Financial Performance - Revenue for the three months ended June 30, 2021, was HKD 60,778,000, a slight increase of 0.76% compared to HKD 60,320,000 in the same period of 2020[5] - Gross profit for the same period was HKD 15,184,000, representing a significant increase of 36.5% from HKD 11,117,000 in 2020[5] - The net profit attributable to owners of the company for the period was HKD 2,240,000, compared to HKD 2,556,000 in the previous year, reflecting a decrease of 12.4%[5] - Basic and diluted earnings per share for the period were HKD 0.56, down from HKD 0.63 in the same period last year[5] - The company reported a total comprehensive income of HKD 2,014,000 for the period, down from HKD 2,556,000 in 2020[5] - Other income for the period was HKD 36,000, a decrease of 93.8% compared to HKD 585,000 in the previous year[5] - The group reported revenue of HKD 60,778,000 for wine products, an increase from HKD 55,207,000 in the same period last year, representing a growth of approximately 10.4%[41] - Other alcoholic beverages generated revenue of HKD 60,320,000, compared to HKD 5,096,000 in the previous year, indicating a significant increase[41] - The group’s pre-tax profit was HKD 862,000, compared to HKD 421,000 in the previous year, indicating an increase of about 104.5%[49] - Revenue for the group remained relatively stable at approximately HKD 60.8 million for the three months ended June 30, 2021, compared to approximately HKD 60.3 million for the same period in 2020[56] Expenses and Costs - Administrative expenses increased to HKD 6,665,000 from HKD 3,433,000, marking an increase of 94.5% year-on-year[5] - The cost of goods sold was HKD 45,594,000, a decrease from HKD 49,203,000 in the previous year, reflecting a reduction of approximately 7.3%[49] - Total employee costs increased to HKD 3,744,000 from HKD 3,155,000, marking an increase of about 18.6%[49] - The cost of sales decreased by approximately 7.3% from about HKD 49.2 million for the three months ended June 30, 2020, to about HKD 45.6 million for the current period[57] - Gross profit increased by approximately 36.6% from about HKD 11.1 million for the three months ended June 30, 2020, to about HKD 15.2 million for the current period, with gross margin rising from approximately 18.4% to 25.0%[59] Financing and Shareholder Information - Financing costs decreased significantly to HKD 594,000 from HKD 1,753,000, a reduction of 66.1%[5] - Financing costs decreased to HKD 594,000 from HKD 2,422,000, showing a reduction of approximately 75.5%[47] - The company has established a bank financing agreement with Hang Seng Bank for a maximum financing amount of HKD 50,000,000, HKD 30,000,000, and HKD 100,000 for various credit facilities[85] - The company has a total of 400,000,000 shares issued as of June 30, 2021, with major shareholders holding 70% of the equity[76] - Wang Zilu holds 280,000,000 shares, representing a 70% ownership stake in the company[79] - The company is committed to maintaining at least 50% beneficial ownership by its major shareholders as per financing agreements[85] Corporate Governance and Compliance - The company has adopted the corporate governance code as per GEM Listing Rules Appendix 15, ensuring high-level corporate governance and shareholder interest protection[98] - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited consolidated results for the period and confirmed compliance with applicable accounting standards and GEM Listing Rules[99] - The company has confirmed compliance with a non-competition agreement established on December 18, 2017, involving major shareholders[95] - All directors have adhered to the securities trading code of conduct during the reporting period[96] - The company experienced delays in publishing its annual results announcement and annual report for the year ended March 31, 2021, which have since been remedied[98] - The audited annual results announcement and annual report were published on July 30, 2021, and August 1, 2021, respectively[98] - The company emphasizes that the delay in publishing the annual results was an unfortunate and isolated incident[98] Business Operations and Strategy - The company continues to focus on expanding its wholesale and retail operations in the wine and alcoholic beverage market[28] - The financial report indicates that the company is committed to maintaining operational efficiency despite rising administrative costs[28] - The group did not have any individual customer contributing over 10% of total revenue during the reporting period[43] - The company is actively seeking to acquire suitable properties for its own warehouses to increase product storage capacity and has successfully implemented an e-commerce platform and developed an online auction platform to enhance sales of high-end wines[72] - The company has expanded its business presence by establishing an office in Shanghai, China, to promote its products through various marketing and sales activities[72] Stock Options and Securities - The company has a stock option plan adopted on December 18, 2017, which complies with GEM listing rules[90] - No stock options have been granted, exercised, canceled, or lapsed since the adoption of the stock option plan[91] - The company and its subsidiaries did not purchase, sell, or redeem any listed securities during the reporting period[93]

Financial Performance - Revenue increased by approximately 7.2% from approximately HK$279.4 million for the year ended March 31, 2020, to approximately HK$299.6 million for the year ended March 31, 2021[25]. - Profit and total comprehensive income for the year ended March 31, 2021, amounted to approximately HK$27.6 million, representing a substantial increase of over two times compared to HK$11.9 million in 2020[25]. - The increase in revenue was mainly due to sales from an online auction conducted by the Group in early 2021[25]. - Gross profit increased by approximately 30.4% from approximately HK$55.3 million for the year ended March 31, 2020, to approximately HK$72.1 million for the year ended March 31, 2021[46]. - The overall gross profit margin improved from approximately 19.8% for the year ended March 31, 2020, to approximately 24.1% for the year ended March 31, 2021[47]. - Other income rose from approximately HK$597,000 for the year ended March 31, 2020, to approximately HK$3.1 million for the year ended March 31, 2021, mainly due to anti-epidemic subsidies from the Hong Kong Government[48]. - Profit attributable to owners of the Company amounted to approximately HK$27.6 million, up from approximately HK$11.9 million in 2020[59]. Operational Efficiency and Expansion - The Group is strengthening warehouse storage capability and operational efficiency by leasing new warehouses and acquiring a professional warehouse management system[26]. - The Group aims to strengthen its leading position in the Hong Kong wine industry while seeking expansion opportunities in different countries worldwide[34]. - The Group has established a retail store in a prime location in Kowloon at the end of 2018 and is considering a third retail store based on market conditions[29]. - The Group has capitalized on the online auction trend to boost sales, particularly for highly sought-after Premium Collectible Red Wine[47]. - The planned use of net proceeds includes strengthening warehouse storage capability with an allocation of HK$38.9 million, which is expected to be completed by March 31, 2022[112]. - The Group plans