叙福樓集團有限公司 股份代號：1978 (於開曼群島註冊成立的有限公司) Stock Code ：1978 (Incorporated in the Cayman Islands with limited liability) 焼肉デート行こ！ 焼肉デート行こ！ 叙福樓集團有限公司 ANNUAL REPORT 年報 2024 目錄 | 公司資料 | 2 | | --- | --- | | 財務摘要及日程表 | 4 | | 主席致辭 | 5 | | 管理層討論與分析 | 8 | | 董事及高級管理層 | 15 | | 董事報告 | 19 | | 企業管治報告 | 32 | | 環境、社會及管治報告 | 50 | | 獨立核數師報告 | 95 | | 合併全面收益表 | 100 | | 合併財務狀況表 | 101 | | 合併權益變動表 | 103 | | 合併現金流量表 | 104 | | 合併財務報表附註 | 105 | | 財務資料摘要 | 173 | | 本集團所持的物業 | 174 | 公司資料 董事會 執行董事 黃傑龍先生 教授，銅紫荊星章，太平紳士 （主席兼行政總裁） 高秀芝女士 （副主席） 獨立非 ...

Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue decreased to HKD 1,056.0 million from HKD 1,276.8 million in 2023, representing a decline of approximately 17.3%[3] - The company reported a loss attributable to shareholders of HKD 32.1 million for 2024, compared to a profit of HKD 88.1 million in 2023, indicating a significant downturn in profitability[5] - Basic and diluted loss per share for 2024 was HKD 4.01, a decrease from earnings of HKD 11.01 per share in 2023[5] - The group reported a pre-tax loss of HKD 38,450 for the year ended December 31, 2024, compared to a pre-tax profit of HKD 104,442 in 2023[20][21] - The group’s total segment profit for 2024 was HKD 29,708, compared to HKD 161,072 in 2023, a decrease of 81.6%[20][21] - The pre-tax loss for 2024 was HKD 32,062,000, compared to a profit of HKD 88,065,000 in 2023, indicating a significant downturn[32] Revenue Breakdown - Total revenue for the year ended December 31, 2024, was HKD 1,055,992, a decrease of 17.3% from HKD 1,276,771 in 2023[16] - Restaurant operations revenue decreased to HKD 1,049,503 in 2024 from HKD 1,269,483 in 2023, representing a decline of 17.3%[16] - The revenue from franchised brands decreased by approximately 16.1% or about HKD 149.9 million to approximately HKD 778.2 million, while the number of franchised restaurants increased from 41 to 46[49] - The revenue from owned brands decreased by approximately 20.5% or about HKD 70.1 million to approximately HKD 271.3 million[49] - The group’s external revenue from food sales and others was HKD 6,489 in 2024, down from HKD 7,288 in 2023, a decline of 10.9%[20] Assets and Liabilities - Total assets increased to HKD 786.0 million in 2024 from HKD 759.7 million in 2023, reflecting a growth of approximately 3.5%[6] - The company's current liabilities exceeded current assets by HKD 93.1 million as of December 31, 2024, highlighting liquidity challenges[10] - Non-current liabilities rose to HKD 233.9 million in 2024 from HKD 168.5 million in 2023, an increase of approximately 39%[7] - The total segment assets increased to HKD 581,911 in 2024 from HKD 470,022 in 2023, reflecting a growth of 23.7%[22] - Segment liabilities rose to HKD 473,828 in 2024 from HKD 375,555 in 2023, an increase of 26.2%[22] Cash Flow and Working Capital - Cash and cash equivalents stood at HKD 144.8 million in 2024, slightly down from HKD 147.7 million in 2023, with no external borrowings reported[10] - The company plans to enhance operational cash flow and maintain sufficient working capital to meet financial obligations over the next twelve months[10] - The current assets and current liabilities were approximately HKD 226.1 million and HKD 319.2 million, respectively, resulting in a current ratio of approximately 0.7 times as of December 31, 2024, down from 1.1 times in 2023[56] Operational Highlights - The company operates full-service restaurants primarily serving Asian cuisine, including Japanese and Cantonese dishes, in Hong Kong[8] - The group opened 10 new restaurants and renovated one restaurant within a month, setting a new record for the group[43] - The group operates 17 owned restaurants and 46 franchised restaurants as of December 31, 2024, compared to 16 owned and 41 franchised restaurants in the previous year[48] - The group has actively developed multiple brands, launching new self-operated brands and franchise brands to meet diverse customer needs[43] Cost Management - The food and beverage costs decreased by approximately 18.3% or about HKD 71.6 million to approximately HKD 319.7 million, with food and beverage costs accounting for about 30.3% of revenue[52] - Employee costs decreased by approximately 0.6% or about HKD 2.4 million to approximately HKD 377.9 million, with employee costs accounting for about 35.8% of revenue[53] Corporate Governance - The company has adopted the corporate governance code as per the listing rules, ensuring high standards of corporate governance to protect shareholder interests[74] - The board consists of two executive directors and three independent non-executive directors, ensuring a high level of independence[74] - The audit committee, consisting of three independent non-executive directors, reviewed the consolidated annual results for the year ending December 31, 2024, ensuring compliance with applicable accounting standards and regulations[77] Dividend Policy - The company has decided not to recommend a final dividend for the year ending December 31, 2024, compared to a final dividend of HKD 0.0406 per share in 2023[35] - The board has decided not to recommend a final dividend for the year ending December 31, 2024, compared to a dividend of HKD 0.0406 per share for 2023[71] Employee Information - The group had 1,619 employees as of December 31, 2024, down from 1,667 employees in 2023[65] Future Outlook - The group plans to streamline internal processes and develop new brands while launching innovative products to enhance operational efficiency and market responsiveness[69]

