Company Overview - Sau San Tong Holdings Limited was listed on GEM of the Stock Exchange of Hong Kong Limited in November 2003, becoming the first listed beauty and slimming company in Hong Kong[9]. - The Group currently operates six beauty and slimming centers in Hong Kong under three brand names: "Sau San Tong," "IPRO," and "Mizu"[10]. - The Group has been recognized as a "Caring Company" for 10 consecutive years, reflecting its commitment to quality service[11]. - The introduction of innovative health and beauty treatments has positioned the Group as a leading provider in Hong Kong and Mainland China[9]. - The Group has established a strong brand presence in the slimming and beauty industry in China, with a significant number of franchise co-operation contracts since December 2010, positioning itself as a leader in the market[71][72]. Business Segments - In 2015, the Group commenced a new business segment of investment in securities to diversify its income stream and improve capital usage efficiency[17]. - The Group started providing money lending services in May 2016, offering both secured and unsecured loans with terms ranging from several months to 3 years[18]. - The distribution business in Mainland China, established in 2005, includes products from P&G, SK-II, and Olay, enhancing the Group's revenue base[12]. - The Group's distribution network has developed well over the years, adding international famous brands to its portfolio[12]. - The Group launched a new anti-aging product called iPRO NMN Deluxe 3in1, which was promoted through various marketing channels[52]. Financial Performance - The Group's revenue decreased by 21.1% from approximately HK$1,561,356,000 in the previous year to approximately HK$1,231,548,000 in 2023[34]. - Gross profit for 2023 was HK$99,124,000, down from HK$137,171,000 in 2022, reflecting a decline of 27.8%[1]. - The Group reported a loss for the year of HK$14,668,000 compared to a profit of HK$13,892,000 in 2022[1]. - Current assets decreased to HK$730,673,000 in 2023 from HK$826,032,000 in 2022, a reduction of 11.6%[1]. - The net current assets stood at HK$605,269,000 in 2023, down from HK$685,999,000 in 2022, indicating a decline of 11.7%[1]. Investment and Financing - The Group aims to fully utilize idle funds by expanding into new business segments in recent years[16]. - The Group is actively seeking acquisition opportunities to diversify its business amidst ongoing market challenges[27]. - The securities investments segment commenced in March 2015 has contributed positively to revenue, although a net loss of approximately HK$6,149,000 was recorded in the Year Under Review compared to a net gain of approximately HK$14,882,000 in the previous year[73][74]. - The money lending business generated revenue of approximately HK$11,164,000 in the Year Under Review, up from HK$8,239,000 in 2022[78][81]. - The Group's investment portfolio includes various industries such as construction, real estate, internet services, and finance, aimed at minimizing risks while maximizing returns[73][74]. Risk Management and Governance - The management emphasized the importance of corporate governance and risk management alongside business expansion strategies[29]. - The Company has complied with the Corporate Governance Code throughout the year ended March 31, 2023, except for the absence of a chairman of the Board[188]. - The Company has two executive directors performing part of the chairman's functions, which deviates from Code provision C.2[188]. - The Group conducts thorough due diligence, and if findings raise concerns, interest rates may be adjusted to between 14% and 30% based on the assessed risk level[92][97][101]. Market Outlook - The economic environment is expected to improve in late 2023, with the Group aiming to capture new business opportunities[30]. - The company anticipates continued growth in demand for quality beauty and slimming products and services due to the "necessitization" of these services, driven by the expanding middle class[164]. - The Group intends to increase promotional efforts on social media to enhance brand awareness among the younger generation[161]. - The Group plans to utilize available funds for new investment opportunities, including securities and properties, to generate additional returns[128]. Operational Efficiency - General and administrative expenses amounted to HK$72,242,000, representing a decrease of approximately 12.3% from approximately HK$82,331,000 last year[39]. - The average outstanding days of trade receivables was maintained at below 90 days, reflecting effective credit risk management[139]. - The average collection period for trade receivables was maintained below 90 days, reflecting prudent treasury policies[142]. - Training programs have been developed for employees in franchise cooperation shops to ensure consistent service quality across locations[127].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈之內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部 或任何部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。 二零二三年全年業績公佈 修身堂控股有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣佈本公司及其 附屬公司截至二零二三年三月三十一日止年度之經審核業績。本公佈列載本公 司二零二三年年報全文，並符合香港聯合交易所有限公司（「聯交所」）GEM證券 上市規則（「GEM上市規則」）中有關全年業績初步公佈附載資料之要求。本公司 之二零二三年年報將於二零二三年六月二十七日在聯交所網站www.hkexnews.hk 及本公司網站www.sst-holding.com可供閱覽。 承董事會命 修身堂控股有限公司 執行董事 梅偉琛 香港，二零二三年六月二十七日 於本公佈發表日期，董事會成員包括執行董事：梅偉琛先生及陳家健先生；非執 行董事：東鄉孝士先生；獨立非執行董事：劉偉樑先生、區兆倫先生及曾芷諾女士。 ...

