Powell Max Limited Announces 2024 Audited Financial Results

/EIN News/ -- HONG KONG, April 28, 2025 (GLOBE NEWSWIRE) -- Powell Max Limited (Nasdaq: PMAX) (the “Company” or “Powell Max”), a financial communications services provider headquartered in Hong Kong, today announced the audited financial results of the Company and its subsidiary for the financial year ended December 31, 2024.

Overview:

• Revenue was HK$36.5 million (US$4.7 million) for the year ended December 31, 2024, representing a decrease of 25.7% for the year ended December 31, 2023.
• Net loss was HK$18.1 million (US$2.3 million) for the year ended December 31, 2024, as compared with the profit for the year of HK$7.1 million for the year ended December 31, 2023.

Financial Results for the year ended December 31, 2024

Revenue. Revenue decreased by 25.7% from HK$49.1 million for the year ended December 31, 2023 to HK$36.5 million (US$4.7 million) for the year ended December 31, 2024, which was mainly due to the decrease in both the revenue from corporate financial communications services and IPO financial printing services.

General and administrative expenses. General and administrative expenses increased by 1.28 times from HK$10.9 million for the year ended December 31, 2023 to HK$24.9 million (US$3.2 million) for the year ended December 31, 2024, which was mainly due to the incurrence of issuance expenses (which consisted of professional fee and related expenses relating to the equity line of credit under standby equity purchase agreement entered into with YA II PN, Ltd. on November 21, 2024), an increase in professional services fees and an increase in employee benefits expense.

Selling and distribution expenses. Selling and distribution expenses increased by 55.6% from HK$4.5 million for the year ended December 31, 2023 to HK$7.0 million (US$0.9 million) for the year ended December 31, 2024, which was mainly due to an increase in the number of staff in our sales team and an increase in other expenses on business development and marketing. In light of the reduction of capital market activities in Hong Kong, we have allocated extra resources on sales and marketing with the view to maintain our market presence.

Net loss. Net loss for the year ended December 31, 2024 was HK$18.1 million (US$2.3 million), as compared with the profit for the year of HK$7.1 million for the year ended December 31, 2023.

Basic and diluted loss per share. Basic and diluted loss per share was HK$1.37 (US$0.18) per ordinary share for the year ended December 31, 2024, as compared to a basic and diluted earning per share of HK$0.56 per ordinary share for the year ended December 31, 2023.

About Powell Max Limited

Powell Max Limited is a financial communications services provider headquartered in Hong Kong. The Company engages in the provision of financial communications services that support capital market compliance and transaction needs for corporate clients and their advisors in Hong Kong. Its financial communications services cover a full range of financial printing, corporate reporting, communications and language support services from inception to completion, including typesetting, proofreading, translation, design, printing, electronic reporting, newspaper placement and distribution. The Company’s clients consist of domestic and international companies listed in Hong Kong, together with companies who are seeking to list in Hong Kong, as well as their advisors.

Exchange Rate Information

The Company is a holding company with operations conducted in Hong Kong through JAN Financial Press Limited and Miracle Media Production Limited (which was acquired after the reporting period), its direct wholly-owned operating subsidiaries. The operating subsidiaries’ reporting currency is Hong Kong dollars. Unless otherwise noted, all translations from Hong Kong dollars to United States Dollars in this press release were calculated the noon middle rate of US$1 — HK$7.7677, as published in the H.10 statistical release of the Board of Governors of the Federal Reserve System on December 31, 2024, respectively. No representation is made that the HK$ amount represents or could have been, or could be, converted, realized or settled into US$ at that rate, or at any other rate.

Forward-Looking Statements

This press release contains certain forward-looking statements. Words such as “will,” future,” “expects,” “believes,” and “intends,” or similar expressions, are intended to identify forward-looking statements. Forward-looking statements are subject to inherent uncertainties in predicting future results and conditions. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

Rounding Amounts and Percentages

Certain amounts and percentages included in this press release have been rounded for ease of presentation. Percentage figures included in this press release have not in all cases been calculated on the basis of such rounded figures, but on the basis of such amounts prior to rounding.

For investor and media inquiries, please contact:

Company Info:

Powell Max Limited
Investor Relations
ir@janfp.com
(852) 2158 2888

POWELL MAX LIMITED AND ITS SUBSIDIARY CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
		As of December 31
		2023				2024
		HK$				HK$				US$
ASSETS
Non-current assets
Property, plant and equipment			5,819,230				4,253,686				547,612
Total non-current assets			5,819,230				4,253,686				547,612
Current assets
Trade and other receivables			13,510,032				16,096,160				2,072,191
Cash and bank balances			3,660,213				42,222,014				5,435,588
Total current assets			17,170,245				58,318,174				7,507,779
Total assets			22,989,475				62,571,860				8,055,391
LIABILITIES AND EQUITY
Current liabilities
Trade and other payables			27,376,032				12,990,458				1,672,368
Contract liabilities			1,524,761				1,310,435				168,703
Bank borrowings			4,767,829				3,845,863				495,110
Lease liabilities			3,361,230				1,376,122				177,159
Derivative			—				6,756,516				869,822
Convertible promissory notes			—				13,860,647				1,784,395
Total current liabilities			37,029,852				40,140,041				5,167,557
Non-current liabilities
Trade and other payables			150,000				150,000				19,311
Lease liabilities			1,122,591				1,014,182				130,564
Total non-current liabilities			1,272,591				1,164,182				149,875
Total liabilities			38,302,443				41,304,223				5,317,432
Equity attributable to owners of the Company
Share capital			9,750				11,457				1,475
Accumulated losses			(15,680,728	)			(33,754,822	)			(4,345,537	)
Reserves			358,010				55,011,002				7,082,021
Total equity			(15,312,968	)			21,267,637				2,737,959
Total liabilities and equity			22,989,475				62,571,860				8,055,391

POWELL MAX LIMITED AND ITS SUBSIDIARY CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
		Year ended December 31,
		2022				2023				2024
		HK$				HK$				HK$				US$
Revenue			37,772,821				49,121,839				36,461,260				4,693,958
Cost of sales			(22,217,680	)			(25,238,821	)			(22,081,030	)			(2,842,673	)
Gross profit			15,555,141				23,883,018				14,380,230				1,851,285
Other income and gain			1,851,815				54,116				1,952,986				251,425
General and administrative expenses			(10,723,611	)			(10,862,255	)			(24,854,036	)			(3,199,665	)
Selling and distribution expenses			(5,250,421	)			(4,530,134	)			(7,049,538	)			(907,545	)
Allowance of expected credit loss - trade receivables			(841,051	)			(914,788	)			(488,640	)			(62,908	)
Profit/(Loss) from operations			591,873				7,629,957				(16,058,998	)			(2,067,408	)
Finance costs			(690,476	)			(550,714	)			(2,015,096	)			(259,418	)
(Loss)/Profit before income tax			(98,603	)			7,079,243				(18,074,094	)			(2,326,826	)
Income tax expense			—				—				—				—
(Loss)/Profit for the year			(98,603	)			7,079,243				(18,074,094	)			(2,326,826	)
Other comprehensive (loss)/income:
Exchange differences on foreign currency translations			25,138				(47,378	)			48,424				6,234
Total comprehensive (loss)/income for the year			(73,465	)			7,031,865				(18,025,670	)			(2,320,592	)
(Loss)/Earnings per share attributable to owners of the Company
Basic and diluted			(0.01	)			0.56				(1.37	)			(0.18	)
Weighted average number of ordinary shares
Basic and diluted			12,500,000				12,500,000				13,178,314				13,178,314