Financial Performance - The group recorded revenue of approximately RMB 1,253,500,000 for the fiscal year ending December 31, 2024, primarily from digital payment solutions in China[8]. - The company recorded revenue of approximately RMB 1,253,500,000, a decrease of about 11.7% compared to RMB 1,419,800,000 in the same period last year[21]. - Gross profit was approximately RMB 157,800,000, with a gross margin of about 12.06%, down from 14.5% in the previous year, representing a decline of approximately 23.3%[21]. - Other income decreased to approximately RMB 8,100,000 from RMB 11,300,000, primarily due to a drop in loan interest income from RMB 3,700,000 to RMB 435,000[22]. - The company reported a net loss of approximately RMB 142,500,000, an increase of about 91.6% compared to RMB 74,400,000 in the previous year[31]. - Cash and cash equivalents as of December 31, 2024, were approximately RMB 54,200,000, down from RMB 79,000,000 in the previous year[32]. - Interest-bearing borrowings increased to approximately RMB 17,300,000 from RMB 12,000,000, with a weighted average effective interest rate of about 3.94%[33]. - Administrative expenses increased to approximately RMB 72,500,000 from RMB 51,000,000, an increase of about 42.2%, mainly due to higher legal and professional fees[26]. Business Strategy and Expansion - The group plans to expand its lending business in Hong Kong, having successfully acquired a licensed money lender and completed its first loan transaction of HKD 15,000,000 in November 2024[18]. - The group aims to diversify its customer base by expanding its loan portfolio in 2025, offering a wider range of secured loans, corporate, and personal loans[18]. - The company plans to continue its light asset and service-oriented business strategy through 2025[19]. - The business strategy for 2025 includes expanding product offerings, enhancing brand recognition, and upgrading IT systems to improve operational efficiency[51]. - The group is committed to leveraging growth opportunities to enhance market share and brand influence in its lending business[18]. Corporate Governance - The board of directors held 22 meetings during the reporting period, with one annual general meeting and one special general meeting conducted[69]. - The company has adopted corporate governance principles in line with the interests of shareholders and has complied with the applicable corporate governance code provisions[61]. - The board believes that the dual role of the chairman and co-CEO enhances operational efficiency and ensures the smooth execution of business strategies[66]. - The company has established three committees: the audit committee, the remuneration committee, and the nomination committee to enhance corporate governance[78]. - The audit committee is composed of three independent non-executive directors and is responsible for overseeing financial reporting and internal control processes[79]. - The company encourages all directors to participate in continuous professional development to ensure they contribute effectively to the board[76]. - The board retains decision-making authority on significant matters including policies, strategies, and financial data[75]. - The company has adopted a shareholder communication policy to provide timely and balanced information to shareholders and potential investors[116]. Risk Management - The group faces significant credit risk related to digital payment solutions, which could adversely affect profitability if customer payments are delayed or defaulted[48]. - The board is responsible for the continuous supervision of the group's risk management and internal control systems, ensuring shareholder interests and asset protection[104]. - An external consultant has been appointed to enhance the group's risk management and internal control, evaluating significant control situations including financial, operational, and compliance risks[105]. - The audit committee confirmed that the external consultant found no significant deficiencies or weaknesses in the internal control system during the review period[106]. Environmental, Social, and Governance (ESG) - The company is committed to sustainable development and adheres to environmental protection laws, aiming to enhance resource efficiency and reduce waste[146]. - The ESG report covers the company's digital payment solutions in China and optical product retail in Malaysia, with ongoing evaluations of ESG issues across different businesses[148]. - The board is responsible for the formulation and execution of the ESG strategy and regularly reviews ESG-related risks and opportunities[155]. - The company has engaged a professional consultancy to ensure the accuracy of environmental key performance indicators in the ESG report[149]. - The group has set specific environmental goals focused on energy conservation, emission reduction, and waste management to support local government carbon neutrality initiatives[167]. Employee Management and Development - The company is committed to providing competitive compensation and benefits to attract and retain talent, including health insurance and employee discounts[192]. - The company has a comprehensive human resources management policy that emphasizes equal opportunity, diversity, and anti-discrimination in recruitment and promotion processes[193]. - A total of 288 employees received training during the reporting period, with approximately 27% being male and 73% female; 94% of employees participated in training, averaging 100 hours each[197]. - The company has initiated a performance management system since 2022 to enhance employee development and ensure fairness and transparency in performance evaluations[200]. - The company is focused on improving workplace health and safety standards, aiming for zero or minimal reportable serious workplace injuries[194]. Diversity and Inclusion - The board diversity policy was adopted on March 23, 2020, emphasizing the importance of diversity for enhancing company performance[93]. - As of December 31, 2024, the gender ratio of employees was approximately 67.6% female and 32.4% male[96]. - The board currently has two female directors, reflecting gender diversity efforts[94]. - The company aims to improve female representation in senior management and provide career development opportunities for women[94].

