Company Overview - L & A International Holdings Limited reported its third quarterly results for 2020[1] - The company is incorporated in the Cayman Islands and listed on the GEM of the Hong Kong Stock Exchange[1] - The company has a registered office in the Cayman Islands and its principal place of business is located in Hong Kong[8] - The company has been listed on the GEM of the Stock Exchange since October 10, 2014, and is incorporated in the Cayman Islands[25] - The company’s stock code is 8195 on the Hong Kong Stock Exchange[11] Financial Performance - Revenue for the three months ended December 31, 2020, was HK$33,969,000, a significant increase of 135% compared to HK$14,436,000 in the same period of 2019[12] - Profit before taxation for the three months ended December 31, 2020, was HK$21,513,000, compared to a loss of HK$4,340,000 in the same period of 2019[12] - The total comprehensive income for the period attributable to owners of the Company was HK$17,817,000, compared to a loss of HK$4,256,000 in the same period of 2019[14] - Earnings per share for the three months ended December 31, 2020, was HK$1.37, compared to a loss of HK$0.29 in the same period of 2019[14] - Revenue for the nine months ended December 31, 2020, was HK$73,466,000, an increase of 26.6% from HK$58,008,000 in the same period of 2019[12] - Profit before taxation for the nine months ended December 31, 2020, was HK$37,409,000, compared to a loss of HK$5,323,000 in the same period of 2019[12] - The total loss before taxation for the Group was HK$8,362,000 for the nine months ended December 31, 2020[50] - For the nine months ended 31 December 2020, the Group reported a loss attributable to owners of the Company of HK$31,267,000, compared to a loss of HK$4,845,000 for the same period in 2019[9] Business Segments - The Group operates in six segments: OEM Business, Retail Business, Money Lending Business, Wholesaling Business, Financial Quotient and Investment Education Business, and Property Investment Business[35] - The Group's revenue segments include manufacturing and sales of OEM garment products, retailing of garment products, and provision of loan services[35] - The Retail Business generated revenue of approximately HK$301,000 for the nine months ended 31 December 2020, representing a substantial decrease of approximately 94.3% compared to HK$5,250,000 in 2019[75] - The Money Lending Business generated interest income of approximately HK$3.2 million during the nine months ended 31 December 2020, reflecting an increase of approximately 58.4% compared to the previous period[76] - The Group's Financial Quotient and Investment Education Business generated revenue of approximately HK$48.1 million, representing a substantial increase of over 50 times compared to the same period in 2019[92] Expenses and Costs - Administrative expenses for the three months ended December 31, 2020, were HK$4,533,000, a decrease from HK$5,786,000 in the same period of 2019[12] - The total employee benefits expenses decreased to HK$1,550,000 for the three months ended December 31, 2020, down from HK$2,290,000 in 2019, reflecting a reduction of approximately 32.3%[61] - The Group's cost of sales decreased by 52.0% to approximately HK$24.6 million for the nine months ended 31 December 2020 compared to the same period in 2019[98] - The Group's selling and administrative expenses for the nine months ended December 31, 2020 were approximately HK$14.4 million, an increase of approximately HK$0.5 million from HK$13.9 million in 2019[101] Corporate Governance - The company has adopted corporate governance practices based on the principles and code provisions in the Corporate Governance Code as set out in Appendix 15 to the GEM Listing Rules[146] - The company has applied the principles and complied with all applicable code provisions of the Corporate Governance Code, except for a deviation from code provision A.2.1[147] - The company has established an Audit Committee to oversee financial statements and internal control procedures[155] - The Audit Committee consists of 3 independent non-executive Directors, with Mr. Chan Kim Fai Eddie as the chairman[155] Shareholder Information - As of December 31, 2020, Chan Lap Jin Kevin held 147,276,000 shares, representing 9.59% of the company's issued shares[124] - Yuen Yu Sum was granted 10,000,000 share options on July 14, 2020, which is noted as 0.65% of the company's issued shares[124][133] - Chung Chin Kwan held 2,736,000 shares, accounting for 0.18% of the company's issued shares[124] - As of December 31, 2020, no other directors or chief executives had interests or short positions in the company's shares or debentures[126] - As of December 31, 2020, Lau Lan Ying and Wong Kwan Mo each hold 249,994,000 shares, representing 16.28% of the company's issued share capital[138] - Strong Light Investments Limited owns 227,373,000 shares, accounting for 14.80% of the company's issued share capital[138] - Ge Qingfu holds 128,266,200 shares, which is 10.02% of the company's issued share capital[138] Compliance and Regulatory Matters - The company has complied with the required standards of dealings in securities transactions by directors, with no non-compliance events reported during the nine months ended December 31, 2020[142] - The company has not entered into any arrangements enabling directors or chief executives to acquire benefits through shares or debt securities as of December 31, 2020[127] - No controlling shareholders or directors have interests in any competing business during the nine months ended December 31, 2020[144] Significant Events - The company completed a capital reorganisation on 12 October 2020, reducing share capital and cancelling share premium[115] - Following the capital reduction, the authorised share capital increased from HK$1,250,000 to HK$500,000,000, creating an additional 4,987,500,000,000 new shares[117] - On 11 May 2020, the Group agreed to acquire Bewisekid Holding Limited for a maximum consideration of HK$33.25 million, with completion on 10 August 2020[101] - Able Glorious agreed to acquire Zone Galaxy Limited for HK$40,000,000, completed on 17 August 2020[103] - The acquisition of Prestige Concord Limited's remaining 70% equity interests was agreed for HK$80,000,000, with completion details provided[104] Audit and Review - The Audit Committee reviewed the Third Quarterly Financial Statements and confirmed compliance with applicable accounting standards and GEM Listing Rules[155] - The company has made adequate disclosures in its financial statements as per the Audit Committee's review[155] - No significant events affecting the Group occurred after December 31, 2020, up to the date of the report[155]
传承教育集团(08195) - 2021 Q3 - 季度财报