Revenue Performance - Revenue decreased by 20.9% to HK$522.6 million in the first half of 2024 compared to HK$660.5 million in the same period last year[19] - Franchised brand revenue decreased by 20.4% to HK$384.7 million, accounting for 73.6% of total revenue[19] - Owned brand revenue decreased by 21.8% to HK$136.0 million[19] - Revenue for the six months ended June 30, 2024, was HK$522.61 million, a decrease from HK$660.51 million in the same period in 2023[51] - Revenue from restaurant operations and ingredient sales decreased to HK$522.61 million in 2024 from HK$660.51 million in 2023, representing a decline of 20.9%[63] - Revenue from the company's own brands decreased to HK$136.01 million in 2024 from HK$173.99 million in 2023, a decline of 21.8%[67] - Revenue from franchised brands decreased to HK$384.65 million in 2024 from HK$483.37 million in 2023, a decline of 20.4%[67] Costs and Expenses - Food and beverage costs decreased by 19.4% to HK$162.3 million, representing 31.1% of revenue[21] - Employee costs decreased by 4.3% to HK$194.5 million, representing 37.2% of revenue[22] - Depreciation, rent, and related expenses for right-of-use assets decreased by 8.4% to HK$90.1 million[23] - Employee costs decreased to HK$194.463 million for the six months ended June 30, 2024, from HK$203.22 million in the same period in 2023[51] - Employee benefits expenses, including wages and salaries, amounted to HKD 172,627,000, with discretionary bonuses totaling HKD 11,136,000[76] - Total employee benefits and short-term compensation increased to 4,924 thousand HKD in 2024 from 4,806 thousand HKD in 2023[102] Financial Performance and Losses - The company reported a loss of HKD 26.5 million for the period, compared to a profit of HKD 47.6 million in the same period last year, primarily due to a 20.9% decrease in revenue and increased impairment provisions for property, plant, and equipment[24] - Net loss attributable to shareholders for the six months ended June 30, 2024, was HK$26.535 million, compared to a profit of HK$47.55 million in the same period in 2023[51] - The company recorded a loss before tax of HK$32.069 million for the six months ended June 30, 2024, compared to a profit of HK$56.207 million in the same period in 2023[51] - The company recorded a net loss of HK$26,535 thousand for the six months ended June 30, 2024[54] - The company reported a basic loss per share of HKD 3.32 cents, based on a loss attributable to shareholders of HKD 26,535,000 and 800,000,000 issued ordinary shares[78][79] Assets and Liabilities - As of June 30, 2024, the company's short-term bank deposits were HKD 56.4 million (down from HKD 105.1 million as of December 31, 2023), and cash and cash equivalents were HKD 137.9 million (down from HKD 147.7 million as of December 31, 2023)[25] - The company's current assets and current liabilities as of June 30, 2024, were HKD 264.4 million (down from HKD 325.2 million as of December 31, 2023) and HKD 320.0 million (up from HKD 293.7 million as of December 31, 2023), respectively, resulting in a current ratio of 0.8x (down from 1.1x as of December 31, 2023)[25] - Total assets as of June 30, 2024, were HK$691.63 million, down from HK$759.65 million as of December 31, 2023[52] - Property, plant, and equipment increased to HK$101.235 million as of June 30, 2024, from HK$96.753 million as of December 31, 2023[52] - Right-of-use assets decreased to HK$212.566 million as of June 30, 2024, from HK$239.197 million as of December 31, 2023[52] - Cash and cash equivalents stood at HK$137.878 million as of June 30, 2024, down from HK$147.657 million as of December 31, 2023[52] - Total equity decreased from HK$297,407 thousand to HK$238,392 thousand as of June 30, 2024, compared to December 31, 2023[53] - Current liabilities exceeded current assets by HK$55,639 thousand as of June 30, 2024[58] - The company's cash and cash equivalents, along with short-term bank deposits, totaled HK$194,273 thousand as of June 30, 2024[58] - Total segment assets decreased to HK$466.98 million in 2024 from HK$470.02 million in 2023[70] - Total segment liabilities increased to HK$391.75 million in 2024 from HK$375.56 million in 2023[70] - Right-of-use assets for restaurants decreased to HKD 206,519,000 as of June 30, 2024, from HKD 231,134,000 at the end of December 2023[85] - Lease liabilities as of June 30, 2024, totaled HKD 237,781,000, with current liabilities at HKD 127,407,000 and non-current liabilities at HKD 110,374,000[85] - Trade receivables from external customers decreased to HKD 6,344,000 as of June 30, 2024, from HKD 10,174,000 as of December 31, 2023[92] - Trade payables to external suppliers increased to HKD 55,653,000 as of June 30, 2024, from HKD 45,479,000 as of December 31, 2023[98] - Contract liabilities increased to HKD 39,390,000 as of June 30, 2024, from HKD 36,541,000 as of December 31, 2023[99] - The company's prepayments and deposits for rent and utilities increased to HKD 78,118,000 as of June 30, 2024, from HKD 74,865,000 as of December 31, 2023[94] - The company's total current liabilities increased to HKD 128,217,000 as of June 30, 2024, from HKD 126,585,000 as of December 31, 2023[99] - The company's total non-current liabilities decreased to HKD 53,110,000 as of June 30, 2024, from HKD 50,242,000 