MOG Digitech Holdings Limited （於開曼群島註冊成立的有限公司） 股份代號：1942 年度報告 2023 | --- | --- | |-------|--------------------------| | | | | 2 | 公司資料 | | 4 | 主席致辭 | | 5 | 管理層討論與分析 | | 15 | 企業管治報告 | | 32 | 董事及高級管理層簡介 | | 36 | 環境、社會及管治報告 | | 64 | 董事會報告 | | 75 | 獨立核數師報告 | | 81 | 綜合損益及其他全面收益表 | | 83 | 綜合財務狀況表 | | 85 | 綜合權益變動表 | | 87 | 綜合現金流量表 | | 89 | 綜合財務報表附註 | | 186 | 財務概要 | 目 錄 公司資料 | --- | --- | |----------------------------------------|-------------------------------------------------------------| | | | | 馬來西亞主要營業地點 | 主要 ...

Environmental Impact - The company generated hazardous waste of 0.092 tons in the 2022 reporting period, an increase from 0.075 tons in the 2021 fiscal year, resulting in a density of 0.0002 tons per employee compared to 0.0001 tons per employee in the previous year[2] - The company produced non-hazardous waste of 10.32 tons in the 2022 reporting period, up from 9.55 tons in the 2021 fiscal year, with a density of 0.0270 tons per employee compared to 0.0186 tons per employee[4] - Water consumption in the 2022 reporting period was 6,809 cubic meters, down from 7,739 cubic meters in the 2021 fiscal year, with a density of 17.8 cubic meters per employee compared to 15.1 cubic meters per employee[12] - The company aims to limit the growth of non-hazardous waste density to no more than 5% in 2023[5] - The company plans to maintain energy consumption density growth to no more than 5% in 2023[9] - The company has implemented measures to promote waste reduction among employees, including double-sided printing and recycling initiatives[5] - The company prioritizes suppliers that provide environmentally friendly products and services to minimize potential environmental and social risks in the supply chain[76] Energy and Resource Consumption - Energy consumption for the 2022 reporting period was 1,074,479 kWh, a decrease from 1,156,705 kWh in the 2021 fiscal year, with a density of 2,813 kWh per employee compared to 2,250 kWh per employee[9] - The company used 6.615 tons of packaging materials in the 2022 reporting period, an increase from 6.420 tons in the 2021 fiscal year, with a density of 0.054 kg per 1,000 MYR revenue compared to 0.062 kg per 1,000 MYR revenue[15] Employee Development and Turnover - Employee turnover rate decreased to 11.4% in 2022 from 22.4% in 2021, showing significant improvement[23] - A total of 536 employees received training during the reporting period, achieving a 100% training participation rate[33] - Average training hours per employee reached 112 hours in 2022, indicating a strong commitment to employee development[33] - The company maintains a 100% training rate for all employee categories, including senior management, middle management, and non-executive staff[34] - The company has implemented comprehensive health and safety policies, with no recorded work-related injuries or fatalities in the past three years[28] Financial Performance - The company reported a significant recovery in annual revenue, reflecting a strong rebound from the impacts of COVID-19, aligning with expectations[49] - For the nine months ending December 31, 2022, the group reported revenue of approximately RMB 344,500,000, a significant increase from RMB 191,900,000 in the previous fiscal year[52] - The group recorded a gross profit of approximately RMB 153,600,000, with a gross margin of 27.9%, down from 30.4% in the previous fiscal year, primarily due to lower margins in the digital retail and payment hardware trade compared to the Malaysian optical business[56] - The group reported a net loss of approximately RMB 23,500,000 for the reporting period, a decline from a net profit of RMB 18,900,000 in the previous fiscal year, largely due to increased administrative expenses and impairment losses[64] Corporate Governance and Compliance - The company maintains a zero-tolerance policy towards corruption and bribery, providing annual training to employees and directors on anti-corruption measures[85] - The company emphasizes compliance with Malaysian labor laws, with no reported violations regarding child