Neo Telemedia Limited 中國新電信集團有限公司 （於開曼群島註冊成立之有限公司） （股份代號：8167） 截至二零二二年十二月三十一日止年度之 年度業績公告 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM之定位，乃為相比起其他在聯交所上市之公司帶有較高投資風險之中小型公 司提供一個上市之市場。有意投資之人士應了解投資於該等公司之潛在風險，並 應經過審慎周詳之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 買賣之證券可能會較於聯交所主 板買賣之證券承受較大之市場波動風險，同時無法保證在GEM買賣之證券會有高 流通量之市場。 香港交易及結算所有限公司及聯交所對本公告之內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產 生或因倚賴該等內容而引致之任何損失承擔任何責任。 本公告的資料乃遵照聯交所《GEM 證券上市規則》而刊載，旨在提供有關中國新 電信集團有限公司（「本公司」）的資料；本公司的董事（「董事」）願就本公告的資 料共同及個別地承擔全部責任。各董事經作出一切合理查詢後，確認就彼等所知 及所信： 1. 本公告 ...

Financial Performance - For the nine months ended September 30, 2022, the group reported revenue of HKD 392,272,000, a decrease of 13.4% from HKD 452,823,000 in the same period of 2021[4] - Gross profit for the nine months ended September 30, 2022, was HKD 40,137,000, down 54.4% from HKD 87,895,000 in the previous year[4] - The net profit for the nine months ended September 30, 2022, was HKD 80,232,000, compared to a net loss of HKD 59,579,000 in the same period of 2021[4] - Earnings per share for the nine months ended September 30, 2022, was HKD 0.24, compared to a loss per share of HKD 0.56 in the same period of 2021[4] - Total comprehensive income for the nine months ended September 30, 2022, was HKD (22,372,000), compared to HKD (50,873,000) in the previous year[6] - The profit attributable to the company's owners for the nine months ended September 30, 2022, was approximately HKD 23 million, compared to a loss of approximately HKD 53.7 million in the same period last year[24] Revenue Sources - Revenue from data center services for the nine months ended September 30, 2022, was HKD 385,580,000, down from HKD 443,718,000 in the previous year[12] - Revenue from data center services was approximately HKD 385.6 million for the period, a decrease of about HKD 58.1 million or 13.1% compared to HKD 443.7 million in the previous year, attributed to the negative impact of the ongoing COVID-19 pandemic[34] Gains and Costs - The group recognized a gain of HKD 203,668,000 from the sale of a subsidiary during the nine months ended September 30, 2022[4] - The group reported other income and gains of HKD 69,589,000 for the nine months ended September 30, 2022, significantly up from HKD 1,697,000 in the same period of 2021[4] - The group incurred financing costs of HKD 75,937,000 for the nine months ended September 30, 2022, compared to HKD 29,566,000 in the same period of 2021[4] - The group experienced an increase in depreciation and financing costs of approximately HKD 14.1 million and HKD 46.4 million, respectively, due to completed sales and leasing arrangements[24] Operational Metrics - The group recorded revenue of approximately HKD 392.3 million for the nine months ended September 30, 2022, a decrease of about HKD 60.5 million or 13.4% compared to HKD 452.8 million in the same period last year[23] - The group reported an EBITDA of HKD 283.4 million for the nine months ended September 30, 2022, with an EBITDA margin of 72.3%[25] - The average rate charged per server cabinet and the utilization rate of the self-built data centers decreased due to the ongoing negative impact of the COVID-19 pandemic[23] - The utilization rate of the company's self-built data centers was approximately 28% as of September 30, 2022, down from 50.5% in 2021, primarily due to the completion of 4,200 new server cabinets in Q3 2022[34] Future Outlook - The company expects to build approximately 20,000 additional server cabinets over the next two years, which is anticipated to significantly improve financial performance despite ongoing economic challenges from COVID-19[36] - The company remains optimistic about future prospects, citing rapid data traffic growth and government support for digital economy growth, which is