as of December 31, 2023[94] - The company's total equity remained unchanged at HKD 80,000,000 as of June 30, 2024, compared to the same period last year[97] Dividends and Shareholder Information - The company declared an interim dividend of HK$0.0475 per share and a special dividend of HK$0.125 per share[16] - No interim dividend declared for the current period[37] - No interim dividend was recommended for the six months ended June 30, 2024[81] - Directors and key executives hold a combined 75% stake in the company through associated entities[45][46] - Mr. Wong Kit Lung holds a 29.03% stake in associated entity Sufood Holdings, while Ms. Ko Sau Chi holds a 10.01% stake[47] - Shareholders holding 75% of the company's shares include 叙福樓控股, 高爵權先生, 黃耀鏗先生, 廖祥先生, 廖志鴻先生, 劉廣坤先生, 合群, 林群英先生, and 陳惠珍女士[48][49] - 叙福樓控股, registered in the British Virgin Islands, holds 29.03% of the company's shares, with other key shareholders holding between 2.99% and 11.99%[49] Operational Highlights - The company operated 58 restaurants as of June 30, 2024, including 14 owned brands and 44 franchised brands[17] - The company opened its first "挽肉と米" restaurant in Hong Kong in May 2024, which has been highly successful with over 300 customers queuing on the opening day and online reservations consistently fully booked[35] - The company launched a new customer relationship management system and a new membership app in 2024 to better understand customer needs and enhance service quality[36] - The company has implemented strategic measures to expand revenue sources and reduce expenses, including negotiating lower rents with property owners and securing more favorable terms with suppliers[36] - The company expects the local consumption market to improve rapidly after potential US interest rate cuts, with factors such as the potential impact of the HKD exchange rate, improved consumer spending power, and lower market financing costs positively affecting local consumption[36] Corporate Governance and Compliance - The company maintained a minimum public float of 25% of issued shares as required by the Hong Kong Stock Exchange[38] - The company has adopted the Corporate Governance Code and complies with most of its provisions, except for the separation of Chairman and CEO roles, which are both held by Mr. Wong Kit Lung[39][40] - No purchase, sale, or redemption of listed securities by the company or its subsidiaries during the period[42] - The Audit Committee, composed of three independent non-executive directors, reviewed the unaudited interim financial results[43] - Changes in board composition: Mr. Mak Kam Chiu appointed as independent non-executive director and Audit Committee Chairman, while Ms. Hung Lo Shan resigned from these positions[44] Taxation and Financial Reporting - Hong Kong profits tax provision for the six months ended June 30, 2024, was calculated at a rate of 16.5%, with a subsidiary qualifying for a two-tier tax rate of 8.25% on the first HKD 2,000,000 of taxable profits[75] - Current income tax expense for the period was HKD 2,557,000, while deferred tax credit was HKD 8,091,000, resulting in a net tax credit of HKD 5,534,000[75] - The company adopted revised Hong Kong Financial Reporting Standards effective from January 1, 2024, with no significant impact on financial performance[61] Impairment and Depreciation - Impairment loss on property, plant, and equipment for the period was HKD 8,744,000, significantly higher than the HKD 653,000 recorded in the same period last year[84] - Depreciation of property, plant, and equipment for the period was HKD 15,310,000, a decrease from HKD 19,920,000 in the same period last year[76] - Depreciation of right-of-use assets increased slightly to HK$59.21 million in 2024 from HK$58.84 million in 2023[73] - The company recognized an impairment loss on right-of-use assets of HKD 10,066,000 for the period, compared to HKD 412,000 in the same period last year[90] Cash Flow and Financing - Cash and cash equivalents decreased by HK$48,922 thousand to HK$147,540 thousand as of June 30, 2024[56] - Operating cash flow from business activities was HK$156,974 thousand for the six months ended June 30, 2024[56] - Investment activities resulted in a net cash outflow of HK$79,331 thousand, primarily due to the purchase of property, plant, and equipment[56] - Financing activities resulted in a net cash outflow of HK$123,664 thousand, mainly due to dividend payments and lease principal repayments[56] - Total lease cash outflow for the period was approximately HKD 70,685,000, compared to HKD 76,842,000 in the same period last year[87] - Variable lease payments for certain properties are linked to restaurant sales, ranging from 6% to 15% of sales[89] Segment Performance - Segment loss for own brands was HK$14.22 million in 2024, compared to a segment profit of HK$14.90 million in 2023[67][69] - Segment profit for franchised brands decreased to HK$15.24 million in 2024 from HK$73.23 million in 2023, a decline of 79.2%[67][69] Other Financial Metrics - Other income and gains decreased by 12.6% to HK$2.2 million[20] - Financing income decreased to HK$3.85 million in 2024 from HK$6.66 million in 2023[74] - Financing costs increased to HK$5.85 million in 2024 from HK$4.61 million in 2023[74] - Capital commitments for lease renovations increased to 9,192 thousand HKD as of June 30, 2024, compared to 1,942 thousand HKD as of December 31, 2023[100] - The company's property holdings remained unchanged as of June 30, 2024[103] - The company holds investment properties in Kowloon and New Territories, including residential units and workshop spaces[104]

