Financial Performance - Revenue for the year ended March 31, 2023, was HK$3,875,377, an increase of 32.7% from HK$2,919,500 in 2022[8] - EBITDA for the same period was HK$430,270, down 19.8% from HK$536,364 in 2022, resulting in an EBITDA margin of 11.1%[8] - Profit before tax decreased to HK$136,189, a decline of 57.6% compared to HK$321,411 in 2022[8] - Net profit for the year was HK$107,027, down 60.5% from HK$270,503 in 2022, with profit attributable to owners of the Company at HK$69,654[8] - The Group's profit for FY23 decreased by 60.4% YoY to HK$107.0 million, with profit attributable to equity shareholders dropping 64.7% from HK$197.5 million in FY22 to HK$69.7 million[156] Assets and Liabilities - Total assets increased to HK$5,513,330, up 13.4% from HK$4,860,608 in 2022[8] - Total liabilities rose to HK$3,142,385, an increase of 25.1% from HK$2,510,052 in 2022[8] - The current ratio decreased to 0.85x from 1.11x in 2022, indicating a decline in short-term liquidity[8] - The gearing ratio increased to 30.3% from 10.1% in 2022, reflecting higher leverage[8] - Total debt increased significantly to HK$719.1 million as of March 31, 2023, from HK$235.7 million a year earlier, primarily for working capital related to new service points and acquisitions[157] Operational Expansion - The company opened a new multi-service flagship medical center and advanced imaging center in April 2022, enhancing its service offerings[3] - The company opened 21 new service points totaling over 173,000 sq ft in FY23, expanding its footprint in a favorable rental market[22] - The Group expanded its service points by 21, totaling approximately 173,000 sq. ft. in FY23, with 67.8% of the increase coming from the medical business[132] - The total number of unique customers reached 208,391, indicating a strong market presence[14] - The Group's workforce of full-time and exclusive registered practitioners increased to 313, supporting the expansion of medical services[142] Customer Metrics - The customer base showed high levels of loyalty with a repurchase rate of 82.7%[14] - Existing customer revenue contributed 66.5% to the total revenue for the year[14] - The customer satisfaction rate was reported at 99.99%, reflecting high service quality[14] Strategic Partnerships and Alliances - Strategic alliances were formed with Prudential and AXA Hong Kong & Macau, indicating a focus on expanding partnerships in the healthcare sector[3][6] - Strategic partnerships in the TTIPP sector will be strengthened to expand the integrated healthcare ecosystem, with identified acquisition targets aligned with long-term growth objectives[166] - Strategic partnerships with key players in telecom, technology, insurance, property, and pharmaceuticals are aimed at creating a more interconnected healthcare system[27] Digital Transformation and Operational Efficiency - The company has taken proactive steps to improve operational efficiency and reduce costs while maintaining investments in digital capabilities and talent[25] - The focus on operational efficiency includes exploring automation and digitization of key processes, alongside investments in data analytics and artificial intelligence[25] - The Group's focus on digital transformation is expected to enhance customer experience and operational efficiency[58] - The Group's digitization efforts include automating back-office operations to reduce errors and improve accuracy, freeing up resources for strategic initiatives[117] Sustainability and Corporate Governance - Sustainability is a critical component of the company's business strategy, focusing on minimizing environmental impact and promoting social responsibility[32] - The Group's sustainability strategy focuses on reducing carbon footprint and improving healthcare access in underprivileged communities[128] - The Group's leadership has received multiple awards for sustainability and corporate governance, reflecting its commitment to responsible business practices[55] - The Group obtained ISO 9001:2015 certification, demonstrating its commitment to high-quality service and structured risk management[158] Management and Leadership - The management team is composed of experienced professionals with backgrounds in finance, investment, and technology, ensuring a robust strategic direction for the Group[48][52][58] - The Group's leadership structure is designed to support its growth strategy and operational excellence in the competitive market[80][87] - The Group is actively expanding its management team with experienced professionals to enhance operational capabilities and strategic oversight[80][87] Mergers and Acquisitions - The company plans to drive external growth through strategic M&A opportunities to expand its healthcare ecosystem and enhance vertical integration[28] - The Group executed acquisitions valued at HK$175 million, enhancing its capabilities across various medical specialties and health screening services[143] - Revenue from M&A transactions closed during the year was HK$154.1 million, accounting for 4.0% of total revenue[131] Financial Position and Liquidity - The Group has sufficient liquid assets, with cash and deposits totaling HK$710.9 million and undrawn bank facilities of HK$220.0 million as of March 31, 2023[168] - The Group secured a HK$1.0 billion sustainability-linked syndicated loan in May 2023, which includes a revolving credit of HK$300.0 million and a term loan of HK$700.0 million[176] - A general increase/decrease of 100 basis points in interest rates would have impacted the Group's profit after taxation by approximately HK$4 million[194] Market Outlook - Management remains cautiously optimistic about the medical market's resilience, supported by public-private partnerships like the Hong Kong Government's Primary Healthcare Blueprint[161] - Despite challenges faced in FY23, the company remains dedicated to building a leading one-stop healthcare platform in Asia[33]

