Financial Performance - The group's revenue for the nine months ended December 31, 2022, was approximately HKD 29.3 million, a decrease of about 17.3% compared to the same period in 2021[5] - The loss for the nine months ended December 31, 2022, was approximately HKD 6.2 million, an increase of about 63.8% compared to the same period in 2021[5] - Revenue for the three months ended December 31, 2022, was HKD 8.45 million, down from HKD 10.81 million in the same period of 2021[7] - The total comprehensive loss for the nine months ended December 31, 2022, was HKD 6.22 million, compared to HKD 3.76 million in the same period of 2021[7] - The company reported a loss attributable to owners of the company of HKD 6.141 million for the nine months ended December 31, 2022, compared to a loss of HKD 3.794 million for the same period in 2021[26] - The company recorded a loss attributable to owners of approximately HKD 6.1 million for the nine months ended December 31, 2022, compared to HKD 3.8 million in 2021, primarily due to restaurant closures and strict pandemic measures[42] Revenue Breakdown - Revenue from Hong Kong operations for the nine months was HKD 27,055,000, down 14.4% from HKD 31,589,000 in the previous year[15] - Franchise fee income for the nine months was HKD 483,000, a decline of 30.2% from HKD 693,000 in the same period last year[15] - Revenue from China for the nine months was HKD 664,000, an increase of 15.9% from HKD 573,000 in the previous year[18] Expenses and Costs - The cost of inventory for the nine months ended December 31, 2022, was HKD 7.48 million, compared to HKD 8.33 million in the same period of 2021[7] - Employee costs for the nine months ended December 31, 2022, were HKD 15.16 million, slightly up from HKD 15.02 million in the same period of 2021[7] - The total employee costs increased from HKD 15.022 million in the nine months ended December 31, 2021, to HKD 17.177 million in the same period of 2022, representing an increase of approximately 14.3%[22] - Rental and related expenses rose by approximately HKD 0.3 million or 17.3% due to a new lease agreement established during the nine months ended December 31, 2022[36] - Other expenses decreased from approximately HKD 10.2 million to about HKD 8.7 million, a reduction of approximately 14.8%, primarily due to revenue decline and cost control measures[38] Other Income and Financial Metrics - The company reported other income of HKD 1.72 million for the nine months ended December 31, 2022, compared to HKD 0.46 million in the same period of 2021[7] - Government subsidies received amounted to HKD 1,456,000 for the nine months, compared to none in the previous year[20] - The company reported a net foreign exchange loss of HKD 24,000 for the nine months, contrasting with a gain of HKD 1,000 in the previous year[20] - Total other income for the nine months was HKD 1,716,000, significantly up from HKD 455,000 in the same period last year[20] Corporate Governance and Compliance - The company has adopted the GEM Listing Rules for securities trading by directors, confirming compliance during the nine months ended December 31, 2022[51] - The company has established an audit committee to oversee financial reporting and internal control processes, with members being independent non-executive directors[57] - The audit committee reviewed the financial performance and accounting principles for the nine months ended December 31, 2022, ensuring compliance with applicable standards[57] - The company emphasizes good corporate governance practices to enhance shareholder value and effective management[53] - The company deviated from the corporate governance code by having the same individual serve as both Chairman and CEO since February 1, 2022[55] Future Outlook and Strategy - The company aims to enhance operational efficiency and profitability while benefiting from the easing of travel restrictions globally starting in Q4 2022[43] - The company is actively seeking potential business opportunities and partnerships to expand revenue sources and improve shareholder returns[43] Shareholder Information - As of December 31, 2022, Mr. Tang Zhenhao held a 5.46% equity interest in the company through Brilliant Trade Enterprises Limited[44] - As of December 31, 2022, Brilliant Trade holds 3,001,000 shares, representing 5.46% of the company's equity[47] - No major shareholders or other individuals held or were deemed to hold interests in the company's shares exceeding 10% as of December 31, 2022[47] Miscellaneous - The company did not purchase, sell, or redeem any of its listed securities during the nine months ended December 31, 2022[49] - There were no competitive businesses or conflicts of interest involving directors or major shareholders during the nine months ended December 31, 2022[50] - There were no significant events occurring after December 31, 2022, up to the report date[56] - The company incurred a tax expense of HKD 47,000 for the nine months ended December 31, 2022, compared to HKD 131,000 for the same period in 2021[23] - Income tax expense for the nine months ended December 31, 2022, was approximately HKD 137,000, down from HKD 854,000 in 2021, mainly due to temporary differences in tax bases[41] - The company has not applied any new accounting standards that have been issued but not yet effective, expecting no significant impact on its financial performance[13] - The company continues to assess the impact of new accounting standards and anticipates no significant effects on its operational performance and financial position[13]
赏之味(08096) - 2023 Q3 - 季度财报