Financial Performance - The Group recorded a loss attributable to owners of the Company of approximately HK$64.0 million for the year ended 31 December 2021, compared to a loss of approximately HK$18.8 million for the previous year, marking an increase in loss of approximately HK$45.2 million[11]. - The increase in loss was mainly due to a loss arising from changes in the fair value of financial assets at fair value through profit or loss, amounting to approximately HK$43.1 million[11]. - For the year ended 31 December 2021, the Group recorded a loss attributable to owners of approximately HK$64.0 million, an increase of approximately HK$45.2 million compared to a loss of HK$18.8 million for the year ended 31 December 2020[23]. - The increase in loss was mainly due to a loss arising from a change in fair value of financial assets at fair value through profit or loss of approximately HK$43.1 million[23]. - The Group's net asset value decreased to approximately HK$214,213,000 as of December 31, 2021, down from HK$278,243,000 in 2020, indicating a decline of about 23%[143]. - The Group reported a loss of approximately HK$64,030,000 for the year ended December 31, 2021, primarily due to a loss of approximately HK$48,731,000 from changes in fair value of financial assets and administrative expenses of approximately HK$20,849,000[143]. Market Conditions - The Company anticipates that the contraction of the Federal Reserve's balance sheet and the potential rate hikes to combat inflation will negatively impact the market[12]. - The ongoing Russia/Ukraine conflict has contributed to negative market sentiment and concerns regarding the widening differences between the United States and China[12]. - The Federal Reserve's expected end to quantitative easing and rate hikes are anticipated to negatively impact the market[90]. Investment Strategy - The Company plans to focus on identifying and purchasing strong companies that are trading at attractive values while increasing its cash position for future reinvestment opportunities[13]. - The Company aims to invest in Web3 platforms that provide holistic solutions catering to the needs of Generation Z, who are born after the computer era[13]. - The outlook for 2022 remains uncertain, with the Company focusing on finding and purchasing strong companies at attractive values[90]. - The Company plans to increase its cash position and reinvest when suitable opportunities arise[90]. - The Company will continue to invest in Web3 platforms to cater to the needs of Generation Z in the digital era[90]. - The Company is adopting a conservative approach to investment in response to rapid changes in the investment market[96]. Corporate Development - The company emphasizes the importance of corporate development and social responsibility in its future growth strategy[70]. - The Group is committed to environmentally responsible operations, promoting recycling and energy-saving measures among employees[143]. - The Group will review its environmental practices periodically and consider implementing further eco-friendly measures[143]. - The Group emphasizes the importance of maintaining good relationships with employees and stakeholders to achieve its short-term and long-term goals[141]. - The Group has established a framework for motivating staff and formal communication channels to maintain healthy relationships with stakeholders[141]. Financial Position - As of December 31, 2021, the Group had cash and cash equivalents of approximately HK$2,371,000, down from HK$2,681,000 in 2020[88]. - The Group's net current assets were approximately HK$206,816,000, compared to HK$268,231,000 as of December 31, 2020[88]. - The gearing ratio increased to 16.5% in 2021 from 14.7% in 2020[88]. - A portfolio of listed equity and debt securities held under margin account was valued at approximately HK$91,319,000, down from HK$148,537,000 in 2020[88]. - The current ratio of the Group was 6.76, compared to 7.44 as of December 31, 2020[88]. - The Group had no material capital commitments or contingent liabilities as of December 31, 2021[88]. Regulatory Environment - The Group actively monitors changes in the regulatory environment to ensure compliance and allocate sufficient resources for necessary changes[143]. - The Directors believe that the Company is unable to declare or pay dividends due to its current liabilities exceeding its assets[172]. - The Group maintained compliance with relevant laws and regulations, with no incidents of non-compliance that had a significant impact during the year[143]. Shareholder Information - China Lead Investment Holdings Limited holds 525,191,925 shares, representing approximately 74.99% of the issued share capital of the Company[156]. - The Group's distributable reserves available for distribution to shareholders as of December 31, 2021, amounted to approximately HK$1,837,000, a significant decrease from HK$62,557,000 as of December 31, 2020[172]. - The Directors do not recommend the payment of any dividend for the year ended December 31, 2021, consistent with the previous year where no dividend was declared[172]. - The Company’s total issued shares as of December 31, 2021, were 700,333,925[193]. Management and Personnel - The Group's total staff costs for the year ended 31 December 2021 amounted to approximately HK$11,292,000, an increase of 30.1% from HK$8,657,000 in 2020[109]. - The Company is committed to providing competitive reward and benefit packages to attract and retain key personnel[130]. - The remuneration policies for employees are regularly reviewed based on market conditions and individual performance[108].
胡桃资本(00905) - 2021 - 年度财报