Financial Performance - The company's revenue for the three months ended March 31, 2020, was HKD 16,356,000, a decrease of 11.5% compared to HKD 18,554,000 for the same period in 2019[4] - The company reported a loss before tax of HKD 1,542,000, compared to a profit of HKD 577,000 in the previous year, indicating a significant decline in performance[4] - The net loss for the period was HKD 1,649,000, compared to a profit of HKD 226,000 in the same quarter of 2019[4] - Total comprehensive loss for the period amounted to HKD 1,665,000, contrasting with a total comprehensive income of HKD 226,000 in the prior year[4] - The basic loss per share for the period was HKD 0.21, compared to earnings per share of HKD 0.03 in the same quarter of the previous year[4] - The loss for the three months ended March 31, 2020, was approximately HKD 1,665,000, compared to a profit of HKD 226,000 in the same period of 2019, primarily due to decreased revenue from dispatched and payroll services[36] Revenue Breakdown - Revenue from recruitment services in Hong Kong was HKD 9,321,000, down 9.8% from HKD 10,338,000 in 2019[16] - Revenue from dispatch and payroll services in Hong Kong decreased to HKD 5,194,000, a decline of 30.3% from HKD 7,440,000 in the previous year[16] - The company's revenue decreased by approximately HKD 2,198,000 or 11.8% from HKD 18,554,000 for the three months ended March 31, 2019, to HKD 16,356,000 for the same period in 2020, primarily due to a decline in dispatch and payroll services revenue[29] - Revenue from recruitment services slightly increased by approximately HKD 232,000 or 2.2%, from HKD 10,338,000 for the three months ended March 31, 2019, to HKD 10,570,000 for the same period in 2020[29] - Dispatch and payroll services revenue significantly dropped by approximately HKD 2,430,000 or 29.6%, from HKD 8,216,000 for the three months ended March 31, 2019, to HKD 5,786,000 for the same period in 2020[29] - Revenue from Hong Kong accounted for approximately 88.7% of total revenue, down from 95.8% in 2019[29] Employee Costs and Expenses - Employee costs for the same period were HKD 14,054,000, slightly down from HKD 14,391,000 in 2019, reflecting a reduction of 2.3%[4] - Employee costs for the three months ended March 31, 2020, were approximately HKD 14,054,000, accounting for about 85.9% of revenue, compared to 77.6% in 2019[31] - The cost of dispatched employees decreased by approximately HKD 2,174,000 or 29.5%, while internal employee costs increased by approximately HKD 1,837,000 or 26.2% due to an increase in internal staff in Hong Kong and China[31] - Other expenses increased from approximately HKD 3,479,000 in the three months ended March 31, 2019, to approximately HKD 3,783,000 in the same period of 2020, primarily due to increased office supplies and software maintenance costs related to business expansion[32] Tax and Equity - The company incurred a tax expense of HKD 107,000 for the period, down from HKD 351,000 in 2019, reflecting a decrease of 69.5%[17] - Income tax expenses decreased by approximately HKD 244,000 or 69.5% to approximately HKD 107,000, mainly due to a decline in estimated taxable profits from subsidiaries[34] - The total equity as of March 31, 2020, was HKD 39,102,000, a decrease from HKD 39,625,000 as of March 31, 2019[7] Dividends and Shareholder Information - The board did not recommend the payment of an interim dividend for the three months ended March 31, 2020, consistent with the previous year[20] - As of March 31, 2020, the company had a total of 800,000,000 issued shares[42] - Major shareholders, including KJE Limited and Caiden Holdings Limited, each hold approximately 75% of the issued share capital, totaling 600,000,000 shares[43] Corporate Governance and Compliance - The company has complied with the corporate governance code as per GEM Listing Rules during the three months ended March 31, 2020[53] - The audit committee has reviewed the unaudited condensed consolidated financial statements for the three months ended March 31, 2020[56] Future Plans and Strategies - The company plans to further expand its recruitment services into China in 2020[28] - The company aims to diversify its service branches and expand its customer base to increase revenue sources[28] - A new team has been established to focus on recruitment services for local and Asian financial services clients[23] - The company remains cautiously optimistic about the dispatch and payroll