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 522.6 million, a decrease of 20.9% compared to HKD 660.5 million in the same period of 2023[1] - The company reported a loss attributable to shareholders of HKD 26.5 million, compared to a profit of HKD 47.6 million in the previous year[2] - Basic and diluted loss per share was HKD 3.32, down from earnings of HKD 5.94 per share in the prior year[2] - The company incurred a total comprehensive loss of HKD 26.5 million for the period, compared to a total comprehensive income of HKD 47.6 million in the previous year[5] - The group recorded a loss of HKD 26,535,000 for the six months ended June 30, 2024[10] - The company reported a net loss attributable to shareholders of HKD 26,535,000 for the six months ended June 30, 2024, compared to a profit of HKD 47,550,000 in the same period of 2023[22] - The company recorded a loss of HKD 26.5 million for the period, compared to a profit of approximately HKD 47.6 million in the same period last year[41] Assets and Liabilities - Total assets decreased to HKD 691.6 million as of June 30, 2024, from HKD 759.7 million as of December 31, 2023[3] - Current liabilities decreased to HKD 133.2 million from HKD 168.5 million, indicating improved short-term financial health[4] - The company’s total equity attributable to shareholders decreased to HKD 238.4 million from HKD 297.4 million[4] - The company's cash and cash equivalents were HKD 137.9 million, down from HKD 147.7 million at the end of 2023[3] - The total segment assets as of June 30, 2024, amounted to HKD 466,982,000, while total segment liabilities were HKD 391,751,000[13] - As of June 30, 2024, the company's current assets and current liabilities were approximately HKD 264.4 million and HKD 320.0 million, respectively, resulting in a current ratio of about 0.8[43] Revenue Breakdown - Restaurant operations generated revenue of HKD 520,666,000, down 20.8% from HKD 657,367,000 in the previous year[10] - The revenue from owned brands decreased by approximately 21.8% to about HKD 136.0 million, down from approximately HKD 174.0 million in the previous year[35] - The number of franchised restaurants increased from 39 to 44, while the revenue from franchised brands decreased by approximately 20.4% to about HKD 384.7 million[35] Costs and Expenses - The company's food and beverage costs decreased by approximately 19.4% to about HKD 162.3 million, representing 31.1% of total revenue[38] - Employee costs decreased by approximately 4.3% to about HKD 194.5 million, but as a percentage of revenue, it increased to 37.2% due to declining revenue[39] - Interest income from bank deposits decreased to HKD 3,591,000 in 2024 from HKD 6,662,000 in 2023[17] - The company recorded total financing costs of HKD (5,852,000) for the six months ended June 30, 2024, compared to HKD (4,608,000) in 2023[17] - The company's other income and gains decreased by approximately 12.6% to about HKD 2.2 million from approximately HKD 2.5 million in the previous year[37] Strategic Initiatives - The company plans to focus on expanding its market presence and enhancing operational efficiency in the upcoming periods[6] - Management is aware of the significant transformation in the local consumer market and aims to leverage this for future profit growth, supported by a strong cash position[50] - The group is actively developing new brands and has remodeled existing brands to enhance customer dining experiences, with new locations opened in June and July 2024[51] - A new customer relationship management system and membership app were launched in 2024 to better understand customer needs and enhance service[51] - The group has implemented strategic measures to expand revenue sources and reduce expenses, including negotiating lower rents and better supplier terms[51] Corporate Governance - The audit committee has been established, consisting of three independent non-executive directors, to assist the board in monitoring financial reporting and internal controls[57] - The board expresses gratitude to the management team and all employees for their continuous support and contributions to the group's prospects[59] Dividends and Shareholder Returns - The board decided not to declare an interim dividend for the period[52] - The company declared a final dividend of HKD 0.0406 per share, totaling HKD 32,480,000, for the year ended December 31, 2023[24] Employment and Workforce - The group employed 1,742 employees as of June 30, 2024, an increase from 1,667 employees as of December 31, 2023[46]

