Revenue and Profitability - The Group's revenue for the Period was approximately HK$217.7 million, a decrease of approximately HK$169.8 million or 43.8% compared to approximately HK$387.5 million for the Previous Period due to project delays and a downturn in the construction market [17]. - Profit for the period decreased by approximately HK$13.5 million, primarily due to a decrease in gross profit of approximately HK$21.3 million [27]. - Revenue for the six months ended September 30, 2025, was HK$217,711,000, a decrease of 43.7% compared to HK$387,480,000 for the same period in 2024 [80]. - Gross profit for the period was HK$35,875,000, down 37.5% from HK$57,190,000 in the previous year [80]. - Profit for the period was HK$11,635,000, representing a decline of 53.7% compared to HK$25,085,000 in 2024 [80]. - Total comprehensive income for the period was HK$12,215,000, down 52.3% from HK$25,673,000 in the prior year [80]. Expenses and Cost Management - Administrative and other operating expenses decreased by approximately HK$5.1 million or 18.4% to approximately HK$22.6 million for the Period, mainly due to savings from Directors' discretionary bonuses [19]. - Finance costs for the Period were approximately HK$0.6 million, a decrease of approximately 50.0% compared to approximately HK$1.2 million for the Previous Period, due to reduced bank borrowings [20]. - Employee benefit expenses totaled HK$40,977,000, down 6.1% from HK$43,645,000 in the previous year [119]. - The total employee benefit expenses for the six months ended 30 September 2025 were approximately HK$41.0 million, down from HK$43.6 million in the same period last year [48]. Financial Position and Ratios - The Group's current ratio improved to approximately 3.0 times as of 30 September 2025, up from approximately 2.4 times as of 31 March 2025 [31]. - Net current assets were approximately HK$235.2 million as of 30 September 2025, compared to approximately HK$243.4 million as of 31 March 2025 [34]. - The gearing ratio decreased to 4.2% as of 30 September 2025, down from approximately 5.0% as of 31 March 2025 [33]. - Total equity as of September 30, 2025, was HK$256,905,000, a decrease from HK$261,398,000 as of March 31, 2025 [81]. Market Conditions and Strategic Initiatives - The construction sector in Hong Kong experienced an 18.6% decrease in the Gross Value of Construction Works performed by main contractors at private sector sites compared to the same period last year [12]. - The market shows signs of potential recovery, supported by recent interest rate cuts and government initiatives to develop partnerships with the Middle East [12]. - The Group plans to adopt a prudent fiscal strategy, including resource integration and a reduction in headcount, to manage costs during the economic recovery [13]. - The Group's strategic initiatives include streamlining operations to adapt to the challenging market conditions [13]. Shareholder Information and Governance - The Group did not recommend any interim dividend for the six months ended 30 September 2025, compared to HK$4.0 cents per ordinary share in the previous year [47]. - The Company confirmed compliance with the Corporate Governance Code throughout the period, maintaining high standards of governance practices [71]. - There were no significant transactions or contracts involving Directors or controlling shareholders were reported during the period [66][70]. Segment Information - Segment revenue for Structural Engineering Works was HK$195,283,000, while revenue from Supply, Installation and Trading of Building Material Products was HK$22,428,000, totaling HK$217,711,000 for the six months ended September 30, 2025 [99]. - Segment profit for Structural Engineering Works was HK$20,987,000, and for Supply, Installation and Trading of Building Material Products it was HK$2,440,000, resulting in a total segment profit of HK$23,427,000 [99]. Cash Flow and Investments - Net cash used in operating activities for the six months ended September 30, 2025, was HK$28,465,000, compared to net cash generated of HK$16,527,000 in 2024, reflecting a negative change of HK$45,000,000 [84]. - Cash and cash equivalents at the end of the period on September 30, 2025, were HK$68,652,000, down from HK$132,701,000 at the end of September 30, 2024, a decrease of 48.3% [84]. - The company reported a net cash outflow from investing activities of HK$3,360,000 for the six months ended September 30, 2025, compared to a net inflow of HK$2,807,000 in 2024 [84]. Compliance and Legal Matters - The company has established an audit committee to ensure compliance with applicable accounting standards and adequate disclosures [73]. - There are no pending legal cases with material claims against the Group as of September 30, 2025 [152]. - No provisions have been made for the Group's obligations under guarantees, as it is unlikely that the bank will claim losses [151].

