[Performance Highlights](index=2&type=section&id=%E6%A5%AD%E7%B8%BE%E6%91%98%E8%A6%81) [Performance Highlights](index=2&type=section&id=Performance%20Highlights) For the six months ended June 30, 2025, the Group's total revenue was approximately HK$42.63 million, a slight year-on-year decrease of 0.3%, with profit attributable to owners at HK$0.976 million, down 65.5%, and EPS at HK$0.0033 Performance Highlights for the Six Months Ended June 30, 2025 | Metric | For the six months ended June 30, 2025 | For the six months ended June 30, 2024 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Total Revenue | Approx. HK$42,625,000 | Approx. HK$42,768,000 | -0.3% | | Profit Attributable to Owners of the Company | Approx. HK$976,000 | Approx. HK$2,825,000 | -65.5% | | Earnings Per Share | Approx. HK$0.0033 | Approx. HK$0.0096 | -65.6% | [Consolidated Financial Statements](index=3&type=section&id=Consolidated%20Financial%20Statements) [Condensed Consolidated Statement of Comprehensive Income](index=3&type=section&id=Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) During the reporting period, Group revenue was HK$42.625 million, largely flat year-on-year, but profit before tax decreased from HK$3.002 million to HK$0.976 million due to significantly lower other income and increased expenses Condensed Consolidated Statement of Comprehensive Income Summary (HK$'000) | Item | 2025 H1 (Unaudited) | 2024 H1 (Unaudited) | | :--- | :--- | :--- | | Revenue | 42,625 | 42,768 | | Other Income | 1,625 | 6,921 | | Employee Benefit Expenses | (37,974) | (35,360) | | Depreciation and Amortization | (1,762) | (839) | | Other Operating Expenses | (3,348) | (10,353) | | Operating Profit | 1,037 | 3,014 | | Profit Before Tax | 976 | 3,002 | | Profit for the Period | 976 | 2,825 | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets were HK$75.673 million, total liabilities HK$14.303 million, and net assets HK$61.37 million, a slight increase from HK$60.394 million at year-end 2024, with a significant decrease in cash and cash equivalents offset by new fixed deposits Consolidated Statement of Financial Position Summary (HK$'000) | Item | As at June 30, 2025 (Unaudited) | As at December 31, 2024 (Audited) | | :--- | :--- | :--- | | **Non-current Assets** | **3,721** | **7,938** | | **Current Assets** | **71,952** | **71,614** | | Of which: Cash and Cash Equivalents | 19,553 | 49,523 | | Of which: Fixed Deposits | 33,000 | – | | **Current Liabilities** | **14,289** | **18,785** | | **Non-current Liabilities** | **14** | **373** | | **Net Assets** | **61,370** | **60,394** | | **Total Equity** | **61,370** | **60,394** | [Condensed Consolidated Statement of Changes in Equity](index=6&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) As of June 30, 2025, total equity attributable to owners of the Company was HK$61.37 million, primarily increasing due to the HK$0.976 million profit recorded during the period - As of June 30, 2025, total equity was **HK$61,370 thousand**, an increase of **HK$976 thousand** from **HK$60,394 thousand** at the beginning of the period, primarily driven by profit for the period[10](index=10&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) During the reporting period, net cash generated from operating activities significantly decreased to HK$3.874 million, with net cash outflow from investing activities at HK$32.678 million, mainly for fixed deposits, resulting in cash and cash equivalents decreasing to HK$19.553 million at period-end Condensed Consolidated Statement of Cash Flows Summary (HK$'000) | Item | 2025 H1 (Unaudited) | 2024 H1 (Unaudited) | | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 3,874 | 8,278 | | Net Cash Used in Investing Activities | (32,678) | (23,259) | | Net Cash Used in Financing Activities | (1,166) | (134) | | **Net Decrease in Cash** | **(29,970)** | **(15,115)** | | Cash at Beginning of Period | 49,523 | 26,587 | | **Cash at End of Period** | **19,553** | **11,472** | [Notes to Financial Information](index=8&type=section&id=Notes%20to%20Financial%20Information) [Segment Information and Revenue](index=8&type=section&id=Segment%20Information%20and%20Revenue) The Group's business segments include outsourced inbound/outbound customer contact, staff secondment, equipment management, and other services, with staff secondment being the largest revenue source at 67% of total revenue; financial services ceased in late 2024, and overall segment results significantly decreased to HK$5.084 million - The Group's reportable operating segments include outsourced inbound/outbound customer contact services, staff secondment services, customer contact service center equipment management services, and other services; financial services related to credit financing ceased operations on December 27, 2024[16](index=16&type=chunk) Segment Revenue and Results (HK$'000) | Segment | 2025 H1 Revenue | 2024 H1 Revenue | 2025 H1 Results | 2024 H1 Results | | :--- | :--- | :--- | :--- | :--- | | Outsourced Inbound Customer Contact Services | 6,506 | 8,421 | 527 | 824 | | Staff Secondment Services | 28,567 | 26,768 | 2,829 | 1,494 | | Equipment Management Services | 1,542 | 3,312 | 278 | 861 | | Financial Services (Terminated) | – | 12 | – | 6,182 | | Others | 6,010 | 4,255 | 1,450 | 976 | | **Total** | **42,625** | **42,768** | **5,084** | **10,337** | [Interim Dividend](index=11&type=section&id=Interim%20Dividend) The Board does not recommend paying any interim dividend for the six months ended June 30, 2025, consistent with the prior year - The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025 (2024: nil)[23](index=23&type=chunk) [Earnings Per Share](index=11&type=section&id=Earnings%20Per%20Share) Basic earnings per share for the six months ended June 30, 2025, was HK$0.0033, calculated based on HK$0.976 million profit and 295,625,000 weighted average ordinary shares, with diluted EPS equal to basic EPS due to no potential dilutive ordinary shares Earnings Per Share Calculation | Item | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Profit Attributable to Owners of the Company | HK$976,000 | HK$2,825,000 | | Weighted Average Number of Ordinary Shares in Issue | 295,625,000 Shares | 295,625,000 Shares | | **Basic and Diluted Earnings Per Share** | **HK$0.0033** | **HK$0.0096** | [Management Discussion and Analysis](index=15&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review