Mindtell Technology Limited — Interim / Quarterly Report 2021

Oct 5, 2021

THIRD QUARTERLY REPORT 第三季度業績報告 2021

CHARACTERISTICS OF GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE")

GEM has been positioned as a market designed to accommodate small and mid-sized companies to which a higher investment risk may be attached than other companies listed on the Stock Exchange. Prospective investors should be aware of the potential risks of investing in such companies and should make the decision to invest only after due and careful consideration.

Given that the companies listed on GEM are generally small and midsized companies, there is a risk that securities traded on GEM may be more susceptible to high market volatility than securities traded on the Main Board of the Stock Exchange and no assurance is given that there will be a liquid market in the securities traded on GEM.

Hong Kong Exchanges and Clearing Limited and the Stock Exchange take no responsibility for the contents of this report, 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 report.

This report, for which the directors (the "Directors") of Mindtell Technology Limited (the "Company") collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on GEM of the Stock Exchange (the "GEM Listing Rules") for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that to the best of their knowledge and belief the information contained in this report is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this report misleading.

香港聯合交易所有限公司 (「聯交所」)GEM之特色

GEM之定位,乃為中小型公司提 供一個上市之市場,此等公司相 比起其他在聯交所上市之公司帶 有較高投資風險。有意投資之人 士應了解投資於該等公司之潛在 風險,並應經過審慎周詳之考慮 後方作出投資決定。

由於GEM上市公司普遍為中小型 公司,在GEM買賣之證券可能會 較於聯交所主板買賣之證券承受 較大之市場波動風險,同時無法 保證在GEM買賣之證券會有高流 通量之市場。

香港交易及結算所有限公司及聯 交所對本報告之內容概不負責, 對其準確性或完整性亦不發表任 何聲明,並明確表示,概不就因 本報告全部或任何部分內容而產 生或因倚賴該等內容而引致之任 何損失承擔任何責任。

本報告之資料乃遵照聯交所GEM 證券上市規則(「GEM上市規則」) 而刊載,旨在提供有關 Mindtell Technology Limited(「 本 公 司 」) 之資料;本公司董事(「董事」)願 就本報告之資料共同及個別地承 擔全部責任。各董事在作出一切 合理查詢後,確認就其所知及所 信,本報告所載資料在各重要方 面均屬準確完備,沒有誤導或欺 詐成分,且並無遺漏任何其他事 項,足以令致本報告或其所載任 何陳述產生誤導。

CONTENTS 目錄

Page 頁

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income	簡明綜合損益及 其他全面收益表	3
Condensed Consolidated Statement of Changes in Equity	簡明綜合權益變動表	5
Notes to the Unaudited Condensed Consolidated Financial Statements	未經審核簡明綜合 財務報表附註	6
Management Discussion and Analysis	管理層討論及分析	23
Other Information	其他資料	44

The board of Directors (the "Board") is pleased to announce the unaudited condensed consolidated results of the Company and its subsidiaries (collectively referred to as the "Group") for the three months and nine months ended 31 August 2021, together with the comparative unaudited figures for the corresponding periods of 2020, as follows:

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the three months and nine months ended 31 August 2021

董事會(「董事會」)欣然宣佈本公 司及其附屬公司(統稱「本集團」) 截至二零二一年八月三十一日止 三個月及九個月之未經審核簡明 綜合業績,連同於二零二零年同 期之可比較未經審核數據載列如 下:

簡明綜合損益及 其他全面收益表

截至二零二一年八月三十一日止三個月及九個月

			(Unaudited) (未經審核)	(Unaudited) (未經審核)
			For the three months ended 31 August 截至八月三十一日止三個月			For the nine months ended 31 August 截至八月三十一日止九個月
		Notes 附註	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Revenue	收益	4	2,652	2,712	8,223	6,393
Cost of services and materials sold	服務及已售材料 成本		(1,481)	(2,615)	(5,299)	(5,671)
Gross profit	毛利		1,171	97	2,924	722
Other income Administrative expenses Finance costs	其他收入 行政開支 融資成本	5 6	30 (3,838) (14)	33 (2,041) (12)	69 (8,282) (52)	139 (7,110) (47)
Loss before income tax	除所得稅前虧損	6	(2,651)	(1,923)	(5,341)	(6,296)
Income tax expenses	所得稅開支	7	(138)	–	(138)	–

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

簡明綜合損益及 其他全面收益表

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

				(Unaudited) (未經審核)		(Unaudited) (未經審核)
				For the three months For the nine months ended 31 August ended 31 August 截至八月三十一日止三個月
		Notes 附註	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	截至八月三十一日止九個月 2020 二零二零年 RM'000 馬幣千元
Loss for the period Other comprehensive expenses	本期間虧損 其他全面開支		(2,789) –	(1,923) –	(5,479) (19)	(6,296) –
Total comprehensive loss for the period	本期間全面總虧損		(2,789)	(1,923)	(5,498)	(6,296)
Loss per share, basic and diluted (RM cents)	每股虧損(基本及 攤薄) (馬幣分)	8	(0.72)	(0.49)	(1.40)	(1.61)

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

簡明綜合權益變動表

For the nine months ended 31 August 2021

截至二零二一年八月三十一日止九個月
-------------------	--	--	--	--	--	--	--	--	--	--	--	--	--	--	--

		Share capital 股本 RM'000 馬幣千元	Share premium 股份溢價 RM'000 馬幣千元	Capital reserve 資本儲備 RM'000 馬幣千元	Exchange reserve 匯兌儲備 RM'000 馬幣千元	Accumulated losses 累計虧損 RM'000 馬幣千元	Total 總計 RM'000 馬幣千元
At 1 December 2020 (Audited)	於二零二零年十二月一日 (經審核)	2,067	28,732	4,952	(318)	(13,359)	22,074
Loss for the period	本期間虧損	–	–	–	–	(5,479)	(5,479)
Other comprehensive expenses	其他全面開支	–	–	–	(19)	–	(19)
Total comprehensive loss for the period	本期間全面總虧損	–	–	–	(19)	(5,479)	(5,498)
At 31 August 2021 (Unaudited)	於二零二一年八月 三十一日(未經審核)	2,067	28,732	4,952	(337)	(18,838)	16,576
At 1 December 2019 (Audited)	於二零一九年十二月一日 (經審核)	2,067	28,732	4,952	(354)	(2,167)	33,230
Loss for the period	本期間虧損	–	–	–	–	(6,296)	(6,296)
Other comprehensive expenses	其他全面開支	–	–	–	–	–	–
Total comprehensive loss for the period	本期間全面總虧損	–	–	–	–	(6,296)	(6,296)
At 31 August 2020 (Unaudited)	於二零二零年八月 三十一日(未經審核)	2,067	28,732	4,952	(354)	(8,463)	26,934

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

1. CORPORATE INFORMATION

The Company was incorporated as an exempted company with limited liability in the Cayman Islands on 27 February 2018. The Company's shares were listed on GEM of the Stock Exchange on 22 October 2018 (the "Listing"). The address of the Company's registered office is Cricket Square, Hutchins Drive, P.O. Box 2681, Grand Cayman KY1-1111, Cayman Islands and its principal place of business in Hong Kong is Unit 1802, 18/F., Ruttonjee House, Ruttonjee Centre, 11 Duddell Street, Central, Hong Kong. The Group's headquarter is situated at B-7-7, Sky Park @ One City, Jalan USJ 25/1, 47650 Subang Jaya, Selangor, Malaysia.

The principal activity of the Company is investment holding. The Group is principally engaged in the provision of system integration and development services, IT outsourcing services and maintenance and consultancy services.

The unaudited condensed consolidated financial statements are presented in Malaysian Ringgit ("RM") and all amounts have been rounded to the nearest thousand ("RM'000"), unless otherwise indicated.

未經審核簡明綜合財務 報表附註

1. 公司資料

本公司於二零一八年二月 二十七日在開曼群島註冊 成立為獲豁免有限公司。 本公司股份於二零一八年 十月二十二日在聯交所 GEM 上 市(「 上 市 」)。 本 公司註冊辦事處之地址為 Cricket Square, Hutchins Drive, P.O. Box 2681, Grand Cayman KY1-1111, Cayman Islands ,其香港 主要營業地點為香港中環都 爹利街11號律敦治中心律 敦治大廈18樓1802室。本 集團之總部位於B-7-7, Sky Park @ One City, Jalan USJ 25/1, 47650 Subang Jaya, Selangor, Malaysia。

本公司之主要業務為投資控 股。本集團主要從事提供系 統整合及開發服務、資訊科 技外判服務,以及維修及顧 問服務。

未經審核簡明綜合財務報表 以馬幣(「馬幣」)呈列。除另 有說明外,所有金額均湊整 至最近千位(「馬幣千元」)。

For the three months and nine months ended 31 August 2021

2. BASIS OF PREPARATION AND PRINCIPAL ACCOUNTING POLICIES

T h e u n a u d i t e d c o n d e n s e d consolidated financial statements of the Group for the nine months ended 31 August 2021 (the "Third Quarterly Financial Statements") are prepared in accordance with the applicable disclosure requirements of Chapter 18 of the GEM Listing Rules.

The preparation of the Third Quarterly Financial Statements requires the management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses on a period to date basis. Actual results may differ from these estimates.

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

2. 編製基準及主要會計政策

本集團截至二零二一年八月 三十一日止九個月之未經審 核簡明綜合財務報表(「第三 季度財務報表」)乃按GEM上 市規則第18章之適用披露規 定而編製。

編製第三季度財務報表規定 管理層就對以迄今期間為基 礎之會計政策應用、資產及 負債、收入及開支之呈報額 有影響之事宜作出判斷、估 計及假設。實際結果可能有 別於此等估算。

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

2. BASIS OF PREPARATION AND PRINCIPAL ACCOUNTING POLICIES (continued)

T h e T h i r d Q u a r t e r l y F i n a n c i a l Statements include an explanation of events and transactions that are significant to an understanding of the changes in financial performance of the Group since 30 November 2020, and therefore, do not include all of the information required for full set of financial statements prepared in accordance with the International Financial Reporting Standards ("IFRSs") issued by the International Accounting Standards Boards (the "IASB"), which collective term includes all applicable individual IFRSs, International Accounting Standards (the "IASs") and Interpretations issued by the IASB. They shall be read in conjunction with the audited financial statements of the Group for the year ended 30 November 2020 (the "2020 Financial Statements").

T h e T h i r d Q u a r t e r l y F i n a n c i a l Statements have been prepared on the historical costs basis.

The accounting policies and methods of computation applied in the preparation of the Third Quarterly Financial Statements are consistent with those applied in the preparation of the 2020 Financial Statements. The adoption of the new/revised IFRSs that are relevant to the Group and effective from the current period had no significant effects on the results and financial position of the Group for the current and prior periods.

