SUNDART HLDGS(01568)

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承达集团(01568) - 2024 - 中期业绩
2024-08-29 09:44
Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 2,766.1 million, representing a 29.5% increase from HKD 2,135.2 million in the same period of 2023[1] - Gross profit for the same period was HKD 384.9 million, up 41.7% from HKD 271.6 million year-on-year[1] - The profit attributable to the company's owners for the six months ended June 30, 2024, was HKD 167.2 million, a 47.2% increase compared to HKD 113.6 million in the previous year[2] - Basic and diluted earnings per share increased to HKD 7.75, up 47.3% from HKD 5.26 in the prior period[3] - The company reported a net profit before tax of HKD 214.6 million for the period, compared to HKD 146.6 million in the previous year[2] - The group recorded a net other loss of HKD 27.8 million, primarily due to an increase in fair value losses on financial assets[44] - Net profit for the period increased by HKD 53.6 million or 47.2% to HKD 167.2 million[45] Assets and Liabilities - Total equity attributable to the company's owners as of June 30, 2024, was HKD 3,596.4 million, reflecting a 4.5% increase from HKD 3,442.3 million at the end of 2023[1] - The total assets as of June 30, 2024, were HKD 6,346.7 million, compared to HKD 6,701.1 million at the end of 2023[4] - Current liabilities decreased to HKD 3,303.4 million from HKD 3,798.4 million at the end of 2023[4] - The net current assets as of June 30, 2024, were HKD 3,043.2 million, an increase from HKD 2,902.7 million at the end of 2023[5] - Trade receivables (net value) as of June 30, 2024, were HKD 1,802,362,000, an increase from HKD 1,585,762,000 as of December 31, 2023, indicating growth in receivables[22] - The total amount of trade receivables aged over 90 days increased to HKD 807,408,000 as of June 30, 2024, compared to HKD 547,213,000 in the previous year, suggesting potential collection issues[24] - The total accounts payable and other payables were HKD 2,197,499, a decrease of 15.7% from HKD 2,605,838 on December 31, 2023[33] Revenue Breakdown - Revenue from interior decoration contracts was HKD 2,762,909 for the six months ended June 30, 2024, compared to HKD 2,123,795 for the same period in 2023, reflecting a growth of about 30.1%[10] - The total external revenue from the Hong Kong market was HKD 1,078,457 for the six months ended June 30, 2024, compared to HKD 738,506 for the same period in 2023, marking a growth of around 46%[12] - The group’s revenue from the Macau market was HKD 41,867 for the six months ended June 30, 2024, compared to HKD 18,434 for the same period in 2023, representing a growth of approximately 127.5%[10] - The group’s revenue from Singapore was HKD 734,305 for the six months ended June 30, 2024, compared to HKD 473,992 for the same period in 2023, reflecting an increase of about 55%[10] - The group’s revenue from China was HKD 908,280 for the six months ended June 30, 2024, compared to HKD 892,863 for the same period in 2023, indicating a slight increase of around 1.7%[10] - The group’s total revenue from construction and renovation projects was HKD 3,010 for the six months ended June 30, 2024, down from HKD 11,041 for the same period in 2023, representing a decline of approximately 72.7%[9] Dividends and Shareholder Returns - The company does not recommend the payment of an interim dividend for the period[1] - The board does not recommend the payment of an interim dividend during the period[61] Market and Economic Conditions - The Hong Kong economy experienced a moderate growth of 2.7% year-on-year in Q1 2024, driven by increased visitor numbers and growth in travel and transportation services[35] - Macau's GDP is projected to grow by 25.7% year-on-year in Q1 2024, driven by a 65.5% increase in total gaming revenue[36] - The total number of visitors to Macau in Q1 2024 increased by 79.4% year-on-year to 8.9 million[36] - The Chinese government's measures are expected to bring an additional shopping consumption of HKD 8.8 billion to HKD 17.6 billion annually for Hong Kong, along with an economic value added of HKD 2.7 billion to HKD 5.4 billion[58] - The anticipated easing of interest rate policies by the US Federal Reserve is expected to positively impact the Hong Kong property market[58] Operational Efficiency - The group has implemented strict cost management to optimize resource utilization and efficiency[38] - The company plans to focus on high-quality domestic projects and cautiously develop its business in response to macroeconomic conditions and national policies[60] - The group aims to optimize its business layout and improve management models to adapt to the challenging external environment[61] Employee and Workforce - The total employee costs for the group increased by HKD 27.5 million or 13.0% year-on-year to HKD 239.1 million, up from HKD 211.6 million in the previous period[57] - The group has 1,757 employees as of June 30, 2024, down from 1,782 employees as of December 31, 2023[57] Compliance and Governance - The company has adhered to the corporate governance code and has confirmed compliance with the standards for securities trading by directors[62] - The interim financial results have been reviewed by the board's audit committee, ensuring adherence to accounting principles and policies[62] - No significant events have occurred post-reporting period that would materially affect the group's operational and financial performance[56]
承达集团(01568) - 2023 - 年度财报
2024-04-29 10:52
Corporate Governance - The board of directors consists of nine members, including five executive directors, one non-executive director, and three independent non-executive directors as of December 31, 2023[2]. - The board held a total of 15 meetings during the year, with 4 being regular meetings[3]. - Executive directors attended all 15 board meetings, demonstrating full engagement in governance[4]. - The company has an independent management team led by experienced senior management, ensuring effective execution of business strategies[2]. - The company has a clear governance structure, with specific powers delegated to management while retaining key strategic decisions for board approval[2]. - The board's oversight includes monitoring the execution of policies and strategies, ensuring alignment with the overall business plan[2]. - The company emphasizes the importance of regular board meetings, adhering to corporate governance codes[3]. - The independent non-executive directors play a crucial role in the audit and nomination committees, contributing to the company's governance[6][7]. - The company is committed to maintaining high standards of corporate governance and transparency in its operations[2]. - The company continues to integrate effective corporate governance elements into its management structure and internal procedures[12]. - The company has established policies and procedures that comply with the corporate governance code principles[14]. - The company has maintained high levels of corporate governance and has applied the principles of the corporate governance code throughout the year[15]. Financial Performance - The group's revenue for the year was HKD 5,461.3 million, an increase of 16.7% from HKD 4,678.6 million in the previous year[53]. - The net profit for