labor or forced labor practices[38][39] - The company has established a performance management system to enhance employee development and ensure transparency in achieving key performance indicators[37] Strategic Initiatives and Future Plans - The company plans to diversify its service offerings to include digital retail payment and related services, leveraging its strong retail management relationships[49] - The company aims to identify suitable acquisition or investment targets that complement its growth strategy, particularly in digital retail solutions[184] - The company plans to expand its market presence in region H, targeting a revenue increase of I%[134] Acquisitions and Investments - The acquisition of Jiangxi Mali Intelligent Technology Co., Ltd. was completed in Q4 2022 to enhance the group’s capabilities in the digital retail ecosystem[53] - The company completed the acquisition of Positive Oasis Limited for approximately HKD 137.6 million, paid through the issuance of 98,992,805 shares at HKD 1.39 per share[112] - The acquisition of Chuangtong Development Limited was completed for approximately HKD 88 million, paid in cash, focusing on digital ecosystem research[112] Market and Operational Insights - The total number of employees in Malaysia decreased from 514 in the fiscal year 2021 to 382 as of December 31, 2022, representing a decline of approximately 25.7% compared to a 2.8% increase in the previous fiscal year[89] - The group is focusing on expanding its business operations and reducing reliance on the Malaysian optical product sales market amid signs of recovering consumer confidence[55] - In 2022, the group's optical product-related business in Malaysia steadily recovered due to improved economic activities and external demand[162] Risk Management - The group highlighted significant credit risk associated with new digital retail and payment hardware trade and financing services, which could impact profitability and financial condition[159] - The group has implemented measures to mitigate credit and default risks in its new digital retail and payment hardware business[159] Community Engagement - The group made charitable donations and other contributions amounting to approximately RMB 15,000 during the reporting period[153]

Financial Performance - For the six months ended September 30, 2022, the group recorded revenue of approximately RMB 316.2 million, an increase of approximately RMB 256.4 million or 428.8% compared to approximately RMB 59.8 million for the same period in 2021[11]. - The group's gross profit increased by approximately RMB 45.1 million or 109.3% to approximately RMB 86.4 million, while the gross profit margin decreased from approximately 69.1% to about 27.3%[13]. - Other income decreased by approximately RMB 4.1 million or 49.9% to about RMB 4.2 million, mainly due to reduced wage subsidies and rental concessions[12]. - The net loss for the reporting period was approximately RMB 63.6 million, a significant decline from a profit of about RMB 5.1 million for the six months ended September 30, 2021, mainly due to provisions and stock option expenses[19]. - The company reported a basic and diluted loss per share of RMB (0.13) for the period, compared to earnings of RMB 0.01 in the previous year[63]. - The company reported a significant increase in trade receivables impairment losses, amounting to RMB 21,000 for the six months ended September 30, 2022[112]. - The company recognized approximately RMB 4,179,000 in other income for the six months ended September 30, 2022, compared to RMB 8,348,000 in the same period of 2021, showing a decrease of 50%[125]. - The company reported a significant increase in inventory adjustments, with a net change of RMB 156,250 thousand during the period[80]. Revenue Breakdown - Revenue contributions from China and Malaysia were approximately RMB 186.4 million (59% of total revenue) and RMB 129.8 million (41% of total revenue) respectively[11]. - For the six months ended September 30, 2022, total segment revenue was RMB 316,197,000, with