WS-SK Target Group Limited — Interim / Quarterly Report 2022

Oct 13, 2021

2021 First Quarterly Report第一季度業績報告

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 & midsized 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 & mid-sized 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 SK Target Group 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 of Hong Kong Limited (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 的特色

GEM的定位乃為相比起其他在聯交所上市的公司帶有較高投資風險的中小型公司提供一個 上市的市場。有意投資的人士應瞭解投資該等公司的潛在風險，並應經過審慎周詳的考慮 後方作出投資決定。

由於在GEM上市之公司一般為中小型公司，在GEM買賣的證券可能會較於聯交所主板買賣 的證券承受較大的市場波動風險，同時亦無法保證在GEM買賣的證券會有高流通量的市場。

香港交易及結算所有限公司及聯交所對本報告的內容概不負責，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 而引致的任何損失承擔任何責任。

本報告乃遵照香港聯合交易所有限公司GEM證券上市規則（「 GEM上市規則 」）的規定而提供 有關瑞強集團有限公司（「 本公司 」）的資料。本公司各董事（「 董事 」）對此共同及個別地承 擔全部責任。董事在作出一切合理查詢後確認，就彼等深知及確信，本報告所載資料在各 重大方面均為準確及完整，且並無誤導或欺詐成分，亦無遺漏其他事項致使本報告或其所 載任何陳述有所誤導。

Corporate Information 公司資料

REGISTERED OFFICE IN CAYMAN ISLANDS

Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman KY1-1108, Cayman Islands

HEADQUARTER AND PRINCIPAL PLACE OF BUSINESS IN MALAYSIA

18, Jalan LP 2A/2, Taman Lestari Perdana, 43300 Seri Kembangan, Selangor, Darul Ehsan, Malaysia

PRINCIPAL PLACE OF BUSINESS IN HONG KONG

Room 1406-08, 14/F, Austin Tower, 22-26 Austin Avenue, Tsimshatsui, Kowloon, Hong Kong

EXECUTIVE DIRECTORS

Mr. Loh Swee Keong (Chairman and Chief Executive Officer)

INDEPENDENT NON-EXECUTIVE DIRECTORS

Mr. Yau Ka Hei Mr. Chu Kin Ming Mr. Ma, She Shing Albert

COMPANY SECRETARY

Mr. Leung Tze Wai, CPA

COMPLIANCE OFFICER

Mr. Loh Swee Keong

開曼群島註冊辦事處

Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman KY1-1108, Cayman Islands

總部及馬來西亞主要營業地點

18, Jalan LP 2A/2, Taman Lestari Perdana, 43300 Seri Kembangan, Selangor, Darul Ehsan, Malaysia

香港主要營業地點

香港九龍尖沙咀 柯士甸路22-26號 好兆年行 14樓1406-08室

執行董事

Loh Swee Keong先生 （主席兼行政總裁）

獨立非執行董事

邱家禧先生 朱健明先生 馬希聖先生

公司秘書

梁子煒先生，註冊會計師

合規主任

Loh Swee Keong先生

2

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Corporate Information 公司資料

AUDIT COMMITTEE

Mr. Chu Kin Ming (Chairman) Mr. Yau Ka Hei Mr. Ma, She Shing Albert

REMUNERATION COMMITTEE

Mr. Yau Ka Hei (Chairman) Mr. Chu Kin Ming Mr. Loh Swee Keong

NOMINATION COMMITTEE

Mr. Loh Swee Keong (Chairman) Mr. Yau Ka Hei Mr. Ma, She Shing Albert

AUTHORIZED REPRESENTATIVE

Mr. Loh Swee Keong Mr. Leung Tze Wai, CPA

CAYMAN ISLANDS PRINCIPAL SHARE REGISTRAR AND TRANSFER OFFICE

Ocorian Trust (Cayman) Limited Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman KY1-1108, Cayman Islands

HONG KONG BRANCH SHARE REGISTRAR AND TRANSFER OFFICE

Tricor Investor Services Limited Level 54, Hopewell Centre, 183 Queen’s Road East, Hong Kong

PRINCIPAL BANKER

CIMB Bank Berhad Public Bank Berhad

AUDITORS

Crowe (HK) CPA Limited

審核委員會

朱健明先生（主席） 邱家禧先生 馬希聖先生

薪酬委員會

邱家禧先生（主席） 朱健明先生 Loh Swee Keong 先生

提名委員會

Loh Swee Keong 先生（主席） 邱家禧先生 馬希聖先生

授權代表

Loh Swee Keong 先生 梁子煒先生，註冊會計師

開曼群島股份過戶登記總處

Ocorian Trust (Cayman) Limited Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman KY1-1108, Cayman Islands

香港股份過戶登記分處

卓佳證券登記有限公司 香港 皇后大道東183 號 合和中心54 樓

主要往來銀行

CIMB Bank Berhad Public Bank Berhad

核數師

國富浩華（香港）會計師事務所有限 公司

3

第一季度業績報告 2021 • 瑞強集團有限公司

Corporate Information 公司資料

COMPANY’S WEBSITE ADDRESS

www.targetprecast.com

STOCK CODE

8427

公司網址

www.targetprecast.com

股份代號 8427

4

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (Unaudited) 簡明綜合損益及其他全面收益表（未經審核）

The board of Directors (the “ Board ”) of the Company is pleased to present the unaudited condensed consolidated results of the Company and its subsidiaries (collectively referred to as the “ Group ”) for the three months ended 31 August 2021 together with the unaudited comparative figures for the corresponding period in 2020 as follows:

本公司董事會（「 董事會 」）欣然提呈 以下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 日止三個月的未經審核簡明綜合業績 以及二零二零年同期未經審核比較數 字：

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

==> picture [350 x 345] intentionally omitted <==

----- Start of picture text -----

Three months ended
31 August
截至八月三十一日止三個月
2021 2020
二零二一年 二零二零年
Note RM’000 RM’000
附註 千令吉 千令吉
(unaudited) (unaudited)
（未經審核） （未經審核）
Continuing operations 持續經營
Revenue 收入 3 2,628 4,766
Cost of sales 銷售成本 (2,701) (3,843)
Gross (loss) profit （毛損）毛利 (73) 923
Other income 其他收入 80 153
Administrative expenses 行政開支 (989) (966)
Selling and distribution 銷售及分銷開支
expenses (207) (216)
Finance costs 融資成本 4 (20) (39)
Loss before taxation 除稅前虧損 (1,209) (145)
Taxation 稅項 5 (1) (125)
Loss for the period from 持續經營期內虧損
continuing operations 6 (1,210) (270)
Discontinued operation 已終止經營
Profit for the period from 已終止經營期內溢利
discontinued operation 40 15
Loss for the period 期內虧損 (1,170) (255)
----- End of picture text -----

5

第一季度業績報告 2021 • 瑞強集團有限公司

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (Unaudited) 簡明綜合損益及其他全面收益表（未經審核）

==> picture [351 x 281] intentionally omitted <==

----- Start of picture text -----

Three months ended
31 August
截至八月三十一日止三個月
2021 2020
二零二一年 二零二零年
Note RM’000 RM’000
附註 千令吉 千令吉
(unaudited) (unaudited)
（未經審核） （未經審核）
Other comprehensive profit 其後可能重新分類至
(loss) items that may be 損益的其他全面溢利
reclassified subsequently to （虧損）項目：
profit or loss:
Exchange differences arising 換算海外業務產生的匯兌
on translation of foreign 差額
operations 10 (279)
Total comprehensive loss for 期內全面虧損總額
the period (1,160) (534)
(Loss) earnings per share 每股（虧損）盈利 (Restated)
Basic (RM cents) 基本（仙令吉） 8 （經重列）
From continuing operations 來自持續經營 (1.23) (0.31)
From discontinued operation 來自已終止經營 0.04 0.02
----- End of picture text -----

