Bright Smart Securities & Commodities Group Limited — Capital/Financing Update 2023

Oct 9, 2023

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited (the “ Stock Exchange ”) take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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BRIGHT SMART SECURITIES & COMMODITIES GROUP LIMITED 耀才證券金融集團有限公司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1428)

PRELIMINARY FINANCIAL DATA FOR THE FIRST SIX MONTHS OF YEAR 2023/24

This announcement is made by Bright Smart Securities & Commodities Group Limited (the ‘‘ Company ”, together with its subsidiaries, the ‘‘ Group ’’) pursuant to Rule 13.09(2)(a) of the Rules Governing the Listing of Securities on the Stock Exchange (the ‘‘ Listing Rules ’’) and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

The board (the “ Board ”) of directors (the “ Directors ” and each a “ Director ”) of the Company wishes to inform the shareholders of the Company (the “ Shareholders ”) and its potential investors that based on the preliminary assessment of the latest unaudited consolidated management accounts of the Group for the first six-month period of year 2023/24 (i.e. from 1 April 2023 to 30 September 2023) (the “ Period ”), the Group’s unaudited consolidated net profit after tax was approximately HK$303 million, representing an increase of approximately 31% as compared to that for the corresponding period last year of approximately HK$231 million. In contrast, according to the Stock Exchange, the total turnover of the market for the Period was approximately HK$12,170.4 billion, representing a drop of approximately 12% from the total turnover of approximately HK$13,899.8 billion in the corresponding period last year, demonstrating that the Group’s profitability outperformed the market.

Despite the market adversity, the Group is pleased to record a stunning growth in financial performance in the Period compared to that for the corresponding period last year. As compared with other major stock markets in the world, the performance of Hong Kong stock market this year remains unsatisfactory. Especially from April to September this year, the stock market even fell below 18,000 points. Without sufficient support of capital inflows from mainland China due to the persistently weak Renminbi exchange rate, and with persistent problems in the property sector of mainland China, various sectors were being affected and investors became conservative in investing in Hong Kong stock market. With the shrinking turnover, the investment appetite in Hong Kong stocks and IPO has dropped sharply. With the unceasing support and trust of all its clients and launch of various promotional marketing strategies, and coupled with effective cost control measures, the Group’s resilience in adverse markets has led to a remarkable unaudited consolidated net profit after tax during the Period.

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The Group, being listed in Hong Kong for more than 13 years, has tided over the vicissitudes without fear of market downturn. With the “client-oriented” and “following the clients’ mind” philosophy, the Group continues to generously allocate more resources to strengthen various promotion in spite of adversity. The Group also aggressively develops diversified global financial products, so that clients can trade a whole array of financial products around the world with just one account. To expand its clientele, the Group has introduced various innovative and timely offers (e.g. “One for Five futures account”, “commission of only US$0.008 per share for trading of US stocks and a flat interest rate for margin financing as low as 4.78%” and “1-month genuine zero commission for trading of Hong Kong stocks, A-shares and CME Futures and lifetime waiver of platform charge”) to seize every opportunity in the market. Furthermore, in order to grasp business opportunities from reopening of international borders, some branches at prime locations with high pedestrian flow operate 7 days a week to provide clients with better services, which drives a steady growth in the number of client accounts under adversity.

Information contained in this announcement is only a preliminary assessment made by the Board with reference to the latest unaudited consolidated management accounts of the Group and the information currently available, which has not been reviewed by the auditors and the audit committee of the Company.

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the shares of the Company.

By Order of the Board Bright Smart Securities & Commodities Group Limited Hui Yik Bun Executive Director and Chief Executive Officer

Hong Kong, 9 October 2023

As at the date of this announcement, the Board comprises Mr. Yip Mow Lum (Chairman), Mr. Hui Yik Bun (Chief Executive Officer), Mr. Chan Wing Shing, Wilson as Executive Directors; and Mr. Yu Yun Kong, Mr. Szeto Wai Sun, Mr. Ling Kwok Fai, Joseph and Ms. Wong Ting Ting, Priscilla as Independent Non-executive Directors.

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