Financial Performance - For the three months ended March 31, 2023, the company reported revenue of HKD 12,604,000, a decrease from HKD 29,545,000 in the same period of 2022, representing a decline of approximately 57.6%[25] - The gross profit for the same period was HKD 2,363,000, compared to HKD 1,002,000 in 2022, indicating an increase of approximately 135.8%[25] - The operating profit for the period was HKD 17,398,000, a significant improvement from an operating loss of HKD 26,706,000 in the previous year[25] - The net profit for the period was HKD 16,393,000, compared to a net loss of HKD 28,284,000 in the same quarter of 2022, marking a turnaround[25] - Basic earnings per share for the period was HKD 0.67, compared to a loss per share of HKD 1.13 in the same period last year[25] - The profit attributable to owners of the company for the three months ended March 31, 2023, was approximately HKD 16.8 million, compared to a loss of HKD 28.2 million in the same period last year[40] - Basic earnings per share for the three months ended March 31, 2023, were approximately HKD 0.67, compared to a loss of HKD 1.13 per share in the previous year[40] - The company reported a profit attributable to shareholders of approximately HKD 16.8 million for the three months ended March 31, 2023, compared to a loss of HKD 28.2 million for the same period in 2022[89] Revenue Sources - Revenue from the information appliance business was approximately HKD 8.6 million, a decrease of 67.6% compared to the same period last year due to seasonal effects[83] - The IDC business generated revenue of approximately HKD 4.0 million, an increase of 33.3% year-over-year, driven by stable income from the Shatin IDC[84] - Rental income from IDC properties increased to HKD 4.0 million from HKD 3.0 million year-on-year[35] - Rental income from the leasing division was approximately HKD 2.1 million, a decrease of 4.3% from HKD 2.3 million in the previous fiscal year[61] Costs and Expenses - General and administrative expenses increased by 51.1% to approximately HKD 32.7 million, primarily due to amortization of intangible assets related to cryptocurrency mining equipment[87] - Financing costs decreased by 72.7% to approximately HKD 0.2 million, down from HKD 0.6 million in the previous year, reflecting improved operational cash flow[88] - Distribution and selling expenses decreased by 49.3% to approximately HKD 1.1 million, compared to HKD 2.1 million in the previous year, due to reduced logistics and transportation costs[85] Assets and Liabilities - As of March 31, 2023, the total equity attributable to owners of the company was approximately HKD 1,848.5 million, compared to HKD 1,827.2 million as of December 31, 2022[40] - As of March 31, 2023, the group's current assets net value was approximately HKD 521.9 million, with cash and bank balances of about HKD 132.8 million[65] - The current ratio was 2.5, up from 2.3 on December 31, 2022[107] - The debt-to-equity ratio as of March 31, 2023, was 21.3%, a decrease from 23.5% on December 31, 2022[107] - The company held approximately HKD 135.8 million in assets as collateral for loans as of March 31, 2023, compared to HKD 135.3 million on December 31, 2022[108] Market Conditions and Risks - The company noted that revenue may be unpredictable due to tight supply of microchips affecting the information appliance business[5] - The group is actively monitoring potential pressures from rising raw material costs in the information appliance business[69] Compliance and Governance - The company has established an audit committee to oversee financial reporting and internal controls[17] - The group will continue to comply with applicable laws and regulations in China, Hong Kong, and the United States to ensure compliance[72] - The company has adopted trading compliance standards as per GEM Listing Rules for directors' trading of its securities[122] Dividends and Investments - The company does not recommend the payment of dividends for the three months ended March 31, 2023[37] - The company did not engage in any significant investments or acquisitions during the reporting period[92] - The company has no significant investment or capital asset plans as of March 31, 2023[68] - The company has not entered into any contracts regarding the management or administration of its overall business or any significant business during the period[119] Other Income and Gains - Other income and net gains amounted to approximately HKD 49.8 million, compared to a net loss of HKD 3.8 million for the same period in 2022, attributed to a rebound in the stock market during the first quarter[63] - The net gain from foreign exchange was HKD 386,000, compared to a loss of HKD 363,000 in the previous year[35] - The company recorded a net gain of HKD 44.9 million from fair value adjustments, compared to a loss of HKD 10.8 million in the previous year[35] - The net income from financial assets measured at fair value was approximately HKD 44.9 million, a recovery from a loss of HKD 10.8 million in the previous year, attributed to a rebound in the stock market[84] Property Acquisition - The acquisition of investment property in Meishan, Sichuan, was completed on March 20, 2023, with internal renovation work expected to begin shortly thereafter[61]

YUXING INFOTECH INVESTMENT HOLDINGS LIMITED 裕 興 科 技 投 資 控 股 有 限 公 司 * （於百慕達註冊成立之有限公司） （股份代號：8005） 第一季度業績公佈 截至二零二三年三月三十一日止三個月 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在主板 上市之公司帶有較高投資風險。有意投資之人士應了解投資於該等公司之潛在風 險，並應經過審慎周詳之考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣 之證券承受較大的市場波動風險，同時無法保證在GEM買賣之證券會有高流通量 之市場。 香港交易及結算所有限公司及聯交所對本公佈之內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何部分內容而產生 或因倚賴該等內容而引致之任何損失承擔任何責任。 本公佈的資料乃遵照聯交所《GEM證券上市規則》（「GEM上市規則」）而刊載，旨在 提供有關裕興科技投資控股有限公司（「本公司」）及其附屬公司（統稱「集團」）的資 料。本公司的董事（「 ...

