Financial Performance - The group reported a pre-tax loss of approximately HKD 75,981,000 for the nine months ended December 31, 2022, compared to a loss of approximately HKD 25,347,000 for the same period last year [5]. - Revenue for the nine months ended December 31, 2022, was approximately HKD 23,227,000, representing a decrease of about 50.42% compared to the same period last year [15]. - Gross profit for the nine months ended December 31, 2022, was approximately HKD 12,441,000, down from HKD 36,330,000 in the previous fiscal year [12]. - The total comprehensive loss attributable to owners of the company for the nine months ended December 31, 2022, was approximately HKD 83,590,000, compared to HKD 19,986,000 for the same period last year [16]. - The group reported a loss per share of HKD 3.33 for the nine months ended December 31, 2022, compared to HKD 1.12 for the same period last year [36]. - The company reported a loss attributable to owners of approximately 75,981,000 HKD for the nine months ended December 31, 2022, compared to a loss of 25,347,000 HKD in the same period last year [52]. - The company reported a loss of approximately 37,114,000 HKD after tax for the nine months ended December 31, 2022, compared to a loss of 7,733,000 HKD in the same period last year [77]. Revenue and Expenses - The group’s revenue from financial services for the nine months ended December 31, 2022, was HKD 5,546,000, compared to HKD 16,751,000 in the previous year [24]. - The group incurred administrative expenses of HKD 56,549,000 for the nine months ended December 31, 2022, compared to HKD 44,767,000 in the previous year [7]. - Administrative expenses decreased by 46.40% from approximately 44,767,000 HKD to about 23,995,000 HKD, primarily due to improved internal control efficiency [56]. - The direct costs slightly increased from approximately 10,516,000 HKD in the previous year to about 10,816,000 HKD [76]. - Total compensation for employees was approximately HKD 13,812,000 for the nine months ended December 31, 2022, down from HKD 16,907,000 in the previous year, reflecting a reduction in headcount from 43 to 34 employees [123][1]. Dividends and Shareholder Information - The company did not recommend the payment of an interim dividend for the nine months ended December 31, 2022 [13]. - The company has not declared any dividends for the nine months ended December 31, 2022, consistent with the previous year [50]. - Fresh Success Investment Limited holds 62.95% of the issued shares, with 1,437,914,040 shares owned, indicating significant control over the company [131]. Cryptocurrency Operations - The company experienced a significant increase in cryptocurrency impairment losses, amounting to 27,223,000 HKD for the nine months ended December 31, 2022, compared to 6,001,000 HKD in the previous year [46]. - The company has initiated cryptocurrency mining operations after acquiring mining equipment on April 30, 2021 [79]. - Cryptocurrency mining operations were relocated to Kazakhstan in July 2021, but performance has been affected by unstable electricity supply and political conditions in the region [81]. - The management will continue to monitor the cryptocurrency mining business and seek opportunities to maximize its performance [81]. - The group completed the acquisition of digital currency mining machines for a total consideration of 112,522,768 shares, aiming to establish a stable income stream from the cryptocurrency/blockchain business [81]. Future Outlook and Strategy - The management anticipates that 2023 will be challenging due to global economic uncertainties, including the impact of the US-China trade dispute and rising interest rates [83]. - The group plans to enhance operational efficiency and seek strategic alliances to accelerate business development and improve financial conditions [83]. - The group aims to adjust its business portfolio to create value for shareholders amid the dual challenges and opportunities presented by the current market conditions [83]. - The group's operational funding primarily comes from internal resources as of the nine months ending December 31, 2022 [83]. Corporate Governance - The board of directors is committed to ensuring that all major business activities are independently evaluated and reviewed [106]. - The company continues to comply with the corporate governance code as per GEM listing rules, with minor deviations noted [138]. - The company is committed to reviewing its corporate governance practices regularly to ensure compliance with applicable standards [138]. - The board of directors includes four executive directors and three independent non-executive directors, ensuring a diverse governance structure [133]. Other Information - The company has a rental income of approximately HKD 1,700,000 per year from leasing certain lands and farms in Australia [124]. - The company has not engaged in any purchase, redemption, or sale of its listed securities during the review period [135]. - The company has not entered into any significant contracts that would affect its subsidiaries or directors' interests during the reporting period [127].