and Outlook](index=15&type=section&id=Business%20Review%20and%20Outlook) Despite export-driven growth in Hong Kong's economy, geopolitical tensions foster a cautious business environment, while a tight labor market increases recruitment costs and wages, pressuring profit margins; the Group is focusing on system solutions and AI integration into customer contact centers, with management cautiously optimistic for 2025, expecting AI to drive new business momentum - The macroeconomic environment remains challenging due to geopolitical influences, leading to a cautious local business sentiment[36](index=36&type=chunk) - The tight local labor market has led to increased wages and recruitment costs, impacting profit margins; management has strengthened talent retention programs to mitigate these costs[37](index=37&type=chunk) - The Group is focused on developing system solution businesses and collaborating with local AI companies to integrate AI technologies, such as chatbots and voice bots, into customer contact service center systems to enhance operational efficiency[38](index=38&type=chunk) - Management maintains a cautiously optimistic outlook for the 2025 financial performance, anticipating that the integration of AI technology will bring new momentum to the business[39](index=39&type=chunk) [Financial Review](index=17&type=section&id=Financial%20Review) During the reporting period, total Group revenue slightly decreased to HK$42.6 million, gross profit margin significantly dropped from 24.2% to 11.9%, and profit attributable to owners decreased from HK$2.8 million to HK$1 million, primarily due to a substantial decline in other income from reduced expected credit loss provisions on recovered financial assets Financial Performance Overview | Metric | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Total Revenue | Approx. HK$42.6 million | Approx. HK$42.8 million | | Gross Profit Margin | Approx. 11.9% | Approx. 24.2% | | Profit Attributable to Owners of the Company | Approx. HK$1 million | Approx. HK$2.8 million | - The decrease in profit is primarily due to a significant decline in other income, resulting from reduced expected credit loss provisions on recovered financial assets[51](index=51&type=chunk)[53](index=53&type=chunk) [Segment Performance Analysis](index=18&type=section&id=Segment%20Performance%20Analysis) During the reporting period, staff secondment services revenue grew by 6.7%, becoming the primary growth driver, while outsourced inbound services and equipment management services revenues decreased by 22.6% and 53.4% respectively, with other services (mainly system-related) showing significant revenue growth - Outsourced inbound customer contact services revenue decreased by **22.6%** to **HK$6.5 million** due to reduced customer sales orders[45](index=45&type=chunk) - Staff secondment services revenue increased by **6.7%** to **HK$28.6 million** due to increased customer demand, with gross profit margin rising from **5.6%** to **9.9%** due to reduced expected credit losses[46](index=46&type=chunk) - Customer contact service center equipment management services revenue significantly decreased by **53.4%** to **HK$1.5 million** due to reduced customer service demand[47](index=47&type=chunk) - Other services (Weis related services) revenue increased to **HK$6 million** (compared to HK$4.3 million in the prior period) due to increased demand for system-related services[50](index=50&type=chunk) - Financial services business was sold and ceased operations on December 27, 2024[49](index=49&type=chunk) [Corporate Governance and Other Disclosures](index=20&type=section&id=Corporate%20Governance%20and%20Other%20Disclosures) [Corporate Governance](index=20&type=section&id=Corporate%20Governance) The Company complied with all Corporate Governance Code provisions in Appendix C1 of the GEM Listing Rules during the reporting period, having adopted and confirmed compliance with a code of conduct for directors' securities transactions - For the entire six-month period ended June 30, 2025, the Company complied with all code provisions set out in the Corporate Governance Code in Appendix C1 to the GEM Listing Rules[54](index=54&type=chunk) [Directors' and Major Shareholders' Interests](index=21&type=section&id=Directors%27%20and%20Major%20Shareholders%27%20Interests) As of June 30, 2025, Mr. Tang Yiu Sing, as executor or administrator of the late Mr. Tang Shing Bor's will, held 210,000,000 shares, representing 71.04% of the issued share capital, through Mastermind Enterprises Limited Major Shareholders' Shareholding | Shareholder Name/Capacity | Nature of Interest | Number of Shares Held | Percentage of Issued Share Capital | | :--- | :--- | :--- | :--- | | Tang Yiu Sing (Executor or Administrator of the Will of the late Tang Shing Bor) | Corporate Interest | 210,000,000 | 71.04% | [Audit Committee](index=22&type=section&id=Audit%20Committee) The Audit Committee has reviewed the Group's unaudited interim results for the six months ended June 30, 2025, confirming compliance with accounting policies and adequate disclosure - The Audit Committee has reviewed the Group's unaudited interim results and is of the opinion that the accounting policies comply with Hong Kong Generally Accepted Accounting Principles, the Stock Exchange, and legal requirements, with adequate disclosure made[62](index=62&type=chunk)

[Supplemental Announcement: Explanation on Use of Proceeds from Convertible Bonds](index=1&type=section&id=Supplemental%20Announcement%20Regarding%20the%20Company%27s%20Annual%20Report%20for%20the%20Year%20Ended%20December%2031%2C%202024) This supplemental announcement details the re-allocation and full utilization of unutilized net proceeds from convertible bonds [Background and Purpose of the Announcement](index=1&type=section&id=Background%20and%20Purpose%20of%20the%20Announcement) This announcement supplements the 2024 annual report, detailing the use of unutilized convertible bond proceeds as per GEM Listing Rule 18.32A - This announcement supplements the company's 2024 annual report, providing additional information on the use of convertible bond proceeds[2](index=2&type=chunk) - The company is required by GEM Listing Rules to disclose the detailed use of approximately **HKD 5,000,000** in unutilized net proceeds[2](index=2&type=chunk) [Change in Use and Utilization of Convertible Bond