services segment despite challenging business conditions[24] Financing and Stock Options - The financing costs decreased due to the full repayment of bank loans in August 2019[35] - The company has not granted any stock options under the stock option plan since its adoption on September 13, 2018[47] - No arrangements were made for directors to acquire shares or bonds of the company or its affiliates during the three months ended March 31, 2020[48] - The company and its subsidiaries did not purchase, sell, or redeem any listed securities during the three months ended March 31, 2020[49] - There were no interests held by directors or controlling shareholders in any business that directly or indirectly competes with the company during the three months ended March 31, 2020[50]

Financial Performance - The company's revenue increased by 22% from approximately HKD 66.3 million in 2018 to approximately HKD 80.9 million in 2019[11]. - Profit decreased from approximately HKD 8.1 million in 2018 to approximately HKD 1.7 million in 2019, excluding non-recurring listing expenses[11]. - Total revenue for the year ended December 31, 2019, increased by approximately 22% to about HKD 80,872,000 from approximately HKD 66,291,000 for the year ended December 31, 2018[28]. - The company recorded a comprehensive income of approximately HKD 1,676,000 for the year ended December 31, 2019, a decrease from approximately HKD 8,083,000 in the previous year[21]. - The profit for the year ended December 31, 2019, was approximately HKD 1,676,000, a decrease of HKD 6,407,000 or 79.3% compared to a profit of approximately HKD 8,083,000 in 2018, excluding non-recurring listing expenses[39]. - As of December 31, 2019, the company's distributable reserves amounted to approximately HKD 2,547,000, an increase from HKD 1,327,000 in 2018, reflecting improved financial health[94]. Revenue Sources - Revenue from recruitment services rose to approximately HKD 48,049,000, accounting for about 59.4% of total revenue, compared to approximately HKD 36,001,000 or 54.3% in the previous year[30]. - Revenue from dispatch and payroll services increased to approximately HKD 32,823,000, representing about 40.6% of total revenue, up from approximately HKD 30,290,000 or 45.7% in the previous year[32]. - Revenue generated from Hong Kong accounted for approximately 93.0% of total revenue in 2019, with revenue from Hong Kong increasing to approximately HKD 75,197,000 from about HKD 62,952,000 in 2018[33]. Costs and Expenses - Direct costs rose by 33% from approximately HKD 47.7 million in 2018 to approximately HKD 63.5 million in 2019[11]. - Other expenses and losses increased from approximately HKD 8.4 million in 2018 to approximately HKD 14.9 million in 2019[11]. - Employee costs for the year ended December 31, 2019, amounted to approximately HKD 63,499,000, an increase of HKD 15,785,000 or 33.1% compared to HKD 47,714,000 in 2018, representing 78.5% of revenue[34]. - Internal employee costs increased to approximately HKD 33,503,000 for the year ended December 31, 2019, from HKD 19,990,000 in 2018, accounting for 52.8% of total employee costs[34]. - Other expenses and losses rose by approximately HKD 6,432,000 or 76.3% to about HKD 14,866,000 for the year ended December 31, 2019, primarily due to increased depreciation and additional office rental costs[36]. Market Expansion and Strategy - The recruitment services segment achieved a year-on-year growth of 33%[17]. - The company established a new brand "KOS Solutions" and expanded its recruitment operations in China[11]. - The company plans to deepen its presence in the Hong Kong human resources service market and build a recruitment service network in China[12]. - The company successfully expanded its operations into China, establishing its first office in Shenzhen in early 2019, with plans for further expansion into other cities in 2020[18]. - The company aims to maintain revenue growth as a top priority for 2020, leveraging its large customer base and brand recognition in Hong Kong[24]. - The company plans to diversify its service branches and expand its customer base to increase revenue sources in 2020[26]. Challenges and Risks - The company faced challenges due to the US-China trade dispute, social unrest in Hong Kong, and the COVID-19 outbreak[10]. - The company reported a significant reliance on major clients for revenue, with a substantial portion of earnings coming from its largest