Financial Performance - The group's revenue for the six months ended September 30, 2022, was approximately HKD 10,955,000, a decrease of about 62% compared to the same period last fiscal year[7]. - The gross profit for the same period was approximately HKD 10,160,000, down from HKD 22,291,000 in the previous fiscal year[7]. - The loss attributable to owners of the company for the six months ended September 30, 2022, was approximately HKD 38,867,000, compared to a profit of HKD 17,614,000 in the same period last year[7]. - The company reported a total comprehensive loss of HKD 45,685,000 for the six months ended September 30, 2022, compared to a loss of HKD 1,906,000 in the same period last year[20]. - The basic and diluted loss per share for the six months ended September 30, 2022, was HKD 1.70, compared to HKD 0.78 in the previous year[22]. - The group reported a net loss of approximately HKD 38,867,000 for the six months ended September 30, 2022, compared to a net loss of HKD 17,614,000 for the same period in 2021[48]. - Financial services revenue for the six months ended September 30, 2022, was HKD 3,933,000, compared to HKD 11,898,000 for the same period in 2021, representing a decline of approximately 66.9%[59]. - Cryptocurrency business revenue was HKD 5,514,000 for the six months ended September 30, 2022, while there was no revenue reported for the same period in 2021[59]. - Total revenue for the six months ended September 30, 2022, was HKD 10,955,000, down from HKD 29,200,000 in the same period of 2021, indicating a decrease of about 62.5%[70]. - The group reported a pre-tax loss of HKD 38,867,000 for the six months ended September 30, 2022, compared to a pre-tax loss of HKD 17,614,000 for the same period in 2021[93]. Assets and Liabilities - Total assets less current liabilities as of September 30, 2022, were HKD 181,764,000, down from HKD 242,469,000 as of March 31, 2022[30]. - Current assets as of September 30, 2022, were HKD 94,017,000, compared to HKD 109,503,000 as of March 31, 2022[27]. - Non-current liabilities as of September 30, 2022, included HKD 149,545,000 in notes payable, down from HKD 167,382,000 as of March 31, 2022[31]. - The net asset value as of September 30, 2022, was HKD 22,982,000, a decrease from HKD 68,667,000 as of March 31, 2022[32]. - The group’s total non-current assets as of September 30, 2022, were HKD 93,742,000, down from HKD 109,228,000 as of March 31, 2022[75]. - Trade receivables, net of expected credit loss provisions, amounted to HKD 4,730,000 as of September 30, 2022[107]. Cash Flow - Cash and cash equivalents at the end of the period were HKD 75,291,000, down from HKD 82,773,000 in the previous year[43]. - The net cash generated from operating activities was HKD 22,244,000, a significant improvement from a cash outflow of HKD 37,116,000 in the prior year[43]. - The group incurred a net cash outflow of HKD 8,911,000 during the period, compared to HKD 38,260,000 in the same period last year[43]. - Cash and bank balances were approximately HKD 75,291,000 as of September 30, 2022, a decrease of about 12% from the balance as of March 31, 2022[139]. Cost Management and Operational Changes - The group aims to strengthen cost control measures to enhance profitability and cash inflow[51]. - The group incurred an impairment loss of HKD 23,688,000 related to cryptocurrency for the six months ended September 30, 2022[77]. - The group’s employee benefits expenses for the six months ended September 30, 2022, totaled HKD 9,208,000, compared to HKD 13,306,000 for the same period in 2021, reflecting a decrease of approximately 30.5%[84]. - Administrative expenses were reduced by 51% from approximately HKD 34,643,000 to about HKD 17,024,000 due to improved internal controls and no additional administrative costs from the cryptocurrency segment[126]. Dividend and Shareholder Matters - The board of directors does not recommend the payment of an interim dividend for the six months ended September 30, 2022[7]. - Fresh Success Investment Limited holds 1,437,914,040 shares, representing 62.95% of the issued share capital[161]. - Raywell Holdings Limited owns 135,430,000 shares, accounting for 5.93% of the issued share capital[161]. - The company has no provisions for preemptive rights in its articles of association or under Cayman Islands law[162]. Corporate Governance - The audit committee consists of three independent non-executive directors, responsible for reviewing financial reporting and internal controls[169]. - The remuneration committee is tasked with formulating policies regarding the remuneration of directors and senior management[170]. - The company has complied with all corporate governance codes as per GEM listing rules, with one exception regarding the attendance of the chairman at the annual general meeting[175]. - The board comprises four executive directors and three independent non-executive directors[177]. Future Outlook and Strategic Plans - The group plans to implement strict monitoring of receivables to improve cash flow and financial condition[51]. - The group will continue to seek financial support from major shareholders to meet its financial obligations[51]. - The group is in discussions with creditors to defer repayment of its debts[51]. - The board believes that with the planned measures and support, the group will have sufficient working capital to meet its financial responsibilities[51]. - The company’s management anticipates a challenging outlook due to the ongoing impacts of the US-China trade dispute and the COVID-19 pandemic[138]. - The company has suspended cryptocurrency mining operations in response to regulatory guidance from the Chinese government and has relocated operations to Kazakhstan since July 2021[134].

