Financial Performance - The Group's revenue for the three months ended March 31, 2021, was HK$6,769,000, a decrease of 32.2% compared to HK$9,982,000 for the same period in 2020[10]. - Gross profit for the period was HK$4,763,000, down 43.3% from HK$8,495,000 in the previous year[10]. - Loss from operations increased to HK$21,090,000, compared to a loss of HK$5,906,000 in the same period of 2020, reflecting a significant rise in operational challenges[12]. - Loss before taxation for the period was HK$21,484,000, compared to HK$6,410,000 in the prior year, indicating a worsening financial performance[12]. - The loss attributable to owners of the Company was HK$21,076,000, compared to HK$4,519,000 in the same period last year, highlighting increased financial strain[12]. - Basic and diluted loss per share for the period was HK$1.66, compared to HK$0.36 for the same period in 2020, reflecting a significant decline in shareholder value[12]. - Total comprehensive expense for the period was HK$21,500,000, compared to HK$5,945,000 in the same period last year, reflecting overall financial deterioration[14]. - The company reported a loss for the period of HK$21,076,000, compared to a loss of HK$4,519,000 in the same period last year[26]. - Total comprehensive expense for the period was HK$21,086,000, reflecting a significant increase from HK$4,552,000 in Q1 2020[26]. - As of March 31, 2021, accumulated losses reached HK$357,427,000, up from HK$336,351,000 at the beginning of the year[27]. Revenue Breakdown - Revenue from software platform services was HK$5,986,000, slightly up by 2.5% from HK$5,842,000 in the previous year[27]. - Interest income from money lending decreased significantly to HK$773,000, down 81.3% from HK$4,127,000 in Q1 2020[27]. - Revenue from the Money Lending Business decreased by approximately HK$3,354,000, recording segment revenue of approximately HK$773,000 for the Period compared to approximately HK$4,127,000 in 2020[50]. - Segment revenue from the Software Platform Business increased slightly by approximately HK$144,000 to approximately HK$5,986,000 for the Period compared to approximately HK$5,842,000 in 2020[50]. - The money lending business segment revenue decreased by approximately 81.3%, contributing only about 11.4% to the Group's total revenue for the period[69]. - The Software Platform Business achieved a slight revenue increase of approximately 2.5%, accounting for about 88.4% of the Group's total revenue for the period[62]. Expenses and Costs - Administrative expenses rose sharply to HK$24,924,000, up from HK$11,527,000 in the previous year, indicating increased operational costs[10]. - Research and development expenses decreased to HK$934,000 from HK$2,296,000, suggesting a potential shift in focus or resource allocation[10]. - The cost of sales for the Period amounted to approximately HK$2,006,000, an increase from approximately HK$1,487,000 in 2020[51]. - Impairment losses on loans and interest receivables amounted to HK$20,547,000 for the Period, compared to HK$2,383,000 in 2020[33]. - Administrative and other operating expenses increased significantly to approximately HK$24,924,000, primarily due to impairment losses on loans receivable and interest receivables amounting to approximately HK$20,547,000[57]. Corporate Governance - The company has not applied new HKFRSs that are issued but not yet effective, and is assessing their potential impact[21]. - The financial statements are prepared under the historical cost convention and comply with HKFRSs[18]. - The company has failed to meet the minimum number of independent non-executive directors required under GEM Listing Rules following recent resignations[89]. - The Audit Committee currently comprises two independent non-executive directors, with Mr. Leung Man Chun serving as the chairman[90]. - The company is working to identify suitable candidates to fulfill the independent non-executive director requirements within three months[89]. - The company emphasizes a more prudent approach to resource allocation moving forward[76]. - The company has adopted a code of conduct for securities transactions by directors, adhering to the standards set out in GEM Listing Rules[92]. - The company currently has five directors, with three being executive directors and two independent non-executive directors, which does not meet the minimum requirement under GEM Listing Rules[93]. - The audit committee is composed of two independent non-executive directors and is responsible for reviewing financial reporting and internal controls[94]. Future Outlook - The Group expects the Hong Kong economy to remain challenging in 2021, and will continue to adopt a prudent credit policy in the money lending business[69]. - The Group anticipates that its performance will be affected by the ongoing challenges posed by the COVID-19 pandemic and will adjust its business strategies accordingly[74]. - The company anticipates a challenging recovery path, heavily dependent on the development of the pandemic and the effectiveness of new vaccines[76]. - The group plans to adhere strictly to cost control policies and swiftly adjust business strategies in response to external environmental changes[76]. - The Group plans to seek potential investment opportunities that can create synergies with existing business segments while maintaining cautious resource allocation[75]. Shareholding Structure - As of March 31, 2021, Mr. Chiu Ngai Hung holds 663,477,955 shares, representing approximately 52.13% of the total shareholding[84]. - The total number of shares issued as of March 31, 2021, is 1,272,640,000[85]. - The Board does not recommend the payment of any dividend for the three months ended March 31, 2021 (2020: Nil)[42]. - No purchase, sale, or redemption of the company's listed securities occurred during the reporting period[96]. - The board of directors consists of three executive directors and two independent non-executive directors as of the report date[97].
悟喜生活(08148) - 2021 Q1 - 季度财报