本文源自：金融界 作者：行情君 行业估值方面，媒体及娱乐行业市盈率（TTM）平均值为-5.28倍，行业中值-1.13倍。比高集团市盈 率-17.34倍，行业排名第56位；其他华视集团控股（01111.HK）为1.73倍、耀星科技集团（08446.HK） 为2.79倍、瓦普思瑞元宇宙（08093.HK）为3.19倍、国恩控股（08121.HK）为3.38倍、微博-SW （09898.HK）为6.45倍。 资料显示，比高集团控股有限公司本集团主要从事电影制作、特许权及衍生作品权、跨界市场推广及提 供互动内容(「电影娱乐、新媒体开发及特许权业务」)以及影院投资及管理(「影院业务」)。 （以上内容为金融界基于公开消息，由程序或算法智能生成，不作为投资建议或交易依据。） 5月26日，截至港股收盘，恒生指数下跌1.35%，报23282.33点。比高集团（08220.HK）收报3.59港元/ 股，上涨12.89%，成交量42.5万股，成交额145.27万港元，振幅16.04%。 最近一个月来，比高集团累计跌幅2.15%，今年来累计涨幅2.25%，跑输恒生指数17.65%的涨幅。 财务数据显示，截至2024年9月30日，比高 ...

Revenue and Profit Performance - For the six months ended September 30, 2024, Bingo Group Holdings Limited generated revenue of HK$0.9 million and gross profit of HK$0.5 million from its Cinema Business, a decrease from HK$3.8 million and HK$2.3 million respectively in the same period of 2023[41]. - Cinema business generated revenue of approximately HK$900,000 and gross profit of HK$500,000 during the period, a decrease compared to HK$3,800,000 in revenue and HK$2,300,000 in gross profit for the six months ended September 30, 2023[43]. - During the period, the Group recorded a revenue decrease from the Cinema Business, dropping from approximately HK$3.8 million in Period 2023 to approximately HK$0.9 million[90]. - Revenue from the Licensing Business increased from HK$1.6 million in Period 2023 to HK$3.6 million in the current period, primarily due to projects utilizing intellectual property rights from "King of Comedy" and "New King of Comedy"[90]. - The Group recorded a total turnover of approximately HK$4.5 million during the Period, a decrease of about HK$900,000 compared to approximately HK$5.4 million in the same period last year[92]. - The company reported a loss for the period of HK$11,583,000, compared to a loss of HK$5,292,000 in the same period last year, representing a 119% increase in losses[188]. - Total comprehensive loss for the period amounted to HK$11,621,000, up from HK$4,930,000 in the previous year, indicating a 136% increase[189]. Cinema Business Challenges - The closure of the Shanghai cinema in May 2023 and a 1.5-month closure of the Hangzhou cinema for repairs contributed to the decline in revenue from the Cinema Business[42]. - The closure of the Shanghai cinema in May 2023 due to rental disputes and a 1.5-month shutdown of the Hangzhou cinema for maintenance contributed to the decline in cinema business revenue[43]. - The cinema business revenue decreased due to the closure of the Shanghai cinema and repair works in Hangzhou, prompting the Group to conduct feasibility studies for opening a new cinema[117]. - The Group plans to open one new cinema and is considering the acquisition of existing cinemas to expand its market presence[117]. - The Group is adopting a more prudent approach in its cinema business due to slower-than-expected economic growth in Mainland China, while recognizing substantial growth potential in the market[117]. Strategic Partnerships and Collaborations - A memorandum of understanding was signed with Beijing iQIYI on April 22, 2024, for potential strategic cooperation in producing various entertainment projects, although no revenue was generated from this segment during the period[43]. - The strategic cooperation framework agreement with Beijing iQIYI and Zhouling Culture & Media is effective from August 31, 2024, to July 31, 2029, focusing on co-producing projects based on prescribed intellectual properties[69]. - Beijing iQIYI will have exclusive cooperation rights for selected intellectual properties during the cooperation period, with the option to negotiate other IPs not selected[72]. - The strategic cooperation aims to leverage the expertise of all partners in various entertainment formats, including movies, TV series, and musicals[57]. - The Group expects significant revenue growth from the collaboration with Beijing iQIYI, with substantial cash collected within a month of signing the Strategic Cooperation Framework Agreement[165]. - The collaboration with Sinohope is anticipated to generate substantial revenue in the financial year 2024/25[167]. Financial Position and Liabilities - The Group incurred a loss of approximately HK$11.6 million for the period, compared to a loss of HK$5.3 million in Period 2023, with the increase attributed to non-cash share-based payments of approximately HK$6.1 million[90]. - Current liabilities increased significantly to HK$68,863,000 from HK$12,771,000, reflecting a substantial rise in financial obligations[193]. - The company's net current liabilities stood at HK$3,619,000, a decline from net current assets of HK$1,500,000 in the previous period[193]. - Cash and cash equivalents rose to HK$53,475,000, compared to HK$13,593,000, showing a significant improvement in liquidity[193]. - The debt ratio as of 30 September 2024 was approximately 1.29, down from 1.93 as of 31 March 2024, indicating a significant change in the Group's financial leverage[96]. - The Group expects to cover its current liabilities of approximately HK$68.9 million, as most contract liabilities of approximately HK$63.8 million are anticipated to be recognized as revenue[97]. New Media and IP Development - The Group has focused more on the development of new media and IP licensing, leveraging its film production experience[132]. - As of September 30, 2024, certain subsidiaries are specialized in developing new media businesses, including augmented reality digital live action role-playing games and IP consultancy[133]. - The Company has entered into an agreement with Wonder Cat Animation to produce three animated movies based on specific IPs, with releases planned from 2025 to 2027[157]. - The Group's IP licensing includes rights to "The Mermaid" and other properties, enhancing its portfolio for future projects[160]. - The Group aims to license IP usage and production rights to third parties and form joint ventures with well-recognized brands in Greater China and overseas[165]. - The Group has successfully licensed IP rights for various projects, indicating a strong pipeline for future revenue generation[165]. Operational and Cost Management - Total staff costs for the Period increased to approximately HK$5.3 million from HK$4.0 million in the previous year, reflecting a growing workforce[99]. - Selling and marketing expenses were reported at HK$267,000, while administrative expenses totaled HK$6,631,000, indicating a focus on cost management despite losses[188]. - The Group has discontinued the pursuit of certain business opportunities due to changes in business development[135]. - The Group is finalizing details of a contract with Jumoon for project management services, with further details to be released soon[164]. - The Investment Fund is currently in the formation stage, and no revenue was generated during this period due to the lack of services performed[182].

