Financial Performance - The Group's revenue for the three months ended March 31, 2022, was HK$6,163,000, an increase of 2.8% compared to HK$5,986,000 for the same period in 2021[10] - Gross profit for the period was HK$4,621,000, representing a gross margin of approximately 75% compared to HK$3,990,000 in the previous year[10] - The Group reported a profit from operations of HK$248,000, a significant improvement from a loss of HK$1,481,000 in the same period last year[10] - Profit before taxation was HK$207,000, compared to a loss of HK$1,875,000 in the prior year[10] - The profit for the period from continuing operations was HK$207,000, a recovery from a loss of HK$1,875,000 in the previous year[11] - The profit attributable to owners of the Company from discontinued operations was HK$27,000, compared to a loss of HK$19,609,000 in the same period last year[11] - Basic and diluted earnings per share from continuing operations was HK$0.02, a recovery from a loss of HK$0.12 per share in the previous year[11] - Total comprehensive income for the period was HK$235,000, compared to a total comprehensive loss of HK$21,500,000 in the same period last year[13] - The company reported a profit of HK$240,000 for the period, contrasting with a loss of HK$21,076,000 in the previous year[15] - Total comprehensive income for the period was HK$241,000, compared to a total comprehensive expense of HK$21,500,000 in the same period last year[15] Expenses and Cost Management - Research and development expenses increased to HK$2,468,000 from HK$934,000 in the previous year, reflecting the Company's commitment to innovation[10] - Administrative expenses decreased significantly to HK$1,329,000 from HK$4,242,000, indicating improved cost management[10] - Administrative and other operating expenses for the Period were approximately HK$4,373,000, down from approximately HK$5,727,000 in 2021, primarily due to reduced depreciation and staff costs[59] - Staff costs increased to HK$4,063,000 in Q1 2022 from HK$3,393,000 in Q1 2021, reflecting a rise of approximately 19.7%[31] - Interest on lease liabilities rose to HK$15,000 in Q1 2022 from HK$7,000 in Q1 2021, marking an increase of 114.3%[31] - The company recorded finance costs of HK$41,000 in Q1 2022, a decrease of 89.6% from HK$394,000 in Q1 2021[31] - The depreciation of property, plant, and equipment significantly decreased to HK$41,000 in Q1 2022 from HK$1,259,000 in Q1 2021, a reduction of approximately 96.7%[31] Revenue Sources - The company did not generate revenue from mobile games and applications in the first quarter of 2022, compared to HK$10,000 in the same period of 2021[26] - Revenue from the Software Platform Business increased by approximately HK$177,000 to approximately HK$6,163,000 for the Period, compared to approximately HK$5,986,000 for the same period in 2021[55] - The segment revenue from the Mobile Games and Applications Business was nil for the Period, down from approximately HK$10,000 in 2021 due to the obsolescence of current mobile games and a reassessment of the Group's strategy[56] Business Strategy and Future Outlook - The Group continues to focus on two principal businesses: Software Platform Business and Mobile Games and Applications Business[70] - The Group is shifting its mobile game business strategy to an IP-based approach to enhance competitiveness and operational flexibility[83] - The COVID-19 pandemic has caused delays in revenue recognition for ongoing projects by an estimated 3 to 4 months on average due to quarantine measures and work-from-home arrangements[71] - The Group expects to recognize more revenue from signed contracts and pipeline inquiries as the business environment improves following the recent COVID-19 situation[79] Shareholder Information - As of March 31, 2022, Mr. Chiu Ngai Hung holds 663,477,955 shares, representing approximately 52.13% of the total shareholding[93] - The total number of shares issued as of March 31, 2022, is 1,272,640,000[94] - The weighted average number of ordinary shares for the purposes of basic and diluted earnings/(loss) per share remained at 1,272,640,000 shares for both periods[50] Corporate Governance - The Audit Committee consists of three independent non-executive Directors, responsible for reviewing financial reporting and internal controls[99] - The Company has adopted a code of conduct for securities transactions by Directors, with no reported non-compliance during the period[101] - The Audit Committee has reviewed the accounting principles and practices adopted by the Company[100] - The Company did not purchase, sell, or redeem any of its listed securities during the reporting period[102] - There were no interests reported by Directors in any competing business during the period[95] - The Company has not been notified of any other interests or short positions in its shares by persons other than Directors and substantial shareholders as of March 31, 2022[96] Taxation and Regulatory Compliance - No provision for Hong Kong Profits Tax was made for both Q1 2022 and Q1 2021 due to tax losses exceeding assessable profits[34] - The total actual tax for the group was HK$0 for both Q1 2022 and Q1 2021, as there were no assessable profits[33] - The company has adopted all new and revised HKFRSs effective from January 1, 2022, with no significant impact on its financial statements[19] - The company is currently assessing the impact of new HKFRSs that have been issued but are not yet effective[20]
悟喜生活(08148) - 2022 Q1 - 季度财报