6

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Condensed Consolidated Statement of Changes in Equity (Unaudited) 簡明綜合權益變動表（未經審核）

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

==> picture [350 x 425] intentionally omitted <==

----- Start of picture text -----

Retained
profits/
Share Share Other Translation (Accumulated
capital premium reserve reserve loss) Total
保留溢利╱
股本 股份溢價 其他儲備 匯兌儲備 （累計虧損） 總計
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
千令吉 千令吉 千令吉 千令吉 千令吉 千令吉
At 31 May 2020 (audited) 於二零二零年
五月三十一日
（經審核） 3,765 24,290 8,579 (263) (263) 36,108
Loss for the period 期內虧損 – – – – (255) (255)
Exchange differences 換算海外業務
arising on translation of 產生的匯兌差額
– – – –
foreign operations (279) (279)
Total comprehensive loss 期內全面虧損
– – –
for the period 總額 (279) (255) (534)
At 31 August 2020 於二零二零年
(unaudited) 八月三十一日
（未經審核） 3,765 24,290 8,579 (542) (518) 35,574
At 31 May 2021 (audited) 於二零二一年
五月三十一日
（經審核） 4,277 26,444 8,579 (596) (5,116) 33,558
Loss for the period 期內虧損 – – – – (1,170) (1,170)
Exchange differences 換算海外業務
arising on translation of 產生的匯兌差額
foreign operations – – – 10 – 10
Total comprehensive loss 期內全面虧損
for the period 總額 – – – 10 (1,170) (1,160)
At 31 August 2021 於二零二一年
(unaudited) 八月三十一日
（未經審核） 4,277 26,444 8,579 (586) (6,286) 32,428
----- End of picture text -----

7

第一季度業績報告 2021 • 瑞強集團有限公司

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

1. GENERAL INFORMATION

SK Target Group Limited (the “ Company ”) was incorporated in the Cayman Islands with limited liability on 28 October 2016 and its ordinary shares are listed on the GEM of The Stock Exchange of Hong Kong Limited since 19 July 2017. The addresses of the registered office and principal place of business are Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman, KY1-1108, Cayman Islands and 18, Jalan LP 2A/2, Taman Lestari Perdana, 43300 Seri Kembangan, Selangor Darul Ehsan, Malaysia, respectively.

1. 一般資料 瑞強集團有限公司（「 本公 司 」）於二零一六年十月二十八 日於開曼群島註冊成立為有 限公司，且其普通股已自二 零一七年七月十九日起於香 港聯合交易所有限公司GEM 上市。註冊辦事處地址及主 要營業地點分別為Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman, KY1-1108, Cayman Islands 及18, Jalan LP 2A/2, Taman Lestari Perdana, 43300 Seri Kembangan, Selangor Darul Ehsan, Malaysia。

Merchant World Investments Limited (“ Merchant World ”), a limited company incorporated in the British Virgin Islands (“ BVI ”), is the immediate and ultimate holding company of the Company. Mr. Loh Swee Keong, is the ultimate controlling party of the Company who wholly owns Merchant World.

Merchant World Investments Limited（「 Merchant World 」， 一家在英屬處女群島（「 英屬處 女群島 」）註冊成立的有限公 司）是本公司的直接及最終控 股公司。Loh Swee Keong先生 為本公司的最終控制方，並全 資擁有Merchant World。

The Company is an investment holding company and the principal activities of the Group are manufacturing and trading of precast concrete junction boxes, trading of accessories and pipes and provision of mobile crane rental and ancillary services in Malaysia and sourcing service of materials in Hong Kong.

本公司是一家投資控股公司， 而本集團的主要業務為於馬來 西亞從事預製混凝土接線盒的 製造和貿易、配件及管道貿易 以及提供移動式起重機租賃及 配套服務以及於香港從事物料 採購服務。

The unaudited condensed consolidated financial statements are presented in Malaysian Ringgit (“ RM ”), which is also the functional currency of the Company. All values are rounded to nearest thousands (RM’000), unless otherwise stated.

未經審核簡明綜合財務報表乃 以馬來西亞令吉（「 令吉 」）呈 列，其亦為本公司的功能貨 幣。除另有說明外，所有數值 均約整至最接近千位數（千令 吉）。

8

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

2. BASIS OF PREPARATION AND PRESENTATION

The unaudited condensed consolidated financial statements of the Group for the three months ended 31 August 2021 have been prepared in accordance with the International Financial Reporting Standards (“ IFRSs ”) issued by the International Accounting Standards Board (“ IASB ”) and the applicable disclosure requirements of the GEM Listing Rules.

2. 編製及呈列基準

本集團截至二零二一年八月 三十一日止三個月的未經審核 簡明綜合財務報表已根據國際 會計準則理事會（「 國際會計準 則理事會 」）頒佈的國際財務報 告準則（「 國際財務報告準則 」） 以及GEM上市規則的適用披露 規定編製。

The unaudited condensed consolidated financial statements have been prepared on the historical cost basis except for certain financial instruments that are measured at fair values at the end of each reporting period. Historical cost is generally based on the fair value of the consideration given in exchange for goods and services.

除若干金融工具按各報告期末 的公平值計量外，未經審核簡 明綜合財務報表已按歷史成本 基準編製。歷史成本一般按交 換貨品及服務時給予代價的公 平值計量。

The basis of preparation and accounting policies applied in the preparation of the unaudited condensed consolidated financial statements are consistent with those adopted in the annual report for the year ended 31 May 2021, except for the new and revised IFRSs, which are effective for the financial year beginning on or after 1 June 2021. The condensed consolidated financial statements are unaudited, but have been reviewed by the Audit Committee of the Company.

編製未經審核簡明綜合財務報 表所應用的編製基準及會計 政策與截至二零二一年五月 三十一日止年度的年報所採納 者一致，惟於二零二一年六月 一日或之後開始的財政年度生 效的新訂及經修訂國際財務報 告準則除外。簡明綜合財務報 表乃未經審核，但已由本公司 審核委員會審閱。

9

第一季度業績報告 2021 • 瑞強集團有限公司

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

Application of new and revised IFRSs

During the period, the Group has adopted all the new and revised IFRSs issued by the IASB that are relevant to its operations and effective for its accounting period beginning on 1 June 2021. The adoption of these new and revised IFRSs did not result in significant changes to the Group’s accounting policies, presentation of the Group’s unaudited condensed consolidated financial statements and amounts reported for the current and prior accounting periods.

應用新訂及經修訂國際財務 報告準則

於本期間，本集團已採納由國 際會計準則理事會頒佈的所有 新訂及經修訂國際財務報告準 則，此等新訂及經修訂國際財 務報告準則與其經營業務有關 並於二零二一年六月一日開始 的會計期間生效。採納此等新 訂及經修訂國際財務報告準則 並未導致本集團的會計政策、 本集團未經審核簡明綜合財務 報表的呈報以及當前會計期間 及過往會計期間所呈報的金額 產生重大變動。

The Group has not early applied new and revised IFRSs that have been issued but are not yet effective for the financial period beginning 1 June 2021. The Directors anticipate that the new and revised IFRSs will be adopted in the Group’s 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 when they become effective. The Group is in the process of assessing, where applicable, the potential effect of all new and revised IFRSs that will be effective in future periods but is not yet in a position to state whether these new and revised IFRSs would have a material impact on its results of operations and financial position.

