Financial Performance - The Group reported unaudited revenue of HK$88,087,000 for the three months ended 30 September 2019, representing an increase of 13.4% compared to HK$77,271,000 in the same period of 2018[10]. - Gross profit for the period was HK$11,768,000, a decrease of 20.0% from HK$14,713,000 year-on-year[10]. - Profit before taxation decreased to HK$1,553,000, down 76.4% from HK$6,560,000 in the previous year[10]. - Profit for the period was HK$750,000, a significant decline of 85.3% compared to HK$5,100,000 in the same quarter of 2018[10]. - Total comprehensive income for the period attributable to owners of the Company was HK$280,000, down from HK$4,790,000 in the same period last year[12]. - Basic and diluted earnings per share decreased to HK$0.10 from HK$0.98 year-on-year[12]. - The Group's other income for the three months ended September 30, 2019, was HK$26,000, down from HK$78,000 in 2018[63]. - An impairment allowance for a loan receivable of HK$2,700,000 was recognized during the period, indicating a significant impact on the financial results[63]. - For the three months ended September 30, 2019, the profit attributable to owners of the Company was HK$563,000, a decrease of 88.9% compared to HK$5,057,000 for the same period in 2018[77]. - The income tax expense for the period was HK$803,000, down 45.0% from HK$1,460,000 in the prior year[70]. Revenue Sources - For the three months ended September 30, 2019, service income from Environmental and Cleaning was HK$82,345,000, an increase from HK$71,609,000 in the same period of 2018, representing a growth of approximately 14.3%[62]. - Interest income from Money Lending for the same period was HK$5,742,000, slightly up from HK$5,662,000 in 2018, indicating a growth of about 1.4%[62]. - Revenue from environmental and cleaning services in Hong Kong increased by approximately HK$11.2 million to approximately HK$75.4 million for the three months ended September 30, 2019, up from approximately HK$64.2 million in the same period of 2018[119]. - Revenue from Shanghai operations decreased by approximately HK$0.4 million to approximately HK$7.0 million for the three months ended September 30, 2019[99]. Expenses and Costs - The Group's administrative expenses increased slightly to HK$6,569,000 from HK$6,324,000 in the previous year[10]. - Finance costs significantly decreased to HK$343,000 from HK$1,306,000, indicating improved cost management[10]. - Total staff costs, including directors' emoluments, increased to HK$45,522,000, up 16.9% from HK$39,048,000 in the previous year[67]. - The depreciation of property, plant, and equipment rose to HK$752,000, an increase of 105.5% from HK$366,000 in the same period last year[67]. - The Group's financing costs decreased by approximately HK$1,000,000 to about HK$300,000 for the three months ended September 30, 2019, compared to HK$1,300,000 in 2018[125]. Accounting Standards and Financial Reporting - The Group continues to assess the impact of new and revised HKFRSs on its financial position, which may affect future results[19]. - The Group has adopted HKFRS 16, which introduces a single on-balance sheet accounting model for lessees, replacing HKAS 17[24]. - The adoption of HKFRS 16 does not have any significant financial effect on the Group's results, except for the impact of HKFRS 16 itself[23]. - The Group assesses whether a contract is a lease based on the new definition under HKFRS 16, which focuses on the right to control the use of an identified asset[25]. - The lease liability is subsequently adjusted for interest costs and lease payments made, and remeasured for changes in future lease payments[39]. Corporate Governance - The company has adopted a code of conduct for securities transactions by directors, with no reported noncompliance during the reporting period[161]. - The company emphasizes maintaining high standards of corporate governance to safeguard shareholder interests[168]. - The audit committee believes that adequate disclosures have been made regarding the unaudited condensed consolidated results for the three months ended September 30, 2019[175]. - The company has complied with the Corporate Governance Code and GEM Listing Rules for the three months ended September 30, 2019, with some deviations noted[169]. - The roles of chairman and chief executive officer are performed by the same individual, Mr. Yu Shaoheng, which deviates from Code provision A.2.1[171]. Shareholder Information - The company did not recommend any dividend for the three months ended September 30, 2019, consistent with the previous year[74]. - The weighted average number of ordinary shares for the purpose of basic and diluted earnings per share increased to 540,000,000 shares, up from 518,548,000 shares in the previous year[77]. - As of September 30, 2019, Mr. Yu Shaoheng held 350,536,631 shares, representing 64.91% of the total issued share capital[151]. - Mr. Yu Weiye and Ms. Mui Fong each held 54,431,400 shares, accounting for 10.08% of the total issued share capital[156]. - The company has not identified any competitive interests from its directors or major shareholders during the reporting period[166].
宝联控股(08201) - 2020 Q1 - 季度财报