Financial Performance - For the three months ended December 31, 2022, the total revenue was HKD 340,416,000, a decrease of 19.2% compared to HKD 421,442,000 for the same period in 2021[3] - The revenue from the distribution of cosmetic and skincare products was HKD 319,349,000, down 19.7% from HKD 397,706,000 year-on-year[3] - The operating loss for the nine months ended December 31, 2022, was HKD 18,908,000, compared to an operating profit of HKD 32,325,000 for the same period in 2021[5] - The net loss attributable to the owners of the company for the nine months ended December 31, 2022, was HKD 27,970,000, compared to a profit of HKD 19,101,000 in the previous year[5] - The company reported a total comprehensive loss of HKD 22,829,000 for the nine months ended December 31, 2022, compared to a comprehensive income of HKD 29,484,000 for the same period in 2021[7] - The company recorded a gross profit of HKD 71,396,000 for the nine months ended December 31, 2022, down 40.0% from HKD 118,829,000 in the same period of 2021[3] - The company's total revenue for the nine months ended December 31, 2022, was HKD 917,952,000, a decrease of 26.4% from HKD 1,246,596,000 in the previous year[10] - The group's revenue for the nine months ended December 31, 2022, was approximately HKD 917,952,000, a decrease of about 26% from HKD 1,246,596,000 in the same period last year[20] - The gross profit for the same period was approximately HKD 71,396,000, down 40% from HKD 118,829,000 year-on-year[21] - The group recorded a loss attributable to the owners of the company of approximately HKD 27,970,000, compared to a profit of HKD 19,101,000 in the previous year[21] - The sales of beauty and body services generated revenue of approximately HKD 31,493,000, a decrease of 40% from HKD 52,472,000 in the same period last year[21] Income and Expenses - The interest income from lending services increased to HKD 8,828,000 for the nine months ended December 31, 2022, compared to HKD 5,618,000 in the previous year, reflecting a growth of 57.5%[10] - The total other income for the nine months ended December 31, 2022, was HKD 5,387,000, significantly higher than HKD 1,879,000 in the previous year[12] - The basic loss per share for the nine months ended December 31, 2022, was HKD (36.32), compared to earnings of HKD 25.45 in the same period of 2021[5] - The group experienced a net loss of approximately HKD 796,000 from investments in the Hong Kong stock market and unlisted equity funds, compared to a net gain of approximately HKD 16,856,000 in the previous year[20] - The company recorded a net loss of approximately HKD 796,000 from financial assets measured at fair value, compared to a net gain of HKD 16,856,000 in the previous year[30] Market Conditions - The economic slowdown in Hong Kong and China, along with the impact of the COVID-19 pandemic, has negatively affected consumer confidence and the group's overall performance[23] - The distribution revenue in China decreased to approximately HKD 876,862,000, down from HKD 1,170,328,000 in the previous year, reflecting the ongoing impact of COVID-19 on the economy[26] - The company anticipates a rebound in sales performance in the foreseeable future as COVID-19 restrictions are eased[26] Strategic Initiatives - The company aims to introduce advanced and high-quality services and products to enhance customer loyalty and brand image in the beauty and wellness sector[23] - The company plans to continue launching safe and effective products to meet diverse customer needs, enhancing the attractiveness of the "修身堂" brand[27] - The company is focusing on prudent management of property acquisitions and renovations due to current market uncertainties[35] - The company aims to leverage its brand strength and professional services to capture a larger share of the high-end market[24] - The company is committed to investing in advanced technology and safe ingredients for its health and beauty product offerings[27] Shareholder Information - As of December 31, 2022, the company has granted stock options totaling 5,253,458 shares under its stock option plan, with a weighted average exercise price of HKD 0.87 per share[38] - Major shareholder Qiu Zhongzong holds 10,979,000 shares, representing 13.93% of the company's issued share capital as of December 31, 2022[40] - The stock options granted to directors and key executives include a total of 2,251,482 shares for directors and 750,494 shares for the CEO, all with an exercise price of HKD 0.87[38] - The average remaining contractual life of the stock options is approximately 3.87 years[38] - The company has established a formal and transparent procedure to protect shareholder interests, adhering to the GEM Listing Rules[44] - No directors or major shareholders have any interests in businesses that compete or may compete with the company's operations[43] Governance and Compliance - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited financial performance for the three and nine months ending December 31, 2022[46] - The company has confirmed that all directors have complied with the trading standards set out in the GEM Listing Rules[48] - The board did not recommend an interim dividend for the nine months ended December 31, 2022, compared to no dividend in the previous year[19] - The company has not purchased, redeemed, or sold any of its listed securities during the nine months ending December 31, 2022[49] - The company has not disclosed any new strategies related to market expansion or mergers and acquisitions in the provided documents[39]

