Financial Performance - For the nine months ended September 30, 2021, the company recorded revenue of approximately HKD 20,186,000, a decrease from HKD 53,762,000 in the same period of 2020, representing a decline of 62.5%[8] - The net loss for the nine months ended September 30, 2021, was approximately HKD 17,328,000, compared to a loss of HKD 16,573,000 for the same period in 2020, indicating a 4.6% increase in losses year-over-year[9] - Basic loss per share for the nine months ended September 30, 2021, was HKD 0.22, compared to HKD 0.21 for the same period in 2020, reflecting a slight increase in loss per share[12] - Total comprehensive loss for the nine months ended September 30, 2021, was HKD 15,721,000, compared to a loss of HKD 13,665,000 in the same period of 2020, representing a 15% increase in comprehensive losses[13] - The net loss attributable to owners for the nine months ended September 30, 2021, was HKD 17,327,000, compared to a loss of HKD 16,480,000 for the same period in 2020[26] Revenue Breakdown - The company reported a significant decrease in revenue from other income and losses, totaling HKD 5,044,000 for the nine months ended September 30, 2021, compared to HKD 3,885,000 in the same period of 2020, a decline of 29.9%[12] - Total revenue for the three months ended September 30, 2021, was HKD 15,029,000, compared to HKD 2,422,000 for the same period in 2020, representing a significant increase of 520.5%[21] - Revenue from securities and futures brokerage commission services was HKD 15,023,000 for the three months ended September 30, 2021, compared to HKD 2,342,000 in 2020, marking an increase of 540.5%[21] - The automotive sales, agency services, and parts procurement segment generated revenue of approximately HKD 19.39 million, down from approximately HKD 52.80 million in the previous year, a significant decrease of approximately HKD 33.41 million[34] Dividends and Share Capital - The company did not recommend the payment of any dividends for the nine months ended September 30, 2021, consistent with the previous year[10] - The company did not recommend any dividend for the nine months ended September 30, 2021, consistent with the previous year[29] - As of September 30, 2021, the total issued share capital was HKD 1,750,788,000, with 7,748,958,000 shares outstanding[28] Expenses and Costs - Employee benefit expenses for the nine months ended September 30, 2021, were HKD 10,632,000, down from HKD 14,212,000 in the same period of 2020, indicating a reduction of 25.5%[12] - The company reported a financing cost of HKD 79,000 for the nine months ended September 30, 2021, down from HKD 160,000 in the same period of 2020, reflecting a decrease of 50.6%[12] - The company recorded a foreign exchange gain of HKD 1,607,000 for the nine months ended September 30, 2021, compared to HKD 2,908,000 in the same period of 2020, a decrease of 44.7%[13] Assets and Liabilities - The group’s net current assets were approximately HKD 248.31 million, with a current ratio of 2.5 times as of September 30, 2021[35] - The group’s bank balance and cash amounted to approximately HKD 49.25 million, of which approximately HKD 6.35 million was held in trust accounts for clients[35] - The group’s equity attributable to owners was approximately HKD 190.67 million, a decrease of 7.6% or approximately HKD 15.72 million compared to December 31, 2020[37] Corporate Governance - The audit committee has reviewed the financial statements for the nine months ending September 30, 2021, and confirmed compliance with applicable accounting standards[55] - The company has complied with all principles and provisions of the GEM Listing Rules Appendix 15 Corporate Governance Code, with some exceptions noted[50] - The company has established an audit committee to oversee financial reporting and internal control processes[54] - The chairman and CEO roles are held by the same individual, which deviates from the Corporate Governance Code's recommendation[51] - No directors or management shareholders have disclosed any business interests that may compete with the group's business as of September 30, 2021[48] - The company has confirmed that all directors adhered to the trading standards and the company's code of conduct regarding securities transactions during the review period[52] Future Prospects and Investments - The group is optimistic about the prospects of the Chinese and Hong Kong stock markets and plans to continue developing other businesses and seeking opportunities to expand revenue sources[38] - The group is investing in the Chinese new drug development market through limited partnerships, focusing on four new drugs for various cancers and drug-resistant tuberculosis[33] - One of the new drugs developed by Chengdu Jiabao Pharmaceutical Technology Co., Ltd. has entered Phase I clinical trials, while others are still in the research phase[33] Stock Options - As of September 30, 2021, the company has not granted any stock options under its stock option plan[47] - The company has a stock option plan that allows individuals contributing to the group's interests to acquire shares, limited to 30% of the issued shares[46] Inventory Changes - The company experienced a significant change in finished goods inventory, with a decrease of HKD 17,647,000 for the nine months ended September 30, 2021, compared to a decrease of HKD 48,443,000 in the same period of 2020[12] Fair Value Changes - The company reported a total loss of HKD 60,000 from fair value changes in financial assets for the three months ended September 30, 2021[22]

華億金控集 團 有 限 公 司 SINOFORTUNE FINANCIAL HOLDINGS LIMITED (Incorporated in the Cayman Islands with limited liability) (Stock code: 08123) 2021 INTERIM REPORT 華億金控集 團 有 限 公 司 SINOFORTUNE FINANCIAL HOLDINGS LIMITED （於開曼群島註冊成立之有限公司） （股份代號：08123） 中期報告 2021 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在聯交所上市 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券承 受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 香港交易及結算所有限公司及聯交所對本報告之內容概不負責、對其準確性或完整性亦 不發表任何聲明，並明確表示概不就因本報告全部或 ...