本集團並未提前應用已於二零 二一年六月一日開始的財政期 間頒佈但尚未生效的新訂及經 修訂國際財務報告準則。董事 預期當新訂及經修訂國際財務 報告準則生效時會於本集團未 經審核簡明綜合財務報表採 納。本集團正評估（倘適用）此 等將在未來期間生效的所有新 訂及經修訂國際財務報告準則 的潛在影響，惟現階段未能評 定此等新訂及經修訂的國際財 務報告準則是否對其經營業績 及財務狀況造成重大影響。

10

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

3. REVENUE

Revenue represents the invoiced values of goods sold during the report periods.

3. 收入

收入指報告期間已售貨品的發 票價值。

Continuing operations 持續經營 Manufacturing and trading 製造及貿易 Other building materials and services 其他建築材料及服務 Sourcing services 採購服務	Three months ended 31 August
	截至八月三十一日止三個月
	2021 2020
	二零二一年 二零二零年
	RM’000 RM’000
	千令吉 千令吉
	(unaudited) (unaudited)
	（未經審核） （未經審核）
	2,010 3,677 614 1,067 4 22
	2,628 4,766

11

第一季度業績報告 2021 • 瑞強集團有限公司

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

4. FINANCE COSTS

4. 融資成本

FINANCE COSTS	4.	融資成本
		Three months ended 31 August 截至八月三十一日止三個月 2021 2020 二零二一年 二零二零年 RM’000 RM’000 千令吉 千令吉 (unaudited) (unaudited) （未經審核） （未經審核）
Continuing operations	持續經營
Interest expense on:	以下各項的利息開支：
Commitment fees	承諾費	2 2
Leased liabilities interest	租賃負債利息	18 37
		20 39

12

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

5. TAXATION

5. 稅項

TAXATION 5.	稅項
Continuing operations 持續經營 Malaysia corporate income tax: 馬來西亞企業 所得稅： Current period 當前期間 Deferred tax 遞延稅項	Three months ended 31 August
	截至八月三十一日止三個月
	2021 2020
	二零二一年 二零二零年
	RM’000 RM’000
	千令吉 千令吉
	(unaudited) (unaudited)
	（未經審核） （未經審核）
	1 125 – –
	1 125

M a l a y s i a c o r p o r a t e i n c o m e t a x i s calculated at the statutory tax rate of 24% (2020: 24%) on the estimated assessable profits for each of the assessable period.

馬來西亞企業所得稅就各應課 稅期間的估計應課稅溢利按 法定稅率24%（二零二零年： 24%）計算。

Hong Kong Profits Tax is calculated at a rate of 16.5% (2020:16.5%) of the estimated assessable profits for the period. Hong Kong Profits Tax has not been provided for the periods ended 31 August 2021 and 2020 as there is no assessable profits for both periods.

香港利得稅乃根據期內之估計 應課稅溢利按16.5%（二零二零 年：16.5%）之稅率計算。截至 二零二一年及二零二零年八月 三十一日止期間，由於均未產 生應課稅溢利，故並無就香港 利得稅計提撥備。

13

第一季度業績報告 2021 • 瑞強集團有限公司

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

6. LOSS FOR THE PERIOD FROM CONTINUING OPERATIONS

Loss for the period has been arrived at after charging/(crediting):

6. 持續經營期內虧損

期內虧損於扣除╱（計入）以下 各項後達致：

Auditor remuneration 核數師薪酬 Cost of inventories recognised as an expense 確認為開支的存貨 成本 Staff costs, excluding directors’ remuneration: 員工成本，不包括董 事薪酬： – Salaries, wages and other benefits －薪金、工資及 其他福利 – Contribution to EPF －僱員公積金供款 Lease payments not included in the measurement of lease liabilities: 未計入計量租賃負債 的租賃付款： Crane 起重機 Office equipment 辦公室設備 Depreciation on: 以下各項折舊： Property, plant and equipment 物業、廠房及 設備 Investment property 投資物業 Right-of-use assets 使用權資產 Unrealised loss/(gain) on foreign exchange 未變現匯兌虧損╱ （收益） Interest income 利息收入	Three months ended 31 August
	截至八月三十一日止三個月
	2021 2020
	二零二一年 二零二零年
	RM’000 RM’000
	千令吉 千令吉
	(unaudited) (unaudited)
	（未經審核） （未經審核）
	84 84 1,938 2,812
	601 659 51 55
	652 714 4 5 – 4 190 171 1 3 166 159 35 (220) (81) (94)

14

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

7. DIVIDEND

The Board does not recommend the payment of dividend for the three months ended 31 August 2021 (2020: Nil).

7. 股息 截至二零二一年八月三十一日 止三個月，董事會並無建議派 付股息（二零二零年：無）。

8. (LOSS) EARNINGS PER SHARE

The calculation of the basic loss (earnings) per share is based on the following data:

8. 每股（虧損）盈利 每股基本虧損（盈利）乃根據下 列數據計算：

		Three months ended 31 August 截至八月三十一日止三個月 2021 2020 二零二一年 二零二零年 RM’000 RM’000 千令吉 千令吉 (unaudited) (unaudited) （未經審核） （未經審核）
Loss (earnings) for the	用於計算每股基本虧
purpose of calculating	損的虧損（盈利）：
basic loss per share: Loss	本公司擁有人應佔
for the period attributable	期內虧損
to the owners of the
Company
– From continuing	－來自持續經營
operations		(1,210) (270)
– From discontinued	－來自已終止經營
operation		40 15

15

第一季度業績報告 2021 • 瑞強集團有限公司

Notes to the Condensed Consolidated Financial Statements 簡明綜合財務報表附註

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

		Number of shares 股份數目	Number of shares 股份數目
Weighted average number	用於計算每股基本
of ordinary shares for the	虧損（盈利）的
purpose of calculating	普通股加權平均數
basic loss (earnings) per	（附註）
share (note)		98,025,000	86,025,000

Note:

附註：

The Weighted average number of shares used in the calculation of basic (loss) earnings per share for the periods ended 31 August 2020 and 2021 has been adjusted for the effect of share consolidation which became effective on 18 August 2021.

計算截至二零二零年及二零二一年 八月三十一日止期間之每股基本 （虧損）盈利所使用之股份加權平均 數已就於二零二一年八月十八日生 效之股份合併之影響作出調整。

No diluted (loss) earnings per share information has been presented for the periods ended 31 August 2020 and 31 August 2021 as the Company has no potential ordinary shares outstanding during both periods ended.

由於本公司於截至二零二零年 八月三十一日及二零二一年八 月三十一日止期間並無發行在 外的潛在普通股，故並無呈列 該兩個期間的每股攤薄（虧損） 盈利資料。

16

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

BUSINESS REVIEW AND OUTLOOK

The Group manufactures and sells precast concrete telecommunication junction boxes and precast concrete electrical junction boxes under the brand of “Target” in Malaysia (the “ Manufacturing and trading business ”). The Group’s precast concrete junction boxes are used in (i) telecommunication and electrical infrastructures upgrade and expansion works; and (ii) construction projects in Malaysia. They are buried underground to deter tampering and are used to house and protect a junction with telecommunication and electrical utility connection and distribution access points from weather, changing elevation underground and provide easy access for maintenance.

