To Our Shareholders,

I am pleased to present to our shareholders the annual report of Matrix Holdings Limited (the “Company”) and its subsidiaries (collectively the “Group”) for the financial year ended 31 December 2022.

For the year of 2022, the Group’s consolidated revenue decreased by approximately HK$96,543,000 or 8.9% to approximately HK$986,094,000 from approximately HK$1,082,637,000 of last year. The profit attributable to the owners of the Company amounted to approximately HK$6,228,000, representing a decrease of 88.7% as compared with the last year’s profit in approximately HK$55,092,000.

The economy of the United States and Europe have recovered gradually from the pandemic in the first half of 2022. However, the bounce back in demand has stressed supply chains and caused inflation to rise sharply. Besides, the outbreak of Russia-Ukraine war has caused stress in the supply of energy and food worldwide and further boosted the inflation rate. Central banks of various countries increased interest rate in the hope of bringing inflation down. High inflation and fears of lagging economic growth have deterred consumer spending and led to slow down of economic growth in the fourth quarter of 2022. The increase in turnover and gross profit of the Group in the first half of 2022 were offset by the slowdown in the fourth quarter, leading to a decrease eventually. To enrich the product mix, the Group introduced a new car product “Rocket League” in the third quarter of 2022 to enrich its product mix. The Group prudently managed its financial and cash position to overcome the challenging operating environment. The overall financial position of the Group remains sound and robust.

Besides, I would like to reiterate that Environmental, Social and Governance (“ESG”) matters are utmost important for the sustainable development of the Group. The Board of Directors and management of the Company has incorporated the ESG concepts in the mission of the Group and implemented the same in our daily operation. The details in relation to our performance in these aspects are set out in the ESG Report on page 35 to 48.

Lastly, I would like to express my sincere appreciation to all of our stakeholders, including shareholders, customers, business partners and suppliers, for their continuous support and trust in all aspects of the Group’s activities. I would also like to express my gratitude to the management and the entire staff for their indispensable and enthusiastic contribution and commitment to the Group.

Cheng Yung Pun


Hong Kong, 28th March, 2023