Proceeds](index=2&type=section&id=Use%20of%20Proceeds%20from%20Convertible%20Bonds%20Issued%20Under%20Specific%20Mandate) The board resolved to reallocate and fully utilize approximately HKD 5.017 million in unutilized convertible bond proceeds for general working capital - The Board resolved to change the use of unutilized net proceeds from 'financial services business expansion' to 'general working capital' because the original expansion plan was no longer applicable after the completion of the relevant disposal[3](index=3&type=chunk) Utilization of Net Proceeds from Convertible Bonds (As of December 31, 2024) | Purpose Category | Intended Use Amount (thousand HKD) | Unutilized Balance as of End of 2023 (thousand HKD) | Actual Amount Used in 2024 (thousand HKD) | Unutilized Balance as of End of 2024 (thousand HKD) | | :--- | :--- | :--- | :--- | :--- | | Financial Services Business Expansion | 6,200 | 5,017 | – | – | | General Working Capital | 5,017 (Revised) | – | 5,017 | – | | **Total** | | **5,017** | **5,017** | **–** | - As of December 31, 2024, the Group had fully utilized all unutilized net proceeds according to the revised allocation plan[4](index=4&type=chunk)

Financial Performance - The company recorded revenue of approximately HKD 80.7 million for the fiscal year ending December 31, 2024, achieving a profit of HKD 17.5 million, compared to a loss of HKD 7.9 million in 2023[10]. - Total revenue increased by approximately HKD 3,600,000, from approximately HKD 77,100,000 for the year ended December 31, 2023, to approximately HKD 80,700,000 for the year ended December 31, 2024[34]. - The group recorded a net other income of approximately HKD 13,500,000 for the year ended December 31, 2024, compared to a loss of HKD 2,200,000 for the year ended December 31, 2023[44]. - The group’s attributable profit increased from a loss of approximately HKD 7,900,000 for the year ended December 31, 2023, to a profit of approximately HKD 17,500,000 for the year ended December 31, 2024, mainly due to credit loss reversals and financial impacts from the sale of subsidiaries[46]. - The expected credit loss reversal for the year was approximately HKD 8,800,000, compared to HKD 3,800,000 for the previous year[33]. Business Strategy - The company aims to focus on its core contact center business while seeking opportunities for partnerships to expand its business depth and breadth[11]. - The company emphasized the importance of strategic partnerships in artificial intelligence to enhance service efficiency and value for customers[10]. - The company decided to sell its lending business for HKD 11 million on December 20, 2024, in response to a weak local property market and high bankruptcy applications[11]. - The company completed the strategic decision to divest its lending business, Gear Credit Limited, generating approximately HKD 3,644,000 in proceeds[15]. - The company is investing in advanced technologies and collaborating with local AI firms to integrate AI capabilities into its contact center solutions[26]. Market Conditions - The local unemployment rate remained at 3.1%, indicating a strong and active labor market throughout the period[13]. - The company continues to face upward pressure on recruitment costs and employee wages due to a tight labor market[13]. - The company remains cautiously optimistic about the growth potential of its personnel dispatch services, anticipating a low unemployment rate and a tight labor market[25]. - The company experienced a slight revenue growth despite a challenging business environment, with the local GDP growing by approximately 2.5% during 2024[13]. Revenue Breakdown - Revenue from outsourced inbound customer contact services increased from approximately HKD 14,479,000 to approximately HKD 16,174,000, representing a growth of about 11.7%[35]. - Revenue from personnel dispatch services rose from approximately HKD 49,574,000 to approximately HKD 52,638,000, reflecting an increase of about 6.2%[36]. - Revenue from customer contact center and equipment management services decreased from approximately HKD 9,400,000 for the year ended December 31, 2023, to approximately HKD 5,200,000 for the year ended December 31, 2024, primarily due to reduced demand[37]. - Revenue from system and software licensing and sales increased to approximately HKD 4,500,000 for the year ended December 31, 2024, compared to approximately HKD 1,500,000 for the year ended December 31, 2023[38]. Corporate Governance - The company has maintained compliance with all corporate governance codes as of December 31, 2024[59]. - The board currently consists of one executive director and three independent non-executive directors, which does not meet the minimum requirement of three independent directors as per GEM listing rules[61]. - The company has established a nomination committee to review the board's structure and recommend suitable candidates for vacancies[73]. - The board is responsible for ensuring financial statements are prepared in accordance with legal requirements and applicable accounting standards[87]. - The board is committed to maintaining independence, with all independent non-executive directors confirming their independence status[64]. Environmental, Social, and Governance (ESG) - The company has established measurable goals for environmental, social, and governance (ESG) areas, including greenhouse gas emissions, energy and water consumption, and waste management[115]. - The company is committed to integrating sustainability into business decisions and practices, focusing on energy conservation, waste reduction, and recycling initiatives[115]. - The total greenhouse gas emissions decreased by approximately 11.4% from about 160.72 tons CO2e in 2023 to approximately 142.39 tons CO2e in 2024 due to more effective fuel and energy-saving measures[138]. - The company has implemented an environmental policy to encourage responsible use of resources and reduce waste[141]. - The group aims to maintain zero incidents of corruption and fraud across all business operations, with zero incidents reported in 2023[125]. Employee Management - The average employee turnover rate for the year ending December 31, 2024, is 7.6%, down from 10.6% in 2023[168]. - The company has a total of 258 employees as of 2023, with a gender distribution of 42% male (109) and 58% female (149)[168]. - The company maintains a comprehensive performance management