Financial Performance - For the six months ended June 30, 2024, the group's revenue was approximately HKD 39.8 million, an increase of about 5.6% compared to HKD 37.7 million for the same period in 2023[2] - The gross profit margin for the six months ended June 30, 2024, was approximately 9.9%, compared to 3.7% for the same period in 2023[2] - The group recorded a period loss of approximately HKD 0.1 million for the six months ended June 30, 2024, significantly reduced from a loss of HKD 5.5 million in the same period of 2023[2] - Basic loss per share for the six months ended June 30, 2024, was approximately HKD 0.05, compared to HKD 1.89 for the same period in 2023[2] - The company reported a pre-tax loss of HKD 56,000 for the current period, a significant reduction from a pre-tax loss of HKD 5,443,000 in the same period last year[11] - The company reported a loss of HKD 139,000 for the six months ended June 30, 2024, compared to a loss of HKD 5.451 million for the same period in 2023[18] Assets and Liabilities - Total assets as of June 30, 2024, were approximately HKD 110.6 million, compared to HKD 107.6 million as of December 31, 2023[3] - Current liabilities as of June 30, 2024, amounted to approximately HKD 36.6 million, an increase from HKD 31.0 million as of December 31, 2023[3] - The net asset value as of June 30, 2024, was approximately HKD 75.0 million, down from HKD 76.6 million as of December 31, 2023[3] - The total trade receivables, net of credit loss provisions, amounted to HKD 27.749 million as of June 30, 2024, compared to HKD 27.385 million as of December 31, 2023[22] - Trade payables increased to HKD 18.470 million as of June 30, 2024, from HKD 18.127 million as of December 31, 2023[23] Cash Flow - For the six months ended June 30, 2024, the net cash generated from operating activities was HKD 1,861,000, a decrease of 57.8% compared to HKD 4,428,000 for the same period in 2023[5] - Total cash used in investing activities was HKD 4,832,000, significantly higher than HKD 1,398,000 in the previous year, indicating increased investment outflows[5] - The net cash generated from financing activities was HKD 2,803,000, a turnaround from a net cash outflow of HKD 16,149,000 in the prior period, reflecting improved financing conditions[5] - The total cash and cash equivalents at the end of the period were HKD 23,027,000, down from HKD 25,081,000 at the end of June 2023[5] Revenue Segments - Revenue from the sale of self-manufactured industrial aluminum electrolytic capacitors rose from approximately HKD 29.7 million to approximately HKD 33.7 million during the same period[27] - The sales of electronic components generated revenue of HKD 6,181,000, a decrease from HKD 8,084,000 in the same period last year, indicating a decline in this segment[11] - The gross profit from the sale of industrial aluminum electrolytic capacitors was HKD 3,627,000, compared to HKD 913,000 in the previous year, showing a substantial improvement in profitability[11] - Revenue from the sale of industrial aluminum electrolytic capacitors increased from approximately HKD 29.7 million to approximately HKD 33.7 million, a rise of about HKD 4.0 million[29] - Gross profit increased from approximately HKD 1.4 million to approximately HKD 3.9 million due to cost-saving measures implemented by management[27] Corporate Governance - The company has complied with the corporate governance code, except for the separation of the roles of Chairman and CEO, which are held by Mr. Wen[60] - The board believes that Mr. Wen's dual role as Chairman and CEO is in the best interest of the company due to his founding and management experience[60] - An audit committee has been established, consisting of three independent non-executive directors, to oversee internal audit functions and financial reporting processes[64] - The audit committee is chaired by Mr. Huang, who possesses appropriate professional accounting qualifications[64] - The audit committee has reviewed the company's unaudited interim results for the six months ending June 30, 2024[64] Shareholding Structure - As of June 30, 2024, Mr. Wen holds 7,870,000 shares in the company, representing 2.73% of the total equity[51] - Vertical Investment, wholly owned by Mr. Wen, holds 180,000,000 shares, accounting for 62.50% of the company's equity[52] - Ms. Sun Koon Kwan, as a spouse of Mr. Wen, has a beneficial interest in 187,870,000 shares, which is 65.23% of the total equity[52] - The major shareholder, Mr. Wen, holds a 65.33% equity interest in the company as of the announcement date[63] Other Information - The board of directors did not recommend the payment of any dividend for the six months ended June 30, 2024, consistent with the previous year[2] - The company has not granted any stock options under its stock option plan since its adoption on October 24, 2017[56] - The company did not purchase, sell, or redeem any of its listed securities during the six months ending June 30, 2024[61] - There are no known interests held by directors or major shareholders in competing businesses as of June 30, 2024[58] - No significant events occurred from June 30, 2024, to the date of the announcement[51]

Financial Performance - The group's revenue decreased by 2.4% from approximately HKD 86.4 million for the year ended December 31, 2022, to approximately HKD 84.3 million for the year ended December 31, 2023, primarily due to weak demand for traditional electronic capacitors and intense competition [8]. - Revenue from the sale of industrial aluminum electrolytic capacitors increased by approximately HKD 4.0 million, from approximately HKD 69.6 million for the year ended December 31, 2022, to approximately HKD 73.6 million for the year ended December 31, 2023 [13]. - Revenue from the trading of electronic components decreased from approximately HKD 16.8 million for the year ended December 31, 2022, to approximately HKD 10.6 million for the year ended December 31, 2023 [13]. - The group recorded an annual loss of approximately HKD 12.2 million for the year ended December 31, 2023, compared to a loss of approximately HKD 18.5 million for the year ended December 31, 2022, reflecting a reduction in other income and losses as well as administrative expenses [15]. - The group reported a total equity of HKD 76,618,000 as of December 31, 2023, down from HKD 101,122,000 at the beginning of the year, reflecting a decrease of approximately 24.3% [170]. - The group experienced a total comprehensive loss of HKD 14,424,000 for the year ended December 31, 2023, compared to a total comprehensive loss of HKD 25,749,000 in the previous year, indicating an improvement of about 44.9% [170]. Assets and Liabilities - Total assets as of December 31, 2023, were approximately HKD 107.6 million, down from approximately HKD 133.7 million in 2022 [16]. - The current ratio as of December 31, 2023, was approximately 2.2 times, compared to approximately 2.7 times in 2022 [16]. - The group has recognized lease liabilities based on the fair value measurement