(Incorporated in the Cayman Islands with limited liability) 於開曼群島註冊成立的有限公司 Stock code 股份代號 : 8537 2023/24 年報ANNUAL REPORT ANNUAL REPORT 年報 2023/24 CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE") 香港聯合交易所有限公司（「聯交所」）GEM 的特色 GEM has been positioned as a market designed to accommodate small and mid-sized companies to which a higher investment risk may be attached than other companies listed on the Main Board. Prospective investors should be aware of the potential risks of ...

Annual Results Highlights [Key Financial Data](index=2&type=section&id=ANNUAL%20RESULTS%20HIGHLIGHTS) For the fiscal year ended March 31, 2024, the Group turned loss into profit, recording a net profit of approximately HK$1.6 million, compared to a loss of HK$2.2 million in the prior year, with total revenue increasing by 4.0% to HK$142.3 million and gross profit margin improving from 23.5% to 27.5% Key Financial Data for FY2024 | Metric | FY2024 | FY2023 (Restated) | | :--- | :--- | :--- | | Revenue (HK$ million) | Approx. 142.3 | Approx. 136.8 | | Annual Profit/(Loss) (HK$ million) | Profit Approx. 1.6 | Loss Approx. 2.2 | | Gross Profit Margin | Approx. 27.5% | Approx. 23.5% | | Basic Earnings/(Loss) Per Share (HK cents) | Profit Approx. 2.12 | Loss Approx. 2.89 | [Dividends](index=2&type=section&id=DIVIDENDS) The Board of Directors decided not to declare any final dividend for the fiscal year ended March 31, 2024, consistent with the previous fiscal year - The Board of Directors does not recommend the payment of any final dividend for the year ended March 31, 2024 (2023: Nil)[8](index=8&type=chunk)[10](index=10&type=chunk)[12](index=12&type=chunk) Management Discussion and Analysis [Business Outlook](index=3&type=section&id=OUTLOOK) Despite the uncertain macroeconomic environment, the Group successfully turned loss into profit this fiscal year, with future plans to expand its jewelry design series and retail network, and enhance social media marketing as the Hong Kong economy improves, aiming for shareholder returns and long-term growth - Despite the volatile market environment, the Group successfully turned loss into profit this year by leveraging its deep market understanding and efficient resource utilization[13](index=13&type=chunk)[17](index=17&type=chunk) - Future strategies include expanding the jewelry design series, increasing retail outlets, and extending marketing efforts to social media[14](index=14&type=chunk)[17](index=17&type=chunk) [Business Review](index=4&type=section&id=BUSINESS%20REVIEW) The Group is a vertically integrated jeweler headquartered in Hong Kong, selling its own products through 7 retail stores under the 'Chong Fai Jewellery' brand, with main products including gem-set and gold jewelry, alongside wholesale and recycled gold sales - The Group is a vertically integrated jeweler with 7 'Chong Fai Jewellery' retail stores in Hong Kong and production facilities in Shenzhen[19](index=19&type=chunk)[22](index=22&type=chunk) - Core products include gem-set and gold jewelry, with business also encompassing wholesale to other retailers and sales of recycled gold products[20](index=20&type=chunk)[23](index=23&type=chunk) [Financial Review](index=4&type=section&id=FINANCIAL%20REVIEW) Total revenue for the fiscal year increased by 4.0% to HK$142.3 million, primarily driven by a 58.5% surge in recycled gold product trading revenue; despite a decline in jewelry retail revenue, rising gold prices boosted gross profit margins for gold-related businesses, leading to a 22.1% increase in overall gross profit and a margin improvement to 27.5%, while other income significantly decreased due to the absence of prior-year one-off government subsidies [Revenue](index=4&type=section&id=Revenue) The Group's total revenue increased by 4.0% from HK$136.8 million to HK$142.3 million, primarily driven by a HK$12.7 million increase in recycled gold product trading revenue, partially offset by declines in gem-set jewelry (HK$5.1 million) and pure gold products (HK$2.1 million) sales Total Revenue Change | Fiscal Year | Revenue (HK$ million) | Year-on-Year Change | | :--- | :--- | :--- | | 2024 | 142.3 | +4.0% | | 2023 | 136.8 | - | [Revenue by Products](index=5&type=section&id=Revenue%20by%20Products) Sales of gem-set and gold jewelry products decreased by 8.5% and 3.9% respectively, due to