Financial Performance - For the nine months ended July 31, 2019, revenue was HKD 75,290,000, a decrease of approximately 11% compared to HKD 84,260,000 for the same period in 2018[4] - The loss attributable to owners of the company for the nine months ended July 31, 2019, was HKD 269,000, compared to a profit of HKD 2,917,000 for the same period in 2018[4] - Basic loss per share for the nine months ended July 31, 2019, was approximately HKD 0.04, while earnings per share for the same period in 2018 was HKD 0.45[4] - Gross profit for the nine months ended July 31, 2019, was HKD 21,816,000, down from HKD 24,542,000 for the same period in 2018[6] - Operating profit for the nine months ended July 31, 2019, was HKD 2,689,000, compared to HKD 5,859,000 for the same period in 2018[6] - Total comprehensive income for the nine months ended July 31, 2019, was HKD 945,000, down from HKD 1,726,000 for the same period in 2018[8] - The company's revenue for the three months ended July 31, 2019, was HKD 26,424,000, a decrease of 9% compared to HKD 29,127,000 for the same period in 2018[28] - The revenue for the nine months ended July 31, 2019, was HKD 75,290,000, down 11% from HKD 84,260,000 for the same period in 2018[28] - The gross margin decreased slightly from 29.13% in the previous year to 28.98% due to unfavorable currency fluctuations, particularly the appreciation of the Japanese yen against the Chinese yuan[37] Segment Performance - The water supply segment generated revenue of HKD 7,424,000 for the three months ended July 31, 2019, compared to HKD 7,149,000 in 2018, reflecting a growth of 4%[28] - The industrial environmental products segment reported revenue of HKD 18,728,000 for the three months ended July 31, 2019, a decline of 14% from HKD 21,751,000 in 2018[28] Expenses and Costs - The company recorded current tax expenses of HKD 561,000 for the three months ended July 31, 2019, compared to HKD 517,000 in 2018, representing an increase of 8%[29] - Administrative expenses increased by 3% to HKD 17,209,000, driven by higher rental and employee-related costs[38] - Sales expenses rose by 11% to HKD 3,624,000, attributed to increased travel and exhibition costs[38] Financial Standards and Reporting - The company adopted Hong Kong Financial Reporting Standard 15, which establishes a single revenue recognition framework, effective from November 1, 2018[12] - The company reported no significant impact on revenue recognition due to the adoption of Hong Kong Financial Reporting Standard 15[12] - The company has applied Hong Kong Financial Reporting Standard 9, which introduces new regulations regarding the classification and measurement of financial assets and liabilities[15] - The company measures expected credit losses based on the simplified approach under Hong Kong Financial Reporting Standard 9, calculating expected credit losses based on the entire expected lifetime of financial assets[19] - The company has not recognized any contract assets or liabilities during the transition period and at the reporting date[14] - The financial assets are classified based on the business model for managing financial assets and their contractual cash flow characteristics[16] - The company has chosen to present changes in the fair value of equity investments not held for trading in other comprehensive income[18] - The company has maintained consistency in accounting policies with the previous audited financial statements, except for the newly adopted standards[11] - The company has not reported any significant adjustments to retained earnings upon the initial application of the new standards[12] - The company’s financial reporting adheres to the applicable disclosure requirements under the Hong Kong Companies Ordinance and GEM Listing Rules[11] Shareholder Information - Major shareholders include Virtue Trustees and Wide Sky Management, each holding 53.06% of the company's issued shares[42] - The company did not purchase or redeem any of its listed securities during the nine months ended July 31, 2019[45] - The company has complied with the corporate governance code as per GEM Listing Rules, except for the absence of independent non-executive directors at the annual general meeting held on April 11, 2019[47] Future Outlook and Market Conditions - The company plans to identify new products or services that align with China's energy-saving and emission-reduction policies amid the ongoing trade tensions[34] - The PMI for China's manufacturing sector was reported at 49.5 in August 2019, indicating a contraction in purchasing activity[34] - The Tianjin water plant has exclusive rights to supply treated water in certain areas, which is expected to benefit from the development of new intercity railways[35] Audit and Compliance - The audit committee reviewed the unaudited financial results for the three and nine months ended July 31, 2019, and confirmed compliance with applicable accounting standards[53]

