Financial Performance - The Group's revenue for the year 2021/22 was HK$390,446,000, a decrease of 7% from HK$420,475,000 in 2020/21, while the overall profit was HK$30,274,000 compared to a loss of HK$28,651,000 in the previous year[5][10] - The company's revenue for the year ended March 31, 2022, was HK$390,446,000, a decrease of 7% compared to HK$420,475,000 in the previous year[18] - Gross profit decreased by 15% to HK$60,627,000 from HK$71,358,000, resulting in a gross profit margin of 16%, down from 17%[18] - Loss from operations improved by 42% to HK$13,064,000 from HK$22,457,000 in the previous year[18] - Net profit attributable to equity shareholders was HK$30,665,000, a significant turnaround from a loss of HK$27,822,000 the previous year[18] Operational Insights - The core garment business recorded an operational loss of HK$13,064,000, which is 42% better than the previous year's loss of HK$22,457,000[7][11] - The positive results from the Wuxi investment were attributed to favorable cotton and yarn prices and timely adjustments in product mix to meet market demands[8][11] - Manufacturing operations in China performed positively due to a stable production environment, while losses were incurred in Myanmar and Bangladesh, leading to a decision to withdraw investments from those countries[7][11] - The company anticipates a gradual recovery in its core garment business with the opening of U.S. and European markets, although performance from the Wuxi investment is expected to decline due to rising cotton prices affecting gross profit margins[9][12] Market Outlook - The outlook for the coming year remains cautious due to ongoing challenges such as the Covid-19 pandemic, the Russia-Ukraine war, and high inflation rates, with no significant improvement expected in the trading environment[9][12] - The Group anticipates weakening domestic and overseas demand in the coming year due to adverse factors such as rising labor and energy costs[27] Financial Position - The company's cash and bank balances decreased by 12% to HK$235,472,000 from HK$266,085,000[18] - Total assets increased by 6% to HK$1,297,318,000 from HK$1,226,564,000, while total liabilities rose by 12% to HK$127,324,000 from HK$113,181,000[18] - The current ratio decreased by 17% to 4.3 times from 5.2 times[18] - The Group did not have any short-term or long-term borrowings as of March 31, 2022 and 2021[27] Shareholder Information - The Group plans to recommend a final dividend of HK2 cents per ordinary share for the year ended March 31, 2022, totaling HK$4,135,000 if approved by shareholders[69] - The aggregate amount of reserves available for distribution to equity shareholders was HK$286,812,000 as of March 31, 2022[70] - The largest customer accounted for 18% of total sales in 2022, down from 19% in 2021, while the top five customers collectively represented 53% of total sales, an increase from 47% in 2021[79] - The largest supplier contributed 9% to total purchases, a slight decrease from 10% in 2021, with the top five suppliers maintaining a consistent 29% of total purchases[79] Corporate Governance - The Company has complied with the Corporate Governance Code throughout the financial year ended 31 March 2022, except for a deviation regarding the specific term for non-executive directors[126] - The Board comprises six executive directors and three independent non-executive directors, with independent directors representing at least one-third of the Board[128] - The Audit Committee consists of three independent non-executive directors and is responsible for reviewing the financial reporting process and internal controls[121] - The Company is committed to high corporate governance standards, emphasizing transparency, accountability, and independence[125] Risk Management - The Group has implemented proactive measures to monitor changes in global economic conditions and has established risk mitigation strategies[48] - The Risk Management Committee is responsible for overseeing the design and implementation of risk management and internal control systems for the Group[168] - The Group's risk management and internal control systems are designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[185] Employee Engagement - As of March 31, 2022, the Group employed approximately 1,700 employees, with remuneration packages based on performance and market salary levels[52] - The Group encourages employees to participate in charitable activities through its "YGM Volunteer Team," promoting corporate social responsibility[32] Environmental and Social Responsibility - The Group is committed to upholding high environmental standards during manufacturing and material disposal processes[30] - The Group has not identified any material non-compliance or breach of legislation related to product safety[29] - Charitable donations made by the Group during the year amounted to HK$11,000[71] Audit and Compliance - The auditor issued an unqualified letter regarding the Group's continuing connected transactions in accordance with the Hong Kong Listing Rules[113] - The external consultant engaged for internal audit services reviewed the effectiveness of the internal controls system and reported findings to the Audit Committee[187] - The Company has implemented procedures for handling and disseminating inside information to ensure compliance with Listing Rules and statutory obligations[186]