reduced customer traffic in Hong Kong stores as local residents favored mainland consumption, while recycled gold product trading revenue surged by 58.5%, benefiting from global gold prices reaching historical highs in 2024 Revenue Change by Product Category (FY2024 vs FY2023) | Product Category | 2024 Revenue (HK$ million) | Year-on-Year Change | | :--- | :--- | :--- | | Gem-set Jewellery | 55.5 | -8.5% | | Gold Jewellery | 52.4 | -3.9% | | Recycled Gold Product Trading | 34.4 | +58.5% | [Revenue by Business (sales channels)](index=6&type=section&id=Revenue%20by%20Business%20(sales%20channels)) Retail business revenue decreased by 7.8% due to reduced customer traffic, while wholesale business revenue grew by 7.7%, and recycled gold product trading business surged by 58.5% driven by high gold prices Revenue Change by Business Channel (FY2024 vs FY2023) | Business Channel | 2024 Revenue (HK$ million) | Year-on-Year Change | | :--- | :--- | :--- | | Retail Business | 95.7 | -7.8% | | Wholesale Business | 12.2 | +7.7% | | Recycled Gold Product Trading | 34.4 | +58.5% | [Cost of goods sold, Gross Profit and Gross Profit Margin](index=7&type=section&id=Cost%20of%20goods%20sold,%20Gross%20Profit%20and%20Gross%20Profit%20Margin) Despite increased revenue, the cost of goods sold decreased by 1.6% to HK$103.1 million, primarily due to sustained rising gold prices allowing recycled gold and gold jewelry products to be sold at higher prices, thereby improving gross profit margins, leading to a 22.1% increase in overall gross profit to HK$39.2 million and a rise in gross profit margin from 23.5% to 27.5% - Gross profit increased by **22.1%** year-on-year, reaching **HK$39.2 million**[36](index=36&type=chunk)[39](index=39&type=chunk) - Gross profit margin rose from **23.5%** in the previous year to **27.5%**, primarily due to rising gold prices enhancing the profitability of gold-related products[36](index=36&type=chunk)[39](index=39&type=chunk) [Other Income, Gains, and Expenses](index=7&type=section&id=Other%20Income,%20Gains,%20and%20Expenses) Other income significantly decreased from HK$2.3 million to HK$0.7 million, mainly because approximately HK$1.5 million in government pandemic-related subsidies received in FY2023 were no longer available this fiscal year; other net loss was HK$0.5 million, primarily due to fair value losses on financial assets, while selling and distribution costs and general and administrative expenses remained largely stable - Other income decreased by **HK$1.6 million**, mainly because government subsidies from the 'Employment Support Scheme' (HK$1.2 million) and 'Technology Voucher Programme' (HK$0.3 million) received in the prior year were no longer available this year[37](index=37&type=chunk)[40](index=40&type=chunk) - Other net loss of approximately **HK$0.5 million** was recorded, compared to a net gain of approximately HK$0.1 million last year, primarily due to net losses on financial assets at fair value through profit or loss[41](index=41&type=chunk)[45](index=45&type=chunk) - Selling and distribution costs slightly increased by **1.0%** to **HK$20.4 million**, while general and administrative expenses remained stable at **HK$15.8 million**[43](index=43&type=chunk)[44](index=44&type=chunk)[47](index=47&type=chunk)[48](index=48&type=chunk) [Liquidity and Financial Resources](index=9&type=section&id=LIQUIDITY%20AND%20FINANCIAL%20RESOURCES%20AND%20TREASURY%20POLICY) The Group's financial position is robust, with total assets of HK$118.1 million as of March 31, 2024, a debt-to-asset ratio decreasing from 41.1% to 32.1% primarily due to reduced bank borrowings and amounts due to controlling shareholders, and a liquidity ratio improving from 1.64 times to 1.88 times, with no significant contingent liabilities or capital commitments [Financial Position and Ratios](index=9&type=section&id=Liquidity%20and%20Financial%20Resources) As of March 31, 2024, the Group's total assets were HK$118.1 million and total liabilities were HK$47.2 million, with total interest-bearing borrowings decreasing to HK$22.8 million, and the current ratio improving from 1.64 times to 1.88 times and the debt-to-asset ratio decreasing from 41.1% to 32.1%, indicating an improved financial structure Key Financial Ratios | Metric | March 31, 2024 | March 31, 2023 (Restated) | | :--- | :--- | :--- | | Total