Financial Performance - Total revenue for the fiscal year ended March 31, 2023, was HKD 3,875.4 million, representing a 32.7% increase compared to HKD 2,919.5 million in the previous year[36]. - The company reported a net profit of HKD 107.0 million, a decrease of 60.4% from HKD 270.5 million in the previous year[36]. - Basic earnings per share decreased by 65.5% to HKD 5.9 from HKD 17.1 in the previous year[36]. - The group reported a strong internal growth rate of 24.1% across various business segments in the second half of fiscal year 2023[54]. - The total comprehensive income for the year was HKD 100,449,000, down from HKD 269,446,000 in the previous year, reflecting a significant decline[134]. - The company plans to distribute a final dividend of HKD 0.10 per share for the fiscal year, compared to HKD 0.144 per share in the previous year, indicating a reduction in shareholder returns[112]. Debt and Liquidity - Total debt increased from HKD 235.7 million as of March 31, 2022, to HKD 719.1 million as of March 31, 2023, due to increased borrowings for new service point startup costs and operational funding[5]. - The group has drawn down HKD 489.0 million in bank loans as of March 31, 2023, with an undrawn bank loan balance of HKD 220.0 million, ensuring sufficient liquidity for operational needs[8]. - The debt-to-equity ratio as of March 31, 2023, was 30.3%, up from 10.0% in the previous year[36]. - Total liabilities amounted to HKD 719.1 million, significantly higher than HKD 235.7 million in the previous year[36]. - The company reported a foreign exchange gain of HKD 1,229,000, contrasting with a loss of HKD 1,057,000 in the previous year, indicating improved currency management[134]. Revenue Segmentation - Medical segment revenue increased by 50.5% to HKD 2,542.2 million from HKD 1,689.0 million year-over-year[36]. - Revenue from completed acquisitions during the year amounted to HKD 154.1 million, representing 4.0% of total revenue[67]. - Revenue from the veterinary and other services segment increased by 66.0% year-on-year to HKD 231.3 million, primarily driven by growth in the veterinary business[70]. - The aesthetic medical, beauty, and wellness services segment's revenue increased by 1.0% to HKD 1,101.9 million, despite a decline in Hong Kong revenue due to pandemic impacts[69]. - The company’s revenue from Hong Kong was HKD 3,577,659, representing a 35.8% increase from HKD 2,632,960 in the previous year[152]. Operational Strategy - The group plans to implement cost control measures across supply chain, procurement, and administrative costs to manage rising expenses and improve profit margins[6]. - The focus on digitalization aims to enhance operational efficiency and patient experience while ensuring data privacy and security[15]. - The company aims to drive sales growth through new store openings and targeted marketing initiatives to attract and retain customers[6]. - The company is focusing on operational efficiency and cost reduction while maintaining investments in digital capabilities and talent[40]. - The company aims to create a more flexible and competitive organization to succeed in the rapidly changing healthcare industry[40]. Sustainability and Governance - The commitment to sustainable development is reflected in the group's business practices and partnerships, emphasizing its role as a leader in the healthcare sector[7]. - The group is committed to sustainability, integrating it into operations to create long-term value and reduce carbon footprint[62]. - The company emphasizes sustainable development as a key component of its business strategy, aiming to minimize environmental impact and promote social responsibility[45]. - The group has made significant progress in sustainable development, emphasizing environmental and social governance[84]. - The company emphasizes adherence to corporate governance principles, ensuring transparency and accountability in its operations[114]. Acquisitions and Growth - The group is committed to expanding its geographical coverage through strategic acquisitions, supported by the recent sustainability-linked financing[9]. - The company is committed to strategic acquisitions to drive external growth and enhance its healthcare ecosystem[44]. - The company executed acquisitions valued at HKD 175 million, covering multiple medical specialties, veterinary, and health screening services, increasing the number of registered specialist doctors to 313[73]. - The company acquired a 7.5% stake in Prime Inspire Limited for HKD 4,375,515, increasing its ownership from 70% to 77.5%[90]. - The acquisition of 60% equity in Pioneer Evolution Limited was completed for HKD 36,400,000, enhancing the company's investment portfolio[119].