contributions from B2B hardware trading (RMB 186,436,000), optical product sales (RMB 127,064,000), and franchise and licensing management (RMB 2,697,000)[99]. - Revenue from hardware trade amounted to RMB 186,436,000, contributing 59% to the total revenue, while optical product sales generated RMB 127,037,000, accounting for 40%[122]. - The company’s revenue from external customers in China was RMB 186,436,000, while revenue from Malaysia was RMB 129,761,000, representing 59% and 41% of total revenue, respectively[115]. Expenses and Costs - Sales and distribution costs rose by approximately RMB 16.0 million or 48.6% to approximately RMB 49.0 million, primarily due to increased sales commissions and rental costs[14]. - Administrative expenses increased by approximately RMB 89.3 million or 1,099.9% to about RMB 97.4 million during the reporting period, primarily due to stock option expenses and legal claim provisions[15]. - Employee costs rose by 161.6% to approximately RMB 76.0 million for the year ended September 30, 2022, driven by business expansion in China and increased sales-related commissions in Malaysia[29]. - The total employee costs, including directors' remuneration, amounted to RMB 75,960 thousand for the six months ended September 30, 2022, compared to RMB 21,080 thousand in the same period of 2021[141]. - The total depreciation expense for property, plant, and equipment was RMB 9,159 thousand for the six months ended September 30, 2022[142]. Financial Position - The company's cash and bank balances increased to approximately RMB 105.4 million as of September 30, 2022, up from RMB 77.2 million as of March 31, 2022[20]. - The current ratio improved from approximately 1.62 times as of March 31, 2022, to about 3.25 times as of September 30, 2022, due to a disproportionate decrease in current liabilities[25]. - The debt-to-equity ratio decreased from approximately 0.13 times to 0.06 times, attributed to an increase in share capital and share premium during the reporting period[24]. - The company has no significant contingent liabilities as of September 30, 2022, maintaining a stable financial position[28]. - As of September 30, 2022, the total assets amounted to RMB 459,121,000, up from RMB 210,596,000 as of March 31, 2022[66]. - The company’s total equity attributable to owners was RMB 199,270 thousand as of September 30, 2022[72]. - The company’s total assets as of September 30, 2022, were RMB 479,100,000, with reported liabilities of RMB (281,770,000), resulting in net assets of RMB 197,330,000[112]. Strategic Initiatives - The group is focusing on hardware trading in China and is actively seeking suitable acquisition or investment targets to complement its growth strategy[8]. - The company plans to enhance its retail solutions in China, explore suitable acquisitions, and upgrade its IT systems to improve operational efficiency in 2023[37]. - The company aims to enhance its retail business value through a diverse range of products and services, leveraging its business network and retail experience[9]. - The company aims to expand its B2B hardware trading and accounts receivable financing services in the Chinese market following the acquisition of Oasis Group[191]. Corporate Governance and Compliance - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange during the reporting period[46]. - The company has appointed a new auditor, Kai Yuan Xin De, effective December 5, 2022, following the resignation of its previous auditor[44]. - The company changed its financial year-end date from March 31 to December 31, effective from the next financial year following March 31, 2022[44]. Shareholder Information - Major shareholders include Jia Lian, holding 28.17% of the shares, and Jia Fu, also holding 6.26%[58]. - The company did not recommend any interim dividend for the six months ended September 30, 2022, consistent with the previous year[138]. - The company has granted 47,840,000 share options under its share option scheme, representing 8.0% of the total issued shares as of September 30, 2022[180].