未經審核簡明綜合財務 報表附註

2. 編 製基準及主要會計政策 (續)

第三季度財務報表包括針對 自二零二零年十一月三十日 起就理解本集團財務表現的 變動而言屬重大的事件及交 易所作之解釋,因此,並不 包括根據國際會計準則委員 會(「國際會計準則委員會」) 頒佈之國際財務報告準則 (「國際財務報告準則」)(為 國際會計準則委員會頒佈之 所有適用個別國際財務報告 準則、國際會計準則(「國際 會計準則」)及詮釋之統稱) 編製之全份財務報表所規定 之全部資料。該等報表應與 本集團截至二零二零年十一 月三十日止年度的經審核財 務報表(「二零二零年財務報 表」)一併閱讀。

第三季度財務報表乃按歷史 成本基準編製。

編製第三季度財務報表採用 之會計政策及計算方法與編 製二零二零年財務報表所採 用者相同。採用與本集團相 關,並由本期間起生效的新 訂╱經修訂國際財務報告準 則,對本集團在本期間及過 往期間的業績與財務狀況並 無重大影響。

For the three months and nine months ended 31 August 2021

1. BASIS OF PREPARATION AND PRINCIPAL ACCOUNTING POLICIES (continued)

Future changes in IFRSs

At the date of authorisation of the Third Quarterly Financial Statements, the Group has not early adopted the new/revised IFRSs that have been issued but are not yet effective. The Directors do not anticipate that the adoption of the new/revised IFRSs in future periods will have any material impact on the Group's consolidated financial statements.

3. SEGMENT INFORMATION

Information reported to the executive directors of the Company, being identified as the chief operating decision makers (the "CODM"), for the purposes of resource allocation and assessment of segment performance focuses on types of goods or services delivered or provided. No operating segments identified by the CODM have been aggregated in arriving at the reportable segments of the Group.

Specifically, the Group's reportable and operating segments are:

• (i) s y s t e m i n t e g r a t i o n a n d development services;
• (ii) IT outsourcing services; and
• (iii) maintenance and consultancy services.

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

1. 編製基準及主要會計政策 (續)

國際財務報告準則之未來變 動

於批准第三季度財務報表當 日,本集團並無提早採用已 頒佈惟尚未生效之新訂╱經 修訂國際財務報告準則。董 事預期於未來期間採用該等 新訂╱經修訂國際財務報告 準則對本集團之綜合財務報 表並無任何重大影響。

3. 分部資料

向本公司執行董事(即被識 別為主要營運決策者(「主 要營運決策者」))呈報之資 料,就資源分配及評估分部 表現而言,著重於已交付或 提供之貨品或服務之類型。 於達致本集團可呈報分部 時,並無彙集計算主要營運 決策者所識別之經營分部。

具體而言,本集團之可呈報 及經營分部為:

• (i) 系統整合及開發服務;
• (ii) 資訊科技外判服務;及
• (iii) 維修及顧問服務。

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

3. SEGMENT INFORMATION (continued)

Segment revenue and results

Segment revenue represents revenue derived from the system integration a n d d e v e l o p m e n t s e r v i c e s , I T outsourcing services and maintenance and consultancy services.

Segment results represent the gross profit reported by each segment without allocation of other income, administrative expenses, finance costs and income tax expenses. This is the measure reported to the CODM for the purposes of resource allocation and performance assessment.

No analysis of the Group's assets and liabilities by operating segments is presented as it is not regularly provided to the CODM for review.

In addition, the Group's place of domicile is Malaysia, where the central management and control is located.

未經審核簡明綜合財務 報表附註

3. 分部資料(續)

分部收益及業績

分部收益指來自系統整合及 開發服務、資訊科技外判服 務以及維修及顧問服務之收 益。

分部業績指各分部已呈報毛 利,而並無分配之其他收 入、行政開支、融資成本及 所得稅開支。就資源分配及 表現評估而言,此乃向主要 營運決策者呈報之計量方 法。

由於本集團按經營分部劃分 之資產及負債並無定期提供 予主要營運決策者進行審 閱,故並無呈列其分析。

此外,本集團之所在地為馬 來西亞,即中央管理及控制 之所在地。

For the three months and nine months ended 31 August 2021

3. SEGMENT INFORMATION (continued)

Segment revenue and results (continued)

The segment information provided to the CODM for the reportable segments for the nine months ended 31 August 2021 and 2020 respectively is as follows:

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

1. 分部資料(續)

分部收益及業績(續)

截至二零二一年及二零二零 年八月三十一日止九個月, 就可呈報分部向主要營運決 策者提供之分部資料分別如 下:

		System integration and development services 系統整合及 開發服務 RM'000 馬幣千元	IT outsourcing services 資訊科技 外判服務 RM'000 馬幣千元	Maintenance and consultancy services 維修及 顧問服務 RM'000 馬幣千元	Total 總計 RM'000 馬幣千元
For the nine months ended 31 August 2021 (Unaudited) Revenue from external customers and reportable segment revenue	截至二零二一年八月 三十一日止九個月 (未經審核) 來自外部客戶之 收益及可呈報 分部收益	5,196	2,408	619	8,223
Reportable segment results	可呈報分部業績	969	1,516	439	2,924
Other information: Amortisation	其他資料: 攤銷	1,808	–	–	1,808
Addition of intangible assets	添置無形資產	1,911	–	–	1,911

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

未經審核簡明綜合財務 報表附註

1. 分部資料(續)

3. SEGMENT INFORMATION (continued)

(continued)

Segment revenue and results

分部收益及業績(續)

		System integration and	IT	Maintenance and
		development	outsourcing	consultancy
		services	services	services	Total
		系統整合及	資訊科技	維修及
		開發服務	外判服務	顧問服務	總計
		RM'000	RM'000	RM'000	RM'000
		馬幣千元	馬幣千元	馬幣千元	馬幣千元
For the nine months ended 31 August 2020 (Unaudited) Revenue from external customers and reportable	截至二零二零年八月 三十一日止九個月 (未經審核) 來自外部客戶之 收益及可呈報
segment revenue	分部收益	5,076	711	606	6,393
Reportable segment results	可呈報分部業績	(223)	356	589	722
Other information: Amortisation	其他資料: 攤銷	1,317	–	–	1,317
Addition of intangible assets	添置無形資產	2,724	–	–	2,724

12 MINDTELL TECHNOLOGY LIMITED

For the three months and nine months ended 31 August 2021

3. SEGMENT INFORMATION (continued)

Reconciliation of reportable segment results

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

1. 分部資料(續)

可呈報分部業績之對賬

		(Unaudited)
		(未經審核)	For the nine months
		ended 31 August
		截至八月三十一日止九個月
		2021	2020
		二零二一年	二零二零年
		RM'000	RM'000
		馬幣千元	馬幣千元
Reportable segment results	可呈報分部業績	2,924	722
Unallocated income and expenses:	未分配收入及 開支:
Other income	其他收入	69	139
Administrative expenses	行政開支	(8,282)	(7,110)
Finance costs	融資成本	(52)	(47)
Loss before income tax	除所得稅前虧損	(5,341)	(6,296)
Income tax expenses	所得稅開支	(138)	–
Loss for the period	本期間虧損	(5,479)	(6,296)

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

3. SEGMENT INFORMATION (continued)

G e o g r a p h i c a l i n f o r m a t i o n – Revenue from external customers

T h e f o l l o w i n g t a b l e s e t s o u t information about the geographical location of the Group's revenue from external customers. The geographical location of revenue is based on the location of external customers.

未經審核簡明綜合財務 報表附註

3. 分部資料(續)

地區資料-來自外部客戶之 收益

下表載列本集團來自外部客 戶收益之地理資料。收益之 地理位置以外部客戶的位置 為依據。

(Unaudited)

		(未經審核) ended 31 August 截至八月三十一日止九個月	For the nine months
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Malaysia Singapore	馬來西亞 新加坡	8,208 15	6,393 –
		8,223	6,393

For the three months and nine months ended 31 August 2021

4. REVENUE

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

4. 收益

		(Unaudited)		(Unaudited)
		(未經審核)		(未經審核)
			For the three months		For the nine months
		ended 31 August		ended 31 August 截至八月三十一日止九個月
		截至八月三十一日止三個月 2021 2020
		二零二一年	二零二零年	2021 二零二一年	2020 二零二零年
		RM'000	RM'000	RM'000	RM'000
		馬幣千元	馬幣千元	馬幣千元	馬幣千元
System integration and development services: Services provided Sales of externally acquired/purchased hardware and	系統整合及開發 服務: 所提供服務 銷售外部收購╱ 購買之硬件及 軟件	858	1,189	4,505	4,061
software		643	984	691	1,015
IT outsourcing services Maintenance and	資訊科技外判服務 維修及顧問服務	1,501 925	2,173 309	5,196 2,408	5,076 711
consultancy services		226	230	619	606
		2,652	2,712	8,223	6,393
Timing of revenue recognition:	收益確認之時間性:
At a point in time	某一時點	643	984	691	1,015
Over time	隨時間	2,009	1,728	7,532	5,378
		2,652	2,712	8,223	6,393

未經審核簡明綜合財務 報表附註

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

5. OTHER INCOME

5. 其他收入

			(Unaudited) (未經審核) For the three months ended 31 August 截至八月三十一日止三個月		(Unaudited) (未經審核) For the nine months ended 31 August 截至八月三十一日止九個月
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Interest income Others	利息收入 其他	– 30	1 32	29 40	99 40
		30	33	69	139

6. LOSS BEFORE INCOME TAX

This is stated after charging:

6. 除所得稅前虧損

此乃經扣除下列各項計算:

			(Unaudited) (未經審核) For the three months ended 31 August 截至八月三十一日止三個月		(Unaudited) (未經審核) For the nine months ended 31 August 截至八月三十一日止九個月
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Finance costs Interest expenses on interest-bearing	融資成本 計息借貸之 利息開支
borrowings Finance charges on lease liabilities	租賃負債之 融資費用	2 12	10 2	20 32	31 16
		14	12	52	47

For the three months and nine months ended 31 August 2021

6. LOSS BEFORE INCOME TAX

(continued)

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

6. 除所得稅前虧損(續)

		(Unaudited) (未經審核) ended 31 August 截至八月三十一日止三個月	For the three months	(Unaudited) (未經審核) ended 31 August 截至八月三十一日止九個月	For the nine months
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Other items Amortisation of intangible assets, included in	其他項目 無形資產攤銷 (計入行政開支)
administrative expenses Auditors' remuneration	核數師薪酬	656 2	533 17	1,808 6	1,317 30
Cost of materials sold Depreciation of property,	已售材料成本 物業、機器及	426	788	467	816
plant and equipment Depreciation of	設備折舊 使用權資產折舊	106	71	332	215
right-of-use assets Impairment loss on trade	貿易應收款項之	96	28	265	84
receivables	減值虧損	1,562	98	1,762	436

未經審核簡明綜合財務 報表附註

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

7. INCOME TAX EXPENSES

7. 所得稅開支

		(Unaudited) (未經審核) ended 31 August 截至八月三十一日止三個月	For the three months	(Unaudited) (未經審核) ended 31 August 截至八月三十一日止九個月	For the nine months
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Current tax Malaysia corporate income tax ("Malaysia CIT")	即期稅項 馬來西亞企業所得稅 (「馬來西亞企業 所得稅」)	138	–	138	–
Total income tax expenses for the period	本期間所得稅 開支總額	138	–	138	–

The group entities established in the Cayman Islands and the British Virgin Islands are exempted from income tax. No provision for Hong Kong profits tax has been made as the Group had no assessable profits arising in or derived from Hong Kong.