expected to sustain demand for high-quality data centers for at least the next five years[44] - The new data centers, including the Weihai Zhigu Super Data Center and the Shanghai Baoshan Data Center, will provide infrastructure for over 20,000 server cabinets, effectively doubling the number of available cabinets[46] Shareholder Information - As of September 30, 2022, the company's director held approximately 23.98% of the company's shares, indicating strong insider confidence[47] - Winner Mind holds 2,055,887,357 shares, representing 21.59% of the company's issued share capital[53] - Mr. Zhen Wei Ping owns 504,832,000 shares, which accounts for 5.30% of the company's issued share capital[53] Compliance and Governance - The audit committee has reviewed the unaudited financial statements for the nine months ended September 30, 2022, and found them compliant with applicable accounting standards and disclosure requirements[58] - The company and its subsidiaries did not purchase, redeem, or sell any listed securities during the nine months ended September 30, 2022[56] - The group did not declare any dividends for the nine months ended September 30, 2022[16] Challenges - The company anticipates facing significant challenges in Q4 2022 due to economic slowdowns and geopolitical tensions affecting energy prices[44] - The group has 12,792 available server cabinets and 19,842 under construction as of September 30, 2022[30]

Financial Performance - Revenue for the six months ended June 30, 2022, was HKD 260,321,000, a decrease from HKD 264,904,000 in the same period of 2021, representing a decline of approximately 2.2%[5] - Gross profit for the six months ended June 30, 2022, was HKD 36,091,000, down from HKD 66,383,000 in 2021, indicating a decrease of about 45.6%[5] - The net profit for the six months ended June 30, 2022, was HKD 103,879,000, compared to a net loss of HKD 29,268,000 in the same period of 2021, showing a significant turnaround[5] - Basic and diluted earnings per share for the six months ended June 30, 2022, were HKD 0.42, compared to a loss per share of HKD 0.27 in 2021[5] - The company reported a total comprehensive income of HKD 60,296,000 for the six months ended June 30, 2022, compared to a total comprehensive loss of HKD 21,235,000 in the same period of 2021[7] - The company reported a profit attributable to owners of HKD 39,979,000, compared to a loss of HKD 25,242,000 for the same period in 2021[41] - The company recognized a gain of approximately HKD 207 million from the sale of its entire equity interest in an indirect non-wholly owned subsidiary during the reporting period[61] Assets and Liabilities - Total assets as of June 30, 2022, were HKD 3,434,040,000, down from HKD 4,023,282,000 as of December 31, 2021, reflecting a decrease of approximately 14.6%[8] - Current liabilities as of June 30, 2022, totaled HKD 2,495,770,000, slightly down from HKD 2,527,313,000 at the end of 2021[10] - The group reported a net asset value of approximately HKD 1,148,234,000 as of June 30, 2022, indicating a stable financial position despite current liabilities exceeding current assets by approximately HKD 1,698,779,000[18] - The company's total borrowings amounted to HKD 1,449.5 million as of June 30, 2022, down from HKD 1,841.8 million as of December 31, 2021[51] - The total liabilities were approximately HKD 3,082.8 million, down from HKD 3,380.9 million as of December 31, 2021, resulting in a debt-to-asset ratio of approximately 72.9%, improved from 76.2%[85] Cash Flow and Financing - For the six months ended June 30, 2022, the net cash flow from operating activities was HKD 64,258,000, compared to HKD 213,535,000 for the same period in 2021, representing a decrease of approximately 69.9%[7] - The group’s cash flow from financing activities