Financial Performance - The company's revenue increased from RM 99.2 million to RM 231.3 million, representing a growth of approximately 133.2% for the fiscal year ending March 31, 2022[16]. - The group's revenue increased by approximately 132.1 million MYR or 133.2% to about 231.3 million MYR during the reporting period, driven primarily by the new B2B hardware trading business[24]. - Revenue contributions from China and Malaysia were approximately 126.9 million MYR (55% of total revenue) and 104.4 million MYR (45% of total revenue), respectively[24]. - The group's net profit increased by approximately 0.2 million MYR or 1.6% to about 12.5 million MYR, with a net profit margin decreasing from approximately 12.4% to about 5.4%[34]. - The group's gross profit increased by approximately 1.6 million MYR or 2.3% to about 70.4 million MYR, while the gross margin decreased from approximately 69.4% to about 30.4%[26]. - Cash flow from operating activities was approximately 18.4 million MYR, compared to 28.1 million MYR in the previous year[38]. - Total assets increased by approximately 152.1 million MYR to 317.3 million MYR, while total liabilities rose by approximately 148.0 million MYR to about 186.7 million MYR[35]. Business Expansion - The retail network expanded to 84 owned and 6 franchised retail stores across Malaysia, with 5 new owned stores opening during the reporting period[20]. - The company has successfully expanded its business from Malaysia to China, marking a significant milestone in its operations[16]. - Management expects to expand its geographical coverage to the Chinese market and develop unique products for customers[61]. - The company plans to continue expanding its retail network and upgrading its retail stores[61]. - The B2B hardware trading business has been successfully launched, with management believing it will generate significant long-term revenue[61]. Challenges and Opportunities - The company has faced challenges due to the COVID-19 pandemic but is actively seeking opportunities to enhance revenue and profitability[15]. - The company anticipates a delay in the opening of retail stores due to COVID-19 uncertainties, with five stores opened during the reporting period[67]. - Approximately MYR 43.1 million of the net proceeds remains unutilized due to the impact of COVID-19 on the retail industry[67]. - The company is committed to prudently utilizing the net proceeds in alignment with its long-term interests and development[67]. Corporate Governance - The board of directors acknowledges their responsibility for preparing the company's financial statements in accordance with statutory requirements and applicable accounting standards[85]. - The audit committee held four meetings during the reporting period to review the consolidated financial statements and address significant audit and accounting issues[97]. - The board has established three committees: the audit committee, the remuneration committee, and the nomination committee, to enhance corporate governance[95]. - The company reviewed its compliance with legal and regulatory requirements as part of its corporate governance responsibilities[94]. - The board is responsible for ongoing supervision of the group's risk management and internal control systems, reviewing their effectiveness at least annually[125]. ESG Commitment - The company has established a comprehensive ESG management system to enhance overall ESG performance and accountability across departments[195]. - The ESG report covers the period from April 1, 2021, to March 31, 2022, and is the third report since the company went public[191]. - The company emphasizes the importance of stakeholder engagement to understand risks and opportunities, ensuring effective communication with key stakeholders[197]. - The company aims to achieve sustainable development in the eyewear retail industry as part of its corporate social responsibility[195]. - The company is committed to complying with environmental protection laws and regulations, focusing on efficient resource use and waste reduction[190]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 25% driven by new product launches and market expansion[156]. - New product development includes the introduction of a cutting-edge eyewear line expected to contribute RM 50 million in revenue within the first year of launch[156]. - The company plans to invest RM 20 million in technology upgrades to improve operational efficiency and customer experience[156]. - The management team emphasized the importance of sustainable practices, aiming for a 50% reduction in carbon footprint by 2025[156]. - The company has established a new partnership with a leading technology firm to enhance its digital marketing efforts, expected to increase customer engagement by 40%[156].

