Hong Kong-listed Ocean Star Technology Group Limited confirmed it has satisfied all Hong Kong Stock Exchange (HKEX) resumption requirements and has applied for share trading to restart at 09:00 on 11 September 2026. Trading has been suspended since 2 July 2025 because of delayed financial reporting.
Background and Causes of Suspension • Publication of annual and interim accounts for FY2024/25 and FY2025/26 was postponed after extensive senior-management and finance-team turnover, incomplete accounting records, and liquidity pressure tied to declining lingerie sales in Hong Kong. • Operational stress included rental arrears at 10 stores, legal claims from suppliers, and an eviction order on one outlet.
Key Remedial Steps • Recruitment of new board and finance leaders from August 2025 onward; appointment of a chief operating officer in June 2026. • Reconstruction of accounting ledgers, tighter month-end closing, and outsourced professional accounting support. • Internal-control overhaul led by VAG Consultant Limited; all identified deficiencies rectified and verified.
Publication of All Outstanding Financials The company has released every overdue statement: – FY2024/25 results (27 Feb 2026) and annual report (6 Mar 2026) – FY2025/26 interim results (3 Mar 2026) and report (10 Mar 2026) – FY2025/26 results (30 Jun 2026) and annual report (15 Jul 2026)
Operational Status and Financial Performance • Revenue slipped 8.56 % to HK$27.00 million in FY2025/26; gross profit remained broadly steady at HK$23.20 million. • Selling expenses fell 29.04 % to HK$8.73 million; administrative and other operating costs were cut 51.11 % to HK$17.49 million. • Net loss narrowed sharply to HK$5.25 million from HK$30.02 million a year earlier; total comprehensive loss contracted to HK$5.51 million. • Cash and bank balances rose to HK$1.70 million at 31 March 2026 and HK$2.60 million at 31 July 2026. • Net current liabilities stood at HK$32.30 million and net liabilities at HK$31.40 million, including HK$41.00 million in contract liabilities linked to prepaid customer packages. • The group secured an undrawn HK$5.00 million loan facility at 7 % interest from a third-party distributor to bolster working capital.
Business Model Shift • Store count reduced from 10 to 8; manufacturing fully outsourced to mainland China to create an asset-light structure. • Expansion emphasis moved to franchisees and distributors; FY2025/26 wholesale revenue from these channels reached HK$4.86 million. • A cross-selling partnership with Tai Hung Tao International for wellness courses is expected to generate at least HK$2.00 million in guaranteed quarterly income plus variable commissions.
Internal Controls and Governance • Independent review completed; Board and Audit Committee deem current governance, reporting, and control systems adequate to meet GEM Listing Rule obligations.
Liquidity and Going-Concern Assessment • Management projects sufficient liquidity over the next 12 months, supported by cost reductions, distributor advances, and potential—but not yet planned—fund-raising initiatives.
Next Steps Subject to HKEX approval, trading in Ocean Star Technology shares (stock code 08297) is scheduled to resume on 11 September 2026. Shareholders and investors are urged to exercise caution when dealing in the company’s securities.