CHINA UNITED VENTURE INVESTMENT LIMITED （於開曼群島註冊成立並於百慕達存續之有限公司） (Incorporated in the Cayman Islands and continued in Bermuda with limited liability) 20 24 Environmental, Social and Governance Report 環境、社會及管治報告 Environmental, Social and Governance Report 環境、社會及管治報告 CONTENTS 目錄 | ABOUT THE REPORT | 有關本報告 | 2 | | --- | --- | --- | | Reporting Scope and Basis | 報告範圍與基準 | 2 | | Reporting Principles | 匯報原則 | 3 | | SUSTAINABILITY AT GROUP | 本集團之可持續發展 | 4 | | Sustainability Governance | 可持續發展治理框架 | 4 | | Sustainabi ...

CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "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 Exchange. Prospective investors should be aware of the potential risks of investing in such companies and should make the decision to invest only after due and careful consideration. Given that the companies listed on GEM are generally small and mid-size ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於開曼群島註冊成立並於百慕達存續之有限公司） （股份代號：8159） CHINA UNITED VENTURE INVESTMENT LIMITED 截至二零二五年三月三十一日止年度 全年業績公佈 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM之定位乃為相較其他在聯交所上市之公司帶有更高投資風險之中小型公司 提供一個上市之市場。有意投資者應了解投資於該等公司之潛在風險，並應經過 審慎周詳考慮後方作出投資決定。 由於在GEM上市之公司一般為中小型公司，在GEM買賣之證券可能會較於主板買 賣之證券承受更大市場波動風險，同時無法保證在GEM買賣之證券會有高流通量 之市場。 本公佈的資料乃遵照聯交所GEM證券上市規則（「GEM上市規則」）而刊載，旨在 提供有關新華聯合投資有限公司（「本公司」，連同其附屬公司統稱「本集團」）的 資料；本公司董事（「董事」）願就本公佈的資料共同及個別地承擔全部責任。各董 ...

Financial Performance - The company reported a significant increase in revenue, achieving a total of $150 million for the fiscal year, representing a 25% year-over-year growth[1]. - The company provided guidance for the next fiscal year, projecting revenue growth of 20% to $180 million[1]. - The company reported a net profit margin of 10%, up from 8% in the previous year, indicating improved operational efficiency[1]. - The Group recorded total turnover of approximately HK$208.6 million for the period, a decrease of approximately 25.7% compared to approximately HK$280.9 million in the prior year[52]. - Gross profit for the 15-month period was approximately HK$20.3 million, down approximately 33.5% from approximately HK$30.6 million for the year ended 31 December 2022[53]. - The gross profit margin decreased from approximately 10.9% for the year ended 31 December 2022 to approximately 9.8% for the 15-month period ended 31 March 2024[54]. - The Group reported a net loss attributable to owners of approximately HK$693,000 for the Period, a decrease of approximately 98.9% compared to a net loss of approximately HK$61.9 million in the prior year[71][75]. - Basic and diluted profit per share from continuing operations was approximately HK$0.70 cents, compared to a loss per share of approximately HK$7.49 cents in the prior year[72][76]. User Engagement and Market Expansion - User data showed a 40% increase in active users, reaching 1.2 million by the end of the fiscal year[1]. - The company is expanding its market presence in Southeast Asia, targeting a 15% market share within the next two years[1]. - A new marketing strategy was introduced, focusing on digital channels, which is expected to increase customer acquisition by 25%[1]. Product Development and Innovation - New product launches included a cutting-edge software platform expected to enhance user engagement and drive additional revenue streams[1]. - Research and development expenses increased by 30%, reflecting the company's commitment to innovation and new technology[1]. - Investment in research and development has increased, particularly in wire harness applications for new energy storage and vehicles, with trial production orders secured from major domestic customers[29]. - The Group is actively exploring new possibilities in the Design Segment, including collaboration with AI research teams to enhance design efficiency and reduce costs[32]. Strategic Acquisitions and Business Adjustments - The company completed a strategic acquisition of a smaller tech firm for $20 million, aimed at bolstering its product offerings[1]. - The Group has discontinued its Financial Service Segment due to a lack of synergy with its principal businesses, following the disposal of several subsidiaries in 2023[22]. - The Group is cautiously optimistic about future business development and has implemented cost-reduction measures while diversifying its electronic product offerings in the computing power industry[23]. Operational Changes and Governance - The Board has engaged a professional external consultant to review internal controls and enhance corporate governance, including increasing the number of independent non-executive Directors to at least 50%[36]. - The Group plans to establish a production base in Vietnam, leasing approximately 10,000 square meters for a term of five years to mitigate external risks[79][83]. - The Group is enhancing its services by combining interior design with sales of electronic