customer, indicating potential financial risks if demand decreases[83]. - The company faces risks related to labor shortages and increased employee costs, which could adversely affect operations and financial performance[83]. - The company is aware of the risks associated with expanding into the Chinese market, which may impact its business operations[83]. Corporate Governance - The board of directors includes members with significant legal and financial expertise, enhancing corporate governance[71][76]. - The company has adopted a share option scheme, allowing for the issuance of up to 80,000,000 shares, representing 10% of the issued shares[106]. - The company has adhered to the corporate governance code as per GEM listing rules, ensuring high levels of transparency and effective internal controls[146]. - The board consists of six members, including three independent non-executive directors, with a wide age distribution from 37 to 67 years[159]. - The company has established a non-competition agreement with its controlling shareholders to prevent conflicts of interest[138]. Audit and Financial Reporting - The company’s financial statements for the year ended December 31, 2019, were audited by Deloitte[143]. - The independent auditor's report confirms that the consolidated financial statements present a true and fair view of the group's financial position as of December 31, 2019[192]. - The financial statements were prepared in accordance with the Hong Kong Financial Reporting Standards[192]. - The audit identified the impairment assessment of accounts receivable as a key audit matter due to its significance to the group's financial position[196]. - The audit procedures included understanding key control processes related to credit risk assessment and evaluating the appropriateness of management's loss provisioning methods[197]. Employee Relations and Development - The company acknowledges the importance of employee relations and ensures reasonable compensation and benefits, which are regularly reviewed[90]. - The company has a strong focus on employee training and development as part of its overall strategy[73]. - The company does not have any additional retirement benefit plans for its employees beyond the mandatory provident fund and social security contributions[136]. Technology and Operations - The company will continue to upgrade software, computer, and network systems to ensure quality performance[26]. - The company has begun upgrading its IT systems, although this development was not completed by December 31, 2019[57]. - The company has completed the specified phase of automating its workflows to support business operations by December 31, 2019[59].

Financial Performance - For the three months ended September 30, 2019, the company's revenue was HKD 21,633,000, representing an increase of 5.2% compared to HKD 20,566,000 for the same period in 2018[4] - For the nine months ended September 30, 2019, the company's revenue reached HKD 60,875,000, up 14.5% from HKD 53,430,000 in the previous year[4] - The company's net profit for the three months ended September 30, 2019, was HKD 1,760,000, a decrease of 35.5% from HKD 2,727,000 in the same period of 2018[4] - The net profit for the nine months ended September 30, 2019, was HKD 3,427,000, slightly down by 2.8% compared to HKD 3,525,000 for the same period in 2018[4] - The basic earnings per share for the three months ended September 30, 2019, was HKD 0.21, down from HKD 0.45 in the same period of 2018[4] - The total comprehensive income for the three months ended September 30, 2019, was HKD 1,642,000, compared to HKD 2,727,000 for the same period in 2018[4] - Total revenue for the nine months ended September 30, 2019, was HKD 60,875,000, an increase from HKD 53,430,000 in the same period of 2018, representing a growth of approximately 14.5%[23] - The company recorded a profit of approximately HKD 3,347,000 for the nine months ended September 30, 2019, slightly down by about HKD 178,000 compared to HKD 3,525,000 for the same period in 2018[34] - Total profit and comprehensive income for the nine months ended September 30, 2019, decreased by approximately HKD 178,000 or 5.1% to HKD 3,347,000 from HKD 3,525,000 for the same period in 2018[45] Employee Costs - The company reported employee costs of HKD 15,196,000 for the three months ended September 30, 2019, which is an increase of 29.5% from HKD 11,698,000 in the same period of 2018[4] - Employee