Financial Performance - For the twelve months ended December 31, 2024, the group recorded unaudited revenue of approximately HKD 327.1 million, an increase of approximately HKD 76.6 million or 30.6% compared to HKD 250.6 million for the twelve months ended December 31, 2023[4]. - The unaudited net profit for the twelve months ended December 31, 2024, was approximately HKD 9.7 million, a significant recovery from a net loss of approximately HKD 35.9 million for the previous year[4]. - Basic and diluted earnings per share for the twelve months ended December 31, 2024, were approximately HKD 3.95, compared to a loss of HKD 19.91 per share for the twelve months ended December 31, 2023[4]. - The group reported a gross profit of HKD 136.968 million for the twelve months ended December 31, 2024, compared to HKD 127.098 million for the previous year, reflecting a positive trend in profitability[6]. - Operating profit for the twelve months ended December 31, 2024, was HKD 12.612 million, a recovery from an operating loss of HKD 32.993 million in the previous year[6]. - Total comprehensive income for the twelve months ended December 31, 2024, was HKD 9.654 million, compared to a loss of HKD 34.326 million for the previous year[6]. - The group recognized a gain of HKD 7.579 million from the sale of subsidiaries during the twelve months ended December 31, 2024[6]. - The company reported a pre-tax profit of HKD 9,654,000, with total expenses including depreciation and amortization amounting to HKD 110,315,000[21]. - The group reported a profit attributable to owners of approximately HKD 9.4 million in 2024, a significant recovery from a loss of about HKD 33.5 million in 2023[82]. Cost Management - The group’s sales and distribution costs decreased to HKD 45.560 million for the twelve months ended December 31, 2024, from HKD 50.874 million in the previous year, indicating improved cost management[6]. - Selling and distribution costs decreased by about 10.4% to approximately HKD 45.6 million in 2024 from about HKD 50.9 million in 2023, mainly due to strict control over employee and advertising costs[78]. - Management and other operating expenses decreased by approximately 4.8% to about HKD 88.6 million in 2024 from approximately HKD 93.1 million in 2023, attributed to a reduction in employee costs and outsourcing of warehouse functions[79]. - Employee costs decreased to HKD 19,412,000 for the six months ended December 31, 2024, down from HKD 39,928,000 in 2023, representing a reduction of 51.3%[33]. - The company’s total employee cost for the company in 2024 was approximately HKD 63.8 million, down from HKD 72.8 million in the previous year[106]. Assets and Liabilities - As of December 31, 2024, total assets amounted to HKD 7,520,201,000, with current assets at HKD 2,123,832,000[7]. - Current liabilities totaled HKD 1,639,589,000, while total liabilities reached HKD 5,240,707,000[7]. - The net asset value was reported at HKD 6,110,938,000, reflecting a significant equity position[7]. - The company holds cash and cash equivalents of HKD 1,592,295,000, indicating strong liquidity[7]. - The total equity attributable to owners of the company was HKD 5,948,423,000, showcasing robust shareholder value[7]. - The company has a non-current liability of HKD 1,211,616,000, which includes lease liabilities[7]. - The financial report indicates a strong capital structure with a total equity ratio of approximately 81.2%[7]. - Trade receivables decreased to HKD 22,400,000 as of December 31, 2024, from HKD 38,053,000 as of December 31, 2023, representing a decline of 41.1%[48]. - Cash and cash equivalents decreased to HKD 9,295,000 as of December 31, 2024, from HKD 23,303,000 as of December 31, 2023, a reduction of 60.1%[50]. - Trade payables decreased to HKD 2,846,000 as of December 31, 2024, from HKD 8,365,000 as of December 31, 2023, a decline of 66.0%[52]. Revenue Sources - The total revenue for the year ended December 31, 2024, was HKD 327,131,000, with furniture and home decor sales contributing HKD 128,611,000[21]. - The furniture and home decor rental segment generated revenue of HKD 24,231,000, contributing to the overall performance[21]. - Revenue from external customers in Hong Kong for the six months ended December 31, 2024, was HKD 118,730, a significant increase from HKD 56,892 in the same period of 2023[29]. - The project engineering segment contributed significantly to revenue growth, with an 84% increase in revenue due to the completion of several large projects in 2024[73]. - The company's furniture sales revenue decreased by about 1.6% to approximately HKD 128.8 million in 2024 from HKD 130.9 million in 2023[73]. Shareholder Information - The company did not recommend the distribution of an interim dividend for the twelve months ended December 31, 2024[4]. - The company did not purchase, sell, or redeem any of its securities during the twelve months ending December 31, 2024[119]. - The total number of issued shares as of December 31, 2024, is 273,696,000[120]. - The company issued a total of 42,700,000 new shares on August 28, 2024, raising approximately HKD 4.27 million[55]. - The company completed a placement of 42,700,000 shares at a price of HKD 0.165 per share, raising approximately HKD 7.05 million, with a net amount of about HKD 6.88 million after expenses[59]. Governance and Compliance - The company has established an audit committee consisting of three independent non-executive directors[123]. - The financial information in the report has not been audited by the company's auditors but has been reviewed by the audit committee[124]. - The company has adopted a code of conduct for securities trading, ensuring compliance with GEM listing rules[121]. - The company has adopted the principles and code provisions of the GEM Listing Rules Appendix C1 Corporate Governance Code[127]. - The board now consists of four executive directors and three independent non-executive directors, ensuring appropriate checks and balances[127]. Strategic Initiatives - The company plans to continue expanding its market presence and developing new products in the furniture and home decor sector[12]. - The company plans to continue focusing on customer needs in various regions and markets while developing products and services to meet those needs[72]. - The company agreed to acquire an additional 40% stake in Hong Kong Tai Chan Ecological Agriculture Development Co., Ltd. for a total consideration of HKD 4.5 million[102].

