Revenue Performance - For the nine months ended September 30, 2020, the group's revenue was approximately HKD 39.1 million, a decrease of about 26.8% compared to approximately HKD 53.5 million for the same period in 2019[8] - Revenue from electronic gaming equipment sales and distribution decreased by approximately 24.9% to about HKD 36.1 million from approximately HKD 48.2 million in the same period last year[8] - The company's revenue for the nine months ended September 30, 2020, decreased by approximately 26.8% to HKD 39.1 million from HKD 53.5 million in the same period of 2019[30] - Revenue from the technical sales and distribution of electronic gaming equipment decreased by approximately 17.2% to HKD 36.1 million, compared to HKD 43.7 million in 2019[31] - Revenue from consulting and technical services fell by approximately 40.7% to HKD 2.0 million, down from HKD 3.4 million in the previous year[31] - Revenue from maintenance services decreased by approximately 49.0% to HKD 1.0 million, compared to HKD 2.0 million in 2019[31] - Total revenue for the nine months ended September 30, 2020, was HKD 39,139,851, a decrease from HKD 53,488,632 in the same period last year, representing a decline of approximately 26.8%[34] Financial Losses - The group recorded a total comprehensive loss of approximately HKD 23.5 million for the period, an increase of 784.3% compared to a loss of HKD 2.7 million in the same period last year[8] - The company reported a loss attributable to shareholders of HKD 23.5 million for the nine months ended September 30, 2020, compared to a loss of HKD 2.7 million in the same period of 2019[23] - The basic loss per share for the period was HKD 0.02, compared to HKD 0.003 for the same period in 2019[9] - The company recorded an unaudited loss attributable to shareholders of approximately HKD 23.5 million for the current period, compared to a loss of about HKD 2.7 million in the same period last year[39] Operating Expenses - Operating expenses decreased to approximately HKD 14.58 million from HKD 24.10 million in the same period last year[9] - Operating expenses decreased by approximately 39.5% to about HKD 14.6 million from HKD 24.1 million in the same period last year, attributed to voluntary salary reductions by senior management[35] Dividends - The board of directors decided not to declare any dividends for the period, consistent with the previous year[8] - The company did not declare any dividends for the period, consistent with the previous year[24] - The board has decided not to declare any dividends for the period, consistent with the previous period[56] Company Operations and Strategy - The company primarily engages in the technical sales and distribution of electronic gaming equipment, maintenance services, and consulting services[14] - The company expressed concerns about the impact of COVID-19 on its operations in Macau and Southeast Asia, while aiming to return to pre-COVID-19 activity levels[27] - The company plans to continue exploring new opportunities to complement its core electronic gaming equipment business in Macau and Southeast Asia[27] Financial Position - As of September 30, 2020, the company had no bank borrowings or overdrafts, maintaining a net current asset of approximately HKD 60.2 million[43] - The net proceeds from the listing, after deducting underwriting fees and other expenses, amounted to approximately HKD 40 million, with HKD 0.1 million remaining unutilized as of September 30, 2020[41] - The company plans to utilize the remaining net proceeds for purposes disclosed in the prospectus, including enhancing market presence in Macau and Southeast Asia[42] Employee Costs - Employee costs, including director remuneration, amounted to approximately HKD 9.5 million, down from HKD 12.3 million in the previous year[48] Capital Commitments - Capital commitments for the development of an enterprise resource planning system amounted to approximately HKD 1.8 million as of September 30, 2020[51] Corporate Governance - The financial statements were prepared in accordance with International Financial Reporting Standards and the GEM Listing Rules[15] - The audit committee has reviewed the unaudited condensed consolidated financial statements and believes they comply with applicable accounting standards and legal requirements[71] - The company has adhered to the principles of the Corporate Governance Code and has applied all applicable code provisions during the period[65] Shareholder Information - As of September 30, 2020, the beneficial ownership of shares by directors and senior executives is as follows: Mr. Xu, Mr. Wu, and Mr. Chen each hold 727,020,000 shares, representing 72.70% of the issued shares[58] - APE HAT Holdings Limited underwent a restructuring on January 14, 2020, transferring shares to the directors, resulting in a combined ownership of 725,100,000 shares, which is 72.51% of the total issued shares[59] Relationships with Stakeholders - The company has maintained long-term stable business relationships with major customers, primarily casino operators listed on the Hong Kong Stock Exchange[54] - The company has maintained good relationships with suppliers and has established long-term relationships with selected suppliers[54] Foreign Exchange - The group recorded a net foreign exchange gain of HKD 21,692 during the period, compared to a loss of HKD 57,160 in the same period last year, attributed to fluctuations in the USD to Euro exchange rate[55] Other Matters - There were no significant matters requiring disclosure known to the board after the reporting period[67] - There were no purchases, sales, or redemptions of any listed securities by the company during the period[66] - The company has not made any significant investments or acquisitions during the reporting period[46]