Financial Performance - For the six months ended September 30, 2025, the Group recorded unaudited consolidated revenue of HK$770.8 million, a decrease of 21.7% from HK$984.3 million for the same period last year [15]. - The unaudited consolidated loss for the Group was HK$274.6 million, compared to a net loss of HK$193.1 million for the same period in 2024 [16]. - The loss was primarily due to a loss on disposal of approximately HK$182.1 million from The Connaught hotel and a net revaluation loss of approximately HK$84.6 million on properties held by the Group and joint ventures [16]. - The operating result, excluding the aforementioned losses, was a profit of HK$15.9 million for the six months ended September 30, 2025, down from HK$23.0 million in 2024 [16]. - The basic loss per share for the six months ended September 30, 2025, was HK25.6 cents, compared to HK18.0 cents for the corresponding period last year [17]. - The Board resolved not to declare an interim dividend for the six months ended September 30, 2025, consistent with the previous year [18]. Revenue Breakdown by Division - Revenue from the Construction Division for the six months ended September 30, 2025, was HK$623.5 million, down from HK$736.2 million in the same period last year [24]. - The revenue of the Interior and Renovation Division for the six months ended September 30, 2025, was HK$65.2 million, a decrease of 49.6% compared to HK$129.4 million for the same period in 2024 [30][31]. - The Building Materials Division recorded revenue of HK$73.6 million for the six months ended September 30, 2025, down from HK$80.3 million in the same period of 2024, representing a decline of 8.4% [36][37]. - The Property Development Division reported no revenue for the six months ended September 30, 2025, consistent with the same period in 2024 [46][51]. - The Property Investment Division recorded a revenue of HK$27.3 million for the six months ended 30 September 2025, down from HK$35.6 million for the same period in 2024 [57]. - The Property Agency and Management Division's revenue increased significantly to HK$22.2 million for the period under review, compared to HK$7.4 million for the six months ended 30 September 2024 [61]. - The Health Products Division recorded a revenue of HK$6.0 million for the six months ended 30 September 2025, slightly down from HK$6.1 million for the same period in 2024 [64]. Construction and Development Projects - Major construction works completed during the period included projects at No. 57A Nga Tsin Wai Road and Hong Kong Science Park Expansion Stage 2 [26]. - A total of 222 Sale and Purchase Agreements have been signed for the property development in Haining, Zhejiang Province, with all units delivered to customers [47][51]. - The development of the residential project at So Kwun Wat, Tuen Mun, is ongoing, with design modifications being explored in response to market changes [48]. - The residential project at No. 57A Nga Tsin Wai Road, Kowloon Tong, has been completed, and the sales program was launched in October 2025 [49]. - A land exchange application for the residential project at Tong Yan San Tsuen in Yuen Long was completed in April 2021, and development is in progress [50]. Financial Position and Liquidity - The Group's total bank balances and cash were HK$327.5 million as of September 30, 2025, down from HK$477.7 million on March 31, 2025 [88]. - The current ratio decreased from 1.39 times as of March 31, 2025, to 0.96 times as of September 30, 2025 [88]. - The Group has access to bank facilities totaling HK$3,182.6 million, with HK$1,888.9 million in bank loans drawn down as of September 30, 2025 [89]. - The Group's liquidity position is expected to remain healthy, with sufficient financial resources to meet obligations and future development requirements [90]. - The Group's total bank loans amounted to HK$1,888.9 million as of September 30, 2025, compared to HK$1,931.0 million as of March 31, 2025 [94]. - The gearing ratio increased to 48.9% as of September 30, 2025, from 42.0% as of March 31, 2025 [95]. Impairment and Loans - An impairment loss of HK$217.6 million was recognized on loans to joint ventures under the expected credit loss model during the period [105]. - The recoverability of loans to joint ventures is heavily dependent on the net realizable value of properties held by the joint ventures [98]. - The independent property valuer noted a decline in asset values due to increased interest rates and a downturn in the Hong Kong property market [102]. Economic Outlook - The Hong Kong economy is gradually rebounding, supported by easing monetary policy and increased cross-border integration with the Greater Bay Area [74]. - China's real GDP grew by 4.8% year-on-year in the first three quarters of 2025, slightly below the government's target of 5% [71]. - The government plans to provide approximately 410,000 public housing units over the next 10 years, exceeding the projected demand of 308,000 units [78]. Shareholder Information - As of September 30, 2025, the total number of issued shares of the Company was 1,073,074,676 shares [129]. - The beneficial ownership of Cha Mou Daid, Johnson includes 14,155,500 shares and 539,500,961 shares held under discretionary trusts, totaling 553,656,461 shares, which represents approximately 51.59% of issued shares [128]. - Wong Sue Toa, Stewart holds 48,704,157 shares as a beneficial owner and has an additional interest of 4,270,975 shares through a controlled corporation, totaling 58,460,619 shares, which is approximately 5.44% of issued shares [128]. - As of September 30, 2025, no options have been granted under the Company's share option scheme since its adoption on August 25, 2020 [131]. Employee and Governance - The Group's staff costs for the six months ended September 30, 2025, amounted to HK$99.1 million, an increase from HK$91.2 million for the same period in 2024 [146]. - The Group had 489 employees as of September 30, 2025, down from 548 employees a year earlier [146]. - The Company has complied with all applicable code provisions of the Corporate Governance Code, except for the absence of the Chairman at the annual general meeting [147].