Revenue and Profit Performance - Revenue for the six months ended September 30, 2024, was HK$4.525 million, a decrease of 16% compared to HK$5.387 million in the same period in 2023[4] - Gross profit for the period was HK$2.799 million, down 4% from HK$2.915 million in the previous year[4] - The company reported a net loss of HK$11.583 million for the six months ended September 30, 2024, compared to a net loss of HK$5.292 million in the same period in 2023[4] - Basic and diluted loss per share was HK$11.21, compared to HK$5.32 in the previous year[4] - Total comprehensive loss for the period was HK$11.621 million, compared to HK$4.930 million in the same period in 2023[6] - Revenue from cinema operations decreased to HKD 893k in the six months ended September 30, 2024, compared to HKD 3,769k in the same period in 2023[17] - Revenue from franchise operations increased to HKD 3,632k in the six months ended September 30, 2024, compared to HKD 1,618k in the same period in 2023[17] - Total revenue for the six months ended September 30, 2024, was HKD 4,525k, down from HKD 5,387k in the same period in 2023[17] - Cinema business revenue decreased to HKD 900,000 with a gross profit of HKD 500,000, compared to HKD 3,800,000 in revenue and HKD 2,300,000 in gross profit during the same period last year[68] - The company's total revenue for the period was approximately HKD 4,500,000, a decrease of HKD 900,000 compared to HKD 5,400,000 in 2023, primarily due to a decline in cinema business revenue[87] - The company recorded a loss of approximately HKD 11,600,000 for the period, an increase of HKD 6,300,000 compared to the loss of HKD 5,300,000 in 2023, mainly due to non-cash share-based payments[88] Cash and Financial Position - Cash and cash equivalents as of September 30, 2024, stood at HK$53.475 million, a significant increase from HK$13.593 million as of March 31, 2024[8] - Total liabilities as of September 30, 2024, were HK$68.863 million, compared to HK$12.771 million as of March 31, 2024[8] - The company's net asset position deteriorated to a deficit of HK$19.412 million as of September 30, 2024, from a deficit of HK$13.913 million as of March 31, 2024[9] - Total assets as of September 30, 2024, were HKD 65,930k, with total liabilities of HKD 85,342k[20] - The company's total assets as of September 30, 2024, included HKD 60,418k in reportable segment assets and HKD 5,494k in unallocated corporate assets[20] - The company's total liabilities as of September 30, 2024, included HKD 65,537k in reportable segment liabilities and HKD 71k in tax payable[20] - As of September 30, 2024, the company's total assets were approximately HKD 65,900,000, with cash and cash equivalents increasing by over 293% to HKD 53,500,000 compared to March 31, 2024[89] - The company's debt ratio as of September 30, 2024, was approximately 1.29, down from 1.93 on March 31, 2024, with the company confident in its ability to meet liquidity needs[89] Expenses and Costs - Administrative expenses decreased to HK$6.631 million from HK$7.159 million in the previous year[4] - The company recognized a share-based payment expense of HK$6.122 million during the period, which was not present in the previous year[4] - Financing costs increased to 1,144 thousand HKD in the first six months of 2024, up from 1,034 thousand HKD in the same period of 2023, driven by higher interest on convertible bonds (1,042 thousand HKD vs. 911 thousand HKD)[33] - Pre-tax loss for the first six months of 2024 was primarily impacted by higher direct expenses in the licensing business (1,335 thousand HKD vs. 938 thousand HKD) and lower direct expenses in the cinema business (391 thousand HKD vs. 1,534 thousand HKD)[34] - The company's total employee cost increased by approximately HKD 1.3 million, primarily due to a HKD 2.5 million share-based payment during the period[93] Strategic Partnerships and Agreements - The company signed a project management service agreement with Jumoon Group Limited, with a service fee of 30% of the project's net profit, or 20% if Stephen Chow is involved in the creative production[62] - A strategic cooperation framework agreement was signed with Beijing iQIYI and Zeus Culture Media, effective from August 31, 2024, to July 31, 2029, for joint production of films and other content[73] - Beijing iQIYI has the exclusive right to select up to four intellectual properties (IPs) from the company's list within three months of the agreement date for development and production[75] - The strategic cooperation with Beijing iQIYI and Zeus Culture Media will extend to July 31, 2032, for any final projects initiated during the cooperation period[76] - The company expects to complete at least one final project's pre-production, including script development, budgeting, and other necessary preparations, by July 31, 2025[77] - The company received RMB 50,000,000 (approximately HKD 55,400,000) from Beijing iQIYI in September 2024, which is recognized as contract liabilities, with partial recognition as revenue expected by April 1, 2025[83] - The strategic partnership with iQIYI and Zeus Culture Media is expected to significantly boost the company's video entertainment and IP licensing revenue until at least August 31, 2029[113] Intellectual Property and Licensing - The licensing and service fees for the intellectual property of "The King of Comedy" and "The New King of Comedy" amounted to RMB 3,300,000 (approximately HKD 3,600,000) during the period[71] - The company entered into a licensing agreement with Star Shine Overseas Limited for the intellectual property of the film "The New King of Comedy," with an annual royalty fee cap of HKD 1,300,000 for a three-year period starting February 29, 2024[58] - The company recorded a royalty fee of HKD 1,300,000 payable to Star Shine Overseas Limited for the six months ended September 30, 2024, based on sales revenue of HKD 3,578,000[61] - The company has secured free IP licenses for "Mermaid," "Journey to the West: Conquering the Demons," and "CJ7," with potential for commercialization through merchandise, games, comics, and secondary content production[111] - The licensing of "The King of Comedy" and "The New King of Comedy" to iQIYI has been successful, with positive audience feedback, and is expected to remain a strong revenue source[112] Corporate Governance and Board Activities - The company has established an Audit Committee consisting of three independent non-executive directors, responsible for reviewing financial reports, risk management, and internal control systems[123] - All directors have complied with the company's code of conduct regarding securities transactions during the six months ended September 30, 2024[124] - The company has generally complied with the GEM Listing Rules and Corporate Governance Code, except for certain deviations[125] - The company currently has no Chairman or CEO, and the Board is actively seeking suitable candidates to fill these positions[126] - The Audit Committee has reviewed the unaudited interim results for the six months ended September 30, 2024, and confirmed compliance with applicable accounting standards and GEM Listing Rules[123] - The Board ensures that all directors are adequately informed about current matters during Board meetings[127] - Board documents must be distributed at least three days before the meeting, unless it is an emergency[128] - The Board encourages open and active discussion, particularly from non-executive directors[132] - The company has adopted a code of conduct for directors' securities transactions that is not less stringent than the GEM Listing Rules[124] - The Board is responsible for ensuring good corporate governance practices and procedures are in place[131] - The Board of Directors includes executive directors such as Mr. Stephen Chow, Ms. Man Kei Chow, Mr. Man Kit Lau, Ms. Ya Chi Chow, Mr. Yiu Pong Yip, and Ms. Fung Chu Tsang, as well as independent non-executive directors Ms. Mei Ping Choi, Mr. Wing Tak Tsui, and Ms. Yat Ching Chan[135] - The company's secretary is required to report to the executive directors as per the company's regular practice[135] - The Board must appoint at least one executive director to attend the Annual General Meeting due to the vacant chairman position[133] - The Remuneration Committee should consult Ms. Man Kei Chow, an executive director and major shareholder, regarding the remuneration proposals for other executive directors[133] Operational and Business Developments - The closure of the Shanghai cinema in May 2023 due to rental disputes and the temporary shutdown of the Hangzhou cinema for maintenance contributed to the decline in cinema business revenue[68] - The video entertainment business did not generate any revenue during the period, despite signing a memorandum of understanding and a final contract with Beijing iQIYI[69] - The joint venture BGM, established in February 2023, generated revenue of approximately HKD 54,000 during the period, compared to HKD 1,600,000 in 2023[84] - The company plans to open a new cinema and is considering acquiring existing cinemas or forming joint ventures with other cinema chains and/or property developers[96] - The company is focusing on new media development and intellectual property licensing, leveraging its experience in film production and IP licensing[98] - The company's joint venture, BGM, generated total revenue of approximately HKD 2.2 million from the sale of "Mermaid" movie-themed