Revenue Growth - The group's total revenue increased by 24.8% to HKD 4,367.5 million, driven by the return of mainland travelers after the reopening of borders[2]. - Total revenue for 2024 reached HKD 4,112,322,000, compared to HKD 3,567,112,000 in 2023, marking a growth of 15.3%[14]. - The group achieved a total revenue of HKD 4,367.5 million, representing a year-on-year growth of 24.8%, primarily due to the return of travelers to the core markets of Hong Kong and Macau[47]. - Revenue breakdown shows Hong Kong and Macau at HKD 578.7 million (-21.8%), Mainland China at HKD 152.3 million (+83.9%), and Southeast Asia at HKD 79.7 million (+9.0%)[71]. Profitability - Gross profit increased by 27.3% to HKD 1,783.4 million, with a gross profit margin of 40.8%, up 0.8 percentage points year-on-year[2]. - The group turned a pre-tax loss of HKD 14.4 million from the previous year into a pre-tax profit of HKD 266.7 million, achieving a significant improvement of HKD 281.1 million[2]. - The company reported a net profit attributable to shareholders of HKD 218,883,000 in 2024, significantly up from HKD 58,247,000 in 2023, reflecting a growth of 275.5%[19]. - Basic earnings per share rose to HKD 7.1, compared to HKD 1.9 in the previous year[3]. Dividends - The board proposed a final dividend of HKD 0.05 per share, representing approximately 70% of the annual profit[2]. - The company proposed a final dividend of HKD 0.05 per share for 2024, while no dividend was declared in 2023[21]. Store Expansion - The group opened eight new stores during the year, including its first store in Singapore, and plans to open four more stores in Singapore post-fiscal year[2]. - The company opened five new stores in Hong Kong during the fiscal year, increasing the total number of stores in Hong Kong and Macau to 82[52]. - The group plans to open four new stores in Singapore in the first quarter of the 2024/25 fiscal year, following the reopening of physical stores in December 2023[39]. Online and Offline Sales - Offline sales in Hong Kong and Macau rose by 35.1% to HKD 3,207.3 million, while online sales in mainland China surged by 74.5% in the second half of the fiscal year[2]. - The group recorded a significant increase in online sales in mainland China, maintaining a high online sales mix of 71.4%[47]. - Online sales in mainland China surged by 36.3% to HKD 415.4 million, accounting for 58.8% of the group's total online revenue[61]. Customer Engagement - The conversion rate of travelers to customers reached double digits during the first nine months of the fiscal year, driven by the influx of mainland Chinese tourists[53]. - The company conducted 40 live-streaming sales events, which accounted for 9% of total online sales in Hong Kong and Macau for the fiscal year[57]. - The group is committed to a 30-day return guarantee for customers, reflecting its focus on quality assurance and customer satisfaction[29]. Market Trends - The group has identified a new trend of integrating online and offline retail models, which will be reflected in future financial reporting[9]. - The group observed a shift in the demographic of mainland Chinese visitors, with younger travelers more inclined to try niche brands, presenting opportunities for exclusive brand development[30]. - The group is focusing on enhancing its exclusive brand portfolio by collaborating with emerging niche brands and developing products jointly with brand owners[29]. Financial Management - The group maintained a strong cash position with a net cash balance of HKD 457.8 million as of March 31, 2024, up from HKD 273.3 million in the previous year[48]. - The leverage ratio as of March 31, 2024, is zero, down from 2.9% as of March 31, 2023[89]. - The group maintains a prudent financial risk management policy, avoiding high-risk investments or speculative derivatives[90]. Challenges - The group is facing challenges from labor shortages and high operational costs, impacting service levels and profitability[36]. - The group is actively seeking market gaps in non-tourist areas to better serve local customers, with two new leases signed post-fiscal year-end[76]. Future Outlook - The company provided a positive outlook for the next quarter, projecting a revenue growth of 10% to 12%[103]. - The company is considering strategic acquisitions to enhance its product portfolio, with a budget of up to HKD 200 million for potential deals[103]. - The group plans to enhance operational efficiency through digitalization and strict budget management, aiming for sustainable profitability despite economic uncertainties[68].

智通财经APP获悉，莎莎国际(00178)涨超10%，截至发稿，涨10.84%，报0.92港元，成交额863.3万港 元。 消息面上，有消息称，香港政府向中央争取更多内地旅客来港，获得了积极回应，预料包括扩大自由 行。据悉，目前内地共有49个城市的居民可透过"个人游"计划往来香港，主要是一线城市。香港政务司 司长陈国基日前称，正与内地商讨增加自由行来港城市数目，亦会研究恢复深圳居民"一签多行"。 ...

