Financial Performance - The total revenue for the group during the reporting period was approximately HKD 10,700,000, with a net loss of about HKD 6,800,000[5]. - The group's revenue for the three months ended March 31, 2022, was approximately HKD 10,700,000, a decrease of about 5% compared to the same period last year[22]. - For the three months ended March 31, 2022, the company reported revenue of HKD 10,657,918, a decrease of 5.3% from HKD 11,255,273 for the same period in 2021[39]. - The gross profit for the same period was HKD 6,770,098, compared to HKD 7,073,943 in the previous year, reflecting a decline of 4.3%[39]. - The group recorded a loss attributable to owners of approximately HKD 6,900,000 for the three months ended March 31, 2022, compared to a loss of approximately HKD 5,300,000 in the same period last year[23]. - The company recorded a loss before tax of HKD (6,550,160), which is an increase of 34.3% from a loss of HKD (4,876,175) in the prior year[39]. - The net loss for the period was HKD (6,754,636), compared to a net loss of HKD (5,119,765) in the same quarter of 2021, representing a year-over-year increase of 32.0%[42]. - Basic and diluted loss per share was HKD (12.05), compared to HKD (9.24) for the same period last year, indicating a deterioration in earnings per share[42]. - The group's EBITDA for the three months ended March 31, 2022, was approximately HKD 3,800,000, compared to approximately HKD 2,200,000 in the previous year[23]. - The company's administrative expenses were HKD (13,004,620), compared to HKD (12,078,439) in the previous year, reflecting a rise of 7.6%[39]. Revenue Breakdown - Revenue from the advertising and media business was approximately HKD 8,600,000, which has not yet recovered to pre-COVID-19 levels[5]. - The advertising and media segment generated revenue of HKD 8,614,294, while the financial services segment contributed HKD 2,043,624[57]. - Revenue from customer contracts was HKD 8,744,580, while revenue from other sources was HKD 1,913,338, leading to total revenue of HKD 10,657,918[52]. - Revenue from Hong Kong customers was HKD 5,723,303, down from HKD 7,094,462, representing a decline of 19.3%[53]. - Revenue from Singapore customers was HKD 4,934,615, an increase of 10.5% compared to HKD 4,466,762 in the previous year[53]. - The financial services segment generated revenue of approximately HKD 2,000,000 during the reporting period[5]. Business Operations and Strategy - The group expanded its digital outdoor media network to cover 1,564 selected locations in Hong Kong and Singapore, an increase from 1,519 locations year-on-year[9]. - The group aims to capitalize on potential high-net-worth clients in China to expand its margin financing business[8]. - The group continues to upgrade flat screens to programmatic digital out-of-home (pDOOH) displays in Singapore, anticipating significant growth in this area over the coming years[11]. - The group holds exclusive advertising sales rights for three LED panels in prime locations in Hong Kong, including Causeway Bay, Tsim Sha Tsui, and Mong Kok, which are among the busiest shopping and dining areas[12]. - The group has established exclusive partnerships for large static screens targeting SMEs at AZ @ Paya Lebar and Ark @ KB, both located in busy commercial and industrial centers[16]. - The group has expanded its partnership with HarbourFront Centre, promoting various advertising formats within this mixed-use development[18]. - The company is exploring various ways to increase financial resources for Cornerstone Securities to support business growth[8]. Capital and Financing - The company proposed a rights issue in January 2022 to raise approximately HKD 65,000,000, which was completed in April 2022[5]. - The group raised approximately HKD 65,380,000 from a rights issue completed on April 26, 2022, issuing 172,063,836 new shares at a subscription price of HKD 0.38 per share[26]. - As of March 31, 2022, the group's net current assets were approximately HKD 156,000,000, down from HKD 165,000,000 as of December 31, 2021[25]. - The group's debt ratio as of March 31, 2022, was approximately 2.2%, slightly down from 2.3% as of December 31, 2021[27]. Shareholder Information - As of March 31, 2022, the company had a total of 57,354,612 shares issued, which increased to 229,418,448 shares after the rights issue completed on April 26, 2022[74][76]. - Anshilei holds 6,800,000 shares, representing approximately 11.86% of the company's equity[72]. - Liu Yanhong holds 5,160,000 shares, which is approximately 9.00% of the company's equity before the rights issue, reducing to about 2.25% after[74]. - Shuxiong Securities Limited and Zhihua Securities Limited each hold 86,031,918 shares, accounting for 37.50% of the company's equity[73]. Compliance and Governance - The audit committee has reviewed the unaudited financial information for the three months ending March 31, 2022, ensuring compliance with applicable accounting standards and legal requirements[82]. - There were no reported conflicts of interest or competitive activities involving directors or major shareholders during the same period[79]. - The company did not redeem any of its listed securities or purchase/sell any listed securities during the three months ending March 31, 2022[77]. Other Information - The company has not reported any new product developments or market expansions during this quarter[46]. - The total capital expenditure for the period was HKD 54,364[57]. - The company has identified its operating segments as advertising and media, financial services, and skincare product retail, with the latter being inactive since 2019[55]. - The company’s total assets and liabilities as of March 31, 2022, were not disclosed in the provided documents[55].
基石金融(08112) - 2022 Q1 - 季度财报