Assets (HK$ million) | 118.1 | 128.3 | | Total Interest-bearing Borrowings (HK$ million) | 22.8 | 28.9 | | Current Ratio (times) | 1.88 | 1.64 | | Debt-to-Asset Ratio | 32.1% | 41.1% | [Treasury Policy and Others](index=10&type=section&id=Treasury%20Policy%20and%20Others) The Group adopts a prudent treasury policy, holding cash primarily in Hong Kong Dollars with major licensed banks in Hong Kong, and as of March 31, 2024, had no significant contingent liabilities, capital commitments (compared to HK$0.2 million in the prior year), or pledged assets - The Group adopts a prudent financial management approach, with centralized treasury activities and cash primarily held in Hong Kong Dollars with major licensed banks in Hong Kong[58](index=58&type=chunk)[62](index=62&type=chunk) - As of March 31, 2024, the Group had no significant contingent liabilities, capital commitments, or pledged assets[59](index=59&type=chunk)[60](index=60&type=chunk)[61](index=61&type=chunk) Corporate Governance and Compliance [Corporate Governance Practice](index=11&type=section&id=CORPORATE%20GOVERNANCE%20PRACTICE) The Group is committed to maintaining high corporate governance standards, complying with all GEM Listing Rules' Corporate Governance Code provisions during the reporting period, except for the Chairman and Chief Executive Officer roles being held by the same person (Mr. Fu Chun Keung), an arrangement the Board believes is in the Group's best interest - The Group has adopted and complied with the Corporate Governance Code under the GEM Listing Rules, with one deviation: the roles of Chairman and Chief Executive Officer are not separated[67](index=67&type=chunk)[69](index=69&type=chunk) - Mr. Fu Chun Keung, the Group's founder, serves as both Chairman and Chief Executive Officer, an arrangement the Board believes is beneficial for the Group's management given his extensive experience and critical role[68](index=68&type=chunk)[69](index=69&type=chunk) [Directors' Securities Transactions and Share Repurchase](index=12&type=section&id=DIRECTORS%27%20SECURITIES%20TRANSACTION%20AND%20SHARE%20REPURCHASE) During the reporting period, all directors confirmed compliance with the company's adopted standards for securities transactions, and neither the company nor any of its subsidiaries purchased, sold, or redeemed any company shares - All directors complied with the required standards for securities transactions during the reporting period[71](index=71&type=chunk)[76](index=76&type=chunk) - For the year ended March 31, 2024, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's shares[72](index=72&type=chunk)[77](index=77&type=chunk) [Event After the Reporting Period](index=12&type=section&id=EVENT%20AFTER%20THE%20REPORTING%20PERIOD) On May 28, 2024, the company implemented a share consolidation, merging every 10 issued and unissued shares of HK$0.01 par value into 1 consolidated share of HK$0.1 par value, a resolution approved at the Extraordinary General Meeting on May 24, 2024 - The company completed a share consolidation on May 28, 2024, at a ratio of 10-to-1[75](index=75&type=chunk)[79](index=79&type=chunk) [Audit Committee and Auditor's Scope of Work](index=12&type=section&id=AUDIT%20COMMITTEE%20AND%20AUDITOR%27S%20SCOPE%20OF%20WORK) The company has established an Audit Committee comprising three independent non-executive directors, and the financial data in this results announcement has been audited by the Group's external auditor, Grant Thornton Hong Kong Limited, and reviewed by the Audit Committee - The Audit Committee, comprising three independent non-executive directors, has reviewed the audited financial information for the current year[73](index=73&type=chunk)[74](index=74&type=chunk)[78](index=78&type=chunk) - The company's auditor, Grant Thornton Hong Kong Limited, has reconciled the figures in this preliminary results announcement with the Group's audited consolidated financial statements[83](index=83&type=chunk)[87](index=87&type=chunk) Consolidated Financial Statements [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=15&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20PROFIT%20OR%20LOSS%20AND%20OTHER%20COMPREHENSIVE%20INCOME) For the year ended March 31, 2024, the Group achieved revenue of HK$142.3 million, a 4.0% year-on-year increase, with gross profit