Financial Performance - For the six months ended September 30, 2023, the turnover was HK$2,144.4 million, representing a significant increase from HK$1,550.5 million in the same period last year, marking a growth of 38.3%[7]. - The profit for the period was HK$102.4 million, a turnaround from a loss of HK$133.2 million in the previous year, indicating a positive shift in financial performance[9]. - The basic earnings per share were reported at 3.3 HK cents, a significant improvement from a loss per share of 4.3 HK cents last year[7]. - The operating profit from continuing operations reached HK$135,066, a significant recovery from previous losses[10]. - The Group's profit for the period improved to HK$102.4 million, a significant turnaround from a loss of HK$133.2 million in the previous period[48]. - Total comprehensive income for the period attributable to owners of the Company was HK$93,983,000, compared to a loss of HK$148,227,000 in the previous year[129]. Profitability and Margins - The gross profit margin improved to 38.3%, compared to 53.6% in the previous year, reflecting changes in cost structure and pricing strategies[7]. - Gross profit from continuing operations was HK$880,476, showing an increase from previous periods[10]. - Gross profit margin for continuing operations improved to 41.1%, up from 37.0% in the prior year[10]. - Selling and distribution costs as a percentage of turnover decreased from 39.6% to 30.0%, while administrative expenses decreased from 8.0% to 5.4%[47]. - The Group's gross profit increased by 53.6% to HK$880.5 million, with a gross profit margin of 41.1%, reflecting a significant improvement in sales and margins[50]. Financial Position and Liquidity - The company maintained a solid financial position with a gearing ratio of 2.8% as of September 30, 2023, indicating low leverage[7]. - The net cash and bank balances stood at HK$164.2 million, providing a strong liquidity position for future investments[7]. - The current ratio was reported at 1.5 times, suggesting adequate short-term financial health[7]. - Total equity increased to HK$1,135,218, reflecting a strong financial position[12]. - The Group maintained a strong liquidity position with working capital of HK$454.2 million, including net cash and bank balances of HK$164.2 million[116]. Sales Performance - Offline sales in Mainland China increased by 25.2%, while Hong Kong and Macau saw a substantial increase of 64.9% in offline sales[8]. - The geographical sales mix showed that Hong Kong and Macau contributed 80.2% of total sales, while Mainland China and Southeast Asia contributed 11.4% and 8.2%, respectively[8]. - Total online sales remained flat at HK$298.8 million, with online penetration increasing to 13.9% of total Group sales, up from 4.8% pre-COVID[37]. - Total online and offline sales in the Hong Kong and Macau SARs reached HK$1,719.6 million, accounting for 80.2% of total Group sales, growing 57.9% year-on-year[52]. - Offline sales in Macau SAR increased by 84.1% year-on-year, recovering to 65.9% of pre-pandemic levels, while same-store sales grew by 67.5%[66]. Market and Economic Conditions - The global economy is gradually recovering from the pandemic, with signs of partial recovery despite ongoing geopolitical tensions and high inflationary pressures[25]. - Hong Kong's GDP growth rate for April to September 2023 was 4.2%, while retail sales increased by 16.0% during the same period[18]. - Macau experienced a significant GDP growth of 119.4% and a retail sales increase of 64.3% from April to June 2023[18]. - Economic uncertainties and high household savings rates in Mainland China have led to a reluctance to spend, affecting overall consumer sentiment[31]. Strategic Initiatives - The company is actively integrating its physical and online business presence to enhance customer experience in the new retail era[3]. - The Group is focusing on market expansion and new product development strategies moving forward[10]. - The Group is exploring the shop-in-shop concept, launching exclusive areas for partner brands like La Estephe and Dr. G[35]. - The Group plans to open three new retail stores in Singapore in the second half of the financial year, re-establishing its offline presence[33]. - The Group is enhancing its Customer Relationship Management (CRM) program to integrate member pools from online and offline channels, expected to be fully implemented by the end of the current financial year[102]. Operational Challenges - Net cash used in operating activities was HK$(72,001), indicating cash flow challenges[12]. - The Group's loss in Mainland China narrowed significantly to HK$12.0 million from HK$63.0 million in the previous period[69]. - The Group has resumed its store upgrade program, with seven stores upgraded during the period, resulting in 240 lost operating days and impacting sales by approximately 2.0%[85]. - The Group is focusing on improving customer experience through initiatives like "Buy Online Pick-up In-Store" (BOPIS), enhancing operational effectiveness amid challenging economic conditions[68]. Inventory and Capital Expenditure - As of September 30, 2023, the Group's inventory was HK$878.8 million, an increase of HK$209.3 million compared to 31 March 2023, with inventory turnover days at 134 days[90]. - Capital commitments for the acquisition of property, plant, and equipment totaled HK$9.8 million as of September 30, 2023[121]. - The Group's total cash and cash equivalents at the beginning of the period were HK$303,256,000, with a net decrease of HK$100,597,000 during the period[141]. Employee and Operational Costs - The Group's employee costs for the six months ended September 30, 2023, amounted to HK$346.0 million[115]. - Employee benefit expenses, including directors' emoluments, increased to HK$345,968,000 from HK$334,630,000 year-on-year[177]. - Interest expenses on lease liabilities rose to HK$11,722,000 in the first half of 2023, compared to HK$7,571,000 in the same period of 2022[179].

