Financial Performance - Gross margin decreased by 1.0 percentage points to 73.4% compared to the previous period[5] - Net profit margin was reported at 4.0% for the current period, not applicable for the previous period[5] - Basic earnings per share decreased from 1.0 HKD to (0.7) HKD, not applicable for the current period[5] - For the six months ended September 30, 2024, the company recorded a net loss of approximately HKD 2,500,000, compared to a net profit of approximately HKD 3,500,000 in the same period last year[33] - Revenue decreased by approximately 4.9% to about HKD 82,500,000, down from HKD 86,800,000 in the previous year[41] - The gross profit decreased by approximately 6.2% to about HKD 60,600,000, with a gross margin slightly declining to approximately 73.4% from 74.4% in the previous year[42] - Same-store sales in Hong Kong showed a slight decline of about 3%, compared to a growth of approximately 17% in the previous year[41] - The company reported a loss before tax of HKD 2,470,000 for the six months ended September 30, 2024, compared to a profit of HKD 1,392,000 in the previous year[72] - The company reported a loss attributable to equity holders of HKD 2,470,000 for the six months ended September 30, 2024, compared to a profit of HKD 3,500,000 in the same period of 2023[123] - The basic earnings per share for the six months ended September 30, 2024, was a loss of HKD 0.0067, compared to a profit of HKD 0.0095 in the previous year[123] Operational Metrics - Inventory turnover days improved by 60 days, decreasing from 370 to 310 days[5] - Current ratio increased by 44.0%, rising from 2.5 to 3.6[5] - Quick ratio improved by 86.7%, increasing from 1.5 to 2.8[5] - Total sales area increased by 5.2%, from 43,648 square feet to 45,937 square feet[5] - The company operated 35 self-managed retail stores as of September 30, 2024, an increase from 33 stores as of March 31, 2024[28] - Total revenue for the six months ended September 30, 2024, was HKD 82,535,000, with offline sales contributing HKD 81,249,000 and online sales contributing HKD 1,286,000[99] - Total revenue for the six months ended September 30, 2024, was HKD 86,791,000, compared to HKD 82,535,000 for the same period in 2023, representing a growth of approximately 5.7%[107] - Online sales contributed HKD 1,620,000, an increase from HKD 1,286,000 in the previous year, reflecting a growth of about 26%[107] Cost Management - Operating expenses remained stable, slightly increasing by approximately 0.2% to about HKD 64,500,000 compared to HKD 64,400,000 in the previous year[43] - Rental expenses decreased by approximately 9.1% to about HKD 22,900,000 from HKD 25,200,000 in the previous year[46] - Employee costs slightly increased by about 2.2% to approximately HKD 23,100,000 from HKD 22,600,000 in the previous year, with total employees rising to 174 from 165[47] - Employee benefit expenses for the period were HKD 23,148,000, down from HKD 27,310,000 in the same period of 2023, indicating a reduction in labor costs[116] Cash Flow and Assets - Cash flow from operating activities increased to approximately HKD 36,000,000 from HKD 6,300,000 in the previous year, attributed to a reduction in inventory levels[57] - Total assets decreased to approximately HKD 161,400,000 from HKD 164,000,000 as of March 31, 2024[53] - The group’s cash and cash equivalents were approximately HKD 26,400,000, down from HKD 57,700,000 as of March 31, 2024[54] - The company's net cash and cash equivalents decreased to HKD 26,421,000 from HKD 33,781,000 in the previous year[81] - Total assets as of September 30, 2024, amounted to HKD 231,794,000, while total liabilities were HKD 67,757,000, resulting in a net asset position[1] Strategic Initiatives - The company plans to optimize store layouts and enhance in-store experiences to attract more foot traffic as tourism gradually recovers in Hong Kong[64] - The company aims to expand its e-commerce platform and strengthen the synergy between online and offline sales channels to diversify its customer base[65] - The company continues to focus on expanding its retail presence in Hong Kong and Macau, leveraging both offline and online sales channels[91] - The company is committed to enhancing its product offerings and exploring new market opportunities through strategic initiatives[91] Market Conditions - The retail market in Hong Kong and Macau remains under pressure, with a slow recovery impacting sales performance[29] - The company remains confident in future growth despite the challenges faced in the retail environment[30] - The company anticipates increased consumer spending during the year-end holiday and major shopping seasons due to government initiatives to stimulate tourism and retail[64] Governance and Compliance - The company has maintained compliance with the corporate governance code as per the listing rules as of September 30, 2024[165] - The audit committee, consisting of at least three independent non-executive directors, has reviewed the financial statements for the six months ended September 30, 2024[166] - The company confirms that at least 25% of its issued shares are held by the public as of the report date[169]

