Financial Performance - For the year ended December 31, 2023, total revenue reached HKD 10,740,482 thousand, a significant increase from HKD 48,341 thousand in 2022, representing a growth of approximately 22,196%[7] - Metal sales contributed HKD 10,706,777 thousand to the total revenue, compared to HKD 34,548 thousand in the previous year, indicating a growth of around 30,974%[7] - The company reported a net profit of HKD 17,375 thousand for the year, a turnaround from a net loss of HKD 23,164 thousand in 2022[8] - Basic and diluted earnings per share for the year were HKD 2.10, compared to a loss per share of HKD 2.66 in the previous year[8] - Total comprehensive income for the year amounted to HKD 16,688 thousand, compared to a total comprehensive loss of HKD 24,444 thousand in 2022[8] - The reported profit before tax was HKD 26,417 thousand, with a net profit of HKD 17,375 thousand after tax expenses of HKD 9,042 thousand[26] - The company reported a specific increase in non-current assets of HKD 7,598 thousand during the year, with HKD 2,990 thousand from metal trading and HKD 4,608 thousand from education management services[26] - The company reported a significant increase in revenue from education management services, rising to HKD 33,705 in 2023 from HKD 13,793 in 2022[31] - The group recorded total revenue of approximately HKD 10,740.5 million for the year ended December 31, 2023, an increase of approximately 22,137% compared to HKD 48.3 million in 2022[74] - The group achieved a profit of approximately HKD 17.4 million for the year ended December 31, 2023, compared to a loss of approximately HKD 23.2 million in 2022, marking a turnaround from loss to profit[74][75] Assets and Liabilities - The company's cash and cash equivalents increased to HKD 16,329 thousand from HKD 4,180 thousand in the previous year, reflecting a growth of approximately 289%[10] - Trade and other receivables and prepayments surged to HKD 359,871 thousand from HKD 29,424 thousand, marking an increase of about 1,223%[10] - Total assets less current liabilities rose to HKD 44,190 thousand from HKD 28,072 thousand, indicating a growth of approximately 57.5%[10] - The company's equity increased to HKD 40,002 thousand from HKD 23,276 thousand, representing a growth of about 71.6%[10] - The total assets of the company amounted to HKD 387,977 thousand, with reportable segment assets of HKD 382,583 thousand[26] - The company’s total liabilities as of December 31, 2023, were HKD 25,372, compared to HKD 9,825 in 2022[28] - The group had outstanding loans of approximately HKD 23.1 million as of December 31, 2023, compared to HKD 12.1 million in 2022[76] - The capital debt ratio improved to 23.9% as of December 31, 2023, down from 38.4% in 2022[84] Operational Strategy - The company has been engaged in metal business, educational management services, and lending services, indicating a diversified operational strategy[11] - The company has implemented diversified marketing strategies to expand market share and establish a loyal customer base[46] - The company has optimized its asset structure and business strategies in response to a challenging external environment[43] - The company plans to continue expanding its product range and international trade in the metal business[47] - The group has successfully expanded its customer base in the education sector, focusing on arts, sports, and humanities education, which aligns with national education policies[60] - The group plans to continue expanding partnerships with large state-owned enterprises and key comprehensive enterprises to ensure sustainable and stable development in the metal business[57] - The group has been proactive in adjusting its business strategies in response to external challenges, including the impact of the global pandemic and regulatory changes in the education sector[60] Education Management Services - The education management services segment recorded revenue of approximately HKD 33.7 million for the year ended December 31, 2023, representing a significant increase of about 144% compared to the previous year's revenue of approximately HKD 13.8 million[60] - The group has successfully established its education management services in Chengdu, providing services to 9 educational institutions, including 4 arts and sports training organizations, 2 kindergartens, and 1 educational materials distributor[67] - The group is focused on the development of humanistic quality education and arts education services, aligning with current educational policies in mainland China[70] - The group assists clients in improving teacher quality through various training programs and by maintaining a database of qualified teachers[65] - The group helps clients develop and design educational programs, expanding the variety and content of their courses[65] - The group has implemented a strategy to directly introduce students from its own client base to educational institutions, enhancing enrollment channels[64] - The group is committed to maintaining compliance with regulatory requirements for educational licenses, ensuring clients can focus on their core educational services[65] Corporate Governance - The company has adhered to the corporate governance code as per GEM Listing Rules Appendix C1, with a deviation noted in the separation of the roles of Chairman and CEO until June 21, 2023[96] - On June 21, 2023, the company appointed Zhang Siyuan as Chairman while Wang Wendong continues as CEO, thus complying with the governance code regarding the separation of roles[96] - The Audit Committee, established on July 22, 2014, is responsible for reviewing the annual, interim, and quarterly reports, ensuring compliance with financial reporting procedures and risk management[99] - The Audit Committee consists of three independent non-executive directors, with Zhou Tianshu serving as the chairman[99] Shareholder Information - The company has no dividends declared or proposed for the year ending December 31, 2023, consistent with the previous year[42] - The board did not recommend the payment of a final dividend for the year ended December 31, 2023[90] - The company has suspended trading of its shares since May 16, 2023, and will provide updates on the resumption of trading in accordance with GEM Listing Rules[100]