according to Hong Kong Financial Reporting Standard No. 9, and initial adjustments to fair value are considered additional lease payments [200]. Employment and Compensation - The total number of full-time employees decreased from 137 in 2022 to 124 in 2023, with total compensation for the year ended December 31, 2023, amounting to approximately HKD 18.0 million, down from HKD 20.0 million in 2022 [19]. - The overall employee turnover rate for the group was 74% during the reporting year [130]. - The employee demographics show that 98% of employees are based in China, with 60% male and 40% female [125]. - The average training hours per employee increased to 13 hours in 2023, with middle-level employees receiving an average of 14.57 hours [143]. - The company's compensation policy ensures that employee remuneration, including that of directors and senior management, is based on their responsibilities, workload, time invested, and the group's performance [58]. Corporate Governance - The company has confirmed compliance with the corporate governance code throughout the year ending December 31, 2023, with the exception of deviation from code provision C.2.1 [41]. - The board consists of five members, including two executive directors and three independent non-executive directors [36]. - The audit committee is composed of three independent non-executive directors, with Mr. Huang Wei Liang serving as the chairman [55]. - The company has established an independent assessment mechanism for board independence, ensuring strong independent elements for effective judgment [45]. - All independent non-executive directors have signed appointment letters for a term of three years starting from November 13, 2023 [47]. - The board is responsible for leading and managing the company, overseeing business strategies and performance [49]. - The audit committee reviewed the group's accounting principles and practices, discussing risk management and internal control systems [56]. - The company has committed to enhancing its corporate governance practices to align with business operations and development [41]. - The board's independence assessment report was presented to the board, with satisfactory results [46]. - The Nomination Committee held one meeting during the year ending December 31, 2023, to review the board's structure, size, composition, and diversity policy, concluding that appropriate balance in board diversity has been maintained [60]. - The board composition remained unchanged for the year ending December 31, 2023 [69]. - The board is responsible for risk management and internal control systems, which are used to identify, assess, and manage risks affecting operational efficiency and effectiveness [73]. Environmental Sustainability - The total greenhouse gas emissions for the reporting year were 4,328.7 tons, an increase from 1,899.18 tons in the previous year, with a density of 0.48 tons per square meter [114]. - The company aims to maintain the gas emission density for the next reporting year between 80% to 120% of the current year's density [106]. - The company emphasizes the importance of environmental sustainability and compliance with relevant laws, including the Environmental Protection Law of the People's Republic of China [105]. - The total amount of waste packaging barrels and cans increased to 4.77 tons in 2023 from 0.92 tons in 2022, while waste electrolyte increased to 75.32 tons from 56.44 tons [115]. - The density of hazardous waste decreased to 0.00053 tons/square meter in 2023 from 0.00010 tons/square meter in 2022 for waste packaging, and for waste electrolyte, it increased to 0.00829 tons/square meter from 0.00621 tons/square meter [115]. - Fuel consumption decreased to 41,364.50 kWh in 2023 from 53,499.62 kWh in 2022, with fuel consumption density improving to 4.55 kWh/square meter from 5.89 kWh/square meter [118]. - The group has implemented a solid waste management program, categorizing solid waste into recyclable and non-recyclable types [115]. Market and Business Strategy - The group is focusing on its core markets, including the manufacturing and trading of aluminum electrolytic capacitors and electronic components, including semiconductor devices and passive components [10]. - The group is exploring market expansion opportunities, particularly in regions with high demand for electronic components, to drive future growth [175]. - The company has engaged in market promotion activities by hiring more sales personnel and distributing brochures [95]. Compliance and Risk Management - The group has established policies to ensure compliance with data protection regulations, including the Personal Data (Privacy) Ordinance in Hong Kong and the Cybersecurity Law in China, to safeguard customer and supplier information [147]. - The group has implemented anti-corruption measures, including training for directors and employees, to prevent bribery and fraud, although specific metrics on training effectiveness were not provided [153]. - The group has not reported any significant legal issues related to corruption during the reporting period, indicating effective compliance measures [153]. - The board regularly reviews climate-related risks and opportunities, with no significant operational impact expected from physical and transitional risks [124]. - The group has not experienced any major violations of occupational health and safety regulations during the reporting year [133]. Financial Reporting - The group’s financial statements have been audited without any significant misstatements reported, ensuring transparency and reliability in financial reporting [159]. - The group has applied the revised Hong Kong Financial Reporting Standards for the first time this year, which has not had a significant impact on the financial position and performance [179]. - The consolidated financial statements are prepared in accordance with the Hong Kong Financial Reporting Standards and include applicable disclosures as per the GEM Listing Rules and the Hong Kong Companies Ordinance [189]. - The group expects that the application of all newly issued and revised Hong Kong Financial Reporting Standards will not have a significant impact on the consolidated financial statements in the foreseeable future [188]. - The group has clarified that even if amounts are not significant, accounting policy information may still be considered material based on the nature of the related transactions [185]. - The group has adopted significant accounting policies that include the recognition of customer contract revenue and the separation of lease and non-lease components [194]. - The group has established a depreciation policy for right-of-use assets based on the shorter of the estimated useful life and the lease term [197]. Shareholding and Control - The company directly or indirectly holds 65.22% of the issued share capital as of the report date [94]. - The ultimate controlling party of the company is Mr. Wen Haoran, who is also the chairman and CEO [182].