Financial Performance - For the twelve months ended December 31, 2024, the group recorded unaudited revenue of approximately HKD 327.1 million, an increase of approximately HKD 76.6 million or 30.6% compared to the revenue of approximately HKD 250.6 million for the twelve months ended December 31, 2023[9]. - The unaudited net profit for the twelve months ended December 31, 2024, was approximately HKD 9.7 million, a significant improvement from a net loss of approximately HKD 35.9 million for the twelve months ended December 31, 2023[9]. - Basic and diluted earnings per share for the twelve months ended December 31, 2024, were approximately HKD 0.0395, compared to a basic and diluted loss per share of HKD 0.1991 for the twelve months ended December 31, 2023[9]. - Revenue for the six months ended December 31, 2024, reached HKD 167.79 million, a 46.3% increase from HKD 114.63 million in the same period of 2023[11]. - Gross profit for the twelve months ended December 31, 2024, was HKD 136.97 million, up 7.4% from HKD 127.10 million in 2023[11]. - Operating profit for the six months ended December 31, 2024, was HKD 10.31 million, compared to an operating loss of HKD 32.90 million in the same period of 2023[11]. - The company reported a profit before tax of HKD 8.57 million for the six months ended December 31, 2024, compared to a loss before tax of HKD 34.39 million in the same period of 2023[11]. - Basic and diluted earnings per share for the six months ended December 31, 2024, were HKD 3.22, a significant improvement from a loss of HKD 18.25 per share in the same period of 2023[11]. - Total comprehensive income for the six months ended December 31, 2024, was HKD 8.57 million, compared to a loss of HKD 34.06 million in the same period of 2023[11]. - The company recorded a net profit of HKD 9.65 million for the twelve months ended December 31, 2024, compared to a net loss of HKD 35.91 million in 2023[11]. Revenue Breakdown - For the twelve months ended December 31, 2024, total revenue reached HKD 327,131,000, with furniture and home decor sales contributing HKD 128,611,000, rental services contributing HKD 24,231,000, and project and hotel services contributing HKD 174,289,000[26]. - Revenue from the furniture sales business decreased by approximately 1.6% to HKD 128.8 million in 2024, down from HKD 130.9 million in 2023, mainly due to a decline in retail sales in Hong Kong[78]. - Retail sales revenue in Hong Kong for 2024 saw a substantial decrease of approximately 25.6% compared to 2023, attributed to the impact of the post-COVID-19 era and local residents traveling abroad[78]. - Retail sales in Dubai also decreased by approximately 17.2% in 2024 compared to 2023, primarily due to intense market competition[79]. - Total revenue for the six months ended December 31, 2024, was HKD 167,790,000, with furniture and home decor sales contributing HKD 67,842,000[28]. Expenses and Costs - The cost of sales for the six months ended December 31, 2024, was HKD 102.66 million, which is an increase from HKD 56.34 million in the same period of 2023[11]. - Management and other operating expenses decreased to HKD 41.38 million for the six months ended December 31, 2024, down from HKD 49.86 million in the same period of 2023[11]. - Employee costs decreased to HKD 19,412,000 for the six months ended December 31, 2024, down from HKD 39,928,000 in 2023, representing a reduction of 51.3%[38]. - The cost of inventory recognized as an expense increased to HKD 80,064,000 for the six months ended December 31, 2024, compared to HKD 57,708,000 in 2023, marking an increase of 38.7%[38]. - Selling and distribution costs decreased by about 10.4% to approximately HKD 45.6 million in 2024 from about HKD 50.9 million in 2023, mainly due to strict control over employee and advertising costs[83]. - Management and other operating expenses decreased by about 4.8% to approximately HKD 88.6 million in 2024 from about HKD 93.1 million in 2023, attributed to a reduction in employee costs and outsourcing of warehouse functions[84]. Assets and Liabilities - As of December 31, 2024, total non-current assets amounted to HKD 1,225,525,770[12]. - The company reported current assets of HKD 2,123,832,328, with cash and cash equivalents at HKD 1,059,683,150[12]. - Total liabilities were recorded at HKD 5,240,707,003, with current liabilities at HKD 1,639,589,927[12]. - The net asset value of the company stood at HKD 6,110,938,641, reflecting a strong financial position[12]. - The company's equity attributable to owners was HKD 5,948,823,737, indicating robust shareholder value[12]. - The total equity of the company reached HKD 6,110,938,641, showcasing overall financial health[12]. - The company has made significant investments in joint ventures amounting to HKD 1,555,713,530[12]. - The company reported a total of HKD 2,923,000,000 in financial assets, highlighting its investment strategy[12]. - The company has a total of HKD 1,421,000,000 in intangible assets, reflecting ongoing investments in technology and innovation[12]. - The company's total liabilities include HKD 1,121,116,000 in lease liabilities, indicating a commitment to long-term operational stability[12]. Shareholder Information - The board of directors does not recommend the distribution of an interim dividend for the twelve months ended December 31, 2024[9]. - The company did not purchase, sell, or redeem any of its securities during the twelve months ending December 31, 2024[124]. - The total number of issued shares as of December 31, 2024, is 273,696,000[125]. - Century Great Investments Limited holds 47,617,000 shares, representing 17.40% of the total issued shares[118]. - Huang Gui Shan holds 38,430,000 shares, accounting for 14.04% of the total issued shares[118]. - No interim dividend is recommended for the twelve months ending December 31, 2024, consistent with the previous year[122]. Corporate Governance - The company has established an audit committee consisting of three independent non-executive directors[128]. - The board now consists of four executive directors and three independent non-executive directors, ensuring appropriate checks and balances[132]. - The position of CEO is currently vacant, with the functions being performed by all executive directors[132]. - The board believes that having the same individual serve as both Chairman and CEO enhances business strategy execution and operational efficiency[132]. - The company has not appointed any individual as CEO following McLennan's departure[132]. - The board will continue to provide sufficient constraints and oversight to protect the interests of the company and its shareholders[132]. - The company has adopted the principles and code provisions of the GEM Listing Rules Appendix C1 Corporate Governance Code[132]. Market Strategy and Future Plans - The company plans to continue focusing on market expansion and new product development to drive future growth[11]. - The company focused on project engineering and furniture sales in Hong Kong, while facing challenges in the second-hand property market and retail sales due to economic uncertainties[73]. - The company plans to continue focusing on customer needs in various regions and markets, developing products and services to meet those needs[77].