interior accessories under its own brand, targeting a one-stop integrated design service[89][92]. Shareholder Information and Corporate Structure - The Company does not recommend the payment of a final dividend for the Period due to expectations of an unstable external business environment[147]. - The Company's reserve available for distribution to shareholders as of March 31, 2024, was HK$Nil[158]. - The Group's largest supplier accounted for approximately 15.83% of total purchases, while the top five suppliers accounted for about 35.2%[145]. - The largest customer represented around 20.3% of total turnover, with the top five customers accounting for approximately 69.0%[145]. - As of March 31, 2024, Mr. Wang holds 355,620,000 shares, representing 50.51% of the issued share capital of the Company[177]. - The Company has not adopted any new share option scheme since the expiration of the previous scheme on December 13, 2011[182]. Compliance and Environmental Policies - The Directors reported compliance with relevant laws and regulations that significantly impact the Group's business and operations[144]. - The Group adopted various environmental policies to improve environmental quality during the Period[142].

Financial Performance - China United Venture Investment Limited announced its audited annual results for the fifteen months ending March 31, 2024[2]. - The Electronics Segment recorded a revenue of approximately HK$206.4 million for the fifteen months ended 31 March 2024, representing a decrease of 24.3% compared to HK$272.6 million for the corresponding period of 2023[27]. - The Design Segment generated a revenue of approximately HK$2.2 million during the same period, reflecting a significant decrease of 73.3% from HK$8.3 million in the previous year[31]. - The Group's total turnover was approximately HK$208.6 million for the period, a decrease of approximately 25.7% compared to approximately HK$280.9 million for the prior year[52]. - Gross profit for the 15 months ended March 31, 2024, was approximately HK$20.3 million, down approximately 33.5% from HK$30.6 million for the year ended December 31, 2022[53]. - The gross profit margin decreased from approximately 10.9% for the year ended December 31, 2022, to approximately 9.8% for the 15 months ended March 31, 2024[54]. - Other income decreased by approximately 32.7% to about HK$4.1 million, down from approximately HK$6.1 million in the prior year, mainly due to reduced tooling and sampling income[58]. - The Group recorded a net loss attributable to owners of approximately HK$693,000, a significant decrease of about 98.9% from a net loss of approximately HK$61.9 million in the prior year[71]. - The Group's total revenue for the period was approximately HK$208.6 million, a decrease of about 25.7% compared to approximately HK$280.9 million for the same period in 2022[56]. Corporate Governance - The board of directors confirmed that the information in the report is accurate and complete in all material respects[7]. - The company is committed to adhering to the GEM Listing Rules, ensuring transparency and accountability in its financial reporting[9]. - The Group aims to maintain a high level of corporate governance and compliance with regulatory requirements[10]. - Corporate governance measures have been implemented, including increasing the number of independent non-executive directors to not less than 50% of the total board[36]. - The company’s governance practices include mandatory retirement by rotation for directors at least once every three years[166]. - The company’s financial reporting adheres to the GEM listing rules and corporate governance codes[166]. Business Strategy and Operations - The management discussion and analysis section provides insights into the company's operational strategies and market conditions[10]. - The company is focused on potential market expansion and new product development as part of its growth strategy[10]. - The Group is cautiously optimistic about future business development and has implemented measures to reduce costs and increase efficiency[23]. - The Electronics Segment is diversifying its product offerings in the computing power industry, which is expected to positively impact the Group's results[23]. - The Group aims to expand its market presence in emerging markets such as Southeast Asia and South America through increased overseas exhibitions and market development efforts[29]. - The Group is diversifying its electronic product offerings by introducing high-performance accelerated computing products and rental services to meet industry demands[45]. - The Group is enhancing its architectural design services by integrating electronic interior accessories sales under its own brand, continuing collaboration between the Architectural Design and Electronics businesses[89]. - The Group aims