c2663_241127_ir

KPa-BM Holdings Limited
(incorporated in the Cayman Islands with limited liability)

( )
Stock code 2663

CONTENTS
2 Corporate Information
4 Management Discussion and Analysis
Unaudited Condensed Consolidated Interim Financial Information
13 Condensed Consolidated Statement of Comprehensive Income
14 Condensed Consolidated Statement of Financial Position
15 Condensed Consolidated Statement of Changes in Equity
16 Condensed Consolidated Statement of Cash Flows
17 Notes to the Condensed Consolidated Financial Statements

CORPORATE INFORMATION
公司資料
BOARD OF DIRECTORS (THE “BOARD”)

Executive Directors
Mr. Yip Pak Hung (Chairman)
Mr. Wai Yat Kin (Chief Executive Officer)
Independent Non-Executive Directors

Ms. Lai Pik Chi, Peggy
Mr. Lam Chi Wai, Peter
Dr. Yeung Kit Ming
AUDIT COMMITTEE
Ms. Lai Pik Chi, Peggy (Chairman)
Dr. Yeung Kit Ming
NOMINATION COMMITTEE
Dr. Yeung Kit Ming (Chairman)
REMUNERATION COMMITTEE
Mr. Lam Chi Wai, Peter (Chairman)
Dr. Yeung Kit Ming
COMPANY SECRETARY
Mr. Chan Sun Kwong
PRINCIPAL BANKERS
The Hongkong and Shanghai Banking
Corporation Limited
Level 10, HSBC Main Building
1 Queen’s Road Central 1
Hong Kong 10
Citibank N.A.
21/F., Tower 1
The Gateway, Harbour City
Kowloon, Hong Kong 1 21
02 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

CORPORATE INFORMATION (CONTINUED)
公司資料（續）
REGISTERED OFFICE
Windward 3, Regatta Office Park Windward 3, Regatta Office Park
P.O. Box 1350 P.O. Box 1350
Grand Cayman, KY1-1108 Grand Cayman, KY1-1108
Cayman Islands Cayman Islands
HEAD OFFICE AND PRINCIPAL PLACE OF

BUSINESS IN HONG KONG
27/F, The Octagon
6 Sha Tsui Road
Tsuen Wan, New Territories 6
Hong Kong 27
HONG KONG BRANCH SHARE REGISTRAR AND

TRANSFER OFFICE
Tricor Investor Services Limited
17/F Far East Finance Centre
16 Harcourt Road 愨 16
Hong Kong 17
AUTHORISED REPRESENTATIVES
Mr. Yip Pak Hung
Mr. Chan Sun Kwong
AUDITOR
BDO Limited
Certified Public Accountants
25th Floor, Wing On Centre
111 Connaught Road Central 111
Hong Kong 25
COMPANY’S WEBSITE
www.kpa-bm.com.hk www.kpa-bm.com.hk
STOCK CODE
2663 2663
應力控股有限公司 | 二零二四/二五年中期報告 03
MANAGEMENT DISCUSSION AND ANALYSIS
管理層討論及分析
BACKGROUND, RECENT DEVELOPMENT AND

OUTLOOK
KPa-BM Holdings Limited (the “Company”) and its subsidiaries
(collectively, the “Group”) are principally engaged in (i) provision of (i)
structural engineering works with a focus on design and build (ii)
projects in Hong Kong; (ii) supply of building material products
together with installation services of such products in Hong Kong; (iii)
and (iii) trading of building material products predominately in Hong
Kong.
Business operation of the Group remained relatively stable and key

projects progressed smoothly for the six months ended 30 September
2024 (the “Period”). In particular, the project for the tower facade
for redevelopment of a commercial building in Central achieved
favourable progress and recorded a revenue growth of over HK$86 86
million for the Period, and became the largest revenue contributor to
the Group. However, the Group encountered uncertainties in the
process of negotiation with a customer for settlement of
compensation for variation works on a project near to completion,
therefore, the management has revised the budget of the project and
resulting in a lower profit margin of the Group for the Period.
The Group’s value of outstanding contracts on hand as at 30

September 2024 amounted to approximately HK$619 million, as 619
compared to approximately HK$1,022 million as at 30 September
2023 (the “Previous Period”). 1,022
While Hong Kong’s economic environment becoming unstable and

cautious, private market customers are more price-sensitive when
investing in new projects and the construction industry is facing
fierce competition in the public market. The Group expects that the
outlook of the Group for the remaining part of the financial year and
the near term will be full of challenges. To this end, we will
strengthen cost control and maintain the quality of our works as
always to strive to stand out among our peers.

MANAGEMENT DISCUSSION AND ANALYSIS (CONTINUED)
管理層討論及分析（續）
FINANCIAL REVIEW
Revenue
The Group’s revenue amounted to approximately HK$387.5 million 387.5
for the Period as compared to approximately HK$317.9 million for 317.9
the Previous Period, representing an increase of approximately 69.6 21.9%
HK$69.6 million or 21.9%, which was mainly attributable to
favourable progress of the tower facade project in Central.
Cost of Revenue and Gross Profit

Th e Gr oup’ s c o s t o f re ve n u e ma i n l y c o mp ri s ed materi al and
processing charges and subcontracting charges; the increase in cost
of revenue for the Period is mainly driven by revenue growth. The
Group faced a decrease in gross profit margin to approximately 14.8%
14.8% for the Period as compared to approximately 16.6% for the 16.6%
Previous Period, mainly as a result of uncertainties in negotiation of
compensation for variation works.
Administrative and Other Operating Expenses