Financial Performance - Revenue for the six months ended September 30, 2021, was HK$161,671,000, a decrease of 26.4% compared to HK$219,650,000 in the same period of 2020[10]. - Gross profit for the period was HK$25,441,000, down from HK$35,955,000, reflecting a gross margin of 15.7%[10]. - The company reported a profit for the period of HK$8,103,000, a significant recovery from a loss of HK$22,808,000 in the previous year[10]. - Earnings per share for the period was HK$0.04, compared to a loss per share of HK$0.11 in the same period last year[10]. - Total comprehensive income for the period was HK$18,974,000, compared to a loss of HK$540,000 in the previous year[16]. - The company reported a profit for the period of $10,686,000 for the six months ended September 30, 2021, compared to a loss of $22,391,000 in the same period of the previous year[30]. - The company’s total comprehensive income for the period was $19,369,000, compared to a total comprehensive loss of $22,808,000 in the previous year[30]. - Profit before taxation for the six months ended 30 September 2021 was $6,891,000, an increase from $5,928,000 in the previous year[72]. - Profit attributable to equity shareholders was HK$8,494,000, a significant turnaround from a loss of HK$22,391,000 in the same period last year[160]. - EBITDA for the period was HK$11,401,000, compared to a loss of HK$17,629,000 in the previous year[160]. Revenue Breakdown - For the six months ended 30 September 2021, the Group's revenue from the manufacture and sale of garments was HK$144,981,000, a decrease of 24.7% compared to HK$192,621,000 in the same period of 2020[46]. - Revenue from the manufacture and sale of textiles was HK$165,000, down 70.5% from HK$55,000,000 in the previous year[46]. - Processing service income for the period was HK$13,502,000, a decrease of 44.4% from HK$24,258,000 in the prior year[46]. - Total revenue for the six months ended 30 September 2021 was HK$161,671,000, a decline of 26.5% compared to HK$219,650,000 in the previous year[46]. - Revenue from external customers for the six months ended September 30, 2021, was HKD 158,648,000, a decrease of 27% from HKD 216,934,000 in 2020[57]. - Revenue from external customers for the six months ended 30 September 2021 was $151,276,000, a decrease of 24.6% compared to $200,801,000 in the same period of 2020[68]. Expenses and Costs - Administrative expenses increased slightly to HK$23,775,000 from HK$23,466,000, indicating stable overhead management[10]. - The company continues to focus on cost management, with selling and distribution expenses at HK$14,903,000, compared to HK$18,508,000 in the previous year[10]. - The company reported a loss from operations of HK$14,757,000, an increase of 59% compared to a loss of HK$9,273,000 in the previous year[160]. - Operational costs in Bangladesh increased significantly due to high inflation and government-mandated wage increases[162]. Assets and Liabilities - Total assets as of September 30, 2021, amounted to $1,171,307,000, an increase from $1,151,846,000 as of March 31, 2021, representing a growth of approximately 1.5%[22]. - Net current assets decreased to $302,388,000 from $316,083,000, reflecting a decline of about 4.3%[22]. - Total equity attributable to equity shareholders increased to $1,134,410,000 from $1,113,383,000, marking a rise of about 1.9%[22]. - The company’s current liabilities increased to $67,283,000 from $53,321,000, which is an increase of approximately 26.2%[22]. - The company’s non-current liabilities rose to $36,897,000 from $38,463,000, showing a decrease of about 4.1%[22]. - Reportable segment liabilities increased to HKD 96,818,000 from HKD 82,536,000 in the previous year[57]. Cash Flow and Investments - Cash and cash equivalents at the end of the period were $261,029,000, down from $274,059,000 at the end of the previous year, indicating a decrease of approximately 4.8%[35]. - The company generated net cash from operating activities of $(393,000) for the six months ended September 30, 2021, compared to $290,000 in the previous year[35]. - The company’s cash used in investing activities was $(1,002,000) for the six months ended September 30, 