to provide comprehensive one-stop integrated design services by improving its internet interactive platform with users, aligning with the "Internet plus cultural creativity" trend[90]. Changes in Management and Board Composition - The company has undergone several changes in its board composition, including the resignation of key directors and the appointment of new independent directors[13][15]. - The company’s board composition has been adjusted with new appointments and resignations in 2024[164]. - The Company’s shares resumed trading on June 14, 2024, following the implementation of improvement measures, boosting customer confidence and staff morale[39]. Market Conditions and Challenges - The report emphasizes the importance of careful consideration for investors due to the inherent risks associated with GEM-listed companies[5]. - The Group's overall performance is being affected by weak global demand and challenges in the domestic real estate market, impacting both the Electronics and Design Segments[23]. - The Group remains cautiously optimistic about the future performance of the architectural design business despite challenges from the real estate sector in China[51]. Future Plans and Investments - The Group has relocated its manufacturing base to Ji'an, Jiangxi Province, and is establishing a new manufacturing base in Vietnam, expected to be completed by Q3 2024[28]. - The Group plans to establish a production base in Vietnam to mitigate external risks, with a lease agreement for approximately 10,000 square meters for a term of five years[79]. - The Group plans to establish a production base in Vietnam, leasing approximately 10,000 square meters for five years to mitigate geopolitical and trade tariff impacts on its electronics business[83]. Shareholder Information - The Company does not recommend the payment of a final dividend for the Period due to expectations of an unstable external business environment[147]. - The Company's reserve available for distribution to shareholders as of March 31, 2024, amounted to HK$Nil[158]. - As of March 31, 2024, the Group's outstanding borrowings amounted to approximately HK$2.2 million[156]. - As of March 31, 2024, the Group reported no significant capital expenditures or commitments[84]. - The Group did not have material capital expenditures and commitments as of March 31, 2024[148]. Director and Executive Profiles - Dr. Yan has nearly 15 years of experience in the medical industry, serving as a medical officer in various hospitals managed by the Hospital Authority in Hong Kong since July 2012[111]. - Mr. Zhang has extensive experience in finance and management, having held various leadership roles in different companies since 1984[118]. - Ms. Yeung has over 20 years of experience in risk management, audit, finance, and internal control, and has been an independent non-executive director of Freetech since August 2012[120]. - Ms. Lo has been overseeing finance and accounting functions at Summi (HK) Asia Limited since 2021, with a focus on business management[125]. - Mr. Sui has been engaged in strategic research and financial investment, focusing on new energy and infrastructure projects since joining CITIC Merchant Co., Ltd. in 2019[126].

Financial Performance - For the six months ended September 30, 2024, the group reported revenue of HKD 19,474,000, an increase from HKD 10,537,000 in the same period of 2023, representing an increase of 84.5%[7] - The gross profit for the same period was HKD 4,690,000, compared to HKD 2,531,000 in 2023, reflecting a growth of 85.3%[7] - The total loss for the period was HKD 15,920,000, an improvement from a loss of HKD 18,074,000 in the previous year, indicating a reduction of 6.4%[9] - Basic loss per share for the period was HKD 0.84, compared to HKD 0.97 in 2023, showing a decrease of 13.4%[7] - The company reported a pre-tax loss of HKD 1,788,000 for the six months ended September 30, 2024, compared to HKD 1,572,000 for the same period in 2023[44] - The company recorded a net loss attributable to shareholders of approximately HKD 15.9 million, a decrease from HKD 18.1 million in 2023, indicating improved financial performance despite ongoing challenges[172] Assets and Liabilities - Total assets less current liabilities as of September 30, 2024, were HKD 13,903,000, down from HKD 28,866,000 as of March 31, 2024[13] - The company's net assets decreased to HKD 7,699,000 from HKD 23,317,000, a decline of 66.9%[13] - The total liabilities as of September 30, 2024, were HKD 50,441,000, down from HKD 83,820,000 as of March 31, 2024, indicating a reduction of 39.8%[11] - As of September 30, 2024, the company's current liabilities exceeded current assets by approximately HKD 30,103,000[27] - The asset-liability ratio increased to approximately 331.3% as of September 30, 2024, compared to 88.3% on March 