Administrative and other operating expenses primarily consisted of
staff costs, depreciation expenses on right-of-use assets, and
provision of loss allowance on trade receivables. Administrative and
other operating expenses of the Group were approximately HK$27.7 27.7 23.4
million for the Period compared to approximately HK$23.4 million for 18.4%
the Previous Period, representing an increase of approximately 18.4%
mainly due to increase in Directors discretionary bonus of 3.0
approximately HK$3.0 million as an incentive of improved revenue of
the Group.
Finance Costs
For the Period, the Group’s finance costs were approximately HK$1.2 1.2
million compared to approximately HK$1.7 million for the Previous 1.7
Period, representing a decrease of approximately 29.4% due to an 29.4%
improvement in cashflow thus less bank borrowings was drawdown
during the Period. Finance costs for the Period mainly comprised
interest on bank borrowings and interest costs of lease of
right-to-use assets.
Income Tax Expense

Income tax expense of the Group amounted to approximately HK$5.6 5.6
million for the Period, representing an increase of approximately 4.8
HK$0.8 million as compared to HK$4.8 million the Previous Period. 0.8
The effective tax rate for the Period is 18.3% which is higher than 25%
Previous Period of 16.7% because the Enterprise Income Tax arising 18.3%
from the subsidiaries in the PRC which is calculated at 25% of 16.7%
assessable profits is higher for the Period.
Profit for the Period

The Group’s profit for the Period increased by approximately HK$0.1 0.1
million, which was mainly attributable to the increase in gross profit 4.5
of approximately HK$4.5 million being offset by the increase in 4.3
administrative and other operating expenses of approximately
HK$4.3 million for the Period.
Liquidity, Financial Resources and Capital Structure

As at As at
30 September 31 March
2024 2024
(Unaudited) (Audited)
( ) ( )
HK$’000 HK$’000
Current assets 479,428 506,687

Current liabilities 220,996 230,087
Current ratio 2.2 2.2
During the six months ended 30 September 2024, the Group

financed its operations by its internal resources and banking facilities.
As at 30 September 2024, the Group had net current assets of
approximately HK$258.4 million (31 March 2024: approximately 258.4
HK$276.6 million), including cash and bank balances of 276.6
HK$170.2 million). The Group’s current ratio as at 30 September 170.2
2024 was approximately 2.2 times (31 March 2024: approximately 2.2
2.2 times). 2.2
As at 30 September 2024, the Group had a total available banking

and other facilities of approximately HK$256.0 million (31 March 256.0
2024: approximately HK$256.0 million). 256.0
There has been no change in capital structure of the Company since

31 March 2024. As at 30 September 2024, the equity amounted to
HK$292.4 million). 292.4
Gearing Ratio
The gearing ratio is calculated as total debt to equity. Total debts
include lease liabilities and bank borrowings of the Group. Equity
represents total equity of the Group.
The gearing ratio of the Group as at 30 September 2024 was 2.7%

(31 March 2024: approximately 6.4%) as the Group has used the 2.7%
revenue proceeds from key projects to settle short-term loans from 6.4%
bank. The Group’s liabilities included lease liabilities arising from
adoption of HKFRS16 Leases as at 30 September 2024 (31 March
2024: lease liabilities and bank borrowings). 16

FOREIGN CURRENCY EXPOSURE AND TREASURY

POLICY
Most of the Group’s business transactions, assets and liabilities are
denominated in Hong Kong Dollars, United States Dollars, Pound
Sterling, Euro and Renminbi. It is the Group’s treasury policy to
manage its foreign currency exposure whenever its financial impact is
material to the Group and will closely monitor its foreign exchange
position. During the Period, the Group did not engage in any hedging
activities.
The Group has adopted a prudent financial management approach

towards its treasury policies and thus maintained a healthy liquidity
position throughout the Period. The Group strives to reduce exposure
to credit risk by performing ongoing credit assessments and
evaluations of the financial status of its customers. To manage
liquidity risk, the Board closely monitors the Group’s liquidity position
to ensure that the liquidity structure of the Group’s assets, liabilities
and other commitments can meet its funding requirements from time
to time.
PLEDGE OF ASSETS
As at 30 September 2024, the Group does not have any bank
borrowings (as at 31 March 2024: HK$9.3 million) and banking 9.3
facilities are unsecured as at 30 September 2024 (31 March 2024:
nil).
As at 30 September 2024, the Group did not have any pledged

deposit (31 March 2024: nil).
SIGNIFICANT INVESTMENTS
Other than the investments in its subsidiaries, the Group did not hold
any significant investments during the Period.
MATERIAL ACQUISITIONS AND DISPOSALS

The Group did not acquire nor dispose any subsidiaries during the
Period.
CONTINGENT LIABILITIES
As at 30 September 2024, the Group did not have any significant
contingent liabilities.
SPECIAL DIVIDEND
The recommendation of dividends depend on the accumulated
reserves, liquidity condition, expected cashflows and working capital
needs of the Group. Having considered the aforesaid factors and to
commemorate the 10th anniversary of the listing of the Company,
the Board has proposed to declare a special dividend of HK4.0 cents 4.0 22,277,200
p e r o r d i n a r y s h a r e , a m o u n t i n g t o a t o t a l o f H K $22,277,200 89%
respectively for the Period and representing a dividend payout ratio
of approximately 89%, to the shareholders of the Company whose
names appear on the register of members of the Company on 17
December 2024 (Tuesday), which is expected to be paid on or about
31 December 2024 (Tuesday).
CLOSURE OF REGISTER OF MEMBERS