the year was HKD 330.3 million, up 15.0% from HKD 287.5 million in the previous year[53]. - Basic and diluted earnings per share were HKD 0.1530, compared to HKD 0.1332 in the previous year[53]. - The group's total revenue increased by HKD 782.7 million or 16.7% to HKD 5,461.3 million (previous year: HKD 4,678.6 million), while gross profit rose by HKD 32.5 million or 4.9% to HKD 696.2 million (previous year: HKD 663.7 million)[65]. - The gross profit margin decreased to 12.7% from 14.2% in the previous year, primarily due to changes in the interior decoration business[65]. - The group recorded net other income of HKD 22.1 million, a decrease from HKD 30.6 million in the previous year, primarily due to increased losses from fair value changes of financial assets[91]. - The group's profit for the year increased by HKD 42.8 million or 14.9% to HKD 330.3 million, consistent with the growth in gross profit[92]. - Basic and diluted earnings per share for the year were HKD 0.1530, an increase of HKD 0.0198 or 14.9% compared to the previous year[93]. Market Presence and Operations - The company has expanded its interior decoration engineering business to Macau, China, and Singapore since 2005, 2017, and 2021 respectively[37]. - The company is a leading integrated interior decoration contractor in Hong Kong, Macau, China, and Singapore, specializing in commercial buildings, hotels, and residential properties[37]. - The company has undertaken multiple large-scale interior decoration projects in Hong Kong, Macau, China, and Singapore[26]. - The group operates a manufacturing base and R&D center in Dongguan, China, with a total building area exceeding 40,000 square meters, producing fire-resistant wooden doors and wooden furniture[63]. - The group is engaged in integrated interior decoration projects primarily in Hong Kong, Macau, Singapore, and China, with global operations in manufacturing, procurement, and distribution of interior decoration materials[64]. - The group plans to actively seek opportunities in large and high-end interior decoration projects in Macau, driven by a projected increase in non-gaming investments[138]. - The group will continue to monitor market developments in Hong Kong, Macau, Singapore, and China closely, while gradually expanding into overseas markets like Singapore[139]. Risk Management - The company has a comprehensive risk management framework in place, with board members possessing extensive experience in risk consulting and management accounting[22]. - The group faces various business risks and challenges, including reliance on a few major customers, which could significantly impact its business and financial condition if these customers are lost[64]. - The group's financial management principles emphasize minimizing financial and operational risks, relying primarily on internally generated funds for business operations[123]. Environmental, Social, and Governance (ESG) - The company has a commitment to environmental, social, and governance (ESG) reporting and practices[22]. - The company aims to reduce paper and toner consumption by at least 5% and has achieved a reduction of over 53% in paper and toner usage[170]. - The company has implemented policies to manage waste and emissions, adhering to various environmental regulations across regions[169]. - The group aims to lower electricity consumption and greenhouse gas emissions by at least 5%[190]. - The group has committed to using energy-efficient appliances and equipment to manage potential climate change risks[178]. - The group strictly adheres to regulations regarding wastewater disposal, ensuring no direct discharge of pollutants into open water bodies[196]. Employee Management and Training - The total employee cost for the year decreased by HKD 11.0 million or 2.1% to HKD 502.5 million, attributed to an 8.3% decline in average employee numbers[136]. - The overall employee training participation rate decreased to 5.85% in 2023 from 6.51% in 2022, with 1,241 employees trained compared to 1,509 the previous year[164]. - The training participation rate for male employees was 6.33% in 2023, down from 6.93% in 2022, while female participation decreased to 3.81% from 4.72%[164]. - The average training hours per employee decreased to 0.56 hours in 2023 from 0.72 hours in 2022, reflecting a decline of about 22.2%[186]. - The company emphasizes employee well-being through various activities, promoting work-life balance and social connections[165]. Future Outlook - The outlook for 2024 anticipates a slow recovery in the global economy, with various government measures expected to positively impact the property market in Hong Kong[108]. - For 2024, the group aims to align its development plans with national and regional strategies, focusing on opportunities from the Guangdong-Hong Kong-Macao Greater Bay Area and the Belt and Road Initiative[139]. - The group plans to explore new development models and opportunities while maintaining strict cost control measures in response to ongoing business challenges[80].
承达集团(01568) - 2023 - 年度业绩
2024-03-27 11:04
Financial Performance - Revenue for the year ended December 31, 2023, was HKD 5,461.3 million, representing a 16.7% increase from HKD 4,678.6 million in 2022[7] - Gross profit for 2023 was HKD 696.2 million, with a gross margin of 12.7%, down from 14.2% in 2022[7] - Profit attributable to owners of the company increased by 14.9% to HKD 330.3 million from HKD 287.5 million in the previous year[7] - The company reported a basic and diluted earnings per share of HKD 15.30, up from HKD 13.32 in 2022, reflecting a 14.9% increase[7] - The company’s total assets as of December 31, 2023, were reported at HKD 2,195,466, an increase from HKD 2,000,813 in 2022[140] - The company reported total liabilities (bank borrowings) to equity ratio of 0.01% as of December 31, 2023, down from 0.02% in 2022[106] - The company’s financing costs decreased to HKD 834 from HKD 1,118 in the previous year, reflecting improved financial management[138] - The group reported a profit before tax of HKD 384,897,000 for 2022, with a significant increase in tax expenses to HKD 58,507,000 in 2023 from HKD 45,908,000 in 2022[181] Assets and Liabilities - Total assets less current liabilities amounted to HKD 3,450.1 million, compared to HKD 3,259.3 million in 2022[11] - The company’s non-current assets decreased to HKD 231.2 million from HKD 323.0 million in 2022[4] - Trade and other payables increased to HKD 2,913.3 million from HKD 2,626.4 million in 2022[4] - The total value of trade receivables (gross) was HKD 3,202.0 million in 2023, compared to HKD 2,994.3 million in 2022[85] - As of December 31, 2023, the accounts payable and other payables amounted to HKD 2,123.5 million, up from HKD 1,863.6 million as of December 31, 2022[192] Revenue Sources - The group reported external revenue of HKD 4,678,627 for the year, with a segment profit of HKD 381,123[48] - Revenue from interior decoration contracts for 2023 was HKD 5,450,273,000, representing an increase of 18.4% compared to HKD 4,605,440,000 in 2022[171] - The increase in revenue is primarily attributed to multiple large-scale interior decoration projects in Hong Kong and Singapore, generating an additional HKD 1,762.9 million[196] - The group’s revenue from the interior