Financial Performance - Total revenue for the year decreased by approximately 35.2% to about HKD 111.9 million[20] - Gross profit was approximately HKD 8.3 million, a decrease of about 67.0% compared to the previous year[20] - Net loss for the year was approximately HKD 26.4 million, a reduction of about HKD 1.5 million from the previous year[20] - Gross margin decreased to 7.4% from 14.6% year-on-year[7] - Net loss margin worsened to (23.6)% from (16.2)% year-on-year[7] - Return on assets decreased to (25.4)% from (23.7)% year-on-year[7] - Return on equity decreased to (36.5)% from (32.9)% year-on-year[7] - Current ratio slightly decreased to 4.9 from 5.1[7] - Inventory turnover days increased to 150 days from 114 days[7] - Sales in Hong Kong decreased by 35.2% to approximately HKD 111.9 million during the reporting year[22] - Total revenue for the year decreased to approximately HKD 111.9 million, a decline of 35.1% compared to HKD 172.5 million last year[35] - Handbags accounted for over 98.3% of total revenue, with sales from unused products generating approximately HKD 81.9 million, representing 73.2% of total revenue[37] - The cost of sales for the year was approximately HKD 103.5 million, a decrease of 29.7% year-on-year[38] - Gross profit decreased by HKD 16.8 million to approximately HKD 8.3 million, with the gross profit margin dropping from 14.6% to 7.4%[39] - Other income for the year was approximately HKD 1.6 million, a decrease of HKD 2.2 million from HKD 3.8 million last year[44] - Selling expenses amounted to approximately HKD 21.6 million, representing 19.3% of total revenue, compared to 16.8% last year[46] - Administrative and other operating expenses were approximately HKD 13.8 million, a decrease of HKD 3.3 million year-on-year, accounting for 12.3% of revenue[47] - The company reported a loss attributable to owners of approximately HKD 26.4 million, down from HKD 27.9 million the previous year, with a loss per share of approximately HKD 0.0274[49] Assets and Liabilities - The fair value of financial assets held by the group as of December 31, 2024, was HKD 35.0 million, with a recognized fair value gain of approximately HKD 7.8 million and a gain from the sale of financial assets of approximately HKD 2.5 million[22] - The total amount of receivable loans as of December 31, 2024, was HKD 3.7 million, with an annual interest rate of 8%[28] - The expected credit loss provision for receivable loans was approximately HKD 11.0 million, an increase from HKD 10.2 million in the previous year[33] - Total inventory as of December 31, 2024, was HKD 37.8 million, down from HKD 47.5 million the previous year, with inventory turnover days increasing to 150 days from 114 days[40] - As of December 31, 2024, the group's cash and cash equivalents totaled approximately HKD 11.2 million, with total liabilities of approximately HKD 31.5 million and total equity of approximately HKD 72.2 million, compared to HKD 10.3 million, HKD 33.0 million, and HKD 84.8 million in 2023 respectively[51] - The group's debt-to-equity ratio, current ratio, and quick ratio as of December 31, 2024, were approximately 26.0%, 4.9, and 3.0 respectively, compared to 24.1%, 5.1, and 2.7 in 2023[51] Corporate Governance - The board is committed to maintaining high standards of corporate governance and has adopted the corporate governance code as per the listing rules[64] - The group emphasizes a healthy corporate culture aligned with its vision and business strategy[65] - The board consists of five members, including two executive directors and three independent non-executive directors, ensuring a balance of governance[70] - During the reporting year, the board held five regular meetings, with all directors attending at least 4 out of 4 meetings[73] - Independent non-executive directors play a crucial role in providing impartial opinions on the group's strategy, performance, and monitoring, ensuring the interests of all shareholders are considered[76] - The company has implemented internal policies to ensure the board receives independent opinions and perspectives, which have been reviewed for effectiveness[78] - All independent non-executive directors confirmed their independence according to the criteria set out in the listing rules[76] - The company emphasizes employee development, workplace safety, diversity, and sustainability as part of its long-term growth strategy[67] - The board is responsible for leading and controlling the group, overseeing business strategies and performance[70] - The company has a flexible and prudent financial policy to effectively manage its assets and liabilities, enhancing its financial position[69] - The attendance record for the annual general meeting shows that independent non-executive directors attended 100% of the meetings, while executive directors had lower attendance[79] - The board has adopted a diversity policy, ensuring a balanced mix of skills, experience, and perspectives among its five members, including one female director[85] - The remuneration committee consists of three members, all of whom attended the only meeting held during the reporting year[90] - The company encourages continuous professional development for directors, requiring quarterly training records to be submitted[80] - The nomination committee is focused on identifying candidates with integrity and relevant qualifications to enhance board effectiveness[82] - The company aims to increase the proportion of female directors as part of its long-term strategy for gender diversity on the board[85] - The board's diversity policy includes considerations of gender, age, cultural background, and professional experience in candidate selection[83] - The remuneration policy is designed to provide competitive market salaries