In order to determine the entitlement to the special dividend for the
six months ended 30 September 2024, the register of members of
the Company will be closed from 13 December 2024 (Friday) to 17
December 2024 (Tuesday) (both days inclusive), during which period
no transfer of the shares of the Company can be registered. In order
to qualify for the proposed special dividend for the six months ended
30 September 2024, all transfer of the shares of the Company
accompanied by the relevant share certificates must be lodged with
the Company’s Hong Kong share registrar, Tricor Investor Services
Limited at 17/F, Far East Finance Centre 16 Harcourt Road, Hong
Kong for registration by not later than 4:30 p.m. on 12 December
2024 (Thursday). 𢡱 16
17
EMPLOYEES AND REMUNERATION POLICIES

As at 30 September 2024, the Group had 214 staff members (31 214
March 2024: 217). The total employee benefit expenses for the six 217
months ended 30 September 2024 (including Directors’ emoluments,
salaries to staff and other staff benefits included provident fund
contributions, medical insurance coverage and other staff benefits)
was approximately HK$43.6 million. The Group determines the salary 43.6
of its employees mainly based on each employee’s qualifications,
relevant experience, position and seniority. The Group conducts
annual review on salary increase, discretionary bonuses and
promotions based on the performance of each employee.
During the six months ended 30 September 2024, the Group has not
experienced any significant problems with its employees due to
labour disputes nor has it experienced any difficulty in the
recruitment and retention of experienced staff. The Group maintains
a good relationship with its employees.
EVENT AFTER THE REPORTING PERIOD

No event has occurred after 30 September 2024 and up to the date
of this report which would have a material effect on the Group

DIRECTORS’ AND CHIEF EXECUTIVE’S INTERESTS

AND SHORT POSITIONS IN SHARES,
UNDERLYING SHARES AND DEBENTURES OF
THE COMPANY OR ANY ASSOCIATED
CORPORATIONS
As at 30 September 2024, the interests or short positions of the
Directors and chief executive in the share of the Company (the
“Shares”), underlying Shares and debentures of the Company or any
of its associated corporations which were required to be notified to 571
the Company and the Stock Exchange pursuant to Divisions 7 and 8 XV 7 8
of Part XV of the Securities and Futures Ordinance (Chapter 571 of
the Laws of Hong Kong) (the “SFO”) (including interests which they
were taken or deemed to have under such provisions of the SFO) or 352
were required, pursuant to section 352 of the SFO, to be entered in
the register referred to therein, or were required, pursuant to the
Model Code for Securities Transactions by Directors of Listed Issuers
(the “Model Code”) as set out in Appendix 10 of the Listing Rules to
be notified to the Company and the Stock Exchange were as follows:
Long Positions In Shares of the Company

(a) Interest in the shares of the Company (a)
Percentage of the
issued share
Number of issued capital of the
Director Capacity/Nature of interest ordinary shares Company
Mr. Wai Yat Kin Corporate interest 325,930,000 58.52%
Beneficial owner 40,320,000 7.24%
Interests held jointly 37,310,000 6.70%
Mr. Yip Pak Hung Corporate interest 325,930,000 58.52%
Beneficial owner 37,310,000 6.70%
Interests held jointly 40,320,000 7.24%
(b) Interest in the shares of an associated corporation (b)

Name of associated corporation:
Success Wing Investments Limited
Number of issued Percentage of

Director Capacity/Nature of interest ordinary shares shareholding
Mr. Wai Yat Kin Beneficial owner 14,332 43.97%
Interests held jointly 14,332 43.97%
Mr. Yip Pak Hung Beneficial owner 14,332 43.97%
Interests held jointly 14,332 43.97%
SUBSTANTIAL SHAREHOLDERS’ INTERESTS AND

SHORT POSITIONS IN SHARES AND
UNDERLYING SHARES OF THE COMPANY
As at 30 September 2024, the register of substantial shareholders
maintained by the Company pursuant to Section 336 of the SFO 336
shows that, other than the interests disclosed above in respect of a
Director, the following shareholders had notified the Company of
relevant interests in the issued share capital of the Company:
Long positions
Ordinary shares of the Company
Percentage of the
issued share
Number of issued capital of the
Name of shareholder Capacity/Nature of interest ordinary shares Company
Success Wing Investments Limited Beneficial owner 325,930,000 58.52%
Ms. Lam Suk Lan Bonnie Interest of spouse 403,560,000 72.46%
Ms. Wu Janet Interest of spouse 403,560,000 72.46%
Save as disclosed above, as at 30 September 2024, no other persons

had any interests or short positions in the shares or underlying shares
of the Company as recorded in the register required to be kept by 336
the Company under Section 336 of the SFO, or otherwise notified to
the Company.