於開曼群島及英屬處女群島 成立之集團實體獲豁免繳付 當地所得稅。由於本集團並 無於或自香港產生應課稅溢 利,故並無就香港利得稅計 提撥備。

For the three months and nine months ended 31 August 2021

7. INCOME TAX EXPENSES (continued)

Malaysia CIT is calculated at 24% (2020: 24%) o f t h e e s t i m a t e d assessable profits for the nine months ended 31 August 2021. Malaysia incorporated entities with paid-up capital of RM2.5 million or less enjoy tax rate of 17% (2020: 17%) on the first RM600,000 (2020: RM600,000) a n d r e m a i n i n g b a l a n c e o f t h e estimated assessable profits at tax rate of 24% (2020: 24%) for the nine months ended 31 August 2021.

Mixsol Sdn. Bhd. ("Mixsol") obtained the pioneer status effective from 23 September 2011. A pioneer status company is eligible for exemption from income tax on eligible activities and products for five years and subject to the submission of a formal request to the Malaysia Investment Development Authority on or prior to expiry date and upon the confirmation of the Ministry of International Trade and Industry that Mixsol has been complying with all the applicable conditions as imposed, the tax relief period shall be extended for a further five years after each five-year tax relief period ends.

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

1. 所得稅開支(續)

馬來西亞企業所得稅於截 至二零二一年八月三十一 日止九個月按估計應課稅 溢利之24%(二零二零年: 24%)計算。繳足資本為馬 幣2,500,000元或以下之馬 來西亞企業實體於截至二零 二一年八月三十一日止九個 月估計應課稅溢利之首筆馬 幣600,000元(二零二零年: 馬幣600,000元)按稅率17% (二零二零年:17%)繳稅, 而餘額按稅率24%(二零二 零年:24%)繳稅。

Mixsol Sdn. Bhd.(「Mixsol」)取 得新興工業地位,自二零一 一年九月二十三日起生效。 新興工業地位之公司合資格 可就五年合資格活動及產品 獲得所得稅豁免,惟須於屆 滿日期或之前向馬來西亞投 資發展局提交正式申請,及 於國際貿易和工業局確認後 遵守所施加之所有適用條 件。於每五年免稅期結束 後,免稅期可進一步延長五 年。

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

7. INCOME TAX EXPENSES (continued)

The pioneer status for Mixsol has been renewed during the year ended 30 November 2016 and expired on 30 June 2021. Mixsol is subject to Malaysia CIT upon the expiration of pioneer status since 30 June 2021.

The applicable tax rate is the weighted average of rates prevailing in the territories in which the Group's entities operate against profit or loss before tax. The change in applicable tax rate is caused by changes in the taxable results of the Group's subsidiaries in the respective countries in which the Group operates.

未經審核簡明綜合財務 報表附註

1. 所得稅開支(續)

於截至二零一六年十一月三 十日止年度,Mixsol之新興 工業地位已予重續,並已於 二零二一年六月三十日屆 滿。自新興工業地位於二零 二一年六月三十日屆滿後, Mixsol須繳納馬來西亞企業 所得稅。

適用稅率為本集團實體經營 所在地區就除稅前溢利或虧 損而言之現行加權平均稅 率。適用稅率之變動由本集 團經營所在各相關國家之本 集團附屬公司之應課稅業績 變動所致。

For the three months and nine months ended 31 August 2021

8. LOSS PER SHARE

The calculation of basic and diluted loss per share attributable to owners of the Company is based on the following information:

未經審核簡明綜合財務 報表附註

截至二零二一年八月三十一日止三個月及九個月

8. 每股虧損

本公司擁有人應佔每股基本 及攤薄虧損乃根據以下資料 計算:

	(Unaudited) (未經審核) ended 31 August 截至八月三十一日止三個月	For the three months		(Unaudited) (未經審核) For the nine months ended 31 August 截至八月三十一日止九個月
	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元	2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Loss for the period 用作計算每股基本及 attributable to the 攤薄虧損之 owners of the Company, 本公司擁有人 used in basic and diluted 應佔本期間虧損 loss per share calculation	(2,789)	(1,923)	(5,479)	(6,296)

Number of shares 股份數目

ended 31 August		ended 31 August
2021	2020	2021	2020
二零二一年	二零二零年	二零二一年	二零二零年
390,000,000	390,000,000	390,000,000	390,000,000
		For the three months 截至八月三十一日止三個月	For the nine months 截至八月三十一日止九個月

For the three months and nine months ended 31 August 2021 截至二零二一年八月三十一日止三個月及九個月

8. LOSS PER SHARE (continued)

Diluted loss per share are the same as the basic loss per share as there are no dilutive potential ordinary shares in existence during the nine months ended 31 August 2021 and 2020.

9. DIVIDENDS

The Directors did not recommend a payment of an interim dividend for the nine months ended 31 August 2021 (2020: nil).

10. APPROVAL OF THE THIRD QUARTERLY FINANCIAL STATEMENTS

T h e T h i r d Q u a r t e r l y F i n a n c i a l Statements were approved and authorised for issue by the Board on 5 October 2021.

未經審核簡明綜合財務 報表附註

8. 每股虧損(續)

由於截至二零二一年及二零 二零年八月三十一日止九個 月並無存在任何具潛在攤薄 影響之普通股,每股攤薄虧 損與每股基本虧損相同。

9. 股息

董事不建議就截至二零二一 年八月三十一日止九個月派 付中期股息(二零二零年: 無)。

10. 批准第三季度財務報表

董事會於二零二一年十月五 日批准及授權刊發第三季度 財務報表。

管理層討論及分析

BUSINESS REVIEW

The Group is an IT service provider based in Malaysia and principally engaged in the design, procurement, installation and maintenance of customised systems application for corporate customers. Our services mainly include:

• (i) System integration and development – development and customisation of corporate IT system applications on project basis, either in the capacity as a main contractor or as a subcontractor;
• (ii) IT outsourcing performance of specific tasks for development and customisation of corporate IT system applications which are within our expertise under the supervision of customers; and
• (iii) Maintenance and consultancy maintenance and support of the developed IT system applications.

業務回顧

本集團是一間以馬來西亞為基地 之資訊科技服務供應商,專門為 企業客戶設計、採購、安裝及維 修個人化系統應用程式。我們之 服務主要包括:

• (i) 系統整合及開發—作為主 承包商或分包商,以項目 基準,開發及定制企業資 訊科技系統應用程式;
• (ii) 資訊科技外判—在客戶的 監督下,在我們的專業知 識範圍內,執行開發及定 制企業資訊科技系統應用 程式的特定任務;及
• (iii) 維修及顧問—維護及支援 已開發的資訊科技系統應 用程式。

FINANCIAL REVIEW

Revenue

The Group's revenue was derived from three principal businesses, namely, system integration and development services, IT outsourcing services and maintenance and consultancy services which are set out in Note 4 to the Third Quarterly Financial Statements.

For the nine months ended 31 August 2021, the Group recorded an increase in total revenue by approximately 28.6% to approximately RM8.2 million (2020: approximately RM6.4 million). The increase in total revenue was mainly due to significant increase in revenue from the IT outsourcing services.

Details of changes in the revenue derived from system integration and development services, IT outsourcing services, and maintenances and consultancy services are analysed below.

System integration and development services

For system integration and development services, the revenue remained stable at approximately RM5.2 million for the nine months ended 31 August 2021 (2020: approximately RM5.1 million).

IT outsourcing services

F o r I T o u t s o u r c i n g s e r v i c e s , t h e revenue increased by over 2.3 times to approximately RM2.4 million for the nine months ended 31 August 2021 (2020: approximately RM711,000). The increase in revenue was mainly due to the increase in the time of outsourcing services rendered.

管理層討論及分析

財務回顧

收益

本集團之收益源自三大主要業 務,即系統整合及開發服務、資 訊科技外判服務以及維修及顧問 服務,其內容載於第三季度財務 報表附註4。

截至二零二一年八月三十一日止 九個月,本集團錄得總收益增加 約 28.6% 至約馬幣 8,200,000 元 (二零二零年:約馬幣6,400,000 元)。總收益增加主要由於資訊科 技外判務的收益大幅增加所致。

來自系統整合及開發服務、資訊 科技外判服務以及維修及顧問服 務之收益變動詳情分析如下。

系統整合及開發服務

就系統整合及開發服務而言,收 益於截至二零二一年八月三十一 日止九個月維持穩定,約為馬幣 5,200,000元(二零二零年:約馬 幣5,100,000元)。

資訊科技外判服務

就資訊科技外判服務而言,收益 上升逾2.3倍至截至二零二一年 八月三十一日止九個月約馬幣 2,400,000元(二零二零年:約馬 幣711,000元)。收益增加乃主要 由於提供外判服務的時間增加所 致。

Maintenance and consultancy services

F o r m a i n t e n a n c e a n d c o n s u l t a n c y services, the revenue remained stable at approximately RM619,000 for the nine months ended 31 August 2021 (2020: approximately RM606,000).

Gross profit and gross profit margin

The following table sets forth a breakdown of gross profit and gross profit margin for the periods indicated:

維修及顧問服務

就維修及顧問服務而言,收益於 截至二零二一年八月三十一日 止九個月維持穩定,約為馬幣 619,000元(二零二零年:約馬幣 606,000元)。

管理層討論及分析

毛利及毛利率

下表載列所示期間毛利及毛利率 之明細:

		(Unaudited) (未經審核) For the nine months ended 31 August 截至八月三十一日止九個月
		2021 二零二一年 RM'000 馬幣千元	2020 二零二零年 RM'000 馬幣千元
Revenue Cost of services and materials sold	收益 服務及已售材料成本	8,223 (5,299)	6,393 (5,671)
Gross profit	毛利	2,924	722
Gross profit margin	毛利率	35.6%	11.3%

The gross profit increased significantly from approximately RM722,000 for the nine months ended 31 August 2020 to approximately RM2.9 million for the nine months ended 31 August 2021.

