Financial Performance - Revenue decreased by 47.2% to HK$413.33 million, with all markets experiencing declines[28] - Net loss increased by 129.9% to HK$62.05 million, resulting in a net loss margin of -15.0%[8] - Gross profit fell by 67.5% to HK$16.73 million, with gross profit margin decreasing from 6.6% to 4.0%[21][27] - Loss per share rose by 129.6% to HK$18.6[22] - For the year ended 31 March 2023, the Group reported a net loss of HK$62.1 million, worsening from a net loss of HK$27.0 million in 2022, with a net loss margin increasing from 3.4% to 15.0%[34] - Consolidated net loss for the year ended 31 March 2023 was HK$62.1 million, compared to a loss of HK$27.0 million in 2022, with basic loss per share increasing to HK18.6 cents from HK8.1 cents[51] Market Performance - European market sales dropped by 76% to HK$90.20 million, accounting for 22% of total sales[28] - Americas sales decreased by 20% to HK$243.80 million, representing 59% of total sales[28] - Asian market sales fell by 5% to HK$70.00 million, making up 17% of total sales[28] - Sales turnover decreased by 47% to HK$413.3 million, with Europe experiencing the most severe drop of 76% to HK$90.2 million, representing 22% of the Group's sales turnover[53] - Sales turnover to America decreased by 20% to HK$243.8 million, representing 59% of the Group's sales turnover[53] - Sales turnover to Asia decreased by 5% to HK$70.0 million, representing 17% of the Group's sales turnover[53] Expenses and Cost Management - Sales and distribution expenses decreased by 33% to HK$16.30 million, but as a percentage of revenue, it increased to 4.0% from 3.1%[29] - Administrative expenses reduced by 15% to HK$81.50 million, with the percentage of revenue rising to 19.7% from 12.2%[29] - Selling and distribution expenses decreased by 33% to HK$16.3 million, but as a percentage of sales turnover, they increased from 3.1% to 4.0%[54] - Administrative expenses decreased by 15% to HK$81.5 million, with the percentage of sales turnover rising from 12.2% to 19.7%[54] Assets and Liabilities - As of 31 March 2023, total assets were HK$1,248.9 million, down from HK$1,412.6 million in 2022, with shareholders' equity at HK$1,007.3 million, a decrease from HK$1,102.5 million[36] - The Group's total borrowings were HK$15.8 million, with a gearing ratio of 1.6%, down from 1.9% in 2022[36] - Segment assets decreased from HK$1,412,550,000 in 2022 to HK$1,248,881,000 in 2023, representing a decline of approximately 11.6%[122] - Consolidated liabilities reduced from HK$310,003,000 in 2022 to HK$241,542,000 in 2023, a decrease of around 22.1%[126] Cash Flow and Investments - The Group generated a net cash inflow from operating activities of HK$54.1 million for the year ended 31 March 2023, compared to an outflow of HK$32.0 million in 2022[36] - The Group invested HK$4.1 million in capital expenditures for plant and machinery, down from HK$12.9 million in 2022, funded by internal resources and bank loans[65] - The Group's inventories decreased by HK$54.4 million to HK$41.1 million, with inventory turnover days increasing from 47 to 63 days[36] - Trade receivables decreased by HK$92.6 million to HK$73.0 million, with trade receivables turnover days decreasing from 77 to 64 days[36] Corporate Governance and Management - The Company is focused on engineering, research and development, and management of intellectual property/patent applications[47] - The Company is involved in corporate strategic planning and development to enhance its market position[44] - The management team includes experienced professionals with backgrounds in finance, engineering, and management science[46] - The Board held four meetings during the year to ensure effective oversight and governance[164] - The Company is committed to maintaining high standards of corporate governance practices[158] Shareholding and Ownership - As of March 31, 2023, Mr. Cheung had personal interest in 46,779,335 shares and The Cheung Lun Family Trust had interest in 154,349,960 shares of the Company[45] - Ms. Cheung had personal interest in 1,258,000 shares and The Cheung Lun Family Trust had interest in 154,349,960 shares of the Company[47] - Dr. Cheung had personal interest in 900,000 shares and The Cheung Lun Family Trust had interest in 154,349,960 shares of the Company[47] - Credit Suisse Trust Limited holds 154,349,960 shares, representing approximately 46.34% of the company's shareholding[189] - UAL holds 147,779,960 shares, accounting for about 44.37% of the total shares[189] - AICL is a beneficial owner of 134,821,960 shares, which is approximately 40.48% of the company's shares[189] Strategic Focus and Future Plans - The Group plans to focus on stringent cost control and seek growth opportunities through new customers and product categories, particularly in the mainland China market and online sales channels[34] - The Company is exploring new strategies for market expansion and product development to drive future growth[44]

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的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部 或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 ALLAN INTERNATIONAL HOLDINGS LIMITED （亞倫國際集團有限公司）* （於百慕達註冊成立之有限公司） （股份代號：684） 截至二零二三年三月三十一日止年度末期業績公佈 業績 亞倫國際集團有限公司（「本公司」）董事會（「董事會」）宣佈，本公司及其附屬公司 （「本集團」）截至二零二三年三月三十一日止年度經審核之綜合業績及二零二二年 三月三十一日止之比較數字詳列如下： ...

