Financial Performance - For the nine months ended September 30, 2019, the Group reported revenue of HK$67,790,024, a decrease from HK$71,494,906 in the same period of 2018, representing a decline of approximately 5.5%[8] - The Group incurred a loss before tax of HK$42,878,746 for the three months ended September 30, 2019, compared to a profit of HK$8,387,778 in the same period of 2018[8] - Total comprehensive loss for the period attributable to owners of the Company was HK$36,785,517 for the three months ended September 30, 2019, compared to a profit of HK$6,369,593 in the same period of 2018[8] - The company reported a loss before tax of HK$49,899,630 for the nine months ended September 30, 2019, compared to a profit of HK$23,166,295 in the same period of 2018[70] - The Group reported a basic loss attributable to owners of approximately HK$49.90 million for the nine months ended September 30, 2019, compared to a profit of approximately HK$23.17 million for the same period in 2018[75] Impairment and Losses - The impairment loss on loans receivable for the nine months ended September 30, 2019, was HK$88,583,555, significantly higher than HK$13,164,575 in the same period of 2018[8] - Other gains and losses for the three months ended September 30, 2019, were reported at a loss of HK$2,199,470, compared to a loss of HK$2,539 in the same period of 2018[8] - The Group recorded other losses of approximately HK$3.48 million during the Review Period, compared to other gains of approximately HK$1.19 million in the same period of 2018, mainly due to a decrease in the fair value of financial assets[101] - The impairment loss on trading rights was recorded at HK$3.10 million during the Review Period, resulting from the cessation of the Securities Brokerage Business in August 2019[111] Income and Revenue Sources - For the nine months ended September 30, 2019, interest income from loan facilities was HK$67,783,858, a decrease of 5.5% compared to HK$71,485,970 for the same period in 2018[46] - Commission income from securities brokerage for the nine months ended September 30, 2019, was HK$6,166, a decrease of 30.8% from HK$8,936 in the same period of 2018[46] - Dividend income for the nine months ended September 30, 2019, was HK$31,640,000, compared to zero in the same period of 2018[48] - Loan interest income accounted for approximately HK$67.78 million of the revenue, reflecting a decrease in average interest rate from approximately 10.56% per annum in 2018 to approximately 9.42% per annum in 2019[93] Expenses and Costs - Administrative expenses for the nine months ended September 30, 2019, totaled HK$64,344,291, down from HK$78,855,658 in the same period of 2018, indicating a reduction of approximately 18.5%[8] - The Group's other operating expenses and finance costs for the nine months ended September 30, 2019, amounted to HK$8,105,276, a decrease from HK$12,867,412 in the same period of 2018[8] - The Group's finance costs significantly decreased from approximately HK$1.58 million for the nine months ended September 30, 2018, to approximately HK$0.16 million for the Review Period, due to the absence of interest expense on loans[107] Accounting Standards and Policies - The unaudited condensed consolidated results have been prepared in accordance with applicable Hong Kong Financial Reporting Standards and GEM Listing Rules[10] - The Group has adopted new and revised Hong Kong Financial Reporting Standards (HKFRS) effective from January 1, 2019, including HKFRS 16 Leases, which has had no material impact on the Group's financial performance and positions for the current and prior periods[14][15]. - The application of HKFRS 16 has resulted in changes to the accounting policies but has not significantly affected the disclosures in the condensed consolidated financial statements[14][15]. - The Group's accounting policies now include specific provisions for short-term leases and low-value asset leases[21][24]. Shareholder and Governance Information - The company did not recommend the payment of any interim dividend for the nine months ended September 30, 2019, and 2018[69] - As of September 30, 2019, the maximum number of ordinary shares that may be issued under the Share Option Scheme is 362,880,000, representing 10% of the issued ordinary shares of the Company[124] - The Company and its subsidiaries did not purchase, sell, or redeem any of the Company's listed securities during the Review Period[125] - The Company has complied with all code provisions set out in the Corporate Governance Code during the Review Period[126] Trading and Market Activity - Trading in the shares of the Company has been suspended since November 24, 2017, and will remain suspended until further notice[128] - The Company is currently awaiting a response from the SFC regarding further submissions made on October 31, 2019, seeking permission for resumption of trading[139] Future Outlook and Strategic Initiatives - The Board is exploring further potential investment opportunities, including bonds and project-based investments, to enhance shareholder value[87] - The Group aims to maintain revenue growth and credit quality while closely monitoring its capital base for future opportunities[88]
FIRST CREDIT(08215) - 2019 Q3 - 季度财报