SHARE OPTION SCHEME

The share option scheme was adopted by the Company on 22
September 2015 (the “Share Option Scheme”). 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. As at 30 10
September 2024, no share option was outstanding under the Share
Option Scheme. During the Period, no share option has been granted
by the Company under the Share Option Scheme.
PURCHASE, SALE OR REDEMPTION OF THE

COMPANY’S LISTED SHARES
Neither the Company nor any of its subsidiaries purchased, sold or
redeemed any of the listed shares of the Company during the Period.
DIRECTORS’ SECURITIES TRANSACTIONS

The Company has adopted the Model Code for Securities
Transactions by Directors of Listed Issuers set out in Appendix 10 of
the Listing Rules as the code of conduct for dealing in securities of
the Company by the Directors (the “Required Standard of Dealings”).
Having made specific enquiries of all the Directors, each of them

have confirmed that they have compiled with the Required Standard
of Dealings throughout the Period and to the date of this
announcement.
DIRECTORS’/CONTROLLING SHAREHOLDERS’
INTEREST IN TRANSACTIONS, ARRANGEMENTS
AND CONTRACTS
Save for the related party transactions disclosed in note 17 to the 17
interim financial statements, no transactions, arrangements or
contracts of significance to which the Company or any of its
subsidiaries, or holding company was a party and in which a Director
or controlling Shareholder, or an entity connected with a Director or
controlling Shareholder, had a material interests, whether directly or
indirectly, subsisted during or at the end of the Period.
COMPLIANCE WITH THE CORPORATE

GOVERNANCE CODE
The Company is committed to maintaining a high standard of
corporate governance practices. It met all the code provisions of the
Corporate Governance Code set out in Appendix 14 of the Listing
Rules during the Period. The Company will continue to review its
corporate governance practices in order to enhance its corporate
governance standard, to comply with the increasingly tightened
regulatory requirements and to meet the rising expectations of
shareholders and investors. In accordance to the requirements of the
Listing Rules, the Company has established an audit committee, a
remuneration committee and a nomination committee with specific
written terms of reference.
COMPETING INTEREST
None of the Directors, substantial shareholders of the Company and
their respective associates had engaged in a business which competes
or is likely to compete with the business of the Group during the
Period.
AUDIT COMMITTEE
The audit committee of the Company (“Audit Committee”) comprises
three independent non-executive Directors and is chaired by Ms. Lai
Pik Chi Peggy, who has appropriate professional qualifications and 3.10(2)
experience as required under Rule 3.10(2) of the Listing Rules. The
Audit Committee has reviewed the unaudited condensed
consolidated financial information of the Group for the Period, and
was of the opinion that such information complied with the
applicable accounting standards and requirements, and that
adequate disclosures have been made.
By order of the Board

Yip Pak Hung
Chairman and Executive Director
Hong Kong, 27 November 2024
As at the date of this report, the executive Directors are Mr. Yip Pak
Hu ng ( c ha ir m a n o f th e B o a rd ) a n d M r. Wai Yat Ki n and the
independent non-executive Directors are Ms. Lai Pik Chi Peggy,
Mr. Lam Chi Wai, Peter and Dr. Yeung Kit Ming.

UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
未經審核簡明綜合中期財務資料
簡明綜合全面收益表
Six months ended 30 September
2024 2023
Notes (Unaudited) (Unaudited)
HK$’000 HK$’000
Revenue 3 387,480 317,899

Cost of revenue (330,290) (265,207)
Gross profit 57,190 52,692

Other income and gains 3,488 2,621
Marketing and distribution expenses (1,085) (1,126)
Administrative and other operating
expenses (27,704) (23,384)
Finance costs (1,182) (1,746)
Profit before income tax 4 30,707 29,057

Income tax expense 5 (5,622) (4,847)
Profit for the period 25,085 24,210

Other comprehensive income
for the period 588 (1,243)
Total comprehensive income

for the period 25,673 22,967
HK cents HK cents
Earnings per share 7

Basic and diluted earnings per share 4.50 4.35
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
簡明綜合財務狀況表
As at As at
30 September 2024 31 March 2024
Notes (Unaudited) (Audited)
HK$’000 HK$’000
ASSETS AND LIABILITIES

Non-current assets
Property, plant and equipment 8 12,279 14,871
Investment property 8 3,997 3,913
Goodwill 601 601
Deposits 10 159 156
Deferred tax assets 407 405
17,443 19,946
Current assets
Inventories 15,464 14,926
Contract assets 9 94,083 45,398
Trade and other receivables, deposits
and prepayments 10 236,765 275,793
Tax recoverable 415 339
Cash and bank balances 132,701 170,231
479,428 506,687
Current liabilities
Contract liabilities 9 78,447 76,384
Trade and other payables 11 131,787 135,871
Lease liabilities 4,936 5,306
Tax payable 5,826 3,250
Bank borrowings 12 – 9,276
220,996 230,087
Net current assets 258,432 276,600
Total assets less current liabilities 275,875 296,546
Non-current liabilities
Lease liabilities 2,386 4,176
Deferred tax liabilities 16 16
2,402 4,192
Net assets 273,473 292,354
CAPITAL AND RESERVES

Share capital 13 5,569 5,569
Reserves 267,904 286,785
Total equity 273,473 292,354

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
簡明綜合權益變動表
For the six months ended 30 September 2024
Share Share Merger Exchange Statutory Retained

capital premium* reserve* reserve* reserve* profits* Total
* * * * *
HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000
Six months ended

30 September 2023 (unaudited)
At 1 April 2023 5,569 23,829 7,437 (243) – 227,200 263,792
Profit for the period – – – – – 24,210 24,210
Other comprehensive
income for the period – – – (1,243) – – (1,243)

for the period – – – (1,243) – 24,210 22,967
Transactions with owners:

Final dividend in respect of 2023
(note 6) 6 – – – – – (16,708) (16,708)
At 30 September 2023
(unaudited) 5,569 23,829 7,437 (1,486) – 234,702 270,051
Six months ended

30 September 2024
(unaudited)
At 1 April 2024 5,569 23,829 7,437 (1,351) 1,469 255,401 292,354
Profit for the period – – – – – 25,085 25,085
Other comprehensive income
for the period – – – 588 – – 588

for the period – – – 588 – 25,085 25,673
Transactions with owners:

Final and special dividend in respect
of 2024 (note 6) 6 – – – – – (44,554) (44,554)
Appropriations to
statutory reserve – – – – 323 (323) –
At 30 September 2024
(unaudited) 5,569 23,829 7,437 (763) 1,792 235,609 273,473
* The total of these equity accounts as at 30 September 2023 and 2024 *

represent “Reserves” in the condensed consolidated statements of financial
position.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
簡明綜合現金流量表
2024 2023
(Unaudited) (Unaudited)
( ) ( )
HK$’000 HK$’000
Net cash generated from

operating activities 16,527 42,102
Cash flows from investing activities

Purchase of property, plant and equipment
(note 8) 8 (348) (1,641)
Proceed from disposal of property, plant and
equipment 632 –
Withdrawn fixed term deposit – 10,125
Interest received 2,523 1,238
Net cash generated from investing activities 2,807 9,722
Cash flows from financing activities

Dividends paid (note 6) 6 (44,554) (16,708)
Interest paid on bank borrowings (1,081) (1,574)
Proceed from bank borrowings 167,070 190,000
Repayment of bank borrowings (176,346) (215,867)
Payment of principal element of lease liabilities (2,205) (2,224)
Payment of interest element of lease liabilities (101) (172)
Net cash used in financing activities (57,217) (46,545)
Net (decrease)/increase in cash and cash

equivalents (37,883) 5,279
Cash and cash equivalents at the beginning

of period 170,231 114,818
Effect of exchange rate changes on

cash and cash equivalents 353 (428)
Cash and cash equivalents at the end of

period 132,701 119,669
Analysis of the balances of cash and cash

equivalents
Cash and bank balances 132,701 119,669

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
簡明綜合財務報表附註
1. CORPORATE INFORMATION 1.
KPa-BM Holdings Limited (the “Company”) was incorporated
as an exempted company in the Cayman Islands with limited
liability on 15 May 2015. The shares of the Company were listed
on the Main Board of the Stock Exchange of Hong Kong Limited
(the “Stock Exchange”). The address of its registered office is Windward
Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman 3, Regatta Office Park, P.O. Box 1350,
KY1-1108, Cayman Islands. Its principal place of business is Grand Cayman KY1-1108, Cayman
located at 27/F., The Octagon, 6 Sha Tsui Road, Tsuen Wan, Islands
New Territories, Hong Kong. 6 27
The Group, comprising the Company and its subsidiaries, is

principally engaged in (i) provision of structural engineering (i) (ii)
works; (ii) supply and installation of building material products; (iii)
and (iii) trading of building material products.
The Company’s parent is Success Wing Investments Limited

(“Success Wing”), a company incorporated in the British Virgin
Islands (“BVI”). In the opinion of the directors, Success Wing is
also the ultimate parent of the Company.
The condensed consolidated financial statements of the Group

for the six months ended 30 September 2024 (the “interim
financial statements”) are unaudited, but have been reviewed
by the audit committee of the Company. These interim financial
statements were approved for issue by the Company’s board of
directors on 27 November 2024.
2. BASIS OF PREPARATION AND ACCOUNTING 2.

POLICIES
These interim financial statements have been prepared in
accordance with Hong Kong Accounting Standard (“HKAS”) 34
‘Interim Financial Reporting’ issued by the Hong Kong Institute 34
of Certified Public Accountants (“HKICPA”) and the applicable
disclosure requirements of the Rules Governing the Listing of
Securities on the Stock Exchange.
The interim financial statements do not include all the

information and disclosures required in the annual financial
statements and thereby should be read in conjunction with
the Group’s annual financial statements for the year ended 31
March 2024 (“2024 Financial Statements”) which have been
prepared in accordance with the Hong Kong Financial Reporting
Standards (“HKFRSs”) issued by the HKICPA.
The interim financial statements have been prepared under the

historical cost basis except for investment properties which are
measured at fair value. The interim financial statements are
presented in Hong Kong dollars (“HK$”), which is same as the
functional currency of the Company and its major subsidiaries.
The accounting policies applied and methods of computation

used in the preparation of the interim financial statements
are consistent with those used in 2024 Financial Statements,
except for the estimation of income tax using the tax rate that
would be applicable to expected total annual earnings and the 2.1
adoption of the new or revised HKFRSs issued by the HKICPA as
set out in note 2.1.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
簡明綜合財務報表附註（續）
2. BASIS OF PREPARATION AND ACCOUNTING 2.

POLICIES (Continued)
Adoption of new or revised HKFRSs
2.1 Adoption of new or revised HKFRSs effective on 1 2.1

April 2024
The HKICPA has issued the following amendments to

HKFRSs that are first effective for the current accounting
period and relevant to the Group:
Amendments to HKAS 1 Classification of Liabilities as

Current or Non-current 1
Amendments to HKAS 1 Non-current Liabilities with

Covenants 1
HK Interpretation 5 Presentation of Financial 5

(Revised) Statements – Classification
by the Borrower of a
Term Loan that Contains
a Repayment on Demand
Clause
Amendments to HKAS 7 Supplier Finance

and HKFRS 7 Arrangements 7
Amendments to HKFRS 16 Lease Liability in a Sale and

Leaseback 16
The new or revised HKFRSs that are effective from 1

April 2024 did not have material impact on the Group’s
accounting policies and did not require retrospective
adjustments.