Financial Performance - Total revenue for the nine months ended September 30, 2023, was HK$3,779,095,000, a significant increase from HK$22,090,000 in the same period of 2022[9]. - Sales of metal contributed HK$3,755,239,000 for the nine months ended September 30, 2023, compared to HK$16,225,000 in the previous year, reflecting a growth of approximately 23,000%[9]. - The profit before income tax expense for the nine months ended September 30, 2023, was HK$4,326,000, a recovery from a loss of HK$22,676,000 in the same period of 2022[10]. - The company reported a loss of HK$544,000 for the three months ended September 30, 2023, compared to a loss of HK$22,676,000 in the same quarter of 2022, indicating an improvement[10]. - The total comprehensive loss for the period was HK$1,939,000, down from HK$23,931,000 in the previous year, reflecting a reduction of approximately 91.9%[13]. - The basic and diluted loss per share for the three months ended September 30, 2023, was HK$0.07, compared to a loss of HK$2.61 per share in the same period of 2022[13]. - For the nine months ended September 30, 2023, the group achieved revenue of approximately HKD 3.779 billion, with a pre-tax profit of approximately HKD 43.3 million, compared to a pre-tax loss of HKD 226.8 million for the same period in 2022[48]. - The group successfully recorded a net profit attributable to owners of approximately HKD 1 million, excluding non-operating related expenses, for the third quarter of 2023[48]. Cost Management - Employee costs decreased to HK$7,778,000 for the nine months ended September 30, 2023, down from HK$10,352,000 in the previous year, representing a reduction of approximately 25%[10]. - Other operating expenses were reduced to HK$7,177,000 for the nine months ended September 30, 2023, compared to HK$10,933,000 in the same period of 2022, showing a decrease of about 34%[10]. - Interest expenses on borrowings for the nine months ended 30 September 2023 were HK$496,000, while interest expenses on lease liabilities were HK$206,000[31]. - The share of loss of an associate was approximately HK$1.5 million for the nine months ended September 30, 2023, down from approximately HK$3.4 million in the same period of 2022[118]. - Employee costs decreased by approximately HK$2.6 million during the reporting period[118]. - Other operating expenses decreased by approximately HK$3.8 million during the reporting period[118]. Business Operations - The company plans to continue focusing on expanding its metal sales and improving operational efficiency in the upcoming quarters[9]. - The company continues to engage in trading of metal and metal supply chain business, as well as providing education management services in the PRC Mainland[19]. - The Group's proactive efforts in expanding its Metal Business included broadening product varieties and establishing relationships with large-scale enterprises, contributing to substantial revenue growth[47]. - The Group's overall financial performance indicates a recovery trend amidst the normalization of global trade, positively impacting its operations[46]. - The Group's Metal Business is expected to benefit from the recovery of the domestic economy in the PRC Mainland, with an anticipated increase in business scale[65]. - The Group's Metal Business faced further declines in profit margins during the current period due to high inflation and tightening monetary policy, which affected the overall profitability[66]. - The Group aims to expand cooperation with large-scale comprehensive enterprises to ensure sustainable and stable development of the Metal Business with controllable risks[66]. Education Management Services - As of Q3 2023, the Group's education management services business recorded revenue of approximately HK$23.8 million, representing a significant increase of approximately 349% compared to HK$5.3 million in the same period last year[70]. - The Group's education management services focus on arts, physical education, and humanities, providing comprehensive management and consulting services to educational institutions[71]. - The Group's education management services business is positioned to capture the increasing demand as the PRC Mainland's education sector gradually returns to normal[70]. - The Group assists customers in maintaining their operating licenses and teaching staff's licenses, ensuring compliance with regulatory authorities in the PRC Mainland[90]. - The Group helps customers conduct market research to identify government support policies and development trends, aiding in increasing enrollment sources[90]. - The Group's services have effectively enhanced the overall revenue and sustainability of the education management services business[88]. - The education management services business primarily serves diversified educational institutions in Chengdu, PRC Mainland, including 4 arts and physical education training institutions and 2 kindergartens[92]. Governance and Compliance - The financial statements were authorized for issue by the Board on November 13, 2023, and are unaudited[20]. - The company complied with the Corporate Governance Code provisions, except for a deviation regarding the separation of roles of chairman and CEO prior to June 21, 2023[158]. - Following the resignation of Mr. Wang Wendong as chairman on June 21, 2023, the roles of chairman and CEO are now held by Mr. Zhang Siyuan and Mr. Wang Wendong, respectively[159]. - The Audit Committee, comprising three independent non-executive Directors, has reviewed the unaudited condensed consolidated financial statements for the three and nine months ended September 30, 2023[167]. - The company has fully complied with the corporate governance code provisions after the separation of the roles of Chairman and CEO on June 21, 2023[162]. Market and Economic Conditions - The company experienced an exchange loss of HK$1,395,000 related to foreign operations for the nine months ended September 30, 2023, compared to HK$1,255,000 in the previous year[13]. - The Group has expanded its supplier and customer resources both internationally and domestically, enhancing its industry competitiveness[54]. - The Group's strategy includes reviewing market trends and customer needs to expand new metal products and resources[66]. - The Group has successfully entered the Chengdu market, providing education management services to 8 education-related institutions[112]. - The Group plans to gradually implement expansion plans to increase manpower and customer numbers in the Chengdu market[112].