tourbillon watches[106] - The company's subsidiary, Bingo Group — Memorigin (BGM) Limited, is considering launching another series of movie-themed tourbillon watches using the company's intellectual property[106] - Wanwei Cat Animation will produce three animated films based on Stephen Chow's IPs, including "Flirting Scholar," "Hail the Judge," and "Fight Back to School," with each IP releasing one film annually from 2025 to 2027[107] - The collaboration with Wanwei Cat Animation aims to produce animated films targeting the Chinese market, with the final format depending on further discussions and market response[108] - Wanwei Cat Animation, a renowned Chinese animation company, has high click-through rates and ratings on platforms like Bilibili, Douyin, and Tencent Video[109] - The company's subsidiary, Gaosheng, signed a consulting service agreement with New Huo Asset Management to provide IP technology consulting services for a futures investment fund[116] - Gaosheng extended its consulting agreement with New Huo in July 2024, with terms similar to the original agreement, though no revenue was generated during the period as the fund was still being established[118] Accounts Receivable and Payable - The group's accounts receivable decreased to 77 thousand HKD as of September 30, 2024, from 168 thousand HKD as of March 31, 2024, with a significant reduction in receivables within 30 days (62 thousand HKD vs. 153 thousand HKD)[45] - Accounts payable increased to 1,408 thousand HKD as of September 30, 2024, from 208 thousand HKD as of March 31, 2024, with a notable rise in payables within 30 days (1,335 thousand HKD vs. 121 thousand HKD)[48] - Accounts payable includes a royalty fee of HKD 1,300,000 payable to Star Shine Overseas Limited, with the amount aged within 30 days[49] Other Financial and Operational Notes - Interest income increased to HKD 64k in the six months ended September 30, 2024, compared to HKD 20k in the same period in 2023[17] - The company recognized a Hong Kong profits tax of 2,000 HKD for the first six months of 2024, significantly lower than the 56,000 HKD recognized in the same period of 2023[35] - The company did not recommend any dividend for the first six months of 2024, consistent with the same period in 2023[38] - The company prepaid 10,000,000 RMB (approximately 11,089,000 HKD) to Zoling Culture Media (Shanghai) Co., Ltd. for project management and consulting services under a strategic cooperation framework[46] - Beijing iQIYI prepaid RMB 50,000,000 (equivalent to HKD 55,445,000) for production costs in September 2024, with no formal production activities conducted as of September 30, 2024[50] - The company issued and fully paid 102,645 thousand ordinary shares with a par value of HKD 0.1 per share as of September 30, 2024[53] - Directors' emoluments, salaries, allowances, and other benefits amounted to HKD 774 thousand for the six months ended September 30, 2024, compared to HKD 390 thousand in the same period in 2023[55] - The company issued convertible bonds with a principal amount of HKD 19,000k, a conversion price of HKD 0.275, and a maturity date of December 31, 2025[28] - The fair value of unexercised stock options granted in 2024 was HKD 6,121,989k, with an exercise price of HKD 1.170[30] - The company's total liabilities as of September 30, 2024, included HKD 16,072k in convertible bonds and HKD 3,662k in unallocated corporate liabilities[20]

Financial Performance - For the year ended March 31, 2024, the Group generated revenue of HK$5.7 million and gross profit of HK$3.4 million from the Cinema Business, representing a slight increase from HK$5.5 million and HK$3.2 million in the previous year[26]. - The overall performance of the Cinema Business is a significant revenue generator for the Group, highlighting its importance in the current market landscape[26]. - The Group recorded a total turnover of approximately HK$7.8 million for the year, an increase of approximately HK$2.3 million compared to HK$5.5 million in the previous year[39]. - The loss for the year was approximately HK$12.1 million, an increase of approximately HK$3.7 million from the loss of HK$8.4 million in the previous year[39]. - The financial results indicate a positive trend in gross profit margins, reflecting effective cost management and operational efficiency[26]. - The Group's total staff costs, including directors' remuneration, were approximately HK$6.4 million during the year, slightly down from HK$6.6 million in the previous year[44]. - The Group's employee costs totaled approximately HK$6.4 million in the current year, a slight decrease from HK$6.6 million in the previous year[99]. Business Segments and Strategies - The Group continues to focus on Filmed Entertainment, New Media Exploitations, Licensing Businesses, and Cinema Business as key operational segments[11]. - The Group aims to leverage new media and licensing opportunities to enhance revenue streams moving forward[11]. - Continued investment in new product development, such as themed merchandise, is part of the Group's strategy to attract a broader customer base[16]. - The Group's performance in the cinema segment underscores its resilience and adaptability in a changing market environment[26]. - The Group's strategic focus on market recovery and expansion in the entertainment sector is expected to drive future growth[11]. - The Group is exploring new business opportunities in the entertainment and gaming sectors, leveraging its film production and licensing experience[84]. - The Group is leveraging its experience in film production and IP rights to explore new entertainment forms, particularly in the rapidly growing LARP market in China[117]. New Ventures and Collaborations - The Group has launched its first series of movie-themed tourbillon watches through physical stores and e-commerce channels[16]. - The Group has signed a memorandum of understanding with potential partners for co-producing sequels to original classic movies and other media projects in April 2024[53]. - The Group has entered into a memorandum of understanding with potential partners for co-producing original films and series[55]. - Brilliant Insight Limited plans to lease additional screens from Hengdian Film and Television Company to expand its cinema business[75]. - Brilliant Insight Limited has entered into an agreement with Hengdian Film and Television Co., Ltd. to lease additional screens, with trial operations expected to start in Q3 2024[77]. - The joint venture Bingo Group - Memorigin (BGM) Limited was established in February 2023, with an equity interest of 60% held by High Art, 20% by Memorigin, and 20% by Topping Mark[32]. - The joint venture "Guangzhou Gao De Digital Cultural Technology Limited" aims to develop augmented reality digital live action roleplaying games (LARP) projects[81]. - The joint venture partner, Jiu De, has established a solid B2B SAAS platform in mainland China, with nearly 300 signed distributors[96]. - The joint venture with Jiu De aims to capture the rapid development of the new media entertainment industry, with Jiu De having close to 300 distributors for their content library[126]. Market Trends and Opportunities - The cinema business in China is considered to have enormous potential and will remain a key revenue-generating segment for the Group[107]. - The emerging bullet-screen app marketplace in China has generated monthly sales between RMB 50 million to RMB 100 million, with content providers entitled to 5-10% of total sales[95]. - The bullet-screen app model has gained popularity in China, primarily driven by tips paid to online broadcast hosts by users[157]. - The new market for bullet-screen apps, identified at the end of 2022, has monthly sales ranging from RMB 50 million to RMB 100 million, with content providers earning 5% to 10% of total sales[158]. Corporate Governance and Compliance - The Board emphasizes the importance of high standards of corporate governance to protect shareholders' interests[150]. - The Company has maintained compliance with the required standards of dealings as per GEM Listing Rules throughout the year[151]. - The company does not have a Chairman of the Board and a Chief Executive Officer as of March 31, 2024, and is in the process of finding suitable candidates for these positions[198]. - The existing Board members are capable of sharing the powers and responsibilities of the Chairman and Chief Executive Officer among themselves[198]. - The company has arranged appropriate directors' and senior officers' liability insurance to cover legal liabilities arising from corporate activities, with annual reviews of the insurance coverage[196]. Future Outlook - The Group's cautious approach to launching new media businesses is attributed to the negative impact of COVID-19 on domestic discretionary consumption since 2019[108]. - Since April 2024, the business segment has shown significant improvement and is expected to become a major driver of revenue growth and profit in the future[111][113]. - The Group anticipates synergistic effects from its existing businesses with new ventures, which will benefit future growth[170]. - The engagement with New Huo Asset Management aims to develop additional revenue streams and enhance the company's position as an integrated entertainment entity[169][172]. - The company is actively seeking commercially viable IP exploitations to maximize returns for shareholders[164].