Financial Performance - The company's revenue decreased by 46% from approximately HKD 21.9 million in the same period last year to about HKD 11.8 million[8]. - Gross profit fell by 59.8%, from approximately HKD 8.3 million to about HKD 3.3 million, with a gross margin decline from 37.7% to 28.1%[8]. - The total comprehensive loss increased to approximately HKD 29 million, compared to a loss of about HKD 5.5 million in the same period last year[8]. - The basic loss per share increased to HKD 0.029 from HKD 0.005 in the same period last year[17]. - The company incurred a loss of HKD 28,954,269 during the first half of 2020, compared to a loss of HKD 5,473,894 in the same period of 2019, reflecting a significant increase in losses[21]. - The group recorded a net loss attributable to shareholders of approximately HKD 29 million, compared to a net loss of about HKD 5.5 million in the same period last year, mainly due to a HKD 22.9 million impairment loss on receivables[110]. Revenue Breakdown - The company reported total revenue of HKD 11,835,848 for the six months ended June 30, 2020, with a breakdown of HKD 9,368,613 from electronic gaming equipment sales, HKD 1,515,989 from consulting and technical services, and HKD 951,246 from maintenance services[41]. - Revenue from the Macau market amounted to HKD 6,478,638, while revenue from Vietnam was HKD 5,236,043, indicating significant market presence in these regions[41]. - Total revenue for the six months ended June 30, 2020, was HKD 21,930,522, a breakdown of which includes HKD 19,014,114 from electronic gaming equipment sales[42]. - Revenue from consulting and technical services for the same period was HKD 1,695,911, while maintenance services contributed HKD 1,220,497[42]. - The Macau market generated HKD 19,770,001 in total revenue, accounting for the majority of the company's income[42]. Operational Changes - The company continues to focus on reducing operational costs and improving efficiency amid challenging market conditions[8]. - The company suspended its operations in February 2020 due to the COVID-19 pandemic, which negatively impacted its business and financial performance[27]. - The group has taken measures to reduce operating expenses, including voluntary salary reductions by senior management, in response to the ongoing uncertainty caused by COVID-19[91]. - The group has decided to focus on operations in Macau and selectively sell electronic gaming equipment to Southeast Asian countries, aiming to minimize uncertainties arising from the pandemic[91]. - The group is actively seeking new tenants in Macau and other Southeast Asian countries following the termination of financing lease agreements[86]. Impairment and Losses - The expected credit loss on receivables resulted in a significant impairment loss of HKD 22.9 million during the period[8]. - The group recorded an impairment loss of approximately HKD 22.9 million related to terminated financing lease agreements due to tenants' inability to pay rent[86]. - The company recognized impairment losses on receivables due to the inability of lessees to operate their businesses during the pandemic, leading to a write-off of receivables[29]. Assets and Liabilities - As of June 30, 2020, the total assets decreased to HKD 75,663,914 from HKD 84,504,031 as of December 31, 2019, representing a decline of approximately 10.9%[20]. - The total equity as of June 30, 2020, was HKD 59,165,097, down from HKD 88,119,366 as of December 31, 2019, indicating a decrease of approximately 33%[21]. - The company’s current liabilities decreased to HKD 21,477,120 as of June 30, 2020, from HKD 22,088,992 as of December 31, 2019, a reduction of about 2.8%[20]. - The total liabilities decreased from HKD 13,416,829 as of December 31, 2019, to HKD 3,633,864 as of June 30, 2020, reflecting a reduction of about 73%[69]. Government Support - The company received government subsidies related to COVID-19, which helped mitigate some of the financial impacts of the pandemic[27]. - The group recognized government subsidies amounting to HKD 194,175 during the six months ended June 30, 2020[45]. Inventory and Trade Receivables - The company reported a significant increase in inventory, with total inventory rising to HKD 10,481,306 as of June 30, 2020, compared to HKD 7,310,075 at the end of 2019, an increase of approximately 43%[20]. - Trade receivables decreased to HKD 5,642,151 as of June 30, 2020, from HKD 11,764,374 as of December 31, 2019, representing a decline of approximately 52%[65]. - The aging analysis of trade receivables showed that amounts overdue by 0 to 30 days increased to HKD 2,867,430 in 2020 from HKD 955,598 in 2019, a rise of approximately 200%[68]. Corporate Governance - The company has established an audit committee in accordance with the Corporate Governance Code and GEM Listing Rules[155]. - The audit committee consists of three independent non-executive directors, with Mr. Cai Guowei serving as the chairman[155]. - The company has complied with all applicable provisions of the Corporate Governance Code during the period[144]. Future Outlook - The overall outlook for the mass market in Macau remains optimistic, with expectations of strong performance in sports entertainment as tourism recovers post-COVID-19[96]. - The group is concerned about the ability of business activities to return to pre-COVID-19 levels, given the ongoing impact of the pandemic on casino operations[91].