Economic Challenges and Performance - The company faced significant challenges in 2022 due to the ongoing impact of the COVID-19 pandemic, resulting in lower-than-expected economic growth in China and globally[7]. - The company reported stable performance in its core business compared to 2021, despite global economic downturns impacting its investment operations[8]. - The company maintains a cautious outlook for global economic recovery post-pandemic, emphasizing sustainable development and future growth as primary goals[11]. Business Operations and Revenue - The information home appliance business experienced operational disruptions due to lockdowns, affecting manufacturing and logistics in the first half of 2022, but sales rebounded strongly in the second half[7][8]. - The company's revenue for the fiscal year 2022 was HKD 223.2 million, an increase of 30.1% compared to HKD 171.7 million in 2021[17]. - The information appliance business generated approximately HKD 208.2 million in revenue for 2022, a 48.4% increase from the previous year[30]. - The IDC business reported revenue of approximately HKD 15.0 million in 2022, a decrease of 52.3% compared to the previous year, highlighting challenges in this segment[32]. Financial Performance and Losses - The operating loss for 2022 was HKD 259.7 million, compared to a loss of HKD 165.4 million in 2021, indicating a deterioration in operational performance[17]. - The loss attributable to shareholders for 2022 was HKD 290.1 million, up from HKD 172.5 million in 2021, reflecting increased financial challenges[17]. - The total assets decreased to HKD 2,255.1 million in 2022 from HKD 2,505.4 million in 2021, showing a decline in the company's asset base[24]. - The net equity attributable to shareholders fell to HKD 1,827.2 million in 2022 from HKD 2,096.3 million in 2021, indicating a significant reduction in shareholder value[24]. Investment and Future Plans - The company plans to integrate big data and digital transformation concepts into its downstream information home appliance business, capturing future opportunities[9]. - The company plans to complete the registration and renovation procedures for the Shanghai IDC project by Q2 2023, which is expected to improve future performance[33]. - The company aims to improve its financial performance through strategic investments and operational efficiencies[94]. Risk Management and Compliance - The company faces risks including supply chain issues for microchips, potential cost pressures in the information appliances business, and regulatory challenges for digital asset investments[79]. - The group has established and implemented key risk management processes, including procedures for handling and disclosing insider information[188]. - The company has a communication policy to promote effective communication with shareholders and stakeholders, encouraging active participation in company activities[193]. Governance and Management - The management team includes experienced professionals with backgrounds in finance, technology, and business development[85][86][87][88][89]. - The company has established a robust governance structure with a dedicated audit committee[91]. - The board consists of nine members, including six executive directors and three independent non-executive directors[154]. - The company has adopted a remuneration policy for directors that aligns with market practices and reflects performance and responsibilities[122]. Employee and Diversity Initiatives - The gender ratio among employees shows 36.6% female and 63.4% male, indicating a commitment to gender diversity across the organization[169]. - The board aims to achieve at least 2.8% (4) female directors, 2.1% (3) female senior management, and 35.2% (50) female employees, which is considered satisfactory[170]. Financial Summary and Audit - The group reported its financial performance for the year ending December 31, 2022, in the annual report's "Chairman's Report" and "Management Discussion and Analysis" sections[98]. - The auditor's fees for the year ended December 31, 2022, amounted to HKD 1,775,000, including HKD 1,650,000 for statutory audit services and HKD 125,000 for non-audit services[181]. - The audit committee held five meetings during the year to review financial performance and compliance procedures[141].