for the six months ended June 30, 2022, was a net outflow of HKD 137,109,000, compared to a net inflow of HKD 327,420,000 in the same period of 2021[7] - The group’s cash flow from investing activities for the six months ended June 30, 2022, was a net outflow of HKD 173,252,000, compared to a net outflow of HKD 478,171,000 in the same period of 2021[7] - The company has unutilized bank financing of approximately HKD 1,217,572,000, which is due between 2024 and 2032, providing potential liquidity for future operations[21] Operational Highlights - The company plans to focus on expanding its market presence and enhancing its product offerings in the upcoming quarters[6] - The company’s EBITDA for the six months ended June 30, 2022, was approximately HKD 233.2 million, with an EBITDA margin of 89.6%[62] - The group expects to build approximately 24,000 additional server cabinets over the next two years, which includes 4,200 cabinets at the Weihai Zhigu Super Data Center expected to be operational in Q4 2022[71] - The group anticipates continued growth in demand for high-quality data centers over the next five years due to rapid data traffic growth and government support for the digital economy[81] Shareholder Information - The company's total issued share capital as of June 30, 2022, was approximately HKD 952.22 million, with 9,522,184,345 shares issued[84] - The company did not declare any dividends for the six months ended June 30, 2022, consistent with the previous year[39] Compliance and Governance - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited financial statements for the six months ending June 30, 2022, confirming compliance with applicable accounting standards and disclosure requirements[108] - The company has adopted a code of conduct for directors' securities transactions, with no violations reported as of June 30, 2022[105] - No directors or major shareholders engaged in any competitive business or conflicts of interest during the six months ending June 30, 2022[106]

Financial Performance - The company reported unaudited revenue of HKD 129,893,000 for the three months ended March 31, 2022, representing a 16.3% increase from HKD 111,641,000 in the same period of 2021[5] - Gross profit for the same period was HKD 23,658,000, down 26.8% from HKD 32,295,000 year-over-year[5] - The company incurred a loss before tax of HKD 38,488,000, compared to a loss of HKD 18,765,000 in the prior year, indicating a significant increase in losses[5] - The net loss attributable to the company's owners was HKD 33,110,000, compared to HKD 14,203,000 in the same quarter of the previous year[19] - The basic and diluted loss per share for the period was HKD 0.35, compared to HKD 0.15 in the prior year[20] - The total comprehensive loss for the period was HKD 32,898,000, compared to HKD 22,888,000 in the same period last year[7] - The company recorded revenue of approximately HKD 129.9 million for the three months ended March 31, 2022, an increase of 16.4% compared to HKD 111.6 million in the same period last year[26] - The loss attributable to the company's owners for the same period was approximately HKD 33.1 million, up from HKD 14.2 million in the previous year, primarily due to increased depreciation and financing costs[26] - EBITDA for the three months ended March 31, 2022, was HKD 22.96 million, with an EBITDA margin of 17.7%, compared to HKD 16.91 million and 15.2% in the previous year[28] Revenue Sources - Revenue from data center services was HKD 127,373,000, an increase from HKD 107,684,000 in the previous year, while other income decreased from HKD 3,957,000 to HKD 2,520,000[12] - The company provided data center services that generated revenue of approximately HKD 127.4 million, an increase of 18.3% from HKD 107.7 million in the previous