Financial Performance - For the three months ended March 31, 2020, the group's revenue increased by approximately 15.5% to about HK$26.6 million from approximately HK$23.0 million for the same period last year[5] - The gross profit rose from approximately HK$9.0 million in the previous year to about HK$11.6 million in the current period[5] - Profit attributable to the owners of the company increased from approximately HK$5.0 million to about HK$7.4 million[5] - The operating profit for the period was approximately HK$8.9 million, compared to HK$6.5 million in the previous year, reflecting a significant increase[7] - The basic and diluted earnings per share were HK$0.74 compared to HK$0.50 for the same period last year[7] - The company's pre-tax profit for the three months ended March 31, 2020, was HKD 7.36 million, compared to HKD 4.95 million for the same period in 2019, representing a significant increase[29] - Basic earnings per share increased to HKD 0.74 from HKD 0.50 year-on-year[29] - The total comprehensive income attributable to owners of the company for the period was HK$7.0 million, up from HK$5.9 million in the previous year[7] Dividends and Shareholder Returns - The company did not recommend the payment of an interim dividend for the current period, compared to no dividend in the same period last year[5] - The company did not recommend any interim dividend for the three months ended March 31, 2020, compared to no dividend in the same period last year[31] - The board does not recommend the payment of an interim dividend for the current period[46] Expenses and Costs - General and administrative expenses increased to HK$2.9 million from HK$2.7 million in the previous year[7] - Employee costs decreased to HKD 1.55 million from HKD 2.17 million year-on-year, reflecting a reduction in salary and benefits[22] - Direct costs for the current period were HKD 14.99 million, up from HKD 13.99 million in the previous year[24] - The company reported a tax expense of HKD 1.49 million for the current period, slightly down from HKD 1.53 million in the same period last year[26] Revenue Sources - Revenue from medical center renovation projects rose from approximately HKD 8.3 million to about HKD 19.6 million, offset by a decrease in revenue from office and gallery design and renovation projects from HKD 12.7 million to approximately HKD 5.2 million[39] - The company operates primarily in Hong Kong, generating HKD 26.55 million in revenue for the current period, compared to HKD 22.65 million in the previous year[20] Liquidity and Financial Position - The group had current assets of approximately HKD 132.4 million as of March 31, 2020, compared to HKD 124.8 million as of December 31, 2019[47] - The current ratio was approximately 4.6 times as of March 31, 2020, up from 3.9 times as of December 31, 2019[47] - The company has no outstanding borrowings as of March 31, 2020, due to no significant debt financing needs during the period[49] - The group has maintained a stable liquidity position with no significant impact from exchange rate fluctuations during the period[51] Corporate Governance - The major shareholder, Sino Emperor, holds 750,000,000 shares, representing 75% of the company's equity[60] - The chairman and CEO roles are held by the same individual, which the board believes benefits the group's business prospects and operational efficiency[64] - The company has adopted a code of conduct for securities trading, ensuring compliance with regulations during the reporting period[65] - The audit committee was established on November 18, 2016, in accordance with GEM Listing Rules, consisting of three members[67] - The audit committee is responsible for recommending the appointment and removal of external auditors, reviewing financial statements, and overseeing risk management and internal control procedures[67] - The board of directors includes three executive directors and three independent non-executive directors as of the report date[70] Future Outlook - The company is optimistic about the future of the interior design and renovation market, particularly in commercial spaces and medical centers, and plans to invest more resources to expand its business[37] Other Information - The company has not applied any new accounting standards that have not yet come into effect during the reporting period[17] - As of March 31, 2020, the group had no significant capital commitments[52] - The group employed a total of 20 staff as of March 31, 2020, with no change from December 31, 2019[53] - There were no major investments, acquisitions, or disposals of subsidiaries or associates during the period[54] - As of March 31, 2020, the group had no contingent liabilities[55] - There were no purchases, sales, or redemptions of the company's listed securities during the three months ending March 31, 2020[66] - The unaudited consolidated financial statements for the three months ended March 31, 2020, were reviewed and deemed compliant with applicable accounting standards and GEM Listing Rules[69]
K W NELSON GP(08411) - 2020 Q1 - 季度财报