to expand its retail network in Hong Kong through the establishment of a new retail store and a flagship store, with an allocation of HK$23.3 million, expected to be completed by March 31, 2022[112]. - The Group aims to increase storage capacity for its products by acquiring a self-owned warehouse[124]. Impact of COVID-19 - The Board expects the global economy and retail environment to remain uncertain and full of challenges due to the COVID-19 pandemic[26]. - The Group will continue to evaluate the impact of the COVID-19 outbreak on its financial position and operating results[26]. - Selling and distribution expenses decreased from approximately HK$17.7 million to approximately HK$15.1 million, attributed to rental concessions during the COVID-19 outbreak[55]. - Administrative expenses increased from approximately HK$17.2 million to approximately HK$20.2 million, mainly due to higher legal fees and salaries[56]. - The Group is carefully evaluating the impact of COVID-19 on the retail environment before proceeding with the opening of a third retail store[116]. Corporate Governance and Management - The company has a diverse board with members holding significant qualifications and experience in finance and law[167]. - The independent non-executive directors contribute to the company's governance and strategic direction through various committees[170]. - The company emphasizes the importance of experienced leadership in navigating the financial landscape and regulatory environment[169]. - The company is committed to maintaining high standards of corporate governance to safeguard shareholder interests and ensure transparency and accountability[200]. - The company complied with all code provisions in the Corporate Governance Code during the year, reflecting its commitment to corporate governance standards[200]. Employee and Management Team - As of March 31, 2021, the total number of employees increased to 52 from 45 in the previous year, with total employee benefit expenses rising from approximately HK$13.1 million to approximately HK$13.7 million[95]. - The Group's total employee benefit expenses for the year ended March 31, 2021, included Directors' emoluments, amounting to approximately HK$13.7 million[95]. - The management team's diverse backgrounds contribute to the Group's strategic direction and innovation in the market[176]. - The company has demonstrated a commitment to continuous professional development among its management team, which is essential for maintaining competitive advantage[187]. Risk Management - The Group's exposure to foreign currency risk is significant due to foreign currency denominated trust receipt loans for wine product purchases, which may impact operational results and financial position[88]. - The Group has ceased holding any pledged bank deposits in foreign currencies since October 2016 to manage foreign currency exchange risk exposure[89]. - The Group has established a tracking and reporting system to monitor foreign currency exchange rate fluctuations and adjust procurement strategies accordingly[91].

Financial Performance - For the nine months ended December 31, 2020, the company reported total revenue of HKD 204,341,000, a decrease of 7.2% compared to HKD 220,123,000 for the same period in 2019[5] - Gross profit for the nine months was HKD 49,342,000, representing an increase of 9.5% from HKD 44,965,000 in the previous year[5] - The company achieved a profit before tax of HKD 20,785,000 for the nine months, up 37.5% from HKD 15,161,000 in the same period last year[5] - The total comprehensive income for the period was HKD 16,918,000, compared to HKD 12,475,000 for the same period in 2019, reflecting a year-on-year increase of 35.5%[5] - Basic earnings per share for the nine months was HKD 4.28, an increase from HKD 3.12 in the previous year, marking a growth of 37.3%[5] - The company reported a net profit attributable to owners of the company of HKD 17,118,000 for the nine months, compared to HKD 12,478,000 in the same period last year, indicating a growth of 37.5%[5] Cost Management - The company’s financing costs decreased to HKD 4,204,000 for the nine months, down from HKD 6,599,000 in the previous year, a reduction of 36.3%[5] - The company’s sales and distribution expenses for the nine months were HKD 11,547,000, a decrease from HKD 13,113,000 in the previous year, reflecting a reduction of 12%[5] - Cost of sales decreased by approximately 11.5% from about HKD 175.2 million to about HKD 155.0 million for the nine months ended December 31, 2020, directly related to the decrease in revenue[45] - Sales and distribution expenses decreased from about HKD 13.1 million to approximately HKD 11.5 million, primarily due to rent reductions related to COVID-19[49] Other Income and Expenses - Other income for the nine months was HKD 2,567,000, compared to HKD 505,000 in the same period last year, showing a significant increase[5] - The group’s interest income from banks for the nine months ended December 31, 2020, was HKD 1,111,000, compared to HKD 1,322,000 for the same period in 2019[33] - The group’s net foreign exchange loss for the nine months ended December 31, 2020, was HKD 3,492,000, compared to a gain of HKD 1,535,000 in the same period of 2019[33] COVID-19 Impact - Revenue decreased by approximately 7.2% from about HKD 220.1 million to about HKD 204.3 million for the nine months ended December 31, 2020, primarily due to the COVID-19 pandemic[44] - The group recognized a reduction in lease payments amounting to HKD 394,500 due to COVID-19 related rent concessions, which were accounted for as variable lease payments[17] - The group has implemented a practical expedient for lease accounting related to COVID-19, allowing for the exclusion of certain rent concessions from lease modification accounting[17] - Other income increased from about HKD 505,000 to approximately HKD 2.6 million, mainly due to government subsidies during the COVID-19 pandemic[47] Corporate Governance - The company confirmed that all information in the report is accurate and complete, with no misleading or fraudulent elements[3] - The audit committee has reviewed the group's unaudited consolidated results for the period and believes they comply with applicable accounting standards and GEM listing rules[83] - The company has adopted a code of conduct for securities transactions by directors, confirming compliance by all directors during the period[80] - The company is committed to high levels of corporate governance to protect shareholder interests and enhance company value[82] Shareholder Information - The company has a total issued share capital of 400,000,000 shares as of December 31, 2020[60] - Major shareholders include Wang Zilu with a 70% stake and Shirz Limited holding 42%[67][68] - The controlling shareholder holds a total beneficial interest of 70% in the company as of the report date[71] - The company's major shareholder holds a total beneficial interest of 70% as of the report date[73] Strategic Initiatives - The company focuses on premium wines priced at HKD 1,000 or above, with a diverse product portfolio including wines, spirits, and accessories[42] - The company believes it can seize opportunities in the wine industry due to increasing consumer interest and the affordability of wine[43] - The company has successfully launched an e-commerce platform to enhance sales of high-end wines priced at HKD 10,000 or above per bottle[56] - The company established