2021, compared to $(3,092,000) in the previous year, indicating a reduction in cash outflow[35]. - The Group's cash and bank balances were approximately HK$261,029,000, a slight decrease from HK$266,085,000 as of March 31, 2021[168]. - The Group had no short-term or long-term borrowings as of September 30, 2021, maintaining a strong liquidity position[168]. Market Outlook and Strategy - Future outlook includes potential market expansion and new product development strategies to enhance revenue streams[10]. - The company decided to withdraw its investment in Myanmar due to adverse effects from the Covid-19 pandemic and political unrest, while maintaining it as a manufacturing source[163]. - The China operation recorded positive results, benefiting from a stable manufacturing environment that attracted orders back to the factory[164]. - The Group anticipates challenges in profitability for the remainder of the year due to rising cotton prices and unrest in Ethiopia[168]. Shareholder Information - The Board resolved not to declare an interim dividend for the six months ended 30 September 2021, consistent with the previous year[159]. - The Company has been notified of substantial shareholders holding 5% or more of the ordinary shares, including Guangzhou Textiles Industry & Trade Holdings Ltd. with 17,806,000 shares, representing 8.61% of the issued ordinary shares[196]. - No purchases, sales, or redemptions of the Company's listed securities were made by the Company or its subsidiaries during the period ended September 30, 2021[200]. Compliance and Governance - The interim financial report is unaudited but has been reviewed by the Company's Audit Committee, ensuring compliance with relevant accounting standards[41]. - The Group has not applied any new standards or interpretations that are not yet effective for the current accounting period, maintaining consistency in financial reporting[42]. - The financial statements for the year ended 31 March 2021 were unqualified, indicating a clean audit opinion from the auditor[41].

Financial Performance - Revenue for the six months ended September 30, 2019, was HK$290,966,000, a decrease of 8.5% from HK$317,796,000 in the same period of 2018[9] - Gross profit for the period was HK$45,573,000, down from HK$57,692,000, reflecting a gross profit margin decrease[9] - Loss for the period amounted to HK$18,848,000, compared to a profit of HK$977,000 in the previous year[9] - Basic and diluted loss per share was HK$0.09, compared to earnings of HK$0.01 per share in the prior year[9] - Total comprehensive loss for the period was HK$58,133,000, slightly down from HK$58,826,000 in the same period last year[15] - Other comprehensive income for the period was a loss of HK$39,285,000, compared to a loss of HK$57,849,000 in the previous year[15] - The company reported a loss for the period of HK$38,905, compared to a loss of HK$60,172 in the previous period, showing an improvement[28] - Total comprehensive income for the period was a loss of HK$58,576, compared to a loss of HK$56,546 in the previous period, indicating a slight deterioration[28] - The Group reported an adjusted EBITDA loss of HK$8,180,000 for the six months ended September 30, 2019, compared to a profit of HK$5,179,000 in the same period of 2018[113] - Consolidated profit before taxation was a loss of HK$18,200,000, contrasting with a profit of HK$742,000 in the previous year[113] Assets and Liabilities - As of 30 September 2019, total assets less current liabilities amounted to HK$1,188,299, a decrease from HK$1,254,759 as of 31 March 2019, representing a decline of approximately 5.3%[21] - Net current assets were reported at HK$344,039, down from HK$387,317, indicating a decrease of about 11.1%[21] - The company's net assets stood at HK$1,132,194, a reduction from HK$1,214,745, reflecting a decline of approximately 6.8%[21] - Total equity attributable to equity shareholders decreased to HK$1,133,260 from HK$1,216,646, marking a decline of around 6.9%[21] - Current liabilities increased to HK$137,470 from HK$104,351, which is an increase of approximately 31.7%[21] - The Group's total liabilities for the reportable segments rose to $159,336,000 as of 30 September 2019, up from $108,908,000 as of 31 March 2019[106] - Total liabilities increased to HK$163,507,000 as of September 30, 2019, compared to HK$135,628,000 on April 1, 2019, reflecting a rise of about 20.5%[166] Cash Flow - Net cash used in operating activities for the six months ended 30 September 2019 was HK$32,873,000, compared to HK$25,086,000 in 2018, representing a 31% increase[34] - Net cash generated from investing activities was HK$360,000, a decrease of 77% from HK$1,587,000 in the same period of 2018[34] - Net cash used in financing activities amounted to HK$3,411,000, significantly