Financial Performance - The Group reported a revenue of HK$80.9 million for FY2020, a decrease of 13.3% compared to HK$93.3 million in FY2019[15]. - The net loss for FY2020 was HK$16.2 million, representing a 66.5% reduction from a net loss of HK$48.3 million in FY2019[16]. - Basic loss per share for FY2020 was HK1.51 cents, compared to HK4.39 cents for FY2019[16]. - Revenue decreased by approximately HK$12.4 million or 13.3% from approximately HK$93.3 million in FY2019 to approximately HK$80.9 million for the Reporting Period[55]. - Gross profit decreased by approximately HK$3.8 million or 14.0% from approximately HK$27.1 million in FY2019 to approximately HK$23.3 million for the Reporting Period[61]. - Gross profit margin decreased from 29.0% in FY2019 to 28.9% for the Reporting Period, primarily due to a decrease of 2.6 percentage points in gross profit margin from Construction Services[61]. - Administrative and other operating expenses decreased by approximately HK$8.9 million from approximately HK$47.8 million in FY2019 to approximately HK$38.9 million for the Reporting Period[62]. - The Group's loss attributable to owners decreased to approximately HK$15.3 million for the Reporting Period, a reduction of approximately HK$29.1 million compared to a loss of HK$44.4 million in FY2019[63]. - Revenue from Prefabricated Construction decreased by approximately HK$6.5 million, while revenue from Construction Services decreased by approximately HK$3.3 million[55]. Impact of Covid-19 - The construction industry faced significant challenges due to Covid-19, including site shutdowns, labor shortages, and supply chain disruptions[17]. - The Hong Kong Government's measures to contain Covid-19 have created uncertainties affecting business operations across various sectors[17]. - The overall economic impact of Covid-19 has adversely affected the construction business in Hong Kong[17]. - The Group is navigating business disruptions caused by the ongoing pandemic[17]. - The construction industry in Hong Kong faces challenges such as labor shortages and project delays due to the pandemic, impacting overall business operations[20]. - The Group's prefabricated construction business showed improvement in the second half of 2020, regaining positive momentum after a significant revenue drop in the first half due to Covid-19 disruptions[22]. - The Group plans to expand into overseas markets, particularly in countries along the Belt and Road, but many projects have been deferred or terminated due to ongoing Covid-19 challenges[23]. - The construction activities in China are gradually reviving and stabilizing as the country manages to contain the Covid-19 pandemic[22]. - The Group remains vigilant against uncertainties in the Chinese economy, including potential Covid-19 rebounds and US-China tensions[22]. Market and Competition - Competition for public sector construction projects has intensified, with construction expenditure in Hong Kong contracting due to stalled budget approvals[17]. - The Group's revenue from private sector projects decreased to HK$49,442,000 in 2020 from HK$51,139,000 in 2019, representing a decline of approximately 3.3%[38]. - Revenue from public sector projects also fell to HK$8,505,000 in 2020 from HK$10,150,000 in 2019, a decrease of about 16.2%[38]. - The Group's performance reflects the broader challenges faced by small and mid-sized companies listed on the GEM[3]. Corporate Governance - The Board of Directors is responsible for formulating the Group's overall strategies, setting management targets, and supervising management performance[114]. - The Company complied with the GEM Listing Rules throughout the year ended December 31, 2020, including the independence of all non-executive Directors[117][118]. - The Group encourages Directors to attend at least one training course on updates of the GEM Listing Rules concerning good corporate governance practices[129]. - The Company has established three functional committees: the Audit Committee, the Nomination Committee, and the Remuneration Committee, to assist the Board in discharging its duties[130]. - The Board's composition includes both Executive and Independent Non-executive Directors, ensuring compliance with GEM Listing Rules[120]. - The Audit Committee held 4 meetings during the Reporting Period, with all members attending all meetings[142]. - The Audit Committee reviewed the Group's audited results for the year ended 31 December 2019 and the unaudited quarterly results for the three months ended 31 March 2020, six months ended 30 June 2020, and nine months ended 30 September 2020[142]. - The Company has provided sufficient resources and support to all committees to fulfill their responsibilities[132]. - The Remuneration Committee held 1 meeting during the Reporting Period, with all members attending[149]. - The Nomination Committee also held 1 meeting during the Reporting Period, with full attendance by its members[158]. Risk Management - The Board is responsible for establishing and maintaining effective internal control and risk management systems to safeguard shareholder interests[189]. - The risk management and internal control systems are designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[190]. - The Group has established