Financial Performance - For the three months ended September 30, 2022, the total revenue was HKD 394,663,000, a decrease of 17.1% compared to HKD 475,915,000 for the same period in 2021[4] - The revenue from the distribution of cosmetics and skincare products was HKD 393,384,000, down 13.8% from HKD 456,512,000 year-on-year[4] - The group reported a net loss of HKD 20,737,000 for the six months ended September 30, 2022, compared to a profit of HKD 18,495,000 for the same period in 2021[6] - The basic loss per share for the six months ended September 30, 2022, was HKD 36.4, compared to earnings of HKD 18.98 per share in the previous year[6] - Total revenue for the six months ended September 30, 2022, was HKD 577,536,000, down from HKD 825,154,000 in the previous year, indicating a decrease of approximately 30%[20][22] - The company reported a significant increase in other comprehensive income of HKD 3,899,000 for the period, compared to a gain of HKD 100,000 in the previous year[20] - The group recorded a loss attributable to equity holders of approximately HKD 27,697,000, compared to a profit of HKD 14,248,000 in the same period last year[45] Assets and Liabilities - Total assets decreased to HKD 749,817,000 as of September 30, 2022, from HKD 826,032,000 as of March 31, 2022[10] - The company’s total liabilities decreased to HKD 114,691,000 from HKD 140,033,000 over the same period[10] - The company’s total equity as of September 30, 2022, was HKD 786,184,000, a decrease from HKD 808,284,000 as of September 30, 2021[13] - The group's net assets were approximately HKD 786,184,000 as of September 30, 2022, compared to approximately HKD 820,010,000 as of March 31, 2022[60] Cash Flow and Financial Position - The cash and cash equivalents decreased to HKD 361,601,000 from HKD 432,054,000 over the same period[10] - Cash and cash equivalents decreased by HKD 62,748,000 during the period, resulting in a balance of HKD 361,601,000 as of September 30, 2022, compared to HKD 473,355,000 at the same time last year[15] - The company’s cash flow from operating activities was negative at HKD 28,901,000 for the six months ended September 30, 2022, compared to positive cash flow of HKD 25,039,000 in the previous year[15] - The company’s investment activities resulted in a cash outflow of HKD 17,260,000, compared to HKD 4,034,000 in the previous year, indicating increased investment expenditures[15] Operating Performance - The company incurred a gross profit of HKD 40,816,000 for the six months ended September 30, 2022, down 50.1% from HKD 81,988,000 in the previous year[4] - The company incurred a total operating loss of HKD 23,511,000 for the six months ended September 30, 2022, compared to an operating profit of HKD 22,642,000 in the previous year[20][22] - The distribution sales of cosmetics and skincare products by Dongfang during the review period decreased to approximately HKD 557,513,000 from HKD 772,622,000 in the previous year[44] - Revenue from beauty, body, and spa centers in Hong Kong and China decreased by approximately 42% to about HKD 18,020,000 from HKD 30,812,000 in the previous year[47] Taxation - Hong Kong profits tax for the first HKD 2,000,000 is set at 8.25%, while profits exceeding this amount are taxed at 16.5%[26] - For the six months ending September 30, 2022, Hong Kong profits tax amounted to HKD 537,000, compared to HKD 27,000 in the same period of 2021, representing a significant increase[27] - The company reported a total tax expense of HKD 2,017,000 for the six months ending September 30, 2022, down from HKD 3,873,000 in the same period of 2021[27] Shareholder Information - As of September 30, 2022, major shareholder Qiu Zhongzong holds 10,979,000 shares, representing 13.93% of the company's issued share capital[68] - The company has a total of 5,253,458 share options granted under its share option scheme, with a weighted average exercise price of HKD 0.87[67] - The weighted average remaining contractual life of the share options is 3.87 years[67] Corporate Governance - The company has adhered to the corporate governance code principles as per GEM Listing Rules, with regular updates provided to the board on business conditions[72] - The board has emphasized the importance of prudent management in light of