Financial Performance - For the three months ended March 31, 2019, the group's revenue was approximately HKD 47.1 million, an increase of about 6.0% compared to the same period last year[24]. - The group's gross profit for the same period was approximately HKD 16.1 million, representing an increase of about 28.8% year-on-year[34]. - Profit attributable to owners of the company for the three months ended March 31, 2019, was approximately HKD 4.3 million, an increase of about 180.3% compared to the previous year[24]. - Earnings per share for the same period was approximately HKD 0.011, an increase of about 175.0% year-on-year[24]. - The group reported total revenue of HKD 47.056 million for the three months ended March 31, 2019, compared to HKD 44.412 million for the same period in 2018, representing an increase[56]. - Gross profit for the three months ended March 31, 2019, was HKD 16.130 million, up from HKD 12.525 million for the same period last year[56]. - The company reported a profit before tax of HKD 2,562,000 for the three months ended March 31, 2019, compared to HKD 309,000 in the same period of 2018[76]. Revenue Breakdown - Revenue from beauty products was HKD 26.8 million (57.0% of total revenue), while revenue from cosmetic bags was HKD 20.2 million (43.0% of total revenue) for the three months ended March 31, 2019[33]. - For the three months ended March 31, 2019, the revenue from beauty product sales was HKD 26,828,000, a decrease of 6.2% compared to HKD 28,721,000 in the same period of 2018[70]. - Revenue from cosmetic bag sales increased to HKD 20,228,000, up 28.8% from HKD 15,691,000 in the previous year[70]. - Other income from samples and design revenue was HKD 238,000, down 46.6% from HKD 447,000 in the previous year[71]. Expenses and Financial Position - Administrative expenses increased by approximately HKD 1.4 million or about 20.2% to approximately HKD 8.4 million for the three months ended March 31, 2019, primarily due to expenses related to the proposed listing transfer[38]. - Sales expenses decreased by approximately HKD 0.4 million or about 12.5% to approximately HKD 2.9 million for the three months ended March 31, 2019, attributed to shorter shipping distances[42]. - The group maintained a stable cash and cash equivalents balance of approximately HKD 103.2 million as of March 31, 2019, compared to approximately HKD 103.6 million as of December 31, 2018[37]. - The current ratio as of March 31, 2019, was approximately 6.8 times, down from approximately 8.1 times as of December 31, 2018[37]. Business Strategy and Market Conditions - The group's core business includes the design, development, production, and sale of beauty products and cosmetic bags, with significant growth attributed to stable improvements in the US economy[27]. - Various marketing activities and exhibitions were held, including the 2019 China Beauty Expo in Shanghai and a cosmetics exhibition in Los Angeles, aimed at strengthening customer relationships[27]. - The company will remain vigilant regarding potential impacts from trade wars and business environment changes, evaluating strategies to enhance sales and reduce product costs for exports to the US[28]. - The increase in revenue was primarily due to recognition of high-quality products by existing customers and successful new customer development marketing strategies[34]. Corporate Governance and Compliance - The company has complied with all provisions of the corporate governance code as per GEM Listing Rules Appendix 15 during the three months ending March 31, 2019[106]. - The company has adopted a code of conduct for securities trading by directors and employees, confirming compliance for the three months ending March 31, 2019[107]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited financial information for the first quarter ending March 31, 2019[115]. - The company has confirmed that its compliance advisor and related parties have no interests in the company's equity as of March 31, 2019[109]. - The company has confirmed adherence to the trading standards and code of conduct for directors during the reporting period[107]. Shareholder Information - Major shareholders hold a total of 300,000,000 shares, representing 50.8%, 39.7%, and 9.5% ownership by key individuals[96][97]. - The company did not recommend any interim dividend for the three months ended March 31, 2019[48]. - The board did not recommend any interim dividend for the three months ended March 31, 2019[79]. - No shares were purchased, sold, or redeemed by the company or its subsidiaries during the three months ending March 31, 2019[108]. Future Plans and Developments - The company announced plans to transfer its shares from GEM to the main board of the stock exchange on May 5, 2019, to enhance its image and brand recognition[117]. - The company is focused on expanding its product offerings and enhancing its market presence in the beauty and cosmetic sectors[64]. - The company has not identified any significant events affecting its business or financial performance after March 31, 2019[117].