Financial Performance - For the six months ended June 30, 2024, the group recorded unaudited revenue of approximately HKD 159.3 million, an increase of about HKD 23.4 million or 17.2% compared to HKD 135.9 million for the same period in 2023[13]. - The unaudited net profit for the six months ended June 30, 2024, was approximately HKD 1.1 million, a turnaround from a loss of approximately HKD 1.5 million for the same period in 2023[13]. - Basic and diluted earnings per share for the six months ended June 30, 2024, were approximately HKD 0.50, compared to a loss of less than HKD 0.01 per share for the same period in 2023[14]. - The group reported a gross profit of approximately HKD 71.8 million for the six months ended June 30, 2024, compared to HKD 68.8 million for the same period in 2023[15]. - Operating profit for the six months ended June 30, 2024, was approximately HKD 2.3 million, compared to an operating loss for the same period in 2023[15]. - Total comprehensive income for the six months ended June 30, 2024, was approximately HKD 1.1 million, compared to a loss of HKD 1.4 million for the same period in 2023[15]. - The company reported a pre-tax profit of HKD 1,082,000 for the six months ended June 30, 2024, compared to a pre-tax loss of HKD 1,454,000 for the same period in 2023[37]. - The company reported a profit attributable to owners of approximately HKD 1.1 million for the first half of 2024, compared to a loss of approximately HKD 70,000 in the same period of 2023[73]. Revenue Breakdown - Revenue from furniture and home decor sales was HKD 60,769,000, while revenue from furniture and home decor rentals was HKD 86,506,000 for the six months ended June 30, 2024[24]. - The company generated HKD 130,102,000 in revenue from Hong Kong, up from HKD 92,790,000 in 2023, indicating a growth of approximately 40.1%[32]. - Revenue from the United Arab Emirates decreased to HKD 29,239,000 in 2024 from HKD 41,889,000 in 2023, a decline of approximately 30.3%[32]. - Retail sales revenue in Hong Kong for the first half of 2024 decreased significantly by approximately 62% compared to the same period in 2023, attributed to outbound travel by local residents and a sluggish second-hand property market[67]. - The company experienced a significant decrease in retail revenue in Dubai, down approximately 46% compared to the same period in 2023, due to market competition and global economic downturn[67]. Costs and Expenses - The group experienced an increase in sales and distribution costs, amounting to approximately HKD 30.6 million for the six months ended June 30, 2024, compared to HKD 24.2 million for the same period in 2023[15]. - Employee costs rose to HKD 44,374,000 in 2024, compared to HKD 32,901,000 in 2023, marking an increase of about 35%[37]. - Management and other operating expenses increased by approximately 9.3% to HKD 47.3 million in the first half of 2024, influenced by legal and professional fees related to acquisitions and share placements[71]. Cash Flow and Assets - The company reported a net cash outflow from operating activities of HKD 20,739,000 for the six months ended June 30, 2024, compared to HKD 8,757,000 for the same period in 2023[18]. - Cash and cash equivalents decreased by HKD 17,211,000, ending at HKD 6,092,000 as of June 30, 2024[18]. - As of June 30, 2024, the total assets amounted to HKD 126,567,515, while total liabilities were HKD 96,169,12, resulting in a net asset value of HKD 43,550,000[16]. - The company’s trade and other receivables amounted to HKD 88,978,000 as of June 30, 2024, compared to HKD 89,428,000 as of December 31, 2023[51]. - The company’s cash flow from the sale of subsidiaries was HKD 10,000, with a cash outflow of HKD 33 from sold bank balances[41]. Shareholder Information - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2024, consistent with the previous year[14]. - John Warren McLennan held 41,450,000 shares, representing 18.17% of the company, before his resignation on June 28, 2024[86]. - Century Great Investments Limited, wholly owned by Ms. Huang Yongwen, held 40,817,000 shares, accounting for 17.89% of the company[92]. - The total number of issued shares as of June 30, 2024, was 228,096,000[86]. - The largest shareholder group, including John Warren McLennan and others, collectively owned 40.48% of Double Lions Limited[93]. Strategic Focus and Future Plans - Management noted a focus on improving operational efficiency and exploring new market opportunities to sustain growth in the upcoming periods[11]. - The company plans to focus on customer needs in various regions and market segments while developing products and services to meet those needs in the remaining months of 2024[65]. - The company has strategically shifted its focus in Hong Kong and the UAE towards project engineering and furniture rental businesses due to adverse retail sales conditions[65]. - The company plans to expand its retail network in mainland China and the UAE, with a budget of HKD 28.38 million allocated for this purpose[77]. - The company aims to enhance its online store and IT capabilities with an investment of HKD 3.89 million, expected to be completed by December 31, 2024[77]. Governance and Compliance - The audit committee consists of three independent non-executive directors, ensuring proper oversight of financial reporting[99]. - The board of directors is composed of four executive directors and three independent non-executive directors, maintaining a balance of power and oversight[100]. - The company has adopted a code of conduct for directors regarding securities trading, confirming compliance with the GEM Listing Rules during the six-month period ending June 30, 2024[97]. - The company has not granted any rights to directors or their family members to acquire shares or debentures during the six-month period ending June 30, 2024[95]. - The company has no significant contingent liabilities as of June 30, 2024, and December 31, 2023[60].