Financial Performance - Revenue for the six months ended September 30, 2025, was RMB 495,447 million (USD 69,595 million), representing a 3% increase compared to RMB 479,739 million in the same period of 2024[7] - Adjusted EBITDA for the same period was RMB 62,991 million (USD 8,848 million), reflecting a 36% decrease year-over-year[7] - Operating profit decreased to RMB 40,353 million (USD 5,668 million), a decline of 43% compared to the previous year[7] - Net profit attributable to ordinary shareholders was RMB 64,106 million (USD 9,005 million), down 6% year-over-year[7] - The adjusted EBITDA margin decreased from 21% to 13%[7] - The diluted earnings per share decreased to RMB 3.34 (USD 0.47), a decline of 5% compared to the previous year[7] - The company reported a significant decrease in adjusted EBITA, which contributed to the overall decline in operating profit[7] - The adjusted EBITA for the six months ended September 30, 2025, was RMB 47,917 million (USD 6,731 million), a decrease of 44% compared to RMB 85,596 million in the same period of 2024, mainly due to investments in instant retail, user experience, and technology[34] - The total comprehensive income for the six months ended September 30, 2025, was RMB 57,874 million, down from RMB 64,280 million in 2024, a decrease of approximately 9.5%[146] Revenue Breakdown - Alibaba's e-commerce business revenue for the six months ended September 30, 2025, was RMB 221,510 million (USD 31,116 million), an increase of 9% compared to RMB 202,988 million in the same period of 2024[12] - Customer management revenue grew by 10%, primarily due to an increase in the take rate[13] - Instant retail revenue reached RMB 37,690 million (USD 5,294 million), a significant increase of 37% compared to RMB 27,517 million in the same period of 2024, driven by the launch of "Taobao Flash Sale"[15] - The revenue from the cloud intelligence group was RMB 73,222 million (USD 10,285 million), representing a 30% increase from RMB 56,159 million in the same period of 2024, mainly due to growth in public cloud services[22] - International retail business revenue increased by 15% to RMB 56,463 million (USD 7,931 million) compared to RMB 49,309 million in the same period of 2024, driven by growth from AliExpress and other international operations[19] - The international wholesale business revenue grew by 12% to RMB 13,077 million (USD 1,837 million) from RMB 11,656 million in the same period of 2024, mainly due to increased revenue from value-added services related to cross-border business[20] Expenses and Costs - Operating costs for the six months ended September 30, 2025, were RMB 287,210 million (USD 40,344 million), accounting for 58.0% of revenue, down from 60.5% in the same period of 2024, primarily due to the disposal of low-margin direct operations and improved operational efficiency[27] - Product development expenses for the six months ended September 30, 2025, were RMB 32,096 million (USD 4,509 million), representing 6.5% of revenue, an increase from 5.7% in the same period of 2024, attributed to increased investment in technology development[27] - Sales and marketing expenses for the six months ended September 30, 2025, were RMB 119,674 million (USD 16,811 million), accounting for 24.2% of revenue, up from 13.6% in the same period of 2024, mainly due to investments in user experience for Alibaba's China e-commerce group[28] - General and administrative expenses for the six months ended September 30, 2025, were RMB 14,778 million (USD 2,076 million), representing 3.0% of revenue, down from 4.8% in the same period of 2024, primarily due to improved cost control measures[28] Cash Flow and Investments - Net cash flow from operating activities for the six months ended September 30, 2025, was RMB 30,771 million (USD 4,322 million), a 53% decrease from RMB 65,074 million in 2024[47] - Free cash flow for the six months ended September 30, 2025, was an outflow of RMB 40,655 million (USD 5,711 million), compared to an inflow of RMB 31,107 million in 2024[47] - The net cash flow used in investing activities for the six months ended September 30, 2025, was RMB 51,324 million (USD 7,209 million), primarily reflecting capital expenditures of RMB 70,177 million (USD 9,858 million) and an increase in short-term investments and other financial investments of RMB 11,119 million (USD 1,562 million), partially offset by net cash inflows from investment and acquisition activities of RMB 29,710 million (USD 4,173 million)[48] - The company believes its current cash levels and operating cash flow are sufficient to meet anticipated cash needs over the next 12 months[64] Debt and Financing - The company issued zero-coupon convertible bonds totaling approximately HKD 12 billion due in 2032 in July 2025[64] - In September 2025, the company issued zero-coupon unsecured senior notes totaling approximately $3.2 billion due in 2032[64] - The syndicated loan size was reduced from $4 billion to $3.17 billion after repaying $830 million in January 2025[65] - The interest rate for the revised loan agreement was lowered to SOFR plus 66 basis points, effective November 28, 2025[65] - The maturity date for the revolving credit facility was extended to September 30, 2028, with an option to further extend to September 30, 2030[65] Corporate Governance - The board of directors includes independent members with extensive experience in finance and corporate governance, such as Wu Gangping, who has served as the chairman of the audit committee since December 2022[94] - The audit committee is currently composed of Wu Gangping, Wan Ling Martello, and Shan Weijian, with Wu serving as the chairman[98] - The compensation committee is led by Yang Zhiyuan and includes Wu Gangping and Kabir Misra[99] - The nomination and corporate governance committee is chaired by Li Yunlian, with Yang Zhiyuan as a member[100] - The compliance and risk committee is chaired by Li Yunlian and includes Wu Gangping, Kabir Misra, and J. Michael Evans[102] Shareholder Information - The total number of shares outstanding is 19,088,280,284 as of September 30, 2025[110] - The CEO holds a total of 275,744,064 shares, representing 1.44% of the total shares outstanding as of September 30, 2025[106] - The company has granted unvested restricted stock units corresponding to 76,667 shares to the CEO[109] - The company repurchased a total of 73,300,000 shares on the NYSE during the reporting period, with a total cost of $1 billion[126] - The company did not recommend the distribution of an interim dividend for the reporting period[133] Strategic Initiatives - The company is focusing on sustainability initiatives, with plans to invest $JJ million in green technologies by 2025[10] - Alibaba is investing heavily in new technologies, with a budget of $DD billion allocated for R&D in AI and cloud computing[4] - The company plans to expand its market presence in Southeast Asia, targeting a growth rate of EE% in that region over the next year[5] - The launch of a new e-commerce platform is expected to contribute an additional $GG billion in revenue by the end of 2024[7]

