| RELATED PARTY BALANCES AND TRANSACTIONS |
14.
Related party balances and transactions
(a)
Relationships with related parties
| Name of principal related parties | | Relationship with the Group | | Jiamei Cultural and Creative (Shenzhen) Co., Ltd (“Jiamei”) | | Entity controlled by Mrs. Cheng | | Mr. Cheng | | A director and the controlling shareholder of the Company | | Mrs. Cheng | | A director of the Company | | Mr. Zheng Hongrong | | A director of Samfine SZ, a subsidiary of the Company |
(b)
Amount due from a related party consists of the following:
| | | | | As of December 31, | | | | | | | 2024 | | | 2025 | | | 2025 | | | Name of the related party | | Nature | | HK$ | | | HK$ | | | US$ | | | Jiamei | | Accounts receivable | | | 570,149 | | | | 516,920 | | | | 66,414 | | | Total | | | | | 570,149 | | | | 516,920 | | | | 66,414 | |
Amount
due from a related party is unsecured, interest-free with no specific repayment terms. The accounts receivable represented the sales
of printing materials to Jiamei during the year and the balance of HK$188,169 (US$24,176) was subsequently settled as of February 28,
2026.
(c)
Amounts due to related parties consists of the following:
| | | | | As of December 31, | | | | | | | 2024 | | | 2025 | | | 2025 | | | Name of related parties | | Nature | | HK$ | | | HK$ | | | US$ | | | Mr. Cheng | | Commissions payable | | | 80,000 | | | | 60,000 | | | | 7,709 | | | Mr. Cheng | | Fund Transfer | | | 79,834 | | | | — | | | | — | | | Mrs. Cheng | | Commissions payable | | | 50,577 | | | | 40,000 | | | | 5,139 | | | Mrs. Cheng | | Fund Transfer | | | 35,774 | | | | — | | | | — | | | Total | | | | | 246,185 | | | | 100,000 | | | | 12,848 | |
Amounts
due to the related parties represented both fund transfer and commissions payable regarding the referral of customers by Mr. Cheng and
Mrs. Cheng to the Company. The balances are unsecured, interest-free with no specific repayment terms. In
addition to the related party balances above and the guarantees and pledge of properties as disclosed in Notes 12 above, we have the
following significant related party transactions incurred during the years ended December 31, 2023, 2024 and 2025.
| | |
Years ended December
31, | |
| Name of related parties | |
2023 | | |
2024 | | |
2025 | | |
2025 | |
| |
HK$ | | |
HK$ | | |
HK$ | | |
US$ | |
| Jiamei | |
| | |
| | |
| | |
| |
| Sales | |
| — | | |
| 638,635 | | |
| 1,051,069 | | |
| 135,042 | |
| | |
| | | |
| | | |
| | | |
| | |
| Mrs. Cheng | |
| | | |
| | | |
| | | |
| | |
| Rental expenses* | |
| 3,320,100 | | |
| 3,313,247 | | |
| 3,470,080 | | |
| 445,837 | |
| Commission paid | |
| 578,095 | | |
| 1,160,231 | | |
| 1,038,745 | | |
| 133,458 | |
| | |
| | | |
| | | |
| | | |
| | |
| Mr. Cheng | |
| | | |
| | | |
| | | |
| | |
| Sales commission | |
| 191,591 | | |
| 286,005 | | |
| 255,377 | | |
| 32,811 | |
* | The leased property was jointly-owned by Mrs. Cheng and Mr. Zheng Hongrong. |
(a)
Remuneration to senior management for the years ended December 31, 2022, 2023 and 2024 were as follows:
| | |
Years ended December
31, | |
| | |
2023 | | |
2024 | | |
2025 | | |
2025 | |
| | |
HK$ | | |
HK$ | | |
HK$ | | |
US$ | |
| Salaries and other short term employee benefits | |
| 2,742,146 | | |
| 2,976,465 | | |
| 4,569,035 | | |
| 587,031 | |
| Payments to defined contribution pension schemes | |
| 36,000 | | |
| 36,000 | | |
| 36,000 | | |
| 4,625 | |
| Total | |
| 2,778,146 | | |
| 3,012,465 | | |
| 4,605,035 | | |
| 591,656 | |
|