a risk management policy to identify, evaluate, and manage principal risks affecting the business[191]. - The Group's risk management and internal control system aims to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[200]. - An external consultant conducted a review of the internal control system, identifying no significant areas of concern affecting financial and operational controls[199]. Financial Position - As of December 31, 2020, the group had cash and bank deposits of approximately HK$37.3 million, an increase from approximately HK$30.5 million in 2019[72][76]. - The total borrowings of the group amounted to approximately HK$64.3 million as of December 31, 2020, compared to approximately HK$45.8 million in 2019, with annual interest rates ranging from 6.75% to 12%[81][88]. - The gearing ratio of the group as of December 31, 2020, was approximately 1.61, up from approximately 0.84 in 2019[72][76]. - The group has maintained a healthy liquidity position and closely monitors its liquidity structure to meet funding requirements[73]. - The company does not recommend the payment of a final dividend for the reporting period, consistent with 2019[87]. - The company has reallocated unutilized proceeds from the listing to meet general working capital needs due to the non-pressing demand for enhancing machinery and equipment[70][69]. Strategic Initiatives - The Group is exploring opportunities in the agriculture-related business due to increasing demand for green food, and is negotiating with agribusinesses for potential cooperation[43]. - The Group has suspended its clean coal trading business due to operating losses and has no concrete plans to restart it[49]. - The negotiation and due diligence for the Proposed Investment in Hubei Bio-great Agricultural Technology Co., Ltd is ongoing, with no concrete timeline established[48]. - The Group's market diversification plan may take additional time to implement due to the ongoing impact of the pandemic on international projects[23].

Stock Code 股份代號：8059 （於開曼群島註冊成立的有限公司） (Incorporated in the Cayman Islands with limited liability) 2020 Third Quarterly Report 二零二零年第三季度報告 CHARACTERISTICS OF THE GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE") GEM has been positioned as a market designed to accommodate companies to which a higher investment risk may be attached than other companies listed on the Stock Exchange. Prospective investors should be aware of the potential risks of investing in such companies and should make th ...

Financial Performance - Revenue for the three months ended March 31, 2020, amounted to approximately HK$14.3 million, representing a decrease of approximately 20.6% compared to HK$18.0 million in the same period of 2019[11] - Net loss for the period was approximately HK$7.6 million, an improvement from a net loss of approximately HK$12.3 million in the corresponding period of last year[11] - Basic and diluted loss per share was approximately HK0.69 cents, compared to HK1.04 cents in the same period of 2019[11] - Gross profit for the period was approximately HK$3.43 million, down from HK$3.88 million in the same period of 2019[13] - Operating loss for the period was approximately HK$6.54 million, compared to an operating loss of HK$11.55 million in the same period of 2019[13] - Total comprehensive loss for the period was approximately HK$8.00 million, compared to HK$11.48 million in the same period of 2019[13] - Other income and net gains for the period were approximately HK$0.19 million, down from HK$0.72 million in the same period of 2019[13] - For the three months ended March 31, 2020, the total revenue was HK$14,287,000, a decrease of 20.5% from HK$17,992,000 in the same period of 2019[25] - The construction business generated revenue of HK$14,287,000, down from HK$17,929,000, reflecting a decline of 20.5% year-over-year[25] - The total comprehensive loss for the period was HK$8,002,000, compared to a loss of HK$11,482,000 in the same period of 2019[24] - Revenue decreased by approximately HK$3.7 million or 20.6% from approximately HK$18.0 million for the period ended 31 March 2019 to approximately HK$14.3 million for the Reporting Period[60] - Revenue from Construction Business was approximately HK$14.3 million, representing a decrease of approximately HK$3.7 million or 20.6% compared to approximately HK$18 million for PE2019[65] - Gross profit decreased by approximately HK$0.5 million or 12.8% from approximately HK$3.9 million for PE2019 to approximately HK$3.4 million for the Reporting Period[70] - Net loss attributable to the owners of the Company decreased by approximately HK$3.5 million from approximately HK$10.5 million for PE2019 to approximately HK$7.0 million for the Reporting Period[72] Expenses and Costs - Administrative and other operating expenses decreased to approximately HK$10.17 million from HK$16.15 million in the previous year[13] - Staff costs, including directors' remuneration, amounted to HK$7,869,000, a reduction of 14.4% compared to HK$9,203,000 in the previous year[29] - Finance costs increased to approximately HK$1.04 million from HK$0.75 million in the same period of 2019[13] - General and administrative expenses decreased by approximately HK$6.0 million from approximately HK$16.2 million for