Financial Performance - For the three months ended December 31, 2020, the company reported revenue of HKD 84,993,000, a decrease of 56.3% compared to HKD 194,292,000 for the same period in 2019[5] - The company recorded a loss before tax of HKD 1,570,000 for the three months ended December 31, 2020, compared to a profit of HKD 29,793,000 in the same period of 2019[5] - The net profit attributable to owners of the company for the three months ended December 31, 2020, was HKD 1,458,000, down from HKD 27,793,000 in the same period of 2019[5] - The earnings per share for the three months ended December 31, 2020, was HKD 0.18, a significant decrease from HKD 3.40 in the same period of 2019[7] - The total comprehensive income for the three months ended December 31, 2020, was HKD 13,697,000, compared to HKD 27,411,000 for the same period in 2019, reflecting a decline of 50.1%[7] - For the nine months ended December 31, 2020, the company reported a total revenue of HKD 148,483,000, down from HKD 213,648,000 in the same period of 2019, representing a decrease of 30.6%[5] - The loss attributable to owners of the company for the nine months ended December 31, 2020, was HKD 5,743,000, compared to a profit of HKD 12,112,000 in the same period of 2019[5] - The company’s total comprehensive income for the nine months ended December 31, 2020, was HKD 20,437,000, a decrease from HKD 522,000 in the same period of 2019[7] - The company reported a net loss of HKD 5,743 thousand for the nine months ended December 31, 2020, compared to a profit of HKD 12,112 thousand in the same period of 2019[46] Revenue Breakdown - Revenue from construction contracts for the three months ended December 31, 2020, was HKD 84,993 thousand, a decrease of 56.2% compared to HKD 194,292 thousand for the same period in 2019[38] - Interest income for the nine months ended December 31, 2020, was HKD 21 thousand, down 96.2% from HKD 557 thousand in the same period of 2019[38] - Power revenue for the nine months ended December 31, 2020, was HKD 5,141 thousand, a decrease of 18.3% compared to HKD 6,290 thousand for the same period in 2019[38] - Renewable energy business generated revenue of approximately HKD 148,483,000, a decrease of 30.5% compared to HKD 213,648,000 in the same period last year[50] Cost and Expenses - The total cost of construction materials and supplies for the three months ended December 31, 2020, was HKD 71,672 thousand, down 48.8% from HKD 139,942 thousand in the same period of 2019[41] - Contract costs amounted to approximately HKD 137,121,000 for the nine months ended December 31, 2020, down from HKD 186,281,000 in 2019, primarily due to costs from renewable energy business[62] - Employee costs decreased by approximately 32% to about HKD 8,277,000 for the nine months ended December 31, 2020, compared to HKD 12,126,000 for the same period in 2019[63] - Depreciation and amortization expenses decreased by approximately 17% to about HKD 2,886,000 for the nine months ended December 31, 2020, from HKD 3,477,000 in 2019[64] Financial Position - As of December 31, 2020, the company's equity attributable to owners was approximately HKD 221,022,000, an increase of about 9.6% from HKD 201,637,000 as of March 31, 2020[82] - The group's cash and cash equivalents as of December 31, 2020, were approximately HKD 39,703,000, representing a decrease of about 66% from HKD 118,214,000 as of March 31, 2020[83] - The capital debt ratio as of December 31, 2020, was approximately 14%, down from 25% as of March 31, 2020[85] Corporate Governance - The company has established an audit committee in compliance with GEM Listing Rules and has defined its responsibilities, including reviewing the group's accounting policies and financial reporting procedures[102] - The audit committee is responsible for evaluating the performance of internal financial and audit personnel, as well as assessing the group's internal controls[102] - All directors confirmed compliance with the trading code for securities transactions during the nine months ended December 31, 2020[101] Strategic Focus - The company continues to focus on expanding its renewable energy business in China, which remains its primary operational area[12] - The company plans to increase investment in technology research and development to enhance the performance of photovoltaic tracking systems and reduce the cost of electricity generation[79] - The company aims to expand its international market share, leveraging its technological advantages and successful experiences, with plans to enter markets in Africa, India, and Southeast Asia[79] - The management believes that national policies promoting grid parity projects and strict regulations on subsidy projects will significantly impact the photovoltaic industry, and the company will actively respond to adapt to new developments[80] Lease Accounting - The company has adopted the new Hong Kong Financial Reporting Standard No. 16 for leases, which replaces the previous standard and has been applied for the first time during the interim period[17] - The accounting policy changes due to the adoption of HKFRS 16 include the definition of leases and the allocation of contract consideration to lease and non-lease components based on their relative standalone prices[20] - Short-term leases (12 months or less) and low-value asset leases are recognized as expenses on a straight-line basis over the lease term[21] - The cost of right-of-use assets includes the initial measurement of lease liabilities, any lease payments made before the commencement date, and any initial direct costs incurred by the company[25] - Lease liabilities are recognized at the present value of unpaid lease payments, using the incremental borrowing rate if the implicit rate is not readily determinable[28] - The company will present right-of-use assets as a separate item in the condensed consolidated financial position statement[26] - The company has implemented a practical expedient to not separate non-lease components from lease components, treating them as a single lease component[20] - The company will account for lease modifications as a separate lease if the modification increases the rights to use one or more underlying assets[30] - The company has not identified any significant impact on its financial performance or position from the application of the new standards and interpretations[18] - The initial application of the new standards has not resulted in significant changes to the disclosures in the condensed consolidated financial statements[18]