Company Overview - MOG Holdings Limited is one of the largest optical product retailers in Malaysia, operating 81 owned and 7 franchised retail stores as of September 30, 2021[18]. - The company offers a wide range of optical products, including international luxury and high-end fashion brands, as well as its own private label products[18]. - The retail network covers various market segments, including high-end, mid-range, and mass markets, with a focus on contact lenses through a dedicated retail brand[18]. - The company has implemented a multi-brand strategy to cater to different consumer demographics in the optical retail market[18]. - As of the reporting period, the company had 10 retail brands to serve various segments of the Malaysian optical retail market[18]. Market Trends - The increasing awareness of eye care and the rising incidence of vision impairment, particularly myopia among children and adolescents, are driving demand for optical products[19]. - The COVID-19 pandemic has significantly increased the use of technology devices, leading to a higher demand for corrective eyewear, especially prescription glasses and contact lenses[19]. - The management believes that the demand for optical products will continue to grow in the future due to the ongoing trends in eye care awareness and technology usage[19]. Financial Performance - The company's revenue decreased by approximately 9.0 million MYR or 18.9% to about 38.5 million MYR for the reporting period, down from approximately 47.5 million MYR for the fiscal period ending September 30, 2020[26]. - Retail business revenue fell by about 19.0% to approximately 38.0 million MYR, primarily due to decreased sales of optical products caused by COVID-19 restrictions[26]. - Gross profit decreased by approximately 5.1 million MYR or 16.1% to about 26.6 million MYR, with a gross profit margin increasing from approximately 66.8% to about 69.1%[28]. - Net profit decreased by approximately 2.3 million MYR or 40.7% to about 3.3 million MYR, resulting in a net profit margin decline from approximately 11.7% to about 8.6%[35]. - For the six months ended September 30, 2021, the company reported revenue of 38,477 thousand MYR, a decrease of 19% from 47,451 thousand MYR in the same period of 2020[86]. - Gross profit for the same period was 26,577 thousand MYR, down from 31,686 thousand MYR, reflecting a decline of approximately 16%[86]. - The company recorded a pre-tax profit of 5,165 thousand MYR, a decrease of 32% compared to 7,626 thousand MYR in the previous year[86]. - Net profit for the period was 3,309 thousand MYR, down 41% from 5,566 thousand MYR year-on-year[86]. Cash Flow and Liquidity - The company's cash and bank balances totaled approximately 107.2 million MYR as of September 30, 2021[25]. - Operating cash flow for the reporting period was approximately 1.7 million MYR, down from about 28.1 million MYR as of March 31, 2021[36]. - The company's cash and cash equivalents stood at 53,547 thousand MYR as of September 30, 2021, compared to 68,343 thousand MYR as of March 31, 2021, showing a decrease of 21.6%[88]. - The net cash used in investing activities was 11,017 thousand MYR, compared to 34,080 thousand MYR in the previous year, reflecting a significant reduction of approximately 67.7%[102]. - The company reported a net cash outflow from financing activities of 4,856 thousand MYR, a stark contrast to the inflow of 54,955 thousand MYR in the prior year[102]. Expenses and Costs - Administrative expenses increased by approximately 0.1 million MYR or 2.0% to about 5.2 million MYR due to higher professional fees[31]. - Employee costs for the year ended September 30, 2021, were approximately MYR 13.6 million, a decrease from MYR 14.1 million for the year ended September 30, 2020, attributed to a reduction in the number of employees and lower sales commissions[46]. - The total income tax expense for the period was RM 1,856,000, a decrease of 10% from RM 2,060,000 in the same period last year[141]. - The total cost of finance, including interest on borrowings, was RM 316,000, down from RM 414,000, marking a decrease of 23.6%[6]. Dividends and Shareholder Information - The group announced a special dividend of HKD 0.02 per share, totaling HKD 10 million, to be paid on October 25, 2021[51]. - The company did not recommend an interim dividend for the six months ended September 30, 2021, compared to RM 8,147,000 in the previous year[150]. - Major shareholders collectively own 75% of the company's issued shares, with each of the three main entities holding 375,000,000 shares[81]. Assets and Liabilities - Total assets as of September 30, 2021, amounted to 139,544 thousand MYR, compared to 139,244 thousand MYR as of March 31, 2021, reflecting a slight increase of 0.22%[88]. - The company's total liabilities as of September 30, 2021, were 18,770 thousand MYR, slightly down from 19,169 thousand MYR as of March 31, 2021[181]. - The group's total equity as of September 30, 2021, was 129,488 thousand MYR, up from 126,464 thousand MYR, reflecting an increase of 2.4%[91]. Future Outlook and Strategies - The company plans to continue expanding its retail network, upgrade and renovate its owned retail stores, and enhance the recognition of its 11 retail brands[57]. - The company targets to open at least 3 new owned retail stores in the upcoming six months, despite delays caused by COVID-19[63]. - The company will continue to monitor market conditions closely and adjust business strategies as necessary in response to the ongoing COVID-19 pandemic[24].