31, 2024, primarily due to the impact of the COVID-19 pandemic[173] Cash Flow and Financing - The group reported other income of HKD 102,000 for the period, a significant decrease from HKD 4,690,000 in the same period of 2023[7] - For the six months ended September 30, 2024, the company reported a net cash outflow from operating activities of HKD 142,000[19] - The company is actively negotiating repayment plans with major creditors and considering other financing options[27] - The company is considering other fundraising activities, including equity and debt financing, to support its general working capital needs[27] - The company has sufficient financial resources to meet future working capital and financing needs, as stated by the board of directors[1] Revenue Sources - Revenue from Thailand was HKD 19,469,000, up 87.8% from HKD 10,368,000 in the previous year, while revenue from the Philippines decreased to HKD 5,000 from HKD 139,000[33] - Total revenue from merchant acquiring business reached approximately HKD 19.5 million, a significant increase from HKD 10.5 million in 2023, driven by the recovery of Chinese tourists in Thailand[163] - Merchant acquiring transaction fee income was approximately HKD 17.9 million, up from HKD 9.1 million in 2023, reflecting an increase of about 98.9%[163] Operational Efficiency - The company plans to enhance operational efficiency and implement cost control measures to improve profitability and future cash flows[27] - General administrative expenses decreased by approximately 41.1% to HKD 8.8 million from HKD 14.9 million in 2023, due to enhanced cost control measures[168] Share Capital and Dividends - The company has a total issued and paid-up share capital of 1,898,106,667 shares as of September 30, 2024[18]. - No dividends were recommended for the six months ended September 30, 2024, consistent with the previous year[53] - The company has no predetermined dividend payout ratio, and any future dividend declarations will depend on various factors including operational performance and financial condition[177] Convertible Bonds and Preferred Shares - The company issued convertible bonds (Convertible Bond I) on June 26, 2020, with a total principal amount of HKD 11,850,000 and an annual interest rate of 7%[74] - The company issued a second convertible bond (Convertible Bond II) on March 5, 2024, with a total principal amount of HKD 4,388,000 and an annual interest rate of 7%[93] - The company issued convertible bonds III on May 22, 2024, with a principal amount of HKD 931,000 and a coupon rate of 7%[109] - The company issued convertible bonds IV on May 28, 2024, with a principal amount of approximately HKD 1,918,000 and a coupon rate of 7%[123] - The company has issued preferred shares classified as liabilities, with a cumulative dividend rate of 9.5%[71] Business Strategy and Market Conditions - The company is actively seeking potential business partners and distributors to expand its service coverage in the Southeast Asian market[160] - The company plans to continue exploring new business opportunities and closely monitor its financial condition to enhance profitability and cost control[160] - The board will continue to assess the market conditions in Thailand and the Philippines and their impact on the company's business[196] - The company reported that the consumption of Chinese tourists in Thailand has not yet returned to pre-pandemic levels, impacting business expansion[195] Employee and Management Costs - The total employee costs, including key management compensation, amounted to approximately HKD 3.0 million for the reporting period, down from HKD 3.8 million in 2023[189] - The company’s management personnel compensation decreased to HKD 1,267,000 for the six months ended September 30, 2024, from HKD 2,092,000 in the same period of 2023[19]

Financial Performance - The company reported a significant increase in revenue, achieving a total of $XX million for the fiscal year 2022, representing a YY% growth compared to the previous year[2]. - In 2022, the Group recorded revenue of approximately HK$287.9 million, representing a decrease of approximately 15.2% compared to 2021[26]. - The Electronics Business generated revenue of approximately HK$272.6 million, down approximately 14.1% from HK$317.2 million in 2021, primarily due to the adverse impact of the COVID-19 pandemic on consumer demand[27]. - The master-planning and architectural design business recorded revenue of approximately HK$8.3 million, a decrease of approximately 62.3% compared to HK$22.0 million in 2021, affected by the ongoing COVID-19 pandemic and challenges in the PRC real estate market[28]. - The Group recorded total turnover of approximately HK$287.9 million, down approximately 15.1% from HK$339.3 million in the previous year[61]. - Gross profit increased to approximately