system to identify promotion opportunities and assess employee contributions[163]. - A variety of employee benefits are provided, including annual leave, medical coverage, and professional development opportunities[163]. - The organization conducted workplace safety training, enhancing emergency response skills among employees[170]. Compliance and Risk Management - The company has implemented a comprehensive data protection framework, achieving ISO 27001 certification since 2011, and adheres strictly to the Personal Data (Privacy) Ordinance in Hong Kong[187]. - The company has not reported any significant violations of health and safety regulations during the reporting period, with one workplace injury recorded in 2024 compared to one in 2023[175]. - The company has established a systematic approach to monitor emerging climate-related policies to ensure compliance and reduce associated risks[157]. - The company has implemented measures to mitigate climate-related risks, including flexible work arrangements and business continuity plans to ensure operational resilience[156]. - The group has established a comprehensive anti-corruption policy, with strict adherence to the Prevention of Bribery Ordinance[191].

Financial Performance - For the fiscal year ending December 31, 2024, the group reported revenue from continuing operations of approximately HKD 80,726,000, an increase of about 4.7% compared to HKD 77,132,000 in 2023[5] - The profit attributable to the owners of the company for the fiscal year was approximately HKD 17,509,000, a significant increase of about 321% from a loss of HKD 7,922,000 in the previous year[5] - Earnings per share for the fiscal year was HKD 5.9, compared to a loss per share of HKD 2.8 in 2023[5] - The group recorded a net other income of HKD 13,457,000 in 2024, compared to a net loss of HKD 2,151,000 in 2023[7] - The pre-tax profit for 2024 was reported at 9,264 thousand HKD, a significant increase from 928 thousand HKD in 2023[27] - The company recorded a profit attributable to owners of approximately HKD 17,500,000 for the year ended December 31, 2024, compared to a loss of HKD 7,900,000 for the year ended December 31, 2023[68] - Total revenue increased by approximately HKD 3,600,000, from HKD 77,100,000 for the year ended December 31, 2023 to HKD 80,700,000 for the year ended December 31, 2024[69] Assets and Liabilities - The total assets less current liabilities as of December 31, 2024, amounted to HKD 60,767,000, up from HKD 43,155,000 in 2023[9] - The net asset value attributable to the owners of the company increased to HKD 60,394,000 in 2024 from HKD 42,885,000 in 2023[11] - The group’s cash and cash equivalents increased to HKD 49,523,000 in 2024, compared to HKD 26,587,000 in 2023[9] - The group’s total liabilities increased to HKD 18,785,000 in 2024 from HKD 12,362,000 in 2023[9] - The company’s total liabilities amounted to HKD 9,029,000, with the highest liabilities in outsourced inbound customer contact services at HKD 1,762,000[24] - The total liabilities for 2024 were reported at 19,158 thousand HKD, an increase from 12,632 thousand HKD in 2023, reflecting a growth of approximately 51.9%[30] Revenue Breakdown - For the year ended December 31, 2024, the total revenue from continuing operations was HKD 80,726,000, with the largest contribution from outsourced inbound customer contact services at HKD 16,174,000[24] - Revenue from outsourced inbound customer contact services increased from approximately HKD 14,500,000 for the year ended December 31, 2023, to approximately HKD 16,200,000 for the year ending December 31, 2024[71] - Revenue from personnel dispatch services rose from approximately HKD 49,600,000 for the year ended December 31, 2023, to approximately HKD 52,600,000 for the year ending December 31, 2024, driven by increased demand[72] - Revenue from customer contact service center and equipment management services decreased from approximately HKD 9,400,000 for the year ended December 31, 2023, to approximately HKD 5,200,000 for the year ending December 31, 2024, due to reduced demand[73] - The revenue from personnel dispatch services accounted for 65.2% of total revenue, amounting to HKD 52,638,000 for the year ended December 31, 2024, compared to 64.3% or HKD 49,574,000 for the previous year[69] Expenses - Employee benefit expenses rose to HKD 77,972,000 in 2024 from HKD 65,488,000 in 2023[7] - Depreciation and amortization expenses for the group totaled HKD 2,532,000, with the highest expense in outsourced outbound customer contact services at HKD 889,000[24] - The company’s depreciation and amortization expenses for 2024 totaled 3,341 thousand HKD, up from 2,098 thousand HKD in 2023, representing an increase of approximately 59.2%[36] - Employee benefits expenses increased from approximately HKD 65,000,000 for the year ended December 31, 2023, to approximately HKD 78,000,000 for the year ending December 31, 2024, due to hiring more employees[82] Dividends - The board of directors does not recommend the payment of a final dividend for the fiscal year ending December 31, 2024, compared to no dividend in 2023[5] - The company does not recommend the payment of a final dividend for the year ending December 31, 2024[61] Business Operations - The group ceased its financial services operations following the sale of Gear Credit Limited on December 27, 2024, which impacted the overall business operations[20] - The company’s main business operations include comprehensive multimedia customer contact services, customer contact center systems, personnel dispatch, and financial services[1] - The company strategically sold its lending business, generating approximately HKD 3,644,000 in revenue, aligning with its long-term strategy to streamline operations[47] Market Conditions - The company recorded a slight increase in annual revenue despite a challenging business environment, with Hong Kong's economy growing by approximately 2.5%[44] - The local unemployment rate remained stable at 3.1%, reflecting a strong labor market throughout the period[45] - The company remains cautiously optimistic about the growth potential of personnel dispatch services, particularly due to the anticipated low unemployment rate and a tight labor market[58] - The company acknowledges the challenges posed by geopolitical tensions and fluctuating trade policies, which impact local industries such as logistics, retail, and finance[57] Governance and Compliance - The company has complied with all corporate governance codes as of December 31, 2024[95] - The board of directors has adopted a code of conduct for securities trading, confirming compliance as of December 31, 2024[96] - The audit committee has reviewed the consolidated financial results for the year ending December 31, 2024[92] - The auditor confirmed that the figures in the preliminary announcement are consistent with the audited financial statements for the year[93] Management and Leadership - The executive director and CEO is Mr. Tang Yiu Sing, with independent non-executive directors including Mr. Wong Kam Tai, Ms. Kwong Yuk Ying, and Ms. Tsang Lai Mei[98]