Revenue and Profitability - The revenue from the "Bullet Screen Mini Game" is generated from TikTok users and viewers paying rewards or tips to online streamers/hosts. This income is distributed through the TikTok system, and the company receives a certain percentage of the total revenue generated by streamers/hosts using the mini game each month[4] - Revenue for the year ended March 31, 2024, was HKD 7,848,000, with a gross profit of HKD 4,323,000, compared to revenue of HKD 5,522,000 and gross profit of HKD 3,216,000 in the previous year[32] - The company recorded a net loss of HKD 12,073,000 for the year ended March 31, 2024, compared to a net loss of HKD 8,377,000 in the previous year[21][32] - The company's total comprehensive loss for the year ended March 31, 2024, was HKD 11,793,000, compared to HKD 7,567,000 in the previous year[33] - Total revenue for the fiscal year ending March 31, 2024, was HK$7.848 million, compared to HK$5.522 million in the previous year[64] - The cinema investment and management business generated HK$5.743 million in revenue, while the new media development and licensing business contributed HK$2.105 million[64] - The company reported a pre-tax loss of HK$12.004 million for the fiscal year ending March 31, 2024, compared to a loss of HK$8.377 million in the previous year[64] - Revenue from cinema ticket sales was HK$4.914 million, while snack sales contributed HK$592 million[71] - The company's basic and diluted loss per share was HK$12.45 for the fiscal year ending March 31, 2024, compared to HK$8.80 in the previous year[80] - The company did not recommend any dividend for the fiscal year ending March 31, 2024[79] - The company's net loss for the fiscal year ending March 31, 2024, was HKD 12,073,000, with a capital deficit of HKD 13,913,000 as of the same date[88] - Total revenue for the year was approximately HKD 7,800,000, an increase of HKD 2,300,000 compared to last year's HKD 5,500,000[95] - The company recorded a loss of approximately HKD 12,100,000 for the year, an increase of HKD 3,700,000 compared to last year's loss of HKD 8,400,000[95] - The company's cinema business generated revenue of approximately HKD 5,700,000 and gross profit of HKD 3,400,000 for the year[114] - The company generated approximately HKD 2.1 million in revenue from the sale of the "Mermaid" movie-themed tourbillon watches by the end of the fiscal year[165] IP Licensing and Commercialization - The company has been granted free IP licenses for "Mermaid," "Journey to the West: Conquering the Demons," and "CJ7" by the IP owners, which are sub-licensed to joint venture companies under specific conditions[5] - The company aims to commercialize IP through product sales, gamification, comic and animation production, and secondary content licensing. It plans to license IP usage and production rights to third parties or establish joint ventures with well-known brands in Greater China and overseas[6] - The company signed a memorandum of understanding with Beijing iQIYI Technology Co., Ltd. and Zeus Culture Media (Shanghai) Co., Ltd. in April 2024 for potential collaboration on original classic films, animations, TV series, reality shows, and musical sequels[91] - The company's subsidiary, Qunwei Investment Limited, secured the main licensing rights for "The New King of Comedy" from Star Overseas Limited, which is controlled by the company's executive director and major shareholder, Ms. Zhou Wenji[130] - The company's focus on new media development and licensing business includes providing IP authorization for new media content creation and various online platforms, leveraging its experience in film production and IP licensing[129] - The company's subsidiary, Gao Yi Limited, is responsible for obtaining and developing IP licenses, marketing and promoting applications, and collaborating with Douyin for compliance in the development of game/bullet screen mini-games[138] - The company has secured IP licenses for "Journey to the West: Conquering the Demons" and "CJ7" to develop and produce bullet-screen mini-games, with initial revenue from this segment at HKD 200,000[170][185] - The company has entered into an agreement with Wanwei Cat Animation to produce three animated films based on Stephen Chow's IPs, with a non-refundable deposit of RMB 1,200,000 received[182] - The company's "IP Accelerator" project manager, Data Hash, will provide project management and consulting services to assist IP owners in promoting and developing their IPs into various products, activities, and digital content[167] Financial Position and Liabilities - The company's capital deficit increased to HKD 13,913,000 as of March 31, 2024, from HKD 2,120,000 in the previous year[21] - The company's convertible bonds increased to HKD 15,031,000 in 2024 from HKD 13,146,000 in 2023[20] - The company's lease liabilities decreased to HKD 994,000 in 2024 from HKD 1,265,000 in 2023[20] - Total assets for the fiscal year ending March 31, 2024, were HK$14.883 million, down from HK$24.160 million in the previous year[64] - The company's total liabilities increased to HK$28.796 million from HK$26.280 million in the previous fiscal year[64] - The company's total assets as of March 31, 2024, were approximately HKD 14,900,000, including cash and cash equivalents of HKD 13,600,000[120] - The company's debt-to-asset ratio as of March 31, 2024, was approximately 1.93, compared to 1.09 in the previous year[120] - The company's cash and cash equivalents decreased from HKD 22,993 million to HKD 13,593 million year-over-year[181] - The company's current assets decreased from HKD 23,675 million to HKD 14,271 million, while current liabilities decreased from HKD 11,869 million to HKD 12,771 million[181] - The company's total assets minus current liabilities decreased from HKD 12,291 million to HKD 2,112 million[181] - The company's property, plant, and equipment increased from HKD 115 million to HKD 126 million, while lease deposits increased from HKD 343 million to HKD 478 million[181] - The company's equity in an associate increased from HKD 16 million to HKD 19 million[181] - The company's inventory increased from HKD 0 to HKD 17 million, while trade receivables increased from HKD 135 million to HKD 168 million[181] - The company's other receivables, deposits, and prepayments decreased from HKD 547 million to HKD 493 million[181] Cost Control and Expenses - Administrative expenses decreased to HKD 13,241,000 in 2024 from HKD 13,705,000 in 2023[32] - The company is implementing cost control measures to improve profitability and increase cash flow[22] - Total employee costs, including directors' remuneration, were approximately HKD 6,400,000 for the year, a decrease of HKD 200,000 compared to the previous year[122] - The company's total rental concessions amounted to 896 thousand HKD in 2024[47] Joint Ventures and Subsidiaries - The joint venture Bingo Group — Memorigin (BGM) Limited, established in February 2023, generated revenue of approximately HKD 2,100,000 and a gross profit of HKD 900,000 by the end of the fiscal year[92] - The company's joint venture with Guangzhou Jiu's Culture Technology Co., Ltd., named Guangzhou Gao Digital Culture Technology Co., Ltd., aims to develop augmented reality live-action role-playing (LARP) games, leveraging the company's experience in film production and IP licensing[130][131] - The company's joint venture partner, Jiu's, has a content library with nearly 300 signed distributors, providing a strong B2B SaaS platform in China[137] - The company's subsidiary, Gao Yi Limited, entered into a joint venture agreement with Memorigin Watch Co., Ltd. and Qin Sheng Limited to establish BGM, with the company holding a 60% stake in the venture[133] - The company's joint venture, Gao Digital Culture Technology Co., Ltd., has not yet started commercial production and therefore has not generated any revenue[132] - The company's subsidiary, Brilliant Insight Limited, has signed an agreement with Hengdian to lease additional screens, with the first trial operation expected to begin in Q3 2024[156] - The company's subsidiary, BGM, launched its first movie-themed tourbillon watch series around April 2023[165] - The company's subsidiary, Billion High Holdings, is collaborating with Wanwei Cat Animation on script creation and production phases for animation projects[166] - The company's wholly-owned subsidiary, Gaosheng Limited, signed a consulting services agreement with Xinhuo Asset Management (Hong Kong) Limited, a subsidiary of Xinhuo Technology Holdings Limited (Stock Code: 1611.HK), to provide intellectual property technology consulting services for a futures investment fund currently in the establishment phase[187] Corporate Governance and Board Responsibilities - The company's audit committee reviewed the group's annual performance for the year ended March 31, 2024, including accounting principles, risk management, internal controls, and financial reporting matters[11] - The company's board of directors