YUXING INFOTECH INVESTMENT HOLDINGS LIMITED 裕 興 科 技 投 資 控 股 有 限 公 司 * （於百慕達註冊成立之有限公司） （股份代號：8005） 年度業績公佈 截至二零二二年十二月三十一日止年度 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在主板 上市的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風 險，並應經過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣 之證券承受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量 的市場。 香港交易及結算所有限公司及聯交所對本公佈的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示概不就因本公佈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。 本公佈的資料乃遵照聯交所《GEM證券上市規則》（「GEM上市規則」）而刊載，旨在 提供有關裕興科技投資控股有限公司（「本公司」）及其附屬公司（統稱「集團」）之資 料。本公司的董事（「董事 ...

| --- | --- | --- | |--------|-----------------------------------------------|---------------------------------------------------------------------------------| | | | Yuxing InfoTech Investment Holdings Limited 裕 興 科 技 投 資 控 股 有 限 公 司 | | | ( 於百慕建註冊成立之有限公司 ) 股份代號: 8005 | | | | | | | | | | | 供假日 | | | 1 裕興科技投資控股有限公司 二零二二年第三季度業績報告 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在主板上市之 公司帶有較高投資風險。有意投資之人士應了解投資於該等公司之潛在風險，並應經過 審慎周詳之考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券承 受較大的市場波動風險，同時無法保證在G ...

Financial Performance - For the six months ended June 30, 2022, the group's revenue was approximately HKD 89.8 million, an increase of 20.2% compared to the same period last year[5]. - The group recorded a gross profit of approximately HKD 9.9 million for the six months ended June 30, 2022, down from HKD 20.7 million in the same period last year[5]. - The loss attributable to owners of the company for the six months ended June 30, 2022, was approximately HKD 105.4 million, compared to HKD 69.7 million for the same period last year[5]. - The basic loss per share for the six months ended June 30, 2022, was HKD 4.24, compared to HKD 2.83 for the same period last year[5]. - The total comprehensive loss for the six months ended June 30, 2022, was HKD 69.6 million, compared to HKD 61.3 million for the same period last year[9]. - The company reported a net loss of HKD 57,463,000 for the six months ended June 30, 2022, compared to a net loss of HKD 48,746,000 for the same period in 2021[48][50]. - The company reported a pre-tax loss of HKD 104,643,000 for the period, with income tax expenses of HKD 1,242,000[38]. Equity and Dividends - As of June 30, 2022, the total equity attributable to owners of the company was approximately HKD 2,027.2 million, down from HKD 2,096.3 million as of December 31, 2021[5]. - The board of directors did not recommend the payment of an interim dividend for the six months ended June 30, 2022[5]. - The total equity attributable to owners of the company decreased to HKD 2,027,220 thousand from HKD 2,096,274 thousand, a decline of approximately 3.3%[12]. - The company did not declare an interim dividend for the period[160]. Assets and Liabilities - Total assets as of June 30, 2022, amounted to HKD 2,457,182,000, an increase from HKD 2,505,444,000 as of December 31, 2021[42][43]. - Total liabilities as of June 30, 2022, were HKD 436,532,000, compared to HKD 415,227,000 as of December 31, 2021, indicating an increase in liabilities[42][43]. - Total current assets decreased to HKD 1,095,061 thousand from HKD 1,247,533 thousand, representing a decline of about 12.2%[10]. - Total liabilities increased to HKD 412,127 thousand from HKD 389,329 thousand, indicating a rise of about 5.8%[12]. - Net assets decreased to HKD 2,020,650 thousand from HKD 2,090,217 thousand, reflecting a decline of approximately 3.3%[12]. Cash Flow - For the six months ended June 30, 2022, the net cash used in operating activities was HKD (112,238,000), compared to a net cash generated of HKD 71,635,000 in the same period of 2021[17]. - The net cash generated from investment activities was HKD 101,567,000, slightly down from HKD 106,774,000 in the previous year[17]. - The net cash used in financing activities was HKD (11,254,000), a significant decrease from HKD 127,309,000 in the prior year[17]. - The cash and cash equivalents at the end of the reporting period decreased to HKD 319,592,000 from HKD 485,955,000 in the previous year[17]. Investment and Assets Valuation - The fair value of investment properties was reported at HKD 887,236,000, with HKD 796,848,000 classified under Level 3 fair value measurement[24]. - The fair value of financial assets measured at fair value through profit or loss decreased by HKD 33,081,000 during the period[28]. - The fair value of the company's investments in private equity funds was approximately HKD 14,794,000 as of June 30, 2022, down from HKD 51,110,000 at the end of 2021[82]. - The total fair value of non-listed equity securities was approximately HKD 222,188,000 as of June 30, 2022[89]. Segment Performance - The segment performance for the information appliances division showed a loss of HKD 9,848,000, while the IDC segment reported a loss of HKD 3,903,000[38]. - The revenue from the information electronics business