Financial Performance - Revenue for the six months ended September 30, 2020, was HKD 63,490,000, a significant increase of 228.5% compared to HKD 19,356,000 for the same period in 2019[5] - The company reported a loss before tax of HKD 6,416,000 for the six months ended September 30, 2020, compared to a loss of HKD 13,790,000 for the same period in 2019, representing a 53.4% improvement[5] - Basic and diluted loss per share for the six months ended September 30, 2020, was HKD (0.88), compared to HKD (1.92) for the same period in 2019, indicating a reduction in losses[7] - The total comprehensive income for the six months ended September 30, 2020, was HKD 6,740,000, a recovery from a loss of HKD 26,889,000 for the same period in 2019[7] - The group incurred a loss attributable to owners of HKD 7,201,000 for the six months ended September 30, 2020, compared to a loss of HKD 15,681,000 for the same period in 2019, indicating an improvement[60] - The adjusted loss before tax for the six months ended September 30, 2020, was HKD 60,764,000, compared to HKD 23,389,000 for the same period in 2019, reflecting increased operational costs[53] Assets and Liabilities - Total assets as of September 30, 2020, amounted to HKD 367,770,000, slightly down from HKD 373,504,000 as of March 31, 2020[10] - The net current assets increased to HKD 183,601,000 as of September 30, 2020, compared to HKD 176,741,000 as of March 31, 2020, showing improved liquidity[12] - The company’s non-current assets totaled HKD 44,926,000 as of September 30, 2020, slightly down from HKD 45,046,000 as of March 31, 2020[10] - The company’s total equity as of September 30, 2020, was HKD 228,527,000, an increase from HKD 221,787,000 as of March 31, 2020[12] - The company’s total liabilities and equity amounted to HKD 230,373,000, indicating a stable financial position despite the losses[16] Cash Flow - The net cash used in operating activities was HKD (20,670,000) for the six months ended September 30, 2020, compared to HKD 303,102,000 in the previous year[18] - The company experienced a net decrease in cash and cash equivalents of HKD (69,150,000) during the period, compared to HKD (29,221,000) in the prior year[18] - The company had cash and cash equivalents of HKD 49,064,000 at the end of the period, slightly down from HKD 49,438,000 at the end of the previous year[18] - As of September 30, 2020, the group's cash and cash equivalents were approximately HKD 49,064,000, a decrease of about 58% compared to HKD 118,214,000 on March 31, 2020[104] Revenue Segments - The renewable energy segment reported revenue of HKD 63,490,000 for the six months ended September 30, 2020, compared to HKD 19,356,000 for the same period in 2019, representing a growth of 228%[52] - Major customers contributing over 10% of total revenue included Customer 1 with HKD 14,667,000 (up from HKD 7,474,000), Customer 2 with HKD 10,452,000 (up from HKD 2,463,000), and Customer 3 with HKD 10,298,000 (up from HKD 1,529,000) for the six months ended September 30, 2020[48] - The group reported construction contract revenue of HKD 26,192,000 for the three months ended September 30, 2020, compared to HKD 8,329,000 for the same period in 2019, showing a significant increase[52] - Total other income, including interest income, was HKD 3,792,000 for the six months ended September 30, 2020, down from HKD 6,529,000 in the same period of 2019[52] Operational Developments - The company plans to continue expanding its market presence and investing in new technologies to enhance its competitive edge in the renewable energy sector[5] - The company is focused on expanding its renewable energy business in China, which remains its primary operational area[21] - The group has signed multiple procurement contracts for photovoltaic support systems, including a 100MW project with Sungrow Power Supply Co., Ltd.[13][15] - The group is committed to maximizing land resource utilization through innovative designs, such as the high land utilization "A-frame" bracket system[83] - The group has developed a multi-point linkage bracket system, enhancing safety and stability through a torque transmission system that adapts to complex terrain[83] - The group is focusing on enhancing product performance and reducing electricity costs to promote grid parity in the photovoltaic sector[83] Compliance and Governance - The financial statements were prepared in accordance with Hong Kong Financial Reporting Standards, ensuring compliance with local regulations[22] - The company adopted new accounting standards effective from April 1, 2020, which may impact future financial reporting[27] - The audit committee has reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2020, and found them to comply with applicable accounting standards[125] - The company has not disclosed any significant events that occurred after September 30, 2020, up to the report date[126] Shareholder Information - As of September 30, 2020, Mr. Wu Jianong holds 231,454,000 shares, representing 28.30% of the company's equity[116] - Zhenjie Limited, a major shareholder, owns 224,380,000 shares, accounting for 27.43% of the total equity[120] - Victory Stand International Limited holds 206,000,000 shares, which is 25.18% of the company's equity[121] - The issued share capital as of September 30, 2020, was HKD 8,180,000, with 818,000,000 ordinary shares issued[69] Employee and Management - The company’s management compensation for the reporting period was HKD 879,000, a decrease from HKD 1,629,000 in the same period last year[72] - Employee costs decreased by approximately 31% to about HKD 3,593,000 for the six months ended September 30, 2020, compared to approximately HKD 5,213,000 for the same period in 2019[88] - The group has 97 employees as of September 30, 2020, an increase from 93 employees on March 31, 2020[111] Future Outlook - The group plans to expand its international market share, targeting regions such as Africa, India, and Southeast Asia, leveraging its technological advantages and successful experiences[100] - The new national policy on photovoltaic power generation is expected to have a significant impact on the industry, and the group will actively respond to adapt to the new developments[102]

Financial Performance - The company reported revenue of HKD 37,298,000 for the three months ended June 30, 2020, a significant increase of 238% compared to HKD 11,027,000 for the same period in 2019[5]. - The company achieved a profit of HKD 2,746,000 for the period, compared to a loss of HKD 7,272,000 in the previous year, marking a turnaround in performance[5]. - Basic and diluted earnings per share for the company were HKD 0.27, compared to a loss per share of HKD 0.96 in the same quarter of 2019[5]. - The company incurred a total comprehensive loss of HKD 2,228,000 for the period, a significant improvement from a loss of HKD 13,417,000 in the prior year[7]. - The company reported a gross profit of HKD 6,408,000, representing a gross margin of approximately 17.2%[5]. - The total operating expenses decreased to HKD 3,363,000 from HKD 5,691,000 in the same quarter of the previous year, reflecting a reduction of 41.5%[5]. - The company’s other income for the period was HKD 2,023,000, down from HKD 3,378,000 in the previous year[5]. - The company’s tax expense for the period was HKD 843,000, compared to HKD 479,000 in the same quarter of 2019[5]. - The company recorded a pre-tax loss of HKD 30,890,000 for the three months ended June 30, 2020, compared to a loss of HKD 11,681,000 in the same period of 2019, indicating a deterioration in financial performance[19]. - The company’s interest income increased to HKD 107,000 for the three months ended June 30, 2020, up from HKD 28,000 in the same period of 2019, showing improved financial management[17]. - The company’s total costs of contract materials and supplies amounted to HKD 29,045,000 for the three months ended June 30, 2020, compared to HKD 9,061,000 in the same period of 2019, indicating rising operational costs[19]. - Employee costs decreased by approximately 34% to about HKD 1,857,000 for the three months ended June 30, 2020, down from HKD 2,817,000 in 2019[39]. - The