The Group has been a registered supplier or approved supplier of various notable telecommunication companies such as Celcom Axiata Berhad and Telekom Malaysia (“ Telekom ”) since 2008 and registered supplier of Tenaga National Bhd. (“ TNB ”), the only electric utility company, in Malaysia since 2012. Hence, the Group’s precast concrete junction boxes can be used in infrastructure or construction projects involving the telecommunication companies and TNB.

業務回顧及展望

本集團於馬來西亞製造及銷售 「Target」品牌的預製混凝土電信接線 盒及預製混凝土電力接線盒（「 製造及 貿易業務 」）。本集團的預製混凝土接 線盒用於馬來西亞的(i)電信及電力基 建升級及擴建工程；及(ii)建築項目。 該等接線盒埋藏於地下以防止損害， 以及用作放置及保護與電信及電力設 施連接的接線點以及分佈式接入點， 免受天氣及地下高標轉變的影響，並 提供通道方便維修。

本集團自二零零八年起為多家知名電 信公司（如Celcom Axiata Berhad及 Telekom Malaysia（「 Telekom 」））的 註冊供應商或認可供應商，以及自二 零一二年起為Tenaga National Bhd. （「 TNB 」，馬來西亞唯一的電力公用 事業公司）的註冊供應商。因此，本 集團的預製混凝土接線盒可用於涉及 電信公司及TNB的基建或建築項目。

17

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

The COVID-19 pandemic continues to affect the global market. Due to the rising number of COVID-19 diagnosed cases, the Malaysian Government has implemented series of antiepidemic measures from time to time to control the spread of COVID-19. On 1 June 2021, the Malaysian Government enforced the third movement control order (the “ MCO 3.0 ”) where the country was placed under a full lockdown for two weeks. It was subsequently extended to 28 June 2021. During this period, only essential economic and social services sectors listed by the National Security Council would be allowed to operate. It caused substantial and adverse impact on our manufacturing and trading of precast concrete junctions boxes business as our customers’ projects were suspended or delayed.

COVID-19疫情繼續影響全球市場。由 於COVID-19確診病例數量不斷增加， 馬來西亞政府不時採取一系列防疫措 施以控制COVID-19的傳播。於二零 二一年六月一日，馬來西亞政府執行 第三次行動管制令（「 第三次行動管 制令 」），全面封鎖國家兩週。隨後延 長至二零二一年六月二十八日。在此 期間，只允許國家安全委員會所列的 基本經濟及社會服務部門運營。由於 客戶的項目被暫停或推遲，我們的預 製混凝土接線盒的製造及貿易業務受 到重大不利影響。

Strict compliance of COVID-19 standard operating procedures (the “ SOP ”) caused temporary labour shortage not just to us but also to our customers and suppliers, hence the construction or production speed was slow across the sector. The continuous increase in the price of raw materials, including steel bar and concrete has also caused negative impact on our profitability.

嚴格遵守COVID-19標準作業程序 （「 標準作業程序 」）造成我們以及我 們客戶及供應商的臨時勞動力短缺， 因此整個行業的建設或生產速度緩 慢。原材料（包括鋼筋及混凝土）價 格的持續上漲亦對我們的盈利能力造 成負面影響。

In light of the unpredictability on how the COVID-19 will evolve, the management of the Group considered that it is no longer commercial attractive to engage in the Japanese catering business in Hong Kong and therefore considered to cease Japanese catering business early in the first quarter in order to consolidate resources for continuing operations or other business opportunities.

鑒於COVID-19發展的不可預測性，本 集團管理層認為在香港從事日本餐廳 業務不再具有商業吸引力，因此考慮 於第一季度初停止日本餐廳業務以鞏 固資源來進行持續經營或探索其他業 務機會。

18

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

For the three months ended 31 August 2021, the revenue of the Group decreased by approximately 44.86% due to decrease in the revenue generated from the manufacturing and trading of precast concrete junction boxes business affected by the outbreak of the COVID-19, MCO 3.0 and SOP.

The management of the Group will closely monitor on factors including labour shortage, dependency on foreign workers, and the rising production and transportation cost that may exert pressure on the Group’s business operations.

With the introduction of the national COVID-19 immunisation programme, the Malaysian Government is putting significant effort to ensure as many Malaysia resident to receive vaccine as possible in the shortest time, the management is of the view that Malaysia’s economy will slowly recover and remains cautiously optimistic about the overall business prospects.

截至二零二一年八月三十一日止三個 月，本集團的收入減少約44.86%，此 乃由於受COVID-19的爆發、第三次行 動管制令及標準作業程序的影響，預 製混凝土接線盒的製造及貿易業務所 產生的收入減少。

本集團管理層將密切監視或會對本集 團業務營運造成壓力的因素，包括勞 動力短缺、對外國工人的依賴以及生 產及運輸成本的上升。

隨着國家COVID-19免疫計劃的推出， 馬來西亞政府正努力確保盡可能多的 馬來西亞居民在最短的時間內接種疫 苗，管理層認為馬來西亞的經濟將緩 慢復甦，並對整體業務前景持謹慎樂 觀態度。

19

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

FINANCIAL REVIEW

Revenue

The revenue decreased from approximately RM4.8 million for the three months ended 31 August 2020 to approximately RM2.6 million for the three months ended 31 August 2021, representing a decrease of approximately 44.86%. Such decrease was mainly due to the decrease of the manufacturing and trading of precast concrete junction boxes business.

For the manufacturing and trading of precast concrete junctions boxes business, the revenue decreased by approximately 45.34%, from approximately RM3.7 million for the period ended 31 August 2020 to approximately RM2.0 million for the period ended 31 August 2021.

For the trading of accessories and pipes and the provision of mobile crane rental and ancillary services business, the revenue decreased by approximately 42.46%, from approximately RM1.1 million for the period ended 31 August 2020 to approximately RM0.6 million for the period ended 31 August 2021. The decrease was mainly caused by the decrease in sales of steels.

The sourcing services of materials has contributed a small portion to the Group’s revenue.

財務回顧 收入

收入由截至二零二零年八月三十一日 止三個月的約4.8百萬令吉減少至截 至二零二一年八月三十一日止三個月 的約2.6百萬令吉，減少約44.86%。 有關減少乃主要由於預製混凝土接線 盒的製造及貿易業務減少。

就業務預製混凝土接線盒的製造及貿 易而言，收入由截至二零二零年八月 三十一日止期間的約3.7百萬令吉減 少約45.34%至截至二零二一年八月 三十一日止期間的約2.0百萬令吉。

就配件及管道貿易及提供移動式起重 機租賃及配套服務業務而言，收入由 截至二零二零年八月三十一日止期間 的約1.1百萬令吉減少約42.46%至截 至二零二一年八月三十一日止期間的 約0.6百萬令吉。該減少主要由鋼的 銷售額減少導致。

物料採購服務已構成本集團收入的一 小部分。

20

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

Cost of sales and Gross (Loss) Profit

Costs of sales mainly consists of (i) cost of raw materials and trading products; (ii) manufacturing overheads; (iii) direct labour; and crane hiring costs. The cost of sales decrease from approximately RM3.8 million for the three months ended 31 August 2020 to approximately RM2.7 million for the three months ended 31 August 2021, representing a decrease of approximately 29.72%. Such change was due to the decrease in revenue of manufacturing and trading of precast concrete junction boxes business during the period ended 31 August 2021.

The gross profit decreased from approximately RM0.9 million for the three months ended 31 August 2020 to approximately a gross loss of RM73,000 for the three months ended 31 August 2021.