PE2019 to approximately HK$10.2 million for the Reporting Period[71] Dividend and Shareholder Information - The Board does not recommend the payment of a dividend for the three months ended March 31, 2020, consistent with the previous year[11] - The Group has not recommended any dividend payment for the three months ended 31 March 2020, consistent with the previous year[33] - As of March 31, 2020, Zhou Jin holds 284,500,000 shares, representing approximately 28.15% of the company's shareholding[79] - Lai Xiaoliang, the Chief Executive, has a beneficial interest in fixed rate bonds amounting to HK$5,800,000[81] - Huang Cheng is a beneficial owner of 188,620,000 shares, accounting for approximately 18.66% of the shareholding[83] - Zhu Zhou holds 129,000,000 shares, which is about 12.76% of the company's shareholding[83] - The company did not recommend any dividend payment for the three months ended March 31, 2020, consistent with the previous year[92] Business Strategy and Market Focus - The Group is focusing on prefabricated precast construction, which is expected to grow due to increasing infrastructure investment and industrialization in emerging markets[48] - The Company is negotiating a proposed investment to acquire 51% or more of Hubei Bio-great Agricultural Technology Co., Ltd, aiming to expand into the high-tech seed industry and agricultural products[53] - The Group is collaborating with a high-tech construction company in Guangzhou to explore construction projects along the Belt and Road initiative, with plans to expand into the PRC market[51] - The Company is formulating a business strategy for the Agriculture Business, anticipating a rise in demand for green food due to global health and food security concerns[52] - The Group is exploring the feasibility of developing agricultural products and has entered into a non-binding memorandum of understanding to invest in Hubei Kairui Baigu Agricultural Technology Co., Ltd.[56] - The Group's investment plans include developing cold chain logistics and distribution centers for agricultural products[56] Audit and Compliance - The financial statements for the three months ended March 31, 2020, have been reviewed by the company's audit committee but not audited by independent auditors[21] - The Audit Committee was established to oversee the financial reporting process and internal control system, consisting of three members[98] - The Audit Committee has reviewed the unaudited consolidated financial statements for the Reporting Period[99] - All directors confirmed compliance with the required standards of dealings regarding securities transactions during the reporting period[91] Market Conditions - The Covid-19 pandemic has impacted market sentiment, causing delays in project launches and negotiations for new projects, particularly in new markets[51] - The Group has no concrete plan to restart the clean coal trading business amid economic uncertainty in the PRC[58] - There were no mentions of market expansion or acquisitions in the financial statements for the reporting period[19] Other Information - The company was incorporated in the Cayman Islands and is listed under stock code 8059[102] - No share options were granted, exercised, lapsed, or cancelled during the reporting period[93] - The company and its subsidiaries did not purchase, sell, or redeem any of the company's listed securities during the reporting period[85] - There were no short positions held by directors or their associates in any shares or debentures of the company as of March 31, 2020[81] - The diluted loss per share for the period is equal to the basic loss per share, as there were no dilutive potential ordinary shares in issue during the reporting periods[38] - The impairment loss on trade receivables was HK$29,000, significantly lower than HK$2,103,000 in the same period of 2019[29]

Financial Performance - The Group reported a revenue of HK$93.3 million for FY2019, a decrease of 30.2% compared to HK$133.6 million in FY2018[9]. - The net loss for FY2019 was HK$48.3 million, an improvement from a net loss of HK$199.6 million in FY2018[9]. - Basic loss per share for FY2019 was HK4.39 cents, compared to HK19.93 cents for FY2018[9]. - Revenue decreased by approximately HK$40.3 million or 30.2% from approximately HK$133.6 million for FY2018 to approximately HK$93.3 million for the Reporting Period[55]. - Revenue from Construction Business was approximately HK$90.7 million, representing an increase of approximately HK$2.4 million or 2.7% compared to approximately HK$88.3 million for FY2018[59]. - Revenue from Prefabricated Precast Construction increased by HK$24.9 million, while revenue from Construction Services decreased by HK$22.5 million due to the termination of a project[59]. - Revenue attributable to Trading Business decreased by approximately HK$42.8 million from HK$43.9 million for FY2018 to HK$1.1 million for the Reporting Period[62]. - Financial Services revenue was approximately HK$1.6 million for the Reporting Period, an increase of HK$1.0 million compared to HK$0.6 million for FY2018[67]. - The Group recorded no revenue from Agriculture Business during the Reporting Period, compared to approximately HK$0.9 million in FY2018[61]. - Gross profit decreased by approximately