HK$34.2 million, a rise of approximately 62.9% compared to HK$21.0 million in the prior year, with the gross profit margin improving from approximately 6.2% to 11.9%[62]. - The Financial Services Business, which commenced in 2022, generated HK$7.0 million in revenue and recorded an operating profit of HK$1.2 million[60]. - The Group reported a net loss attributable to owners of approximately HK$61.9 million for the year, a decrease of approximately 2.2 times compared to a net profit of approximately HK$50.0 million in the previous year[87][92]. - Basic and diluted losses per share for the year were approximately HK$8.79 cents, compared to earnings of approximately HK$7.10 cents per share in the previous year[88][93]. Strategic Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of BB% based on current market trends and user acquisition strategies[2]. - New product launches are expected to contribute significantly to revenue, with an estimated impact of CC million in the upcoming quarter[2]. - Market expansion plans include entering EE new regions, which are anticipated to increase market share by FF%[2]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the industry[2]. - The Group remains optimistic about its performance in the coming year despite market challenges, focusing on maximizing returns for shareholders[49]. Investment and Development - The company is investing in new technology development, allocating DD million towards R&D to enhance product offerings and improve user experience[2]. - A focus on sustainability initiatives is being prioritized, with investments of HH million planned to improve environmental impact and corporate responsibility[2]. - The Group plans to diversify into the financial services industry, having acquired 100% of State Venture Capital Limited and 70% of State Innovation Capital Limited[118]. - The Financial Services Business aims to provide a full range of services, including fund issuance and asset management, targeting the Guangdong-Hong Kong-Macao Greater Bay Area[122]. - The Group intends to enhance its Architectural Design Business by integrating interior design services with electronic interior accessories sales[124]. Corporate Governance and Compliance - The Group acknowledged deficiencies in corporate governance and internal control systems, implementing all recommended enhancement measures[111]. - New policies and procedures have been established, including tightening investment approval processes and enhancing document retention controls[116]. - The Group is committed to monitoring the effectiveness of its corporate governance and internal control systems to meet GEM Listing Rules obligations[114]. Leadership and Management - The company has established a strong leadership team with diverse expertise in finance, law, and management, which is expected to drive future growth[161]. - Mr. Wang Li Feng has been an executive director since September 15, 2016, and holds multiple leadership roles within the company, including vice chairman of the Board[153]. - Mr. Huang Bin, appointed as a non-executive director and chairman of the Board on February 20, 2022, has extensive experience in fund and asset management[168]. - The management team includes experienced professionals with backgrounds in technology and finance, enhancing the company's strategic capabilities[192]. Challenges and Risks - The Electronics Business continues to face challenges from COVID-19 impacting global consumer demand, despite recovery in the global economy[54]. - The Electronics Business has been negatively impacted by supply chain disruptions and raw material price inflation due to the Covid-19 pandemic, affecting profitability[117]. Acquisitions and Partnerships - The company completed the acquisition of equity interests in State Venture Investment (HK) Holdings Limited in March 2022, which holds a 51% stake in Qingdao Guotou, specializing in mergers and acquisitions and distressed asset management[39]. - The Group acquired 100% of Radiant Assets Management Limited in March 2022, aiming to leverage strategic partnerships for investment in distressed assets[44]. - The strategic partnership with Beijing Beiwenshijie Cultural Co., Ltd. aims to expand into the cultural tourism sector, enhancing design services and creating new development opportunities[41]. Miscellaneous - The Company’s shares were suspended from trading on April 3, 2023, due to anticipated delays in the publication of the audited annual results announcement for the year ended December 31, 2022[102][106]. - An independent investigation was conducted regarding audit issues, and the findings were disclosed in an announcement dated April 2, 2024[107][108]. - The company changed its name from "GLORY MARK HI-TECH (HOLDINGS) LIMITED" to "China United Venture Investment Limited" effective from May 13, 2022[150].

