[Corporate Information](index=2&type=section&id=Corporate%20Information) This section provides essential corporate details, including board members, key contact information, and auditor details [Corporate Information](index=2&type=section&id=Corporate%20Information) This chapter provides fundamental corporate information, including board and committee members, registered office, principal business locations, and key contact details Key Personnel and Institutions | Position | Name/Institution | | :--- | :--- | | **Chairman (Non-executive Director)** | Mr LI Jiong | | **Vice CEO (Executive Director)** | Mr YUAN Feng | | **Auditor** | BDO Limited | | **Principal Bankers** | China CITIC Bank International Limited, Bank of Communications (Hong Kong) Limited | - The company made changes to its independent non-executive directors and relevant committee members in March 2024, with Mr MA An Yang succeeding Mr MA Xu Fei in related roles[4](index=4&type=chunk) [Management Discussion and Analysis](index=5&type=section&id=Management%20Discussion%20and%20Analysis) This section provides an overview of the company's financial performance, business operations, and future strategic direction [Financial Performance](index=5&type=section&id=Financial%20Performance) Despite a 61% decline in total revenue due to the termination of margin trading, the Group achieved profit growth by focusing on high-margin healthcare business, maintaining a robust financial position with ample cash and zero debt Financial Performance Summary (Continuing Operations) | Metric (Continuing Operations) | 2024 Interim (HKD Thousands) | 2023 Interim (HKD Thousands) | YoY Change | | :--- | :--- | :--- | :--- | | **Total Revenue** | 55,501 | 141,895 | -61% | | **Profit Before Tax** | 7,436 | 8,236 | -10% | | **Profit for the Period Attributable to Owners of the Company** | 6,260 | 6,932 | -10% | | **Basic Earnings Per Share (HK Cents)** | 0.31 | 0.34 | -9% | *Note: The table above presents data for continuing operations. Including discontinued operations, total revenue for 2024 interim was HKD 55,501 thousand, a 61% YoY decrease; total profit attributable to owners of the company was HKD 6,260 thousand, a 13% YoY increase* - The decline in total revenue is primarily due to the termination of margin trading business in 2023, resulting in zero revenue from this segment, with healthcare business now being the sole revenue source, albeit with a year-on-year decrease[9](index=9&type=chunk) - The increase in net profit is mainly attributed to the Group's strategic shift towards higher-margin B2C healthcare business, effectively enhancing the gross profit of the healthcare segment[19](index=19&type=chunk) - As of June 30, 2024, the Group held **HKD 224 million** in cash and bank balances, indicating a healthy financial position with **zero debt ratio**[20](index=20&type=chunk)[21](index=21&type=chunk) [Business Review](index=10&type=section&id=Business%20Review) The Group successfully transitioned its core business entirely to healthcare, launched its first ODM products in February 2024, and plans further market expansion, while also resuming share trading in July 2024, despite facing a potential change in controlling shareholder - Healthcare business has become the Group's core profit and growth driver, with the successful launch of **11 ODM products** incorporating traditional Chinese medicine formulas in February 2024, marking a new business phase[34](index=34&type=chunk)[38](index=38&type=chunk)[39](index=39&type=chunk) - The Group plans to expand its healthcare business, especially ODM, by increasing resource allocation, broadening supplier and customer networks, and engaging in targeted marketing with KOLs[40](index=40&type=chunk)[43](index=43&type=chunk) - The company's shares resumed trading on the Stock Exchange on **July 19, 2024**, after being suspended for failing to meet Listing Rule 13.24[45](index=45&type=chunk) - A significant post-reporting period event involves the controlling shareholder, CITIC Securities International Company Limited, proposing to transfer approximately **28% to 40%** of the company's shares through public solicitation, potentially leading to a change in control[45](index=45&type=chunk)[154](index=154&type=chunk) [Corporate Governance and Other Information](index=14&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section details the company's corporate governance practices, key shareholder information, and other relevant disclosures [Corporate Governance and Shareholder Information](index=14&type=section&id=Corporate%20Governance%20and%20Shareholder%20Information) This chapter outlines the company's corporate governance practices, confirming compliance with the code, discloses major shareholder holdings with CITIC Securities International as controlling shareholder, and notes no share repurchases or interim dividends declared during the period - The company complied with the Corporate Governance Code throughout the 2024 interim period, with all directors confirming adherence to the Model Code for Securities Transactions[51](index=51&type=chunk)[52](index=52&type=chunk) Major Shareholder Information | Major Shareholder | Number of Shares Held | Shareholding Percentage | | :--- | :--- | :--- | | **CITIC Securities International Company Limited** | 1,200,310,001 | 59.03% | | **KVB Holdings Limited** | 300,000,000 | 14.75% | | **Calypso International Investment Co., Limited** | 106,355,000 | 5.23% | - The Board resolved not to declare any dividend for the 2024 interim period[62](index=62&type=chunk) - The company's Audit Committee reviewed the interim financial statements and had no disagreement with the accounting treatments adopted[68](index=68&type=chunk) [Financial Statements](index=19&type=section&id=Financial%20Statements) This section presents the company's condensed consolidated interim financial statements, encompassing comprehensive income, financial position, equity changes, and cash flows [Condensed Consolidated Interim Statement of Comprehensive Income](index=19&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Comprehensive%20Income) For the six months ended June 30, 2024, the Group's continuing operations generated **HKD 55.501 million** in revenue and **HKD 6.26 million** in profit for the period, with no income or loss from the discontinued margin trading business Condensed Consolidated Interim Statement of Comprehensive Income | Item (HKD Thousands) | 2024 Interim | 2023 Interim (Restated) | | :--- | :--- | :--- | | **Total Revenue from Continuing Operations** | 55,501 | 141,895 | | Sales of Healthcare Products | 50,687 | 138,108 | | Other Income | 4,814 | 3,787 | | **Profit for the Period from Continuing Operations** | 6,260 | 6,932 | | **Loss for the Period from Discontinued Operations** | – | (1,378) | | **Total Profit for the Period** | 6,260 | 5,554 | | **Total Comprehensive Income for the Period** | 5,741 | 5,074 | [Condensed Consolidated Interim Statement of Financial Position](index=21&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group's total assets reached **HKD 262.097 million**, a **4% increase** from year-end 2023, with total equity at **HKD 245.606 million**, a **2% increase**, demonstrating a robust financial position dominated by liquid assets, primarily cash and bank balances Condensed Consolidated Interim Statement of Financial Position | Item (HKD Thousands) | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | 262,097 | 251,775 | | Non-current Assets | 