Financial Performance - Revenue for the year ended December 31, 2024, was approximately HK$1.83 million, representing a decrease of approximately 71.18% from HK$6.35 million for the year ended December 31, 2023[28]. - The Group recorded a consolidated loss attributable to owners of approximately HK$85.99 million for the year ended 31 December 2024, a decrease from approximately HK$152.95 million for the year ended 31 December 2023, primarily due to a significant decrease in impairment on loans and interest receivables[71]. - The net interest margin for the year ended December 31, 2024, was approximately 3.74%, down from approximately 12.00% for the previous year[35]. - Unsecured loans' net interest margin decreased from approximately 13.78% in 2023 to approximately 5.90% in 2024[37]. - The Group's other income increased from approximately HK$30,000 for the year ended December 31, 2023, to approximately HK$3.91 million for the year ended December 31, 2024[40]. - The Group recorded other gains of approximately HK$0.87 million for the year ended December 31, 2024, compared to a loss of approximately HK$4.53 million for the year ended December 31, 2023[41]. Loan Activity and Management - The Group's loan balance decreased from approximately HK$96.59 million as of December 31, 2023, to approximately HK$12.29 million as of December 31, 2024, indicating a significant reduction in lending activity[18]. - The Company adopted a more cautious approach to granting new loans due to a deteriorating economic environment, leading to a decrease in interest income during the 2023 and 2024 fiscal years[19]. - The Company plans to focus on identifying high-quality individual customers for personal loans in 2025, implementing more stringent criteria for customer selection to mitigate default risks[21]. - The Group aims to focus resources on developing personal loans for quality individual clients by implementing stricter customer selection criteria[24]. - The Group will continue to monitor credit risk and modify credit assessments as necessary to manage loan receivables[29]. - The total expected credit loss (ECL) on loans receivables for 2024 was approximately (HK$7.03 million), compared to HK$137.07 million for 2023, indicating a significant improvement in credit quality[62]. Economic Environment and Strategy - The management is confident that the Group will navigate through the global economic recession and reach an economic recovery stage in the near future[20]. - The post-COVID recovery in Hong Kong was short-lived, impacting the Group's business and profitability negatively[19]. - The Company is implementing various budget control measures to manage expenses effectively[22]. - The Company plans to maintain adequate funding through various means to capture potential opportunities in the market[27]. Corporate Governance - The Company has complied with the GEM Listing Rules regarding the composition of the Board, which includes at least three independent non-executive Directors, representing at least one-third of the Board[116]. - The Board consists of two executive Directors and three independent non-executive Directors, with independent Directors representing more than one-third of the Board[123]. - The Company has adopted a code of conduct for securities transactions by Directors, with no incidents of non-compliance reported during the year[109]. - The Board is responsible for the strategic development of the company, aiming to maximize long-term shareholder value while balancing broader stakeholder interests[115]. - The Company has maintained sound corporate governance practices, applying principles from the Corporate Governance Code to ensure effective Board operations and transparency[106]. Compliance and Risk Management - The compliance committee was established in 2010 to ensure compliance with relevant laws and regulations, including the Money Lenders Ordinance and GEM Listing Rules[188]. - The compliance committee identified no material compliance issues during the review year and made several recommendations to the Board regarding internal control and corporate governance[196]. - The credit committee was formed in 2007 to manage credit risk and operations, approving and overseeing the Group's credit policy[186]. - The credit review committee conducts periodic reviews of loan cases based on credit risk reports[197]. Operational Efficiency - Administrative expenses decreased to approximately HK$4.85 million for the year ended December 31, 2024, compared to approximately HK$10.12 million for the year ended December 31, 2023[47]. - Other operating expenses decreased to approximately HK$3.72 million for the year ended December 31, 2024, compared to approximately HK$5.29 million for the year ended December 31, 2023, mainly due to reduced debt collection agency service fees[67]. - Finance costs for the year ended 31 December 2024 were approximately HK$0.09 million, a decrease from approximately HK$0.15 million for the year ended December 31, 2023[66]. Share Trading and Communication - Trading of the company's shares has been suspended since November 24, 2017, and will remain suspended until further notice[98]. - The company is actively communicating with the Securities and Futures Commission (SFC) to address concerns and expedite the resumption of trading, although a concrete timeline for resumption is not available at this stage[101].
FIRST CREDIT(08215) - 2024 - 年度业绩