Financial Performance - For the three months ended March 31, 2020, the group's revenue was approximately HKD 2.4 million, a decrease of about 70.1% compared to approximately HKD 8.0 million for the same period in 2019[8]. - The group recorded a total comprehensive loss of approximately HKD 4.1 million for the period, an increase of about 115% compared to a loss of approximately HKD 1.9 million for the same period last year[8]. - Revenue from technical sales and distribution of electronic gaming equipment decreased by approximately 84.6% compared to the same period last year[8]. - The group's gross profit for the period was HKD 683,160, down from HKD 2,865,192 in the same period last year[9]. - The company reported a net loss attributable to shareholders of HKD 4,086,313 for the three months ended March 31, 2020, compared to a loss of HKD 1,916,431 in the same period of 2019[26]. - The company generated HKD 1,007,107 from technical sales and distribution of electronic gaming equipment, a significant drop from HKD 6,539,281 in the previous year[18]. - The gross profit margin decreased from approximately 35.9% in the same period last year to about 28.7% this period[40]. - The group recorded a net loss attributable to shareholders of approximately HKD 4.1 million, compared to a net loss of HKD 1.9 million in the same period last year[44]. Operating Expenses - Operating expenses for the period were HKD 5,364,551, slightly decreased from HKD 5,399,453 in the same period last year[9]. - Operating expenses remained stable at HKD 5.4 million, consistent with the same period last year[42]. - The group had a total of 41 employees as of March 31, 2020, with employee costs amounting to approximately HKD 3.5 million[55]. Impact of COVID-19 - The decline in revenue and increase in losses were primarily attributed to the impact of COVID-19 on major customers, particularly the temporary closure of casinos in Macau[8]. - The company experienced a delay or cancellation of some electronic gaming equipment orders due to the impact of COVID-19[31]. - The management expects that the impact of COVID-19 is temporary and anticipates a recovery in business levels by mid-2020[33]. - The company aims to expand its business into Southeast Asia while facing challenges from government-mandated closures in Cambodia and the Philippines[34]. - The company has decided to delay new operating leases with Glimex in the Philippines due to the impact of the pandemic[34]. Revenue Breakdown - Total revenue for the three months ended March 31, 2020, was HKD 2,380,381, down from HKD 7,964,619 in the same period of 2019[18]. - Revenue from electronic gaming equipment sales and distribution was HKD 1,007,107, down 84.6% from HKD 6,539,281 year-on-year[36]. - Consulting and technical services revenue increased to HKD 879,825 from HKD 647,642 year-on-year[18]. - Consulting and technical services revenue increased by 35.9% to HKD 879,825 from HKD 647,642 in the previous year[36]. Equity and Assets - The group's total equity as of March 31, 2020, was HKD 84,033,053, down from HKD 89,251,957 as of March 31, 2019[12]. - As of March 31, 2020, the group's current assets net value was approximately HKD 60.2 million, a decrease from HKD 62.4 million as of December 31, 2019[51]. - The company had no bank borrowings or overdrafts as of March 31, 2020[51]. - The net proceeds from the listing, after deducting underwriting fees and other expenses, amounted to approximately HKD 40 million, with HKD 1.16 million remaining unutilized as of March 31, 2020[46]. Governance and Compliance - The board of directors resolved not to declare any dividend for the period, consistent with the same period last year[8]. - The board has decided not to declare any dividends for the current period, consistent with the previous period[63]. - The company has adhered to the principles of the Corporate Governance Code and complied with all applicable provisions during the period[72]. - There were no interests or potential conflicts of interest reported by directors or controlling shareholders in competing businesses[71]. - The audit committee reviewed the unaudited condensed consolidated financial statements and found them to comply with applicable accounting standards and legal requirements[78]. Relationships and Market Position - The company maintained long-term stable business relationships with major customers, primarily casino operators listed on the Hong Kong Stock Exchange[61]. - The group has established long-term relationships with several carefully selected suppliers[61]. - There were no significant events requiring disclosure from March 31, 2020, to the report date[75]. - The company has not repurchased any of its listed securities during the period[74]. - As of March 31, 2020, the beneficial owners, including Mr. Xu, Mr. Wu, and Mr. Chen, collectively hold 725,100,000 shares, representing 72.51% of the issued shares[65].