group achieved a net profit attributable to the owners of approximately HKD 2,227,000 for the three months ended June 30, 2020, compared to a loss of HKD 7,838,000 in 2019[43]. Business Operations - The company continues to focus on expanding its renewable energy business in China, which remains its primary market[12]. - The company signed contracts totaling a capacity of 126.2 MW during the reporting period, reflecting ongoing expansion in its renewable energy business[28]. - The group successfully passed the EU RoHS quality standard certification and became the first supplier in the country to obtain TÜV SÜD certification for its floating photovoltaic support system[34]. - The group has developed a high land utilization triangular support system, which significantly reduces external load impact and is designed to meet project-specific geographical and climatic conditions[33]. - The group is focusing on upgrading existing support products to enhance market competitiveness and maintain its market share in the support product sector[33]. - The group’s subsidiary obtained a Class B engineering design qualification in the renewable energy sector, further solidifying its leading position in the industry[34]. - The group is committed to promoting the healthy development of the industry by improving product performance and reducing electricity costs, aligning with national policies on renewable energy[33]. Financial Position - As of June 30, 2020, the company's cash and cash equivalents amounted to approximately HKD 77,658,000, representing a 70% increase compared to HKD 45,773,000 in 2019[59]. - The company's debt as of June 30, 2020, was approximately HKD 26,056,000, a significant decrease from HKD 115,156,000 in 2019[60]. - The capital-to-debt ratio as of June 30, 2020, was approximately 14%, down from 37% in 2019, indicating improved financial stability[61]. Strategic Initiatives - The company plans to expand its international market presence, targeting regions such as Africa, India, and Southeast Asia, leveraging its technological advantages and successful experiences[54]. - The company is increasing its investment in R&D to enhance the performance of its photovoltaic tracking systems and reduce the cost of electricity generation[54]. - The company aims to maintain and enhance its market share in the photovoltaic tracking system sector through collaborations with large enterprises in the industry[54]. - The management anticipates that new national policies aimed at promoting grid parity projects will significantly impact the photovoltaic industry, and the company will actively adapt to these changes[55]. Compliance and Governance - The company is committed to adhering to the new and revised Hong Kong Financial Reporting Standards effective from April 1, 2020, ensuring compliance and transparency in its financial reporting[13]. - The company is currently evaluating the impact of new and revised accounting standards but has not identified any significant financial impact on its operations[16]. - The company has not applied any new or revised accounting standards that have been issued but are not yet effective, indicating a cautious approach to regulatory changes[16]. - The company has established an audit committee in compliance with GEM Listing Rules, responsible for reviewing financial systems and accounting policies[79]. Shareholder Information - The company holds approximately 28.30% equity in the form of 231,454,000 shares owned by its executive director, indicating strong insider ownership[69]. - Major shareholders include Zhenjie Limited with 224,380,000 shares, representing 27.43% ownership, and Victory Stand with 206,000,000 shares, representing 25.18% ownership[73][74]. - Zhenjie Limited is beneficially owned 96% by Mr. Wu Jianong, who is deemed to have an interest in all shares held by Zhenjie Limited[73]. - Victory Stand's shares are beneficially owned by Mr. Hu Qichu (73.88%), Ms. Huang Huiling (17.41%), and Mr. Lei Hongren (8.71%)[74]. - No stock options have been granted under the share option scheme since its adoption on November 2, 2013, and there are no outstanding, granted, cancelled, or lapsed options as of June 30, 2020[75]. - The company has not declared or paid any dividends for the three months ended June 30, 2020, consistent with the previous year[26].

[Chairman's Statement](index=5&type=section&id=%E4%B8%BB%E5%B8%AD%E5%A0%B1%E5%91%8A%E6%9B%B8) [Chairman's Statement](index=5&type=section&id=%E4%B8%BB%E5%B8%AD%E5%A0%B1%E5%91%8A%E6%9B%B8) The Group's revenue and profit declined significantly due to adjustments in national photovoltaic policies | Metric | FY2020 | FY2019 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | HK$284.9 million | HK$542.3 million | -47% | | Profit attributable to owners of the Company | HK$6.3 million | HK$23.4 million | -73% | - During the year, the Group signed new contracts with a total installed capacity of **412.0357MW**[11](index=11&type=chunk) - The Group's future strategic priorities include increasing R&D investment in photovoltaic tracking systems, promoting "Top Runner" and poverty alleviation projects, and expanding its international market share, particularly along the "Belt and Road" initiative[12](index=12&type=chunk) [Management Discussion and Analysis](index=7&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E8%88%87%E5%88%86%E6%9E%90) [Business Review](index=8&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) The renewable energy business generated revenue of HK$285 million and secured 23 new contracts totaling 412MW | Business Segment | FY2020 Revenue | FY2019 Revenue | | :--- | :--- | :--- | | Renewable Energy Business | HK$284.887 million | HK$542.314 million | - During the reporting period, the Group signed 23 new contracts with a total installed capacity of **412.0357MW**, with major partners including Sungrow Power Supply and State Power Investment Corporation[16](index=16&type=chunk)[17](index=17&type=chunk)[20](index=20&type=chunk) - The Group achieved technological breakthroughs by launching a multi-point linkage tracking system and a herringbone tracking system with high land utilization to enhance product safety, stability, and efficiency[29](index=29&type=chunk) - The Group obtained several key qualifications and certifications, including EU RoHS for floating pontoons, 3C for tracker distribution cabinets, UL for tracking systems, and a Grade B engineering design qualification for the power industry[30](index=30&type=chunk) [Financial Review](index=13&type=section&id=%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%A7) Revenue decreased by 47% to HK$285 million, and profit attributable to owners fell sharply to HK$6.3 million | Financial Metric | FY2020 (HK$ '000) | FY2019 (HK$ '000) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 284,887 | 542,314 | -47% | | Contract costs | 245,191 | 468,504 | -48% | | Staff costs | 13,611 | 20,156 | -32% | | Administrative and other operating expenses | 17,349 | 14,985 | +16% | | Profit attributable to owners of the Company | 6,329 | 23,424 | -73% | [Future Prospects](index=14&type=section&id=%E6%9C%AA%E4%BE%86%E5%89%8D%E6%99%AF) The Group will focus on R&D for photovoltaic tracking systems and expand into overseas markets - National policies are promoting grid parity for wind and solar power without subsidies and regulating