T h e g r o s s p r o f i t m a r g i n i n c r e a s e d significantly from approximately 11.3% for the nine months ended 31 August 2020 to approximately 35.6% for the nine months ended 31 August 2021. The increase was mainly due to the increase in gross profit margin from system integration and development services and IT outsourcing services.

Administrative expenses

Administrative expenses increased by approximately 16.5% to approximately RM8.3 million for the nine months ended 31 August 2021 (2020: approximately RM7.1 million). The increase was mainly due to the increase in amortisation of intangible assets and provision for impairment loss on trade receivables, netting off the decrease in sales and marketing expenses and professional fee.

管理層討論及分析

毛利由截至二零二零年八月三十 一日止九個月約馬幣722,000元大 幅增加至截至二零二一年八月三 十一日止九個月約馬幣2,900,000 元。

毛利率由截至二零二零年八月三 十一日止九個月約11.3%大幅增加 至截至二零二一年八月三十一日 止九個月約35.6%。有關增幅乃主 要由於系統整合及開發服務及資 訊科技外判服務的毛利率增加所 致。

行政開支

行政開支增加約16.5%至截至二零 二一年八月三十一日止九個月約 馬幣8,300,000元(二零二零年: 約馬幣7,100,000元)。該增加乃 主要由於無形資產攤銷及貿易應 收款項減值虧損撥備增加,惟與 銷售及營銷開支以及專業費用的 減少相抵銷。

Finance costs

The finance costs remained stable at approximately RM52,000 for the nine months ended 31 August 2021 (2020: approximately RM47,000).

Income tax expenses

The income tax expenses increased to approximately RM138,000 for the nine months ended 31 August 2021 (2020: nil). The increase was mainly contributed by profits generated by two Malaysia subsidiaries for the nine months ended 31 August 2021.

Loss for the period

The Group recorded a loss of approximately RM5.5 million for the nine months ended 31 August 2021 (2020: approximately RM6.3 million). The decrease in loss was mainly due to the increase in revenue and gross profit, netting off the increase in administrative expenses as analysed above.

管理層討論及分析

融資成本

融資成本於截至二零二一年八月 三十一日止九個月維持穩定,約 為馬幣52,000元(二零二零年:約 馬幣47,000元)。

所得稅開支

所得稅開支增加至截至二零二一 年八月三十一日止九個月約馬幣 138,000元(二零二零年:無)。該 增加乃主要由於截至二零二一年 八月三十一日止九個月兩間馬來 西亞附屬公司錄得溢利所致。

本期間虧損

本集團於截至二零二一年八月三 十一日止九個月錄得虧損約馬幣 5,500,000元(二零二零年:約馬 幣6,300,000元)。虧損減少乃主 要由於上文所分析之收益及毛利 增加,惟與行政開支增加相抵銷。

RESPONSE TO OUTBREAK OF COVID-19 PANDEMIC

Since early 2020, the COVID-19 pandemic spread worldwide. A series of precautionary and control measures have been undertaken by governments around the world, including Hong Kong and Malaysia.

The Malaysian Government announced the implementation of Movement Control Order (the "MCO") effective from 18 March 2020. On 4 May 2020, the Malaysian Government had eased lockdown restrictions and announced the Conditional Movement Control Order ("CMCO"), which allowed certain business sectors to resume operations. On 10 June 2020, the Malaysian Government implemented the Recovery Movement Control Order ("RMCO"). Under RMCO, most of the economic sectors were allowed to resume operations in stages, while in full compliance with the Standard Operating Procedures ("SOP"). However, the situation of COVID-19 pandemic in Malaysia worsened again in early 2021 and the Malaysian Government implemented the MCO again from 11 January 2021 to 4 March 2021. The MCO was extended for several times and switched to either the CMCO or the RMCO depending on the COVID-19 condition in each state of Malaysia. Further, on 11 January 2021, the head of state of Malaysia declared a Proclamation of Emergency that remained in force until 1 August 2021.

管理層討論及分析

對COVID-19疫情爆發的應對

自二零二零年初以來,COVID-19 疫情蔓延全球。香港及馬來西亞 等世界各地政府已採取一系列防 控措施。

馬來西亞政府宣佈自二零二零年 三月十八日起實施行動管制令 (「行動管制令」)。於二零二零年 五月四日,馬來西亞政府放寬封 鎖限制,並宣佈有條件行動管制 令(「有條件行動管制令」),允許 若干行業恢復營運。於二零二零 年六月十日,馬來西亞政府實施 復甦式行動管制令(「復甦式行動 管制令」)。根據復甦式行動管制 令,大部分行業在完全符合標準 作業程序(「標準作業程序」)的情 況下,獲准分階段恢復營運。然 而,於二零二一年初,馬來西亞 的COVID-19疫情再度惡化,馬來 西亞政府自二零二一年一月十一 日起至二零二一年三月四日再實 施行動管制令。行動管制令被多 次延長,並根據馬來西亞各州的 COVID-19情況切換到有條件行動 管制令或復甦式行動管制令。此 外,於二零二一年一月十一日, 馬來西亞國家元首宣佈《緊急狀態 宣言》,該宣言維持生效直至二零 二一年八月一日。

In early June 2021, the COVID-19 infections surged and Malaysia entered a full lockdown from 1 June 2021 to 28 June 2021. On 15 June 2021, the Malaysian Government introduced a four-phase National Recovery Plan to help the country emerge from the COVID-19 pandemic and its economic fallout. Under the National Recovery Plan, each phase will be extended or moved on to the next phase subject to factors including the number of new infection cases, the number of people requiring intensive treatment and care, and vaccination rates in each state of Malaysia.

S i n c e e a r l y 2 0 2 0 , t h e G r o u p h a s experienced significant disruption in its operations due to the COVID-19 pandemic and various control orders in Malaysia, including but not limited to (i) temporary closure of offices where most of the staff have to work from home, (ii) interruption of operations where standard operation procedures was required to be implemented, (iii) a maximum of 50% attendance were maintained by all customers' offices and closure of the headquarters of all banks. Our customers slowed down the progress of their projects to complete certain deployment during the various control orders and therefore various projects have been delayed. Further, all meetings were limited to online meetings which seriously hindered the securing of new business.

管理層討論及分析

於二零二一年六月初,COVID-19 感染個案激增,馬來西亞從二零 二一年六月一日至二零二一年六 月二十八日進入全面封鎖狀態。 於二零二一年六月十五日,馬 來西亞政府推出了四個階段的 國家恢復計劃,以幫助該國擺脫 COVID-19疫情及其經濟影響。根 據國家恢復計劃,每個階段將根 據若干因素包括馬來西亞各州的 新感染個案數量、需要深切治療 及護理的人數以及疫苗接種率延 長或進入下一階段。

自二零二零年初,本集團因 COVID-19 疫情及馬來西亞各種 管控法令而導致營運受到重大干 擾,包括但不限於(i)暫時關閉辦事 處且大部分員工須在家工作;(ii)需 要實施標準作業程序使業務短暫 中斷;(iii)所有客戶辦事處維持最多 50%的出勤率及銀行總部一律關 閉。客戶於各種管控法令期間放 緩項目進度以完成若干部署,因 此多個項目被延遲。此外,所有 會議僅限於網上進行,嚴重阻礙 落實新業務。

管理層討論及分析

MANAGEMENT DISCUSSION AND ANALYSIS

To cope with the ongoing situation of the COVID-19 pandemic, the Group has, in a timely manner, put in place numerous precautionary measures and procured essential protective supplies to ensure the health and safety of all its employees in different regions. At the same time, the Group has implemented various flexible working arrangements for its staff and strictly implemented the precautionary and control measures imposed by the Malaysian Government. The Group has used, and will continue to use, its best endeavors to mitigate the adverse impact of the COVID-19 pandemic on the Group.

The Group is closely monitoring the development of the COVID-19 pandemic to ensure the safety of its employees and stable operations. As and when appropriate, the Group will adjust its measures and plans for pandemic prevention, operations and business development accordingly.

為應對 COVID-19 疫情持續,本 集團及時採取多項預防措施,並 採購必要的防護用品,以確保各 地員工的健康及安全。同時,本 集團為員工實施各種彈性工作安 排,並嚴格執行馬來西亞政府實 施的防控措施。本集團已經並將 繼續盡最大努力減低COVID-19疫 情對本集團的不利影響。

本集團正密切關注COVID-19疫情 的發展,以確保員工安全及運作 穩定。本集團將於適當時候,對 防疫、營運及業務發展的措施及 計劃進行相應調整。

FUTURE BUSINESS AND DEVELOPMENT PLAN

The Group consistently and actively pursues the following business strategies: (i) to be a major IT solutions provider for development of digitalisation in Malaysia; (ii) to capture new growth opportunities through one of our successful products, Square Intelligence; (iii) to leverage on the business networks of the pre-IPO investors of the Company to introduce IT products in the PRC into Malaysia, and diversify our service offerings to our customers.

Details of the Group's future business and development plans are set out below:

(i) To be a major IT solutions provider for development of digitalisation in Malaysia

Since the Listing, the Group has already recruited 12 additional IT specialists and outsourced partial d e v e l o p m e n t a n d u p g r a d i n g works to technology vendors in providing IT solutions in Digital Free Trade Zone in Malaysia. However, the Digital Free Trade Zone has been affected by the change of government and cancelled by the new government. On 19 February 2021, the Malaysian Government has unveiled the country's Digital Economy Blueprint in an effort to catch up in the digitalisation race

管理層討論及分析

未來業務及發展計劃

本集團持續及積極推行以下業務 策略:(i)成為馬來西亞數碼化發 展之主要資訊科技解決方案供應 商;(ii)透過我們的成功產品之一 Square Intelligence致力把握新增 長機遇;(iii)憑藉本公司首次公開發 售前投資者之業務網絡,將中國 資訊科技產品引進馬來西亞,並 向客戶提供多元化服務。

本集團未來業務和發展計劃的詳 情載列如下:

(i) 成為馬來西亞數碼化發展 之主要資訊科技解決方案 供應商

自上市以來,本集團經已 就向馬來西亞數碼自由貿 易區提供資訊科技解決方 案聘請額外12名資訊科技 專才以及外判部分發展及 升級工作予科技供應商。 然而,數碼自由貿易區受 政府變革所影響,遭到新 政府取消。於二零二一年 二月十九日,馬來西亞政 府出台該國的數碼經濟藍 圖,務求在數碼化競賽中

管理層討論及分析

MANAGEMENT DISCUSSION AND ANALYSIS

and introduced a 10-year road map which aims to transform Malaysia into a digital-driven, high income nation and to become a regional leader in the digital economy. Development efforts on the building of digital infrastructure will be jointly undertaken by the Malaysian Government and the private sector. The Malaysian Government will invest RM15 billion within a period of 10 years for the implementation of 5G network in Malaysia. The Malaysian Government also targets to migrate 80% of the public data to hybrid cloud systems by the end of 2022. The Group has participated or planned to participate in several digital transformation tenders undertaken by the Malaysian Government or Governmentlinked Companies (GLCs). Presales activities such as technology demonstrations, proofs of concept and value-added consultations are being carried out.