market volatility and uncertainties affecting future business operations[64] - The company has established an audit committee in accordance with GEM listing rules, consisting of three independent non-executive directors[75] - The company has adopted the trading standards outlined in GEM listing rules as the code of conduct for directors' securities transactions[76] Strategic Initiatives - The group aims to maintain its leadership position in the industry by continuously introducing advanced and high-quality services and products[47] - The group aims to continue launching safe and effective health and beauty products to enhance the attractiveness of the "修身堂" brand and maintain market leadership[52] - The group has established a strong presence in the Chinese beauty and slimming industry through franchise agreements since 2010, leveraging its brand recognition[53] - The company has set a cautious approach towards property acquisitions and lending business development due to uncertainties from the COVID-19 pandemic and global economic conditions[64]

Financial Performance - Total revenue for the three months ended June 30, 2022, was HKD 182,873,000, a decrease of 47.5% compared to HKD 349,239,000 in the same period of 2021[4] - Revenue from the distribution of cosmetics and skincare products was HKD 164,129,000, down 48.0% from HKD 316,110,000 year-on-year[10] - The company reported a net loss of HKD 5,016,000 for the quarter, compared to a profit of HKD 17,195,000 in the same quarter of the previous year[6] - Basic and diluted loss per share was HKD 6.02, compared to earnings of HKD 21.05 and HKD 19.67 respectively in the prior year[6] - Gross profit for the quarter was HKD 24,349,000, representing a gross margin of 13.3%, down from HKD 44,523,000 and a margin of 12.8% in the previous year[4] - The company incurred operating losses of HKD 4,941,000, a significant decline from an operating profit of HKD 18,969,000 in the same quarter last year[4] - The total comprehensive loss for the period was HKD 5,270,000, compared to a comprehensive income of HKD 18,224,000 in the same quarter of the previous year[8] - The net income from investment securities dropped to approximately HKD 2.91 million, compared to HKD 14.72 million in the previous year, reflecting a significant decline[19] - The securities investment business generated a net revenue of HKD 2,913,000, a decrease of approximately 80% from the previous year's net revenue of HKD 14,718,000[29] Revenue Sources - Revenue from beauty and body services was approximately HKD 12.47 million, down about 20% from HKD 15.63 million year-on-year[22] - The distribution sales from Shanghai Dongfang Daily Chemical Co., Ltd. decreased to approximately HKD 164.13 million, down from HKD 316.11 million year-on-year[19] - The distribution sales of cosmetics and skincare products in China recorded revenue of approximately HKD 164,129,000, a decrease of about 48% compared to approximately HKD 316,110,000, primarily due to strict lockdown measures from the COVID-19 pandemic[25] Tax and Financial Management - The company did not incur any Hong Kong profits tax for the quarter, while it recorded a tax expense of HKD 1,649,000 in the previous year[13] - The company raised approximately HKD 352,000,000 from a rights issue, with HKD 208.3 million already utilized and HKD 143.7 million remaining unutilized[32] - The company plans to control the pace and scale of property acquisitions due to market uncertainties caused by the COVID-19 pandemic and global economic conditions[32] Strategic Plans and Market Position - The company aims to strengthen its market position by continuously introducing advanced beauty and body services and products[22] - The company plans to leverage its brand strength and professional services to capture a larger share of the high-end market and achieve sustainable growth[23] - The health and beauty product distribution segment is expected to continue contributing steadily to the company's performance in the future, despite not being a major revenue driver currently[26] - The company aims to enhance its product offerings by investing in the development and introduction of advanced technology and safe ingredients in health and beauty products[26] - The company has established a strong brand presence in the Chinese beauty and slimming industry through its successful franchise operations since 2004[28] - The company is focused on expanding its lending business and developing its securities investment business to diversify revenue sources and reduce overall risk[29][30] Shareholder Information - The company has a total of 750,494 shares held by each of its directors and key executives, representing approximately 1% of the company's issued share capital[35] - Major shareholder Qiu Zhongzong holds 10,979,000 shares, representing 13.93% of the company's issued share capital as of June 30, 2022[40] - The weighted average