Financial Performance - For the six months ended September 30, 2022, the company reported revenue of HKD 246,388,000, a decrease of 44.8% compared to HKD 445,916,000 in the same period last year[4]. - Gross profit for the same period was HKD 14,316,000, down 65.9% from HKD 42,018,000 year-on-year[4]. - The company recorded a loss before tax of HKD 43,625,000, compared to a profit of HKD 12,865,000 in the previous year[4]. - The net loss for the period was HKD 45,480,000, a significant decline from a profit of HKD 9,385,000 in the prior year[4]. - Basic loss per share for the period was HKD 13.65, compared to earnings of HKD 2.80 per share in the previous year[8]. - The company reported a net loss of HKD 45,480,000 for the six months ended September 30, 2022, compared to a profit of HKD 9,385,000 in the same period last year[15]. - The net loss for the six months ended September 30, 2022, was HKD 45.5 million, a significant decline from a net profit of HKD 9.4 million in the previous year, resulting in a net profit margin drop from 2.1% to -18.5%[71]. - Gross profit fell by 66% to HKD 14.3 million, with the gross profit margin decreasing from 9.4% to 5.8% due to increased material costs and transportation delays[71]. Assets and Liabilities - Total assets as of September 30, 2022, were HKD 1,804,970,000, down from HKD 1,822,540,000 as of March 31, 2022[10]. - Current assets decreased to HKD 743,310,000 from HKD 822,890,000, reflecting a reduction in inventory and trade receivables[10]. - The company’s total liabilities decreased to HKD 794,284,000 from HKD 859,443,000, reflecting improved financial management[13]. - The company’s total assets as of September 30, 2022, amounted to HKD 1,010,686,000, a decrease from HKD 1,140,427,000 at the end of the previous period[15]. - The group’s trade payables amounted to HKD 46.148 million as of September 30, 2022, compared to HKD 82.530 million as of March 31, 2022[55]. Cash Flow and Investments - Operating cash flow before changes in working capital was negative HKD 13,170,000, a significant decline from positive HKD 2,891,000 in the previous year[17]. - Cash and cash equivalents decreased by HKD 47,807,000, compared to a decrease of HKD 130,286,000 in the prior year[19]. - The company’s cash flow from operating activities was positive at HKD 69,199,000, compared to a negative cash flow of HKD 66,706,000 in the previous year[17]. - The company invested approximately HKD 4.1 million in fixed assets for expanding and upgrading manufacturing facilities for the six months ended September 30, 2022, compared to HKD 5.8 million in the same period of 2021[78]. Inventory and Trade Receivables - The company reported a significant decrease in inventory, which fell to HKD 60,409,000 from HKD 95,494,000 year-on-year[10]. - Trade receivables also decreased to HKD 89,743,000 from HKD 165,587,000, indicating a tighter cash flow situation[10]. - Trade receivables from product sales amounted to HKD 90.074 million as of September 30, 2022, down from HKD 165.973 million as of March 31, 2022[53]. - Trade receivables decreased by HKD 192.3 million to HKD 89.7 million, with trade receivables turnover days improving from 115 to 66 days[77]. Segment Performance - For the six months ended September 30, 2022, the total revenue from the segments was HKD 246,388,000, with Europe contributing HKD 48,329,000, the Americas HKD 161,728,000, Asia HKD 31,563,000, and other regions HKD 4,768,000[30]. - The total segment loss for the same period was HKD 19,043,000, with the Americas reporting the highest loss of HKD 12,500,000[30]. Corporate Governance and Shareholder Information - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange rules, except for a vacancy in the company secretary position[99]. - Major shareholders include Credit Suisse Trust Limited holding approximately 46.34% of the company's shares as of September 30, 2022[93]. - The company has no significant changes in the board of directors during the six months ended September 30, 2022, except for the appointment of a new independent non-executive director[100]. Employee and Operational Information - As of September 30, 2022, the company employed about 1,680 employees, a decrease from 2,180 employees in 2021[80]. - The remuneration paid to directors during the interim period was HKD 4.521 million, compared to HKD 5.688 million for the six months ended September 30, 2021[58]. - The group plans to focus on strict cost control and operational streamlining to improve efficiency amid a challenging business environment[74]. - The group aims to seek growth opportunities through new customers and product categories, particularly in the online sales channels in mainland China[74]. Other Financial Information - The company did not declare an interim dividend for the six months ended September 30, 2022, compared to HKD 0.08 per share in the previous year[45]. - The company paid dividends of HKD 6,661,000 during the period, a decrease from HKD 77,091,000 in the previous year[19]. - The group recognized an impairment loss of HKD 24.879 million due to business performance being below management's expectations, with no impairment loss recorded for the six months ended September 30, 2021[50]. - The fair value of investment properties increased by HKD 1,517,000 during the period, compared to an increase of HKD 13,960,000 in the previous year[47].