year[35] - Other income for the review period was approximately HKD 2.5 million, an increase of 37.5% from HKD 4.0 million in the previous year, mainly due to a decrease in revenue from system integration services[37] Operational Highlights - The utilization rates of the data centers as of March 31, 2022, were approximately 80.7% for Guangzhou Lianhua Mountain, 43.0% for Guangzhou (Nanshan) Cloud, 35.5% for Shanghai Baoshan, and 26.5% for Weihai Zhigu[31] - The total number of available server cabinets across the company's data centers was 8,592, with a total of 27,189 cabinets under construction[32] - The company plans to build approximately 24,000 additional server cabinets over the next two years, which is expected to significantly enhance financial performance[35] - The increase in revenue was primarily driven by higher utilization rates at the Guangzhou Lianhua Mountain data center and the commencement of operations at the Shanghai Baoshan data center[26] - The company has transitioned some customers' servers from leased cabinets to self-built data centers to improve profitability[35] Strategic Outlook - The company continues to focus on expanding its data center services amidst the challenging market conditions[12] - The company expects to gain HKD 229.5 million from the sale of assets, which will provide immediate cash for business development, particularly for the remaining part of the Weihai Zhigu Big Data Center[40] - The company remains optimistic about its business outlook despite potential economic slowdowns in China, driven by rapid data traffic growth and government support for the data economy[41] - Two new data centers have been operational since 2021, significantly increasing the company's self-built server cabinet count by over 100% compared to 2021, providing ample growth space for customers[41] Shareholder Information - As of March 31, 2022, Dr. Li Haiquan holds approximately 23.86% of the company's shares, with an additional 21.97% held through controlled companies[43] - Winner Mind Investments Limited, fully owned by Dr. Li, holds 21.59% of the company's shares[49] - The company did not engage in any share buybacks or sales during the three months ending March 31, 2022[52] Compliance and Governance - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited financial statements for the three months ending March 31, 2022, ensuring compliance with applicable accounting standards[53] - The company did not declare any dividends for the three months ended March 31, 2022, consistent with the previous year[19] - The company reported a foreign exchange gain of HKD 4,720,000 due to the translation of overseas operations, contrasting with a loss of HKD 5,476,000 in the previous year[7]

Neo Telemedia Limited 中國新電信集團有限公司 ( 於開曼群島註冊成立之有限公司) 股份代號 : 8167 第三季度 報告 2021 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM 之定位，乃為相比起其他在聯交所上市之公司帶有較高投資風險之中小 型公司提供一個上市之市場。有意投資之人士應了解投資於該等公司之潛在 風險，並應經過審慎周詳之考慮後方作出投資決定。 由於GEM 上市公司通常為中小型公司，因此在GEM 買賣之證券可能會較於聯 交所主板買賣之證券承受較大之市場波動風險，同時無法保證在GEM 買賣之 證券會有高流通量之市場。 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任何部分內容而 產生或因倚賴該等內容而引致之任何損失承擔任何責任。 本報告的資料乃遵照《聯交所GEM證券上市規則》而刊載，旨在提供有關中國 新電信集團有限公司（「本公司」）的資料；本公司的董事（「董事」）願就本報告 的資料共同及個別地承擔全部責任。各董事經作出一切合理查詢後，確認就彼 等所知及所信： 1. 本報告所載資料在各重大方面 ...

Neo Telemedia Limited 中國新電信集團有限公司 （於開曼群島註冊成立之有限公司） 股份代號：8167 中期 報告 2021 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM 之定位，乃為相比起其他在聯交所上市之公司帶有較高投資風險之中小 型公司提供一個上市之市場。有意投資之人士應了解投資於該等公司之潛在 風險，並應經過審慎周詳之考慮後方作出投資決定。 由於GEM 上市公司通常為中小型公司，因此在GEM 買賣之證券可能會較於聯 交所主板買賣之證券承受較大之市場波動風險，同時無法保證在GEM 買賣之 證券會有高流通量之市場。 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任何部分內容而 產生或因倚賴該等內容而引致之任何損失承擔任何責任。 本報告的資料乃遵照《聯交所GEM證券上市規則》而刊載，旨在提供有關中國 新電信集團有限公司（「本公司」）的資料；本公司的董事（「董事」）願就本報告 的資料共同及個別地承擔全部責任。各董事經作出一切合理查詢後，確認就彼 等所知及所信： 1. 本報告所載資料在各重大方面均屬準確及 ...