Financial Performance - The group's revenue for the three months ended June 30, 2022, was approximately HKD 6,094,000, a decrease of about 45.8% compared to the same period last fiscal year[9] - The gross profit for the same period was approximately HKD 5,983,000, down from HKD 10,832,000 in the previous fiscal year[9] - The loss attributable to owners of the company for the three months ended June 30, 2022, was approximately HKD 24,048,000, compared to a loss of HKD 6,605,000 in the same period last year[9] - The total comprehensive loss for the period was approximately HKD 27,813,000, compared to a total comprehensive income of HKD 11,230,000 in the previous fiscal year[9] - The financial services revenue for the three months ended June 30, 2022, was HKD 2,614,000, down from HKD 7,605,000 in the previous year[32] - The basic and diluted loss per share for the period was HKD 1.05, compared to HKD 0.29 in the previous year[24] - The loss attributable to the company's owners for the same period was approximately HKD 24,048,000, an increase of approximately HKD 17,443,000 compared to the previous fiscal year[59] Expenses and Costs - Administrative expenses for the period were HKD 9,131,000, down from HKD 14,489,000 in the previous year[18] - Financial costs for the three months ended June 30, 2022, were HKD 4,199,000, compared to HKD 4,386,000 in the previous year[39] - Direct costs decreased from approximately HKD 418,000 in the previous year to approximately HKD 111,000[59] - Administrative expenses decreased by 37.0% from approximately HKD 14,489,000 in the previous year to approximately HKD 9,131,000 due to business simplification[59] Assets and Cash Flow - As of June 30, 2022, the group's net asset value was approximately HKD 40,789,000, down from HKD 68,667,000 as of March 31, 2022[72] - Cash and bank balances as of June 30, 2022, were approximately HKD 115,221,000, an increase of approximately 34.7% compared to the balance as of March 31, 2022[72] Impairment and Provisions - The group recognized an impairment loss of approximately HKD 17,389,000 on cryptocurrencies held during the reporting period due to a decline in market value[59] - The net expected credit loss provision reversal for the period was HKD 321,000, compared to HKD 669,000 in the previous year[34] Corporate Governance - The audit committee, consisting of three independent non-executive directors, reviewed the financial results for the three months ended June 30, 2022[100] - The company has complied with the corporate governance code as set out in the GEM Listing Rules during the reporting period[101] - The company has established corporate governance procedures to ensure independent evaluation and review of business opportunities and performance[95] - There were no reported conflicts of interest or competition with the business of the company as of June 30, 2022[99] - The company continues to adopt the code of conduct for securities trading by directors, adhering to the standards set forth in GEM Listing Rules 5.48 to 5.67[102] - The board consists of four executive directors and three independent non-executive directors, ensuring a diverse governance structure[107] Strategic Direction - The group plans to continue improving operational efficiency and effectiveness while seeking strategic alliances to accelerate business development[71] - The group will adopt a prudent and balanced risk management approach to navigate the current unpredictable economic environment[66] - The company has suspended cryptocurrency mining operations in response to regulatory guidance from the Chinese government and has relocated operations to Kazakhstan since July 2021[68] Shareholder Information - Fresh Success Investment Limited, controlled by Mr. Zheng Dinggang, holds 1,437,914,040 shares, representing 62.95% of the issued share capital[88] - Raywell Holdings Limited, controlled by Mr. Yang Keqin, holds 135,430,000 shares, representing 5.93% of the issued share capital[88] - The company did not purchase, sell, or redeem any shares during the three months ended June 30, 2022[84] - The company has not granted or exercised any share options under the share option scheme during the three months ended June 30, 2022, and no share options were outstanding as of that date[83] - No purchases, redemptions, or sales of the company's listed securities were conducted by the company or any of its subsidiaries during the review period[106] Employment - As of June 30, 2022, the total number of employees was 42, a decrease from 43 in 2021, with total compensation amounting to approximately HKD 5,043,000, down from HKD 6,593,000 in 2021[75]

Financial Performance - The group's revenue for the nine months ended December 31, 2021, was approximately HKD 46,846,000, a decrease of about 24% compared to the same period last fiscal year[7]. - The gross profit for the nine months ended December 31, 2021, was approximately HKD 36,330,000, down from HKD 53,903,000 in the same period last fiscal year[7]. - The loss attributable to shareholders for the nine months ended December 31, 2021, was approximately HKD 25,347,000, compared to a profit of HKD 4,477,000 in the same period last fiscal year[7]. - The total comprehensive loss for the nine months ended December 31, 2021, was HKD (19,986,000), compared to a total comprehensive income of HKD 17,014,000 in the same period last fiscal year[12]. - The basic and diluted loss per share for the nine months ended December 31, 2021, was HKD (1.12), compared to earnings of HKD 0.21 in the same period last fiscal year[12]. Costs and Expenses - The group's direct costs for the nine months ended December 31, 2021, were HKD 10,516,000, compared to HKD 7,823,000 in the same period last fiscal year[10]. - The group's administrative expenses for the nine months ended December 31, 2021, were HKD 44,767,000, compared to HKD 55,526,000 in the same period last fiscal year[10]. - Direct costs increased from approximately HKD 7,823,000 in the previous year to approximately HKD 10,516,000[37]. - Administrative expenses decreased by 19%, from approximately HKD 55,526,000 to approximately HKD 44,767,000, mainly due to improved internal control efficiency[37]. Dividend and Shareholder Information - The company did not recommend the payment of an interim dividend for the nine months ended December 31, 2021[8]. - As of December 31, 2021, the company had 29,219,400 stock options granted, all of which were unexercised during the nine-month period[68]. - Fresh Success Investments Limited holds 1,437,914,040 shares, representing 62.82% of the issued share capital[73]. - Raywell Holdings Limited owns 135,430,000 shares, accounting for 5.93% of the issued share capital[73]. - No stock options were granted or exercised during the nine-month period ending December 31, 2021[67]. Business Operations and Strategy - The company primarily engages in lending, securities, futures brokerage, asset management services, property investment, cryptocurrency mining, and investment in racehorses[14]. - The financial services segment's revenue and profit decreased compared to the same period last fiscal year due to cautious management in light of global uncertainties and market volatility[43]. - The group completed the purchase of cryptocurrency mining equipment on April 30, 2021, and commenced cryptocurrency mining operations[40]. - The company has suspended cryptocurrency mining operations in response to the Chinese government's directives and has relocated its mining activities to Kazakhstan since July 2021[44]. - The group is seeking opportunities to maximize the performance of its cryptocurrency mining sector amid unstable power supply and political conditions in Kazakhstan[44]. Governance and Compliance - The audit committee, consisting of three independent non-executive directors, reviewed the financial results for the nine-month period ending December 31, 2021[79]. - The company has complied with all provisions of the corporate