Revenue Performance - The group's revenue decreased by approximately 4.9% to about HKD 82,500,000 for the six months ended September 30, 2024, compared to HKD 86,800,000 in the same period of 2023[2] - Total revenue for the six months ended September 30, 2024, was HKD 82,535,000, a decrease of 5% compared to HKD 86,791,000 for the same period in 2023[35] - Retail revenue slightly decreased by approximately 4.9% during the reporting period, amounting to about HKD 82,500,000, down from approximately HKD 86,800,000 in 2023[75] - Sales by business segment showed offline sales at HKD 81.2 million (down 4.7%) and online sales at HKD 1.3 million (down 18.8%) for the same period[2] - Offline sales contributed HKD 81,249,000, while online sales accounted for HKD 1,286,000, indicating a decline in both segments[38] Profitability and Loss - Gross profit decreased by approximately 6.2% to about HKD 60,600,000, with a slight decline in gross margin to approximately 73.4% from 74.4% in 2023[2] - The group recorded a net loss of approximately HKD 2,500,000 for the six months ended September 30, 2024, compared to a net profit of HKD 3,500,000 in 2023[3] - Basic and diluted loss per share was approximately HKD 0.7 cents, compared to earnings of HKD 1.0 cent per share in 2023[4] - Adjusted profit before tax for the group was HKD 11,335,000, down from HKD 14,604,000 in the previous year, reflecting a decrease of approximately 22%[27] - The group reported a pre-tax loss of HKD 2,470,000, reflecting ongoing challenges in the retail environment[27] Assets and Liabilities - Total assets less current liabilities amounted to HKD 192,421,000 as of September 30, 2024, compared to HKD 185,203,000 as of March 31, 2024[11] - Current assets totaled HKD 141,331,000, slightly up from HKD 141,223,000 as of March 31, 2024[11] - Non-current assets totaled HKD 90,114,000, down from HKD 90,571,000 as of March 31, 2024[11] - Total assets as of September 30, 2024, amounted to HKD 231,445,000, slightly down from HKD 231,794,000 as of March 31, 2024[27] - Total liabilities increased to HKD 70,040,000 from HKD 67,757,000, indicating a rise in financial obligations[27] Operational Highlights - The group primarily engages in the design and retail of trendy clothing, bags, and fashion accessories, with significant revenue from its main brands such as "SALAD" and "TOUGH"[13] - The group operated 35 self-managed retail stores as of September 30, 2024, an increase from 33 stores as of March 31, 2024[73] - Same-store sales grew by approximately 1% in the second quarter of 2024 compared to the same period last year, showing a significant recovery from a decline of about 9% in the first quarter[77] - The group faced challenges in the Hong Kong retail market due to slow economic recovery and increased outbound travel, impacting sales performance[74] - The group continues to focus on operational quality and profitability rather than solely pursuing sales performance[78] Future Outlook and Strategies - The group is optimistic about the second half of the year due to government policies aimed at boosting local tourism and store renovations[78] - The group anticipates increased consumer spending during the year-end holidays and major shopping seasons due to the gradual recovery of the tourism industry[102] - The group plans to optimize store layouts and enhance in-store experiences to attract more foot traffic[102] - The company continues to focus on expanding its online distribution channels to capture the potential of online consumption[19] - The group aims to expand its e-commerce platform and strengthen the synergy between online and offline sales channels[104] Financial Management - The group had no bank borrowings as of September 30, 2024, maintaining an asset-liability ratio of zero[93] - The group maintained stable operating expenses, which slightly increased by about 0.2% to approximately HKD 64,500,000, compared to HKD 64,400,000 in 2023[83] - Employee benefit expenses, including director remuneration, decreased to HKD 23,148,000 for the six months ended September 30, 2024, from HKD 22,599,000 in 2023, reflecting a 2.4% increase[42] - The interest expense on lease liabilities for the six months ended September 30, 2024, was HKD 1,813,000, compared to HKD 1,719,000 in 2023, marking a 5.5% increase[40] - The depreciation of property, plant, and equipment for the six months ended September 30, 2024, was HKD 2,775,000, up from HKD 1,557,000 in 2023, showing an increase of 78.1%[42] Shareholder Information - The company did not declare an interim dividend for the six months ended September 30, 2024, and 2023[50] - The board did not declare an interim dividend for the six months ended September 30, 2024, and 2023[106] - The board has established an audit committee consisting of at least three independent non-executive directors as of September 30, 2024[110] - At least 25% of the company's issued shares are held by the public as of the announcement date[111] - The interim results announcement will be published on the Hong Kong Stock Exchange and the company's website[112]