亞洲先鋒娛樂控股有限公司 Asia Pioneer Entertainment Holdings Limited （於開曼群島註冊成立的有限公司） 股份代號 : 8400 立足澳門，放眼亞洲 全方位電子博彩設備 解決方案供應商 年度報告 Asia Pioneer Entertainment Holdings Limited 亞洲先鋒娛樂控股有限公司 Annual Report 2019 年度報告 香港聯合交易所有限公司（「聯交所」）GEM（「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。 由於在GEM上市之公司一般為中小型公司，在GEM買賣之證券可能會較於聯交所主板買賣之證券承受較大之市場波 動風險，同時無法保證在GEM買賣之證券會有高流通量之市場。 香港交易及結算所有限公司以及聯交所對本報告的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明確表 示概不會就因本報告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 本報告包 ...

Revenue Performance - For the nine months ended September 30, 2019, the group's revenue was HKD 53.5 million, an increase of approximately 31.4% compared to HKD 40.7 million for the same period in 2018[6]. - Revenue from electronic gaming equipment sales and distribution increased from HKD 32.1 million to approximately HKD 43.7 million, representing a 35.8% increase[6]. - Revenue from spare parts sales rose from HKD 2.4 million to approximately HKD 4.5 million, marking an 85% increase[6]. - The company's revenue increased by approximately 31.4% from about HKD 40.7 million in the same period last year to about HKD 53.5 million this period[28]. - Revenue from technical sales and distribution of electronic gaming equipment rose by 35.8% to HKD 43,655,218 compared to HKD 32,149,821 in the previous year[29]. - Revenue from spare parts sales surged by 85% to HKD 4,495,735 from HKD 2,430,300 year-on-year[29]. - For the nine months ended September 30, 2019, total revenue was HKD 53,488,632, an increase from HKD 40,721,332 for the same period in 2018, representing a growth of approximately 31.2%[32][33]. Financial Losses and Expenses - The group recorded a total comprehensive loss of approximately HKD 2.7 million for the period, compared to a loss of approximately HKD 1.6 million in the same period last year, an increase of 62.5%[6]. - Operating expenses increased from approximately HKD 15.8 million to about HKD 24.1 million, reflecting a rise of 52.7%[6]. - Basic loss per share for the period was HKD 0.003, compared to HKD 0.002 for the same period in 2018[7]. - The company reported a net loss attributable to shareholders of HKD 2,657,454 for the period, compared to a loss of HKD 1,625,535 in the previous year[21]. - The company recorded an unaudited loss attributable to shareholders of approximately HKD 2,600,000 for the period, which increased due to higher operating expenses[37][38]. - Total employee costs increased to HKD 12,297,098 from HKD 9,582,595 year-on-year[20]. - Operating expenses increased by approximately 52.7% to HKD 24,100,000 from HKD 15,800,000 in the same period last year, primarily due to increased director remuneration and other employee costs[35][38]. - Director remuneration rose by 133.5% to HKD 4,478,311 compared to HKD 1,918,311 in the previous year, while other employee costs increased by 2.0% to HKD 7,818,787[36]. Dividends and Shareholder Information - The board of directors decided not to declare any dividends for the period, consistent with the previous year[6]. - The company did not declare any dividends for the period, consistent with the previous year[22]. - As of September 30, 2019, the controlling shareholders, including Mr. Xu, Mr. Wu, and Mr. Chen, collectively own 725,100,000 shares, representing 72.51% of the issued shares[60]. - APE HAT Holdings Limited, the direct shareholder, holds 72.51% of the company, with Mr. Xu and Mr. Wu each having a beneficial ownership of 39.68% and Mr. Chen holding 20.64%[64]. Current Assets and Financing - As of September 30, 2019, the net current assets were approximately HKD 61,800,000, up from HKD 59,600,000 as of December 31, 2018[44]. - The company has a bank credit facility of HKD 10,000,000 to facilitate trade financing as of September 30, 2019[44]. - The net proceeds from the listing, after deducting underwriting fees and other expenses, amounted to approximately HKD 40,000,000, with unutilized net proceeds of HKD 2,660,000 as of September 30, 2019[39][41]. - The company generated financing lease interest income of HKD 1,570,838 during the period[18]. Compliance and Governance - The company has complied with all applicable provisions of the Corporate Governance Code during the period[66]. - The Audit Committee consists of three independent non-executive directors, with Mr. Cai Guowei serving as the chairman[72]. - The Audit Committee has reviewed the unaudited consolidated financial statements and believes they comply with applicable accounting standards and legal requirements[72]. - The company is committed to providing sufficient disclosures in its