Financial Performance - Revenue for the six months ended September 30, 2021, reached approximately HKD 121.4 million, an increase of about HKD 38.1 million or 45.7% compared to HKD 83.3 million for the same period in 2020[7] - Net profit for the same period was approximately HKD 3.6 million, up by about HKD 0.8 million or 28.6% from HKD 2.8 million in the prior year[7] - Gross profit for the six months was HKD 78.3 million, representing a gross margin of approximately 64.5%, compared to HKD 52.9 million in the previous year[8] - The company reported a basic and diluted earnings per share of HKD 0.4 for the six months ended September 30, 2021, compared to HKD 0.3 for the same period in 2020[8] - Total revenue from restaurant operations for the six months ended September 30, 2021, was HKD 121,378,000, up from HKD 82,875,000 in the same period of 2020, reflecting a growth of 46.3%[23] - The total comprehensive income for the six months ended September 30, 2021, was HKD 3,559,000, compared to HKD 2,845,000 for the same period in 2020, representing an increase of 25.0%[12] - Profit for the six months ended September 30, 2021, was approximately HKD 3.6 million, an increase of approximately HKD 0.8 million from approximately HKD 2.8 million for the same period in 2020[72] Assets and Liabilities - Current assets as of September 30, 2021, totaled HKD 71.6 million, an increase from HKD 64.4 million as of March 31, 2021[9] - Total liabilities decreased to HKD 52.7 million as of September 30, 2021, from HKD 59.2 million as of March 31, 2021[9] - Cash and bank balances increased to HKD 57.1 million as of September 30, 2021, compared to HKD 46.4 million as of March 31, 2021[9] - Inventory levels rose to HKD 0.9 million as of September 30, 2021, from HKD 0.6 million as of March 31, 2021[9] - Trade payables increased to HKD 20.0 million as of September 30, 2021, compared to HKD 11.9 million as of March 31, 2021[9] - The company's total equity increased to HKD 51,197,000 as of September 30, 2021, compared to HKD 47,638,000 as of March 31, 2021, marking an increase of 7.9%[12] - Trade receivables as of September 30, 2021, totaled 907 thousand HKD, an increase from 700 thousand HKD as of March 31, 2021[37] - Lease liabilities increased to HKD 34,023,000 as of September 30, 2021, from HKD 23,011,000 as of March 31, 2021, reflecting a rise of 47.9%[11] Cash Flow - For the six months ended September 30, 2021, the company reported a net cash inflow from operating activities of HKD 37,312,000, compared to HKD 19,718,000 for the same period in 2020, representing an increase of 89.3%[14] - The net cash and cash equivalents at the end of the period were HKD 57,060,000, up from HKD 51,543,000 at the end of the same period in 2020, indicating a growth of 10.0%[14] - The company incurred a net cash outflow from investing activities of HKD 7,353,000 for the six months ended September 30, 2021, compared to HKD 2,144,000 in the same period of 2020[14] Operational Highlights - The company did not declare an interim dividend for the period, consistent with the previous year[7] - The company opened two new restaurants under the "犇殿" brand, contributing to the revenue growth[50] - The company has decided not to renew the lease for the "Mr. Steak" restaurant in Hong Kong, which is set to expire in September 2021[53] - The company has renewed the lease for the "Hana" restaurant for three years starting from August 20, 2021, ensuring continued cash flow[51] - The company engaged in significant related party transactions, purchasing food from a related company for approximately HKD 19.8 million during the six months ended September 30, 2021, compared to HKD 14.7 million in the previous year[47] Expenses - Employee costs rose by approximately HKD 15.2 million or 84.9% from approximately HKD 17.9 million to approximately HKD 33.1 million, attributed to the operational commencement of TF and OC restaurants[62] - Depreciation of property, plant, and equipment increased from approximately HKD 16.6 million to approximately HKD 20.0 million, an increase of approximately HKD 3.4 million, due to the commencement of operations of TF and OC[64] - Rental and related expenses decreased by approximately HKD 1.7 million or 20.0% from approximately HKD 8.5 million to approximately HKD 6.8 million, primarily due to changes in lease arrangements[65] - Fuel and utility expenses increased by approximately HKD 0.9 million or 56.3% from approximately HKD 1.6 million to approximately HKD 2.5 million, driven by increased customer numbers and the commencement of operations of TF and OC[66] - Administrative expenses increased by approximately HKD 1.4 million or 15.6% from approximately HKD 9.0 million to approximately HKD 10.4 million, mainly due to increased operational activities[68] Strategic Developments - The company did not report any new product launches or significant market expansions during the period[23] - There were no acquisitions or major strategic changes mentioned in the report for the period ended September 30, 2021[23] - The company benefited from the Hong Kong government's consumption voucher scheme, which provided HKD 5,000 in vouchers to eligible residents, stimulating consumer spending[50] - The company expects to fully utilize the remaining net proceeds for restaurant network expansion by March 31, 2023[73] Shareholder Information - As of September 30, 2021, Future More holds 750,000,000 shares, representing 75% of the issued shares of MS Concept Limited, which totals 1,000,000,000 shares[30] - The ownership structure of Future More includes Mr. Kwan with 14%, Ms. Yip with 18%, Ms. Kwan with 18%, Mr. Kwan Tai Wing with 25%, and Ms. Kwan Ching with 25%[30] - No stock options have been granted under the stock option plan since its adoption on March 23, 2018, and there are no unexercised stock options as of September 30, 2021[92] - The company has maintained the public float required by GEM listing rules as of the report date[97] Compliance and Governance - The audit committee, composed of independent non-executive directors, reviewed the unaudited consolidated results for the six months ended September 30, 2021, ensuring compliance with applicable accounting standards[102] - No significant events affecting the group have occurred since September 30, 2021, up to the report date[103]

第 一 季 度 報 告 2 0 2 1 第一季度報告2021 1 MS CONCEPT LIMITED 2 0 2 1 香港聯合交易所有限公司GEM（分別為「聯交所」及「GEM」）的特色 ( 於開曼群島註冊成立的有限公司 ) 股份代號: 8447 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聯 交所主板買賣的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。 香港交易及結算所有限公司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，並明確表示概不就因本報告全部 或任何部份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。 本報告的資料乃遵照GEM證券上市規則（「GEM上市規則」）而刊載，旨 在提供有關MS Concept Limited（「本公司」）的資料。本公司的董事（「董 事」）願就本報告的資料共同及個別地承擔全部責任。各董事在作出一 切 ...