Financial Performance - The total revenue for the six months ended June 30, 2024, was approximately HKD 42,768,000, representing an increase of about 12.3% compared to HKD 38,097,000 for the same period in 2023[2]. - The profit attributable to the owners of the company for the six months ended June 30, 2024, was HKD 2,825,000, a decrease of approximately 32.1% from HKD 4,158,000 in the same period of 2023[3]. - The earnings per share for the six months ended June 30, 2024, was approximately HKD 0.96, down from HKD 1.49 for the same period in 2023[3]. - The group reported operating profit of HKD 3,014,000 for the six months ended June 30, 2024, compared to HKD 4,435,000 for the same period in 2023[3]. - Total comprehensive income for the period was HKD 2,825,000, consistent with the profit attributable to the owners of the company[3]. - The net cash generated from operating activities for the six months ended June 30, 2024, was HKD 8,278,000, compared to HKD 5,992,000 for the same period in 2023, representing an increase of approximately 38%[7]. - The net cash used in investing activities for the six months ended June 30, 2024, was HKD (23,259,000), significantly higher than HKD (8,800,000) in 2023, indicating increased investment activities[7]. - The pre-tax profit for the six months ended June 30, 2024, was HKD 3,002,000, down 31.8% from HKD 4,405,000 in the same period of 2023[12]. - The company reported a profit attributable to owners of approximately HKD 2,800,000 for the six months ending June 30, 2024, down from HKD 4,200,000 in the same period of 2023, primarily due to increased expected credit loss provisions[41]. Assets and Liabilities - Non-current assets as of June 30, 2024, amounted to HKD 2,843,000, a decrease from HKD 2,883,000 as of December 31, 2023[4]. - Current assets totaled HKD 50,841,000 as of June 30, 2024, compared to HKD 49,749,000 as of December 31, 2023[4]. - The net current assets were HKD 40,640,000 as of June 30, 2024, an increase from HKD 37,387,000 as of December 31, 2023[4]. - The total equity attributable to the owners of the company was HKD 45,710,000 as of June 30, 2024, up from HKD 42,885,000 as of December 31, 2023[5]. - The total liabilities as of June 30, 2024, were HKD 6,501,000, compared to HKD 7,113,000 as of June 30, 2023, showing a decrease in liabilities[11]. - The total assets as of June 30, 2024, amounted to HKD 45,710,000, down from HKD 89,851,000 as of December 31, 2022, reflecting a significant reduction in asset base[6]. - The company paid an interim dividend of HKD (4,200,000) during the period, impacting retained earnings[6]. Employee and Operational Expenses - The group incurred employee benefit expenses of HKD 35,360,000 for the six months ended June 30, 2024, compared to HKD 32,805,000 for the same period in 2023[3]. - The total employee benefits expenses, including director remuneration, increased to HKD 35,725,000 from HKD 33,158,000, reflecting a rise of approximately 7.7%[13]. - The total depreciation and amortization expenses decreased to HKD 839,000 from HKD 1,229,000, representing a reduction of approximately 31.9%[12]. - The company incurred research and development costs of HKD 468,000, down from HKD 788,000, representing a decrease of approximately 40.6%[12]. Revenue Segmentation - For the six months ended June 30, 2024, the reported segment performance was HKD 10,337,000, an increase of 20% compared to HKD 8,611,000 for the same period in 2023[12]. - The revenue from outsourced inbound customer contact services for the six months ended June 30, 2024, was approximately HKD 8,400,000, representing an increase of about 28% compared to approximately HKD 6,600,000 in 2023[34]. - The personnel dispatch service segment recorded revenue of approximately HKD 26,800,000 for the six months ending June 30, 2024, representing an increase of about 13.4% compared to HKD 23,600,000 in the same period of 2023[35]. - The customer contact service center equipment management service generated revenue of approximately HKD 3,000,000, a decrease of about 33.7% from HKD 5,000,000 in the same period of 2023[36]. - Financial services revenue was approximately HKD 10,000,000, down from HKD 1,200,000 in the same period of 2023, with a significant drop attributed to the sale of securities and asset management consulting services[37]. - The "Other" segment, primarily related to the Weisi customer contact center system, recorded revenue of approximately HKD 4,300,000, up from HKD 1,800,000 in the same period of 2023[38]. Corporate Governance and Compliance - The company adhered to all corporate governance codes as per GEM listing rules during the reporting period[42]. - The audit committee reviewed the group's unaudited interim results for the six months ended June 30, 2024, confirming compliance with Hong Kong accounting principles and sufficient disclosure[55]. - There are no reported conflicts of interest among directors or major shareholders in competing businesses as of June 30, 2024[50]. - The company has established a non-competition agreement to prevent its covenant parties from engaging in competing businesses during its validity period[48]. Future Outlook and Strategy - The management remains cautiously optimistic about future growth in the local business environment, anticipating increased demand from existing and new customers[29]. - The company is focusing on the development of system solutions and integrating artificial intelligence technology into its Marvel customer contact center system[28]. - The company continues to evaluate the impact of new accounting standards on its performance and financial position, which may affect future reporting[9].

