Financial Performance - For the nine months ended September 30, 2022, the Group reported revenue of HK$41,662,304, a decrease of 7.3% compared to HK$42,839,032 for the same period in 2021[7]. - The Group incurred a loss from operations of HK$1,426,705 for the nine months ended September 30, 2022, compared to a profit of HK$1,079,588 in the same period of 2021[7]. - The loss before tax for the nine months ended September 30, 2022, was HK$1,932,913, a significant decline from a profit of HK$391,650 in the corresponding period of 2021[7]. - The total comprehensive loss attributable to the owners of the Company for the period was HK$692,374, compared to a profit of HK$7,739,220 in the same period of 2021[7]. - Basic loss per share for the nine months ended September 30, 2022, was HK$0.02, compared to earnings of HK$1.35 per share in the same period of 2021[7]. - The Group reported a net loss before tax of HK$12,973,643 for the three months ended September 30, 2022, compared to a loss of HK$79,872,882 in the same period of 2021[30]. - The Group recorded an unaudited consolidated loss attributable to owners of approximately HK$0.69 million for the Review Period, significantly improved from a loss of approximately HK$7.74 million in the corresponding period in 2021, primarily due to a significant decrease in income tax expense[79]. Expenses and Costs - The Group's administrative expenses for the nine months ended September 30, 2022, amounted to HK$10,237,725, slightly improved from HK$10,942,619 in the same period of 2021[7]. - The Group's other operating expenses for the nine months ended September 30, 2022, totaled HK$15,535,506, compared to HK$8,203,463 in the same period of 2021[7]. - The total finance costs for the three months ended September 30, 2022, were HK$105,869, while for the nine months, they were HK$506,208, compared to HK$229,559 and HK$687,938 in 2021, respectively[27]. - Finance costs for the Review Period were recorded at approximately HK$0.51 million, compared to approximately HK$0.69 million for the same period in 2021, reflecting a decrease in interest expenses[79]. - Other operating expenses decreased to approximately HK$8.20 million for the Review Period, down from approximately HK$11.91 million in the corresponding period in 2021, mainly due to a reduction in legal and professional fees and debt recovery agency service fees[77][78]. Impairment and Recovery - The Group recognized an impairment loss on loans receivables of HK$20,418,495 for the nine months ended September 30, 2022, compared to HK$16,023,473 in the same period of 2021[7]. - The impairment loss on loans receivables for the nine months ended September 30, 2022, was HK$5,282,699, compared to HK$5,384,976 in 2021, indicating a slight improvement[30]. - The increase in reversal of impairment loss was mainly due to recovery of impairment allowances and significant improvement in bad debt control[72]. - The Group performs collective assessment on impairment allowance for loans receivables at least quarterly, based on loan types and their credit risk characteristics[72]. Share Trading and Corporate Governance - As of the date of approval of these financial statements, the trading of shares of the Company remains suspended[12]. - Trading in the shares of the Company has been suspended since November 24, 2017, and will remain suspended until further notice[92]. - The Company is actively communicating with the Securities and Futures Commission (SFC) to address concerns and aims to resume trading of its shares as soon as possible, with the resumption application still pending[94]. - The audit committee consists of four independent non-executive directors, ensuring compliance with applicable accounting standards and GEM listing rules[97]. - The financial information presented has been reviewed and deemed to meet legal requirements and adequate disclosure standards[97]. Operational Environment and Strategy - The company continues to focus on money lending, providing both secured and unsecured loans, despite challenges posed by the COVID-19 pandemic[46]. - The operational environment has been significantly impacted by the fifth wave of COVID-19, affecting customer repayment capabilities[47]. - Most loan applications were processed online during the review period to ensure safety amid the pandemic[48]. - The company is committed to maintaining a prudent approach in loan assessments and monitoring repayment performance closely[48]. - The company is exploring further investment opportunities in listed securities, bonds, and debt instruments, considering market conditions[50]. - The company is actively controlling expenses through budget measures to mitigate the financial impact of the pandemic[49]. Other Income and Grants - Interest income from credit-impaired loans for the nine months ended September 30, 2022, was HK$29,272,326, a decrease of 4.9% from HK$30,771,356 in 2021[19]. - Government grants received amounted to HK$312,800 for the three months ended September 30, 2022, and HK$496,800 for the nine months, with no grants reported in the same periods of 2021[23]. - The Group's total other income for the nine months ended September 30, 2022, was HK$559,682, an increase from HK$425,410 in 2021[23]. - Other income increased from approximately HK$0.43 million to approximately HK$0.56 million, mainly due to government grants received under the Employment Support Scheme[61].
FIRST CREDIT(08215) - 2022 Q3 - 季度财报