exercise price for the stock options granted is HKD 0.87, with a total of 5,253,458 options granted[38] - The average remaining contractual life of the stock options is 3.87 years[38] Governance and Compliance - The company has established a formal and transparent procedure to protect shareholders' rights, adhering to the GEM Listing Rules[44] - The audit committee consists of three independent non-executive directors who reviewed the unaudited financial performance for the three months ending June 30, 2022[45] - The company has adopted the trading standards as per GEM Listing Rules for directors' securities transactions[46] - There are no competitive interests held by directors or major shareholders that could conflict with the company's business[42] - The company has not authorized any rights for directors or their family members to benefit from acquiring the company's shares or bonds during the review period[41] - The company has provided quarterly updates and regular information to the board, rather than monthly updates, to ensure effective governance[44] Other Financial Activities - Interest income from lending was HKD 3,040,000, an increase of 27.2% from HKD 2,394,000 year-on-year[10] - Other comprehensive loss for the period included a foreign exchange loss of HKD 254,000, compared to a gain of HKD 1,029,000 in the previous year[8] - The company recorded a loss attributable to shareholders of approximately HKD 4.52 million, compared to a loss of HKD 15.80 million in the same period last year[20] - The company did not recommend an interim dividend for the three months ended June 30, 2022, compared to no dividend in the previous year[18] - No purchases, redemptions, or sales of the company's listed securities occurred during the three months ending June 30, 2022[48]

Company Overview - Sau San Tong Holdings Limited was established in July 2000 and listed on GEM of the Stock Exchange of Hong Kong in November 2003, becoming the first listed beauty and slimming company in Hong Kong[14][9]. - The Group currently operates five beauty and slimming centers in Hong Kong under the brand names "Sau San Tong" and "IPRO"[15][14]. - In 2005, the Group acquired a distribution business in Mainland China, distributing P&G's personal care products and other renowned brands like SK-II and Olay[17][19]. - The franchise cooperation business in the PRC has expanded significantly since December 2010, with multiple franchise contracts established, positioning the brand as a leader in the beauty and slimming industry in China[78]. Business Segments and Services - The Group commenced a new business segment of investment in securities in March 2015 to diversify its income stream and improve capital usage efficiency[22][21]. - In May 2016, the Group started providing money lending services, targeting small to medium-sized corporations and individuals with both secured and unsecured loans[23][21]. - The beauty and slimming services provided by the Group include personalized health management and anti-aging treatment programs[15][14]. - The Group aims to enhance its revenue base through diversification into new business segments[21][22]. Financial Performance - The Group's revenue decreased by 13.0% from approximately HK$1,793,826,000 in the previous year to approximately HK$1,561,356,000 in the Year Under Review[43]. - Gross profit for the Year Under Review was approximately HK$137,171,000, a decrease of approximately HK$7,315,000 compared to HK$144,486,000 in the previous year[43]. - Revenue from the distribution sale of cosmetic and skin care products decreased from approximately HK$1,715,144,000 to approximately HK$1,476,008,000[44]. - Revenue from the provision of beauty and slimming services increased from approximately HK$53,771,000 to approximately HK$60,695,000[44]. - The Group's profit from operations was HK$19,489,000, a recovery from a loss of HK$5,503,000 in the previous year[43]. - The net profit for the year was HK$13,892,000, compared to a loss of HK$16,585,000 in the previous year[43]. - Current assets amounted to HK$826,032,000, a slight decrease from HK$845,408,000 in the previous year[43]. - The Group's net assets increased to HK$820,010,000 from HK$808,284,000 in the previous year[43]. Cost Management and Efficiency - General and administrative expenses amounted to HK$82,331,000, representing a decrease of approximately 22.5% from approximately HK$106,279,000 for the same period last year[48]. - Selling and distribution costs decreased by 13.6% from approximately HK$53,908,000 last year to approximately HK$46,578,000 in the Year Under Review[48]. - The Group reported a profit of approximately HK$13,892,000 for the year, compared to a loss of approximately HK$16,585,000 in the previous year, reflecting effective cost control measures that reduced total sales and distribution costs and general administrative expenses from approximately HK$160,187,000 to approximately