Financial Performance - For the three months ended September 30, 2019, the group's revenue was HKD 96,055 thousand, a decrease of 4% from HKD 100,229 thousand in the same period of 2018[6]. - For the nine months ended September 30, 2019, the group's revenue increased slightly to HKD 311,727 thousand, compared to HKD 308,624 thousand in the same period of 2018, reflecting a growth of 1%[6]. - The group reported a loss attributable to owners of the company of HKD 13,865 thousand for the three months ended September 30, 2019, compared to a profit of HKD 301 thousand in the same period of 2018[6]. - The loss attributable to owners for the nine months ended September 30, 2019, was HKD 23,365 thousand, compared to a loss of HKD 21,762 thousand in the same period of 2018[6]. - The basic and diluted loss per share for the three months ended September 30, 2019, was HKD (0.96), compared to earnings of HKD 0.02 per share in the same period of 2018[6]. - The total comprehensive loss for the three months ended September 30, 2019, was HKD 13,908 thousand, compared to a comprehensive income of HKD 359 thousand in the same period of 2018[8]. - The group recorded a loss attributable to owners of the company of approximately HKD 23.4 million for the nine months ended September 30, 2019, compared to a loss of approximately HKD 21.8 million for the same period in 2018[62]. - The basic loss per share for the nine months ended September 30, 2019, was HKD (1.62), compared to HKD (1.53) for the same period in 2018[39]. Revenue Breakdown - For the three months ended September 30, 2019, the revenue from customer contracts was HKD 96,055 thousand, a decrease from HKD 100,229 thousand in the same period of 2018, representing a decline of approximately 2.2%[25]. - For the nine months ended September 30, 2019, the total revenue from customer contracts was HKD 311,727 thousand, slightly up from HKD 308,624 thousand in the same period of 2018, indicating a growth of about 0.7%[25]. - The revenue from customer contracts in Hong Kong and Macau for the nine months ended September 30, 2019, was HKD 283,191 thousand, compared to HKD 277,225 thousand in 2018, reflecting an increase of approximately 2.9%[25]. - Revenue from the "Dragon Emperor" brand decreased by approximately HKD 10.0 million or about 5.3% to approximately HKD 179.0 million for the nine months ended September 30, 2019, primarily due to reduced revenue from the old restaurant in Wan Chai[47]. - Revenue from the "Dragon Seal" brand increased by approximately HKD 3.0 million or about 7.1% to approximately HKD 45.4 million for the nine months ended September 30, 2019, mainly due to an increase in the number of banquets[49]. - Revenue for Long Pao increased from approximately HKD 1.8 million for the nine months ended September 30, 2018, to approximately HKD 21.6 million for the same period in 2019, a rise of about HKD 19.8 million[50]. - Revenue for Huang Xi decreased from approximately HKD 31.3 million for the nine months ended September 30, 2018, to approximately HKD 28.5 million for the same period in 2019, a decline of about HKD 2.8 million or approximately 8.9%[51]. - Revenue for Long Yan decreased from approximately HKD 44.1 million for the nine months ended September 30, 2018, to approximately HKD 37.2 million for the same period in 2019, a drop of about HKD 6.9 million or approximately 15.6%[52]. Expenses and Costs - Employee costs increased to approximately HKD 113.2 million for the nine months ended September 30, 2019, up about 9.0% from approximately HKD 103.9 million for the same period in 2018[55]. - Other operating expenses rose to approximately HKD 49.6 million for the nine months ended September 30, 2019, an increase of about HKD 2.8 million or approximately 6.0% from approximately HKD 46.8 million for the same period in 2018[60]. - The group’s total tax expense for the nine months ended September 30, 2019, was HKD 825,000, compared to HKD 1.2 million for the same period in 2018[35]. Corporate Governance and Management - The board believes that good corporate governance is a key element in managing the group's business and affairs, and has complied with the corporate governance code during the reporting period[96]. - The audit committee of the company was established on December 15, 2017, and is chaired by independent non-executive director Mr. Kwan Ping Man[97]. - The audit committee reviewed the unaudited condensed consolidated financial statements for the nine months ended September 30, 2019, ensuring compliance with applicable accounting standards and GEM listing rules[99]. - The board of directors includes three executive directors and three independent non-executive directors as of the report date[99]. Future Plans and Market Strategy - The company plans to enhance brand awareness and expand its business through a multi-brand strategy in Hong Kong, focusing on new promotional menus and seasonal dishes[65]. - The company plans to utilize the net proceeds according to the prospectus, but may revise its plans based on changing market conditions to achieve sustainable business growth[73]. - The company has decided to postpone the opening of new restaurants until deemed appropriate by the board due to the current economic situation and social instability in Hong Kong[73]. Shareholder Information - Major shareholders include Wan Li Development Limited and Good Vision Limited, each holding 40.2% and 16.5% of the shares respectively[79]. - The board and senior management hold significant interests in the company, with Ms. Li Jingnong and Mr. Huang Yongzhi each holding 578,880,000 shares, representing 40.2%[75]. - The company has a total of 237,600,000 shares held by Good Vision Limited, which is controlled by Hong Kong Tang Palace Catering Group Limited[79]. Financial Reporting and Standards - The adoption of the new and revised Hong Kong Financial Reporting Standards did not have any significant financial impact on the unaudited condensed consolidated financial statements[18]. - The Group estimated the recognition of right-of-use assets and lease liabilities at HKD 126.0 million upon the adoption of HKFRS 16 on January 1, 2019[19]. - The unaudited condensed consolidated financial statements are presented in thousands of Hong Kong dollars (HKD thousand) and are based on historical cost convention[21]. - The company has not applied any new or revised standards that have been issued but are not yet effective, and is currently assessing their potential impact[21]. - No share options were granted, exercised, lapsed, or expired under the share option scheme during the nine months ended September 30, 2019[93].
龙皇集团(08493) - 2019 Q3 - 季度财报