Financial Performance - The group's revenue increased by 38.3% to HK$2,144.4 million, with offline sales in Hong Kong and Macau growing by 64.9% to HK$1,623.7 million[2]. - The company turned a loss of HK$133.2 million in the same period last year into a profit of HK$102.4 million, with basic earnings per share at HK$3.3 compared to a loss of HK$4.3 per share in 2022[2][3]. - Gross profit reached HK$880.5 million, up from HK$573.3 million, reflecting a significant recovery in sales performance[3]. - Operating profit was HK$135.1 million, a turnaround from an operating loss of HK$115.9 million in the previous year[3]. - The group recorded a profit of HKD 102.4 million, a significant turnaround from a loss of HKD 133.2 million in the same period last year[48]. - The group's total revenue for the first half of the 2023/24 fiscal year was HKD 2,144.4 million, reflecting a year-on-year increase of 38.3%[43]. - The group's total revenue for Q3 2023 increased by 27.0% compared to the same period last year, reaching HKD 525.8 million[81]. Assets and Liabilities - The total assets as of September 30, 2023, amounted to HK$1,146.9 million, compared to HK$1,004.7 million as of March 31, 2023[5]. - Current liabilities increased to HK$1,321.0 million from HK$1,208.7 million, indicating a rise in short-term financial obligations[6]. - The net asset value rose to HK$1,135.2 million from HK$1,041.2 million, showing an improvement in the company's financial health[6]. - The total borrowings as of September 30, 2023, were HKD 32,000,000, an increase from HKD 30,000,000 as of March 31, 2023[27]. - Total equity attributable to equity holders was HKD 1,135.2 million, including reserves of HKD 824.9 million, with working capital of HKD 454.2 million[84]. Cash Flow and Financial Management - The total cash net amount as of September 30, 2023, was HKD 164.2 million, up from HKD 123.2 million in 2022, indicating sufficient cash for business needs[48]. - The group had net cash of HKD 164.2 million as of September 30, 2023, with additional undrawn bank loan facilities of approximately HKD 232.3 million, ensuring sufficient funds for operations[73]. - The leverage ratio as of September 30, 2023, was 2.8%, a slight decrease from 2.9% as of March 31, 2023[85]. - The group maintains a prudent financial risk management policy, avoiding high-risk investments or speculative derivatives[86]. Dividends and Shareholder Returns - The company decided not to declare an interim dividend for this period, consistent with its risk management responsibilities[2]. - The board decided not to declare an interim dividend for the six months ended September 30, 2023[89]. Market and Sales Performance - The group recorded significant sales growth in Hong Kong, benefiting from the return of tourists and various consumer stimulation activities, with 18.9 million visitors during the period[34]. - The group’s sales from travelers accounted for approximately 48.6% of total sales, down from 74% pre-pandemic[35]. - Offline sales in mainland China dropped 25.2% to HKD 84.8 million, with the number of stores decreasing by 16.7% to 35, yet gross profit per store increased by 12.1%[64]. - The group plans to open three new stores in Singapore in the second half of the fiscal year as part of its Southeast Asia market expansion strategy[37]. - The group plans to open three new physical stores in Singapore by March 2024, enhancing its offline business and supporting online operations in Southeast Asia[38]. Operational Strategies - The company plans to adopt a new online-offline integrated retail model to enhance financial reporting and operational decision-making[12]. - The company is focusing on future investments to support its development in a recovering market post-pandemic[2]. - The company is exploring the "store-in-store" concept to showcase partner brands, with recent launches in Hong Kong and Malaysia[39]. - The group plans to optimize operational efficiency and inventory strategies to capitalize on post-pandemic growth opportunities[73]. Employee and Operational Costs - Employee benefits expenses, including directors' remuneration, amounted to HKD 345,968,000, slightly up from HKD 334,630,000 in the previous year[17]. - As of September 30, 2023, the group had approximately 2,640 employees, with employee costs amounting to HKD 346.0 million for the six months ended[83]. Product and Brand Development - The company introduced new exclusive brands, including Rexaline and DermEden, to diversify its product offerings and enhance customer loyalty[41]. - The group is focusing on expanding its product categories, including personal care and beauty devices, to meet evolving consumer demands[41]. - The group plans to promote exclusive brands through live streaming platforms in mainland China to improve gross margins[47]. Economic and Market Conditions - Despite challenges from rising living costs and economic pressures in mainland China, the group anticipates benefiting from improvements in macroeconomic conditions[73]. - The Chinese government announced a series of measures to stimulate domestic consumption, which is expected to gradually restore consumer and business confidence[36].

Financial Performance - For the fiscal year ending March 31, 2023, the company reported a revenue of HKD 3,500.5 million, reflecting a year-on-year increase of 2.6%[7] - The gross profit for the same period was HKD 1,401.4 million, with a gross margin of 40.0%, representing a year-on-year change of 11.2%[7] - The company achieved a net profit of HKD 58.2 million, with basic earnings per share of HKD 0.019, indicating a year-on-year increase of 13.0%[7] - Total revenue for the fiscal year 2023 reached HKD 3,500.5 million, a 2.6% increase from HKD 3,412.7 million in 2022[86] - Gross profit for continuing operations was HKD 1,401.4 million, with a gross margin of 40.0%, up from 36.9% in the previous year[86] - The net profit for continuing operations was HKD 58.2 million, resulting in a net profit margin of 1.7%, compared to a net loss margin of 10.1% in 2022[86] - The group recorded a profit of HKD 185.9 million in Q4, with a pre-tax profit margin of 9.0%, turning around from a loss of HKD 133.2 million in the first half of the fiscal year[109] - The group's profit for the fiscal year was HKD 58.2 million, a significant turnaround from a loss of HKD 343.7 million in the previous year[138] Sales Performance - The company’s sales in Mainland China saw a significant offline sales growth of 22.9%[9] - The company’s sales in Southeast Asia experienced a remarkable offline sales growth of 64.9%[9] - The distribution of revenue by region showed that Hong Kong and Macau accounted for 74.4%, Mainland China 14.9%, and Southeast Asia 10.6%[11] - For the fiscal year, the total retail sales and wholesale business in Hong Kong and Macau reached HKD 2,603.8 million, accounting for 74.4% of total revenue, with an 8.7% growth[110] - Offline sales in Hong Kong and Macau increased by 7.3% to HKD 2,373.3 million, while offline sales in mainland China decreased by 22.9% to HKD 225.2 million[137] - The total revenue from Southeast Asia was HKD 372.0 million, with online sales contributing HKD 72.0 million[185] - In Malaysia, offline revenue increased significantly by 64.9% to HKD 300 million, with same-store sales growth of 34.3% in local currency[189] Store Operations - As of March 31, 2023, the group operates a total of 186 retail stores, distributed as follows: 79 in Hong Kong and Macau, 37 in Mainland China, and 70 in Southeast Asia[29] - The number of retail stores in continuous operations decreased to 186 from 234 in the previous