Revenue Growth - The virtual asset business recorded a significant revenue growth of approximately 1,289%, contributing about 19% to the total revenue of the company[10]. - Traditional securities business revenue increased by approximately 42% compared to 2023, despite high interest rates and liquidity issues in Hong Kong[10]. - The group's revenue for the year ended December 31, 2024, was approximately HKD 74.96 million, an increase of about 36.4% compared to HKD 54.97 million for the year ended December 31, 2023[14]. - The group reported a loss of approximately HKD 2.32 million for the year ended December 31, 2024, a significant reduction of about 90.7% from a loss of HKD 25.08 million in the previous year[15]. - Revenue from virtual asset trading and related services reached approximately HKD 14.31 million, a significant increase of 1,289.0% from HKD 1.03 million in the previous year, marking it as a new business segment[41]. - The brokerage service revenue was approximately HKD 13.37 million, up 1.4% from HKD 13.18 million, driven by a 21.1% increase in total trading volume in the Hong Kong stock market[37]. - The placement and underwriting service revenue increased by 169.3% to approximately HKD 4.26 million from HKD 1.58 million, attributed to the group's efforts in capital market opportunities[38]. - Asset management service revenue rose by 10.3% to approximately HKD 8.23 million, compared to HKD 7.46 million, due to increased revenue from new clients[42]. - Financing service revenue decreased by 12.4% to approximately HKD 17.40 million from HKD 19.86 million, primarily due to a cautious market environment[41]. - The financial advisory service revenue increased by 214.6% to approximately HKD 0.65 million from HKD 0.21 million, with potential opportunities dependent on China's economic recovery[43]. Business Expansion and Diversification - The company has diversified its operations across multiple regions, including Hong Kong, Qianhai, Shenzhen, Singapore, and Japan, to mitigate regional operational risks[10]. - The company aims to expand its virtual asset-related business into Southeast Asia and other regions to capitalize on new market opportunities[10]. - The company has obtained a license from the Securities and Futures Commission to trade or underwrite structured products related to virtual assets[8]. - The company has become the first and only licensed entity in Hong Kong to provide virtual asset trading, consulting, and asset management services[33]. - The asset management division has received licenses in Japan, Singapore, and China, indicating significant expansion potential[30]. - The company is focusing on expanding its asset management services through the establishment of private equity funds in China, Singapore, and Japan[25]. - The company has launched the "VictoryX" app, allowing simultaneous trading of securities and virtual assets, marking a significant technological advancement[33]. - The group expects its virtual asset business to be a major growth driver in the coming year, with a complete product line providing a unique advantage over competitors[11]. Financial Performance and Management - The group plans to enhance its business model and product lines in 2025 to address increasing competition and customer expectations[12]. - The group has invested heavily in system integration and infrastructure, including trading applications and backend systems, to support 24/7 trading of securities and virtual asset products[11]. - The group has seen an increase in revenue from virtual asset trading and related services, contributing to the overall revenue growth[15]. - The company raised approximately HKD 17.70 million from the subscription of 7,200,000 new shares, with a net price of about HKD 2.46 per share[60]. - As of December 31, 2024, the net proceeds from the subscription have been fully utilized, with approximately HKD 6.20 million allocated to enhance IT infrastructure and HKD 11.50 million for general working capital[61]. - The total employee cost for the year ending December 31, 2024, was approximately HKD 39.03 million, an increase from HKD 32.15 million for the previous year[65]. - The company had a total of 65 full-time employees as of December 31, 2024, compared to 50 employees as of December 31, 2023[65]. Corporate Governance and Board Structure - The company’s board of directors includes experienced individuals with over 34 years and 50 years of experience in the securities industry, respectively[67][70]. - The board consists of 7 members, including 3 executive directors, 1 non-executive director, and 3 independent non-executive directors[87]. - The company has fully complied with the corporate governance code as per GEM listing rules for the year ending December 31, 2024[85]. - The independent non-executive directors represent over one-third of the board, ensuring adherence to financial reporting standards[91]. - The company has established three permanent committees: Audit Committee, Remuneration Committee, and Nomination Committee[90]. - The board is responsible for leading and monitoring the company, with delegated powers for daily operations to executive directors and senior management[90]. - The company ensures that all board meeting records are properly maintained by the company secretary[94]. - The company has established a clear division of responsibilities between the Chairman and the CEO to maintain a balance of power[99]. Risk Management and Compliance - The company has established a strong risk management and internal control system to protect shareholder interests and manage operational risks[121]. - The risk management committee was established in 2017 and is currently chaired by Mr. Zhao Ziliang, with other members including the Chief Financial Officer and the Operations Director[138]. - The financial department continuously monitors compliance with financial resource return regulations, ensuring timely reporting to management and the regulatory authority[144]. - The company has implemented a multi-tiered risk management framework to identify, assess, and monitor financial and operational risks[136]. - The operations department ensures customer funds are managed according to regulatory requirements, mitigating legal and regulatory risks[140]. - The compliance department establishes internal control standards and regularly reviews compliance with legal and regulatory developments[141]. - The risk management framework aims to provide reasonable assurance against significant misstatements or losses, rather than absolute guarantees[135]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report covers significant ESG issues related to the company's main business operations, which include securities, futures, and asset management services, for the period from January 1, 2024, to December 31, 2024[155]. - The board of directors is responsible for overseeing the company's ESG initiatives and has developed a tailored action plan to implement established policies and goals[154]. - The company emphasizes stakeholder engagement as a key factor in its decision-making and strategic planning processes, utilizing various communication channels to assess stakeholder concerns[156]. - The company is committed to sustainable development through robust governance and risk management measures related to ESG issues[161]. - The company has implemented a comprehensive environmental, social, and governance (ESG) risk management framework, demonstrating a strong commitment to ESG requirements[164]. - The company has not identified any significant ESG risks based on its business nature, but continues to adhere to monitoring procedures to manage potential issues[164]. - The company has implemented comprehensive environmental measures to reduce emissions and promote sustainable business practices[176]. - The company encourages employee participation in environmental policy planning and implementation to promote stakeholder engagement in environmental initiatives[177]. Employee Engagement and Diversity - Employee satisfaction and well-being are considered fundamental drivers of the company's success, with a focus on diversity and inclusion in the workplace[189]. - The total number of employees as of December 31, 2024, is 69, an increase from 52 in 2023[192]. - The employee demographic breakdown shows 65% are aged 31 to 50, 22% are aged 18 to 30, and 6% are aged 50 and above[192]. - The gender distribution of employees is 64% male and 36% female[194]. - The company adheres to all applicable labor laws and regulations, including the Employment Ordinance and the Minimum Wage Ordinance[200]. - The company has implemented competitive compensation and a favorable work environment to retain talent[197]. - The employee retention strategy includes systematic exit interviews to gather constructive feedback[197]. - The company has established strict guidelines to prevent the hiring of child or forced labor[197].
胜利证券(08540) - 2024 - 年度财报