Financial Performance - The company's revenue for the three months ended March 31, 2022, was RMB 26,391,000, a decrease of 7.6% compared to RMB 28,571,000 for the same period in 2021[4] - Gross profit for the same period was RMB 4,131,000, down 18% from RMB 5,039,000 year-on-year[4] - The company reported a net loss before tax of RMB 5,935,000, compared to a loss of RMB 1,272,000 in the previous year, indicating a significant increase in losses[4] - The basic and diluted loss per share was RMB 0.86, compared to RMB 0.18 for the same period in 2021[7] - The total comprehensive loss for the period was RMB 6,754,000, compared to a comprehensive income of RMB 328,000 in the previous year[4] - Other income increased to RMB 589,000 from RMB 407,000 year-on-year, reflecting a growth of 44.7%[4] - The company reported a loss attributable to owners of approximately RMB 5,932,000, compared to a loss of RMB 1,267,000 in the same period last year[24] Expenses - The company incurred selling and distribution expenses of RMB 1,614,000, down 35% from RMB 2,488,000 in the previous year[4] - Administrative expenses decreased to RMB 4,498,000 from RMB 6,583,000, a reduction of 31.8% year-on-year[4] - Selling and distribution expenses decreased by approximately RMB 874,000 or 35.1% to about RMB 1,614,000, representing 6.1% of total revenue[32] - Interest expenses on corporate bonds were RMB 293,000, a slight decrease from RMB 301,000 in the previous year[21] - Total employee costs, including directors' remuneration, were approximately RMB 2,413,000 for the three months ended March 31, 2022, compared to RMB 2,472,000 in 2021[35] Revenue Breakdown - Outdoor and digital advertising revenue decreased by approximately RMB 3,334,000 or 17.0% to RMB 16,299,000, primarily due to intense competition[27] - Film and entertainment investment revenue increased by approximately RMB 1,121,000 or 29.8%, reflecting a recovery from the impact of the COVID-19 pandemic[28] - Prepaid card revenue slightly increased by approximately RMB 33,000 or 0.6% to RMB 5,211,000[30] - Overall gross profit decreased by approximately RMB 908,000 or 18.0% to about RMB 4,131,000, with a gross margin decline from approximately 17.6% to 15.7%[26] - Other income and losses turned into a loss of approximately RMB 4,241,000, a decrease of about RMB 6,898,000 or 259.6% compared to a profit of RMB 2,657,000 in the same period last year[31] Equity and Governance - The company’s total equity as of March 31, 2022, was RMB 120,731,000, down from RMB 126,070,000 at the beginning of the year[10] - The company has maintained high standards of corporate governance and has complied with the corporate governance code[37] - The company has adopted a code of conduct for directors' securities transactions, confirming compliance with the relevant regulations[48] - Mr. Yuen holds 57,602,000 shares, representing approximately 8.33% of the company's equity, through a controlled corporation[42] - New Tong Investment Limited holds 36,412,200 shares, representing approximately 5.27% of the company's equity[45] Employee Information - The group employed a total of 39 employees in China and Hong Kong as of March 31, 2022, down from 45 employees in 2021[35] Future Outlook - The company will continue to focus on developing its outdoor and digital advertising business as well as its prepaid card business, while actively seeking sustainable development opportunities[36] - The financial performance in 2022 may continue to be affected by uncertainties due to the recent outbreak of the Omicron variant in Hong Kong and mainland China[36] Stock Options and Share Placement - As of March 31, 2022, there were 57,600,000 unexercised options under the old stock option plan, with an exercise price of HKD 0.078 per share[49] - On April 11, 2022, the company granted a total of 69,120,000 stock options to employees under the new stock option plan at an exercise price of HKD 0.112 per share[50] - The company agreed to place up to 138,240,000 placement shares at a price of HKD 0.085 per share, conditional on the placement agreement signed on May 6, 2022[50] Audit and Compliance - The audit committee reviewed the unaudited performance of the group for the three months ended March 31, 2022, ensuring compliance with applicable accounting standards and GEM listing rules[52] - The audit committee consists of three independent non-executive directors as of March 31, 2022[52]
中国三三传媒(08087) - 2022 Q1 - 季度财报