Financial Performance - The company recorded revenue of approximately HKD 2,971,000 for the three months ended March 31, 2021, a decrease of 87% compared to HKD 22,815,000 for the same period in 2020[4][9]. - The net loss for the three months ended March 31, 2021, was approximately HKD 4,844,000, compared to a net loss of HKD 7,648,000 for the same period in 2020, representing a 37% improvement[5][11]. - Basic loss per share for the period was HKD 0.06, compared to HKD 0.10 for the same period in 2020[13]. - Total comprehensive loss for the period was HKD 5,733,000, compared to HKD 11,320,000 for the same period in 2020, indicating a 49% reduction in comprehensive losses[11][12]. - The company recorded an unaudited loss of approximately HKD 4.84 million for the three months ended March 31, 2021, compared to a loss of HKD 7.65 million in the same period of 2020[36]. - Basic loss per share attributable to the owners of the company was approximately HKD 0.06, an improvement from HKD 0.10 in the previous year[36]. Revenue Breakdown - Revenue from the automotive sales segment, where the company acted as a principal, was approximately HKD 0.87 million, down from HKD 21.52 million in the previous year[34]. - The revenue from agency services and parts procurement was approximately HKD 1.71 million, compared to HKD 1.00 million in the same period last year[34]. - The decline in revenue was primarily attributed to a significant drop in automotive sales in China due to changes in government policies regarding new vehicle emissions standards[33]. - In Q1 2021, the automotive sales, agency services, and parts procurement segment accounted for approximately 86.78% of the group's revenue[38]. Expenses and Losses - Employee benefit expenses decreased to HKD 3,569,000 from HKD 5,189,000, reflecting a 31% reduction year-over-year[9]. - The company experienced a foreign exchange loss of HKD 889,000 for the period, compared to a loss of HKD 3,672,000 in the previous year[11]. - The company recorded a fair value gain of approximately HKD 0.29 million from securities trading, compared to a fair value loss of HKD 0.43 million in the previous year[36]. - Other income and losses netted approximately HKD 352,000, a significant increase from HKD 4,000 in the same period last year[22]. - The company did not recognize any tax provisions for Hong Kong profits tax and China corporate income tax due to tax losses recorded during the period[23]. Assets and Liabilities - As of March 31, 2021, the group's current assets were approximately HKD 187.26 million, with a current ratio of 6.22 times[37]. - The group's cash and bank balances were approximately HKD 54.77 million, of which HKD 14.55 million was held in trust accounts for clients[37]. - The debt-to-equity ratio as of March 31, 2021, was 16.98%, calculated from total liabilities of approximately HKD 34.07 million against equity attributable to owners of approximately HKD 200.66 million[37]. - The equity attributable to owners decreased by approximately HKD 5.73 million or 2.78% compared to December 31, 2020[37]. Business Operations and Strategy - The company primarily engages in providing securities and futures trading services in Hong Kong, as well as self-investment and automotive sales in China[18]. - The group has ordered approximately 400 vehicles that meet the National VI standards and expects the certification process to be completed by the end of May 2021[39]. - The group plans to diversify its business by investing in limited partnerships focused on new drug development in China[39]. - The company remains optimistic about the prospects of the Chinese and Hong Kong stock markets and will continue to seek opportunities to expand revenue sources[41]. Corporate Governance - The company did not recommend the payment of a dividend for the three months ended March 31, 2021[6]. - The company did not recommend the payment of dividends for the period ended March 31, 2021, consistent with the previous year[31]. - The company has not granted any stock options under its stock option plan as of March 31, 2021[51]. - The company has established a clear division of roles between the Chairman and the CEO, with Mr. Wang Jiawei serving as both[55]. - The board consists of three independent non-executive directors, ensuring that shareholders' interests are adequately protected[55]. - The audit committee has been formed in compliance with GEM listing rules, with responsibilities including reviewing financial reporting and internal control procedures[59]. - The audit committee is composed of three independent non-executive directors, who have reviewed the financial statements for the three months ending March 31, 2021, confirming compliance with applicable accounting standards[60]. - All directors have confirmed compliance with the trading standards and the company's adopted code of conduct for securities trading during the review period[58]. - The executive directors include Mr. Wang Jiawei and Ms. Li Yumei, while the non-executive directors include Mr. Liu Runtong and three independent non-executive directors[61].