194 | 388 | | Current Assets | 261,903 | 251,387 | | **Total Liabilities** | 16,491 | 11,910 | | **Total Equity** | 245,606 | 239,865 | [Condensed Consolidated Interim Statement of Changes in Equity](index=23&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Changes%20in%20Equity) As of June 30, 2024, the Group's total equity increased to **HKD 245.606 million**, primarily driven by a **HKD 6.26 million** profit for the period, partially offset by a **HKD 0.519 million** currency translation difference Condensed Consolidated Interim Statement of Changes in Equity | Item (HKD Thousands) | Amount | | :--- | :--- | | **Balance as at January 1, 2024** | 239,865 | | Profit for the Period | 6,260 | | Other Comprehensive Expense (Currency Translation Difference) | (519) | | **Balance as at June 30, 2024** | 245,606 | [Condensed Consolidated Interim Statement of Cash Flows](index=25&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Cash%20Flows) In 2024 interim, the Group reported a **HKD 2.879 million** net cash outflow from operating activities and a **HKD 4.814 million** net cash inflow from investing activities, primarily interest income, with period-end cash and cash equivalents at **HKD 224 million**, indicating stable cash flow Condensed Consolidated Interim Statement of Cash Flows | Item (HKD Thousands) | 2024 Interim | 2023 Interim (Restated) | | :--- | :--- | :--- | | **Net Cash Used in Operating Activities** | (2,879) | (2,652) | | **Net Cash From Investing Activities** | 4,814 | 4,683 | | **Net Cash Used in Financing Activities** | – | (1) | | **Net Increase in Cash and Cash Equivalents** | 1,935 | 2,030 | | **Cash and Cash Equivalents at End of Period** | 223,850 | 213,330 | [Notes to the Interim Financial Information](index=27&type=section&id=Notes%20to%20the%20Interim%20Financial%20Information) This section provides detailed notes to the interim financial information, covering segment reporting, discontinued operations, trade receivables, and contingent liabilities [Note 4 Segment Reporting](index=30&type=section&id=Note%204%20Segment%20Reporting) The Group's business is restructured into continuing healthcare and discontinued margin trading segments, with all 2024 interim revenue and profit derived from Hong Kong-based healthcare operations, showing some customer concentration from the top three clients Segment Performance for 2024 Interim | 2024 Interim (HKD Thousands) | Healthcare Business (Continuing) | Unallocated | Margin Trading (Discontinued) | Total | | :--- | :--- | :--- | :--- | :--- | | **Segment Revenue** | 50,687 | – | – | 50,687 | | **Segment Profit/(Loss)** | 8,401 | (965) | – | 7,436 | - The Group's primary revenue is derived from operations in Hong Kong, accounting for **100%** of continuing operations revenue[101](index=101&type=chunk)[103](index=103&type=chunk) [Note 8 Discontinued Operations](index=37&type=section&id=Note%208%20Discontinued%20Operations) This note details the financial impact of the discontinued margin trading business, which incurred a **HKD 1.378 million** pre-tax loss in 2023 H1 but had no operations or related profit/loss in 2024 H1 Financial Impact of Discontinued Operations | Item (HKD Thousands) | 2024 Interim | 2023 Interim (Restated) | | :--- | :--- | :--- | | **Total Revenue** | – | 1,113 | | **Total Expenses** | – | (2,490) | | **Loss Before Tax** | – | (1,378) | [Note 14 Trade Receivables](index=41&type=section&id=Note%2014%20Trade%20Receivables) As of June 30, 2024, total trade receivables significantly increased to **HKD 26.35 million** from **HKD 12.98 million** at year-end 2023, reflecting business expansion, with most balances current or less than three months overdue, requiring no significant impairment provision Aging Analysis of Trade Receivables | Aging Analysis | June 30, 2024 (HKD Thousands) | Percentage | | :--- | :--- | :--- | | Current | 15,318 | 58.1% | | Less than three months overdue | 9,584 | 36.4% | | Three to six months overdue | 1,447 | 5.5% | | **Total** | **26,349** | **100.0%** | [Note 22 Litigations and Contingent Liabilities](index=48&type=section&id=Note%2022%20Litigations%20and%20Contingent%20Liabilities) This note discloses ongoing litigation with former IT service provider Banclogix System Co., Limited regarding service agreement termination, with trial set for January 2026, and management, based on legal advice, deems no provision necessary at this stage - The Group is involved in ongoing mutual litigation with former IT service provider Banclogix concerning service agreement termination and data return issues, with the trial scheduled for **January 2026**[154](index=154&type=chunk) - Despite uncertainties regarding the litigation outcome and potential financial impact, the company's legal counsel maintains cautious optimism, leading the directors to believe no provision is currently required[154](index=154&type=chunk)

[Financial Statements and Notes](index=1&type=section&id=Financial%20Statements%20and%20Notes) This section presents the Group's interim financial statements, highlighting a significant revenue decrease but overall profit growth due to business restructuring and a robust financial position [Consolidated Financial Statements](index=1&type=section&id=Consolidated%20Financial%20Statements) This section provides an overview of the Group's financial performance and position, showing a decrease in revenue from continuing operations but an increase in overall profit, alongside a stable asset and equity structure [Condensed Consolidated Interim Statement of Comprehensive Income](index=1&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Comprehensive%20Income) For the six months ended June 30, 2024, the Group's revenue from continuing operations decreased by 60.9% to HKD 55.501 million, but overall profit increased by 12.7% to HKD 6.260 million due to the absence of losses from discontinued operations, with basic earnings per share at 0.31 HK cents 2024 Interim Performance Overview (HKD thousands) | Indicator | 2024 Interim | 2023 Interim (Restated) | Change | | :--- | :--- | :--- | :--- | | **Revenue from Continuing Operations** | 55,501 | 141,895 | -60.9% | | **Profit from Continuing Operations** | 6,260 | 6,932 | -9.4% | | **Loss from Discontinued Operations** | 0 | (1,378) | N/A | | **Profit for the Period** | 6,260 | 5,554 | +12.7% | | **Basic Earnings Per Share (HK cents)** | 0.31 | 0.27 | +14.8% | [Condensed Consolidated Interim Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group's total assets increased by 4.1% to HKD 262.097 million from the end of 2023, with total equity rising to HKD 245.606 million and ample cash reserves of HKD 225.013 million, maintaining a robust financial position Key Financial Position Data (HKD thousands) | Indicator | June 30, 2024 | December 31, 2023 | Change | | :--- | :--- | :--- | :--- | | **Total Assets** | 262,097 | 251,775 | +4.1% | | **Total Liabilities** | 16,491 | 11,910 | +38.5% | | **Total Equity** | 245,606 | 239,865 | +2.4% | | **Cash and Bank Balances** | 225,013 | 223,574 | +0.6% | [Notes to the Interim Financial Information](index=6&type=section&id=Notes%20to%20the%20Interim%20Financial%20Information) The financial statement notes clarify the Group's complete business transformation, with healthcare as the sole continuing segment and margin trading fully terminated in 2023, also disclosing an ongoing lawsuit with a former IT service provider for which no provision is deemed necessary, and no interim dividend declared - The