governance code as per GEM Listing Rules Appendix 15, except for the absence of the chairman at the 2019 annual general meeting due to unforeseen circumstances[83]. - The board consists of five executive directors and three independent non-executive directors, ensuring a diverse governance structure[87]. - The company continues to adopt a code of conduct for securities transactions by directors, maintaining strict adherence to the standards set forth in GEM Listing Rules[86]. Future Outlook and Challenges - The management anticipates that 2021 and 2022 will be challenging years due to global economic impacts from trade disputes and the COVID-19 pandemic[47]. - The group will regularly review and adjust its business strategies to adopt a prudent and balanced risk management approach in response to the unpredictable economic situation[43]. - The board will explore strategic alliances to accelerate business development and improve financial conditions for shareholder value creation[47]. Asset and Financial Position - As of December 31, 2021, the group's net asset value was approximately HKD 141,992,000, an increase from HKD 61,979,000 as of March 31, 2021[48]. - Cash and bank balances as of December 31, 2021, were approximately HKD 90,418,000, a decrease of about 15% from the balance as of March 31, 2021[48]. - The group has no assets pledged under finance leases as of December 31, 2021[49]. - The group has not established any foreign exchange hedging arrangements and will monitor foreign currency exchange rate changes closely[50]. Legal and Regulatory Matters - The original claim against the group has been withdrawn, with the Guangdong High People's Court approving the withdrawal on November 11, 2021[57]. - The company has not disclosed any significant contracts involving directors or senior management with substantial interests as of the end of the reporting period[71]. - The company has no arrangements that would result in directors or their associates obtaining rights to shares or bonds of other corporations[69]. - No new stock options were granted under the 2006 stock option plan after its expiration on December 4, 2016[67].

Financial Performance - The group's revenue for the six months ended September 30, 2021, was approximately HKD 29,200,000, a decrease of about 30% compared to the same period last fiscal year[7]. - The gross profit for the six months ended September 30, 2021, was approximately HKD 22,291,000, down from HKD 39,570,000 in the same period last year[7]. - The loss attributable to the owners of the company for the six months ended September 30, 2021, was approximately HKD 17,614,000, compared to a profit of HKD 7,780,000 in the same period last year[7]. - The basic and diluted loss per share for the six months ended September 30, 2021, was HKD (0.78), compared to earnings of HKD 0.36 in the same period last year[12]. - The total comprehensive loss for the six months ended September 30, 2021, was HKD (1,906,000), compared to a total comprehensive income of HKD 15,134,000 in the same period last year[12]. - The company reported a pre-tax loss of (17,614) thousand HKD for the six months ended September 30, 2021, compared to a profit in the previous year, indicating a significant downturn in performance[32]. - For the three months ended September 30, 2021, the company reported a loss attributable to owners of the company of HKD (9,471) thousand, compared to a profit of HKD 12,145 thousand in the same period of 2020[49]. - The group recorded revenue of approximately HKD 29,200,000 for the six months ended September 30, 2021, a decrease of 30% compared to the same period last fiscal year, primarily due to the horse and financial services segments[75]. - The group reported a loss attributable to owners of approximately HKD 17,614,000 for the six months ended September 30, 2021, compared to a profit of HKD 7,780,000 in the same period last fiscal year, mainly due to the overall revenue decline[76]. Assets and Liabilities - Non-current assets as of September 30, 2021, totaled HKD 158,213,000, compared to HKD 65,529,000 as of March 31, 2021[14]. - Current assets as of September 30, 2021, included cash and cash equivalents of HKD 82,773,000, down from HKD 106,926,000 as of March 31, 2021[14]. - Total liabilities as of September 30, 2021, were HKD 146,586,000, compared to HKD 159,771,000 as of March 31, 2021[14]. - The company's net assets as of September 30, 2021, were HKD 160,071,000, significantly up from HKD 61,979,000 as of March 31, 2021[17]. - The total liabilities of the company as of September 30, 2021, were HKD 171,067 thousand, compared to HKD 162,320 thousand as of March 31, 2021[67]. - The company's trade receivables, net of expected credit loss provisions, amounted to HKD 2,909 thousand as of September 30, 2021, compared to HKD 2,363 thousand as of March 31, 2021[59]. - The company reported a total of HKD 9,648 thousand in prepayments, deposits, and other receivables as of September 30, 2021, compared to HKD 3,182 thousand as of March 31, 2021[62]. Cash Flow and Operating Activities - The net cash used in operating activities for the six months ended September 30, 2021, was (37,116) thousand HKD, compared to 42,746 thousand HKD in the same period of 2020, indicating a significant decline[21]. - Cash and cash equivalents at the end of the period were 82,773 thousand HKD, down from 124,760 thousand HKD at the end of the same period in 2020, a decrease of approximately 33.7%[21]. - The company incurred total employee benefits expenses of 10,532 thousand HKD for the six months ended September 30, 2021, compared to 11,110 thousand HKD in the same period of 2020, showing a reduction of about 5.2%[44]. - The company’s investment activities generated a net cash inflow of 61 thousand HKD for the six months ended September 30, 2021, a recovery from a net outflow of (1,610) thousand HKD in the same period of 2020[21]. Business Operations and Strategy - The company plans to continue focusing on its core business segments while exploring opportunities for market expansion and new product development[22]. - The group completed the purchase of cryptocurrency mining equipment on April 30, 2021, and commenced cryptocurrency mining operations[79]. - The group has restructured its horse segment and leased certain lands and farms in Australia to an independent third party to improve performance and cash flow[80]. - The group plans to seek strategic alliances to accelerate business development and improve financial conditions amid ongoing challenges from the US-China trade dispute and COVID-19 pandemic[86]. Corporate Governance and Shareholder Information - The Audit Committee was established on November 29, 2000, and is responsible for reviewing the financial reporting process and internal control mechanisms of the group[116]. - The Remuneration Committee, formed on March 18, 2005, consists of three independent non-executive directors and is tasked with recommending policies regarding the remuneration of directors and senior management[118]. - The company has adopted a code of conduct for securities transactions by directors, ensuring compliance with GEM Listing Rules[119]. - The company has applied and complied with all provisions of the corporate governance code as per GEM Listing Rules, with minor deviations noted[120]. - The Board of Directors includes five executive directors and three independent non-executive directors as of the report date[124]. - The company has not granted any stock options during the six-month period ending September 30, 2021, and no options were exercised[105]. - The company has no provisions for preemptive rights in its articles of association or under Cayman Islands law[114]. - There are no reported conflicts of interest or competition with the company's business from directors or major shareholders[115]. - The company has not been notified of any other relevant interests or short positions in its shares as of September 30, 2021[113].