Financial Performance - For the three months ended March 31, 2021, the revenue was HKD 111,641,000, a decrease of 45.4% compared to HKD 204,515,000 for the same period in 2020[5] - The gross profit for the same period was HKD 32,295,000, significantly improving from HKD 9,613,000 in the previous year, resulting in a gross margin of 28.9%[5] - The loss before tax was HKD 18,765,000, which is an improvement of 48.2% compared to a loss of HKD 36,253,000 in the prior year[5] - The net loss for the period was HKD 17,412,000, a reduction of 50.1% from HKD 34,951,000 in the same quarter of 2020[5] - Basic and diluted loss per share was HKD 0.15, compared to HKD 0.29 for the same period last year[5] - The company reported a total comprehensive loss of HKD 22,888,000 for the period, compared to HKD 59,057,000 in the previous year[7] - The loss attributable to the company's owners was approximately HKD 14.2 million for the three months ended March 31, 2021, compared to a loss of HKD 27.6 million in the same period last year, indicating a reduction in loss[33] - The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for the first quarter of 2021 was HKD 16.9 million, with an EBITDA margin of 15.2%, compared to an EBITDA of HKD (14.6) million and a margin of (7.2)% in the previous year[34] Revenue Sources - The primary business activities include data center services and telecommunications product sales, with revenue from data center services amounting to HKD 107,684,000[13] - Revenue from data center services was approximately HKD 107.7 million, an increase of about HKD 18.6 million or 20.9% compared to HKD 89.1 million in the previous year, primarily due to the operation of the Weihai Zhigu Data Center[37] - Revenue from trading telecommunications products was approximately HKD 0.2 million, a decrease of about HKD 114.0 million or 100% compared to HKD 114.2 million in the previous year, due to the impact of COVID-19 and market competition[40] - The Weihai Zhigu Data Center contributed approximately HKD 12.9 million in revenue during the review period, enhancing the overall profitability of the data center services[37] - Other income increased to approximately HKD 3.7 million, up 208.3% from HKD 1.2 million in the previous year, primarily due to increased revenue from system integration services[42] Operational Efficiency and Future Outlook - The company continues to focus on improving operational efficiency and exploring new market opportunities[9] - The company plans to focus resources on data center operations, which are expected to yield higher profits, following a review of its trading business in mainland China[40] - The company anticipates significant improvement in financial performance over the next two years as new data centers are expected to be completed by the third quarter of 2021[39] - The company remains optimistic about future prospects, anticipating continued growth in demand for high-quality data centers over the next five years, driven by rapid data traffic growth and government support for the data economy[43] - Three new data centers are expected to be completed in 2021, increasing the number of server cabinets by over 10 times, providing ample development space for customers[44] Governance and Compliance - The audit committee has been established with three independent non-executive directors, ensuring compliance with GEM listing rules[63] - The audit committee reviewed the unaudited financial statements for the three months ending March 31, 2021, confirming adherence to applicable accounting standards and disclosure requirements[63] - The board of directors consists of four executive directors and three independent non-executive directors, indicating a balanced governance structure[63] Data Center Utilization - The utilization rates of the company's data centers as of March 31, 2021, were approximately 61.3% for the Guangzhou Lianhua Mountain Data Center, 87.5% for the Guangzhou (Nanxiang) Cloud Data Center, and 23.7% for the Weihai Zhigu Data Center[37] - The company has a total of 6,654 server cabinets in operation across its data centers, with 28,553 cabinets under construction, indicating a significant expansion in capacity[38]

Financial Performance - The turnover for the year 2020 was HK$464,908,000, a decrease of 43.2% from HK$817,141,000 in 2019[32]. - Gross profit for 2020 was HK$71,301,000, down 2.8% from HK$73,356,000 in 2019[32]. - The net loss for the year was HK$127,571,000, compared to a net loss of HK$115,643,000 in 2019, representing an increase in loss of 10.5%[32]. - The loss from operations was HK$122,923,000, slightly higher than the loss of HK$118,971,000 in 2019[32]. - Finance costs increased significantly to HK$17,069,000 in 2020 from HK$3,317,000 in 2019, marking a rise of 414.5%[32]. - Revenue from trading telecommunication products decreased by 75.2% year-on-year to approximately HK$115.8 million in 2020, down from HK$468.4 million in 2019[51]. - The Group's total revenue for 2020 was approximately HK$464.9 million, representing a decrease of 43.1% compared to HK$817.1 million