financial reporting process[72]. - There were no significant matters requiring disclosure that occurred after the reporting period up to the date of this report[69]. Foreign Exchange and Other Losses - The group recorded a net foreign exchange loss of HKD 57,160 during the period, compared to a loss of HKD 251,766 in the same period last year, attributed to fluctuations in the USD to EUR exchange rate affecting Euro-denominated liabilities[55]. Sales and Procurement Expectations - The company sold a total of 202 electronic gaming devices during the period, up from 197 devices in the same period last year[25]. - Management expects approximately 80 new direct procurement orders in the fourth quarter[25].

Financial Performance - The group's revenue decreased by 2.7% to approximately HKD 21.9 million for the six months ended June 30, 2019, compared to approximately HKD 22.5 million for the same period in 2018[7]. - Gross profit increased by 43.2% to approximately HKD 8.2 million, with a gross profit margin rising from 25.6% to 37.7%[7]. - Operating expenses rose by 50% to HKD 15.1 million, primarily due to increased employee costs and expenses related to gaming development[7]. - The total comprehensive loss increased by 9% to approximately HKD 5.5 million, compared to a loss of approximately HKD 5 million in the same period last year[7]. - The company reported a pre-tax loss of approximately HKD 5.5 million for the six months ended June 30, 2019, compared to a loss of approximately HKD 5 million for the same period in 2018[17]. - Basic loss per share for the period was HKD 0.005, unchanged from the same period last year[17]. - The company reported a net loss of HKD 5,473,894 for the six months ended June 30, 2019, compared to a net loss of HKD 5,015,661 for the same period in 2018[86]. - The group recorded a net loss attributable to shareholders of approximately HKD 5.5 million, compared to a net loss of approximately HKD 5.0 million in the same period last year[136]. Revenue Breakdown - Revenue from electronic gaming equipment sales and distribution was HKD 19,014,114, accounting for approximately 86.7% of total revenue[71]. - The revenue from consulting and technical services reached HKD 1,695,911, contributing about 7.7% to total revenue[71]. - Maintenance service revenue amounted to HKD 1,220,497, which is approximately 5.6% of total revenue[71]. - The Macau market generated HKD 19,770,001 in revenue, representing about 90% of total revenue[71]. - Revenue recognized at a point in time was HKD 20,524,400, while revenue recognized over time was HKD 1,406,122[71]. - The revenue from electronic gaming equipment sales and distribution fell by 7% to HKD 19,014,114, while consulting and technical services revenue increased by 55% to HKD 1,695,911[121]. - The company reported a significant increase in electronic table game sales, which rose to HKD 14,404,552 from HKD 12,074,166 in the previous year, marking an increase of approximately 19.3%[73]. - The revenue from slot machines decreased to HKD 3,008,132 from HKD 7,529,756, indicating a decline of about 60%[73]. Expenses and Costs - The total sales and service costs for the six months were approximately HKD 13.7 million, down from HKD 16.8 million in the prior year[17]. - Other income and gains amounted to approximately HKD 1.4 million, compared to a loss of approximately HKD 0.15 million in the previous year[17]. - Total employee costs for the six months ended June 30, 2019, amounted to HKD 6,833,368, an increase from HKD 6,115,749 in the same period of 2018[83]. - The depreciation expense for property and equipment was HKD 945,543 for the six months ended June 30, 2019, compared to HKD 385,498 for the same period in 2018[83]. - The group incurred HKD 72,413 in property and equipment acquisitions during the period, significantly lower than HKD 5,937,043 in the same period of 2018, indicating a reduction of about 98.8%[88]. Assets and Liabilities - As of June 30, 2019, total assets decreased to HKD 81,145,866 from HKD 89,116,398 as of December 31, 2018, representing a decline of approximately 8.8%[20]. - The total liabilities decreased from HKD 29,504,623 as of December 31, 2018, to HKD 24,306,819 as of June 30, 2019, a reduction of approximately 17.8%[20]. - The company's cash and cash equivalents decreased to HKD 34,390,942 as of June 30, 2019, from HKD 47,507,886 at the beginning of the period, reflecting a decline of about 27.6%[26]. - The net asset value as of June 30, 2019, was HKD 85,694,494, down from HKD 91,168,388 as of December 31, 2018, a decrease of approximately 