to attract and retain high-quality directors and senior management[86] - The company has implemented a structured onboarding training program for newly appointed directors to ensure they understand the company's operations and governance policies[80] - The Nomination Committee held one meeting during the reporting year, with all members present[93] - The Audit Committee conducted two meetings in the reporting year, with full attendance from all members[98] - The external auditor charged the company HKD 670,000 for audit services during the reporting year, with no non-audit services provided[101] - The company is committed to achieving board diversity, considering factors such as gender, age, culture, education background, and professional qualifications[92] Risk Management and Compliance - The company has established a risk management and internal control system, with independent consultants reviewing its effectiveness[108] - The Audit Committee reviewed the financial reporting procedures and internal control systems, providing recommendations to the board[96] - The company has implemented a policy for the training and continuous professional development of directors and senior management[109] - The board is responsible for ensuring compliance with applicable laws and regulations, as well as monitoring adherence to corporate governance policies[109] - The company has arranged insurance to indemnify directors and senior officers against costs and liabilities incurred in the execution of their duties[105] - The internal control consultant's risk management report, which includes risks, issues, and recommended actions, was submitted to the board for approval[108] - The company faces major risks including strategic, operational, and financial risks[166] - The company has maintained compliance with corporate governance codes, with some deviations noted[163] Shareholder Engagement and Transparency - The company actively engages with shareholders and investors through annual general meetings and special meetings, ensuring effective communication and transparency[115] - The company has a robust anti-corruption policy in place, demonstrating its commitment to ethical business practices and compliance with applicable laws[111] - The company has established a formal whistleblowing policy to encourage employees to report concerns without fear of retaliation, with no complaints regarding financial misconduct reported during the year[111] Financial Reporting and Audit - The independent auditor's report confirmed that the consolidated financial statements present a true and fair view of the group's financial position as of December 31, 2024[182] - Key audit matters identified included expected credit loss provisions, inventory valuation, and impairment assessments of property, plant, and equipment[184] - The company is responsible for preparing true and fair consolidated financial statements in accordance with Hong Kong Financial Reporting Standards and the Companies Ordinance[196] - The auditors aim to obtain reasonable assurance that the consolidated financial statements are free from material misstatement due to fraud or error[198] - The auditors identified and assessed risks of material misstatement in the consolidated financial statements and designed audit procedures to address these risks[199] - The company directors are responsible for evaluating the group's ability to continue as a going concern and disclosing relevant matters[196] - The auditors communicated significant audit findings and any material weaknesses in internal controls to the audit committee[200] - The company must ensure that the disclosures related to impairment reviews in the consolidated financial statements are adequate[194] - The auditors evaluated the appropriateness of accounting policies adopted by the company and the reasonableness of accounting estimates and related disclosures[199] Capital and Investments - The company reported a net proceeds of approximately HKD 13.7 million from the placement of 176,150,000 new shares at a price of HKD 0.08 per share, completed on July 16, 2024[127] - As of December 31, 2024, approximately HKD 9.4 million of the net proceeds has been utilized for general working capital, with HKD 4.3 million expected to be used in the first quarter of 2025[127] - The board has decided not to declare a final dividend for the year ending December 31, 2024, consistent with the previous year[125] - The company has entered into a lease agreement for retail space in Causeway Bay, with total lease payments amounting to HKD 7,920,000[158] - There were no significant related party transactions during the reporting year that would impact the company's operations[160] - The company did not purchase, sell, or redeem any of its listed securities during the year ending December 31, 2024[134] - The company has no outstanding share options available for grant as of December 31, 2024[152] - The total number of stock options granted as of December 31, 2024, is 71,192,200, with an exercise price of HKD 0.183 per share[153] Social Responsibility and Sustainability - The company’s environmental and social responsibility initiatives include energy-saving measures and promoting the use of eco-friendly products[126] - The group made no charitable donations during the reporting year, totaling zero HKD[137]