Besides, the Group is still in the process of developing and rolling out the advanced version of our mobile payment application (i.e. Blackbutton) in order to localize the mobile payment products into Malaysia and to integrate the payment operator with the banking infrastructure.

力爭上游,並引入十年路 線圖,計劃將馬來西亞轉 變為數碼驅動、高收入國 家,成為數碼經濟的區域 領袖。馬來西亞政府和私 營界別將聯手進行建設數 碼基建的發展工作。馬來 西亞政府將於10年內投資 馬幣150億元,以於馬來西 亞實施5G網絡。馬來西亞 政府亦訂下目標,在二零 二二年底前將80%公開資 料轉移至混合雲端系統。 本集團已參加或計劃參加 由馬來西亞政府或政府關 聯企業 (GLC) 進行的若干 數碼轉型招標。現正在開 展售前活動,例如技術演 示,概念驗證和增值諮詢。

再者,本集團仍正開發及 推出流動付款應用程式(即 Blackbutton)的進階版, 以將流動付款產品融入馬 來西亞,並與銀行基礎設 施的付款營運商進行整合。

T h e G r o u p i s a l s o c u r r e n t l y evaluating the potential acquisitions or development of 4 new major intellectual properties to increase the product features and enhance the compatibility of Square Intelligence ( i . e . N S 3 ) a n d t h e c u s t o m e r relationship management system (i.e. CUSTPRO).

These functions include scalable mobility technology, statistical modeling of business performance, API technology, as well as building a digital banking feature on top of NS3 and CUSTPRO.

The Group has started to design the high level functional requirements and the overall technical architecture for the said digital banking platform. The design of the platform is based on the latest technology that allows the platform to run on both onpremise and cloud infrastructure in order to meet the demand for both. The Group targets to create a solution that is scalable to potential clients of all sizes with the system business process that is adaptable to the client's business operations. The solution is expected to be completed by the end of 2021.

管理層討論及分析

本集團亦正在就潛在收購 或開發四項新主要知識 產權進行評估,以提升 產品特性及提升 Square Intelligence( 即 NS3 )及 客 戶 關 係 管 理 系 統( 即 CUSTPRO)的相容性。

該等功能包括可擴展的流 動科技、業務表現的統計 模型、 API技術以及在NS3 及CUSTPRO之上建立數碼 銀行功能。

本集團已開始設計上述數 碼銀行平臺的高層次功能 需求及整體技術架構。該 平台乃基於最新技術而設 計,使該平台能夠同時在 內部部署及雲端基礎架構 上運行,從而滿足該兩項 需求。本集團旨在為各種 規模的潛在客戶提供可擴 展的解決方案,其系統業 務流程可適應客戶的業務 營運情況。有關解決方案 預期於二零二一年底完成。

In order to enable the Group to secure contracts from Malaysian government authorities and agencies and tender for larger government tenders, the Group has accelerated its pace in the acquisition of service providers that possess Malaysian government's service provider licence (i.e. Taraf Bumiputera MOF) since early 2021. Only companies possessing this licence are eligible to provide services, goods and sales to the governmental authorities and agencies. Given that the majority shareholders of the applicants for government tenders and contracts must be Bumiputera in order to obtain the full licence of Taraf Bumiputera MOF, the Group is only eligible to be a minority shareholder of the company that possesses this licence. As at the date of this report, no definite acquisition target has been identified yet. The Group will continue to identify and evaluate any potential target.

管理層討論及分析

為使本集團能夠從馬來西 亞政府機關及部門獲得合 約並競標更大的政府招 標,本集團自二零二一年 初已加快收購持有馬來西 亞政府服務供應商牌照(即 Taraf Bumiputera MOF)的 服務供應商的步伐。僅持 有此牌照的公司符合資格 向政府機關及部門提供服 務、貨品及銷售。鑒於申 請政府招標及合約的大多 數股東須為馬來西亞土著 (Bumiputera)方可取得Taraf Bumiputera MOF的完整牌 照,本集團僅合資格成為 擁有本牌照的公司的少數 股東。於本報告日期,本 集團尚未有物色到確定的 收購目標。本集團將繼續 物色及評估潛在目標。

Affected by the outbreak of COVID-19 pandemic and its economic impact on the global market, it is expected that it persists to give rise to an uncertain economic environment to the Malaysian market. In the coming years, the information technology industry in Malaysia is expected to remain challenging and competitive. Looking forward, the Group will remain cautious and continue to pay close attention and focus on providing IT solutions by integrating the existing resources and optimising the business performance.

(ii) To capture new growth opportunities through our successful product, Square Intelligence

Our product, Square Intelligence (based on the technical know-now of NS3), has been successful since its introduction to the Malaysian market. The Group is continuously developing the advanced version of Square Intelligence. New functions that incorporate machine learning capabilities have been designed and such functions are undergoing development to further enhance the features offered by Square Intelligence. The new functions are capable of performing data extraction from un-structured data source such as manual documentation, reports and forms. It is designed to convert these un-structured data into text based information on Optical Character Recognition technology with AI, and from there, Square Intelligence shall be able to perform further analysis according to the business requirements. The advanced version of Square Intelligence has been completed and launched to the market in August 2021.

管理層討論及分析

鑒於COVID-19疫情爆發及 其對全球市場造成的經濟 影響,預期將持續為馬來 西亞市場帶來不明朗的經 濟環境。於未來數年,馬 來西亞資訊科技行業預期 將充滿挑戰且競爭激烈。 展望將來,本集團將保持 謹慎,透過整合現有資源 及優化業務表現,繼續密 切關注及專注於提供資訊 科技解決方案。

(ii) 透過成功產品 Square Intelligence致力把握新增 長機遇

自從我們的產品 Square Intelligence(以NS3專門技 術知識為基礎)於馬來西亞 市場推出以來,已經取得 了成功。本集團持續開發 Square Intelligence的進階 版本。本集團已設計包含 機器學習功能的新功能, 並正在開發中,以進一步 加 強 Square Intelligence 提供的功能。新功能能夠 從非結構化數據源(例如 手冊文檔、報告及表格) 中提取數據。其設計目的 為能夠利用人工智能的光 學字符識別技術,將該等 非結構化數據轉換為文本 資料,Square Intelligence 將能夠根據業務需求執行 進一步的分析。 Square Intelligence的進階版本已 完成並於二零二一年八月 推出市場。

The outbreak of COVID-19 pandemic in early 2020 throughout the world has certain impacts on the business operation of the Group and the global economy. The suspension of operation in Malaysia and global travel restrictions directly and indirectly affected the seeking out of potential customers and negotiation and securing of new projects by the Group. However, the management will actively adjust its existing business plans, formulate more alternative business plans and perform a series of sales and marketing efforts in order to expand its existing market share. The Board expects that the enhancement of our products will continuously generate a sustainable cash inflow to the Group through the aforesaid measures and means.

(iii) To leverage on the business networks of the pre-IPO investors of the Company to introduce IT products in the PRC into Malaysia; and diversifying our service offerings to our customers

The Group has been discussing with various potential technology partners in the PRC regarding the launch of their services/products in Malaysia. Site visits were conducted to further discuss business collaboration for Malaysian market before the outbreak of COVID-19 pandemic. However, these activities were put on hold or delayed due to the COVID-19 pandemic and restrictions on international travel.

管理層討論及分析

二零二零年初COVID-19疫 情肆虐全球,對本集團業 務營運及全球經濟帶來若 干影響。馬來西亞營運暫 停及全球旅遊限制令本集 團尋找潛在客戶和商討及 落實新項目均受到直接及 間接影響。然而,管理層 將積極調整其現有業務計 劃、制定更多不同業務計 劃,以及實行一系列銷售 及營銷活動,以擴大現時 市場份額。董事會預期, 透過上述的措施及方法來 提升我們的產品,可為本 集團帶來持續的現金流入。

(iii) 憑藉本公司首次公開發售 前投資者之業務網絡,將 中國資訊科技產品引進馬 來西亞,並向客戶提供多 元化服務

本集團一直與中國多個潛 在技術合作夥伴討論在馬 來西亞推出其服務╱產 品。本集團於 COVID-19 疫情爆發前進行了實地考 察,以進一步討論馬來西 亞市場的業務合作。然 而,由於COVID-19疫情及 跨國旅遊限制,該等活動 被迫擱置或推遲。

O n c e i n t e r n a t i o n a l t r a v e l i s substantially resumed, the Group w i l l c o n t i n u e o u r d i s c u s s i o n with potential business partners, and actively explore valuable IT products for the purpose of diversifying our products and services offering to our customers.

The Board is aware of the recent change of the Malaysian Government, and understands that the government policies may change again. The Board will closely monitor its impact on the Group's future business and development plans and make further adjustments to the plans if necessary.

MATERIAL ACQUISITIONS AND DISPOSALS OF SUBSIDIARIES AND AFFILIATED COMPANIES

During the nine months ended 31 August 2021, the Group did not have any material acquisitions and disposals of subsidiaries and affiliated companies.

