Financial Performance - Revenue for the three months ended March 31, 2019, amounted to approximately HK$36.46 million, representing an increase of approximately 4.98% compared to HK$34.73 million for the same period in 2018[8] - Loss attributable to owners of the Company for the three months ended March 31, 2019, was approximately HK$3.46 million, a slight improvement from a loss of approximately HK$3.61 million for the same period in 2018[8] - Basic loss per share for the three months ended March 31, 2019, was approximately HK0.35 cent, compared to HK0.36 cent for the same period in 2018[8] - Gross profit for the three months ended March 31, 2019, was approximately HK$10.47 million, down from HK$11.18 million in the same period of 2018, reflecting a decrease of approximately 6.36%[10] - Total comprehensive loss for the period attributable to owners of the Company was approximately HK$2.91 million for the three months ended March 31, 2019, compared to HK$2.88 million for the same period in 2018[10] - The Company reported a loss before taxation of approximately HK$3.43 million for the three months ended March 31, 2019, compared to a loss of approximately HK$3.41 million for the same period in 2018[10] - Other income, gains, and losses resulted in a net loss of approximately HK$306,000 for the three months ended March 31, 2019, compared to a gain of HK$299,000 in the same period of 2018[10] - The company reported a loss before taxation of HK$1,209,000 for the three months ended March 31, 2019, compared to a loss of HK$1,058,000 for the same period in 2018[32] Revenue Breakdown - Revenue from finished watches decreased to HK$22,085,000 in Q1 2019 from HK$24,683,000 in Q1 2018, a decline of approximately 10.5%[30] - Revenue from SKD kits increased significantly to HK$13,913,000 in Q1 2019 from HK$8,996,000 in Q1 2018, marking a growth of approximately 54%[30] - The geographical revenue breakdown shows that the largest contribution came from Brazil at HK$7,399,000, followed by Hong Kong at HK$3,407,000[26] Expenses and Costs - Administrative expenses increased to approximately HK$11.55 million for the three months ended March 31, 2019, compared to HK$8.17 million for the same period in 2018, representing an increase of approximately 41.00%[10] - Selling and distribution expenses decreased approximately 29.60% compared to the same period in 2018, primarily due to reduced commissions to European customers[50] - The Company incurred finance costs of approximately HK$1.02 million for the three months ended March 31, 2019, slightly down from HK$1.12 million for the same period in 2018[10] Equity and Assets - The balance at March 31, 2019, showed total equity of approximately HK$74.15 million, a decrease from HK$77.06 million at December 31, 2018[11] - As of March 31, 2019, the Group had cash and cash equivalents of approximately HK$37.61 million, up from HK$12.80 million as of March 31, 2018[59] - The total value of assets pledged to secure the Group's banking facilities was HK$77.554 million, including property, plant, and equipment valued at HK$24.029 million and pledged bank deposits of HK$21.701 million[69] Corporate Governance - The Company has complied with the Corporate Governance Code throughout the three months ended March 31, 2019, with a noted deviation regarding the roles of chairman and CEO[112] - The Audit Committee was established on June 20, 2018, and is responsible for reviewing financial statements and overseeing internal control procedures[119] - The financial information in the report has not been audited, but the Audit Committee reviewed the unaudited consolidated results for the three months ended March 31, 2019[121] Future Outlook - The Group intends to focus on core business and strengthen product design and development capabilities to maximize long-term returns for shareholders[49] - The report contains forward-looking statements regarding the Group's financial conditions and business strategy, which are subject to risks and uncertainties[122] - The forward-looking statements reflect the group's current views on future events and are subject to risks and uncertainties[125] Share Capital and Ownership - The company has been listed on the GEM of the Stock Exchange since July 12, 2018, with net proceeds from the share offer amounting to approximately HK$34,500,000[12] - The company’s authorized share capital was increased to HK$10,000,000 with the creation of an additional 9,962,000,000 shares as of June 20, 2018[12] - Directors Mr. Cheuk and Ms. Au each held a long position of 750,000,000 shares, representing 75% of the total shares[86] - As of March 31, 2019, Million Easy holds a beneficial interest of 750,000,000 ordinary shares, representing 75% of the total shares[95] Employee Information - The Group employed a total of 170 employees as of March 31, 2019, with an annual review system in place for performance assessment[76] Miscellaneous - The Group had no material contingent liabilities as of March 31, 2019, consistent with the previous year[71] - There were no significant events occurring after the reporting period that would impact the Group[77] - The Group did not engage in any derivatives or hedging activities related to foreign exchange risk during the reporting period[70] - The Group's purchases were primarily in Hong Kong Dollars, while sales were predominantly in United States Dollars, Renminbi, and Hong Kong Dollars[69] - During the three months ended March 31, 2019, the Company and its subsidiaries did not purchase, sell, or redeem any of the Company's listed securities[96] - There were no significant investments, material acquisitions, or disposals of subsidiaries and associated companies during the three months ended March 31, 2019[100] - The Company has no plans for material investments or capital assets as of the date of this report, aside from what is disclosed in the Prospectus[101] - The Share Option Scheme was approved on June 20, 2018, but no share options have been granted since its adoption[102]
恒伟集团控股(08219) - 2019 Q1 - 季度财报