3. SEGMENT INFORMATION AND REVENUE 3.

(a) The following summary describes the (a)
operations in each of the Group’s reportable
operating segments:
Structural Engineering Works – This segment mainly
engages in the provision of structural engineering works
for public and private sectors in Hong Kong and the Group
mainly acts as a subcontractor.
Supply and Installation of Building Material Products – This

segment engages in supply of building material products
with installation services provided in Hong Kong.
Trading of Building Material Products – This segment mainly

engages in sales of building material products to third-party
customers in Hong Kong, the People’s Republic of China
(“PRC”) (other than Hong Kong) and overseas.
Information regarding the Group’s reporting segments

including the reportable segment revenue, segment profit,
reconciliation to revenue and profit before income tax are
as follows:
Supply and
Installation Trading of
of Building Building
Structural Material Material
Engineering Products Products
Six months ended Works Total
30 September 2024 (unaudited)
HK$’000 HK$’000 HK$’000 HK$’000
Segment revenue
Sales to external customers 347,449 17,942 22,089 387,480
Intersegment sales – – 2,151 2,151
347,449 17,942 24,240 389,631
Elimination of intersegment sales (2,151)
387,480
Segment profit 29,068 4,478 6,718 40,264
Corporate and unallocated income 3,488

Corporate and unallocated expenses
– Administrative and other
operating expenses (11,863)
– Finance costs (1,182)
Profit before income tax 30,707

(Continued)
(a) The following summary describes the (a)

operations in each of the Group’s reportable
operating segments: (Continued)
Supply and
Installation Trading of
of Building Building
Structural Material Material
Engineering Products Products
Six months ended 30 September 2023 Works Total
(unaudited)
HK$’000 HK$’000 HK$’000 HK$’000
Segment revenue
Sales to external customers 288,214 24,460 5,225 317,899
Intersegment sales – 38 75 113
288,214 24,498 5,300 318,012
Elimination of intersegment sales (113)
317,899
Segment profit 34,124 3,713 1,529 39,366
Corporate and unallocated income 2,621

Corporate and unallocated expenses
– Administrative and other
operating expenses (11,184)
– Finance costs (1,746)
Profit before income tax 29,057
During the period, the segment asset had not been

presented as there has not been a material change from
the 2024 Financial Statements for the reportable segment.


(Continued)
(b) In the following table, revenue from contracts with customers (b)
is disaggregated by major products and service lines and
timing of revenue recognition provided to the group’s most
senior executive management for the purposes of resource
allocation and assessment of segment performance for the
period.
Disaggregation of revenue
Six months ended 30 September (unaudited)
Supply and Installation of Trading of Building Material

Structural Engineering Works Building Material Products Products Total
2024 2023 2024 2023 2024 2023 2024 2023
HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000
Timing of revenue
recognition
Point in time – – – – 22,089 5,225 22,089 5,225
Over time 347,449 288,214 17,942 24,460 – – 365,391 312,674
347,449 288,214 17,942 24,460 22,089 5,225 387,480 317,899
4. PROFIT BEFORE INCOME TAX 4.

Profit before income tax is arrived at after charging the
following:
2024 2023
( ) ( )
HK$’000 HK$’000
Depreciation in respect of:

Right-of-use assets included in
property, plant and equipment
under the following categories:
– Other properties leased for own use 2,306 2,210
Other property, plant and equipment 767 852
3,073 3,062
Employee benefit expenses

(including directors’ emoluments)
– Salaries, allowances and benefits
in kind 42,335 36,320
– Contribution to defined
contribution retirement plan 1,310 894
43,645 37,214
5. INCOME TAX EXPENSE 5.

The amounts of income tax expense in the unaudited condensed
consolidated statement of comprehensive income represents:
2024 2023
( ) ( )
HK$’000 HK$’000
Current tax for the period

– Hong Kong Profits Tax 4,391 3,717
– Other regions of the PRC
– Enterprise Income Tax (“EIT”) 1,231 1,130
Total income tax expense 5,622 4,847
Hong Kong Profits Tax is calculated at 16.5% (six months ended

30 September 2023: 16.5%) on the estimated assessable profits 16.5%
for the period. 16.5%
EIT arising from other regions of the PRC is calculated at 25%

(six months ended 30 September 2023: 25%) on the estimated 25%
assessable profits for the period. 25%
6. DIVIDENDS 6.
The Board proposed a special dividend of HK4.0 cents per 4.0
ordinary share (six months ended 31 September 2023: nil),
amounting to HK$22,277,200 (six months ended 31 September 22,277,200
2023: nil) respectively.
The final and special dividend in respect of the year ended 31

March 2024 amounting to total HK$44,554,000 was paid in 44,554,000
September 2024.

7. EARNINGS PER SHARE 7.

The calculation of earnings per share is based on the following
data:
2024 2023
( ) ( )
HK$’000 HK$’000
Earnings
Profit for the period attributable to
owners of the Company 25,085 24,210
Number of shares (thousands)
Weighted average number of

ordinary share in issue
Weighted average number of
ordinary shares in issue during
the period 556,930 556,930
Diluted earnings per share are same as the basic earnings

per share as there are no dilutive potential ordinary shares in
existence during the current period and prior period.
8. PROPERTY, PLANT AND EQUIPMENT AND 8.

