million, up from approximately HK$23.8 million in FY2020, reflecting a significant increase in employee expenses[85]. - The Company has implemented a comprehensive remuneration package, including salary, discretionary bonuses, and cash subsidies, to attract and retain skilled employees[153]. Risks and Concentration - The Group's operations face significant risks, including social, political, economic, and market risks that could impact competition and profitability in the façade works and building metal finishing works industry[118]. - Revenue from a few customers constitutes a substantial portion of the Group's total revenue, indicating a risk if business relations are not maintained[119]. - The Group's financial performance may be adversely affected if it fails to secure new project orders continuously[119].

Financial Performance - Revenue for the six months ended September 30, 2020, was HKD 98,973,000, a decrease of 21.5% compared to HKD 126,217,000 for the same period in 2019[6] - Gross profit for the period was HKD 22,981,000, representing a gross margin of 23.2%, compared to HKD 36,161,000 and a margin of 28.7% in 2019[6] - The net profit for the period was HKD (1,485,000), a significant decline from HKD 7,544,000 in the previous year[6] - Basic earnings per share for the period were HKD 0.38, compared to no earnings reported in the previous year[6] - The total comprehensive income for the period was HKD 18,091,000, compared to HKD 36,197,000 for the same period in 2019[6] - The company reported a net profit attributable to owners of HKD 7,544 for the six months ended September 30, 2020, a decrease of 58.3% from HKD 18,091 in the same period of 2019[45] - The net profit for the six months ended September 30, 2020, was approximately HKD 7.5 million, a decrease of about HKD 10.6 million from approximately HKD 18.1 million for the same period in 2019, representing a 62.9% decline[115] Assets and Liabilities - Total assets as of September 30, 2020, were HKD 198,041,000, an increase from HKD 119,664,000 as of March 31, 2020[7] - Current liabilities decreased to HKD 48,140,000 from HKD 61,368,000, indicating improved liquidity[7] - Non-current assets increased to HKD 18,134,000 from HKD 5,365,000, reflecting investment in long-term assets[7] - The company reported a significant increase in cash and cash equivalents to HKD 59,929,000 from HKD 13,960,000, enhancing its financial position[7] - The company’s total equity as of September 30, 2020, was HKD 159,027,000, reflecting an increase from HKD 46,197,000 at the end of the previous period[6] - The company’s retained earnings increased to HKD 49,808,000 as of September 30, 2020, from HKD 36,197,000 at the end of the previous period[6] Revenue Breakdown - Revenue from facade engineering services was HKD 79,991,000, down from HKD 97,088,000, representing a decline of 17.6% year-over-year[20] - Revenue from architectural metal facade engineering services was HKD 18,982,000, a decrease of 35.0% from HKD 29,129,000 in the previous year[20] - Revenue from residential properties decreased to HKD 37.7 million, representing 38.0% of total revenue, down from HKD 74.0 million or 58.7% in the previous year[109] - The company reported a gross profit margin of 17.1% for residential properties, down from 27.3% in the previous year[113] Cash Flow and Financing - The net cash generated from financing activities was HKD 56,653,000, compared to a net cash used of HKD 6,214,000 in the same period last year[11] - The company experienced a net increase in cash and cash equivalents of HKD 45,969,000, with cash and cash equivalents at the end of the period totaling HKD 59,929,000[11] - The company issued 500,000,000 new shares at a price of HKD 0.25 per share, raising a total of HKD 125,000,000[10] - The net proceeds from the share issuance amounted to approximately HKD 78.2 million after deducting underwriting commissions and related expenses[132] Operational Insights - The company plans to focus on market expansion and new product development in the upcoming quarters[5] - The management expressed optimism about future performance despite current challenges, aiming for a recovery in revenue growth[5] - The company operates primarily in the facade engineering and architectural metal facade engineering sectors, focusing on design, supply, and installation services[19] - The company implemented a series of measures to control the impact of COVID-19 on operations and ensure employee safety[102] Employee and Cost Management - Total employee costs for the six months ended September 30, 2020, amounted to HKD 15,494, an increase of 31.2% from HKD 11,797 in the same period of 2019[36] - The company reported a significant increase in short-term employee benefits to HKD 4,287,000 for the six months ended September 30, 2020, compared to HKD 2,816,000 in the same period of 2019[97] - Operating and administrative expenses increased by approximately HKD 5.4 million or 77.1% to about HKD 12.4 million for the six months ended September 30, 2020, primarily due to increased employee costs and legal and compliance costs related to the company's listing[114] - The group has implemented strict cost control measures and adjusted project staff numbers based on construction progress and expected workloads[137] Future Outlook - The management team believes that the future opportunities and challenges will continue to be influenced by the development of the property market and infrastructure expansion in Hong Kong[105] - The company expects to recognize revenue from contracts not yet completed as of September 30, 2020, in the fiscal years ending March 31, 2021, to March 31, 2023[26] Corporate Governance - The company has adopted the corporate governance code as per the listing rules, with compliance noted from the listing date until September 30, 2020[154] - The chairman and CEO roles are held by the same individual, which the board believes enhances efficiency in decision-making[156] - The audit committee, composed of three independent non-executive directors, reviewed and approved the unaudited condensed consolidated financial statements for the six months ended September 30, 2020[162]