decoration business increased by HKD 844.9 million or 18.3% to HKD 5,450.3 million, compared to HKD 4,605.4 million in the previous year[196] Cash Flow and Dividends - Cash and cash equivalents increased to HKD 1,876.7 million from HKD 1,527.7 million in 2022[4] - The company did not recommend the payment of a final dividend for the year[7] - The company declared a final dividend of HKD 0.06 per share for 2022, down from HKD 0.07 per share in 2021[55] Operational Highlights - The company completed a total of 19 interior decoration projects during the year, with a total contract value of 1,764.2 million HKD, of which 423.4 million HKD was recognized as revenue[66] - As of December 31, 2023, the company had 66 ongoing projects with a total contract value of 10,288.3 million HKD and remaining work value of 5,670.5 million HKD[66] - The company’s employee costs decreased by 11.0 million HKD or 2.1% to 502.5 million HKD, primarily due to an 8.3% reduction in average headcount[80] - The company aims to expand into overseas markets such as Singapore and align its development plans with national and regional strategies to leverage opportunities from the Greater Bay Area and Belt and Road initiatives[82] Market Conditions - The number of visitors to Macau in 2023 was approximately 28.2 million, averaging 77,000 visitors per day, which is 70% of the levels seen in 2019[64] - The total gaming revenue in Macau for 2023 was 183.1 billion MOP, reflecting a year-on-year increase of 333.8%[64] - The overall business environment faces significant challenges due to global trade friction and geopolitical uncertainties, impacting the interior decoration industry[195] - The Hong Kong economy showed a real GDP growth of 3.2% in 2023, despite facing global political tensions and rising interest rate pressures[92] Future Outlook - The company anticipates a slow recovery of the global economy in 2024, with complex geopolitical situations potentially hindering growth in Hong Kong[110] - The company is focusing on expanding domestic demand to foster a virtuous cycle of consumption and investment, aiming for sustained growth post-pandemic[111] - The company expects the Federal Reserve may lower interest rates, which could boost public confidence in the real estate market in Hong Kong[110] Governance and Compliance - The company is committed to maintaining high levels of corporate governance to ensure stable and transparent operations, which is crucial for attracting investments and creating shareholder value[126] - The company has adhered to the corporate governance code and confirmed compliance with the standards for securities trading by its directors[114] - The company’s audit committee has reviewed the financial principles and policies adopted during the year, ensuring consistency with the audited financial statements[115]
承达集团(01568) - 2023 - 中期财报
2023-09-27 08:46
Revenue and Profitability - For the six months ended June 30, 2023, the group's revenue increased by HKD 95.6 million or 4.7% to HKD 2,135.2 million compared to HKD 2,039.6 million in the previous period[43] - The interior decoration business generated revenue of HKD 2,123.8 million, an increase of HKD 117.5 million or 5.9% year-on-year, primarily due to multiple large-scale projects in Hong Kong and Singapore[38] - The company's basic and diluted earnings per share for the period were 5.26 HKD, an increase of 0.81 HKD or 18.2% year-on-year[44] - The group reported a profit increase of HKD 17.5 million or 18.2% year-on-year, reaching HKD 113.6 million, attributed to higher interest income from bank deposits and reduced impairment losses on contract assets[80] - The profit for the period was HKD 113,581 thousand, compared to HKD 96,052 thousand in the previous period, representing an increase of approximately 18.3%[139] - The total comprehensive income for the period attributable to owners of the company was HKD 86,531,000, compared to HKD 34,664,000 in the same period last year[115] Gross Profit and Margins - The gross profit for the group decreased by HKD 0.8 million or 0.3% to HKD 271.6 million, with a slight decline in gross margin from 13.4% in the previous period to 12.7%[43] - The gross profit from the manufacturing, procurement, and distribution of interior decoration materials decreased by HKD 1.25 million or 96.2% to HKD 0.05 million, with the gross margin dropping from 23.6% to 16.7%[42] - The gross profit from the interior decoration business decreased by 1.0 million HKD or 0.4% to 270.9 million HKD, with a gross profit margin decline from 13.6% to 12.8%[54] - The gross profit from renovation and construction business was 0.6 million HKD, compared to a loss of 0.8 million HKD in the previous period, with a gross profit margin of 5.5%[56] Financial Position and Assets - As of June 30, 2023, the group's net current assets amounted to HKD 2,647.4 million, a decrease of HKD 47.4 million from HKD 2,694.8 million as of December 31, 2022[86] - The group's bank balances and cash totaled HKD 1,150.1 million, down HKD 377.6 million from HKD 1,527.7 million as of December 31, 2022, primarily due to funds used for operating activities and dividend payments[86] - The company's equity attributable to owners decreased from HKD 3,247,628 thousand to HKD 3,204,666 thousand, a decrease of approximately 1.3%[139] - The total assets decreased from HKD 3,259,266 thousand to HKD 3,214,012 thousand, a decline of approximately 1.4%[137] Debt and Liabilities - The bank borrowings as of June 30, 2023, were 0.4 million HKD, a slight decrease from 0.5 million HKD as of December 31, 2022[67] - The debt-to-equity ratio as of June 30, 2023, was 0.01%, down from 0.02% as of December 31, 2022, due to a reduction in bank borrowings[68] - Current liabilities increased to HKD 3,057,477 thousand from HKD 3,433,535 thousand, indicating a reduction of about 10.9%[137] Market and Economic Conditions - The local GDP in Hong Kong grew by 2.7% year-on-year in Q1 2023, marking an end to four consecutive quarters of decline[34] - Macau's GDP experienced a significant growth of 38.8% year-on-year in Q1 2023, driven by the relaxation of border control measures and a surge in visitor numbers[35] - The Chinese government's focus on expanding domestic demand and restoring consumption is expected to stimulate economic growth, with policies aimed at improving the consumption environment[96] Operational Efficiency and Strategy - The group remains committed to improving operational efficiency and maintaining prudent cost control to enhance business resilience[36] - The group will continue to monitor and strengthen its collection measures while adopting a prudent credit policy to mitigate credit risks[70] - The group aims to optimize its business deployment and further develop the Hong Kong-Macau market while cautiously operating in the Chinese market[75] - The company plans to continue expanding its market presence and investing in new technologies[140] Project and Contract Updates - The total contract value of the 57 ongoing projects as of June 30, 2023, was 8,802.3 million HKD, with remaining work valued at 5,845.3 million HKD[53] - The company completed a total of 8 interior decoration projects during the period, with a total contract value of 605.8 million HKD, of which 80.0 million HKD was recognized as revenue[53] - The company anticipates continued growth in the interior decoration market, particularly in China and Macau, driven by ongoing projects and new contracts[196] Other Income and Expenses - The company recorded a net other income of 20.5 million HKD, an increase from 10.8 million HKD in the previous period, primarily due to increased interest income from bank deposits[59] - The company reported a decrease in expected credit loss impairment from HKD 21,445,000 to HKD 12,401,000, indicating improved credit quality[115] - Other income and gains increased significantly to HKD 20,538,000 from HKD 10,787,000, showing a growth of 90.5%[115] Cash Flow and Investments - Cash used in operating activities was HKD (217,574) thousand, an improvement from HKD (352,619) thousand in the previous year[165] - Net cash used in investing activities amounted to HKD (385,340) thousand, compared to a net cash inflow of HKD 50,564 thousand in the prior year[165] - The cash balance at the end of the period was HKD 766,765 thousand, down from HKD 1,270,439 thousand at the end of the previous period[165]