Financial Performance - Revenue for the year ended December 31, 2023, increased to HKD 1,276.8 million, up 20.1% from HKD 1,063.2 million in 2022[7] - Profit attributable to shareholders rose to HKD 88.1 million, representing an increase of 13.4% compared to HKD 77.7 million in the previous year[7] - Basic and diluted earnings per share increased to HKD 11.01, up from HKD 9.71 in 2022[7] - Core profit before tax for the year ended December 31, 2023, was approximately HKD 116.2 million, representing a growth of about 141.2% from approximately HKD 48.2 million in the previous year[22] - Revenue from franchised brands rose by approximately 18.2% or about HKD 143.2 million to approximately HKD 928.1 million, accounting for about 72.7% of total revenue[28] - Revenue from owned brands increased by approximately 25.1% or about HKD 68.5 million to approximately HKD 341.4 million[28] - The total dividend proposed is HKD 21.31 per share, with a total payout ratio of approximately 194%[17] - The profit for the year increased by approximately 13.3% from HKD 77.7 million to HKD 88.1 million, attributed to the lifting of dining restrictions and social distancing measures[36] Operational Developments - The company opened five new stores during the year, including three under the franchise brand "The Matcha Tokyo," bringing the total to 57 stores[12] - The number of restaurants operated by the company increased from 53 to 57, contributing to the revenue growth[27] - The company plans to revamp some existing self-operated and franchise brands in the second half of 2024 to provide a fresh dining experience[12] - The company plans to launch a new restaurant under the franchise brand "挽肉と米" in Central, aiming to enhance its presence in the fast-casual dining sector[12] - The company is actively developing new brands and expanding its restaurant footprint, with plans to open a new franchise brand "挽肉と米" in Central in Q2 2024[54] - The company is introducing automation systems and artificial intelligence to alleviate staff workload and innovate restaurant operations[54] Market Challenges - The company anticipates a challenging market for the Hong Kong restaurant industry in 2024 due to weak consumer spending and a sluggish property market[14] - The management team is focused on improving operational efficiency and developing effective marketing strategies to respond to market challenges[14] - The company is facing challenges such as rising food costs and labor pressures, and is actively communicating with suppliers to find cost-effective sources[54] Cost Management - Food and beverage costs increased by approximately 16.9% or about HKD 56.5 million to approximately HKD 391.3 million, but the percentage of food and beverage costs to revenue decreased to about 30.6%[32] - Employee costs increased by approximately 28.1% from HKD 296.8 million to HKD 380.3 million due to expanded restaurant network and absence of government wage subsidies[34] - The depreciation, rent, and related expenses rose by approximately 12.8% from HKD 171.1 million to HKD 192.9 million, primarily due to an increase in the number of restaurants from 53 to 57[35] - The company is focused on reducing transaction costs as a principle in response to rising food costs[54] Corporate Governance - The company has complied with all corporate governance codes except for the separation of roles between the chairman and CEO[134] - The board consists of five members, including two executive directors and three independent non-executive directors[139] - The independent non-executive directors confirmed their independence and compliance with the relevant standards[140] - The company has established three board committees: the Nomination Committee, the Remuneration Committee, and the Audit Committee, to oversee specific aspects of the company's affairs[163] - The company has adopted a whistleblowing policy to promote compliance and ethical behavior within the group[160] Shareholder Relations - The company emphasizes the importance of effective communication with shareholders to enhance investor relations and ensure transparency of company information[186] - The annual general meeting for shareholders is scheduled for June 6, 2024, with notices to be sent at least 21 days prior[186] - The company has adopted a shareholder communication policy to facilitate effective communication during shareholder meetings[187] - The company emphasizes the importance of shareholder communication through annual general meetings and allows proxy voting for those unable to attend[189] Sustainability and Social Responsibility - The company emphasizes sustainable development as a core principle in its business operations[16] - Charitable donations made by the company during the reporting year amounted to approximately HKD 128,000, an increase from HKD 79,000 in 2022[93] - The company is committed to improving menu offerings and introducing high-quality ingredients to enhance the value-for-money dining experience[54] Risk Management - The board of directors is responsible for establishing and reviewing the group's risk management and internal control systems to protect shareholder investments[195] - The company has adopted a three-tier risk management approach to identify, assess, mitigate, and respond to risks, with business units as the first line of defense[198] - The audit committee continuously reviews the effectiveness of the company's risk management and internal control systems and reports to the board[196]