Financial Performance - For the year ending December 31, 2024, the revenue was approximately HKD 111.9 million, a decrease of 35.2% compared to approximately HKD 172.5 million for the year ending December 31, 2023[2]. - The gross profit for the year ending December 31, 2024, was approximately HKD 8.3 million, down 67.0% from approximately HKD 25.1 million for the year ending December 31, 2023[2]. - The loss attributable to owners of the company for the year ending December 31, 2024, was approximately HKD 26.4 million, a decrease of 5.5% from approximately HKD 27.9 million for the year ending December 31, 2023[2]. - The total comprehensive loss for the year was approximately HKD 26.3 million, compared to approximately HKD 27.9 million for the previous year[4]. - Basic and diluted loss per share for the year ending December 31, 2024, was HKD 2.74, compared to HKD 3.17 for the year ending December 31, 2023[4]. - Total revenue decreased by approximately 35.2% to about HKD 111.9 million for the reporting year, with gross profit declining by 67.0% to approximately HKD 8.3 million[35]. - Handbags accounted for over 98.3% of total revenue, with sales from unused products generating approximately HKD 81.9 million, representing 73.2% of total revenue[49]. - The company reported a loss attributable to owners of approximately HKD 26.4 million, down from HKD 27.9 million last year, with a loss per share of approximately HKD 0.0274[60]. Assets and Liabilities - Non-current assets decreased from approximately HKD 16.7 million in 2023 to approximately HKD 7.6 million in 2024[5]. - Current assets decreased from approximately HKD 101.1 million in 2023 to approximately HKD 96.1 million in 2024[5]. - The total equity attributable to owners of the company decreased from approximately HKD 84.8 million in 2023 to approximately HKD 72.2 million in 2024[6]. - Trade receivables increased to HKD 3.129 million in 2024 from HKD 2.280 million in 2023, with expected credit loss provisions rising to HKD 0.947 million from HKD 0.437 million[27]. - Trade payables increased to HKD 1.989 million in 2024 from HKD 1.452 million in 2023, while accrued liabilities rose to HKD 7.805 million from HKD 6.494 million[32]. - The total outstanding loans amount to approximately HKD 3.7 million, with an annual interest rate of 8%[42]. - The group has recognized expected credit loss provisions of approximately HKD 11.0 million for receivables, an increase from HKD 10.2 million in 2023, primarily due to limited debt repayments and rising default rates among borrowers[47]. Revenue Sources - Revenue for the year 2024 was HKD 111,855,000, a decrease of 35.1% compared to HKD 172,525,000 in 2023[17]. - Sales of handbags contributed HKD 109,931,000 in 2024, down 34.6% from HKD 168,285,000 in 2023[17]. - Other income for 2024 totaled HKD 1,592,000, a decline of 58.3% from HKD 3,823,000 in 2023[17]. - The cost of goods sold for 2024 was HKD 103,549,000, down 28.5% from HKD 144,604,000 in 2023[20]. - The total employee costs, including directors' remuneration, decreased to HKD 9,557,000 in 2024 from HKD 14,576,000 in 2023, a reduction of 34.4%[20]. - Sales cost for the year was approximately HKD 103.5 million, a decrease of 29.7% year-on-year[51]. - Other income for the year was approximately HKD 1.6 million, a decrease of about HKD 2.2 million from HKD 3.8 million last year[55]. Dividends and Shareholder Returns - The board of directors has resolved not to declare a final dividend for the year ending December 31, 2024[2]. - No dividends were declared or proposed for the reporting year, consistent with 2023[24]. - The board has resolved not to declare a final dividend for the reporting year[76]. Market and Economic Conditions - The unemployment rate in Hong Kong rose to 3.1% in December 2024, indicating a slight decline in the local labor market[34]. - The retail sales value in December 2024 was estimated at HKD 32.8 billion, a decrease of 11.5% compared to the same month in 2023[34]. - The outlook for the Hong Kong retail market is cautiously optimistic for 2025, supported by the return of tourists and government initiatives like consumption vouchers[48]. Corporate Governance and Compliance - The company has maintained compliance with all applicable provisions of the Corporate Governance Code, except for a minor deviation regarding the notice period for board meetings[73]. - The audit committee has reviewed the financial statements and discussed audit, risk management, and internal control matters with management[75]. - The company has no capital commitments related to the purchase of properties, plants, and equipment as of December 31, 2024[66]. - There have been no significant events after the reporting period up to the date of this announcement[77]. Investment Strategy - The group holds significant investments in financial assets at fair value, with total investments amounting to approximately HKD 22,762,000 as of December 31, 2024[40]. - The group has a passive investment strategy, maintaining a diversified portfolio to mitigate risks, with investments in China Investment Finance Group Limited (1.1% stake), Haowen Holdings Limited (4.8% stake), and Harbor Digital Industry Capital Limited (3.9% stake)[40]. - The company completed a placement of 176,150,000 new shares at a price of HKD 0.08 per share, raising approximately HKD 13.7 million net of expenses[72]. - The net proceeds from the placement have been allocated for general working capital, with HKD 9.4 million utilized and HKD 4.3 million expected to be used by Q1 2025[72]. Risk Management - The company applies a simplified approach to measure expected credit losses for trade receivables, using lifetime expected credit losses based on common credit risk characteristics[26]. - The group employs a comprehensive credit risk management policy, including independent credit assessments and monitoring of loan repayments[43]. - The expected credit loss assessment is based on a three-stage model, reflecting the ongoing economic challenges and potential impacts on borrowers' repayment capabilities[47]. - The company has not made any foreign exchange hedging arrangements and believes that the transaction risks are at an acceptable level[64].