Financial Performance - Revenue for the six months ended September 30, 2022, was HK$1,893,186, representing a 31.1% increase from HK$1,443,680 in 2021[10] - EBITDA for the same period was HK$269,857, down 16.6% from HK$323,427 in the previous year[10] - Profit before tax decreased by 46.3% to HK$124,394 from HK$231,718 in 2021[10] - Profit for the period was HK$105,207, a decline of 46.3% compared to HK$196,065 in the prior year[10] - Profit attributable to owners of the Company was HK$80,046, down 50.0% from HK$160,208 in 2021[10] - Basic earnings per share dropped to 6.8 HK cents, a decrease of 52.1% from 14.2 HK cents in the previous year[10] - Net profit after tax decreased by 46.3% YoY to HK$105.2 million, with a net profit margin decline of 8.0 percentage points to 5.6%[18] - Total comprehensive income for the period was HK$106,108, compared to HK$195,622 in the previous year, indicating a decrease of 45.4%[146] Revenue Breakdown - The Group reported revenue of HK$1,893.2 million, an increase of 31.1% YoY, with sales volume rising by 18.3% to HK$1,812.4 million[18] - Organic revenue grew by 22.8% YoY to HK$1,773.7 million, accounting for 93.7% of total revenue, driven by effective sales strategies[18] - The medical segment revenue increased by 47.5% YoY to HK$1,174.8 million, remaining the key growth driver for the Group[18] - Revenue from aesthetic medical and beauty and wellness services decreased by 2.0% YoY to HK$607.4 million, accounting for approximately 32.1% of total revenue[31] - Revenue from the medical services segment represented 62.1% of the Group's total revenue, increasing by 47.5% from HK$796.3 million to HK$1,174.8 million[48] - Revenue from other services increased by 301.9% YoY to HK$111.0 million, representing 5.8% of total revenue, primarily due to M&A expansion into the veterinary sector[32] Assets and Liabilities - Total assets as of September 30, 2022, increased by 7.3% to HK$5,216,260 from HK$4,860,608 as of March 31, 2022[10] - Total liabilities rose by 11.9% to HK$2,807,850 from HK$2,510,052[10] - Net assets increased by 2.5% to HK$2,408,410 from HK$2,350,556[10] - Non-current assets increased to HK$3,744,998 as of September 30, 2022, from HK$3,344,980 as of March 31, 2022, showing a growth of 11.9%[148] - Current liabilities decreased to HK$1,278,886 from HK$1,363,431, a reduction of 6.2%[148] - Net current assets improved to HK$192,376 from HK$152,197, an increase of 26.4%[148] Operational Highlights - The total valuation of M&A transactions executed during the interim period was HK$219.3 million, enhancing the Group's medical service offerings[18] - The number of unique customers increased to 122,883, with a repurchase rate of 93.7%[21] - The total number of service points reached 154, with a total aggregate gross floor area increasing by 24.1% YoY to approximately 557,000 sq. ft.[29] - The percentage of existing customers contributing to total revenue rose to 71.6% from 69.7% YoY[21] Expenses and Costs - Cost of inventories and consumables increased by 64.8% to HK$258.2 million, with its proportion to total revenue rising from 10.9% to 13.6%[52] - Registered Practitioner expenses increased by 67.4% to approximately HK$500.8 million, representing 26.5% of total revenue[52] - Employee benefit expenses were approximately HK$476.7 million, representing 25.2% of total revenue, an increase of 38.9% compared to the same period last year[58] - Marketing and advertising expenses for the same period were approximately HK$96.7 million, representing 5.1% of total revenue, with a 31.9% increase from HK$73.3 million in the previous year[58] Strategic Initiatives - The Group remains optimistic about a prudent recovery outlook despite potential recessionary market headwinds and persistent global inflationary pressures[37] - The Group plans to temporarily pause expansion in Mainland China due to limited signs of fundamental change in the stringent anti-pandemic policy[38] - The Group aims to enhance operational excellence through digital transformation and improve talent productivity via a unique corporate culture[39] - Strategic partnerships with key players in technology, telecom, insurance, property, and pharmaceuticals are being expanded to build a healthcare ecosystem[40] - The Group will continue to diversify its services portfolio within the medical and beauty sectors through accretive M&A growth[44] Shareholder Information - The Board declared an interim dividend of 5.8 HK cents per share, payable to shareholders on January 20, 2023[97] - Directors and chief executives held a total of 722,204,610 shares, representing approximately 61.18% of the total issued share capital of the Company[101] - The total number of issued shares as of September 30, 2022, was 1,180,377,267 shares[1] Corporate Governance - The Company has complied with all code provisions of the Corporate Governance Code during the Reporting Period, except for the deviation from code provision C.2.1[136] - The roles of chairman and chief executive officer have been performed by Mr. Tang, which is a deviation from the Corporate Governance Code, but the Board believes it provides strong leadership[136] - The Audit Committee reviewed the unaudited interim condensed consolidated financial statements and confirmed they were prepared in accordance with relevant accounting standards[139] Cash Flow and Investments - For the six months ended September 30, 2022, net cash generated from operating activities was HK$167,966,000, a decrease from HK$384,316,000 in the same period of 2021[159] - Net cash used in investing activities was HK$459,581,000, compared to HK$278,403,000 in the prior year, indicating increased investment outflows[159] - Cash and cash equivalents at the end of the period were HK$709,535,000, down from HK$1,471,447,000 at the end of September 2021[159]