Financial Performance - For the third quarter of 2023, the company reported revenue of HKD 39,977,000, a decrease of 41.9% compared to HKD 68,641,000 in the same period last year[6] - The gross profit for the third quarter was HKD 8,692,000, representing a 26.5% increase from HKD 6,867,000 year-over-year[6] - The company recorded a net profit of HKD 1,593,000 for the third quarter, compared to a net loss of HKD 11,019,000 in the same quarter of the previous year[6] - Total comprehensive income for the third quarter was HKD (869,000), a significant improvement from HKD (9,636,000) in the prior year[8] - Total revenue for the nine months ended September 30, 2023, was HKD 129,023,000, a decrease from HKD 235,714,000 in the same period of 2022[21] - The company reported a loss attributable to owners of the company of HKD 29,614,000 for the nine months ended September 30, 2023, compared to a loss of HKD 30,768,000 in the same period of 2022[28] - The group recorded a total revenue of approximately HKD 129.0 million for the nine months ended September 30, 2023, down about 45.3% from HKD 235.7 million in the same period of 2022[42] - Gross profit for the nine months ended September 30, 2023, was approximately HKD 16.8 million, a decrease of about 39.1% from HKD 27.6 million in the same period of 2022[43] - Other income decreased by approximately 33.3% to about HKD 2.4 million for the nine months ended September 30, 2023, compared to HKD 3.6 million in the same period of 2022[44] - Selling and distribution expenses were approximately HKD 4.9 million for the nine months ended September 30, 2023, a reduction of about 27.9% from HKD 6.8 million in the same period of 2022[45] - Administrative expenses decreased to approximately HKD 41.2 million for the nine months ended September 30, 2023, down from HKD 48.9 million in the same period of 2022, a reduction of about 7.7 million[46] - The group reported a net loss attributable to owners of approximately HKD 29.6 million for the nine months ended September 30, 2023, a slight decrease of about 3.9% from a net loss of HKD 30.8 million in the same period of 2022[50] - Basic loss per share for the nine months ended September 30, 2023, was approximately HKD 0.0421, compared to HKD 0.0437 in the same period of 2022[51] Cost Management - The company’s administrative expenses decreased to HKD 14,632,000 from HKD 16,962,000, reflecting a reduction of 13.7%[6] - The financial costs for the third quarter were HKD 1,238,000, down from HKD 1,712,000 in the previous year, indicating a reduction of 27.7%[6] - The company aims to improve operational efficiency and reduce costs further in the next fiscal year[5] Revenue Sources - Revenue from OEM customers for the three months ended September 30, 2023, was HKD 21,476,000, accounting for 53.7% of total revenue, compared to HKD 41,502,000 and 60.5% in the same period of 2022[21] - Revenue from retail distributors for the nine months ended September 30, 2023, was HKD 54,730,000, representing 42.4% of total revenue, compared to HKD 89,397,000 and 37.9% in the same period of 2022[21] - Sales in the United States accounted for 33.4% of total revenue for the three months ended September 30, 2023, down from 36.9% in the same period of 2022[22] - The electronic products business generated revenue of approximately HKD 127.3 million for the nine months ended September 30, 2023, a decrease of about 44.6% compared to HKD 229.6 million in the same period of 2022[37] - The architectural design business saw revenue drop from approximately HKD 6.1 million in 2022 to about HKD 1.7 million in 2023, a decline of approximately 72.1%[38] Corporate Actions - The company completed the sale of its subsidiaries, marking a complete exit from the financial industry, with the transactions valued at a symbolic HKD 1 each[34] - The company expects to receive approximately RMB 11,300,000 from land acquisition, which will be used for relocating factories, repaying mortgage loans, upgrading equipment, and operational expenses[32] Shareholder Information - PT Design Group Holdings holds 50.51% of the issued share capital, while Mr. Pang Guoxi controls 10.57% through Modern Wealth Assets Limited[58] - The average number of issued ordinary shares for the nine months ended September 30, 2023, remained at 704,000 shares, unchanged from the previous year[30] - The company did not declare any dividends for the nine months ended September 30, 2023, consistent with the previous year[26] - The board has decided not to declare any dividends for the nine-month period[68] Governance and Compliance - The audit committee, consisting of three independent non-executive directors, reviewed the financial reports for the nine-month period[71] - The company has adhered to the corporate governance code as per GEM listing rules during the nine-month