PRINCIPAL RISKS AND UNCERTAINTIES

The Group identified various principal risk factors and uncertainties that may affect our operating results and business prospects, including but not limited to the following:

Risk factors and uncertainties Risk response 風險因素及不確定因素 風險應對

Most of the contracts are project-based which create uncertainties on the source of revenue and sustainability of our future revenue streams

大部分合約以項目為基礎,對我們的收益來源及未來收 益來源的可持續性帶來不確定因素

管理層討論及分析

當跨國旅遊大致恢復後, 本集團將繼續與潛在業務 合作夥伴進行討論,並積 極探索有價值的資訊科技 產品,以使我們向客戶提 供的產品及服務多樣化。

董事會注意到馬來西亞政府近日 的變革,及了解到政府政策或再 有變化。董事會將密切監察其對 本集團未來業務及發展計劃的影 響且在必要時對該計劃做出進一 步調整。

附屬公司及聯屬公司之重大收購 及出售

於截至二零二一年八月三十一日 止九個月,本集團並無任何附屬 公司及聯屬公司之重大收購及出 售。

主要風險及不確定因素

本集團已識別可能影響經營業績 及業務前景的各個主要風險因素 及不確定因素,包括但不限於以 下各項:

• To secure new contracts, the Group continuously enhances and diversifies its products and services offerings, introduces various marketing and promotional activities, and provides customised solutions to the customers.
• 為獲得新合約,本集團不斷加強並多元開 拓產品和服務組合,推出各種營銷和 推廣活動,並為客戶提供定制化解決方 案。

Risk factors and uncertainties Risk response 風險因素及不確定因素 風險應對

• Dependence on major customers for a significant portion of our business and any decrease in revenue generated from major customers could materially and adversely affect our business, results of operations and financial condition
• 倚賴主要客戶以獲得重大部分的業務,從主要客戶產生 之收益減少將對我們之業務、經營業績及財務狀況造 成重大不利影響
• Cost overruns or delays in our system integration and development projects may materially and adversely affect our business, financial position and results of operation
• 我們之系統整合及開發項目可能出現成本超支或延誤, 可能對我們之業務、財務狀況及經營業績造成重大不 利影響
• Failure to anticipate and keep pace with our customer's business and industry

管理層討論及分析

• The Group maintains good and longterm relationships with the existing customers. At the same time, the Group carries out various marketing and promotional activities to attract potential customers and to increase market awareness. The Group is also exploring new markets and seeking other cooperation opportunities with potential partners.
• 本集團與現有客戶保持良好及長期的合作 關係,同時,本集團進行各種營銷及推 廣活動,吸引潛在客戶,提高市場知名 度。本集團亦正開拓新市場,並尋求與 潛在合作夥伴的其他合作機會。
• The COVID-19 pandemic had resulted in the cost overruns and delays in projects in 2020 and 2021. Nevertheless, the Group continues to manage the cost carefully and optimise the resources utilisation.
• 於二零二零年及二零二一年,COVID-19疫 情引致成本超支和項目交付出現延誤。 然而,本集團會繼續謹慎管理成本和善 用資源。
• The Group closely monitors the changes in technologies and reviews the customers' needs to mitigate the risks. The Group also develops advanced versions of its existing products and establishes new products and services from time to time to meet the customers' demands.
• 無法預視及追上客戶業務及行業之迅速發展 本集團密切注意科技的變化及審視客戶的 需求,以降低風險。本集團亦開發現有 產品的進階版本及不時建立新的產品和 服務,以滿足客戶的需求。

Risk factors and uncertainties Risk response 風險因素及不確定因素 風險應對

Significant delays in collecting trade receivables from our customers

For a more comprehensive description of risk factors, please also refer to the section headed "Risk Factors" in the prospectus of the Company dated 29 September 2018 (the "Prospectus") which are still applicable to the Group.

管理層討論及分析

• The Group trades with recognised and creditworthy customers and generally does not provide a long credit period to new customers unless they are sizable enterprises with good reputation. The trade receivable balances are monitored on an ongoing basis by the management. To collect overdue trade receivables, the Group closely monitors overdue payments and performs credit search on our customers to ensure their recoverability.
• 向客戶收取貿易應收款項出現重大延誤 本集團與認可及信譽良好的客戶進行交 易,除非該等客戶為具規模及信譽卓著 的企業,一般不會向新客戶提供長時間 的信貸期。管理層持續監察貿易應收款 項結餘。為收回逾期的貿易應收款項, 本集團密切監察逾期付款情況,並對客 戶進行信用調查,以確保其可收回性。

請參閱本公司日期為二零一八年 九月二十九日之招股章程(「招股 章程」)內「風險因素」一節以了解 更全面的風險因素詳情,該節內 容對本集團依然適用。

FOREIGN EXCHANGE EXPOSURE

The Group has minimal exposure to foreign currency risk as most of the business transactions, assets and liabilities are principally denominated in Malaysian Ringgit and Hong Kong dollars. The Group currently does not have a foreign currency hedging policy in respect of foreign currency transactions, assets and liabilities. The management monitors our foreign currency exposure closely and will consider hedging significant foreign currency exposure should the need arise.

USE OF PROCEEDS

The net proceeds raised by the Company from the share offer of the Company were approximately RM30.5 million (equivalent to approximately HK\$58.6 million) (based on the final Offer Price (as defined in the Prospectus) of HK\$0.62 per offer share adjusted by the Downward Offer Price Adjustment (as defined in the Prospectus)). The Company adjusted the use of net proceeds on a pro rata basis for the purposes as disclosed in the section headed "Future Plans and Use of Proceeds — Use of Proceeds" of the Prospectus and the price reduction announcement dated 16 October 2018.

管理層討論及分析

外匯風險

由於大部分業務交易、資產及負 債主要以馬幣及港元計值,故本 集團面對的外匯風險極低。本集 團目前並無就外幣交易、資產及 負債設定外幣對沖政策。管理層 密切監察我們的外匯風險,並會 在有需要時考慮對沖重大外幣風 險。

所得款項用途

經下調發售價調整(定義見招股 章程)作出調整後,本公司自股 份發售籌募之所得款項淨額約 為馬幣 30,500,000 元( 相 當 於 約 58,600,000港元)(按最終發售價 (定義見招股章程)每股發售股份 0.62港元計算)。本公司按招股章 程「未來計劃及所得款項用途—所 得款項用途」一節及於二零一八年 十月十六日之發售價下調公告所 披露之用途按比例調整所得款項 淨額用途。

On 19 March 2021, the Board resolved to change the use of the remaining balance of the unutilised net proceeds of approximately RM17.28 million to research and development of advanced and adapted versions of our Group's existing IT products, the acquisition of IT business and for the Group's general working capital.

The Board confirms that there is no material change in the business of the Group as set out in the Prospectus. The Board considered that the change in the use of the net proceeds will enable the Group to deploy its financial resources more effectively and to enhance the degree of flexibility in cash flow management, and therefore such change has been made in the interest of the Group and the shareholders of the Company as a whole. Details of the change in use of proceeds was set out in the announcement of the Company dated 23 March 2021.

管理層討論及分析

於二零二一年三月十九日,董事 會決議將未動用所得款項淨額餘 額約馬幣17,280,000元的用途更 改為研發本集團現有資訊科技產 品之進階版及適應版、收購資訊 科技業務以及本集團的一般營運 資金。

董事會確認,招股章程所載本集 團的業務並無重大變動。董事會 認為,更改所得款項淨額用途 將令本集團得以更有效地運用其 財務資源,並能夠增強現金流管 理方面的靈活性,故該等變動符 合本集團及本公司股東的整體利 益。更改所得款項用途詳情載於 本公司日期為二零二一年三月二 十三日之公告。

管理層討論及分析

The table below sets out the utilisation of the net proceeds up to 31 August 2021:

下表列載所得款項淨額截至二零 二一年八月三十一日之使用情況:

Use of proceeds		Original intended use of net proceeds from the Listing	Adjusted net proceeds after change in uses on 19 March 2021 於	Amount of utilised net proceeds up to 31 August 2021	Balance as at 31 August 2021	Expected timeline for utilising the unutilised net proceeds
所得款項用途		原訂上市 所得款項淨額 擬定用途 RM million 馬幣百萬元	二零二一年 三月十九日 更改用途後之 經調整所得 款項淨額 RM million 馬幣百萬元	截至 二零二一年 八月三十一日 的已動用所得 款項淨額 RM million 馬幣百萬元	於 二零二一年 八月三十一日 的餘額 RM million 馬幣百萬元	未動用所得款項 淨額的預期動用 時間表
Strengthening our technical team by recruiting more IT specialists	招聘更多資訊科技 專才以加強技術 團隊	3.05	3.05	(3.05)	–
Purchase of hardware and equipment for establishment of IT infrastructure for the provision of cloud storage and cloud computing services	購買硬件及設備以 建立資訊科技基礎 設施,從而提供 雲端儲存及雲端 運算服務	18.30	1.02	(1.02)	–
Research and development of advanced and adapted versions of our Group's existing IT products (Note 1)	研發本集團現有資訊 科技產品之進階版 及適應版 (附註1)	6.10	9.38	(8.01)	1.37	31 December 2021 二零二一年 十二月三十一日
Acquisition of IT business (Note 2)	收購資訊科技業務 (附註2)	–	3.00	–	3.00	31 December 2021 二零二一年 十二月三十一日
General working capital (Note 3)	一般營運資金 (附註3)	3.05	14.05	(7.32)	6.73	31 March 2022 二零二二年 三月三十一日
Total	總計	30.50	30.50	(19.40)	11.10

42 MINDTELL TECHNOLOGY LIMITED

Notes:

• 1. The existing IT products of our Group include Square Intelligence, CUSTPRO and Blackbutton.
• 1. The acquisition target(s) include companies which possess the Taraf Bumiputera MOF.
• 1. The unutilised net proceeds of approximately RM11 million were reallocated to general working capital comprising staff costs of approximately RM7.6 million, professional fees of approximately RM1.5 million, finance costs of approximately RM0.1 million and others of approximately RM1.8 million.

DIVIDENDS

The Board does not recommend the payment of an interim dividend for the nine months ended 31 August 2021 (2020: nil).

管理層討論及分析

• 1. 本集團現有資訊科技產品包括 Square Intelligence、CUSTPRO 及Blackbutton。
• 1. 收購目標包括持有 Taraf Bumiputera MOF的公司。
• 1. 未動用所得款項淨額約馬幣 11,000,000元獲重新分配至一 般營運資金,包括員工成本約 馬幣7,600,000元、專業費用約 馬幣1,500,000元、融資成本約 馬 幣 100,000 元及其他約馬幣 1,800,000元。

股息

董事會並不建議派付截至二零二 一年八月三十一日止九個月之中 期股息(二零二零年:無)。

CORPORATE GOVERNANCE PRACTICES

The Company has adopted the principles and the code provisions in the Corporate Governance Code (the "CG Code") as set out in Appendix 15 to the GEM Listing Rules.

During the nine months ended 31 August 2021, the Company had complied with the CG Code, except for the deviation as stated below:

Code Provision A.2.1

Pursuant to code provision A.2.1 of the CG Code, the roles of chairman and chief executive officer should be separated and should not be performed by the same individual. The division of responsibilities between the chairman and chief executive officer should be clearly established and set out in writing.

企業管治常規

本公司已採納GEM上市規則附錄 十五所載企業管治守則(「企業管 治守則」)之準則及守則條文。

於截至二零二一年八月三十一日 止九個月,本公司已遵守企業管 治守則,惟下文所述之偏離情況 除外:

守則條文A.2.1條

根據企業管治守則守則條文A.2.1 條,主席與行政總裁之角色應有 區分,並不應由同一人兼任。主 席與行政總裁之間的職責分工應 明確規定並以書面載述。

Mr. Chong Yee Ping is currently the Chairman of the Board and the Chief Executive Officer of the Company, and is responsible for formulating the overall business development strategy and planning of the Group. In view that Mr. Chong has been responsible for the overall management of the Group since its inception, the Board believes that it is in the best interest of the Group to continue to have Mr. Chong taking up both roles for effective management and business development. The Board considers that the balance of power and authority, accountability and independent decisionmaking under our present arrangement will not be impaired because of the diverse background and experience of the other executive Director, non-executive Directors and independent non-executive Directors. Further, the Audit Committee has free and direct access to the Company's external auditors and independent professional advisers when it considers necessary. Therefore, the Directors consider that the deviation from code provision A.2.1 of the CG Code is appropriate under such circumstance.