an office in Shanghai to expand its business footprint and promote its products through various marketing activities[56] - The company is actively seeking suitable properties for acquisition to increase its storage capacity for products[56] Financing and Capital Management - The company has secured a financing facility with a maximum amount of HKD 110,000,000 for credit and overdraft financing[70] - The financing letter B includes a credit facility with a maximum amount of HKD 30,000,000 and a company credit card with a limit of HKD 100,000[72] - No dividends were declared or proposed for the current period, consistent with the previous year[40] - No stock options have been granted, exercised, cancelled, or lapsed since the adoption of the stock option plan, and there are no unexercised stock options at the end of the period[82] - The company has not purchased, sold, or redeemed any of its listed securities during the period and up to the report date[77] Market Position - The group has a single operating segment focused on the sale and distribution of alcoholic beverages in Hong Kong, with no significant revenue derived from other regions[18] - There were no individual customers contributing more than 10% of the total revenue during the nine months ended December 31, 2020[21] - The group adopted revised Hong Kong Financial Reporting Standards, which did not have any impact on its financial position or performance for the period[16]

Financial Performance - Revenue for the six months ended September 30, 2020, was HKD 114,176,000, a decrease of 16.1% compared to HKD 136,115,000 for the same period in 2019[7]. - Gross profit for the same period was HKD 22,603,000, down 15.4% from HKD 26,684,000 in 2019[9]. - The net profit attributable to owners for the six months was HKD 4,522,000, a decrease of 24.1% compared to HKD 5,969,000 in the previous year[19]. - Basic and diluted earnings per share for the six months were HKD 1.13, down from HKD 1.49 in 2019, representing a decline of 24.2%[22]. - Total comprehensive income for the period was HKD 4,476,000, a decrease of 25.0% from HKD 5,969,000 in the same period last year[17]. - Operating cash flow for the six months was HKD 11,895,000, down from HKD 15,995,000 in 2019, indicating a decline of 25.8%[30]. - The group reported a revenue of HKD 53,856,000 for the three months ended September 30, 2020, a decrease of 17.8% compared to HKD 65,486,000 for the same period in 2019[50][58]. - Revenue decreased by approximately 16.1% from about HKD 136.1 million to about HKD 114.2 million due to the COVID-19 pandemic[72]. - Cost of sales decreased by approximately 16.3% from about HKD 109.4 million to about HKD 91.6 million, directly related to the decrease in revenue[73]. - Gross profit decreased by approximately 15.3% from about HKD 26.7 million to about HKD 22.6 million, with gross profit margins remaining stable at approximately 19.6% and 19.8%[74]. - The company recorded a profit attributable to owners of approximately HKD 4.5 million, down from about HKD 6.0 million in the previous period[82]. Cash Flow and Assets - Total assets as of September 30, 2020, were HKD 207,771,000, compared to HKD 205,124,000 as of March 31, 2020, showing a slight increase of 1.3%[23]. - Current liabilities amounted to HKD 231,022,000, a decrease from HKD 232,513,000 as of March 31, 2020, reflecting a reduction of 0.6%[23]. - The operating cash flow before changes in working capital was a net outflow of HKD 67,847 thousand[31]. - The net cash used in investing activities was HKD 2,698 thousand, compared to HKD 4,271 thousand in the previous year[32]. - The net cash used in financing activities was HKD 81,055 thousand, a significant increase from HKD 151,004 thousand in the prior year[33]. - The cash and cash equivalents at the end of the period increased to HKD 26,515 thousand, compared to a decrease of HKD 43,368 thousand in the previous year[33]. - The company reported a decrease in trade receivables, which positively impacted cash flow[31]. Financing and Costs - The company reported a financing cost of HKD 2,900,000 for the six months, down 31.9% from HKD 4,271,000 in the previous year[14]. - The financing costs for the six months ended September 30, 2020, were HKD 2,900,000, a decrease of 31.9% from HKD 4,271,000 in the same period of 2019[58][60]. - Administrative expenses decreased from about HKD 8.5 million to about HKD 7.1 million, mainly due to reduced legal and professional fees[79]. - Financing costs decreased from about HKD 4.3 million to about HKD 2.9 million, attributed to a reduction in trust receipt loans[80]. Market and Operational Strategy - The company is focused on expanding its market presence in the wine and alcoholic beverage sector[35]. - The group has undergone a restructuring, enhancing its operational efficiency and market positioning[38]. - The group has rented a new warehouse in Kwai Chung to enhance storage capacity and is actively seeking suitable properties for acquisition as its own warehouse[100]. - The group opened a retail store in Tsim Sha Tsui in December 2018 and is considering the establishment of a third retail store, subject to the impact of COVID-19 on the retail environment[100]. - The estimated use of net proceeds includes HKD 38.9 million for enhancing warehouse storage and HKD 23.3 million for establishing new retail stores, with a timeline for completion by March 31, 2021[103]. - The group is currently negotiating the acquisition of a property in Kwun Tong, as property prices in Hong Kong have shown a moderate decline since their peak in 2019 due to COVID-19[104]. Corporate Governance and Compliance - The financial statements were prepared in accordance with the Hong Kong Financial Reporting Standards, ensuring compliance and transparency[36]. - The company has adopted new accounting policies that do not significantly impact its financial position or performance[40]. - The company is committed to high-level corporate governance and has adopted the principles and code provisions of the GEM Listing Rules Appendix 15[130]. - The Audit Committee, established on December 18, 2017, consists of three independent non-executive directors and is responsible for reviewing the financial reporting process and internal control systems[131]. - The Audit Committee has reviewed the unaudited condensed consolidated results for the period and found them to comply with applicable accounting standards and GEM Listing Rules[131]. Shareholding and Equity - As of September 30, 2020, the total issued shares of the company were 400,000,000[110]. - Shirz Limited holds 168,000,000 shares, representing 42% of the total issued shares[113]. - Sunshine Consultancy holds 112,000,000 shares, representing 28% of the total issued shares[114]. - The controlling shareholder, Mr. Ding Zhiwei, has a total beneficial interest of 70% in the company[119]. - The controlling shareholder is required to maintain at least 50% beneficial interest as per the financing agreements[120]. - No stock options have been granted, exercised, canceled, or lapsed since the adoption of the stock option plan in December 2017[123]. - The company and its subsidiaries did not purchase, sell, or redeem any listed securities during the reporting period[125]. - The company has confirmed compliance with the non-competition agreement established on December 18, 2017[127]. - All directors have adhered to the securities trading code of conduct during the reporting period[128].