Financial Performance - The company's revenue increased by 29.7% to HKD 508,711,000 for the six months ended June 30, 2024, compared to the same period in 2023[9]. - The group's unaudited consolidated revenue for the six months ended June 30, 2024, was approximately HKD 508,711,000, representing a 29.7% increase compared to HKD 392,086,000 for the same period last year[24]. - Gross profit for the six months ended June 30, 2024, was approximately HKD 122,597,000, with a gross profit margin of 24.1%, compared to 22.8% for the same period last year[26]. - The net profit for the six months ended June 30, 2024, was HKD 28,111,000, a decrease of 3.2% compared to HKD 29,048,000 in 2023[99]. - Basic and diluted earnings per share for the period were HKD 1.2, down from HKD 1.5 in the previous year[99]. - The total comprehensive income for the six months ended June 30, 2024, was HKD 7,268,000, compared to a loss of HKD 3,918,000 in the previous year, showing a significant turnaround[102]. - The company reported a net profit of HKD 20,303,000 for the six months ended June 30, 2024, compared to HKD 15,823,000 for the same period in 2023, representing a year-over-year increase of 28.5%[102]. Production and Resources - The total production of tin metal from the Renison underground mine was 4,778 tons in the first half of 2024, an increase of approximately 11.8% year-on-year[7]. - The confirmed, measured, and inferred resources at the Renison underground mine totaled 20,150,000 tons with a tin grade of 1.45% as of June 30, 2024[9]. - The estimated tin and copper resources as of June 30, 2024, include 26,628 thousand tons of tin at an average grade of 0.58% and 44,039 thousand tons of copper at an average grade of 0.20%[67]. - The Renison Bell mine has an estimated resource of 2,742 thousand tons of tin at a grade of 1.82%, yielding 49,931 tons of tin metal[67]. - The Renison tailings have an estimated resource of 23,886 thousand tons of tin at a grade of 0.44%, yielding 104,370 tons of tin metal[67]. Exploration and Development - The company plans to continue exploration in the Area 5, Leatherwood, and Ringrose locations to enhance resource definition and increase tin production[10]. - The company is conducting a feasibility study on the Renison tailings project to recover tin and copper over a 15-year period[10]. - The company is continuing to explore the feasibility of the Renison tailings project, which requires significant capital investment before realizing its value[75]. Financial Position - As of June 30, 2024, the group's current assets net value was approximately HKD 92,072,000, up from HKD 82,612,000 as of December 31, 2023[29]. - The group's cash and cash equivalents as of June 30, 2024, were approximately HKD 260,756,000, compared to HKD 201,253,000 as of December 31, 2023[29]. - Total assets as of June 30, 2024, were HKD 1,345,732,000, slightly down from HKD 1,350,945,000 at the end of 2023[101]. - The company's total equity attributable to owners as of June 30, 2024, was HKD 931,504,000, a slight decrease from HKD 929,304,000 at the beginning of the period[102]. Legal Matters - The ongoing litigation involves a claim of AUD 15,143,422.44 (approximately HKD 78,340,180.12) related to a breach of the sale agreement for the entire issued share capital of a subsidiary[15]. - The company and its subsidiary deny the claims and have counterclaimed against the plaintiff for various amounts, including AUD 3,244,520.24 and AUD 16,300,000, totaling approximately HKD 101,078,317.15[16]. - The court has scheduled a trial for the litigation to begin on May 6, 2024, with a pre-trial review set for March 6, 2024[19]. - The company is involved in a legal dispute regarding a claim of AUD 15,143,422 related to a sale agreement, which it denies[135]. Shareholder Information - As of June 30, 2024, the beneficial owner, Dato' Sri Dr. Goh Cheng Liang, holds 242,732,353 shares, representing 17.77% of the issued share capital[82]. - Major shareholders, including Amazing Express International Limited and others, collectively hold 340,000,000 shares, accounting for 24.89% of the issued share capital[85]. - The company has a significant concentration of ownership, with multiple entities holding 24.89% each, indicating potential influence over corporate decisions[85]. Corporate Governance - The audit committee, consisting of three independent non-executive directors, reviewed the interim results for the six months ending June 30, 2024[89]. - The company has complied with all applicable corporate governance codes as of June 30, 2024[90]. - Trading of the company's shares was suspended on September 2, 2024, due to delays in publishing interim results, with resumption contingent on fulfilling specific guidelines[91]. Stock Options and Employee Information - The new share option scheme adopted on June 16, 2021, allows for the issuance of a total of 136,600,000 shares, representing 10% of the issued shares as of the report date[43]. - The company employed approximately 352 employees as of June 30, 2024, with total employee costs amounting to approximately HKD 92,663,000 for the period[50]. - The total expense recognized for stock options granted for the six months ended June 30, 2024, is HKD 1,010,000, compared to HKD 2,352,000 for the same period in 2023[134].

2025 2025 2025 迪臣發展國際集團有限公司（「本公司」）之董事會（「董事會」）謹此宣佈本公司及其附 屬公司（統稱「本集團」）截至二零二五年九月三十日止六個月（「報告期間」）之未經審 核中期綜合業績，連同截至二零二四年九月三十日止六個月之比較數字如下： 中期簡明綜合損益表 截至二零二五年九月三十日止六個月 | | | 二零二五年 | 二零二四年 | | --- | --- | --- | --- | | | 附註 | 千港元 | 千港元 | | 收入 | 3 | 53,685 | 91,978 | | 銷售成本 | | (24,503) | (61,261) | | 毛利 | | 29,182 | 30,717 | | 其他收入及收益 | 3 | 10,115 | 12,907 | | 行政開支 | | (44,136) | (38,300) | | 其他經營收入╱（開支），淨額 | | 7,927 | (2,472) | | 財務費用 | 5 | (7,201) | (12,752) | | 分佔聯營公司溢利及虧損，淨額 | | (370) | (268) | | 除稅前虧損 | 4 | (4,4 ...

