香港交易及結算所有限公司以及香港聯合交易所有限公司（「聯交所」）對本公告的內容概不負責，對 其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因 倚賴該等內容而引致之任何損失承擔任何責任。 本公告的資料乃遵照聯交所的GEM證券上市規則（「GEM上市規則」）而刊載，旨在提供有關高萌科技 集團有限公司（「本公司」，連同其附屬公司統稱「本集團」或「我們」）的資料；董事（「董事」）願就本公告 共同及個別地承擔全部責任。各董事在作出一切合理查詢後，確認就其所知及所信，本公告所載資 料在各重要方面均屬準確完備，沒有誤導或欺詐成份，且並無遺漏其他事項，足以令致本公告或其 所載任何陳述產生誤導。 KML Technology Group Limited 高 萌 科 技 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8065） 截至二零二三年三月三十一日止年度的 年度業績公告 聯交所GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在主板上市的公司帶有較 高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經過審慎周詳的考慮後方作 ...

Financial Performance - The Group's revenue for the nine months ended December 31, 2022, was approximately HK$110.6 million, a decrease of approximately HK$19.2 million or 14.8% compared to HK$129.8 million for the same period in 2021[18]. - The gross profit for the nine months ended December 31, 2022, amounted to approximately HK$22.4 million, down from approximately HK$36.9 million in 2021[18]. - The net loss for the nine months ended December 31, 2022, was approximately HK$9.4 million, compared to a net profit of approximately HK$4.7 million in 2021[19]. - The financial highlights indicate a significant decline in both revenue and gross profit, reflecting challenges faced by the Group in the current market environment[18]. - The Group's performance indicates a shift from profitability to a net loss, highlighting potential operational or market challenges[19]. - Revenue for the nine months ended December 31, 2022, was HK$110,601,000, a decrease of 14.7% compared to HK$129,775,000 in the same period of 2021[23]. - Gross profit for the same period was HK$22,372,000, down 39.0% from HK$36,894,000 year-on-year[23]. - The company reported a loss before tax of HK$9,376,000, compared to a profit of HK$5,803,000 in the previous year[23]. - Comprehensive loss attributable to owners of the company was HK$9,376,000, a significant decline from a profit of HK$4,676,000 in the prior year[23]. - Basic loss per share was HK(2.35) cents, compared to earnings of HK1.18 cents per share in the same period last year[23]. - Administrative expenses increased to HK$32,438,000, up from HK$31,706,000 in the previous year, reflecting a rise of 2.3%[23]. - Other income rose significantly to HK$6,424,000 from HK$490,000, indicating a substantial increase in non-operating income[23]. - The company’s total equity as of December 31, 2022, was HK$172,285,000, down from HK$189,427,000 at the end of March 2022[25]. - The company has not declared any dividends for the period, maintaining a focus on retaining earnings amid losses[25]. Revenue Breakdown - Revenue from Transportation Mission Critical System Solutions was HK$20,104,000, down 17.5% from HK$24,219,000 in 2021[43]. - Revenue from Mobile Ticketing and Digital Payment Solutions and Services decreased by 47.8%, from HK$21,338,000 in 2021 to HK$11,163,000 in 2022[43]. - Digital Fabrication and Maintenance Services revenue fell by 34.5%, from HK$26,417,000 in 2021 to HK$17,344,000 in 2022[43]. - M&E Technology Solutions and Engineering Services revenue increased by 5.4%, from HK$54,095,000 in 2021 to HK$57,175,000 in 2022[43]. - Revenue from the sales of products, parts, and components increased to approximately HK$4.8 million from HK$3.7 million in 2021[89]. Taxation and Legal Matters - The Group did not incur any current income tax expense for the period, compared to HK$808,000 in the previous year[55]. - The total tax expense for the period was HK$0, down from HK$1,127,000 in 2021[55]. - The Group's effective tax rate remains at 16.5% for the current period, consistent with the previous year[55]. - The Group is currently engaged in legal proceedings to recover long outstanding trade receivables as of February 8, 2023[111]. Shareholding and Corporate Governance - As of December 31, 2022, Mr. Luk Kam Ming holds 157,000,000 shares, representing approximately 38.77% of the company's shareholding[131]. - Mr. Luk Kwai Lung has an interest in 138,000,000 shares, accounting for about 34.08% of the company's shareholding[131]. - Mr. Luk Yin Cheung owns 138,600,000 shares, which is approximately 34.23% of the company's shareholding[131]. - Mr. Chan Chak Lun Philip holds 4,000,000 shares, representing about 0.99% of the company's shareholding[131]. - The total number of issued shares as of December 31, 2022, is 404,960,000[134]. - No purchases, sales, or redemptions of the company's listed securities were made by the company or its subsidiaries during the nine months ending December 31, 2022[129]. - There were no changes in the interests of directors that required disclosure under GEM Listing Rules as of the report date[128]. - No other directors or chief executives had interests or short positions in the company's shares that required notification as of December 31, 2022[132]. - The company did not disclose any other persons with interests in shares that required reporting under the SFO as of December 31, 2022[139]. Future Outlook and Strategic Initiatives - The Group aims to participate in upcoming MTR network extension projects expected to commence between 2023 and 2025, with completion projected between 2029 and 2034[92]. - The Group is expanding its business scope by engaging in electric vehicle charging projects, having completed the Tai O Medium EV Charging Station Installation Project[94]. - The Group is applying robotic technology for secure transport of coins and banknotes in crowded railway stations, currently in the testing phase[95]. - The company is focusing on streamlining internal resources and clearing outstanding contracts to adapt to the challenging economic environment[70]. Compliance and Reporting - The report emphasizes the importance of careful consideration for prospective investors due to the higher investment risks associated with companies listed on GEM[2]. - The Group's financial data is available on its website, ensuring transparency and accessibility for stakeholders[6]. - The report is prepared in compliance with the GEM Listing Rules, affirming the Group's commitment to regulatory standards[5]. - The Group has adopted revised HKFRSs, which had no material effect on the financial results for the current or prior periods[40].