Company Overview - MOG Holdings Limited is one of the largest optical product retailers in Malaysia, offering a wide range of optical products including international brands, proprietary brands, and manufactured brands[17]. - As of March 31, 2021, the company operates a retail network of 79 owned and 7 franchised stores across central, southern, northern, and eastern Malaysia[21]. - The company has adopted a multi-brand strategy with 10 retail brands covering high-end, mid-range, and mass-market segments, along with a brand focused on contact lenses[21]. Impact of COVID-19 - The COVID-19 pandemic has significantly impacted the company's revenue channels and operational processes, with ongoing restrictions likely to affect consumer spending in 2021[18]. - The company’s retail operations were significantly affected by the conditional movement control orders implemented in Malaysia due to COVID-19[27]. - The company experienced delays in the actual application of net proceeds due to the impact of the COVID-19 pandemic, which significantly affected the retail industry[86]. - The company faces significant risks related to public health issues, particularly the ongoing COVID-19 pandemic, which may impact supply chains and customer traffic[70]. Financial Performance - The company's revenue decreased by approximately RM 47.9 million or 32.6% to about RM 99.2 million for the reporting period, down from approximately RM 147.1 million for the year ended March 31, 2020[33]. - Retail business revenue dropped from approximately RM 144.6 million to about RM 98.2 million, a decrease of about 32.1%, primarily due to COVID-19 restrictions impacting sales[33]. - Gross profit decreased by approximately RM 28.5 million or 29.3% to about RM 68.8 million, attributed to the decline in revenue[35]. - Net profit decreased by approximately 1.5 million MYR or 10.9% to about 12.3 million MYR, while the net profit margin increased from approximately 9.4% to about 12.4%[43]. - Other income increased by approximately RM 6.9 million or 363.2% to about RM 8.8 million, mainly due to rental concessions and wage subsidy programs[34]. Operational Changes - The company has experienced operational disruptions, with 4 owned retail stores, 3 franchised stores, and 2 licensed retail stores ceasing operations during the reporting period[21]. - The number of retail stores decreased from 83 to 79 during the reporting period[33]. - Sales and distribution costs decreased by approximately 9.7 million MYR or 17.0% to about 47.2 million MYR during the reporting period, primarily due to reduced employee costs from lower sales commissions and allowances[36]. Future Outlook and Strategies - The company plans to continue monitoring the situation and develop response strategies to maximize business potential amid uncertainties[18]. - The company aims to provide an exemplary eye care experience through continuous innovation in both products and services[5]. - The company plans to establish 36 new retail stores, with an expected expenditure of MYR 28.1 million, to be utilized by March 31, 2022[79]. - The company aims to enhance the production capacity of customized lenses, with an investment of MYR 5.5 million, also expected to be utilized by March 31, 2022[79]. - The company is considering strategic acquisitions to enhance its product offerings, with a budget of $10 million set aside for potential deals[178]. Corporate Governance - The company has adhered to the corporate governance code and has complied with the relevant principles and rules since its listing date[90]. - The board of directors has held four meetings during the reporting period, with all executive and independent non-executive directors in attendance[98]. - The company emphasizes the importance of sound corporate governance as a shared responsibility among directors[113]. - The board has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee, in compliance with relevant laws and regulations[114]. Management and Leadership - The company has expanded its board with experienced professionals from various sectors, enhancing governance and strategic oversight[186]. - The management team has a strong background in finance, human resources, and business development, contributing to the company's operational efficiency[188]. - The company aims to leverage the expertise of its board members to drive growth and innovation in its operations[187]. Shareholder Communication - The company encourages shareholders to attend meetings and ensures independent resolutions are presented for voting[152]. - The company has established a shareholder communication policy to provide timely information to shareholders and potential investors[158]. Sustainability Initiatives - The board of directors highlighted the commitment to sustainability initiatives, planning to invest $1 million in eco-friendly practices[178]. - MOG Holdings Limited is committed to enhancing its environmental, social, and governance (ESG) practices, with a focus on sustainability initiatives[199].

H H C N E EYEWEAR ■ METRO OPTICAL GROUP MOG Holdings Limited (於開曼群島註冊成立之有限公司) 股份代號：1942 中期報告 2020/2021 OUR VISION HELP THE WORLD SEE BETTER DATO' FRANKIE NG Chairman / Executive Director 拿督FRANKIE NG 主席 / 執行董事 Our Vision is To PROTECT YOUR VISION! We believe everyone deserves to see the best of the world. We aspire to be the one that TRANSFORMS you as a whole, helping you to see, feel, and look better! Our main focus is to provide an exemplary eye care experience through continuous innovation in our product ...

H H C N EYEWEAR ■ METRO OPTICAL GROUP MOG Holdings Limited (於開曼群島註冊成立之有限公司) 股份代號：1942 年 報 2019/2020 OUR VISION HELP THE WORLD SEE BETTER Our Vision is To PROTECT YOUR VISION! We believe everyone deserves to see the best of the world. We aspire to be the one that TRANSFORMS you as a whole, helping you to see, feel, and look better! Our main focus is to provide an exemplary eye care experience through continuous innovation in our products and services to result in excellent visual and tactile experience as we ...