Financial Performance - The group reported unaudited revenue of HKD 47,442,000 for the six months ended September 30, 2025, representing a 39.8% increase from HKD 33,904,000 in the same period of 2024[3]. - The cost of services increased to HKD 41,174,000, up from HKD 25,915,000, leading to a gross profit of HKD 6,268,000, down from HKD 7,989,000[3]. - The group recorded an unaudited net loss of HKD 14,420,000 for the period, compared to a loss of HKD 4,433,000 in the previous year, indicating a significant increase in losses[3]. - The basic and diluted loss per share for the period was HKD 1.51, compared to HKD 0.50 in the previous year, highlighting a worsening financial performance[3]. - The group reported a loss before tax of HKD 14,024,000 for the six months ended September 30, 2025, compared to a loss of HKD 4,433,000 for the same period in 2024, indicating a decline in profitability[12][13]. - The group recognized impairment losses on financial assets totaling HKD 6,022,000 for the six months ended September 30, 2025, compared to HKD 7,989,000 for the same period in 2024[12][13]. - The group’s cash and cash equivalents decreased to HKD 31,109,000 from HKD 36,771,000, indicating a cash outflow during the period[7]. - The total comprehensive expenses increased by approximately HKD 10.2 million or 220.6% to about HKD 14.8 million, driven by reduced gross profit and increased administrative costs[67]. Assets and Liabilities - Total assets as of September 30, 2025, were HKD 93,957,000, compared to HKD 58,854,000 as of March 31, 2025, reflecting a substantial growth in asset base[4]. - Current liabilities increased to HKD 116,380,000 from HKD 67,159,000, resulting in a net current liability position of HKD 30,727,000[4]. - The total assets as of September 30, 2025, amounted to HKD 93,957,000, while total liabilities were HKD 124,067,000, resulting in a negative equity position[16][17]. - The company’s total liabilities increased to HKD 25,125,000 as of September 30, 2025, from HKD 17,108,000 as of March 31, 2025, representing a growth of 46.9%[43]. - Trade receivables decreased to HKD 8,728,000 as of September 30, 2025, from HKD 16,317,000 as of March 31, 2025, reflecting a significant reduction in outstanding receivables[37]. - The net amount of other receivables increased to HKD 13,915,000 as of September 30, 2025, from HKD 1,064,000 as of March 31, 2025, indicating improved collection or new receivables[37]. - The company recognized a provision for Chinese corporate income tax of approximately HKD 396,000 for the six months ended September 30, 2025, with no provision in 2024[29]. Revenue Segmentation - Internet services generated revenue of HKD 46,117,000, which accounted for 97.2% of total revenue, while construction services contributed HKD 1,325,000[12][22]. - Revenue from the internet services segment increased from approximately HKD 8.8 million to approximately HKD 46.1 million, representing a growth of approximately 425.4%[60]. - The construction segment's revenue decreased from approximately HKD 25.1 million to approximately HKD 1.3 million, a decline of approximately 94.7% due to a temporary halt in operations[60]. Operational Insights - The group has engaged in various construction and internet service activities, primarily in Hong Kong and China, focusing on O2O commerce and supply chain management[8]. - The group plans to restore construction operations by enhancing management oversight and internal controls, with new appointments expected by the end of January 2026[58]. - The company is committed to enhancing its e-commerce platform and digital marketing efforts to improve user engagement and drive revenue growth[59]. - The group aims to explore new business opportunities and diversify its portfolio to create greater value for shareholders[59]. Administrative and Other Expenses - The group’s administrative expenses rose to HKD 13,626,000 from HKD 11,912,000, contributing to the overall increase in losses[3]. - Administrative expenses rose by approximately HKD 1.7 million or 14.2% to about HKD 13.6 million, mainly due to increased digital marketing costs[65]. - Service costs increased by approximately HKD 15.3 million or 58.9% to about HKD 41.2 million for the six months ending September 30, 2025, driven by revenue growth from the internet services segment[61]. Shareholder Information - The company did not recommend an interim dividend for the six months ending September 30, 2025[75]. - The company's issued and paid-up ordinary shares increased to 953,376,000 shares as of September 30, 2025, from 866,400,000 shares as of April 1, 2024, reflecting a growth of 9.9%[46]. - The company approved a resolution to increase its authorized share capital from HKD 10 million (1 billion shares) to HKD 30 million (3 billion shares) by adding an additional 2 billion shares[48]. Governance and Compliance - The audit committee, established on July 6, 2015, reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2025, ensuring compliance with applicable accounting standards and GEM listing rules[94]. - The company has adhered to the corporate governance code as per GEM listing rules, with a review of internal audit functions deemed more cost-effective to be performed by external professionals[93]. - The company operates under the Securities and Futures Ordinance of Hong Kong, Chapter 571[97].

