Vinco Financial : THIRD QUARTERLY RESULTS ANNOUNCEMENT FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2019

VINCO FINANCIAL GROUP LIMITED

域高金融集團有限公司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 8340)

THIRD QUARTERLY RESULTS ANNOUNCEMENT

FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2019

CHARACTERISTICS OF THE GEM OF THE STOCK EXCHANGE OF HONG KONG LIMITED (THE "STOCK EXCHANGE")

GEM has been positioned as a market designed to accommodate small and mid-sized 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 and 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 announcement, make no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss however arising from or in reliance upon the whole or any part of the contents of this announcement.

This announcement, for which the directors of Vinco Financial Group Limited (the "Company", together with its subsidiaries, the "Group") 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 ("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 announcement 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 announcement misleading.

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HIGHLIGHTS

• The Group recorded a revenue of approximately HK$9.63 million for the nine months ended 30 September 2019.
• The Group recorded a profit for the three months ended 30 September 2019 and the loss attributable to shareholders for the nine months ended 30 September 2019 reduced to approximately HK$2.52 million.
• The Directors do not recommend the payment of a dividend for the nine months ended 30 September 2019.

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Third Quarterly Results (Unaudited)

The board of Directors (the "Board") is pleased to present the unaudited condensed consolidated results of the Group for the three and nine months ended 30 September 2019 together with the comparative unaudited figures for the corresponding periods in 2018, as follows:

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income

				Three months ended		Nine months ended
				30 September		30 September
			2019	2018	2019	2018
				HK$'000		HK$'000		HK$'000		HK$'000
		Notes		(unaudited)		(unaudited)		(unaudited)		(unaudited)
Revenue	2	4,156	2,667	9,634	15,932
Operating expenses			(2,976)	(4,123)	(12,150)	(12,189)
(Loss)/profit from operations and			1,180	(1,456)	(2,516)	3,743
before taxation
Income tax	4	-	241	-	(600)
(Loss)/profit for the period and
attributable
to owners of the Company			1,180	(1,215)	(2,516)	3,143
Other comprehensive income for
the period, net of income tax			-	-	-	-
Total comprehensive
(expenses)/income for the
period attributable to owners			1,180	(1,215)	(2,516)	3,143
of the Company
(Loss)/earnings per share
Basic and diluted
(Hong Kong cents)	5	0.18	(0.19)	(0.39)	0.49

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Condensed Consolidated Statement of Changes in Equity

For the nine months ended 30 September 2019

	Attributable to equity holders of the Company
	_______________________________________
		Share
		premium
	Share	and	Retained	Total
	Capital	reserve	profits	equity
	HK$'000	HK$'000 HK$'000 HK$'000
At 1 January 2018	6,400	21,787	8,080	36,267
Profit for the period	-	-	1,804	1,804
Dividends declared in respect
of the current year	-	-	(3,000)	(3,000)
At 31 December 2018 and
at 1 January 2019	6,400	21,787	6,884	35,071
Loss for the period	-	-	(2,516)	(2,516)
Final dividend declared in respect
of the last year	-	-	-	-
At 30 September 2019	6,400	21,787	4,368	32,555

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NOTES:

1. Basis of Preparation

The Group's unaudited condensed consolidated third quarterly financial statements have been

prepared in accordance with all applicable Hong Kong Financial Reporting Standards ("HKFRSs"), which collective term includes all applicable individual Hong Kong Financial Reporting Standards, Hong Kong Accounting Standards ("HKASs") and Interpretations issued by the Hong Kong Institute of Certified Public Accountants ("HKICPA"), accounting

principles generally accepted in Hong Kong and the disclosure requirements of the Hong Kong Companies Ordinance. These financial statements also comply with the applicable disclosure provisions of the Rules Governing the Listing of Securities on the GEM of The Stock Exchange of Hong Kong Limited.

The unaudited condensed consolidated third quarterly financial statements comprise the Company and its subsidiaries (together referred to as "the Group").

Items included in the unaudited condensed consolidated third quarterly financial statements of

each entity of the Group are measured using the currency of primary economic environment in which the entity operates (the "functional currency"). These financial statements are presented in Hong Kong dollars ("HK$"), rounded to the nearest thousand except for per share data. HK$ is the Company's functional and the Group's presentation currency.

The measurement basis used in the preparation of the financial statements is the historical cost basis.

The preparation of the financial statements in conformity with HKFRSs requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying amounts of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The condensed consolidated accounts have not been audited by the auditors of the Company but have been reviewed by the audit committee of the Company.

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