confirmed that the information in the announcement is true, complete, and not misleading, with no omissions that would make any statement or the announcement misleading[13] - The company's board of directors is responsible for the accuracy and completeness of the announcement, confirming that the information is true and not misleading[16] - The company's board of directors presented the audited consolidated results for the year ended March 31, 2024, along with comparative figures for the same period in 2023[17] - The board members are responsible for ensuring the company establishes good corporate governance practices and procedures, and will discuss corporate governance matters during meetings to approve interim and annual results[191] - The executive directors are responsible for maintaining effective communication with shareholders and ensuring shareholder opinions are conveyed to the entire board[192] - The executive directors are responsible for promoting an open and proactive discussion culture, encouraging contributions from all directors, and maintaining constructive relationships between executive and non-executive directors[193] - Due to the vacancy in the Chairman position, the board has appointed at least one executive director to attend the annual general meeting, and the executive director should invite the chairs of the audit, remuneration, and nomination committees to attend[194] - As of March 31, 2024, the company does not have a Chairman of the Board or a CEO, and the board is currently seeking suitable candidates to fill these positions[189] Taxation and Government Subsidies - The company's Chinese subsidiaries are subject to a 25% corporate income tax rate[54] - No provision for Chinese corporate income tax was made in 2024 due to no taxable profit[55] - The company's subsidiaries in China were granted a preferential tax rate of 20% due to their small-scale enterprise status[78] - Government subsidies decreased significantly to 0 in 2024, down from 596 thousand HKD in 2023[51] - The company received government subsidies of approximately HKD 600,000 for cinema operations and rental concessions of HKD 900,000 due to COVID-19[96] Market and Liquidity - The company's shares traded on GEM may be subject to greater market volatility and lower liquidity compared to those traded on the Main Board of the Stock Exchange[15] - The company is seeking additional financing sources from major shareholders to improve liquidity and cash flow[37] - The company holds cash and cash equivalents of approximately HKD 13.6 million as of March 31, 2024, sufficient to cover its total current liabilities of HKD 12.8 million[148] New Business Initiatives - The company launched a new business selling movie-themed tourbillon watches during the year[95] - The company's joint venture Bingo Group — Memorigin (BGM) Limited, established in February 2023, is focused on selling movie-themed tourbillon watches through physical stores and e-commerce, with the company holding a 60% stake[133] - The company identified a new market for bullet-screen mini-games in China, with successful apps like "Forest Party" and "Cute Pet Battle" generating monthly sales between RMB 50,000,000 and RMB 100,000,000[184] - The company's animation business partner, Wanwei Renhe, is a well-known animation production company in China, with high click-through rates and ratings on platforms like Bilibili, Douyin, and Tencent Video[167] Financial Reporting and Standards - The company's consolidated financial statements for the year ended March 31, 2024, were reviewed by Cheng & Cheng CPA Limited, but no audit opinion or conclusion was provided as the work did not constitute an audit engagement[12] - The company applied new and revised Hong Kong Financial Reporting Standards effective from April 1, 2023, which did not have a significant impact on the financial statements[24][26] - The company's consolidated financial statements are prepared in accordance with the Hong Kong Financial Reporting Standards issued by the Hong Kong Institute of Certified Public Accountants[198] - The company has retrospectively implemented the guidance issued by the Hong Kong Institute of Certified Public Accountants regarding the accounting impact of the cancellation of the MPF and long service payment offset mechanism[199] Agreements and Contracts - The New Fire Agreement was terminated in January 2024, and the company is in discussions with New Fire Asset Management to extend the agreement, but no extension has been completed as of the announcement date. No revenue was generated from investment funds during the year as they were in the process of being established[7] - The company received a non-refundable deposit of RMB 1,200,000 (approximately HKD 1,300,000) from Wanwei Renhe (Beijing) Technology Co., Ltd. in September 2023 for consulting services[93] - The company has signed a memorandum of understanding with Beijing iQIYI and Zeus, with formal contract terms expected to be finalized before the memorandum expires on September 30, 2024[159] Employee and Staff Information - The company employed 28 staff in China and Hong Kong as of March 31, 2024, down from 52 in the previous year[122] - Total employee costs, including directors' remuneration, were approximately HKD 6,400,000 for the year, a decrease of HKD 200,000 compared to the previous year[122] Future Outlook and Expectations - The company expects the film entertainment, new media development, and licensing business segments to become a major driver of future revenue growth and profit, with significant improvement since April 2024[159] - The board believes that the company's existing business can create synergies with the new business, which will benefit the company in the future[188] Accounts Receivable and Payable - The company's accounts receivable for cinema investment and management business were HKD 141,000 in 2024, compared to HKD 135,000 in 2023[82] - The company's accounts payable for film entertainment, new media development, and licensing business were HKD 208,000 in 2024, compared to HKD 142,000 in 2023[84] - The company's receivable balance for cinema investment and management business included overdue receivables of HKD 15,000 as of March 31, 2024[103] Interest Income and Other Financials - The company's interest income increased to 44 thousand HKD in 2024, compared to 23 thousand HKD in 2023[51] - The company's total interest income across all segments was 23 thousand HKD in 2024[47] - The company's total depreciation of property, plant, and equipment was 8 thousand HKD in 2024[47] - The company's total interest income for the fiscal year ending March 31, 2024, was HK$44,000[66]

Financial Performance - Revenue for the year ended March 31, 2024, was HKD 7,848,000, an increase of 42.0% compared to HKD 5,522,000 for the same period in 2023[4] - Gross profit for the year was HKD 4,323,000, representing a gross margin of 55.0% compared to 58.2% in the previous year[4] - The company reported a loss before tax of HKD 12,004,000, which is a 43.0% increase in loss compared to HKD 8,377,000 in 2023[4] - Total comprehensive loss for the year was HKD 12,597,000, compared to HKD 8,281,000 in the previous year, indicating a significant increase in losses[5] - Basic and diluted loss per share was HKD 12.45, compared to HKD 8.80 in the previous year, reflecting a 41.9% increase in loss per share[4] - The company reported a net loss of HKD 12,073,000 for the year ending March 31, 2024, with a capital deficit of HKD 13,913,000[10] - The total loss attributable to the company's owners for the year was HKD 12,781,000, up from HKD 9,030,000 in the previous year[44] - The company incurred a loss of approximately HKD 12,100,000 this year, which is an increase of about HKD 3,700,000 compared to last year's loss of HKD 8,400,000[67] Assets and Liabilities - Non-current assets totaled HKD 612,485,000, while current assets were HKD 14,271,000 as of March 31, 2024[7] - The company's total liabilities increased to HKD 16,025,000 from HKD 14,411,000 in the previous year, indicating a rise in financial obligations[8] - Total assets decreased to HKD 14,883,000 from HKD 24,160,000, reflecting a significant reduction in asset value[23] - Total liabilities increased to HKD 28,796,000 from HKD 26,280,000, indicating a rise in the company's debt levels[23] - The debt ratio as of March 31, 2024, was approximately 1.93, compared to 1.09 in 2023[69] Cash Flow and Liquidity - Cash and cash equivalents decreased to HKD 13,593,000 from HKD 22,993,000, showing a decline in liquidity[7] - The group’s cash and cash equivalents amounted to approximately HKD 13,600,000 as of March 31, 2024, sufficient to cover total current liabilities of approximately HKD 12,800,000[70] - The company believes it has sufficient cash resources to meet future operational and financing needs[11] Operational Highlights - The group operates in two business segments: cinema investment and management, and film entertainment, new media