華 億 金 控 集 團 有 限 公 司 SINOFORTUNE FINANCIAL HOLDINGS LIMITED (Incorporated in the Cayman Islands with limited liability)(於開曼群島註冊成立之有限公司) (Stock code 股份代號: 08123) seat Additional RIBERTY ATTACH THE CHILD CHILD HIDTOTTOTAL r research of alled TEMBER 100 HOUTH FOR The Division of Children NEW THE STORE THE PERCE HOLD I CHINDRATEN D TATHER THE FORD THE FOR THE OF THE PERSONAL 14 ANNUAL REPORT 在報 CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE") GEM has been positioned as a m ...

[Performance Summary](index=3&type=section&id=Performance%20Summary) This section presents a concise overview of the company's key financial results for the six months ended June 30, 2020 Performance Summary for the Six Months Ended June 30, 2020 | Indicator | Amount (Thousand HKD) | | :--- | :--- | | Revenue | 51,340 | | Loss for the period | 11,688 | | Loss attributable to owners of the Company | 11,597 | | Basic and diluted loss per share | 0.15 HK cents | | Proposed dividend | Not declared | [Interim Results (Unaudited)](index=4&type=section&id=Interim%20Results%20%28Unaudited%29) This section provides the unaudited condensed consolidated financial statements, including the statements of profit or loss, financial position, changes in equity, and cash flows [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2020, the Group's revenue significantly decreased by 59.9% to **HKD 51.34 million**, while loss for the period narrowed substantially to **HKD 11.69 million** due to lower provisions in the prior year Key Indicators from Consolidated Statement of Profit or Loss | Indicator (Thousand HKD) | For the Six Months Ended June 30 (2020) | For the Six Months Ended June 30 (2019) | Year-on-year Change | | :--- | :--- | :--- | :--- | | Revenue | 51,340 | 127,945 | -59.9% | | Loss before income tax | (11,688) | (71,253) | -83.6% | | Loss for the period | (11,688) | (72,826) | -83.9% | | Loss attributable to owners of the Company | (11,597) | (69,424) | -83.3% | | Basic loss per share (HK cents) | (0.150) | (1.033) | N/A | [Condensed Consolidated Statement of Financial Position](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As at June 30, 2020, the Group's total assets decreased by 10.1% to **HKD 281.27 million**, with net assets at **HKD 221.98 million**, primarily due to reductions in inventory and bank balances Key Indicators from Statement of Financial Position | Indicator (Thousand HKD) | June 30, 2020 | December 31, 2019 | Change | | :--- | :--- | :--- | :--- | | Non-current assets | 71,108 | 72,960 | -2.5% | | Current assets | 210,160 | 239,913 | -12.4% | | **Total Assets** | **281,268** | **312,873** | **-10.1%** | | Current liabilities | 56,359 | 62,293 | -9.5% | | Non-current liabilities | 2,927 | 4,604 | -36.4% | | **Total Liabilities** | **59,286** | **66,897** | **-11.4%** | | **Net Assets** | **221,982** | **245,976** | **-9.8%** | | Equity attributable to owners of the Company | 221,735 | 238,548 | -7.0% | [Condensed Consolidated Statement of Changes in Equity](index=9&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) For the six months ended June 30, 2020, equity attributable to owners of the Company decreased from **HKD 239 million** to **HKD 222 million**, mainly due to the period's loss and a **HKD 4.99 million** loss from exchange reserves - During the period, equity attributable to owners of the Company decreased by **HKD 16.81 million**, primarily due to the loss for the period and negative exchange differences[18](index=18&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) During the period, the Group experienced net cash outflows from operating, investing, and financing activities, resulting in a net decrease of **HKD 48.23 million** in cash and cash equivalents, with the period-end balance at **HKD 64.83 million** Cash Flow Statement Summary | Activity (Thousand HKD) | For the Six Months Ended June 30 (2020) | For the Six Months Ended June 30 (2019) | | :--- | :--- | :--- | | Net cash used in operating activities | (5,364) | (20,321) | | Net cash used in investing activities | (41,776) | (28,451) | | Net cash used in financing activities | (1,086) | (2,952) | | **Net decrease in cash and cash equivalents** | **(48,226)** | **(51,724)** | | Cash and cash equivalents at beginning of period | 113,059 | 153,054 | | **Cash and cash equivalents at end of period** | **64,833** | **101,330** | [Notes to the Financial Statements](index=11&type=section&id=Notes%20to%20the%20Financial%20Statements) This section provides detailed explanatory notes to the condensed consolidated financial statements, covering general information, segment performance, and key financial items [General Information and Business Scope](index=11&type=section&id=1.%20General%20Information) The Group primarily operates in four key business areas: precious metals spot trading, securities and futures brokerage, trading and proprietary investments in China and Hong Kong, and automotive sales and agency services in China - The Group's core businesses encompass financial services (precious metals, securities and futures), proprietary investments, and automotive sales across multiple regions[24](index=24&type=chunk) [Revenue and Segment Information](index=12&type=section&id=3.%20Revenue%20and%204.