Financial Performance - For the year ended December 31, 2023, the group's revenue was approximately HKD 84.3 million, a decrease of about HKD 2.1 million or 2.4% compared to HKD 86.4 million for the year ended December 31, 2022[3]. - The loss for the year ended December 31, 2023, was approximately HKD 12.2 million, a reduction of about HKD 6.3 million compared to a loss of approximately HKD 18.5 million for the year ended December 31, 2022[3]. - Basic loss per share for the year ended December 31, 2023, was approximately HKD 4.23, compared to HKD 6.71 for the year ended December 31, 2022[3]. - The group recorded other income of HKD 502,000 for the year ended December 31, 2023, down from HKD 1.22 million in the previous year[11]. - Total comprehensive expenses for the year amounted to HKD 14.42 million, compared to HKD 25.75 million in the previous year[11]. - The group reported external sales of HKD 84,262 thousand for the year ended December 31, 2023, with a profit of HKD 6,123 thousand[39]. - The group incurred a pre-tax loss of HKD 19,028 thousand for the year ended December 31, 2023[22]. - The company reported a pre-tax loss of HKD 11,850,000 for the year ended December 31, 2023, compared to a loss of HKD 19,028,000 in 2022, representing a 37.4% improvement[44]. - Revenue decreased by approximately 2.4% from HKD 86.4 million in 2022 to about HKD 84.3 million in 2023, attributed to a more aggressive pricing strategy[56]. - The company recorded a net loss of approximately HKD 12.2 million for the year ended December 31, 2023, down from a loss of approximately HKD 18.5 million in 2022, a reduction of about 34.0%[102]. Revenue Breakdown - Revenue from industrial aluminum electrolytic capacitors was HKD 73,615 thousand, while electronic component trading generated HKD 10,647 thousand in sales for the same period[39]. - The group’s total revenue from China was HKD 34,781 thousand for the year ended December 31, 2023, down from HKD 39,206 thousand in 2022[24]. - Revenue from major customers accounted for over 10% of total revenue, with HKD 40,420 thousand in total revenue from Hong Kong and China for the year ended December 31, 2023[24]. - Revenue from self-manufactured industrial aluminum electrolytic capacitors increased from approximately HKD 69.6 million in 2022 to about HKD 73.6 million in 2023[56]. - Revenue from the sale of electronic components decreased from approximately HKD 16.8 million to approximately HKD 10.6 million, a decline of about 37.5%[77]. Profitability and Cost Management - The group's gross profit margin increased from approximately 5.9% for the year ended December 31, 2022, to approximately 7.3% for the year ended December 31, 2023[3]. - The gross profit increased from approximately HKD 5.1 million in 2022 to about HKD 6.1 million in 2023 due to cost-saving measures[75]. - The company has implemented various cost-saving measures to control operating costs and improve profitability[75]. - Administrative expenses decreased from approximately HKD 16.2 million to approximately HKD 13.1 million, a decline of about 19.1%[101]. Assets and Liabilities - Non-current assets as of December 31, 2023, were valued at HKD 40.42 million, down from HKD 46.26 million as of December 31, 2022[12]. - Current assets decreased to HKD 67.18 million as of December 31, 2023, from HKD 87.41 million as of December 31, 2022[12]. - Total liabilities decreased from HKD 32.50 million in the previous year to HKD 30.98 million as of December 31, 2023[12]. - The company’s total liabilities increased to HKD 18,127,000 in 2023 from HKD 12,494,000 in 2022, indicating a rise in trade payables[73]. - The total interest-bearing borrowings decreased from approximately HKD 13.3 million in 2022 to approximately HKD 7.1 million in 2023[85]. - Cash and cash equivalents, along with restricted bank deposits, were approximately HKD 23.6 million as of December 31, 2023, down from HKD 42.2 million in 2022[104]. - Total assets as of December 31, 2023, were approximately HKD 107.6 million, down from HKD 133.7 million in 2022[83]. Corporate Governance and Compliance - The company has adopted the corporate governance code and has complied with its provisions, except for a deviation regarding the roles of the chairman and CEO[138]. - The company has established an audit committee consisting of three independent non-executive directors, ensuring compliance with GEM listing rules[149]. - The chairman of the audit committee possesses appropriate professional accounting qualifications and relevant financial management expertise[149]. - The company has adopted written guidelines for employees regarding securities trading to prevent insider trading violations[143]. Future Outlook and Strategic Initiatives - The company maintains a conservative outlook on the overall business environment and plans to diversify procurement routes and potentially relocate manufacturing to lower-cost areas to reduce costs[96]. - The company is considering the sale of 187,840,000 shares, representing approximately 65.22% of its issued share capital as of the announcement date[110]. - A rights issue was conducted on February 21, 2022, issuing 96,000,000 shares at a subscription price of HKD 0.21 per share, raising approximately HKD 18.6 million[111]. - The net proceeds from the rights issue have been allocated for corporate governance, enhancing shareholder value, and improving transparency and accountability[111]. Shareholder Information - The annual general meeting is scheduled for May 17, 2024[124]. - The company will suspend shareholder registration from May 13, 2024, to May 17, 2024, to determine the identity of shareholders entitled to attend the annual general meeting[145]. - All share transfer documents must be submitted by May 10, 2024, at 4:30 PM for registration[145]. - As of December 31, 2023, the company has not purchased, sold, or redeemed any of its listed securities[116].