for the six months ended June 30, 2022, was HKD 82,055,000, compared to HKD 54,342,000 for the same period in 2021, marking an increase of approximately 51%[48]. - The IDC business revenue recorded approximately HKD 7.0 million, a significant decline of 65.7% from HKD 20.4 million in the previous fiscal year[129]. - The investment segment recorded a loss of approximately HKD 87.2 million during the period, compared to a loss of about HKD 52.3 million in the same period last year, mainly due to the unresolved Russia-Ukraine crisis and the collapse of Terra (Luna) and TerraUSD (UST)[125]. Operational and Strategic Developments - The company plans to expand its market presence in China, Hong Kong, Australia, and other overseas markets, focusing on enhancing its service offerings[44]. - The group plans to strengthen risk assessment and adopt more conservative cost-saving policies in response to the economic downturn caused by the resurgence of COVID-19[122]. - The group has further invested in mining machines for Bitcoin mining, indicating a strategic move towards digital assets[125]. Shareholder Information - The company’s major shareholder, Unicorn Resources Inc., holds 741,379,800 shares, representing 29.80% of the total issued share capital[175]. - The company’s directors and senior management collectively own 4,604,000 shares, accounting for 0.19% of the total issued share capital[172]. - The total number of shares as of June 30, 2022, is 2,487,704,800 shares[179]. Compliance and Governance - The board has established an audit committee consisting of three independent non-executive directors[184]. - The audit committee has reviewed the financial statements and confirmed compliance with applicable accounting standards[186]. - The company has complied with all applicable laws and regulations in China, Hong Kong, and the United States during the reporting period[158].

Financial Performance - For the three months ended March 31, 2022, the group's revenue was approximately HKD 29.5 million, a decrease of 26.4% compared to the same period last year[5]. - The group recorded a gross profit of approximately HKD 1.0 million, down from HKD 9.3 million for the same period last year[5]. - The loss attributable to owners of the company for the three months ended March 31, 2022, was approximately HKD 28.2 million, compared to a loss of HKD 3.2 million for the same period last year[5]. - The basic loss per share for the three months ended March 31, 2022, was HKD 1.13, compared to HKD 0.13 for the same period last year[5]. - The company reported an operating loss of HKD 26.7 million for the three months ended March 31, 2022, compared to an operating loss of HKD 0.7 million for the same period last year[6]. - The total comprehensive loss for the period was HKD 24.4 million, compared to HKD 5.3 million for the same period last year[9]. - The company reported a net loss of HKD 10,203,000 from other gains/losses, compared to a gain of HKD 9,140,000 in the previous year[24]. - For the three months ended March 31, 2022, the company reported a loss attributable to shareholders of approximately HKD 28.2 million, compared to a loss of HKD 3.2 million for the same period in 2021, representing a significant increase in losses[43]. Revenue Breakdown - The company's revenue from information appliances for the three months ended March 31, 2022, was HKD 26,545,000, a decrease of 11.4% compared to HKD 29,951,000 in the same period of 2021[23]. - Revenue from IDC property and facility rentals was HKD 3,000,000, down 70.5% from HKD 10,178,000 year-on-year[23]. - Total revenue for the IDC business was HKD 29,545,000, a decline of 26.2% from HKD 40,129,000 in the previous year[23]. - Revenue for the information appliances business was approximately HKD 26.5 million, a decrease of 11.4% compared to the same period last year, primarily due to the resurgence of COVID-19 impacting global supply chains[34]. - IDC business revenue decreased by 70.5% to approximately HKD 3.0 million, down from HKD 10.2 million in the previous year, due to the cessation of rental income from the sold Shanghai IDC[35]. - Total revenue for the group was approximately HKD 29.5 million, a decrease of 26.4% from HKD 40.1 million in the same period last year, mainly due to the decline in IDC revenue[38]. Equity and Dividends - As of March 31, 2022, the total equity attributable to owners of the company was approximately HKD 2,071.9 million, down from HKD 2,096.3 million as of December 31, 2021[5]. - The board of directors did not recommend the payment of a dividend for the three months ended March 31, 2022[5]. - The company did not recommend any dividend payment for the three months ended March 31, 2022, consistent with the previous year[28]. - The board did not declare any dividends during the reporting period[59]. Share Issuance and Capital - The company issued 414,616,000 new shares at a price