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]

Financial Performance - The turnover for continuing operations was HK$1,286.1 million, representing a year-on-year change of 62.1%[8] - Gross profit reached HK$418.9 million, with a year-on-year increase of 67.3%[8] - Loss before store impairments was HK$201.8 million, equating to a basic loss per share of 6.5 HK cents[8] - Total revenue from continuing operations for the period was HKD 1,286,128, a decrease from HKD 3,394,664 in the previous period[12] - Gross profit margin for continuing operations was 32.6%, down from 37.7% in the previous period[12] - Operating loss for continuing operations was HKD 286,044, compared to a profit of HKD 22,180 in the previous period[12] - Basic loss per share from continuing operations was HKD (8.0), compared to HKD (0.8) in the previous period[12] - The profit margin for continuing operations was -19.3%, compared to -0.7% in the previous period[12] - The Group incurred a loss of HK$242.0 million for the period, compared to a loss of HK$36.5 million in the previous period[18] - The total comprehensive loss attributable to owners of the company was HK$232,661,000, compared to HK$48,155,000 in the prior period, indicating worsening financial health[108] Cash and Liquidity - The cash and bank balances stood at HK$593.6 million, with a current ratio of 1.8[9] - Net cash generated from operating activities was HK$296,242, an increase from HK$132,046 in the previous period[12] - Cash and cash equivalents at the end of the period were HK$572,394,000, up from HK$548,709,000[117] - The Group maintained a strong financial position with cash and bank balances of HK$593.6 million and working capital of HK$777.5 million[92] - The Group has adequate liquidity and financial resources to meet its financial obligations and working capital requirements for the next twelve months[130] E-commerce and Digital Strategy - The company is focusing on integrating physical and e-commerce operations to enhance the customer experience in the new retail era[5] - The company is actively expanding its e-commerce platforms to serve customers in over 100 countries[5] - The company aims to provide a seamless online-to-offline (O2O) shopping experience for its customers[5] - E-commerce turnover increased by 9.5% year-on-year to HK$186.1 million, with O2O sales contributing HK$37.5 million, accounting for 20.2% of e-commerce turnover[58] - The Group has intensified efforts in e-commerce development and integrated O2O operations, achieving promising results[51] - The Group is focusing on expanding its e-commerce sales channels and leveraging social commerce to improve customer loyalty and sales[80] Market and Sales Performance - Revenue distribution: Hong Kong & Macau SARs contributed 66.6%, E-commerce 14.4%, Malaysia 9.9%, and Mainland China 9.1%[11] - Retail and wholesale sales in Hong Kong and Macau SARs decreased by 70.4% to HK$856.0 million[18] - Retail sales in Hong Kong SAR decreased by 24.7% year-on-year in 2020, with medicines and cosmetics sales dropping by 54.9% from April to September[23] - In Mainland China, retail sales declined by 7.2% from January to September 2020, while cosmetics sales increased by 4.5% in the same period[23] - Retail sales in Hong Kong SAR fell by 68.4% year-on-year to HK$670.6 million during the second quarter[37] - In Macau SAR, retail sales dropped by 78.0% year-on-year to HK$151.6 million, with tourist sales plunging by 98.2%[39] Operational Challenges and Responses - The Group recognized the urgency of workflow automation and sped up digitalization efforts to improve operational efficiency and financial returns[21] - The pandemic has catalyzed changes in consumer behavior, prompting the Group to integrate online and offline operations to enhance customer shopping experiences[21] - The Group implemented strict health measures, including mandatory temperature checks and mask-wearing for both employees and customers, to ensure safety during the pandemic[20] - The Group accelerated the development of online channels and home delivery services to mitigate the impact of COVID-19, enhancing local online business growth[21] - The Group has implemented aggressive cost control strategies to reduce losses amid challenges posed by COVID-19[97] Store Network and Retail Environment - The number of retail outlets for continuing operations decreased from 244 to 231 as of 30 September 2020[18] - The total gross retail area for continuing operations was 459,000 square feet as of 30 September 2020[18] - The retail store vacancy rate in Hong Kong SAR reached nearly 13%, with over 4,000 street shops vacant, reflecting a challenging business environment[37] - The Group's store network in Hong Kong and Macau decreased from 118 stores as of September 30, 2019, to 106 stores by September 30, 2020, with 6 closures during the period[28] Government and Economic