Administrative expenses

Administrative expenses of the Group slightly increased by approximately RM23,000 or 2.38% from approximately RM966,000 for the three months ended 31 August 2020 to approximately RM989,000 for the three months ended 31 August 2021.

The Group’s administrative expenses mainly consisted of salaries, welfare and other benefits, rent and rates, general office expenses, depreciation and professional service fees.

銷售成本及（毛損）毛利

銷售成本主要包括(i)原材料及貿易 產品成本；(ii)製造費用；(iii)直接勞 工；及起重機租用成本。銷售成本由 截至二零二零年八月三十一日止三 個月約3.8百萬令吉減少至截至二零 二一年八月三十一日止三個月約2.7 百萬令吉，減少約29.72%。有關變動 乃由於截至二零二一年八月三十一日 止期間預製混凝土接線盒的製造及貿 易業務的收入減少。

毛利由截至二零二零年八月三十一日 止三個月約0.9百萬令吉減少至截至 二零二一年八月三十一日止三個月約 毛損73,000令吉。

行政開支

本集團的行政開支由截至二零二零年 八月三十一日止三個月約966,000令 吉略微增加約23,000令吉或2.38%至 截至二零二一年八月三十一日止三個 月約989,000令吉。

本集團的行政開支主要包括薪金、福 利及其他福利、租金及差餉、一般辦 公室開支、折舊及專業服務費。

21

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

Selling and distribution expenses

Selling and distribution expenses of the Group decreased by approximately RM9,000 or 4.17% from approximately RM216,000 for the three months ended 31 August 2020 to approximately RM207,000 for the three months ended 31 August 2021.

The Group’s selling and distribution expenses mainly consisted of salaries, welfare and other benefits for sales and marketing staff and travelling and entertainment expenses. The decrease of selling and distribution expenses was mainly due to the decrease in commission.

Loss for the period from continuing operations

The Group recorded a net loss of approximately RM1.2 million for the three months ended 31 August 2021 mainly due to the decrease in revenue of the Group caused by COVID-19, MCO 3.0 and SOP for the three months ended 31 August 2021.

SUBSEQUENT EVENTS AFTER REPORTING PERIOD

Reference is made to the announcements of the Company dated on 18 August 2021 and 19 August 2021, the Company entered into the Subscription Agreement with the Subscriber, pursuant to which the Company will allot and issue, and the Subscriber will subscribe for, an aggregate of 5,205,000 Subscription Shares at the Subscription Price at HK$0.36. The total subscription amount payable by the Subscriber to the Company pursuant to the Subscription Agreement amounts to HK$1,873,800. The Subscription was completed on 1 September 2021.

銷售及分銷開支

本集團的銷售及分銷開支由截至 二零二零年八月三十一日止三個月 約216,000令吉減少約9,000令吉或 4.17%至截至二零二一年八月三十一 日止三個月約207,000令吉。

本集團的銷售及分銷開支主要包括銷 售及市場推廣員工的薪金、福利及其 他福利以及差旅及招待開支。銷售及 分銷開支減少乃主要由於佣金減少。

持續經營期內虧損

本集團於截至二零二一年八月三十一 日止三個月錄得淨虧損約1.2百萬令 吉，乃主要由於截至二零二一年八月 三十一日止三個月因COVID-19、第三 次行動管制令及標準作業程序造成本 集團的收入減少。

報告期後事項

茲提述本公司日期為二零二一年八 月十八日及二零二一年八月十九日 之公佈，本公司與認購人訂立認購協 議，據此，本公司將按認購價0.36港 元配發及發行，而認購人將按認購價 0.36港元認購合共5,205,000股認購股 份。認購人根據認購協議應付本公司 之認購總金額為1,873,800港元。認購 事項於二零二一年九月一日完成。

22

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

SHARE CONSOLIDATION AND CHANGE IN BOARD LOT SIZE

On 16 August 2021, an ordinary resolution was passed on share consolidation (“ Share Consolidation ”), pursuant to it, every 8 issued and unissued existing shares of par value HK$0.01 each in the share capital of the Company would be consolidated into 1 consolidated share of par value HK$0.08 each (“ Consolidated Share ”) in the share capital of the Company. Immediately after the Share Consolidation becoming effective on 18 August 2021, the authorised share capital of the Company would become HK$100,000,000 divided into 1,250,000,000 Consolidated Shares of HK$0.08 each, of which 98,025,000 Consolidated Shares (which are fully paid or credited as fully paid) would be in issue. The board lot size for trading on the Stock Exchange has changed from 8,000 Consolidated Shares to 6,000 Consolidation Shares upon to the effective date of Share Consolidation.

SIGNIFICANT INVESTMENTS HELD

During the three months ended 31 August 2021, the Company did not have any significant investments held.

MATERIAL ACQUISITIONS AND DISPOSALS, AND PLAN FOR MATERIAL INVESTMENT OR CAPITAL ASSETS

There were no material acquisitions and disposals of subsidiaries and affiliated companies during the three months ended 31 August 2021. There is no specific future plan for material investments or capital assets as at the date of this report.

股份合併及變更每手買賣單位

於二零二一年八月十六日，有關股份 合併（「 股份合併 」）的普通決議案獲 通過。根據該決議案，本公司股本中 每八股面值0.01港元的已發行及未發 行現有股份將合併為本公司股本中一 股每股面值0.08港元的合併股份（「 合 併股份 」）。緊隨股份合併於二零二一 年八月十八日生效後，本公司之法 定股本將為100,000,000港元，分為 1,250,000,000股每股面值0.08港元之 合併股份，其中98,025,000股合併股 份（為繳足或入賬列作繳足）將為已 發行。於股份合併生效日期，聯交所 交易的每手買賣單位已由8,000股合 併股份變更為6,000股合併股份。

所持有的重大投資

截至二零二一年八月三十一日止三個 月，本公司並無持有任何重大投資。

重大收購及出售以及重大投資 或資本資產計劃

截至二零二一年八月三十一日止三個 月，概無附屬公司及聯屬公司的重大 收購及出售事項。於本報告日期，概 無涉及重大投資或資本資產的特定未 來計劃。

23

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

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

As at 31 August 2021, the interests and short positions of the Directors and chief executive of the Company in the shares, underlying shares or debentures of the Company or any of its associated corporations (within the meaning of Part XV of the SFO) (i) as required to be notified to the Company and the Stock Exchange pursuant to Divisions 7 and 8 of Part XV of the SFO (including interests and/or short positions which they are taken or deemed to have under such provisions of the SFO), or (ii) as required to be recorded in the register required to be kept by the Company pursuant to Sections 352 of the SFO, or (iii) as otherwise notified to the Company and the Stock Exchange pursuant to the required standard of dealings by directors of listed issuers as referred to in Rule 5.46 of the GEM Listing Rules were as follows:

董事及主要行政人員於本公司 及相聯法團的股份、相關股份 及債權證的權益及淡倉

於二零二一年八月三十一日，本公司 董事及主要行政人員於本公司或其任 何相聯法團（定義見證券及期貨條例 第XV部）的股份、相關股份或債權證 中，擁有(i)根據證券及期貨條例第XV 部第7及8分部須知會本公司及聯交所 的權益及淡倉（包括根據證券及期貨 條例有關條文彼等被當作或視為擁有 的權益及╱或淡倉），或(ii)須記錄於 本公司根據證券及期貨條例第352條 須予存置的登記冊的權益及淡倉，或 (iii)根據GEM上市規則第5.46條所述上 市發行人董事進行交易的規定標準須 另行知會本公司及聯交所的權益及淡 倉如下：

24

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

		Number of
		issued	Approximate
		ordinary	percentage of
		shares	issued share
Name of Director/		held/	capital of the
Chief Executive	Capacity/Nature of Interest	interested	Company
			佔本公司
		所持╱擁有權益之	已發行股本
董事╱主要行政人員姓名	身份╱權益性質	已發行普通股數量	概約百分比
Mr. Loh Swee Keong	Interest in controlled corporation	29,827,500 (L)	30.43%
(Note 2)		(Note 1)
Loh Swee Keong先生	受控制法團權益	（附註1）
（附註2）

Notes:

附註：

• (1) The letter (L) denotes the person’s long interest in the Shares.