Financial Performance - The group's revenue for the six months ended September 30, 2025, was approximately HKD 67.2 million, an increase of about HKD 28.7 million or 74.7% compared to HKD 38.5 million for the same period in 2024[5] - The net profit for the six months ended September 30, 2025, was approximately HKD 33,000, a significant recovery from a net loss of approximately HKD 1.5 million for the same period in 2024[5] - The total comprehensive income for the six months ended September 30, 2025, was approximately HKD 0.4 million, compared to a total comprehensive loss of approximately HKD 1.5 million for the same period in 2024[5] - The gross profit for the six months ended September 30, 2025, was approximately HKD 28.2 million, compared to HKD 24.1 million for the same period in 2024, reflecting a positive trend in profitability[6] - The basic and diluted earnings per share from continuing operations for the six months ended September 30, 2025, was HKD 0.002, compared to a loss per share of HKD 0.055 for the same period in 2024[8] - For the six months ended September 30, 2025, the company reported a total revenue of HKD 67,222,000, a significant increase of 74.8% compared to HKD 38,484,000 in the same period of 2024[17] - The company recorded a net profit of approximately HKD 33,000 for the period, a turnaround from a net loss of about HKD 1.5 million for the six months ended September 30, 2024, driven by increased contributions from subsidiaries in China[50] Revenue Sources - The sales of furniture and home accessories decreased to HKD 24,974,000 in 2025 from HKD 26,482,000 in 2024, reflecting a decline of 5.7%[17] - The revenue from the sale of parts and automation equipment surged to HKD 38,932,000 in 2025, up from HKD 9,139,000 in 2024, marking a growth of 327.5%[17] - Revenue from the sale of parts and automation equipment in the China subsidiary increased by approximately 326.0% to about HKD 38.9 million, compared to approximately HKD 9.2 million for the same period last year[56] - Distribution and licensing fee income was approximately HKD 1.8 million, up from about HKD 1.0 million for the six months ended September 30, 2024, following a distribution agreement with Chinese distributors[57] - Direct sales revenue from retail customers decreased by approximately 5.7% to about HKD 24.5 million, compared to approximately HKD 26.0 million for the same period last year, primarily due to a decline in direct sales from retail stores in Hong Kong[55] Cash Flow and Assets - The net cash generated from operating activities for the six months ended September 30, 2025, was HKD 9,542,000, compared to a net cash used of HKD 3,142,000 in 2024[13] - The company reported a net increase in cash and cash equivalents of HKD 2,674,000 for the six months ended September 30, 2025, contrasting with a decrease of HKD 10,394,000 in 2024[13] - The company’s cash and cash equivalents balance increased to HKD 3,635,000 as of September 30, 2025, from HKD 1,798,000 in 2024[13] - The total assets as of September 30, 2025, were approximately HKD 125.1 million, compared to HKD 118.7 million as of March 31, 2025[9] - The net current assets as of September 30, 2025, were approximately HKD 10.8 million, an increase from HKD 5.8 million as of March 31, 2025[9] Expenses and Provisions - The company incurred a total tax expense of HKD 708,000 for the six months ended September 30, 2025, down from HKD 871,000 in 2024[22] - The company reported a trade receivables impairment provision of HKD 1.2 million for the six months ended September 30, 2025, compared to no provision in the same period in 2024[6] - Sales and marketing expenses increased by approximately 5.6% to about HKD 14.6 million for the six months ended September 30, 2024, primarily due to increased marketing expenses in the China business[46] - Administrative expenses rose by approximately 5.4% to about HKD 12.4 million for the same period, mainly attributed to administrative costs incurred by the China business[47] Corporate Actions and Governance - The company does not recommend the payment of an interim dividend for the six months ended September 30, 2025[5] - The company has ceased operations in furniture agency services as of March 31, 2025, and is now focusing on the sale of parts and automation equipment[14] - The company completed the sale of its subsidiary, which engaged in furniture agency services, for HKD 3 million, marking the termination of that business segment[29] - The company has achieved B Corp certification and has been awarded the Low Carbon Caring Label for three consecutive years (2022-2024), highlighting its commitment to sustainability[60] - The company continues to adhere to corporate governance standards as per GEM listing rules, ensuring accountability and transparency[70] Shareholder Information - Major shareholder Tang holds a 47.09% stake in the company, while major shareholder Chan has a 50.99% stake, indicating significant ownership concentration[63][65] - The company has not engaged in any buybacks or sales of its listed securities during the reporting period[68] - As of September 30, 2023, the total number of share options available under the share option scheme is 158,400,000, representing 10% of the issued share capital of 1,584,000,000 shares[76] - No share options have been granted, exercised, cancelled, or lapsed under the share option scheme since its adoption[77] Future Outlook - The company aims to reduce costs and enhance profitability while maintaining brand value in a challenging retail environment[51] - The retail environment remains competitive and challenging, with expectations for consumer confidence and retail conditions to improve by 2026 due to declining interest rates and government policies[61] - The company aims to enhance current revenue sources and explore new opportunities, with positive contributions expected from consumer loan services and sales of parts and automation equipment for the six months ending September 30, 2025[61]

Financial Performance - The company's revenue for the fiscal year ending August 31, 2025, was approximately HKD 195,049,000, a decrease of about 2.60% compared to HKD 200,265,000 in the previous year[9][13] - The group's net profit for the same period was approximately HKD 2,638,000, down from HKD 8,948,000 in the previous year[10][13] - The company's revenue decreased by approximately 2.60% from HKD 200,265,000 for the year ended August 31, 2024, to HKD 195,049,000 for the year ended August 31, 2025, primarily due to a decline in installation projects and security services[22] - The cost of sales decreased by approximately 3.57% from HKD 150,454,000 for the year ended August 31, 2024, to HKD 145,081,000 for the year ended August 31, 2025, aligning with the revenue decline[23] - The company's administrative expenses increased by approximately 18.34% from HKD 41,089,000 for the year ended August 31, 2024, to HKD 48,623,000 for the year ended August 31, 2025, due to hiring more office staff to support business expansion[24] - The net profit for the year ended August 31, 2025, was approximately HKD 2,638,000, a decrease from HKD 8,948,000 for the year ended August 31, 2024, primarily due to increased administrative expenses[25] - The group reported a