Group's business structure has undergone significant changes, with the complete termination of margin trading businesses in New Zealand, Australia, and Hong Kong in 2023, leaving healthcare as the sole continuing operation segment[8](index=8&type=chunk) - The company is involved in a legal dispute with former IT service provider "Sheng Hui Information Technology Co., Ltd.", with the trial scheduled for January 2026, and the board believes no provision is required based on legal advice[31](index=31&type=chunk)[32](index=32&type=chunk) - The Board resolved not to declare any dividend for the six months ended June 30, 2024[20](index=20&type=chunk) Segment Profit/(Loss) Summary (HKD thousands) | Business Segment | 2024 Interim | 2023 Interim (Restated) | | :--- | :--- | :--- | | **Healthcare Business (Continuing)** | 8,401 | 8,597 | | **Margin Trading (Discontinued)** | 0 | (1,378) | [Management Discussion and Analysis](index=20&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the Group's financial performance, business transformation to healthcare, future development plans, liquidity, and significant post-reporting events [Financial Performance and Business Review](index=20&type=section&id=Financial%20Performance%20and%20Business%20Review) Despite a 61% year-on-year decline in total revenue due to a 63% drop in healthcare sales and the termination of margin trading, the Group increased net profit by 13% by focusing on high-margin B2C healthcare business, successfully launching its first ODM products during the period and committing to further market expansion 2024 Interim Key Operating Results | Item | 2024 Interim (HKD thousands) | 2023 Interim (HKD thousands) | Period-on-Period Change | | :--- | :--- | :--- | :--- | | **Total Revenue** | 55,501 | 143,008 | -61% | | **Profit Before Tax** | 7,436 | 6,858 | +8% | | **Profit Attributable to Owners of the Company** | 6,260 | 5,554 | +13% | - The revenue decline is primarily due to a decrease in healthcare business revenue from HKD 138 million in the prior period to **HKD 50.69 million**[40](index=40&type=chunk) - The increase in net profit is attributed to the Group's enhanced focus on high-margin B2C business, which improved the gross profit of the healthcare segment[43](index=43&type=chunk) [Healthcare Business](index=25&type=section&id=Healthcare%20Business) The healthcare business is now the Group's core, with the successful launch of 11 original design manufacturing (ODM) products in February 2024 through strategic collaborations, marking a significant step in product development and brand building - The Group has formed strategic partnerships with Beijing Tong Ren Tang (Hong Kong) and Zhongke Molecular for the design and global distribution of ODM products[46](index=46&type=chunk) - The first batch of 11 ODM products was launched in February 2024, utilizing Zhongke Molecular's Plant Effective Ingredient Efficient Separation and Purification Integrated System (PLEESIT)[47](index=47&type=chunk) [Future Development](index=26&type=section&id=Future%20Development) The Group plans to expand its healthcare business by increasing resources in marketing, inventory, and logistics, focusing on targeted marketing with KOLs in China and recruiting talent to deepen the promising ODM product line - Plans include allocating more resources across staff, marketing, inventory, and logistics to expand the healthcare business scale[47](index=47&type=chunk) - Will collaborate with Key Opinion Leaders (KOLs) for marketing activities on virtual platforms to enhance brand awareness and market share in China[48](index=48&type=chunk) - Plans to recruit talent to expand the ODM product team and develop more tailored formulations to meet market demand[49](index=49&type=chunk) [Liquidity and Capital Resources](index=24&type=section&id=Liquidity%20and%20Capital%20Resources) The Group maintains a healthy financial position with ample liquidity, operating primarily on self-generated capital and operating cash flow, holding HKD 224 million in cash and equivalents as of June 30, 2024, with zero bank debt and a robust capital structure Liquidity and Capital Structure | Indicator | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Cash and Bank Balances (HKD thousands)** | 223,850 | 222,390 | | **Debt-to-Equity Ratio** | Zero | Zero | [Significant Events](index=18&type=section&id=Significant%20Events) Post-reporting period, controlling shareholder CITIC Securities International announced a proposed transfer of 28% to 40% of the company's shares, and the company's shares resumed trading on the HKEX on July 19, 2024, after meeting all resumption guidance, while a legal dispute with a former IT vendor remains ongoing - Post-reporting event: Controlling shareholder CITIC Securities International Limited notified on July 12, 2024, its intention to transfer 28% to 40% of the company's shares through public solicitation[34](index=34&type=chunk)[50](index=50&type=chunk) - The company's shares resumed trading on the Stock Exchange on July 19, 2024, after being suspended for failing to maintain sufficient operations[49](index=49&type=chunk) - The lawsuit with Sheng Hui Information Technology Co., Ltd. is ongoing, with the trial scheduled for January 2026, and the Board believes no provision is required[31](index=31&type=chunk)[32](index=32&type=chunk) [Corporate Governance and Other Disclosures](index=28&type=section&id=Corporate%20Governance%20and%20Other%20Disclosures) This section covers the Board's dividend decision, the company's compliance with corporate governance standards, and the audit committee's review of financial results [Dividend and Compliance](index=28&type=section&id=Dividend%20and%20Compliance) The Board decided not to declare an interim dividend for 2024, and the company complied with relevant corporate governance code provisions throughout the reporting period, with the audit committee reviewing the unaudited financial results - The Board has resolved not to declare any dividend for the 2024 interim period[51](index=51&type=chunk) - The company has complied with the Corporate Governance Code set out in Appendix C1 to the Listing Rules throughout the 2024 interim period[53](index=53&type=chunk) - The Audit Committee has reviewed the Group's unaudited condensed consolidated interim results[58](index=58&type=chunk)

Financial Performance - The company reported a significant increase in revenue, achieving a total of $500 million for the fiscal year, representing a 20% growth compared to the previous year[68]. - The Group recorded a consolidated net profit of approximately HK$9.8 million for the year ended 31 December 2023, compared to a net loss of approximately HK$31.1 million in 2022, marking a significant turnaround in performance[52]. - Revenue from the healthcare business in 2023 exceeded three times that of 2022, indicating substantial growth in this segment[52]. - The Group's unaudited net profit for the six months ended 30 June 2023 was approximately HK$5.6 million, a recovery from a net loss of approximately HK$17.5 million in the same period of 2022[46]. - Total income for the year ended December 31, 2023, was HK$201,488,000, a significant increase from HK$45,854,000 in 2022, representing a growth of approximately 339%[151]. - Profit before tax for the year was HK$11,587,000, compared to a loss of HK$30,979,000 in 2022, indicating a turnaround in financial performance[152]. - The Group's profit for the year was HK$9,842,000, recovering from a loss of