Financial Performance - Revenue for the year 2022 reached HK$2,919,500,000, an increase of 40.4% from HK$2,080,403,000 in 2021[6] - EBITDA for 2022 was HK$536,364,000, representing an increase of 35% compared to HK$397,354,000 in 2021[6] - Profit attributable to owners of the Company for 2022 was HK$197,501,000, up from HK$192,865,000 in 2021, reflecting a growth of 2.1%[6] - Basic earnings per share decreased to 17.1 HK cents in 2022 from 18.8 HK cents in 2021, a decline of 9.04%[6] - Profit before tax for the year ended March 31, 2022, was HK$321,411,000, an increase of 20.9% from HK$265,896,000 in 2021[11] - The Group's net profit after tax for FY22 increased by 19.9% year-over-year to HK$270.5 million, although the net profit margin decreased by 1.5 percentage points to 9.3% due to business closures during the pandemic[87] - Revenue increased by 40.3% from HK$2,080.4 million for FY21 to HK$2,919.5 million for FY22, driven by significant growth in the medical segment[102] - Revenue from the medical segment rose by 64.6% from HK$1,025.9 million for FY21 to HK$1,689.0 million for FY22, accounting for 57.9% of total revenue[102] Assets and Liabilities - Total assets as of March 31, 2022, were HK$4,860,608,000, an increase of 28.2% from HK$3,790,481,000 in 2021[6] - Total liabilities increased to HK$2,510,052,000 in 2022 from HK$2,159,695,000 in 2021, marking a rise of 16.2%[6] - The Group had interest-bearing liabilities of HK$236.3 million as of March 31, 2022, resulting in a gearing ratio of 10.1%[158]. Market Position and Strategy - The company acquired 70% of the issued share capital of Premier Medical Group in November 2021, expanding its service offerings[3] - EC Healthcare was included in the MSCI Hong Kong Small Cap Index, enhancing its market visibility[4] - The Group aims to consolidate the fragmented healthcare market through corporatization and enhance operational efficiency[20] - Future strategies include diversifying one-stop healthcare services and conducting technological innovation[26] - The Group plans to grow through both organic growth and mergers and acquisitions to meet customer needs comprehensively[26] - The company aims to become a leading health platform in Asia, focusing on a diversified one-stop health service strategy[27] - The Group's strategic focus on acquisitions is aimed at expanding its market reach and enhancing its service offerings in the healthcare industry[49] Customer Metrics - Unique customers increased to 182,300 in FY22 from 155,863 in FY21, representing a growth of 16.9%[83] - Existing customers contributed 64.3% of total revenue in FY22, up from 58.9% in FY21[83] - The repurchase rate improved to 90.2% in FY22, compared to 81.0% in FY21[83] - Customer satisfaction rate remained high at 99.96% in FY22, slightly down from 99.99% in FY21[83] Operational Efficiency and Innovation - The Group's operational efficiency has been consistently raised, developing a scalable healthcare business model[26] - The company emphasizes technology innovation and customer brand loyalty as key components of its business strategy[27] - The Group is focused on building a vertically integrated healthcare ecosystem through strategic partnerships across five major areas, including technology and insurance[85] - Continuous investment in IT infrastructure is aimed at achieving service and cost leadership while maximizing synergies from acquired businesses[98] Management and Leadership - The management team includes experienced professionals with over 20 years in the healthcare and aesthetic medical industries[33][39] - The chairman expressed confidence in the company's future development, highlighting the importance of teamwork and stakeholder support[29] - The leadership team is committed to enhancing the overall management and strategic direction of the Group[74] - The management team emphasizes the importance of digital transformation in driving growth and improving service delivery in the healthcare sector[52] Sustainability and ESG Initiatives - The Group signed its inaugural dual-tranche sustainability-linked facility in 2022, marking a first for a healthcare services provider in Hong Kong[178] - The Group has identified 13 focus areas that will form the pillars of its ESG strategy, aligned with eight of the United Nations' Sustainable Development Goals[179] - The company is committed to sustainability, integrating sustainable development into its business practices and aligning with the United Nations Sustainable Development Goals[85] Acquisitions and Mergers - The total valuation of completed M&A transactions during FY22 was HK$641.1 million, enhancing the Group's medical services layout[87] - The Group's expansion strategy in medical services includes multiple acquisitions to enhance its service offerings[167] - The acquisition of Premier Medical Group (BVI) Limited was completed on December 31, 2021, for HK$100 million, expanding the Group's operations to five medical service centers in Hong Kong[164] - The acquisition of 55% equity interests in Bayley & Jackson Dental Surgeons Limited was completed for a total consideration of HK$129,423,950[174] Employee Development and Engagement - The Group continues to invest in talent development, offering a co-ownership scheme and various training programs to enhance employee skills[85] - The total number of talents participating in the Co-Ownership Plan is 126 as of 31 March 2022[198] - Females currently hold 60% of senior management roles[183] - Arranged various workshops and leisure activities for employees to promote health and wellbeing[183]

| --- | --- | --- | --- | |---------------------------------------------------|-------|-------|----------------------------------------------------------------------------------------------------------------------------| | | | | | | | | | EC Healthcare | | 2021/22 INTERIM REPORT 中期業績報告 | | 超 | 思 健 康 Incorporated in the Cayman Islands with limited liability 於開曼群島註冊成立之有限公司 (Stock Code 股份代號:2138) | | | | | | | To bring health, beauty and happiness to everyone | | | | 讓 世 界 變 得 健 康 美麗 Aboording to réseagth by F ...