%20Segment%20Information) Total revenue for the period was **HKD 51.34 million**, with automotive sales and agency services contributing over 98% at **HKD 50.72 million**, predominantly from the China market, and this segment turned profitable with **HKD 1.48 million** Revenue by Business Line (For the Six Months Ended June 30) | Business Line (Thousand HKD) | 2020 | 2019 | | :--- | :--- | :--- | | Securities and futures brokerage services | 363 | 243 | | Automotive sales | 48,768 | 126,778 | | Automotive trade agency fees | 1,947 | 642 | | Interest income from clients | 262 | 282 | | **Total** | **51,340** | **127,945** | Segment Results (For the Six Months Ended June 30) | Segment (Thousand HKD) | 2020 Segment Result | 2019 Segment Result | | :--- | :--- | :--- | | Brokerage and securities margin financing | (1,027) | (1,712) | | Precious metals spot trading and brokerage | (51) | (13) | | Trading and proprietary investments | (3,524) | (10,317) | | Sales of automobiles and provision of agency services | 1,482 | (49,372) | | **Total** | **(3,120)** | **(61,414)** | - Geographically, revenue from the China market amounted to **HKD 50.72 million**, accounting for **98.8%** of total revenue, while revenue from the Hong Kong market was **HKD 0.625 million**[35](index=35&type=chunk) [Analysis of Key Financial Items](index=18&type=section&id=Notes%208%2C%209%2C%2010%2C%2014) The Group holds unlisted equity investments in biomedical and new drug development projects, with trade receivables increasing to **HKD 46.95 million** primarily from automotive trade, and onerous contract provisions slightly decreasing to **HKD 15.31 million** - The Group participates in new drug development projects through investments in limited partnerships, aiming to co-develop three new drugs and acquire drug patents[61](index=61&type=chunk) - Trade receivables increased from **HKD 31.84 million** at the end of 2019 to **HKD 46.95 million**, with **HKD 41.50 million** originating from the automotive trade business[69](index=69&type=chunk)[72](index=72&type=chunk) - Onerous contract provisions are primarily related to irrevocable automobile purchase contracts, with an ending balance of **HKD 15.31 million**[84](index=84&type=chunk) [Discontinued Operations](index=27&type=section&id=16.%20Discontinued%20Operations) The Group discontinued its electronic product and campus safety business by disposing of Shenzhen Tianxingtong Technology Co Ltd in October 2019, resulting in no loss from discontinued operations in the current period - The business of selling electronic products and related platforms has been classified as discontinued operations due to the disposal of the relevant subsidiary in October 2019[87](index=87&type=chunk) [Management Discussion and Analysis](index=28&type=section&id=Management%20Discussion%20and%20Analysis) This section provides management's perspective on the Group's business and financial performance during the period, along with its strategic outlook and future plans [Business and Financial Review](index=28&type=section&id=Business%20Review%20and%20Financial%20Review) Despite a **HKD 76.71 million** decline in automotive sales revenue due to COVID-19, the Group's overall loss significantly narrowed from **HKD 72.83 million** to **HKD 11.69 million**, primarily due to no onerous contract provisions and the automotive segment's profitability, while new drug development projects remain in research - The significant reduction in loss is primarily attributable to: (i) no onerous contract provisions for automobiles compared to the same period in 2019; and (ii) the automotive sales and agency services segment recording a profit[92](index=92&type=chunk) - The outbreak of COVID-19 and the implementation of prevention and quarantine control measures in China severely impacted the Group's automotive business operations in China, leading to a substantial decline in revenue for this segment[93](index=93&type=chunk)[96](index=96&type=chunk) - The Group's investments in three new drugs (for treating lymphoma, cytoma, and colorectal cancer) remain in the research phase[93](index=93&type=chunk) [Outlook](index=30&type=section&id=Outlook) The Group's automotive business, accounting for 99% of revenue, faces uncertainties from the pandemic and trade tensions, but government policies may offer improvement, while the Group diversifies into China's new drug development market and remains optimistic about stock markets - The automotive business is affected by the pandemic, the US-China trade war, and government policies, but policies introduced by some provinces to expand automotive demand are expected to improve business performance[99](index=99&type=chunk) - To achieve business diversification, the company has decided to reallocate resources to China's new drug development market through investments in limited partnerships[100](index=100&type=chunk) [Directors' Report](index=31&type=section&id=Directors%27%20Report) This section details the Group's liquidity and financial resources, directors' and shareholders' interests in the company, and adherence to corporate governance practices [Liquidity and Financial Resources](index=31&type=section&id=Liquidity%20and%20Financial%20Resources) As at June 30, 2020, the Group maintained a sound financial position with a current ratio of **3.7 times** and a gearing ratio of **26.7%**, indicating sufficient resources for current and future operations Liquidity and Financial Resources Indicators | Indicator | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | Current assets | HKD 210 million | HKD 240 million | | Current ratio | 3.7 times | 3.9 times | | Gearing ratio | 26.7% | 28.1% | | Cash and bank balances (total) | HKD 75.19 million | HKD 119 million | [Directors' and Shareholders' Interests](index=33&type=section&id=Directors%27%20and%20Major%20Shareholders%27%20Interests%20in%20Shares%2C%20Underlying%20Shares%20and%20Debentures%20of%20the%20Company) The report discloses directors' interests in the company's shares, with Chairman Mr Wang Jiawei beneficially owning approximately **27.13%**, and all unexercised share options granted in 2010 expired during the period Directors' Shareholding (As at June 30, 2020) | Director's Name | Capacity | Number of Shares Held | Approximate Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Wang Jiawei | Beneficial Owner | 2,102,255,935 | 27.13% | | Li Yu Mei | Beneficial Owner | 2,780,127 | 0.04% | | Liu Run Tong | Beneficial Owner | 2,646,000 | 0.03% | - All share options granted on April 13, 2010, under the old share option scheme, expired on April 13, 2020, as they were not exercised within their option period[117](index=117&type=chunk)[124](index=124&type=chunk) [Corporate Governance](index=37&type=section&id=Compliance%20with%20the%20Corporate%20Governance%20Code) During the period, the company complied with all principles and provisions of the Corporate Governance Code, with the only deviation being the combined roles of Chairman and Chief Executive Officer held by Mr Wang Jiawei, and the Audit Committee reviewed the interim financial statements - The company deviated from Corporate Governance Code provision A.2.1, as the roles of Chairman and Chief Executive Officer are not segregated and are both held by Mr Wang Jiawei[129](index=129&type=chunk) - The Audit Committee, comprising three independent non-executive directors, has reviewed the Group's financial statements for the six months ended June 30, 2020[134](index=134&type=chunk)