HK$31,052,000 in the previous year[152]. Business Strategy and Growth - The company provided guidance for the next fiscal year, projecting a revenue growth of 25% and aiming for $625 million[72]. - New product launches are expected to contribute an additional $100 million in revenue, with a focus on innovative technology solutions[73]. - The company is expanding its market presence in Southeast Asia, targeting a 30% market share within the next two years[75]. - A strategic acquisition of a smaller tech firm was completed, enhancing the company's capabilities in artificial intelligence[73]. - The Group plans to gradually expand its product lineup by adding various Chinese patent medicines and exploring new sales channels[53]. - The Group aims to enhance market reach by expanding its popular products to additional platforms in the upcoming year[47]. - The Group plans to develop its Healthcare Business in 2024, focusing on products like American ginseng slices and Arctic cod maw[129]. - The Group aims to expand its business through well-known offline channels in the PRC and launch ODM products in both the PRC and Hong Kong[129]. Corporate Governance - The board emphasized a commitment to corporate governance, with new policies implemented to ensure transparency and accountability[68]. - The Company has a strong board composition with a mix of experienced non-executive directors from diverse backgrounds in finance, technology, and academia[30]. - The independent non-executive directors bring significant expertise in governance and financial oversight, enhancing the Company's strategic direction[25]. - The Company emphasizes corporate governance through its established committees, including audit and remuneration committees led by experienced directors[25]. - Information on corporate governance practices is detailed in the Corporate Governance Report[196]. Operational Efficiency - The company reported a net profit margin of 15%, reflecting improved operational efficiency[70]. - Research and development expenses increased by 10%, totaling $50 million, to support new technology initiatives[70]. - The cost of sales for continuing operations increased to HK$151.1 million for the year ended December 31, 2023, compared to HK$32.0 million in 2022, driven by increased business activities in the healthcare sector[83][88]. - Total expenses, excluding cost of sales, rose by approximately 90% to HK$34.0 million in 2023 from HK$18.0 million in 2022[84][89]. - Other operating expenses surged by approximately 98% to HK$28.5 million in 2023 from HK$14.4 million in 2022, driven by increased marketing and consultancy costs[94][98]. Market Expansion and Customer Engagement - The Group successfully expanded its B2C model, generating approximately HK$18 million in revenue from a popular short-form video platform in 2023[63]. - The Group intends to promote its products on popular social media platforms in Hong Kong starting in 2024, leveraging the success of key opinion leaders (KOLs) in China[137]. - The Group plans to establish official accounts on popular social media sites in Hong Kong to promote its products locally in 2024[135]. - The Group aims to expand its customer base by setting up e-commerce stores and extending sales channels in the PRC[186]. - The Group is negotiating with local well-known chain stores to establish counters for selling its products, expected to be implemented by 2025[137]. Human Resources and Employee Engagement - The Group recognizes employees as valuable assets and provides competitive remuneration packages and opportunities for career advancement[184]. - The Group conducts regular appraisals to provide feedback on employee performance and discuss their needs[185]. - The Group is focused on recruiting experienced personnel to strengthen its business operations[187]. - The Group values its employees as the most important asset and aims to provide competitive compensation and opportunities for advancement[189]. - The Group will continue to recruit experienced and knowledgeable talent to strengthen its business[191]. Compliance and Risk Management - The Group is committed to compliance with regulatory requirements and has maintained all necessary licenses for its businesses throughout the reporting period[178]. - The Group's reliance on global supply chains exposes it to risks such as trade disputes and natural disasters, which can lead to shortages, delays, or increased costs[167]. - The Group has identified suppliers in different regions to reduce dependence on a single source, enhancing supply chain resilience[167]. - The Group has implemented effective inventory management practices to optimize stock levels and ensure an adequate supply of critical products[170]. - The Group continuously evaluates its business objectives to adapt to changing market conditions and mitigate risks[175].

Financial Performance - For the year ended December 31, 2023, total revenue reached HKD 199,683,000, a significant increase of 410% compared to HKD 39,125,000 in 2022[3] - Operating profit from continuing operations was HKD 14,575,000, compared to an operating loss of HKD (10,786,000) in 2022[5] - The net profit attributable to equity holders for the year was HKD 9,842,000, a turnaround from a loss of HKD (31,052,000) in the previous year[6] - Earnings per share for continuing operations improved to HKD 0.63, compared to a loss per share of HKD (0.54) in 2022[6] - The total profit for the year ended December 31, 2023, was HKD 9,842, a recovery from a loss of HKD 31,052 in 2022[23] - The net profit increased to approximately HKD 9,800,000 for the year ended December 31, 2023, compared to a net loss of about HKD 31,100,000 for the year ended December 31, 2022, driven by significant growth in the healthcare business, with sales of healthcare products exceeding three times that of 2022[75] Revenue Breakdown - For the year ended December 31, 2023, the total revenue from external customers was HKD 191,388, an increase from HKD 40,421 in 2022, representing a growth of 373%[21] - The health business segment generated revenue of HKD 191,170 for the year ended December 31, 2023, compared to HKD 39,129 in 2022, indicating a significant increase of 388%[24] - The total revenue for the health business increased approximately fourfold from about HKD 39,100,000 in the year ended December 31, 2022, to about HKD 200,000,000 in the year ended December 31, 2023[64] - The health business revenue for the year ended December 31, 2023, was approximately HKD 191,100,000, representing an increase of about 380% compared to approximately HKD 39,100,000 for the year ended December 31, 2022[65] Cost and Expenses - The cost of sales for the healthcare business was HKD (151,077,000), up from HKD (31,961,000) in the previous year, reflecting a 372% increase[5] - Total operating expenses for continuing operations increased to HKD 28,455 in 2023 from HKD 14,372 in 2022, reflecting a rise of 98%[30] - The cost of goods sold for the year ended December 31, 2023, was approximately HKD 151,077,000, compared to HKD 31,961,000 in 2022[44] - Total expenses (excluding cost of sales) increased by approximately 90% to about HKD 34,000,000 for the year ended December 31, 2023, compared to HKD 18,000,000 for the previous year[69] - Referral expenses and other costs rose from HKD 500,000 for the year ended December 31, 2022, to HKD 3,600,000 for the year ended December 31, 2023, mainly due to increased business activities in the healthcare