of HK$39.2 million, up 22.1%, ultimately recording an annual profit of HK$1.592 million, successfully reversing the previous year's loss of HK$2.17 million Consolidated Statement of Profit or Loss Summary (HK$'000) | Item | 2024 (HK$'000) | 2023 (Restated) (HK$'000) | | :--- | :--- | :--- | | Revenue | 142,274 | 136,822 | | Gross profit | 39,183 | 32,104 | | Profit/(Loss) before tax | 1,852 | (2,911) | | Profit/(Loss) for the year | 1,592 | (2,170) | | Total comprehensive income/(expense) | 728 | (2,694) | [Consolidated Statement of Financial Position](index=16&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20FINANCIAL%20POSITION) As of March 31, 2024, the Group's total assets were HK$118.1 million, a decrease from the prior year, while net current assets increased from HK$33.8 million to HK$38.0 million, and total equity slightly increased to HK$70.9 million, maintaining a stable financial position Consolidated Statement of Financial Position Summary (HK$'000) | Item | March 31, 2024 (HK$'000) | March 31, 2023 (Restated) (HK$'000) | | :--- | :--- | :--- | | Non-current assets | 37,084 | 41,407 | | Current assets | 81,044 | 86,909 | | **Total assets** | **118,128** | **128,316** | | Current liabilities | 43,076 | 53,152 | | Non-current liabilities | 4,128 | 4,968 | | **Total liabilities** | **47,204** | **58,120** | | **Net assets** | **70,924** | **70,196** | | **Total equity** | **70,924** | **70,196** | [Notes to the Consolidated Financial Statements](index=17&type=section&id=NOTES%20TO%20THE%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) The notes to the financial statements provide supplementary information on key accounting policies, data breakdowns, and significant events, notably the Group's change in accounting policy for long service payment liabilities and retrospective restatement of 2023 comparative data due to the abolition of the MPF-LSP offsetting mechanism in Hong Kong, along with detailed disclosures on revenue composition, aging analysis of receivables and payables, and the post-reporting period share consolidation event [2. Adoption of New and Amended Hong Kong Financial Reporting Standards](index=17&type=section&id=2.%20ADOPTION%20OF%20NEW%20AND%20AMENDED%20HONG%20KONG%20FINANCIAL%20REPORTING%20STANDARDS) In response to the abolition of the MPF-LSP offsetting mechanism in Hong Kong, the Group changed its accounting policy for long service payment liabilities in accordance with new HKICPA guidance, applying this change retrospectively and restating 2023 comparative data, affecting various items including selling and distribution costs, administrative expenses, income tax credit, and retained profits - Due to the abolition of the MPF-LSP offsetting mechanism in Hong Kong, the Group changed its relevant accounting policies and retrospectively restated the financial data for FY2023[109](index=109&type=chunk)[111](index=111&type=chunk)[115](index=115&type=chunk) - The accounting policy change resulted in an increase in the restated loss for the year in FY2023 from **HK$1.891 million** to **HK$2.170 million**, and total comprehensive expense from **HK$2.529 million** to **HK$2.694 million**[121](index=121&type=chunk)[122](index=122&type=chunk) [3. Revenue and Segment Information](index=23&type=section&id=3.%20REVENUE%20AND%20SEGMENT%20INFORMATION) The Group treats all operating activities as a single operating segment, with all external customer revenue generated from Hong Kong; by business, jewelry business (retail and wholesale) revenue was HK$107.9 million, and recycled gold product trading revenue was HK$34.4 million Revenue Breakdown by Business (HK$'000) | Business Category | 2024 (HK$'000) | 2023 (HK$'000) | | :--- | :--- | :--- | | Jewellery business | 107,850 | 115,107 | | Recycled gold product trading | 34,424 | 21,715 | | **Total** | **142,274** | **136,822** | - All of the Group's external customer revenue is generated in Hong Kong[143](index=143&type=chunk) [8. Earnings/(Loss) Per Share](index=28&type=section&id=8.