Financial Performance - The Group's revenue for the six months ended September 30, 2022, was approximately HK$74.7 million, a decrease of approximately HK$20.5 million or 21.5% compared to HK$95.2 million for the same period in 2021[19]. - The gross profit for the same period was approximately HK$17.9 million, down from approximately HK$29.0 million in 2021[19]. - The net loss for the six months ended September 30, 2022, was approximately HK$0.8 million, compared to a net profit of approximately HK$7.5 million in 2021[20]. - Revenue for the six months ended September 30, 2022, was HK$74,692,000, a decrease of 21.6% compared to HK$95,206,000 in the same period of 2021[24]. - Gross profit for the same period was HK$17,852,000, down 38.5% from HK$29,014,000 year-over-year[24]. - Loss before tax was HK$717,000, compared to a profit of HK$8,962,000 in the prior year, indicating a significant decline in profitability[24]. - The total comprehensive loss for the period was HK$767,000, compared to a profit of HK$7,516,000 for the same period in 2021, indicating a significant decline in performance[33]. - The Group recorded a net loss attributable to the owners of the Company of approximately HK$0.8 million for the six months ended 30 September 2022, compared to a net profit of approximately HK$7.5 million in 2021[129]. Dividend and Shareholder Information - The Board does not recommend an interim dividend for the six months ended September 30, 2022, consistent with the previous year[20]. - The company paid dividends of HK$8,012,000 during the period, down from HK$10,909,000 in the previous year, a reduction of about 26%[33]. - The Group declared a final dividend of HK2.0 cents per ordinary share for the year ended 31 March 2022, down from HK2.73 cents in the previous year[72]. - As of September 30, 2022, Mr. Luk Kam Ming holds 157 million shares, representing approximately 38.77% of the Company's shareholding[180]. - Mr. Luk Kwai Lung and Mr. Luk Yin Cheung hold 138 million shares (34.08%) and 138.6 million shares (34.23%) respectively, both as interests in controlled corporations[180]. - The total number of issued shares was 404,960,000 as of September 30, 2022[184]. Operational Challenges - The Group's performance reflects the challenges faced in the market, impacting revenue and profitability[19]. - The financial highlights indicate a need for reassessment of operational strategies to address the decline in revenue[19]. - The impact of COVID-19 has significantly affected operational efficiencies and material delivery in the construction industry, particularly in the first half of 2022[97]. - The Group's operational strategy has shifted to focus on clearing outstanding contracts to prepare for economic recovery[97]. Financial Position and Assets - Total current assets decreased to HK$202,563,000 from HK$215,393,000, reflecting a reduction of approximately 5.9%[26]. - Trade receivables decreased to HK$38,549,000 from HK$50,974,000, a decline of 24.3%[26]. - Total current liabilities decreased to HK$36,853,000 from HK$43,668,000, a reduction of 15.6%[28]. - Net assets as of September 30, 2022, were HK$180,813,000, down from HK$189,427,000 as of March 31, 2022[28]. - Cash and cash equivalents at the end of the period decreased to HK$70,519,000 from HK$90,557,000, reflecting a decrease of approximately 22%[33]. - The Group's financial position remains stable, with no material impact from the adoption of revised HKFRSs[46]. Revenue Breakdown by Segment - Revenue from Transportation Mission Critical System Solutions was HK$16,585,000, slightly down from HK$16,847,000, representing a decrease of 1.6%[50]. - Revenue from Mobile Ticketing and Digital Payment Solutions and Services dropped significantly to HK$7,615,000 from HK$16,380,000, a decline of 53.6%[50]. - Digital Fabrication and Maintenance Services revenue decreased to HK$11,619,000 from HK$20,030,000, down by 42.1%[50]. - M&E Technology Solutions and Engineering Services revenue fell to HK$34,986,000 from HK$39,856,000, a decrease of 12.0%[50]. - Revenue from the M&E Technology Solutions and Engineering Services segment was approximately HK$35.0 million, down from approximately HK$39.9 million in 2021[112]. Cash Flow and Investments - For the six months ended September 30, 2022, the net cash from operating activities was HK$11,780,000, an increase from HK$4,356,000 in the same period of 2021, representing a growth of approximately 170%[33]. - The net cash flows used in investing activities amounted to HK$5,468,000, an improvement compared to HK$8,710,000 in the prior year[33]. - The Group maintained a healthy liquidity position throughout the reporting period, with no borrowing incurred, and closely monitored its liquidity structure to meet funding requirements[146]. Corporate Governance and Compliance - The financial report is prepared in compliance with the GEM Listing Rules, ensuring accuracy and completeness of the information provided[4]. - The Group's management is committed to transparency and accountability in financial reporting[4]. - The Company has complied with all applicable provisions of the Corporate Governance Code during the six months ended September 30, 2022[167]. - The Audit Committee reviewed the unaudited condensed consolidated results for the six months ended September 30, 2022, and confirmed compliance with applicable accounting standards[169]. Future Plans and Strategic Initiatives - The Group continues to focus on strategic initiatives to improve financial performance in the future[19]. - The Group plans to pursue more EV charging projects under the Home Subsidy Scheme, with an additional HK$1.5 billion allocated until 2028[119]. - The Group is expanding its role in the ePayment business and diversifying its customer base in the retail market[120]. - The application of robotic technology for transporting coins and banknotes is in the testing phase and expected to enter production in 2023[121].