承达集团(01568) - 2023 - 中期业绩
2023-08-28 09:39
Financial Performance - The company reported a pre-tax profit of HKD 146,639,000 for the period[1]. - Total external revenue reached HKD 2,135,173,000, with segment profits amounting to HKD 144,092,000[2]. - The company incurred a loss from an associated company of HKD 5,807,000[5]. - For the six months ending June 30, 2022, total external revenue was HKD 2,039,646,000, with segment profits of HKD 137,810,000[6]. - The company reported a pre-tax profit of HKD 117,312,000 for the same period[5]. - The group's revenue for the six months ended June 30, 2023, was HKD 2,135,173, a slight decrease of 0.4% compared to HKD 2,039,646 for the same period in 2022[20]. - Revenue from interior decoration contracts was HKD 2,123,795, an increase of 5.9% from HKD 2,006,332 in the previous year[20]. - Profit attributable to owners of the company increased by 18.2% to HKD 113.6 million, compared to HKD 96.1 million in the prior period[33]. - The company reported a pre-tax profit of HKD 146.64 million for the period, compared to HKD 117.31 million in the previous year[51]. - Tax expenses for the period totaled HKD 33.45 million, up from HKD 18.91 million in the same period last year[57]. - The company declared a dividend of 6 HKD per share for the year-end 2022, down from 7 HKD per share in 2021[63]. Revenue and Earnings - The basic and diluted earnings per share for the period were HKD 0.09[14]. - Basic and diluted earnings per share rose to HKD 5.26, up from HKD 4.45, reflecting an 18.2% increase[33]. - Other income for the six months ended June 30, 2023, was HKD 23.64 million, significantly higher than HKD 14.17 million in the same period last year[39]. - Interest income increased to HKD 18.29 million from HKD 7.05 million, while rental income rose to HKD 3.36 million from HKD 1.26 million[39]. Assets and Liabilities - The total non-current assets as of June 30, 2023, amounted to HKD 566,577, a marginal increase from HKD 564,436 as of December 31, 2022[16]. - Current assets increased to HKD 5,704,912 from HKD 6,128,365, reflecting a decrease of 6.9%[16]. - The company's equity attributable to owners decreased to HKD 3,204,666 from HKD 3,247,628, a decline of 1.3%[16]. - The total liabilities decreased to HKD 3,214,012 from HKD 3,259,266, indicating a reduction of 1.4%[16]. - The company reported a net current asset value of HKD 2,647,435, down from HKD 2,694,830, a decrease of 1.8%[16]. - As of June 30, 2023, trade receivables amounted to 780,373,000 HKD, a decrease of 15.3% from 921,301,000 HKD as of December 31, 2022[66]. - The company's total liabilities decreased to 2,266,748,000 HKD as of June 30, 2023, from 2,626,377,000 HKD as of December 31, 2022[74]. - The group's net current assets as of June 30, 2023, were HKD 2,647.4 million, a decrease of HKD 47.4 million from HKD 2,694.8 million recorded on December 31, 2022[140]. Business Operations - The company has a strategy focused on interior decoration engineering and construction projects across multiple regions[9]. - The company recognizes revenue based on the completion stage of contracts, which impacts the timing of revenue recognition[9]. - The company has a diversified business model that includes manufacturing, procurement, and distribution of interior decoration materials[9]. - The company completed a total of 8 interior decoration projects during the period, with a total contract value of 605.8 million HKD, of which 80.0 million HKD was recognized as revenue[79]. - The company reported a 60.4% decrease in revenue from renovation and construction activities, down to 11.0 million HKD from 27.8 million HKD in the previous period[81]. - As of June 30, 2023, the company had 57 ongoing projects with a total contract value of 8,802.3 million HKD and remaining work value of 5,845.3 million HKD[79]. - The company expanded its interior decoration business to Singapore in 2021, with approximately 99.5% of its revenue generated from this sector during the period[99]. Market and Economic Conditions - The company’s management emphasized improving operational efficiency and productivity to enhance business resilience amid challenging economic conditions[78]. - The company reported that the Hong Kong economy showed significant improvement, with a year-on-year GDP growth of 2.7% in the first quarter of 2023, ending a previous four-quarter decline[97]. - The construction industry in China saw a total output value of RMB 132,261 billion in the first half of 2023, growing by 5.9% year-on-year, despite a decline in real estate development investment by 7.9%[98]. - The nominal total value of construction works conducted by major contractors in Hong Kong increased by 7.4% year-on-year to 62.6 billion HKD in Q1 2023[76]. Corporate Governance and Compliance - The company emphasizes the importance of effective corporate governance to ensure stable, efficient, and transparent operations, which helps attract investments and create shareholder value[163]. - Independent non-executive directors are required to attend the annual general meeting to gain a balanced understanding of shareholder opinions, although some were absent due to other commitments[164]. - The board's audit committee has reviewed the accounting principles and policies adopted by the group, as well as the unaudited interim financial results[165]. - The company will publish its interim report containing all information required by the listing rules on its website and the Hong Kong Stock Exchange[166]. Future Outlook and Strategy - The group aims to optimize its business deployment and further develop the Hong Kong and Macau markets while following national development strategies[161]. - The group is actively seeking opportunities to participate in large-scale and high-end interior decoration projects in Macau as investment and construction projects are expected to increase[160]. - The Hong Kong government's "High-end Talent Pass Scheme" is anticipated to boost housing demand and create opportunities in the interior decoration industry[147]. - The group will closely monitor policy developments in China and operate with a prudent approach to business amidst the government's focus on expanding domestic demand[148].