EC Healthcare 醫 思 健 康 Incorporated in the Cayman Islands with limited liability 於開曼群島註冊成立之有限公司 (Stock Code 股份代號:2138) 2 0 2 0 / 2 1 ANNUAL REPOR E 度 報 To bring health, beauty and happiness to everyone 讓世界變得健康、美麗、快樂 Acsording to research by Frost & Sullivan, EC Healthcare is the largest non-hospital modical service provider in Hong Kong in terms of nevanue in 2020. 根據弗若斯特沙利文鋼研・浪2020年收 CONTENTS 目錄 | --- | --- | --- | |---------------------------------------------------------------|---------------------------- ...

Financial Performance - The Group's sales volume and total revenue for the reporting period were HK$946.8 million and HK$797.4 million, representing a decrease of 11.1% and 28.7% respectively compared to the same period in 2019[16]. - Net profit attributable to equity shareholders decreased by 77.8% from HK$197.5 million in the previous period to HK$43.9 million[17]. - Basic earnings per share amounted to 4.4 HK cents, down from 20.1 HK cents in the previous period[17]. - Revenue decreased by 28.7% to HK$797.4 million for the six months ended 30 September 2020, primarily due to the impact of COVID-19 on aesthetic medical and beauty services[106]. - Revenue from aesthetic medical services decreased by 46.3% to HK$248.6 million, representing 31.2% of total revenue, down from 41.4% in the same period last year[106]. - Revenue from beauty and wellness services decreased by 43.3% to HK$135.7 million, representing 17.0% of total revenue, down from 21.4% in the same period last year[111]. - The Group recorded a profit for the period of approximately HK$53.3 million, representing a decrease of 74.7% year-on-year, with a net profit margin of 6.7% compared to 18.9% last year[133]. Operational Highlights - Revenue from medical services increased by 20.3% from the second half of the previous year to HK$361.4 million, accounting for 45.3% of the Group's total revenue[24]. - The Group operated 60 clinics and service centers with a total floor area of approximately 319,000 sq. ft.[25]. - The Group completed the acquisition of an additional 24% equity interest in the NYMG Group during the reporting period, increasing its total ownership to 75%[26]. - The NYMG Group opened 3 new chiropractic clinics during the reporting period[26]. - The group operated 60 clinics and service centers as of September 30, 2020, with a total floor area of approximately 319,000 square feet, and employed 118 full-time registered medical practitioners across 22 medical specialties[27]. - The Group's service centers resumed operations on August 28, 2020, after being temporarily closed due to government restrictions[65]. Impact of COVID-19 - The overall business of the Group has been affected by the COVID-19 pandemic, leading to the temporary closure of certain service centers for 72 business days[65]. - The Group launched telemedicine services in February 2020 to address basic medical needs, following a decrease in client visits due to the COVID-19 outbreak[32]. - The wellness and beauty segment experienced a 10.0% decline in client numbers, reflecting changing consumer behavior during the pandemic[35]. - The COVID-19 pandemic has significantly impacted the Group's overall business since February 2020, leading to the closure of several service centers for 72 working days[67]. - The Group continues to operate medical treatment, physiotherapy, Chinese medicine, and chiropractic services as usual, adapting its measures for epidemic prevention and control accordingly[71]. Strategic Initiatives - The Group continues to focus on expanding its market share in the healthcare sector by enhancing its IT, services, and brand resources[23]. - The Group aims to further enhance its competitive advantage by focusing on information technology, services, and brand development[27]. - The Group plans to expand its market share by establishing 30 to 50 outlets in the Greater Bay Area over the next three to five years, focusing on discretionary medical and healthcare services[100]. - The Group is actively exploring acquisition targets and partnership opportunities with local medical players in Mainland China to fuel sustainable growth in this market[101]. - The Group is exploring strategic alliances with leading enterprises in technology, telecom, insurance, and property sectors to broaden its healthcare service offerings[99]. Financial Management - The Group has implemented prudent financial management for rental expenses and cost control initiatives to preserve cash flow and enhance profitability[82]. - As of September 30, 2020, the Group maintained cash and cash equivalents of HK$671.4 million, ensuring adequate liquidity for current working capital requirements and planned expansion[133]. - The company raised approximately HK$33.9 million from the placement of 8,078,927 new shares at HK$4.20 per share on April 29, 2020, fully applied to offset rental payments[162]. - A further placement of 4,805,410 new shares at HK$4.25 per share on September 24, 2020, raised approximately HK$20.4 million, also fully applied to offset rental payments[162]. - The company conducted a top-up placing of 10,000,000 shares at HK$4.25 per share on September 28, 2020, raising approximately HK$42.5 million for general corporate purposes[162]. Shareholder Information - The Board declared an interim dividend of 3.0 HK cents per share, payable in cash[17]. - The total number of issued shares as of September 30, 2020, was 1,030,416,605 shares[178]. - As of September 30, 2020, Tang Chi Fai holds 718,988,230 shares, representing 69.78% of the total issued share capital[173]. - The company operates a share options scheme and a share award scheme to provide incentives and rewards to eligible participants contributing to the success of the Group's operations[192]. - The share options scheme aims to align the interests of participants with those of the company and its shareholders[194].