Financial Performance - The Group's revenue for the three months ended June 30, 2022, was approximately HK$35.9 million, a decrease of approximately HK$11.4 million or 24.1% compared to HK$47.3 million for the same period in 2021[18]. - The gross profit for the same period was approximately HK$8.4 million, down from approximately HK$16.7 million in 2021[18]. - The net profit for the three months ended June 30, 2022, was approximately HK$0.7 million, a significant decrease from approximately HK$5.8 million in 2021[19]. - Revenue for the three months ended June 30, 2022, was HK$35,942,000, a decrease of 24.0% from HK$47,325,000 in the same period of 2021[23]. - Gross profit for the same period was HK$8,419,000, down 49.6% from HK$16,716,000 year-on-year[23]. - Profit before tax decreased significantly to HK$805,000, compared to HK$6,844,000 in the previous year, representing a decline of 88.2%[23]. - Profit attributable to owners of the Company for the period was HK$700,000, a decrease of 87.9% from HK$5,818,000 in the prior year[23]. - Basic earnings per share dropped to HK0.18 cents from HK1.47 cents, reflecting a decline of 87.8%[23]. - The gross profit decreased by approximately 49.7% from approximately HK$16.7 million for the three months ended June 30, 2021, to approximately HK$8.4 million for the same period in 2022[96]. - Net profit attributable to the owners of the Company was approximately HK$0.7 million for the three months ended June 30, 2022, compared to a net profit of approximately HK$5.8 million in 2021[102]. Dividend and Shareholder Information - The Board does not recommend the payment of an interim dividend for the three months ended June 30, 2022, consistent with the previous year where no dividend was paid[19]. - The Board does not recommend the payment of any dividend for the three months ended June 30, 2022[53]. - As of June 30, 2022, the total number of issued shares was 402,500,000[126]. - Mr. KM Luk holds 100,000,000 shares directly and is deemed to be interested in an additional 57,000,000 shares held by his spouse, totaling 157,000,000 shares, representing approximately 39.01% of the company[126]. - KML Holdings, controlled by Mr. KL Luk and Mr. YC Luk, holds 138,000,000 shares, accounting for about 34.29% of the company[129]. - Mr. YC Luk is deemed to be interested in an additional 600,000 shares held by his spouse, bringing his total interest to 138,600,000 shares, which is approximately 34.43%[126]. - Mr. CL Chan directly holds 2,000,000 shares and has options to subscribe for an additional 2,000,000 shares under the Share Option Scheme[126]. - As of June 30, 2022, no other directors or chief executives had any interest or short position in the shares of the company that required disclosure[124]. - Madam Leung, as a beneficial owner and spouse of Mr. KM Luk, holds 157,000,000 shares, representing 39.01% of the company[129]. - Ms. Chan Patricia holds 138,000,000 shares as an interest of spouse, which is approximately 34.29%[129]. Market and Operational Challenges - The Group faced challenges due to COVID-19, impacting operational efficiencies and project delivery progress, with supply chain disruptions affecting project timelines[65]. - The Group's business performance was adversely affected by the outflux of competent staff, which is difficult to replace due to a market shortage[65]. - The Group anticipates ongoing supply chain issues may not be resolved in the short term[91]. - The financial highlights indicate a challenging market environment impacting revenue and profit margins, necessitating strategic adjustments moving forward[18]. Business Segments and Revenue Sources - The principal activity of the Company remains focused on investment holding and providing mechanical and electrical engineering solutions and services[29]. - Revenue from Transportation Mission Critical System Solutions was HK$6,784,000, down 30% from HK$9,701,000 in 2021[42]. - Mobile Ticketing and Digital Payment Solutions revenue decreased by 57% to HK$4,010,000 from HK$9,272,000[42]. - Digital Fabrication and Maintenance Services revenue fell to HK$5,476,000, a decline of 41% from HK$9,230,000[42]. - Revenue from the M&E Technology Solutions and Engineering Services segment generated revenue of approximately HK$17.3 million for the three months ended June 30, 2022, compared to approximately HK$18.0 million in 2021[80]. - Revenue from the Sales of Products, Parts and Components segment increased to approximately HK$2.4 million for the three months ended June 30, 2022, up from approximately HK$1.2 million in 2021[83]. - The Group has diversified its business into five major segments, including transportation system solutions and digital payment services, to meet customer needs[63]. Compliance and Governance - The financial report is prepared in compliance with the GEM Listing Rules, ensuring accuracy and completeness of the information provided[4]. - The report is available in both English and Chinese on the company's website, enhancing accessibility for stakeholders[5]. - The Group has a commitment to transparency and accountability, as indicated by the full responsibility accepted by the Directors for the report's contents[4]. - The Audit Committee reviewed the unaudited condensed consolidated results for the three months ended June 30, 2022, and found them compliant with applicable accounting standards[114]. - The Company has complied with all applicable code provisions of the Corporate Governance Code during the reporting period[109]. Tender and Contract Information - The Group submitted 55 tenders and quotations during the three months ended June 30, 2022, compared to 71 in 2021, with 19 contracts awarded, down from 27 in 2021[64]. - As of June 30, 2022, the total value of outstanding contracts was approximately HK$531.4 million, an increase of 46.2% from approximately HK$363.6 million in 2021[64]. - The total value of outstanding contracts for the M&E Technology Solutions and Engineering Services segment increased to approximately HK$301.3 million as of June 30, 2022, from approximately HK$174.9 million in 2021[81]. - The total value of outstanding contracts in the Mobile Ticketing and Digital Payment Solutions segment was approximately HK$151.3 million, up 14.0% from approximately HK$132.6 million in 2021[70]. Research and Development - Significant progress was made in R&D projects, including the application of robotic technology and IoT for future Smart City initiatives[90]. Other Information - The Company has not disclosed any new products or technologies in the provided reports[130]. - There are no updates on market expansion or mergers and acquisitions in the current financial report[130]. - During the three months ended June 30, 2022, there were no arrangements enabling Directors to acquire shares or debentures of the Company[134]. - None of the Directors or controlling shareholders had interests in any competing business during the three months ended June 30, 2022[135].