Financial Performance - The group's revenue for the year ending March 31, 2024, decreased by 1.8% to HKD 193,000,000 due to weak consumer sentiment and changes in local spending habits[2]. - For the fiscal year 2023/24, the total revenue was HKD 193.0 million, a decrease of 1.8% compared to HKD 196.6 million in the previous fiscal year[61]. - The net profit for the fiscal year 2023/24 was HKD 142.6 million, resulting in a net profit margin of 73.8%[60]. - Net profit dropped significantly to HKD 1.2 million from HKD 46 million, primarily due to reduced inventory provisions and increased rental expenses[85]. - The group recorded a gain from property sales of HKD 2.6 million for the year, up from HKD 1.5 million in 2023[81]. - The group had no bank borrowings as of March 31, 2024, maintaining a debt-to-asset ratio of zero[88]. - The company did not declare any dividends for the year ending March 31, 2024[161]. Operational Efficiency - The management is committed to improving operational efficiency and cost control to adapt to changing consumer behaviors[5]. - The company is focusing on strategic retail management and cost control to improve operational efficiency moving forward[65]. - The group successfully adjusted rental and employee costs to better align with sales performance[74]. - Cash flow from operating activities decreased by 37.6% to HKD 44.7 million, attributed to rising operating costs[90]. Market Outlook - The group maintains a cautiously optimistic outlook for the retail market in Hong Kong and Macau, anticipating a more pronounced recovery in retail sales as global interest rates decline[5]. - The overall retail atmosphere in Hong Kong remains sluggish, impacting sales performance despite the easing of travel restrictions[73]. Environmental, Social, and Governance (ESG) Initiatives - The company emphasizes the importance of environmental, social, and governance (ESG) strategies for long-term success, with a dedicated team reporting to the board on these matters[8]. - Stakeholder engagement will guide the development of future ESG policies and improvement measures, focusing on key concerns such as plastic use and employee retention[14]. - The company has implemented comprehensive measures to protect personal data, ensuring compliance with applicable laws and regulations[45]. - The company has established a systematic inspection process to monitor product quality, ensuring compliance with environmental and social responsibilities[41]. - The group emphasizes the importance of environmental sustainability and compliance with relevant environmental laws and policies in its operations[156]. Employee Management - As of March 31, 2024, the company has 165 employees in Hong Kong and Macau, a decrease from 183 employees in 2023, representing a reduction of approximately 9.84%[31]. - The employee turnover rate increased to 82% in 2024 from 75% in 2023, indicating a significant rise in employee attrition[32]. - The company provided a total of 1,593 training hours in the review year, down from 1,824 hours in 2023, reflecting a decrease of about 12.66%[35]. - There were no reported workplace injuries during the review year, a significant improvement compared to one injury reported in the previous year, which resulted in 39 lost workdays[34]. Corporate Governance - The board consists of five members, including two executive directors and three independent non-executive directors, ensuring a balanced governance structure[101]. - The company has adopted corporate governance policies to ensure compliance with the Hong Kong Stock Exchange's listing rules, including the appointment of independent non-executive directors[104]. - The board is responsible for risk management and internal control systems, which are reviewed at least annually for effectiveness[130]. - The audit committee reviewed the group's consolidated financial statements and compliance with corporate governance codes[111]. Shareholder Engagement - Regular communication with shareholders and potential investors is maintained to enhance transparency and engagement[142]. - The company has adopted a dividend policy to ensure sustainable business development and provide reasonable returns to shareholders, with factors such as operations, profitability, and overall financial condition considered for dividend declarations[143]. Product and Market Strategy - The group has focused on increasing gross margins by selling more private label products and enhancing brand recognition for "TOUGH" and "SALAD"[3]. - The company plans to enhance its brand assets by focusing on unique and high-quality products, including jackets, handbags, and distressed jeans[5]. - E-commerce is expected to significantly impact the retail sector, with the company aiming to balance physical and digital channels to provide a seamless shopping experience[5]. Inventory and Sales Performance - Same-store sales increased by 11% for the fiscal year, recovering from a decline of 6% in 2023[77]. - The group's offline retail business in Macau saw a strong rebound with same-store sales growth of 49%, compared to a decline of 28% in 2023[74]. - The average inventory turnover days improved to 261 days, a reduction of 28 days compared to 289 days in the previous fiscal year[64].