承达集团(01568) - 2022 - 年度财报
2023-04-27 12:31
Company Overview - Sundart Holdings Limited is a leading integrated interior decoration contractor in Hong Kong, Macau, China, and Singapore, specializing in projects for hotels, commercial buildings, and residential properties[5]. - The company has expanded its interior decoration business to Macau, China, and Singapore since 2005, 2017, and 2021 respectively[5]. Financial Performance - The group's revenue for the year was HKD 4,678.6 million, a decrease of 17.8% from HKD 5,689.9 million in the previous year[19]. - The net profit for the year was HKD 287.5 million, down 22.5% from HKD 371.3 million in the previous year, with basic and diluted earnings per share at HKD 0.1332 compared to HKD 0.1720 previously[19]. - The group completed 24 individual contracts for interior decoration projects, each valued at no less than HKD 50 million, along with 3 renovation and construction projects[19]. - In 2022, the group's revenue from interior decoration business decreased by HKD 968 million or 17.4% to HKD 4,605.4 million, compared to HKD 5,573.4 million in the previous year[27]. - The gross profit from the interior decoration business fell by HKD 155.4 million or 19.0% to HKD 664.6 million, with a slight decrease in gross profit margin from 14.7% to 14.4%[28]. - The group anticipates that the easing of travel restrictions in China will accelerate economic recovery and stabilize the real estate market[21]. Strategic Initiatives - The annual report indicates a focus on enhancing operational efficiency and expanding market presence through strategic initiatives[7]. - Sundart Holdings aims to leverage new technologies and product innovations to improve service offerings and customer satisfaction[7]. - The company plans to explore potential mergers and acquisitions to strengthen its market position and diversify its service portfolio[7]. - The group plans to strengthen relationships with existing clients and actively explore cooperation opportunities with new quality clients and overseas markets[22]. - The group will adjust its business layout in response to national policies and market developments in China[21]. Corporate Governance - The company has established a robust internal control committee to ensure financial integrity and compliance[61]. - The management team includes independent directors with extensive experience in finance, law, and taxation, enhancing governance[63][64]. - The board consists of nine members, including five executive directors, one non-executive director, and three independent non-executive directors[75]. - The company has adopted a standard code for securities trading by directors, ensuring compliance throughout the year[74]. - The company has established a risk management framework that includes a risk management team and regular assessments of risks impacting business objectives[113]. Employee and Training Initiatives - The total employee cost for the year increased by HKD 25.1 million or 5.1% to HKD 513.5 million, attributed to a 2.7% rise in average employee numbers[51]. - Employee training programs are in place, including onboarding and on-the-job training, to enhance professional skills[190]. - The average number of employees in 2022 was 1,090 in Beijing and Shanghai, an increase from 1,010 in 2021, while the average in Hong Kong and Macau decreased to 322 from 340[183]. - The company has implemented a stock option plan since December 1, 2015, to reward employees and enhance loyalty[181]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report covers significant issues identified through materiality assessments, including management policies and compliance status[132]. - The company achieved all its ESG goals during the year, as reviewed and approved by management[137]. - The company emphasizes responsible supply chain management and community investment as part of its social responsibility initiatives[146]. - The board has established a risk management framework that incorporates environmental, social, and governance (ESG) factors, including energy consumption and pollution[136]. Stakeholder Communication - The company emphasizes shareholder communication through various channels, including interim and annual reports, and encourages feedback from shareholders[116]. - The company maintains effective communication with stakeholders through various channels, including meetings, surveys, and public forums[140]. - The company emphasizes the importance of stakeholder communication in identifying significant ESG issues affecting long-term sustainability[133].
承达集团(01568) - 2022 - 年度业绩
2023-03-28 09:24
Financial Performance - The company's revenue for the year ended December 31, 2022, was HKD 4,678.6 million, a decrease of 17.8% compared to HKD 5,689.9 million in 2021[2] - Gross profit for the same period was HKD 663.7 million, down 17.9% from HKD 808.8 million in the previous year, maintaining a gross margin of 14.2%[2] - Profit attributable to owners of the company decreased by 22.6% to HKD 287.5 million from HKD 371.3 million in 2021[2] - Basic and diluted earnings per share were HKD 13.32, a decline of 22.6% compared to HKD 17.20 in the prior year[2] - The company reported a pre-tax profit of HKD 336.4 million, down from HKD 432.8 million in the previous year[3] - Other comprehensive income for the year included a loss of HKD 116.2 million, compared to a gain of HKD 31.9 million in 2021[17] - The group recorded a gross loss of HKD 1.0 million with a gross loss margin of 15.9%, compared to a gross profit of HKD 3.5 million and a gross profit margin of 15.6% in the previous year[103] - The group's total revenue decreased by HKD 1,011.3 million or 17.8% to HKD 4,678.6 million, down from HKD 5,689.9 million in the previous year[113] - The gross profit decreased by HKD 145.1 million or 17.9% to HKD 663.7 million, maintaining a stable gross profit margin of 14.2%[113] - The group's net profit for the year decreased by HKD 83.8 million or 22.6% to HKD 287.5 million, compared to HKD 371.3 million in the previous year[114] Revenue Breakdown - Revenue from interior decoration engineering in Hong Kong was HKD 1,734,484, while revenue from construction engineering was HKD 94,084, totaling HKD 1,834,531[29] - Revenue from interior decoration engineering contracts was HKD 4,605,440 in 2022, down from HKD 5,573,435 in 2021, indicating a decrease of about 17.4%[43] - Revenue from renovation and construction engineering contracts was HKD 66,863 in 2022, compared to HKD 94,084 in 2021, showing a decline of approximately 29.0%[43] - Revenue from the manufacturing, procurement, and distribution of interior decoration materials was HKD 22,429, contributing to the total revenue[29] - The group's revenue from the manufacturing, procurement, and distribution of interior decoration materials decreased by HKD 16.1 million or 71.9% to HKD 6.3 million, compared to HKD 22.4 million in the previous year[102] Assets and Liabilities - Total assets as of December 31, 2022, amounted to HKD 6,128.4 million, slightly down from HKD 6,322.2 million in 2021[5] - Current liabilities were HKD 3,433.5 million, compared to HKD 3,801.7 million in the previous year, indicating a reduction in short-term obligations[5] - The net current asset value increased to HKD 2,694.8 million from HKD 2,520.6 million in 2021[5] - The company’s non-current liabilities increased to HKD 3,259,266 in 2022 from HKD 3,231,290 in 2021, reflecting a rise of approximately 0.9%[19] - The company’s equity attributable to owners increased to HKD 3,247,628 in 2022, compared to HKD 3,227,338 in 2021, marking a growth of about 0.6%[19] - The company’s