of HKD 0.20 per share, raising approximately HKD 82,924,000[15]. - The total net proceeds from the issuance of shares amounted to approximately HKD 82.7 million, with the funds allocated for IDC business development, information appliances, and general working capital[48]. - As of March 31, 2022, the entire net proceeds of HKD 82.723 million were fully utilized, with HKD 66.179 million for IDC business and HKD 8.272 million each for information appliances and general working capital[50]. Current Assets and Liquidity - As of March 31, 2022, the group had a current ratio of 3.3, compared to 3.2 as of December 31, 2021, indicating stable liquidity[44]. - The group held approximately HKD 825.0 million in net current assets, including cash and bank balances of approximately HKD 402.8 million[44]. Risks and Compliance - The company continues to face significant market volatility risks due to its listing on the GEM, which is designed for small and medium-sized enterprises[2]. - The company faces risks including supply chain issues for microchips, potential cost pressures in the information appliances sector, and competition from rapid technological advancements[53]. - The company is actively monitoring and implementing measures to address identified risks and uncertainties in its operations[55]. - The company has complied with all applicable laws and regulations in China, Hong Kong, and the United States during the reporting period[57]. - The company has complied with the corporate governance code as per GEM Listing Rules during the period[70]. Environmental Commitment - The company has no significant waste generation or air pollutant emissions, emphasizing its commitment to environmental protection[56]. Shareholding Structure - As of March 31, 2022, key executives hold a total of 741,379,800 shares, representing 29.80% of the company's issued share capital[60]. - As of March 31, 2022, Unicorn Resources Inc. holds 741,379,800 shares, representing approximately 29.80% of the total issued share capital of the company[63]. - Hongqiao Group Limited owns 351,867,200 shares, accounting for approximately 14.14% of the total issued share capital[63]. - The total number of shares outstanding as of March 31, 2022, is 2,487,704,800 shares[67]. Governance and Management - The audit committee consists of three independent non-executive directors, ensuring oversight of financial reporting and risk management[71]. - The company did not purchase, sell, or redeem any of its listed securities during the period[73]. - All directors confirmed compliance with the trading standards for securities transactions during the period[74]. - The company has not entered into any management or administrative contracts for overall business or any significant business during the period[68].

COVID-19 Impact - The group faced significant impacts from the COVID-19 pandemic, affecting its performance in the information appliances, IDC, and investment sectors[7]. - The construction of the IDC in San Jose, USA, experienced delays and incurred additional costs, while the Shanghai IDC sale was completed but faced registration delays due to domestic COVID-19[8]. Financial Performance - The company's revenue for the fiscal year 2021 was HKD 171.7 million, a decrease of 44.1% from HKD 307.4 million in 2020[15]. - The operating loss for 2021 was HKD 165.4 million, compared to an operating profit of HKD 30.4 million in 2020, reflecting a significant decline in profitability[21]. - The net loss attributable to shareholders for 2021 was HKD 172.5 million, compared to a profit of HKD 21.9 million in 2020[21]. - The total assets as of December 31, 2021, were HKD 2,505.4 million, slightly up from HKD 2,494.2 million in 2020[22]. - The total liabilities increased to HKD 415.2 million in 2021 from HKD 321.9 million in 2020, indicating a rise in financial obligations[22]. - The total equity attributable to shareholders decreased to HKD 2,096.3 million in 2021 from HKD 2,173.7 million in 2020[22]. - The group recorded a net loss provision for expected credit losses of approximately HKD 59.1 million in FY2021, a significant increase from zero in FY2020, due to increased credit risk from loan defaults[44]. - The company recorded a loss attributable to owners of approximately HKD 172.5 million for the fiscal year 2021, compared to a profit of HKD 21.9 million in fiscal year 2020[46]. Revenue Decline - The company reported a 48.3% decrease in revenue from the information appliances segment, dropping from approximately HKD 271.4 million in 2020 to about HKD 140.3 million in 2021[28]. - IDC business revenue decreased by 12.6% from approximately HKD 36.0 million in FY2020 to approximately HKD 31.4 million in FY2021, with profit dropping 18.8% to approximately HKD 11.4 million[30]. - The group's total revenue for FY2021 was approximately HKD 171.7 million, a significant decrease of 44.1% from approximately