Financial Performance - Union Medical Healthcare Limited reported a revenue of HK$1,948,500,643 for the year ended 31 March 2020, representing an increase from HK$1,852,452,059 in the previous year, which is a growth of approximately 5.2%[4] - The EBITDA for the same period was HK$460,413,906, resulting in an EBITDA margin of 23.6%, down from 27.1% in the previous year[4] - Profit before tax for the year was HK$360,523,380, while profit attributable to owners of the Company was HK$286,576,155, reflecting a decrease from HK$450,080,481 and HK$361,105,819 respectively in the prior year[4] - Basic earnings per share decreased to 29.1 HK cents from 36.7 HK cents in the previous year[4] - Total assets increased to HK$2,555,268,899, while total liabilities rose to HK$1,385,735,779, resulting in net assets of HK$1,169,533,120[4] - Revenue increased by 5.2% to HK$1,948.5 million, while net profit decreased by 19.3% to HK$310.3 million during the reporting period[30] - The net profit attributable to equity shareholders decreased by 20.6% to HK$286.6 million for the year ended 31 March 2020[31] - For the year ended 31 March 2020, the Group recorded a profit of approximately HK$310.3 million, representing a decrease of HK$74.2 million or 19.3% compared to the previous year, with a profit margin decrease from 20.8% to 15.9%[117] Dividends and Shareholder Returns - The company declared a final cash dividend of 8.0 HK cents per share, bringing the total cash dividend for the financial year to 23.0 HK cents per share, including the interim dividend[10] - The Co-Ownership Plan incentivizes shareholders with free bonus shares based on achieving EPS goals, potentially distributing up to 4% of the Company's market capitalization[20] - The Co-Ownership Plan was approved by independent shareholders at the extraordinary general meeting held on 16 April 2020[122] - The Co-Ownership Plan was approved on February 21, 2020, allowing the issuance of up to 39,411,097 new shares, representing 4% of the issued shares at the time of the EGM[161] - As of May 10, 2020, the acceptance rate for the Co-Ownership Plan was 84%, with 113 out of 135 invited participants accepting[160] Market Expansion and Strategy - Union Medical Healthcare Limited aims to expand further into Mainland China and strives to become the leading medical service provider in Asia[9] - The Group is committed to expanding its market share in the primary healthcare market through resource deployment in IT, services, and brands[28] - The Group aims to accelerate its expansion in Mainland China, leveraging medical tourism opportunities[12] - The Group plans to expand market share by identifying potential acquisition targets or through organic expansion in the Greater Bay Area, aiming to reach 30 to 50 outlets in the next three to five years[94] - The Group is exploring acquisition targets and partnership opportunities with local medical players in Mainland China to fuel sustainable growth in this market[95] Customer Engagement and Services - The Group continues to be recognized as the largest non-hospital medical service provider in Hong Kong[27] - The Group's outpatient medical insurance claims grew at a CAGR of 28.1% over the past three years[11] - Average spending per individual customer rose by 7.8% to HK$19,923[30] - Revenue from medical services increased by 19.2% to HK$623.2 million[30] - The average spending per client in aesthetic medical services increased by 30.1% to HK$33,497[48] - The customer retention rate is reported at 80%[46] - The Group plans to establish additional medical specialty services to meet increasing customer demand[34] - The Group will continue to secure new clientele who are health-conscious and seek easy access to medical and healthcare needs[93] Operational Challenges and Responses - The overall business has been affected by social unrest and the COVID-19 pandemic, leading to operational challenges[64] - Certain service centers were temporarily closed for 3 to 8 weeks due to COVID-19 restrictions, but resumed operations on May 8, 2020[64] - The Group implemented precautionary measures including compulsory body temperature checks and mandatory face masks for all individuals entering its premises[63] - The Group applied for subsidies totaling approximately HK$30.8 million in Hong Kong, Mainland China, and Macau to mitigate the impact of the pandemic[61] - The Group's business model is customer and IT-centric, which is expected to facilitate recovery despite ongoing challenges[67] - The Group has implemented proactive client engagement strategies to retain loyal local customers and has developed new medical services to meet essential customer needs[76] Financial Management and Cost Control - The Group is implementing cost control initiatives and prudent financial management to navigate current challenges[76] - Employee benefit expenses rose by 20.9% to approximately HK$539.9 million, accounting for 27.7% of total revenue (2019: 24.1%), primarily due to increased salaries for additional employees[112] - Marketing and advertising expenses decreased by 19.5% to approximately HK$124.4 million, representing 6.4% of total revenue (2019: 8.3%), attributed to synergies from the acquisition of a performance marketing company[112] - Other operating expenses were approximately HK$103.9 million, a decrease of HK$9.6 million or 8.4% compared to the previous year, primarily due to cost control initiatives[115] Recognition and Awards - The Group received multiple awards, including the 2018 Market Leadership Award from the Hong Kong Institute of Marketing, highlighting its recognition in the industry[153] - The Group's commitment to quality service was recognized with the 2019 Enterprise Quality Service Award from the International Aesthetics Chambers of Commerce[156] Corporate Social Responsibility and Community Engagement - The company recognizes the significance of corporate social responsibility, aiming to create a more inclusive society[188] - The company has engaged in various community activities, including health checks and haircare for the elderly[199] - Over 100 talents from the company qualified for blood donation in 2019, demonstrating commitment to community service[198] - The company has been awarded the "Green Office" Label for fulfilling 150 feasible green criteria, promoting environmental protection[190] Innovation and Technology - The Group aims to enhance patient care and satisfaction through increased digitalization, innovation, and technology[92] - The Group rolled out telemedicine services in February 2020 in response to the Medical Council's Ethical Guidelines on Telemedicine issued in December 2019[75] - The company has actively promoted electronic operations and sales activities to enhance efficiency[191] Management and Culture - The Group's culture and values have been reinforced, with over 100 talents investing their family savings in the Co-Ownership Plan, indicating strong commitment and alignment with long-term goals[158] - The Group's management expressed confidence in recovering from the pandemic, stating that adversity has made them stronger[164] - The Group's strategic focus includes market expansion and enhancing competitive advantages through innovative management concepts[164] - The company emphasizes the importance of human resources as a key asset and participates in the "Good Employer Charter" to enhance staff morale[193]

