Financial Performance - The company's revenue for the three months ended June 30, 2022, was approximately HKD 7.2 million, a decrease of about 4.0% compared to HKD 7.5 million for the same period in 2021[4] - Gross profit for the same period was approximately HKD 5.6 million, down about 8.2% from HKD 6.1 million in the previous year, resulting in a gross margin of approximately 77.3%[8] - The net loss for the reporting period was approximately HKD 1.7 million, compared to a net loss of HKD 1.8 million for the same period in 2021[8] - The group’s revenue for the three months ended June 30, 2022, was HKD 7,192,000, a decrease of 4.6% compared to HKD 7,540,000 for the same period in 2021[62] - Gross profit for the same period was HKD 5,557,000, down from HKD 6,066,000, reflecting a decline of 8.4%[62] - The group reported a loss before tax of HKD 1,658,000, compared to a loss of HKD 1,809,000 in the previous year, indicating a 8.3% improvement[62] - The basic and diluted loss per share for the period was HKD 0.46, compared to HKD 0.50 for the same period last year[62] - For the three months ended June 30, 2022, the company reported a loss attributable to equity holders of HKD 1,658,000, compared to a loss of HKD 1,809,000 for the same period in 2021, indicating a decrease in losses of approximately 8.3%[84] Cash Flow and Liabilities - Cash and bank balances decreased by approximately HKD 2.5 million or 64.1%, totaling about HKD 1.4 million at the end of the reporting period[15] - The company's current liabilities net value increased to approximately HKD 45.0 million, a rise of about 13.9% from HKD 39.5 million as of June 30, 2021[15] - The debt-to-equity ratio at the end of the reporting period was approximately 515.5%, up from 370.8% as of June 30, 2021[17] - The total equity as of June 30, 2022, decreased to HKD 18,732,000 from HKD 20,390,000, a decline of 8.1%[64] - The company’s accumulated losses increased to HKD 32,404,000 from HKD 30,746,000, reflecting a rise of 5.4%[64] Corporate Governance and Compliance - The group maintained high standards of corporate governance and complied with the corporate governance code effective from January 1, 2022[34] - The group has adopted a code of conduct for securities trading, ensuring compliance with GEM listing rules[35] - No shares of the company were purchased, sold, or redeemed by the company or its subsidiaries during the reporting period[36] - The company has not violated any significant loan agreements related to its business[49] - The company has no financial assistance or guarantees provided to its associated companies[49] Shareholder Information - The major shareholders, including Mr. Chan Kwong Yuen, hold 270 million shares, representing 74.70% of the total shares[39] - Profit Ocean holds 270,000,000 shares, representing 74.70% of the total issued shares[44] - The total number of shares held by the major shareholders is consistent at 270,000,000 shares[44] - Tri-Luck, Wealth City, Tianjing, and Coastal Lion each own 25% of the total issued share capital of Profit Ocean[47] Stock Options and Employee Costs - The company has granted stock options amounting to 3,200,000 shares under its stock option plan[48] - The exercise price for stock options granted is HKD 0.189, with a total of 28,450,000 options remaining unexercised as of the reporting period[52] - The group had a total employee cost of approximately HKD 3.2 million during the reporting period, consistent with the previous period[26] - The stock option plan aims to incentivize selected participants, including full-time employees and consultants[51] Future Outlook and Events - The company anticipates that the overall retail environment will remain unstable due to ongoing quarantine measures and economic uncertainties[12] - Management is adopting a cautious approach to cash flow management to maintain a healthy operating environment during this challenging period[14] - The company plans to participate in upcoming promotional events to stimulate purchasing sentiment and generate additional revenue in the coming months[14] - There were no significant events after the reporting period that would impact the group's performance[31] Other Financial Information - The company received government subsidies amounting to HKD 864,000 during the six months ended June 30, 2022, with no conditions or contingencies attached[5] - The company reported no tax provision for Hong Kong profits tax for the three months ended June 30, 2022, due to tax losses incurred during the period[81] - The company incurred total expenses including auditor's remuneration of HKD 100,000, cost of inventories recognized as an expense of HKD 1,203,000, and depreciation of property, plant, and equipment of HKD 1,100,000 for the three months ended June 30, 2021[78] - The company has not guaranteed the continuation of receiving government subsidies in the future[5] - The company recorded miscellaneous income of HKD 71,000 for the three months ended June 30, 2021, while no miscellaneous income was reported for the same period in 2022[5] - The company did not incur any lease expenses for operating leases during the three months ended June 30, 2021, as indicated in the financial notes[78]
英记茶庄集团(08241) - 2023 Q1 - 季度财报