in 2019[65]. - The net loss attributable to owners of the Company increased by 16.6% year-on-year to approximately HK$110.3 million in 2020, compared to HK$94.6 million in 2019[66]. - Revenue from other services decreased by 13.7% year-on-year to approximately HK$24.5 million in 2020, down from HK$28.4 million in 2019, primarily due to the impact of COVID-19[57]. Assets and Liabilities - The Group's net assets as of December 31, 2020, were HK$1,101.02 million, a decrease from HK$1,187.15 million in 2019[34]. - The Group's non-current assets increased to HK$3,151.82 million in 2020 from HK$2,226.41 million in 2019[34]. - Current liabilities rose to HK$2,050.77 million in 2020, compared to HK$1,291.51 million in 2019[34]. - Total assets increased to approximately HK$3,437.2 million in 2020 from HK$2,558.0 million in 2019, while total liabilities rose to approximately HK$2,336.2 million from HK$1,370.9 million, leading to a gearing ratio of approximately 68.0% in 2020 compared to 53.6% in 2019[78]. - The Group's interest-bearing borrowings rose to approximately HK$1,601.1 million as of December 31, 2020, up from HK$1,081.4 million in 2019[71]. - Current assets decreased to approximately HK$285.4 million in 2020 from HK$331.6 million in 2019, while current liabilities rose to approximately HK$2,050.8 million from HK$1,291.5 million, resulting in a current ratio decline from 0.26 to 0.14[77]. Business Operations - The Group plans to complete three new self-developed data centres in 2021, which is expected to significantly improve financial performance over the next two years[46]. - The trading of mobile device business in Hong Kong was ceased due to the lack of purchase orders and inability to secure 5G device supplies[47]. - The Group's trading business in mainland China was scaled down, with no revenue generated after the first quarter of 2020, leading to a full write-off of intangible assets related to this segment amounting to approximately HK$33.36 million[48]. - The Group's internet finance platform did not generate any revenue in 2020, maintaining the same status as in 2019[55]. - The Group's self-developed data centres generated HK$153.86 million in revenue, while leased server cabinets contributed HK$170.82 million in 2020[44]. Management and Governance - The directors confirmed the accuracy and completeness of the financial report, ensuring no misleading information is presented[5]. - The Group has acknowledged the risks associated with being listed on the GEM, which may affect market volatility and liquidity[2]. - The company has a diverse board with members holding qualifications in accounting, business management, and engineering, enhancing its strategic decision-making capabilities[130][137]. - The board includes members with significant experience in both local and international markets, which is crucial for the company's expansion strategies[130][137]. - The leadership team is well-equipped with a mix of technical and financial expertise, positioning the company for future opportunities in various sectors[130][137]. Legal and Compliance - The Group has not experienced any material difficulties due to fluctuations in currency exchange rates, and no hedging of exchange risk was deemed necessary during the year[104]. - The Directors believe that ongoing legal proceedings do not have any material impact on the operations of the Guangzhou Lotus Hill Data Centre[95]. - There were no material breaches of applicable laws and regulations that significantly impacted the Group's business during the year[163]. Shareholder Information - The Company does not recommend the payment of any dividend for the year ended December 31, 2020[149]. - The Group's dividend policy allows for distribution to shareholders based on various factors, including financial performance and liquidity position[145]. - As of December 31, 2020, the Company had no distributable reserves available for distribution to shareholders[165]. - The total number of outstanding share options under the New Scheme and Old Scheme as of December 31, 2020, is 302,300,000 and 6,840,000 respectively, representing approximately 3.17% and 0.07% of the total shares issued[200].

Financial Performance - For the nine months ended September 30, 2020, the company reported revenue of HKD 375,137,000, a decrease from HKD 603,872,000 in the same period of 2019, representing a decline of approximately 38%[4] - The gross profit for the nine months ended September 30, 2020, was HKD 50,304,000, compared to HKD 61,383,000 in 2019, indicating a decrease of about 18%[4] - The net loss attributable to owners of the company for the nine months ended September 30, 2020, was HKD 63,984,000, compared to a loss of HKD 22,150,000 in the same period of 2019, reflecting an increase in loss of approximately 189%[4] - The company reported a basic loss per share of HKD (0.67) for the nine months ended September 30, 2020, compared to a loss of HKD (0.23) in the same period of 2019[4] - For the three months ended September 30, 2020, the company recorded revenue of HKD 81,527,000, down from HKD 