year, reflecting a reduction in the retail footprint[101] - The group reduced the number of stores in mainland China from 77 to 37 due to significant declines in customer traffic[178] - The group plans to expand its store network in tourist areas, with three new leases signed, increasing the total number of stores in tourist areas to 82[118] - The group signed three new leases in core tourist areas of Hong Kong, with new stores expected to open in the first quarter of the new fiscal year[166] Digital Transformation and Strategy - The company is actively integrating online and offline operations to create a seamless shopping experience for customers[17] - The company aims to invest in digitalization and talent development to support its growth strategy[24] - The group is investing in digital transformation to improve customer experience and streamline end-to-end payment processes[42] - The company is exploring various online operational models, including live streaming and the development of an "infinite shelf" concept to meet diverse customer needs[28] - The company plans to unify customer relationship management across Hong Kong, Mainland China, and Southeast Asia to provide a consistent online and offline user experience[42] - The company aims to create a seamless omnichannel shopping experience by integrating online and offline operations, leveraging its established store network[125] Brand and Product Development - The company is focusing on enhancing its exclusive brand portfolio and developing new products in collaboration with brand owners[14] - The company has introduced new exclusive brands, including the medical beauty brand Rexaline and the personal care brand plu[26] - The company aims to enhance its brand portfolio, particularly focusing on exclusive brands to improve product competitiveness and gross margins[30] - The company is focused on increasing the sales proportion of exclusive brands to enhance long-term customer loyalty and sustainable sales growth[48] - The product mix has shifted post-COVID, with a notable increase in demand for cosmetics and perfumes, while personal protective equipment sales have fluctuated[126] Financial Stability and Investments - Total assets increased to HKD 2,213.3 million, while total liabilities were HKD 1,172.1 million, leading to net assets of HKD 1,041.2 million[88] - Net cash increased to HKD 273.3 million as of March 31, 2023, up from HKD 194.2 million in 2022, demonstrating improved financial stability[109] - The leverage ratio decreased to 2.9% from 10.4% in the previous year, indicating a stronger balance sheet[107] - The group has invested in automated guided vehicles (AGVs) to improve e-commerce processing capabilities, facilitating market entry into Southeast Asia, North America, Australia, and New Zealand[133] Corporate Social Responsibility and Recognition - The company received multiple awards for investor relations, including "Best Investor Relations Company" in the small-cap category[66] - The company has been recognized for its commitment to corporate social responsibility, receiving the "Caring Company" logo for 18 consecutive years[69] - Sasa's exclusive products won several accolades, including the "Best Skincare Essence" at the CITTA BELLA Beauty Awards 2022 in Malaysia[84] Market Challenges and Future Outlook - The company reported a compound annual growth rate of -6.9% over the past decade in its revenue[98] - The mainland China market remains a core focus for the group's long-term strategy, with plans to adjust strategies as consumer sentiment improves post-pandemic[200] - The company plans to expand into the Thai market and launch on Zalora, while continuing to focus on Shopee and Lazada to enhance revenue[123] - The company is optimizing its store network to enhance economic efficiency and reduce initial capital expenditures for new store openings[165]

Financial Performance - The group's total revenue increased by 2.6% to HKD 3,500.5 million for the fiscal year ending March 31, 2023[2]. - The group turned a loss of HKD 133.2 million in the first half of the fiscal year into a profit of HKD 58.2 million for the full year, compared to a loss of HKD 343.7 million in the previous year[2]. - The group recorded a profit of HKD 185.9 million in Q4 2023, with a pre-tax profit margin of 9.0%[2]. - Basic earnings per share were HKD 1.9, compared to a loss of HKD 11.1 per share in 2022[2]. - The group reported a gross profit of HKD 1,401.4 million, compared to HKD 1,260.5 million in the previous year[3]. - The group’s operating profit was HKD 1.5 million, a significant recovery from an operating loss of HKD 328.1 million in the previous year[3]. - The net profit attributable to the company's owners for 2023 was HKD 58,247, a significant recovery from a loss of HKD 343,732 in 2022[19]. - The total revenue for the year ended March 31, 2023, was HKD 3,567,112, down from HKD 3,725,318 in 2022, indicating a decline of approximately 4.3%[15]. Sales Performance - Offline sales in Hong Kong and Macau grew by 7.3% to HKD 2,373.3 million, with a year-on-year increase of 60.1% in Q4 2023[2]. - Total online and offline sales in the Hong Kong and Macau regions reached HKD 2,603.8 million, accounting for 74.4% of the group's total revenue, with an 8.7% increase year-on-year[35]. - Offline sales in the Hong Kong and Macau regions increased by 7.3% to HKD 2,373.3 million, with same-store sales rising by 13.5%[38]. - In Q4, offline sales in the Hong Kong region grew by 55.6% year-on-year, benefiting from the return of mainland Chinese tourists[43]. - The group reported a segment performance loss of HKD 21,201,000 in online business and HKD 44,459,000 in mainland China[10]. - Online business revenue was HKD 602.0 million, a decrease of 13.5% year-on-year, with mainland China experiencing a 33.4% decline due to pandemic impacts[27]. - Total offline sales in mainland China for the fiscal year were HKD 225.2 million, a decline of 22.9% year-on-year, while same-store sales fell by 11.6%[53]. Assets and Liabilities - Total assets less current liabilities amounted to HKD 1,409.5 million, up from HKD 1,232.1 million in the previous year[5]. - Net assets increased to HKD 1,041.2 million from HKD 982.9 million in the previous year[5]. - The total assets of the group as of March 31, 2023, were HKD 2,213,327,000, an increase from HKD 2,086,823,000 in the previous year[12]. - The group’s bank borrowing rates ranged from 4.04% to 4.65% as of March 31, 2023, compared to 1.29% to 1.64% in the previous year[24]. - The group has a low leverage ratio of 2.9% as of March 31, 2023, compared to 10.4% a year earlier, indicating a strong balance sheet[77]. - The group has no significant contingent liabilities as of March 31, 2023, ensuring financial stability[80]. Cost Management and Expenditures - The group implemented a zero-based budgeting mechanism and centralized cost management to enhance operational efficiency and optimize costs[28]. - Employee benefits expenses, including director remuneration, increased to HKD 661,943 in 2023 from HKD 651,816 in 2022, representing a rise of about 1.7%[15]. - Capital expenditures totaled HKD 58,587,000, with the highest spending in Hong Kong and Macau (HKD 44,195,000)[10]. - The group recognized government subsidies of HKD 25,817,000, significantly up from HKD 4,953,000 in the previous year[13]. Market Strategy and Future Outlook - The group anticipates continued focus on market expansion and new product development to enhance future performance[9]. - The group aims to optimize its product mix by introducing new categories such as beauty supplements, personal care products, and