Financial Performance - The Group's revenue for the Reporting Period decreased by approximately HK$62.2 million, or approximately 27.7%, from approximately HK$224.8 million for the year ended 31 March 2021 to approximately HK$162.6 million for the Reporting Period[21]. - The Group recorded a gross profit of approximately HK$44.5 million for the Reporting Period, representing a decrease of approximately 30.7% compared to approximately HK$64.2 million for the year ended 31 March 2021[21]. - Net profit of the Group decreased to approximately HK$7.9 million for the Reporting Period, down from approximately HK$32.0 million for the year ended 31 March 2021[21]. - The Group's revenue for the Reporting Period decreased by approximately HK$62.2 million or 27.7% to approximately HK$162.6 million compared to approximately HK$224.8 million for the year ended March 31, 2021[36][38]. - Gross profit for the Reporting Period was approximately HK$44.5 million, representing a decrease of approximately HK$19.7 million or 30.7% from approximately HK$64.2 million for the previous year[36][38]. - Net profit for the Reporting Period amounted to approximately HK$7.9 million, down from approximately HK$32.0 million in the previous year[37][39]. - The Group's operational efficiencies and cash flows were adversely affected by COVID-19 measures, leading to diminished tendering opportunities since January 2022[68]. - The business environment is expected to be challenging in the coming year due to COVID-19 impacts, supply chain disruptions, and inflated costs[30][33]. - The Group's capital expenditure for the Reporting Period was approximately HK$0.9 million, down from approximately HK$1.9 million in the previous year, reflecting a focus on essential acquisitions[97]. - The Group's commitment to long-term sustainability in Hong Kong is reflected in its pursuit of opportunities in emerging markets[23]. Operational Challenges - The ongoing COVID-19 pandemic significantly disrupted the construction industry, affecting operational efficiencies and project delivery progress due to stringent anti-pandemic measures[22]. - The Group's business performance has been adversely affected by a shortage of qualified staff due to the pandemic and market conditions[22]. - The disruption of supply chains and rising material costs have been key challenges faced by the Group during the Reporting Period[22]. - The Group's operational efficiencies and cash flows were adversely affected by COVID-19 measures, leading to diminished tendering opportunities since January 2022[68]. - Administrative expenses increased by approximately 2.7% from approximately HK$40.6 million for the year ended March 31, 2021, to approximately HK$41.7 million for the Reporting Period, primarily due to increased costs related to COVID-19 measures[92][99]. Business Development and Strategy - The Group is actively developing e-Payment technology solutions targeted at retail markets and has established a new subsidiary for this purpose during the Reporting Period[23]. - The Group is participating in tendering projects for consultancy services on electric vehicle charging-enabling infrastructure (EVCEI) and plans to undertake more projects under the EV-charging at Home Subsidy Scheme (EHSS), which has been extended to 2028 with an injection of HK$1.5 billion[23]. - The Group aims to diversify its business and expand its clientele despite the difficult market conditions[23]. - The Group plans to invest HK$1.5 billion in the EV Charging Easy Subsidy Scheme, extending it to 2028, to diversify its business in the emerging market of electric vehicle infrastructure[26]. - The Group is exploring opportunities related to the installation of electric vehicle charging infrastructure, anticipating continued growth in the electric vehicle market due to government initiatives[80]. Tendering and Contracts - The Group submitted 355 tenders and quotations during the Reporting Period, an increase from 339 in the previous year, with 120 contracts awarded compared to 135 in the prior year[42]. - Outstanding contracts in hand as of March 31, 2022, were valued at approximately HK$549.8 million, up from approximately HK$356.5 million in the previous year[42]. - The Group submitted 355 bids and proposals during the Reporting Period, an increase from 339 in the previous year, and was awarded 120 contracts, down from 135 in the previous year[80]. Revenue Breakdown - Revenue from the Transportation Mission Critical System Solutions segment was approximately HK$34.0 million, down from approximately HK$50.2 million in the previous year[44]. - Revenue from Mobile Ticketing and Digital Payment Solutions amounted to approximately HK$26.3 million, a decrease from approximately HK$37.9 million in the previous year[50]. - Revenue from Digital Fabrication and Maintenance Services was approximately HK$32.2 million, down from approximately HK$40.7 million in the previous year[52]. - The M&E Technology Solutions and Engineering Services segment generated revenue of approximately HK$67.8 million, a decrease from approximately HK$92.9 million in the previous year[60]. - Revenue from Sales of Products, Parts, and Components was approximately HK$2.3 million, down from approximately HK$3.1 million in the previous year[62]. Management and Governance - The Group's executive directors have extensive experience in the M&E engineering industry, with a focus on strategic planning and operational management[139][143]. - The Group's chairman, Mr. KM Luk, has over 50 years of experience in the industry, emphasizing the importance of leadership in navigating market challenges[140]. - The Group's founder and Executive Director, Mr. Luk Kwai Lung, has over 50 years of experience in the electromechanical engineering industry, focusing on automatic toll collection systems and railway traffic monitoring systems[147]. - The Group emphasizes risk management, with multiple members of the management team serving on the Risk Management Committee[150]. - Mr. Lau has extensive experience in financial management and corporate governance, having held key positions in various listed companies[162]. Financial Position and Liquidity - The Group had approximately HK$92.0 million in bank balances and cash as of March 31, 2022, a decrease of approximately HK$21.9 million compared to approximately HK$113.9 million as of March 31, 2021[95]. - The Group maintained a healthy liquidity position throughout the reporting period, with a focus on credit risk assessment to mitigate financial exposure[128]. - The Group did not have any capital commitments as of March 31, 2022, consistent with the previous year[132]. - The Group has pledged certain amounts of bank deposits and investments in life insurance policies to secure general bank financing as of March 31, 2022[131]. Future Outlook - The Group anticipates continued growth in the EV market, supported by an additional HK$1.5 billion allocated by the government to extend the EHSS until 2027-28[75]. - The Group will continue to monitor the pandemic's impact on financial performance and operations, especially with the risk of new outbreaks[79].