Financial Performance - The group's revenue decreased by approximately HKD 53.2 million or 23.6% to approximately HKD 172.6 million for the year ended March 31, 2021, compared to approximately HKD 225.8 million for the previous year[8] - Revenue for the year ended March 31, 2021, was approximately HKD 172.6 million, a decrease of about HKD 53.2 million or 23.6% compared to HKD 225.8 million for the year ended March 31, 2020[18] - Gross profit was approximately HKD 108.5 million, down about HKD 42.9 million or 28.3% from HKD 151.4 million in the prior year, with a gross margin decrease from 67.1% to 62.9%[22] - Other income and gains increased to approximately HKD 25.1 million from HKD 3.1 million, primarily due to government subsidies and rent concessions related to COVID-19[23] - The company recorded a profit of approximately HKD 3.8 million for the year ended March 31, 2021, compared to a loss of HKD 2.9 million for the year ended March 31, 2020[36] Operational Changes - The group operates twelve restaurants in Hong Kong, including five under the "Mr. Steak" brand and one "Mr. Steak - Buffet à la minute" restaurant[12] - A new restaurant named "德福犇殿" was opened in late August 2020, serving Taiwanese hot pot, to maximize shareholder returns[9] - The group decided not to renew the lease for the "元朗SB" restaurant after careful consideration of its business performance[9] - The management team identified a suitable location for a new restaurant under the "犇殿" brand, expected to open in August 2021[9] - The ongoing COVID-19 pandemic continues to impact the restaurant industry in Hong Kong, with government measures affecting customer numbers[8] Cost Management - Cost of goods sold was approximately HKD 64.1 million, a decrease of about HKD 10.3 million or 13.8% from HKD 74.4 million for the previous year[21] - Employee costs decreased by approximately HKD 17.1 million or 23.8% to HKD 54.6 million from HKD 71.7 million in the previous year[24] - Depreciation expenses decreased to approximately HKD 36.1 million from HKD 42.6 million, mainly due to changes in property leasing arrangements[28] - Financing costs decreased by approximately HKD 0.5 million or 13.9% to HKD 3.1 million from HKD 3.6 million in the previous year[34] Equity and Cash Flow - As of March 31, 2021, the total equity attributable to the owners of the company was approximately HKD 47.6 million, an increase from HKD 43.8 million in 2020[9] - The cash and cash equivalents as of March 31, 2021, were approximately HKD 46.4 million, down from HKD 48.5 million in 2020[9] - Operating cash inflow for the year ended March 31, 2021, was approximately HKD 34.3 million, compared to HKD 41.8 million in 2020[9] - Total bank borrowings as of March 31, 2021, were approximately HKD 10.9 million, a decrease from HKD 11.8 million in 2020[9] Future Outlook and Expansion - The company plans to expand its restaurant network in Hong Kong, with an expected utilization of remaining net proceeds by March 31, 2023[52] - The company has set a future outlook with a revenue growth target of 10% for the next fiscal year, aiming to reach HKD 1.32 billion[66] - New product development initiatives are underway, with an investment of HKD 50 million allocated for the launch of three new restaurant concepts in the upcoming year[66] - The company plans to expand its market presence by opening five new locations in key urban areas, which is expected to increase market share by 5%[66] - A strategic acquisition of a local competitor is being considered, which could potentially increase the company's customer base by 30%[66] Corporate Governance - The management team confirmed the accuracy and completeness of the annual report, ensuring no misleading information is presented[8] - The company is committed to improving corporate governance practices, ensuring compliance with all applicable regulations and enhancing shareholder value[72] - The board of directors has authorized the management team to implement strategic initiatives aimed at achieving long-term growth and sustainability[76] - The company has established a robust internal control and risk management framework to monitor operational and financial performance effectively[78] - The board consists of six directors, with independent non-executive directors making up 50% of the board, exceeding GEM listing rules[79] Risk Management and Compliance - The company has established policies and procedures for risk management and internal control, with no significant deficiencies found in the internal control system[129] - The board of directors is responsible for evaluating the nature and extent of risks the company can take to achieve its strategic objectives[128] - The company has implemented a code of conduct and compliance guidelines applicable to employees and directors[119] - The company has a policy for reviewing and monitoring compliance with legal and regulatory requirements[119] Supplier and Customer Relations - The group maintains good working relationships with its customers and suppliers, emphasizing the importance of these relationships for sustainable development[153] - The group has no reliance