costs increased from approximately HKD 33,328,000 for the nine months ended September 30, 2018, to approximately HKD 44,320,000 for the same period in 2019, marking a rise of about 33.0%[40] Financing Costs - The company incurred financing costs of HKD 228,000 for the three months ended September 30, 2019, compared to HKD 199,000 in the same period of 2018[4] - The company reported finance costs of HKD 631,000 for the nine months ended September 30, 2019, up from HKD 471,000 in the same period of 2018, indicating a rise of approximately 34%[23] - The company’s interest on leases for the nine months ended September 30, 2019, was HKD 201,000, reflecting the impact of the new lease accounting standard[23] - The financing cost for the nine months ended September 30, 2019, included lease liabilities interest of HKD 201,000 due to the adoption of HKFRS 16[42] Tax Expenses - The company incurred a tax expense of HKD 1,684,000 for the nine months ended September 30, 2019, compared to HKD 2,608,000 in 2018, showing a decrease of about 35.4%[24] - Income tax expenses decreased by approximately HKD 924,000 or 35.4% from HKD 2,608,000 for the nine months ended September 30, 2018, to HKD 1,684,000 for the nine months ended September 30, 2019[44] Market Strategy and Expansion - The company has been providing recruitment and payroll services in Hong Kong, Macau, and China, indicating a focus on market expansion[6] - The company aims to maintain a significant market share and continue to seize market opportunities for sustainable business development[35] - The company plans to expand its services beyond Hong Kong, leveraging its strong client base and brand recognition[36] Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15 for the nine months ending September 30, 2019[62] - All directors confirmed adherence to the trading standards and code of conduct for securities transactions during the nine months ending September 30, 2019[63] - The Audit Committee, established on September 13, 2018, consists of three independent non-executive directors and oversees financial reporting and internal controls[65] - The Audit Committee reviewed the unaudited condensed consolidated financial statements for the nine months ending September 30, 2019, providing opinions and recommendations[65] - The board includes three executive directors and three independent non-executive directors as of the report date[67] Share Capital and Dividends - As of September 30, 2019, the company had a total issued share capital of 800,000,000 shares[52] - Major shareholders KJE Limited and Caiden Holdings Limited each hold 600,000,000 shares, representing approximately 75% of the issued share capital[53] - The company did not recommend the payment of dividends for the nine months ended September 30, 2019[30] - No dividend was recommended for the nine months ended September 30, 2019[46] Other Financial Information - The company recognized lease liabilities of HKD 6,079,000 and right-of-use assets of HKD 5,771,000 upon the initial application of HKFRS 16 on January 1, 2019[16] - The company has opted for exemptions on low-value asset leases and leases with a term of 12 months or less, recognizing lease payments on a straight-line basis[16] - The company’s operating lease commitments as of December 31, 2018, were HKD 6,918,000, which were adjusted to HKD 6,079,000 upon the adoption of HKFRS 16[18] - Non-recurring listing expenses for the nine months ended September 30, 2018, amounted to approximately HKD 9,137,000[43] - The company has not granted any share options under the share option scheme adopted on September 13, 2018[56] - No arrangements were made for directors to acquire shares or bonds of the company or its subsidiaries during the nine months ended September 30, 2019[57] - The company did not purchase, sell, or redeem any of its listed securities during the nine months ended September 30, 2019[58] - The company will upgrade its software, computer, and network systems to ensure high performance[38] - The company has established a large database of job seekers since 2009, which is expected to support its growth strategy[39]

