Financial Performance - The Group's profit for the six months ended September 30, 2023, was approximately HK$1.2 million, down from approximately HK$2.7 million in 2022, representing a decline of about 55.6%[19]. - The Group's revenue for the six months ended September 30, 2023, was approximately HK$80.1 million, an increase of approximately 11.4% compared to HK$71.9 million for the same period in 2022[19]. - The Group's gross profit increased by approximately HK$1.0 million, or approximately 4.5%, from approximately HK$21.4 million to approximately HK$22.4 million for the six months ended 30 September 2023[44]. - The Group's gross profit margin decreased from approximately 29.8% to approximately 27.9% for the six months ended 30 September 2023[44]. - Profit for the period decreased to HK$1,240,000, down 53.8% from HK$2,686,000 in the previous year[125]. - Basic earnings per share for the period was HK$0.17, a decrease from HK$0.36 in the same period last year[125]. - The total comprehensive income for the period was HK$995,000, compared to HK$1,955,000 for the same period in 2022, reflecting a decrease of approximately 49%[130]. Revenue Breakdown - Revenue from Gem-set Jewellery Products was approximately HK$29.9 million, an increase of approximately HK$0.9 million, or approximately 3.1%, compared to approximately HK$29.0 million for the same period last year[30]. - Revenue from pure gold products was approximately HK$35.9 million, an increase of approximately HK$1.5 million, or approximately 4.3%, compared to approximately HK$34.4 million for the same period last year[31]. - Revenue from trading of recycled gold products was approximately HK$14.3 million, an increase of approximately HK$5.8 million, or approximately 68.6%, compared to approximately HK$8.5 million for the same period last year[36]. - Retail channel revenue was approximately HK$59.2 million, an increase of approximately HK$0.8 million, or approximately 1.3%, compared to approximately HK$58.4 million for the same period last year[37]. - Wholesale channel revenue was approximately HK$6.5 million, an increase of approximately HK$1.6 million, or approximately 32.7%, compared to approximately HK$4.9 million for the same period last year[38]. Expenses and Costs - Other income decreased by approximately HK$1.8 million to approximately HK$0.1 million for the six months ended 30 September 2023, primarily due to the unavailability of Government Grants[45]. - Selling and distribution costs increased by approximately HK$0.4 million or about 3.2% to approximately HK$12.5 million for the six months ended 30 September 2023[51]. - General and administrative expenses rose by approximately HK$0.4 million or about 5.9% to approximately HK$7.1 million for the six months ended 30 September 2023[52]. - Finance costs for the six months ended September 30, 2023, totaled HK$671,000, slightly down from HK$686,000 in 2022[158]. Assets and Liabilities - Total assets as of 30 September 2023 were approximately HK$118.6 million, down from approximately HK$128.3 million as of 31 March 2023[53]. - Total interest-bearing borrowings decreased to approximately HK$25.9 million as of 30 September 2023 from approximately HK$28.9 million as of 31 March 2023[54]. - The current ratio improved to approximately 1.83 times as of 30 September 2023, compared to approximately 1.63 times as of 31 March 2023[54]. - The group's gearing ratio decreased from approximately 41.0% as of 31 March 2023 to approximately 36.2% as of 30 September 2023, primarily due to a reduction in bank borrowings[59]. - Total equity as of September 30, 2023, was HK$71,356,000, up from HK$70,361,000 as of March 31, 2023[128]. Cash Flow - For the six months ended September 30, 2023, the net cash generated from operating activities was HK$5,644,000, a significant increase from HK$506,000 in the same period of 2022[131]. - The cash and cash equivalents at the end of the period were HK$13,179,000, down from HK$18,785,000 at the end of September 2022, indicating a decrease of about 30%[133]. - The net cash used in investing activities was HK$4,800,000, a decrease from the net cash generated of HK$5,416,000 in the prior year[131]. - The net cash used in financing activities was HK$8,304,000, compared to HK$7,673,000 in the same period of 2022, indicating an increase of about 8%[131]. Corporate Governance and Compliance - The Company has adopted corporate governance practices in compliance with the GEM Listing Rules, with a noted deviation from code provision C.2.1[81]. - The Company has conducted regular reviews of its risk management and internal control systems to ensure effectiveness[114]. - The Directors and their close associates had no interests in any competing business as of September 30, 2023[110]. - The company maintained the sufficiency of public float requirement as specified in the GEM Listing Rules[120]. Employee and Shareholder Information - The group employed 75 employees as of 30 September 2023, with no significant obligations apart from defined contribution schemes[74]. - Mr. Fu Chun Keung holds a 75% interest in the company, with 562,500,000 shares as of September 30, 2023[92]. - The average number of shares remained constant at 750,000,000 for both periods ended September 30, 2023, and 2022[11]. - The company has not engaged in any share purchases, sales, or redemptions during the six months ended September 30, 2023[86].