HK$1.4 million or 4.9% from approximately HK$28.5 million for FY2018 to approximately HK$27.1 million for the Reporting Period[68]. - Gross profit margin increased from 21.4% for FY2018 to 29.0% for the Reporting Period, primarily due to a 4.7 percentage point increase in gross profit margin from Construction Business[68]. - The Group's loss attributable to owners of the Company was approximately HK$44.4 million for the Reporting Period, a decrease of HK$150.4 million from a loss of HK$194.8 million for FY2018[80]. - Administrative and other operating expenses decreased by approximately HK$17.0 million from approximately HK$64.8 million for FY2018 to approximately HK$47.8 million for the Reporting Period[76]. Business Strategy and Opportunities - The Group aims to drive growth in its construction business by entering emerging markets, particularly in China, and focusing on prefabrication precast construction[15]. - The Group is exploring new business opportunities in agriculture, supply chain, and new energy, despite acknowledging the challenges of starting these ventures[16]. - The Group is negotiating with potential partners for opportunities in industrial parks, supply chain services, and new retail models[16]. - The Group is formulating a business strategy for its Agriculture Business, anticipating a rise in demand for green food due to global health and food security concerns[39]. - The Group aims to seize business opportunities in agricultural transformation in China by introducing superior products and technologies[44]. Construction Business Performance - The Group's construction contracts from public sector projects dropped sharply during FY2019, indicating a significant decline in the construction business[10]. - The construction industry in Hong Kong is expected to continue facing challenges due to economic volatility and political unrest[10]. - The Group is working closely with a high-tech construction company to expand its market presence and leverage overseas market experience[15]. - For the year ended December 31, 2019, the Group's revenue from private sector projects was HK$51.1 million, an increase of 18.5% from HK$43.1 million in 2018, while revenue from public sector projects decreased by 75.1% to HK$10.2 million from HK$40.7 million in 2018, resulting in total revenue of HK$61.3 million, down 26.9% from HK$83.8 million in 2018[32]. Corporate Governance - The company appointed Mr. Liu Yingjie as chairman of the Board on June 28, 2019, and Mr. Lai Xiaoliang as chief executive officer on July 19, 2019, ensuring compliance with code provision A.2.1[132]. - The Board is committed to maintaining high corporate governance standards for the best interests of the shareholders[126]. - The company recognizes the importance of sound corporate governance for long-term success and has complied with applicable code provisions throughout the reporting period[127]. - The company has a strong management team with extensive experience in their respective industries, ensuring a balance of power and authority[128]. - The company’s independent non-executive directors bring diverse expertise, enhancing governance and oversight[120]. - The company has been proactive in its corporate governance practices, adapting to changes in leadership roles as necessary[132]. - The management is responsible for the administration of the Group, with the Board overseeing overall strategies and performance[133]. - The Company complied with GEM Listing Rules throughout the year, except for a period with less than three independent non-executive Directors[137]. - All independent non-executive Directors confirmed their independence under GEM Listing Rules[138]. - The Company adopted a code of conduct for securities transactions by Directors, which was fully complied with throughout the reporting period[148]. Financial Position and Outlook - Cash and bank deposits as of 31 December 2019 were approximately HK$30.5 million, down from approximately HK$39.2 million in 2018[85]. - The gearing ratio as of 31 December 2019 was approximately 0.84, compared to approximately 0.38 in 2018[85]. - Total borrowings amounted to approximately HK$45.8 million as of December 31, 2019, an increase from approximately HK$40.0 million in 2018[100]. - The annual interest rates on borrowings ranged from 7.5% to 9.0% during the reporting period[100]. - The Group anticipates potential impacts on business performance due to the COVID-19 outbreak, particularly in the first half of 2020[95]. Employee and Operational Changes - The Group employed 123 staff as of December 31, 2019, down from 153 staff in 2018, with total employee costs of approximately HK$33.5 million compared to HK$53.8 million in FY2018[102]. - The Group decided to discontinue its financial services business during the reporting period[27]. - The Group suspended the clean coal trading business due to operating losses and maintained only coal washing services during the Reporting Period[47][62]. - The Group completed the disposal of its entire shareholding in Mansion Point International Limited for HK$30,755,000 on April 10, 2019[92]. - The Group also disposed of 60% of the share capital of Hong Kong Yuanfeng Insurance Brokers Limited for approximately HK$122,000 on November 28, 2019[94].

