Financial Performance - For the nine months ended September 30, 2022, the group's revenue was approximately HKD 111,500,000, a decrease of 19.5% compared to HKD 138,400,000 in the same period last year[3]. - The company reported a loss attributable to shareholders of approximately HKD 10,100,000 for the nine months ended September 30, 2022, compared to a profit of approximately HKD 88,200,000 in the previous year[3]. - Basic loss per share for the nine months ended September 30, 2022, was approximately (2.20) HKD cents, compared to earnings of approximately 22.92 HKD cents per share in the same period last year[5]. - Revenue for the three months ended September 30, 2022, was approximately HKD 42,333,000, down from HKD 46,773,000 in the same period last year, representing a decline of 9.8%[4]. - Total comprehensive income for the nine months ended September 30, 2022, was a loss of approximately HKD 2,295,000, compared to a profit of HKD 95,561,000 in the same period last year[5]. - The group reported a consolidated loss before tax of HKD 10,461,000 for the nine months ended September 30, 2022[18]. - The company reported a loss attributable to owners of approximately HKD 10,051,000, compared to a profit of HKD 88,182,000 for the same period in 2021[33]. Revenue Breakdown - The dance academy business generated revenue of HKD 14,117,000 for the three months ended September 30, 2022, down 29.4% from HKD 19,918,000 in the previous year[15]. - The early childhood education business reported revenue of HKD 25,352,000 for the three months ended September 30, 2022, an increase of 6.0% from HKD 23,918,000 in the same period last year[15]. - The group's revenue for the three months ended September 30, 2022, was HKD 42,333,000, a decrease of 9.8% compared to HKD 46,773,000 for the same period in 2021[15]. - Revenue from the Hong Kong dance academy business fell by about HKD 23.4 million or approximately 43% to about HKD 31.1 million[44]. - The total revenue for the nine months ended September 30, 2022, was HKD 111,547,000, a decrease of 19.4% compared to HKD 138,413,000 for the same period in 2021[15]. Costs and Expenses - The group incurred financing costs of approximately HKD 5,976,000 for the nine months ended September 30, 2022, down from HKD 11,624,000 in the previous year, indicating a reduction of 48.6%[5]. - The group reported a decrease in employee and teaching consultancy service costs to approximately HKD 81,996,000 for the nine months ended September 30, 2022, from HKD 88,377,000 in the previous year, a reduction of 7.8%[4]. - Other operating expenses were approximately HKD 24.7 million, down about 17% from approximately HKD 29.9 million in the previous year[44]. Government Support - The group received government grants and subsidies totaling HKD 6,914,000 during the nine months ended September 30, 2022[21]. Business Operations - The adult education and training business in Australia was terminated in 2021, contributing to the overall revenue decline[13]. - The company operates 23 wholly-owned dance centers and 1 kindergarten in Hong Kong, along with 14 preschool institutions in Singapore as of September 30, 2022[39]. - The company has expanded its educational offerings in Singapore, including daycare centers and continuing education programs[39]. - The company has been involved in acquiring several preschool institutions in Singapore since 2018 and has entered the mainstream education market in Australia since 2019[58]. - The company continues to seek suitable opportunities for business expansion in Hong Kong, mainland China, and overseas markets[59]. Share Capital and Stock Options - The company has a total issued share capital of HKD 800 million, divided into 8 billion shares with a par value of HKD 0.1 each[52]. - As of September 30, 2022, the total issued share capital of the company was HKD 45,760,000, divided into 457,600,000 shares with a par value of HKD 0.1 each[66]. - As of September 30, 2022, the company has 54,797,000 unexercised stock options, allowing holders to subscribe for a total of 54,797,000 new shares[72]. - The company proposed to update the stock option plan to allow for a total of 35,410,000 shares to be issued, representing 10% of the issued shares as of the last approval date[69]. - The company granted 6,380,000 stock options at an exercise price of HKD 1.20 per share on February 11, 2020, and 2,300,000 options at HKD 1.44 on February 25, 2020[72]. Corporate Governance - The company has adhered to all corporate governance codes as per GEM Listing Rules Appendix 15 without any deviations as of September 30, 2022[75]. - The board of directors includes executive and non-executive members, ensuring a diverse governance structure[80]. - The audit committee consists of independent non-executive directors, and there were no objections to the accounting policies adopted by the company[79]. Compliance and Regulations - The company has received written confirmation from its controlling shareholders regarding compliance with non-competition agreements as of December 31, 2021[74]. - The company has a commitment from its controlling shareholders to avoid engaging in any competing business directly or indirectly[74]. - The company has adopted a code of conduct for directors' securities transactions, complying with GEM Listing Rules standards[76].
SDM教育(08363) - 2022 Q3 - 季度财报