Revenue and Growth - Revenue for the six months ended June 30, 2023, was HK$140,264,000, a significant increase from HK$12,135,000 in the same period of 2022, representing a growth of 1,051%[16] - Sales of metal contributed HK$125,700,000 to the total revenue for the six months ended June 30, 2023, compared to HK$10,311,000 in the prior year, marking an increase of 1,118%[16] - Education management services revenue rose to HK$14,564,000 for the six months ended June 30, 2023, up from HK$1,824,000 in 2022, reflecting a growth of 699%[16] - For the three months ended June 30, 2023, total revenue was HK$20,953,000, up from HK$7,421,000 in the same quarter of 2022, indicating a growth of 182%[16] - Sales of metal for the three months ended June 30, 2023, were HK$14,584,000, compared to HK$6,043,000 in the prior year, an increase of 142%[16] - Education management services revenue for the three months ended June 30, 2023, reached HK$6,369,000, up from HK$1,378,000, representing a growth of 362%[16] - Total revenue for the six months ended June 30, 2023, was HK$140,264,000, a significant increase from HK$12,135,000 in the same period of 2022, representing a growth of 1,051%[55] - The Group's metal trading business revenue for 1H 2023 increased approximately 1,119% year-on-year, amounting to approximately HK$125.7 million compared to HK$10.3 million in 1H 2022[102][105] Financial Performance - For the six months ended June 30, 2023, the company reported a loss of HK$575,000 compared to a loss of HK$17,230,000 for the same period in 2022, indicating a significant improvement[18] - The total comprehensive loss for the period was HK$1,772,000, down from HK$17,718,000 in the previous year, reflecting a reduction of approximately 90%[19] - The basic and diluted loss per share for the six months ended June 30, 2023, was HK$0.07, compared to HK$1.95 in the previous year[19] - The loss attributable to owners of the Company for the six months ended June 30, 2023, was HK$575,000, a significant improvement from a loss of HK$16,190,000 in 2022[67] - The Group's loss for the six months ended June 30, 2023, was approximately HK$0.6 million, a decrease of approximately 96.5% from a loss of HK$17.2 million for the same period in 2022[129] Cash Flow and Liquidity - The company's cash and cash equivalents increased to HK$6,887,000 as of June 30, 2023, compared to HK$4,180,000 at the end of 2022, representing a growth of 64.5%[21] - Cash used in operating activities for the six months ended June 30, 2023, was HK$3,787,000, a significant improvement from HK$15,131,000 in the same period of 2022[26] - The net cash generated from financing activities was HK$6,356,000 for the six months ended June 30, 2023, compared to a net cash used of HK$1,223,000 in 2022[28] - Cash and cash equivalents at the end of the period increased to HK$6,887,000 from HK$5,799,000 in the previous year[28] - Cash and bank balances increased by approximately HK$2.7 million compared to December 31, 2022, primarily due to proceeds from borrowings[132] Assets and Liabilities - Non-current assets decreased to HK$13,912,000 from HK$14,783,000, a decline of 5.9%[21] - Current liabilities rose to HK$25,604,000 from HK$20,576,000, an increase of 24.5%[21] - The equity attributable to the owners of the company decreased to HK$21,504,000 from HK$23,276,000, a reduction of 7.6%[22] - The Group recorded total revenue of approximately HK$140.26 million for the six months ended June 30, 2023, an increase of approximately 1,055% compared to HK$12.14 million for the same period in 2022[129] - Outstanding borrowings as of June 30, 2023, amounted to approximately HK$19.6 million, up from approximately HK$12.1 million as of December 31, 2022[133] Employee and Operational Costs - The company reported employee costs of HK$5,128,000 for the six months ended June 30, 2023, down from HK$7,025,000 in the same period of 2022, a decrease of 27%[18] - Employee costs decreased to HK$3,392,000 in the first half of 2023 from HK$4,666,000 in the same period of 2022, showing a reduction of 27%[55] - Salaries and short-term employee benefits for the six months ended June 30, 2023, were HK$2,781,000, slightly down from HK$2,804,000 in the same period of 2022[80] Strategic Initiatives and Market Focus - The company is focused on expanding its market presence and enhancing its product offerings through strategic initiatives[16] - The Group has established strategic partnerships with several large-scale clients in the PRC Mainland, enhancing its access to a large network of end-users[98][99] - The Group's education management services are focused on providing comprehensive services to various educational institutions in Chengdu, which is experiencing a growing demand for education due to its increasing population and income levels[108][109] - The Group plans to accelerate the development of its metal trading business, anticipating benefits from the recovery of the PRC Mainland economy[121][123] Governance and Management - The board of directors confirmed the accuracy and completeness of the financial information presented in the report[5] - The Group's accounting policies for the interim financial statements remain consistent with those adopted in the 2022 annual financial statements[39] - The Audit Committee, comprising three independent non-executive Directors, reviewed the interim report and unaudited condensed consolidated interim financial statements for the six months ended June 30, 2023[191] - The Remuneration Committee includes one executive Director and three independent non-executive Directors, responsible for recommending remuneration packages for executive Directors and senior management[193] - The Nomination Committee is responsible for recommending appointments and succession planning of Directors, ensuring diversity in the Board's composition[197]

香港交易及結算所有限公司及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 致的任何損失承擔任何責任。 Loco Hong Kong Holdings Limited 港 銀 控 股 有 限 公 司 （於香港註冊成立的有限公司） 8162 （股份代號： ） 截至二零二三年六月三十日止六個月 中期業績公告 GEM 香港聯合交易所有限公司（「聯交所」） 之特色 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。 GEM GEM 由於 上市公司普遍為中小型公司，在 買賣的證券可能會較於聯交所主板買賣之證 GEM 券承受較大的市場波動風險，同時無法保證在 買賣的證券會有高流通量的市場。 GEM GEM 本公告乃根據聯交所 證券上市規則（「 上市規則」）提供有關港銀控股有限公司（「本 ...

