Financial Performance - For the nine months ended December 31, 2021, the company reported a revenue of HKD 592,000, compared to HKD 2,839,000 for the same period in 2020, representing a decrease of approximately 79%[7] - The gross profit for the nine months ended December 31, 2021, was HKD 252,000, down from HKD 3,723,000 in the same period of 2020, indicating a decline of about 93%[7] - The total comprehensive loss for the nine months ended December 31, 2021, was HKD 25,897,000, compared to HKD 14,850,000 for the same period in 2020, marking an increase of about 74%[10] - The basic and diluted loss per share for the nine months ended December 31, 2021, was HKD 2.50, compared to HKD 1.79 for the same period in 2020, indicating a worsening of approximately 40%[7] - The company recorded a loss before tax of HKD 7,576,000 for the three months ended December 31, 2021, compared to a loss of HKD 6,440,000 for the same period in 2020, reflecting an increase in losses of approximately 18%[7] - The group reported a pre-tax loss of HKD 4,569,000 for the nine months ended December 31, 2021, compared to a loss of HKD 1,772,000 for the same period in 2020[40] - The group recorded a net loss attributable to owners of approximately HKD 25.0 million, an increase from HKD 17.9 million in 2020[75] Revenue Sources - The company operates a merchant acquiring business with three main revenue sources: transaction fees, foreign exchange spread income, and marketing and distribution service income[63] - For the nine months ended December 31, 2021, the revenue from merchant acquiring transaction fees was HKD 2,193,000, a decrease of 74% compared to HKD 8,433,000 for the same period in 2020[36] - The total revenue for the nine months ended December 31, 2021, was HKD 2,717,000, down from HKD 10,435,000 in the previous year, representing a decline of 74%[36] - The group's total revenue from merchant acquiring business was approximately HKD 2.7 million, a decrease of about HKD 7.7 million compared to HKD 10.4 million in 2020[67] - Merchant acquiring transaction fee income was approximately HKD 2.2 million, down from HKD 8.4 million in 2020, reflecting a decrease of about 73.8%[67] Expenses and Costs - The company's administrative expenses for the nine months ended December 31, 2021, were HKD 4,943,000, compared to HKD 16,504,000 for the same period in 2020, showing a reduction of approximately 70%[7] - Employee costs, including management salaries, increased to HKD 10,594,000 for the nine months ended December 31, 2021, from HKD 8,623,000 in the previous year, reflecting a rise of 23%[40] - The cost of services provided totaled approximately HKD 1.7 million, a reduction of about 75.3% from HKD 6.7 million in 2020[68] - General administrative expenses increased by approximately 34.1% to HKD 16.5 million from HKD 12.3 million in 2020[71] Financing and Investment - The company reported a financing cost of HKD 1,584,000 for the nine months ended December 31, 2021, compared to HKD 4,569,000 for the same period in 2020, indicating a decrease of about 65%[7] - The group incurred financing costs of HKD 4,569,000 for the nine months ended December 31, 2021, compared to HKD 1,772,000 in the same period of 2020, indicating a significant increase[40] - The company issued convertible bonds totaling HKD 11,850,000 with a coupon rate of 7% on June 26, 2020, which can be converted into a maximum of 79,000,000 shares at an initial conversion price of HKD 0.15 per share[52] - As of December 31, 2021, the fair value of the liability portion of the convertible bonds was HKD 13,250,000, up from HKD 10,951,000 at the issuance date[54] Market and Operational Risks - The company continues to face significant market risks associated with its operations on the GEM market, which is characterized by higher investment risks compared to other markets[3] - The group will continue to monitor the impact of the COVID-19 pandemic on its financial condition and operational performance[65] - The group is exploring investment opportunities in the Greater Bay Area, particularly in fintech and information technology sectors[67] - The group has engaged an IT company to develop payment-related software to reduce reliance on the tourism sector[67] Corporate Governance - The company has adopted the corporate governance code as a standard since its listing on GEM on October 16, 2018[95] - The company has complied with all applicable provisions of the corporate governance code during the reporting period[95] - The compliance advisor, Prosperous Finance Limited, has been appointed to provide guidance on compliance with applicable laws and GEM listing rules[100] - The Audit Committee has been established in accordance with GEM Listing Rules and consists of three independent non-executive directors as of December 31, 2021[103] - The Audit Committee reviewed the Group's Q3 financial statements and confirmed compliance with applicable accounting standards and adequate disclosures[103] - The revised specific terms of reference for the Audit Committee were adopted on November 10, 2021, to align with GEM Listing Rules[103] Shareholder Information - As of December 31, 2021, major shareholders include Meiya and China Payment, each holding 325,000,000 shares, representing 32.50% of the issued shares[89] - Straum Investments Limited and Mr. Yu hold 138,000,000 shares each, accounting for 13.80% of the issued shares[89] - Ms. Sui holds 89,040,000 shares, which is 8.90% of the issued shares[89] - The total number of issued shares as of December 31, 2021, is 1,000,000,000[90] - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[94] - The company has a stock option plan adopted on September 18, 2018, with 100,000,000 shares available for issuance, representing 10% of the total issued shares[101]
东方支付集团控股(08613) - 2022 Q3 - 季度财报