Financial Performance - The company's revenue for the six months ended June 30, 2019, was HKD 39,242,000, representing a 19.5% increase from HKD 32,864,000 in the same period of 2018[5] - The net profit for the six months ended June 30, 2019, was HKD 1,667,000, up 154.4% from HKD 657,000 in the same period of 2018[5] - Basic earnings per share for the six months ended June 30, 2019, was HKD 0.21, compared to HKD 0.11 for the same period in 2018, reflecting an increase of 90.9%[5] - The total comprehensive income for the six months ended June 30, 2019, was HKD 1,705,000, compared to HKD 657,000 in the same period of 2018, indicating a significant growth[5] - The group reported a total of HKD 20,688,000 in revenue for the three months ended June 30, 2019, compared to HKD 15,992,000 for the same period in 2018, reflecting a growth of 29.1%[24] - The group's revenue increased from approximately HKD 32,864,000 for the six months ended June 30, 2018, to approximately HKD 39,242,000 for the six months ended June 30, 2019, representing a growth of about 19.4%[49] - Profit and total comprehensive income rose by approximately HKD 1,048,000 or 159.5% to about HKD 1,705,000 for the six months ended June 30, 2019, compared to approximately HKD 657,000 for the same period in 2018[63] Revenue Breakdown - Revenue from recruitment services in Hong Kong was HKD 21,782,000, up 26.5% from HKD 17,256,000 in the previous year[24] - The group’s revenue from dispatch and payroll services in Hong Kong reached HKD 15,591,000, an increase of 13.3% from HKD 13,757,000 in the previous year[24] - The group’s total revenue from Macau for dispatch and payroll services was HKD 1,309,000, down 29.2% from HKD 1,851,000 in the previous year[24] Expenses and Costs - Employee costs for the six months ended June 30, 2019, were HKD 29,124,000, which is a 34.5% increase from HKD 21,629,000 in the same period of 2018[5] - Other expenses and losses rose by approximately HKD 4,312,000 to about HKD 7,170,000 for the six months ended June 30, 2019, mainly due to new office lease costs and increased marketing expenses[58] - The company reported a financing cost of HKD 403,000 for the six months ended June 30, 2019, compared to HKD 271,000 in the same period of 2018, reflecting a 48.6% increase[5] - The income tax expense for the six months ended June 30, 2019, was HKD 1,045,000, down from HKD 1,225,000 for the same period in 2018[32] Assets and Liabilities - The company's cash and cash equivalents at the end of June 30, 2019, were HKD 24,693,000, down from HKD 27,800,000 at the end of 2018[8] - The total assets less current liabilities as of June 30, 2019, amounted to HKD 43,555,000, an increase from HKD 39,399,000 at the end of 2018[6] - The company’s total equity as of June 30, 2019, was HKD 40,796,000, an increase from HKD 39,399,000 at the end of 2018[6] - The group’s total liabilities related to leases were classified into current liabilities of HKD 2,186,000 and non-current liabilities of HKD 3,893,000[22] Employee Information - As of June 30, 2019, the group had 65 internal employees, an increase from 45 employees as of December 31, 2018[74] - Employee costs, including director remuneration, amounted to approximately HKD 13,719,000 for the six months ended June 30, 2019, compared to approximately HKD 7,270,000 for the same period in 2018[74] Corporate Governance and Compliance - The company has complied with the corporate governance code as per GEM Listing Rules during the reporting period[95] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited condensed consolidated financial statements for the six months ending June 30, 2019[99] - The board of directors includes three executive directors and three independent non-executive directors as of the report date[99] Future Plans and Strategies - The company expects to maintain a significant market share and continue to seize market opportunities for sustainable business development[51] - The company plans to leverage its strong client base and brand recognition in Hong Kong to expand services into China and other regions[52] - The company aims to enhance its competitive advantages by upgrading software and IT systems to ensure high performance[53] Shareholder Information - KJE Limited and Caiden Holdings Limited collectively hold 600,000,000 shares, representing approximately 75% of the issued share capital[87] - KJE Limited is owned by Mr. Chan Ka-Kit, Mr. Chan Ka-On, and Mr. Chan Ka-Sing, each holding about 33.33% of the shares[87] - Mr. Chow Ka-Wai fully owns Caiden Holdings Limited, which also holds 600,000,000 shares, equating to 75% of the issued share capital[87] Capital and Financing - The capital debt ratio was 12.3% as of June 30, 2019, down from 19.0% as of December 31, 