HK$128,909,000, a decrease of about 19.5%[67]. Market Challenges and Outlook - Looking ahead, the Group anticipates challenges in the Hong Kong and PRC economy and retail business due to the ongoing impact of COVID-19[38]. - The Group's beauty and slimming centres experienced a shorter suspension period, driving revenue up by 12.0% compared to last year[65]. - The demand for quality beauty and slimming products and services is expected to continue its upward momentum due to the growth of the middle class[138][142]. Investment and Growth Strategy - The Group aims to enhance its portfolio of health and beauty products by investing in advanced technologies and safe ingredients, targeting a wider array of sophisticated product choices for customers[76]. - The Group plans to continue launching safe and effective products that cater to diverse customer needs, contributing to stable results in the health and beauty product distribution segment[77]. - The Group plans to utilize its abundant funds to identify new investment opportunities, including securities, money lending, and properties, to generate additional returns and broaden its revenue base[106]. - The Group will focus on selecting sound investments with high return potentials to enhance capital efficiency and overall performance[106]. Corporate Governance - The management emphasized the importance of corporate governance and risk management for sustainable development[37]. - The company has adopted a code of conduct for Directors' securities transactions that meets the standards set out in the GEM Listing Rules, with all Directors confirming compliance throughout the year ended March 31, 2022[174]. - The Board has reviewed corporate governance practices and is satisfied with compliance with the Corporate Governance Code, except for the absence of a chairman of the Board, which is a deviation from code provision A.2[162]. - The Board of Directors consists of six members, including two Executive Directors, one Non-executive Director, and three Independent Non-executive Directors as of March 31, 2022[175]. - The Company has three Independent Non-executive Directors, with at least one possessing appropriate professional qualifications or financial management expertise[187]. Social Responsibility - The Group has been recognized as a "Caring Company" for 10 consecutive years, reflecting its commitment to outstanding products and services[16][14]. - The Group actively participates in charity initiatives and has established the "Sau San Tong Volunteer Team" to support various charitable causes[111].

Financial Performance - Revenue for the three months ended December 31, 2021, was HKD 421,442,000, a decrease of 23.4% compared to HKD 550,731,000 for the same period in 2020[3] - Revenue for the nine months ended December 31, 2021, was HKD 1,246,596,000, down 5.4% from HKD 1,317,376,000 in the previous year[3] - Gross profit for the three months ended December 31, 2021, was HKD 36,841,000, representing a gross margin of 8.7%[3] - Operating profit for the three months ended December 31, 2021, was HKD 9,683,000, a decline of 34.5% from HKD 14,769,000 in the same quarter of 2020[5] - Net profit for the three months ended December 31, 2021, was HKD 7,405,000, compared to HKD 10,413,000 for the same period in 2020, reflecting a decrease of 29.0%[5] - Basic earnings per share for the three months ended December 31, 2021, was HKD 6.47, an increase from HKD 5.66 in the previous year[5] - The company reported a total comprehensive income of HKD 9,968,000 for the three months ended December 31, 2021, compared to HKD 20,364,000 in the same period of 2020[7] Revenue Sources - The company’s revenue from beauty and body services increased to HKD 52,472,000 for the nine months ended December 31, 2021, up 17.7% from HKD 44,539,000 in the previous year[10] - The company’s securities investment performance improved significantly, with revenue of HKD 16,856,000 for the nine months ended December 31, 2021, compared to HKD 6,924,000 in the same period of 2020, representing a growth of 143.5%[10] - The distribution revenue for the group decreased to approximately HKD 1,170,328,000, down from HKD 1,254,455,000 in the previous year, reflecting a decline of about 6.7%[27] Cost and Profitability - The gross profit for the period was approximately HKD 118,829,000, an increase of 8% from HKD 110,287,000 in the previous year[22] - The company recorded a profit attributable to owners of approximately HKD 19,101,000, compared to a loss of HKD 5,359,000 in the same period last year[22] - The sales cost decreased from approximately HKD 1,207,089,000 to HKD 1,127,767,000, reflecting effective cost control measures[22] - Interest income from lending decreased by 42% to approximately HKD 5,618,000 from HKD 9,724,000 in the previous year[21] Dividends and Shareholder Information - The company did not recommend an interim dividend for the nine months