Financial Performance - Total revenue for the first quarter of 2023 was HK$119,311,000, a significant increase from HK$4,714,000 in the same period of 2022, representing a growth of approximately 2,426%[9] - Profit for the period was HK$872,000, a turnaround from a loss of HK$9,501,000 in the first quarter of 2022, marking a positive change of approximately HK$10,373,000[10] - Total comprehensive income for the period was HK$1,142,000, compared to a loss of HK$9,417,000 in the same period last year, reflecting a substantial improvement[10] - Basic and diluted earnings per share for the first quarter of 2023 were HK$0.11, compared to a loss of HK$1.02 per share in the first quarter of 2022[10] - For the three months ended March 31, 2023, the profit attributable to owners of the Company was HK$872,000, a significant improvement from a loss of HK$8,461,000 in the same period of 2022[36] - The Group achieved a profit of approximately HK$0.9 million for the three months ended March 31, 2023, reversing from a loss of approximately HK$9.5 million in the same period of 2022[75] Revenue Sources - Sales of metal contributed HK$111,116,000 to total revenue, compared to HK$4,268,000 in the first quarter of 2022, indicating a growth of about 2,500%[9] - For Q1 2023, the revenue of the metal trading business reached approximately HK$111.1 million, a significant increase from approximately HK$4.3 million in Q1 2022, indicating strong recovery and growth[56][59] - The education management services segment contributed approximately HK$8.2 million in revenue during Q1 2023, up from approximately HK$0.4 million in Q1 2022[65][68] Cost Management - Employee costs decreased to HK$2,613,000 from HK$3,644,000 in the previous year, showing a reduction of approximately 28%[9] - Other operating expenses were reduced to HK$1,881,000 from HK$4,515,000, indicating a decrease of about 58%[9] - Employee costs decreased by approximately HK$1 million for the three months ended March 31, 2023[80] - Other operating expenses decreased by approximately HK$2.6 million for the three months ended March 31, 2023[80] Inventory and Assets - The carrying value of inventories sold was HK$110,869,000, compared to HK$4,261,000 in the same period of 2022, reflecting a significant increase in inventory turnover[9] - As of March 31, 2023, the total equity of Loco Hong Kong Holdings Limited was HK$24,418,000, a decrease from HK$38,303,000 as of March 31, 2022, reflecting a comprehensive loss for the period[12] - The company’s accumulated losses increased to HK$164,995,000 as of March 31, 2023, from HK$159,103,000 as of March 31, 2022[12] Tax and Dividends - Current tax expense for the three months ended March 31, 2023, was HK$1,692,000, with no provision made for Hong Kong profits tax due to tax losses incurred[29][30] - The company did not recommend any dividend payment for the three months ended March 31, 2023, consistent with the previous year[32] Strategic Initiatives - The Group successfully acquired a new client, Sichuan Cloud Port International (Hong Kong) Limited, contributing approximately HK$104 million in revenue during Q1 2023[44] - The Group plans to consolidate relationships with existing clients and expand the range of products covered by its supply chain services[51] - The Group aims to explore new business opportunities in the domestic and international metal supply chain industry[53] - The Group's education management services are focused on enhancing the quality and operations of educational institutions in Chengdu, which has a growing population and increasing resident income[58][61] Governance and Compliance - The company complied with the Corporate Governance Code provisions, except for the separation of the roles of chairman and CEO[114] - The Audit Committee, established on July 22, 2014, has reviewed the unaudited condensed consolidated financial statements for the three months ended March 31, 2023, prior to recommending them for Board approval[121] - The company has confirmed compliance with the securities trading code by all Directors for the three months ended March 31, 2023[119]

香港交易及結算所有限公司及聯交所對本公佈的內容概不負責，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。 Loco Hong Kong Holdings Limited 港 銀 控 股 有 限 公 司 （於香港註冊成立的有限公司） 8162 （股份代號： ） 截至二零二三年三月三十一日止三個月 第一季度業績 GEM 香港聯合交易所有限公司（「聯交所」） 之特色 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。 GEM GEM 由於 上市公司普遍為中小型公司，在 買賣的證券可能會較於聯交所主板買賣之證 GEM 券承受較大的市場波動風險，同時無法保證在 買賣的證券會有高流通量的市場。 GEM GEM 本公佈乃根據聯交所 證券上市規則（「 上市規則」）提供有關港銀控股有限公司（「本 ...

