Financial Performance - For the three months ended September 30, 2023, the company reported revenue of HKD 25,188,000, an increase of 20.5% compared to HKD 20,875,000 for the same period in 2022[2]. - Gross profit for the three months ended September 30, 2023, was HKD 17,506,000, representing a gross margin of 69.5%, up from HKD 14,099,000 in the prior year[2]. - The company recorded a profit before tax of HKD 810,000 for the three months ended September 30, 2023, compared to a loss of HKD 4,935,000 in the same period last year[2]. - Total revenue for the nine months ended September 30, 2023, was HKD 79,513,000, a 40.1% increase from HKD 56,770,000 in the same period of 2022[7]. - The company reported a net profit attributable to owners of HKD 5,456,000 for the nine months ended September 30, 2023, compared to a loss of HKD 8,046,000 in the previous year[2]. - The group reported a pre-tax loss of HKD 28,255,000 for the nine months ended September 30, 2023, compared to HKD 28,530,000 for the same period in 2022, indicating a slight improvement[96]. - The gross profit for the nine months ended September 30, 2023, was approximately HKD 57.2 million, an increase of about HKD 18.5 million or approximately 47.9% compared to HKD 38.7 million for the same period in 2022[127]. - The overall gross profit margin slightly increased by 3.8% for the nine months ended September 30, 2023, due to improved operational efficiency and cost control measures[127]. - The company recorded a profit attributable to owners of approximately HKD 5.5 million for the period, an improvement from a loss of HKD 8.0 million for the nine months ended September 30, 2022, primarily due to increased revenue during the period[132]. Expenses and Costs - Employee costs decreased by approximately 2.9% to HKD 28,692,000 for the nine months ended September 30, 2023, from HKD 29,710,000 in the same period of 2022[20]. - Rental and related expenses decreased by approximately 24.3% to HKD 6,981,000 for the nine months ended September 30, 2023, from HKD 9,216,000 in the previous year[13]. - Other income and net gains decreased by approximately 97.3% to HKD 185,000 for the nine months ended September 30, 2023, from HKD 6,913,000 in the same period of 2022, primarily due to the absence of government subsidies[11]. - Employee benefits expenses (excluding directors and CEO remuneration) for the nine months ended September 30, 2023, were HKD 28,255,000, slightly down from HKD 28,530,000 in the same period of 2022[96]. - Other operating expenses decreased by approximately HKD 2 million or about 13.1% to approximately HKD 12.9 million for the nine months ended September 30, 2023, compared to approximately HKD 14.9 million for the same period in 2022[130]. Corporate Governance and Compliance - The company aims to maintain a strong and stable liquidity position to capitalize on future growth opportunities[27]. - The company has implemented a stock option plan to incentivize employees and directors, which was adopted on December 15, 2017[32]. - The audit committee has reviewed the financial statements and confirmed compliance with applicable accounting standards and GEM listing rules[63]. - The company has adopted the GEM Listing Rules regarding the trading standards for directors, confirming compliance during the period[151]. - The board believes that good corporate governance is key to managing the group's business and affairs, and has reviewed governance practices to align with the GEM Listing Rules[152]. - The company’s board confirmed that all information in the report is accurate and complete, with no misleading elements[66]. Legal and Contingent Liabilities - As of September 30, 2023, the company had no significant contingent liabilities, consistent with the previous year[28]. - The company is subject to a final court ruling requiring it to pay HKD 1,500,000 plus interest and legal fees, of which approximately HKD 374,000 has been paid[34]. - The company is involved in ongoing legal claims, including a judgment requiring repayment of HKD 453,200 plus interest and legal fees to Blooming (HK) Business Limited[145]. - As of September 30, 2023, the company has paid approximately HKD 850,000 related to ongoing litigation[37]. Shareholder and Capital Structure - There have been no significant changes in major shareholders' interests in the company's shares as of September 30, 2023[38]. - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[51]. - The capital structure of the group remains unchanged since its listing on the GEM on January 16, 2018, consisting solely of ordinary shares[133]. - The company has agreed to issue a total of 34,560,000 shares at a price of HKD 0.1 per share to creditors, settling approximately HKD 3,456,000 of debt[40]. Future Outlook and Strategy - The management is cautiously optimistic about the business environment for the restaurant industry in the second half of 2023, aiming to accelerate the opening of new restaurants as market conditions allow[120]. - The company plans to introduce technology to improve management efficiency and reduce reliance on labor due to labor shortages in the Hong Kong restaurant industry[120]. - As of September 30, 2023, the company had no significant investments or acquisitions planned[122]. Board Changes - The company has undergone changes in its board of directors, with several appointments and resignations effective in 2023[43][44][52][53][58]. - The company appointed a new non-executive director effective July 28, 2023, and a new company secretary effective October 1, 2023[73][75]. - The company appointed Ms. Ouyang Le Yi as an executive director effective January 4, 2023[154].
龙皇集团(08493) - 2023 Q3 - 季度财报