%20EARNINGS/(LOSS)%20PER%20SHARE) Basic earnings per share for FY2024 was 2.12 HK cents, calculated considering the 10-to-1 share consolidation implemented in May 2024, with retrospective adjustment to the prior year's loss per share of 2.89 HK cents; diluted earnings per share is the same as basic earnings per share due to the absence of potential dilutive ordinary shares - Basic earnings per share was **2.12 HK cents**, compared to a restated basic loss per share of **2.89 HK cents** in the prior year[95](index=95&type=chunk)[159](index=159&type=chunk) - The calculation of earnings per share has been retrospectively adjusted to reflect the share consolidation in May 2024[159](index=159&type=chunk)[160](index=160&type=chunk) [10. Dividends](index=30&type=section&id=10.%20DIVIDENDS) The company neither paid nor declared any dividends for the fiscal years ended March 31, 2024, and 2023, nor has it proposed any dividends since the end of the reporting period - For the year ended March 31, 2024, the company neither paid nor declared any dividends[162](index=162&type=chunk)[164](index=164&type=chunk) [11. Trade and Other Receivables & 12. Trade and Other Payables](index=30&type=section&id=11.%20TRADE%20AND%20OTHER%20RECEIVABLES%20%26%2012.%20TRADE%20AND%20OTHER%20PAYABLES) As of March 31, 2024, net trade receivables were HK$1.847 million, with 92% neither past due nor impaired; trade payables were HK$2.160 million, mostly with credit terms within 90 days, though five major suppliers had credit terms up to one year - Net trade receivables amounted to **HK$1.847 million**, with **HK$0.157 million** being overdue for more than 90 days[166](index=166&type=chunk)[168](index=168&type=chunk) - Trade payables totaled **HK$2.160 million**, of which **HK$1.708 million** were overdue for more than 90 days[181](index=181&type=chunk)[183](index=183&type=chunk)

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].

[Corporate Information](index=4&type=section&id=Corporate%20Information) This section outlines the company's fundamental organizational structure, including key personnel and professional advisors - This section provides basic organizational structure information, including executive directors, independent non-executive directors, committee members, company secretary, auditor, legal advisors, and principal bankers[12](index=12&type=chunk)[13](index=13&type=chunk)[15](index=15&type=chunk) - The company's Chairman and Chief Executive Officer is Mr. Fu Chun Keung[12](index=12&type=chunk) - The company's auditor is Grant Thornton Hong Kong Limited[15](index=15&type=chunk) [Financial Highlights](index=7&type=section&id=Financial%20Highlights) This section provides a concise overview of the Group's key financial performance for the six months ended September 30, 2022 Financial Highlights for the Six Months Ended September 30, 2022 | Indicator | For the Six Months Ended September 30, 2022 | For the Six Months Ended September 30, 2021 | | :--- | :--- | :--- | | Revenue (HKD Million) | Approx. 71.9 | Approx. 55.1 | | Profit/(Loss) for the Period (HKD Million) | Profit Approx. 2.7 | Loss Approx. 0.9 | | Proposed Dividend | Not Distributed | Nil | - The Group achieved a turnaround from loss to profit, primarily driven by a significant **30.3% year-on-year increase in revenue**[20](index=20&type=chunk)[22](index=22&type=chunk) [Management Discussion and Analysis](index=8&type=section&id=Management%20Discussion%20and%20Analysis) This section offers an in-depth analysis of the Group's operational performance, financial health, liquidity, and strategic outlook [Outlook](index=8&type=section&id=Outlook) The Group maintains an optimistic outlook, planning to expand its jewelry design, retail network, and social media marketing for sustained growth - The Hong Kong government's consumption vouchers, launched in April and August 2022, significantly contributed to local consumption and revenue growth during the period[26](index=26&type=chunk) - Future strategic priorities include expanding the jewelry design series, enlarging retail outlets, and extending marketing activities to social media[27](index=27&type=chunk) [Business and Financial Review](index=9&type=section&id=Business%20and%20Financial%20Review) Total revenue grew by **30.3% to HKD 71.9 million**, driven by pure gold and recycled gold products, with other income boosted by government subsidies Revenue Breakdown by Product Category (HKD Million) | Product Category | 2022 H1 | 2021 H1 | Year-on-year Growth | | :--- | :--- | :--- | :--- | | Gem-set Jewelry Products | 29.0 | 25.8 | +12.4% | | Pure Gold Products | 34.4 | 25.6 | +34.2% | | Recycled Gold Product