Incidents:

The company announced that the company has completed the purchase of reward shares under the share award program. The trust currently holds a total of 16.5846 million shares, which is equivalent to about 1.47% of the company's issued shares.

Furthermore, in order to further expand the scope of employee incentives, the Board of Directors announced that the Company will use no more than HK$0.3 billion to instruct trustees to continue to purchase shares in the open market to motivate more outstanding employees to maintain outstanding performance in the continued operation and development of the Company and its subsidiaries, while attracting suitable talents for the further development of the Group.

At the same time, the Board of Directors announced the Company's intention to use another capital of not more than HK$0.3 billion to repurchase shares in the open market. According to the relevant securities listing and share repurchase rules of the Stock Exchange, the repurchased shares will then be cancelled.

The above new incentive share purchase and share repurchase plans are based on the company's management team's confidence in the Group, as well as the company's current business growth prospects and financial situation. Currently, the Company has a moderate financial situation, and the funds required for the new incentive share purchase and share repurchase program will be paid in cash currently available to the Group.

Review opinions:

Employee equity incentives and company share repurchase plans are beneficial to revive investor confidence:

Implementing an equity incentive mechanism can stimulate employees' enthusiasm and creativity, allow employees to share the benefits brought by enterprise growth, help the company retain and stabilize outstanding talents, and ensure a steady improvement in the company's operating performance; and share repurchases will directly increase the company's earnings per share. Therefore, the company comprehensively considers and deeply binds the interests of employees, company performance, and shareholders, which is beneficial to reviving the confidence of employees and investors, and working together to improve the company's performance, corporate value, and valuation.

There is room for further improvement in future dividend payouts, and dividend rates attract:

The company's dividend payout rate in 2023 is 44%. As capital expenditure decreases and cash flow continues to improve, the dividend payout rate is expected to increase further. The dynamic dividend rate in 2024 is about 6%, which is attractive and has a high margin of safety.