Revenue Performance - Revenue for the three months ended September 30, 2019, was HKD 12,292,517, a decrease of approximately 19.5% compared to HKD 15,275,611 for the same period in 2018[13]. - Revenue for the nine months ended September 30, 2019, was HKD 44,231,186, down about 12.0% from HKD 50,285,176 for the same period in 2018, primarily due to a decrease in underwriting and brokerage income[13]. - The decrease in revenue was attributed to a reduction in market turnover in Hong Kong, which fell from HKD 211,109.9 billion to HKD 166,589.0 billion[13]. - For the three months ended September 30, 2019, customer contract revenue was HKD 8,446,978, a decrease of 32.5% from HKD 12,592,017 in the same period of 2018[62]. - For the nine months ended September 30, 2019, customer contract revenue was HKD 33,493,357, down 22.4% from HKD 43,157,086 in the same period of 2018[62]. - Revenue from securities brokerage services accounted for approximately 58.9% of total revenue for the nine months ended September 30, 2019, compared to 58.3% in 2018[93]. - Revenue from underwriting and placing services represented about 3.2% of total revenue for the nine months ended September 30, 2019, down from 13.0% in 2018[94]. - Revenue from securities advisory services accounted for approximately 2.1% of total revenue for the nine months ended September 30, 2019, compared to zero in 2018[95]. - Revenue from financing services increased by approximately 47.3%, reaching about HKD 10.41 million for the nine months ended September 30, 2019, compared to HKD 7.07 million in the same period of 2018[119]. - Revenue from insurance consulting services accounted for approximately 4.0% and 3.7% of total revenue for the nine months ended September 30, 2019, and 2018, respectively[102]. Profit and Loss - The net loss for the three months ended September 30, 2019, was HKD (1,230,001), compared to a loss of HKD (2,510,013) for the same period in 2018, indicating an improvement[14]. - The net profit for the nine months ended September 30, 2019, was HKD 6,898,718, an increase of approximately 22.6% compared to HKD 5,625,947 for the same period in 2018[14]. - Basic and diluted loss per share for the three months ended September 30, 2019, was HKD (0.62), an improvement from HKD (1.31) for the same period in 2018[15]. - The company reported a loss attributable to equity holders of the parent of HKD (1,230,001) for the nine months ended September 30, 2019, compared to a profit of HKD 6,898,718 for the same period in 2018[78]. - Profit attributable to owners of the parent for the nine months ended September 30, 2019, was approximately HKD 6.90 million, an increase from HKD 5.63 million for the same period in 2018, but a decrease of about 43.9% when excluding listing expenses[126]. Operating Expenses - Total operating expenses for the three months ended September 30, 2019, were HKD 3,431,819, significantly reduced from HKD 9,734,308 in the same period of 2018[13]. - Employee costs increased to HKD 13,009,914 for the nine months ended September 30, 2019, compared to HKD 10,602,523 for the same period in 2018[15]. - The company reported a significant increase in operating expenses, including information services expenses of HKD 2,829,378 for the nine months ended September 30, 2019, compared to HKD 2,033,932 in the same period of 2018[72]. - Other operating expenses for the nine months ended September 30, 2019, were approximately HKD 11.68 million, a decrease of about 45.4% from HKD 21.41 million for the same period in 2018, mainly due to reduced listing expenses[125]. Dividends - The company did not recommend the payment of a dividend for the nine months ended September 30, 2019, despite declaring an interim dividend of HKD 0.012 per share for the six months ended June 30, 2019[14]. - The company declared an interim dividend of HKD 0.012 per share for the six months ended June 30, 2019, an increase from HKD 0.010 per share in 2018[81]. - The company declared a final dividend of HKD 3,000,000 and an interim dividend of HKD 2,400,000 during the reporting period[18]. Acquisitions and Investments - The company completed the acquisition of Victory Insurance for a total cash consideration of HKD 4,800,000 on August 20, 2019[29]. - The group completed the acquisition of Victory Insurance in August 2019, which is expected to enhance service offerings and expand the customer base[132]. - The company successfully acquired Victory Insurance Consultants in August 2019 to better meet the wealth management needs of high-net-worth individuals in China[101]. - The company received a license in August 2019 to provide advisory services for institutional financing, focusing on mergers and acquisitions[100]. Financial Position - As of September 30, 2019, the total equity amounted to HKD 206,210,914, an increase from HKD 204,038,462 as of January 1, 2019[18]. - The net profit for the period was HKD 6,898,718, with a comprehensive income total of HKD 6,759,119 after tax deductions[18]. - The total reserves as of September 30, 2019, included HKD 202,974,703, reflecting a slight increase from HKD 200,523,465 in the previous year[23]. - The company’s capital structure includes a share capital of HKD 1,999,998 and a share premium of HKD 54,980,741[18]. Regulatory and Compliance - The unaudited consolidated financial statements for the nine months ended September 30, 2019, are prepared in accordance with the Hong Kong Financial Reporting Standards[43]. - The company’s financial performance for the nine months ended September 30, 2019, has not been reviewed by the auditors but has been reviewed by the audit committee[43]. - The audit committee, consisting of two independent non-executive directors and one non-executive director, reviewed the financial statements for the nine months ending September 30, 2019[151]. - The company has fully complied with the corporate governance code as per GEM listing rules[149]. - No directors or major shareholders have interests in any competing businesses as of September 30, 2019[148]. Future Plans and Strategies - The company plans to expand its asset management and wealth management businesses, targeting high-net-worth clients in Hong Kong and mainland China[90]. - The company aims to establish private equity funds for professional investors to enhance its asset management services[90]. - The company intends to hire talented individuals to promote the development of asset management and financial advisory services[90]. - The company is leveraging new capital raised from its IPO to enhance its financing services to meet growing client demands[90]. - The company aims to develop a niche market in the lending sector, providing tailored working capital solutions for corporate and retail clients[97]. - The company anticipates continued growth in guaranteed financing revenue, supported by an investment of approximately HKD 6.0 million in the guaranteed financing business[97]. - The group aims to enhance its market position as a comprehensive financial service provider by actively participating in other financial activities and transactions[132]. Accounting Policies - The company adopted HKFRS 16 using the modified retrospective approach, recognizing right-of-use assets of HKD 529,715 and lease liabilities of HKD 545,933 as of January 1, 2019[54]. - The adoption of HKFRS 16 has replaced HKAS 17, requiring all leases to be recognized on a single balance sheet model[45]. - The lease liabilities are recognized at the present value of remaining lease payments discounted using the incremental borrowing rate as of January 1, 2019[50]. - The company will measure right-of-use assets based on the amount of lease liabilities recognized, adjusted for any prepaid or accrued lease payments[50]. - The new accounting policy replaces the previous lease accounting policy disclosed in the financial statements for the year ended December 31, 2018[56].
胜利证券(08540) - 2019 Q3 - 季度财报