191,292,000 in the same quarter of 2019, a decline of approximately 57%[4] - The net loss for the three months ended September 30, 2020, was HKD 17,480,000, compared to a profit of HKD 13,130,000 in the same quarter of 2019, indicating a significant shift in performance[4] - The total comprehensive loss for the nine months ended September 30, 2020, was HKD 69,399,000, compared to HKD 29,977,000 in 2019, representing an increase of approximately 132%[6] Revenue Sources - Revenue from the sale of telecommunications products and services was approximately HKD 370,188,000 for the nine months ended September 30, 2020, down from HKD 589,719,000 in the same period last year[29] - The internet data center services contributed approximately HKD 244 million in revenue for the nine months ended September 30, 2020, compared to HKD 253 million in the previous year[29] - Revenue from the sale of subsidiaries decreased by approximately HKD 14,341,000 to about HKD 6,244,000 compared to HKD 20,585,000 in the previous year[28] Business Operations - The company continues to focus on its core business of selling telecommunications products and services, with no mention of new product launches or market expansion strategies in the current report[9] - The company ceased its mobile device trading business in Hong Kong in March 2020, which significantly impacted revenue[28] - The company has decided to cease its mobile device trading business in Hong Kong due to the lack of customer orders and the inability to secure 5G device supplies, which are critical for revenue generation[32] - The internet financial platform business generated no revenue during the review period, and the company sold its subsidiary, Bee Finance, for HKD 1,126,000, recording a gain of approximately HKD 6,224,000 from the sale[33] - The company is concentrating on increasing the utilization rates of its two internet data centers in Guangzhou, anticipating more revenue contributions in the coming years[34] Future Outlook - The company has not disclosed specific future outlook or guidance in the provided documents[4][6] - The company plans to focus on its internet data center operations, with a new center in Heshan expected to be operational in the first half of 2021, contributing to future revenue growth[34] - The company is optimistic about potential investments in high-growth sectors such as internet data centers, IoT, and cloud computing, supported by favorable government policies[36] Shareholder Information - As of September 30, 2020, Dr. Li Haiquan holds approximately 21.97% of the company's shares, with a total of 2,232,160,000 shares owned[37] - Winner Mind holds 2,055,887,357 shares, representing 21.59% of the company's issued share capital[46] Compliance and Governance - The audit committee has reviewed the unaudited financial statements for the three and nine months ending September 30, 2020, confirming compliance with applicable accounting standards and disclosure requirements[51] - The company did not declare any dividends for the nine months ended September 30, 2020, consistent with the previous year[20] - The average number of ordinary shares used for calculating basic and diluted loss per share was 9,522,184,345 for both the current and previous periods[22] Asset Management - The impairment loss related to intangible assets in the telecommunications product business in mainland China was approximately HKD 33,358,000 for the nine months ended September 30, 2020[28] - The company has fully written off intangible assets related to its trading business in mainland China, amounting to approximately HKD 33,358,000, due to uncertainty in future cash flows[32] Operational Challenges - The COVID-19 pandemic has delayed the construction of the new internet data center, impacting the company's operational timelines[34] - No purchases, sales, or redemptions of the company's listed securities occurred during the nine months ending September 30, 2020[48]

Financial Performance - Revenue for the six months ended June 30, 2020, was HKD 293,610 thousand, an increase from HKD 262,747 thousand in the same period of 2019, representing an increase of approximately 11.5%[5] - Gross profit for the six months ended June 30, 2020, was HKD 30,863 thousand, compared to HKD 32,494 thousand for the same period in 2019, indicating a decrease of about 5.0%[5] - The net loss for the six months ended June 30, 2020, was HKD 56,902 thousand, compared to a net loss of HKD 45,190 thousand for the same period in 2019, reflecting an increase in loss of approximately 25.9%[7] - The total comprehensive loss for the six months ended June 30, 2020, was HKD 70,187 thousand, compared to HKD 37,273 thousand for the same period in 2019, indicating a significant increase of about 88.5%[7] - The basic and diluted loss per share for the six months ended June 30, 2020, was HKD (0.49), compared to HKD (0.37) for the same period in 2019, indicating a worsening of approximately 32.4%[5] - The company reported a net loss of approximately HKD 56,902,000 for the six months ended June 30, 2020[17] - The group