Financial Performance - Revenue for the nine months ended September 30, 2019, was approximately HK$70.2 million, a decrease of approximately 39.0% compared to HK$115.1 million for the same period in 2018[10] - Net loss for the period was approximately HK$18.3 million, significantly improved from a net loss of approximately HK$133.3 million in the corresponding period of last year[10] - Basic and diluted loss per share was approximately HK1.81 cents, compared to HK13.10 cents for the nine months ended September 30, 2018[10] - Gross profit for the nine months was approximately HK$23.5 million, compared to HK$19.9 million in the same period of 2018[12] - Operating loss for the period was approximately HK$15.4 million, a significant reduction from HK$131.6 million in the previous year[12] - Total comprehensive loss for the period was approximately HK$20.9 million, compared to HK$133.5 million for the same period in 2018[12] - Other income and net gains for the period amounted to approximately HK$968,000, compared to a net loss of HK$34.9 million in the previous year[12] - The company reported a loss attributable to owners of the Company of HK$18,255,000 for the nine months ended 30 September 2019, compared to a loss of HK$128,870,000 in the same period of 2018[42] - Net loss attributable to owners of the Company decreased by approximately HK$110.6 million from approximately HK$128.9 million for the same period in 2018 to approximately HK$18.3 million for the Reporting Period[90] Dividend Policy - The Board does not recommend the payment of an interim dividend for the nine months ended September 30, 2019, consistent with the previous year[10] - The company does not recommend the payment of dividends for the nine months ended 30 September 2019, consistent with the previous year[37] - The company did not recommend payment of an interim dividend for the Reporting Period, consistent with the previous year[138] Revenue Breakdown - For the nine months ended 30 September 2019, the total turnover was HK$70,178,000, a decrease of 39% compared to HK$115,111,000 in the same period of 2018[29] - The construction business turnover from concrete demolition and construction engineering services was HK$46,634,000, down 28% from HK$64,720,000 in 2018[29] - The manufacturing and trading of prefabricated construction components saw a significant increase in turnover to HK$21,046,000, up 349% from HK$4,670,000 in 2018[29] - The trading business turnover from clean coal dropped to HK$948,000, a decline of 97% from HK$36,214,000 in 2018[29] - The financial services segment reported a turnover of HK$1,550,000, an increase from HK$318,000 in the previous year[29] - Revenue from private sector projects increased to HK$39.1 million in 2019 from HK$15.8 million in 2018, while revenue from public sector projects decreased to HK$7.6 million from HK$48.9 million[52] Expenses and Costs - Administrative and other operating expenses decreased to approximately HK$39.8 million from HK$116.6 million in the previous year[12] - Staff costs, including directors' remuneration, were HK$25,767,000, a decrease of 7% from HK$27,697,000 in 2018[32] - The total staff costs for the reporting period were approximately HK$25.8 million, a decrease from approximately HK$27.7 million in the previous period[110] Financial Position - The balance of retained earnings as of September 30, 2019, was HK$84,199,000, a decrease from HK$242,266,000 at the beginning of the year[14] - The total equity as of September 30, 2019, was HK$83,251,000, reflecting the company's financial position[14] - Current assets as of September 30, 2019, amounted to approximately HK$129.9 million, with cash and cash equivalents of approximately HK$26.2 million[94] - The group's current liabilities amounted to approximately HK$67.3 million, including trade and other payables of about HK$18.2 million and interest-bearing loans and bonds of approximately HK$45.8 million[98] - The net current asset value of the group as of September 30, 2019, was approximately HK$62.6 million, with a debt-to-equity ratio of about 0.12 compared to 0.38 on December 31, 2018[98] Corporate Governance - The company complied with the Corporate Governance Code, except for a temporary deviation regarding the roles of Chairman and CEO[132] - Mr. Zhu resigned as Chairman and CEO on June 28, 2019, with Mr. Liu Yingjie appointed as Chairman and Mr. Lai Xiaoliang as CEO thereafter[133] - The Audit Committee was established on August 2, 2014, to oversee the Group's financial reporting and internal control systems[144] - The Audit Committee consists of three members: Mr. Li Kar Fai Peter (Chairman), Mr. Chan Chi Pan, and Mr. Cao Hongmin[144] - The unaudited consolidated financial information for the Reporting Period has been reviewed by the Audit Committee[145] Business Strategy and Operations - The company operates