6.0%[22]. - Trade receivables decreased to HKD 5,912,690 as of June 30, 2019, down from HKD 12,002,545 as of December 31, 2018, reflecting a decline of approximately 50.7%[99]. - Trade payables decreased to HKD 8,083,196 as of June 30, 2019, from HKD 18,336,158 as of December 31, 2018, representing a reduction of approximately 56.0%[102]. - Contract liabilities amounted to HKD 5,841,806 as of June 30, 2019, indicating the collection of non-refundable deposits for future services and products[104]. Accounting Standards and Compliance - The company has adopted new accounting standards, including IFRS 16 on leases, which may impact future financial reporting and performance metrics[30]. - The company has adopted IFRS 16, which requires the recognition of right-of-use assets and lease liabilities for leases, excluding short-term and low-value asset leases[39]. - The company recognized lease liabilities of HKD 4,114,217 and right-of-use assets of HKD 4,558,713 upon the initial application of IFRS 16 on January 1, 2019[55]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited condensed consolidated financial statements and believes they comply with applicable accounting standards and legal requirements[183]. - The company has complied with all applicable provisions of the Corporate Governance Code during the reporting period[169]. Future Strategies and Market Focus - The company continues to focus on expanding its electronic gaming equipment solutions across Asia[6]. - The company plans to continue focusing on the development of electronic gaming technologies and expanding its market presence in Asia[70]. - Future strategies include enhancing technical support and consulting services to improve overall service offerings[70]. - The company aims to strengthen its distribution of electronic gaming equipment in Macau and expand into Southeast Asian markets[116]. - The management anticipates a potential delay in the opening of a new casino in Macau, originally planned for the second half of 2019, which may impact sales[119]. - The company plans to focus more sales and marketing efforts in the Philippines, Vietnam, and Cambodia to boost sales in the second half of 2019[119]. Share Capital and Governance - The company reported a total issued share capital of HKD 100 million as of June 30, 2019, with 1 billion shares issued and fully paid[106]. - APE HAT Holdings Limited owns 72.51% of the company, with Mr. Xu and Mr. Wu each holding 39.68% and Mr. Chen holding 20.64%[166]. - The total number of issued shares as of June 30, 2019, is 1,000,000,000 shares[166]. - The company has not granted any stock options under its share option scheme since its adoption[110]. - The company has not repurchased any of its listed securities during the reporting period[172]. - The share option scheme was established to reward participants for their contributions to the group[176].

Financial Performance - For the three months ended March 31, 2019, the group's revenue was HKD 8.0 million, a decrease of approximately 42.8% compared to HKD 13.9 million for the same period in 2018[5]. - The group recorded a total comprehensive loss of approximately HKD 1.9 million for the period, compared to a comprehensive loss of HKD 1.7 million for the same period in 2018[5]. - The revenue decline was primarily due to a 49.7% decrease in income from technical sales and distribution of electronic gaming equipment[5]. - Revenue for the first quarter of 2019 decreased by approximately 42.8% to HKD 7.96 million from HKD 13.93 million in the same period of 2018[27]. - Revenue from technical sales and distribution of electronic gaming equipment fell by approximately 49.7% to HKD 6.54 million compared to HKD 12.99 million in 2018[28]. - The group reported a loss attributable to shareholders of HKD 1.92 million for the first quarter of 2019, compared to a loss of HKD 1.75 million in the same period of 2018[20]. - The company's revenue decreased from approximately HKD 13.9 million in the same period last year to about HKD 7.9 million this period, resulting in a net loss attributable to shareholders of approximately HKD 1.9 million compared to a net loss of HKD 1.7 million in the same period last year[34][35]. Operating Expenses and Profitability - Operating expenses increased to HKD 5.40 million from HKD 4.53 million in the same period last year[6]. - Total employee costs increased to HKD 3.36 million from HKD 2.79 million in the same period of 2018[19]. - Operating expenses increased by approximately 19.3% from about HKD 4.5 million in the same period last year to approximately