Hong Kong Exchanges and Clearing Limited and 香港交易及結算所有限公司及香港聯合交易所 The Stock Exchange of Hong Kong Limited 有限公司（「聯交所」）對本公告的內容概不負責， (“Stock Exchange”) take no responsibility for the 對其準確性或完整性亦不發表任何聲明，並表 contents of this announcement, make no 明概不就本公告全部或任何部分內容而產生或 representation as to its accuracy or completeness 因依賴該等內容而引致的任何損失承擔任何責 and expressly disclaim any liability whatsoever for 任。 any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. This announce ...

Financial Performance - The profit for the three months ended June 30, 2023, was approximately HK$1.0 million, compared to approximately HK$1.5 million for the same period in 2022[20]. - The revenue for the Group for the three months ended June 30, 2023, was approximately HK$48.6 million, representing an increase of approximately 51.0% compared to approximately HK$32.2 million for the same period in 2022[20]. - The Group's revenue increased by approximately HK$16.4 million, or approximately 51.0%, from approximately HK$32.2 million for the three months ended June 30, 2022, to approximately HK$48.6 million for the three months ended June 30, 2023[29]. - The Group's gross profit increased by approximately HK$2.2 million, or approximately 22.4%, from approximately HK$9.7 million to approximately HK$11.9 million[47]. - Gross profit for the same period was HK$11,929,000, up 22.4% from HK$9,746,000 year-on-year[91]. - Earnings for the period decreased to HK$1,042,000 in Q2 2023 from HK$1,501,000 in Q2 2022, representing a decline of approximately 30.6%[120]. Revenue Breakdown - Revenue from gem-set jewellery products increased by approximately HK$3.3 million, or approximately 25.2%, from approximately HK$12.8 million to approximately HK$16.1 million[34]. - Revenue from pure gold products increased by approximately HK$7.3 million, or approximately 44.7%, from approximately HK$16.3 million to approximately HK$23.6 million[35]. - Revenue from trading of recycled gold products increased by approximately HK$5.9 million, or approximately 195.7%, from approximately HK$3.0 million to approximately HK$8.9 million[36]. - Retail channel revenue increased by approximately HK$9.3 million, or approximately 34.4%, from approximately HK$27.2 million to approximately HK$36.5 million[41]. - Wholesale channel revenue increased by approximately HK$1.2 million, or approximately 58.9%, from approximately HK$2.0 million to approximately HK$3.2 million[42]. Corporate Governance - The company has adopted corporate governance practices consistent with the Corporate Governance Code, with a noted deviation from code provision C.2.1[52]. - The group is committed to maintaining high standards of corporate governance to meet the needs of its business and shareholders[52]. - The company did not purchase, sell, or redeem any of its shares during the three months ended June 30, 2023[60]. - No incidents of non-compliance with the Required Standard of Dealings were noted during the three months ended June 30, 2023[56]. - The Audit Committee reviewed the Group's unaudited consolidated results for the three months ended June 30, 2023, ensuring compliance with accounting standards[83]. Shareholder Information - As of June 30, 2023, Mr. Fu Chun Keung and Ms. Fu Wan Ling each held 562,500,000 shares, representing a 75% interest in the company[63]. - As of June 30, 2023, MGH Limited holds 562,500,000 shares, representing 75% of the issued share capital of the Company[69]. - The Directors and chief executives had no interests in shares or debentures of the Company or its associated corporations as of June 30, 2023[67]. - The Company did not identify any substantial shareholders with interests or short positions in shares or underlying shares as of June 30, 2023[71]. Future Plans and Strategies - The Group plans to expand its jewellery design collection to align with customer needs and market trends, as well as increase its retail presence[28]. - The marketing campaign will be extended to social media to enhance shareholder returns and support long-term growth[28]. - The company has no current plans for significant acquisitions or disposals[88]. Other Financial Metrics - Other income decreased by approximately HK$0.9 million, from approximately HK$1.0 million to approximately HK$68,000[48]. - The Group's other income decreased to HK$68,000 from HK$944,000 in the same period of 2022, primarily due to the absence of government grants received last year[110]. - The cost of inventories recognized as an expense was HK$43,842,000, compared to HK$22,428,000 in the same period last year, indicating a substantial rise[119]. - Interest on bank borrowings for the period was HK$266,000, an increase from HK$197,000 in the previous year[116]. - The total depreciation of property, plant, and equipment amounted to HK$2,430,000, up from HK$2,261,000 in the same period last year[119].