Impact - The Hong Kong SAR government revised down the economic growth forecast for 2020 to between -6% and -8%, indicating a challenging market environment[64] - The Macau SAR government implemented consumption subsidy schemes to stimulate local consumption amid the pandemic[42] - The unemployment rate in consumption and tourism-related sectors in Hong Kong SAR reached 11.7% during the period of July to September[37] Future Outlook and Strategic Plans - The Group aims to achieve a profit turnaround by adapting its business strategies and enhancing its e-commerce operations, recognizing the fundamental changes in consumer behavior due to the pandemic[70] - The Group plans to enhance its digital marketing strategy, leveraging live broadcasts and promotional channels to attract more customers and strengthen loyalty through VIP and customer relationship management systems[69] - The Group will actively seize business opportunities during the Christmas and Chinese New Year shopping periods to drive sales recovery in Macau SAR[66] - The Group plans to reduce overall operating costs by rationalizing its store network and seeking rental relief, particularly in tourist areas of Hong Kong SAR[72]

Financial Performance - For the fiscal year ending March 31, 2020, the total revenue was HKD 5,717.3 million, with a gross profit of HKD 2,082.5 million, resulting in a gross margin of 36.4%[6]. - The total revenue for the year 2020 was HKD 5,970.5 million, a decrease from HKD 8,389.2 million in 2019, reflecting a decline of approximately 29.5%[106]. - The gross profit for continuing operations in 2020 was HKD 2,082.5 million, down from HKD 3,316.6 million in 2019, resulting in a gross margin of 36.4%[106]. - The net loss for continuing operations in 2020 was HKD 475.1 million, compared to a profit of HKD 490.9 million in 2019, indicating a significant shift in profitability[106]. - Total assets decreased to HKD 3,267.2 million in 2020 from HKD 3,406.5 million in 2019, a reduction of approximately 4.1%[106]. - Total liabilities increased to HKD 1,602.9 million in 2020 from HKD 919.9 million in 2019, representing a rise of approximately 74.3%[106]. - The company reported a net asset value of HKD 1,664.3 million in 2020, down from HKD 2,486.6 million in 2019, a decline of about 33.1%[106]. - The company reported a net loss of HKD 475.1 million for the year, with a net profit margin of 11.6%[8]. - The basic loss per share was HKD 0.167, a decline from a basic earnings per share of HKD 0.154 in 2019[125]. - The group recorded a loss of HKD 515.9 million, compared to a profit of HKD 470.8 million in the previous year[149]. - The group did not recommend a final dividend for the fiscal year due to the challenging market environment[149]. Retail Performance - Retail sales growth in Malaysia was 34.6%, while retail sales in mainland China grew by 12.1%[8]. - The retail sales distribution shows that 82.9% of revenue comes from Hong Kong and Macau, 6.8% from Malaysia, and 4.3% from mainland China[11]. - Retail sales in Hong Kong decreased by 24.8% in the first half of the fiscal year, while Macau experienced a 3.6% increase due to a shift in consumer spending[127]. - Retail and wholesale sales in Hong Kong and Macau fell by 33.2% to HKD 4,739.4 million[149]. - Retail sales in Hong Kong and Macau decreased by 34.6% for the fiscal year, with same-store sales down 33.8%[170]. - Sales from mainland Chinese tourists in Hong Kong and Macau dropped by 97.4% year-on-year in February 2020, significantly impacting overall sales performance[128]. - Same-store sales in mainland China showed encouraging double-digit growth in the first three quarters, but were negatively impacted in the fourth quarter due to store closures[133]. - The overall sales growth in Malaysia was narrowed to 3.6% due to the impact of COVID-19 and the implementation of movement control orders[135]. E-commerce and Digital Strategy - E-commerce contributed 6.0% to total revenue, with approximately 1 million transactions recorded in the fiscal year 2019/20[24]. - Sasa's e-commerce platforms include its own website, mobile app, and third-party platforms such as JD.com and Tmall, expanding its market reach[30]. - The company is enhancing its online presence and integrating online and offline operations to improve customer experience and operational efficiency[132]. - The group launched an online shopping delivery service in March to stimulate sales activities amid the pandemic[135]. - The company is exploring opportunities on third-party platforms, with approximately 90% of its e-commerce sales currently relying on Chinese consumers[140]. - The company closed its own website and mobile app in mainland China, redirecting customers to the WeChat mini-program, which was launched in October 2019[183]. - The company aims to enhance its online and offline strategy, with a significant emphasis on third-party