2022-08-12-港交所-亚太金融投资_第一季度报告2022_17页_684kb

ASIA-PAC FINANCIAL INVESTMENT COMPANY LIMITED 2022 FIRST QUARTER REPORT SUMMARY

Company Background:
Asia-Pacific Financial Investment Company Limited, a company incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange Growth Enterprise Market (GEM) under stock code 8193, operates as an investment holding company with primary business segments in asset consulting and valuation, corporate services, media advertising, and financial lending services.

Financial Performance Overview:

• Revenue for the first three months of 2022 was approximately HKD 5.9 million, a 29.8% decrease from HKD 8.4 million in 2021, mainly due to reduced asset consulting services amid COVID-19 impacts.
• Gross profit declined to HKD 3.665 million from HKD 5.226 million, reflecting lower sales costs.
• Operating expenses fell sharply to HKD 3.8 million (down 68.1% year-over-year), driven by reduced company overheads, employee costs, and marketing spending.
• The period resulted in a net loss of HKD 7.92 million, reversing the 2021 profit of HKD 1.08 million, largely due to HKD 8.1 million in unrealized losses from fair-value-trading financial assets.
• Basic and diluted loss per share was HKP 0.69 for 2022, compared to HKD 0.17 in 2021.

Business Segments:

• The company operates in four main areas: (i) asset consulting and evaluation, which is core and involves independent valuation services; (ii) corporate services for governance and risk management; (iii) media advertising through elevator ad networks; and (iv) financial services providing personal and commercial loans.

Key Events and Notes:

• No material financial assistance or related-party transactions were disclosed as exempt under GEM listing rules.
• The company announced a stock consolidation proposal, pending shareholder approval for issuing 1 HKD-par-value shares for every 5 issued shares, effective to improve liquidity.
• GEM-listed companies face higher investment risks due to their smaller scale and potential market volatility, as per exchange guidelines.
• Cash flow and financial position remain stable, with plans to focus on growth in professional services in Macau and Hong Kong regions.
• The board maintains a diversified investment portfolio, holding significant stakes in Huiling Holdings and other minor investments, with ongoing monitoring for market changes.

Conclusion and Outlook:
Despite challenges such as reduced media advertising demand and external market volatility, the company anticipates sustained demand in asset consulting and corporate services from expanding businesses in mainland China and Macau. Future growth will focus on cost control, investment opportunities, and maintaining shareholder value in a dynamic economic environment.