Financial Performance - The Company reported a net loss attributable to shareholders of HK$52,436,843 for the year ended 31 December 2023, which included a net change in fair value loss of HK$35,365,185 on investment positions in the portfolio[15]. - The audited net asset value per share was approximately HK$0.07 as of 31 December 2023[16]. - The net loss was primarily due to a net realized loss of HK$59,123,751, offset by a net unrealized gain of HK$23,758,566 on financial assets at fair value through profit or loss[16]. - The total remuneration cost incurred by the company for the year was approximately HK$4,132,184, an increase from HK$3,885,403 in the previous year[71][76]. - The Company has confirmed that it is not a party to the liquidation order of Jinshi Investment Group Limited, which has been appointed a provisional liquidator[88]. Investment Strategy and Portfolio - The Company maintains a medium to long-term investment strategy in both public and private equities[15]. - The Company is devoted to achieving long-term capital appreciation for professional investors through a diversified portfolio[14]. - The Company will continue to monitor its investments cautiously in light of recent uncertain market conditions[16]. - The Company believes that incorporating private equity into its portfolio will diversify investment risks and potentially yield greater returns in the long term[27]. - The Company plans to continue its investment strategy focused on Greater China and other major global markets[28]. Market Conditions - The investment performance was impacted by the slow recovery of the Chinese economy post-pandemic and increased volatility in the Greater China stock market[16]. - The Hang Seng Index decreased by 13.8% in 2023, while the Hang Seng Chinese Enterprises Index dropped by 14.0%[22]. - China's GDP in 2023 increased to RMB 126,058 billion, representing a 5.2% growth compared to 2022[21]. - The GDP growth for the first quarter of 2023 was 4.5%, accelerating to 6.3%, 4.9%, and 5.2% in the subsequent quarters[21]. Investment Holdings - As of 31 December 2023, the Company held four investments in Hong Kong-listed companies, three private equity securities investments, one limited partnership fund, and one open-ended fund[15]. - The Company held nine investments as of December 31, 2023, including four in Hong Kong-listed companies and three in private equity securities[31]. - One of the major investments is in the financial printing sector, focusing on the Hong Kong IPO market[15]. - The Company initiated a new investment in Tasty Concepts Holding Limited, which operates Japanese ramen restaurants, holding 6,600,000 shares[34]. Unrealized Gains and Losses - The total unrealized losses across the mentioned investments highlight the challenges faced in the current market environment[38][40][41][42]. - iPro Financial Press Limited reported a market value of HK$26.79 million with an unrealized loss of HK$8.21 million, representing a 30.63% decrease in value[44]. - Gransing Finance Limited's market value is HK$14.66 million, reflecting an unrealized loss of HK$2.22 million, which is a 13.36% decline[44]. - Help U Credit Finance Limited has a market value of HK$12.64 million with a total unrealized loss of HK$19 million, indicating a complete loss of investment value[44]. - The unrealized gains and losses recognized during the year reflect changes in fair value of investments, indicating market volatility[47]. Corporate Governance and Management - The company has appointed independent non-executive directors with extensive experience in financial analysis and compliance[102][105]. - The board believes that foreign exchange risks are minimal as the company primarily conducts transactions in Hong Kong dollars[72]. - The board of directors experienced changes, with several resignations and appointments throughout the year[126][131]. - The Company has not entered into any management contracts with individuals or firms to manage its business[149]. - The Company has not established any contracts for managing or supervising its business with any individual or entity[155]. Shareholder Information - The Company has a focus on strategic research, financial investment, and business collaboration in new energy and infrastructure sectors[105]. - The Company has a continuing connected transaction with the Investment Management Agreement during the Year[178]. - The Company has not entered into any significant contracts with directors or related entities that hold significant interests during the year[154]. - The Company has not been notified of any other persons with interests or short positions in its shares, apart from the Directors and chief executive[175]. - The Company has adopted a share option scheme to incentivize eligible participants since June 1, 2015[151].
中国新经济投资(00080) - 2023 - 年度财报