Financial Performance - Total revenue for the nine months ended September 30, 2020, was HKD 92,209,000, representing a 190% increase compared to HKD 31,797,000 in the same period of 2019[24]. - Fund management business revenue reached HKD 91,693,000, up 196% from HKD 30,993,000 year-over-year[24]. - Gross profit for the nine months was HKD 84,426,000, a 216% increase from HKD 26,720,000 in the previous year[24]. - Operating profit for the period was HKD 21,887,000, compared to an operating loss of HKD 5,385,000 in the same period last year[24]. - The company reported a net profit of HKD 13,044,000, recovering from a loss of HKD 6,594,000 in the previous year[24]. - Adjusted net profit, not in accordance with Hong Kong Financial Reporting Standards, was HKD 24,789,000, compared to a loss of HKD 7,108,000 in the prior year[24]. - Basic and diluted earnings per share were HKD 4.15, recovering from a loss of HKD 2.37 in the same period last year[24]. - Adjusted profit before tax for the first three quarters of 2020 was HKD 23.3 million, compared to a loss of HKD 6.5 million in the same period of 2019, resulting in a profit margin of 25%[28]. - The net profit attributable to the company's owners for the first three quarters of 2020 was HKD 12.4 million, a significant turnaround from a loss of HKD 7.1 million in the first three quarters of 2019[28]. - Earnings per share for the first three quarters of 2020 was HKD 0.0415, compared to a loss per share of HKD 0.0237 in the same period of 2019[28]. - The adjusted net profit for the first three quarters of 2020 was HKD 24.8 million, while in the same period of 2019, it was a loss of HKD 7.1 million[33]. - The total profit attributable to the company's owners for the first three quarters of 2020 was HKD 12.4 million, a turnaround from a loss of HKD 7.1 million in the same period of 2019[51]. - The earnings per share for the first three quarters of 2020 was HKD 0.0415, compared to a loss per share of HKD 0.0237 in the same period of 2019[56]. Revenue Sources - Revenue increased from HKD 31.8 million in the first three quarters of 2019 to HKD 92.2 million in the first three quarters of 2020, representing a growth of 190%[46]. - Revenue from management fees for the nine months ended September 30, 2020, was HKD 44,500,000, up from HKD 30,993,000 in 2019, reflecting a growth of 43%[143]. - Performance fee revenue for the nine months ended September 30, 2020, reached HKD 47,193,000, compared to HKD 0 in the same period of 2019, indicating a strong performance in this area[143]. - Revenue from consulting services for the nine months ended September 30, 2020, was HKD 91,693,516, significantly higher than HKD 30,993,804 in 2019, marking an increase of 195%[143]. - Major client A contributed HKD 53,002,000 to total revenue for the nine months ended September 30, 2020, up from HKD 23,741,000 in 2019, representing a growth of 123%[141]. Expenses and Costs - General and administrative expenses rose from HKD 32 million in the first three quarters of 2019 to HKD 50 million in the first three quarters of 2020, reflecting increased employee benefits costs[47]. - General and administrative expenses for the reporting period were HKD 50 million, an increase of HKD 18 million or approximately 56% compared to HKD 32 million in the same period last year, primarily due to an increase in team size and performance-linked employee benefits[80]. - The direct costs for the nine months ended September 30, 2020, were HKD 7,783,000, up from HKD 5,077,000 in the same period of 2019, indicating a rise of 53%[124]. - The company reported a tax expense of HKD 10,290,000 for the nine months ended September 30, 2020, compared to a tax expense of HKD 84,000 in the same period of 2019[124]. - The company incurred listing expenses in the first three quarters of 2020, impacting the net profit for the period[29]. - The company incurred listing expenses of HKD 12.3 million during the first three quarters of 2020, impacting the profit for the period[50]. Market Presence and Strategy - The proprietary trading platform and advanced technology contributed to the company's trading strategies and market coverage[12][10]. - The company has established a global presence with offices in Asia, the US, and Europe, enabling 22-hour trading coverage[11]. - True Partner Capital Holding Limited focuses on volatility trading in liquid markets, primarily in index futures, options, and ETFs[6]. - The group focuses on liquidity market volatility trading, utilizing a global relative volatility value trading strategy across major markets[37]. - The company actively engaged with professional and institutional investors, participating in various virtual conferences during the COVID-19 pandemic[60][61]. - The company plans to continue hosting regular webinars for investors, which have become a quarterly activity[61]. - The group believes that the Chinese market will provide attractive long-term opportunities for skilled asset management professionals, leading to a partnership with Nanhua Futures[66]. - The group anticipates that ongoing uncertainties from COVID-19 will create opportunities for engaging with investors and advancing business development activities[72]. Corporate Governance and Compliance - The company aims to provide strong leadership by having Ralph Paul Johan van Put serve as both Chairman and CEO, which is considered beneficial for the overall interests of the company and its shareholders[102]. - The company has adopted corporate governance practices in accordance with GEM listing rules to ensure compliance and oversight of the board's operations[102]. - The company has established an audit committee to oversee the financial reporting process and internal control systems[106]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited condensed consolidated financial results and found them compliant with applicable accounting standards and GEM listing rules[106]. - The company is committed to regularly reviewing its corporate governance practices to ensure ongoing compliance with the relevant standards[102]. - The company has not disclosed any significant conflicts of interest among its directors or major shareholders[100]. Share Issuance and Utilization - The company completed the issuance of 100,000,000 new ordinary shares at HKD 1.40 per share, raising a net amount of HKD 104 million[82]. - The net proceeds from the share issuance are intended to be used according to the plans disclosed in the prospectus, with most of the funds currently held in interest-bearing deposits at licensed banks in Hong Kong[83]. - The company has not utilized the net proceeds from the share issuance as of the report date[83]. - The majority of the unutilized proceeds are currently stored in a licensed bank in Hong Kong as interest-bearing deposits[83]. - The company has conditionally approved a total of 8,997,804 share options under the pre-IPO share option scheme, representing over 2.25% of the total issued share capital post-IPO[100]. - As of September 30, 2020, the company has not purchased, sold, or redeemed any of its listed securities during the nine months ending on that date[105]. Financial Highlights - The company reported a pre-tax profit of HKD 36,593,786 for the nine months ended September 30, 2020, compared to HKD 17,456,700 in the same period of 2019, showing a growth of 109%[151]. - The total comprehensive income for the nine months ended September 30, 2020, was HKD 11,711,000, compared to a loss of HKD 6,990,000 in the same period of 2019[127]. - Non-controlling interests contributed HKD 599,000 to the total comprehensive income for the nine months ended September 30, 2020, compared to HKD 514,000 in the same period of 2019[127]. - The company operates primarily in Hong Kong, with additional trading offices in Chicago to enhance trading opportunities globally[139]. - The effective tax rate for Hong Kong profits is 16.5%, with a reduced rate of 8.25% applicable to the first HKD 2,000,000 of taxable profits for qualifying subsidiaries[154].
TRUE PARTNER(08657) - 2020 Q3 - 季度财报