• (1) 英文字母(L)表示該人士於股份的好 倉。

• (2) Merchant World Investments Limited is a company incorporated in the BVI and is whollyowned by Mr. Loh Swee Keong. Mr. Loh Swee Keong is deemed to be interested in all the Shares held by Merchant World Investments Limited for the purpose of the SFO.

• (2) Merchant World Investments Limited為一家於英屬處女群島註冊 成立的公司，並由Loh Swee Keong 先生全資擁有。根據證券及期貨條 例，Loh Swee Keong先生被視為 於由Merchant World Investments Limited持有的所有股份中擁有權 益。

25

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

Save for disclosed above, as at 31 August 2021, none of the Directors and chief executive of the Company had any interests or short positions in any shares, underlying shares or debentures of the Company or any of its associated corporations (within the meaning of Part XV of the SFO) (i) as required to be notified to the Company and the Stock Exchange pursuant to Divisions 7 and 8 of Part XV of the SFO (including interests and/or short positions which they are taken or deemed to have under such provision of the SFO), or (ii) as required to be recorded in the register required to be kept by the Company pursuant to Section 352 of the SFO, or (iii) as otherwise notified to the Company and the Stock Exchange pursuant to the required standard of dealings by Directors of the Company as referred to in Rule 5.46 of the GEM Listing Rules.

除上文所披露者外，於二零二一年八 月三十一日，概無本公司董事及主要 行政人員於本公司或其任何相聯法團 （定義見證券及期貨條例第XV部）的 任何股份、相關股份或債權證中，擁 有(i)根據證券及期貨條例第XV部第7 及8分部須知會本公司及聯交所的任 何權益或淡倉（包括根據證券及期貨 條例有關條文彼等被當作或視為擁有 的權益及╱或淡倉），或(ii)須記錄於 本公司根據證券及期貨條例第352條 須予存置的登記冊的任何權益或淡 倉，或(iii)根據GEM上市規則第5.46條 所述本公司董事進行交易的規定標準 須另行知會本公司及聯交所的任何權 益或淡倉。

SUBSTANTIAL SHAREHOLDERS’ AND OTHER PERSONS’ INTERESTS AND SHORT POSITIONS IN THE SHARES AND UNDERLYING SHARES OF THE COMPANY

As at 31 August 2021, the following persons (other than the Directors or chief executive of the Company) had interests and/or short positions in the shares and underlying shares of the Company which would fall to be disclosed of the Company under the provisions of Divisions 2 and 3 of Part XV of the SFO or as required to be recorded in the register required to be kept under Section 336 of the SFO were as follows:

主要股東及其他人士於本公司 股份及相關股份的權益及淡倉

於二零二一年八月三十一日，以下 人士（本公司董事或主要行政人員除 外）於本公司股份及相關股份中擁有 根據證券及期貨條例第XV部第2及3分 部條文須向本公司披露的權益及╱或 淡倉，或須記錄於根據證券及期貨條 例第336條須予存置的登記冊的權益 及╱或淡倉如下：

26 SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

Ordinary Shares of the Company

本公司普通股

		Number of
		shares	Approximate
Name of Director/	Capacity/	held/	percentage of
Chief Executive	Nature of Interest	interested	share holding
		所持╱擁有權益	概約股權
董事╱主要行政人員姓名	身份╱權益性質	之股份數量	百分比
Merchant World Investments	Beneficial owner	29,827,500 (L)	30.43%
Limited		(Note 1)
Merchant World Investments	實益擁有人	（附註1）
Limited
Ms. Woon Sow Sum (Note 2)	Interest of spouse	29,827,500 (L)	30.43%
Woon Sow Sum女士（附註2）	配偶權益
Greater Elite Holdings Limited	Beneficial owner	13,622,500 (L)	13.90%
Greater Elite Holdings Limited	實益擁有人
Mr. Law Fung Yuen Paul (Note 3)	Interest in controlled corporation	13,622,500 (L)	13.90%
羅鳳原先生（附註3）	受控制法團權益
Ms. Cheng Lai Wah Christina	Interest of spouse	13,622,500 (L)	13.90%
(Note 4)
鄭麗華女士（附註4）	配偶權益

27

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

Notes:

• (1) The letter (L) denotes the person’s long interest in the Shares.

• (2) Ms. Woon Sow Sum is the spouse of Mr. Loh Swee Keong and is deemed, or taken to be interested in all Shares in which Mr. Loh Swee Keong has interest under the SFO.

• (3) Greater Elite Holdings Limited is a company incorporated in the BVI and is wholly-owned by Mr. Law Fung Yuen Paul. Mr. Law Fung Yuen Paul is deemed to be interested in all the Shares held by Greater Elite Holdings Limited for the purpose of the SFO.

• (4) Ms. Cheng Lai Wah Christina is the spouse of Mr. Law Fung Yuen Paul and is deemed, or taken to be interested in all Shares in which Mr. Law Fung Yuen Paul has interest under the SFO.

附註：

• (1) 英文字母(L)表示該人士於股份的好 倉。

• (2) Woon Sow Sum女士為Loh Swee Keong先生的配偶，且根據證券及 期貨條例，彼被視為或當作於Loh Swee Keong先生擁有權益的所有股 份中擁有權益。

• (3) Greater Elite Holdings Limited為 一家於英屬處女群島註冊成立的公 司，並由羅鳳原先生全資擁有。根 據證券及期貨條例，羅鳳原先生 被視為於由Greater Elite Holdings Limited持有的所有股份中擁有權 益。

• (4) 鄭麗華女士為羅鳳原先生的配偶， 且根據證券及期貨條例，彼被視為 或當作於羅鳳原先生擁有權益的所 有股份中擁有權益。

28

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

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

除上文所披露者外，於二零二一年八 月三十一日，本公司並無得悉任何人 士（本公司董事或主要行政人員除外） 於本公司股份或相關股份中，擁有或 被視為擁有根據證券及期貨條例第XV 部第2及3分部條文須向本公司及聯交 所披露的權益或淡倉，或須記錄於本 公司根據證券及期貨條例第336條須 予存置的登記冊的權益或淡倉。

CHARGE ON GROUP’S ASSETS

As at 31 August 2021, the Group had bank d e p o s i t s p l e d g e d w i t h b a n k s t o t a l l i n g approximately RM1.1 million (31 August 2020: approximately RM1.1 million). These deposits were pledged to secure general banking facilities granted to the Group.