ended December 31, 2021, compared to no dividend in the previous year[20] - As of December 31, 2021, the company’s directors and key executives hold a total of 2,251,482 shares under the share option plan, representing approximately 3% of the issued share capital[39] - Major shareholder Qiu Zhongzong holds 10,111,000 shares, accounting for 13.47% of the company's issued share capital as of December 31, 2021[41] - The total number of share options granted to employees is 1,500,988, which is part of the overall 5,253,458 options granted under the share option plan[39] Corporate Governance - The company has established a formal and transparent procedure to protect shareholder interests, adhering to the GEM Listing Rules[45] - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited financial performance for the three and nine months ended December 31, 2021[47] - The company has adopted the trading standards outlined in GEM Listing Rules for directors' securities transactions, ensuring compliance[49] - No directors or their immediate family members have been authorized to acquire shares or bonds of the company during the review period[42] - The company has not disclosed any competitive interests held by its directors or major shareholders in businesses that may compete with the group[44] Future Plans and Market Position - The company plans to introduce advanced and high-quality services and products to enhance customer loyalty and brand image[24] - The overall economic improvement in Hong Kong is expected to positively impact the company's operations in the beauty and wellness sector[24] - The company aims to maintain its leadership position in the industry by continuously innovating and introducing new beauty and anti-aging treatments[24] - The group aims to continue developing and introducing advanced health and beauty products to enhance the attractiveness of the "修身堂" brand and maintain market leadership[28] - The group has established a strong presence in the Chinese market since 2004, leveraging its brand recognition to capture a significant market share in the beauty and body care industry[30] - The group plans to control the pace and scale of property acquisitions due to uncertainties arising from the COVID-19 pandemic and global economic conditions[34] - The net proceeds from the rights issue amounted to approximately HKD 352,000,000, with various allocations including HKD 116,000,000 for property acquisitions and HKD 78,000,000 for developing the lending business[34] - The group is committed to expanding its distribution network across various channels, including e-commerce and modern retail outlets, to enhance customer reach[27] - The group will continue to focus on high-quality beauty and body care services to meet the increasing demand from customers for premium offerings[26] - The group has recorded a significant number of franchise stores under the "張玉珊修身堂" brand, establishing itself as a leader in the Chinese beauty and body care industry[30] Share Options - The exercise price for the share options granted to directors and key executives is set at HKD 0.87 per share, with an exercise period from February 10, 2021, to February 9, 2026[39] - The weighted average remaining contractual life of the share options is 4.87 years as of April 1, 2021[39] Securities Transactions - The company did not purchase, redeem, or sell any of its listed securities during the nine months ended December 31, 2021[50] - The board of directors includes executive directors Mr. Mei Wai Chan and Mr. Chan Ka Kin, and independent non-executive directors[50]

香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM之定位，乃為中小型公司提供一個上市之市場，此等公司相比起其他在聯交所主板上市之 公司帶有較高投資風險。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香港聯合交易所有限公司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（修身堂控股有限公司（「本公司」）董事（「董事」）願共同及個別對此負全責）乃遵照聯交所 GEM證券上市規則（「GEM上市規則」）之規定而提供有關本公司之資料。本公司董事經作出一切 合理查詢後，確認就彼等所深知及所確信：(1)本報告所載資料在各重大方面均屬準確及完整， 且無誤導或欺詐成份；及(2)並無遺漏任何其他事項，致使本報告或其所載任何陳述產生誤導。 業績 本公司董事會（「董事會」）宣佈本公司及 ...

本公司董事會公佈本公司及其附屬公司（「本集團」）截至二零二一年六月三十日止三個月之未經 審核綜合財務業績，連同二零二零年同期之比較數字如下： 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM之定位，乃為中小型公司提供一個上市之市場，此等公司相比起其他在聯交所主板上市之 公司帶有較高投資風險。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香港聯合交易所有限公司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（修身堂控股有限公司（「本公司」）董事（「董事」）願共同及個別對此負全責）乃遵照聯交所 GEM證券上市規則（「GEM上市規則」）之規定而提供有關本公司之資料。本公司董事經作出一切 合理查詢後，確認就彼等所深知及所確信：(1)本報告所載資料在各重大方面均屬準確 ...

2021 Annual report Cover_14_mm_cs5.pdf 1 18/6/2021 18:14:17 CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE") 香港聯合交易所有限公司（「聯交所」）GEM之特色 GEM has been positioned as a market designed to accommodate small and mid-sized companies to which a higher investment risk may be attached than other companies listed on the Stock Exchange. Prospective investors should be aware of the potential risks of investing in such companies and should make the decision to invest only after due a ...