on any single customer, as its main customers are individual consumers[153] - The group reported that the total procurement amount from the top five suppliers accounted for approximately 62.6% of the total procurement for the year ended March 31, 2021, compared to 62.1% in 2020[153] Shareholder Information - The company has adopted a dividend policy that requires the board to consider various factors, including actual and expected business performance, before declaring dividends[145] - The board does not recommend the payment of a final dividend for the year ended March 31, 2021, consistent with no dividend in 2020[155] - The total distributable reserves available to the company's equity shareholders were approximately HKD 22.0 million, down from HKD 24.2 million in 2020[165] Social Responsibility - The company is committed to promoting environmental and social sustainability, complying with local environmental laws and regulations in Hong Kong[189] - The total charitable donations made by the group for the year ended March 31, 2021, amounted to HKD 36,000, unchanged from the previous year[160]

Financial Performance - Revenue for the nine months ended December 31, 2020, was approximately HKD 133.6 million, a decrease of about HKD 51.2 million or 27.7% compared to HKD 184.8 million for the same period in 2019[8] - Net profit for the nine months ended December 31, 2020, was approximately HKD 6.2 million, an increase of about HKD 3.2 million or 106.7% compared to HKD 3.0 million for the same period in 2019[8] - Gross profit for the nine months ended December 31, 2020, was approximately HKD 84.6 million, down from HKD 124.4 million in the same period of 2019, representing a decrease of 32%[9] - Basic and diluted earnings per share for the nine months ended December 31, 2020, were HKD 0.6, compared to HKD 0.3 for the same period in 2019[9] - Total comprehensive income for the nine months ended December 31, 2020, was HKD 6.2 million, compared to HKD 3.0 million for the same period in 2019[9] - The group reported a pre-tax profit of HKD 6,152,000 for the nine months ended December 31, 2020, compared to HKD 2,991,000 for the same period in 2019, representing an increase of 105.5%[24] - The basic earnings per share for the nine months ended December 31, 2020, was HKD 6.15, up from HKD 2.99 in the same period of 2019, reflecting a growth of 105.4%[24] Expenses and Costs - The company reported a decrease in employee costs to HKD 28.9 million for the nine months ended December 31, 2020, from HKD 55.5 million in the same period of 2019[9] - The group incurred employee benefits expenses of HKD 28,910,000 for the nine months ended December 31, 2020, a decrease of 47.9% from HKD 55,457,000 in 2019[22] - The company’s cost of goods sold for the nine months ended December 31, 2020, was approximately HKD 49.0 million, down from HKD 60.4 million in the same period of 2019[9] - The cost of goods sold for the nine months ended December 31, 2020, was HKD 49,011,000, down 18.8% from HKD 60,382,000 in the previous year[22] - The group’s depreciation expense for property, plant, and equipment for the nine months ended December 31, 2020, was HKD 25,919,000, down 20.5% from HKD 32,597,000 in the previous year[22] - Rental and related expenses decreased by approximately HKD 1.7 million or 15.1% to approximately HKD 13.0 million for the nine months ended December 31, 2020, compared to approximately HKD 11.3 million for the same period in 2019[40] - Fuel and utility expenses decreased by approximately HKD 1.2 million or 31.6% to approximately HKD 2.6 million for the nine months ended December 31, 2020, down from approximately HKD 3.8 million for the same period in 2019[41] - Administrative expenses decreased by approximately HKD 1.6 million or 10.4% to approximately HKD 13.8 million for the nine months ended December 31, 2020, compared to approximately HKD 15.4 million for the same period in 2019[43] - Financing costs decreased from approximately HKD 2.8 million to about HKD 2.2 million for the nine months ended December 31, 2020, mainly due to a net reduction in lease liabilities interest[44] Dividends and Share Issuance - The board of directors decided not to declare any dividends for the nine months ended December 31, 2020[7] - The group did not declare any dividends for the nine months ended December 31, 2020[26] - The net proceeds from the issuance of 250,000,000 shares at HKD 0.27 per share amounted to approximately HKD 39.6 million, with planned uses including restaurant network expansion and facility upgrades[55] - As of December 31, 2020, approximately HKD 3.9 million and HKD 2.8 million of the net proceeds were used for opening new restaurant locations in Tung Chung and other areas[57] - The remaining unutilized net proceeds are expected to be fully utilized by March 31, 2023, for various business objectives[56] Assets and Liabilities - The company’s total assets as of December 31, 2020, were approximately HKD 49.978 million, an increase from HKD 43.826 million as of April 1, 2020[10] - The group recorded a tax credit of approximately HKD 1.0 million for the nine months ended December 31, 2020, primarily