Hong Kong Exchanges and Clearing Limited and 香港交易及結算所有限公司及香港聯合交易所 The Stock Exchange of Hong Kong Limited 有限公司（「聯交所」）對本公告的內容概不負責， (“Stock Exchange”) take no responsibility for the 對其準確性或完整性亦不發表任何聲明，並表 contents of this announcement, make no 明概不就本公告全部或任何部分內容而產生或 representation as to its accuracy or completeness 因依賴該等內容而引致的任何損失承擔任何責 and expressly disclaim any liability whatsoever for 任。 any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. This announce ...

Business Operations - The Group operates seven retail stores under the brand "Chong Fai Jewellery" strategically located in Kowloon and the New Territories[17] - The principal products include gem-set jewellery and gold jewellery, produced in-house at a facility in Shenzhen, PRC[18] - The Group plans to expand its jewellery design collection to align with customer preferences and market trends[19] - Future retail expansion is aimed at capturing a wider range of market opportunities as the economic environment improves[19] - Marketing campaigns will be extended to social media to enhance shareholder returns and sustain long-term growth[19] Financial Performance - The Group's revenue increased by approximately HK$29.5 million, or approximately 27.5%, from approximately HK$107.3 million for the year ended 31 March 2022 to approximately HK$136.8 million for the year ended 31 March 2023[26] - Revenue from gold jewellery products increased by approximately HK$17.1 million, or approximately 45.6%, from approximately HK$37.4 million to approximately HK$54.5 million for the year ended 31 March 2023[31] - Revenue from gem-set jewellery products increased by approximately HK$8.8 million, or approximately 17.0%, from approximately HK$51.8 million to approximately HK$60.6 million for the year ended 31 March 2023[27] - Revenue from trading of recycled gold products increased by approximately HK$3.6 million, or approximately 19.8%, from approximately HK$18.1 million to approximately HK$21.7 million for the year ended 31 March 2023[32] - Retail operation revenue increased by approximately HK$25.8 million, or approximately 33.1%, from approximately HK$78.0 million to approximately HK$103.8 million for the year ended 31 March 2023[35] - The Group's cost of goods sold increased by approximately HK$26.5 million, or approximately 33.9%, from approximately HK$78.2 million to approximately HK$104.7 million for the year ended 31 March 2023[36] - The Group's gross profit increased by approximately HK$2.9 million, or approximately 10.1%, from approximately HK$29.2 million to approximately HK$32.1 million for the year ended 31 March 2023[41] - The gross profit margin decreased from approximately 27.2% for the year ended 31 March 2022 to approximately 23.5% for the year ended 31 March 2023[41] - Other income for the year ended 31 March 2023 amounted to approximately HK$2.3 million, representing an increase of approximately HK$1.3 million compared to the previous year[42] - Other net gain for the year ended 31 March 2023 amounted to approximately HK$0.1 million, compared to a loss of approximately HK$1.8 million for the year ended 31 March 2022[43] Cost and Expenses - Selling and distribution costs decreased by approximately HK$1.5 million or about 7.2%, from approximately HK$21.3 million in 2022 to approximately HK$19.8 million in 2023[49] - General and administrative expenses increased by approximately HK$1.2 million or about 7.8%, from approximately HK$14.7 million in 2022 to approximately HK$15.9 million in 2023[50] Assets and Liabilities - The total assets of the group as of March 31, 2023, amounted to approximately HK$128.3 million, a slight decrease from approximately HK$129.2 million in 2022[59] - The current ratio as of March 31, 2023, was approximately 1.63 times, down from approximately 1.99 times in 2022, mainly due to an increase in amounts due to a controlling shareholder[60] - The gearing ratio increased from approximately 38.8% as of March 31, 2022, to approximately 41.0% as of March 31, 2023, primarily due to a decrease in total equity[61] - The company did not recommend the payment of any dividend for the year ended March 31, 2023[57] - As of March 31, 2023, the company's issued share capital was HK$7.5 million, with 750 million shares outstanding[75] - The Group had capital commitments of approximately HK$0.2 million as of March 31, 2023, down from approximately HK$0.3 million in 2022[80] - The Group had no material contingent liabilities as of March 31, 2023[81] Market Influences - The Group's revenue growth was significantly boosted by the Hong Kong government's consumption voucher schemes launched in April and August 2022[96] - The Group faces risks including price