Group’s Accounting and Financial Reporting Functions Found to be Sound

The Group’s accounting and financial reporting functions have been found to be sound, with no significant areas of concern identified in the Group’s financial controls, risk management, or internal audit processes.

Audit and Risk Management Committee Measures

The Audit and Risk Management Committee has implemented measures to ensure the independence of external auditors, Deloitte Touche Tohmatsu.
These measures include:
- A detailed assessment of the auditor’s independence, service quality, and remuneration level.
- An annual confirmation of the auditor’s independence issued by the external auditor.
The committee has also implemented a rotation arrangement for its lead audit partner to comply with professional ethical standards and independence policies.

External Auditor Review

The Audit and Risk Management Committee reviewed the audit progress report of Deloitte Touche Tohmatsu and remained satisfied with their work.
The committee recommended to the Board that shareholders re-appoint Deloitte Touche Tohmatsu as the Group’s external auditor for 2023.

Internal Audit Functions

The internal audit function has been found to be effective in identifying areas for improvement. The Audit and Risk Management Committee reviewed:

The internal audit plan regarding key risks and business strategy of the Group.
Specific significant internal audit findings and management responses.

Evaluation

The Board and Board Committee evaluation process concluded that the Audit and Risk Management Committee was effective in fulfilling its roles in 2023.

Audit and Risk Management Committee Members

The members of the Audit and Risk Management Committee are:

Poon Chung Yin Joseph (Chairman)
Churchouse Frederick Peter
Fan Yan Hok Philip
Lee Anthony Hsien Pin

No significant areas of concern were identified during the evaluation process, with directors commenting that the committee is “led by experienced, diligent, probing chair; members are engaged.”