INVESTMENT PROPERTY
During the six months ended 30 September 2024, the Group
used approximately HK$186,000, HK$151,000 and HK$11,000
on acquisition of leasehold improvement, computer equipment
and furniture and fixture respectively (six months ended 30 186,000151,000 11,000
September 2023: approximately HK$200,000, HK$898,000 and
HK$29,000 respectively). 200,000898,000
29,000
The Group has disposed certain property, plant and equipment

during the period with carrying amount of HK$108,000 (six 108,000
months ended 30 September 2023: nil).
As at 30 September 2024, the Group has not pledged its

leasehold land and buildings to secure the bank borrowings and
banking facilities granted to the Group (31 March 2024: nil).
The investment property was carried at fair value. The fair

value of the investment property as at 30 September 2024 was
approximately HK$3,997,000 (31 March 2024: approximately 3,997,000
HK$3,913,000), which was determined by the directors by 3,913,000
reference to recent market prices for property in the similar
locations and conditions. The fair value of investment property
as at 30 September 2024 and 31 March 2024 is a level 3
recurring fair value measurement. No fair value gain or loss
arose from remeasurement of the investment property as at
30 September 2024 (six months ended 30 September 2023:
nil). None of the investment property was pledged to banks to
secure for the bank borrowings and banking facilities granted to
the Group.

9. CONTRACT ASSETS AND CONTRACT 9.

LIABILITIES
(a) Contract Assets (a)
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Contract assets arising from:

– Structural engineering works 91,755 46,591
– Supply and installation of
building material products 2,557 430
94,312 47,021
Less: Loss allowance (229) (1,623)
94,083 45,398
(b) Contract Liabilities (b)

As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Contract liabilities arising from:

– Structural engineering works 63,863 57,439
– Supply and installation of
building material products 5,967 3,104
– Trading of building material
products 8,617 15,841
78,447 76,384
10. TRADE AND OTHER RECEIVABLES, DEPOSITS 10.

AND PREPAYMENTS
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Trade receivables (note (a)) (a) 119,066 145,382

Less: Loss allowance (16,431) (10,435)
Trade receivables, net 102,635 134,947
Retention receivables 113,766 103,329

Less: Loss allowance (1,171) (5,215)
Retention receivables, net (note (b)) (b) 112,595 98,114
Other receivables 13,897 35,668

Deposits 1,860 1,898
Prepayments 5,937 5,322
21,694 42,888
Less: non-current portion-deposits (159) (156)
236,765 275,793
Notes:
(a) The ageing analysis of the net carrying amount of trade receivables, (a)
based on invoice date, as of the end of the reporting period is as
follow:
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
0–30 days 0 30 76,876 114,490

31–60 days 31 60 16,131 12,747
61–90 days 61 90 598 122
Over 90 days 90 9,030 7,588
102,635 134,947

10. TRADE AND OTHER RECEIVABLES, DEPOSITS 10.

AND PREPAYMENTS (Continued)
Notes: (Continued)
(b) Retention receivables (b)
The retention receivables as of the end of the reporting period are to

be settled, based on the terms and conditions in relation to the release
of the retention monies by customers and taking into account the
status of rectification work, as follows:
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
On demand or within one year 16,600 19,510

After one year or more 95,995 78,604
112,595 98,114
Based on the assessment of the directors, no impairment allowance is

necessary for the net retention receivables outstanding at the end of
the of the reporting periods as those balances are from customers with
long business relationship and there has not been a significant change
in their credit quality.
(c) Credit policy (c)
In respect of structural engineering and supply and installation of

building material products, the Group usually submits a payment
application for interim payment on a monthly basis. The customer
usually issues an interim payment certificate within one month from
application submission and payment will be settled within another one
month. For trading of building material products, the Group usually
requires customers to pay a deposit in a mutually agreed percentage of 30
the order amount and grants a credit period of 30 days upon delivery
of products to customers.
11. TRADE AND OTHER PAYABLES 11.

As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Trade payables 75,902 95,993

Bill payables 3,030 –
Trade and bills payables (note (a))

(a) 78,932 95,993
Retention payables (note (b)) (b) 34,931 23,040
Accrued staff cost 13,248 11,333
Other payables and accruals 4,676 5,505
131,787 135,871
Notes:
(a) The ageing analysis of trade and bill payables, based on invoice date, as (a)
of the end of the reporting period is as follows:
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
0–30 days 0 30 63,144 60,206

31–60 days 31 60 5,525 22,904
61–90 days 61 90 3,157 4,665
Over 90 days 90 7,106 8,218
78,932 95,993
(b) Based on the terms and conditions agreed in relation to the release (b)
of retention monies to subcontractors and taking into account the
status of rectification work, the retention payables as at the end of the
reporting period are to be settled as follows:
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
On demand or within one year 34,931 23,040

12. BANK BORROWINGS 12.

As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Bank borrowings repayable within

one year – 9,276
The bank borrowings, including trade financing, are interest

bearing at the bank’s prime rate or the bank’s prime rate
adjusted by certain basis points per annum. The interest rate
of the Group’s bank borrowings as at 31 March 2024 granted
under banking facilities was 5.6%-9.3% per annum. The bank 5.6%-9.3%
borrowings are subject to repayment on demand clause. As at
30 September 2024 and 31 March 2024, the banking facilities
granted to the Group were secured by the corporate guarantee
provided by the Company.
13. SHARE CAPITAL 13.
Par value Number of shares Amount

Ordinary shares
HK$ HK$’000
Authorised:
At 30 September 2024 and 31
March 2024
0.01 2,000,000,000 20,000
Issued and fully paid:

At 30 September 2024 and 31
March 2024
0.01 556,930,000 5,569
14. RESERVES 14.