Financial Performance - For the nine months ended September 30, 2023, the group reported a loss of approximately HKD 7.0 million, a decrease of about HKD 1.7 million compared to a loss of HKD 8.7 million for the same period in 2022[9]. - Revenue decreased from approximately HKD 66.3 million in the same period of 2022 to about HKD 62.4 million for the nine months ended September 30, 2023, representing a decline of approximately 5.9%[27]. - The group recorded a net gain from equity investments measured at fair value of approximately HKD 2.7 million for the nine months ended September 30, 2023, compared to a loss of HKD 0.8 million for the same period in 2022[29]. - The total comprehensive expenses for the nine months ended September 30, 2023, amounted to approximately HKD 10.6 million, down from HKD 17.2 million for the same period in 2022[31]. - The basic loss per share for the nine months ended September 30, 2023, was approximately HKD 0.0245, compared to a basic loss per share of approximately HKD 0.0314 for the nine months ended September 30, 2022[77][110]. - The company reported a loss of HKD 7.042 million for the nine months ended September 30, 2023, compared to a loss of HKD 8.658 million for the same period in 2022[119]. - The total comprehensive expenses for the period amounted to HKD 10.602 million, including a loss of HKD 7.042 million and foreign exchange differences of HKD 3.560 million[119]. Revenue Breakdown - The group's revenue for the nine months ended September 30, 2023, was approximately HKD 62.4 million, a decrease of about 5.9% compared to the same period in 2022[109]. - Revenue from the sale of self-manufactured industrial aluminum electrolytic capacitors increased from approximately HKD 50.7 million to approximately HKD 53.5 million for the nine months ended September 30, 2023[124]. - Revenue from the trading of electronic components decreased from approximately HKD 15.6 million to approximately HKD 8.9 million for the nine months ended September 30, 2023[124]. Cost Management - Administrative expenses decreased slightly from approximately HKD 9.5 million for the nine months ended September 30, 2022, to about HKD 9.4 million for the same period in 2023[30]. - The group's sales and distribution costs decreased from approximately HKD 2.2 million for the nine months ended September 30, 2022, to approximately HKD 2.1 million for the nine months ended September 30, 2023, representing a reduction of about 7.8%[75]. - The group's cost of sales decreased from approximately HKD 62.7 million for the nine months ended September 30, 2022, to approximately HKD 58.8 million for the nine months ended September 30, 2023, a decrease of about 6.2%[81]. - The company will continue to take measures to tighten control over operating costs[71]. Dividends - No dividends were declared for the nine months ended September 30, 2023, compared to a dividend of HKD 0.035 per share for the same period in 2022[32]. - The board does not recommend the payment of any dividends for the nine months ended September 30, 2023, compared to HKD 0.035 per share for the same period in 2022[55]. - A special dividend of HKD 0.035 per share, totaling HKD 10.08 million, was approved by shareholders and paid on February 9, 2023[118]. Corporate Governance - The company will continue to review and improve its corporate governance practices regularly[45]. - The company has adopted a trading code for directors in compliance with GEM Listing Rules[39]. - The company has established an audit committee consisting of three independent non-executive directors[47]. - The company has established a corporate governance framework in accordance with the GEM Listing Rules[142]. - The company has adopted the corporate governance code as a guideline for its governance practices[142]. - The company has adopted a set of policies and procedures to enhance the governance and oversight of its business operations[142]. - There are no known violations of the securities trading code by employees who may possess inside information[140]. Future Outlook - The group plans to diversify procurement channels and potentially relocate manufacturing activities to lower-cost regions to mitigate ongoing high operating costs[26]. - The group continues to focus on its core markets, including the manufacturing and trading of aluminum electrolytic capacitors and electronic components[25]. - The group anticipates a challenging business environment and will adopt a conservative approach moving forward[26]. Shareholder Information - The chairman and CEO, Mr. Wen, holds a direct or indirect interest of 65.14% in the company's issued share capital[44]. - As of January 1, 2023, the company's total equity was HKD 101.122 million, down from HKD 111.150 million as of January 1, 2022[112]. - As of September 30, 2023, no directors or key executives hold any interests or short positions in the company's shares that require disclosure[138]. - The company has not disclosed any other individuals holding 5% or more of the shares as of September 30, 2023[138]. - The company has not purchased, sold, or redeemed any of its listed securities during the nine months ended September 30, 2023[43]. - The company did not engage in any significant acquisitions or disposals during the nine months ended September 30, 2023[129]. - The company has not granted any stock options under the stock option plan since its adoption on October 24, 2017[139]. - The company has not issued any new shares or securities since the last disclosure[139]. Taxation - The company has not made any tax provisions in Hong Kong for the periods under review due to no taxable profits[64]. - The income tax expense for the nine months ended September 30, 2023, was approximately HKD 0.5 million, remaining stable compared to the same period in 2022[76]. Audit and Review - The audit committee has reviewed the unaudited quarterly results for the nine months ending September 30, 2023[147]. - The financing letter stipulates that all amounts borrowed under the revolving loan financing must be repaid or re-borrowed at the end of the relevant withdrawal period[146].