Financial Performance - For the year ended March 31, 2022, revenue decreased by 13.9% to HK$783,192,000 from HK$909,466,000 in 2021[14] - Gross profit fell by 66.3% to HK$51,514,000, resulting in a gross profit margin of 6.58%, down from 16.83%[15] - The company reported a net loss of HK$26,995,000, a decline of 158.2% compared to a net profit of HK$46,402,000 in the previous year[16] - Earnings per share decreased to a loss of HK$8.1, down 158.7% from earnings of HK$13.8 per share in 2021[17] - Total dividend per share dropped by 84.0% to HK$4 from HK$25 in the previous year[19] - For the year ended 31 March 2022, the Group's sales turnover decreased by 14% to HK$783.2 million compared to HK$909.5 million in 2021[24] - The consolidated net loss for the year was HK$27 million, a decline from a profit of HK$46.4 million in 2021, resulting in a basic loss per share of HK8.1 cents[24] Sales and Market Performance - Sales turnover to Europe decreased by 11% to HK$380.1 million, representing 49% of the Group's total sales turnover[29] - Sales turnover to America decreased by 9% to HK$304.4 million, accounting for 39% of the Group's total sales turnover[29] - Sales turnover to Asia decreased by 34% to HK$73.4 million, representing 9% of the Group's total sales turnover[29] - Sales turnover to other markets decreased by 25% to HK$25.3 million, making up 3% of the Group's total sales turnover[29] Operational Metrics - Inventory turnover days increased to 47 days from 36 days, while trade receivables turnover days improved to 77 days from 97 days[20] - The gearing ratio slightly decreased to 1.9% from 2.2%, indicating a reduction in leverage[20] - Return on equity declined to -2.3% from 3.9%, reflecting the impact of the net loss on shareholder returns[20] - The Group faced increased expenses, rising from 10.6% to 12.2% compared to the previous year[34] - Logistics issues, including container shortages and freight disruptions, significantly impacted sales turnover and supply chain operations[28] - The rise in raw material costs, particularly for electronic components, and increased energy costs contributed to reduced profit margins[28] Future Outlook - The company is focusing on new product development and market expansion strategies to recover from the current downturn[22] - Future outlook remains cautious due to sluggish market sentiments and ongoing challenges in the industry[22] - The company anticipates a challenging business environment due to high inflation and geopolitical uncertainties, affecting consumer sentiment negatively[39] Financial Position - Total assets as at 31 March 2022 were HK$1,412.6 million, down from HK$1,583.9 million in 2021, with shareholders' equity decreasing to HK$1,102.5 million[45] - Cash and bank deposits held as at 31 March 2022 amounted to HK$504.6 million, a decrease from HK$616.3 million in 2021[46] - The group's net cash outflow from operating activities was HK$32 million, compared to HK$16.7 million in 2021[49] - The company's distributable reserves as of March 31, 2022, included retained profits of HK$260,592,000, down from HK$340,607,000 in 2021, indicating a decrease of approximately 23.5%[152] Governance and Management - The company is focused on maintaining a robust governance structure with a diverse board of directors[85] - The company continues to prioritize research and development to enhance its product offerings and market position[87] - The Group's executive team includes family members, indicating a strong familial connection within the management structure[80] - The company has a diverse management team with members holding degrees from prestigious institutions such as the University of Newcastle and Imperial College Business School[96][100] Shareholder Information - As of March 31, 2022, Mr. Cheung held personal interest in 46,779,335 shares, while The Cheung Lun Family Trust had interest in 154,349,960 shares[78] - Ms. Cheung had personal interest in 1,258,000 shares, with The Cheung Lun Family Trust also holding 154,349,960 shares as of March 31, 2022[86] - Dr. Cheung had personal interest in 900,000 shares, with The Cheung Lun Family Trust holding 154,349,960 shares as of March 31, 2022[89] - The Cheung Lun Family Trust is a significant shareholder, holding a total of 154,349,960 shares across multiple directors[86] Environmental and Social Responsibility - The Group is committed to environmental sustainability, with manufacturing sites certified under ISO 14001:2004 for environmental management systems[126] - The Group's environmental policies focus on reducing waste and energy consumption through the Reduce, Reuse, and Recycle principles[126] - The Group provides competitive remuneration packages and training for employees, recognized as a "Caring Company" since 2007 and a "Happy Company" since 2014[126] Compliance and Legal Matters - For the year ended March 31, 2022, there was no material breach of applicable laws and regulations that significantly impacted the Group's business[129] - The Group did not have any significant violations of applicable laws and regulations that would materially impact its business operations during the year[134] - There were no interests in any of the Group's five largest suppliers or customers held by directors or significant shareholders during the year[143]

Financial Performance - Revenue for the six months ended September 30, 2021, was HKD 445,916,000, an increase of 1.3% compared to HKD 438,760,000 in the same period last year[7] - Gross profit decreased to HKD 42,018,000 from HKD 71,284,000, reflecting a significant decline in profitability[7] - The net profit for the period was HKD 9,385,000, down from HKD 19,270,000, indicating a decrease of 51.3% year-on-year[7] - Total comprehensive income for the period was HKD 14,506,000, compared to HKD 32,141,000 in the previous year, representing a decline of 54.8%[11] - The basic earnings per share decreased to HKD 0.028 from HKD 0.0574, a decline of 51.1%[11] - The company reported a profit of HKD 19,270,000 for the period, compared to a profit of HKD 9,385,000 in the previous six months[17] - The group reported a total revenue of HKD 445,916,000 for the six months ended September 30, 2021, with a segment loss of HKD 5,466,000[31] - The group experienced a net profit before tax of HKD 12,865,000 for the six months ended September 30, 