太 陽 國 際 集 團 有 限 公 司 SUN INTERNATIONAL GROUP LIMITED (於開疊群島註冊成立之有限公司) | (股份代號：8029) | --- | --- | --- | --- | |-------|---------|-------------|-------| | | | | | | | | | | | | | | | | | | | | | | 第 2021 | 季 度 報 告 | | | | | | | olines, 香港聯合交易所有限公司(「聯交所」) GEM之特色 GEM之定位乃為相較在聯交所上市之公司帶有更高投資風險之公司提供一個上市之市場。有意投資 者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。GEM具有較高 風險及其他特色表示GEM較適合專業投資者及其他資深投資者。 由於GEM上市公司屬新興性質,在GEM貫寶之證券可能會較於聯交所主板買賣之證券承受更大市 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香港聯合交易所有限公司對本報告之內容概不負責 對其準確性或完 整性亦不發表任何聲明, ...

Financial Performance - The company recorded revenue of approximately HKD 63,724,000 for the year ended March 31, 2021, a decrease of 35% compared to HKD 98,073,000 in the previous fiscal year[20]. - The gross profit for the same period was approximately HKD 57,332,000[15]. - The loss attributable to owners of the company increased to approximately HKD 61,928,000 from HKD 60,485,000 in the previous year[20]. - For the fiscal year ending March 31, 2021, the group recorded a loss attributable to the owners of the company of approximately HKD 61,928,000, compared to a loss of HKD 60,485,000 in the previous year[48]. - The group's financial costs for the fiscal year were approximately HKD 20,527,000, a decrease of 23% from HKD 26,729,000 in the previous fiscal year[46]. - Revenue from the horse services segment for the twelve months ending March 31, 2021, was approximately HKD 21,999,000, down from HKD 26,443,000 in the previous year[38]. Cost Management - Direct costs decreased from approximately HKD 6,665,000 to about HKD 6,392,000[25]. - Administrative expenses were reduced by 17% from HKD 87,286,000 in 2020 to approximately HKD 72,052,000[25]. - The group continues to seek new business opportunities in the financial services sector while maintaining cost control and improving operational performance[39]. Financial Position - As of March 31, 2021, the company had cash and bank balances of approximately HKD 106,926,000[18]. - As of March 31, 2021, the group's current assets were approximately HKD 325,358,000, down from HKD 465,135,000 in the previous year, with a current ratio of approximately 2.04:1 compared to 1.78:1 in the previous year[41]. - The capital-to-debt ratio was approximately 267%, up from 194% in the previous year[26]. Dividend Policy - The company did not recommend the distribution of a final dividend for the year ended March 31, 2021[17]. - The group has not declared a final dividend for the year ending March 31, 2021, consistent with the previous year[34]. - As of March 31, 2021, the company had no distributable reserves available for shareholders, compared to zero in the previous year[81]. Business Development - The company remains optimistic about the growth prospects in the financial services sector, including lending, securities, and asset management[21]. - The company has successfully diversified its business segments into financial services, including securities trading and asset management, following acquisitions in recent years[59]. - The company completed the acquisition of cryptocurrency mining machines on April 30, 2021, to diversify its business into the cryptocurrency mining sector[59]. - The company is exploring strategic alliances to accelerate business development and improve financial conditions for shareholder value creation[49]. Market Conditions - The company anticipates a challenging year in 2021 due to the ongoing impacts of the US-China trade dispute and the COVID-19 pandemic on global economic conditions and consumer confidence[49]. - The financial services division is expected to face significant performance impacts from the stock market performance in Hong Kong and China[49]. - The company acknowledges the uncertainty in market sales trends, particularly in the thoroughbred horse market, which is influenced by global market trends and the reputation of specific horses[52]. - The company is aware of the risks associated with political, social, and economic policy uncertainties in Australia, which could adversely affect its operations[55]. Corporate Governance - The company has established corporate governance procedures to ensure independent evaluation and review of business opportunities and performance[126]. - The board believes that the interests of the group are adequately protected against competition from directors' personal interests[126]. - The company has adopted a code of conduct for directors' securities trading, adhering to the standards set by GEM listing rules[167]. - The board consists of six members, including three executive directors and three independent non-executive directors, ensuring compliance with GEM listing rules[169]. - The company has established an audit committee and a remuneration committee to maintain high standards of corporate governance[193]. Share Options and Stock - The total number of options available for issuance under the share option plan as of March 31, 2021, is 107,263,864 shares, which is approximately 5% of the total issued shares[134]. - The company has not granted any stock options for the year ending March 31, 2021, maintaining the same status as 2020[143]. - The average exercise price of stock options granted was HKD 0.757, with a historical volatility of 61.97%[142]. - The company has a total of 67,690,204 stock options that were exercised during the reporting period[142]. Employee and Executive Compensation - The compensation policy for senior executives is primarily linked to performance, with employee benefits including medical insurance and mandatory provident fund[152]. - The remuneration of directors and senior management is determined by the company's performance and profitability, as well as compensation benchmarks from local and international companies[199].