Financial Performance - 2022 was a challenging year for the Group due to geopolitical conflicts, pandemic resurgences, and economic pressures, impacting operations and supply chains[17] - Despite the difficult environment, the Group achieved a significant improvement in revenue throughout 2022, particularly in the fourth quarter, indicating a positive recovery trend[17] - The Group's total revenue for the year ended December 31, 2022, was approximately HK$48.3 million, representing an increase of approximately 247% compared to HK$13.9 million in 2021[81] - The Group recorded a loss of approximately HK$23.2 million for the year ended December 31, 2022, a decrease of approximately 26% from a loss of approximately HK$31.4 million in 2021[81] - Revenue from the metal business segment improved significantly year-on-year, reaching approximately HK$34.55 million in 2022, compared to HK$9.39 million in 2021[58] - The education management services business achieved revenue of approximately HK$8.51 million in Q4 2022, marking a recovery following the pandemic[63] - The education management services business contributed revenue of approximately HK$13.79 million in the current year, up from approximately HK$4.55 million in 2021[75] Business Operations - The Group's proactive measures and refined business strategies contributed to the upward trend in operations during the year[17] - The Group's business model as a supply chain integrator aims to reduce procurement costs for customers and create maximum value[20] - The Group's revenue primarily derives from acting as a supply chain integrator within the metal industry, providing comprehensive support to customers in Mainland China[36] - The Group's metal business has faced severe challenges since 2017 due to external factors such as volatile silver prices, trade disputes, and the impact of the COVID-19 pandemic on logistics and import/export activities[37] - The Group has retained its silver processing capabilities to resume operations when market opportunities arise[35] - The Group's metal business is positioned for further growth in line with the resumption of normal travel between the PRC Mainland and Hong Kong[60] - The Group's business model in the metal supply chain integrates procurement, insurance, logistics, trade, customs declaration, and market information, creating maximum value for customers[57] Customer Diversification and Services - In 2022, the Group began providing metal supply chain services to several new customers in Mainland China, enhancing its service offerings[20] - The Group's customer diversification includes kindergartens and institutions focused on arts, music, sports, and humanistic education[24] - The Group aims to balance risk control while expanding its core businesses in metal and education management services[29] - The Group expanded its customer base by providing metal supply chain services to three new customers, contributing approximately RMB10.79 million (approximately HK$12.58 million) in Q4 2022[56] - The Group's education management services, introduced in 2019, aim to enhance service quality for various educational institutions in Chengdu, Sichuan, with management fees based on the total revenue of these institutions[40][41] Economic Environment - The global economic environment remains complex, with ongoing inflation, interest rate hikes, and geopolitical conflicts negatively impacting the Group's metal trading business[45][49] - The pandemic has led to increased international logistics costs and uncertainty, severely affecting the Group's metal trading operations since 2020[46][49] - The Group has maintained a prudent assessment and lending policy for credit facilities due to the uncertain economic environment[24] - The Group has adopted enhanced risk control measures in its money lending services due to high credit risk amid uncertain economic conditions[71] Management and Governance - The company emphasizes a strong corporate culture to achieve long-term sustainable performance and fulfill its role as a responsible corporate citizen[166] - The management team has extensive experience in the education industry, with key members holding advanced degrees in relevant fields[154][156] - The company is committed to high standards of corporate governance to safeguard shareholder interests and enhance shareholder value[165] - The Board has ensured compliance with the Corporate Governance Code, with a noted deviation from Code Provision C.2.1[172] - The Board is responsible for overseeing the overall business, strategic direction, and financial performance of the Group[181] Strategic Initiatives - In response to national education reforms, the Group shifted its focus to arts, physical education, and well-rounded education, diversifying its customer base[24] - The Group's strategic shift towards art and sports education has begun to yield positive results, aligning with national education policy reforms[63] - The Group plans to further expand its customer base in the education management services business, particularly in Chengdu, as pandemic restrictions ease[80] - The Group will continue to monitor policy trends and regulatory environments to optimize its business model in response to changes in national education policies[80] Financial Position and Liquidity - As of December 31, 2022, the Group had cash and bank balances of approximately HK$4.2 million, down from approximately HK$20.9 million in 2021[88] - The current ratio as of December 31, 2022, was 1.65 times, significantly lower than 7.24 times in 2021[88] - The Group had outstanding borrowings of approximately HK$12.1 million as of December 31, 2022, compared to nil in 2021[93] - The gearing ratio as of December 31, 2022, was 38.4%, with no gearing ratio presented in 2021 due to a net cash surplus[111] - The Company is committed to prudent treasury policies to manage bank balances and maintain liquidity for future growth opportunities[120] Key Personnel - Mr. Feng Zhijian has over 35 years of experience in banking and finance, serving in various significant roles including as a director and deputy general manager of Baosheng Bank Limited[138] - Mr. Zhou Tianshu has over 23 years of experience in enterprise planning, business investment, and risk control, previously holding management positions in major state-owned aviation enterprises[140] - Ms. Wu Liyan has more