Financial Performance - Revenue for the three months ended June 30, 2020, was HKD 60,320,000, a decrease of 14.5% compared to HKD 70,629,000 for the same period in 2019[5] - Gross profit for the same period was HKD 11,117,000, down 20.1% from HKD 13,922,000 year-on-year[5] - The net profit attributable to owners for the period was HKD 2,556,000, a decline of 16.2% compared to HKD 3,049,000 in the previous year[5] - Basic and diluted earnings per share were HKD 0.63, down from HKD 0.76 in the same quarter of 2019[5] - The company's profit and total comprehensive income decreased by approximately 16.2% to about HKD 2.6 million for the three months ended June 30, 2020, compared to HKD 3.0 million for the same period in 2019[80] - Revenue decreased by approximately 14.6% to about HKD 60.3 million for the three months ended June 30, 2020, down from approximately HKD 70.6 million in the same period of 2019, primarily due to the COVID-19 pandemic[81] - Gross profit decreased by approximately 20.1% to about HKD 11.1 million for the three months ended June 30, 2020, down from approximately HKD 13.9 million in the same period of 2019[83] Cost and Expenses - The cost of sales decreased to HKD 49,203,000 from HKD 56,707,000, reflecting a reduction of 13.3%[5] - Administrative expenses were reduced to HKD 3,433,000 from HKD 4,307,000, a decrease of 20.3%[5] - Selling and distribution expenses decreased from approximately HKD 4.2 million to about HKD 3.6 million, primarily due to rent reductions granted by retail landlords during the COVID-19 pandemic[86] - Administrative expenses decreased from approximately HKD 4.3 million to about HKD 3.4 million, mainly due to a reduction in legal and professional fees[87] - Financing costs decreased to HKD 1,753,000 from HKD 2,422,000, representing a reduction of 27.7%[5] - Financing costs decreased from approximately HKD 2.4 million to about HKD 1.8 million, primarily due to a reduction in trust receipt loans during the period[88] Other Income and Financial Adjustments - Other income increased to HKD 585,000 from HKD 128,000, showing a significant growth of 357.8%[5] - Other income for the three months ended June 30, 2020, included bank interest income of HKD 76,000 and net foreign exchange gains of HKD 519,000[66][67] - Other income increased from approximately HKD 128,000 in the previous year to about HKD 585,000 in the current period, mainly due to government subsidies related to COVID-19[84] Corporate Governance and Compliance - The company is committed to high levels of corporate governance, adhering to the GEM listing rules and corporate governance code[123] - The audit committee, established on December 18, 2017, consists of three independent non-executive directors and has reviewed the unaudited consolidated performance for the period[124] - The audit committee believes that the financial performance complies with applicable accounting standards and GEM listing rules[124] - The company confirmed compliance with the non-competition agreement established on December 18, 2017[121] - All directors have adhered to the securities trading code of conduct during the reporting period[122] Market Strategy and Future Outlook - The company is focused on expanding its market presence and enhancing its product offerings in the wine sector[29] - The company plans to continue monitoring the impact of COVID-19 on its financial condition and operational performance while adjusting its business strategies accordingly[94] Shareholder Information - As of June 30, 2020, the company had a total of 400,000,000 shares issued[99] - Shirz Limited holds 168,000,000 shares, representing 42% of the company's issued share capital[102] - Sunshine Consultancy holds 112,000,000 shares, representing 28% of the company's issued share capital[103] - The controlling shareholder holds a total beneficial interest of 70% in the company[110] Financing and Securities - The company entered into a financing agreement with a maximum financing amount of HKD 110,000,000 and HKD 3,000,000 for credit and overdraft facilities, respectively[109] - No stock options have been granted, exercised, canceled, or lapsed since the adoption of the stock option plan on December 18, 2017[116] - The company did not purchase, sell, or redeem any of its listed securities during the reporting period[117] Financial Reporting Standards - The group applied the new Hong Kong Financial Reporting Standards and amendments starting from April 1, 2020, with no significant impact on financial performance or disclosures[40] - The group recognized lease liabilities of HKD 4,412,000 as of April 1, 2019, with current liabilities of HKD 2,211,000 and non-current liabilities of HKD 2,201,000[46][47] - The weighted average incremental borrowing rate applied was 4.7% for the recognition of lease liabilities[48] - The group recognized right-of-use assets of HKD 4,109,000 related to operating leases upon the application of HKFRS 16[51] - The group did not reassess contracts that were not previously identified as leases upon the initial application of HKFRS 16[42] Publication and Location - The report will be published on the GEM website and the company's website for at least seven days from the publication date[125] - The company is located at 26/Floor, AIA Financial Centre, 712 Prince Edward Road East, San Po Kong, Kowloon, Hong Kong[127]