platforms, which account for approximately 90% of e-commerce sales in mainland China[199]. - The COVID-19 pandemic has accelerated the expansion of e-commerce, with the group investing more in digital transformation and online elements[192]. Strategic Initiatives - The company aims to enhance customer experience by integrating physical stores with e-commerce platforms, providing a seamless shopping experience[3]. - The company plans to leverage big data and new technologies to better understand customer preferences and improve service delivery[41]. - The company is committed to sustainable growth and creating long-term value for stakeholders, focusing on maximizing shareholder returns and enhancing employee opportunities[21]. - The company is exploring potential mergers and acquisitions to strengthen its market position and expand its reach[109]. - The company plans to enhance its product offerings through new product development and technology advancements[109]. - The company is strategically managing costs and operational capital to navigate the challenging economic environment in Hong Kong[136]. - The group aims to strictly control costs and improve cash flow while adjusting business strategies to prepare for economic recovery[190]. Product and Brand Development - The product offering includes over 18,000 types of beauty products from 700 international brands, with more than 180 being exclusive or self-owned brands[26]. - Sasa's exclusive product line Eleanor was launched in Hong Kong, with its first dedicated store opening in Causeway Bay[75]. - The company shifted its product focus to personal protective products in response to market demand during the pandemic, including sourcing surgical masks and hand sanitizers[131]. - The company aims to diversify its customer base by focusing on local Malaysian consumers and expanding its product offerings in skincare, perfumes, and health products[135]. - The company aims to improve overall gross margin by maintaining the sales proportion of its own brands and enhancing their profitability through brand activities[198]. Corporate Social Responsibility and Recognition - The company has been recognized for its corporate governance, receiving the "Outstanding Investor Relations Certificate" at the 2019 Greater China Awards[82]. - Sasa was awarded the "Best Employer Brand" by LinkedIn in 2019, highlighting its effective brand strategy and employee engagement[87]. - The group has been a component of the Hang Seng Sustainable Development Index since 2011, reflecting its commitment to sustainability[95]. - The group emphasizes its commitment to corporate social responsibility, pledging to give back to the community as part of its operational principles[143].

Financial Performance - For the six months ended September 30, 2019, turnover from continuing operations was HK$3,494.1 million, representing a year-on-year change of 15.7%[7] - Gross profit for the same period was HK$1,328.6 million, with a year-on-year change of 20.4%[7] - The company reported a loss for the period of HK$36.5 million, which, excluding the impact of HKFRS16, was HK$34.9 million[7] - Basic loss per share was 1.2 HK cents[7] - Total revenue from continuing operations was HK$3,494,127, a decrease from HK$4,147,220 in the previous period, representing a decline of approximately 15.8%[10] - Operating loss for continuing operations was HK$34,470, a significant decline from a profit of HK$234,798 in the previous period[10] - Basic loss per share for continuing operations was HK$1.2, down from earnings of HK$6.7 in the previous period, reflecting a substantial decrease in profitability[12] - The Group reported a loss of HK$36.5 million for the period, compared to a profit of HK$202.9 million in the same period last year[16] - Total comprehensive loss for the period attributable to owners was HK$48,155, compared to a comprehensive income of HK$174,753 in 2018[116] Retail Sales and Market Performance - As of September 30, 2019, the total number of points of sale was 265, with retail sales growth in Mainland China at 0.2%[8] - Retail sales growth in Hong Kong and Macau was 19.4%, while Malaysia saw a growth of 8.2%[8] - Retail sales in Hong Kong and Macau decreased by 19.4% from HK$3,489.9 million to HK$2,813.9 million[16] - The number of transactions from Mainland tourists in Hong Kong fell by 51.2% year-on-year from July to September 2019, contributing to an overall retail sales decline of 35.4% in Hong Kong[31] - Retail sales in the second quarter of Hong Kong and Macau markets declined by 24.2%, primarily due to a decrease in tourist arrivals[30] - The Hong Kong Retail Management Association revised its forecast for total retail sales value from single-digit growth to a double-digit decline for the whole year of 2019[29] E-commerce and Digital Initiatives - E-commerce contributed 4.9% to the total sales mix, with Hong Kong and