2021, compared to HKD 22,184,000 in the same period last year[31][43] - Other income increased to HKD 19,541,000 from HKD 12,090,000 year-on-year, driven by rental income and management fees[47] - The group recorded a total tax expense of HKD 3,480,000 for the current period, up from HKD 2,914,000 in the previous year[48] - Basic earnings per share attributable to the company owners decreased to HKD 9,385,000 from HKD 19,270,000 year-on-year[51] - The net profit decreased to HKD 9.385 million, down from HKD 19.27 million in 2020, resulting in a net profit margin decline from 4.4% to 2.1%[85] Assets and Liabilities - Non-current assets increased to HKD 584,733,000 from HKD 565,110,000, showing a growth of 3.9%[13] - Total assets less current liabilities decreased to HKD 1,196,915,000 from HKD 1,263,627,000, reflecting a decline of approximately 5.3%[17] - The company reported a decrease in net assets to HKD 1,140,427,000 from HKD 1,204,994,000, a decline of approximately 5.3%[17] - The company experienced an increase in trade payables to HKD 153,866,000 from HKD 147,700,000, indicating a rise of 4.4%[17] - The company has capital commitments of 717 thousand HKD as of September 30, 2021, down from 2,427 thousand HKD as of March 31, 2021[64] - The group has no significant contingent liabilities as of September 30, 2021[93] Cash Flow and Dividends - The net cash generated from operating activities was a negative HKD 66,706,000, compared to a positive HKD 44,628,000 in the previous year[19] - The company’s cash and cash equivalents at the end of the period were HKD 392,855,000, down from HKD 593,015,000 in the previous year, representing a decrease of 33.8%[21] - The company paid dividends amounting to HKD 77,091,000 during the period, significantly higher than HKD 23,480,000 in the same period last year[21] - For the six months ended September 30, 2021, the company declared a final dividend of 8 HK cents per share, compared to 7 HK cents per share in 2020, totaling 26,814 thousand HKD[54] - The company also declared a special dividend of 15 HK cents per share for 2021, with a total amount of 50,277 thousand HKD, whereas there was no special dividend in 2020[54] - The board declared an interim dividend of HKD 0.02 per share, consistent with the previous year[81] Operational Insights - The company plans to focus on expanding its market presence and enhancing product development strategies in the upcoming periods[7] - The company plans to maintain strict cost control and improve production efficiency while focusing on high-quality products and R&D capabilities[88] - The outlook remains uncertain due to various adverse factors, including rising material costs and supply chain disruptions, which are expected to impact profit margins[86] - The group continues to focus on the manufacturing and sales of household appliances as its primary business[27] - The group’s procurement orders received are expected to be completed within one year[28] Inventory and Receivables - Inventory rose significantly to HKD 127,729,000 from HKD 93,858,000, an increase of 36.1%[13] - Trade receivables increased to HKD 282,065,000 from HKD 240,597,000, reflecting a growth of 17.3%[13] - Trade receivables from product sales amounted to 283,396 thousand HKD, net of credit loss provisions of 1,331 thousand HKD, resulting in a total of 282,065 thousand HKD[60] - The analysis of trade receivables shows that 0-90 days receivables were 192,560 thousand HKD, compared to 159,074 thousand HKD in the previous period[60] - Trade receivables balance was HKD 28.206 million, with turnover days increasing from 97 days to 115 days[90] Shareholder Information - Major shareholders include Credit Suisse Trust Limited with 154,349,960 shares (46.16%) and Unison Associates Limited with 147,779,960 shares (44.20%) as of September 30, 2021[104] - The group has not granted any share options under the share option scheme as of September 30, 2021[107] - The group plans to suspend share transfer registration from December 15 to December 17, 2021, for the entitlement of interim dividends[108] - The company repurchased a total of 1,084,000 ordinary shares at a total cost of approximately HKD 1,973,860 during the six months ended September 30, 2021[110] - The highest price paid per share during the repurchase was HKD 1.93, while the lowest was HKD 1.70[110] - All repurchased shares have been cancelled, resulting in a corresponding reduction in the company's issued share capital[110] - The board believes that the share repurchase is in the best interest of the company and its shareholders, potentially enhancing net asset value per share and/or earnings per share[110] - No other purchases, sales, or redemptions of the company's shares occurred during the same period[111] Governance and Compliance - The company has complied with the corporate governance code principles as per the Hong Kong Stock Exchange listing rules[113] - The audit committee and accountants reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2021[119] - The company has adopted the standard code of conduct for securities trading by directors as per the listing rules[118] - The board expresses gratitude to employees, shareholders, and business contacts for their contributions and support[121] - The mid-term report is accessible through the company's website for further details[121] Employment and Workforce - As of September 30, 2021, the group employed about 2,180 employees, a decrease from 2,370 in 2020[94]