2018, indicating improved financial stability[66] - The group reported a total of HKD 5,000,000 in secured bank loans as of June 30, 2019, down from HKD 7,500,000 as of December 31, 2018[43] - The net proceeds from the share offering on October 12, 2018, were approximately HKD 31,000,000, with about HKD 12,375,000 utilized by June 30, 2019[80] - The unutilized portion of the net proceeds from the share offering was approximately HKD 18,610,000, held in a licensed bank in Hong Kong[80] Other Information - The group has completed the expansion of its recruitment services team in Hong Kong as planned[76] - The group has also expanded its business team in China, focusing on recruitment services, as per its strategy[76] - The group has completed the planned project phase for upgrading its website by June 30, 2019[78] - The group has initiated the automation of its work processes to support business operations, which is still in progress as of June 30, 2019[78] - As of June 30, 2019, there were no significant contingent liabilities reported by the group[73] - No share options have been granted under the share option scheme adopted on September 13, 2018[89] - There were no arrangements made for directors to acquire shares or bonds of the company or its subsidiaries during the six months ending June 30, 2019[90] - The company did not purchase, sell, or redeem any of its listed securities during the six months ending June 30, 2019[91]

Financial Performance - The company reported unaudited consolidated revenue of HKD 18,554,000 for the three months ended March 31, 2019, representing a 9.97% increase from HKD 16,872,000 in the same period of 2018[3]. - The company recorded a pre-tax profit of HKD 577,000, down from HKD 772,000, reflecting a decrease of 25.2%[3]. - The net profit for the period was HKD 226,000, compared to HKD 128,000 in the previous year, marking a 76.56% increase[3]. - Total profit and comprehensive income increased by approximately HKD 98,000 or 76.6% to HKD 226,000 for the three months ended March 31, 2019[37]. - The company experienced a decline in total profit and comprehensive income when excluding non-recurring listing expenses from the previous year, dropping by approximately HKD 2,890,000 or 92.7%[37]. Revenue Breakdown - Revenue from recruitment services in Hong Kong was HKD 10,338,000, up from HKD 8,522,000, a rise of 21.3%[16]. - Revenue from dispatch and payroll services in Hong Kong was HKD 7,440,000, slightly down from HKD 7,519,000, a decrease of 1.05%[16]. - Revenue from dispatch and payroll services in Macau decreased to HKD 776,000 from HKD 831,000, a decline of 6.6%[16]. - Revenue from recruitment services rose by approximately HKD 1,816,000 or 21.3% to approximately HKD 10,338,000, while dispatch and payroll services slightly decreased by HKD 134,000 or 1.6% to approximately HKD 8,216,000[29]. - Approximately 95.8% of the company's revenue for the three months ended March 31, 2019, was derived from Hong Kong, compared to 95.1% in 2018[29]. Employee Costs - Employee costs rose to HKD 14,391,000, up from HKD 11,492,000, indicating a 25.5% increase[3]. - Employee costs for the three months ended March 31, 2019, were approximately HKD 14,391,000, representing 77.6% of revenue, compared to 68.1% in 2018[30]. - Employee costs increased by approximately HKD 2,899,000 or 25.2% to HKD 14,391,000 for the three months ended March 31, 2019, primarily due to an increase in internal staff for business expansion[32]. Other Income and Expenses - Other income increased to HKD 65,000 from HKD 3,000 year-on-year[3]. - Other expenses and losses rose by approximately HKD 2,052,000 to HKD 3,514,000, mainly due to depreciation, rent, and professional fees related to the new office and business expansion[33]. - Income tax expenses decreased by approximately HKD 293,000 or 45.5% to HKD 351,000, attributed to a decline in estimated taxable profits from subsidiaries[35]. Shareholder Information - Major shareholders, including KJE Limited and Caiden Holdings Limited, each hold approximately 75% of the issued share capital, totaling 600,000,000 shares[42]. - The average number of ordinary shares used for calculating basic earnings per share increased from 600,000 shares in 2018 to 800,000 shares in 2019[21]. - The company has adopted a share option scheme since September 13, 2018, but no options have been granted under this scheme[44]. Dividends and Corporate Governance - The company does not