Financial Performance - The Group's revenue for the nine months ended December 31, 2021, was approximately HK$129.8 million, a decrease of approximately HK$46.3 million or 26.3% compared to HK$176.1 million for the same period in 2020[19] - Gross profit for the nine months ended December 31, 2021, amounted to approximately HK$36.9 million, down from approximately HK$49.1 million in 2020[19] - The net profit for the nine months ended December 31, 2021, was approximately HK$4.7 million, a significant decrease from approximately HK$26.2 million in 2020[20] - Revenue for the nine months ended December 31, 2021, was HK$129,775,000, a decrease of 26.2% from HK$176,053,000 in the same period of 2020[24] - Profit before tax decreased significantly to HK$5,803,000, a decline of 80.4% compared to HK$29,454,000 in the previous year[24] - Profit attributable to owners of the Company for the period was HK$4,676,000, down 82.2% from HK$26,228,000 in the prior year[24] - Basic earnings per share decreased to HK1.18 cents, down 82.2% from HK6.62 cents in the same period last year[24] - The Group's gross profit decreased by approximately 24.8% from approximately HK$49.1 million for the nine months ended 31 December 2020 to approximately HK$36.9 million for the same period in 2021[93] - The Group recorded a net profit attributable to owners of approximately HK$4.7 million for the nine months ended December 31, 2021, a significant decrease from approximately HK$26.2 million in 2020[95] Dividend and Governance - The Board does not recommend a payment of an interim dividend for the nine months ended December 31, 2021, consistent with the previous year[20] - The Group did not recommend any dividend for the nine months ended December 31, 2021[52] - The company has complied with all applicable code provisions of the Corporate Governance Code during the nine months ended December 31, 2021[102] - The Audit Committee reviewed the unaudited condensed consolidated results for the nine months ended December 31, 2021, and confirmed compliance with applicable accounting standards[104] Market Conditions and Risks - The financial highlights indicate a challenging market environment impacting revenue and profit margins for the Group[19] - The Group's performance reflects ongoing market volatility and potential risks associated with small and mid-sized companies listed on GEM[3] - The report emphasizes the importance of careful consideration for prospective investors due to the higher investment risks associated with GEM-listed companies[2] - The Group continues to monitor market conditions and may adjust strategies accordingly to navigate the current economic landscape[19] Revenue Breakdown by Segment - The Group's revenue from Transportation Mission Critical System Solutions was HK$24,219,000, down 29.0% from HK$34,089,000 in 2020[41] - Revenue from Mobile Ticketing and Digital Payment Solutions was HK$21,338,000, a decrease of 30.6% from HK$30,782,000 in 2020[41] - Revenue from Digital Fabrication and Maintenance Services was HK$26,417,000, down 19.0% from HK$32,641,000 in 2020[41] - Revenue from M&E Technology Solutions and Engineering Services was HK$54,095,000, a decrease of 27.2% from HK$74,332,000 in 2020[41] - Revenue from the M&E Technology Solutions and Engineering Services segment amounted to approximately HK$54.1 million, down from approximately HK$74.3 million in 2020, representing a decrease of about 27.1%[79] Contracts and Tenders - For the nine months ended 31 December 2021, the Group submitted 288 tenders and quotations, an increase from 272 in 2020, with 95 contracts awarded compared to 107 in 2020[62] - The value of outstanding contracts as of 31 December 2021 was approximately HK$542.2 million, up from approximately HK$323.2 million in 2020, including HK$275.2 million awarded during the nine months[62] - The total value of outstanding contracts for the M&E Technology Solutions and Engineering Services segment was approximately HK$283.4 million as of 31 December 2021[82] Administrative and Financial Costs - Administrative expenses were reduced to HK$31,706,000, a slight decrease of 1.9% from HK$32,327,000 in the previous year[24] - Finance costs decreased to HK$148,000, down 32.1% from HK$218,000 year-over-year[24] - Other income significantly dropped to HK$490,000 from HK$12,783,000, indicating a decline of 96.2%[24] - Current income tax expense for the nine months ended December 31, 2021, was HK$808,000, significantly lower than HK$2,668,000 in 2020[48] Shareholding and Directors' Interests - As of December 31, 2021, the total number of issued shares was 402,500,000[118] - Mr. KM Luk holds 100,000,000 shares directly and is deemed to be interested in an additional 57,000,000 shares held by his spouse, totaling 157,000,000 shares, representing 39.01% of the company[118] - Mr. KL Luk and Mr. YC Luk each have an interest in a controlled corporation, KML Holdings, which holds 138,000,000 shares, representing 34.29% of the company[121] - Madam Leung holds 157,000,000 shares, representing 39.01% of the company, including interests from her spouse[121] - Ms. Chan Patricia has an interest in 138,000,000 shares through her spouse, representing 34.29%[121] - Madam Woo holds 138,600,000 shares, representing 34.43% of the company, including interests from her spouse[121]

Financial Performance - The Group's revenue for the six months ended September 30, 2021, was approximately HK$95.2 million, a decrease of approximately HK$25.4 million or 21.1% compared to HK$120.6 million for the same period in 2020[18]. - The gross profit for the same period was approximately HK$29.0 million, down from approximately HK$31.2 million in 2020[18]. - The net profit for the six months ended September 30, 2021, was approximately HK$7.5 million, compared to a net profit of approximately HK$15.7 million in 2020[19]. - Profit before tax decreased to HK$8,962,000, representing a decline of 48.5% compared to HK$17,403,000 in the previous year[23]. - Profit attributable to owners of the Company was HK$7,516,000, down 52.3% from HK$15,748,000 in the prior period[23]. - The total comprehensive income for the period was HK$7,516,000, compared to HK$15,748,000 for the same period in 2020, reflecting a decline of 52.3%[34]. - Basic and diluted earnings per share were both HK1.89 cents, a decrease from HK3.98 cents in the same period last year[23]. Dividend and Shareholder Information - The Board does not recommend an interim dividend for the six months ended September 30, 2021, consistent with the previous year[19]. - The final dividend declared for the year ended 31 March 2021 was HK2.73 cents per share, an increase from HK2.0 cents in 2020, with a total distribution of HK$10,988,000[68]. - As of September 30, 2021, Mr. Luk Kam Ming held 157 million shares, representing approximately 39.01% of the company's shareholding[198]. - Mr. Luk Kwai Lung and Mr. Luk Yin Cheung held 138 million shares (34.29%) and 138.6 million shares (34.43%) respectively, both in controlled corporations[198]. Assets and Liabilities - Total non-current assets increased to HK$21,988,000 as of September 30, 2021, compared to HK$16,312,000 as of March 31, 2021[25]. - Total current assets decreased to HK$226,745,000 from HK$237,111,000 as of March 31, 2021[25]. - Total current liabilities decreased to HK$53,458,000 from HK$61,109,000 as of March 31, 2021[28]. - Net assets as of September 30, 2021, were HK$188,712,000, a slight decrease