Financial Performance - For the year ended March 31, 2021, the Group's revenue decreased by 7.5% to HK$909.5 million from HK$982.8 million in 2020[9]. - The consolidated net profit for the year was HK$46.4 million, a significant improvement from a loss of HK$18.2 million in 2020, representing a 355.5% increase[9]. - Basic earnings per share increased to HK13.8 cents from a loss of HK5.4 cents in the previous year, marking a 355.6% improvement[11]. - The total dividend for the year was HK25 cents per share, up 177.8% from HK9 cents per share in 2020, including a special dividend of HK15 cents[11]. - Gross profit increased by 6.4% to HK$153.1 million, with a gross profit margin improvement to 16.8% from 14.6%[9]. - Net profit for the year was HK$46.4 million, improving from a loss of HK$18.2 million the previous year, with net profit margin improving from -1.8% to 5.1%[26]. - For the year ended March 31, 2021, the Group's retained profit was HK$340,608,000, an increase from HK$329,107,000 in 2020[122]. Operational Challenges - The Group faced operational challenges due to COVID-19, impacting material supply and causing order cancellations in key markets[13][14]. - The management emphasized employee health and safety during the pandemic, implementing strict safety measures in workplaces[13]. Inventory and Receivables - Inventory turnover days increased to 36 days from 29 days, while trade receivables turnover days rose significantly to 97 days from 50 days[9]. - Inventory balance increased from HK$56.3 million to HK$93.9 million, with inventory turnover rising from 29 days to 36 days[37]. - Trade receivables increased from HK$133.7 million to HK$240.6 million, with turnover extending from 50 days to 97 days[37]. - Trade payables rose from HK$92.0 million to HK$147.7 million, with turnover increasing from 40 days to 71 days[37]. Financial Position - Total assets as of 31 March 2021 were HK$1,583.9 million, financed by current liabilities of HK$320.3 million, long-term liabilities of HK$58.6 million, and shareholders' equity of HK$1,205.0 million[32]. - Cash and bank deposits amounted to HK$616.3 million, with a net cash outflow from operating activities of HK$16.7 million for the year[33]. - The gearing ratio improved slightly to 2.2% from 2.7%, indicating a reduction in financial leverage[9]. - The Group anticipates a downturn in profit margin for the current financial year due to material cost increases and global shortages in electronic components[27]. Strategic Focus - The company plans to focus on stringent cost control, productivity efficiency improvements, and seek growth opportunities through new customers and product categories[30]. - The group will continue to seek growth opportunities through new customers, product categories, and online sales channels[34]. Corporate Governance - The Company aims to comply with all code provisions as set out in the Corporate Governance Code[194]. - The Board comprises four Executive Directors and three Independent Non-Executive Directors[197]. - All independent non-executive directors confirmed their independence as per the Listing Rules[150]. - The Company has adopted the Model Code for Securities Transactions by Directors and confirmed full compliance by all directors[196]. Employee Relations - The Group provides competitive remuneration packages and training for employees, emphasizing their value as assets[101]. - The Group has been recognized for its commitment to employee development and has been nominated for business care awards since 2007[106]. Environmental Commitment - The Group is committed to environmental sustainability, with manufacturing sites certified under ISO 14001:2004 for environmental management[103]. - The Group's environmental policies incorporate the principles of Reduce, Reuse, and Recycle to enhance resource efficiency[103]. - The Group's environmental management system has achieved ISO 14001:2004 certification, emphasizing sustainability and resource efficiency[108]. Shareholding Structure - As of March 31, 2021, Mr. Cheung Shu Wan holds 49,695,335 ordinary shares, representing approximately 61.43% of the issued share capital of the Company[140]. - Ms. Cheung Lai Chun, Maggie holds 600,000 ordinary shares, totaling 156,949,960 shares including trust interests, which is approximately 46.79% of the issued share capital[140]. - Ms. Cheung Lai See, Sophie holds 1,258,000 ordinary shares, totaling 157,607,960 shares including trust interests, which is approximately 46.99% of the issued share capital[140]. - Dr. Cheung Shu Sang, William holds 900,000 ordinary shares, totaling 157,249,960 shares including trust interests, which is approximately 46.88% of the issued share capital[140]. Customer and Supplier Relations - The Group's major customers are companies selling household electrical appliances under well-known brand names, maintaining long-term relationships with them[92]. - The Group maintains long-term relationships with suppliers, selecting them based on cost, quality, and sustainability criteria[93]. - The largest supplier accounted for 8% of purchases, while the five largest suppliers combined accounted for 30%[116]. - The largest customer represented 34% of sales, and the five largest customers combined accounted for 94%[116].

Financial Performance - Revenue for the six months ended September 30, 2020, was HKD 438,760,000, a decrease of 23% compared to HKD 568,691,000 for the same period in 2019[9] - Gross profit for the same period was HKD 71,284,000, down from HKD 76,012,000, reflecting a gross margin of approximately 16.3%[9] - Profit before tax increased significantly to HKD 22,184,000, compared to HKD 4,834,000 in the previous year, marking a growth of 359%[9] - Net profit for the period was HKD 19,270,000, a substantial increase from HKD 1,147,000 in the prior year[9] - Total comprehensive income for the period amounted to HKD 32,141,000, compared to HKD 73,147,000 in the same period last year[19] - The group reported a total revenue of HKD 438,760,000 for the six months ended September 30, 2020, with a segment profit of HKD 29,210,000[47] - The profit for the six months ended September 30, 2020, was HKD 19,270,000, compared to HKD 1,147,000 for the same period in 2019, representing a significant increase[70] - The net profit for the six months was HKD 19.27 million, a significant increase from HKD 1.15 million in the previous year, resulting in a net profit margin increase from 0.2% to 4.4%[99] Assets and Liabilities - Non-current assets as of September 30, 2020, totaled HKD 560,971,000, an increase from HKD 554,792,000 as of March 31, 2020[23] - Current assets increased to HKD 1,025,244,000 from HKD 919,980,000, driven by higher trade receivables and cash balances[23] - Total assets minus current liabilities amounted to HKD 1,235,543,000, slightly up from HKD 1,229,178,000 as of March 31, 2020[25] - The company’s total equity as of September 30, 2020, was HKD 1,175,020,000, an increase from HKD 1,166,359,000 as of March 31, 2020[27] - Trade receivables as of September 30, 2020, amounted to HKD 208,701,000, an increase from HKD 134,658,000 as of March 31, 2020, indicating a growth of approximately 55%[80] - The total borrowings as of September 30, 