competitive allocation for subsidized projects, significantly impacting the photovoltaic industry[42](index=42&type=chunk)[43](index=43&type=chunk)[49](index=49&type=chunk) - The Group's strategy is to increase R&D investment to capture domestic market share while leveraging international certifications like UL to expand into overseas markets such as Africa, India, and Southeast Asia[49](index=49&type=chunk) [Liquidity, Financial and Capital Resources](index=17&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E3%80%81%E8%B2%A1%E5%8B%99%E5%8F%8A%E8%B3%87%E6%9C%AC%E4%BE%86%E6%BA%90) The Group maintained a sound financial position with cash increasing by 50% and the gearing ratio improving to 25% | Metric | 31 March 2020 | 31 March 2019 | | :--- | :--- | :--- | | Cash and cash equivalents | HK$118.2 million | HK$78.66 million | | Bank borrowings (short-term) | HK$62.11 million | HK$103.2 million | | Gearing ratio | 25% | 40% | | Number of employees | 93 | 176 | - The Group's operations are mainly in Mainland China with most transactions settled in RMB, exposing it to RMB exchange rate fluctuation risk; no foreign exchange hedging measures are currently in place[57](index=57&type=chunk) [Principal Risks and Uncertainties](index=19&type=section&id=%E4%B8%BB%E8%A6%81%E9%A2%A8%E9%9A%AA%E5%8F%8A%E4%B8%8D%E6%98%8E%E6%9C%97%E5%9B%A0%E7%B4%A0) The Group's main risks include credit, interest rate, and liquidity risks, which are managed through monitoring - The Group's main financial risks include **credit risk** from contract assets and trade receivables, **interest rate risk**, and **liquidity risk**, which is managed by monitoring cash levels[66](index=66&type=chunk)[67](index=67&type=chunk)[68](index=68&type=chunk) - The Group is committed to environmental protection and will publish a detailed ESG report by September 30, 2020[69](index=69&type=chunk) - During the reporting period, the Company complied with all material relevant laws and regulations, including the Securities and Futures Ordinance and the GEM Listing Rules[70](index=70&type=chunk) [Biographical Details of Directors and Senior Management](index=21&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E9%AB%98%E7%B4%9A%E7%AE%A1%E7%90%86%E4%BA%BA%E5%93%A1%E7%B0%A1%E6%AD%B7) [Biographical Details of Directors and Senior Management](index=21&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E9%AB%98%E7%B4%9A%E7%AE%A1%E7%90%86%E4%BA%BA%E5%93%A1%E7%B0%A1%E6%AD%B7) This section details the extensive experience of the executive and independent non-executive directors - **Executive Director Team**: - **Mr. Wu Jiannong** (Chairman and CEO): Responsible for strategic development, with an engineer qualification and an MBA - **Ms. Shen Menghong** (Executive Director and Compliance Officer): Responsible for strategic development, experienced in corporate strategy, M&A, and financial management - **Mr. Xu Shuisheng** (Executive Director): Responsible for strategic development, with an engineer qualification in mechanical engineering[79](index=79&type=chunk)[80](index=80&type=chunk)[82](index=82&type=chunk) - **Independent Non-executive Director Team**: - **Ms. Wang Xiaoxiong**: Experienced in audit, finance, and accounting; a Chinese Certified Public Accountant - **Mr. Zhou Yuan**: Experienced in corporate, government, and chamber of commerce management - **Mr. Yuan Jiangang**: A Chinese Certified Public Accountant and Certified Asset Appraiser, serving as an independent director for multiple listed companies[83](index=83&type=chunk)[87](index=87&type=chunk) [Report of the Directors](index=24&type=section&id=%E8%91%A3%E4%BA%8B%E6%9C%83%E5%A0%B1%E5%91%8A) [Principal Business, Performance and Dividends](index=24&type=section&id=%E4%B8%BB%E8%A6%81%E6%A5%AD%E5%8B%99%E3%80%81%E6%A5%AD%E7%B8%BE%E5%8F%8A%E8%82%A1%E6%81%AF) The Group is engaged in the renewable energy business in China and does not recommend a final dividend - The Company's principal activity is investment holding, with its subsidiaries primarily engaged in the renewable energy business in China[91](index=91&type=chunk)[92](index=92&type=chunk) - The Board **does not recommend the payment of a final dividend** for the year ended 31 March 2020, consistent with the previous year[94](index=94&type=chunk) [Major Customers, Suppliers and Connected Transactions](index=26&type=section&id=%E4%B8%BB%E8%A6%81%E5%AE%A2%E6%88%B6%E3%80%81%E4%BE%9B%E6%87%89%E5%95%86%E5%8F%8A%E9%97%9C%E9%80%A3%E4%BA%A4%E6%98%93) The Group has high customer and supplier concentration and conducted a connected transaction for equipment sales | Concentration Metric | Percentage | | :--- | :--- | | Sales to top five customers | ~83% | | Sales to largest customer | ~38% | | Purchases from top five suppliers | ~59% | | Purchases from largest supplier | ~25% | - On 31 October 2019, the Group entered into an agreement to sell freeze-drying equipment and provide related services to Zhejiang Xingcai Agricultural Technology Co, Ltd (indirectly controlled by Chairman Mr. Wu Jiannong) for a consideration of **RMB2.97 million**[107](index=107&type=chunk) [Directors' and Shareholders' Interests in Shares](index=29&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E8%82%A1%E6%9D%B1%E6%96%BC%E8%82%A1%E4%BB%BD%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A) Chairman Mr. Wu Jiannong is deemed to hold approximately 28.30% of the Company's shares | Shareholder Name | Capacity/Nature of Interest | Number of Shares | Approx. % of Shareholding | | :--- | :--- | :--- | :--- | | Mr. Wu Jiannong | Interest in a controlled corporation | 231,454,000 | 28.30% | | Zhenjie Co, Ltd | Beneficial owner | 224,380,000 | 27.43% | | Victory Stand | Beneficial owner | 206,000,000 | 25.18% | - Mr. Wu Jiannong, Mr. Xu Shuisheng, and Ms. Shen Menghong jointly hold shares in Zhenjie Co, Ltd and Century Group Co, Ltd, and under the SFO, Mr. Wu Jiannong is deemed to have an interest in all shares held by these two companies[125](index=125&type=chunk) [Share Option Scheme](index=31&type=section&id=%E8%B3%BC%E8%82%A1%E6%AC%8A%E8%A8%88%E5%8A%83) The Company has a share option scheme adopted in 2013, but no options have been granted to date - The share option scheme is designed to incentivize employees, directors, consultants, and business partners of the Group[137](index=137&type=chunk) - Since the adoption of the share option scheme to the date of this report, **no options have ever been granted**, and thus there are no options outstanding, granted, cancelled, or lapsed[147](index=147&type=chunk)[148](index=148&type=chunk) [Corporate Governance Report](index=35&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%A0%B1%E5%91%8A) [Corporate Governance Practices](index=35&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%B8%B8%E8%A6%8F) The Company complied with the Corporate Governance Code, with the deviation of the Chairman and CEO roles being combined - The Company complied with all applicable code provisions of the Corporate Governance Code, with one deviation[160](index=160&type=chunk) - The deviation relates to code provision A.2.1, where the roles of Chairman and CEO are held by the same individual, **Mr. Wu Jiannong**, which the Board believes provides strong leadership and is balanced by the Board's composition[161](index=161&type=chunk) [Board of Directors and Committees](index=37&type=section&id=%E8%91%A3%E4%BA%8B%E6%9C%83%E5%8F%8A%E5%A7%94%E5%93%A1%E6%9C%83) The