Macau accounting for 82.7%[8] - The Group's e-commerce business turnover decreased by 8.2% to HK$170.0 million, with over 90% of revenue generated from Mainland China consumers[45] - Third-party platforms reported a 15.1% sales growth year-on-year, accounting for more than 67% of sales in the e-commerce segment[45] - A new VIP membership system was launched, lowering the entrance level to acquire new members and boost sales, with improved conversion rates[43] - The WeChat mini-programme was piloted to enhance customer interaction and sales without requiring physical store visits[42] Cost Management and Operational Efficiency - The company is implementing stringent cost management measures, including natural attrition to control headcount[41] - The Group aims to improve operational and cost effectiveness through stringent cost controls and rental cost reductions[89] - The Group plans to rationalize unprofitable non-core businesses to focus resources on core businesses with higher growth potential[90] - The logistics expense to sales ratio improved to 9.4% from 12.9% in the previous year, with delivery time reduced from 6.0 days to 5.6 days[45] Asset and Equity Management - Total assets increased to HK$4,586,829, up from HK$3,708,890, indicating growth in the company's asset base[11] - Net assets stood at HK$2,416,943, a decrease from HK$2,654,845 in the previous period, showing a decline in shareholder equity[11] - The company maintained a total equity of HK$2,416,943, compared to HK$2,654,845 previously, reflecting a decrease in overall equity[11] - Total equity as of September 30, 2019, is HK$2,416,943,000, a decrease from HK$2,486,608,000 as of April 1, 2019, representing a decline of approximately 2.8%[123] Strategic Focus and Future Plans - The company is focusing on new product development and market expansion strategies to drive future growth[10] - Sa Sa aims to restore profitability and deliver long-term value through agility and responsiveness in the new retail era[94] - The Group recognizes the need to accelerate store network expansion in Mainland China, particularly in Southern China, due to uncertainty over the recovery of tourist arrivals in Hong Kong[64] - Continuous efforts will be made to enhance the product portfolio in Mainland China by speeding up the rollout of trendy and new products to attract foot traffic[64] Economic and Market Conditions - Hong Kong's GDP showed negative growth of 0.5% and 3.2% in the second and third quarters respectively, indicating a technical recession[49] - The combined unemployment rate in the retail, accommodation, and food services sector in Hong Kong was 4.9%, significantly higher than the overall unemployment rate of 2.9%[49] - The Hong Kong Government announced a new round of HK$2 billion economic stimulus to support hard-hit sectors including retail and tourism[50] Financial Reporting and Compliance - The interim financial information was prepared in accordance with Hong Kong Accounting Standard 34, "Interim Financial Reporting"[132] - The Group adopted HKFRS 16 "Leases" on April 1, 2019, recognizing lease liabilities of HK$1,671,119,000, with current lease liabilities at HK$687,427,000 and non-current lease liabilities at HK$983,692,000[146][148] - The financial report was approved by the Board on November 21, 2019[133]

Financial Performance - For the fiscal year ending March 31, 2019, the revenue from continuing operations was HKD 8,375.9 million, representing a year-on-year increase of 4.5%[11] - The net profit from continuing operations was HKD 472.1 million, reflecting a year-on-year growth of 1.5%[11] - The basic earnings per share, including discontinued operations, was HKD 15.4, which is a 5.2% increase compared to the previous year[11] - The total revenue for the year 2019 was HKD 8,375.9 million, representing an increase from HKD 8,017.6 million in 2018, which is a growth of 4.5%[129] - The gross profit for continuing operations in 2019 was HKD 3,417.8 million, with a gross margin of 40.8%, down from 42.1% in 2018[129] - Operating profit for continuing operations was HKD 542.8 million in 2019, slightly decreased from HKD 548.8 million in 2018[129] - The net profit for continuing operations was HKD 472.1 million, with a net profit margin of 5.6%, compared to 5.8% in the previous year[129] - The group's profit for the year was HKD 470.8 million, a 7.0% increase from HKD 440.1 million in the previous fiscal year[176] - Profit from continuing operations rose by 1.5% to HKD 472.1 million, excluding losses from discontinued operations in Taiwan[176] Dividend and Shareholder Returns - The company declared a total annual dividend of HKD 16.0 per share, up from HKD 14.5 in the previous year, with a payout ratio of approximately 105%[11] - The total dividend for the fiscal year was HKD 16.0 cents per share, up from HKD 14.5 cents in the previous year[151] - The company maintained