Financial Performance - For the six months ended April 30, 2019, revenue was HKD 48,866,000, a decrease of approximately 11% compared to HKD 55,133,000 for the same period in 2018[4] - Profit attributable to owners for the six months ended April 30, 2019, was HKD 811,000, down from HKD 1,385,000 in the same period of 2018[4] - Basic earnings per share for the six months ended April 30, 2019, was approximately HKD 0.12, compared to HKD 0.21 for the same period in 2018[4] - Gross profit for the six months ended April 30, 2019, was HKD 15,807,000, slightly up from HKD 15,737,000 in the same period of 2018[6] - Total comprehensive income for the six months ended April 30, 2019, was HKD 4,317,000, compared to HKD 2,805,000 for the same period in 2018[7] - The group reported a profit of HKD 811,000 for the period, which is a decrease from HKD 1,385,000 in the previous period[13] - The company's revenue for the six months ended April 30, 2019, decreased by 11% to HKD 48,866,000 compared to HKD 55,133,000 for the same period last year, primarily due to reduced sales in the industrial environmental protection products business amid the US-China trade war[63] Assets and Liabilities - The company's total assets less current liabilities as of April 30, 2019, amounted to HKD 136,522,000, an increase from HKD 132,457,000 as of October 31, 2018[9] - The company's cash and cash equivalents at the end of the period were HKD 33,428,000, compared to HKD 28,448,000 at the end of the same period in 2018[11] - The company's inventory decreased to HKD 16,199,000 as of April 30, 2019, from HKD 20,471,000 as of October 31, 2018[8] - The company's net asset value as of April 30, 2019, was HKD 109,926,000, up from HKD 105,861,000 as of October 31, 2018[9] - The company's total liabilities decreased to HKD 68,464,000 as of April 30, 2019, from HKD 72,164,000 in 2018, representing a reduction of 5.8%[37] - The accounts payable as of April 30, 2019, increased to HKD 13,146,000 from HKD 10,407,000 as of October 31, 2018, reflecting higher credit extended by suppliers[58] Cash Flow and Operating Activities - Cash generated from operating activities for the six months ended April 30, 2019, was HKD 3,712,000, a significant decrease from HKD 14,949,000 in the same period of 2018[11] - The company reported cash and cash equivalents of HKD 33,428,000 as of April 30, 2019, slightly down from HKD 33,895,000 as of October 31, 2018[56] Equity and Retained Earnings - As of April 30, 2019, the total equity attributable to owners of the company was HKD 99,991,000, an increase from HKD 98,593,000 as of April 30, 2018[13] - The retained earnings increased to HKD 52,524,000 as of April 30, 2019, compared to HKD 48,503,000 as of April 30, 2018, reflecting a growth of approximately 4.2%[13] - The total equity as of April 30, 2019, was HKD 109,926,000, up from HKD 107,820,000 as of April 30, 2018[13] Segment Performance - The industrial environmental products segment generated revenue of HKD 37,492,000 for the six months ended April 30, 2019, down from HKD 43,810,000 in the previous year, reflecting a decline of 14.4%[32] - The water supply plant revenue increased to HKD 11,257,000 for the six months ended April 30, 2019, compared to HKD 10,627,000 in 2018, representing a growth of 5.9%[32] - Reportable segment profit for the six months ended April 30, 2019, was HKD 13,655,000, slightly down from HKD 13,825,000 in 2018, reflecting a decrease of 1.2%[37] Expenses - Administrative expenses increased by 6% to HKD 11,777,000, while selling expenses rose by 13% to HKD 2,152,000 due to increased travel and exhibition costs[67] - Employee costs, including directors' remuneration, increased to HKD 7,300,000 for the six months ended April 30, 2019, compared to HKD 6,816,000 in 2018, reflecting a rise of 7.1%[39] - The company reported a tax expense of HKD 1,420,000 for the six months ended April 30, 2019, down from HKD 1,543,000 in 2018, a decrease of 8.0%[40] - The company’s depreciation expense for the six months ended April 30, 2019, was HKD 1,837,000, down from HKD 2,331,000 in 2018, indicating a decrease of 21.2%[39] Compliance and Governance - The company has complied with the corporate governance code as per GEM listing rules, except for the absence of an independent non-executive director at the annual general meeting due to being outside Hong Kong[86] - The audit committee reviewed the unaudited financial results for the three and six months ended April 30, 2019, and confirmed compliance with applicable accounting standards[91] Accounting Standards - The company adopted HKFRS 15 on November 1, 2018, which establishes a single framework for revenue recognition[16] - The application of HKFRS 9 did not have a significant impact on the company's accounting policies regarding financial liabilities and derivatives[20] - The financial assets classification under HKFRS 9 includes those measured at amortized cost and those measured at fair value through other comprehensive income[22] - The group has chosen to apply transitional provisions of HKFRS 9, which did not require restating prior period financial statements[28] Strategic Initiatives - The company plans to explore new products or services that align with China's energy-saving and emission-reduction policies, indicating a strategic shift in response to market conditions[63] - The Tianjin water plant has exclusive rights to supply treated water to parts of the Tianjin Binhai New Area, which is expected to benefit from the ongoing construction of the new intercity railway[64]