from HK$191,811,000 as of March 31, 2021[28]. - The company's equity attributable to owners decreased to HK$188,712,000 as of September 30, 2021, from HK$191,811,000 at the end of March 2021, a decline of 1.6%[34]. - Total liabilities increased to HK$16,005,000 as of 30 September 2021, up from HK$12,699,000 as of 31 March 2021[86]. Cash Flow and Investments - For the six months ended September 30, 2021, the net cash from operating activities was HK$4,356,000, a decrease of 79.3% compared to HK$21,101,000 for the same period in 2020[34]. - The net cash flows used in investing activities amounted to HK$8,710,000, compared to HK$11,748,000 in the previous year, indicating a decrease of 26.0%[34]. - The net cash flows used in financing activities were HK$13,890,000, an increase of 27.1% from HK$10,911,000 in the prior year[34]. - As of September 30, 2021, cash and cash equivalents were HK$90,557,000, down from HK$108,801,000 at the beginning of the period, representing a decrease of 16.7%[34]. - The Group has pledged approximately HK$13.8 million in bank deposits and HK$5.5 million in life insurance investments to secure general banking facilities[173]. Operational Highlights - The Group's principal activity remains investment holding, with subsidiaries engaged in mechanical and electrical engineering solutions and services[36]. - The Group submitted 214 tenders and quotations during the six months ended 30 September 2021, an increase from 168 in the same period in 2020, with 55 contracts awarded[120]. - The Group is expecting to secure more contracts related to the Automatic Fare Collection system in the coming months[105]. - Major projects in progress included the installation of lane equipment for the ePayment system for the Cross Harbour Tunnel and the replacement of automatic fare collection gates for various railway lines[106]. Compliance and Governance - The financial report is prepared in compliance with the GEM Listing Rules, ensuring accuracy and completeness of the information provided[4]. - The Group has maintained compliance with all applicable provisions of the Corporate Governance Code during the six months ended September 30, 2021[185]. - The audit committee reviewed the unaudited condensed consolidated results for the six months ended September 30, 2021, and confirmed compliance with applicable accounting standards[187]. Market Position and Risks - The Company is positioned in the GEM market, which is designed for small and mid-sized companies, indicating a higher investment risk[1]. - The securities traded on GEM may experience higher market volatility compared to those on the Main Board[2]. - The financial highlights indicate a challenging market environment impacting revenue and profit margins[18].

Financial Performance - The Group's revenue for the three months ended June 30, 2021, was approximately HK$47.3 million, a decrease of approximately HK$15.8 million or 25.0% compared to HK$63.1 million for the same period in 2020[19] - The gross profit for the same period was approximately HK$16.7 million, compared to approximately HK$14.1 million in 2020[19] - The net profit for the three months ended June 30, 2021, amounted to approximately HK$5.8 million, an increase from approximately HK$5.3 million in 2020[20] - Revenue for the three months ended June 30, 2021, was HK$47,325,000, a decrease of 25.0% compared to HK$63,095,000 for the same period in 2020[24] - Gross profit increased to HK$16,716,000, up 18.4% from HK$14,116,000 in the previous year[24] - Profit before tax for the period was HK$6,844,000, representing an increase of 11.8% from HK$6,121,000 in 2020[24] - Profit attributable to owners of the Company was HK$5,818,000, an increase of 10.7% compared to HK$5,257,000 in the same period last year[24] - Basic earnings per share increased to HK1.47 cents, up from HK1.33 cents in the previous year, reflecting a growth of 10.5%[24] Dividend and Shareholder Information - The Board does not recommend the payment of an interim dividend for the three months ended June 30, 2021, consistent with the previous year[20] - The Group does not recommend the payment of any dividend for the three months ended June 30, 2021[57] - On July 5, 2021, 2,375,000 shares were awarded to eligible employees, representing approximately 0.6% of the total number of shares in issue[101] - As of June 30, 2021, the total number of issued shares was 402,500,000[126] - Mr. KM Luk holds 100,000,000 shares directly and is deemed to be interested in an additional 57,000,000 shares through his spouse, totaling 157,000,000 shares, representing 39.01% of the company[126] - KML Holdings, a controlled corporation, holds 138,000,000 shares, accounting for 34.29% of the company[129] - Mr. YC Luk is deemed to be interested in 138,600,000 shares through his spouse, representing 34.43% of the company[129] - Mr. CL Chan directly holds 2,000,000 shares and has options to subscribe for an additional 2,000,000 shares[126] Operational Efficiency and Strategic Direction - The Company continues to focus on enhancing its operational efficiency to improve future financial performance[19] - The management discussion and analysis section provides insights into the Group's strategic direction and market positioning[11] - The Group remains committed to exploring new market opportunities and potential technological advancements[19] - The Company continues to focus on providing mechanical and electrical engineering solutions and services, with plans for market expansion and new product development in the upcoming quarters[30] - The Group's performance reflects the challenges faced in the market, necessitating strategic adjustments moving forward[19] Market and Contract Information - The Group submitted 71 tenders and quotations during the three months ended June 30, 2021, resulting in 27 contracts awarded, down from 81 tenders and 39 contracts in 2020[68] - As of June 30, 2021, the total value of outstanding contracts was approximately HK$363.6 million, including HK$52.4 million awarded during the three months ended June 30, 2021[68] - The total value of outstanding contracts in the Mobile Ticketing and Digital Payment Solutions segment was approximately HK$132.6 million as of June 30, 2021[76] - The total value of outstanding contracts in the Digital Fabrication and Maintenance Services segment was approximately HK$20.3 million as of June 30, 2021[81] - The total value of outstanding contracts in the M&E Technology Solutions and Engineering Services segment was approximately HK$174.9 million as of June 30, 2021, including two new major projects worth approximately HK$50.0 million[85] Cost Management - Administrative expenses decreased slightly to HK$10,068,000 from HK$10,311,000 in the same period last year, a reduction of 2.4%[24] - Finance costs decreased significantly to HK$27,000 from HK$92,000, a reduction of 70.7%[24] - Other income decreased to HK$129,000 from HK$2,085,000, a decline of 93.8% year-over-year[24] - The cost of sales decreased by approximately 37.6% from approximately HK$49.0 million for the three months ended June 30, 2020, to approximately HK$30.6 million for the three months ended June 30, 2021[97] - Administrative expenses decreased by approximately 1.9% from approximately HK$10.3 million for the three months ended June 30, 2020, to approximately HK$10.1 million for the three months ended June 30, 2021[98] Compliance and Governance - The financial report is prepared in