total liabilities related to notes payable were HKD 650.79 million in 2022, down from HKD 839.86 million in 2021, indicating a decrease of about 22.5%[88] Dividends and Shareholder Returns - The board recommended a final dividend of HKD 0.06 per share[2] - The company plans to distribute a final dividend of HKD 0.06 per share for the year, totaling HKD 129,493,000, down from HKD 151,075,000 in the previous year[72] - The group proposed a final dividend of HKD 0.06 per share, representing approximately 45% of the distributable profits for the year[115] Market Outlook and Strategy - The company has plans for market expansion in Macau and China, focusing on interior decoration engineering services[33] - The company is exploring new strategies for product development and technological advancements in the interior decoration sector[33] - The company anticipates future growth through market expansion and potential new strategies, although specific details were not disclosed in the call[36] - The company plans to adapt resources in line with national policies and market trends while expanding collaborations with renowned domestic and international real estate developers[137] - The company will actively seek opportunities in large-scale and high-end interior decoration projects in response to strong housing demand in Hong Kong[134] - The company intends to enhance management and operational efficiency to secure more quality clients and new contracts, aiming for higher profit growth[138] Employee and Operational Costs - Employee costs increased to HKD 513,518,000 in 2022 from HKD 488,443,000 in 2021, an increase of 5.1%[70] - The total employee cost for the year increased by HKD 25.1 million or 5.1% to HKD 513.5 million, attributed to a 2.7% rise in average employee numbers[133] Economic Environment - The local GDP of Hong Kong contracted by 3.5% year-on-year in 2022, influenced by ongoing global economic challenges[90] - The total nominal value of construction projects conducted by major contractors in Hong Kong in 2022 was HKD 247.1 billion, representing a year-on-year growth of 5.7%[91] - The total nominal value of construction projects on private land in Hong Kong was HKD 66.7 billion, with a year-on-year increase of 7.2%[91] - The total number of visitors to Macau in 2022 decreased by 26% to 5.7 million, impacting the hotel and gaming sectors[92] - The gross gaming revenue in Macau for 2022 was MOP 42.2 billion, down 51.4% year-on-year[92] Compliance and Governance - The audit committee consists of three independent non-executive directors, ensuring compliance with accounting principles and policies[151] - The financial statements have been reviewed and confirmed to be consistent with the audited consolidated financial statements[152] - The annual performance report will be published on the Hong Kong Stock Exchange and the company's website at an appropriate time[153] - The group has not implemented any foreign currency or interest rate hedging policies as of December 31, 2022, and will monitor exchange and interest rate fluctuations closely[129]
承达集团(01568) - 2022 - 中期财报
2022-09-28 09:05
Financial Performance - For the six months ended June 30, 2022, the company's revenue from interior decoration business decreased by HKD 403.2 million or 16.7% to HKD 2,006.3 million, compared to HKD 2,409.5 million for the same period in 2021[25]. - The group's revenue decreased by HKD 418.7 million or 17.0% to HKD 2,039.6 million compared to the previous period[30]. - Gross profit fell by HKD 38.3 million or 12.3% to HKD 272.4 million, with a slight increase in gross margin to 13.4% from 12.6%[30]. - The interior decoration business generated a gross profit of HKD 271.9 million, down HKD 52.3 million or 16.1% year-on-year, while the gross margin slightly increased to 13.6%[26]. - The net profit for the period decreased by HKD 59.5 million or 38.2% to HKD 96.1 million compared to the previous period[32]. - Basic and diluted earnings per share were HKD 0.0445, down HKD 0.0276 or 38.3% year-on-year[33]. - Revenue for the six months ended June 30, 2022, was HKD 2,039,646,000, a decrease of 17.0% compared to HKD 2,458,320,000 for the same period in 2021[84]. - Gross profit for the same period was HKD 272,369,000, down 12.3% from HKD 310,655,000 in 2021[84]. - The net profit attributable to the company's owners for the six months ended June 30, 2022, was HKD 96,052,000, a decrease of 38.3% from HKD 155,604,000 in 2021[84]. Economic Environment - The Hong Kong economy contracted by 4.0% year-on-year in the first quarter of 2022, reversing the growth trend of the previous four quarters[20]. - Macau's GDP fell by 8.9% year-on-year in the first quarter of 2022, reflecting weak overall demand due to the ongoing impact of the COVID-19 pandemic[21]. - The average occupancy rate of hotel rooms in Macau decreased by 4.1% year-on-year to 40.8% in the first quarter of 2022[21]. - The construction value of major contractors in Hong Kong decreased by 1.1% year-on-year to HKD 55.9 billion in the first quarter of 2022[20]. - The Chinese government has implemented 33 measures to stabilize the economy, which is expected to lead to a recovery in the second half of 2022[53]. Project and Contract Information - The total contract value of ongoing and signed but not yet started projects as of June 30, 2022, amounted to HKD 9,728.8 million, with remaining work value of HKD 6,037.8 million[25]. - The company completed a total of six interior decoration projects during the period, with a total contract value of HKD 599.0 million, of which HKD 67.3 million was recognized as revenue[25]. - The company holds 65 projects on hand as of June 30, 2022, including 25 in Hong Kong, 2 in Macau, 37 in China, and 1 in Singapore, each with a contract value of no less than HKD 50.0 million[25]. - External revenue from interior decoration projects in Macau reached HKD 461,003,000, while revenue from projects in China was HKD 980,254,000[125]. - The total segment revenue for the six months ended June 30, 2022, was HKD 2,143,262,000 after inter-segment eliminations[125]. Financial Position and Assets - As of June 30, 2022, the group's net current assets were HKD 2,450.3 million, a decrease of HKD 70.3 million from HKD 2,520.6 million on December 31, 2021[39]. - The group's total debt to equity ratio was 1.4% as of June 30, 2022, down from 2.6% on December 31, 2021, primarily due to a reduction in bank borrowings[41]. - The group's bank borrowings decreased to HKD 44.4 million as of June 30, 2022, from HKD 84.5 million on December 31, 2021[39]. - The company's total assets as of June 30, 2022, were HKD 5,445,490,000, compared to HKD 6,322,246,000 as of December 31, 2021, indicating a decrease of 13.8%[87]. - The company's equity attributable to owners was HKD 3,110,927,000 as of June 30, 2022, down from HKD 3,227,338,000 at the end of 2021, a decline of 3.6%[87]. Cash Flow and Dividends - The company paid dividends totaling HKD 151,075,000 during the period, down from HKD 172,657,000 in the previous year, indicating a strategic adjustment in cash distribution[93]. - The company's cash and cash equivalents decreased by HKD 499,024,000 during the six months ended June 30, 2022, compared to a decrease of HKD 631,778,000 in the same period of 2021, showing a reduction in cash outflow[93]. - Net cash used in operating activities was HKD (352,619,000), an improvement from HKD (417,932,000) in the prior year, reflecting better operational efficiency[93]. - The company does not recommend the payment of an interim dividend for the period[56]. Employee and Operational Costs - The total employee costs increased