Financial Performance - For the nine months ended September 30, 2023, the company reported revenue of HKD 16,509,590, an increase of 12.1% compared to HKD 14,724,298 for the same period in 2022[6] - The gross profit for the nine months ended September 30, 2023, was HKD 3,408,463, down 45.4% from HKD 6,277,800 in the previous year[6] - The company incurred a loss before tax of HKD 18,837,573 for the nine months ended September 30, 2023, compared to a loss of HKD 13,728,808 for the same period in 2022, representing a 37.1% increase in losses[6] - The basic and diluted loss per share for the nine months ended September 30, 2023, was HKD 2.07, compared to HKD 1.55 for the same period in 2022, reflecting a 33.5% increase in loss per share[6] - The total comprehensive loss for the nine months ended September 30, 2023, was HKD 17,857,990, compared to HKD 13,442,677 for the same period in 2022, indicating a 32.8% increase in total comprehensive loss[7] - The company reported a net cash outflow from operating activities of HKD 15,000,000 for the nine months ended September 30, 2023[6] - The company’s total equity as of September 30, 2023, was HKD 58,561,754, a decrease from HKD 76,419,744 as of January 1, 2023[7] - The loss attributable to the company's owners increased from approximately HKD 13.4 million for the nine months ended September 30, 2022, to approximately HKD 17.9 million for the same period in 2023[36] Revenue Breakdown - Revenue from machinery leasing for the nine months ended September 30, 2023, was HKD 9,047,926, a decrease of 37.5% compared to HKD 14,419,108 for the same period in 2022[15] - Total sales for the nine months ended September 30, 2023, reached HKD 16,509,590, an increase of 12.0% from HKD 14,724,298 in the previous year[15] - Construction services revenue for the nine months ended September 30, 2023, amounted to HKD 6,149,250, with no revenue reported for the same period in 2022[15] - Interest income from lending services for the nine months ended September 30, 2023, was HKD 285,000, compared to zero for the same period in 2022[16] Expenses and Costs - The cost of sales and services increased to approximately HKD 13.1 million for the nine months ended September 30, 2023, from about HKD 8.4 million for the same period in 2022[31] - Administrative expenses rose to approximately HKD 14.1 million for the nine months ended September 30, 2023, compared to about HKD 10.9 million for the same period in 2022[33] - Deferred tax expense for the nine months ended September 30, 2023, was HKD 979,583, an increase of 71.1% from HKD 572,611 in the previous year[17] - Other net expenses for the nine months ended September 30, 2023, were approximately HKD 3.1 million, a decrease from about HKD 4.2 million for the same period in 2022[32] Future Plans and Strategies - The company plans to expand its market presence and invest in new product development to drive future growth[6] - The company continues to focus on cost management strategies to mitigate losses and improve financial performance moving forward[6] - The company plans to focus on its core business despite uncertainties in the public and private sector construction projects in Hong Kong[28] Shareholder Information - The company did not declare or pay any dividends for the nine months ended September 30, 2023, and has no plans to do so[19] - As of September 30, 2023, Mr. Su holds 27,625,000 shares, representing approximately 3.20% of the company's equity[41] - Major shareholder Mr. Li holds 51,970,000 shares, accounting for approximately 6.02% of the company's equity[45] - The company has a stock option plan approved by shareholders on June 21, 2019, with no options granted or exercised as of the report date[46] Corporate Governance - The company is committed to high standards of corporate governance and regularly reviews its governance practices to meet regulatory requirements and stakeholder expectations[62] - The Audit Committee has been established according to GEM listing rules, consisting of three independent non-executive directors[67] - The Audit Committee reviewed the unaudited consolidated financial performance for the nine months ended September 30, 2023[67] - The financial statements were prepared in accordance with applicable accounting standards and GEM listing rules[67] Significant Events - The company completed the sale of its entire equity interest in Yummy Network on April 29, 2022, to focus on more profitable segments[27] - On September 27, 2023, the company announced the sale of machinery to Fengda International Limited for a total consideration of HKD 6.0 million[54] - There have been changes in the board, with Mr. Li resigning and Ms. Chen appointed as an independent non-executive director effective August 31, 2023[51] - There have been no significant investments, acquisitions, or disposals of subsidiaries during the nine months ending September 30, 2023[54] Risks and Challenges - The company faces risks related to a concentrated customer base, where losses from major clients could adversely affect operational and financial performance[63] - The company's past revenue and profit margins may not represent future performance, particularly due to reliance on project-based income[63] - Delays in customer payments or retention of progress payments may impact the company's cash flow and financial performance[66] - The company has not established a dividend policy, with future dividends to be determined based on various factors including market conditions and financial performance[61]
维亮控股(08612) - 2023 Q3 - 季度财报