Financial Performance - The group's revenue increased by approximately HKD 80.71 million or 44.80%, from about HKD 180.16 million for the nine months ended September 30, 2021, to approximately HKD 260.87 million for the nine months ended September 30, 2022[14]. - For the nine months ended September 30, 2022, the company recorded a profit of approximately HKD 9.04 million, an increase of 5.7% compared to HKD 8.55 million for the same period in 2021[17]. - Revenue for the nine months ended September 30, 2022, was approximately HKD 260.87 million, representing a 44.7% increase from HKD 180.15 million in the same period of 2021[23]. - Gross profit for the nine months ended September 30, 2022, was approximately HKD 35.26 million, up 16.8% from HKD 30.21 million for the same period in 2021[23]. - The company reported a total revenue of HKD 101.944 million for the three months ended September 30, 2022, compared to HKD 63.968 million in the same period of 2021, marking a growth of 59.2%[34]. - For the three months ended September 30, 2022, the company reported a profit attributable to shareholders of HKD 4,330,000, compared to HKD 1,184,000 for the same period in 2021, representing an increase of 265.4%[45]. - For the nine months ended September 30, 2022, the profit attributable to shareholders was HKD 9,044,000, up from HKD 8,554,000 in 2021, reflecting a growth of 5.7%[45]. Cost and Expenses - Sales cost rose by approximately HKD 75.67 million or 50.47%, from about HKD 149.94 million for the nine months ended September 30, 2021, to approximately HKD 225.61 million for the nine months ended September 30, 2022[14]. - Gross margin decreased from 16.77% for the nine months ended September 30, 2021, to 13.52% for the nine months ended September 30, 2022, primarily due to rising raw material and production costs[14]. - The company's administrative expenses increased by approximately HKD 3.16 million or 21.19% to about HKD 18.04 million for the nine months ended September 30, 2022, compared to HKD 14.89 million for the same period in 2021[17]. - Financing costs rose by approximately HKD 0.58 million or 40.57% to about HKD 2.01 million for the nine months ended September 30, 2022, due to increased interest rates[17]. - Total employee costs, including directors' remuneration, amounted to HKD 34.956 million for the nine months ended September 30, 2022, compared to HKD 30.790 million in the same period of 2021, reflecting an increase of 13.5%[39]. - The financing costs for the nine months ended September 30, 2022, totaled HKD 2.007 million, up 40.4% from HKD 1.428 million in the same period of 2021[37]. Sales and Product Performance - Transformers continued to be the flagship product, accounting for approximately 55.48% of the group's sales for the nine months ended September 30, 2022, compared to 51.71% for the same period in 2021[9]. - Revenue from transformer sales increased to HKD 144.728 million for the nine months ended September 30, 2022, up 55.3% from HKD 93.160 million in the same period of 2021[31]. - Revenue from electronic components sales increased to HKD 112.548 million for the nine months ended September 30, 2022, up 34.5% from HKD 83.685 million in the same period of 2021[31]. - Customer contract revenue reached HKD 260.870 million for the nine months ended September 30, 2022, representing a 44.7% increase compared to HKD 180.155 million in the prior year[31]. Other Income and Gains - Other income increased by approximately HKD 0.83 million or 130.17%, from about HKD 0.64 million for the nine months ended September 30, 2021, to approximately HKD 1.47 million for the nine months ended September 30, 2022[15]. - Other gains surged by approximately HKD 1.83 million or 3,524.97%, from about HKD 0.05 million for the nine months ended September 30, 2021, to approximately HKD 1.88 million for the nine months ended September 30, 2022[15]. Research and Development - Research and development expenses for the nine months ended September 30, 2022, were HKD 3.903 million, an increase of 65.7% from HKD 2.354 million in the same period of 2021[39]. Corporate Governance and Compliance - The company has maintained compliance with the GEM Listing Rules regarding securities transactions by directors during the reporting period[60]. - The board believes that integrating core elements of good corporate governance into the management structure helps balance the interests of shareholders, customers, and employees[66]. - The company has complied with the corporate governance code for the nine months ending September 30, 2022[67]. - The board confirmed that there are no known circumstances that would require disclosure under GEM Listing Rules as of September 30, 2022[69]. Risk Management - The Risk Management Committee was established on February 2, 2016, to oversee risk governance and hedging policies, including copper futures purchases[65]. - The company adopted a series of new hedging policies on September 29, 2021, which the Risk Management Committee is responsible for reviewing and approving[65]. - The company has adopted new hedging policies regarding copper options contracts to better control material costs amid supply chain uncertainties[18]. Dividends and Shareholder Information - The company did not declare or propose any dividends for the nine months ended September 30, 2022, consistent with the previous year[42]. - The board of directors did not recommend any interim dividend for the nine months ended September 30, 2022, consistent with the previous year[55]. - There were no share options granted, exercised, or cancelled under the share option scheme during the nine months ended September 30, 2022[56]. - The company did not repurchase any of its own shares during the period from January 1 to September 30, 2022[58]. Audit and Review - The audit committee reviewed the unaudited consolidated financial results for the nine months ended September 30, 2022, and had no objections to the accounting treatments adopted by the group[64]. - The company has not applied any new or revised Hong Kong Financial Reporting Standards that have been issued but are not yet effective, and is currently assessing their potential impact[30]. Market Outlook - The management is optimistic about market demand for clean energy equipment, particularly electronic components, driven by global policies favoring renewable and sustainable development[18]. - The group observed a rise in average copper prices and is focused on improving production efficiency to reduce waste and overall production costs[10]. - The company has increased production capacity during the review period to meet the growing demand from its developed customer base[18]. Comprehensive Income - The total comprehensive income for the nine months ended September 30, 2022, was approximately HKD 6.61 million, compared to HKD 8.80 million for the same period in 2021[23]. - Basic and diluted earnings per share for the nine months ended September 30, 2022, were HKD 4.52, compared to HKD 4.28 for the same period in 2021[23].
侨洋国际控股(08070) - 2022 Q3 - 季度财报