Financial Proceeds and Usage - The net proceeds from the issuance of convertible bonds amounted to approximately HKD 8,700,000, with actual usage of HKD 3,683,000 as of December 31, 2023, leaving a balance of HKD 5,017,000[4] - The funds were allocated primarily for the expansion of the financial services business, including hiring additional staff for securities and asset management, with an intended budget of HKD 6,200,000[4] - Following the sale, the unused proceeds from the convertible bonds will no longer be allocated for financial services expansion and will instead be redirected to general working capital[9] - The board anticipates that the remaining unused proceeds will be utilized by December 31, 2024, aligning with the company's operational strategy[9] Sale of Subsidiary - The company completed the sale of Gear Future Limited on October 12, 2023, resulting in no further equity interest in the sold group, which was previously involved in securities and asset management[7]

Financial Performance - The group recorded a consolidated revenue of approximately HKD 80,000,000 and a loss of HKD 7,900,000 for the year ended December 31, 2023, compared to a loss of HKD 9,300,000 in 2022[9]. - Total revenue decreased by approximately HKD 7,400,000, from approximately HKD 86,100,000 for the year ended December 31, 2022, to approximately HKD 78,700,000 for the year ended December 31, 2023[44]. - The group recorded a loss attributable to owners of approximately HKD 7,900,000 for the year ended December 31, 2023, compared to a loss of approximately HKD 9,300,000 for the year ended December 31, 2022, primarily due to interest expenses on convertible bonds and expected credit losses[41]. - The group anticipates a rebound in financial performance in the upcoming fiscal year, supported by a mid-term dividend of HKD 0.015 per share declared on November 6, 2023[31]. - The group is optimistic about future financial conditions, expecting continued improvement as strict demand management measures are lifted and interest rates decline[13]. Revenue Breakdown - Revenue from outsourced inbound customer contact services increased from approximately HKD 12,400,000 to approximately HKD 14,500,000, representing an increase of about 16.9%[45]. - Revenue from personnel dispatch services slightly increased from approximately HKD 48,900,000 to approximately HKD 49,600,000, driven by increased demand[47]. - Financial services revenue decreased significantly from approximately HKD 6,100,000 to approximately HKD 1,600,000, primarily due to a reduction in advisory services related to securities products[50]. - The group sold its financial services business entities, generating a revenue of approximately HKD 2,300,000 from the sale[9]. - In 2023, the group recorded a revenue of approximately HKD 2,300,000 from the sale of its financial services business, including Gear Future Limited and others, due to a challenging market environment[14]. Challenges and Market Conditions - The group faces significant challenges due to labor shortages, which are expected to increase costs related to recruitment and employee retention[12]. - The local economy is gradually recovering, but high interest rates, lackluster stock market performance, and a sluggish real estate market are hindering growth[12]. - The group has identified challenges in the business environment for 2024, including labor shortages and geopolitical tensions, which may impact financial performance[27]. - The management acknowledges the ongoing labor market tension, which is likely to persist and impact operational costs[12]. Corporate Governance - The company has maintained high standards of corporate governance in compliance with the GEM Listing Rules, ensuring transparency and accountability to shareholders[96]. - The company has adhered to all provisions of the corporate governance code, continuously improving governance practices to align with international best practices[97]. - The board currently consists of one executive director and three independent non-executive directors, with a noted deficiency in the minimum number of independent directors as per GEM Listing Rules[99]. - The company has adopted a code of conduct for securities trading by directors, confirming compliance for the fiscal year ending December 31, 2023[98]. - The company confirmed its responsibility for preparing financial statements in accordance with legal requirements and applicable accounting standards[125]. Environmental, Social, and Governance (ESG) Initiatives - The company is committed to sustainable development and has set targets for monitoring greenhouse gas emissions, energy use, water consumption, and waste management[157]. - The company has established an Environmental, Social, and Governance (ESG) committee to assist in collecting and analyzing ESG data and monitoring performance[159]. - The company emphasizes the importance of clear and timely communication with shareholders and investors through various channels, including annual reports and meetings[153]. - The company has implemented an environmental policy based on the principles of "Reduce, Reuse, Recycle, and Replace" to minimize operational environmental impact[172]. - The company encourages employees to use public transportation instead of company vehicles for meetings and client visits post-COVID-19[173]. Employee Management and Recruitment - The group aims to strengthen its recruitment efforts to address labor market shortages, particularly for its personnel dispatch services[28]. - The local unemployment rate is currently at 2.9%, prompting the group to enhance efforts in employee retention, recruitment, and management to maintain a stable and experienced workforce[193]. - The group has established a fair and transparent recruitment process, ensuring that hiring is based on qualifications, experience, and potential without discrimination[196]. - The group offers a competitive compensation plan, regularly reviewing it to ensure competitiveness in the labor market, alongside various employee benefits[198]. - The group employs 258 staff members in Hong Kong, a decrease from 274 in the previous year, maintaining reasonable diversity in gender and age groups[200].