development, and licensing[20] - Revenue from cinema operations was HKD 5,743,000, up from HKD 5,522,000, while revenue from licensing business was HKD 2,105,000, which was newly reported[29] - The group generated revenue of approximately HKD 5,700,000 and gross profit of HKD 3,400,000 from cinema operations for the fiscal year ending March 31, 2024, showing a slight increase compared to HKD 5,500,000 and HKD 3,200,000 in the previous year[60] - The group’s cinema business remains the primary revenue driver, benefiting from the recovery of the Chinese leisure entertainment market post-COVID-19[60] Cost Management and Financing - Management is implementing cost control measures to reduce operating costs and increase cash flow[12] - The company plans to seek additional financing from major shareholders to improve financial conditions[12] - The company reported a significant increase in financing costs, which rose to HKD 2,132,000 from HKD 1,882,000 in the previous year[4] Joint Ventures and Partnerships - The group established a joint venture named Bingo Group - Memorigin (BGM) Limited, with a total capital of HKD 2,000,000, focusing on the sale of movie-themed tourbillon watches, generating revenue of approximately HKD 2,100,000 and gross profit of HKD 900,000 by the end of the fiscal year[62] - The group has signed a memorandum of understanding with potential partners for co-producing original films, animations, and TV shows, aiming to formalize agreements by September 30, 2024[61] - The joint venture "Gao De" was established to develop augmented reality digital role-playing games, targeting the growing LARP market in China[85] Government Support - The company received government subsidies totaling HKD 596,000, which contributed to its financial performance during the year[34] - The group received government subsidies related to cinema operations amounting to approximately HKD 600,000 and rental concessions of about HKD 900,000 due to COVID-19[68] Employee and Operational Costs - The company’s employee costs, including directors' remuneration, amounted to HKD 5,826,000, an increase from HKD 5,768,000 in the previous year[35] - The total employee cost for the year was approximately HKD 6,400,000, a slight decrease from HKD 6,600,000 in the previous year[72] - The group employed 28 staff members as of March 31, 2024, down from 52 staff members in the previous year[72] Future Outlook and Strategic Initiatives - The company anticipates significant improvement in the new media and licensing business segment, which is expected to drive future revenue growth and profitability[83] - The subsidiary, Qunwei Investment Limited, successfully obtained the main licensing rights for "New Comedy King," with initial revenue of approximately RMB 1,200,000 (around HKD 1,300,000) expected in Q2 2024[84] - The company aims to leverage IP for various commercial opportunities, including merchandise sales, gamification, and animation production, through partnerships and collaborations[105] Governance and Compliance - The audit committee has reviewed the group's annual performance and financial statements for the year ending March 31, 2024[122] - The financial data for the year ending March 31, 2024, has been agreed upon by the auditors, Zheng Zheng CPA[124] - The board of directors includes both executive and independent non-executive directors, ensuring a diverse governance structure[125] - The company confirms that all information in the announcement is accurate and complete, with no misleading or fraudulent elements[126]

Financial Performance - For the six months ended September 30, 2023, Bingo Group Holdings Limited generated revenue of approximately HK$3.8 million and gross profit of HK$2.3 million from its Cinema Business, an increase from HK$1.8 million and HK$1.1 million respectively in the same period of 2022[18]. - The Group recorded a total turnover of approximately HK$5.4 million, an increase of approximately HK$3.6 million compared to HK$1.8 million in the previous period[29]. - The loss for the period was approximately HK$5.3 million, a decrease of approximately HK$0.6 million from the loss of HK$5.9 million in the previous period[30]. - Revenue for the three months ended September 30, 2023, was HK$3,479,000, an increase of 146.5% compared to HK$1,414,000 in the same period of 2022[103]. - Gross profit for the six months ended September 30, 2023, was HK$2,915,000, up 172.5% from HK$1,068,000 in the same period of 2022[103]. - Total comprehensive loss for the six months ended September 30, 2023, was HK$4,930,000, compared to HK$4,512,000 in the same period of 2022, indicating a 9.2% increase in losses[104]. - For the six months ended September 30, 2023, the company reported a loss of HK$5,463,000 compared to a loss of HK$5,847,000 for the same period in 2022, representing a decrease in loss of approximately 6.5%[108]. Revenue Sources - Revenue from the Cinema Business was approximately HK$3.8 million, while revenue from the Licensing Business was approximately HK$1.6 million[29]. - No revenue was generated from the Filmed Entertainment Business during the Period as no suitable business opportunities were identified[19]. - Revenue from licensing business was HK$1,618,000 for the six months ended September 30, 2023, with no revenue reported in the same period of 2022[120]. - The revenue of the cinema business increased significantly from HK$1.8 million in Period 2022 to HK$3.8 million in the current period[43]. Strategic Focus - The Group continues to focus on Filmed Entertainment, New Media Exploitations, Licensing Businesses, and Cinema Business as its core operations[17]. - The Group's overall strategy remains centered on expanding its presence in the entertainment sector while navigating market challenges[16]. - The management emphasizes the importance of adapting to market conditions to leverage growth opportunities in the cinema and entertainment industries[16]. - The ongoing development of the Cinema Business is seen as a key revenue driver for the Group moving forward[18]. Market Conditions - The increase in revenue for the Cinema Business was primarily attributed to the recovery of the leisure and entertainment market in the PRC post-COVID-19, despite the closure of the Shanghai cinema in May 2023 due to rental disputes[18]. - The filmed entertainment and new media exploitation segment has not generated revenue since 2019 due to cautious market conditions[46]. - The company is exercising caution in business development due to challenges in the LARP market, including rising operating costs and competition[60]. Joint Ventures and Collaborations - The Group established a joint venture called Bingo Group — Memorigin (BGM) Limited, with an equity interest of 60% held by High Art, generating revenue of approximately HK$1.6 million[24]. - Brilliant Ace Holdings Limited entered into an agreement with Wonder Cat Animation to produce three animated movies based on specific IPs, with each movie set to be released annually from 2025 to 2027[71]. - The joint venture with Guangzhou Jiu De Cultural and Technology Company aims to develop augmented reality LARP projects[55]. - The collaboration with Wonder Cat Animation involves two stages: script-writing and production, emphasizing creative development[72]. Financial Position - As of September 30, 2023, the Group had total assets of approximately HK$22.3 million, including cash and cash equivalents of approximately HK$19.5 million[31]. - The debt ratio as of September 30, 2023, was approximately 1.32, compared to approximately 1.09 as of March 31, 2023[31]. - Current assets decreased to HK$20,378,000 as of September 30, 2023, from HK$23,675,000 as of March 31, 2023, reflecting a decline of 13.0%[105]. - Net liabilities increased to HK$7,050,000 as of September 30, 2023, compared to HK$2,120,000 as of March 31, 2023, indicating a significant deterioration in financial position[106]. Share Capital and Ownership - The total number of issued share capital of the company as of September 30, 2023, is 102,644,466 shares[188]. - The company has convertible bonds with a principal amount of HK$19,000,000, maturing on December 31, 2025, with a conversion price of HK$0.275[131]. - The total number of share options held by Directors and employees decreased from 5,662,000 to 3,412,000 due to cancellations[200]. Operational Metrics - Total staff costs during the period were approximately HK$4.0 million, an increase of approximately HK$0.8 million from the previous period[36]. - The number of staff decreased from 52 as of March 31, 2023, to 32 as of September 30, 2023, primarily due to the termination of the Shanghai cinema[36]. - Selling and marketing expenses for the three months ended September 30, 2023, were HK$52,000, a decrease of 28.8% from HK$73,000 in the same period of 2022[103]. - Administrative expenses for the six months ended September 30, 2023, were HK$7,159,000, slightly up from HK$7,048,000 in the same period of 2022, reflecting a 1.6% increase[103].