2020, were HKD 28.599 million, down from HKD 31.161 million as of March 31, 2020, resulting in a debt-to-equity ratio of 2.4%[102] Cash Flow - Operating cash flow before changes in working capital was HKD 28,259,000, down from HKD 31,819,000 year-on-year[29] - The net cash generated from operating activities was HKD 44,628,000, compared to HKD 53,630,000 in the previous year[29] - The net cash inflow from operating activities for the six months ended September 30, 2020, was HKD 44.628 million, compared to HKD 53.63 million in the same period of 2019[102] Expenses - The total cost of inventory recognized as an expense for the six months ended September 30, 2020, was HKD 367,476,000, down from HKD 492,679,000 in 2019, indicating a decrease of approximately 25.4%[69] - Sales and distribution costs decreased by 25% to HKD 8.04 million, maintaining a percentage of 1.9% of sales revenue[98] - Administrative expenses decreased by 8% to HKD 47.55 million, with the percentage of sales revenue increasing from 9.1% to 10.8%[98] Dividends - The company declared dividends of HKD 23,480,000 for the period, compared to HKD 10,063,000 in the previous year[32] - The total dividend declared for the period was HKD 23,480,000, with a final dividend of HKD 0.07 per share, compared to HKD 10,063,000 and HKD 0.03 per share in 2019[73] - The board declared an interim dividend of HKD 0.02 per share, consistent with the previous year[94] Government Support - The group recognized government grants amounting to HKD 2,249,000 during the period, related to the first phase of the employment support scheme[66] - The company received HKD 2.087 million in government subsidies related to COVID-19 to compensate for salary expenses from September to November 2020[92] Market Strategy - The company plans to continue exploring market expansion opportunities and enhancing product development strategies in the upcoming periods[4] - The company plans to seek growth opportunities through new customers, new product categories, and online sales channels in mainland China[100] - The company emphasizes strict cost and expenditure control to enhance productivity and efficiency in response to the ongoing challenges posed by the COVID-19 pandemic[100] Employee and Governance - The group employed approximately 2,370 employees as of September 30, 2020, a decrease from 2,650 in 2019[108] - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange listing rules, with some deviations noted[126] - The audit committee reviewed the unaudited condensed consolidated financial statements for the six months ended September 30, 2020[132] Other Financial Information - The fair value loss on investment properties was HKD 4,000,000, significantly reduced from HKD 21,995,000 in the previous period[9] - The fair value of investment properties decreased by HKD 4,000,000 during the period, compared to a decrease of HKD 21,995,000 for the same period in 2019[76] - The group has not engaged in hedging activities to mitigate foreign currency risks but monitors such risks closely[106] - The company did not sign any new lease contracts during the interim period, maintaining its existing lease agreements[78] - The company did not purchase, sell, or redeem any of its shares during the six months ended September 30, 2020[124] - The company expressed gratitude to employees, shareholders, and business partners for their contributions and support[134]

Financial Performance - Revenue for the year ended March 31, 2020, was HK$982,835,000, a decrease of 18.7% compared to HK$1,209,200,000 in 2019[11] - The company reported a net loss of HK$18,164,000, representing a net loss margin of -1.8%, compared to a profit of HK$28,119,000 and a margin of 2.3% in 2019[11] - Earnings per share decreased to -5.4 cents from 8.4 cents in the previous year, reflecting a decline of 164.3%[11] - For the year ended 31 March 2020, sales turnover decreased by 19% to HK$982.8 million, with sales turnover to Europe down 17% to HK$461.6 million, Asia down 39% to HK$169.8 million, and America down 6% to HK$309.9 million[15] - The net loss for the year was HK$18.2 million, a decrease from a profit of HK$28.1 million in the previous year, resulting in a net profit margin drop from 2.3% to -1.8%[25] Profitability and Margins - Gross profit increased by 51.2% to HK$143,802,000, with a gross profit margin of 14.6%, up from 7.9% in the previous year[11] - Gross profit for the year increased by 51% to HK$143.8 million, with gross profit margin rising from 8% to 15% due to changes in customer and product mix, stable raw material costs, and tight cost control measures[17] - Return on equity fell to -1.6%, down from 2.5% in the previous year, a decline of 4.1 percentage points[11] Expenses and Cost Control - Selling and distribution expenses decreased by 23% to HK$18.4 million, representing 1.9% of sales turnover, down from 2.0% the previous year[18] - Administration expenses increased by 1% to HK$104.0 million, rising as a percentage of sales turnover from 8.5% to 10.6%[18] - The Group continues to apply stringent cost control measures across all expenses to mitigate the impact of the challenging business environment[18] Operational Efficiency - Trade receivables turnover days improved to 50 days from 76 days, a reduction of 26 days[11] - Trade payables turnover days improved to 40 days from 46 days, a reduction of 6 days[11] - Inventory turnover days remained stable at 29 days, unchanged from the previous year[11] Impact of COVID-19 - The Group's operations were significantly impacted by the COVID-19 pandemic, leading to order cancellations and delays in product shipments in the first quarter of 2020[15] - The Group's manufacturing facilities resumed operations in phases starting late February 2020 after being shut down due to government orders[15] - The company expects a decrease in sales turnover for the current financial year due to the cautious order placement by customers amid the COVID-19 pandemic[25] Investments and Assets - Total assets as of 31 March 2020 were HK$1,474.8 million, down from HK$1,496.8 million in 2019, while total liabilities decreased from HK$324.5 million to HK$245.6 million[32] - Cash and bank deposits increased to HK$656.8 million from HK$558.6 million in the previous year, with a net cash inflow from operating activities of HK$117.9 million compared to an outflow