Financial Performance - Revenue for the year ended December 31, 2023, was HKD 1,276.8 million, an increase of 20.1% from HKD 1,063.2 million in 2022[4] - Profit attributable to shareholders for the year was HKD 88.1 million, up 13.5% from HKD 77.7 million in the previous year[4] - Basic and diluted earnings per share increased to HKD 11.01, compared to HKD 9.71 in 2022, reflecting a growth of 13.4%[4] - The company reported a pre-tax profit of HKD 104.4 million, compared to HKD 84.4 million in 2022, reflecting a growth of 23.7%[4] - The company reported a net profit attributable to shareholders of HKD 88,065,000 for 2023, up from HKD 77,705,000 in 2022, resulting in a basic earnings per share of 11.01 HK cents[52] - Core profit before tax for the year ended December 31, 2023, was approximately HKD 116.2 million, representing a growth of about 141.2% from approximately HKD 48.2 million for the year ended December 31, 2022[108] - The profit for the year ended December 31, 2023, increased by approximately 13.3% or about HKD 10.4 million to approximately HKD 88.1 million compared to HKD 77.7 million for the year ended December 31, 2022[118] Assets and Liabilities - The total equity attributable to shareholders decreased to HKD 297.4 million from HKD 409.5 million in 2022, a decline of 27.3%[8] - Total assets as of December 31, 2023, were HKD 759.7 million, down from HKD 846.6 million in 2022, representing a decrease of 10.3%[10] - Non-current liabilities increased to HKD 168.5 million from HKD 149.0 million in 2022, an increase of 13.5%[12] - The company's total liabilities were reported at HKD 372,681,000, with a breakdown of segment liabilities including trade payables and lease liabilities[41] - Total liabilities for the company were HKD 462,244,000 as of December 31, 2023, compared to HKD 437,090,000 in the previous year[61] - As of December 31, 2023, the group's current assets and current liabilities were approximately HKD 325.2 million and HKD 293.7 million, respectively, resulting in a current ratio of about 1.1 times, down from 1.5 times in 2022[150] Costs and Expenses - Food and beverage costs rose to HKD 391.3 million, up 16.8% from HKD 334.8 million in the previous year[4] - Employee costs increased significantly to HKD 380.3 million, a rise of 28.1% from HKD 296.8 million in 2022[4] - The company's food and beverage costs rose by approximately 16.9% or about HKD 56.5 million to approximately HKD 391.3 million for the year ended December 31, 2023[115] - Depreciation of right-of-use assets and related rental expenses increased by approximately 12.8% or about HKD 21.9 million to approximately HKD 192.9 million for the year ended December 31, 2023, due to an increase in the number of restaurants from 53 to 57[116] Dividends - The company proposed a final dividend of HKD 4.06 per share, with a total payout ratio of approximately 194% including interim and special dividends[17] - The company plans to distribute a final dividend of HKD 0.0406 per share, totaling HKD 32,480,000, subject to shareholder approval[70] - The total dividend payout for the year, including an interim dividend of HKD 0.0475 and a special dividend of HKD 0.125, amounts to HKD 0.2131 per share, representing a total payout ratio of approximately 194%[135] - The proposed final dividend is subject to approval at the annual general meeting and, if approved, will be paid on June 27, 2024[175] Operational Highlights - The segment profit for the restaurant operations was HKD 30,625,000, compared to HKD 8,136,000 in the previous year, reflecting a significant improvement[39] - Revenue from self-owned brands increased by approximately HKD 68.5 million or 25.1% to HKD 341.4 million for the year ended December 31, 2023, compared to HKD 273.0 million in the previous year[87] - Revenue from franchised brands increased by approximately HKD 143.2 million or about 18.2% to approximately HKD 928.1 million for the year ended December 31, 2023, driven by an increase in the number of franchised restaurants from 37 to 41[112] - The company operated 16 self-owned restaurants and 41 franchised restaurants, catering to a diverse customer base[84] - The number of restaurants operated increased from 53 to 57 during the year ended December 31, 2023[142] - The company plans to launch a new franchise brand restaurant in Central in Q2 2024, expanding its presence in the fast-casual dining sector[132] Strategic Focus - The management is focused on strategic resource allocation based on performance evaluations of different business segments[35] - The company plans to continue expanding its restaurant operations and enhancing its product offerings in the coming year[33] - The management team aims to enhance operational efficiency and market responsiveness through improved internal processes and effective operational strategies[157] - The group plans to focus on brand revitalization, launching new brands through various collaboration models, and expanding its store network while introducing innovative products[157] - The company is actively communicating with suppliers to mitigate rising food costs and is introducing automation and AI systems to alleviate labor pressures in restaurants[173] Market Outlook - The group anticipates a more challenging market for the Hong Kong restaurant industry in 2024 due to weak consumer demand and a sluggish local property and stock market[157] - The company has shown strong adaptability in response to market changes despite challenges in the business environment, particularly in the restaurant sector[82] Compliance and Governance - The audit committee, along with the management, reviewed the consolidated annual results for the year ending December 31, 2023, and confirmed compliance with applicable accounting standards and regulations[181] - The company did not engage in any significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period[124] - The company and its subsidiaries did not purchase, sell, or redeem any of the company's listed securities during the year ending December 31, 2023[180] - The company has no significant contingent liabilities as of December 31, 2023[129]