Revenue and Profitability - For the three months ended June 30, 2023, Bingo Group Holdings Limited generated revenue of approximately HK$1.9 million and gross profit of HK$1.1 million from its Cinema Business, representing an increase from HK$0.4 million and HK$0.2 million in the same period of 2022, respectively [18][22]. - The Group recorded a total turnover of approximately HK$1.9 million for the Period, compared to approximately HK$0.4 million in the corresponding period of last year, primarily driven by cinema operations in Hangzhou and Shanghai [38]. - The Group generated revenue of approximately HK$1.4 million from the sale of "The Mermaid" movie-themed tourbillon watches, with delivery expected in the second quarter of fiscal year 2023/24 [37]. - The cinema revenue increased significantly from HK$400,000 in 2022 to HK$1,900,000 in the current period [48]. - The Group's revenue for the three months ended June 30, 2023, was HK$1,908,000, a significant increase from HK$401,000 in the same period of 2022, representing a growth of 376% [70]. - Gross profit for the same period was HK$1,143,000, compared to HK$238,000 in 2022, indicating a gross profit margin improvement [70]. - Other revenue and net income decreased to HK$49,000 from HK$632,000 in the prior year, primarily due to the absence of government grants and rent concessions [82]. Loss and Financial Performance - The Group's loss increased from approximately HK$3.2 million for the three months ended June 30, 2022, to approximately HK$4.1 million for the Period, largely due to redundancy payments related to the termination of the Shanghai cinema [43]. - Loss before taxation for the period was HK$4,071,000, compared to a loss of HK$3,187,000 in the previous year, reflecting a deterioration in financial performance [70]. - The company reported a loss before taxation of HK$3,873,000 for the three months ended June 30, 2023, compared to a loss of HK$3,153,000 for the same period in 2022, representing an increase in loss of approximately 22.8% [106]. - Basic and diluted loss per share increased to HK$3.77 from HK$3.07 year-over-year [70]. - The total comprehensive loss for the same period was HK$3,450,000 [110]. - The Group's administrative expenses increased from approximately HK$3.6 million in the previous year to approximately HK$4.7 million in the Period, primarily due to redundancy payments and increased operational costs [39]. Business Operations and Market Conditions - The increase in revenue for the Cinema Business was primarily attributed to the recovery of the leisure and entertainment market in the PRC post-COVID-19, despite the closure of the Shanghai cinema in May 2023 due to rental disputes [18][22]. - The Group is conducting a feasibility study on potential new cinema locations to compensate for the closure of the Shanghai cinema and to expand its cinema business in the recovering leisure and entertainment market in China [45]. - The Group has established a joint venture with Guangzhou Jiu De Cultural and Technology Company Limited to develop augmented reality digital live action role-playing games (LARP), tapping into the growing LARP market in China [28]. - The physical LARP market is facing challenges such as rising operating costs and increased competition, while the online LARP ecosystem is still maturing [30]. - The cinema business remains a key revenue segment despite challenges, with ongoing efforts to adapt and expand [48]. Joint Ventures and New Projects - Bingo Movie Development Limited and Lechuang Holdings (HK) Limited formed a joint venture named Goal Creation Game Limited, with Bingo Movie holding 49% and Lechuang holding 51% of the issued share capital, focusing on VR and MR project investments [24]. - The Group continues to monitor the VR and MR market for potential investment opportunities, although no appropriate projects have been located to date [24]. - The joint venture Bingo Group - Memorigin (BGM) Limited was established in February 2023, with equity interests of 60%, 20%, and 20% held by High Art, Memorigin, and Topping Mark, respectively [32]. - The Group is focusing on developing new media exploitations and licensing business through granting IP licenses for creating new media content, leveraging its film production and licensing experience [46]. - The joint venture with Jiu De aims to capture the rapid development of the new media entertainment industry, with nearly 300 distributors signed up for their content library [51]. Share Capital and Corporate Governance - As of June 30, 2023, the total issued share capital of the Company was 102,644,466 shares [114]. - Mr. Chiau Sing Chi held 2,757,352 shares, representing approximately 2.69% of the issued share capital [114]. - The Company issued convertible bonds with a principal amount of HK$19,000,000 to Mr. Chiau, which could convert into 69,090,090 shares [116]. - The audit committee reviewed the Group's unaudited results for the three months ended June 30, 2023, ensuring compliance with applicable accounting standards and legal requirements [133]. - All directors have complied with the required standard of dealings and the code of conduct regarding securities transactions throughout the three months ended June 30, 2023 [138].

Cinema Business Performance - The Cinema Business generated approximately HK$5.5 million in revenue and HK$3.2 million in gross profit during the year, a decrease from HK$8.5 million and HK$4.9 million in the previous year[18]. - The decline in revenue and gross profit from the Cinema Business is attributed to the impact of COVID-19, which led to prolonged closures of cinemas in Shanghai and Hangzhou[18]. - The Group's cinema in Shanghai ceased operations in May 2023 due to an inability to agree on rental adjustments with the landlord[19]. - The overall box office performance in the PRC was unsatisfactory during the year, contributing to the significant decrease in revenue compared to the previous year[18]. - The cinema in Shanghai ceased operations for nearly four months due to COVID-19, and the Group terminated its cinema operation in Shanghai in May 2023[75]. Financial Overview - The Group recorded a total turnover of approximately HK$5.5 million for the year, a decrease of approximately HK$3.0 million compared to HK$8.5 million in the previous year[42]. - The loss for the year was approximately HK$8.4 million, a decrease of approximately HK$6.3 million from the loss of HK$14.7 million in the last year, mainly due to tightened cost control measures[42]. - Administrative expenses decreased from approximately HK$15.8 million in the last year to approximately HK$13.7 million for the year[42]. - As of March 31, 2023, the Group had total assets of approximately HK$24.2 million, down from HK$35.4 million in 2022, with cash and cash equivalents of approximately HK$23.0 million[43]. - The debt ratio as of March 31, 2023, was approximately 1.09, compared to 0.87 in 2022[43]. - The Group recorded a special gain on modification of lease terms of HK$2.7 million during the year[42]. Joint Ventures and New Projects - A joint venture named Goal Creation Game Limited was formed for VR and MR project development, with Bingo Movie contributing a loan of between HK$25 million and HK$35 million[26][28]. - The Group remains optimistic about the long-term development of VR and MR projects despite the adverse impact of COVID-19 on the business environment[26][28]. - A framework agreement was signed with Guangzhou Jiu De Cultural and Technology Company for the development of augmented reality digital live action role-playing game (LARP) projects[30][34]. - The joint venture with Jiu De, named Guangzhou Gao De Digital Cultural Technology Limited, was established in May 2022 but has not commenced operations yet[36][40]. - High Art Limited entered a joint venture to develop movie-themed tourbillon watches, with a total share capital of HKD2 million[37][38]. - The equity interest in the joint venture Bingo Group Memorigin (BGM) Limited is distributed as 60% for High Art, 20% for Memorigin, and 20% for Topping Mark[38]. - Revenue is expected to be generated from BGM in the coming financial year as operations have commenced[38]. - Revenue is expected to be generated from the movie-themed tourbillon watches business in the coming financial year, which has commenced after the reporting period[80]. Corporate Governance - The Company has adopted a code of conduct regarding securities transactions by Directors, ensuring compliance with GEM Listing Rules[103]. - The Board comprises eight Directors, including five executive Directors and three independent non-executive Directors, ensuring a balanced structure[110]. - All Directors participated in continuous professional development activities during the Year to enhance their knowledge and skills[116]. - The Company has arranged appropriate insurance coverage for Directors' and officers' liabilities, reviewed annually[117]. - The Company is in compliance with the mandatory Code provisions of the Corporate Governance Code, with specific deviations noted[102]. - The emoluments of the Directors are determined based on their duties, the Company's performance, and current market conditions[109]. - The Board is responsible for decision-making in all major matters, requiring approval prior to significant transactions[107]. - Independent non-executive Directors have confirmed their independence in accordance with GEM Listing Rules[111]. - The Company emphasizes high standards of corporate governance to protect shareholders' interests[101]. - The Board will regularly review its composition to ensure an appropriate balance of expertise and experience[108]. Director and Committee Responsibilities - The company does not have a Chairman of the Board and Chief Executive Officer as of March 31, 2023, and is in the process of finding suitable candidates for these positions[122]. - All executive Directors share the responsibility of promoting a culture of openness and ensuring constructive relations between executive and non-executive Directors[137]. - The Board members are responsible for ensuring good corporate governance practices and procedures are established, with discussions on corporate governance issues occurring during meetings to approve interim and annual results[130]. - The remuneration committee consults with Ms. CHOW Man Ki Kelly regarding remuneration proposals for other executive Directors[138]. - The company secretary is responsible for summarizing agenda items and circulating them to all Board members prior to meetings[129]. - Independent non-executive Directors hold at least one meeting annually to discuss significant issues without influence from executive Directors[132]. - The Board's significant decisions are made during Board meetings, where every member has the right to propose meetings to discuss important issues[123]. - The company has established a practice of providing Board Papers at least three days in advance of meetings, allowing sufficient time for review[125]. - The executive Directors are tasked with ensuring effective communication with shareholders and that their views are conveyed to the Board[133]. Audit and Risk Management - As of March 31, 2023, the external auditor's fees for audit services amounted to HK$900,000, while non-audit services fees were HK$250,000[195]. - The Audit Committee, composed entirely of independent non-executive Directors, reviewed the annual, interim, and quarterly results during the year and provided recommendations to the Board[188]. - The Directors confirmed no material uncertainties affecting the Company's ability to continue as a going concern as of March 31, 2023[192]. - The Board regularly reviews the effectiveness of the Company's risk management and internal control systems to safeguard shareholders' interests[194]. - The Audit Committee is responsible for overseeing the Company's financial reporting, risk management, and internal control systems[187]. - The Company aims to provide reasonable assurance against material misstatements and manage risks related to achieving business objectives[194]. - The Company has not identified any significant doubts regarding its ability to operate as a going concern[192].