Financial Performance - The Group's revenue decreased by approximately 16.6% from approximately HK$335.1 million for the year ended March 31, 2019, to approximately HK$279.4 million for the year ended March 31, 2020[22]. - Profit and total comprehensive income for the year ended March 31, 2020, amounted to approximately HK$11.9 million, representing a substantial decrease of approximately 63.5% compared to HK$32.8 million in 2019[22]. - The decrease in revenue was primarily caused by the outbreak of the COVID-19 pandemic[22]. - The decrease in profit was also attributed to a reduction in foreign exchange gains due to currency fluctuations, particularly the depreciation of EURO and GBP[22]. - The Group's gross profit decreased by approximately 20.8% from approximately HK$69.8 million for the year ended March 31, 2019, to approximately HK$55.3 million for the year ended March 31, 2020[42]. - The overall gross profit margin remained relatively stable at approximately 20.8% for the year ended March 31, 2019, and 19.8% for the year ended March 31, 2020[42]. - The cost of sales decreased by approximately 15.5% from approximately HK$265.3 million for the year ended March 31, 2019, to approximately HK$224.1 million for the year ended March 31, 2020[37]. - Other income increased from approximately HK$77,000 for the year ended March 31, 2019, to approximately HK$597,000 for the year ended March 31, 2020[43]. - The Group recorded net exchange gains of approximately HK$2.9 million for the year ended March 31, 2020, down from net gains of approximately HK$7.7 million for the year ended March 31, 2019[45]. - Selling and distribution expenses rose from approximately HK$14.3 million to approximately HK$17.7 million, attributed to higher rent, depreciation, and salaries[51]. - Administrative expenses increased from approximately HK$16.2 million to approximately HK$17.2 million, mainly due to higher salaries and allowances for directors and administrative staff[52]. - Finance costs increased by approximately 39.4% from approximately HK$6.1 million to approximately HK$8.5 million, primarily due to increased trust receipt loans[53]. - Income tax expense decreased by approximately 66.2% from approximately HK$8.4 million to approximately HK$2.8 million, due to a decrease in estimated assessable profit[54]. - Profit attributable to owners of the Company decreased to approximately HK$11.9 million from approximately HK$32.8 million[55]. Business Strategy and Operations - The Group focuses on premium collectible red wine, with selling prices at or above HK$1,000 per bottle[21]. - The Group operates primarily in the wholesale and retail of a wide spectrum of wine products and other alcoholic beverages in Hong Kong[21]. - The Group's business strategy includes a focus on premium products to mitigate market volatility risks[21]. - The Group is strengthening warehouse storage capability and operational efficiency by leasing new warehouses in Hong Kong and acquiring a professional warehouse management system[26]. - The Group plans to establish a third retail shop while considering the retail environment, location, and retail expenses[26]. - The Group aims to enrich its product portfolio by collaborating with wineries, particularly from French regions, to enhance market selection[29]. - The Board expects the global economy and retail environment to remain uncertain and challenging due to the ongoing impact of the COVID-19 pandemic[26]. - The Group's strategic development includes evaluating potential acquisitions and expansions based on market conditions[127]. - The Group continues to monitor the impact of COVID-19 on its financial position and operating results[128]. Corporate Governance and Compliance - The Group's directors confirm the accuracy and completeness of the information provided in the report[5]. - The Group has complied with all relevant laws and regulations in Hong Kong during the year, ensuring regulatory compliance[94]. - The company has a strong focus on corporate governance and internal control, as evidenced by the leadership roles held by its directors in various organizations[144]. - The company emphasizes the importance of compliance and governance, as indicated by the roles of its compliance officer and independent directors[140][153]. - The Company complied with all code provisions in the Corporate Governance Code during the year ended March 31, 2020[199]. - The Board is responsible for formulating strategic objectives and overseeing significant operational and financial matters, including mergers and acquisitions[200]. - The Company is committed to maintaining high standards of corporate governance to safeguard the interests of shareholders[199]. - The management team is delegated the implementation and execution of Board policies and strategies[200]. - The Company has a risk management control system in place to ensure effective governance[200]. Human Resources - The Group's total employee benefit expenses increased from approximately HK$9.6 million in 2019 to approximately HK$13.1 million in 2020, reflecting a growth of about 36.5%[92]. - As of March 31, 2020, the total number of employees decreased to 45 from 47 in the previous year[92]. Market and Financial Outlook - The Board anticipates ongoing challenges in the global economy and retail environment due to the COVID-19 pandemic, prompting a prudent approach to business strategies[128]. - The Group's exposure to foreign currency risk is significant due to foreign currency denominated trust receipt loans for wine product purchases, which may impact operational results and financial position[85]. - The Group has established a tracking and reporting system to monitor foreign currency exchange rate fluctuations effectively[88]. - The Group's management team is responsible for implementing internal control measures on foreign currency risk, including monitoring cash flow forecasts and actual receivables[87]. Investments and Acquisitions - There were no significant investments or material acquisitions during the year[74][75]. - The Group is currently in the process of identifying a suitable property to enhance warehouse storage capability, delaying the utilization of net proceeds to 2020 due to rising property prices[108]. - The Group's total outstanding loans from 兴龙 as of March 31, 2020, amounted to HK$13,015,000, a decrease from HK$13,794,000 in 2019[83]. - The company is considering strategic acquisitions to bolster its market position, with a budget of $200 million allocated for potential deals[164].