HKD 307.4 million in FY2020, primarily due to a shortage of microchips affecting the information appliance business[37]. Investment Strategy - The group shifted its investment focus from the stock market to the digital asset market, selling most of its securities investments and reallocating profits into computing power investments and cryptocurrency mining[8]. - The group expanded its investment activities into digital assets and biotechnology, indicating a strategic shift towards sectors with growth potential[34]. - The group has implemented a close risk assessment for cryptocurrency mining activities due to policy risks[8]. Operational Challenges - The group reported a decline in shipments due to global chip supply instability, prompting strict inventory and cost management measures[7]. - The company aims to mitigate the impact of chip supply shortages by seeking new raw material suppliers and implementing strict inventory management[29]. - The company faced significant risks including supply chain issues for microchips and potential cost pressures from raw materials in the information appliance distribution business[78]. Future Outlook - The group anticipates the completion of the second phase of the San Jose IDC construction in Q3 2022, aiming to attract new clients for stable operational funding[8]. - The introduction of new products leveraging Web3.0 and Metaverse concepts is expected to enhance the group's resilience and growth potential[7]. - The group aims to capitalize on the growing demand for data centers driven by technologies such as 5G, IoT, and AI, which are expected to bolster the IDC business[10]. - The group is committed to sustainable development and business improvement plans to pave the way for long-term stability and profitability[10]. Shareholder Relations - The group expresses gratitude to shareholders, customers, and partners for their support during challenging times[11]. - The board of directors did not recommend the payment of a final dividend for the year ending December 31, 2021, consistent with the previous year[101]. - The board will consider financial performance, earnings, and operational needs when deciding on future dividend payments[102]. Corporate Governance - The company has adopted a prudent treasury policy to manage its cash flow and minimize credit risk[51]. - The company has established appropriate policies and controls to safeguard assets and ensure compliance with relevant laws and regulations[188]. - The board is responsible for maintaining a robust and effective risk management and internal control system, which was reviewed annually for its effectiveness[200]. - The company has complied with the corporate governance code as per GEM listing rules, except for one specific provision[158]. Management and Structure - The management team has extensive experience in business development and investment projects, enhancing the company's strategic direction[89]. - The board of directors consists of nine members, including six executive directors and three independent non-executive directors[165]. - The company has adopted a board diversity policy to ensure a balanced board with diverse skills, experiences, and opinions[183].

Financial Performance - For the nine months ended September 30, 2021, the group's total revenue was approximately HKD 123.5 million, a decrease of 49.9% compared to the same period last year[5]. - The group recorded a gross profit of approximately HKD 29.8 million for the nine months ended September 30, 2021, down from HKD 39.6 million in the same period last year[5]. - The loss attributable to owners of the company for the nine months ended September 30, 2021, was approximately HKD 19.0 million, compared to a loss of HKD 26.8 million for the same period last year[5]. - The basic loss per share for the nine months ended September 30, 2021, was HKD 0.01, consistent with the loss per share for the same period last year[5]. - The operating loss for the nine months ended September 30, 2021, was HKD 12.2 million, compared to an operating loss of HKD 23.0 million for the same period last year[6]. - The total comprehensive income for the nine months ended September 30, 2021, was HKD 38.6 million, compared to a total comprehensive loss of HKD 15.3 million for the same period last year[9]. - The company reported a financing cost of HKD 2.6 million for the nine months ended September 30, 2021, compared to HKD 2.3 million for the same period last year[6]. - Overall revenue decreased by 49.9% to approximately HKD 123.5 million, with gross profit down 24.7% to approximately HKD 29.8 million[43]. - The group recorded a net loss of approximately HKD 19.0 million attributable to shareholders, an improvement from a loss of approximately HKD 26.8 million in the same period last year[48]. - The group’s financing costs increased by 9.8% to approximately HKD 2.6 million due to higher