Board is supported by Audit, Remuneration, Nomination, and Compliance Committees to fulfill its duties - The Board has established four committees: Audit, Remuneration, Nomination, and Compliance, each with written terms of reference[176](index=176&type=chunk) - The Audit Committee consists of three independent non-executive directors and is primarily responsible for reviewing financial reports, accounting policies, and internal controls[177](index=177&type=chunk)[178](index=178&type=chunk) - The Company has adopted a board diversity policy, with selection criteria including gender, age, cultural background, and professional experience[188](index=188&type=chunk) | Committee | Chairman | Key Responsibilities | | :--- | :--- | :--- | | Audit Committee | Mr. Yuan Jiangang | Review financial reports, internal controls | | Remuneration Committee | Mr. Zhou Yuan | Review director and senior management remuneration | | Nomination Committee | Ms. Wang Xiaoxiong | Review board structure, nominate directors | | Compliance Committee | Ms. Shen Menghong | Supervise the Group's compliance system | [Risk Management and Internal Control](index=43&type=section&id=%E9%A2%A8%E9%9A%AA%E7%AE%A1%E7%90%86%E5%8F%8A%E5%85%A7%E9%83%A8%E7%9B%A3%E6%8E%A7) The Board oversees the risk management system, which is based on a "three lines of defense" model - The Board has overall responsibility for overseeing the risk management and internal control systems and reviews their effectiveness through the Audit Committee[197](index=197&type=chunk) - The Group's risk management adopts a **"three lines of defense" model**: the first line is operational management, the second is the finance department, and the third is the outsourced independent internal audit (performed by TUS Corporate Advisory Co, Ltd)[202](index=202&type=chunk)[209](index=209&type=chunk) - The Group currently **does not have an internal audit function**, as the Board considers it more cost-effective to appoint external professionals given the company's scale[201](index=201&type=chunk) [Independent Auditor's Report](index=48&type=section&id=%E7%8D%A8%E7%AB%8B%E6%A0%B8%E6%95%B8%E5%B8%AB%E5%A0%B1%E5%91%8A) [Independent Auditor's Report](index=48&type=section&id=%E7%8D%A8%E7%AB%8B%E6%A0%B8%E6%95%B8%E5%B8%AB%E5%A0%B1%E5%91%8A) The auditor issued an unqualified opinion, highlighting the accounting for construction contracts as a key audit matter - The auditor, HLB Hodgson Impey Cheng Limited, issued an **unqualified opinion** on the consolidated financial statements, stating they give a true and fair view of the Group's financial position and performance in accordance with HKFRSs[228](index=228&type=chunk) - The **key audit matter** was identified as the "accounting for revenue, costs and contract assets from construction contracts" due to the significant management judgment and estimation required[230](index=230&type=chunk)[233](index=233&type=chunk) [Financial Statements](index=52&type=section&id=%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=52&type=section&id=%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) Revenue from continuing operations was HK$285 million, with profit for the year at HK$8.1 million | Item (HK$ '000) | FY2020 | FY2019 | | :--- | :--- | :--- | | **Revenue from continuing operations** | **284,887** | **542,314** | | Profit before tax | 11,395 | 35,121 | | Profit for the year | 8,090 | 31,624 | | **Profit attributable to owners of the Company** | **6,329** | **29,640** | | - From continuing operations | 6,329 | 23,424 | | - From discontinued operations | – | 6,216 | | **Basic earnings per share (HK cents)** | **0.77** | **3.62** | - Other comprehensive expense for the year was mainly from exchange differences on translation of foreign operations, amounting to HK$16.68 million, resulting in a total comprehensive expense of HK$8.59 million[255](index=255&type=chunk) [Consolidated Statement of Financial Position](index=54&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of 31 March 2020, the Group's total assets were HK$419 million and net assets were HK$222 million | Item (HK$ '000) | 31 March 2020 | 31 March 2019 | | :--- | :--- | :--- | | **Non-current assets** | **45,046** | **52,547** | | **Current assets** | **373,504** | **434,006** | | - Cash and cash equivalents | 118,214 | 78,659 | | - Trade and bills receivables | 118,167 | 198,504 | | - Contract assets | 102,255 | 96,393 | | **Current liabilities** | **196,763** | **256,180** | | - Bank borrowings | 62,110 | 103,171 | | **Net assets** | **221,787** | **230,373** | | **Total equity** | **221,787** | **230,373** | [Consolidated Statement of Cash Flows](index=57&type=section&id=%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) Net cash from operating activities was HK$80.4 million, resulting in a net increase in cash of HK$44.5 million | Item (HK$ '000) | FY2020 | FY2019 | | :--- | :--- | :--- | | Net cash from operating activities | 80,418 | (6,130) | | Net cash from/(used in) investing activities | 291 | (1,321) | | Net cash (used in)/from financing activities | (36,240) | 31,795 | | **Net increase in cash and cash equivalents** | **44,469** | **24,344** | | Cash and cash equivalents at beginning of year | 78,659 | 69,831 | | **Cash and cash equivalents at end of year** | **118,214** | **78,659** | [Notes to the Financial Statements (Selected)](index=59&type=section&id=%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB(%E9%81%B8%E6%91%98)) The notes detail financial items, including the adoption of HKFRS 16, customer concentration, and related party transactions [Note 5: Segment Information and Revenue](index=87&type=section&id=Note%205.%20%E5%88%86%E9%83%A8%E8%B3%87%E6%96%99%E5%8F%8A%E6%94%B6%E7%9B%8A) The Group now operates a single reportable segment, renewable energy, with significant customer concentration - Following the disposal of the restaurant business, the Group's renewable energy business is considered a single reportable segment[418](index=418&type=chunk) | Major Customer | FY2020 Revenue (HK$ '000) | % of Total Revenue | | :--- | :--- | :--- | | Customer B | 107,201 | 37.6% | | Customer D | 42,822 | 15.0% | | Customer C | 39,799 | 14.0% | | Customer A | 32,768 | 11.5% | [Note 40: Related Party Transactions](index=122&type=section&id=Note%2040.%20%E9%97%9C%E8%81%AF%E6%96%B9%E4%BA%A4%E6%98%93) The Group engaged in transactions with related parties, including rental expenses and equipment sales - The Group conducted several transactions with companies controlled by directors, which were carried out on terms mutually agreed upon in the ordinary course of business[569](index=569&type=chunk) | Related Party | Controlling Party | Nature of Transaction | Amount (HK$ '000) | | :--- | :--- | :--- | :--- | | Jiangshan Youhe Machinery Co, Ltd | Mr. Xu Shuisheng | Rental expenses | 518 | | Zhejiang Xingcai Agricultural Technology Co, Ltd | Mr. Wu Jiannong | Sale of equipment | 3,297 | [Note 44: Financial Risk Management Objectives and Policies](index=125&type=section&id=Note%2044.