Financial Performance - For the three months ended January 31, 2019, revenue was HKD 23,413,000, a decrease of 26% compared to HKD 31,723,000 for the same period in 2018[4] - Profit attributable to owners of the company for the same period was HKD 255,000, down from HKD 894,000 in the previous year[4] - Basic earnings per share for the quarter were approximately HKD 0.04, compared to HKD 0.14 for the same period last year[5] - Gross profit for the quarter was HKD 8,111,000, slightly down from HKD 8,466,000 in the previous year[6] - Operating profit for the quarter was HKD 1,315,000, compared to HKD 1,693,000 in the same period last year[6] - Total comprehensive income for the period was HKD 2,394,000, an increase from HKD 2,007,000 in the previous year[7] - The gross profit for the same period was HKD 8,111,000, down 4% from HKD 8,466,000 in the previous year, resulting in a gross margin of 35%, up from 27% year-on-year[30] - The tax provision for Hong Kong was HKD 27,000 for the three months ended January 31, 2019, compared to HKD 87,000 in 2018[25] Expenses - The company’s financing costs were HKD 129,000, slightly up from HKD 126,000 in the previous year[6] - The company’s administrative expenses increased to HKD 6,339,000 from HKD 5,792,000 in the previous year[6] - For the three months ended January 31, 2019, the group's administrative expenses were HKD 6,339,000, an increase of 9% compared to HKD 5,792,000 for the same period last year[31] - The group's selling expenses for the three months ended January 31, 2019, were HKD 1,258,000, reflecting a 20% increase from HKD 1,046,000 in the same period last year, primarily due to increased travel expenses[31] Shareholder Information - As of January 31, 2019, Virtue Trustees (Switzerland) AG and Wide Sky Management Limited each held 344,621,200 shares, representing 53.06% of the issued share capital[35] - Dr. Pak Kwok Ping held 44,224,000 shares, accounting for 6.81% of the issued share capital as of January 31, 2019[35] - Mr. Lee Wai Man owned 35,620,000 shares, which is 5.48% of the issued share capital as of January 31, 2019[35] Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15 during the three months ended January 31, 2019[39] - There were no reported conflicts of interest or competition with the group's business from directors or major shareholders during the three months ended January 31, 2019[40] - The audit committee reviewed the unaudited results for the three months ended January 31, 2019, and confirmed compliance with applicable accounting standards[44] Accounting Standards - The company adopted Hong Kong Financial Reporting Standard No. 15 on November 1, 2018, establishing a single revenue recognition framework[11] - The implementation of HKFRS 15 did not have a significant impact on the company's revenue recognition[11] - The company applied HKFRS 9, which introduced classification and measurement of financial assets and liabilities, as well as expected credit loss provisions[14] - The expected credit loss model requires the company to recognize loss allowances for financial assets, including trade receivables and bank balances[17] - The company has chosen to use the simplified approach for measuring expected credit losses on trade receivables, calculating losses based on the lifetime expected credit losses[17] - The assessment of significant increases in credit risk is based on a comparison of default risk at the reporting date with that at initial recognition[18] - The company considers various qualitative and quantitative data, including historical experience and forward-looking information, in assessing credit risk[19] - The company has not recognized any contract liabilities during the transition period[13] - The financial assets are classified based on the business model for managing the assets and the contractual cash flow characteristics[15] - The company confirmed that there were no contract assets recognized during the transition period and at the reporting date[13] Market Conditions - Sales of industrial environmental products decreased significantly due to the adverse market conditions stemming from the US-China trade war[30] - The Tianjin water plant has exclusive rights to supply processed tap water to Baodi District and surrounding areas, which is expected to benefit from the development of new intercity railways[28] - The company will continue to seek new products or services that align with China's energy-saving and emission-reduction policies[28] Other Information - The company did not recommend any interim dividends for the three months ended January 31, 2019, and 2018[26] - The weighted average number of ordinary shares in issue was 649,540,000 for both periods under review[27] - The company did not purchase or sell any of its listed securities during the three months ended January 31, 2019[37]

香港聯合交易所有限公司（「聯交所」）GEM之特色 本年度報告以環保紙印製 公司資料 董事會 執行董事 吳正煒 （主席） 梁偉倫 非執行董事 GEM之定位，乃為相比起其他在聯交所主板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在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。 本報告的資料乃遵照聯交所GEM證券上巿規則（「GEM上市規則」）之規定而刊載，旨在提供有關環康集團有限公 司（「本公司」）的資料；本公司董事（「董事」）願就本報告的資料共同及個別地承擔全部責任。董事在作出一切合 理查詢後，確認就彼等所深知及深信，本報告所載資料在各重要方面均屬準確完備，沒有誤導或欺詐成分，且 並無遺漏任何其他事項，足以令致本報 ...