of HK$602,000 in 2019[32] - The inventory balance decreased from HK$76.2 million to HK$56.3 million, maintaining an inventory turnover of 29 days[32] Shareholder Information - As of March 31, 2020, Mr. Cheung had personal interest in 49,695,335 shares and The Cheung Lun Family Trust had interest in 156,349,960 shares[53] - The company has a significant interest held by The Cheung Lun Family Trust, which indirectly owns 156,349,960 shares[59] - At March 31, 2020, the interests of directors and chief executives in the company's shares totaled 206,045,295, representing approximately 61.43% of the issued share capital[99] Corporate Governance - The company is committed to high standards of corporate governance practices, detailed in the Corporate Governance Report[138] - The Company has complied with most of the code provisions of the Corporate Governance Code, with deviations noted in provisions A.4.1, A.4.2, A.5.1, and A.6.7[151] - The Board consists of four Executive Directors and three Independent Non-Executive Directors, with all Executive Directors attending 100% of the meetings held[173][171] Management and Strategy - The management team includes experienced professionals with over 17 years of experience in various functions, particularly in sales and marketing[63] - The company is led by a diverse management team with expertise in engineering, manufacturing, and logistics[62][63][64] - The company aims to seek growth opportunities through new customers, new product categories, and expansion into mainland China and online sales channels[25] Employee Information - As of 31 March 2020, the group employed approximately 2,500 employees, down from 3,200 in 2019[35] - Performance bonuses for employees are granted on a discretionary basis, based on individual performance and attainment of set targets[35] Tenancy and Rental Agreements - The total rent paid for the year by the group in respect of the tenancy agreements amounts to HK$2,733,100[111][121][122] - The monthly rent for a tenancy agreement with Ardent Investment Limited is HK$123,800, totaling HK$1,485,600 for the year[111] Charitable Contributions - The company made charitable donations amounting to approximately HK$72,000 during the year[138]

Financial Performance - Revenue for the six months ended September 30, 2019, was HKD 568.7 million, a decrease of 11.7% compared to HKD 644.2 million for the same period in 2018[10] - The company reported a net profit of HKD 1.1 million for the period, a significant decline from HKD 36.2 million in the prior year[10] - The basic earnings per share for the period was HKD 0.34, a decrease from HKD 10.80 in the previous year[17] - The company reported a pre-tax profit of HKD 4,834,000 for the six months ended September 30, 2019, a decrease of 87% compared to HKD 37,108,000 for the same period in 2018[25] - The net profit for the six months ended September 30, 2019, was HKD 1,147,000, a significant decrease from HKD 36,234,000 in the same period of 2018[81] - Net profit dropped by 97% to HKD 1.147 million, down from HKD 36.234 million in the same period last year[109] Assets and Liabilities - Total assets as of September 30, 2019, amounted to HKD 1,012.4 million, up from HKD 981.1 million as of March 31, 2019[18] - The company's net asset value rose to HKD 1,196,954,000, up from HKD 1,133,870,000 compared to the previous year[23] - Total assets minus current liabilities increased to HKD 1,261,751,000 from HKD 1,172,284,000 year-over-year[24] - The group maintained a strong cash position with cash and bank deposits of HKD 588.76 million as of September 30, 2019, compared to HKD 558.59 million as of March 31, 2019[117] - The total liabilities as of September 30, 2019, were HKD 347.54 million, with a debt-to-equity ratio of 2.8%[117] Revenue Breakdown - For the six months ended September 30, 2019, the total revenue from the group was HKD 568.691 million, with a segment profit of HKD 33.338 million[66] - The revenue breakdown by region showed Europe at HKD 246.665 million, Americas at HKD 206.970 million, Asia at HKD 92.054 million, and other regions at HKD 23.002 million[66] - Sales revenue in Europe decreased by 16% to HKD 246.665 million, while sales in the Americas increased by 16% to HKD 206.97 million[110] - Approximately 15% of sales revenue was impacted by the US-China trade war, with customers bearing tariff costs[110] Expenses and Costs - Selling and distribution costs decreased by 12.4% to HKD 10.983 million, maintaining a percentage of 1.9% of sales revenue[113] - Administrative expenses decreased by 1.4% to HKD 51.656 million, with the percentage of sales revenue increasing from 8.1% to 9.1%[113] - The financial expenses related to bank loans increased to HKD 586, compared to HKD 420 in the previous year[10] Investment Properties - Investment properties increased to HKD 525.8 million, compared to HKD 327.4 million at the end of the previous fiscal year[18] - The company reported a loss from changes in the fair value of investment properties amounting to HKD 21,995,000, compared to a gain of HKD 44,400,000 in the previous year[26] - The fair value of investment properties in Wanchai was revalued at HKD 305.4 million, resulting in a fair value decrease of HKD 22 million during the reporting period[113] Accounting Standards - The group adopted the new and revised Hong Kong Financial Reporting Standards, effective from April 1, 2019, which includes HKFRS 16 on leases[33] - The application of HKFRS 16 resulted in a reclassification of assets, with the carrying amount of right-of-use assets recognized at HKD 19,949,000 as of April 1, 2019[50] - The group confirmed that the application of new accounting standards did not have a significant impact on the financial position and performance for the current and prior periods[34] Dividends - The company paid dividends of HKD 10,063,000 during the period, compared to HKD 20,126,000 in the same period last year[29] - The company declared a final dividend of HKD 0.03 per share for 2019, totaling HKD 10,063,000, down from HKD 20,126,000 in 2018[84] - The company declared an interim dividend of HKD 0.02 per share, up from HKD 0.01 per share in 2018[109] Employee and Shareholder Information - The group employed approximately 2,650 employees as of September 30, 2019, down from 3,380 in the previous year[122] - Major shareholders include Credit Suisse Trust Limited with 156,349,960 shares, representing approximately 46.61% ownership[130] - Unison Associates Limited holds 149,779,960 shares, accounting for about 44.65% of the total shares[130] Corporate Governance - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange listing rules[137] - There was a failure to present a resolution for the re-election of an independent non-executive director at the annual general meeting held on August 28, 2019[140] - The company has not established a nomination committee, but the board will consider suitable candidates as needed[141]