beauty devices to meet growing customer demand[25]. - The group is focusing on enhancing its online business by increasing customer loyalty, building online communities, and promoting exclusive brands available only locally[66]. - The group aims to integrate online and offline operations (OMO) to provide a seamless shopping experience, including promoting in-store online channel awareness[67]. - The group is actively promoting brand establishment through pop-up sales events in Malaysia, enhancing brand visibility and driving direct sales[61]. Challenges and Adjustments - The group did not recommend a final dividend due to the recent challenges in the operating environment[2]. - The group achieved a total operating loss of HKD 58,247,000, reflecting challenges in various segments[10]. - The company reduced its losses in mainland China by 69.2% to HKD 44.5 million for the fiscal year, with losses narrowing from HKD 43.6 million in the first half to HKD 0.9 million in the second half[53]. - The group is implementing zero-based budgeting and stricter working capital management to enhance competitiveness and resilience[64]. - Malaysia's economic challenges include a 25% increase in minimum wage and rising living costs, prompting the group to adapt its product offerings and promotions[70].

Financial Performance - The turnover for the period was HK$1,550.5 million, representing a 2.9% decrease compared to the previous year[11]. - Gross profit amounted to HK$573.3 million, with a gross profit margin of 37.0%, a slight increase of 0.3 percentage points[11]. - The company reported a loss for the period of HK$133.2 million, down from HK$181.6 million in the previous year, marking a 26.7% improvement[11]. - The turnover for continuing operations was HK$1,550,493, a decrease from HK$1,597,234 in the previous period[14]. - Gross profit for continuing operations was HK$573,304, with a gross profit margin of 37.0%[14]. - The operating loss for continuing operations was HK$115,860, compared to an operating profit of HK$247,098 in the prior period[14]. - The loss for the period from continuing operations was HK$133,183, a decline from a profit of HK$216,416 previously[14]. - The diluted loss per share for continuing operations was HK(4.3) cents, compared to HK(5.9) cents in the previous year[15]. - Return on equity was reported at -16.0%, reflecting a decline from -15.8% in the previous year[15]. - The Group's loss for the period narrowed to HK$133.2 million from HK$181.6 million, a reduction of 26.7%[30]. - Basic loss per share was 4.3 HK cents, compared to 5.9 HK cents in the previous year, and no interim dividend was recommended due to the challenging operational environment[31][32]. Operational Highlights - Retail sales in Mainland China increased by 13.1%, while sales in Hong Kong and Macau SARs grew by 8.7%[12]. - The online business in Malaysia saw a significant retail sales change of 159.3%[12]. - The company operates 193 points of sale in Mainland China and 80 in Hong Kong and Macau SARs[12]. - Same-store sales growth in Mainland China suffered a double-digit decrease compared to the same period last financial year due to pandemic-related lockdowns[21]. - The business in Macau SAR was severely affected by a citywide lockdown in July 2022, leading to a significant decline in tourist visitors[20]. - Following the relaxation of pandemic measures in Malaysia, the business rebounded to 84% of pre-pandemic levels[20]. - Online sales in Hong Kong SAR experienced high double-digit growth during the interim period, while online sales in Mainland China were significantly impacted by quarantine measures[24]. - The Group operates 193 retail outlets as of September 30, 2022, and is considering expanding its store network where economically viable[29][27]. Financial Position - The gearing ratio stood at 9.6%, indicating a solid financial position as of September 30, 2022[12]. - The current ratio is 1.3, reflecting the company's liquidity position[12]. - Total assets amounted to HK$2,040,603, down from HK$2,247,509 in the previous period[14]. - Total liabilities were HK$1,205,855, resulting in net assets of HK$834,748[14]. - The Group's total equity was HK$834.7 million, a decrease of 15.1% from HK$982.9 million as of March 31, 2022[90]. - The Group's net cash, after deducting utilized bank borrowings, was HK$123.2 million, with unutilized banking facilities of approximately HK$195.6 million, ensuring adequate funding for operating needs[78]. - The Group's treasury management policy focuses on maintaining liquidity and avoiding highly leveraged or speculative derivative products[93]. Strategic Initiatives - The company plans to focus on market expansion and new product development in the upcoming quarters[14]. - The Group is focused on enhancing its online business and has seen high double-digit growth in online sales in Hong Kong, while also exploring further market expansion in Southeast Asia[26][27]. - Cost structure adjustments and management practices have been implemented to achieve sustainable profitability despite ongoing Covid-19 measures, with expectations for these measures to take effect by the end of the current financial year[26]. - The Group aims to enhance product assortment and introduce innovative products through promotions to excite consumers[74]. - The strategy includes embedding a route-to-consumer approach to meet changing consumer journeys, focusing on both online and offline channels[75]. - The Group plans to manage offline and online channels as one, adopting an agile management approach to respond to changing consumer habits[75]. - The Group is actively seeking to introduce new product categories, including health & fitness products and personal care items, to meet local customer needs[50]. Challenges and Market Conditions - The financial outlook indicates a cautious approach due to current market conditions and operational challenges[14]. - The retail sector is expected to remain under pressure due to external uncertainties, prompting the Group to enhance internal structures and risk management mechanisms[27]. - The Hong Kong SAR Government's Consumption Voucher Scheme, implemented in April and August 2022, has shown diminishing positive impacts on local retail spending[19]. - Sales in Hong Kong SAR from Mainland tourists accounted for only 2.8% due to strict border control measures during the Covid-19 pandemic[42]. - The Group continues to negotiate temporary rental concessions for certain retail stores to alleviate rental costs amid low tourist footfall[47]. Digital Transformation - The pandemic has accelerated retail digitalization, which is now a critical part of the company's commercial strategies[22]. - The Group's OMO strategies are still in early stages but are contributing to online sales growth and enhancing customer experience[50]. - Continuous investment in online platforms will position the group to better implement an OMO operating model, improving customer experience[77]. - The internal online live streaming team has been active on Douyin since November 2021, replicating the value provided by beauty consultants[76]. Employee and Community Engagement - The Group donated HK$0.4 million to government agencies and charitable organizations to support the community[43]. - As of September 30, 2022, the Group had approximately 2,700 employees, with staff costs amounting to HK$334.6 million for the six months ended[88]. - Key management compensation totaled HK$15,493,000 for the six months ended September 30, 2022, compared to HK$13,035,000 in the same period of 2021, representing an increase of approximately 18.9%[195].