Financial Performance - For the three months ended March 31, 2020, the company recorded revenue of approximately HKD 22,815,000, compared to HKD 8,972,000 for the same period in 2019, representing a year-over-year increase of 153%[4] - The company reported a loss of approximately HKD 7,648,000 for the three months ended March 31, 2020, an improvement from a loss of HKD 9,874,000 in the same period of 2019, indicating a reduction in losses by 22%[4] - Basic and diluted loss per share for the period was HKD 0.10, compared to HKD 0.16 for the same period in 2019, reflecting a decrease in loss per share by 38%[10] - The net loss attributable to owners of the company for the period was HKD 7,580,000, compared to HKD 10,555,000 in the prior year, showing a decrease of 28%[8] - The total comprehensive loss for the period was HKD 11,320,000, compared to HKD 10,019,000 for the same period in 2019, indicating an increase in comprehensive loss by 13%[10] - The group recorded an unaudited loss of approximately HKD 7.65 million for the three months ended March 31, 2020, an improvement from a loss of approximately HKD 10.72 million in the same period of 2019[35] Revenue Sources - Total revenue for the first quarter of 2020 was HKD 22,815,000, a significant increase from HKD 8,972,000 in the same period of 2019, representing a growth of 153%[19] - Commission income from securities and futures brokerage services was HKD 21,520,000, up from HKD 8,081,000 in 2019, marking an increase of 166%[19] - Revenue from automotive trade agency fees and parts procurement reached HKD 22,672,000, compared to HKD 8,834,000 in the previous year, reflecting a growth of 157%[19] - The automotive sales and agency services segment generated revenue of approximately HKD 22.52 million, up from approximately HKD 8.72 million in the same period last year, representing an increase of about 159%[35] - The automotive sales segment accounted for approximately 98.7% of the group's revenue during the first quarter of 2020[38] Cost and Expenses - Employee benefit expenses increased to HKD 5,189,000 from HKD 4,772,000, marking an increase of 9% year-over-year[7] - The company reported a financing cost of HKD 18,000, down from HKD 267,000 in the previous year, indicating a reduction of 93%[7] - The company experienced a significant decrease in inventory changes, with a loss of HKD 21,881,000 compared to HKD 8,517,000 in the previous year[7] Dividends and Tax - The company did not recommend the payment of a dividend for the three months ended March 31, 2020[5] - The group did not make any provisions for Hong Kong profits tax or China corporate income tax due to tax losses incurred during the period[22] - The company did not recommend any dividend for the period ending March 31, 2020, consistent with the previous year[31] Share Capital and Options - The total number of issued ordinary shares as of March 31, 2020, was 7,748,958,120, an increase from 6,718,821,034 shares in the previous year[26] - As of March 31, 2020, the company had unexercised share options totaling 82,840,095 shares from a previous plan that granted 84,000,000 shares on April 13, 2010[50] - The new share option plan, effective from June 21, 2012, will not grant additional options but remains valid for ten years, with a maximum of 30% of issued shares available for options without prior shareholder approval[50] Governance and Compliance - The audit committee, consisting of three independent non-executive directors, reviewed the financial statements for the three months ending March 31, 2020, ensuring compliance with applicable accounting standards[59] - The company has adhered to all principles and provisions of the GEM Listing Rules Appendix 15 Corporate Governance Code, with some deviations noted[53] - The roles of the chairman and CEO are held by the same individual, which deviates from the recommended governance practices[54] - The company confirmed that no directors or management shareholders have any business interests that compete with the group as of March 31, 2020[51] - The company has implemented a code of conduct for directors' securities trading, which meets or exceeds the standards set by the GEM Listing Rules[55] Future Outlook - The company is focused on improving operational efficiency and reducing costs in response to the current market conditions[4] - The group plans to diversify its business by investing in the new drug development market in China, responding to regulatory changes in the pharmaceutical industry[38] - The group remains optimistic about the prospects of the Chinese and Hong Kong stock markets and will continue to seek opportunities to expand its revenue sources[38] - The group anticipates applying pricing strategies to clear inventory and maintain financial stability in the coming months due to the impact of the COVID-19 pandemic[35] Other Income - Other income for the quarter included miscellaneous income of HKD 365,000, slightly up from HKD 344,000 in 2019[21] Acquisitions - The company acquired a 6.34% stake in Chongqing Shengyu Hongjia International Trade Co., Ltd. for RMB 6,406,900 in April 2020, increasing its ownership to 99.67%[56]

HRSE 華 億 金 控 集 團 有 限 公 司 SINOFORTUNE FINANCIAL HOLDINGS LIMITED (Incorporated in the Cayman Islands with limited liability)(於 開曼群島 註冊成立之有限公司) (Stock code 股份代號: 08123) 1010 ummand a CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE") GEM has been positioned as a market designed to accommodate small and mid-sized 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 potent ...