due to the recognition of deferred tax assets from operating losses[45] - As of December 31, 2020, the group had no significant capital commitments or contingent liabilities[51][52] Corporate Governance - The board believes that Mr. Kwan's dual role as Chairman and CEO is in the best interest of the company due to his long-term management experience since 2000[74] - The company has maintained the public float required by GEM listing rules as of the report date[75] - The compliance advisor, Tong Ren Finance Limited, has no interests in the company's equity as of December 31, 2020[76] - The board has adopted and complied with all applicable corporate governance code provisions, except for the separation of roles between Chairman and CEO[72] - The audit committee has been established in accordance with GEM listing rules and corporate governance code, consisting of independent non-executive directors[78] - The committee reviewed the unaudited consolidated results for the nine months ended December 31, 2020, and found them to be prepared in accordance with applicable accounting standards[78] - Sufficient disclosures have been made in the unaudited consolidated financial statements[78] Market Conditions and Future Plans - The group will continue to assess its business objectives and may revise its business plans in response to changing market conditions[58] - The group has no significant foreign exchange risk and does not currently execute any foreign currency hedging policies[50] - There are no known conflicts of interest or competition with the company's business as of December 31, 2020[71] - The company has not disclosed any interests or short positions in shares or related securities by directors or key executives as of December 31, 2020[67] - No stock options have been granted under the stock option plan since its adoption on March 23, 2018, and there are no unexercised stock options as of December 31, 2020[69] - The company did not repurchase any of its listed securities during the reporting period[70]

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，並應經過審慎周詳考慮後方作出投資決定。 香港聯合交易所有限公司GEM（分別為（「聯交所」及「GEM」）的特色 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聯 交所主板買賣的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。 香港交易及結算所有限公司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。 本報告的資料乃遵照GEM證券上市規則（「GEM上市規則」）而刊載，旨在 提供有關MS Concept Limited（「本公司」）的資料。本公司的董事（「董事」） 願就本報告的資料共同及個別地承擔全部責任。各董事在作出一切合理 查詢後，確認就其所深知及確信，本報告所載資料在各重要方面均屬準 確完備，並無誤導或欺詐成分，亦無遺漏任何其他事項，足以令本報告 或其所載任何陳述產生誤導。 | 公司資料 | 3 ...

Financial Performance - Revenue for the three months ended June 30, 2020, was approximately HKD 46.5 million, a decrease of about HKD 13.3 million or 22.2% compared to HKD 59.8 million for the same period in 2019[8] - Net profit for the same period was approximately HKD 4.7 million, an increase of about HKD 4.1 million compared to HKD 0.6 million for the three months ended June 30, 2019[8] - Gross profit for the three months ended June 30, 2020, was HKD 30.3 million, down from HKD 40.5 million in the previous year, reflecting a decrease of approximately 25.3%[9] - Total comprehensive income for the period was HKD 4.68 million, compared to HKD 0.56 million for the same period in 2019[9] - The pre-tax profit for the three months ended June 30, 2020, was HKD 4.7 million, compared to HKD 0.6 million for the same period in 2019[21] - Profit for the three months ended June 30, 2020, was approximately HKD 4.7 million, an increase of about HKD 4.1 million compared to HKD 0.6 million for the same period in 2019[40] Earnings and Dividends - Basic and diluted earnings per share for the three months ended June 30, 2020, were HKD 0.5 cents, compared to HKD 0.06 cents for the same period in 2019[9] - The board of directors decided not to declare any dividends for the period[7] - The company declared no dividends for the three months ended June 30, 2020[48] Costs and Expenses - The company’s employee costs decreased to HKD 9.46 million from HKD 18.91 million in the previous year, reflecting a reduction of approximately 50%[9] - The cost of goods sold for the three months ended June 30, 2020, was HKD 16.2 million, down from HKD 19.4 million in 2019[18] - Employee benefits expenses decreased to HKD 9.5 million for the three months ended June 30, 2020, from HKD 18.9 million in 2019[18] - Cost of goods sold for the three months ended June 30, 2020, was approximately HKD 16.2 million, a decrease of about HKD 3.2 million or 16.5% compared to HKD 19.4 million for the same period in 2019[29] - Rental and related expenses increased by approximately HKD 1.3 million or 39.4% to HKD 4.6 million for the three months ended June 30, 2020, from HKD 3.3 million in the same period of 2019[35] - Depreciation of property, plant, and equipment decreased from approximately HKD 10.5 million to HKD 8.3 million, a reduction of about HKD 2.2 million[34] Other Income and Gains - The company recorded other income and gains of HKD 2.95 million for the three months ended June 30, 2020, compared to HKD 0.24 million in the same period of 2019[9] - Other income and gains increased from approximately HKD 0.2 million for the three