than 13 years of marketing and business development experience in renowned investment management companies[141] - Ms. Wong Susan Chui San has over 23 years of experience in auditing, accounting, and taxation, and is a certified public accountant in both Australia and Hong Kong[144] - Ms. Gao Huajin has been appointed as the Director of Human Resources since July 1, 2020, focusing on recruiting high-quality talents for education management services[155] Compliance and Regulatory Matters - The Company has received a notification from the Stock Exchange regarding the failure to maintain sufficient operations and assets under Rule 17.26 of the GEM Listing Rules, leading to a suspension of trading in its shares on 9 November 2022[126] - The GEM Listing Committee upheld the decision to suspend trading in the Company's shares after a review hearing on 31 January 2023, confirming the failure to meet the required operational and asset levels[127] - The Company submitted a request for a further review of the GEM Listing Committee's decision on 21 February 2023, allowing trading in its shares to continue[128] - The Company has complied with the GEM Listing Rules and has adopted a code of conduct for securities trading by Directors[177]

Financial Performance - Total income for the nine months ended September 30, 2022, was HK$22,090,000, a significant increase from HK$9,358,000 in the same period of 2021, representing a growth of 136%[14] - Revenue from metal sales and education management services for the nine months ended September 30, 2022, was HK$21,508,000, compared to HK$9,263,000 in 2021, marking an increase of 132%[14] - The loss before income tax expense for the nine months ended September 30, 2022, was HK$22,676,000, compared to a loss of HK$19,797,000 in the same period of 2021, indicating a decline in performance[17] - The company reported a loss for the period attributable to owners of the Company of HK$21,636,000 for the nine months ended September 30, 2022, compared to HK$18,311,000 in 2021[17] - The total comprehensive loss for the nine months ended 30 September 2022 was HK$23,931,000, compared to HK$19,633,000 in 2021, indicating an increase of approximately 21.7%[19] - The Group incurred a loss of approximately HK$22.7 million for the nine months ended September 30, 2022, which is an increase of approximately 14.6% from the loss of HK$19.8 million for the same period in 2021[75] Employee Costs - Employee costs for the nine months ended September 30, 2022, were HK$10,352,000, down from HK$13,811,000 in the same period of 2021, reflecting a reduction of 25%[17] - The Group did not recognize employee costs related to share options for the nine months ended 30 September 2022, compared to approximately HK$0.8 million for the same period in 2021[127] Revenue and Sales - For the nine months ended September 30, 2022, the Group recorded total revenue of approximately HK$21.5 million, representing an increase of approximately 131.2% compared to HK$9.3 million for the same period in 2021[75] - As of Q3 2022, the Group's metal trading business achieved sales revenue of approximately HK$16.23 million, a significant increase from approximately HK$5.35 million in the same period last year, representing a growth of about 203%[55] - The Group's education management service business recorded revenue of approximately HK$5.28 million in Q3 2022, compared to approximately HK$3.91 million for the same period last year, reflecting an increase of about 35%[61] Losses and Financial Position - The company experienced an exchange loss of HK$1,255,000 due to foreign operations for the nine months ended 30 September 2022, compared to an exchange gain of HK$168,000 in the same period of 2021[19] - As of 30 September 2022, the accumulated losses amounted to HK$172,278,000, an increase from HK$150,642,000 as of 1 January 2022[24] - The basic and diluted loss per share for the nine months ended 30 September 2022 was HK$2.61, compared to HK$2.57 for the same period in 2021[19] Equity and Share Capital - The total equity attributable to owners of the company as of 30 September 2022 was HK$23,789,000, a decrease from HK$46,716,000 as of 1 January 2022[24] - The weighted average number of ordinary shares for calculating basic loss per share was 829,404,000 for the nine months ended 30 September 2022, compared to 712,943,000 for the same period in 2021, indicating a 16.3% increase in shares[45] - As of September 30, 2022, the total number of ordinary shares issued by the company was 829,404,000[97] Business Operations and Challenges - The global economic environment remains challenging due to inflation, interest rate hikes, geopolitical conflicts, and the ongoing pandemic, impacting the Group's operations[49] - The pandemic in the PRC Mainland caused significant disruptions in logistics and production, particularly in key areas like Sichuan, impacting both the metal and education management segments[54][61] - Sichuan Province's power blackouts and earthquakes in 2022 significantly impacted the Group's metal business operations and revenue[54] - The ongoing city-wide lockdown in Chengdu delayed the revenue collection for the education management business, affecting Q3 revenue but overall progress remains in line with expectations[61] Strategic Initiatives - The Group is committed to optimizing its business model in response to government policies on education reform, ensuring alignment with regulatory changes[67] - The Group has entered into new management service agreements to enhance its education management business, including partnerships with institutions for humanistic education and educational book distribution[60] - The Group is actively expanding its education management business, focusing on Arts & PE and humanistic education, in response to national policy encouragement[71] Compliance and Governance - The Company has complied with the Corporate Governance Code provisions, except for the separation of the roles of chairman and chief executive officer, which are currently held by Mr. Wang Wendong[129] - The Audit Committee is responsible for reviewing the Company's financial reporting process, risk management, and internal control systems[131] - The Company has adopted a code of conduct for securities transactions by Directors, confirming compliance throughout the nine months ended 30 September 2022[130] Market and Economic Outlook - The metal business is expected to benefit from the orderly restart of production in the domestic economy and rising demand for commodity orders in the domestic metal market[71] - The Group's efforts to complete deliveries and contracts during the pandemic have laid a strong foundation for future business development in the metal trading sector[55] - The Group will continue to monitor policy trends and regulatory environments to optimize its business strategies accordingly[71]