charitable donation of HKD 706,000 for the year ending August 31, 2025, down from HKD 884,000 in the previous year[81] - The group has approximately HKD 10,753,000 available for distribution to shareholders as reserves as of August 31, 2025[87] - No final dividend has been recommended for the fiscal year ending August 31, 2025[11] - The group has a dividend policy adopted on December 31, 2018, which considers various factors before declaring dividends[165] - The board will consider various factors, including financial performance and business strategy, when determining dividend distributions[170] Business Operations - The company has secured a significant maintenance contract for security alarm systems from the Hong Kong Police Force, which commenced in March 2025[13] - Monthly revenue from security services at Discovery Bay is approximately HKD 1,500,000, although overall revenue has declined due to a reduction in the number of security projects[14] - The company continues to operate electric vehicle charging stations at Long Beach and Swiss Bank Centre, with plans to explore additional opportunities to increase the number of charging stations[14] - The company is engaged in large-scale projects, including the installation of electronic systems at the Hong Kong International Airport's three-runway system and CCTV systems for the Drainage Services Department[13] - The company aims to provide a comprehensive range of security services and solutions to both public and private sectors to enhance its competitive advantage[14] - The company is focused on expanding its maintenance services and identifying potential business opportunities to enhance shareholder value in the coming years[14] - The company aims to enhance its reputation and expand operations in the security services sector, with ongoing major security projects in Discovery Bay[18] - The company is focusing on bidding for ELV maintenance service contracts to strengthen customer relationships and increase market share[19] - The company is actively seeking opportunities to expand the number of electric vehicle charging stations, currently operating at Long Beach and Swiss Bank Center[19] Management and Governance - The management team expresses confidence in the company's solid foundation and stable performance to meet future challenges[14] - Dr. Wu Tai-wing has been appointed as the Executive Director, CEO, and Chairman of the Board since October 3, 2016, and has over 15 years of experience in the IT industry[49] - Mr. Lo Wing-chung joined the group in January 2015 and was appointed as Executive Director on October 3, 2016, responsible for overall operations[51] - Ms. Wang Zhiwen was appointed as a Non-Executive Director in October 2016 and became an Executive Director on December 1, 2022, overseeing corporate development and compliance[55] - Mr. Xu Junhao has been an Independent Non-Executive Director since March 10, 2017, and serves as the Chairman of the Audit Committee[57] - Mr. Song Weide has been an Independent Non-Executive Director since March 10, 2017, providing independent opinions to the Board[59] - The management team collectively brings a diverse range of expertise in finance, operations, and legal matters to the company[49][51][57][59] - The company emphasizes compliance with GEM listing rules and environmental, social, and governance reporting[55] - The company has adopted a stock option plan to incentivize directors and eligible employees, which is valid for 10 years from March 10, 2017, until March 9, 2027[102] - The total number of stock options that may be issued under the stock option plan cannot exceed 10% of the total shares issued at the time of listing, which is 160,000,000 shares[104] - The company has confirmed the independence of its independent directors as of the report date[96] - The remuneration of directors is subject to shareholder approval at the annual general meeting[100] - The company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee, to oversee specific aspects of the company's affairs[137] Risk Management - The group identified key risks including strategic risks from changing competitive landscapes and operational risks from subcontractor performance[48] - The group maintains a healthy liquidity position throughout the fiscal year ending August 31, 2025, through continuous credit assessments[38] - The risk management framework is evaluated at least annually, ensuring alignment with the company's objectives[47] - The board is responsible for ensuring effective internal controls and risk management systems, which are reviewed annually by the audit committee[160] - The group has established an enterprise risk management framework in 2020, following the COSO framework, to effectively manage risks[162] - The board is vigilant about climate-related risks and continuously explores opportunities arising from climate change[200] Environmental, Social, and Governance (ESG) - The company emphasizes the importance of integrating environmental, social, and governance (ESG) principles into its risk management system[185] - The company encourages stakeholder feedback on its environmental, social, and governance performance[184] - The company has established a special working group for environmental, social, and governance (ESG) matters to systematically manage these issues[191] - The board of directors regularly assesses ESG risks and monitors progress towards related goals, such as the electrification of the fleet to reduce emissions[191] - The company has implemented effective management policies and internal controls for ESG matters, ensuring compliance with reporting guidelines[199] - The company has identified significant ESG issues, including greenhouse gas emissions and employee safety, with varying levels of importance assigned to each[197] - Climate change is monitored closely by the board, with the company developing electric vehicle charging stations as part of its sustainability commitment[200] - The company values its employees as valuable assets and provides measures to mitigate the impact of extreme weather conditions[200] Shareholder Information - ECI Asia Investment Limited holds 880,000,000 shares, representing 55% of the total shares outstanding[112] - Mr. Yang Shuo owns 320,000,000 shares, accounting for 20% of the total shares outstanding[112] - As of August 31, 2025, the total number of issued shares is 1,600,000,000[114] - Shareholders can request a special general meeting if they hold at least 10% of the paid-up capital and must submit their request in writing[171] Compliance and Legal Matters - The company has not disclosed any new product developments or market expansion strategies in the provided documents[54] - There are no recent mergers or acquisitions mentioned in the documents[54] - The company has not encountered any serious violations of bribery, extortion, fraud, or money laundering laws in Hong Kong during the year ending August 31, 2025[168] - There were no significant violations of applicable laws and regulations during the review period[119] - The company has not made any amendments to its articles of association as of August 31, 2025[176] - The company has not entered into any arrangements for directors or senior management to acquire rights to subscribe for securities[113]