本集團資產之抵押

於二零二一年八月三十一日，本集團 抵押予銀行的銀行存款合共約為1.1 百萬令吉（二零二零年八月三十一 日：約1.1百萬令吉）。該等存款乃抵 押用作為授予本集團的一般銀行信貸 提供擔保。

FOREIGN CURRENCY RISK

As most of the Group’s transactions are denominated in Malaysian Ringgit and Hong Kong dollars, the Directors believe that the Group’s exposure to exchange fluctuation was immaterial and the Group has not implemented any formal hedging or other alternative policies to deal with such exposure.

外幣風險

由於本集團大部分交易以馬來西亞令 吉及港元計值，董事認為本集團之匯 兌波動風險並不重大，且本集團亦無 實施任何正式對沖或其他處理有關風 險的替代政策。

CONTINGENT LIABILITIES

The Group had no contingent liabilities as at 31 August 2021.

或然負債

本集團於二零二一年八月三十一日概 無或然負債。

29

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

FUNDRAISING EXERCISE OF THE COMPANY DURING THE PAST TWELVE MONTHS

Net proceeds Date of to be raised announcement Fund raising activity (approximately) 集資所得款項淨額 公佈日期 集資活動 （約整） 4 March 2021 and Subscription of news HK$4.96 million 7 March 2021 Shares under (completed on general mandate 11 March 2021) granted on 25 November 2020 二零二一年三月四日及 根據於二零二零年 4.96百萬港元 二零二一年三月七日 十一月二十五日 （於二零二一年 授出的一般授權 三月十一日完成） 認購新股份 18 August 2021 and Subscription of news HK$1.85 million 19 August 2021 Shares under (completed on general mandate 1 September 2021) granted on 25 November 2020 二零二一年八月十八日 根據於二零二零年 1.85百萬港元 及二零二一年 十一月二十五日 八月十九日 授出的一般授權 （於二零二一年 認購新股份 九月一日完成）

CORPORATE GOVERNANCE PRACTICES

Under the code provision A.2.1 of the Corporate Governance Code (the “ CG Code ”), the roles of chairman and chief executive officer should be separate and should not be performed by the same individual. The division of responsibilities between the chairman and chief executive officer should be clearly established.

本公司於過往十二個月內進行 的集資活動

Proposed use of net Actual use of net proceeds proceeds 所得款項淨額擬定用途 所得款項淨額實際用途

For general working Used as intended capital of the Group

用作本集團一般營運 用作擬定用途 資金

For general working Used as intended capital of the Group (up to report date) 用作本集團一般營運 用作擬定用途 資金 （直至報告日期）

企業管治常規

根據企業管治守則（「 企業管治守 則 」）守則條文第A.2.1條，主席及行 政總裁的職務應予區分，並不應由同 一人士擔任。主席與行政總裁之間職 務的分工應予清晰界定。

30

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

Mr. Loh Swee Keong (“ Mr. Loh ”) is the chairman of the Board and the chief executive officer of the Company. In view of Mr. Loh has been operating and managing the operating subsidiaries of the Group since 1993, the Board believes that it is in the best interest of the Group to have Mr. Loh taking up both roles for effective management and business development. Therefore, the Directors consider that the deviation from the CG Code provision A.2.1 is appropriate in such circumstances.

Loh Swee Keong先生（「 Loh先生 」） 為本公司董事會主席兼行政總裁。鑒 於Loh先生自一九九三年起一直經營 及管理本集團的營運附屬公司，故 董事會相信，由Loh先生兼任兩個職 位以達致有效的管理及業務發展乃符 合本集團的最佳利益。因此，董事認 為，偏離企業管治守則條文第A.2.1條 在該情況下乃屬合適。

Save as disclosed above, for the three months ended 31 August 2021, in the opinion of the Directors, the Group has complied with the code provision of the CG Code.

除上文所披露者外，截至二零二一年 八月三十一日止三個月，董事認為， 本集團一直遵守企業管治守則的守則 條文。

SHARE OPTION SCHEME

The purpose of the Share Option Scheme is to attract and retain the best available personnel, to provide additional incentive to employees (full time and part time), or any member of the Group, including any Executive, Non-executive Directors and Independent Non-executive Directors, advisers, consultants of the Group.

購股權計劃

購股權計劃旨在吸引及挽留最優秀的 人員，以及向本集團全職及兼職僱員 或任何成員（包括本集團任何執行董 事、非執行董事及獨立非執行董事、 顧問及諮詢人）提供額外獎勵。

The Company adopted the Share Option Scheme on 27 June 2017 whereby the Board is authorised, at its absolute discretion and subject to the terms of the Share Option Scheme, to grant options to the Eligible Participants to subscribe for the shares of the Company. The Share Option Scheme will be valid and effective for a period of ten years from the date of the adoption of the Scheme.

於二零一七年六月二十七日，本公司 採納購股權計劃，據此，董事會獲授 權按其絕對酌情權，並依照購股權計 劃的條款，向合資格參與人士授出可 認購本公司股份的購股權。購股權計 劃將由採納該計劃當日起計十年期間 有效及生效。

31

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

The maximum number of shares in respect of which options may be granted under the Share Option Scheme and any other share option schemes of the Company must not in aggregate exceed 10% of the total number of shares in issue upon the date of the shares of the Company listed on the GEM, being 62,000,000 shares (or such numbers of shares as shall result from a subdivision or a consolidation of such 62,000,000 from time to time) (the “ Scheme Limit ”). Subject to shareholders’ approval in general meeting, the Board may (i) renew this limit at any time to 10% of the shares in issue as at the date of the approval by the shareholders in general meeting; and/or (ii) grant options beyond the Scheme Limit to Eligible Participants specifically identified by the Board.

根據購股權計劃及本公司任何其他購 股權計劃可能授出的購股權所涉及的 最高股份數目合共不得超過本公司股 份於GEM上市日期後已發行股份總 數的10%，即62,000,000股股份（或 因不時拆細或合併該62,000,000股股 份而產生的有關股份數目）（「 計劃上 限 」）。待於股東大會上取得股東批准 後，董事會可(i)隨時將此上限更新至 於股東在股東大會上批准當日已發行 股份的10%；及╱或(ii)向董事會特別 選定的合資格參與人士授出超過計劃 上限的購股權。

The number of shares which may be issued upon exercise of all outstanding options granted and yet to be exercised under the Share Option Scheme and any other share option scheme of the Company at any time shall not exceed 30% of the shares in issue from time to time. No options shall be granted under any schemes of the Company (including the Share Option Scheme) if this will result in the limit being exceeded.

因根據購股權計劃及本公司任何其他 購股權計劃已授出惟尚未行使的所有 尚未行使購股權獲行使而可能發行的 股份數目，於任何時候不得超過不時 已發行股份的30%。倘根據本公司的 任何計劃（包括購股權計劃）授出購 股權將導致超出上限，則不得授出購 股權。

The total number of shares issuable upon exercise of the options granted under the Share Option Scheme and any other share option schemes of the Company to each Participants in any twelve months period shall not exceed 1% of the shares in issue. Any further grant of options is subject to shareholders’ approval in general meeting with such Eligible Participants and his associates abstaining from voting.

於任何十二個月期間，根據購股權計 劃及本公司任何其他購股權計劃向各 參與人士授出的購股權獲行使而可予 發行的股份總數不得超過已發行股份 的1%。任何額外授出購股權須於股 東大會上獲股東批准，而有關合資格 參與人士及其聯繫人須放棄投票。

32

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

An option may be exercised in accordance with the terms of the Share Option Scheme at any time during a period as the Board may determine which shall not exceed ten years from the date of grant subject to the provisions of early termination thereof.