a payout ratio of 105.2% for the fiscal year[150] - Basic earnings per share increased to HKD 0.154 from HKD 0.146[176] - The board proposed a final dividend of HKD 0.090 per share, down from HKD 0.110 in the previous year, resulting in a total annual dividend of HKD 0.160[176] Retail Operations and Expansion - The total number of retail points reached 274, with retail sales growth of 1.9% in Hong Kong and Macau, 4.8% in Malaysia, and 4.1% in Singapore[15] - The number of retail stores increased from 265 to 274 during the fiscal year[150] - The total retail area for continuing operations was 548,000 square feet[145] - The total number of retail stores in mainland China has reached 54, with new openings in cities like Zhuhai, Dongguan, Jiangmen, and Huizhou[157] - The retail network in Malaysia is expanding rapidly, despite challenges from fluctuating consumption tax policies[158] - The group plans to strategically open new stores in Hong Kong and Macau based on demographic changes and tourist traffic patterns[161] E-commerce and Digital Strategy - The distribution of revenue by region showed that Hong Kong and Macau accounted for 84.7% of total revenue, while e-commerce contributed 4.7%[17] - Sasa International Holdings Limited reported a significant increase in online sales, with a 35% year-over-year growth in e-commerce revenue[85] - The company is actively integrating physical stores and e-commerce to enhance the customer shopping experience in the new retail era[3] - The company is integrating physical stores with e-commerce to create a seamless shopping experience, leveraging big data and new technologies to enhance customer interaction and satisfaction[45] - The group is focusing on e-commerce growth, developing a new order management system and collaborating with various e-commerce platforms to expand its customer base[157] - Sasa.com launched a mobile application in the Chinese market, aiming to improve customer engagement and shopping experience[86] - The group established strategic partnerships with Tencent and JD.com to expand its digital presence and reach[85] Customer Experience and Engagement - The company aims to enhance its logistics system through automation, improving daily goods handling capacity and reducing delivery times to customers[57] - The company is focusing on personalized shopping experiences by utilizing big data to understand customer purchasing patterns and preferences[63] - The group has integrated customer data from physical stores in Hong Kong, Macau, and mainland China into a centralized CRM system, enhancing customer relationship management[154] - The group plans to launch a new POS system by the end of the fiscal year 2020, aimed at improving payment speed and customer experience[154] - The company achieved a 20% increase in customer interactions through its new beauty service initiatives[89] Awards and Recognition - Sasa International Holdings Limited was awarded multiple accolades, including the "Best Investor Relations Company" in the small-cap category[96] - Sasa International Holdings Limited received eight awards from the Hong Kong Retail Management Association in 2018, including the "Mystery Shopper Program" and "Outstanding Service Award" [109] - Sasa was recognized as the "Traveler's Choice" in the 2019 Hong Kong Service Awards, marking the 11th time the group has received accolades in this event [110] - The group won multiple awards in the "Outstanding Quality Merchant and Employee Service Awards 2019" organized by the Hong Kong Tourism Board, including the "Excellence Award" for La Colline specialty store [111] - Sasa's La Colline specialty store received the "Outstanding Quality Merchant Gold Award" and "Outstanding Quality Merchant Silver Award" for Sasa Cosmetics in 2019 [112] Sustainability and Social Responsibility - Since 2011, Sasa has been a constituent stock of the Hang Seng Sustainable Development Index and has received recognition for its achievements in sustainability [113] - Sasa has participated in the WWF Hong Kong's "Low Carbon Office Program" for seven years and received a silver label certification for its energy-saving efforts [113] - The group has been awarded the "Caring Company" logo for 14 consecutive years, recognizing its commitment to social responsibility [113] Market Challenges and Future Outlook - The company has identified challenges in network security, technology infrastructure, and talent recruitment as it transitions to a new retail model[60] - The impact of the new e-commerce law and the US-China trade war led to a slowdown in sales growth in the second half of the fiscal year[200] - The group anticipates that the development of the Greater Bay Area will create significant opportunities for market growth in the medium to long term[161] - The company has plans for market expansion and new product development to enhance future growth prospects[132]