Financial Performance - For the nine months ended September 30, 2023, the total revenue was approximately HKD 47.6 million, a decrease of about 54.0% compared to HKD 103.5 million in the same period of 2022[13]. - The gross profit for the same period was approximately HKD 13.7 million, down about 4.2% from HKD 14.3 million in 2022, with a gross margin increase from 13.8% to 28.8%[14]. - The adjusted EBITDA for the nine months ended September 30, 2023, was approximately -HKD 15.7 million, compared to -HKD 2.0 million in the same period of 2022[16]. - The company recorded a loss attributable to owners of approximately HKD 16.3 million for the nine months ended September 30, 2023, compared to a loss of HKD 4.1 million in 2022[16]. - The total operating expenses for the nine months ended September 30, 2023, were approximately HKD 33.9 million, an increase from HKD 18.2 million in the same period of 2022[16]. - The group reported a net loss of HKD 18.9 million for the nine months ended September 30, 2023, compared to a net loss of HKD 4.98 million for the same period in 2022[30]. - For the three months ended September 30, 2023, the company reported a loss of HKD 5,664,000 compared to a profit of HKD 663,000 in the same period of 2022, representing a significant decline[31]. - The company recorded a total comprehensive loss of HKD 18,543,000 for the nine months ended September 30, 2023, compared to a loss of HKD 5,132,000 in the same period of 2022[31]. - The basic loss per share for the nine months ended September 30, 2023, was HKD 4.54, compared to a loss of HKD 1.17 for the same period in 2022[31]. - For the three months ended September 30, 2023, the company reported a basic loss per share of HKD (1.11), compared to a profit of HKD 0.25 for the same period in 2022[44]. - The company reported a total loss of HKD (4,017,000) for the three months ended September 30, 2023, compared to a profit of HKD 882,000 in the same period of 2022[44]. Revenue Breakdown - The average revenue per project decreased by approximately 61.7% to about HKD 0.88 million for the nine months ended September 30, 2023, compared to HKD 2.3 million in 2022[11]. - The number of completed and ongoing projects decreased by 4.5% to 42 projects in 2023 from 44 projects in 2022[11]. - The revenue from office design and renovation services decreased by 29.6% to HKD 22.4 million in 2023 from HKD 31.8 million in 2022[9]. - The revenue from commercial projects saw a significant decline of 86.9%, dropping to HKD 8.8 million from HKD 67.4 million in the previous year[9]. - The revenue from residential projects increased by 63.9% to HKD 5.9 million, up from HKD 3.6 million in 2022[9]. - Total revenue for the three months ended September 30, 2023, was HKD 20,309,000, a decrease from HKD 38,655,000 in the same period of 2022, reflecting a decline of approximately 47.5%[39]. - The design and renovation segment generated revenue of HKD 11,497,000 for the three months ended September 30, 2023, down from HKD 38,436,000 in the same period of 2022, a decrease of about 70%[39]. Financial Position - As of September 30, 2023, the group had cash and cash equivalents of approximately HKD 24.1 million, an increase from HKD 14.5 million as of December 31, 2022[17]. - The current ratio as of September 30, 2023, was approximately 1.0, up from 0.9 as of December 31, 2022[17]. - Total liabilities as of September 30, 2023, were approximately HKD 103 million, compared to HKD 70.3 million as of December 31, 2022[17]. - The debt-to-asset ratio increased to 51.0% as of September 30, 2023, from 30.2% as of December 31, 2022, primarily due to an increase in the book value of bonds[17]. - The company has received financial support commitments of up to HKD 7,500,000 from major shareholders to meet its financial obligations[38]. - The company is actively seeking additional financing methods and bank loans to support its existing financial obligations and future capital expenditures[38]. - The company believes it has sufficient financial resources to settle the debts arising from the liquidation order[64]. Corporate Actions - The group completed the acquisition of a 34% stake in Shunyu Asset Management for a total consideration of HKD 500,000 on March 21, 2023[25]. - The board of directors will not declare any interim dividend for the nine months ended September 30, 2023[24]. - The company is seeking legal advice regarding actions to be taken in response to a winding-up order issued against its non-wholly owned subsidiary, ACE Architectural and Interior Design Limited, with total debts amounting to HKD 2.36 million[21]. - The total debt related to the liquidation order issued on November 8, 2023, amounts to HKD 2,358,000, which is for consultancy fees and contract amounts related to the ACE project[64]. Governance and Compliance - The company has complied with all corporate governance codes as per GEM Listing Rules Appendix 15 during the nine months ending September 30, 2023[59]. - The company has adopted a code of conduct for securities trading by directors, which is not less stringent than the GEM Listing Rules[60]. - The board of directors confirmed that there were no conflicts of interest or competitive business activities involving directors or their close associates during the nine months ending September 30, 2023[58]. - The company has not engaged in any arrangements that would allow directors or their associates to benefit from acquiring securities of the company or its affiliates during the nine months ending September 30, 2023[57]. - The audit committee has reviewed the unaudited financial information and third-quarter report for the nine months ending September 30, 2023[66]. Other Financial Information - Other income for the nine months ended September 30, 2023, totaled HKD 877,000, compared to HKD 446,000 in the same period of 2022, indicating an increase of approximately 96.7%[40]. - The company reported a fair value gain of HKD 337,000 on financial assets for the nine months ended September 30, 2023, compared to a loss of HKD 149,000 in the same period of 2022[33]. - The company recognized a trade receivables impairment loss of HKD (350,000) for the nine months ended September 30, 2023, compared to HKD (966,000) for the same period in 2022[43]. - The company reported a net gain from the sale of subsidiaries amounting to HKD 448,000 for the nine months ended September 30, 2023[43]. - The company recorded a net gain from the sale of property, plant, and equipment amounting to HKD 634,000 for the nine months ended September 30, 2023[43]. - The company confirmed a fair value loss of HKD (115,000) from financial assets measured at fair value through profit or loss[43]. - As of September 30, 2023, the major shareholder, 呂宇健, holds 68,496,000 shares, representing 19.01% of the company's issued shares[56]. - The company has granted and accepted stock options to purchase 21,930,000 shares at an exercise price of HKD 1.10 per share during the nine months ended September 30, 2023[50]. - As of September 30, 2023, the total number of unexercised stock options was approximately 22,877,000, representing about 6.35% of the company's issued share capital[53]. - The company did not recognize any tax provision for Hong Kong profits tax for the nine months ended September 30, 2023, due to no taxable profits being reported[43].
利骏集团香港(08360) - 2023 Q3 - 季度财报