Financial Performance - Revenue for the year ended March 31, 2019, decreased by 7% to HK$1,209.2 million compared to HK$1,305.2 million in 2018[10]. - Gross profit for the same period decreased by 26% to HK$95.1 million, with a gross profit margin decline from 9.9% to 7.9%[10][15]. - Net profit fell by 39.9% to HK$28.1 million, resulting in a net profit margin of 2.3% compared to 3.6% in the previous year[10]. - Sales turnover to Europe decreased by 14% to HK$557.4 million, representing 46% of total sales[14]. - Sales turnover to Asia decreased by 15% to HK$277.8 million, accounting for 23% of total sales[14]. - Sales turnover to America increased by 12% to HK$328.3 million, representing 27% of total sales[14]. - The Group's sales revenue decreased by 7% to HK$1.2 billion for the year ended March 31, 2019, with European sales down 14% to HK$557.4 million, Asian sales down 15% to HK$277.8 million, and American sales up 12% to HK$328.3 million[16]. - Gross profit fell by 26% to HK$95.1 million, with the gross profit margin declining from 10% to 8% due to rising raw material costs and labor shortages[16]. - Net profit decreased by 40% to HK$28.1 million, resulting in a net profit margin drop from 3.6% to 2.3%[21]. - Total dividend per share decreased by 50% to HK$4 from HK$8 in the previous year[10]. Operational Efficiency - Trade receivables turnover days improved to 76 days from 81 days, while trade payables turnover days decreased to 46 days from 60 days[10][11]. - Inventory balance decreased from HK$98.9 million to HK$76.2 million, maintaining an inventory turnover of 29 days[38]. - Trade receivables decreased from HK$289 million to HK$250.5 million, with a trade receivables turnover improvement from 81 days to 76 days[38]. - Trade payables decreased from HK$193.2 million to HK$140.8 million, with trade payables turnover improving from 60 days to 46 days[38]. - Selling and distribution expenses decreased by 2.9% to HK$23.9 million, while administration expenses decreased by 5.6% to HK$102.6 million[18]. - Capital expenditures for the year were HK$24 million, down from HK$32 million in 2018, funded by internal resources and bank loans[39]. Financial Position - As of March 31, 2019, total assets were HK$1.4968 billion, financed by current liabilities of HK$324.5 million and shareholders' equity of HK$1.1339 billion[33]. - The Group held HK$558.6 million in cash and bank deposits, with a gearing ratio of 3.2%[34]. - Total assets as of March 31, 2019, were HK$1.4968 billion, a decrease from HK$1.5874 billion in 2018[36]. - Cash and bank deposits amounted to HK$558.6 million as of March 31, 2019, down from HK$597 million in 2018[36]. - Net cash outflow from operating activities for the year ended March 31, 2019, was HK$600,000, compared to a net outflow of HK$32.4 million in 2018[36]. - The group maintains a healthy financial position with a debt-to-equity ratio of 3.2% as of March 31, 2019, compared to 3.6% in 2018[36]. Market and Economic Factors - The statutory minimum wages in Huizhou, PRC, increased by 15% in July 2018, adversely affecting the Group's margins[15]. - Approximately 22% of the Group's sales turnover came from the US market, which could be adversely affected by the ongoing Sino-US trade war[25]. Management and Governance - The company has a strong management team, with key executives including Cheung Shu Wan (Managing Director), Cheung Lai See (Executive Director), and Cheung Shu Sang (Executive Director), all of whom have extensive experience in their respective fields[62][68][71]. - The Honorary Chairman, Cheung Lun, has over 60 years of management and technical experience in the industry, contributing to the company's strategic direction since its listing in 1992[73][75]. - The financial and administrative functions of the group are managed by Cheung Lai See, who has been with the company since 1995 and holds advanced degrees in Business Management[62][64]. - The company emphasizes its commitment to corporate governance and transparency, as evidenced by the detailed disclosures regarding shareholdings and interests of directors[61][64][70]. - The family trust structure indicates a strong alignment of interests between the management and shareholders, potentially enhancing long-term strategic decision-making[61][75]. - The board of directors includes a mix of executive and independent non-executive directors, ensuring a diverse range of expertise and oversight[76][77]. Customer and Supplier Relationships - The Group's major customers are companies selling household electrical appliances under well-known brand names, maintaining long-term relationships with them[98]. - The Group has maintained a long-term relationship with suppliers, selecting them based on criteria such as cost, quality, and sustainability[105]. - The largest customer accounted for 33% of sales, while the five largest customers combined represented 92% of total sales[125]. - The largest supplier contributed to 10% of purchases, and the five largest suppliers combined accounted for 24% of total purchases[125]. Corporate Social Responsibility - The Group is committed to environmental sustainability, with manufacturing sites certified under ISO 14001:2004[108]. - The Group has been recognized as a Caring Company since 2007, reflecting its commitment to employee welfare and community involvement[106]. - The Group made charitable and other donations amounting to approximately HK$106,000 during the year[191]. Future Outlook - The Group plans to invest in engineering and R&D capabilities to enhance productivity and efficiency while seeking growth opportunities through new customers and product categories[27]. - The annual report includes an indication of likely future development of the Group's business[96].