鍾宜斌先生目前為本公司之董事 會主席兼行政總裁,並負責制定 本集團之整體業務發展策略及規 劃。鑒於鍾先生自創立以來一直 負責本集團之全面管理,董事會 相信,鍾先生繼續兼任該等職務 符合本集團的最佳利益,以取得 有效之管理及業務發展。董事會 認為,基於其他執行董事、非執 行董事及獨立非執行董事之多元 化背景及經驗,目前安排無損權 力及職權、問責性及獨立決策之 平衡。此外,審核委員會可於其 認為有必要時自由及直接聯繫本 公司之外部核數師及獨立專業顧 問。因此,董事認為偏離企業管 治守則守則條文A.2.1條在此情況 下屬恰當。

In order to maintain good corporate governance and to fully comply with code provision A.2.1 of the CG Code, the Board comprises six other experienced and highcalibre individuals including one other executive Director, two non-executive Directors and three independent nonexecutive Directors who would be able to offer advice from various perspectives. In addition, for major decisions of the Group, the Company will consult the relevant Board committees and the senior management. Considering the present size and the scope of business of the Group, the Board considers that it is not in the best interest of the Company and the shareholders as a whole to separate the roles of the chairman and the chief executive officer, because the separation would render the decisionmaking process of the Company less efficient than under the current structure. Therefore, the Board considers that the present arrangement is beneficial to and in the interest of the Company and the shareholders as a whole.

為維持良好企業管治及全面遵守 企業管治守則守則條文A.2.1條, 董事會由另外六名具豐富經驗及 卓越才幹之人士組成,包括另外 一名執行董事、兩名非執行董事 及三名獨立非執行董事,彼等能 夠在不同方面提供意見。此外, 就本集團之重大決策而言,本公 司將會諮詢相關董事委員會及高 級管理層。經考慮本集團現時規 模及業務範疇,董事會認為區分 主席與行政總裁之角色並不符合 本公司及股東之整體最佳利益, 原因是相比現有架構,區分該等 角色將令本公司之決策過程效率 降低。因此,董事會認為現時安 排對本公司及股東整體有利,並 符合彼等整體利益。

DIRECTORS' SECURITIES TRANSACTIONS

The Company has adopted the required standard of dealings set out in Rules 5.46 to 5.67 of the GEM Listing Rules (the "Standard of Dealings"), as the code of conduct regarding the Directors' securities transactions. The Company has made specific enquiries of all Directors and each of the Directors has confirmed that he/ she has complied with the Standard of Dealings from the date on which the shares of the Company are first listed on the Stock Exchange (the "Listing Date") and up to the date of this report.

PURCHASE, SALE OR REDEMPTION OF LISTED SECURITIES

None of the Company or any of its subsidiaries purchased, sold or redeemed any of the Company's listed securities during the nine months ended 31 August 2021.

SHARE OPTION SCHEME

The Company conditionally adopted a share option scheme (the "Share Option Scheme") on 19 September 2018. The purpose of the Share Option Scheme is to grant an option to subscribe for the shares of the Company (the "Option") to eligible persons as defined in the Share Option Scheme (including inter alia, directors, employees, suppliers, customers and consultants of the Group) as incentives or rewards for their contribution to the Group.

董事之證券交易

本公司已採納 GEM 上市規則第 5.46至5.67條所載交易規定標準 (「交易標準」),作為董事之證券 交易之操守守則。本公司已向所 有董事作出特定查詢且各董事已 確認,彼自本公司股份首次於聯 交所上市當日(「上市日期」)及直 至本報告日期一直遵守交易標準。

購買、出售或贖回上市證劵

概無本公司或其任何附屬公司於 截至二零二一年八月三十一日止 九個月購買、出售或贖回本公司 任何上市證券。

購股權計劃

本公司於二零一八年九月十九日 有條件地採納一項購股權計劃 (「購股權計劃」)。購股權計劃旨 在向合資格人士(包括(其中包括) 本集團之董事、僱員、供應商、 客 戶 及 顧 問 )( 定 義 見 購 股 權 計 劃)授出購股權以認購本公司股份 (「購股權」),作為彼等對本集團 作出貢獻之獎勵或回報。

Unless otherwise cancelled or amended, the Share Option Scheme will remain in force for a period of 10 years from the date of its adoption on 19 September 2018. During the nine months ended 31 August 2021, no Option has been granted by the Company. As of the date of this report, the Company had 39,000,000 Shares available for issue under the Share Option Scheme (representing 10% of the issued share capital of the Company as at the date of this report). An option may be accepted within 21 days from the date of offer. A sum of HK\$1.00 shall be payable on acceptance. Unless determined by the Directors otherwise, there is no minimum holding period before it can be exercised. The maximum entitlement of each participant and the exercise price shall be determined in accordance with the GEM Listing Rules. Details of the Share Option Scheme are set out in the paragraph headed "Share Option Scheme" of the section headed "Statutory and General Information" of the Prospectus.

除非獲取消或修訂,否則購股權 將自其採納日期(二零一八年九月 十九日)起計10年內一直有效。截 至二零二一年八月三十一日止九 個月,本公司並無授出購股權。 截至本報告日期,本公司根據購 股權計劃有39,000,000股可供發 行之股份(佔於本報告日期本公司 已發行股本之10%)。購股權可於 要約之日起21日內獲接納。接納 時須支付1.00港元之款項。除非 董事另有決定,並無可予行使前 的最短持有期限。每位參與者的 最高配額及行使價應根據GEM上 市規則的規定而釐定。有關購股 權計劃之詳情載列於招股章程「法 定及一般資料」一節「購股權計劃」 一段。

DIRECTORS' AND CHIEF EXECUTIVES' INTERESTS AND SHORT POSITIONS IN THE SHARES, UNDERLYING SHARES AND DEBENTURES OF THE COMPANY AND ITS ASSOCIATED CORPORATIONS

As at 31 August 2021, the interests and short positions of the Directors and chief executives of the Company in the shares, underlying shares and debentures of the Company and its associated corporations (within the meaning of Part XV of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) (the "SFO")), which were required (a) to be notified to the Company and the Stock Exchange pursuant to Divisions 7 and 8 of Part XV of the SFO; or (b) pursuant to Section 352 of the SFO, to be recorded in the register referred therein; or (c) pursuant to Rule 5.46 of the GEM Listing Rules to be notified to the Company and the Stock Exchange, were as follows:

Long position in the shares or underlying shares of the Company:

董事及主要行政人員於本公司及 其相聯法團之股份、相關股份及 債券之權益及淡倉

於二零二一年八月三十一日,董 事及本公司主要行政人員於本公 司及其相聯法團(定義見香港法例 第571章證券及期貨條例(「證券及 期貨條例」)第XV部)之股份、相關 股份及債券中,擁有(a)須根據證 券及期貨條例第XV部第7及8分部 知會本公司於聯交所之權益及淡 倉;或(b)根據證券及期貨條例第 352條須登記於該條所指之登記冊 內之權益及淡倉;或(c)根據GEM 上市規則第5.46條須知會本公司 及聯交所之權益及淡倉如下:

於本公司股份或相關股份之好倉:

Name of Directors	Capacity and nature of interest	Number of shares interested (Note 2) 擁有權益之 股份數目	Percentage of the Company's issued share capital 本公司 已發行股本
董事姓名	身份及權益性質	(附註2)	百分比
Mr. Chong Yee Ping (Note 1) 鍾宜斌先生(附註1)	Interests of controlled corporation and person acting in concert 受控法團權益及一致行動人士	196,560,000 (L)	50.4%
Mr. Siah Jiin Shyang (Note 1) 謝錦祥先生(附註1)	Interests of controlled corporation and person acting in concert 受控法團權益及一致行動人士	196,560,000 (L)	50.4%
Mr. Liu Yan Chee James 劉恩賜先生	Beneficial owner 實益擁有人	57,720,000 (L)	14.8%
Mr. Lam Pang 林鵬先生	Beneficial owner 實益擁有人	38,220,000 (L)	9.8%

Notes:

(1) Delicate Edge Limited is wholly and beneficially owned by Mr. Chong Yee Ping whereas King Nordic Limited is wholly and beneficially owned by Mr. Siah Jiin Shyang. Each of Delicate Edge Limited and King Nordic Limited holds 98,280,000 shares representing 25.2% of the total issued share capital of the Company.

Mr. Chong Yee Ping and Mr. Siah Jiin Shyang are parties acting in concert (having the meaning ascribed to it under the Hong Kong Code on Takeovers and Mergers (the "Takeovers Code")) as confirmed by them in writing. As such, each of Mr. Chong Yee Ping, Mr. Siah Jiin Shyang, Delicate Edge Limited and King Nordic Limited is deemed to be interested in 196,560,000 shares held by Delicate Edge Limited and King Nordic Limited in aggregate under the SFO.

(2) The Letter "L" denotes as long positions in the shares of the Company.

Save as disclosed above, as at 31 August 2021, none of the Directors and chief executives of the Company and/or any of their respective associates had any interests and short positions in the shares, underlying shares and debentures of the Company and / or any of its associated corporations (within the meaning of Part XV of the SFO) as recorded in the register required to be kept by the Company under Section 352 of the SFO or as otherwise notified to the Company and the Stock Exchange pursuant to Part XV of the SFO or the GEM Listing Rules.

附註:

(1) Delicate Edge Limited由鍾宜斌先 生全資實益擁有,而King Nordic Limited 由謝錦祥先生全資實益 擁有。 Delicate Edge Limited 及 King Nordic Limited 各自持有 98,280,000股股份,佔本公司已 發行股本總額25.2%。

誠如鍾宜斌先生及謝錦祥先生書 面確認,彼等為一致行動人士(具 香港公司收購及合併守則(「收購 守則」)項下賦予該詞之涵義)。因 此,根據證券及期貨條例,鍾宜 斌先生、謝錦祥先生、Delicate Edge Limited 及 King Nordic Limited 各自被視為於 Delicate Edge Limited 及 King Nordic Limited合共持有之196,560,000股 股份中擁有權益。

(2) 字母「L」指本公司股份中之好倉。

除上文所披露者外,於二零二一 年八月三十一日,概無董事及本 公司主要行政人員及╱或彼等各 自之聯繫人於本公司及╱或其任 何相聯法團(定義見證券及期貨條 例第XV部)之股份、相關股份及債 券中擁有根據證券及期貨條例第 352條記錄於須由本公司存置的登 記冊內之任何權益及淡倉,或根 據證券及期貨條例第XV部或GEM 上市規則須知會本公司及聯交所 之權益及淡倉。

DIRECTORS' RIGHTS TO ACQUIRE SHARES OR DEBENTURES

Save as disclosed under the paragraphs headed "Directors' and chief executives' interests and short positions in the shares, underlying shares and debentures of the Company and its associated corporations" and "Share Option Scheme" above, at no time during the nine months ended 31 August 2021 was the Company, its holding company, or any of its subsidiaries or associated corporations, a party to any arrangement that would enable the Directors and chief executives of the Company (including their respective spouse and children under 18 years of age) to acquire benefits by means of the acquisition of the shares or underlying shares in, or debentures of, the Company or any of its associated corporations.