Financial Performance - For the six months ended June 30, 2024, the company recorded unaudited revenue of approximately HKD 159.3 million, an increase of about HKD 23.4 million or 17.2% compared to HKD 135.9 million for the same period in 2023[13] - The unaudited net profit for the six months ended June 30, 2024, was approximately HKD 1.1 million, compared to a loss of approximately HKD 1.5 million for the same period in 2023[13] - Basic and diluted earnings per share for the six months ended June 30, 2024, were approximately HKD 0.50, while the loss per share for the same period in 2023 was less than HKD 0.01[14] - The gross profit for the six months ended June 30, 2024, was approximately HKD 71.8 million, compared to HKD 68.8 million for the same period in 2023[15] - Operating profit for the six months ended June 30, 2024, was HKD 2.3 million, compared to an operating loss for the same period in 2023[15] - The company reported a pre-tax profit of HKD 1.1 million for the six months ended June 30, 2024, compared to a pre-tax loss of HKD 1.5 million for the same period in 2023[15] - The company reported a profit attributable to owners of approximately HKD 1.1 million for the first half of 2024, compared to a loss of HKD 70,000 in the same period of 2023[73] Dividend and Shareholder Information - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2024[14] - No interim dividend was recommended for the six months ended June 30, 2024, consistent with the previous year[47] - The total number of issued shares as of June 30, 2024, was 228,096,000[86] - John Warren McLennan held 41,450,000 shares, representing 18.17% of the company, before his resignation on June 28, 2024[86] - Century Great Investments Limited, wholly owned by Ms. Huang Yongwen, held 40,817,000 shares, accounting for 17.89% of the company[92] - The largest shareholder group, including John Warren McLennan and others, collectively held 40.48% of Double Lions Limited[93] Cash Flow and Assets - The company reported a net cash outflow from operating activities of HKD 20,739,000 for the six months ended June 30, 2024, compared to HKD 8,757,000 for the same period in 2023[18] - The financing activities generated a net cash inflow of HKD 3,518,000 in the first half of 2024, down from HKD 7,306,000 in the previous year[18] - The cash and cash equivalents decreased to HKD 6,092,000 as of June 30, 2024, from HKD 10,718,000 in the same period of the previous year[18] - As of June 30, 2024, the total assets amounted to HKD 126,567,515, while total liabilities were HKD 96,169,12, resulting in a net asset value of HKD 43,550,000[16] - The company’s total non-current assets as of June 30, 2024, were HKD 24,320,000, a slight decrease from HKD 25,806,000 as of December 31, 2023[33] - The company’s total liabilities included trade and other payables of HKD 16,222,000 as of June 30, 2024[16] Expenses and Costs - The company’s employee costs rose to HKD 44,374,000 in 2024, up from HKD 32,901,000 in 2023, indicating an increase of approximately 35%[37] - Sales and distribution costs increased by approximately 26.2% to HKD 30.6 million in the first half of 2024, primarily due to increased employee costs related to sales[70] - Management and other operating expenses rose by approximately 9.3% to HKD 47.3 million in the first half of 2024, influenced by legal and professional fees related to acquisitions[71] - The company reported a significant increase in management compensation to HKD 7,243,000 for the six months ended June 30, 2024, compared to HKD 2,106,000 for the same period in 2023[61] Investments and Financing Activities - The company raised HKD 13,728,000 from the placement of new shares during the reporting period[17] - The company completed a placement of 22,500,000 shares on February 2, 2024, raising approximately HKD 4.73 million, with a net amount of about HKD 4.60 million after expenses[59] - A second placement of 15,516,000 shares was completed on March 20, 2024, raising approximately HKD 3.26 million, with a net amount of about HKD 3.18 million after expenses[59] - The net proceeds from the first placement in February 2024 amounted to approximately HKD 4.60 million, intended for general working capital[78] - The net proceeds from the second placement in March 2024 were approximately HKD 3.18 million, allocated for potential mergers and acquisitions and general working capital[79] Operational Highlights - Revenue from furniture and home decor sales was HKD 60,769,000, while revenue from furniture and home decor rentals was HKD 86,506,000 for the six months ended June 30, 2024[24] - Retail sales revenue in Hong Kong for the first half of 2024 decreased significantly by approximately 62% compared to the same period in 2023, primarily due to local residents traveling abroad and a weak second-hand property market[67] - The company's project engineering revenue increased significantly, contributing to the overall revenue growth, while furniture sales revenue decreased by approximately 1.5% to HKD 60.8 million[67] - The overall gross profit margin decreased from 50.6% in the first half of 2023 to 45.1% in the first half of 2024, attributed to a higher proportion of project engineering revenue[68] Compliance and Governance - The audit committee, consisting of three independent non-executive directors, has reviewed the financial information in the report, although it has not been audited by the company's auditors[99] - The board of directors includes four executive directors and three independent non-executive directors, ensuring appropriate checks and balances[100] - The company has adopted a code of conduct for directors regarding securities trading, confirming compliance with the GEM Listing Rules during the six-month period ending June 30, 2024[97] - The company has not provided any loans to any entities or associated companies as of June 30, 2024, and there are no circumstances that would require disclosure under GEM Listing Rules[100]

PACIFIC LEGEND GROUP LIMITED 澄清公告 綜合損益及其他全面收益表（摘要） | --- | --- | --- | --- | --- | |--------------------------------------------------------------------------------------------------------------|---------------------------------------|-----------------------------|----------|-------| | | 二 零 二三 年 \n經 審 核 \n年度 業 績 | 的 未 經 審 核 \n年度 業 績 | 差 異 | 附 註 | | | 千 港 元 | 千 港 元 | 千 港 元 | | | | | | | | | 其 他 收 入 、 收 益 及 虧 損 淨 額 | | 2,707 1,986 721 | | 1 | | 管 理 及 其 他 經 營 開 支 | | (93,090) (96,089) 2,999 | | 2 | | 計 提 預 期 ...