in multiple sectors, including construction services, agriculture-related products, trading of clean coal, and financial services[17] - The Group is formulating a business strategy for the Agriculture Business, focusing on high-tech seed industry projects and agricultural produce[58] - The Group plans to invest in Hubei Bio-great Agricultural Technology Co., Ltd. by acquiring 51% or more of its registered capital[59] - The Group suspended its clean coal trading business due to operating losses and challenges in turning around the business segment without significant capital investment[64] - The Group has not accepted any new applications for commercial factoring services during the Reporting Period due to rising corporate default risk in the PRC[67] - The global precast concrete construction market is expected to grow strongly, driven by infrastructure investment and industrialization in emerging countries[55] - The Group is collaborating with a high-tech construction company in Guangdong to explore prefabricated precast construction projects along the Belt and Road[56] Shareholder Information - As of September 30, 2019, a director held approximately 284.5 million shares, representing about 28.15% of the company's shareholding[119] - As of September 30, 2019, Zhu Zhou held 129,000,000 shares, representing approximately 12.76% of the total shareholding[125] - Huang Cheng owned 188,620,000 shares, accounting for about 18.66% of the total shareholding[125] - No substantial shareholders or associates held any short positions in the company's shares as of September 30, 2019[123] - The company confirmed that there were no competing interests among Directors during the Reporting Period[127]

Financial Performance - Revenue for the six months ended June 30, 2019, was approximately HK$41.9 million, a decrease of approximately 46.6% compared to HK$78.4 million for the same period in 2018[11]. - Net loss for the period was approximately HK$15.9 million, an improvement from a net loss of approximately HK$27.3 million for the corresponding period last year[11]. - Basic and diluted loss per share was approximately HK$1.46 cents, compared to HK$2.57 cents for the same period in 2018[11]. - Gross profit for the six months ended June 30, 2019, was approximately HK$13.0 million, down from HK$14.3 million in the same period of 2018[13]. - Operating loss for the period was approximately HK$14.0 million, compared to an operating loss of approximately HK$24.6 million for the same period last year[13]. - Total comprehensive loss for the period was approximately HK$16.6 million, compared to HK$27.9 million for the same period in 2018[13]. - Other income and net gains for the period were approximately HK$1.0 million, a decrease from HK$19.8 million in the same period of 2018[13]. - The consolidated loss before tax for the six months ended June 30, 2019, was HK$15,895,000, an improvement from a loss of HK$26,138,000 in the same period of 2018[50]. - Net loss attributable to owners decreased by approximately HK$10.2 million to about HK$14.7 million for the Reporting Period[136][139]. Dividends - The Board does not recommend the payment of an interim dividend for the six months ended June 30, 2019, consistent with the previous year[11]. - The company did not recommend any dividend for the six months ended June 30, 2019, consistent with the previous year[61]. - The company did not recommend the payment of an interim dividend for the reporting period[173]. Revenue Breakdown - Revenue from the Construction Business was HK$39,648,000, down 16.7% from HK$47,627,000 in the previous year[48]. - The Trading Business generated revenue of HK$761,000, a significant decline of 96.5% from HK$29,885,000 in the same period of 2018[48]. - The Financial Services segment reported revenue of HK$1,493,000, compared to HK$254,000 in the previous year, indicating a substantial increase[48]. - Revenue from private sector projects for the six months ended June 30, 2019, was HK$25,991,000, down 20.3% from HK$32,692,000 in the same period of 2018[95]. - Revenue from public sector projects for the same period was HK$6,529,000, a decrease of 48.7% compared to HK$12,652,000 in 2018[95]. - The Group's total revenue for the construction business for the six months ended June 30, 2019, was HK$32,520,000, down 28.3% from HK$45,344,000 in 2018[95]. - Revenue from clean coal trading decreased significantly, from HK$29.9 million in HY2018 to HK$0.76 million in HY2019[116]. - Revenue from the Agriculture Business was HK$0 during the Reporting Period due to the suspension of the LED cultivation cabinets business[120]. - Trading Business revenue decreased by approximately HK$29.1 million to HK$0.8 million, resulting in a halt of operations due to losses[121]. Assets and Liabilities - Current assets increased to HK$129,689,000 as of June 30, 2019, compared to