Financial Performance - For the six months ended June 30, 2023, the group's revenue was approximately HKD 37.7 million, a decrease of about 16.8% compared to the same period in 2022[46]. - The gross profit margin for the six months ended June 30, 2023, was approximately 3.7%, down from 6.4% for the same period in 2022[46]. - The group recorded a loss of approximately HKD 5.5 million for the six months ended June 30, 2023, an improvement from a loss of HKD 6.3 million in the same period of 2022, representing a reduction of about HKD 0.8 million[46]. - Basic loss per share for the six months ended June 30, 2023, was approximately HKD 1.89 cents, compared to HKD 2.34 cents for the same period in 2022[46]. - The total comprehensive loss for the six months ended June 30, 2023, was approximately HKD 8.7 million, compared to HKD 10.3 million for the same period in 2022[52]. - The company reported a loss attributable to owners of the company of HKD 5,451,000 for the period[59]. - The basic loss per share for the six months ended June 30, 2023, was HKD 5,451, compared to HKD 6,306 for the same period in 2022, showing a reduction in loss per share[82]. Assets and Liabilities - As of June 30, 2023, the total assets of the group were approximately HKD 114.0 million, down from HKD 133.7 million as of December 31, 2022[36]. - The group's current ratio as of June 30, 2023, was approximately 2.2 times, compared to 2.7 times as of December 31, 2022[36]. - The total interest-bearing bank borrowings amounted to approximately HKD 8.2 million as of June 30, 2023, a decrease from HKD 13.3 million as of December 31, 2022[37]. - The group's debt-to-equity ratio was 0.11 times as of June 30, 2023, compared to 0.14 times as of December 31, 2022[37]. - As of June 30, 2023, the company's total equity decreased to HKD 82,334,000 from HKD 101,122,000 as of December 31, 2022, representing a decline of approximately 18.6%[54]. - The company's total liabilities decreased to HKD 5,000 as of June 30, 2023, from HKD 42,000 as of December 31, 2022[54]. Employee and Compensation - The total number of full-time employees as of June 30, 2023, was 149, with total compensation for the six months amounting to approximately HKD 9.1 million, down from HKD 11.6 million in the same period of 2022[5]. Corporate Governance - The group has established an audit committee consisting of three independent non-executive directors to oversee internal audit functions and financial reporting[33]. - The company is committed to regularly reviewing and improving its corporate governance practices[27]. Shareholder Information - The major shareholder, Vertical Investment, holds 180,000,000 shares, representing 62.50% of the company[19]. - The chairman and CEO roles are held by Mr. Wen, who owns 65.14% of the company's issued share capital[30][31]. Revenue Breakdown - Revenue from the Chinese market was HKD 32,727,000, down from HKD 36,333,000 in 2022, reflecting a decrease of approximately 10.5%[68]. - The total revenue from other Asian regions, excluding Hong Kong and China, was HKD 4,802,000, down from HKD 8,376,000 in 2022, indicating a decline of approximately 42.5%[68]. - Revenue from the sale of industrial aluminum electrolytic capacitors decreased from approximately HKD 34.7 million to approximately HKD 29.7 million, a decline of about 14.5%[99][101]. - For the six months ended June 30, 2023, total external sales revenue was HKD 37,745,000, a decrease from HKD 45,270,000 in the same period of 2022, representing a decline of approximately 16.5%[70]. Cash Flow and Financing - The company reported a net cash inflow from operating activities of HKD 4,428,000 for the six months ended June 30, 2023, compared to a net outflow of HKD 3,714,000 for the same period in 2022[58]. - The company incurred financing costs of HKD 330,000 for the six months ended June 30, 2023, compared to HKD 256,000 in the same period of 2022, representing an increase of about 28.9%[75]. Operational Insights - The company operates primarily in the manufacturing and trading of aluminum electrolytic capacitors and electronic components, with revenue recognized upon delivery to customers[63]. - The company expects operating costs to remain high, indicating a challenging environment ahead[100]. - The company plans to diversify procurement routes and consider relocating manufacturing activities to lower-cost cities or provinces to reduce costs[100]. Other Financial Metrics - The company has no significant capital commitments as of June 30, 2023[2]. - The company has no major investments as of June 30, 2023[8]. - The company has not experienced any significant events from June 30, 2023, to the report date[9]. - The group did not declare any dividends for the six months ended June 30, 2023, consistent with the previous period[35]. - The group has not purchased, sold, or redeemed any of its listed securities during the six months ended June 30, 2023[28].