Financial Performance - For the nine months ended December 31, 2020, the group's revenue was approximately HKD 61,726,000, a decrease of about 25% compared to the same period last fiscal year[14]. - The gross profit for the nine months ended December 31, 2020, was approximately HKD 53,903,000, down from HKD 63,614,000 in the same period last year[14]. - The profit attributable to shareholders for the nine months ended December 31, 2020, was approximately HKD 4,477,000, compared to a loss of HKD 2,474,000 in the same period last year[14]. - The total comprehensive income for the nine months ended December 31, 2020, was HKD 17,014,000, compared to HKD 3,161,000 in the same period last year[18]. - The basic and diluted earnings per share for the nine months ended December 31, 2020, was HKD 0.21, compared to a loss of HKD 0.11 in the same period last year[27]. - The group reported a loss before tax of HKD 3,303,000 for the three months ended December 31, 2020, compared to a profit of HKD 21,728,000 in the same period last year[18]. - The group’s other operating income for the nine months ended December 31, 2020, was HKD 2,780,000, down from HKD 7,331,000 in the same period last year[18]. - Financial services revenue for the nine months was HKD 37,297,000, down from HKD 50,420,000 in the previous year, representing a decline of 26%[35]. - Horse racing services revenue for the nine months was HKD 24,429,000, down from HKD 32,109,000, reflecting a decrease of 24%[35]. Dividend and Shareholder Information - The company did not recommend the payment of an interim dividend for the nine months ended December 31, 2020[15]. - The company did not recommend the payment of an interim dividend for the nine months ended December 31, 2020, compared to no dividend in the same period last year[48]. - As of December 31, 2020, the company had a total of 1,435,009,040 shares held by First Cheer Holdings Limited, representing 66.08% of the issued shares[112]. - No new share options were granted or exercised during the nine months ending December 31, 2020[99]. - The company has a total of 107,263,864 share options outstanding as of December 31, 2020[108]. - The exercise price for the share options ranges from HKD 0.315 to HKD 1.260[108]. Operational Highlights - The group primarily engages in lending, securities, futures brokerage, asset management services, and horse-related services during the reporting period[28]. - Direct costs decreased from approximately HKD 18,915,000 in the previous year to about HKD 7,823,000[58]. - Administrative expenses recorded a reduction of 15%, decreasing from approximately HKD 65,237,000 to about HKD 55,526,000, primarily due to improved internal control efficiency[58]. - The company has maintained a stable number of breeding horses compared to last year, contributing to steady income from horse breeding services[66]. - The board believes that the sale of Sun Kingdom Pty Ltd will positively impact the group's performance[66]. Financial Position - As of December 31, 2020, the group's net asset value was approximately HKD 127,582,000, up from HKD 110,564,000 on March 31, 2020[75]. - Cash and bank balances as of December 31, 2020, were approximately HKD 124,103,000, representing an increase of about 12% from March 31, 2020[75]. Strategic Outlook - The group plans to seek strategic alliances to accelerate business development and improve financial conditions[74]. - The management anticipates that 2020 and 2021 will be challenging due to the global economic impact of the US-China trade dispute and COVID-19[74]. - The group has successfully obtained authorizations for several placement and corporate financing projects since taking over the target companies in February 2016[67]. Corporate Governance - The company has established an Audit Committee as of November 29, 2000, consisting of three independent non-executive directors to oversee financial reporting and internal controls[119]. - The company has complied with all provisions of the corporate governance code as per GEM Listing Rules, except for the absence of the chairman at the 2019 annual general meeting due to unforeseen circumstances[124]. - The Remuneration Committee, established on March 18, 2005, is responsible for recommending policies regarding the remuneration of directors and senior management[120]. - The board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[126]. - The company continues to adopt a code of conduct regarding securities trading by directors, ensuring compliance with GEM Listing Rules[125]. - The company will continue to review its corporate governance practices to ensure compliance with the relevant codes[124]. Employment and Remuneration - The total number of employees as of December 31, 2020, was 65, an increase from 62 in 2019[85]. - The total remuneration for employees for the nine months ended December 31, 2020, was approximately HKD 21,280,000, down from HKD 22,062,000 in 2019[85]. Other Information - The company has not entered into any significant contracts that would provide directors with substantial interests as of the end of the reporting period[110]. - The company has not disclosed any new strategies or market expansions during the reporting period[98]. - There were no acquisitions or mergers reported in the latest financial period[98]. - The company did not report any new product developments or technological advancements during the nine months ending December 31, 2020[98]. - The company has not engaged in any competitive business or conflicts of interest involving its directors or major shareholders[118]. - The company has not been notified of any relevant interests or short positions in shares as of December 31, 2020[116].