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 63,159,000, a decrease of 36.8% compared to HKD 100,004,000 for the same period in 2023[5] - Gross profit for the period was HKD 4,054,000, down 76.2% from HKD 17,072,000 in the previous year[5] - Operating loss increased to HKD 20,780,000 from HKD 11,568,000, reflecting a significant decline in profitability[5] - The company reported a loss before tax of HKD 21,521,000, compared to a loss of HKD 12,034,000 in the same period last year[5] - The company recorded a comprehensive loss of HKD 21,205,000 for the period, compared to HKD 12,043,000 in the previous year[6] - Net loss for the period was approximately HKD 21.5 million, an increase of 79.2% year-on-year[38] - The loss attributable to the company's owners for the six months ended June 30, 2024, was approximately HKD 21.5 million, an increase of 79.2% compared to a loss of approximately HKD 12.0 million for the same period in 2023[51] Assets and Liabilities - Total assets decreased to HKD 79,338,000 from HKD 101,131,000, indicating a reduction in the company's asset base[7] - Current liabilities decreased slightly to HKD 20,609,000 from HKD 19,763,000, showing a stable short-term financial position[7] - Net assets decreased to HKD 63,613,000 from HKD 84,818,000, reflecting a decline in shareholder equity[7] - The company incurred lease liabilities of HKD 2.36 million as of June 30, 2024, down from HKD 3.60 million as of December 31, 2023[31] - The company’s total liabilities included trade payables of HKD 2,444,000, up from HKD 1,452,000 at the end of 2023[29] - As of June 30, 2024, the total cash and cash equivalents, total liabilities, and shareholders' equity were approximately HKD 9.1 million, HKD 35.4 million, and HKD 63.6 million, respectively[54] Cash Flow - The net cash flow from operating activities for the six months ended June 30, 2024, is HKD 3,402,000, a significant improvement compared to a cash outflow of HKD 10,766,000 for the same period in 2023[12] - The company reported a net cash outflow from financing activities of HKD 4,640,000 for the six months ended June 30, 2024, compared to an inflow of HKD 2,027,000 in the previous year[12] - The cash and cash equivalents at the end of the period decreased to HKD 9,098,000 from HKD 10,337,000 at the beginning of the period[12] Inventory and Sales - Inventory levels decreased to HKD 37,709,000 from HKD 47,501,000, indicating a reduction in stock on hand[7] - Sales of handbags accounted for HKD 62,558,000, down 35.0% from HKD 96,336,000 in the previous year[18] - Handbags accounted for over 99.1% of total revenue, with sales from unused products dropping from HKD 76.4 million (76.4% of total revenue) to HKD 47.6 million (75.3% of total revenue)[41] - The cost of sales was approximately HKD 59.1 million, a decrease of 28.7% compared to the previous year, aligning with the revenue decline[42] - Total inventory as of June 30, 2024, was approximately HKD 37.7 million, down from HKD 47.5 million as of December 31, 2023[44] Business Outlook and Strategy - The company has not provided specific guidance for future performance or new product developments in the report[4] - The outlook indicates that local consumer sentiment may improve due to government initiatives to stimulate the tourism and retail sectors, although uncertainties such as rising unemployment and geopolitical tensions may pose challenges[60] - The company plans to adopt a more prudent business policy to navigate unprecedented challenges while seeking opportunities in the luxury handbag and accessories trade[60] - The company continues to focus on its core business of retailing handbags and fashion accessories, with no significant changes in business nature reported during the period[13] Corporate Governance - The company has complied with all applicable provisions of the Corporate Governance Code during the reporting period, except for some board meeting notices being issued with less than 14 days' notice[68] - The Audit Committee has reviewed the financial statements for the six months ended June 30, 2024, discussing audit, risk management, internal control, and financial reporting matters[73] - The Remuneration Committee has established the remuneration policies for directors and senior management, providing recommendations to the board[74] - The Nomination Committee has been formed with a majority of independent non-executive directors[75] - The board has confirmed the effectiveness of the risk management and internal control systems during the reporting period[76] - The group has established a formal whistleblowing policy to encourage employees to raise concerns responsibly without fear of retaliation[76] Employee and Shareholder Information - As of June 30, 2024, the company had a total of 28 employees, down from 37 employees as of December 31, 2023[52] - The company did not declare or pay any dividends during the period, consistent with the previous year[24] - The board has decided not to declare any interim dividend for the six months ended June 30, 2024, consistent with the previous period where no dividend was declared[77]