Trading | 8.5 | 3.8 | +126.6% | | **Total** | **71.9** | **55.1** | **+30.3%** | Revenue Breakdown by Sales Channel (HKD Million) | Sales Channel | 2022 H1 | 2021 H1 | Year-on-year Growth/Decrease | | :--- | :--- | :--- | :--- | | Retail | 58.4 | 45.6 | +28.0% | | Wholesale | 4.9 | 5.7 | -14.3% | | Recycled Gold Product Trading | 8.5 | 3.8 | +126.6% | - Other income increased by **HKD 1.1 million** year-on-year, primarily due to approximately **HKD 1.1 million** in government subsidies from the "Employment Support Scheme" received during the period[44](index=44&type=chunk) [Liquidity, Financial Resources, and Capital Structure](index=11&type=section&id=Liquidity%2C%20Financial%20Resources%2C%20and%20Capital%20Structure) The Group maintains a sound financial position with a **35.0% gearing ratio** and **1.8x current ratio**, reflecting prudent treasury management Key Financial Position Indicators | Indicator | September 30, 2022 | March 31, 2022 | | :--- | :--- | :--- | | Total Assets (HKD Million) | 135.1 | 129.2 | | Total Liabilities (HKD Million) | 60.2 | 56.2 | | Total Interest-bearing Borrowings (HKD Million) | 26.2 | 28.3 | | Current Ratio (Times) | Approx. 1.8 | Approx. 2.0 | | Gearing Ratio (%) | Approx. 35.0% | Approx. 38.8% | - As of the end of the reporting period, the Group had no pledged assets, significant capital commitments, or contingent liabilities[69](index=69&type=chunk)[73](index=73&type=chunk)[74](index=74&type=chunk) - The capital structure has remained unchanged since its listing on March 27, 2019, with an issued share capital of **HKD 7.5 million** corresponding to **750 million ordinary shares**[63](index=63&type=chunk) [Significant Investments, Material Acquisitions and Disposals](index=14&type=section&id=Significant%20Investments%2C%20Material%20Acquisitions%20and%20Disposals) The Group acquired a **20% equity interest in Dia Myth Jewellery Limited** for **HKD 8.9 million** to control future rental costs - On September 6, 2022, the company agreed to acquire a **20% equity interest** in Dia Myth Jewellery (Dia Myth) for **HKD 8.9 million** in cash[83](index=83&type=chunk) - This transaction constitutes a discloseable connected transaction with the company's Chairman, Mr. Fu Chun Keung, as the counterparty; upon completion, the company will hold a **20% stake** in Dia Myth Jewellery[83](index=83&type=chunk)[84](index=84&type=chunk) - The Board believes this transaction helps control the Group's rental costs for properties leased from Dia Myth Jewellery and can partially offset rental expenses by sharing its profits[84](index=84&type=chunk) [Other Information](index=15&type=section&id=Other%20Information) This section details corporate governance, directors' interests, share schemes, and the audit committee's functions [Corporate Governance Practice](index=15&type=section&id=Corporate%20Governance%20Practice) The company generally adheres to corporate governance standards, with a noted deviation where the Chairman and CEO roles are combined - The company deviated from Code Provision C.2.1 of the Corporate Governance Code, where the roles of Chairman and Chief Executive Officer are combined and held by the same individual, Mr. Fu Chun Keung[89](index=89&type=chunk)[90](index=90&type=chunk) - The Board believes this arrangement is beneficial for the Group's management, given Mr. Fu's extensive experience in the jewelry industry and his critical role in the Group's development[90](index=90&type=chunk) [Directors' and Chief Executive's Interests](index=16&type=section&id=Directors%27%20and%20Chief%20Executive%27s%20Interests) This section details directors' and major shareholders' interests, with Mr. Fu Chun Keung and related parties holding **75% of issued shares** Directors' Long Positions in the Company's Shares | Name of Director | Capacity | Number of Shares Held | Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Mr. Fu Chun Keung | Interest in Controlled Corporation | 562,500,000 | 75% | | Ms. Fu Wan Ling | Interest in Controlled Corporation | 562,500,000 | 75% | | Ms. Cheung Lai Yuk | Interest in Controlled Corporation, Spouse's Interest | 562,500,000 | 75% | [Share Schemes](index=20&type=section&id=Share%20Schemes) The company has share award and share option schemes, with **10.3 million unawarded shares** held by the trustee, but no awards