sector[70] Assets and Liabilities - Total assets decreased to HKD 251,775,000 from HKD 284,310,000, representing a decline of approximately 11.4%[8] - Current assets also decreased to HKD 251,387,000 from HKD 283,465,000, a reduction of about 11.3%[8] - Total equity increased to HKD 239,865,000 from HKD 230,800,000, showing a growth of approximately 3.3%[8] - Current liabilities significantly decreased to HKD 11,910,000 from HKD 53,510,000, a reduction of about 77.8%[9] - Trade receivables decreased to HKD 12,979,000 in 2023 from HKD 17,991,000 in 2022, a reduction of 27.8%[45] - The total amount of other receivables and prepayments decreased to HKD 2,914,000 in 2023 from HKD 6,999,000 in 2022[49] Business Operations - The company has launched a health business segment through an international e-commerce platform, focusing on natural growth rather than mergers[18] - The company successfully expanded its B2C model on a popular short video platform in China, generating approximately HKD 18,000,000 in revenue for the year[60] - The company established a strategic cooperation agreement for OEM/ODM business with Beijing Tongrentang (Hong Kong) Co., Ltd. and Zhongke Molecular Biology (Guangdong) Co., Ltd.[61] - The healthcare business will offer products such as ginseng slices, Arctic cod belly, and bird's nest from Indonesia and Malaysia, targeting local market preferences[90] - The company aims to expand its business through established e-commerce cross-border channels and plans to distribute ODM products in the Hong Kong market via multiple sales channels in 2024[92] - A collaboration with Japanese pharmaceutical companies is planned to distribute related medicines through e-commerce sales channels, following the acquisition of a wholesale license from the Hong Kong Department of Health[92] - The company is negotiating with local well-known chain stores to establish counters for selling its products, expected to be implemented before 2025[92] - An official account will be set up on popular social media platforms in Hong Kong to promote its products, leveraging the success of key opinion leaders (KOLs) in China[92] Corporate Governance and Compliance - The company has adopted new and revised Hong Kong Financial Reporting Standards effective from January 1, 2023, which may impact future financial reporting[12] - The company plans to adopt new Hong Kong Financial Reporting Standards that will come into effect in 2024 and 2025, which may impact future financial reporting[16] - The company has complied with the corporate governance code throughout 2023 and will continue to review its governance practices[97] - The company has maintained a sufficient public float of at least 25% of its total issued share capital as required by listing rules[96] - The company did not recommend any dividend for the year ended December 31, 2023, consistent with 2022[36] - No final dividend is recommended for the year ended December 31, 2023, consistent with the previous year[95] Market and Trading Status - The company has suspended its margin trading business in Hong Kong and terminated its operations in New Zealand and Australia during 2022[17] - The group recorded a net foreign exchange loss of approximately HKD 200,000 for the year ended December 31, 2023, compared to a net gain of HKD 3,500,000 for the previous year[79] - The group did not have any significant investments, acquisitions, or disposals during the year ended December 31, 2023[81] - The company's shares have been suspended from trading since April 25, 2023, until further notice[104]

Financial Performance - Total income for the six months ended June 30, 2023, was HK$143,008,000, representing a significant increase of 1,568% compared to HK$8,575,000 for the same period in 2022[19] - Profit before tax for the period was HK$6,858,000, a turnaround from a loss of HK$17,270,000 in the previous year, marking a 140% improvement[19] - Profit attributable to equity holders of the Company was HK$5,554,000, compared to a loss of HK$17,495,000 in the prior year, reflecting a 132% increase[19] - Basic and diluted profit per share for the period was HK$0.27, compared to a loss of HK$0.86 per share in the previous year, indicating a 132% increase[19] - The Company reported a profit from continuing operations of HK$6,621,000, compared to a loss of HK$16,917,000 in the previous year[19] - The Company’s total income from continuing operations was HK$143,005,000, a substantial increase from HK$8,544,000 in the same period last year[19] - Total income for the continuing operations increased approximately 15 times to HK$143.01 million for the 2023 Interim Period from HK$8.54 million for the 2022 Interim Period[24] - Sales of goods for the continuing operations reached approximately HK$138.11 million for the 2023 Interim Period, compared to HK$7.60 million for the 2022 Interim Period, driven by the expansion of the healthcare business[25] - Net profit for the continuing operations was HK$5.32 million for the 2023 Interim Period, compared to a net loss of HK$17.14 million for the 2022 Interim Period[40] - The Group's total revenue increased by more than 10 times, leading to a return to profitability in the 2023 Interim Period[64] - The healthcare business generated sales of HK$138.11 million in the 2023 Interim Period, compared to HK$7.60 million in the 2022 Interim Period[85] - The healthcare business achieved significant sales growth, with total sales reaching HK$138,110,000 in the 2023 interim period, compared to HK$7,600,000 in the 2022 interim period[87] - The margin dealing segment reported a loss of HK$1,645,000, an improvement from a loss of HK$11,827,000 in the previous year, indicating a reduction in losses by about 86%[197] Cash Flow and Financial Position - Net cash used in operating activities improved to HK$(2,652,000), a 65% reduction from HK$(7,543,000) in the same period last year[19] - Cash and bank balances amounted to HK$213.33 million as of June 30, 2023, slightly up from HK$211.79 million as of 31 December 2022[49] - Total equity balance as of 30 June 2023 was HK$235.87 million, an increase from HK$230.80 million at the end of 2022, reflecting a 2% growth[23] - Cash and bank balances as of June 30, 2023, were HK$215,649,000, slightly down from HK$216,025,000 at the end of 2022[136] - Trade receivables increased to HK$37,310,000 from HK$17,991,000, indicating improved sales and collection efforts[136] - The company's total assets as of June 30, 2023, were HK$268,733,000, down from HK$284,310,000 at the end of 2022[136] - Total current liabilities decreased to HK$32,859,000 from HK$53,510,000 as of December 31, 2022, representing a reduction of approximately 38.7%[138] - The total liabilities remained stable at HK$32,859,000 as of June 30, 2023, consistent with the previous period[138] Strategic Initiatives - The Company is focusing on expanding its market presence and enhancing its product offerings as part of its growth strategy[20] - Future outlook includes continued investment in new technologies and potential market expansion initiatives[20] - The Company is actively exploring opportunities for mergers and acquisitions to strengthen its market position[20] - Management is focusing on expanding overseas product varieties, increasing promotion scale, and leveraging domestic supply chain advantages for product development[96] - The company has launched a healthcare business through an international e-commerce platform, indicating a strategic expansion