recommend the payment of an interim dividend for the three months ended March 31, 2019, consistent with 2018[19]. - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15 during the three months ended March 31, 2019[50]. - The audit committee, consisting of three independent non-executive directors, was established on September 13, 2018, and has reviewed the unaudited condensed consolidated financial statements for the three months ended March 31, 2019[53][55]. Future Outlook - The company anticipates maintaining a significant market share and seizing market opportunities for sustainable business development[26]. - Management plans to focus on expanding service offerings, broadening the customer base, and upgrading software and network systems to mitigate potential business risks[25]. - The company aims to leverage its strong customer base and brand recognition in Hong Kong to expand services to relevant regions in the future[27].

Financial Performance - The company's revenue increased by 1.3% from approximately HKD 65,400,000 to HKD 66,300,000 for the year ended December 31, 2018[8]. - The company recorded an annual loss of approximately HKD 4,900,000 compared to a profit of approximately HKD 16,100,000 for the year ended December 31, 2017[8]. - Excluding non-recurring listing expenses of approximately HKD 13,000,000, the company would have recorded a profit of approximately HKD 8,100,000 for the year ended December 31, 2018[8]. - The profit decrease of approximately HKD 11,800,000 or 59.4% was primarily due to increased administrative expenses post-listing and expansion in Hong Kong[8]. - The company experienced revenue growth in the first two months of 2019 compared to the same period last year[9]. - Revenue from recruitment services for the year ended December 31, 2018, was approximately HKD 36,001,000, accounting for about 54.3% of total revenue, compared to approximately HKD 35,411,000 or 54.1% in the previous year[25]. - Revenue from secondment and payroll services for the year ended December 31, 2018, was approximately HKD 30,290,000, representing about 45.7% of total revenue, compared to approximately HKD 30,015,000 or 45.9% in the previous year[26]. - Employee costs increased by approximately HKD 9,843,000 or 26.0%, primarily due to an increase in the number of internal employees[29]. - Total employee costs for the year ended December 31, 2018, were approximately HKD 47,714,000, accounting for about 72.0% of total revenue, compared to 57.9% in the previous year[28]. - The company recorded a loss of approximately HKD 4,904,000 for the year ended December 31, 2018, compared to a profit of HKD 16,145,000 for the previous year, primarily due to non-recurring listing expenses[34]. - Excluding non-recurring listing expenses, the company would have recorded a profit of approximately HKD 8,083,000 for the year ended December 31, 2018, a decrease of about HKD 11,828,000 or 59.4% compared to the previous year[35]. Strategic Goals and Market Position - The company aims to deepen its presence in the Hong Kong human resources service market and establish a recruitment service network in China[9]. - The company believes it is well-prepared to compete with rivals due to its market reputation and strong relationships with clients[9]. - The company plans to expand its services beyond the Greater China region and establish its business in China by December 31, 2019, focusing on clients in the Greater Bay Area[19]. - The company maintains a strong market position in the Hong Kong human resources service industry and intends to leverage its competitive advantages for further business development[16]. - The company will focus on expanding its client base to diversify revenue streams and enhance business performance[15]. - The company has established a large database of job seekers since 2009, which supports its recruitment services[19]. Expenses and Financial Management - Other expenses and losses increased by approximately HKD 4,018,000 or 92.3% to about HKD 8,369,000 for the year ended December 31, 2018, primarily due to increased administrative expenses related to obtaining listing status[30]. - Financing costs for bank loans amounted to approximately HKD 663,000 for the year ended December 31, 2018, compared to about HKD 16,000 for the previous year[31]. - Non-recurring listing expenses recognized in profit or loss were approximately HKD 12,987,000 for the year ended December 31, 2018, compared to