Financial Performance - Revenue for the six months ended September 30, 2025, was HK$213,630,000, an increase of 5.9% compared to HK$201,705,000 in the same period of 2024[9] - Gross profit decreased to HK$8,016,000, down 26.0% from HK$10,826,000 year-on-year[9] - Loss before tax for the reporting period was HK$9,520,000, compared to a loss of HK$8,782,000 in the previous year, indicating a 8.4% increase in losses[9] - Basic and diluted loss per share improved slightly to HK(3.31) cents from HK(3.58) cents in the prior period[9] - The company reported a loss before tax of HK$9,520,000 for the six months ended 30 September 2025, compared to a loss of HK$8,782,000 in the same period of 2024, indicating a year-over-year increase in losses of approximately 8.4%[18] - The Group reported a loss on disposal of subsidiaries amounting to HK$583,000 for the six months ended September 30, 2025[34] - The Group reported a fair value loss on financial assets of HK$626,000 for the period, compared to a gain of HK$1,523,000 in the previous year[18] - The Group recorded a gross profit of approximately HK$8.0 million, a decrease of approximately HK$2.8 million or 25.9% from the previous period[118][122] - The gross profit margin for the Reporting Period was approximately 3.8%, down by approximately 1.6 percentage points from 5.4% in the previous period[118][123] Assets and Liabilities - Total non-current assets decreased to HK$49,278,000 from HK$62,913,000, reflecting a decline of 21.0%[11] - Current assets totaled HK$168,692,000, down from HK$249,733,000, representing a decrease of 32.4%[11] - Total current liabilities decreased significantly to HK$114,056,000 from HK$198,837,000, a reduction of 42.6%[11] - Net assets as of September 30, 2025, were HK$102,083,000, down from HK$111,603,000, a decline of 8.5%[13] - The total accounts payable as of September 30, 2025, was HK$5,925,000, a decrease from HK$23,401,000 as of March 31, 2025[72] - The Group's accounts receivable decreased by approximately HK$25.9 million or 79.8% as at 30 September 2025, mainly due to the disposal of a building construction company[134] - The impairment of accounts receivable decreased to HK$1,973,000 from HK$3,217,000, indicating improved credit management[62] Cash Flow - The total cash and cash equivalents at the end of the period were HK$26,179,000, a decrease of 50% from HK$52,507,000 at the end of the same period in 2024[20] - Net cash flows used in operating activities amounted to HK$39,124,000 for the six months ended September 30, 2025, compared to HK$11,010,000 for the same period in 2024, reflecting a significant increase in cash outflow[20] - The company generated net cash flows from investing activities of HK$13,249,000, an increase from HK$3,175,000 in the prior year, primarily due to net proceeds from the disposal of subsidiaries amounting to HK$17,686,000[20] - The net cash inflow from the disposal of Colton Group was HK$17,686,000 after accounting for cash and cash equivalents disposed of[81] Revenue Segmentation - The construction contracting segment generated revenue of HK$211,290,000, while the money lending business contributed HK$2,527,000 in revenue for the six months ended September 30, 2025[34] - Revenue from contracts with customers for the six months ended September 30, 2025, was HK$211,290,000, reflecting the Group's focus on construction contracting[34] - Revenue from contracts with customers for the six months ended 30 September 2025 was HK$211,290,000, an increase of 7.4% compared to HK$197,120,000 for the same period in 2024[42] - Revenue from E&M works was approximately HK$111,876,000, representing an increase of approximately 24.1% due to various projects including the Sports Centre and Auditorium for Jockey Club One Health Tower[100][101] - Revenue from interior fitting-out works increased by approximately 26.1% to HK$15,099,000, primarily due to a contract for the provision of electric locks security system[105][107] Expenses - The company reported a decrease in administrative expenses to HK$17,990,000 from HK$21,526,000, a reduction of 16.5%[9] - Total other income and gains decreased to HK$1,047,000 from HK$1,744,000, a decline of 40%[41] - Rental income from property investment decreased to HK$190,000 from HK$297,000, a drop of 36%[47] - Interest income for the six months ended September 30, 2025, was HK$814,000, down from HK$1,371,000 in the same period of 2024[34][35] - The Group's total employee benefit expenses for the Reporting Period amounted to approximately HK$12,950,000, a decrease of approximately HK$2,070,000 or 13.8% compared to HK$15,020,000 for the same period in 2024[183] Shareholder Information - The company does not recommend the payment of any interim dividend for the reporting period, consistent with the previous year[60] - Basic loss per share attributable to ordinary equity holders was calculated based on a weighted average of 288,000,000 shares, compared to 244,983,607 shares in 2024[54] - The weighted average number of ordinary shares in issue during the period was 288,000,000, an increase from 244,983,607 in the previous year[59] - The 2025 Share Option Scheme allows for the issuance of share options equivalent to 10% of the total number of issued shares, with a total of 28,800,000 shares available under the Scheme Limit as of both the approval date and September 30, 2025[191] - No share options were granted under the 2025 Share Option Scheme during the reporting period and up to the reporting date[199] Market Outlook and Strategy - The construction market in Hong Kong is expected to remain competitive, but the Group aims to strengthen its market position through proven track record and AI technology[156][158] - The Group plans to exercise caution in tendering for new contracts and focus on more profitable E&M works and interior fitting out sectors[160][162] - The Group's money lending business is expected to provide a positive impact and return despite increasing competition and uncertainty in the market[169] - The Board will adopt cautious measures to manage the Group's investment portfolio aiming for positive returns in the near future due to recent stock market volatility[165] Corporate Governance - Employee compensation policies are reviewed and approved by the board, with discretionary bonuses and share options awarded based on individual performance and group objectives[188] - The 2025 Share Option Scheme includes provisions for independent non-executive director approval for options granted to directors or substantial shareholders[194] - Eligible participants under the 2025 Share Option Scheme include employee participants and related entity participants, aimed at recognizing their contributions to the group[190]

2025/2026 INTERIM REPORT 中期報告 中期報告 TABLE OF CONTENTS 目錄 02 04 06 Corporate Information 公司資料 Consolidated Statement of Comprehensive Income 綜合全面收益表 Condensed Consolidated Statement of Cash Flows 簡明綜合現金流量表 54 Other Information 其他資料 Results 業績 07 08 10 Consolidated Statement of Financial Position 綜合財務狀況報表 Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註 Consolidated Statement of Profit or Loss 綜合損益表 Consolidated Statement of Changes in Equity 綜合權益變動表 12 14 44 Management's Discussion and Anal ...