by HKD 29.7 million or 14.9% to HKD 229.7 million for the period, attributed to a 13.8% rise in average employee numbers[49]. - The total employee costs, including directors' remuneration, increased to HKD 229,686,000 for the six months ended June 30, 2022, compared to HKD 200,037,000 in the same period of 2021, reflecting a rise of approximately 14.8%[157]. Risk Management and Compliance - The group will continue to enhance its collection measures and adopt a prudent credit policy to mitigate credit risk, despite facing delays in project settlements from property developers[46]. - The group has no significant contingent liabilities as of June 30, 2022, indicating a stable risk profile[43]. - The internal control committee reviewed the group's compliance with sanctions laws and found that all guidelines and procedures were effectively followed during the period[75]. Shareholder Information - As of June 30, 2022, the company has issued 2,158,210,000 shares[65]. - Liu Choi Wong holds a 59.38% stake in the company through controlled entities[58]. - The largest shareholder, Reach Glory, also holds a 59.38% stake in the company[64]. - The company has not granted any share options or exercised any during the reporting period[71].
承达集团(01568) - 2021 - 年度财报
2022-04-27 09:29
Company Overview - Sundart Holdings Limited is a leading integrated interior decoration contractor in Hong Kong, Macau, and China, specializing in residential, commercial, and hotel projects[2]. - The company expanded its interior decoration business to Macau in 2005 and to China in 2017, enhancing its market presence[2]. - In 2010, Sundart acquired a registered general contractor, enhancing its capabilities in construction and interior decoration services[2]. - The company manufactures interior decoration wood products in Dongguan, with most products used in its projects[2]. Financial Performance - Sundart's financial performance and user data for 2021 are detailed in the annual report, highlighting significant project completions and revenue growth[10]. - The group's revenue for the year was HKD 5,689.9 million, a decrease of 4.0% from HKD 5,929.1 million in the previous year[29]. - The net profit for the year was HKD 371.3 million, down from HKD 406.5 million in the previous year, representing a decline of 8.7%[29]. - Basic and diluted earnings per share were HKD 0.1720, compared to HKD 0.1883 in the previous year, reflecting a decrease of 8.4%[29]. - The group completed 38 individual contracts for interior decoration projects, each valued at no less than HKD 50 million, along with 2 renovation and construction projects[29]. - The group's revenue from renovation and construction business decreased by HKD 174.2 million or 64.9% to HKD 94.1 million, compared to HKD 268.3 million in the previous year[47]. - The gross loss from renovation and construction business increased by HKD 12.7 million or 604.8% to HKD 14.8 million, with a gross loss margin rising from 0.8% to 15.7%[47]. - The group's total revenue decreased by HKD 239.2 million or 4.0% to HKD 5,689.9 million, down from HKD 5,929.1 million in the previous year[52]. - The gross profit decreased by HKD 105.8 million or 11.6% to HKD 808.8 million, with the gross profit margin declining to 14.2% from 15.4%[52]. Market Outlook - The company aims to continue expanding its market presence and capabilities through strategic acquisitions and new project developments[2]. - Future outlook includes a focus on new product development and technology advancements in the interior decoration sector[2]. - The ongoing COVID-19 pandemic remains the largest uncertainty for the business operations in Hong Kong[30]. - The group aims to leverage its strong brand reputation and project management expertise to navigate current economic challenges[29]. - The development strategy for the Northern Metropolis is expected to enhance connectivity between Hong Kong and the Greater Bay Area, providing opportunities for the construction and interior decoration industry[30]. - The group will continue to monitor and manage risks to minimize any adverse impacts on business operations[30]. - The group aims to strengthen relationships with existing clients and actively expand new cooperation opportunities to drive future growth[34]. - The company anticipates continued economic growth in Hong Kong in 2022, contingent on the control of the local pandemic situation and external economic conditions[77]. - The Chinese government emphasizes a stable economic tone for 2022, with a projected GDP growth of 5.1% according to the World Bank[79]. Corporate Governance - The company continues to integrate effective corporate governance elements into its management structure and internal procedures[101]. - The company aims to uphold rigorous ethical and integrity standards across all business aspects, ensuring compliance with applicable laws and regulations[101]. - The company has established policies and procedures that align with the principles and code provisions of corporate governance[102]. - During the year, the company complied with the code provisions, except for certain deviations due to travel restrictions related to the COVID-19 pandemic[103]. - The board consists of eight members, including four executive directors, one non-executive director, and three independent non-executive directors as of December 31, 2021[104]. - The board held a total of 17 meetings during the year, with four being regular meetings[110]. - The company has adopted a standard code of conduct for securities trading, which all directors confirmed compliance with throughout the year[104]. - The company has three independent non-executive directors, meeting the requirements of the listing rules[114]. - The chairman and the CEO roles are separated, with Mr. Liu serving as chairman and Mr. Ng as CEO, in compliance with governance codes[114]. Risk Management and Compliance - The company has implemented a risk management system to identify, assess, and respond to risks affecting business objectives[155]. - The board conducts an annual review of the effectiveness of the risk management and internal control systems[156]. - The company is committed to ensuring that all disclosures are clear and fair, presenting both positive and negative facts equally[160]. - The company has established a reporting procedure for internal personnel and business partners to report suspicious activities, ensuring confidentiality of the whistleblower's identity and information[200]. - Employees are prohibited from bribing any individuals or companies to obtain or retain business or gain confidential information[200]. Environmental, Social, and Governance (ESG) - The company is committed to corporate social responsibility while focusing on business development[179]. - The environmental, social, and governance report covers significant issues identified through materiality assessments conducted by the management[180]. - The company established a risk management framework to monitor risks related to environmental, social, and governance (ESG) factors, including energy consumption and environmental pollution[188]. - The board is responsible for setting the governance strategy and continuously reviewing the company's ESG performance[188]. - A total of 22 significant ESG issues were identified, with compliance and pollution emissions being among the top concerns[196]. - The company emphasizes the importance of employee welfare, equal opportunities, and occupational health and safety in its ESG strategy[196]. - The board approved the ESG report after management review, ensuring accountability and transparency in ESG matters[186].