Financial Performance - The group's revenue for the year ended December 31, 2023, was approximately HKD 78,719,000, a decrease of about 8.6% compared to HKD 86,130,000 in 2022[5] - The loss attributable to the company's owners for the year ended December 31, 2023, was approximately HKD 7,922,000, a reduction of about 15% from HKD 9,296,000 in the previous year[5] - The earnings per share for the year ended December 31, 2023, was HKD 0.028, compared to HKD 0.033 in 2022[5] - The company reported a net loss before tax of HKD 7,816,000 for the year ended December 31, 2023, compared to HKD 9,073,000 in 2022[7] - Total revenue for 2023 was HKD 78,719,000, down from HKD 86,130,000 in 2022, marking a decline of approximately 8.0%[26] - The pre-tax loss for 2023 was HKD 7,816,000, an improvement from a loss of HKD 9,073,000 in 2022, indicating a reduction in losses of approximately 13.9%[22] - The company reported a loss attributable to shareholders of approximately HKD 7,900,000 for the year ended December 31, 2023, compared to a loss of HKD 9,300,000 for the year ended December 31, 2022[67] Dividends and Share Capital - The board proposed an interim dividend of HKD 0.15 per ordinary share for the nine months ended September 30, 2023, compared to no dividend in 2022[5] - The company declared an interim dividend of 0.15 HKD per share for 2023, totaling 44,344 HKD thousand, compared to no dividend in 2022[38] - The company issued 15,625,000 shares during the year, increasing the total issued and paid-up shares from 280,000,000 to 295,625,000, representing a 5.6% increase[38] - The convertible bonds issued in August 2021 will convert into 15,625,000 shares at a conversion price of 0.608 HKD per share, representing approximately 5.29% of the expanded issued share capital[45] Assets and Liabilities - Total assets less current liabilities as of December 31, 2023, were HKD 43,155,000, down from HKD 89,867,000 in 2022[10] - Non-current assets decreased from HKD 6,623,000 in 2022 to HKD 5,768,000 in 2023[9] - Current assets decreased significantly from HKD 112,579,000 in 2022 to HKD 49,749,000 in 2023[9] - The company's total equity attributable to owners decreased from HKD 89,851,000 in 2022 to HKD 42,885,000 in 2023[10] - Total assets reported for 2023 were HKD 55,517,000, down from HKD 119,202,000 in 2022, reflecting a decrease of approximately 53.4%[23] - Total liabilities decreased to HKD 12,632,000 in 2023 from HKD 29,351,000 in 2022, representing a reduction of about 57.0%[24] Revenue Segmentation - For the year ended December 31, 2023, total segment revenue reached HKD 78,719,000, an increase from HKD 86,130,000 in 2022, reflecting a growth of approximately 3.5%[20] - The segment performance for customer contact services showed a profit of HKD 5,809,000, compared to HKD 2,729,000 in the previous year, indicating a significant improvement of 113%[20] - Revenue from telecommunications and related services was HKD 23,864,000 in 2023, compared to HKD 25,188,000 in 2022, a decrease of about 5.2%[26] - Revenue from inbound customer contact services increased from approximately HKD 12,400,000 in 2022 to approximately HKD 14,500,000 in 2023[70] - Revenue from personnel dispatch services slightly increased from approximately HKD 48,900,000 in 2022 to approximately HKD 49,600,000 in 2023[72] - Revenue from financial services decreased significantly from approximately HKD 6,100,000 in 2022 to approximately HKD 1,600,000 in 2023[74] Expenses and Cost Management - The company reported a depreciation and amortization expense of HKD 1,740,000 for the year ended December 31, 2023, down from HKD 3,060,000 in 2022, a decrease of 43%[20] - Employee benefits expenses decreased from approximately HKD 70,000,000 for the year ended December 31, 2022, to approximately HKD 67,000,000 for the year ended December 31, 2023, primarily due to reduced hiring[86] - Other operating expenses decreased from approximately HKD 25,500,000 for the year ended December 31, 2022, to approximately HKD 17,500,000 for the year ended December 31, 2023, representing a reduction of about 31%[86] - Expected credit loss provisions for financial assets decreased from approximately HKD 11,100,000 for the year ended December 31, 2022, to approximately HKD 6,200,000 for the year ended December 31, 2023[87] Strategic Initiatives and Outlook - The company has been providing comprehensive multimedia customer contact services, customer contact center systems, personnel dispatch, and financial services in Hong Kong[12] - The company is focused on developing system solutions and has invested in new technology for the Marvel customer contact center system, enhancing its competitive edge[42] - The group maintains an optimistic outlook for the upcoming year despite challenges in the business environment, including a local unemployment rate of 2.9% as of December 2023, which continues to impact growth, particularly in personnel dispatch services[54] - The group successfully obtained principle approval from the Hong Kong Securities and Futures Commission for its investment in HKVAX, a virtual asset trading platform, and is actively seeking additional investment opportunities to enhance core business and financial returns[57] - The group has established partnerships with several professional companies in the chatbot and AI tools sector, aiming to enhance its contact center solutions and maintain competitive advantages in the market[56] - The group anticipates significant cost savings following the sale of its securities financial services business, allowing for more effective resource allocation[56] Compliance and Governance - The company has complied with all corporate governance codes as of December 31, 2023[97] - The audit committee has reviewed the consolidated financial results for the year ended December 31, 2023[95] - The group had no significant contingent liabilities or capital commitments as of December 31, 2023[90] - The company did not repurchase any of its listed securities during the year ended December 31, 2023[94]