lower than HK$30,147,000 in 2018, indicating a reduction of 89%[34] - Cash and cash equivalents at the end of the period were HK$286,056,000, an increase of 9% from HK$262,503,000 at the end of the same period in 2018[34] - The Group's cash flow from operating activities reflects a significant increase in cash used, indicating potential operational challenges[34] - The substantial reduction in financing activities cash outflow indicates a strategic shift in the Group's financing approach[34] Accounting Policies and Standards - The company has adopted HKFRS 16 from April 1, 2019, which has impacted the financial reporting but does not restate comparative information[10] - The Group has adopted HKFRS 16 from 1 April 2019, which may impact future financial reporting and comparability[22] - The Group has applied HKFRS 16, Leases, starting from April 1, 2019, with no impact on the opening balance of equity[53] - The Group has chosen not to separate non-lease components from lease components for accounting purposes[60] - The Group's accounting policies include critical judgments and estimates regarding lease terms and liabilities[61] - The changes in accounting policies have not had a material effect on the Group's results and financial position for the current or prior periods[53] Revenue Breakdown - Revenue from garment manufacturing and sales for the six months ended 30 September 2019 was $270,509,000, a decrease of 8.67% from $296,108,000 in the same period of 2018[92] - Revenue from textile manufacturing and sales dropped significantly to $397,000 from $2,643,000 year-on-year, reflecting a decline of 85.03%[92] - Total revenue for the Group for the six months ended 30 September 2019 was $287,914,000, down 8.54% from $314,744,000 in the previous year[91] - Revenue from external customers for the six months ended September 30, 2019, was HK$271,492,000, down from HK$301,370,000 in 2018, representing a decrease of approximately 9.9%[119] - Revenue from Hong Kong customers was HK$19,474,000 for the six months ended September 30, 2019, an increase from HK$16,426,000 in 2018[119] - Revenue from the United Kingdom was HK$35,967,000, down from HK$45,286,000 in the previous year, indicating a decline of approximately 20.5%[119] - Revenue from Italy decreased to HK$51,520,000 from HK$60,716,000, reflecting a decline of about 15.5%[119] Equity and Dividends - The Group did not declare any interim dividends for the period, consistent with the previous year[161] - Proposed dividends were not recorded as of September 30, 2019, compared to HK$24,810,000 as of March 31, 2019, indicating a significant change in dividend policy[167] - The Group's total equity as of September 30, 2019, was HK$1,132,194,000, down from HK$1,214,745,000 as of March 31, 2019, reflecting a decrease of about 6.8%[168] Fair Value Measurements - The fair value of unlisted equity securities was reported at HKD 16,906,000, while non-trading listed equity securities were valued at HKD 2,315,000[179] - The Group's financial instruments measured at fair value are categorized into three levels, with no transfers between levels during the reporting periods[188] - The fair value of forward foreign exchange contracts in Level 2 is determined by discounting the contractual forward price based on prevailing market interest rates[189] - The fair value measurement techniques for Level 3 include adjusted net asset value and market comparable approaches[192] - The Group's policy is to recognize transfers between levels of the fair value hierarchy at the end of the reporting period in which they occur[188] - The carrying amounts of the Group's financial instruments at cost or amortized cost are not materially different from their fair values as of September 30, 2019, and March 31, 2019[200]

Financial Performance - The Group's revenue for the year 2018/19 was HK$717,614,000, a decrease of 4% compared to HK$749,280,000 in 2017/18[20][21]. - Overall profit for the year was HK$20,301,000, down 42% from HK$35,043,000 in the previous year[20][21]. - The core garment business generated an operating profit of HK$16,259,000, reflecting a 5% decrease from HK$17,096,000 in the prior year[24]. - Cash generated from operations increased by 112% to HK$41,460,000 from HK$19,533,000[29]. - Capital expenditure on other assets rose significantly by 254% to HK$7,098,000 from HK$2,005,000[29]. - Earnings per share decreased by 39% to $0.11 from $0.18[29]. - Total assets decreased by 2% to HK$1,359,110,000 from HK$1,391,151,000[29]. - Return on shareholders' equity fell to 1.8% from 2.9%, a decline of 1.1 percentage points[29]. - The Group's total reserves available for distribution to equity shareholders as of March 31, 2019, amounted to HK$357,024,000, a decrease from HK$391,737,000 in 