Financial Performance - Total revenue decreased by approximately 26.1% to about HKD 172.5 million for the fiscal year[17] - Gross profit was approximately HKD 25.1 million, a decrease of 54.2% compared to the previous year[17] - Net loss for the year reduced to approximately HKD 27.9 million, a decrease of about HKD 45.2 million, primarily due to reduced administrative and selling expenses[17] - The gross margin decreased to 14.6% from 23.5% year-on-year[8] - The sales revenue in Hong Kong decreased by 26.1% to approximately HKD 172.5 million during the reporting year[19] - Total revenue for the year decreased to approximately HKD 172.5 million, a decline of 26.1% compared to HKD 233.3 million last year[35] - Handbags accounted for over 97.6% of total revenue, with sales from unused products generating approximately HKD 131.7 million, representing 76.3% of total revenue[37] - Sales cost for the year was approximately HKD 147.4 million, a decrease of 17.4% year-on-year[39] - Gross profit decreased by HKD 29.7 million to approximately HKD 25.1 million, with gross margin dropping from 23.5% to 14.6%[40] - Other income and gains for the year were approximately HKD 3.8 million, down from HKD 4.5 million last year[44] Market and Business Strategy - The company plans to expand its retail presence in local consumption malls in Hong Kong and focus on mid-range brand sales to enhance gross margin[12] - The company aims to diversify its business by developing the luxury watch trade market and expanding its e-commerce segment[12] - The company will continue to monitor market trends and adjust its strategies to create long-term value for shareholders[12] Financial Position and Assets - The fair value of financial assets measured at fair value through profit or loss was HKD 22.8 million as of December 31, 2023, with a recognized fair value loss of approximately HKD 2.2 million[19] - The total amount of receivable loans was HKD 5.8 million, with an annual interest rate of 8%[26] - The expected credit loss provision for receivable loans was approximately HKD 10.2 million, an increase from HKD 5.5 million in 2022[31] - The largest receivable loan was approximately HKD 1.9 million, with the top five receivable loans accounting for 73% of the total[26] - The group had no bank borrowings or significant contingent liabilities as of December 31, 2023[52][55] - The group has no capital commitments related to the purchase of properties, plants, and equipment as of December 31, 2023[56] - The group maintains a foreign exchange policy primarily in HKD and RMB, with no foreign exchange hedging arrangements in place[54] Corporate Governance - The board is committed to high standards of corporate governance and has adopted the corporate governance code as per the listing rules[66] - The board consists of five members, including two executive directors and three independent non-executive directors, with at least one independent director possessing professional and accounting qualifications[74] - The company has a clear code of conduct and anti-corruption policies, which are included in training materials for new employees[68] - The board is responsible for overseeing the company's business, strategic decisions, and performance, with a commitment to high standards of corporate governance[74] - All independent non-executive directors confirmed their independence according to the criteria set out in the listing rules, ensuring unbiased opinions in board decisions[79] Employee and Workplace Culture - The company emphasizes a culture of employee development, workplace safety, diversity, and sustainability, which is crucial for attracting and retaining top talent[69] - As of December 31, 2023, the group had a total of 37 employees, a decrease from 63 employees in 2022, with a gender ratio of approximately 32% male and 68% female[51] Audit and Risk Management - The audit committee reviewed the financial reporting procedures and internal control systems, providing recommendations to the board[101] - The external auditor charged the company HKD 670,000 for audit services, with no non-audit services provided[105] - The board confirmed the effectiveness of the risk management and internal control systems as of December 31, 2023[115] - The audit committee recommended the re-establishment of the internal audit department to enhance oversight[107] Shareholder and Investor Relations - The company has actively promoted investor relations and communication with existing and potential investors[120] - The company reported no final dividend for the year ending December 31, 2023, consistent with the previous year[131] - As of December 31, 2023, the company's distributable reserves amounted to approximately zero HKD, unchanged from the previous year[145] Environmental and Social Responsibility - The company has actively engaged in environmental and social responsibility initiatives, enhancing awareness among employees and stakeholders[132] Miscellaneous - The company has confirmed that there were no significant changes to its charter documents during the reporting year[124] - The company has not entered into any management or administrative contracts for the overall or any significant part of its business during the year ended December 31, 2023[159] - The company has not granted any share options during the reporting year, and the number of share options available for issuance remained unchanged[165]

Financial Performance - For the year ended December 31, 2023, revenue was approximately HKD 172.5 million, a decrease of 26.1% compared to approximately HKD 233.3 million for the year ended December 31, 2022[3]. - Gross profit for the year ended December 31, 2023, was approximately HKD 25.1 million, down 54.2% from approximately HKD 54.8 million for the previous year[3]. - The company's loss attributable to owners for the year ended December 31, 2023, was approximately HKD 27.9 million, a decrease of 39.2% compared to approximately HKD 45.9 million for the year ended December 31, 2022[3]. - Basic and diluted loss per share for the year ended December 31, 2023, was HKD 3.17, compared to HKD 6.07 for the previous year[5]. - The company reported an operating loss of approximately HKD 26.8 million for the year ended December 31, 2023, compared to an operating loss of approximately HKD 43.9 million for the previous year[4]. - Total revenue decreased by approximately 26.1% to about HKD 172.5 million for the reporting year[41]. - Gross