months ended June 30, 2019, to approximately HKD 3.0 million for the same period in 2020, mainly due to government subsidies and rent concessions[31] Equity and Shareholding - The company’s total equity as of June 30, 2020, was HKD 48.51 million, an increase from HKD 43.83 million as of April 1, 2020[10] - As of June 30, 2020, the company and its related entities hold a total of 750,000,000 shares, representing 75% of the issued shares[50] - Mr. Kwan and Ms. Kwan each have a beneficial interest in 750,000,000 shares, equating to 75% ownership[50] - Future More, a related entity, holds 750,000,000 shares, which is also 75% of the total issued shares[52] - The shareholding percentages are based on a total of 1,000,000,000 issued shares as of June 30, 2020[51] Corporate Governance - The company has adopted corporate governance practices and has complied with applicable code provisions, except for one specific provision[60] - The board of directors confirmed compliance with the trading standards and code of conduct for directors' securities transactions during the reporting period[59] - The chairman and CEO roles are held by the same individual, which the board believes is in the best interest of the company[61] - There are no known conflicts of interest or competitive businesses involving the directors or major shareholders as of June 30, 2020[58] Operational Updates - The company is primarily engaged in providing catering services in Hong Kong[13] - The company has signed a new lease agreement for a property in Kowloon Bay to open a new restaurant serving Taiwanese cuisine, expected to provide additional revenue[24] - The company will operate a total of 12 restaurants in Hong Kong after the opening of the new restaurant, including various brands and cuisines[26] - The company exercised a two-year renewal option for the lease of the "Mr. Steak" restaurant in Kowloon Bay, ensuring stable cash flow[23] - The company closed the "Sky Bar" restaurant in Yuen Long after reviewing its performance and will not renew the lease[26] Taxation - The estimated tax expense for the three months ended June 30, 2020, was HKD 244,000, compared to HKD 111,000 in 2019[20] - The effective tax rate decreased from approximately 14.3% in 2019 to 4.1% in 2020, primarily due to government subsidies received[39] Audit and Compliance - The financial data in the report has not been audited by the company's independent auditor[65] - The audit committee, composed of independent non-executive directors, has reviewed the unaudited consolidated results for the three months ended June 30, 2020[65] - No significant acquisitions or disposals occurred during the three months ended June 30, 2020[43] - The company did not redeem any of its listed securities or purchase/sell any related securities during the three months ended June 30, 2020[56] - No stock options have been granted under the stock option plan since its adoption, and there are no unexercised options as of June 30, 2020[54] - The company maintains sufficient public float as per GEM listing rules[63]

Financial Performance - The company recorded revenue of approximately HKD 225.8 million for the year, a decrease of about HKD 32.8 million or 12.7% compared to HKD 258.6 million for the previous year[8]. - The company reported a loss attributable to shareholders of approximately HKD 2.9 million for the year[8]. - For the fiscal year ending March 31, 2020, the company's revenue was approximately HKD 225.8 million, a decrease of about HKD 32.8 million or 12.7% compared to HKD 258.6 million for the previous year[17]. - Gross profit was approximately HKD 151.4 million, down by about HKD 24.3 million or 13.8% from HKD 175.7 million year-on-year, with a gross margin decrease from 67.9% to 67.1%[21]. - The company recorded a loss of approximately HKD 2.9 million for the year ended March 31, 2020, compared to a profit of HKD 0.8 million for the previous year[33]. - Current ratio decreased from 2.3 in 2019 to 1.1 in 2020, and quick ratio also decreased from 2.3 to 1.1, primarily due to the adoption of HKFRS 16 which resulted in lease liabilities of HKD 29.1 million[34]. - Total equity attributable to owners was approximately HKD 43.8 million as of March 31, 2020, down from HKD 61.7 million in 2019[36]. - Cash and cash equivalents were approximately HKD 48.5 million as of March 31, 2020, compared to HKD 65.8 million in 2019[36]. - Operating cash inflow for the year was approximately HKD 41.8 million, significantly up from HKD 2.6 million in the previous year[36]. Operational Challenges - The company has experienced challenges due to the COVID-19 pandemic, which has affected consumer spending and restaurant operations[8]. - The company acknowledges the ongoing uncertainty in the economic environment and its impact on the restaurant industry[11]. - The management team is focused on cost-saving measures and exploring suitable opportunities for restaurant expansion in Hong Kong[11]. Restaurant Operations - The company operates 12 restaurants in Hong Kong, including five under the "Mr. Steak" brand and two under the "Hana" brand[9]. - The company opened a new restaurant named "Hana" in Tung Chung in August 2019, contributing additional revenue[8]. - The company plans to open a new restaurant serving Asian cuisine in Kowloon Bay, with an estimated opening date in August 2020[11]. - The company plans to open a new restaurant in Kowloon Bay by August 2020, following the recent opening of a restaurant in Tung Chung in August 2019[46]. Cost Management - The cost of goods sold was approximately HKD 74.4 million, a decrease of about HKD 8.5 million or 10.3% from HKD 82.9 million in the prior year[18]. - Employee costs decreased to approximately HKD 71.7 million, down by about HKD 6.5 million or 8.3% from HKD 78.2 million in the prior year[23]. - Rental and related expenses significantly decreased to approximately HKD 14.9 million, a reduction of about HKD 38.9 million or 72.3% from HKD 53.8 million in the previous year[26]. - Depreciation expenses increased to approximately HKD 42.6 million, up by about HKD 37.4 million from HKD 5.2 million in the prior year due to the adoption of new accounting standards[24]. - Financing costs rose to approximately HKD 3.6 million, an increase of about HKD 2.8 million from HKD 0.8 million in the previous year, mainly due to the recognition of lease liabilities[29]. Corporate Governance - The board of directors emphasizes the importance of good corporate governance to enhance shareholder value[63]. - The company has adopted all applicable corporate governance code provisions as of March 31, 2020, except for one specific provision[65]. - The board is responsible for overseeing the company's business affairs and overall performance, ensuring adequate financial and human resources support[69]. - The company has a clear delegation of authority to executive directors and senior management for daily operations and business management[67]. - The company has established audit and remuneration committees to monitor operational and financial performance[69]. - The company has a commitment to maintaining compliance with securities trading standards as per GEM listing rules[66]. - The board consists of six directors, with independent non-executive directors making up 50% of the board, exceeding GEM listing rules requirements[70]. - All independent non-executive directors confirmed their independence according to GEM listing rules, ensuring compliance with regulations[74]. - The company held six board meetings during the year, with all directors attending 100% of the meetings[78]. - The company adopted a board diversity policy in March 2018, focusing on measurable objectives for diversity in skills, experience, and perspectives[82]. Risk Management - The company has established policies and procedures for risk management and internal control, with the board responsible for monitoring their effectiveness at least annually[111]. - An independent internal control consultant was engaged to assess the group's internal control system, concluding that there were no significant deficiencies[112]. - The company has adopted various internal guidelines and written policies to monitor and mitigate risks associated with its business operations[111]. Shareholder Information - No dividends were declared or proposed for the year ended March 31, 2020, compared to HKD 0.015 per share in 2019[53]. - The board does not recommend the payment of a final dividend for the year ended March 31, 2020, compared to a dividend of HKD 0.015 per share in 2019[134]. - The company has established a dividend policy that requires the board to consider various factors, including actual and expected business performance and future expansion plans[126]. - Shareholders do not have the right to propose resolutions at the annual general meeting but can call a special general meeting to make suggestions[118]. Supplier Relationships - The group reported that the total procurement amount from the top five suppliers accounted for approximately 62.1% of the total procurement for the year ended March 31, 2020, compared to 67.3% in 2019[132]. - The largest supplier accounted for approximately 45.8% of the total procurement for the year ended March 31, 2020, up from 41.4% in 2019[132]. - The group maintains good working relationships with its customers and suppliers, continuously communicating through various channels to gather feedback[132]. Environmental and Social Responsibility - The company has implemented various green measures to promote environmental and social sustainability, complying with local environmental laws[164]. - The total charitable donations made by the group for the year ended March 31, 2020, amounted to HKD 36,000, unchanged from 2019[138].

MS CONCEPT LIMITED 股份代號 : 8447 (於開曼群島註冊成立的有限公司) 香港交易及結算所有限公司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，並明確表示概不就因本報告全部或任何部份內容而產生 或因倚賴該等內容而引致的任何損失承擔任何責任。 本報告的資料乃遵照GEM證券上市規則（「GEM上市規則」）而刊載，旨在提供有關 MS Concept Limited（「本公司」）的資料。本公司的董事（「董事」）願就本報告的資料 共同及個別地承擔全部責任。各董事在作出一切合理查詢後，確認就其所深知及 確信，本報告所載資料在各重要方面均屬準確完備，並無誤導或欺詐成分，亦無 遺漏任何其他事項，足以令本報告或其所載任何陳述產生誤導。 MS CONCEPT LIMITED 第三季度報告2019 1 第三季度報告 Stock Code: 8447 (Incorporated in the Cayman Islands with limited liability) MS CONCEPT LIMITED 香港聯合交易所有限公司GEM（分別為（「聯交所」及「GEM」）的特色 GEM的定位， ...