Financial Performance - The Group's sales volume and total revenue for the reporting period were HK$1,065.1 million and HK$1,118.5 million, representing increases of 18.3% and 28.1% respectively compared to the same period in 2018[16]. - Net profit attributable to equity shareholders increased by 1.7% from HK$194.2 million in the previous period to HK$197.5 million for the six months ended September 30, 2019[17]. - Basic earnings per share rose to 20.1 HK cents, up from 19.7 HK cents in the previous period[17]. - The Group's revenue increased by 28.1% to HK$1,118.5 million and net profit rose by 4.0% to HK$211.1 million during the Reporting Period[24]. - Revenue from medical services surged by 102.2% from HK$160.2 million to HK$324.0 million for the six months ended 30 September 2019[30]. - The average spending per client in wellness and beauty increased by 11.1% to HK$24,686[37]. - Profit before tax for the six months ended 30 September 2019 was approximately HK$248.9 million, an increase of 3.3% compared to HK$240.9 million for the same period last year[94]. - For the six months ended 30 September 2019, the Group recorded a profit of approximately HK$211.1 million, representing an increase of 4.0% compared to the same period last year, with a net profit margin of 18.9%[99]. - Revenue for the six months ended September 30 was HK$1,118,476,628, an increase from HK$873,048,770 in the previous period, representing a growth of approximately 28.1%[190]. - Profit for the period attributable to equity shareholders was HK$197,510,568, compared to HK$194,240,265 in the prior period, reflecting a slight increase of 1.2%[190]. Dividends and Shareholder Returns - The Board declared an interim dividend of 15.0 HK cents per share[19]. - The Board declared an interim dividend of 15.0 HK cents per share, payable to shareholders on or around 21 January 2020[110]. Operational Strategy and Market Expansion - The company continues to expand its geographical coverage, with operations in key cities including Beijing, Shanghai, and various locations in the Greater Bay Area[13]. - The management is optimistic about future growth prospects, driven by increased demand for healthcare services and strategic market expansion initiatives[14]. - The Group's strategic focus on expanding medical services is driven by the increasing demand from clients due to pressures on the public healthcare system[29]. - Market share expansion will be pursued through potential acquisitions and organic growth in the Greater Bay Area[64]. - The company is exploring acquisition targets and partnership opportunities with local players in Mainland China to cater to the localization of aesthetic and medical services[56]. - The Group aims to establish a 50-50 joint venture with EuroEyes Group to develop ophthalmological services in Hong Kong and Mainland China[61]. - The company is gradually increasing the coverage of medical disciplines for medical insurance policyholders[55]. Client Engagement and Service Development - The company is focused on enhancing its service offerings through new product and technology development in the aesthetic medical sector[14]. - The Group has integrated multiple medical disciplines to improve efficiency and client service flow[30]. - The company is implementing proactive client engagement strategies to retain loyal local customers amid recent social instability in Hong Kong[56]. - The company continues to develop new medical services to fulfill essential needs of customers[56]. Financial Position and Assets - As of September 30, 2019, the company had cash and cash equivalents of HK$408.3 million and certificates of deposits of HK$6.6 million, indicating a strong financial position[99]. - The Group's outstanding interest-bearing bank borrowings amounted to HK$130.3 million, resulting in a gearing ratio of 11.0% as at 30 September 2019[104]. - Total non-current assets as of September 30 amounted to HK$1,540,576,753, a significant increase from HK$942,287,505 as of March 31, indicating a growth of approximately 63.6%[193]. - Current liabilities totaled HK$943,964,498, a decrease from HK$1,124,928,086 as of March 31, representing a reduction of about 16.1%[193]. - Net assets increased to HK$1,186,815,377 from HK$1,165,896,895, reflecting a growth of approximately 1.6%[194]. - Cash and cash equivalents as of September 30 were HK$408,343,054, up from HK$366,969,663, indicating an increase of about 11.2%[193]. Shareholder Structure and Governance - Mr. Tang Chi Fai holds 728,988,230 shares, representing 74.00% of the total issued share capital of 985,172,448 shares as of September 30, 2019[121]. - The company has a significant concentration of ownership, with Mr. Tang and Union Medical Care Holding Limited being the controlling shareholders[121]. - The company operates a share options scheme and a share award scheme to provide incentives and rewards to eligible participants contributing to the success of the Group's operations[130]. - The company has complied with all applicable code provisions of the Corporate Governance Code, except for the deviation from code provision A.2.1 regarding the separation of the roles of chairman and chief executive officer[174]. - Mr. Tang has been serving as both chairman and chief executive officer, which the Board believes provides strong and consistent leadership[175]. Compliance and Internal Controls - The company has implemented internal control measures to prevent coercive selling practices, ensuring compliance with best practice guidelines[46]. - The Audit Committee, comprising three independent non-executive Directors, reviewed the unaudited interim condensed consolidated financial statements for the reporting period[181]. - The company has made adequate disclosures in accordance with the Listing Rules and applicable accounting standards[181]. - No incidents of non-compliance with the Model Code by employees were noted during the reporting period[176]. Future Outlook - The company remains optimistic about future growth, projecting a compound annual growth rate (CAGR) of 10% over the next three years[200]. - The company plans to enter two new international markets by the end of the fiscal year, targeting a revenue contribution of $100 million[200].