Financial Performance - For the fiscal year ending March 31, 2022, the company reported a revenue of HKD 3,412.7 million, representing a year-on-year increase of 12.1%[9] - The gross profit margin improved by 2.3 percentage points to 36.9%, with gross profit amounting to HKD 1,260.5 million, up 19.8% year-on-year[9] - The company recorded a net loss of HKD 343.7 million, an improvement from the previous year's loss of HKD 359.3 million[9] - The total revenue for the fiscal year ending March 31, 2022, was HKD 3,412.7 million, representing a 12.1% increase from HKD 3,043.0 million in 2021[69] - Gross profit for continuing operations was HKD 1,260.5 million, with a gross margin of 36.9%, up from 34.6% in the previous year[69] - The operating loss for continuing operations was HKD 328.1 million, an improvement from a loss of HKD 391.5 million in 2021[69] - The net loss attributable to continuing operations was HKD 343.7 million, compared to a loss of HKD 359.3 million in the prior year[69] - The company reported a net profit margin of -10.1% for continuing operations, an improvement from -11.8% in 2021[69] - The group recorded a loss of HKD 343.7 million, an improvement from a loss of HKD 351.4 million in the previous year, representing a 2.0% reduction[116] - The group received approximately HKD 40.9 million in government subsidies and temporary rent reductions related to the COVID-19 pandemic[117] Retail and Sales Performance - Retail sales in Hong Kong and Macau increased by 12.6%, while sales in Malaysia grew by 23.7%[13] - The total retail sales in Hong Kong and Macau increased by 12.6% to HKD 2,161.3 million, but still decreased by 69.2% compared to the fiscal year 2018/19[134] - Same-store sales in Hong Kong increased by 12.6% year-on-year, while retail sales grew by 6.1%, reflecting a significant recovery despite a 74.8% decline compared to the pre-pandemic fiscal year 2018/19[133] - In Macau, same-store sales rose by 26.2% year-on-year, with retail sales increasing by 27.9%, although both metrics are down 45.6% compared to pre-pandemic levels[134] - The online business accounted for 20.4% of total sales, with a significant focus on integrating online and offline operations[12] - The online business revenue for the fiscal year reached HKD 695.6 million, representing a year-on-year increase of 38.8% and a growth of 77.5% compared to the 2018/19 fiscal year[143] - Online business accounted for 20.4% of the group's total revenue, up from 16.5% last year, with a profit of HKD 6.9 million compared to HKD 8.8 million in the previous year[143] Strategic Initiatives - The company aims to enhance its product mix by introducing popular beauty products and expanding categories such as health and personal care[14] - The strategy emphasizes a customer-centric approach, utilizing multiple touchpoints for a seamless shopping experience[22] - The company is committed to sustainable growth and enhancing stakeholder value through responsible business practices[19] - The company plans to focus on market expansion and new product development to drive future growth[69] - The company is exploring strategic partnerships and potential acquisitions to enhance its market position[69] - The company aims to enhance customer understanding through big data analytics, integrating online and offline (OMO) operations to provide a customer-centric omnichannel shopping experience[31] - The company plans to integrate customer databases across physical stores in Hong Kong, Macau, and mainland China to enhance customer interaction and loyalty[36] - The company is focusing on exclusive agency products to enhance brand value and improve product competitiveness and gross margins[157] Operational Efficiency - Sasa is focusing on supply chain automation and digitalizing operational processes to improve inventory management and overall operational efficiency[36] - The group implemented strict cost and inventory management measures to improve profitability and preserve working capital[88] - The company continues to close unprofitable stores and negotiate for temporary rent reductions to alleviate cost burdens[95] - The company plans to close unprofitable stores or relocate them to areas with higher foot traffic or lower rent to reduce overall rental costs and improve operational efficiency[154] - The company has begun live streaming sales on third-party platforms to attract younger consumers and expand online reach[98] Market Expansion and Future Outlook - The company is expanding its market presence, targeting an increase in retail locations by 10% across Asia-Pacific regions[187] - The company is investing in new technology for e-commerce platforms, aiming to improve user experience and increase online sales by 25%[187] - A new marketing strategy is being implemented, focusing on digital channels to reach younger demographics, with a budget increase of 30% for digital advertising[187] - The company has set a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 15% based on current market trends and consumer demand[187] - The company plans to launch three new product lines in the upcoming quarter, focusing on skincare and cosmetics[200] - The company anticipates a gradual normalization of the retail market in Malaysia, following the easing of quarantine measures, but remains cautious about opening new stores due to rising operational costs[160] Awards and Recognition - The company achieved recognition as the "Best Investor Relations Company" in the small-cap category at the Hong Kong Investor Relations Awards, highlighting its commitment to transparency and communication[50] - The company received multiple awards for its annual reports, including "Best Annual Report (Small Cap)" at the Greater China Awards, showcasing its excellence in corporate governance[50] - The company was awarded the "Outstanding Corporate Social Responsibility Award" for its continuous efforts in community engagement and social responsibility[63]