Financial Performance - Total revenue for the year 2023 was HKD 1,986,000, a decrease of 36.3% compared to HKD 2,707,000 in the previous year[14]. - For the fiscal year ending December 31, 2023, the company's revenue was approximately HKD 250.6 million, an increase of about HKD 46.6 million or 22.8% compared to approximately HKD 204.0 million for the fiscal year ending December 31, 2022[30]. - The company's loss attributable to owners for the fiscal year was approximately HKD 33.4 million, compared to a loss of approximately HKD 46.4 million in the previous year[41]. - The gross profit for the fiscal year increased to approximately HKD 127.1 million, representing a growth of about 19.5% from approximately HKD 106.4 million in the previous year[41]. - Revenue from furniture sales decreased by approximately HKD 17.3 million or 11.7% to about HKD 130.9 million, primarily due to declines in retail and franchise sales in Hong Kong and Dubai[48]. - Furniture rental revenue increased by approximately HKD 4.7 million or 22.8% to about HKD 25.3 million, mainly from new leasing contracts with several embassies in the UAE[51]. - Project engineering revenue surged over twofold to approximately HKD 94.4 million from about HKD 35.2 million, driven by the completion of multiple projects in Hong Kong[52]. - The group's gross profit rose by approximately HKD 20.7 million or 19.5% to about HKD 127.1 million, with an overall gross margin of approximately 50.7%, down from about 52.2% the previous year[53]. - The group recorded a loss of approximately HKD 35.9 million for the year, down from HKD 47.9 million in the previous year[61]. Audit and Compliance - The audited annual performance for the year ending December 31, 2023, has been reviewed by the board of directors and the audit committee[3]. - The audit procedures have addressed unresolved matters related to debtors, creditors, and bank confirmations, ensuring the accuracy of financial data[5]. - The company has engaged independent valuers to assess its assets, ensuring compliance with relevant accounting standards[11]. - The financial report indicates adjustments related to the fair value of financial assets and liabilities, impacting overall financial performance[17]. - The board does not recommend the distribution of a final dividend for the fiscal year ending December 31, 2023[30]. - The company appointed a new auditor, Zhongzhixin (Hong Kong) CPA Limited, following the resignation of its previous auditor[103]. - The Audit Committee reviewed the consolidated financial statements for the year ending December 31, 2023, and confirmed compliance with applicable accounting standards and GEM listing rules[200]. Strategic Focus and Future Plans - The company is focusing on strategic adjustments in management expenses and revenue recognition to enhance financial stability[17]. - Future strategies include a customer-centric approach, investment in innovative solutions, and expansion into new markets while enhancing online capabilities[36]. - The company aims to leverage technology such as AI, virtual reality, and augmented reality to enhance the shopping experience[36]. - The company strategically shifted its focus in Hong Kong and the UAE from retail to project engineering and furniture leasing due to market challenges[40]. - The group plans to manage cash flow prudently and may consider not renewing existing retail leases while exploring new locations[43]. - The group anticipates increased demand for residential properties in Hong Kong following the government's announcement to lift demand management measures starting February 28, 2024[43]. Operational Adjustments - Management and other operating expenses increased to HKD 96,089,000 from HKD 93,090,000, reflecting a rise of 3.2%[14]. - The provision for expected credit losses decreased significantly to HKD 3,453,000 from HKD 9,652,000, a reduction of 64.2%[14]. - The impairment loss for the year was HKD 9.2 million, a decrease from HKD 21.3 million in the previous year[58]. - Trade receivables increased to HKD 38.1 million from HKD 16.4 million year-on-year, attributed to new trade receivables from confirmed sales in Dubai projects[62]. - The company's cash and cash equivalents increased to approximately HKD 23.3 million from HKD 17.8 million year-on-year[65]. - The debt-to-equity ratio increased to approximately 30.1% from 19.2% due to increased bank loans for UAE projects[66]. Shareholder and Capital Management - The company completed three share placements in 2023, raising net proceeds of HKD 13.4 million, HKD 17.6 million, and HKD 1.7 million respectively[41]. - The company raised approximately HKD 13.39 million from the placement of 264,000,000 new shares at a net price of HKD 0.051 per share in January 2023[77]. - In June 2023, the company raised approximately HKD 17.59 million from the placement of 230,700,000 new shares at a net price of HKD 0.076 per share[78]. - The August 2023 placement raised approximately HKD 1.67 million from the placement of 8,610,000 new shares at a net price of HKD 0.194 per share[79]. - The company has not utilized approximately HKD 23.6 million of the net proceeds from its listing as of December 31, 2023[74]. Governance and Compliance - The company has established a governance framework to assess and manage risks effectively[183]. - The board consists of experienced members, with an average service time of 4 years among executive directors and senior management[182]. - The company has complied with all corporate governance code provisions during the reporting period[176]. - The independent non-executive directors must constitute at least one-third of the board, with at least one possessing relevant professional qualifications[193]. - The company has received annual confirmations from all directors stating that they have not engaged in any competitive activities with the group, ensuring no conflicts of interest exist[147]. - The company has established a framework to protect its interests in the UAE, ensuring compliance with local regulations while maintaining operational control[153]. Environmental and Social Responsibility - The company is committed to sustainability and has implemented measures to reduce its environmental footprint, including responsible sourcing and energy-saving practices[35]. - The environmental policy and compliance with relevant laws and regulations are discussed, highlighting the company's commitment to stakeholders[119]. - The company emphasizes the importance of diversity in its workforce, attracting and retaining talent from a broad talent pool[197]. - The company has achieved a gender diversity ratio of approximately 45% female and 55% male employees as of December 31, 2023[196].

