Hong Kong, March 18, 2024 - Leading Hong Kong listed information technology (IT) software and service company, Computer And Technologies Holdings Limited (C&T or the Group, SEHK 00046) announced today its full-year results for the year ended December 31, 2023.

 

The Group recorded the total revenue of HK$257.5 million (2022: HK$268.7 million) during the reporting period amid the slower-than-expected post-Covid economic recovery in Mainland China and the higher-for-longer interest rate environment.  Affected by increased staff costs in product development and project delivery, the gross profit also dropped by HK$9.2 million, or 6.3% to HK$135.8 million (2022: HK$145.0 million). 

 

On the other hand, benefiting from the improved bank interest income, the Group experienced an increase of HK$2.6 million in other income and gains, bringing the total to HK$16.3 million (2022: HK$13.6 million).  The improved interest income compensated the absent of government subsidies under Employment Support Scheme of the preceding year.  As a result of poor market sentiment, the valuation of the Group’s financial assets and investment property recorded an aggregate loss of HK$3.1 million (2022: HK$2.4 million). 

 

Resulting from the completion of software enhancement project (the “Project”) for the Customer Care and Billing System (“CCBS”) of the Water Supplies Department last year, the Group recorded an increase in the amortisation of deferred development costs.  Moreover, the inflated staff costs also contributed to the increase in overall operation expenses (included selling and distribution expenses, general and administrative expenses, net, finance cost and other expenses) went up by HK$5.6 million, reaching HK$111.2 million (2022: HK$105.7 million).

 

Considering the factors mentioned above, the Group's consolidated net profit attributable to shareholders decreased HK$13.7 million, or 29.1%, to HK$33.4 million (2022: HK$47.0 million).  The basic earnings per share also fell to 13.50 HK cents (2022: 19.02 HK cents).

 

The Group has consistently generating positive cash inflows from its operations and maintained a strong financial position.  Considered the current and future operations, the Board has announced the declaration of a final dividend of 5.5 HK cents per ordinary share for the year ended 31 December 2023 (2022: final dividend of 7.5 HK cents and special dividend of 5 HK cents).  The combined previously paid interim dividend of 5.5 HK cents (2022: 6.5 HK cents) and the proposed final dividend made the Group's total annual dividend to 11 HK cents (2022: 19 cents) per share.

 

Mr. Ng Cheung Shing, Chairman of the Group said, “The management believes the business momentum will gradually be accelerated with its strengthened go-to-market activities.  Besides, with the enhanced software product portfolio featuring a cloud-native architecture, the Group is confident in enhancing our SaaS offerings and uplifting growing recurring revenue. To cope with the increasing demand on AI applications, the management will put in R&D resources to apply Generative AI and LLM technologies in our specialised domains in order to further expand our market not only in the Greater China but also overseas region.  Furthermore, to address the IT resources shortage and increasing staff costs in Hong Kong, the Group has been increasing the scale of its software development centres in Mainland China especially in the Greater Bay Area.  The management believes the development centres will become a strong support for the Group to develop best-of-breed products as well as capturing the market potential competitively.”

 

 

---End---

 

 

For details of the Group’s 2023 Annual Results, please refer to the official announcement.

 

 

About C&T Holdings

 

Computer And Technologies Holdings Limited (C&T, SEHK 00046) operates its business with a vision to build a better world with Information Technology. Established in 1991 and listed on the main board of Hong Kong Stock Exchange since 1998, C&T is committed to providing best-of-breed enterprise software products and cloud services from human resources management to cyber intelligence, information management, procurement management, property management and retail management to enable organizations to run their businesses and operations better. Apart from software products, the Group has a long-standing track record in delivering effective IT solutions and quality services, including IT solution design and implementation, software development, online e-services and business processing outsourcing services, to enhance the competitive advantages of our clients. For more than 30 years, the Group’s products and services have been widely adopted across industries and sectors and trusted by enterprise customers ranging from prominent brands to local conglomerates and multinational corporations, as well as government organizations and non-profit organizations. For more information, please visit C&T website: www.ctil.com.

 

 

Inquiries

Ms. Astrid Cheng

Tel: (852) 2217 1511

Fax: (852) 2503 8100

Email: astrid_cheng@ctil.com