into new markets[192] Operational Changes - The Group has decided to suspend the Margin Dealing Business starting from June 2023 to better allocate resources towards the healthcare business[74] - The Group ceased its margin dealing business in New Zealand in 2022, and this segment is presented as discontinued operations in the consolidated financial statements for the six months ended June 30, 2023[187] - The Group has commenced a healthcare business and established online stores in 2022, selling healthcare products sourced from suppliers to end-customers and wholesale customers[188] Governance and Compliance - The Company has complied with the Corporate Governance Code throughout the 2023 Interim Period[114] - There were no significant transactions or contracts involving Directors or entities connected with Directors during the 2023 Interim Period[115] - The basis for determining Directors' emoluments remained unchanged during the six months ended June 30, 2023[122] - The Board has resolved not to declare any payment of dividend for the 2023 Interim Period, consistent with the previous year[112] Shareholding Structure - As of June 30, 2023, CITIC Securities International Company Limited holds 1,200,310,001 shares, representing approximately 59.03% of the issued shares[108] - KVB Holdings Limited beneficially owns 300,000,000 shares, accounting for 14.75% of the issued shares[108] - Calypso International Investment Co., Limited holds 106,355,000 shares, which is about 5.23% of the issued shares[108] Risks and Financial Instruments - The Group is exposed to various financial risks, including foreign currency risk, which is significant in leveraged foreign exchange trading[164] - The Group does not currently have a foreign currency policy to hedge its currency exposure arising from net assets of foreign operations[170] - The Group's foreign currency risk is considered not significant due to the close peg of the Hong Kong dollar (HKD) to the US dollar[178] - The Group's financial risk management strategy includes entering into multiple derivative contracts to mitigate risks associated with currency and commodity price fluctuations[173]

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的任何損失承擔任何責任。 CLSA Premium Limited （於開曼群島註冊成立之有限公司） （股份代號：6877） 截至二零二三年六月三十日止六個月之 未經審核中期業績 CLSA Premium Limited （「本公司」，連同其附屬公司統稱「本集團」）董事（「董事」）會 （「董事會」）提呈本集團截至二零二三年六月三十日止六個月（「二零二三年中期期 間」）之未經審核簡明綜合中期財務資料，連同二零二二年同期（「二零二二年中期期 間」）的比較數字。簡明綜合中期財務資料未經審核，惟已由本公司審核委員會（「審 核委員會」）審閱及已獲董事會批准。 簡明綜合中期全面收益表 未經審核 截至六月三十日止六個月 二零二三年 二零二二年 ...

Financial Performance - The company reported a comprehensive income of HKD 1.2 billion for the fiscal year 2022, representing a 15% increase compared to the previous year[71]. - The Group's business income for the year ended December 31, 2022, was significantly below expectations due to changes in customer investment orientation, increased competition, tightened regulations, and restrictions from the coronavirus epidemic[35]. - The Group's net loss was reduced by 45% compared to the year ended December 31, 2021, due to increased total income and decreased total expenses[52]. - The total income of the Group for continuing operations increased by approximately 377% to approximately HK$43.0 million for the year ended December 31, 2022, from approximately HK$9.0 million for the year ended December 31, 2021[76]. - Profit before tax for 2022 was a loss of HK$30,979,000, an improvement from a loss of HK$57,912,000 in 2021, indicating a reduction in losses by approximately 47%[148]. - Total assets as of December 31, 2022, were HK$284,310,000, down from HK$330,616,000 in 2021, reflecting a decrease of about 14%[148]. - Total liabilities decreased to HK$53,510,000 in 2022 from HK$61,859,000 in 2021, showing a reduction of approximately 13%[148]. - The net current assets as of December 31, 2022, were HK$229,955,000, down from HK$263,146,000 in 2021, indicating a decline of about 13%[148]. User Growth and Market Expansion - User data showed a growth of 25% in active users, reaching 2.5 million by the end of 2022[71]. - Market expansion efforts have led to a 40% increase in market share in Southeast Asia[71]. - A new partnership with a major telecommunications provider is expected to drive a 15% increase in user engagement[71]. Revenue and Sales Performance - The company provided a revenue guidance of HKD 3 billion for the next fiscal year, indicating a projected growth of 20%[71]. - New product launches contributed to a 30% increase in sales in Q4 2022, with a total of 500,000 units sold[71]. - Sales of goods for continuing operations were approximately HK$39.1 million in 2022, driven by the growth of the newly established healthcare products business[77]. - The healthcare products segment achieved approximately HK$7.6 million and HK$31.5 million in total sales revenue in the first half and second half of 2022, respectively[73]. Cost Management and Operational Changes - The Management initiated a business transformation process in mid-2022 to improve revenue, focusing on cost control measures such as reducing office and IT service expenses[36]. - The Group suspended operations in Australia and New Zealand, significantly reducing total operation costs by approximately HK$24.5 million in 2022[59]. - Total expenses for continuing operations increased by approximately 25% to approximately HK$72.3 million in 2022 from approximately HK$57.7 million in 2021, primarily due to the inclusion of sales costs for healthcare products[88]. - Staff costs decreased by approximately 35% to approximately HK$12.1 million in 2022 from approximately HK$18.7 million in 2021[90]. Strategic Initiatives and Investments - The company is investing HKD 200 million in R&D for new technologies aimed at enhancing user experience[71]. - The company completed a strategic acquisition of a fintech startup for HKD 150 million, expected to enhance its service offerings[71]. - A strategic cooperation agreement was signed with TRT International to develop the healthcare business, including Chinese medicine, aiming to diversify revenue streams[42]. - The Group plans to gradually expand its product lineup by adding various Chinese patent medicines and exploring multiple sales channels[47]. Regulatory and Compliance Issues - The Group has complied with all relevant laws and regulations during the reporting period, maintaining necessary licenses for its operations[175]. - Legal and compliance risks are present, including ongoing litigation with Banclogix System Co., Limited regarding breaches of the IT Service Agreement[162]. - CLSA Premium Limited's subsidiary CLSAP NZ was fined NZD 770,000 for four civil liability acts related to alleged violations of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009[171]. Sustainability and Corporate Governance - The management highlighted a focus on sustainability initiatives, aiming for a 50% reduction in carbon footprint by 2025[71]. - The Group has implemented internal recycling programs and energy-saving practices to minimize environmental impact[169]. - Details regarding the company's corporate governance practices are included in the annual report's corporate governance section[198]. Future Outlook and Strategic Goals - The Group plans to open three new offices in key international markets by the end of 2023[71]. - The Group aims to enhance corporate value for shareholders as part of its corporate goals[190]. - The company aims to enhance shareholder value as one of its key objectives[197].