Financial Performance - For the three months ended December 31, 2019, the company reported revenue of HKD 84,008,000, a slight decrease of 0.17% compared to HKD 84,151,000 in the same period of 2018[6]. - Gross profit for the nine months ended December 31, 2019, was HKD 44,965,000, representing an increase of 12.4% from HKD 40,123,000 in the same period of 2018[6]. - The net profit attributable to owners for the nine months ended December 31, 2019, was HKD 12,475,000, down 34.8% from HKD 19,139,000 in the same period of 2018[6]. - Basic and diluted earnings per share for the nine months ended December 31, 2019, were HKD 3.12 cents, compared to HKD 4.78 cents in the same period of 2018, reflecting a decrease of 34.7%[6]. - Total revenue for the nine months ended December 31, 2019, was HKD 220.123 million, slightly down from HKD 220.074 million in the same period of 2018[64]. - The total comprehensive income decreased by approximately 34.8% from HKD 19.1 million to HKD 12.5 million, mainly due to reduced foreign exchange gains[99]. Expenses and Costs - The company incurred selling and distribution expenses of HKD 13,113,000 for the nine months ended December 31, 2019, which is an increase of 37.5% from HKD 9,577,000 in the same period of 2018[6]. - Administrative expenses rose from approximately HKD 11.1 million to HKD 12.1 million, mainly due to increased salaries and allowances for directors and staff[96]. - Financing costs increased from approximately HKD 4.0 million to HKD 6.6 million due to higher trust receipt loans[97]. - The financing costs for the three months ended December 31, 2019, amounted to HKD 2.328 million, compared to HKD 1.780 million in the same period of 2018, reflecting a 30.8% increase[70]. - The company reported a total employee cost of HKD 3.385 million for the three months ended December 31, 2019, compared to HKD 2.502 million in the same period of 2018, indicating a 35.3% increase[71]. Revenue Sources - Revenue from wine products for the three months ended December 31, 2019, was HKD 81.446 million, compared to HKD 78.438 million for the same period in 2018, representing an increase of 2.6%[63]. - The company operates solely in Hong Kong, with all revenue generated from the sale and distribution of alcoholic beverages within the region[64]. - The company's revenue remained stable at approximately HKD 220.1 million for the nine months ended December 31, 2019[90]. Assets and Liabilities - The company’s total assets as of December 31, 2019, amounted to HKD 199,702,000, an increase from HKD 173,597,000 as of December 31, 2018[13]. - Cost of sales decreased by approximately 2.7% from HKD 180.0 million to HKD 175.2 million for the nine months ended December 31, 2019[91]. - The company recognized additional lease liabilities and right-of-use assets amounting to HKD 16.4 million upon the initial application of HKFRS 16 on April 1, 2019[58]. Corporate Governance - The company has not declared any dividends for the current period[100]. - The company is committed to high standards of corporate governance to protect shareholder interests[127]. - The Audit Committee was established on December 18, 2017, in accordance with GEM Listing Rules and consists of three independent non-executive directors[130]. - The Audit Committee reviewed the unaudited consolidated performance of the group for the period and confirmed compliance with applicable accounting standards and GEM Listing Rules[130]. Future Outlook and Strategy - The company plans to continue expanding its market presence and product offerings in the wine and alcoholic beverage sector[21]. - The company is focused on enhancing operational efficiency and reducing costs to improve profitability in the upcoming quarters[21]. - Future outlook indicates a cautious approach due to market volatility and potential risks associated with the GEM listing[2]. - The company plans to enhance its warehousing capabilities and is exploring suitable properties for acquisition as part of its expansion strategy[102]. Accounting Standards - The company has adopted HKFRS 16, which replaces HKAS 17, impacting the accounting treatment of leases[34]. - The initial measurement of lease liabilities is based on the present value of unpaid lease payments at the lease commencement date[47]. - The cost of right-of-use assets includes the initial measurement amount of lease liabilities and any lease payments made before the commencement date[42]. - The company recognizes right-of-use assets at the lease commencement date, measured at cost less accumulated depreciation and impairment losses[41]. - Lease payments include fixed payments and variable lease payments based on indices or rates[48]. - The company will remeasure lease liabilities if there are changes in lease terms or assessments of purchase options[51]. - The impact of adopting HKFRS 16 on the financial position and performance of the company is not expected to be significant[33]. - The company will present right-of-use assets as a separate line item in the consolidated financial position statement[45]. - The company applies the exemption for short-term leases, recognizing lease payments as expenses on a straight-line basis over the lease term[40]. - The weighted average incremental borrowing rate applied was 4.7% for the lease liabilities recognized[58]. Shareholding and Securities - The company has a total beneficial interest of 70% held by the controlling shareholder as of January 23, 2020[118]. - As of December 31, 2019, the company had 400,000,000 shares issued, with Shirz Limited holding 168,000,000 shares (42%) and Sunshine Consultancy holding 112,000,000 shares (28%)[115]. - The financing agreement includes a credit facility of up to HKD 110,000,000 and an overdraft facility of up to HKD 3,000,000[117]. - No stock options have been granted, exercised, canceled, or lapsed since the adoption of the stock option plan on December 18, 2017[121]. - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[122]. - The company has complied with the non-competition agreement established on December 18, 2017, with its major shareholders[125]. - The company has adopted a code of conduct for securities trading, ensuring compliance with GEM Listing Rules[126]. - No interests were reported by the compliance advisor or its associates as of December 31, 2019[129]. - The approximate percentage of shareholdings is calculated based on the total issued shares as of December 31, 2019[115].

Financial Performance - For the six months ended September 30, 2019, the company reported total revenue of HKD 136,115,000, a slight increase from HKD 135,923,000 in the same period of 2018[5]. - Gross profit for the same period was HKD 26,684,000, up from HKD 23,108,000 year-on-year, representing a growth of approximately 15%[5]. - The company's profit before tax decreased to HKD 7,266,000 from HKD 14,905,000, indicating a decline of about 51%[5]. - The net profit attributable to shareholders for the six months was HKD 5,969,000, down from HKD 12,391,000 in the previous year, reflecting a decrease of approximately 52%[5]. - Basic and diluted earnings per share for the period were HKD 1.49, compared to HKD 3.10 in the same period last year, a decline of about 52%[5]. - The company reported a total comprehensive income of HKD 5,969,000 for the period, down from HKD 12,391,000 in the same period of 2018[14]. - The group’s total comprehensive income decreased by approximately 51.8% from HKD 12.4 million to approximately HKD 6.0 million, primarily due to reduced foreign exchange gains[124]. Assets and Liabilities - Total assets as of September 30, 2019, were HKD 415,937,000, an increase from