%20%E9%87%91%E8%9E%8D%E9%A2%A8%E9%9A%AA%E7%AE%A1%E7%90%86%E7%9B%AE%E6%A8%99%E5%8F%8A%E6%94%BF%E7%AD%96) The Group manages financial risks including credit and liquidity, with the gearing ratio improving from 40% to 25% - The Group faces major financial risks including credit, interest rate, foreign exchange, and liquidity risks[582](index=582&type=chunk) - There is a **significant credit concentration risk**: trade receivables from the largest customer accounted for 27% of the total, and the top five customers accounted for 73%[593](index=593&type=chunk) | Item (HK$ '000) | 2020 | 2019 | | :--- | :--- | :--- | | Total debt | 73,465 | 154,522 | | Total equity | 221,787 | 230,373 | | **Gearing ratio** | **25%** | **40%** | [Five-Year Financial Summary](index=133&type=section&id=%E4%BA%94%E5%B9%B4%E8%B2%A1%E5%8B%99%E6%A6%82%E8%A6%81) [Five-Year Financial Summary](index=133&type=section&id=%E4%BA%94%E5%B9%B4%E8%B2%A1%E5%8B%99%E6%A6%82%E8%A6%81) The summary shows a revenue peak in 2018 followed by a decline, with assets and equity slightly down in 2020 | Item (HK$ '000) | 2020 | 2019 | 2018 | 2017 | 2016 | | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenue** | 284,887 | 691,113 | 907,651 | 834,970 | 406,285 | | **Profit attributable to owners of the Company** | 6,329 | 29,640 | 21,006 | 25,992 | 5,078 | | **Total Assets** | 418,550 | 486,553 | 701,891 | 623,777 | 434,763 | | **Total Liabilities** | (196,763) | (256,180) | (478,410) | (467,391) | (344,411) | | **Equity attributable to owners of the Company** | 201,637 | 210,722 | 197,166 | 152,077 | 85,975 |

Financial Performance - For the three months ended December 31, 2019, the company reported revenue of HKD 194,292,000, a decrease of 7.2% compared to HKD 209,424,000 for the same period in 2018[5] - The company achieved a profit before tax of HKD 29,793,000 for the three months ended December 31, 2019, representing an increase of 13.3% from HKD 26,288,000 in the same period of 2018[5] - The net profit for the three months ended December 31, 2019, was HKD 28,217,000, up 22.5% from HKD 23,014,000 in the same period of 2018[5] - Earnings per share for the three months ended December 31, 2019, increased to HKD 3.40, compared to HKD 2.56 for the same period in 2018, reflecting a growth of 32.8%[7] - The total comprehensive income for the three months ended December 31, 2019, was HKD 27,411,000, compared to HKD 24,128,000 in the same period of 2018, indicating a growth of 9.5%[7] - For the nine months ended December 31, 2019, the company reported total revenue of HKD 661,720,000, a decrease of 0.3% from HKD 665,000,000 in the same period of 2018[5] - The net profit for the nine months ended December 31, 2019, was HKD 13,633,000, down 63.5% from HKD 37,347,000 in the same period of 2018[5] - The group reported a pre-tax profit of HKD 186,281,000 for the nine months ended December 31, 2019, compared to HKD 443,409,000 for the same period in 2018[43] - The company recorded a net profit attributable to owners of approximately HKD 12.11 million for the nine months ended December 31, 2019, compared to HKD 34.86 million in 2018[68] Revenue Sources - Restaurant operations revenue for the nine months ended December 31, 2019, was HKD 148,799,000, compared to HKD 46,183,000 for the same period in 2018[40] - Construction contract revenue increased to HKD 213,648,000 for the three months ended December 31, 2019, from HKD 163,241,000 in the same period of 2018, representing a growth of 30.9%[40] - Total revenue for the nine months ended December 31, 2019, was HKD 661,720,000, compared to HKD 512,921,000 for the same period in 2018, indicating a year-on-year increase of 29.0%[40] - The renewable energy business generated revenue of approximately HKD 213,648,000 for the period ending December 31, 2019, a decrease of 58.3% compared to HKD 512,921,000 in the same period of 2018[52] Expenses and Costs - The company reported a significant increase in administrative and operational expenses, which impacted overall profitability during the reporting period[5] - Employee benefits expenses (excluding directors and key management personnel) for the nine months ended December 31, 2019, totaled HKD 9,364,000, down from HKD 63,050,000 in the same period of 2018[43] - The group recognized a loss of HKD 400,000 from the sale of property, plant, and equipment during the nine months ended December 31, 2019[43] - Contract costs for the same period were approximately HKD 186.28 million, down from HKD 443.41 million in 2018, primarily due to reduced sales orders from the photovoltaic power generation policy[64] - Employee costs decreased by approximately 82% to about HKD 12.13 million, compared to HKD 66.74 million in the same period of 2018[65] - Depreciation and amortization expenses decreased by approximately 71% to about HKD 3.48 million, down from HKD 12.08 million in 2018[66] - Administrative and other operating expenses decreased by approximately 71% to about HKD 7.45 million, compared to HKD 25.29 million in the same period of 2018[67] Accounting Standards and Financial Reporting - The financial statements were prepared in accordance with the Hong Kong Financial Reporting Standards and the relevant accounting policies consistent with the previous annual financial statements[2][19] - The unaudited consolidated financial statements for the nine months ended December 31, 2019, do not include all the information and disclosures required in the annual financial statements[2][19] - The Group has adopted the new and revised Hong Kong Financial Reporting Standards effective from April 1, 2019, which did not have a significant impact on the financial performance and position[2][19] - The Group applied HKFRS 16 Leases for the first time during the interim period, replacing HKAS 17 Leases[2][20] - The application of the new accounting standards did not result in significant changes to the Group's financial statements[2][19] Strategic Initiatives - The company plans to continue expanding its renewable energy business in China, focusing on new technologies and market opportunities[14] - The company is exploring potential mergers and acquisitions to enhance its market position and expand its operational capabilities[14] - The company continues to focus on developing photovoltaic tracking systems suitable for various complex terrains, aiming for technological breakthroughs[59] - The company aims to enhance its market position through technological innovation and has increased investment in research and development[60] - The company plans to expand its international market share, targeting regions such as Africa, India, and Southeast Asia, leveraging its technological advantages and successful experiences[76] - The company has established cooperation with Lebanon and aims to penetrate renewable energy markets in various countries along the "Belt and Road" initiative[76] Shareholder Information - Major shareholders include Zhenjie Limited with 224,380,000 shares, representing 27.43% ownership[92] - Victory Stand International Limited holds 206,000,000 shares, accounting for 25.18% ownership[93] - The company has not issued any stock options under the stock option plan since its adoption in November 2013[97] Taxation - The corporate income tax rate for subsidiaries in China is 25% as per the relevant laws and regulations[47] - The Hong Kong profits tax was provided at a rate of 16.5% based on estimated taxable profits generated in Hong Kong[46] Cash and Debt Position - As of December 31, 2019, the company's cash and cash equivalents amounted to approximately HKD 88,855,000, representing an increase of about 13% from HKD 78,659,000 as of March 31, 2019[80] - The company's capital debt ratio was approximately 33% as of December 31, 2019, down from about 40% as of March 31, 2019[82] - The company has entered into loan agreements with Chinese banks for a total principal amount of RMB 56,800,000, with annual interest rates of 5.916% and 6.090%[81] Dividends - The company did not declare or pay any dividends for the nine months ending December 31, 2019[49]