or options were granted - As of September 30, 2022, the trustee of the Share Award Scheme held **10,300,000 purchased but unawarded shares** of the company[111](index=111&type=chunk) - As of the end of the reporting period, neither the Share Award Scheme nor the Share Option Scheme had granted any awards or options[111](index=111&type=chunk)[113](index=113&type=chunk) [Audit Committee](index=21&type=section&id=Audit%20Committee) The Audit Committee, chaired by Mr. Chan Tsz Ming, reviewed the unaudited interim results, confirming compliance with accounting standards - The Audit Committee has reviewed the Group's unaudited consolidated interim results for the six months ended September 30, 2022[120](index=120&type=chunk) [Unaudited Interim Financial Information](index=23&type=section&id=Unaudited%20Interim%20Financial%20Information) This section presents the Group's condensed interim financial statements for the six months ended September 30, 2022, with detailed notes [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=23&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) The Group achieved a **profit of HKD 2.686 million**, a turnaround from loss, driven by **30.3% revenue growth** and increased gross profit Key Items from Statement of Profit or Loss (HKD Thousand) | Item | 2022 H1 | 2021 H1 | | :--- | :--- | :--- | | Revenue | 71,862 | 55,134 | | Gross Profit | 21,401 | 16,907 | | Profit/(Loss) Before Tax | 3,232 | (1,401) | | Profit/(Loss) for the Period | 2,686 | (936) | | Basic Earnings/(Loss) Per Share (HK Cents) | 0.36 | (0.12) | [Condensed Consolidated Statement of Financial Position](index=24&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) Total assets increased to **HKD 135.1 million**, with net assets reaching **HKD 74.862 million**, while net current assets decreased Key Items from Statement of Financial Position (HKD Thousand) | Item | September 30, 2022 | March 31, 2022 | | :--- | :--- | :--- | | Non-current Assets | 42,338 | 36,377 | | Current Assets | 92,807 | 92,791 | | **Total Assets** | **135,145** | **129,168** | | Current Liabilities | 52,616 | 46,592 | | Non-current Liabilities | 7,667 | 9,626 | | **Total Liabilities** | **60,283** | **56,218** | | **Net Assets** | **74,862** | **72,950** | [Condensed Consolidated Statement of Changes in Equity](index=26&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) Total equity increased to **HKD 74.862 million**, primarily due to the **HKD 2.686 million profit**, partially offset by other factors - Total equity increased by **HKD 1.912 million** from **HKD 72.95 million** as of March 31, 2022, to **HKD 74.862 million** as of September 30, 2022[138](index=138&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=27&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) Cash and cash equivalents decreased by **HKD 1.751 million**, with positive operating and investing cash flows offset by significant financing outflows Cash Flow Statement Summary (HKD Thousand) | Item | 2022 H1 | 2021 H1 | | :--- | :--- | :--- | | Net Cash from Operating Activities | 506 | 907 | | Net Cash from Investing Activities | 5,416 | 181 | | Net Cash Used in Financing Activities | (7,673) | (3,739) | | **Net Decrease in Cash and Cash Equivalents** | **(1,751)** | **(2,651)** | | Cash and Cash Equivalents at End of Period | 18,785 | 29,365 | [Notes to the Condensed Consolidated Financial Statements](index=29&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) The notes provide supplementary financial details, including revenue segmentation, **HKD 1.13 million** in government grants, and the **HKD 8.9 million** acquisition of Dia Myth Jewellery - Revenue by business segment shows jewelry retail contributing **HKD 58.41 million** as the primary source, with recycled gold product trading growing fastest at **126.6% year-on-year**[157](index=157&type=chunk)[158](index=158&type=chunk) - Other income includes **HKD 1.13 million** in government grants from the Hong Kong "Anti-epidemic Fund" under the "Employment Support Scheme"[160](index=160&type=chunk)[162](index=162&type=chunk) - During the period, the Group acquired a **20% equity interest** in Dia Myth Jewellery Limited from the ultimate controlling party, Mr. Fu, for a cash consideration of **HKD 8.9 million**, making it an associate of the Group[173](index=173&type=chunk)