Financial Performance - Total revenue for the nine months ended September 30, 2023, was approximately HKD 57,941,000, a decrease of about 8.1% compared to HKD 63,077,000 for the same period in 2022[4] - Profit attributable to owners for the nine months ended September 30, 2023, was approximately HKD 5,623,000, compared to HKD 1,949,000 for the same period in 2022[4] - Earnings per share for the nine months ended September 30, 2023, was approximately HKD 0.019, up from HKD 0.007 for the same period in 2022[4] - Operating profit for the nine months ended September 30, 2023, was HKD 6,416,000, compared to HKD 2,744,000 for the same period in 2022[5] - Total comprehensive income for the nine months ended September 30, 2023, was HKD 5,623,000, compared to HKD 1,949,000 for the same period in 2022[5] - The estimated tax expense for the nine months ended September 30, 2023, was HKD 287,000, down from HKD 673,000 in 2022[10] - Other income increased from approximately HKD 4.9 million for the nine months ended September 30, 2022, to approximately HKD 8.5 million for the same period in 2023, primarily due to the recovery of expected losses on financial assets[33] - The increase in profit was mainly due to the rise in other income related to the recovery of expected losses on financial assets[35] Dividends - The board proposed an interim dividend of HKD 0.15 per share for the nine months ended September 30, 2023, compared to no dividend in 2022[14] - The interim dividend declared is HKD 0.15 per share, amounting to approximately HKD 44.30 million, compared to no dividend in the previous year[19] - The company has paid a total of HKD 4,200,000 in final dividends during the reporting period[17] Revenue Breakdown - Revenue from outsourced inbound customer contact services for the three months ended September 30, 2023, was HKD 3,475,000, an increase from HKD 3,174,000 in 2022[9] - Revenue from personnel dispatch services for the nine months ended September 30, 2023, was HKD 36,481,000, compared to HKD 34,891,000 in 2022[9] Shareholder Information - As of September 30, 2023, the total equity attributable to shareholders increased to HKD 91,274,000 from HKD 89,851,000 at the beginning of the year[17] - As of September 30, 2023, the estate of the late Mr. Tang Chengbo holds 210,000,000 shares, representing approximately 71.04% of the company's issued share capital[48] - Major shareholders include the estate of the late Mr. Tang Chengbo, which also holds 210,000,000 shares, accounting for 71.04% of the issued share capital[51] - Major shareholders include Songling Elderly Care Group and its related entities, each holding 15,625,000 shares, representing approximately 5.29% of the issued share capital[53] Corporate Governance - The company has complied with all provisions of the GEM Listing Rules Appendix 15 Corporate Governance Code during the nine months ended September 30, 2023[36] - The company has adopted a code of conduct for directors' securities transactions, confirming compliance with the required standards during the nine months ended September 30, 2023[38] - There were no interests held by directors or major shareholders in any competing businesses as of September 30, 2023[46] - The company has no other disclosures regarding interests or short positions held by directors or key executives as of September 30, 2023[50] Operational Developments - The company is focusing on expanding its multimedia customer contact services and has strengthened its software development team to meet increased service demands[30] - The company plans to continue integrating new developments into its Marvel Contact Centre System to maintain competitiveness in the system solutions market[30] - The company has entered into an agreement to sell its entire stake in Gear Future Limited, allowing it to focus on sustainable development in its core business[28] Financial Assets and Liabilities - The company holds investments in non-listed companies, including a HKD 12,900,000 investment in VAX, which is seeking regulatory approval for its operations[24] - The company has a total of HKD 1,260,000 in financial assets classified at fair value through profit or loss as of September 30, 2023[21] - Unaudited employee benefit expenses decreased from approximately HKD 51.6 million to approximately HKD 49.3 million, mainly due to the cessation of hiring customer contact center agents[33] - Unaudited depreciation and amortization expenses decreased from approximately HKD 4.9 million to approximately HKD 1.8 million for the nine months ended September 30, 2023[34] - Unaudited financial costs increased from approximately HKD 100,000 to approximately HKD 500,000 for the nine months ended September 30, 2023[34] Compliance and Audit - The audit committee reviewed the unaudited consolidated results for the nine months ended September 30, 2023, confirming compliance with accounting principles and sufficient disclosure[55] - The company has no provisions in its articles of association or Cayman Islands law regarding preemptive rights for existing shareholders to purchase new shares[56] - The company has not redeemed any of its listed securities during the nine months ended September 30, 2023[57] - The company has not purchased or sold any of its listed securities during the nine months ended September 30, 2023[57] Report Availability - The report will be available on the Hong Kong Stock Exchange website and the company's website for at least seven days from the publication date[58]

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 份 內 容 而 產 生 或 因 倚 賴 該 等 內 容 而 引 致 之 任 何 損 失 承 擔 任 何 責 任。 ETS GROUP LIMITED 易通訊集團有限公司 （於開曼群島註冊成立之有限公司） （股份代號：8031） 截至二零二三年九月三十日止九個月之 第三季度業績公佈 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 聯 交 所 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 ...