HKD 337,883,000 as of March 31, 2019[6]. - The company's current liabilities increased to HKD 236,481,000 from HKD 159,809,000, indicating a rise of approximately 48%[6]. - The company reported an increase in inventory and trade receivables, indicating potential growth in sales but also increased working capital requirements[21]. - The company has experienced a significant increase in trade payables, which may reflect improved supplier terms or increased purchasing activity[21]. Cash Flow - The net cash flow from operating activities for the six months was negative HKD 67,352,000, compared to negative HKD 87,949,000 in the previous year[20]. - The operating cash flow before changes in working capital was a net outflow of HKD 67,847 thousand, compared to HKD 88,979 thousand in the previous period[21]. - The net cash used in investing activities was HKD 42,335 thousand, while the net cash generated from financing activities was HKD (151,004) thousand[22]. - The cash and cash equivalents at the end of the period decreased to HKD 66,814 thousand from HKD 31,856 thousand[22]. Revenue Breakdown - Wine product sales accounted for HKD 124.9 million in the six months ended September 30, 2019, down from HKD 128.4 million in the same period of 2018, a decrease of 2.8%[72]. - The group reported revenue of HKD 136.1 million for the six months ended September 30, 2019, compared to HKD 135.9 million for the same period in 2018, representing a slight increase of 0.2%[75]. - The cost of sales decreased by approximately 3.0% from HKD 112.8 million for the six months ended September 30, 2018, to approximately HKD 109.4 million for the current period[114]. - Gross profit increased by approximately 15.5% from HKD 23.1 million for the six months ended September 30, 2018, to approximately HKD 26.7 million for the current period, with gross profit margins rising to 19.6%[115]. Expenses - Selling and distribution expenses increased from approximately HKD 5.9 million to HKD 8.5 million, mainly due to higher rent and salaries[119]. - Administrative expenses rose from approximately HKD 7.4 million to HKD 8.5 million, primarily due to increased salaries and allowances for directors and staff[120]. - The total employee costs for the six months ended September 30, 2019, were HKD 6.4 million, compared to HKD 4.4 million for the same period in 2018, an increase of 45%[88]. - Financing costs increased to HKD 4.3 million for the six months ended September 30, 2019, compared to HKD 2.3 million in the same period of 2018, an increase of 89%[84]. Shareholder Information - The company’s major shareholder holds 42% of the equity, indicating a concentrated ownership structure[24]. - Shirz Limited holds 168,000,000 shares, representing 42% of the total issued shares[155]. - Sunshine Consultancy holds 112,000,000 shares, representing 28% of the total issued shares[156]. - Mr. Ding Zhiwei has a controlled interest of 280,000,000 shares, which accounts for 70% of the total issued shares[157]. - The controlling shareholder holds a total beneficial interest of 70% in the company as of the report date[161]. Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules during the reporting period[172]. - The compliance advisor has no interests in the company that require notification under GEM Listing Rules as of September 30, 2019[173]. - The Audit Committee was established on December 18, 2017, in accordance with GEM Listing Rules and Corporate Governance Code[174]. - The Audit Committee consists of three independent non-executive directors, with Mr. Huang Hsien-Jung serving as the chairman[174]. - The Committee reviewed the unaudited consolidated performance for the period and confirmed compliance with applicable accounting standards and GEM Listing Rules[174]. Future Plans and Risks - The company has plans for market expansion and new product development, although specific details were not disclosed in the report[5]. - The board acknowledges the challenges posed by the uncertain global economy and retail environment, which may negatively impact retail operations[142]. - The group is facing risks related to fluctuating property prices in Hong Kong, which may affect future warehouse purchases and rental expenses for flagship stores[150]. - The group is currently seeking suitable properties for acquisition to enhance its warehouse storage capabilities, delaying the use of net proceeds for this purpose[146].

Revenue and Profitability - Revenue for the three months ended June 30, 2019, was HKD 70,629,000, a slight increase from HKD 70,259,000 in the same period of 2018, representing a growth of 0.5%[5] - Gross profit for the same period was HKD 13,922,000, up from HKD 10,750,000 in 2018, indicating a significant increase of 29.9%[5] - The company's net profit attributable to owners for the period was HKD 3,049,000, a decrease of 64.1% compared to HKD 8,427,000 in the previous year[5] - Basic and diluted earnings per share for the period were HKD 0.76, down from HKD 2.11 in the same quarter of 2018, reflecting a decline of 64.0%[5] - The company's profit and total comprehensive income decreased by approximately 63.8% to about HKD 3.0 million for the three months ended June 30, 2019, compared to approximately HKD 8.4 million for the same period in 2018[30] Costs and Expenses - The cost of sales decreased to HKD 56,707,000 from HKD 59,509,000, resulting in improved gross margins[5] - Administrative expenses increased to HKD 4,307,000 from HKD 3,560,000, indicating a rise of 20.9%[5] - Financing costs rose significantly to HKD 2,422,000 from HKD 1,222,000, marking an increase of 98.5%[5] - Sales and distribution expenses increased from approximately HKD 2.9 million to HKD 4.2 million, driven by higher rent and salaries for the sales team[37] - Administrative expenses rose from approximately HKD 3.6 million to HKD 4.3 million, mainly due to increased salaries and allowances for directors and administrative staff[38] - Financing costs doubled from approximately HKD 1.2 million to HKD 2.4 million, primarily due to an increase in trust receipt loans[39] Income and Other Financial Metrics - Other income for the period was HKD 128,000, compared to HKD 9,000 in the same period last year, showing a substantial increase[5] - Other income for the three months ended June 30, 2019, was HKD 924,000, compared to HKD 365,000 for the same period in 2018[18] - The net exchange gain for the three months ended June 30, 2019, was HKD 2.4 million, compared to HKD 1.2 million for the same period in 2018[21] - Overall gross margin increased from approximately 15.3% to 19.7% for the three months ended June 30, 2019, primarily due to increased sales of popular premium red wines[34] - Other income rose significantly from HKD 9,000 to HKD 128,000, mainly due to increased bank interest from bank balances[35] - The group recorded a net exchange gain of approximately HKD 0.5 million and HKD 6.9 million for the respective periods, attributed to foreign currency fluctuations related to trust receipt loans[36] Equity and Dividends - The total equity as of June 30, 2019, was HKD 162,885,000, compared to HKD 190,273,000 at the end of the previous year, reflecting a decrease of 14.4%[6] - The company did not declare or recommend any dividends for the period, consistent with the same period in 2018[28] - The board did not recommend the payment of an interim dividend for the three months ended June 30, 2019[42] Operational Developments - The company has a single operating segment focused on the sale and distribution of alcoholic beverages in Hong Kong[14] - The company has rented new warehouses in Kwai Chung and Kowloon Bay to enhance storage