香港交易及結算所有限公司及香港聯合交易所有限公司（「聯交所」）對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 VERTICAL INTERNATIONAL HOLDINGS LIMITED 弘 浩 國 際 控 股 有 限 公 司 （於開曼群島註冊成立的有限責任公司） （股份代號：8375） 截至二零二三年六月三十日止六個月 中期業績公告 香港聯合交易所有限公司（「聯交所」） 的特色 GEM GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在聯交所上市 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券承 受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 本公告乃遵照聯交所GEM證券上巿規則（「GEM上市規則」）而刊載，旨在提供有關弘浩國 際控股有限公司（「本公司」）之資料，本公司各董事（「董事」）願就本公告共同及個別 ...

Financial Performance - The company's revenue for the three months ended March 31, 2023, was approximately HKD 17.7 million, a decrease of about HKD 7.5 million or 29.8% compared to the same period in 2022[16]. - The gross profit margin for the three months ended March 31, 2023, was approximately 1.5%, down from 11.3% for the same period in 2022[26]. - The basic loss per share for the three months ended March 31, 2023, was approximately HKD 0.78, compared to HKD 0.39 for the same period in 2022[27]. - The total comprehensive loss for the period was HKD 2.255 million, compared to HKD 0.980 million for the same period in 2022[24]. - The company reported other income of HKD 63,000 for the three months ended March 31, 2023, down from HKD 142,000 in the same period in 2022[4]. - The company experienced a pre-tax loss of HKD 2.255 million for the three months ended March 31, 2023, compared to a loss of HKD 889,000 in the same period in 2022[4]. - For the three months ended March 31, 2023, the company reported a loss of approximately HKD 2.3 million, compared to a loss of approximately HKD 1.0 million for the same period in 2022[46]. - The company's revenue for the three months ended March 31, 2023, was approximately HKD 17.7 million, down from approximately HKD 25.2 million in the same period of 2022, representing a decrease of about HKD 7.5 million[65]. - The gross profit decreased from approximately HKD 2.9 million for the three months ended March 31, 2022, to approximately HKD 0.3 million for the same period in 2023, a decline of approximately 90.6%[64]. - The company's loss for the three months ended March 31, 2023, was approximately HKD 2.3 million, compared to a loss of HKD 1.0 million for the same period in 2022, indicating an increase in loss of about HKD 1.3 million[89]. Cost Management - The financing costs increased to HKD 221,000 for the three months ended March 31, 2023, compared to HKD 129,000 in the same period in 2022[4]. - The administrative expenses decreased to HKD 3.171 million for the three months ended March 31, 2023, from HKD 3.449 million in the same period in 2022[4]. - Sales costs decreased from approximately HKD 22.4 million for the three months ended March 31, 2022, to approximately HKD 17.4 million for the same period in 2023, a reduction of about 22.0%[65]. - Administrative expenses decreased from approximately HKD 3.4 million to HKD 3.2 million, a reduction of about HKD 0.2 million, primarily due to decreased advertising and entertainment expenses[88]. - The company's sales and distribution costs decreased from approximately HKD 0.8 million to HKD 0.7 million, a reduction of about HKD 0.1 million, mainly due to lower transportation expenses[88]. Corporate Governance - The company has adopted the trading compliance standards as per GEM Listing Rules sections 5.48 to 5.67, confirming compliance by all directors as of March 31, 2023[102]. - The company maintains a corporate governance framework and has established policies and procedures to enhance governance and oversight capabilities[105]. - The chairman and CEO, Mr. Wen, holds a 65.14% stake in the company as of the report date[124]. - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing the effectiveness of internal audit functions and financial reporting processes[125]. - The company is committed to regularly reviewing and improving its corporate governance practices in line with the latest developments[120]. - The company has confirmed compliance with the corporate governance code, except for a deviation regarding the separation of the roles of chairman and CEO[119]. Strategic Initiatives - The company plans to diversify procurement channels and may relocate manufacturing activities to lower-cost regions to reduce operational costs[64]. - The company will continue to adopt aggressive pricing strategies to maintain market share despite the challenges posed by high operating costs and price competition[65]. - The company has established a financing agreement with a maximum borrowing amount of HKD 18 million, with specific conditions to be met before execution[122]. - The financing agreement aims to provide funds for asset acquisition or general working capital for its wholly-owned subsidiary, Hongfeng Technology[123]. Other Information - The company did not recommend any dividend payment for the three months ended March 31, 2023, consistent with the previous year[47]. - No significant capital commitments were reported as of March 31, 2023, compared to HKD 1.0 million as of March 31, 2022[69]. - There were no significant acquisitions or disposals during the three months ended March 31, 2023[70]. - The company has no significant contingent liabilities as of March 31, 2023[71]. - The company has not purchased, sold, or redeemed any of its listed securities during the three months ending March 31, 2023[121]. - There were no interests held by directors or major shareholders in any competing businesses as of March 31, 2023[103].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而 產生或因倚賴該等內容而引致的任何損失承擔任何責任。 VERTICAL INTERNATIONAL HOLDINGS LIMITED 弘 浩 國 際 控 股 有 限 公 司 （於開曼群島註冊成立的有限責任公司） （股份代號：8375） 截至二零二三年三月三十一日止三個月 第一季度業績公告 香港聯合交易所有限公司（「聯交所」） 的特色 GEM GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在聯交所上市 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券承 受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 本公告乃遵照聯交所GEM證券上巿規則（「GEM上市規則」）而刊載，旨在提供有關弘浩國 際控股有限公司（「本公司」）之資料，本公司各董事（「董事」）願就本公告共同及個別地承 擔全 ...