Financial Performance - Revenue for the six months ended September 30, 2019, was approximately HKD 121.6 million, a decrease of about HKD 11.8 million or 8.8% compared to HKD 133.4 million for the same period in 2018[7] - The company recorded a net profit of approximately HKD 1.0 million, compared to a net loss of approximately HKD 1.7 million for the six months ended September 30, 2018[7] - Operating profit decreased by approximately HKD 4.5 million or 81.8% to about HKD 1.2 million, excluding non-recurring listing expenses from the previous period[7] - Gross profit for the six months was approximately HKD 81.4 million, down from HKD 89.6 million in the same period last year[8] - Basic and diluted earnings per share for the six months was HKD 0.10, compared to a loss per share of HKD 0.18 for the same period in 2018[8] - Total comprehensive income for the period attributable to owners of the company was approximately HKD 1.0 million, compared to a loss of HKD 1.7 million in the previous year[8] - The company reported a total comprehensive income of HKD 1,018,000 for the six months ended September 30, 2019, compared to a loss of HKD 1,740,000 in the previous period[10] - The company reported a pre-tax loss of HKD 1.9 million for the six months ended September 30, 2019, compared to a profit in the same period of 2018[52] - The profit for the same period was approximately HKD 1 million, a decrease of about HKD 4.5 million or 81.8% compared to approximately HKD 5.5 million for the six months ended September 30, 2018, after excluding non-recurring listing expenses[69] Expenses and Costs - The company reported a decrease in employee costs to approximately HKD 37.8 million from HKD 38.1 million in the previous period[8] - Depreciation of property, plant, and equipment increased significantly to approximately HKD 21.6 million from HKD 2.7 million in the previous year[8] - The company incurred financing costs of approximately HKD 1.9 million, up from HKD 0.4 million in the same period last year[8] - The cost of goods sold for the six months ended September 30, 2019, was HKD 40.2 million, compared to HKD 43.8 million in 2018, reflecting a decrease of 8.8%[52] - Employee benefits expenses for the six months ended September 30, 2019, totaled HKD 18.6 million, slightly down from HKD 18.7 million in 2018[52] - Rental and related expenses significantly decreased by approximately HKD 20.8 million or 74.6% to HKD 7.1 million due to the adoption of HKFRS 16[79] - Administrative expenses decreased by approximately HKD 2.0 million or 16.9% to HKD 9.8 million, primarily due to reduced professional fees[82] - Financing costs increased by approximately HKD 1.4 million to HKD 1.9 million, mainly due to the recognition of lease liabilities interest following the adoption of HKFRS 16[83] - Income tax expense decreased by approximately HKD 0.7 million or 77.8% to HKD 0.2 million for the six months ended September 30, 2019[84] Assets and Liabilities - As of September 30, 2019, total assets minus current liabilities amounted to HKD 77,444,000, an increase from HKD 61,701,000 as of March 31, 2019[9] - Cash and cash equivalents decreased to HKD 51,700,000 as of September 30, 2019, down from HKD 65,804,000 at the beginning of the period[12] - Current liabilities totaled HKD 72,310,000 as of September 30, 2019, compared to HKD 35,656,000 as of March 31, 2019, indicating a significant increase in short-term obligations[9] - The company’s equity decreased to HKD 47,719,000 as of September 30, 2019, from HKD 61,701,000 as of March 31, 2019, reflecting a decline in retained earnings[10] - The company incurred a net cash outflow from financing activities of HKD 37,780,000 for the six months ended September 30, 2019, compared to an inflow of HKD 56,126,000 in the same period of 2018[12] - Trade receivables decreased to HKD 2,078,000 as of September 30, 2019, from HKD 3,096,000 as of March 31, 2019, suggesting improved collection efforts[9] - Trade payables as of September 30, 2019, totaled HKD 17,011,000, an increase from HKD 15,170,000 as of March 31, 2019[61] - The company had secured bank borrowings of HKD 14,205,000 as of September 30, 2019, down from HKD 16,879,000 as of March 31, 2019[62] Accounting Standards and Compliance - The group has adopted the new and revised Hong Kong Financial Reporting Standards effective from April 1, 2019, which includes HKFRS 16 on leases[20] - HKFRS 16 replaces HKAS 17 and introduces significant changes in accounting policies related to leases, impacting the recognition of right-of-use assets and lease liabilities[23] - The group applies a short-term lease exemption for leases with a term of 12 months or less, recognizing lease payments as expenses on a straight-line basis[26] - Right-of-use assets are recognized at the commencement date and measured at cost, less accumulated depreciation and impairment losses[27] - Lease liabilities are measured at the present value of unpaid lease payments at the lease commencement date, using the incremental borrowing rate if the implicit rate is not readily determinable[30] - The transition to HKFRS 16 did not have a significant impact on the financial performance and position of the group for the current and prior periods[20] - The group will reassess lease liabilities in case of lease modifications, using the revised discount rate to measure the remeasured lease liability[35] - Deferred tax related to lease transactions will be determined based on whether the tax deductions relate to right-of-use assets or lease liabilities[36] - The group has chosen to apply a practical expedient for contracts previously identified as leases under HKAS 17, without reassessing contracts that were not previously identified as leases[39] - As of April 1, 2019, the company recognized lease liabilities of approximately HKD 61.1 million and right-of-use assets of approximately HKD 62.9 million[41] - The weighted average incremental borrowing rate applied was 5.0%[41] Business Operations and Strategy - The company opened a new restaurant "Hana" in Tung Chung in August 2019, expanding its network to 12 restaurants in Hong Kong[70] - The company continues to evaluate its business objectives and may adjust its business plans in response to changing market conditions[88] - The company plans to allocate approximately 63.5% of the net proceeds, or HKD 25.1 million, for expanding its restaurant network in strategic locations across Hong Kong[86] Corporate Governance - The board of directors has confirmed compliance with the corporate governance code, except for the separation of roles between the chairman and CEO[109][110] - The