HKD 5.4 million this period, primarily due to increased director remuneration and other employee costs[32]. - The gross profit for the period was HKD 2.87 million, compared to HKD 2.74 million for the same period in 2018[6]. - The gross profit margin improved from approximately 19.7% in the same period last year to about 35.9% this period, attributed to higher sales profit margins from technical sales[1]. - The gross profit margin for consulting and technical services was 51.7%, while the maintenance services had a gross profit margin of 63.7%[30]. Dividends and Shareholder Returns - The board of directors decided not to declare any dividend for the period, consistent with the same period in 2018[5]. - The group has no plans to declare dividends for the period, consistent with the previous year[22]. Assets and Financial Position - The company’s total assets as of March 31, 2019, were HKD 89.25 million, down from HKD 91.17 million at the end of 2018[9]. - As of March 31, 2019, the company's net current assets were approximately HKD 75 million, an increase from about HKD 59.6 million as of December 31, 2018, mainly due to an increase in inventory of about HKD 6.9 million[40]. - The company had no bank borrowings, overdrafts, or other bank loans as of March 31, 2019, indicating a strong capital structure[40]. - The company has no significant contingent liabilities as of March 31, 2019, indicating a stable financial position[43]. Strategic Initiatives and Future Outlook - The company continues to focus on providing electronic gaming equipment solutions and services to the gaming industry in Macau and Asia[11]. - The group has initiated the development of proprietary gaming products aimed at attracting Southeast Asian players and customers[25]. - Management is in discussions with multiple clients in Macau and Southeast Asia for new orders expected to reverse the current losses[25]. - Future outlook indicates a projected revenue growth of 15% for the next fiscal year, driven by new product launches and market expansion[72]. - The company is investing in R&D for new technologies, with a budget allocation of $10 million for the upcoming year[72]. - Market expansion plans include entering two new Asian markets by Q3 2020, aiming for a 10% market share within the first year[72]. - The company is considering strategic acquisitions to enhance its product offerings, with a focus on companies that complement its existing portfolio[72]. - A new gaming platform is set to launch in Q4 2020, expected to generate $5 million in revenue within the first six months[72]. - The company reported a 30% increase in revenue from its mobile gaming segment, contributing significantly to overall performance[72]. - The board of directors remains committed to enhancing shareholder value through strategic initiatives and operational efficiencies[72]. - The company plans to increase its marketing budget by 20% to support new product launches and brand awareness campaigns[72]. Corporate Governance and Management - The audit committee has reviewed the unaudited condensed consolidated financial statements and believes they comply with applicable accounting standards and legal requirements[70]. - The executive directors include Chairman Hsu Da-Jen, CEO Wu Min-Hao, and CFO Chen Zi-Lun[71]. - The company has not disclosed any new product launches or technological developments during this reporting period[11]. - The company has not repurchased any of its listed securities during the reporting period[66]. Ownership Structure - The company is owned 72.51% by APE HAT Holdings Limited, which is beneficially owned by Mr. Xu, Mr. Wu, and Mr. Chen at 39.68%, 39.68%, and 20.64% respectively[55]. - As of March 31, 2019, the total number of issued shares is 1,000,000,000, with APE HAT holding 725,100,000 shares, representing 72.51% of the issued shares[59]. - Mr. Xu, Mr. Wu, and Mr. Chen each hold 992 shares in APE HAT, corresponding to 39.68% ownership, and 516 shares, corresponding to 20.64% ownership respectively[56]. Currency and Financial Management - The company recorded a net foreign exchange gain of HKD 9,084 during the period, attributed to management's vigilance in monitoring currency fluctuations[50]. - The net proceeds from the listing, after deducting underwriting fees and other listing expenses, amounted to approximately HKD 40 million, with unutilized net proceeds of about HKD 6.34 million as of March 31, 2019[36][38]. - The company plans to utilize the remaining net proceeds for business objectives as disclosed in the prospectus over the coming years[36][38].