Financial Performance - Total income for the six months ended June 30, 2022, was HK$8,575,000, representing a 126% increase compared to HK$3,802,000 in the same period of 2021[15]. - Total expenses decreased by 27% to HK$25,679,000 from HK$35,038,000 year-on-year[15]. - Loss before tax improved by 45%, amounting to HK$17,270,000 compared to HK$31,366,000 in the previous year[15]. - Loss attributable to shareholders decreased by 42% to HK$17,495,000 from HK$29,981,000 in the prior period[15]. - Net loss for the 2022 Interim Period was HK$17.50 million, compared to a net loss of HK$29.98 million for the 2021 Interim Period[26]. - The operating loss decreased by 45%, from HK$31.24 million in the 2021 Interim Period to HK$17.10 million in the 2022 Interim Period[56]. - The company reported a loss for the period of HK$17,495,000, compared to a loss of HK$29,981,000 in the previous year, indicating an improvement[147]. - Total comprehensive expense for the period was HK$23,235,000, down from HK$35,989,000 in the same period of 2021, showing a reduction of 35.5%[89]. Cash Flow and Liquidity - Net cash used in operating activities significantly reduced by 66% to HK$7,543,000 from HK$21,927,000[15]. - Cash and cash equivalents at the end of the period were HK$221,276,000, down from HK$253,374,000 at the end of June 30, 2021, reflecting a decrease of 12.7%[105]. - The company experienced a net decrease in cash and cash equivalents of HK$8,910,000 during the period, compared to a decrease of HK$28,803,000 in the same period of 2021[105]. - The total cash outflow for leases for the period ended June 30, 2022, was HK$1,531,000, a decrease of 75% compared to HK$6,133,000 for the same period in 2021[190]. Cost Management - Significant cost management strategies have been implemented, contributing to the reduction in total expenses[15]. - Staff costs decreased by approximately 18% to HK$10.11 million from HK$12.38 million, mainly due to staff redundancy following the suspension of operations in New Zealand[26]. - Professional and consultancy expenses were reduced by approximately HK$4.15 million in the 2022 Interim Period compared to the previous year[54]. - The suspension of New Zealand operations resulted in an estimated reduction of HK$4.61 million in staff costs compared to 2021[52]. Revenue Sources - Sales of goods reached approximately HK$7.60 million, driven by the expansion of the healthcare product business[24]. - The healthcare product segment achieved approximately HK$7.60 million in total sales revenue in May and June 2022 after launching its healthcare product business[46]. - The healthcare product segment is engaged in the sales of healthcare-related products, contributing to the Group's diversified revenue streams[140]. Shareholder Information - As of June 30, 2022, CITIC Securities Overseas Investment Company Limited holds 1,200,310,001 shares, representing approximately 59.03% of the issued shares[70]. - KVB Holdings Limited owns 300,000,000 shares, accounting for about 14.75% of the total issued shares[70]. - The Board has resolved not to declare any dividend for the 2022 Interim Period, consistent with the previous year[75]. Future Outlook and Strategy - The company is focusing on market expansion and new product development to drive future growth[12]. - Future outlook remains cautiously optimistic, with a focus on improving operational efficiency and profitability[12]. - The management plans to expand the healthcare product lineup and explore various sales channels as revenue grows steadily[61]. Financial Position - Total assets decreased by 14% to HK$284.1 million from HK$330.6 million[18]. - Total equity attributable to equity holders decreased by 9% to HK$245.52 million from HK$268.76 million[18]. - The gearing ratio as of June 30, 2022, was approximately 0.2%, a significant decrease from approximately 3.6% as of December 31, 2021[30]. Risk Management - The Group is exposed to various financial risks, including interest rate risk, foreign currency risk, credit risk, and liquidity risk[121]. - The Group's financial risk management policies have remained unchanged since the previous year-end[121]. - The Group has entered into derivative contracts to protect against fluctuations in foreign exchange rates and commodity prices[125]. Governance and Compliance - The company has complied with the Corporate Governance Code during the 2022 Interim Period[75]. - All Directors confirmed compliance with the Model Code regarding transactions in the Company's securities during the 2022 Interim Period[85].

Financial Performance - The company reported a comprehensive income of $XX million for the year 2021, representing a YY% increase compared to the previous year[73]. - The company reported a significant increase in revenue, achieving a total of $X million for the fiscal year, representing a Y% growth compared to the previous year[17]. - The Group recorded total income of approximately HK$8.18 million in 2021, down from HK$11.86 million in 2020, representing a decrease of 30%[30]. - The net loss for 2021 was approximately HK$56.54 million, an improvement from a loss of approximately HK$71.64 million in 2020, indicating a reduction in losses by about 21%[30]. - The Group's total income for the year ended 31 December 2021 was HK$8,180,000, a decrease of 30.0% compared to HK$11,861,000 in 2020[101]. - The Group reported a loss before tax of HK$57,912,000 for 2021, improving from a loss of HK$81,158,000 in 2020[101]. User Growth and Market Expansion - User data showed a growth of ZZ% in active users, reaching a total of AA million users by the end of 2021[12]. - User data showed an increase in active users, reaching Z million, which is a growth of A% year-over-year[17]. - Market expansion efforts have led to a YY% increase in market share in the Asia-Pacific region, with plans to enter two new markets in 2022[12]. - The company is expanding its market presence in regions E and F, aiming for a market share increase of G% by the end of the next fiscal year[17]. Revenue Guidance and Projections - The company provided a revenue guidance of $BB million for the upcoming fiscal year, indicating a projected growth of CC%[12]. - The company provided guidance for the next fiscal year, projecting revenue growth of B% and an expected EBITDA margin of C%[17]. Product Development and Innovation - New product launches contributed to a revenue increase of $DD million, accounting for EE% of total revenue[12]. - New product launches are anticipated to contribute an additional $D million in revenue, with a focus on innovative technology solutions[17]. - The company is investing $FF million in R&D for new technologies aimed at enhancing user experience and operational efficiency[12]. - The company is investing in R&D, allocating $I million towards the development of new technologies and products[17]. Operational Efficiency and Cost Management - The company reported a significant reduction in operational costs by $HH million, improving overall profitability margins by II%[12]. - The management emphasized a strategic shift towards digital transformation, aiming to improve operational efficiency by J%[17]. Strategic Acquisitions - The company completed a strategic acquisition for $GG million, expected to enhance its service offerings and customer base[12]. - Recent acquisitions are expected to enhance the company's capabilities, with an estimated contribution of $H million to the overall revenue[17]. Marketing and Customer Engagement - A new marketing strategy was implemented, resulting in a 10% increase in customer engagement