compliance with the GEM Listing Rules, ensuring accuracy and completeness of the information provided[5] - The report is available in both English and Chinese on the Company's website, ensuring accessibility for stakeholders[6] - The Company complied with all applicable code provisions of the Corporate Governance Code during the three months ended June 30, 2021[109] - The company maintains compliance with the SFO regarding the disclosure of interests and short positions[131] Shareholder Interests - As of June 30, 2021, no other directors or chief executives had any interests or short positions in the shares of the company that required disclosure[124] - The company has not identified any substantial shareholders with interests or short positions that require disclosure under the SFO, apart from those mentioned[131] - The total interest of Madam Leung, including her spouse's interest, is 157,000,000 shares, which is 39.01% of the company[129] - The interests of Mr. KL Luk and Mr. YC Luk in KML Holdings represent 138,000,000 shares, which is 34.29% of the company[129] Future Outlook - The company did not disclose any future performance guidance or outlook in the provided documents[138] - The report does not indicate any new strategies being implemented by the company[138] - The company has not reported any new product or technology developments in the current quarter[138] - There were no significant market expansions or acquisitions mentioned in the report[138]

Financial Performance - The Group's revenue for the year ended March 31, 2021, increased by approximately HK$0.6 million, or 0.3%, to approximately HK$224.8 million from HK$224.2 million for the year ended March 31, 2020[21] - Gross profit decreased by approximately 10.0% to approximately HK$64.2 million for the year ended March 31, 2021, compared to approximately HK$71.3 million for the previous year[21] - Net profit increased to approximately HK$32.0 million for the year ended March 31, 2021, up from approximately HK$21.6 million for the year ended March 31, 2020[21] - The Group's revenue for the year ended March 31, 2021, was approximately HK$224.8 million, a slight increase of about HK$0.6 million or approximately 0.3% compared to HK$224.2 million for the year ended March 31, 2020[34] - The gross profit for the year ended March 31, 2021, was approximately HK$64.2 million, representing a decrease of approximately HK$7.1 million or approximately 10.0% from HK$71.3 million for the previous year[34] - The net profit for the year ended March 31, 2021, increased to approximately HK$32.0 million, compared to approximately HK$21.6 million for the year ended March 31, 2020[35] - The Group's cost of sales increased by approximately 5.1% to about HK$160.7 million for the year ended March 31, 2021, compared to approximately HK$152.9 million for the previous year[59] - Gross profit decreased by approximately 10.0% to about HK$64.2 million for the year ended March 31, 2021, down from approximately HK$71.3 million for the previous year[59] - Administrative expenses decreased by approximately 11.9% to about HK$40.6 million for the year ended March 31, 2021, down from approximately HK$46.1 million for the previous year[61] Contracts and Projects - The Group was awarded a new contract for smoke curtain replacement at East Rail Line and West Rail Line valued at approximately HK$61.8 million[22] - The previous contract for smoke curtain replacement at Airport Express Line and Tung Chung Line was valued at approximately HK$70.0 million and is expected to be completed in the second half of 2021[22] - The Group's maintenance contract for the automatic fare collection system has been extended for another three years, expected to be completed in the fiscal year 2022[26] - The Group submitted 339 tenders and quotations during the year, with 135 contracts awarded, compared to 325 tenders and 165 contracts in the previous year[45] - Two major projects awarded in the first two months of the financial year ending 31 March 2022 amounted to approximately HK$50.0 million[52] - The Group expects steady growth in revenue from E&M projects, driven by ongoing renovation and replacement initiatives[52] Research and Development - The Group is enhancing technical capabilities by implementing building information modelling (BIM) and applying VR, AR, and MR technologies for training and support[24] - Ongoing R&D efforts include developing software for ferry arrival times, applying robotic technology for cash transport, and studying a kiosk for ePayment transactions[24] - The Group is focusing on R&D efforts, including developing software solutions for ferry terminal arrival time announcements and exploring the feasibility of kiosks for electronic payment transactions[27] - The Group has set up an office at the Hong Kong Science and Technology Parks and recruited three additional R&D staff to enhance R&D capabilities[78] - The Group has purchased three-dimensional design software to create three-dimensional drawings and designs for products[78] - The Group has started preparations for obtaining ISO 90003 certification to enhance software engineering standards[78] Dividends and Financial Management - The Board recommended a final dividend of HK2.73 cents per ordinary share for the year ended March 31, 2021, compared to HK2.0 cents for the previous year[37] - The total planned use of net proceeds was HK$36,000,000, with actual utilization amounting to HK$33,807,000, leaving HK$2,193,000 unutilized as of March 31, 2021[84] - The company expanded its E&M engineering technical capabilities with a planned expenditure of HK$17,952,000, but only utilized HK$9,601,000[84] - The company aimed to deepen its penetration in the Hong Kong E&M engineering industry, specifically in the Transportation Mission Critical System Solutions market, with a planned expenditure of HK$9,252,000, utilizing HK$8,603,000[84] - The company strengthened its financial capabilities for larger-scale E&M engineering projects with a planned expenditure of HK$6,000,000, but actual utilization was HK$15,000,000[84] Employee and Operational Insights - As of March 31, 2021, the Group had approximately HK$113.9 million in bank balances and cash, an increase of approximately HK$30.9 million compared to approximately HK$83.0 million as of March 31, 2020[64] - As of 31 March 2021, the Group employed 203 employees, an increase from 199 employees in 2020[76] - The Group has continued to enhance insurance coverage and employee remuneration packages, including upgrading medical insurance plans[75] - The Group's recruitment efforts are competitive, utilizing various channels to attract qualified engineering staff[186] Customer and Supplier Relationships - The Group has maintained a business relationship with its largest customer since 1978, indicating strong customer retention[187] - For the year ended 31 March 2021, sales to the five largest customers accounted for approximately 90.7% of the Group's total revenue, up from 85.1% in 2020[196] - The largest customer contributed approximately 67.1% of the Group's total revenue for the year ended March 31, 2021, compared to 64.1% in 2020[196] - Purchases from the five largest suppliers accounted for approximately 38.0% of the Group's total purchases in the year ended March 31, 2021, an increase from 35.0% in 2020[197] - The largest supplier represented approximately 11.8% of the Group's total purchases for the year ended March 31, 2021, compared to 10.0% in 2020[197] Challenges and Risks - The Group faces challenges in identifying competent candidates for senior management positions, which could jeopardize long-term objectives[105] - The Group relies on a few key customers, and the loss or downsizing of any of these customers could significantly impact revenue[105] - If the pandemic continues to affect travel and collaboration with overseas partners, it may lead to project delays and reduced efficiency[105] - The Group's reliance on a limited number of customers poses a risk to revenue stability, necessitating diversification strategies[105] Corporate Governance and Compliance - The Group has complied with all relevant environmental laws and regulations during the year ended March 31, 2021[179] - The Group's environmental policies focus on pollution prevention and sustainable development, supported by employee engagement[178] - The company currently does not have any hedging policy in place for its foreign currency exposure, which mainly arises from fluctuations in RMB, EUR, and USD[87]