Financial Performance - The total revenue for the fiscal year 2018 was approximately HKD 109.6 million, representing a 27% increase from approximately HKD 86 million in the fiscal year 2017[10]. - The net profit after tax for the fiscal year 2018 was approximately HKD 20.7 million, a significant increase of 361% compared to HKD 4.5 million in the fiscal year 2017[10]. - The gross profit for the fiscal year 2018 rose to approximately HKD 47.9 million, up 38% from approximately HKD 34.8 million in the previous fiscal year[10]. - The group's revenue for the fiscal year 2018 increased by 27% to approximately HKD 109.6 million, compared to approximately HKD 86 million in the fiscal year 2017[24]. - Gross profit for the fiscal year 2018 rose by 38% to approximately HKD 48 million, up from approximately HKD 35 million in the fiscal year 2017[24]. - The group recorded a net profit of approximately HKD 20.7 million for the fiscal year 2018, a 361% increase from approximately HKD 4.5 million in the fiscal year 2017[27]. - The overall gross profit margin for the fiscal year 2018 was 44%, compared to 40% in the fiscal year 2017[16]. - The group achieved technical sales and distribution revenue of HKD 65.6 million from electronic gaming equipment, a decrease of 10% from HKD 72.8 million in the fiscal year 2017[15]. - Revenue from consulting and technical services increased by approximately 26% to HKD 8.5 million, up from HKD 6.7 million in the previous fiscal year[150]. - Revenue from maintenance services rose by about 15% to HKD 2.5 million, compared to HKD 2.1 million in the previous fiscal year[151]. Business Strategy and Market Outlook - The company plans to continue executing its business and operational plans as outlined in the prospectus, focusing on the growth of the electronic gaming equipment market in Macau and other regions in Asia[11]. - The increase in revenue was primarily driven by sales and distribution of electronic gaming equipment in Macau and Asia, including rental sales in Cambodia and the Philippines[10]. - The company expressed confidence in the growth prospects of the electronic gaming equipment market in Macau and other Asian regions[11]. - The group plans to continue executing its business plan from the prospectus dated October 31, 2017, including introducing new gaming machines in Macau[20]. - The group anticipates growth opportunities in the Asian market, particularly in Vietnam, the Philippines, and Cambodia, due to new developments in the gaming industry[19]. - The group aims to enhance its market presence in Macau and Southeast Asia, with 17.3% of the net proceeds allocated for this purpose[160]. Corporate Governance - The company has adopted and complied with all applicable code provisions of the Corporate Governance Code as set out in the GEM Listing Rules[70]. - The board consists of six directors, with independent non-executive directors making up 50% of the board members[76]. - The company has three independent non-executive directors, meeting the requirement that they must constitute at least one-third of the board[77]. - The company provides training for all directors to ensure they understand their responsibilities and the company's operations[81]. - The board is responsible for overseeing the management of the company's business affairs and overall performance[72]. - The company has established appropriate insurance arrangements to cover any liabilities incurred by directors in the performance of their duties[79]. - The company has adopted a shareholder communication policy to ensure equal and timely access to information for shareholders[136]. Management and Personnel - The company has a strong management team with diverse backgrounds in finance, marketing, and operations[63]. - The CEO has been with the company since its inception and has extensive experience in sales and marketing[58]. - The CFO joined the company in 2013 and was appointed as CFO in April 2018[59]. - Employee costs for the fiscal year 2018 amounted to approximately HKD 15.1 million, an increase from HKD 9.7 million in 2017[37]. - The company has implemented a compensation policy to attract and retain talented employees, including competitive salaries and performance bonuses[182]. Risk Management - The company has established policies and procedures for risk management and internal control, which are regularly reviewed by the board[123]. - The board believes that the risk management and internal control measures are adequate and effective in the current business environment[124]. - The company plans to review its risk management and internal control systems annually[125]. - The Risk Management Committee was established on November 15, 2017, to oversee the company's risk management policies and standards[108]. Shareholder Information - The company did not declare any dividends for the fiscal year, compared to HKD 6.5 million in the previous year[156]. - As of December 31, 2018, the company's distributable reserves amounted to approximately HKD 36,565,000[169]. - The largest customer accounted for 26.0% of total sales, while the top five customers collectively represented 76.0% of total sales[174]. - The largest supplier constituted 37.0% of total procurement, with the top five suppliers making up 89.9% of total procurement[174]. - The beneficial ownership of APE HAT is divided among Mr. Xu, Mr. Wu, and Mr. Chen, with each holding 39.68%, 39.68%, and 20.64% respectively[199]. Compliance and Legal Matters - There were no significant breaches of applicable laws and regulations during the year[164]. - The company confirmed that independent non-executive directors reviewed related party transactions and deemed them fair and reasonable[200]. - The company is subject to the Securities and Futures Ordinance regarding the disclosure of interests and short positions[188].