Financial Performance - For the year ended December 31, 2023, the group's revenue was approximately HKD 250.6 million, an increase of about HKD 46.6 million or 22.8% compared to the revenue of approximately HKD 204.0 million for the year ended December 31, 2022[9]. - The group's loss (after tax) for the year ended December 31, 2023, was approximately HKD 33.4 million, which included a non-current asset impairment loss of HKD 9.2 million, compared to a loss of approximately HKD 47.9 million for the year ended December 31, 2022, which included a non-current asset impairment loss of approximately HKD 21.3 million[9]. - The gross profit rose from approximately HKD 106.4 million to about HKD 127.1 million, representing a growth of approximately 19.5%[20]. - Revenue from furniture sales decreased by approximately 11.7% to about HKD 130.9 million, primarily due to declines in retail and franchise sales in Hong Kong and Dubai[27]. - Furniture rental revenue increased by approximately 22.8% to about HKD 25.3 million, driven by new leasing contracts with several embassies in the UAE[30]. - Project engineering revenue surged over twofold to approximately HKD 94.4 million, significantly boosted by multiple completed projects in Hong Kong[31]. - The overall gross margin decreased from approximately 52.2% to about 50.7%, mainly due to the increased proportion of project engineering revenue, which has a lower profit margin[32]. - Other income, gains, and losses decreased by approximately 72.4% from about HKD 9.8 million to approximately HKD 2.7 million due to increased fair value losses on financial assets and reductions in various subsidies and rent concessions[34]. - Sales and distribution costs increased by approximately 7.4% from about HKD 47.4 million to approximately HKD 50.9 million, primarily due to increased commission expenses related to project engineering business volume[35]. - Management and other operating expenses rose by approximately 6.9% from about HKD 87.1 million to approximately HKD 93.1 million, mainly due to increased director remuneration[36]. - The company recorded a loss of approximately HKD 35.9 million for the year, an improvement from a loss of about HKD 47.9 million in the previous year[40]. Sustainability and Innovation - The company has committed to sustainability measures, integrating responsible sourcing and energy-saving practices throughout its operations[14]. - The company will further enhance its environmental practices and explore renewable energy alternatives as part of its sustainability commitment[15]. - The company aims to invest in innovative solutions utilizing technology, including artificial intelligence and virtual reality, to enhance the shopping experience[15]. Market Strategy and Expansion - The company intends to expand into new markets and selectively grow its physical presence while strengthening its online capabilities[15]. - The company plans to shift its focus in Hong Kong and the UAE towards project engineering and furniture rental businesses due to challenging retail conditions[20]. - The company aims to explore organic growth opportunities and potential acquisitions to further expand its business in the UAE and Hong Kong[22]. - The Hong Kong government announced the cancellation of demand management measures for residential properties starting February 28, 2024, which is expected to increase demand for home decoration and renovation services[22]. Capital and Financing - The company completed three share placements in 2023, raising net proceeds of HKD 13.4 million, HKD 17.6 million, and HKD 1.7 million respectively[20]. - The company raised approximately HKD 13.39 million from the January 2023 placement, with a net price of HKD 0.051 per share[56]. - The June 2023 placement raised approximately HKD 17.59 million, with a net price of HKD 0.076 per share[57]. - The August 2023 placement raised approximately HKD 1.67 million, with a net price of HKD 0.194 per share[58]. - The company has revised the allocation of the unused proceeds, with specific amounts designated for retail network expansion in mainland China and the UAE totaling HKD 28.38 million[55]. - The company plans to enhance its online store and IT capabilities with an allocation of HKD 3.89 million[55]. - The company has no significant capital commitments or contingent liabilities as of December 31, 2023[50][52]. Governance and Compliance - The company appointed Zhongzhixin (Hong Kong) CPA Limited as the new auditor effective March 18, 2024, following the resignation of Dahua Ma Shiyun CPA Limited[82]. - The company has established a governance framework to assess and manage risks effectively[162]. - The board has confirmed compliance with the GEM listing rules regarding the independence of non-executive directors[159]. - The company is committed to high standards of corporate governance and compliance with regulatory requirements[195]. - The company has not established an internal audit function this year, relying instead on an external risk consulting firm to review internal control systems[193]. Employee and Management - As of December 31, 2023, the total employee cost was approximately HKD 72.8 million, an increase from HKD 62.2 million in the previous year[65]. - The group has a total of 156 employees as of December 31, 2023, a slight decrease from 159 employees in the previous year[65]. - Approximately 45% of the company's employees, including senior management, are women, reflecting the company's commitment to gender diversity[175]. - The board consists of 5 executive directors, 1 non-executive director, and 5 independent non-executive directors, ensuring a balanced governance structure[177]. Shareholder Information - The company has at least 25% of its issued shares held by the public, meeting the GEM listing rules requirement[148]. - The largest customer accounts for 20% of total sales, while the top five customers together account for 43% of total sales[146]. - The largest supplier accounts for 16% of total cost of sales, and the top five suppliers together account for 44% of total cost of sales[146]. - Shareholders holding at least 10% of the paid-up capital have the right to request a special general meeting[200].

Financial Performance - The audited annual performance for the year ending December 31, 2023, has been reviewed by the board of directors and the audit committee[3]. - Total revenue for the year 2023 was HKD 1,986,000, a decrease of 36% compared to the previous year[14]. - Management and other operating expenses amounted to HKD 96,089,000, an increase of 3% from HKD 93,090,000 in the previous year[14]. - The expected credit loss provision was HKD 3,453,000, significantly reduced from HKD 9,652,000 in the previous year, indicating improved credit quality[14]. - The group reported a loss (after tax) for the year of approximately HKD 33.4 million, down from a loss of approximately HKD 47.9 million in the previous year[30]. - The group's gross profit increased from approximately HKD 106.4 million to approximately HKD 127.1 million, representing a growth of about 19.5%[41]. - The group recorded a loss of approximately HKD 35.9 million for the year, down from HKD 47.9 million in the previous year[61]. - The impairment loss for the year was HKD 9.2 million, a decrease from HKD 21.3 million in the previous year[58]. - The company reported a reserve available for distribution to shareholders of HKD 10,992,000 as of December 31, 2023, down from HKD 15,039,000 in 2022[123]. Revenue Breakdown - For the year ended December 31, 2023, the group's revenue was approximately HKD 250.6 million, an increase of about HKD 46.6 million or 22.8% compared to approximately HKD 204.0 million for the year ended December 31, 2022[30]. - Revenue from furniture sales decreased by approximately HKD 17.3 million or 11.7% to about HKD 130.9 million, primarily due to declines in retail and franchise sales in Hong Kong and Dubai[48]. - Furniture rental revenue increased by approximately HKD 4.7 million or 22.8% to about HKD 25.3 million, mainly driven by new leasing contracts with several embassies in the UAE[51]. - Project engineering revenue surged over twofold to approximately HKD 94.4 million from about HKD 35.2 million, attributed to the completion of multiple projects in Hong Kong[52]. Audit and Compliance - There are unresolved matters related to audit confirmations from debtors, creditors, and banks, which may affect the financial performance[5]. - The audit procedures include verification of significant balances with original contracts or invoices to ensure no material