Financial Performance - For the six months ended June 30, 2023, the company's revenue increased by approximately 65.1% to HKD 660.5 million, compared to HKD 400.0 million in the same period last year[12][23]. - The profit attributable to shareholders for the same period was HKD 47.6 million, a significant increase from HKD 6.8 million in the previous year[12]. - Basic and diluted earnings per share for the period were HKD 5.94, compared to HKD 0.85 in the previous year[12]. - The group reported a pre-tax profit of HKD 56,207 thousand, compared to only HKD 930 thousand in the previous year, indicating a substantial improvement in profitability[87]. - Net profit attributable to shareholders for the period was HKD 47,550 thousand, up from HKD 6,788 thousand in the same period last year, reflecting a growth of approximately 600%[87]. - Operating cash flow for the period was HKD 154,073 thousand, compared to HKD 50,170 thousand in the previous year, showing a strong increase in cash generation[95]. Revenue Breakdown - Franchise brand revenue rose by approximately 64.6% to HKD 483.4 million, accounting for about 73.2% of total revenue[24]. - Revenue from self-owned brands increased by approximately 67.9% to HKD 174.0 million[24]. - Restaurant operations generated revenue of HKD 657,367,000, up from HKD 397,354,000, indicating a growth of 65.4%[114]. - The company's external revenue from self-owned brands was HKD 103,658,000, while franchise brands generated HKD 293,696,000[124]. Operational Expansion - The number of restaurants operated by the company increased from 50 to 55, with 16 under its own brands and 39 under franchise brands[16][19]. - The increase in revenue was primarily driven by the recovery from the COVID-19 pandemic and the expansion of the restaurant network[23]. - The company has introduced new brands, including "The Matcha Tokyo" and "好呷台灣火鍋," which have shown stable performance and are aimed at enhancing customer dining experiences[55]. Cost and Expenses - The group's food and beverage costs rose by approximately 55.7% or about HKD 72.0 million to approximately HKD 201.2 million, with food and beverage costs accounting for about 30.5% of revenue, down from approximately 32.3% in the same period last year[35]. - Employee costs increased by approximately 55.1% or about HKD 72.2 million to approximately HKD 203.2 million, with employee costs as a percentage of revenue decreasing by 1.9 percentage points to approximately 30.8%[35]. - The group's depreciation, rent, and related expenses for right-of-use assets increased by approximately 30.1% or about HKD 22.8 million to approximately HKD 98.4 million due to an increase in the number of restaurants from 50 to 55[36]. Dividends and Shareholder Returns - The company declared an interim dividend of HKD 4.75 per share and a special dividend of HKD 12.50 per share[12]. - The board has declared an interim dividend of HKD 0.0475 per share, totaling HKD 38 million, and a special dividend of HKD 0.125 per share, totaling HKD 100 million, to reward shareholders[59]. - The company maintains over HKD 200 million in reserves for operations and future development after the dividend payouts, with no financial debt impacting its operations[59]. Governance and Management - The company has established a professional management team to navigate future challenges and drive the next phase of development[58]. - The audit committee has been established, consisting of three independent non-executive directors, to oversee financial reporting and internal controls[72]. - The company maintains a strong governance structure with an independent audit committee overseeing financial practices[72]. Market Outlook - The Hong Kong government has lifted entry restrictions and mask mandates, which is expected to boost local consumption and tourism, leading to increased business opportunities for the company in the second half of 2023[54]. - The management team is optimistic about the economic recovery in Hong Kong despite challenges such as inflation and geopolitical instability, and is focused on strengthening brand presence and expanding store networks[58]. Assets and Liabilities - The group's cash and cash equivalents were approximately HKD 147.5 million as of June 30, 2023, down from approximately HKD 196.5 million as of December 31, 2022[39]. - The company's total assets as of June 30, 2023, amounted to HKD 869,885 thousand, up from HKD 846,592 thousand at the end of 2022[99]. - The company's total liabilities increased to HKD 474,993,000 as of June 30, 2023, compared to HKD 437,090,000 as of December 31, 2022[126]. Employee and Workforce - The group had 1,919 employees as of June 30, 2023, an increase from 1,768 employees as of December 31, 2022[48]. - The company's short-term employee benefits for the six months ended June 30, 2023, were HKD 4,806,000, compared to HKD 7,778,000 for the same period in 2022, indicating a decrease of approximately 38.3%[177].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確 性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容而產生或 因依賴該等內容而引致的任何損失承擔任何責任。 LH GROUP LIMITED （於開曼群島註冊成立的有限公司） （股份代號：1978） 截至二零二三年六月三十日止六個月的 中期業績公告 財務摘要 截至六月三十日止六個月 二零二三年 二零二二年 百萬港元 百萬港元 收入 660.5 400.0 ...