Financial Performance - The group's revenue decreased by 1.8% to HKD 193,000,000 for the year ended March 31, 2024, compared to HKD 196,600,000 in 2023[2]. - The gross profit decreased by 4.5% to HKD 143,200,000, down from HKD 150,000,000 in 2023[2]. - Basic and diluted earnings per share were HKD 0.3 cents, significantly lower than HKD 12.5 cents in the previous year[2]. - The net profit for the year was HKD 1,200,000, a substantial decrease from HKD 45,967,000 in 2023[2]. - Total revenue for the year ended March 31, 2024, was HKD 192,996,000, a decrease of 1% from HKD 196,618,000 in the previous year[36]. - The company reported a pre-tax profit of HKD 1,373,000, compared to HKD 39,391,000 in the previous year, indicating a significant decline[34]. - The group recorded a net profit of HKD 1,200,000 for the year ending March 31, 2024, compared to HKD 46,000,000 in 2023[51]. - The group recorded a net loss of HKD 1,960,000 from the sale of property, plant, and equipment[35]. - The group’s tax expense for the year was HKD 159,000, compared to a tax credit of HKD 6,576,000 in 2023[44]. - The group did not receive any government subsidies during the fiscal year, compared to HKD 4.2 million in 2023[62]. Sales and Revenue Breakdown - Offline sales were HKD 189,800,000, a slight decline of 1.2% from HKD 192,100,000 in the previous year, with the offline sales ratio decreasing to 74.2% from 76.3%[2]. - Online sales contributed HKD 3,193,000, down 29.6% from HKD 4,532,000 in the previous year[36]. - Same-store sales growth was +11% for the year, recovering from a decline of -6% in the previous year[52]. - The group's total revenue from offline retail decreased by 1.2% to HKD 189,800,000, down from HKD 192,100,000 in 2023[52]. Assets and Liabilities - Total non-current assets increased to HKD 90,571,000 from HKD 76,238,000 in the previous year[5]. - Current assets rose to HKD 141,223,000, compared to HKD 130,649,000 in 2023[5]. - Current liabilities increased to HKD 46,591,000 from HKD 33,018,000 in the previous year[5]. - Total assets amounted to HKD 231,794,000, an increase from HKD 206,887,000 in the previous year[34]. - Total liabilities increased to HKD 67,757,000 from HKD 44,365,000, indicating a rise in financial obligations[34]. - The group reported contingent liabilities of HKD 2.9 million related to bank guarantees for utility and property lease deposits, up from HKD 1.5 million in 2023[72]. Operational Highlights - The group primarily engages in the design and retail of trendy clothing, bags, and fashion accessories[28]. - The group operated 33 physical stores in Hong Kong and Macau as of March 31, 2024, down from 39 stores in 2023[52]. - The group aims to balance physical and digital channels to maintain competitiveness, planning to gradually promote omnichannel retailing[77]. - The group plans to enhance its brand assets by focusing on unique, creative, and high-quality products, particularly jackets, handbags, and distressed jeans[76]. Expenses and Costs - Operating expenses rose by 9.4% to HKD 136 million, up from HKD 124.3 million in 2023[57]. - Rental expenses increased to HKD 53.2 million from HKD 42.9 million in 2023, reflecting the group's efforts to renegotiate lease terms[58]. - Employee benefits expenses, including salaries and other benefits, rose to HKD 51,365,000 from HKD 46,376,000 in the previous year[41]. - Employee costs rose by 6.2% to HKD 47.7 million, while total employees decreased to 165 from 183 in 2023[60]. Financial Reporting and Compliance - The consolidated financial statements include the company and its subsidiaries up to March 31, 2024[8]. - New and revised Hong Kong Financial Reporting Standards effective from April 1, 2023, were adopted without significant impact on the financial performance and position[11]. - The amendments to HKAS 12 clarify that deferred tax assets and liabilities must be recognized for leases, effective from April 1, 2023[15]. - The group did not recognize any deferred tax assets related to lease liabilities as of March 31, 2024, due to the lack of predictable future profits[17]. - The group is not subject to the Pillar Two Model Rules, thus the amendments do not impact the consolidated financial statements[19]. - The revised Hong Kong Financial Reporting Standards are expected to be adopted in the first period after their effective dates, with no significant impact anticipated on the consolidated financial statements[23]. - The group has ceased applying the practical expedient method for accounting related to long service payments, leading to adjustments in service costs and liabilities[26]. Future Outlook - The group anticipates a cautious optimistic outlook for the retail market in Hong Kong and Macau, expecting a recovery in retail sales driven by declining global interest rates[76]. - The group will reassess control over an investee if any of the three control factors change[10]. Governance and Shareholder Information - The board does not recommend the payment of a final dividend for the year ending March 31, 2024[78]. - The company has established an Audit Committee consisting of three independent non-executive directors to oversee financial reporting and internal controls[84]. - The preliminary financial results for the year ending March 31, 2024, are consistent with the audited consolidated financial statements[85]. - There have been no changes in directors or other director information since the publication of the interim report for the six months ending September 30, 2023[87]. - The performance announcement for the year ending March 31, 2024, will be published on the company's website and the Hong Kong Stock Exchange website[88]. - The company expresses gratitude to shareholders, business partners, and customers for their unwavering support over the years[89].