Financial Performance - Revenue from industrial aluminum electrolytic capacitors decreased by approximately HKD 35.4 million to about HKD 69.6 million for the year ended December 31, 2022, compared to approximately HKD 105.0 million for the year ended December 31, 2021[9]. - Revenue from the trading of electronic components dropped from approximately HKD 27.4 million to about HKD 16.8 million for the same periods[9]. - The net loss increased from approximately HKD 0.2 million to about HKD 5.6 million, primarily due to a fair value loss of approximately HKD 1.6 million on equity investments and impairment losses of about HKD 4.2 million on property, plant, and equipment[11]. - The group recorded an annual loss of approximately HKD 18.5 million for the year ended December 31, 2022, compared to a profit of about HKD 5.1 million for the year ended December 31, 2021, mainly due to a decrease in revenue and gross profit of approximately HKD 46.1 million and HKD 18.2 million, respectively[13]. - The company's revenue decreased by approximately 34.8% from about HKD 132.5 million for the year ended December 31, 2021, to about HKD 86.4 million for the year ended December 31, 2022[184]. - Sales from self-manufactured industrial aluminum electrolytic capacitors dropped from approximately HKD 105.0 million to about HKD 69.6 million during the same period[187]. - The gross profit fell from approximately HKD 23.3 million to about HKD 5.1 million, indicating a significant decline in profitability[187]. - The company's sales costs decreased from approximately HKD 109.2 million to about HKD 81.3 million, a decline of about 25.5%[190]. - Administrative expenses increased from approximately HKD 13.9 million to about HKD 16.2 million, reflecting an increase of about HKD 2.3 million[192]. - The company recorded a basic loss per share of approximately HKD 6.71 for the year ended December 31, 2022, compared to a basic earnings per share of approximately HKD 2.56 for the previous year[193]. - As of December 31, 2022, the company's cash and cash equivalents, along with restricted bank deposits, amounted to approximately HKD 42.2 million[194]. - The board did not recommend a final dividend for the year ended December 31, 2022, but proposed a special dividend of HKD 0.035 per share for the nine months ended September 30, 2022, totaling HKD 10.08 million[184]. Debt and Financing - As of December 31, 2022, the total interest-bearing borrowings amounted to approximately HKD 13.3 million, down from HKD 14.8 million in 2021[15]. - The group's debt-to-equity ratio was 0.14 as of December 31, 2022, compared to 0.15 in 2021[15]. - The company issued 96,000,000 shares at a subscription price of HKD 0.21 per share, raising net proceeds of approximately HKD 18.6 million through a rights issue[16]. - The company had pledged leasehold land and buildings with a book value of approximately HKD 4.4 million as collateral for bank financing as of December 31, 2022[44]. - The company incurred audit fees of HKD 580,000 for the annual audit and additional non-audit fees totaling HKD 116,300, bringing the total fees to HKD 696,300 for the year[141]. Corporate Governance - The board of directors consists of five members, including two executive directors and three independent non-executive directors, complying with GEM listing rules[61]. - The company has adopted a code of conduct for securities trading to ensure compliance with insider trading regulations, with no known violations reported[34]. - The company aims to provide satisfactory and sustainable returns to shareholders while maintaining high ethical business standards[58]. - The board conducts annual assessments of its independence and discusses improvement action plans as necessary[37]. - The company has established a corporate governance framework and policies to enhance the board's governance capabilities and oversight of business conduct[59]. - The company is committed to regularly reviewing and improving its corporate governance practices based on the latest developments in corporate governance[33]. - The Audit Committee consists of three independent non-executive directors, with Mr. Huang Wei Liang appointed as the chairman[72]. - The company received an annual confirmation from its controlling shareholders, confirming compliance with non-competition agreements[74]. - The Nomination Committee held one meeting during the year ended December 31, 2022, to review the board's structure, size, and composition, and found satisfactory progress in achieving diversity goals[79]. - The board currently consists of 5 directors, with 4 male and 1 female, and includes 2 executive directors and 3 independent non-executive directors[82]. - The company aims to maintain appropriate diversity in its board composition to align with business development needs[81]. - The company has established a formal and transparent process for determining the remuneration policies for all directors and senior management[74]. - The company will consider setting measurable targets to implement its board diversity policy and will review these targets periodically[83]. - The senior management's remuneration range for the year ended December 31, 2022, is documented, reflecting the company's commitment to transparency in compensation[89]. - The Audit Committee held four meetings during the year ended December 31, 2022, to review the company's financial performance and reporting, including the annual financial results for the year ended December 31, 2021, and quarterly results for the periods ending March 31, 2022, and September 30, 2022[94]. - The company has established a target for female directors and employees, aiming for at least 20% and 