company has appointed a compliance advisor, Tong Ren Financing Limited, with no interests in the company as of September 30, 2019[114] - The company has adopted trading standards for directors in compliance with GEM listing rules[115] - The audit committee has been established in accordance with GEM listing rules and corporate governance codes, consisting of independent non-executive directors[118] - The committee reviewed the unaudited consolidated financial results for the six months ended September 30, 2019, and confirmed compliance with applicable accounting standards and GEM listing rules[118] Shareholder Information - As of September 30, 2019, Future More holds 750,000,000 shares, representing 75% of the issued shares of MS Concept Limited[106] - The total issued shares of MS Concept Limited as of September 30, 2019, is 1,000,000,000 shares[106] - The ownership percentages of Future More are distributed as follows: Mr. Kwan 14%, Ms. Kwan 18%, Mr. Kwan 18%, Mr. Kwan 25%, and Ms. Kwan 25%[104] - No stock options have been granted under the stock option plan since its adoption on March 23, 2018[107] - The company has maintained the public float required by GEM listing rules as of the report date[112]

Financial Performance - Revenue for the three months ended June 30, 2019, was approximately HKD 59.8 million, a decrease of about HKD 6.8 million or 10.2% compared to HKD 66.6 million for the same period in 2018[10] - Net profit for the same period was approximately HKD 0.6 million, a decrease of about HKD 1.3 million or 68.4% compared to a net profit of HKD 1.9 million after excluding non-recurring IPO-related expenses in 2018[10] - Gross profit for the three months ended June 30, 2019, was HKD 40.5 million, down from HKD 44.6 million in the previous year[11] - The company recorded a pre-tax profit of HKD 0.7 million, compared to a loss of HKD 5.2 million in the same period last year[11] - Basic and diluted earnings per share for the period were HKD 0.06, compared to a loss of HKD 0.56 per share in the previous year[11] - The company reported a total revenue of HKD 59,835,000 for the three months ended June 30, 2019, compared to HKD 66,627,000 in the same period of 2018, marking a decline of 10.3%[22] - The profit for the same period was approximately HKD 0.6 million, down about 68.4% from HKD 1.9 million after excluding non-recurring IPO-related expenses in 2018[27] - The overall gross margin increased to approximately 67.7% for the three months ended June 30, 2019, compared to 67.0% in the same period of 2018[32] Costs and Expenses - The cost of goods sold for the same period was HKD 19,363,000, down from HKD 22,071,000 in 2018, reflecting a decrease of 12.3%[23] - Employee costs for the period were HKD 18.9 million, slightly down from HKD 19.4 million in the same period last year[11] - Employee benefits expenses, including salaries and other allowances, totaled HKD 18,906,000 for the three months ended June 30, 2019, slightly down from HKD 19,401,000 in the same period of 2018[23] - Administrative expenses decreased by approximately HKD 1.4 million or 21.5% to about HKD 5.1 million for the three months ended June 30, 2019, primarily due to a reduction in professional expenses[40] - Financing costs increased by approximately HKD 0.7 million to about HKD 0.9 million for the three months ended June 30, 2019, mainly due to the adoption of HKFRS 16[41] - The company incurred financing costs of HKD 0.9 million, up from HKD 0.2 million in the previous year[11] - Rental and related expenses decreased by approximately 76.3% to HKD 3.3 million from HKD 13.9 million in the previous year[37] - The company recognized a tax expense of HKD 111,000 for the three months ended June 30, 2019, compared to HKD 181,000 in 2018, indicating a decrease of 38.7%[24] Assets and Equity - Total equity as of June 30, 2019, was HKD 62.3 million, an increase from HKD 61.7 million at the beginning of the period[12] - The adoption of HKFRS 16 resulted in the recognition of right-of-use assets and corresponding liabilities of approximately HKD 62,900,000 and HKD 61,100,000, respectively, for leases previously classified as operating leases[19] - The depreciation expense for property, plant, and equipment increased to HKD 10,496,000 in 2019 from HKD 1,439,000 in 2018, reflecting a significant rise due to the new accounting standard[23] - As of June 30, 2019, the group had pledged bank deposits of approximately HKD 2.0 million[44] Corporate Actions and Plans - The board of directors decided not to declare any dividends for the period[9] - The company plans to open a new restaurant under the "Hana" brand in Tung Chung in August 2019, aiming to expand its restaurant network in Hong Kong[27] - The company aims to explore market expansion opportunities and enhance product offerings in the upcoming quarters[10] - The company currently operates 11 restaurants in Hong Kong, offering a variety of cuisines[28] Governance and Compliance - The board of directors believes that the dual role of the chairman and CEO held by Mr. Kwan is in the best interest of the company due to his long-term management experience since 2000[62] - The audit committee has reviewed the unaudited consolidated results for the three months ending June 30, 2019, and believes that the financial statements are prepared in accordance with applicable accounting standards[67] - The company maintains the public float required by GEM listing rules as of the report date[63] Other Information - There were no significant investments, acquisitions, or disposals of subsidiaries and associates during the three months ended June 30, 2019[45] - The group had no significant foreign exchange risks and did not execute any foreign currency hedging policies as of June 30, 2019[46] - There were no significant contingent liabilities as of June 30, 2019[48] - The company has not granted any stock options under the stock option plan since its adoption, resulting in no unexercised options as of June 30, 2019[57] - There were no arrangements made for directors to profit from acquiring shares or debt securities of the company or any other entity during the three months ending June 30, 2019[58] - The company did not redeem any of its listed securities nor did it purchase or sell any related securities during the reporting period[59] - As of June 30, 2019, the company had a total of 1,000,000,000 shares issued, with major shareholders holding 75% of the shares[54] - As of June 30, 2019, Future More is owned by five individuals with a total of 75% of issued shares, equating to 750,000,000 shares out of 1,000,000,000 shares[56]