Financial Performance - Gross margin increased to 74.4% from 65.8%, a rise of 8.6 percentage points[3] - Net profit margin decreased to 4.0% from 7.3%, a decline of 3.3 percentage points[3] - Basic earnings per share fell to HKD 1.0 from HKD 1.6, a decrease of 37.5%[3] - As of September 30, 2023, the group recorded a net profit of approximately HKD 3,500,000, a decrease from HKD 5,900,000 in the same period last year[22] - The group's total revenue increased by approximately 8.2% to about HKD 86,800,000, up from HKD 80,200,000 in the previous year[29] - The group reported a net profit attributable to equity holders of HKD 3,500,000, down from HKD 5,869,000 in the previous year, resulting in earnings per share of HKD 1.0[57] - The group reported a pre-tax profit of HKD 5,985,000 for the six months ended September 30, 2023, compared to HKD 16,393,000 in the previous year, indicating a significant decline[82] Store and Operational Metrics - Total number of stores decreased to 33 from 42, a reduction of 9 stores[3] - The number of physical stores decreased from 39 to 33, with 26 in Hong Kong and 7 in Macau as of September 30, 2023[19] - Total floor area decreased to 43,648 square feet from 67,956 square feet, a decline of 35.8%[3] - Same-store sales growth was approximately +17% for the six months ended September 30, 2023, compared to -13% in the previous year[29] - Macau's same-store sales surged approximately +59%, recovering from -43% in the previous year[26] Revenue Breakdown - The group reported total revenue of HKD 86,791,000 for the six months ended September 30, 2023, with offline sales contributing HKD 85,171,000 and online sales contributing HKD 1,620,000[76] - Online sales amounted to approximately HKD 1,600,000, down from HKD 2,000,000 in the previous year, with a segment loss of about HKD 100,000[27] - Online sales contributed HKD 1,620,000, while offline sales were HKD 85,171,000, reflecting a decrease in online sales by 19.8%[78] Cost and Expense Management - Core operating expenses (excluding non-cash write-offs, sale losses, and impairment losses) increased by approximately 8.7% to about HKD 63,600,000[31] - Rental expenses surged by approximately 27.9% to about HKD 25,200,000, reflecting rising rental costs post-border reopening[34] - Employee costs slightly increased by approximately 6.6% to about HKD 22,600,000, aligning with sales growth, while total employees decreased to 152[35] Cash Flow and Assets - Cash flow from operating activities decreased to approximately HKD 6,300,000, down from HKD 22,000,000 in the previous year, mainly due to increased inventory replenishment[48] - The group's net asset value as of September 30, 2023, was approximately HKD 166,000,000, an increase from HKD 162,500,000 as of March 31, 2023[46] - The total assets as of September 30, 2023, amounted to HKD 192,983,000, an increase from HKD 173,869,000 as of March 31, 2023[59] - Cash and cash equivalents decreased to HKD 33,781,000 from HKD 67,809,000 at the end of March 2023, reflecting a net decrease of HKD 34,028,000[63] Financial Ratios - Current ratio decreased to 2.5 from 3.1, a decline of 19.4%[3] - Quick ratio increased to 1.5 from 1.4, an increase of 7.1%[3] - Average return on equity decreased to 4.2% from 7.3%, a decline of 3.1 percentage points[3] Strategic Focus and Outlook - The group aims to focus on operating profitable retail platforms rather than solely pursuing sales performance[26] - The group remains cautiously optimistic about retail performance in the second half of the fiscal year, focusing on enhancing profitability and quality growth rather than large-scale expansion[55] - The group continues to strategically relocate and consolidate retail operations to maintain competitiveness amid rising rental costs[34] Shareholder Information - The company did not declare an interim dividend for the six months ended September 30, 2023, compared to HKD 0.03 per share for the same period in 2022[89] - The company has a significant concentration of ownership, with the top shareholders holding over 49% of the issued share capital[107] - The total number of shares held by major shareholder Dr. Huang Rui Lin is 212,100,000, accounting for 57.73% of the company's issued share capital[107] Compliance and Governance - The company has confirmed compliance with the standards set out in the code of conduct for securities trading by directors as of September 30, 2023[114] - The company maintained compliance with the corporate governance code as per the listing rules during the reporting period[119] - The Audit Committee, consisting of at least three independent non-executive directors, reviewed the accounting principles and practices adopted by the group for the six months ended September 30, 2023[120]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不會就因本公告全 部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 （於開曼群島註冊成立之有限公司） （股份代號：483） 截至二零二三年九月三十日止六個月之 中期業績公告 ➢ 本集團營業額增加約8.2%至約86,800,000港元（二零二二年：80,200,000港元）。 ➢ 按業務分部劃分之銷售如下： 截至 截至 二零二三年 二零二二年 九月三十日 九月三十日 止六個月 止六個月 變動 百萬港元 百萬港元 線下 85.2 78.2 +9.0% 線上 1.6 2.0 -20.0% ...