profit was approximately HKD 25.1 million, a decrease of 54.2% compared to the previous year[41]. - Net loss for the year was approximately HKD 27.9 million, a reduction of about HKD 45.2 million from the previous year's loss[41]. Dividend and Equity - The board of directors decided not to declare a final dividend for the year ended December 31, 2023[3]. - The company did not declare or recommend any dividends for the year ended December 31, 2023[27]. - The total equity attributable to owners decreased to HKD 84.8 million as of December 31, 2023, from HKD 112.7 million in the previous year[8]. Assets and Liabilities - Total assets less current liabilities amounted to HKD 98.1 million as of December 31, 2023, down from HKD 120.2 million in the previous year[7]. - The company's cash and bank balances decreased to HKD 10.3 million as of December 31, 2023, from HKD 18.5 million a year earlier[7]. - Trade receivables amounted to HKD 2.28 million, down from HKD 8.72 million in the previous year[31]. - The total amount of receivable loans was HKD 5.8 million, with an annual interest rate of 8%[51]. - The expected credit loss provision for receivable loans was approximately HKD 10.2 million, an increase from HKD 5.5 million in 2022[56]. - The group's cash and cash equivalents totaled approximately HKD 10.3 million, liabilities amounted to approximately HKD 33.0 million, and total equity was approximately HKD 84.8 million, compared to HKD 18.5 million, HKD 27.9 million, and HKD 112.7 million respectively in 2022[72]. Sales and Revenue Breakdown - Sales of handbags contributed HKD 168,285,000, down from HKD 187,740,000 in the previous year, representing a decline of approximately 10%[22]. - Sales of natural fragrances, skincare products, and fashion accessories dropped significantly to HKD 4,240,000 from HKD 45,540,000, a decrease of about 91%[22]. - Handbags accounted for over 97.6% of total revenue, with sales from unused products generating approximately HKD 131.7 million, representing 76.3% of total revenue[59]. Expenses - Sales expenses for the year ended December 31, 2023, were approximately HKD 28.9 million, a decrease of 39.9% from approximately HKD 48.1 million in the previous year[3]. - Administrative and other operating expenses were approximately HKD 17.1 million, a decrease of about HKD 12.6 million year-on-year, accounting for 9.9% of revenue[68]. - Financing costs reached approximately HKD 1.3 million, an increase of HKD 0.3 million compared to the previous year[69]. Market and Economic Conditions - The estimated retail sales value in December 2023 was HKD 36.3 billion, an increase of 7.8% compared to December 2022[40]. - The unemployment rate in December 2023 was 2.9%, indicating an improvement in the local labor market[40]. Governance and Compliance - The group has adopted the corporate governance code and has complied with all applicable provisions during the reporting year, except for a few instances of short notice for board meetings[83]. - The board of directors includes executive directors and independent non-executive directors, ensuring a diverse governance structure[89]. - The company is focused on maintaining compliance with the Hong Kong Stock Exchange regulations[89]. Future Outlook - The company aims to enhance capital utilization and generate additional investment returns from idle funds[44]. - The company has maintained a prudent investment approach due to recent volatility in the Hong Kong financial market[44]. - The report will include detailed financial data and performance metrics for the fiscal year[89].

米蘭站控股有限公司 中期報告 2023 目錄 | | 頁次 | | --- | --- | | 公司資料 | 2 | | 簡明綜合損益表 | 4 | | 簡明綜合損益及其他全面收益表 | 5 | | 簡明綜合財務狀況表 | 6 | | 簡明綜合權益變動表 | 7 | | 簡明綜合現金流量表 | 8 | | 簡明綜合中期財務報表附註 | 9 | | 管理層討論與分析 | 18 | | 其他資料 | 25 | 1 米蘭站控股有限公司 中期報告 2023 公司資料 董事會 執行董事 李忠琦先生 胡博先生 練美施女士（於二零二三年四月二十八日辭任） 獨立非執行董事 陳志鴻先生 杜健存先生 蔡錦因先生 審核委員會 杜健存先生 （審核委員會主席） 陳志鴻先生 蔡錦因先生 薪酬委員會 Cricket Square, Hutchins Drive P.O. Box 2681 Grand Cayman KY1-1111 Cayman Islands 總部及香港主要營業地點 杜健存先生 （薪酬委員會主席） 陳志鴻先生 胡博先生 提名委員會 胡博先生 （提名委員會主席） 陳志鴻先生 杜健存先生 核數師 長青（香港）會計師事務所有限 ...

Financial Performance - Milan Station Holdings Limited reported a gross profit margin of 23.5% for the year ended December 31, 2022, down from 28.9% in 2021[6]. - The company experienced a net loss margin of (19.4)% in 2022, compared to a profit margin of 9.0% in the previous year[6]. - Return on assets was (32.1)% in 2022, a significant decline from 12.8% in 2021[6]. - The group's total revenue decreased by approximately 4.8% to about HKD 233.3 million, down from approximately HKD 245 million last year[34]. - The gross profit was approximately HKD 54.8 million, a decrease of 22.7% compared to the previous year, with a gross margin of 23.5%[39]. - The net loss for the year was approximately HKD 45.2 million, compared to a profit of approximately HKD 22.2 million last year, primarily due to an increase in fair value losses on financial assets of about HKD 22.1 million[26]. - Revenue from the Hong Kong market accounted for 100% of total revenue, with no revenue generated from mainland China or Macau during the year[34]. - Sales of handbags, the most important product category, accounted for over 80.5% of total revenue, with sales decreasing to approximately HKD 187.7 million from HKD 200.6 million[36]. - The cost of sales increased by 2.5% to approximately HKD 178.5 million, primarily consisting of inventory costs from suppliers[38]. - The company reported a net loss attributable to owners of approximately HKD 45.9 million for the year ended December 31, 2022, compared to a profit of HKD 20.5 million in 2021, resulting in a loss per share of approximately HKD 0.607[49]. Market and Business Strategy - The company plans to open retail stores in local shopping malls in Hong Kong and