borrowing costs compared to the previous fiscal year[47]. Equity and Dividends - As of September 30, 2021, the total equity attributable to owners of the company was approximately HKD 2,238.4 million, an increase from HKD 2,173.7 million as of December 31, 2020[5]. - The board of directors did not recommend the payment of any dividend for the nine months ended September 30, 2021[5]. - The company did not recommend any dividend for the nine months ended September 30, 2021, consistent with the same period in 2020[28]. - The board did not declare any dividends during the reporting period[68]. User Engagement and Market Presence - The company’s user data showed a total of 62,193 active users, which is an increase from 51,827 active users at the beginning of the year[10]. - The company anticipates a recovery in user engagement and revenue growth as market conditions improve in the next fiscal year[10]. - The company plans to expand its market presence and invest in new technologies to enhance its product offerings in the upcoming quarters[10]. Assets and Liabilities - The total liabilities of the company as of September 30, 2021, were HKD 1,570,956,000, reflecting a slight increase from the previous quarter[10]. - As of September 30, 2021, the group had a current ratio of 4.4 times and a debt-to-equity ratio of 15.4%, indicating a strong financial position[49]. - The group’s total assets pledged as collateral for loans amounted to approximately HKD 142.4 million as of September 30, 2021[50]. Investments and Acquisitions - The company completed the sale of its indirect wholly-owned subsidiary, Shanghai Yiding, for USD 68 million (approximately HKD 530.4 million) on September 3, 2021[57][58]. - The company recorded a foreign exchange gain of HKD 13,010,000 related to the sale of the subsidiary[32]. - The company has begun investing in cryptocurrency by acquiring computing power, recognizing the growth potential of digital assets[41]. - The company purchased computing power equipment for cryptocurrency mining, with a total contract value of RMB 290 million, but decided not to pay the third installment of RMB 140 million[59]. - The company agreed to purchase 10,500 cryptocurrency mining machines for HKD 84.18 million, with payment to be made in USD Coin[63]. - The company has not engaged in any Bitcoin mining activities as of the report date and will provide further announcements regarding such activities in accordance with listing rules[63]. Operational Capacity and Future Outlook - The company reported a significant increase in operational capacity, which is expected to drive future revenue growth[10]. - The group is actively pursuing the completion of its IDC facility in San Jose, USA, with operational commencement expected in the first half of 2022[39]. - The company’s investment in intangible assets was capitalized, with a depreciation period of three years, impacting future financial statements[19]. Shareholder Information - As of September 30, 2021, the total number of issued shares of the company is approximately 2,487,704,800[76]. - Mr. Li Qiang holds 4,604,000 shares, representing 0.19% of the company's issued share capital[70]. - Mr. Cong Yu holds 741,379,800 shares, representing 29.80% of the company's issued share capital[70]. - Mr. Gao Fei holds 2,190,000 shares, representing 0.09% of the company's issued share capital[70]. - Mr. Shi Guangrong holds 22,660,000 shares, representing 0.91% of the company's issued share capital[70]. - Mr. Zhu Jiang holds 7,926,756 shares, representing 0.32% of the company's issued share capital[70]. - Ms. Shen Yan holds 324,000 shares, representing 0.01% of the company's issued share capital[70]. - Unicorn Resources Inc. holds 741,379,800 shares, representing 29.80% of the company's issued share capital[73]. - Hongqiao Group Limited holds 351,867,200 shares, representing 14.14% of the company's issued share capital[73]. Compliance and Governance - The company’s financial statements were prepared in accordance with Hong Kong Financial Reporting Standards, ensuring compliance and transparency[18]. - The board has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and risk management[82]. - The audit committee reviewed the unaudited interim financial results, ensuring compliance with applicable accounting standards[82]. - All directors confirmed compliance with the trading standards regarding their securities transactions during the period[85]. - There were no purchases, sales, or redemptions of the company's listed securities during the period[83]. - The company has not entered into any management contracts for overall business or any significant business during the period[78]. Risk Management - The company is focused on improving risk management systems across various aspects of its operations, with potential risks including market competition and regulatory changes affecting financial performance[64].