HK$110,944,000 at the end of 2018, reflecting a growth of 16.9%[17]. - Non-current assets totaled HK$34,678,000 as of June 30, 2019, compared to HK$19,406,000 at the end of 2018, showing a substantial increase of 78.3%[17]. - The company's net assets decreased to HK$87,526,000 from HK$104,136,000, a decline of 16.0%[18]. - Total segment assets as of June 30, 2019, amounted to HK$88,289,000, an increase from HK$78,385,000 at the end of 2018[48]. - Total segment liabilities were HK$27,132,000 as of June 30, 2019, compared to HK$12,116,000 at the end of 2018, reflecting a significant increase[48]. - As of June 30, 2019, the total trade payables amounted to HK$21,340,000, an increase from HK$17,064,000 as of December 31, 2018, representing a growth of approximately 25.5%[79]. - The Group's borrowings remained at approximately HK$40.0 million as of June 30, 2019, with an annual interest rate of 7.5%[146]. - As of June 30, 2019, the total borrowings of the group were approximately HK$40,000,000, with an annual interest rate of 7.5%[149]. Cash Flow - Net cash outflow from operating activities for the six months ended 30 June 2019 was HK$7,567,000, a significant improvement from HK$26,136,000 in the same period of 2018, representing a reduction of approximately 71%[22]. - Net cash inflow from investing activities was HK$8,838,000, compared to a net outflow of HK$3,789,000 in the prior year, indicating a positive turnaround[22]. - Net cash inflow from financing activities decreased to HK$13,549,000 from HK$43,802,000, reflecting a decline of approximately 69% year-over-year[22]. - The total cash and cash equivalents at 30 June 2019 amounted to HK$53,333,000, an increase from HK$48,114,000 at the end of June 2018, representing a growth of about 11%[22]. - Cash and bank balances increased to HK$48,786,000 from HK$48,114,000, showing a slight growth of approximately 1.4% year-over-year[22]. - The Group's cash and cash equivalents increased by HK$14,820,000 during the reporting period, compared to an increase of HK$13,877,000 in the same period of the previous year[22]. - The effect of foreign exchange rate changes on cash and cash equivalents was a decrease of HK$660,000 for the six months ended 30 June 2019[22]. Operational Efficiency - The company continues to face challenges in revenue generation and is focused on improving operational efficiency moving forward[11]. - Administrative and other operating expenses for the six months ended June 30, 2019, were approximately HK$28.0 million, down from HK$58.7 million in the same period last year[13]. - Staff costs decreased to HK$9,625,000 for the six months ended June 30, 2019, down from HK$10,054,000 in the same period of 2018, representing a reduction of approximately 4.3%[56]. - Depreciation of property, plant, and equipment decreased to HK$3,691,000 in 2019 from HK$4,704,000 in 2018, a decline of about 21.5%[56]. - Impairment loss on trade receivables was HK$2,615,000 for the six months ended June 30, 2019, compared to HK$4,159,000 in 2018, indicating a reduction of approximately 37.1%[56]. - Administrative and other operating expenses decreased by HK$30.7 million to approximately HK$28.0 million, primarily due to a reduction in share option expenses[131][134]. Corporate Governance - The company complied with the Corporate Governance Code, except for the deviation regarding the roles of Chairman and CEO being held by the same individual[168]. - The company confirmed that all directors adhered to the securities trading code during the reporting period[172]. - The company has maintained sufficient checks and balances within the board despite the deviation from the corporate governance code[171]. - The Audit Committee, established on August 2, 2014, consists of three members and is responsible for reviewing the financial reporting process and internal control systems[181]. - The Audit Committee has reviewed the unaudited consolidated financial statements for the reporting period[182]. Strategic Initiatives - The Group is exploring prefabricated precast construction projects in countries along the Belt and Road, collaborating with a high-tech construction company based in Guangdong[98]. - A framework agreement was signed in July 2019 for a prefabricated precast construction project in Australia, with a total contract sum of approximately HK$45,000,000[98]. - The Group aims to drive growth in its construction business by tapping into emerging markets and leveraging innovative architectural design and technology[98]. - The Group intends to invest in Hubei Bio-great Agricultural Technology Co., Ltd. by acquiring 51% or more of its registered capital to expand high-tech seed industry projects[103]. - The Group is formulating a strategy for its Agriculture Business, anticipating increased demand for green food amid rising global health and food security concerns[102].