discrepancies[7]. - The company has engaged independent valuers to assess its assets, ensuring compliance with relevant accounting standards[11]. - The financial report indicates adjustments related to the fair value of financial assets and liabilities, impacting overall financial performance[17]. - The Audit Committee reviewed the consolidated financial statements for the year ended December 31, 2023, and confirmed compliance with applicable accounting standards and GEM listing rules[200]. Strategic Focus and Future Outlook - The company is focusing on improving its operational efficiency and reducing management expenses in the upcoming fiscal year[17]. - Future outlook includes potential market expansion and the introduction of new products and technologies to enhance revenue streams[17]. - The company strategically shifted its focus in Hong Kong and the UAE towards project engineering and furniture leasing businesses due to challenges in the retail sector[40]. - Future strategic priorities include a customer-centric approach, innovation and digitalization, market expansion, and enhancing sustainable practices[36]. Shareholder and Capital Management - The company plans to resume trading of its shares on June 3, 2024, after a temporary suspension[18]. - The board does not recommend the distribution of a final dividend for the year ended December 31, 2023[30]. - The company raised net proceeds of HKD 13.4 million, HKD 17.6 million, and HKD 1.7 million from three share placements completed on February 6, July 27, and September 13, 2023, respectively[41]. - The company has not purchased, sold, or redeemed any of its securities during the year[164]. Governance and Management - The board consists of experienced members, with an average service time of 4 years among executive directors and senior management[182]. - The company has established a governance framework to assess and manage risks effectively[183]. - The board is responsible for setting the strategic direction and overseeing management performance[181]. - The company has complied with all corporate governance code provisions during the reporting period[176]. - The company has implemented a board diversity policy, achieving measurable goals related to diversity in skills, experience, and gender representation[191]. Environmental and Social Responsibility - The company is committed to sustainability and has implemented measures to reduce its environmental footprint, including responsible sourcing and energy-saving practices[35]. - The environmental policy and compliance with laws and regulations are discussed in the ESG report, highlighting the company's commitment to sustainability[119]. - No charitable donations were made by the group during the year, consistent with the previous year[170].

Financial Performance - For the year ended December 31, 2023, the group's revenue was approximately HKD 250.6 million, an increase of approximately HKD 46.6 million or 22.8% compared to HKD 204.0 million for the year ended December 31, 2022[9]. - The loss for the year (after tax) was approximately HKD 33.4 million, including an impairment loss of non-current assets of HKD 9.2 million, compared to a loss of approximately HKD 47.9 million for the year ended December 31, 2022, which included an impairment loss of approximately HKD 21.3 million[9]. - The gross profit for the year was approximately HKD 127.1 million, compared to HKD 106.4 million for the previous year, reflecting an increase in gross profit margin[10]. - The total comprehensive loss for the year was approximately HKD 32.8 million, a decrease from HKD 48.7 million in the previous year[11]. - Basic and diluted loss per share for the year was HKD 19.83, compared to HKD 35.13 for the previous year[11]. - The company reported a net loss before tax of approximately HKD 33.4 million, a reduction from HKD 47.9 million in the previous year[10]. - The company reported a net loss of HKD 33,433,000 for 2023, compared to a net loss of HKD 47,888,000 in 2022, reflecting an improvement of about 30.2%[39]. - The impairment loss on non-financial assets (excluding goodwill) was HKD 9,182,000 for 2023, compared to HKD 21,268,000 in 2022, indicating a reduction of approximately 56.8%[39]. - The company recorded a loss attributable to shareholders of approximately HKD 33.4 million, an improvement from a loss of approximately HKD 46.4 million in the previous year[65]. Revenue Breakdown - Revenue from customer contracts at a point in time was HKD 130,888,000 for 2023, down from HKD 148,232,000 in 2022, indicating a decrease of about 11.7%[39]. - Revenue from hotel services for the year was HKD 94,420,000, compared to HKD 35,183,000 in the previous year, showing a significant increase of approximately 168.5%[38]. - Revenue from external customers in Hong Kong was HKD 149,682,000 in 2023, up from HKD 124,852,000 in 2022, representing an increase of about 19.9%[40]. - Revenue from furniture sales decreased by approximately HKD 17.3 million or 11.7% to about HKD 130.9 million, primarily due to declines in retail sales in Hong Kong and Dubai[72]. - Furniture rental revenue increased by approximately HKD 4.7 million or 22.8% to about HKD 25.3 million, mainly from new rental contracts in the UAE[77]. - Project engineering revenue surged over twofold to approximately HKD 94.4 million from about HKD 35.2 million, driven by the completion of multiple projects in Hong Kong[78]. Expenses and Costs - The total operating expenses for the year were approximately HKD 96.1 million, compared to HKD 87.1 million in the previous year, indicating increased operational costs[10]. - Selling and distribution costs increased by approximately HKD 3.5 million or 7.4% to about HKD 50.9 million, primarily due to increased commission expenses from project engineering business[82]. - Management and other operating expenses rose by approximately HKD 9.0 million or 10.3% to about HKD 96.1 million, mainly due to increased director remuneration[83]. - Financial expenses increased to approximately HKD 2.9 million from HKD 1.1 million in the previous year, primarily due to increased bank loans for UAE operations[87]. Assets and Liabilities - Total assets increased to HKD 145,971,000 in 2023 from HKD 116,153,000 in 2022, representing a growth of approximately 25.6%[13]. - Current liabilities rose to HKD 126,596,000 in 2023, up from HKD 74,526,000 in 2022, indicating an increase of about 69.9%[14]. - The total liabilities increased to HKD 120,828,000 in 2023 from HKD 74,526,000 in 2022, representing a rise of about 62.0%[14]. - The company's equity attributable to owners decreased to HKD 34,747,000 in 2023 from HKD 37,501,000 in 2022, a decline of approximately 7.4%[14]. - The company reported a net asset value of HKD 34,244,000 in 2023, down from HKD 39,982,000 in 2022, indicating a decrease of approximately 14.0%[14]. Corporate Governance and Compliance - The company has adopted a set of guidelines regarding directors' securities trading, confirming that all directors complied with the trading standards throughout the year[115]. - The company will continue to review its corporate governance structure to assess whether the roles of Chairman and CEO should be separated[107]. - The group has not purchased, sold, or redeemed any of its securities during the year ending December 31, 2023[113]. - The audit committee has reviewed the consolidated financial statements for the year ending December 31, 2023, and confirmed compliance with applicable accounting standards and GEM listing rules[122]. - The previous auditor, Dahua Ma Shi Yun CPA Limited, resigned due to unresolved issues during the audit process, and Chang Ying was appointed as the new auditor effective March 18, 2024[126]. Future Outlook and Strategy - The company aims to enhance its market presence and explore new strategies for growth in the upcoming fiscal year[9]. - The company plans to expand its market presence and enhance product offerings in the furniture rental and design consultation services[16]. - The group anticipates an overall increase in demand for residential properties in Hong Kong following the government's removal of demand management measures[70]. - The group plans to continue organic growth and seek suitable acquisitions to further expand its business in the coming years[70]. - The company is considering not renewing leases for existing retail stores and will reassess new locations for retail stores[69]. - The company expects ongoing challenges in the operating environment due to inflation, interest rate hikes, and global economic pressures[69].