SUBSTANTIAL SHAREHOLDERS' INTERESTS AND SHORT POSITIONS IN THE SHARES AND UNDERLYING SHARES OF THE COMPANY

So far as the Directors are aware, as at 31 August 2021, the following persons have or are deemed or taken to have an interest and/or short position in the shares or the underlying shares of the Company which would fall to be disclosed under the provisions of Division 2 and 3 of Part XV of the SFO or which were recorded in the register required to be kept by the Company under Section 336 of the SFO.

董事購入股份或債券之權利

除上文「董事及主要行政人員於本 公司及其相聯法團之股份、相關 股份及債券之權益及淡倉」及「購 股權計劃」兩段所披露者外,截至 二零二一年八月三十一日止九個 月內任何時間,本公司、其控股 公司或其任何附屬公司或其相聯 法團均無訂立任何安排,致使董 事及本公司主要行政人員(包括彼 等各自之配偶及未滿18歲之子女) 得以通過購入本公司或其任何相 聯法團之股份或相關股份或債券 之方式獲得利益。

主要股東於本公司股份及相關股 份之權益及淡倉

據董事所悉,於二零二一年八月 三十一日,以下人士於本公司股 份或相關股份中擁有或被視作或 當作擁有根據證券及期貨條例第 XV部第2及第3分部的條文須作出 披露之權益及╱或淡倉,或須記 錄於根據證券及期貨條例第336條 須由本公司存置的登記冊內之權 益及╱或淡倉。

Long position in the shares or underlying shares of the Company: 於本公司股份或相關股份之好倉:

		Number of shares	Percentage of the Company's
Name of substantial shareholders	Capacity and nature of interest	interested (Note 2) 擁有權益之 股份數目	issued share capital 本公司 已發行股本
主要股東名稱	身份及權益性質	(附註2)	百分比
Delicate Edge Limited (Note 1)(附註1)	Beneficial owner and person acting in concert 實益擁有人及一致行動人士	196,560,000 (L)	50.4%
King Nordic Limited (Note 1)(附註1)	Beneficial owner and person acting in concert 實益擁有人及一致行動人士	196,560,000 (L)	50.4%
Mr. Liu Yan Chee James 劉恩賜先生	Beneficial owner 實益擁有人	57,720,000 (L)	14.8%
Mr. Lam Pang 林鵬先生	Beneficial owner 實益擁有人	38,220,000 (L)	9.8%
Notes:		附註:

(1) Delicate Edge Limited is wholly and beneficially owned by Mr. Chong Yee Ping whereas King Nordic Limited is wholly and beneficially owned by Mr. Siah Jiin Shyang. Each of Delicate Edge Limited and King Nordic Limited holds 98,280,000 shares representing 25.2% of the total issued share capital of the Company.

Mr. Chong Yee Ping and Mr. Siah Jiin Shyang are parties acting in concert (having the meaning ascribed to it under the Takeovers Code) as confirmed by them in writing. As such, each of Mr. Chong Yee Ping, Mr. Siah Jiin Shyang, Delicate Edge Limited and King Nordic Limited is deemed to be interested in 196,560,000 shares held by Delicate Edge Limited and King Nordic Limited in aggregate under the SFO.

(2) The Letter "L" denotes as long positions in the shares of the Company.

(1) Delicate Edge Limited由鍾宜斌先 生全資實益擁有,而King Nordic Limited 由謝錦祥先生全資實益 擁有。 Delicate Edge Limited 及 King Nordic Limited 各自持有 98,280,000股股份,佔本公司已 發行股本總額25.2%。

誠如鍾宜斌先生及謝錦祥先生書 面確認,彼等為一致行動人士(具 收購守則項下賦予該詞之涵義)。 因此,根據證券及期貨條例,鍾 宜斌先生、謝錦祥先生、Delicate Edge Limited 及 King Nordic Limited 各自被視為於 Delicate Edge Limited 及 King Nordic Limited合共持有之196,560,000股 股份中擁有權益。

(2) 字母「L」指本公司股份中之好倉。

Save as disclosed above, as at 31 August 2021, the Company has not been notified by any persons (other than the Directors or chief executive of the Company) who had interests or short positions in the shares or underlying shares of the Company which would fall to be disclosed to the Company under the provisions of Divisions 2 and 3 of Part XV of the SFO, or which were recorded in the register required to be kept by the Company under Section 336 of the SFO.

COMPETING INTERESTS

None of the Directors and controlling shareholders of the Company nor their respective associates (as defined under the GEM Listing Rules) had any interest in any other companies as at 31 August 2021 which may, directly or indirectly compete with the Group's business.

DEED OF NON-COMPETITION

Mr. Chong Yee Ping, Mr. Siah Jiin Shyang, Delicate Edge Limited and King Nordic Limited, being the controlling shareholders (as defined under the GEM Listing Rules) of the Company, have executed a deed of non-competition dated 19 September 2018 in favour of the Company (the "Deed of Non-Competition"). Details of the Deed of Non-Competition were set out in the section headed "Relationship with Controlling Shareholders" of the Prospectus.

除上文所披露者外,於二零二一 年八月三十一日,本公司並無接 獲任何人士(本公司董事或主要行 政人員除外)告知於本公司股份或 相關股份中擁有根據證券及期貨 條例第XV部第2及第3分部之條文 須向本公司披露之權益或淡倉, 或根據證券及期貨條例第336條記 錄於須由本公司存置的登記冊內 之權益或淡倉。

競爭權益

於二零二一年八月三十一日,概 無董事及本公司控股股東或彼等 各自之聯繫人(定義見GEM上市規 則)於或會與本集團業務直接或間 接構成競爭之任何其他公司擁有 任何權益。

不競爭契據

鍾宜斌先生、謝錦祥先生、 Delicate Edge Limited 及 King Nordic Limited(即本公司控股股東 (定義見GEM上市規則))已簽訂日 期為二零一八年九月十九日以本 公司為受益人之不競爭契據(「不 競爭契據」)。有關不競爭契據之 詳情載於招股章程「與控股股東之 關係」一節。

The independent non-executive Directors of the Company have reviewed the status of compliance and confirmed that all the undertakings under the Deed of Non-Competition have been complied with by each of Mr. Chong Yee Ping, Mr. Siah Jiin Shyang, Delicate Edge Limited and King Nordic Limited from the Listing Date up to the date of this report.

INTERESTS OF COMPLIANCE ADVISER

VBG Capital Limited ("VBG") has acted as the compliance adviser of the Company until the termination of the compliance advisor agreement on 28 February 2021. Save as the compliance adviser agreement entered into between the Company and VBG, neither VBG nor its directors, employees or close associates had any interest in relation to the Group which is required to be notified to the Company pursuant to Rule 6A.32 of the GEM Listing Rules.

自上市日期起直至本報告日期, 本公司獨立非執行董事已審視不 競爭契據的遵守情況並確認鍾宜 斌先生、謝錦祥先生、Delicate Edge Limited 及 King Nordic Limited已遵守所有不競爭契據項 下之承諾。

合規顧問之權益

建泉融資有限公司(「建泉」)已擔任 本公司之合規顧問,直至合規顧問 協議於二零二一年二月二十八日終 止。除本公司與建泉訂立之合規顧 問協議外,建泉及其董事、僱員或 緊密聯繫人概無擁有有關本集團須 根據GEM上市規則第6A.32條知會 本公司之任何權益。

AUDIT COMMITTEE

The Company established an Audit Committee with written terms of reference in compliance with Rule 5.28 of the GEM Listing Rules and the paragraph C.3 of CG Code and Corporate Governance Report as set out in Appendix 15 of the GEM Listing Rules.

The primary duties of the Audit Committee are to assist the Board in providing an independent view of the effectiveness of the Company's financial reporting process, internal control and risk management system, to oversee the audit process and to perform other duties and responsibilities as assigned by the Board. As at the date of this report, the Audit Committee consists of three independent non-executive Directors, namely Ms. Ho Suet Man Stella (chairman of the Audit Committee), Mr. Chan San Ping and Mr. Su Chi Wen.

The Audit Committee has reviewed with the management the accounting standards and practices adopted by the Group, and discussed financial reporting matters including the review of unaudited c o n d e n s e d c o n s o l i d a t e d f i n a n c i a l statements for the nine months ended 31 August 2021 and is of the opinion that the preparation of such statements complied with applicable accounting standards and that adequate disclosures have been made in respect thereof.

審核委員會

本公司已成立審核委員會,並遵 守GEM上市規則第5.28條及GEM 上市規則附錄十五所載之企業管 治守則及企業管治報告第C.3段以 書面形式訂明之職權範圍。

審核委員會之主要職責為協助董 事會就本公司財務報告程序、內 部監控及風險管理系統之有效性 提供獨立意見、監督審核過程及 履行董事會指派之其他職務及職 責。於本報告日期,審核委員會 由三名獨立非執行董事組成,即 何雪雯女士(審核委員會主席)、 陳生平先生及蘇熾文先生。

審核委員會已與管理層審閱本集 團所採納之會計準則及常規,並 討論有關財務申報事宜,包括審 閱截至二零二一年八月三十一日 止九個月之未經審核簡明綜合財 務報表,並認為該等報表已按照 適用會計準則而編製,且已作出 充分披露。

BOARD OF DIRECTORS

Executive Directors

Mr. Chong Yee Ping (Chairman and Chief Executive Officer) Mr. Liu Yan Chee James

Non-executive Directors

Mr. Siah Jiin Shyang Mr. Lam Pang

Independent Non-executive Directors

Mr. Chan San Ping Ms. Ho Suet Man Stella Mr. Su Chi Wen

By order of the Board Mindtell Technology Limited

董事會

執行董事

鍾宜斌先生 (主席兼行政總裁) 劉恩賜先生

非執行董事

謝錦祥先生 林鵬先生

獨立非執行董事 陳生平先生

何雪雯女士 蘇熾文先生

承董事會命 Mindtell Technology Limited

Chong Yee Ping Chairman and Chief Executive Officer

主席兼行政總裁

鍾宜斌

Hong Kong, 5 October 2021

香港,二零二一年十月五日