Financial Performance - Turnover for the period reached HK$1,597.2 million, representing a 24.2% increase compared to the previous year[6] - Gross profit amounted to HK$586.5 million, with a gross profit margin of 36.7% for continuing operations[10] - The company reported a loss for the period of HK$181.6 million, with a basic loss per share of 5.9 HK cents[6] - Total equity amounted to HK$1,148,707,000, a decrease from previous years[12] - The return on equity was -15.8%, reflecting a decline from -16.9% in the prior year[14] - The loss for the period narrowed by HK$60.4 million (25.0%) to HK$181.6 million compared to the previous period[18] - The Group's total comprehensive loss of HK$181,601,000 for the six months ended 30 September 2021, compared to a loss of HK$247,885,000 in the same period of 2020, representing a 26.7% improvement year-over-year[122] Liquidity and Financial Position - As of September 30, 2021, the cash and bank balances stood at HK$286.4 million[6] - The current ratio was reported at 1.7 times, indicating a stable liquidity position[6] - The gearing ratio was low at 1.6%, reflecting a solid financial position[6] - The current ratio decreased to 0.4, down from 1.7 in the previous year[15] - The gearing ratio was reported at 1.6%, indicating a slight increase from 3.5% in the previous year[14] - The Group's cash and bank balances amounted to HK$286.4 million, down from HK$593.6 million in the previous period[19] - The Group's cash flows from operating activities showed a net cash outflow of HK$16,598,000, contrasting with a net cash inflow of HK$296,242,000 in the prior year[116] Retail Operations - The number of retail outlets for continuing operations increased to 233, up from 231 in the previous year[16] - The total gross retail area for continuing operations was 450,000 thousand sq. ft.[16] - Retail and wholesale turnover in Hong Kong and Macau SARs rose by 26.9% to HK$1,086.1 million[18] - Same-store sales in Hong Kong and Macau SARs increased by 32.4% year-on-year, while retail sales rose by 28.8% during the reporting period[35] - The number of retail stores decreased by 15 compared to the same period last year, with 10 closures in Hong Kong SAR, primarily in tourist districts[38] Online Business and E-commerce - Sa Sa is actively integrating its physical and online business to enhance the O2O customer experience[3] - The Group's online business turnover reached HK$307.4 million, an increase of 65.2% year on year, contributing 19.2% to total turnover[45] - Online business sales in Hong Kong SAR increased by 41.1% year-on-year to HK$58.4 million, reflecting a shift in consumer purchasing behavior[38] - The Group's online business saw a year-on-year growth of 108.8% in the first quarter, driven by the "618 Shopping Festival"[46] - The Group is focusing on expanding its online business, particularly in social commerce, to adapt to changing consumer habits[89] Cost Management and Efficiency - Fixed costs for office and shops in Hong Kong and Macau decreased by approximately 18.3% compared to the previous period[19] - The Group implemented cost reduction measures, resulting in a 28.0% decrease in retail store and office expenses compared to the previous period[51] - The Group has implemented stringent cost control measures and diversified reform strategies to optimize its cost structure and expand its revenue base[88] - Rental savings from shop closures and renewals amounted to HK$77.2 million (43.5%), while other fixed overheads in retail stores decreased by HK$16.7 million (10.2%) in the first half[39] Market and Strategic Outlook - Future strategies include expanding e-commerce platforms and enhancing product offerings to adapt to the new retail era[3] - The Group strategically invested in online and Mainland China retail businesses to enhance resilience and growth potential post-pandemic[19] - The Group expects sales performance in Macau SAR to continue fluctuating based on the pandemic situation[33] - Sa Sa plans to increase the proportion of revenue from markets outside Hong Kong and Macau to over 50%[56] Shareholder Information - The Group's total issued shares were primarily owned by three entities, with Sunrise Height Incorporated holding 48.56%[120] - The Group did not declare any interim dividend for the six months ended 30 September 2021, consistent with the previous year where no dividend was paid[167] - The number of issued and fully paid shares remained at 3,103,189,458 as of 30 September 2021[192] Risk Management - The Group's financial risk exposure includes foreign exchange risk, credit risk, liquidity risk, and interest rate risk, with no material changes in risk profile since year-end[134] - The Group anticipates continued challenges in the retail sector due to external uncertainties but is committed to building resilience and mitigating risks[90]

Financial Performance - Revenue for the year ended March 31, 2021, was HKD 3,043.0 million, with a gross profit margin of 34.6%[7] - The company reported a loss of HKD 359.3 million for the year, an improvement from a loss of HKD 475.1 million in the previous year[7] - Revenue from continuing operations for 2021 was HKD 3,043.0 million, a decrease of 46.8% compared to HKD 5,717.3 million in 2020[83] - Gross profit for continuing operations in 2021 was HKD 1,051.8 million, resulting in a gross margin of 34.6%, down from 36.4% in 2020[83] - The net loss for continuing operations in 2021 was HKD 359.3 million, compared to a loss of HKD 475.1 million in 2020, indicating an improvement[90] - Total assets decreased to HKD 2,510.9 million in 2021 from HKD 3,267.2 million in 2020, reflecting a decline of 23.2%[84] - Total liabilities decreased to HKD 1,180.7 million in 2021 from HKD 1,602.9 million in 2020, a reduction of 26.2%[84] - Net assets for 2021 were HKD 1,330.1 million, down from HKD 1,664.3 million in 2020, representing a decrease of 20.1%[84] - The company reported a compound annual growth rate (CAGR) of 3.9% in revenue over the past ten years[86] - The gross profit margin for the