Details of the movements in the Group’s reserves for the six
months ended 30 September 2024 and 2023 are set out in the
condensed consolidated statement of changes in equity. The
following describes the nature and purpose of each reserve
within owners’ equity:
Share premium
Share premium is the excess of the proceeds received over
the nominal value of the shares of the Company issued at a
premium, less expenses incurred in connection with the issue of
the shares.
Merger reserve
Merger reserve mainly arose from the transactions under the
reorganisation which took place during the year ended 31 March
2016 in connection to the listing of the Company’s shares on
the Stock Exchange.
Exchange reserve
Exchange reserve comprises foreign exchange differences arising
from the translation of the financial statements of foreign
operations.
Statutory reserve
Statutory reserve represents appropriation of profits of the
PRC subsidiaries to non distributable reserve fund account as
required by the relevant PRC statute.
Retained profits
Retained profits is the cumulative net gains and losses
recognised in profit or loss.

15. GUARANTEE 15.

The Group provided guarantee in respect of the surety bonds
issued in favour of the customers of Group’s certain construction
contracts. The Group has unconditionally and irrecoverably
agreed to indemnify the bank as issuers of the bonds for claims
and losses they may incur in respect of the bonds. Details of
these guarantees as at the end of the reporting period are as
follows:
As at As at
2024 2024
( ) ( )
HK$’000 HK$’000
Aggregate value of the surety bonds

issued in favour of customers 28,115 28,115
As assessed by the directors, it is not probable that the bank

would claim the Group for losses in respect of the guarantee
contracts as it is unlikely that the Group is unable to fulfill
the performance requirements of the relevant contracts.
Accordingly, no provision for the Group’s obligations under the
guarantees has been made.
16. LITIGATIONS 16.

As at 30 September 2024, there was no any pending legal case
with material claim amount against the Group.
17. RELATED PARTY TRANSACTIONS 17.

During the six months period ended 30 September 2024 and
2023, the Group entered into the following transactions with
related parties:
The remuneration of directors and other members of key

management during the periods was as follows:
2024 2023
( ) ( )
HK$’000 HK$’000
Salaries, allowances and benefits 10,783 6,755

Contributions to defined
contribution retirement plan 17 18
10,800 6,773
18. EVENT AFTER THE REPORTING PERIOD 18.

No event has occurred after 30 September 2024 and up to the
date of this report which would have a material effect on the
Group.

(incorporated in the Cayman Islands with limited liability)

( )
Stock code 2663

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KPa-BM Holdings Limited

(incorporated in the Cayman Islands with limited liability)

KPa-BM Holdings Limited

4 Management Discussion and Analysis

Unaudited Condensed Consolidated Interim Financial Information

13 Condensed Consolidated Statement of Comprehensive Income

14 Condensed Consolidated Statement of Financial Position

15 Condensed Consolidated Statement of Changes in Equity

16 Condensed Consolidated Statement of Cash Flows

17 Notes to the Condensed Consolidated Financial Statements

BOARD OF DIRECTORS (THE “BOARD”)

Independent Non-Executive Directors

02 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

HEAD OFFICE AND PRINCIPAL PLACE OF

HONG KONG BRANCH SHARE REGISTRAR AND

BACKGROUND, RECENT DEVELOPMENT AND

Business operation of the Group remained relatively stable and key

The Group’s value of outstanding contracts on hand as at 30

While Hong Kong’s economic environment becoming unstable and

04 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

Cost of Revenue and Gross Profit

Administrative and Other Operating Expenses

Income Tax Expense

Profit for the Period

Liquidity, Financial Resources and Capital Structure

Current assets 479,428 506,687

During the six months ended 30 September 2024, the Group

As at 30 September 2024, the Group had a total available banking

There has been no change in capital structure of the Company since

The gearing ratio of the Group as at 30 September 2024 was 2.7%

06 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

FOREIGN CURRENCY EXPOSURE AND TREASURY

The Group has adopted a prudent financial management approach

As at 30 September 2024, the Group did not have any pledged

MATERIAL ACQUISITIONS AND DISPOSALS

CLOSURE OF REGISTER OF MEMBERS

EMPLOYEES AND REMUNERATION POLICIES

EVENT AFTER THE REPORTING PERIOD

08 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

DIRECTORS’ AND CHIEF EXECUTIVE’S INTERESTS

Long Positions In Shares of the Company

Mr. Wai Yat Kin Corporate interest 325,930,000 58.52%

Beneficial owner 40,320,000 7.24%

Interests held jointly 37,310,000 6.70%

Mr. Yip Pak Hung Corporate interest 325,930,000 58.52%

Beneficial owner 37,310,000 6.70%

Interests held jointly 40,320,000 7.24%

(b) Interest in the shares of an associated corporation (b)

Number of issued Percentage of

Mr. Wai Yat Kin Beneficial owner 14,332 43.97%

Interests held jointly 14,332 43.97%

Mr. Yip Pak Hung Beneficial owner 14,332 43.97%

Interests held jointly 14,332 43.97%

SUBSTANTIAL SHAREHOLDERS’ INTERESTS AND

Success Wing Investments Limited Beneficial owner 325,930,000 58.52%

Ms. Lam Suk Lan Bonnie Interest of spouse 403,560,000 72.46%

Ms. Wu Janet Interest of spouse 403,560,000 72.46%

Save as disclosed above, as at 30 September 2024, no other persons

10 K P a-BM Ho l d i ngs Limited | Int e r im Re p o r t 2 0 2 4 / 2 5

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