Financial Performance - During the nine months ended December 31, 2022, the Group generated revenue of HK$2.6 million and gross profit of HK$1.6 million from its Cinema Business, a decrease from HK$6.1 million and HK$3.5 million in the corresponding period of 2021[18]. - The overall box office performance in the PRC was unsatisfactory during the period, contributing to the significant decrease in revenue compared to the previous year[18]. - The Group recorded a total turnover of approximately HK$2.6 million for the period, a decrease of approximately HK$3.5 million compared to HK$6.1 million in the corresponding period[43]. - The loss for the period was approximately HK$9.2 million, which is a decrease of approximately HK$1.7 million from the loss of HK$10.9 million in the corresponding period[43]. - For the three months ended December 31, 2022, the turnover was HK$831,000, a decrease of 69.1% compared to HK$2,697,000 for the same period in 2021[66]. - The gross profit for the three months ended December 31, 2022, was HK$510,000, down 67.9% from HK$1,589,000 in the previous year[66]. - The loss attributable to owners of the Company for the nine months ended December 31, 2022, was HK$9,139,000, compared to HK$10,170,000 for the same period in 2021, showing a reduction of 10.2%[56]. - The total comprehensive loss for the period was HK$3,688,000 for the three months ended December 31, 2022, compared to HK$2,892,000 in the same period of 2021, indicating a 27.6% increase[57]. Impact of COVID-19 - The decline in revenue and gross profit from the Cinema Business is attributed to the impact of COVID-19, which led to temporary closures of cinemas in Shanghai and Hangzhou[18]. - The Group's cinemas in Shanghai were closed from early March 2022 to late July 2022, while the Hangzhou cinema was suspended for one week in April 2022 due to COVID-19 outbreaks[18]. - The Group's cinema in Shanghai was closed for nearly four months due to COVID-19, while the Hangzhou cinema was closed for approximately one week[44]. - The Group has fully repaid the remaining loan of RMB13 million (approximately HK$14.6 million) during the Period, while maintaining a cautious investment approach due to the impact of COVID-19 on the VR and MR business environment[24][26]. Strategic Focus and Future Plans - The Group continues to focus on Filmed Entertainment, New Media Exploitations, Licensing Businesses, and Cinema Business as its primary operational segments[16]. - The Company is actively exploring new strategies for market expansion and potential new product offerings in the entertainment sector[16]. - The Company aims to leverage its existing assets and capabilities to drive growth in the coming quarters[16]. - The Group plans to launch the movie-themed tourbillon watches business in 2023, collaborating with partners to develop, design, market, and sell these products[50]. - The Company aims to leverage its film production and licensing experience to explore new business areas that could enhance shareholder returns[36][38]. - The Group is focusing on identifying other business opportunities, including online game development, intellectual property licensing, and investments in the Chinese cultural industry[49]. Joint Ventures and Investments - Bingo Movie Development Limited has entered into a joint venture with Lechuang Holdings, owning 49% and 51% respectively, to invest and develop VR and MR projects, with a loan agreement of HK$25 million to HK$35 million[24][26]. - A joint venture for augmented reality digital live action role-playing game (LARP) projects was established with Guangzhou Jiu De Cultural and Technology Company Limited, with the Company holding a 51% stake[29][33]. - The joint venture with Jiu De was established in May 2022, but business operations have not yet commenced[35][39]. - High Art Limited entered into a joint venture to develop movie-themed tourbillon watches, with a total share capital of HKD2,000,000[36]. - The equity interest in the joint venture for movie-themed watches will be owned as to 60% by High Art, 20% by Memorigin, and 20% by Topping Mark[37]. Administrative and Financial Management - The Group's performance is closely monitored to adapt to market changes and optimize operational efficiency[16]. - Administrative expenses decreased from approximately HK$12.2 million in the corresponding period to approximately HK$10.7 million for the period[43]. - The finance costs for the nine months ended December 31, 2022, were HK$1,405,000, down 25.2% from HK$1,878,000 in the previous year[56]. - The total finance costs for the three months ended December 31, 2022, were HK$474,000, a decrease from HK$646,000 in the same period of 2021[82]. - The company aims to improve cash flow and reduce administrative costs through the termination of the share award scheme[79]. Share Capital and Options - The principal amount of the 2022 convertible bonds issued is HK$19,000,000, with a conversion price of HK$0.275[72]. - The Company has a share option scheme with a total of 231,120,000 options granted across different years[74]. - The adjusted exercise prices for the share options are HK$1.68, HK$0.74, and HK$0.84 for the respective grants[74]. - The maturity date for the 2022 convertible bonds is December 31, 2025[72]. - As of December 31, 2022, a total of 1,278,000 awarded shares were granted to employees, with 854,000 shares lapsed and 424,000 shares cancelled[79]. - The company terminated the share award scheme effective August 14, 2022, resulting in no awarded shares vesting and the cancellation of previous awards without compensation[79]. - For the nine months ended December 31, 2022, no share-based payments were recognized, compared to HK$1,218,000 in the same period of 2021[80]. Compliance and Governance - The Directors confirm that the information in the report is accurate and complete in all material respects, ensuring transparency for investors[5]. - The Group's unaudited results for the nine months ended December 31, 2022, have been reviewed and comply with applicable accounting standards and GEM Listing Rules[136]. - The audit committee comprises three independent non-executive directors, ensuring oversight of financial reporting and risk management[139]. - All directors have complied with the required standards of dealings regarding securities transactions throughout the nine months ended December 31, 2022[140].