Financial Performance - Revenue for the six months ended September 30, 2019, was HKD 19,356,000, a decrease of 57.3% compared to HKD 452,296,000 for the same period in 2018[5] - The company reported a loss attributable to owners of the company of HKD 15,681,000 for the six months ended September 30, 2019, compared to a profit of HKD 13,927,000 in the same period of 2018[5] - The basic and diluted loss per share for the six months ended September 30, 2019, was HKD (1.92), compared to earnings per share of HKD 1.70 for the same period in 2018[7] - The company incurred contract costs of HKD (23,389,000) for the six months ended September 30, 2019, compared to HKD (301,376,000) for the same period in 2018[5] - The company’s total comprehensive expenses for the six months ended September 30, 2019, amounted to HKD (26,889,000), compared to HKD (10,783,000) for the same period in 2018[7] - The company reported a pre-tax loss of HKD 13,790,000 for the six months ended September 30, 2019, compared to a profit in the previous year[50] - The group recorded a net loss attributable to owners of approximately HKD 15,681,000 for the six months ended September 30, 2019, compared to a profit of HKD 13,927,000 in 2018[90] Assets and Liabilities - Total assets decreased to HKD 203,484,000 as of September 30, 2019, down from HKD 230,373,000 as of March 31, 2019[12] - Current assets totaled HKD 335,627,000 as of September 30, 2019, a decrease from HKD 434,006,000 as of March 31, 2019[10] - The company’s non-current assets totaled HKD 49,449,000 as of September 30, 2019, down from HKD 52,547,000 as of March 31, 2019[10] - The company’s current liabilities totaled HKD 181,592,000 as of September 30, 2019, down from HKD 256,180,000 as of March 31, 2019[10] - Total revenue for the six months ended September 30, 2019, was HKD 19,356,000, compared to HKD 452,296,000 for the same period in 2018, representing a significant decline[50] - Total assets as of September 30, 2019, amounted to HKD 385,076,000, while total liabilities were HKD 181,592,000[50] - The company’s total liabilities included HKD 128,240,000 in segment liabilities, indicating a focus on managing debt levels[50] Cash Flow - The net cash generated from operating activities for the six months ended September 30, 2019, was HKD 303,102 thousand, compared to HKD 298,685 thousand in the previous year, reflecting an increase of approximately 1.4%[17] - The net cash used in investing activities was HKD (33,638) thousand, while financing activities used HKD (21,766) thousand, indicating a significant cash outflow in both areas[17] - The cash and cash equivalents at the end of the period were HKD 49,438 thousand, up from HKD 39,446 thousand at the end of the same period last year, representing a year-over-year increase of approximately 25.4%[17] - The group’s cash and cash equivalents were approximately HKD 49,438,000 as of September 30, 2019, a decrease of about 37% from HKD 78,659,000 as of March 31, 2019[104] Operational Highlights - The company operates in the renewable energy sector in China, focusing on sustainable business practices and growth opportunities[20] - The renewable energy segment primarily engages in providing one-stop value-added solutions for photovoltaic power stations, including EPC, maintenance support, and operations[43] - The renewable energy business generated revenue of approximately HKD 19,356,000 for the reporting period, a significant decrease from HKD 349,680,000 in the same period last year[78] - Major customers in the renewable energy segment contributed over 10% of total group revenue, with Customer 1 generating HKD 7,474,000 and Customer 2 generating HKD 2,463,000 during the period[51] - The total installed capacity of contracts signed during the reporting period reached 105.0464 MW[78] - The company has entered into several new contracts, including a procurement contract for a 12.1069 MW photovoltaic project with Yingli Green Energy on September 9, 2019[82] - The company has established four wholly-owned subsidiaries to accelerate business development in renewable energy[78] Accounting Policies - The financial statements were prepared in accordance with Hong Kong Financial Reporting Standards, ensuring compliance with local regulations[21] - The application of HKFRS 16 has resulted in significant changes in accounting policies, particularly regarding lease recognition and measurement[24] - The company has adopted exemptions for short-term leases and low-value asset leases, simplifying its accounting approach[29] - The initial application of HKFRS 16 has not had a significant impact on the financial performance or position of the company during the reporting period[23] - The company has chosen not to restate comparative figures upon the initial application of HKFRS 16, with adjustments to asset and liability values recognized on March 1, 2019[39] - The company reported that lease liabilities are measured at the present value of unpaid lease payments, using the incremental borrowing rate if the implicit rate is not readily determinable[33] - The company has adopted a practical expedient to not recognize right-of-use assets and lease liabilities for leases with a term of 12 months or less[41] - The company will recognize lease modifications as a separate lease if the modification increases the scope of the lease by adding the right to use one or more underlying assets[36] - The company will adjust lease liabilities based on the revised discount rate at the effective date of the lease modification[36] Employee and Management Information - Management's compensation for the reporting period was HKD 1,629,000, an increase from HKD 1,406,000 in the same period last year[76] - Employee costs amounted to approximately HKD 5,213,000, a reduction of about 88% from HKD 41,717,000 in the same period of 2018, aligning with the revenue decrease[87] - The company employed 109 staff members as of September 30, 2019, down from 176 as of March 31, 2019[111] Shareholder Information - The issued share capital as of September 30, 2019, was HKD 8,180,000, with 818,000,000 ordinary shares issued[72] - The company’s major shareholder, Mr. Wu Jianong, holds 231,454,000 shares, representing approximately 28.30% of the total shareholding[117] - Rise Triumph Limited holds 224,380,000 shares, representing 27.43% of the company's equity[121] - Victory Stand International Limited owns 206,000,000 shares, accounting for 25.18% of the company's equity[121] - The company has not granted any stock options under the stock option plan since its adoption in November 2013[125] Compliance and Governance - The company has complied with all applicable corporate governance codes, except for a deviation regarding the separation of the roles of Chairman and CEO[112] - The audit committee has reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2019, and found them compliant with applicable accounting standards[127] Risk Management - The company is closely monitoring RMB exchange rate fluctuations to manage foreign exchange risks, with potential consideration for hedging tools in the future[107] - The company has no significant contingent liabilities as of September 30, 2019, consistent with the previous reporting period[109] Capital Commitments and Investments - The company had capital commitments of HKD 12,359 as of September 30, 2019, a slight decrease from HKD 13,000 on March 31, 2019[110] - The company has not engaged in any significant investments, acquisitions, or disposals of subsidiaries during the reporting period[107] - A related party transaction occurred with the sale of freeze-drying equipment to Zhejiang Xingcai Agricultural Technology Co., Ltd. for RMB 2,970,000 (approximately HKD 3,296,700)[129]