fluctuations of jewellery raw materials and potential challenges in renewing retail store leases[93] - The Group currently has no foreign currency hedging policy but monitors exchange rate fluctuations closely[78] Leadership and Management - Mr. Fu Chun Keung has been the chairman and CEO since January 2018, overseeing overall management and strategy planning[100] - Ms. Cheung Lai Yuk, appointed in March 2018, leads the procurement department and has over 20 years of experience in the jewellery industry[102] - Ms. Fu Wan Ling, also appointed in March 2018, is responsible for overall strategy formulation and inventory oversight, with over 20 years in the jewellery sector[105] - Mr. Chan Cheong Tat has served as an independent non-executive director since September 2018, bringing over 32 years of experience from the Inland Revenue Department[113] - Mr. Tony Chan, an independent non-executive director since September 2018, has over 20 years of experience in business advisory, accounting, and auditing[120] - Mr. Wong Wing Keung Meyrick has been an independent non-executive director since September 2018 and is currently practicing as a barrister-at-law in Hong Kong[123] - The company has a strong leadership team with extensive experience in the jewellery industry and financial management[100][102][105][113][120][123] Corporate Governance - The Group's Board of Directors comprises six members, including three executive directors and three independent non-executive directors, ensuring compliance with GEM Listing Rules[143][152] - Mr. Fu Chun Keung serves as both Chairman and Chief Executive Officer, a decision deemed in the best interest of the Group despite deviation from CG Code provision C.2.1[137][140] - The independent non-executive directors represent more than one-third of the Board, fulfilling the requirement of Rule 5.05A of the GEM Listing Rules[152][153] - All directors participated in various training sessions during the year ended March 31, 2023, focusing on updated GEM Listing Rules and their responsibilities[155] - The Company has implemented corporate governance practices in line with the CG Code, with the exception of code provision C.2.1[135][139] - The Group's senior management is responsible for day-to-day operations, executing strategies set by the Board[141][146] - Each executive director has a service contract with an initial term of three years, subject to termination with three months' notice[144][152] - The Company has received written confirmations of independence from all independent non-executive directors, affirming their status[154] - The Board monitors the Group's operational and financial performance, collectively responsible for promoting the Company's success[141][146] - The Company Secretary, Mr. Wong Ho Pang, ensures that Board procedures are followed and provides necessary support to the directors[154] Board Committees - The company has established three Board committees: Audit Committee, Remuneration Committee, and Nomination Committee, each with specific written terms of reference[174] - The Audit Committee is responsible for reviewing and supervising the Group's financial reporting process, risk management, and internal control systems[179] - The Remuneration Committee's primary duty is to establish and review the remuneration policy for Directors and senior management[182] - The Nomination Committee evaluates candidates for directorship based on merit and objective criteria, considering the benefits of diversity[185] - The Company ensures that all committees have sufficient resources to perform their duties and can obtain independent professional advice when necessary[178] Compliance and Training - The Board is responsible for developing and reviewing the Group's corporate governance policies and practices[198] - The Company emphasizes a well-balanced Board with diverse cultural and educational backgrounds, industry experience, and professional expertise[197] - The Company has confirmed compliance with the Required Standard of Dealings by all Directors for the year ended March 31, 2023[199] - External audit fees for the year ended March 31, 2023, were approximately HK$500,000[200]

Hong Kong Exchanges and Clearing Limited and 香港交易及結算所有限公司及香港聯合交 The Stock Exchange of Hong Kong Limited (“Stock 易所有限公司（「聯交所」）對本公告的內容 Exchange”) take no responsibility for the contents of 概不負責，對其準確性或完整性亦不發表 this announcement, make no representation as to its 任何聲明，並表明概不就本公告全部或任 accuracy or completeness and expressly disclaim any 何部分內容而產生或因依賴該等內容而引 liability whatsoever for any loss howsoever arising 致的任何損失承擔任何責任。 from or in reliance upon the whole or any part of the contents of this announcement. This announce ...