Financial Performance - The group's revenue for the six months ended September 30, 2020, was approximately HKD 41,811,000, a decrease of about 15% compared to the same period last year[10]. - Gross profit for the same period was approximately HKD 39,570,000, down from HKD 41,307,000 in the previous fiscal year[10]. - The profit attributable to the owners of the company for the six months was approximately HKD 7,780,000, compared to a loss of HKD 23,872,000 in the same period last year[10]. - Basic and diluted earnings per share for the six months were HKD 0.36, compared to a loss per share of HKD 1.08 in the previous year[20]. - The company reported a total comprehensive income of HKD 15,134,000 for the six months, compared to a loss of HKD 8,841,000 in the same period last year[20]. - The financial services segment revenue reached HKD 27,319,000, while horse services segment revenue was HKD 14,492,000, totaling HKD 41,811,000 for the period ending September 30, 2020[50]. - The financial services segment reported a profit of HKD 31,786,000, whereas the horse services segment incurred a loss of HKD 441,000, resulting in a total profit of HKD 32,227,000[50]. - For the same period in 2019, total revenue was HKD 49,464,000, indicating a decrease of approximately 15.5% year-over-year[59]. - The company reported a pre-tax profit of HKD 7,780,000 for the six months ending September 30, 2020, compared to a pre-tax loss of HKD 23,479,000 for the same period in 2019[58]. Expenses and Costs - Administrative expenses and finance costs for the six months were HKD 39,315,000, a decrease from HKD 65,716,000 in the previous year[13]. - Other operating income for the six months was HKD 2,425,000, down from HKD 4,691,000 in the previous year[13]. - The company experienced a significant reduction in direct costs, which were HKD 2,241,000 for the six months, compared to HKD 8,157,000 in the previous year[13]. - The company’s employee benefits expenses, including directors' remuneration, totaled HKD 11,110,000 for the six months ending September 30, 2020[65]. - The total employee compensation for the six months ended September 30, 2020, was approximately HKD 13,983,000, compared to HKD 14,847,000 in 2019[141]. Assets and Liabilities - As of September 30, 2020, the company's non-current assets totaled HKD 93,067,000, slightly down from HKD 93,475,000 as of March 31, 2020[23]. - The company's current assets increased to HKD 769,903,000 from HKD 465,135,000, reflecting a significant growth in cash and cash equivalents, which rose to HKD 124,760,000 from HKD 110,506,000[23]. - The total equity of the company increased to HKD 125,698,000 from HKD 110,564,000, indicating a positive trend in the company's financial health[26]. - The company's total liabilities decreased to HKD 180,097,000 from HKD 186,156,000, showing improved management of obligations[26]. - The current liabilities increased significantly to HKD 557,175,000 from HKD 261,890,000, suggesting a rise in short-term obligations[23]. - Trade receivables as of September 30, 2020, amounted to HKD 11,328,000, an increase from HKD 5,601,000 as of March 31, 2020[89]. - The expected credit loss provision for trade receivables was HKD (3,788,000) as of September 30, 2020, compared to HKD (5,004,000) as of March 31, 2020[89]. - The balance of property, plant, and equipment as of September 30, 2020, was HKD 99,098,000, up from HKD 86,529,000 as of March 31, 2020[86]. - The accumulated depreciation as of September 30, 2020, was HKD 60,212,000, compared to HKD 52,081,000 as of March 31, 2020[86]. - The net book value of property, plant, and equipment as of September 30, 2020, was HKD 38,886,000, an increase from HKD 34,448,000 as of March 31, 2020[86]. - The group’s trade payables as of September 30, 2020, were HKD 511,706,000, compared to HKD 208,139,000 as of March 31, 2020[96]. Dividends and Shareholder Information - The company did not recommend the payment of an interim dividend for the six months ended September 30, 2020, consistent with the previous year[10]. - The company did not recommend any interim dividend for the six months ending September 30, 2020, consistent with the previous year[70]. - As of September 30, 2020, the company had a total of 1,436,260,290 ordinary shares held by Mr. Zheng Dinggang, representing 66.13% of the issued shares[150]. - The total number of unexercised share options as of September 30, 2020, was 107,263,864, with exercise prices ranging from HKD 0.315 to HKD 1.260[162]. - First Cheer Holdings Limited, which is beneficially owned by Mr. Zheng Dinggang and Mr. Zhou Zhuohua, holds 1,435,009,040 shares, accounting for 66.08% of the issued shares[169]. - Raywell Holdings Limited holds 135,430,000 shares, representing 6.24% of the issued shares[169]. - Raywell Holdings Limited is wholly owned by Mr. Yang Keqin, who is deemed to have an interest in 135,430,000 shares of the company[170]. - The company has not received any notifications regarding any other relevant interests or short positions in the company's shares as of September 30, 2020[170]. Corporate Governance and Compliance - The Audit Committee, consisting of three independent non-executive directors, reviewed the financial results for the six months ended September 30, 2020[177]. - The company has complied with all provisions of the corporate governance code as per GEM Listing Rules, except for one deviation regarding the attendance of the chairman at the annual general meeting[184]. - No purchases, redemptions, or sales of the company's listed securities were made by the company or its subsidiaries during the review period[185]. - The board of directors includes three executive directors and three independent non-executive directors as of the report date[186]. Future Outlook and Strategy - The company aims to improve operational efficiency and explore new market opportunities in the upcoming quarters[10]. - The group has identified additional new business opportunities in the financial services segment while continuing to execute cost control measures[124]. - The group aims to improve operational efficiency and effectiveness while seeking strategic alliances to accelerate business development and enhance financial conditions[131]. - The group anticipates that the current economic situation will pose significant challenges in 2020, particularly due to the impact of the COVID-19 pandemic and trade disputes[131]. - The group believes that the sale of Sun Kingdom Pty Ltd will have a positive impact on its performance[125]. - The group has successfully obtained several authorizations for placement and other corporate financing projects since taking over the target company's business on February 29, 2016[127]. - The group has no assets pledged under finance leases as of September 30, 2020, compared to zero in 2019[133]. - The group has not established any foreign exchange hedging arrangements and must closely monitor foreign currency exchange rate changes to manage foreign exchange risks[134].