Revenue Performance - Revenue for the six months ended June 30, 2022, was HK$12,135,000, a significant increase from HK$5,158,000 in the same period of 2021, representing a growth of approximately 134%[18] - Sales of metal reached HK$10,311,000 for the six months ended June 30, 2022, compared to HK$1,782,000 in the same period of 2021, indicating an increase of about 478%[18] - Education management services generated revenue of HK$1,824,000 for the six months ended June 30, 2022, down from HK$3,376,000 in the same period of 2021, reflecting a decline of approximately 46%[18] - The company reported a total revenue of HK$6,043,000 for the three months ended June 30, 2022, compared to HK$1,782,000 in the same period of 2021, representing an increase of about 238%[18] - Reportable segment revenue for the six months ended June 30, 2022, was HK$12,135,000, an increase from HK$5,158,000 in the same period of 2021, representing a growth of 134%[166] - Revenue from the trading of metal for the six months ended June 30, 2022, was HK$10,311,000, significantly up from HK$1,782,000 in the same period of 2021, marking a growth of 478%[166] - Revenue from education management services decreased to HK$1,824,000 for the six months ended June 30, 2022, down from HK$3,376,000 in 2021, a decline of 46%[166] Financial Losses - The company reported a loss for the period of HK$17,230,000 for the six months ended June 30, 2022, compared to a loss of HK$13,182,000 in the same period of 2021, representing a 30.9% increase in loss year-over-year[21] - Total comprehensive loss for the period was HK$17,718,000, up from HK$13,025,000 in the prior year, indicating a 36.5% increase[23] - Basic and diluted loss per share was HK$1.95 for the six months ended June 30, 2022, compared to HK$1.82 for the same period in 2021, reflecting a 7.1% increase in loss per share[23] - The loss for the period was HK$17,230,000 for the six months ended June 30, 2022, compared to a loss of HK$13,178,000 for the same period in 2021, indicating an increase in loss of about 30.9%[128] - The reportable segment loss for the six months ended June 30, 2022, was HK$6,087,000, compared to a loss of HK$3,106,000 for the same period in 2021, indicating a deterioration of 96%[165] - Loss attributable to owners of the Company for the six months ended 30 June 2022 was HK$16,190,000, compared to HK$12,561,000 for the same period in 2021, representing a 28% increase in loss[178] Cash Flow and Assets - The company's cash and cash equivalents decreased significantly to HK$5,799,000 as of June 30, 2022, down from HK$20,880,000 at the end of 2021, a decline of 72.2%[27] - Non-current assets decreased to HK$15,487,000 as of June 30, 2022, from HK$20,963,000 at the end of 2021, a reduction of 26.4%[27] - Current liabilities were reported at HK$20,984,000, down from HK$34,051,000 at the end of 2021, indicating a decrease of 38.5%[27] - The equity attributable to the owners of the company fell to HK$30,002,000 as of June 30, 2022, from HK$46,716,000 at the end of 2021, a decline of 35.9%[29] - The company experienced a decrease in cash and cash equivalents, ending the period with HK$5,799,000, down from HK$7,706,000 at the end of June 30, 2021, a decline of about 24.8%[132] - The Group's unaudited condensed consolidated interim financial statements for the six months ended 30 June 2022 are presented in thousands of Hong Kong dollars (HK$'000) [135] - As of June 30, 2022, the company reported total assets of HK$188,348,000, an increase from HK$161,112,000 as of June 30, 2021, representing a growth of approximately 16.8%[124] Employee Costs and Expenses - The company experienced a significant increase in employee costs, which amounted to HK$7,025,000 for the six months ended June 30, 2022, compared to HK$9,672,000 in the same period of 2021, a decrease of 27.2%[21] - Employee costs for the six months ended June 30, 2022, were HK$4,666,000, down from HK$6,428,000 in 2021, reflecting a decrease of 27%[165] - Salaries and short-term employee benefits for the six months ended June 30, 2022 were HK$2,804,000, down from HK$3,460,000 in 2021, a decrease of 19%[200] - Contributions to the pension scheme for the six months ended June 30, 2022 were HK$2,831,000, compared to HK$3,487,000 in 2021, reflecting a 19% decrease[200] - The company recorded interest expenses of HK$55,000 for the six months ended June 30, 2022, compared to HK$40,000 in 2021, reflecting an increase of 37.5%[128] - The company reported interest expenses of HK$43,000 for the six months ended June 30, 2022, compared to HK$32,000 in the same period of 2021, an increase of 34%[165] Strategic Focus and Future Plans - The company is focused on expanding its market presence and enhancing its product offerings to drive future growth[18] - The company plans to continue exploring new strategies for market expansion and product development in the upcoming periods[18] - The Group's principal activities include metal trading, education management services in the PRC Mainland, and money lending services in Hong Kong [135] - The Group's operating segments include trading of metal, education management services, and money lending services, each managed separately due to different products and strategies [141] Financial Reporting and Compliance - The board of directors confirmed that the financial information presented is accurate and complete in all material respects, ensuring transparency for investors[7] - The financial statements have been prepared in accordance with Hong Kong Accounting Standard 34 and applicable GEM Listing Rules [139] - The financial statements have been reviewed by the Company's Audit Committee [139] - The Group has not early adopted any new standards or interpretations that have been issued but are not yet effective [139] - The financial information for the year ended 31 December 2021 included in the interim financial statements does not constitute statutory annual consolidated financial statements [139]