Financial Performance - Revenue from renewable energy business for the year ended March 31, 2019, was approximately HKD 542 million[12] - Profit from renewable energy business for the year ended March 31, 2019, was approximately HKD 25.3 million[12] - The group's net asset value increased to approximately HKD 230 million as of March 31, 2019[12] - Renewable energy business generated revenue of approximately HKD 542,314,000, a decrease of 21% compared to HKD 685,947,000 in the same period last year[19] - The company achieved a net profit attributable to shareholders of approximately HKD 23,424,000 for the fiscal year ending March 31, 2019, down from HKD 28,922,000 in 2018[47] - Contract costs for the fiscal year ending March 31, 2019, were approximately HKD 468,504,000, down from HKD 600,135,000 in 2018[42] - Employee costs slightly increased by about 2% to approximately HKD 20,156,000 for the fiscal year ending March 31, 2019, compared to HKD 19,858,000 in 2018[43] - The company recorded revenue of approximately HKD 542,314,000 for the fiscal year ending March 31, 2019, a decrease of about 21% compared to HKD 685,947,000 for the same period in 2018[41] Business Development and Strategy - The company plans to develop and optimize 7 new products and apply for about 20 utility model patents annually over the next two years[15] - The target for total annual contracted capacity is over 500 megawatts in the next two years[15] - The company aims to enhance brand recognition and market share in the domestic market while expanding into overseas markets[15] - The company will increase investment in research and development to create comprehensive and efficient solar system integration solutions[13] - The company is focused on technology innovation to drive sustainable development in the solar energy sector[13] - The company has established four wholly-owned subsidiaries to accelerate renewable energy business development[19] - The focus has shifted to providing one-stop value-added solutions for photovoltaic power stations and selling patented photovoltaic tracking support systems[19] - The company continues to expand its market presence through strategic partnerships and new project contracts[33] - The company plans to leverage unused land for photovoltaic projects, aligning with national policies and providing significant growth opportunities for future development[49] Market and Competitive Position - The company actively participates in photovoltaic poverty alleviation projects, providing long-term stable income channels for impoverished communities while showcasing its competitive strength and technological advantages[35] - The company anticipates increased competitiveness and a sharp rise in the application ratio of its power stations in the industry[57] - The group is actively expanding its international market presence, with plans to enter regions such as Africa, India, and Southeast Asia, leveraging its technological advantages[58] - The company has successfully passed UL testing and relevant international certification standards for its products, facilitating entry into new markets[58] Corporate Governance and Management - The board of directors consists of experienced individuals, including three independent non-executive directors, ensuring a balanced governance structure[164] - The company has adopted internal guidelines for matters requiring board approval, ensuring effective management and oversight[173] - The board is responsible for overseeing the company's business and ensuring its sustainable operation in the best interests of shareholders and stakeholders[173] - The company has established a mechanism to manage risks associated with its business operations[173] - The company has received annual independence confirmations from all independent non-executive directors, affirming their independence[121] - The company ensures that board members receive timely information to fulfill their duties effectively, with a minimum of 14 days' notice for meetings[175] - The company has adopted a board diversity policy, focusing on various criteria including gender, age, cultural and educational background, professional experience, skills, knowledge, and tenure[191] Employee and Compensation - The company has ensured that all employees receive reasonable compensation after regular reviews of salary adjustments, promotions, bonuses, and other benefits[81] - The company’s senior management compensation for the year ended March 31, 2019, included four individuals, with salaries capped at HKD 500,000 or below[196] - The company participates in a mandatory provident fund scheme as per Hong Kong legislation, with no other retirement plans in place[130] Shareholder Information - As of March 31, 2019, the total issued share capital of the company was 818,000,000 shares, with equity attributable to owners amounting to approximately HKD 210.72 million, an increase from HKD 197.17 million in 2018[62] - The company's profit attributable to equity shareholders before dividends was approximately HKD 29,640,000, which has been transferred to reserves[110] - As of March 31, 2019, the total distributable reserves amounted to approximately HKD 80,912,000, including share premium and retained earnings[111] - The board of directors did not recommend a final dividend for the year ending March 31, 2019, consistent with the previous year[100] Compliance and Audit - The external auditor, Guo Wei CPA Limited, will retire at the annual general meeting and is eligible for reappointment[157] - The company has complied with all applicable corporate governance code provisions as per GEM listing rules, except for the separation of the roles of chairman and CEO[163] - The audit committee conducted 5 meetings during the same period, reviewing the group's financial performance and internal controls[182] - The company has established a series of internal control rules and procedures covering asset management, working capital management, investment management, and human resources management[200] Miscellaneous - The company has completed the sale of Glory Kind Development Limited, which managed multiple restaurants and bakeries in Hong Kong, as of the date of the annual report[98] - There were no significant events that could impact the company's business or success as of the date of the report[81] - The company did not engage in any share buybacks, sales, or redemptions of its listed securities during the fiscal year ending March 31, 2019[108] - The company has not reported any related party transactions exempted under GEM listing rules for the fiscal year[113]