Financial Performance - The Group reported a profit of approximately HK$2.2 million for the nine months ended December 31, 2022, compared to a loss of approximately HK$0.7 million in the same period of 2021[18]. - Revenue for the nine months ended December 31, 2022, was approximately HK$106.8 million, representing an increase of approximately 19.9% from approximately HK$89.1 million for the same period in 2021[18]. - The Group's financial results indicate a positive turnaround, moving from a loss to profitability within the reported period[20]. - Total comprehensive income for the nine months ended December 31, 2022, was HK$1,235,000, compared to a total comprehensive expense of HK$792,000 for the same period in 2021[95]. - The profit before taxation for the nine months ended December 31, 2022, was HK$2,170,000, compared to a loss of HK$700,000 in the same period of 2021[128]. Revenue Breakdown - Revenue from Gem-set Jewellery Products increased by approximately HK$4.8 million, or approximately 11.8%, from approximately HK$40.9 million to approximately HK$45.7 million[33]. - Revenue from pure gold products increased by approximately HK$8.4 million, or approximately 20.9%, from approximately HK$40.2 million to approximately HK$48.6 million[34]. - Revenue from trading of recycled gold products increased by approximately HK$4.5 million, or approximately 56.8%, from approximately HK$8.0 million to approximately HK$12.5 million[35]. - Retail channel revenue increased by approximately HK$14.0 million, or approximately 19.4%, from approximately HK$72.0 million to approximately HK$86.0 million[40]. - Wholesale channel revenue decreased by approximately HK$0.8 million, or approximately 8.9%, from approximately HK$9.1 million to approximately HK$8.3 million[41]. Corporate Governance - The report emphasizes the importance of compliance with GEM Listing Rules, ensuring the accuracy and completeness of the financial information provided[5]. - The company has adopted the corporate governance code as per GEM Listing Rules Appendix 15, with compliance noted since its listing on March 27, 2019, except for a deviation regarding the roles of the Chairman and CEO[52]. - The company has a strong governance structure with experienced management overseeing the Chairman and CEO's powers[52]. - The company has maintained a consistent approach to corporate governance, aligning with shareholder interests and regulatory requirements[52]. - The company’s governance practices are designed to protect shareholder interests and ensure effective management oversight[52]. Shareholder Information - As of December 31, 2022, Mr. Fu Chun Keung and Ms. Fu Wan Ling each hold 562,500,000 shares, representing a 75% interest in the company's issued share capital[61]. - No substantial shareholders were reported with interests or short positions in the shares and underlying shares of the company as of December 31, 2022[66]. - The entire issued share capital of MGH Limited is beneficially owned by Mr. Fu, Ms. Fu, and Ms. Cheung, who are deemed to be interested in the shares held by MGH Limited[68]. - The company has ensured that all directors confirmed compliance with the trading standards during the reporting period[57]. Operational Highlights - The Group plans to expand its jewellery design collection and retail presence to capture market opportunities as the COVID-19 situation improves[27]. - The Group is extending its marketing campaign to social media to enhance shareholder returns and sustain long-term growth[27]. - The Group continues to monitor market conditions and may adjust strategies accordingly to sustain growth momentum[18]. - The Board regularly reviews the risk management and internal control systems to ensure their effectiveness[84]. Other Financial Metrics - The cost of goods sold for the nine months ended December 31, 2022, was HK$76,036,000, up from HK$61,883,000 in the previous year, indicating a 22.9% increase[94]. - The retained profits as of December 31, 2022, were HK$13,750,000, an increase from HK$11,580,000 as of March 31, 2022[95]. - The total staff costs for the nine months ended December 31, 2022, amounted to HK$14,746,000, which is a 4% increase compared to HK$14,194,000 for the same period in 2021[123]. - The company incurred finance costs of HK$251,000 for the three months ended December 31, 2022, a decrease of 5.3% from HK$265,000 in the previous year[94]. - The company reported a loss of HK$516,000 for the three months ended December 31, 2022, compared to a profit of HK$236,000 in the same period of 2021[128].