2018[25(b)]. - The directors recommended a final dividend of HK$24,810,000 for the year ended March 31, 2019, consistent with the previous year's dividend[25(b)]. Operational Challenges - The operations in China faced challenges due to global trade issues, impacting performance despite an increase in orders[24]. - The Bangladesh factories incurred losses due to changes in import regulations and increased operating expenses[24]. - The garment business faced challenges due to trade wars and increased operating expenses, prompting diversification of production sources to Bangladesh, Myanmar, Vietnam, and Indonesia[31]. - The Bangladesh factories recorded a loss due to increased minimum wage by 51% and high operating expenses, with expectations of continued operational disturbances in 2019/20[31]. - Business in the U.K. and Europe has been slow, with a weak pound and euro complicating trade[26]. Production and Market Strategy - The management plans to diversify production to countries like Vietnam and Indonesia to mitigate risks from the China/U.S. trade war[26]. - The Myanmar factory experienced high demand, contributing positively to profits, with the knit plant achieving full production capacity[24]. - The Wuxi investment's performance was affected by trade wars and rising costs, although the weak Renminbi helped improve profitability[24]. - The Group's principal business activities involve manufacturing and selling garments and textiles to customers in Europe, North America, and Mainland China, which are sensitive to economic conditions and consumer spending[42]. - The Group has implemented proactive measures to monitor global economic changes and has risk mitigation strategies in place[43]. Corporate Governance and Compliance - The Company has established an audit committee to comply with the Code of Best Practice as per the Listing Rules[87]. - The Company has received annual confirmations of independence from all independent non-executive directors, affirming their independence[64]. - The Company has a retirement scheme in place, details of which are provided in the financial statements[86]. - The Company has established a good corporate governance framework and practices, ensuring compliance with legal and regulatory requirements[107]. - The independent non-executive directors have confirmed their independence in accordance with the Listing Rules[104]. Risk Management - The Group has implemented adequate risk mitigation measures to address local, national, and international regulatory changes[49]. - The Group's risk management and internal control systems are designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement[155]. - The Risk Management Committee oversees the design and implementation of risk management and internal control systems[137]. Future Outlook and Strategic Initiatives - The company has outlined a positive outlook for the upcoming fiscal year, projecting a revenue growth of 10% to 15% based on current market trends and consumer demand[170]. - New product lines are being developed, focusing on sustainable materials, with an investment of approximately HKD 50 million allocated for research and development in this area[170]. - The company is exploring market expansion opportunities in Southeast Asia, targeting a 25% increase in market share within the next two years[170]. - A strategic acquisition is planned to enhance the company's supply chain efficiency, with an estimated cost of HKD 200 million for the acquisition process[170]. - The management team emphasized the importance of digital transformation, with a budget of HKD 30 million set aside for upgrading e-commerce platforms and digital marketing strategies[170]. Shareholder Engagement and Dividends - The Company has a Dividend Policy that allows shareholders to participate in profits while retaining adequate reserves for future growth[139]. - Before declaring dividends, the Board considers factors such as financial results, cash flow situation, and future operations[139]. - The board of directors remains committed to maintaining a strong dividend policy, with a proposed dividend of HKD 0.50 per share for the fiscal year[170]. Audit and Financial Reporting - The consolidated financial statements of Yangtzekiang Garment Limited provide a true and fair view of the Group's financial position as of March 31, 2019[196]. - The audit was conducted in accordance with Hong Kong Standards on Auditing, ensuring compliance with ethical responsibilities[198]. - The Group's consolidated financial performance and cash flows for the year ended March 31, 2019, were properly prepared in compliance with Hong Kong Financial Reporting Standards[197]. - The independent auditor's report confirms that the financial statements reflect the Group's financial status accurately[199].