承达集团(01568) - 2021 - 中期财报
2021-09-28 08:56
Financial Performance - The group's overall revenue increased by 0.3% to HKD 2,458.3 million, while gross profit decreased by 8.7% to HKD 310.7 million, resulting in a gross profit margin decline to 12.6%[46]. - The company reported a profit of HKD 155,604,000 for the six months ended June 30, 2021, compared to HKD 111,310,000 for the same period in 2020, representing an increase of approximately 39.7%[154]. - Basic earnings per share rose to HKD 7.21, an increase of 39.7% compared to the previous period[49]. - The total comprehensive income for the period attributable to owners was HKD 165,574,000, compared to HKD 98,059,000 in 2020, marking an increase of about 68.7%[105]. - The company reported a pre-tax profit of HKD 189,740,000, up from HKD 147,686,000 in the previous year, which is an increase of approximately 28.5%[105]. Revenue Breakdown - For the six months ended June 30, 2021, the group generated approximately 98.0% of its revenue from interior decoration engineering services[38]. - Revenue from interior decoration engineering contracts was HKD 2,409,531,000, up from HKD 2,327,706,000 in the previous year, indicating an increase of about 3.5%[121]. - Revenue from renovation and construction engineering contracts decreased significantly to HKD 35,962,000 from HKD 121,193,000, reflecting a decline of approximately 70.3%[121]. - The manufacturing, procurement, and distribution of interior decoration materials generated revenue of HKD 12,827,000, compared to HKD 3,098,000 in the prior year, marking an increase of about 314.5%[121]. - The Hong Kong market contributed HKD 920,211,000 to the total revenue, while the Macau and China markets contributed HKD 298,019,000 and HKD 1,240,088,000, respectively[122]. Market Conditions - The Hong Kong GDP grew by 8.0% year-on-year in Q1 2021, ending six consecutive quarters of contraction[35]. - The Macau tourism sector saw a 46.0% decline in visitor numbers in Q1 2021, impacting the local economy[36]. - The group anticipates a recovery in the tourism and hotel sectors due to the easing of COVID-19 restrictions and increased vaccination rates in Hong Kong[66]. - The Macau government has launched several initiatives to promote the recovery of the retail and tourism sectors, including a vaccination program and consumption incentive plans[69]. - The Chinese government aims to establish a strong domestic market with a robust consumer base, targeting at least 70% vaccination coverage by the end of 2021 to aid economic recovery[69]. Operational Strategy - The group is leveraging its strong brand reputation to adapt its operational strategies in response to macroeconomic changes[38]. - The group has secured several large-scale interior decoration projects, which are expected to contribute to stable growth in the coming years[38]. - The company plans to closely monitor market trends to capitalize on opportunities in residential properties, hotels, and shopping centers for interior decoration projects[66]. - The company aims to enhance its product offerings and market presence through strategic investments in new technologies and acquisitions[138]. - The company plans to expand its operations in the Chinese market, where segment assets increased to HKD 2,508,896 thousand from HKD 2,050,112 thousand[141]. Financial Position - As of June 30, 2021, the group had 65 ongoing projects with a total contract value of HKD 7,868.8 million[40]. - As of June 30, 2021, the group's current assets were HKD 5,281.9 million, while current liabilities were HKD 2,999.8 million, resulting in a current ratio of 1.8, up from 1.7 on December 31, 2020[58]. - The total debt-to-equity ratio as of June 30, 2021, was 4.2%, a decrease from 5.5% on December 31, 2020, primarily due to a reduction in bank borrowings[58]. - The company’s bank borrowings decreased from HKD 164,747 million to HKD 124,642 million as of June 30, 2021[108]. - The company reported a decrease in total liabilities to HKD 2,800,559 thousand from HKD 3,031,673 thousand, indicating improved financial health[141]. Shareholder Information - As of June 30, 2021, Mr. Liu holds a significant interest of 59.38% in the company through controlled entities, amounting to 1,281,516,117 shares[74]. - Major shareholders include Reach Glory with a 59.38% stake and Caiyun International Investment Co., Ltd. with a 16.36% stake[78]. - No interim dividend has been recommended by the board for the period[72]. - The company did not declare an interim dividend for the six months ended June 30, 2021, compared to a dividend of HKD 172,657,000 declared for the same period in 2020[153]. Asset Management - The total amount of trade and other receivables was HKD 2,461,867,000 as of June 30, 2021, compared to HKD 2,138,286,000 at the end of 2020, showing an increase in receivables[167]. - The aging analysis of trade receivables shows that amounts overdue by more than 90 days increased to HKD 163,584,000 from HKD 81,195,000 year-over-year[171]. - The company recognized impairment losses of HKD 3,363 thousand for trade receivables and contract assets, a significant decrease from HKD 45,580 thousand in the previous year[146]. - The company provided a credit period of 30 days to related companies, with trade receivables aging over 90 days as of June 30, 2021[175]. - The company anticipates converting contract assets into trade receivables upon issuing progress certificates/invoices during the normal operating cycle[177].