Financial Performance - For the nine months ended September 30, 2019, the group recorded revenue of approximately HKD 225,474,000, a decrease of 33.0% compared to HKD 337,046,000 for the same period in 2018[6] - The group reported a loss of approximately HKD 87,601,000 for the nine months ended September 30, 2019, compared to a loss of HKD 14,126,000 for the same period in 2018[6] - Basic and diluted loss per share for the nine months ended September 30, 2019, was HKD 1.24, compared to a loss of HKD 0.22 for the same period in 2018[9] - Total comprehensive loss for the nine months ended September 30, 2019, amounted to HKD 93,711,000, compared to HKD 27,268,000 for the same period in 2018[9] - The group experienced a significant decrease in revenue for the third quarter of 2019, reporting HKD 95,515,000, down 46.3% from HKD 177,893,000 in the same quarter of 2018[8] - Other income and net losses for the nine months ended September 30, 2019, were HKD 2,125,000, compared to HKD 212,000 for the same period in 2018[8] - The group recorded a significant inventory impairment of HKD 3,505,000 for the nine months ended September 30, 2019[8] - The group incurred employee benefit expenses of HKD 17,144,000 for the nine months ended September 30, 2019, an increase from HKD 15,377,000 in the same period of 2018[8] - The group reported a foreign exchange loss of HKD 6,110,000 for the nine months ended September 30, 2019, compared to a loss of HKD 14,143,000 for the same period in 2018[9] - The company reported a loss attributable to shareholders of HKD (83,548) million for the nine months ended September 30, 2019, compared to a loss of HKD (13,920) million in the same period of 2018[31] Revenue Breakdown - The company reported a total revenue of 77,480 thousand HKD for the period ending September 30, 2019, compared to 21,200 thousand HKD in the previous year, representing a significant increase[12] - Revenue from the automotive sales and related agency services segment was approximately HKD 222.58 million for the nine months ending September 30, 2019, down from approximately HKD 333.64 million in the same period last year[42] - The company’s revenue from electronic student ID platform services was HKD 68 million for the three months ended September 30, 2019, down from HKD 185 million in the same period of 2018[27] - Total revenue for the three months ended September 30, 2019, was HKD 108,602 million, a decrease from HKD 177,893 million in the same period of 2018[27] - The revenue from securities and futures brokerage commission services was HKD 120 million for the three months ended September 30, 2019, compared to HKD 103 million in the same period of 2018[27] Accounting Standards and Compliance - The financial statements were prepared in accordance with the Hong Kong Financial Reporting Standards, ensuring compliance with applicable disclosure requirements[14] - The implementation of HKFRS 16 has resulted in an increase in both assets and liabilities on the balance sheet, affecting the timing of expense recognition in the income statement[16] - The total assets decreased to HKD 384,284 million after the adoption of HKFRS 16, compared to HKD 381,284 million before the adoption[26] - The total non-current assets increased to HKD 35,746 million after the adoption of HKFRS 16, compared to HKD 30,731 million before the adoption[26] - The audit committee has reviewed the financial statements for the nine months ending September 30, 2019, confirming compliance with applicable accounting standards[67] - The company has adhered to all principles and provisions of the GEM Listing Rules Appendix 15 Corporate Governance Code, with some deviations noted[61] Business Strategy and Market Focus - The company plans to expand its market presence in China and Hong Kong, focusing on precious metals trading and electronic products sales[13] - The company is adjusting its business strategy due to the ongoing US-China trade war and is exploring other business opportunities to increase revenue[39] - The company is shifting its resources towards investment in the Chinese new drug development market due to uncertainties from the ongoing US-China trade war and the impact of Chinese government policies on its automotive business[46] - The company is optimistic about the opportunities in the Chinese pharmaceutical market, driven by government reforms, a large aging population, and increasing per capita income[46] - The company plans to continue developing other businesses and seek opportunities to expand its revenue sources in the Chinese and Hong Kong stock markets[46] Shareholder Information - As of September 30, 2019, the company’s director Wang Jiawei holds 2,102,255,935 shares, representing approximately 27.13% of the company’s shares[47] - The company has a stock option plan that allows contributors to the group’s interests to acquire equity, with the new stock option plan effective for ten years starting June 21, 2012[56] - The old stock option plan expired on December 16, 2011, but unexercised options granted under it remain valid and can be exercised according to their terms[56] - The company does not know of any person holding 5% or more of the issued share capital of any other member of the group that is entitled to vote at general meetings[54] - As of September 30, 2019, the company has unexercised share options totaling 82,840,095 from the April 13, 2010 grant, with no options exercised or canceled during the period[57] Governance and Internal Controls - The roles of the chairman and CEO are held by the same individual, Mr. Wang Jiawei, which deviates from the governance code's recommendation[62] - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and internal controls[66] - No conflicts of interest were reported among directors