Financial Performance - Total revenue for the three months ended March 31, 2022, was HK$4,750,000, compared to HK$1,232,000 for the same period in 2021, representing a significant increase[11]. - Loss for the period was HK$9,501,000, compared to a loss of HK$7,463,000 in the same period of 2021, indicating a worsening financial performance[11]. - Basic and diluted loss per share was HK$1.02 for the three months ended March 31, 2022, compared to HK$1.00 for the same period in 2021[14]. - Total comprehensive loss for the period was HK$9,417,000, compared to HK$7,563,000 in the same period of 2021, indicating an overall decline in financial health[14]. - The Company reported a loss for the period of HK$8,461,000 for the three months ended 31 March 2022, compared to a loss of HK$9,501,000 for the same period in 2021, indicating an improvement of approximately 11%[49]. - The Group reported a loss of approximately HK$9.5 million for the three months ended March 31, 2022, which is an increase of approximately 27% from a loss of HK$7.5 million for the same period in 2021[103]. - The Group's loss attributable to owners was approximately HK$8.5 million for the three months ended March 31, 2022, compared to HK$6.9 million for the same period in 2021[103]. Revenue and Expenses - Employee costs decreased to HK$3,644,000 from HK$5,096,000 in the same period last year, reflecting cost-cutting measures[11]. - Other operating expenses increased to HK$4,515,000 from HK$2,174,000 in the previous year, suggesting rising operational costs[11]. - The carrying value of inventories sold was HK$4,261,000, with no corresponding figure for the previous year, indicating a change in inventory management[11]. - The increase in loss was primarily due to the carrying value of inventories sold being recognized at approximately HK$4.3 million, compared to nil for the same period in 2021[103]. Taxation - The Hong Kong profits tax rate remains at 16.5%, with no provision made for the period due to tax losses incurred[63]. - The PRC Mainland subsidiaries are subject to a tax rate of 25% for the three months ended 31 March 2022, unchanged from the previous year[64]. Business Operations - The Company continues to engage in metal business, education management services in the PRC Mainland, and money lending services in Hong Kong, maintaining its operational focus[53]. - The Group's metal trading business faced significant instability and uncertainty due to the ongoing global pandemic, particularly the impact of the Omicron variant in Hong Kong[71]. - The precious metal and silver business has been declining year by year, attributed to shrinking supply and market demand, with increased transaction costs and risks due to pandemic-related disruptions[72]. - The Group has focused on domestic gold trading in Hong Kong during the pandemic, selecting only one reliable client for partnership[78]. - The Group retained its factory manager and technical staff in the silver processing business, preparing for operations to resume when supply chains recover[78]. - The Group is negotiating cooperation with a state-owned enterprise in Sichuan Province to expand its metal business and leverage its experience in futures trading for hedging purposes[80]. - The Group's business environment remains complex and challenging, with ongoing impacts from pandemic restrictions affecting logistics and supply chains[71]. - The Group has actively sought opportunities to develop its business during the pandemic, including inspections and repairs of plant equipment to ensure readiness for future operations[78]. - The Group anticipates further improvement and expansion of its metal business once the pandemic is under control and customs clearance between Hong Kong and the PRC Mainland normalizes[100]. Education Management Services - The education management services segment generated revenue of approximately HK$0.4 million in Q1 2022, a decline from approximately HK$1.2 million in the same period last year, due to regional outbreaks and strict control measures[95]. - The education industry in the PRC Mainland faced significant challenges due to government reforms and the pandemic, leading to a major decline in revenue for many educational institutions[92]. - The Group's education management services were significantly impacted by the pandemic and new government policies, resulting in a substantial reduction in revenue[92]. - The education management service business is significantly impacted by the new national education management reform policy, necessitating adjustments to the business model[100]. - The Group believes that the government's education reforms align with the correct direction for national education development, supporting compliance and legality in its operations[92]. Share Capital and Options - The total number of ordinary shares in issue as of March 31, 2022, was 829,404,000 shares[117]. - Mr. Wang Wendong and Mr. Fung Chi Kin each held 5,700,000 underlying ordinary shares, representing approximately 0.69% of the total shareholding[113]. - Independent Non-Executive Directors, Mr. Zhou Tianshu, Ms. Wu Liyan, and Ms. Wong Susan Chui San each held 570,000 underlying ordinary shares, representing approximately 0.07% of the total shareholding[113]. - The total number of outstanding share options was 13,110,000[125]. - The total number of share options outstanding as of March 31, 2022, was 36,890,000[142]. - The share options granted will vest at the date of grant and on the first and second anniversaries, allowing cumulative exercise[143]. Corporate Governance - The Company has complied with the Corporate Governance Code provisions, except for the separation of the roles of chairman and CEO, which are currently held by Mr. Wang Wendong[160]. - The Audit Committee was established on July 22, 2014, and its terms of reference were amended on January 2, 2019, in compliance with the Code Provisions[165]. - The Audit Committee comprises three independent non-executive Directors: Mr. Zhou Tianshu (Chairman), Ms. Wu Liyan, and Ms. Wong Susan Chui San[165]. - The Audit Committee reviewed the quarterly report, including the unaudited condensed consolidated financial statements for the three months ended March 31, 2022, prior to recommending them to the Board for approval[165].