Financial Performance - The group's revenue for the three months ended June 30, 2020, was approximately HKD 17,558,000, a decrease of about 22% compared to the same period last year[12] - Gross profit for the same period was approximately HKD 16,501,000, slightly down from HKD 16,706,000 in the previous fiscal year[12] - The loss attributable to owners of the company for the three months ended June 30, 2020, was approximately HKD 4,481,000, compared to a loss of HKD 20,000,000 in the same period last year[12] - Total comprehensive income for the period was approximately HKD 2,835,000, a significant improvement from a loss of HKD 14,432,000 in the previous year[12] - The basic and diluted loss per share for the period was HKD 0.21, compared to HKD 0.92 in the same period last year[12] - Revenue from the horse services segment was approximately HKD 2,597,000, down from HKD 6,647,000 in 2019[52] - The actual interest expense on bonds and loans was HKD 662,000, compared to HKD 628,000 in the previous year[33] Cost Management - Administrative expenses for the period were HKD 16,835,000, down from HKD 29,693,000 in the previous year, indicating improved cost management[12] - Direct costs decreased from approximately HKD 5,718,000 in the previous year to about HKD 1,057,000[46] - Administrative expenses reduced by 43% to approximately HKD 16,835,000, down from about HKD 29,693,000 in 2019[46] Dividend Policy - The company did not recommend the payment of an interim dividend for the three months ended June 30, 2020, consistent with the previous year[13] - The group did not recommend the payment of an interim dividend for the three months ended June 30, 2020[40] Business Operations - The group primarily engages in lending, securities and futures brokerage, asset management services, and related horse trading and breeding investments[21] - The group has been reviewing the performance of the horse segment and will take necessary actions to improve overall performance[47] - The group is exploring additional new business opportunities in the financial services segment while maintaining cost control[47] Financial Position - The company's net asset value as of June 30, 2020, was approximately HKD 121,903,000, an increase from HKD 119,068,000 on March 31, 2020[58] - Cash and bank balances as of June 30, 2020, were approximately HKD 128,190,000, representing a 16% increase from the balance on March 31, 2020[58] - The total number of employees as of June 30, 2020, was 62, down from 68 in 2019, with total compensation for the three months ending June 30, 2020, amounting to approximately HKD 6,626,000[64] Strategic Outlook - The company anticipates a challenging year in 2020 due to the impacts of the US-China trade dispute and COVID-19, which may significantly affect financial performance and development plans[57] - The company aims to enhance operational efficiency and effectiveness while seeking strategic alliances to accelerate business development and improve financial conditions[57] Corporate Governance - The company has established corporate governance procedures to ensure independent evaluation and review of business opportunities and performance[100] - As of June 30, 2020, the company has complied with the corporate governance code as per GEM listing rules[107] - The audit committee, consisting of three independent non-executive directors, has reviewed the financial reporting procedures and internal control mechanisms[106] - The board of directors includes three executive directors and three independent non-executive directors, ensuring a balanced governance structure[111] Shareholder Information - As of June 30, 2020, the company had a total of 107,263,864 unexercised stock options available[84] - First Cheer Holdings Limited holds 1,435,009,040 shares, representing 66.08% of the issued share capital[92] - Raywell Holdings Limited owns 135,430,000 shares, accounting for 6.24% of the issued share capital[92] - No new stock options were granted or exercised during the three months ending June 30, 2020[78] - The exercise price for stock options ranges from HKD 0.315 to HKD 1.260[84] - The stock options granted in 2006 are no longer available for new grants after December 4, 2016[78] - The company has no arrangements that would grant directors or their associates any rights to acquire shares or bonds of the company or other corporations[85] - The company has not been notified of any other interests or short positions in its shares or related shares as of June 30, 2020[97] - The company does not have any provisions for preemptive rights in its articles of association[98] Legal and Risk Factors - The company is facing a potential claim for RMB 500,000,000 related to a legal dispute involving a share pledge, which may impact its financial position[65] - The company has not established any foreign exchange hedging arrangements and monitors foreign exchange risks closely[60] - The company's executive director, Zheng Dinggang, is also a shareholder of a competing business, which may pose a conflict of interest[99]