An offer for the grant must be accepted not less than five business days from the date on which the Option is granted. The amount payable by the grantee of an option to the Company on acceptance of the offer for the grant of an options is HK$1.

Pursuant to the Share Option Scheme, the participants may subscribe for the shares of the Company on exercise of an option at the price determined by the Board provided that it shall be at least the highest of: (i) the closing price of the shares as stated in the Stock Exchange’s daily quotation sheet on the date of grant, which must be a trading day; (ii) the average of the closing prices of the shares as stated in the Stock Exchange’s daily quotation sheets for the five trading days immediately preceding the date of grant; and (iii) the nominal value of the share.

購股權可於董事會可能釐定而不得超 過授出日期起計十年的期間內，在有 關提前終止條文的規限下，隨時根據 購股權計劃的條款獲行使。

授出購股權的要約必須於授出購股權 當日起計不少於五個營業日獲接納。 購股權承授人於接納授出購股權的要 約時應向本公司支付1港元。

根據購股權計劃，參與人士可按董事 會釐定的價格行使購股權認購本公司 股份，惟該價格不得低於下列最高 者：(i)於授出當日（該日須為交易日） 的聯交所每日報價表所列股份的收市 價；(ii)於緊接授出日期前五個交易日 的聯交所每日報價表所列股份的平均 收市價；及(iii)股份面值。

33

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

During the three months ended 31 August 2021, other than the share option scheme is set out above, the Company did not enter into the other equity-linked agreement, nor did any other equity-linked agreement exist during the period under review.

As at 31 August 2021, no share option was granted, exercised, lapsed or cancelled under the Share Option Scheme of the Company.

DIRECTORS’ RIGHT TO ACQUIRE SHARES OR DEBENTURES

Other than as disclosed under the section “Share Option Scheme” and “Directors’ and chief executives’ interests and short positions in shares, underlying shares and debentures of the Company and associated corporations”, at no time during the period was the Company, its or any of its holding companies or any of its subsidiaries a party to any arrangement to enable the Directors and the Chief Executives (including their spouses and children under 18 years of age) to hold any interests or short positions in the shares, or underlying shares, or debentures of the Company or its associated corporations (within the meaning of Part XV of the SFO).

截至二零二一年八月三十一日止三個 月，除上文所述購股權計劃外，本公 司概無訂立其他股本掛鈎協議，回顧 期間亦不存在任何其他股本掛鈎協 議。

於二零二一年八月三十一日，概無購 股權根據本公司的購股權計劃獲授 出、行使、失效或註銷。

董事收購股份或債權證的權利

除於「購股權計劃」一節及「董事及 主要行政人員於本公司及相聯法團的 股份、相關股份及債權證的權益及淡 倉」一節所披露者外，於期內任何時 間，本公司、其任何控股公司或其任 何附屬公司並無訂立任何安排，致使 董事及主要行政人員（包括彼等的配 偶及18歲以下的子女）於本公司或其 相聯法團（定義見證券及期貨條例第 XV部）的股份、或相關股份或債權證 中持有任何權益或淡倉。

34

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

Management Discussion and Analysis 管理層討論及分析

DIRECTOR’S SECURITIES TRANSACTIONS

The Company has adopted a code of conduct regarding securities transactions by the Directors on terms no less exacting than the required standard of dealings set out in Rules 5.48 to 5.67 of the GEM Listing Rules. The Company had also made specific enquiries of all the Directors and all Directors confirmed that they have complied with the required standards of dealings regarding securities transactions by the Directors during the three months ended 31 August 2021 and up to the date of this report.

PURCHASE, SALE OR REDEMPTION OF LISTED SECURITIES

Neither the Company nor any of its subsidiaries purchased, sold or redeemed any of the Company’s listed securities for the three months ended 31 August 2021.

DIRECTOR’S INTEREST OF COMPETING BUSINESS

During the three months ended 31 August 2021, the Directors confirm that none of the controlling shareholders or Directors and their respective close associates (as defined in the GEM Listing Rules) is interested in any business apart from the business operated by the Group which competes or is likely to compete, directly or indirectly, with the Group’s business or any other conflicts of interest which any such person has or may have with the Group.

董事進行證券交易

本公司已採納有關董事進行證券交易 的行為守則，其條款不遜於GEM上市 規則第5.48至5.67條所載規定交易準 則。本公司亦已向全體董事作出具體 查詢，而全體董事確認彼等於截至二 零二一年八月三十一日止三個月及直 至本報告日期一直遵守有關董事進行 證券交易的規定交易準則。

購買、出售或贖回上市證券

截至二零二一年八月三十一日止三個 月，本公司及其任何附屬公司概無購 買、出售或贖回本公司任何上市證 券。

董事於競爭業務的權益

截至二零二一年八月三十一日止三個 月，董事確認，概無控股股東或董 事及彼等各自的緊密聯繫人（定義見 GEM上市規則）於除本集團經營的業 務外，與本集團業務直接或間接構成 或可能構成競爭的任何業務中擁有權 益或任何該等人士與本集團存在或可 能存在任何其他利益沖突。

35

第一季度業績報告 2021 • 瑞強集團有限公司

Management Discussion and Analysis 管理層討論及分析

AUDIT COMMITTEE

The Group has established the Audit Committee with written terms of reference in compliance with Rules 5.28 to 5.33 of the GEM Listing Rules and paragraph C.3 of the Corporate Governance Code and Corporate Governance Report as set out in Appendix 15 to the GEM Listing Rules. The duties of the Audit Committee are to primary review financial statements of the Company and oversee internal control procedures of the Company.

The Audit Committee currently consists of three members namely, Mr. Yau Ka Hei, Mr. Chu Kin Ming and Mr. Ma, She Shing Albert. The chairman of the Audit Committee is Mr. Chu Kin Ming.

The Audit Committee has reviewed the accounting principles and policies adopted by the Group and the unaudited condensed consolidated financial statements of the Group for the three months ended 31 August 2021 and is of the opinion that such statements complied with applicable standards, the GEM Listing Rules and that adequate disclosure had been made.

By Order of the Board SK Target Group Limited Loh Swee Keong Chairman

Hong Kong, 13 October 2021

As at the date of this report, the Board comprises one Executive Directors, namely, Mr. Loh Swee Keong; and three Independent Nonexecutive Directors, namely, Mr. Yau Ka Hei, Mr. Chu Kin Ming and Mr. Ma, She Shing Albert.

審核委員會

本集團已成立審核委員會，並遵照 GEM上市規則第5.28至5.33條及GEM 上市規則附錄15所載的企業管治守則 及企業管治報告第C.3段，制定其書 面職權範圍。審核委員會職責主要為 審閱本公司的財務報表及監督本公司 的內部監控程序。

審核委員會目前由三名成員組成，即 邱家禧先生、朱健明先生及馬希聖先 生。審核委員會主席為朱健明先生。

審核委員會已審閱本集團採納的會計 原則及政策以及本集團截至二零二一 年八月三十一日止三個月的未經審核 簡明綜合財務報表，並認為該等報表 符合適用準則及GEM上市規則，且已 作出足夠披露。

承董事會命 瑞強集團有限公司 主席 Loh Swee Keong

香港，二零二一年十月十三日

於本報告日期，董事會包括一名執行 董事，即Loh Swee Keong先生；及 三名獨立非執行董事，即邱家禧先 生、朱健明先生及馬希聖先生。

36

SK TARGET GROUP LIMITED • FIRST QUARTERLY REPORT 2021

==> picture [420 x 596] intentionally omitted <==