capacity and is seeking suitable properties for acquisition as its own warehouse[41] - The company opened a retail store in Tsim Sha Tsui in December 2018 and is looking for a suitable location for a third retail store in West Kowloon to expand its retail network[41] Compliance and Governance - The audit committee reviewed the group's unaudited consolidated results for the period and confirmed compliance with applicable accounting standards and GEM listing rules[73] - The controlling shareholder holds a total beneficial interest of 70% in the company as of June 30, 2019[60] - The company entered into a financing letter with a maximum financing amount of HKD 90,000,000 for credit facilities and HKD 3,000,000 for overdraft facilities[59] - The company has not issued, exercised, cancelled, or lapsed any share options since the adoption of the share option scheme on December 18, 2017[63] - There were no purchases, sales, or redemptions of the company's listed securities during the reporting period[64] - The company expects that the application of new and revised standards will not have a significant impact on its performance and financial position[13]

Financial Performance - Revenue increased by approximately 3.7% from approximately HK$323.1 million for the year ended March 31, 2018, to approximately HK$335.1 million for the year ended March 31, 2019[22]. - Profit and total comprehensive income for the year ended March 31, 2019, amounted to approximately HK$32.8 million, representing a substantial increase of approximately 183.0% compared to HK$11.6 million in 2018[22]. - The increase in profit was mainly due to higher sales of certain highly sought-after Premium Collectible Red Wine, which provided a relatively higher profit margin[22]. - The Group's gross profit increased by approximately 20.7% from approximately HK$57.9 million for the year ended March 31, 2018, to approximately HK$69.8 million for the year ended March 31, 2019[40]. - The overall gross profit margin increased from 17.9% for the year ended March 31, 2018, to 20.8% for the year ended March 31, 2019[41]. - The profit and total comprehensive income attributable to the owners of the Company for the Year amounted to approximately HK$32.8 million, an increase from HK$11.6 million in 2018[54]. Expenses and Costs - Selling and distribution expenses increased from approximately HK$9.8 million for the year ended March 31, 2018, to approximately HK$14.3 million for the year ended March 31, 2019[50]. - Administrative expenses increased from approximately HK$14.2 million for the year ended March 31, 2018, to approximately HK$16.2 million for the year ended March 31, 2019[51]. - Finance costs increased by approximately 79.6% from approximately HK$3.4 million for the year ended March 31, 2018, to approximately HK$6.1 million for the year ended March 31, 2019[52]. - Income tax expense increased by approximately 79.8% from approximately HK$4.7 million for the year ended March 31, 2018, to approximately HK$8.4 million for the year ended March 31, 2019[53]. - Sales and distribution expenses increased from approximately HK$9.8 million in 2018 to approximately HK$14.3 million in the current year, primarily due to increased rental and salary expenses[56]. - Administrative expenses rose from approximately HK$14.2 million in 2018 to approximately HK$16.2 million, mainly due to higher legal and professional fees and increased salaries for directors and staff[57]. - Financing costs increased by approximately 79.6% from about HK$3.4 million in 2018 to approximately HK$6.1 million, attributed to an increase in trust receipt loans[58]. - Income tax expenses increased by approximately 79.8% from about HK$4.7 million in 2018 to approximately HK$8.4 million, due to higher estimated taxable profits[59]. Operational Developments - The Group is strengthening warehouse storage capability and operational efficiency by leasing new warehouses in Hong Kong and acquiring a professional warehouse management system[23]. - A retail store was established in a prime location in Kowloon at the end of 2018, expected to attract more retail customers and enhance business[23]. - The Group aims to enrich its product portfolio with wineries, particularly from French regions such as Burgundy, to offer more selection to the market[24]. - The Group is looking for expansion opportunities to penetrate market share into different countries worldwide[24]. - The Group is enhancing warehouse storage and operational efficiency, including leasing a new warehouse in Hong Kong and acquiring a specialized warehouse management system[27]. - The Group aims to strengthen its leadership position in the Hong Kong wine industry while seeking expansion opportunities globally[27]. - The Group is collaborating with wineries, particularly in France, to enrich its product portfolio and provide more options to the market[27]. - The Group's net current assets increased from approximately HK$146.3 million in 2018 to approximately HK$178.1 million in 2019, with a current ratio of 2.1[62]. - The Group's gearing ratio improved from approximately 83.1% in 2018 to approximately 76.4% in 2019[63]. - The Group has opened a new retail store in Kowloon at the end of 2018, following the signing of a tenancy agreement in January 2018[115]. - The company opened a retail store in Tsim Sha Tsui in December 2018 and is looking for a location for a third retail shop in West Kowloon to expand its retail network[123]. - The expansion of the retail network is expected to broaden the customer base and strengthen market presence in Hong Kong[123]. Corporate Governance and Management - The company is committed to maintaining high standards of corporate governance and internal controls[140]. - The company complied with all code provisions in the Corporate Governance Code during the year ended March 31, 2019[193]. - The Board comprises two executive Directors, two non-executive Directors, and three independent non-executive Directors[199]. - The Board conducts at least four regular meetings a year to discuss significant operational and financial matters, including mergers and acquisitions[195]. - The company has a dedicated Audit Committee to ensure financial integrity and compliance[199]. - The Remuneration Committee is responsible for determining the remuneration packages of all Directors and senior management[199]. - The company has established an Investment Management Committee to oversee investment strategies[199]. - The management team has a diverse background in finance, law, and community service, contributing to the company's strategic direction[152]. - The company emphasizes transparency and accountability to shareholders in its governance practices[192]. - The Board oversees the implementation of risk management control systems[194]. Strategic Initiatives - The company is investing in new technology development, allocating E million towards R&D initiatives aimed at enhancing operational efficiency[163]. - Market expansion plans include entering F new markets, with an estimated investment of G million to establish a presence in these regions[163]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the H sector[163]. - A new marketing strategy has been implemented, aiming to increase brand awareness and customer engagement, with a budget of I million allocated for the campaign[163]. - The company reported a strong cash flow position, with cash reserves of J million, providing flexibility for future investments and growth opportunities[163]. - The management team emphasized a commitment to sustainability, with plans to reduce carbon emissions by K% over the next five years[163].