Financial Performance - The group's profit for the year ended December 31, 2022, decreased by approximately 13.7% to about HKD 77.7 million from HKD 90.1 million in 2021, primarily due to impairment provisions totaling approximately HKD 11.3 million[8]. - The group's total revenue for the year 2022 increased by approximately 6.5% or about HKD 65.2 million to approximately HKD 1 billion compared to 2021[23]. - The company's revenue for the year ended December 31, 2022, was HKD 1,063.2 million, an increase of 6.5% from HKD 997.9 million in 2021[52]. - Profit attributable to shareholders for 2022 was HKD 77.7 million, down 13.4% from HKD 90.1 million in 2021[52]. - Other income and gains decreased by approximately 19.5% from about HKD 28.8 million to approximately HKD 23.2 million, primarily due to a reduction in net gains from lease modifications[35]. Revenue Sources - Franchise brand revenue rose by about 8.4%, from approximately HKD 724.3 million to approximately HKD 784.9 million, attributed to an increase in the number of franchise restaurants from 30 to 37[31]. - The franchise brands accounted for approximately 73.8% of total revenue in 2022, up from 72.6% in 2021[31]. - The revenue from self-owned brands slightly increased by about 1.4%, from approximately HKD 269.3 million to approximately HKD 273.0 million[31]. Restaurant Operations - The number of restaurants increased from 45 at the end of 2021 to 53 by the end of 2022, reflecting a growth strategy despite the pandemic[6]. - The group opened nine new restaurants in 2022, including six franchises from Japan and one new self-developed brand, enhancing its market presence[20]. - The total number of restaurants operated increased from 45 in 2021 to 53 in 2022, with self-owned brands operating 16 restaurants and franchise brands operating 37[26]. - The company opened a total of eight self-owned brand restaurants and 19 franchised brand restaurants during the reporting year[151][155]. Cost Management - Food and beverage costs increased by approximately 6.6% from about HKD 314.2 million to approximately HKD 334.8 million, maintaining a stable percentage of revenue at around 31.5%[36]. - Employee costs rose by approximately 1.5% from about HKD 292.5 million to approximately HKD 296.8 million, with the percentage of employee costs to revenue decreasing to about 27.9% from 29.3%[37]. Dividends and Shareholder Returns - The proposed final dividend per share for 2022 is HKD 7.77, an increase of 28.4% compared to HKD 6.05 in 2021, with a payout ratio of approximately 80%[60]. - The proposed final dividend accounts for approximately 80% of the profit attributable to shareholders and total comprehensive income after tax for the reporting year[153]. - The company has adopted a dividend policy that aims to declare dividends of no less than 50% of the profit attributable to shareholders and after-tax comprehensive income, subject to review[173]. Strategic Initiatives - The group plans to leverage the upcoming government consumption voucher scheme in April 2023 to boost local consumer spending and drive business growth[20]. - The management team is focused on optimizing operations and enhancing digital marketing to support future growth initiatives[21]. - The company aims to continue expanding its restaurant network and enhancing its brand portfolio to capture diverse customer preferences in the market[28]. - The management plans to accelerate the opening of new stores in strategic locations to attract a diverse customer base in 2023[56]. - The company aims to enhance digital marketing and continuously launch innovative products to accelerate business growth and strengthen market leadership[81]. Market Conditions - The overall economic recovery in Hong Kong is expected to boost consumer sentiment, although challenges such as inflation and labor shortages remain[72]. - The company anticipates business growth in the second half of 2023 due to increased tourism and promotional activities in Hong Kong[80]. - The Hong Kong government will launch a new round of consumption voucher schemes in April 2023, expected to boost local consumer spending and accelerate market recovery[80]. Management and Governance - The management team has extensive experience, with the CEO having over 25 years in the restaurant management industry[131]. - The management team is focused on building a more professional management structure to execute the company's growth strategies[58]. - The board regularly reviews the company's dividend policy to ensure alignment with the group's sustainable development plans[121]. Challenges and Risks - The company faces risks related to opening new restaurants, which may lead to fluctuations in financial performance and negatively impact existing restaurant sales[117]. - The company faced challenges in renewing existing leases and obtaining necessary licenses and permits due to factors beyond its control[169]. Sustainability and Compliance - The company is committed to creating a sustainable future by addressing environmental, social, and governance issues and minimizing operational impacts[170]. - The company has complied with all relevant laws and regulations that may significantly impact its business and operations during the reporting year[147].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確 性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容而產生或 因依賴該等內容而引致的任何損失承擔任何責任。 LH GROUP LIMITED （於開曼群島註冊成立的有限公司） （股份代號：1978） 截至二零 二二年十二月三十一日止年度的 年度 業績公告 財務摘要 截至十二月三十一日止年度 二零二二年 二零二一年 百萬港元 百萬港元 收入 1,063.2 997.9 ...