Financial Performance - For the six months ended June 30, 2021, the group's total revenue was approximately HKD 74.7 million, a decrease of 37.1% compared to the same period last year[5]. - The group recorded a gross profit of approximately HKD 20.7 million for the six months ended June 30, 2021, compared to HKD 17.1 million for the same period in 2020[5]. - The loss attributable to owners of the company for the six months ended June 30, 2021, was approximately HKD 69.7 million, compared to HKD 52.6 million for the same period in 2020[5]. - The basic loss per share for the six months ended June 30, 2021, was HKD 0.03, consistent with the loss per share for the same period in 2020[5]. - The company reported a net loss of HKD 69.9 million for the six months ended June 30, 2021, compared to a net loss of HKD 52.8 million for the same period in 2020[6]. - The group reported a total loss before tax of HKD 67,081,000 for the six months ended June 30, 2021[41]. - The group’s net loss for the period was HKD 69,921,000[41]. - The group recorded a net loss of approximately HKD 69.7 million for the period, compared to a loss of HKD 52.6 million for the same period last year, primarily due to poor performance in the investment portfolio[113]. Assets and Liabilities - As of June 30, 2021, the total equity attributable to owners of the company was approximately HKD 2,195.5 million, compared to HKD 2,173.7 million as of December 31, 2020[5]. - Non-current assets decreased from HKD 1,699,793 thousand to HKD 1,162,994 thousand, a decline of approximately 31.5%[9]. - Current assets increased from HKD 794,449 thousand to HKD 1,379,224 thousand, representing a growth of approximately 73.5%[9]. - Total liabilities decreased from HKD 287,251 thousand to HKD 300,994 thousand, reflecting an increase of about 4.5%[11]. - The total liabilities as of June 30, 2021, were HKD 348,253,000, compared to HKD 321,878,000 as of December 31, 2020[45]. - The company has outstanding loans receivable totaling HKD 233,747,000 as of June 30, 2021, compared to HKD 251,026,000 as of December 31, 2020[65]. Cash Flow and Financing - Operating cash flow for the six months ended June 30, 2021, was HKD 71,635,000, compared to a cash outflow of HKD 16,061,000 in the same period of 2020, representing a significant improvement[17]. - Net cash generated from operating activities was HKD 70,375,000, a recovery from a net cash outflow of HKD 16,622,000 in the previous year[17]. - The increase in cash and cash equivalents for the period was HKD 304,458,000, compared to a decrease of HKD 190,797,000 in the prior year[17]. - The company reported a net cash inflow from financing activities of HKD 127,309,000, compared to HKD 5,161,000 in the same period of 2020[17]. - The company made investments in property, plant, and equipment amounting to HKD 18,860,000, a significant reduction from HKD 246,745,000 in the previous year[17]. Revenue Segments - The total revenue for the information appliances segment was HKD 54,342,000, while the IDC segment generated HKD 20,392,000 in revenue[41]. - The revenue from the IDC facilities was recognized on a straight-line basis over the lease term[35]. - The revenue from the information appliances business was approximately HKD 54.3 million, a decrease of 47.0% compared to the same period last year[97]. - The IDC business generated revenue of approximately HKD 20.4 million, an increase of 25.5% from approximately HKD 16.2 million in the same period last year[98]. Investment Performance - The investment segment recorded a loss of HKD 52,270,000[41]. - The fair value change of investment properties resulted in a net loss of HKD 43,166,000[41]. - The fair value of listed equity securities in Hong Kong decreased from HKD 385,875,000 as of December 31, 2020, to HKD 77,039,000 as of June 30, 2021, representing a decline of approximately 80%[69]. - The fair value of private equity funds increased significantly from HKD 24,946,000 as of December 31, 2020, to HKD 58,367,000 as of June 30, 2021, marking an increase of about 133%[70]. - The cumulative unrealized holding loss from the acquisition date to June 30, 2021, was HKD 38,301,000, indicating a significant decline in asset value[71]. Corporate Governance and Compliance - The company is committed to high standards of corporate governance and has complied with applicable provisions of the GEM Listing Rules[157]. - The audit committee consists of three independent non-executive directors, ensuring compliance with corporate governance codes[57]. - The group has complied with all applicable laws and regulations in China, Hong Kong, and the United States during the reporting period[131]. Environmental and Social Responsibility - The group has not generated significant waste or emitted substantial air pollutants, demonstrating its commitment to environmental protection[130]. - The group is committed to minimizing its negative environmental impact through energy conservation and resource recycling initiatives[130]. Shareholder Information - As of June 30, 2021, the total number of issued shares was 2,487,704,800[153]. - Mr. Cong Yu holds 741,379,800 shares, representing 29.80% of the company's issued share capital[150]. - Mr. Hong Qiao Group holds 351,867,200 shares, accounting for 14.14% of the company's issued share capital[150].