Financial Performance - The Group's revenue for the nine months ended December 31, 2020, was approximately HK$176.1 million, representing an increase of approximately HK$16.0 million or approximately 10.0% compared to HK$160.1 million for the same period in 2019[19]. - The gross profit for the nine months ended December 31, 2020, amounted to approximately HK$49.1 million, up from approximately HK$44.9 million in 2019[19]. - The net profit for the nine months ended December 31, 2020, was approximately HK$26.2 million, significantly higher than approximately HK$10.9 million in 2019[20]. - The financial highlights indicate a positive trend in revenue and profit growth, reflecting the Group's operational effectiveness and market position[19]. - Future outlook remains optimistic, with expectations for continued revenue growth and profitability improvements[19]. - The Group's financial stability is reinforced by its improved profit margins and overall financial performance compared to the previous year[19]. - Profit before tax surged to HK$29,454,000, a significant increase of 122% from HK$13,252,000 in the previous year[24]. - Profit attributable to owners of the Company for the period was HK$26,228,000, compared to HK$10,878,000 in the same period last year, marking an increase of 141%[24]. - Basic earnings per share increased to HK6.62 cents, up from HK2.72 cents in the previous year, reflecting a growth of 143%[24]. - The Group's income tax expense for the nine months ended December 31, 2020, was HK$3,226,000, compared to HK$2,374,000 in 2019, an increase of 35.9%[59]. Revenue Breakdown - For the nine months ended December 31, 2020, the Group's revenue from E&M engineering solutions and services was HK$138,263,000, an increase from HK$132,860,000 in the same period of 2019, representing a growth of approximately 4.2%[48]. - The revenue from E&M engineering maintenance services increased to HK$28,540,000 from HK$23,536,000, reflecting a growth of approximately 21.4% year-on-year[48]. - Revenue from E&M engineering design and fabrication services rose significantly to HK$8,305,000 from HK$2,797,000, marking an increase of approximately 196.5%[48]. - Revenue from E&M Engineering Solutions and Services related to Transportation Mission Critical System Solutions was HK$47,925,000, accounting for 27.2% of total revenue, compared to 20.9% in 2019[77]. - Revenue from Other E&M Engineering Solutions and Services was HK$90,338,000, which constituted 51.3% of total revenue, down from 62.1% in 2019[77]. - E&M Engineering Design and Fabrication Services revenue increased to HK$8,305,000, representing 4.7% of total revenue, compared to 1.7% in 2019[77]. - E&M Engineering Maintenance Services generated revenue of HK$28,540,000, which was 16.3% of total revenue, up from 14.7% in 2019[77]. Operational Efficiency and Strategy - The Group continues to focus on enhancing its operational efficiency to sustain growth in a competitive market environment[19]. - The increase in revenue and profit margins may indicate successful strategies in market expansion and product offerings[19]. - The Group's performance in the third quarter suggests a robust recovery and potential for future growth in the upcoming quarters[19]. - The Group has been exploring business opportunities in electric vehicle charging facilities, with several tenders submitted for government car parks[83]. - The Group submitted 272 tenders and quotations during the nine months ended December 31, 2020, an increase from 252 in 2019, with 107 contracts awarded[79]. Dividend and Shareholder Information - The Board does not recommend a payment of an interim dividend for the nine months ended December 31, 2020, consistent with the previous year[20]. - The Board did not recommend the payment of any dividend for the nine months ended December 31, 2020[63]. - As of December 31, 2020, Mr. Luk Kam Ming holds 157,000,000 shares, representing approximately 39.25% of the company's shareholding[115]. - Mr. Luk Kwai Lung has an interest in a controlled corporation with 138,000,000 shares, accounting for approximately 34.50% of the company's shareholding[115]. - Mr. Luk Yin Cheung holds 138,600,000 shares through a controlled corporation, which is about 34.65% of the company's shareholding[115]. - The shareholding structure indicates significant family ties among major shareholders, impacting control and decision-making within the company[125]. - The total number of shares held by substantial shareholders reflects a concentrated ownership structure, which may influence corporate governance and strategic direction[121]. Corporate Governance and Compliance - The company has established an audit committee in compliance with GEM Listing Rules, ensuring proper financial oversight[106]. - The company has adhered to the corporate governance code as per GEM Listing Rules throughout the reporting period[104]. - The condensed consolidated financial information has not been audited but has been reviewed by the Company's audit committee, ensuring a level of oversight[40]. - The financial data presented is unaudited, highlighting the preliminary nature of the reported figures[48]. - The company confirmed that no directors or chief executives had any undisclosed interests or short positions in shares as of December 31, 2020[116]. Share Option Scheme - The company granted 9,800,000 share options under the Share Option Scheme, with an estimated fair value of approximately HK$1,057,000[132]. - The exercise price for the options is set at HK$0.259, while the share price at the grant date was HK$0.250[134]. - The total number of shares that can be granted under the Share Option Scheme is capped at 40,000,000 shares, representing 10% of the total shares issued[128]. - The options must be accepted within three business days from the date of offer, with a payment of HK$10 upon acceptance[128]. - The Share Option Scheme will remain in force for 10 years from the date of listing unless terminated earlier by shareholders[131]. - The vesting period for the options ranges from January 2, 2020, to June 30, 2021, with exercise periods extending to January 1, 2025[137]. - The total number of options granted to employees is 6,800,000, with varying vesting and exercise periods[137]. - The company aims to incentivize directors and employees based on their contributions to the group's development and growth[128].