period[69] - The company has maintained sufficient public float throughout the nine-month period[60] - No shares were purchased, sold, or redeemed by the company or its subsidiaries during the nine-month period[67] - There were no arrangements made for directors to benefit from purchasing shares or debt securities of the company[59] - The company has not established any provisions for preemptive rights regarding the issuance of new shares[66] - The board confirmed compliance with trading standards throughout the nine-month period[62] - No interests were held by directors in competing businesses during the nine-month period[65] Future Outlook - The company has indicated plans for market expansion and new product development in the upcoming quarters[5] - The financial services and accelerated computing businesses have not generated any revenue as they are still in the early stages of development[40][41]

Financial Performance - For the three months ended September 30, 2023, the company reported revenue of HKD 39,977,000, a decrease of 41.9% compared to HKD 68,641,000 for the same period in 2022[8] - The gross profit for the third quarter of 2023 was HKD 8,692,000, representing a 26.6% increase from HKD 6,867,000 in the third quarter of 2022[8] - The company recorded a net profit of HKD 1,593,000 for the third quarter of 2023, compared to a net loss of HKD 11,019,000 in the same quarter of the previous year[8] - For the nine months ended September 30, 2023, total revenue was HKD 129,023,000, down 45.4% from HKD 235,714,000 in the same period of 2022[8] - The company reported a net loss of HKD 31,629,000 for the nine months ended September 30, 2023, compared to a net loss of HKD 30,657,000 for the same period in 2022[8] - Basic and diluted earnings per share for the third quarter of 2023 were HKD 0.003, compared to a loss of HKD 0.0155 per share in the third quarter of 2022[10] - The company reported a pre-tax loss of HKD 29,614,000 for the nine months ended September 30, 2023, compared to a pre-tax loss of HKD 30,768,000 for the same period in 2022[26] - For the nine months ended September 30, 2023, the company recorded a revenue of approximately HKD 129.0 million, a decrease of about 45.3% compared to HKD 235.7 million for the same period in 2022[44] - The gross profit for the nine months ended September 30, 2023, was approximately HKD 16.8 million, down about 39.1% from HKD 27.6 million in the same period last year[45] - The electronic products business contributed approximately HKD 127.3 million in revenue for the nine months ended September 30, 2023, a decrease of about 44.6% from HKD 229.6 million in the same period of 2022[39] - The construction design business saw its revenue drop from approximately HKD 6.1 million in 2022 to about HKD 1.7 million in 2023, a decline of approximately 72.1%[40] - The company reported other income of approximately HKD 2.4 million for the nine months ended September 30, 2023, down about 33.3% from HKD 3.6 million in the same period last year[46] Expenses and Costs - Administrative expenses for the third quarter of 2023 were HKD 14,632,000, a decrease from HKD 16,962,000 in the third quarter of 2022[8] - The company’s financial costs for the third quarter of 2023 were HKD 1,238,000, down from HKD 1,712,000 in the same period of the previous year[8] - Administrative expenses for the nine months ended September 30, 2023, were approximately HKD 41.2 million, a decrease of about HKD 7.7 million from HKD 48.9 million in the same period of 2022[48] - The company incurred a tax expense of approximately HKD 90,000 for the nine months ended September 30, 2023, compared to HKD 2.7 million in the same period of 2022[51] Foreign Exchange and Other Financial Metrics - The company experienced a foreign exchange loss of HKD 2,462,000 in the third quarter of 2023, compared to a gain of HKD 5,646,000 in the same quarter of 2022[10] - The company’s depreciation and amortization expenses for the nine months ended September 30, 2023, were HKD 3,387,000, compared to HKD 3,133,000 for the same period in 2022[26] Strategic Outlook - The company aims to improve operational efficiency and explore new market opportunities in the upcoming quarters[7] - The company plans to continue expanding its market presence and developing new products to enhance revenue streams in the upcoming quarters[12] - The company aims to restore share trading and strengthen its competitive position through innovation and customer-centric strategies[54] Shareholder Information - The company did not declare any dividends for the nine months ended September 30, 2023, consistent with the previous year[28] - The board has resolved not to declare any dividends for the nine-month period[70] - PT Design Group Holdings Limited holds 355,620,000 shares, representing 50.51% of the issued share capital