Financial Performance - The overall net profit of the group decreased due to the lack of significant gains from property sales, but the core offline retail business recorded considerable profitability[5]. - For the fiscal year 2022/23, the company reported a net loss of HKD 172.6 million, compared to a net profit of HKD 99.7 million in the previous fiscal year, reflecting a significant decline in profitability[57]. - The gross profit for the fiscal year 2022/23 was HKD 534.3 million, with a gross margin of 60.2%, down from HKD 725.4 million and a gross margin of 55.8% in the previous year[61]. - Total revenue for the fiscal year 2022/23 was HKD 196.6 million, a decrease of 21.1% from HKD 249.3 million in the fiscal year 2021/22[62]. - The company reported a total dividend payout of HKD 71,639,000 for the fiscal year ending March 31, 2023, with no recommendation for a final dividend[162]. Environmental Sustainability - The group is committed to reducing environmental impact, focusing on issues such as plastic usage, greenhouse gas emissions, and hazardous waste generation[16]. - Nitrogen oxides (NOx) emissions decreased by 41% from 80.10 kg in 2021 to 46.59 kg in 2022[18]. - Sulfur oxides (SOx) emissions reduced from 0.08 kg in 2021 to 0.05 kg in 2022, a decline of 37.5%[18]. - Particulate matter (PM) emissions fell from 7.94 kg in 2021 to 4.62 kg in 2022, representing a 41.5% reduction[18]. - Total greenhouse gas emissions (Scope 1, 2, and 3) decreased from 1,118.59 tons in 2021 to 654.57 tons in 2022, a reduction of approximately 41.5%[19]. Business Strategy - The group plans to focus on developing its own brand and enhancing brand value while utilizing data analytics to better understand customer preferences[7]. - The group aims to optimize its e-commerce platform and provide a seamless shopping experience across physical stores, online, and social media platforms[7]. - The strategy will emphasize balanced retail portfolio development, prioritizing quality and sustainable growth over mere quantitative expansion[6]. - The group plans to strategically open retail stores in more cost-effective locations, taking advantage of improved rental conditions[79]. - The group successfully restructured its business model to capture retail market opportunities through both offline and online channels[75]. Employee Management - The number of employees decreased from 190 in 2022 to 183 in 2023, reflecting a 3.7% reduction[31]. - Total training hours for employees increased to 1,824 hours in 2022 from 1,567 hours in 2021, indicating a focus on employee development[34]. - The company reported zero workplace injuries in the review year, a significant improvement from one injury reported in the previous year[33]. - Employee costs decreased by approximately 27.0% to about HKD 44.9 million for the fiscal year ending March 31, 2023, compared to HKD 61.5 million in the previous year[87]. - The company emphasizes fair recruitment policies to ensure equal opportunities regardless of gender, race, or age[123]. Corporate Governance - The company has adopted a corporate governance policy to ensure that newly appointed directors receive comprehensive training to understand the business and their responsibilities[110]. - The board consists of 6 members, including 3 executive directors and 3 independent non-executive directors[122]. - The company has adopted a diversity policy for the board, considering factors such as gender, age, cultural background, and professional experience in its nominations[121]. - The audit committee is responsible for reviewing the integrity of the group's financial information, including consolidated financial statements and annual reports[116]. - The company has arranged appropriate liability insurance for directors to protect against legal actions arising from corporate activities, with regular reviews to ensure adequacy[110]. Market Trends - The retail environment has shown signs of recovery since the easing of travel restrictions in early 2023, with a notable increase in tourist numbers[79]. - Same-store sales in Hong Kong recorded zero growth for the year, an improvement from a decline of 13% in 2022, aided by government consumption voucher schemes[79]. - Online sales increased by 66.7% to HKD 4.5 million, while offline sales decreased by 22.1% to HKD 192.1 million, indicating a shift in consumer purchasing behavior[62]. - Same-store sales in Macau decreased by approximately 28% for the fiscal year ending March 31, 2023, compared to a decline of 26% in the previous year[80]. - The company plans to focus on expanding its online presence and enhancing digital marketing strategies to drive future growth[62]. Financial Position - As of March 31, 2023, the group's cash and cash equivalents, along with time deposits, totaled approximately HKD 87.5 million, down from HKD 120.2 million in 2022[6]. - The group's net asset value was approximately HKD 162.5 million, a decrease of 13.7% from HKD 188.2 million in 2022[94]. - The current ratio increased to 4.0, up by 29.0% from 3.1 in the previous year, indicating improved liquidity[65]. - The basic earnings per share dropped to HKD 12.5, down by 67.8% from HKD 38.8 in the previous fiscal year[65]. - The group had no borrowings as of March 31, 2023, maintaining a debt-to-asset ratio of zero[95].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示概不會就因本公告 全部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責 任。 Bauhaus International (Holdings) Limited （於開曼群島註冊成立之有限公司） 483 （股份代號： ） 截 至 二 零 二 三 年 三 月 三 十 一 日 止 年 度 之 全 年 業 績 公 告 ➢ 本集團營業額下降約21.1%至約196,600,000港元（二零二二年：249,300,000 港元）。 ➢ 按業務分部劃分之銷售如下： 截至 截至 二零二三年 二零二二年 三月三十一日 三月三十一日 止年度 止年度 變動 百萬港元 百萬港元 線下 192.1 246.6 –22.1% 線上 4.5 2.7 +66.7% ...

