Financial Services Development - The net amount raised from the placement was approximately HKD 24.3 million, fully utilized for the development of financial services, including enhancing the group's guarantee financing operations[5]. Share Options - As of December 31, 2021, a total of 72 million share options were granted to directors, 48 million to employees, and 39 million to consultants under the 2011 share option plan[8]. - The fair value of the share options granted to directors was approximately HKD 2.51 million, to employees was about HKD 1.05 million, and to consultants was around HKD 1.68 million[10]. - The expected volatility used in the option pricing model was 58.63%, with a risk-free rate of 0.63%[11]. - The company decided to pay consulting fees in cash instead of share options due to business reasons, leading to the cancellation of the options granted to consultants[18]. Loans and Borrowing - As of December 31, 2021, the company had 14 outstanding unsecured loans totaling approximately RMB 19.0 million, with an average effective annual interest rate of 19.3% and terms ranging from 12 to 120 months[32]. - The company also had 1 outstanding secured loan amounting to approximately RMB 3.5 million, with an effective annual interest rate of 10.0% and a term of 12 months[32]. - The collateral for the secured loan is non-listed shares valued at approximately RMB 2,155,000 from a company registered in Singapore[32]. - The primary sources of potential borrowers are existing customers, employees, or referrals from business partners[20]. - The company conducts thorough credit risk assessments for potential borrowers, considering factors such as repayment history and financial status[21][23]. - Loan terms are determined based on various factors, including the borrower's credit history and market conditions, with higher rates for unsecured loans compared to secured loans[24]. - The company closely monitors repayment records of receivables and conducts reviews every six months[27]. - In case of default, the company issues reminders after 7 days of non-payment and may engage external collection agencies if no response is received within 90 days[28]. - The company does not require potential borrowers to meet minimum asset or income thresholds, but lower income or net worth may result in higher assessed credit risk[23]. - The total outstanding loans as of December 31, 2021, amounted to RMB 28,853,915, with a net amount of RMB 22,539,490 after accounting for confirmed impairment losses of RMB 6,314,425[36]. - Approximately 23% (around RMB 6,524,000) of the outstanding loans are concentrated in the largest borrower, while 77% (approximately RMB 22,315,000) are concentrated in the top five borrowers[47]. - The company has conducted bankruptcy investigations on borrowers every six months, resulting in a write-off of approximately RMB 0.6 million for the year ended December 31, 2021[47]. Financing Leasing and Factoring - The financing leasing and factoring business primarily operates through Tianyi Financing Leasing (Shenzhen) Co., Ltd., focusing on individual customers and mobile industry enterprises[50]. - The financing leasing agreements typically range from 3 to 36 months, with loan amounts generally not exceeding RMB 10,000[50]. - The interest rates for financing leases are determined at the contract date and include guaranteed residual values[50]. - As of the announcement date, there are eight outstanding loans that are in default[39]. - The company is negotiating revised repayment plans with several borrowers, and legal actions may be initiated if positive outcomes are not achieved[36]. - The company has made provisions for expected credit losses based on historical loss rates and forward-looking macroeconomic data[47]. - All outstanding loans do not constitute a notifiable transaction under the Listing Rules[47]. - As of December 31, 2021, the company had 9,579 outstanding financing lease receivables amounting to RMB 85 million, with an average effective annual interest rate of approximately 41.7%[54]. - The company also reported 31 outstanding factoring receivables totaling RMB 24 million, with an average effective annual interest rate of about 21.3%[54]. - The largest lessee accounted for approximately 0.06% (around RMB 11,000) of the financing lease receivables, while the top five lessees represented about 0.28% (around RMB 52,000)[54]. - In the factoring business, the largest customer accounted for approximately 16.35% (around RMB 388,000) of the receivables, and the top five customers made up about 53.47% (around RMB 1,268,000)[54]. - The company recognized an impairment loss provision for financing lease receivables of approximately RMB 7.5 million during the year, primarily due to increased default rates linked to the economic slowdown caused by the COVID-19 pandemic[54].
未来发展控股(01259) - 2022 Q3 - 季度财报