and management shareholders as of September 30, 2019[58] - The company has confirmed compliance with the trading standards for directors during the review period[63] - The company has not purchased, sold, or redeemed any of its listed securities during the period[59] Other Developments - The company has decided to invest RMB 30 million in a limited partnership focused on the Chinese new drug development market, shifting resources away from the automotive business[40] - The company sold all equity in Shenzhen Tianxing Tong Technology Co., Ltd. for a cash consideration of RMB 2,400,000 in October 2019, terminating its electronic products division[64] - A customer has filed an arbitration claim against the company's joint venture, seeking RMB 11,025,000 in damages related to a sales agreement for 350 vehicles[64] - The company is committed to providing comprehensive medical services and optimizing the national medical insurance system as part of the government's "Healthy China" initiative by 2030[46] - The company is focused on enhancing its revenue and market presence through strategic investments and business development initiatives[46]

Financial Performance - The company reported a loss of approximately HKD 72,826,000 for the six months ended June 30, 2019[5]. - The loss attributable to the owners of the company was about HKD 69,424,000 for the same period[6]. - Revenue for the six months ended June 30, 2019, was approximately HKD 129,960,000, a decrease from HKD 159,153,000 in the same period of 2018[10]. - Basic and diluted loss per share for the period was HKD 1.03[7]. - Total comprehensive loss for the period was HKD 72,101,000, compared to HKD 25,045,000 in the same period of 2018[11]. - The net loss before tax for the period was HKD 20,151,000, compared to a loss of HKD 1,874,000 in the previous year, indicating a significant increase in losses[60]. - Basic and diluted loss per share for the six months ended June 30, 2019, was HKD (0.0103), compared to HKD (0.0031) for the same period in 2018, reflecting a worsening financial position[61]. - The group reported an unaudited loss of approximately HKD 72.83 million for the six months ended June 30, 2019, compared to a loss of HKD 20.15 million in the same period of 2018, with a basic loss per share of approximately HKD 1.03 compared to HKD 0.31 in the prior year[89]. Revenue and Segments - Revenue for the six months ended June 30, 2019, was HKD 129,960,000, compared to HKD 159,153,000 for the same period in 2018, reflecting a decrease of approximately 18.3%[43]. - The segment performance for financing services reported a loss of HKD 62,987,000 for the six months ended June 30, 2019, compared to a loss of HKD 72,826,000 for the same period in 2018[47]. - The company generated HKD 1,148,000 from sales of electronic products, electronic student cards, and campus safety products for the six months ended June 30, 2019, compared to HKD 97,000 in the same period of 2018[43]. - Revenue from the automobile sales and agency services segment was approximately HKD 127.42 million for the six months ended June 30, 2019, down from approximately HKD 156.18 million in the same period last year, a decline of about 18.4%[86]. - The automotive sales and agency services segment accounted for approximately 98% of the group's revenue, highlighting the reliance on a limited number of customers[91]. Assets and Liabilities - The company’s total assets amounted to HKD 383,373,000 as of June 30, 2019, down from HKD 412,131,000 as of December 31, 2018[14]. - Current liabilities were HKD 70,445,000 as of June 30, 2019, compared to HKD 30,847,000 at the end of 2018[14]. - The net current assets decreased from HKD 350,553,000 to HKD 264,713,000, representing a decline of approximately 24.5%[16]. - Total assets minus current liabilities decreased from HKD 381,284,000 to HKD 312,928,000, a decrease of about 17.9%[16]. - The total equity attributable to owners decreased from HKD 364,618,000 to HKD 295,767,000, reflecting a decline of approximately 19%[16]. - The group’s equity attributable to owners was approximately HKD 295.77 million, a decrease of 18.9% or HKD 68.85 million from December 31, 2018[90]. Cash Flow and Investments - The net cash used in operating activities was HKD (20,321,000), compared to HKD (27,877,000) in the previous year, indicating an improvement of about 27%[31]. - The net cash used in investing activities was HKD (28,451,000), a significant decrease from HKD 10,202,000 in the previous year[31]. - The total cash and cash equivalents at the end of the period decreased to HKD 101,330,000 from HKD 104,996,000, a decline of about 3.2%[31]. - The accumulated losses increased from HKD (1,403,119,000) to HKD (1,472,637,000), an increase of approximately 4.9%[16]. - The company’s investment in securities has a total market value of approximately HKD 18,520,000 as of June 30, 2019, compared to HKD 17,959,000 at the end of 2018, showing a slight increase[66]. Corporate Governance - The company has adhered to all principles and provisions of the GEM Listing Rules Appendix 15 "Corporate Governance Code" during the review period, with some deviations noted[117]. - The roles of the Chairman and CEO are not separated, as Mr. Wang Jiawei serves both positions, ensuring shareholder interests are adequately protected[118]. - The company has adopted a code of conduct for directors' securities trading, confirming compliance with the standards set forth in GEM Listing Rules[119]. - An audit committee has been established to review and supervise the group's financial reporting and internal control procedures, in compliance with GEM Listing Rules[120]. - The audit committee consists of three independent non-executive directors, ensuring proper oversight of financial statements[121].