Financial Performance - Gross profit margin increased to 65.8%, up by 5.1 percentage points from 60.7%[4] - Net profit margin decreased to 7.3%, down by 21.9 percentage points from 29.2%[4] - Basic earnings per share dropped to 1.6 HKD, a decrease of 82.8% from 9.3 HKD[4] - The group recorded a net profit of approximately HKD 5,900,000, a significant decrease from HKD 34,100,000 in the previous year[17] - The group achieved a net profit of approximately HKD 5,900,000 (2021: HKD 34,100,000), primarily due to a significant decrease in property sale gains and over 50% drop in sales in Macau due to COVID-19[38] - The company reported a profit attributable to equity holders of HK$5,869,000, down from HK$34,065,000 in the previous year, reflecting a decrease of approximately 82.8%[52] - The adjusted profit before tax for the group was HKD 16,106,000, reflecting a decrease compared to the previous period[76] - The group reported a pre-tax profit of HKD 19,675 thousand for the six months ended September 30, 2022, compared to HKD 41,194 thousand in the same period of 2021, indicating a decline of 52.3%[95] Revenue and Sales - The retail business in Hong Kong and Macau saw a revenue decline of approximately 32.2% to about HKD 79,100,000, down from HKD 116,600,000 in the previous year[20] - For the six months ended September 30, 2022, the group's revenue decreased by approximately 31.3% to about HKD 80,200,000 (2021: HKD 116,700,000) with same-store sales growth worsening slightly to about -13% (2021: -11%) due to a reduction in offline retail network and sluggish sales atmosphere, particularly in Macau[27] - Total revenue for the six months ended September 30, 2022, was HK$80,161,000, down from HK$116,747,000 in the same period last year, representing a decrease of approximately 31%[52] - The group reported total revenue of HKD 80,161,000 for the six months ended September 30, 2022, with a significant contribution from the Hong Kong and Macau markets[76] Store Operations - Total number of stores in Hong Kong and Macau decreased to 33, down by 7 stores[4] - Total floor area of stores decreased to 67,956 square feet, a decline of 13.4% from 78,496 square feet[4] - The group reduced its number of self-operated stores from 43 to 42 as of September 30, 2022[16] - The group opened a new flagship store for its brand "SALAD" in Tsim Sha Tsui in September 2022, aiming to capture sales potential post-travel restrictions[21] - The group continues to focus on maintaining a profitable retail portfolio rather than expanding a large sales network[20] - The group has actively sought opportunities to open retail stores in more cost-effective locations[21] Cost Management - Core operating expenses were reduced by approximately 38.2% to about HKD 58,500,000 (2021: HKD 94,600,000) as the group actively restructured lease arrangements and reviewed store performance[32] - Employee costs decreased by approximately 25.4% to about HKD 21,200,000 (2021: HKD 28,400,000), with total employees reduced to 173 (March 31, 2022: 190) accounting for about 69.9% of core operating expenses[33] - Financing costs for the six months ended September 30, 2022, were HKD 499 thousand, significantly lower than HKD 2,233 thousand in the previous year, marking a decrease of 77.7%[91] Assets and Liabilities - As of September 30, 2022, the group's net asset value was approximately HKD 133,400,000 (March 31, 2022: HKD 188,200,000), with non-current assets at about HKD 65,300,000 (March 31, 2022: HKD 75,200,000)[41] - Cash and cash equivalents were approximately HKD 42,900,000 (March 31, 2022: HKD 108,500,000) with total bank financing of about HKD 10,100,000, of which approximately HKD 10,000,000 remained undrawn[42] - The total liabilities of the group were HKD 40,221,000, including tax payables and other undistributed liabilities[76] - The group has no significant capital commitments as of September 30, 2022[122] Dividends and Shareholder Information - The interim dividend declared for the six months ended September 30, 2022, is HKD 0.03 per share, an increase of 20% from HKD 0.025 per share in 2021[109] - The final dividend for the year ended March 31, 2022, was HKD 60,618,000, paid on September 5, 2022, compared to a total of HKD 170,832,000 in the previous year[154] - The record date for the interim dividend is expected to be December 21, 2022, with a suspension of share transfer registration from December 16 to December 21, 2022[154] Strategic Outlook - The company has a cautious optimism regarding retail performance in the second half of the fiscal year, anticipating a recovery in business activities as travel restrictions are expected to ease in Hong Kong and Macau[48] - The company plans to maintain optimal offline operations while developing online and other innovative sales channels to effectively capture target markets[48] Compliance and Governance - The company has maintained compliance with the corporate governance code as per the listing rules throughout the reporting period[156] - The audit committee has reviewed the accounting principles and practices adopted by the group, including the interim financial statements for the six months ended September 30, 2022[158] - All directors have complied with the standard code for securities transactions during the six months ended September 30, 2022[150]