year 2021 was the lowest in the past decade, reflecting ongoing challenges in the market[88] - The company’s equity totalled HKD 1,330.1 million in 2021, with share capital remaining stable at HKD 310.3 million[84] - The group recorded a loss of HKD 351.4 million, compared to a loss of HKD 204.6 million in the previous year[100] - Basic loss per share was HKD 11.3 cents, an improvement from HKD 16.7 cents in 2020[100] - The group recorded a loss of HKD 352.9 million for the year, an improvement from a loss of HKD 413.6 million the previous year, with a 52.1% reduction in losses in the second half[142] Market Performance - Online business contributed 16.5% to total sales, while Hong Kong and Macau accounted for 65.7%[10] - Retail sales in Mainland China increased by 15.9%, while Hong Kong and Macau saw a significant increase of 58.1%[11] - The group’s online business accounted for 16.5% of total revenue in 2021[131] - In mainland China, retail sales rose by 30.7%, with same-store sales up by 6.7%[172] - The sales contribution from Macau increased from 12.6% in Q1 to 37.1% in Q4, driven by the recovery of mainland Chinese tourists[1] - Retail and wholesale sales in Hong Kong and Macau fell by 57.8% to HKD 1,999.8 million[124] - Same-store sales in the Hong Kong and Macau market decreased by 54.4%, while retail sales fell by 58.1%, representing a 72.6% decline compared to the 2018/19 fiscal year[142] Online Business Development - The company aims to enhance its digital marketing efforts to capitalize on the rapid growth of online shopping[12] - Future strategies include integrating online and offline operations to create a seamless shopping experience for customers[18] - Online business transactions reached 10.4 million, with 1.5 million from third-party platforms and social media in the fiscal year 2020/21[36] - The online business has turned profitable, with a focus on enhancing the integration of retail and online teams to maximize O2O potential[113] - Online business revenue reached a historic high, with a year-on-year growth of 80.5% in the second half, resulting in the online segment turning profitable for the year[107] - The O2O (Online to Offline) business model showed the fastest growth among all online channels, highlighting its strong potential in the new retail development[107] - Online sales in the second half of the year grew by 80.5% year-on-year, with third-party platform sales increasing by 63.8% in Q3 and 116.5% in Q4 due to shopping festivals[152] Strategic Initiatives - The company aims to enhance customer satisfaction and loyalty through a new retail model that integrates online and offline operations[49] - The strategy includes utilizing big data to understand customer shopping patterns and improve personalized shopping experiences[53] - The company is focused on supply chain automation and digitalizing operational processes to enhance inventory management and overall efficiency[58] - The company plans to leverage big data and retail technology to analyze business and product trends[21] - The group aims to increase the proportion of revenue from markets outside Hong Kong and Macau from approximately 35% to over 50% in the long term[111] - The group is targeting key cities in mainland China, particularly in the Greater Bay Area, for market expansion[112] - The group plans to accelerate the development of markets outside Hong Kong and Macau, aiming to increase the revenue contribution from these markets from 35% to over 50%[161] Store Network and Operations - The company operates 232 sales points across its markets as of March 31, 2021[11] - The total number of retail stores decreased to 232 from 235 in the previous year[97] - The total retail area for continuing operations was 458,000 square feet, down from 477,000 square feet in the previous year[97] - The total number of stores in Hong Kong and Macau decreased from 118 to 100, with a focus on closing overlapping stores in tourist areas, saving approximately HKD 238.4 million in rental expenses[104] - The group plans to close approximately 15 to 20 stores in the future to streamline its store network and reduce costs[145] - The group opened 17 new stores during the fiscal year, focusing on key urban areas, with a net loss reduced to HKD 12.7 million[156] Financial Management - The cash and bank balance stood at HKD 526.4 million, indicating a stable financial position[7] - The leverage ratio, defined as total borrowings to total equity, reflects the company's prudent financial management[7] - The group maintained a strong financial position with cash and bank balances totaling HKD 526.4 million and working capital of HKD 731.6 million as of March 31, 2021[175] - The group had no bank borrowings and maintained a leverage ratio of zero as of March 31, 2021[177] - The company is committed to cost control measures to improve profitability and reduce short-term losses amid the challenges posed by the COVID-19 pandemic[183] Corporate Social Responsibility - The establishment of the "Sa Sa Charity Fund" demonstrates the company's commitment to corporate social responsibility[63] - The group received HKD 112.4 million in government subsidies under the "Employment Support Scheme" to cover employee wages[147] - The company has been actively involved in charitable activities, with Dr. Guo serving in various leadership roles in multiple organizations since 2009[195] Leadership and Governance - Dr. Guo is a major shareholder of Sunrise Height Incorporated and Green Ravine Limited, each holding 50% equity in these companies[196] - Dr. Guo has over 40 years of experience in marketing and promoting cosmetics, leading the group's marketing and operational management[193] - The company has a commitment to corporate governance, with Dr. Guo serving on various committees including the Executive Committee and the Risk Management Committee[193] - The company is led by a team with extensive experience, including Dr. Lu, who has over 35 years of financial and management experience[199]