negotiate rent reductions to control rental costs[17]. - Milan Station aims to expand its business in the second-hand handbag market and luxury watch trade while cautiously developing the mainland China market[18]. - The retail market in Hong Kong is showing signs of recovery, with government support measures expected to further boost the market[17]. - The unemployment rate in Hong Kong decreased to 3.5% during the last quarter of 2022, indicating an improvement in the local labor market[23]. - The total retail sales value in June 2022 was estimated at HKD 33.6 billion, reflecting a 1.2% increase compared to June 2021[23]. - The company will continue to monitor market trends and optimize its corporate strategy to create long-term value for shareholders[18]. Inventory and Assets - Total inventory as of December 31, 2022, was approximately HKD 44.5 million, down from HKD 49.8 million in 2021, with inventory turnover days increasing to 96 days from 91 days[40]. - For handbag products, inventory aging showed a decrease in the 0 to 90 days category to HKD 9.394 million in 2022 from HKD 16.039 million in 2021, while inventory over 1 year increased to HKD 18.419 million from HKD 13.807 million[41]. - The company holds financial assets with a fair value of HKD 20.1 million, with a recognized fair value loss of approximately HKD 22.1 million[26]. Corporate Governance and Management - The board consists of six members, including three executive directors and three independent non-executive directors, with one female director, achieving gender diversity at the board level[73]. - The company emphasizes a strong corporate culture aligned with its vision and business strategy, focusing on integrity and ethical standards[66]. - The board held four regular meetings during the reporting year, ensuring timely responses to investment opportunities and internal matters[73]. - The company has implemented training programs to enhance necessary standards of ethics and integrity among its employees[67]. - The company has adopted the corporate governance code as its own governance practices, ensuring effective accountability[64]. - The board has authorized executive directors and senior management to handle daily responsibilities, ensuring efficient operational management[73]. - The board of directors has demonstrated adequate commitment to the group's affairs, with all executive directors being suitably qualified and experienced to fulfill their roles effectively[74]. - The company has implemented a board diversity policy, emphasizing the importance of diverse skills, experiences, and perspectives among board members to enhance decision-making[84]. Risk Management and Compliance - The board is responsible for risk management and internal control systems, which aim to reduce operational risks rather than eliminate them[109]. - The company has not been aware of any significant non-compliance with relevant laws and regulations during the year[188]. - The company is committed to compliance with legal and regulatory requirements and has established policies to monitor adherence[110]. - The audit committee has reviewed the financial statements for the year ended December 31, 2022, and discussed audit, internal control, and risk management matters with management[189]. Environmental, Social, and Governance (ESG) - The company emphasizes the importance of environmental, social, and governance (ESG) management and reporting, with the board responsible for overseeing these issues[193]. - The environmental, social, and governance report for the year ended December 31, 2022, reflects the company's sustainable development performance and challenges[194]. - The company actively engages with stakeholders to enhance transparency and facilitate investor relations[200]. - An investor relations policy has been established to ensure timely and fair access to information regarding the company[200]. - The board regularly reviews ESG matters and takes appropriate measures to improve the company's ESG performance[199]. Employee and Director Compensation - The company has implemented a compensation and benefits policy to retain loyal employees, recognizing them as a key asset[176]. - The remuneration committee, consisting mainly of independent non-executive directors, held three meetings during the reporting year to assess director compensation and review senior management performance[88]. - As of December 31, 2022, there were 4 senior management members earning between 0 to 1,000,000 HKD and 1 member earning between 1,000,001 to 3,000,000 HKD[91]. - The compensation committee reviewed and recommended the year-end bonuses and compensation packages for executive directors and senior management, including salary adjustments[89].

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佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部分內容而產生或因依賴該等內容而引致之任何損失承擔任何責任。 MILAN STATION HOLDINGS LIMITED 米 蘭 站 控 股 有 限 公司 （於開曼群島註冊成立的有限公司） （股份代號：1150） 截至二零二二年十二月三十一日止年度 全年業績公佈 財務摘要 • 截至二零二二年十二月三十一日止年度的收益為約233.3百萬港元，較截至 二零二一年十二月三十一日止年度的約245.0百萬港元減少4.8%。 • 截至二零二二年十二月三十一日止年度的毛利為約54.8百萬港元，較截至 二零二一年十二月三十一日止年度的約70.9百萬港元減少22.7%。 • 截至二零二二年十二月三十一日止年度的銷售開支為約48.1百萬港元，較截 至二零二一年十二月三十一日止年度的約51.1百萬港元減少5.9%。 • 截至二零二二年十二月三十一日止年度的本公司擁有人應佔虧損為約45.9 百萬港元，較截至二零二一年十二月三十一日止年度的溢利約20.5百萬港元 ...

米蘭站 Milan Station 米 蘭 站 控 股 有 限 公 司 MILAN STATION HOLDINGS LIMITED (Incorporated in Cayman Islands with limited liability) STOCK CODE : 1150 INTERIM 2022 中期報告 目錄 米蘭站控股有限公司 中期報告 2022 頁次 公司資料 2 | --- | |------------------------------| | | | 簡明綜合損益表 | | 簡明綜合損益及其他全面收益表 | | 簡明綜合財務狀況表 | | 簡明綜合權益變動表 | | 簡明綜合現金流量表 | | 簡明綜合中期財務報表附註 | | 管理層討論與分析 | | 其他資料 | 4 5 6 7 8 9 18 25 1 公司資料 米蘭站控股有限公司 中期報告 2022 | --- | --- | |----------------------------------------|----------------------------------| | 董事會 | 核數師 | | 執行董事 | 長青（ ...