Financial Performance - For the three months ended March 31, 2019, the group recorded revenue of approximately HKD 10,023,000[4] - The loss for the same period was approximately HKD 10,723,000[5] - The loss attributable to the owners of the company was approximately HKD 10,555,000[6] - Basic and diluted loss per share was HKD 0.16[7] - Other income and gains for the period were HKD 509,000, down from HKD 8,639,000 in the same period last year[10] - The group experienced a significant decrease in revenue compared to HKD 124,098,000 for the same period in 2018, representing a decline of approximately 91.9%[10] - The group reported a total comprehensive loss of HKD 10,019,000 for the period[12] - The company recorded revenue of approximately HKD 10.02 million for the first quarter of 2019, a decrease of about HKD 114.08 million compared to HKD 124.10 million in the same period of 2018[39][40] - Revenue from the automotive sales and agency services segment was approximately HKD 8.72 million for the first quarter of 2019, down from approximately HKD 122.60 million in the same period of 2018, representing a decline of about 113.88 million[39][40] - The company reported a basic and diluted loss per share of HKD 0.0016 for the first quarter of 2019, compared to a loss of HKD 0.0001 in the same period of 2018[33] - The company recorded other income of HKD 9,885 thousand for the first quarter of 2019, compared to HKD 123,971 thousand in the same period of 2018[29] - The company incurred a tax loss during the period, resulting in no provision for Hong Kong and overseas profits tax[31] - The group reported an unaudited loss of approximately HKD 10.72 million for the first quarter of 2019, compared to an unaudited loss of approximately HKD 0.82 million in the same period last year[41] - The basic loss per share attributable to the owners of the company was approximately HKD 0.16 cents, compared to a loss of approximately HKD 0.01 cents in the same period last year[41] Dividends - The board of directors did not recommend the payment of a dividend for the three months ended March 31, 2019[8] - The company did not recommend any dividend for the period ending March 31, 2019, consistent with no dividends declared in 2018[37] Assets and Liabilities - As of March 31, 2019, the group's net current assets were approximately HKD 356.58 million, with a current ratio of 13.6 times[42] - The group's cash and bank balances were approximately HKD 116.90 million, of which approximately HKD 7.74 million was held in trust accounts for clients[42] - The group's debt amounted to approximately HKD 4.15 million, secured by land and buildings, with a debt-to-equity ratio of 10.67%[42] Shareholder Information - As of March 31, 2019, the largest shareholder, Wang Jiawei, held approximately 27.13% of the company's shares[45] - The company’s total issued shares as of March 31, 2019, were 6,718,821,034, an increase from 6,498,958,120 shares in the same period of 2018[33] Business Outlook - The company attributed the revenue decline primarily to the impact of the US-China trade war and the Spring Festival on its automotive sales operations[40] - The group remains optimistic about the outlook for its imported automobile business, particularly with the potential reduction of the VAT rate from 16% to 13% in China[44] - The group plans to continue developing other businesses and seek opportunities to expand its revenue sources[44] Corporate Governance - The audit committee, consisting of three independent non-executive directors, has reviewed the financial statements for the three months ending March 31, 2019, and found them to comply with applicable accounting standards[64] - The company has adopted a code of conduct for directors' securities trading, which meets or exceeds the standards set by GEM Listing Rules[61] - The company has complied with all principles and code provisions of the GEM Listing Rules Appendix 15, except for certain deviations[58] - The roles of the chairman and the CEO are not held by the same individual, ensuring clear delineation of responsibilities[59] - The company has established an audit committee to review and supervise the financial reporting and internal control procedures[62] - As of March 31, 2019, the company has not identified any business or interests of directors that may compete with the group’s business[56] Stock Options - The new stock option plan is effective for a period of ten years starting from June 21, 2012, with no new options to be granted unless prior approval from shareholders is obtained[55] - As of March 31, 2019, there are 82,840,095 unexercised stock options remaining from the previous stock option plan[55] - The company has a stock option plan allowing individuals contributing to the group’s interests to acquire shares[53] - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[57]