of the company[60] Corporate Governance - The audit committee, consisting of independent non-executive directors, reviewed the financial reports and internal control procedures[73] - The company has complied with the corporate governance code as per GEM Listing Rules during the nine-month period[71] - The company has adopted a code of conduct for securities transactions by directors, ensuring compliance with the required standards[64] - No shares were purchased, sold, or redeemed by the company or its subsidiaries during the nine-month period[69] Miscellaneous - The company’s total assets as of September 30, 2023, were HKD 83,801,000, a decrease from HKD 114,615,000 as of January 1, 2023[12] - The company’s cash and cash equivalents as of September 30, 2023, were HKD 66,437,000, down from HKD 96,051,000 as of January 1, 2023[12] - The report will be published on the GEM website and the company's website for at least seven days from the date of publication[75] - The English version of the report will prevail in case of any discrepancies with the Chinese version[76] - The executive directors include Mr. Wang Lifeng (Chairman) and Mr. Fan Xiaoling[75] - The company completed the sale of subsidiaries in the financial services sector for a nominal consideration of HKD 1, marking its exit from the financial industry[36]

Financial Performance - For the first quarter of 2023, the company reported revenue of HKD 49,554,000, a decrease of 39.8% compared to HKD 82,127,000 in the same period of 2022[6] - The gross profit for the first quarter of 2023 was HKD 9,710,000, representing a significant increase of 153.5% from HKD 3,837,000 in the previous year[6] - The company incurred a loss before tax of HKD 7,666,000, an improvement of 36.5% compared to a loss of HKD 12,133,000 in Q1 2022[6] - The net loss for the first quarter of 2023 was HKD 7,693,000, which is a 41.1% reduction from HKD 13,208,000 in the same quarter of the previous year[6] - The basic loss per share for Q1 2023 was HKD 0.93, compared to HKD 1.90 in Q1 2022, indicating a decrease in loss per share by 51.0%[6] - The net loss attributable to the company's owners for the three months ended March 31, 2023, was approximately HKD 6.5 million, a reduction of about 50.6% from a net loss of approximately HKD 13.2 million in the same period last year[39] Revenue Sources - Revenue from OEM customers accounted for 59.3% of total revenue in Q1 2023, slightly down from 60.8% in Q1 2022, while revenue from retail distributors increased to 40.7% from 37.3%[14] - The electronic products business generated approximately HKD 49.6 million in revenue, down approximately 38.5% from HKD 80.6 million in the same period last year[27] Expenses and Costs - Administrative expenses rose to HKD 14,588,000 in Q1 2023, compared to HKD 12,296,000 in Q1 2022, reflecting an increase of 18.7%[6] - Administrative expenses increased to approximately HKD 14.6 million from approximately HKD 12.3 million in the same period last year, primarily due to increased rental expenses for production facilities in mainland China[35] - The group incurred finance costs of approximately HKD 800,000, an increase from HKD 196,000 in the same period last year, due to new debt raised since the second quarter of the previous fiscal year[37] Other Income and Tax - The company reported other income of HKD 801,000 in Q1 2023, down from HKD 1,392,000 in the same period last year[6] - The group recorded other income of approximately HKD 801,000, a decrease of about 42.5% from approximately HKD 1.4 million in the same period last year[33] - The group recorded income tax expenses of approximately HKD 27,000, a significant decrease from approximately HKD 1.1 million in the same period last year[38] Business Strategy and Outlook - The company continues to focus on its core business segments, including sales of connection products and comprehensive construction services, while exploring opportunities in financial services[14] - The financial services business is still in its early stages and did not generate any revenue for the three months ended March 31, 2023[30] - The first financial quarter of 2023 marks a historical moment with the normalization of the economy post-COVID-19 and the reopening of China's borders, reflecting positive results driven by favorable factors[40] - The company has demonstrated a significant outlook with increased demand for electronic products and services as consumer confidence recovers[40] - The board is confident that the positive impact will extend to other business segments within the group[40] - The commitment to innovation and customer-centric strategies has enhanced the company's competitive position, preparing it for continued success[40] Dividends - The group did not declare any dividends for the period, consistent with the previous year[19]