Financial Performance - The company's revenue for the year ended December 31, 2018, was approximately HKD 258.8 million, an increase of about 44.3% compared to the previous year[16]. - Gross profit for the same period was approximately HKD 87.5 million, reflecting a 32.7% increase year-on-year[17]. - Net profit attributable to equity holders was approximately HKD 32.2 million, a significant increase of about 489.6% compared to the previous year[17]. - The gross margin decreased to approximately 33.8%, down from 36.8% in the previous year, primarily due to a different product mix and increased sales volume[17]. - Beauty products accounted for 74.7% of total revenue in 2018, with sales of HKD 193.4 million, compared to 61.9% in 2017[16]. Business Growth and Strategy - The company reported significant growth in overall profits and shareholder returns due to its position as a beauty product manufacturer and cosmetic bag solution provider[11]. - The business growth for the year was attributed to stable improvements in the US economy and strong support from reliable customers in North America[13]. - The company launched new products and marketing campaigns, including Mother's Day beauty products, which received positive feedback and generated considerable revenue[14]. - The company aims to solidify its position as a beauty product manufacturer and cosmetic bag solution provider while expanding its operational scale to enhance overall profits[15]. - The company has been proactive in assessing and determining business strategies to increase sales and reduce product costs exported to the US[15]. Challenges and Risks - The company anticipates challenges in the global business environment due to the US-China trade war, which may negatively impact economic confidence and customer purchasing costs[15]. - The company faces various risks that could significantly impact its business, financial condition, and operations, particularly due to poor performance from customers, especially in the U.S. market[73]. - Labor shortages and rising labor costs in China may hinder the company's expansion plans, affecting its business and financial performance[74]. - The company's operations and financial results are heavily influenced by the economic, political, and legal developments in China, where it maintains substantial business assets[75]. Management and Governance - The company has a strong management team with over 16 years of experience in the beauty product manufacturing and sales industry[52]. - The independent non-executive director has extensive experience in corporate, banking, and project financing law, participating in significant corporate transactions including IPOs and mergers[54]. - The company has appointed a financial director with over 20 years of experience in financial management, accounting, and auditing[56]. - The independent non-executive director has been recognized as a leading practitioner in corporate and M&A law by IFLR1000 and Legal 500 Asia Pacific[54]. - The company has established key business departments including marketing, development, production, and quality control centers[52]. Financial Management - The company has upgraded production hardware and infrastructure, with an investment of approximately HKD 23.7 million in the year[35]. - As of December 31, 2018, the company had cash and cash equivalents of approximately HKD 103.6 million, an increase from HKD 96.4 million in 2017[36]. - Administrative expenses decreased by approximately 28.3% to about HKD 30.2 million, primarily due to the absence of listing expenses in 2018[37]. - The current ratio as of December 31, 2018, was approximately 8.1 times, indicating a strong liquidity position[36]. - The total employee cost for the year ended December 31, 2018, was approximately HKD 16.1 million, up from about HKD 14.3 million for the year ended December 31, 2017, reflecting an increase due to a higher number of employees and salary adjustments[46]. Shareholder and Dividend Policy - The company did not recommend a final dividend payment to shareholders for the year[76]. - The company has adopted a dividend policy effective from January 1, 2019, which establishes appropriate procedures for declaring and recommending dividends[197]. - The board has the discretion to decide on the declaration and payment of dividends based on factors such as actual and expected financial performance, cash flow, and overall business conditions[197]. - The company will regularly review and reassess the effectiveness of its dividend policy as necessary[198]. Corporate Governance - The board of directors consists of six members, including three executive directors and three independent non-executive directors, ensuring a balanced governance structure[133]. - The company has adopted a code of conduct for securities trading by directors and employees, which is stricter than the GEM listing rules[131]. - The independent non-executive directors represent at least one-third of the board, complying with GEM listing regulations[136]. - The company has confirmed the independence of all independent non-executive directors according to GEM listing rules[137]. - The company’s chairman and CEO roles are separated to ensure effective leadership and management oversight[135]. Risk Management and Internal Control - The company has established a risk management and internal control system, which was reviewed for effectiveness and found to be adequate as of December 31, 2018[181]. - The audit committee reported no significant discrepancies in the internal control system and recommended improvements to enhance risk management[183]. - The board has received confirmation from management that the risk management and internal control systems are effective[184]. - The company has not identified any significant uncertainties that may cast doubt on its ability to continue as a going concern[180]. Related Party Transactions - The group entered into several related party transactions during the year, with significant transactions disclosed in the consolidated financial statements note 31[100]. - Independent non-executive directors confirmed that the related party transactions were conducted on normal commercial terms and did not exceed the previously disclosed annual limits[104]. - The external auditor provided an unqualified opinion regarding the group's related party transactions in accordance with GEM listing rules[105]. Shareholder Communication - The company is committed to maintaining effective communication with shareholders and potential investors through its website, which provides access to corporate information[196]. - Shareholders holding at least 10% of the paid-up capital have the right to request the board to convene a special general meeting within two months of the request[193]. - Nominations for directors at the general meeting must be submitted in writing at least seven days prior to the meeting[194].