Financial Performance - The group reported cash and cash equivalents of approximately HKD 120.2 million as of March 31, 2022, down from HKD 282.3 million in 2021[5]. - Basic earnings per share increased to 38.8 HKD from 27.1 HKD year-on-year, representing a growth of 43.5%[58]. - The company reported a net profit of 371.9 million HKD, reflecting a significant increase from the previous year's profit[65]. - Revenue for the fiscal year 2021/2022 was HKD 249.3 million, a decrease of 33.0% from HKD 371.9 million in the previous fiscal year[74]. - The group's revenue for the fiscal year ending March 31, 2022, decreased by approximately 33.0% to about HKD 249.3 million, down from HKD 371.9 million in the previous year[90]. - The net profit increased by approximately 43.0% to about HKD 142.6 million, up from HKD 99.7 million in the previous year[90]. - The gross profit margin improved to 64.0% in the latest fiscal year compared to 60.8% in the previous year[67]. - The gross profit for the same period fell by approximately 33.7% to about HKD 159.6 million, with a gross margin of approximately 64.0%, down from 64.7%[100]. - The special dividend payout ratio for the year was 67.9%, indicating a strong return to shareholders[69]. Dividends - The board proposed a final dividend of HKD 0.165 per ordinary share for the fiscal year, distributing a total of HKD 406 million in dividends[5]. - Total dividends declared for the fiscal year reached 80.5 HKD per share, up from 61.0 HKD, marking a 31.1% increase[58]. - Proposed final dividend increased by 175% to HKD 16.5 cents from HKD 6.0 cents in the previous fiscal year[80]. - The company declared a total dividend of HKD 405,953,000 for the fiscal year ending March 31, 2022, with a proposed final dividend of HKD 0.165 per share[178]. - As of March 31, 2022, the company's distributable reserves amounted to HKD 151,456,000, of which HKD 60,618,000 is proposed for the final dividend payment[185]. Environmental Initiatives - The group is committed to environmental protection, closely monitoring fuel usage and emissions from its fleet[19]. - Nitrogen oxide (NOx) emissions decreased from 125.67 kg in 2020/21 to 80.10 kg in 2021/22[20]. - The company's overall greenhouse gas emissions decreased by 30% due to environmentally focused measures and reduction in store numbers[21]. - Scope 1 greenhouse gas emissions from vehicles dropped from 20.69 tons to 13.19 tons, a reduction of approximately 36%[23]. - Scope 2 emissions from purchased electricity decreased from 1,510.00 tons to 1,056.60 tons, representing a reduction of about 30%[23]. - The total greenhouse gas emissions (Scope 1, 2, and 3) decreased from 1,602.79 tons to 1,118.59 tons[23]. - Energy consumption in stores reduced from 1,822,582 kWh to 1,209,771 kWh, a decrease of approximately 34%[28]. - The average energy consumption density for stores decreased from 16.63 kWh/sq ft/year to 15.03 kWh/sq ft/year[28]. - The company generated 21.10 tons of waste paper in 2022, down from 49.70 tons in 2021[23]. - Plastic waste increased from 3.59 tons to 4.44 tons, while paper waste decreased from 10.34 tons to 4.37 tons[32]. - The company relocated its headquarters to a more energy-efficient environment, contributing to a reduced carbon footprint[26]. Operational Changes - The company aims to maintain effective offline operations while expanding online and innovative sales channels to capture target markets[5]. - The focus will be on promoting growth in retail business quality rather than scale expansion[5]. - The group has streamlined its operations and reduced operational leverage, preparing better for future challenges[5]. - The company has implemented a leasing restructuring strategy to alleviate major cost burdens[5]. - The group closed all physical stores in the non-Hong Kong and Macau segment and shifted to online and social media platforms for market entry[95]. - Core operating expenses were reduced by approximately 28.0% to about HKD 188.3 million, compared to HKD 261.7 million in the previous year[101]. Employee and Training Metrics - As of March 31, 2022, the company employed 190 staff members, a decrease from 259 in the previous year[38]. - Total employee count decreased from 259 to 190, representing a reduction of approximately 26.6%[39]. - Employee turnover rate increased from 76% to 87%, indicating a rise in employee attrition[39]. - Training hours for employees decreased from 2,269 hours to 1,567 hours, a decline of about 30.9%[43]. - Average training hours per employee were 8.30 hours for females (65.4% participation) and 8.12 hours for males (56.8% participation)[44]. Governance and Compliance - The board of directors has confirmed the independence of Mr. Mak and Mr. Chu, who have served as independent non-executive directors for over nine years, with no evidence of compromised independence[120]. - The company has arranged appropriate liability insurance for directors to protect against legal actions arising from corporate activities[121]. - The audit committee reviewed the group's consolidated financial statements, interim and annual reports, and the independence of external auditors during the review year[128]. - The company has established three committees: the audit committee, the remuneration committee, and the nomination committee, all composed of independent non-executive directors[127]. - The board ensures that all directors receive relevant training to fulfill their duties effectively[121]. - The company has adopted a corporate governance policy requiring new directors to receive at least 15 hours of tailored training[121]. - The audit committee continuously supervises the internal control system and reviews its effectiveness at least annually, covering all significant control measures including financial, operational, and compliance monitoring[146]. Risk Management - The board is responsible for the risk management and internal control system, which aims to manage risks rather than eliminate them, providing reasonable assurance against material misstatements or losses[144]. - The risk management framework employs a "top-down" approach, with strong oversight from the board, audit committee, and executive directors[149]. - The risk identification process involves assessing the market, competitive environment, and daily operations to identify potential risks that could significantly impact the business[150]. - Identified risks are recorded in a central risk register categorized into five types: reporting, operational, strategic, compliance, and information technology risks[150]. - The internal audit function conducts reviews covering all significant controls to ensure the system can respond to a changing business environment[155]. Shareholder Communication - The company is committed to maintaining transparent communication with investors and shareholders, encouraging attendance at shareholder meetings[163]. - Shareholders can submit written inquiries to the board regarding their concerns, ensuring open lines of communication[170]. - The company will reimburse qualified shareholders for reasonable expenses incurred if the board fails to convene a special general meeting within 21 days of a request[168].