Financial Performance - Gross profit margin increased to 28.9% in 2021 from 24.1% in 2020[13] - Net profit margin improved to 9.0% in 2021, recovering from a loss of (1.8)% in 2020[13] - Return on assets rose to 12.8% in 2021, compared to (1.9)% in 2020[13] - Return on equity increased to 16.4% in 2021, up from (2.8)% in 2020[13] - Total revenue increased by approximately 39.2% to about HKD 245 million, compared to approximately HKD 176 million in the previous year[25] - The gross profit rose to approximately HKD 70.9 million, reflecting a 66.8% increase year-on-year[25] - The net loss turned into a net profit of approximately HKD 22.2 million, primarily due to an increase in revenue and fair value gains[25] - For the year ended December 31, 2021, total revenue was approximately HKD 245.0 million, representing a 39.2% increase from HKD 176.0 million in 2020[37] - The sales cost for the year was approximately HKD 174.1 million, an increase of 30.4% year-on-year, consistent with revenue growth[39] - Gross profit increased by HKD 28.4 million to approximately HKD 70.9 million, with a gross margin rising from 24.1% to 28.9%[40] Liquidity and Financial Position - Current ratio improved to 4.5 in 2021 from 3.2 in 2020, indicating better liquidity[13] - The group’s debt-to-equity ratio, current ratio, and quick ratio as of December 31, 2021, were approximately 13.7%, 4.5, and 2.9 respectively, compared to 19%, 3.2, and 2.3 as of December 31, 2020[51] - As of December 31, 2021, the total cash and cash equivalents, total liabilities, and total equity of the group were approximately HKD 28.6 million, HKD 38.2 million, and HKD 133.8 million respectively, compared to HKD 67.6 million, HKD 53.4 million, and HKD 133.3 million as of December 31, 2020[51] - The company held financial assets with a fair value of HKD 36.1 million as of December 31, 2021, with fair value gains and profits from sales amounting to approximately HKD 14.2 million and HKD 3.2 million, respectively[27] Market and Growth Strategies - The company aims to strengthen its market position in Hong Kong and expand into the second-hand handbag and luxury watch markets[19] - Future growth strategies include opening retail stores in local shopping malls and negotiating rent reductions to control costs[19] - The company plans to continue monitoring market trends and invest in brand and business development for sustainable growth[18] - The outlook for 2022 remains cautious due to ongoing pandemic challenges, but recovery is anticipated if vaccination efforts succeed[18] Sales and Revenue Insights - Sales in Hong Kong increased by 40.8% to approximately HKD 242.9 million, driven by five "Milan Station" retail stores and eight "THANN" retail stores[27] - The Macau market revenue decreased by 40.0% to approximately HKD 2.1 million, impacted by the recovery of the gaming and tourism sectors[29] - The handbag category accounted for over 81.9% of total revenue, with sales from unsold products increasing to approximately HKD 192.4 million, representing 78.5% of total revenue[35] - The retail sales value in December 2021 was estimated at HKD 33.3 billion, a 6.1% increase compared to December 2020, indicating a recovery in the retail sector[23] Inventory Management - Inventory turnover days decreased to 91 days in 2021 from 107 days in 2020, reflecting improved inventory management[13] - Total inventory as of December 31, 2021, was HKD 49.8 million, up from HKD 37.8 million in 2020, with inventory turnover days decreasing from 107 days to 91 days[41] - The group’s inventory includes handbags, skincare products, and other related items, with future salability dependent on changing consumer preferences and fashion trends[196] Corporate Governance and Management - The company has adhered to all applicable provisions of the corporate governance code during the reporting year[65] - The board consists of six members, including three executive directors and three independent non-executive directors, with at least one independent director possessing professional and accounting qualifications as required by listing rules[68] - The company aims to enhance shareholder value through effective governance and decision-making processes[78] - The company encourages continuous professional development for directors, requiring them to submit signed training records quarterly, although no specific training courses were reported for the year[76] - The company has adopted a diversity policy, emphasizing the importance of diverse perspectives and skills in meeting the company's business needs[79] Risk Management and Compliance - The company is committed to compliance with relevant laws and regulations, with no known significant non-compliance issues reported during the year[185] - The company faces strategic, operational, and financial risks due to unpredictable external market conditions[176] - The board confirmed the effectiveness of the risk management and internal control systems as of December 31, 2021[108][116] Employee and Compensation Policies - The number of employees increased to 69 from 61 in the previous year, reflecting the company's growth strategy[50] - Selling expenses amounted to approximately HKD 51.1 million, representing 20.9% of total revenue, up from 18.5% in 2020[46] - The company regularly reviews compensation and benefits policies to retain loyal employees, considering individual performance and industry standards[173] Environmental and Social Responsibility - The company has adopted an environmental and social responsibility policy, implementing various energy-saving and waste-reduction measures in daily operations[172] - The company actively engages with stakeholders to share its environmental and social responsibility initiatives[172] Auditor and Financial Reporting - The company has appointed a new auditor, Changqing (Hong Kong) CPA Limited, effective January 18, 2022, following the resignation of the previous auditor[187] - The Audit Committee held two meetings during the reporting year and reviewed the financial reporting procedures and internal control systems[95][97] - The auditor's fees for the year amounted to HKD 620,000 for audit services[98]