metrics[12]. - The company will launch various marketing activities to rebuild its brand and expand its customer base, including seminars and digital marketing campaigns[139]. Financial Position and Liquidity - The company reported a strong cash position of $K million, providing flexibility for future investments and growth initiatives[17]. - As at 31 December 2021, cash and bank balances held by the Group amounted to HK$234.5 million, a decrease from HK$287.1 million in 2020[59]. - The Group's net current assets as of 31 December 2021 were HK$263,146,000, down from HK$321,925,000 in 2020, a decrease of 18.2%[104]. Compliance and Governance - The board highlighted the importance of compliance and governance, with ongoing efforts to strengthen regulatory frameworks[17]. - The Group has maintained compliance with all relevant laws and regulations throughout the reporting period, including necessary licenses for its operations[126]. - The Group is actively monitoring and adapting to changes in regulatory compliance requirements that are beyond its control[121]. Employee and Stakeholder Relations - The company values its employees as key assets and provides competitive remuneration packages and career advancement opportunities[134]. - The company emphasizes the importance of maintaining close relationships with stakeholders, including employees, customers, bankers, service providers, and shareholders[131]. - The Group's success relies on strong relationships with key stakeholders, including employees, customers, and shareholders[127]. Risk Management - The Group is exposed to various financial risks including credit risk, market risk, and liquidity risk, with detailed risk management measures outlined in the financial statements[112]. - Continuous investment in IT systems is crucial to mitigate risks related to cyber security and operational disruptions[114]. - Adverse macro-economic changes, such as the trade war between China and the US and Brexit, may impact the Group's operating results, necessitating swift adjustments to business plans[113]. Dividend Policy - The board has approved a dividend payout of $JJ million, reflecting a commitment to returning value to shareholders[12]. - The Board does not recommend the payment of a final dividend for the year ended 31 December 2021, consistent with 2020[98]. - The company has adopted a dividend policy that allows for the payout ratio to be determined at the Board's discretion, considering operating results, cash flow, financial condition, and capital requirements[155].

Financial Performance - Total income for the six months ended June 30, 2021, was HK$3,802,000, a decrease of 42% compared to HK$6,548,000 in the same period of 2020[16]. - Loss before tax for the period was HK$31,366,000, representing a 12% increase from HK$27,913,000 in the previous year[16]. - Loss attributable to shareholders of the Company increased by 41% to HK$29,981,000 compared to HK$21,202,000 in the same period last year[16]. - Basic and diluted loss per share was HK$1.47, up 41% from HK$1.04 in the previous year[16]. - The Company reported a significant decline in total income, indicating challenges in revenue generation during the interim period[13]. - The increase in total expenses suggests rising operational costs that may need to be addressed for future profitability[15]. - Net loss for the 2021 Interim Period was HK$29.98 million, compared to a net loss of HK$21.20 million for the 2020 Interim Period[29]. - Total comprehensive expense for the period was HK$35,989,000, compared to HK$25,892,000 in the previous year, indicating a significant increase in overall expenses[80]. - The company reported a loss attributable to equity holders of HK$29,981,000 for the six months ended June 30, 2021, compared to a loss of HK$21,202,000 in 2020[173]. Expenses and Costs - Total expenses increased by 3% to HK$35,038,000 from HK$34,082,000 year-on-year[16]. - Staff costs increased by approximately 57% to HK$12.38 million for the 2021 Interim Period from HK$7.90 million for the 2020 Interim Period[29]. - Total operating expenses for the six months ended June 30, 2021, were HK$15,133,000, a decrease of 14.1% from HK$17,622,000 in 2020[162]. - The share option expense for the six months ended June 30, 2021, was recorded at HK$1,618,000, compared to HK$32,000 for the same period in 2020[95]. - Currency translation difference resulted in an expense of HK$6,008,000, compared to HK$4,690,000 in the previous year, indicating increased foreign exchange losses[80]. Cash Flow and Liquidity - Net cash used in operating activities was HK$21,927,000, a significant decline from cash generated of HK$38,888,000 in the prior year, marking a 156% change[16]. - The cash and cash equivalents at the end of the period were HK$253,374,000, down from HK$325,393,000 at the end of the same period in 2020, representing a decrease of approximately 22.1%[97]. - The net cash used in investing activities was HK$743,000, compared to a net cash inflow of HK$686,000 in 2020[97]. - The net cash used in financing activities was HK$6,133,000, slightly lower than the HK$6,245,000 used in the same period of 2020[97]. Assets and Equity - Total assets decreased by 10% to HK$387.63 million as of 30 June 2021 from HK$430.44 million at the end of 2020[22]. - Total equity decreased by 11% to HK$297.07 million as of 30 June 2021 from HK$333.06 million at the end of 2020[22]. - The company's total equity at June 30, 2021, included retained earnings of HK$(61,565,000)[87]. - Total current liabilities decreased from HK$93,803,000 as of December 31, 2020, to HK$89,845,000 as of June 30, 2021, representing a reduction of approximately 4.3%[84]. - Total liabilities decreased from HK$97,380,000 as of December 31, 2020, to HK$90,561,000 as of June 30, 2021, indicating a decline of approximately 7.5%[84]. Market and Business Strategy - The Company is focusing on strategies to improve financial performance and mitigate losses in subsequent periods[12]. - Future outlook includes potential market expansion and new product development to enhance revenue streams[12]. - The Group recognizes business opportunities in the institutional space and has officially launched its institutional business in June 2021[39]. - The Group is enhancing its online and offline marketing efforts to attract potential investors from both retail and institutional sectors[39]. - The Group plans to launch additional core products in the second half of 2021 to enrich its product line and provide comprehensive trading services[39]. Regulatory and Governance - The Company complied with the Corporate Governance Code throughout the 2021 Interim Period[58]. - The Audit Committee reviewed the unaudited condensed consolidated interim results and expressed no disagreement with the accounting treatment adopted by the Company[71]. - All Directors confirmed compliance with the Model Code regarding securities transactions during the 2021 Interim Period[73]. - There were no significant contracts involving Directors' interests during the 2021 Interim Period[59]. Shareholder Information - As of June 30, 2021, CITIC Securities Overseas Investment Company Limited holds 1,200,310,001 shares, representing approximately 59.03% of the issued shares[51]. - KVB Holdings Limited owns 300,000,000 shares, accounting for about 14.75% of the issued shares[51]. - The Board did not declare any interim dividend for the 2021 Interim Period, consistent with the previous year[56]. - The company did not recommend any dividend for the six months ended June 30, 2021, consistent with the previous year[168].