HKD 3,766,000 for the previous year[32]. - Income tax expenses decreased by approximately HKD 2,288,000 or 59.2% to about HKD 1,576,000 for the year ended December 31, 2018, mainly due to a decrease in profit before tax[33]. - The company did not recommend the distribution of a final dividend for the year ended December 31, 2018, despite having declared dividends totaling HKD 18,000,000 and HKD 4,000,000 in September 2018[36]. - As of December 31, 2018, the company had bank borrowings of HKD 7,500,000, down from HKD 10,000,000 in the previous year, with a capital debt ratio of 19.0%[38]. - The company had cash and bank balances of approximately HKD 27,800,000 as of December 31, 2018, compared to HKD 20,679,000 in the previous year[38]. Corporate Governance and Management - The management team has extensive experience in human resources and financial services, with key members having over 20 years of industry experience[73][75]. - The board of directors includes members with diverse backgrounds in finance, law, and human resources, enhancing strategic decision-making[71][72][76]. - The company has a commitment to maintaining high standards of corporate governance and financial transparency[78]. - The company has adopted a share option scheme, allowing for the issuance of up to 80,000,000 shares, representing 10% of the issued shares[107]. - The remuneration of directors and the five highest-paid individuals is determined based on their responsibilities and current market conditions[116]. - Each executive director has a service contract with an initial term of three years, which can be terminated with a three-month written notice[117]. - Independent non-executive directors have appointment letters with a similar initial term of three years[118]. - The company has established a board diversity policy, considering factors such as gender, age, cultural background, and professional experience when nominating directors[154]. - The company encourages continuous professional development for directors, providing training on legal responsibilities and corporate governance updates[152]. Risk Management - The company reported significant operational risks, including reliance on key management personnel and potential labor shortages, which could adversely affect financial performance[82]. - Financial risks have been disclosed in the notes to the consolidated financial statements, indicating a comprehensive approach to risk management[83]. - The company identifies and assesses risks of material misstatement in financial statements due to fraud or error, emphasizing that the risk of fraud is higher than that of error[200]. - The board is responsible for the effectiveness of the risk management and internal control systems, which aim to manage risks rather than eliminate them[173]. - The company has not established an internal audit function but has engaged an external professional firm to conduct an annual review of its risk management and internal control systems[173]. Shareholder Information - The largest customer accounted for approximately 40.1% of the group's total revenue for the year ended December 31, 2018, compared to 39.4% in 2017[131]. - The top five customers collectively represented about 54.5% of the group's total revenue, down from 56.2% in 2017[131]. - The company maintained at least 25% of its issued shares as sufficient public float since its listing date[133]. - The company has not engaged in any purchase, sale, or redemption of its listed securities since its listing date[101]. - The unutilized portion of the net proceeds from the share offering is approximately HKD 25,637,000, held in a licensed bank in Hong Kong[60]. Audit and Compliance - The independent auditors, Deloitte, will be proposed for reappointment at the upcoming annual general meeting[141]. - The company has complied with the GEM Listing Rules regarding corporate governance throughout the reporting period[144]. - The audit committee held three meetings to review the financial statements and audit plans for the fiscal year ending December 31, 2018, ensuring compliance with internal controls and risk management systems[160]. - The auditors provided reasonable assurance that the financial statements are free from material misstatement due to fraud or error[199]. - The auditors communicated the planned audit scope and significant findings to the audit committee, including any identified deficiencies in internal controls[199].