44% representation, respectively, which is currently deemed satisfactory[107]. - The company has engaged an independent internal control consultant to provide internal audit functions and conduct annual reviews of the internal control system's adequacy and effectiveness[113]. - The Audit Committee reviewed the audited consolidated financial statements for the year ended December 31, 2022, and the independent auditor's report, which were subsequently presented to the Board for approval[95]. - The company has implemented procedures to identify, handle, and disclose inside information, ensuring strict prohibition of unauthorized access and use of data[115]. - The company has adopted a whistleblowing policy allowing employees and associated individuals to confidentially report any misconduct to the Audit Committee[114]. - The Board confirmed its responsibility for the preparation of the financial statements for the year ended December 31, 2022[117]. - The Nomination Committee reviewed the Board's structure, size, and composition, as well as the diversity policy, and made recommendations for the re-election of directors at the upcoming annual general meeting[101]. - The Audit Committee's main responsibilities include assisting the Board in reviewing financial information, risk management, and internal control systems[92]. - The company has established a diversity policy for the Board, recognizing the benefits of a diverse Board as a key element in maintaining competitive advantage[101]. - The external auditor, Tianzhi Hong Kong CPA Limited, was appointed, and the total fees for audit and non-audit services provided by them and their affiliates amounted to an undisclosed total as of December 31, 2022[118]. - The company has established a shareholder communication policy to ensure that shareholder opinions and concerns are properly addressed, with satisfactory implementation results[125]. - The board has reviewed the company's corporate governance policies and practices, ensuring compliance with legal and regulatory requirements[133]. Strategic Focus - The company is focusing on capital investment to develop next-generation electronic components for electric vehicles and artificial intelligence[4]. - The group is restructuring its management framework to enhance flexibility and is considering tightening operational cost controls[7]. - The company is implementing a more aggressive pricing strategy to increase market share in its core markets[6]. - The company plans to develop high-quality products to meet market needs and will closely monitor future market trends[188]. - The company has maintained a solid financial position with positive net cash status and sufficient resources for future capital expenditures[188]. - The company relies heavily on the Chinese market for revenue generation, indicating a significant market dependency[159]. - The company has undergone a restructuring process to prepare for its initial listing on the GEM, with Vertical Technology (B.V.I.) Limited established as the holding company[171]. - The company emphasizes maintaining good relationships with customers, suppliers, and stakeholders to achieve short-term and long-term goals[162]. - The company has a quality assurance framework in place for procurement, ensuring the quality and reliability of materials and services from suppliers[163]. - The company’s financial performance and position are influenced by various factors, including cash flow, business conditions, and strategic needs[169]. - The company has appointed an external service provider for company secretarial services, ensuring compliance with corporate governance standards[141]. - The company’s board of directors is responsible for ensuring compliance with relevant laws and regulations affecting its operations[161]. - The company encourages shareholder participation in annual general meetings and provides necessary information for informed decision-making[166]. Risk Management - The board is responsible for assessing the nature and extent of risks the company is willing to accept in achieving its strategic objectives, including environmental, social, and governance risks[136]. - The company has adopted a credit risk management policy to continuously assess credit risks and monitor significant overdue payments[137]. - The company has implemented an anti-corruption policy to prevent internal corruption and bribery, with open channels for employees to report any suspected misconduct[138]. - The company has established a risk management and internal control system, with the board overseeing its design, implementation, and monitoring[136]. Dividend Policy - The company has a dividend policy in place, although specific details were not disclosed in the provided content[130]. - The company has established a dividend policy that allows the board to propose dividends based on financial performance and conditions, with no predetermined payout ratio[169]. Share Issuance - 160,000,000 new shares were allocated to subscribers on March 30, 2021, with a net amount of approximately HKD 7.7 million[200]. - The net proceeds from the placement have been utilized for specific purposes from March 30, 2021, to December 31, 2022[200].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而 產生或因倚賴該等內容而引致的任何損失承擔任何責任。 VERTICAL INTERNATIONAL HOLDINGS LIMITED 弘 浩 國 際 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8375） 截至二零二二年十二月三十一日止年度 年度業績公告 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在聯交所上市 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券 承受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 本公告乃遵照聯交所GEM證券上巿規則（「GEM上市規則」）而刊載，旨在提供有關弘浩 國際控股有限公司（「本公司」）之資料，本公司各董事（「董事」）願就本公告共同及個別地 承擔全部責任，並在 ...