reported a pre-tax loss of HKD 10,775,000 for the six months ended June 30, 2020, compared to a pre-tax loss of HKD 613,000 for the same period in 2019[35] - The total income tax expense for the six months ended June 30, 2020, was HKD (10,775,000), compared to HKD (613,000) for the same period in 2019[35] - The loss attributable to the company's owners was approximately HKD 46,504,000, an increase from HKD 35,280,000 in the previous year, primarily due to an impairment loss of intangible assets related to the telecommunications product business in mainland China amounting to HKD 33,358,000[63] Assets and Liabilities - Non-current assets as of June 30, 2020, totaled HKD 2,365,805 thousand, an increase from HKD 2,226,406 thousand as of December 31, 2019, representing an increase of approximately 6.3%[8] - Current assets as of June 30, 2020, were HKD 252,002 thousand, down from HKD 331,617 thousand as of December 31, 2019, indicating a decrease of about 24.0%[8] - Current liabilities as of June 30, 2020, totaled HKD 1,438,341 thousand, compared to HKD 1,291,505 thousand as of December 31, 2019, reflecting an increase of approximately 11.4%[10] - The company's total equity as of June 30, 2020, was HKD 1,116,959 thousand, a decrease from HKD 1,187,146 thousand as of December 31, 2019, representing a decline of about 5.9%[10] - As of June 30, 2020, the company's current liabilities exceeded its current assets by approximately HKD 1,186,339,000[17] - The company's total assets as of June 30, 2020, were approximately HKD 2,617,807,000, while total liabilities were approximately HKD 1,500,848,000, resulting in a debt-to-asset ratio of about 57.3%[72] - The company's current assets were approximately HKD 252,002,000, a decrease from HKD 331,617,000 as of December 31, 2019, with a current ratio dropping from approximately 0.26 to 0.18[76] Cash Flow and Financing - The net cash flow from operating activities for the six months ended June 30, 2020, was HKD 99,419,000, compared to HKD 46,360,000 for the same period in 2019[15] - The company's total cash and cash equivalents at the end of the reporting period was HKD 26,310,000, an increase from HKD 24,902,000 at the end of the previous year[15] - The company anticipates achieving cash flow forecasts to ensure sufficient working capital for its operations[18] - The company has bank loans amounting to approximately HKD 1,113,939,000, which are due for repayment after one year from the reporting date[19] - The company generated HKD 101,173,000 from financing activities during the same period[15] - The company believes it can obtain additional loan financing if necessary[18] Revenue Breakdown - Revenue for the six months ended June 30, 2020, was HKD 293,610,000, a decrease of 28.8% compared to HKD 412,580,000 for the same period in 2019[27] - The revenue from telecommunications products and services for the six months ended June 30, 2020, was HKD 291,146,000, down from HKD 402,453,000 in the same period of 2019, representing a decline of 27.7%[27] - The internet data center services contributed approximately HKD 171 million in revenue, slightly up from HKD 169 million in the previous year[66] Expenditures and Investments - The company utilized HKD 191,857,000 in cash flow for investing activities during the six months ended June 30, 2020[15] - The group incurred capital expenditures of approximately HKD 174,335,000 on property, plant, and equipment for the six months ended June 30, 2020, a significant decrease from HKD 1,000,059,000 for the same period in 2019[42] Corporate Governance and Compliance - The company has complied with the GEM Listing Rules and has not reported any violations of the trading standards for directors as of June 30, 2020[95] - The company has maintained a high standard of corporate governance, adhering to the principles set out in the GEM Listing Rules[92] - The company has ensured transparency and accountability to shareholders through its governance practices[92] - No competition or conflict of interest from directors or major shareholders during the six months ending June 30, 2020[96] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited financial statements for the six months ending June 30, 2020, and found them compliant with applicable accounting standards[99] Management and Personnel - The company has approximately 314 employees, with compensation and benefits aligned with market levels[79] - Mr. Xu Gang resigned as an executive director on July 10, 2020, while Mr. Wu Di was appointed as an executive director[98] Future Outlook - The company plans to focus on its internet data center business, with a new center in Heshan expected to be operational in the first half of 2021[71] - The company will continue to explore potential investment opportunities in internet data centers, IoT, cloud computing, and related businesses, supported by favorable government policies[73] - The company has decided to suspend its telecommunications product trading business in mainland China due to uncertain future cash flows and has fully written off related intangible assets[68]