Financial Performance - Revenue for the three months ended March 31, 2019, amounted to approximately HK$18.0 million, representing a decrease of approximately 48.3% compared to HK$34.8 million in the same period of 2018[11]. - The net loss for the period was approximately HK$12.3 million, a significant decline from a net profit of approximately HK$0.9 million in the corresponding period of last year[11]. - Basic and diluted loss per share was approximately HK1.04 cents, compared to earnings of approximately HK0.13 cents per share in 2018[11]. - Gross profit for the period was approximately HK$3.9 million, down from HK$9.1 million in the same period of 2018[12]. - Operating loss for the period was approximately HK$11.5 million, compared to an operating profit of HK$0.9 million in the previous year[12]. - Total comprehensive loss for the period attributable to owners of the Company was approximately HK$8.5 million, compared to a comprehensive income of HK$1.1 million in 2018[12]. - Other income and net gains for the period were approximately HK$0.7 million, down from HK$5.1 million in the same period of 2018[12]. - The total comprehensive loss for the period ended March 31, 2019, was HK$8,506,000, compared to a total comprehensive income of HK$1,086,000 for the same period in 2018[13]. - Revenue decreased by approximately HK$16.8 million or 48.3% from approximately HK$34.8 million for the period ended 31 March 2018 to approximately HK$18.0 million for the Reporting Period[54]. - Revenue from the provision of construction services was approximately HK$16.2 million, representing a decrease of approximately 28.6% compared to approximately HK$22.7 million for PE18[58]. - Gross profit decreased by HK$5.2 million from approximately HK$9.1 million for PE18 to approximately HK$3.9 million for the Reporting Period, representing a decrease of approximately 57.1%[67]. - The Group's gross profit margin decreased from 26.2% in PE18 to 21.6% in the Reporting Period[68]. Dividend and Shareholder Information - The Board does not recommend the payment of a dividend for the three months ended March 31, 2019, consistent with the previous year where no dividend was paid[11]. - The Group did not recommend any dividend payment for the three months ended March 31, 2019, consistent with the previous year[30]. - The company did not recommend the payment of a dividend to owners for the three months ended March 31, 2019, consistent with the previous year[92]. - As of March 31, 2019, Zhu Zhou held 269,000,000 shares, representing approximately 26.62% of the total shareholding[79]. - Huang Cheng held 188,620,000 shares, representing approximately 18.66% of the total shareholding, while Zhou Jin held 144,500,000 shares, representing approximately 14.30%[84]. Expenses and Costs - Administrative and other operating expenses increased to approximately HK$16.2 million from HK$13.4 million in the previous year[12]. - Finance costs for the period were approximately HK$0.75 million, which was not present in the same period of the previous year[12]. - The Group's general and administrative expenses increased by approximately HK$2.8 million from approximately HK$13.4 million for PE18 to approximately HK$16.2 million for the Reporting Period[69]. - General and administrative expenses increased by approximately HKD 2,800,000 to about HKD 16,200,000 during the reporting period, mainly due to an increase in impairment losses on trade receivables by HKD 2,100,000 and research expenses for prefabricated construction by HKD 400,000[73]. Business Operations - The construction business generated HK$16,249,000 in revenue, down 28.5% from HK$22,690,000 in the previous year[25]. - The Group's prefabricated precast construction components had outstanding contracts worth approximately HK$3.9 million, expected to be completed before the second quarter of 2019[43]. - The Group decided to suspend the clean coal trading business as it was operating at a loss, with no revenue generated during the Reporting Period compared to HK$11.6 million for PE18[61]. - The Group is formulating a strategy to extend the Agriculture Business to green food production, anticipating a continued rise in demand for green food[47]. - The Group's construction services include concrete demolition and prefabricated precast construction, which is expected to grow in line with China's green building initiatives[37][43]. Compliance and Governance - The company complied with the applicable code provisions of the Corporate Governance Code, except for the separation of roles between the chairman and CEO, which were held by the same individual during the reporting period[90]. - All directors confirmed compliance with the required standards of dealings regarding securities transactions during the reporting period[91]. - There were no competing interests reported by the directors during the reporting period[85]. - The company has complied with the applicable provisions of the GEM Listing Rules regarding corporate governance, except for the deviation in the separation of roles between the Chairman and CEO[93]. - The Audit Committee has reviewed the unaudited consolidated financial statements of the Group for the reporting period[104]. - The Audit Committee consists of three members: Mr. Chan Kam Wah (chairman), Mr. Cao Hongmin, and Mr. Liu Yingjie[102][103]. - The company has confirmed that all directors have adhered to the securities trading code during the reporting period[94]. Changes in Management - Ms. Zhou Jin was appointed as an executive director on April 12, 2019[100]. - Mr. Chan Kam Wah resigned as an executive director of another company on April 18, 2019[100].