Financial Performance - For the nine months ended September 30, 2023, the group recorded unaudited revenue of approximately HKD 186.3 million, an increase of approximately HKD 43.3 million or 30.3% compared to HKD 143.0 million for the same period in 2022[6]. - The unaudited loss (after tax) for the nine months ended September 30, 2023, was approximately HKD 8.4 million, a significant improvement from a loss of approximately HKD 17.7 million for the same period in 2022[6]. - Basic and diluted loss per share for the nine months ended September 30, 2023, was HKD 5.22, compared to HKD 13.41 for the same period in 2022[6]. - The group reported a gross profit of HKD 96.95 million for the nine months ended September 30, 2023, compared to HKD 77.76 million for the same period in 2022, reflecting a gross margin improvement[8]. - Operating loss for the nine months ended September 30, 2023, was HKD 7.72 million, a significant reduction from HKD 17.03 million for the same period in 2022[8]. - The total comprehensive loss for the nine months ended September 30, 2023, was HKD 8.35 million, compared to HKD 15.53 million for the same period in 2022[8]. - The company reported a pre-tax loss of HKD 8,278 thousand for the three months and HKD 9,732 thousand for the nine months ended September 30, 2023[21][23]. - The company reported a pre-tax loss of HKD 8,401,000 for the nine months ended September 30, 2023, compared to a loss of HKD 17,704,000 for the same period in 2022[37]. Revenue Breakdown - For the three months ended September 30, 2023, total revenue was HKD 50,325 thousand, with furniture and home accessories sales contributing HKD 31,401 thousand, rental income HKD 8,789 thousand, and hotel services HKD 10,135 thousand[21]. - For the nine months ended September 30, 2023, total revenue reached HKD 186,258 thousand, with furniture and home accessories sales at HKD 93,089 thousand, rental income HKD 21,624 thousand, and hotel services HKD 71,545 thousand[23]. - Revenue from external customers in Hong Kong for the nine months ended September 30, 2023, was HKD 123,229,000, up 40% from HKD 87,988,000 in 2022[32]. - Furniture sales revenue decreased by approximately 9.4% to HKD 93.1 million in Q3 2023, primarily due to a decline in retail sales in Hong Kong[42]. - Project engineering revenue surged approximately twofold to HKD 71.5 million in Q3 2023, compared to HKD 23.6 million in Q3 2022, driven by the completion of several projects[44]. Shareholder Information - The company has fully utilized the proceeds from the placements as of September 30, 2023[55][56][58]. - Following the share consolidation on July 28, 2023, the total number of issued shares was adjusted from 1,814,700,000 shares to 181,470,000 shares[57]. - As of September 30, 2023, the total number of issued shares was 190,080,000 after the share consolidation[63]. - John Warren MCLENNAN holds 41,450,000 shares, representing 21.81% of the company[60]. - Huang Yongwen holds 33,237,000 shares, representing 17.49% of the company[60]. - Double Lions Limited is a major shareholder with a beneficial interest of 41,450,000 shares, equating to 21.81%[66]. - The largest shareholder group, including Alison Siobhan Bailey and James Seymour Dickson Leach, collectively holds 40.48% of Double Lions Limited[1]. Corporate Governance - The audit committee, consisting of three independent non-executive directors, has reviewed the financial report[76]. - The company has adopted the corporate governance code and confirmed compliance, although there is a deviation regarding the roles of the chairman and CEO[78]. - The board consists of three executive directors and four independent non-executive directors, ensuring adequate checks and balances[78]. - The company has not granted any rights to directors for acquiring shares or debt securities during the reporting period[71]. - The company did not purchase, sell, or redeem any of its securities during the nine months ended September 30, 2023[72]. - No loans were provided to any entities or associated companies as of September 30, 2023[78]. - The company has not disclosed any competitive interests that could affect its business operations[74]. Future Plans and Investments - The company plans to expand its retail network in mainland China and the UAE, with an estimated expenditure of HKD 12.3 million for this purpose, expected to be completed by the end of December 2024[54]. - The company aims to enhance its online store and IT capabilities with an investment of HKD 3.0 million, also targeted for completion by the end of December 2024[54]. - Management expects strong demand in project engineering due to increased activity from property developers in Hong Kong, although significant orders are likely to materialize post-2024[41]. - The company plans to utilize the proceeds from placements for potential mergers and acquisitions as well as for general operational funding[55][56][58]. Dividends and Equity - The board did not recommend the payment of an interim dividend for the nine months ended September 30, 2023[6]. - The company did not declare any dividends for the nine months ended September 30, 2023, consistent with the previous year[38]. - The group’s total equity as of September 30, 2023, was approximately HKD 63.26 million, a decrease from HKD 73.17 million as of the previous year[9].