Financial Performance - Total revenue for the year ended 31 March 2019 was HK$1,836,798,361, representing an increase from HK$1,307,639,358 in 2018[5] - EBITDA for the same period was HK$502,551,918, with an EBITDA margin of 27.4%[6] - Profit attributable to owners of the Company was HK$361,105,819, with a net profit margin of 20.9%[5] - Basic earnings per share increased to 36.7 HK cents, up from 28.5 HK cents in the previous year[5] - The Group achieved a net profit increase of 38.3% and revenue growth of 40.5%[21] - The Group's revenue increased by 40.5% to HK$1,836.8 million and net profit rose by 38.3% to HK$384.5 million for the year ended 31 March 2019[42] - Revenue increased by 40.5% from HK$1,307.6 million for the year ended 31 March 2018 to HK$1,836.8 million for the year ended 31 March 2019[91] Assets and Liabilities - Total assets as of 31 March 2019 were HK$2,346,983,842, compared to HK$1,982,980,721 in 2018[6] - Total liabilities stood at HK$1,181,086,947, reflecting a slight increase from HK$1,145,466,738 in 2018[6] - As of 31 March 2019, the Group had outstanding interest-bearing bank borrowings of HK$497.7 million and obligations under finance leases of HK$46.8 million[136] - The Group's total debt as of March 31, 2019, was HK$544.5 million, leading to a debt-to-equity ratio of 46.7%[144] Market Position and Growth Strategy - Union Medical Healthcare is recognized as the largest non-hospital medical service provider in Hong Kong according to Frost & Sullivan[2] - The Group is the leading non-hospital medical service provider in Hong Kong, maintaining a competitive operating efficiency and strong business growth[32] - The Group plans to explore acquisition targets and partnerships in the Greater Bay Area to enhance service offerings in health, beauty, and wellness[23] - The Group is focused on expanding its market share in the primary healthcare market through resource deployment in IT, services, and brands[33] - The Group is committed to capturing the market for reliable medical products and services not available in the PRC through medical tourism[22] Customer Metrics - The number of individual customers grew by 23.5% from 80,566 to 99,524, while the number of new customers increased by 13.6% from 50,652 to 57,516[47] - The retention rate of customers is reported at 89%[48] Operational Developments - The specialty clinics, oncology and day surgery centre, and diagnostic imaging centre commenced operations in November 2018 to meet the anticipated demand for specialty medical services due to VHIS[35] - The Group launched two Tencent Doctorwork clinics in Hong Kong in November 2018 and introduced AI equipment in May 2019 to enhance service delivery[36] - The Group's vaccine center was officially opened in June 2019, occupying over 8,000 sq. ft. in the flagship store[38] Expenses and Cost Management - Cost of inventories and consumables increased by 39.1% from HK$163.4 million to HK$227.3 million, representing 12.4% of revenue[102] - Registered practitioner expenses increased by approximately HK$96.9 million or 87.8% to HK$207.3 million, representing 11.3% of revenue[102] - Employee benefit expenses rose by approximately HK$105.1 million or 30.8% to HK$446.4 million, representing 24.3% of revenue[106] - Marketing and advertising expenses increased by approximately HK$27.6 million or 21.7% to HK$154.5 million, representing 8.4% of revenue[109] - Rental and related expenses increased by approximately HK$44.6 million or 34.1% to HK$175.6 million, representing 9.6% of revenue[110] Governance and Management - The Group's management emphasizes good governance practices to enhance transparency, accountability, and shareholder value[156][157] - The Board composition includes three independent non-executive directors, complying with the Listing Rules requirements[165] - The Company has adopted a board diversity policy, considering factors such as gender, age, and professional experience for director appointments[179] - The Company has established formal procedures for the appointment, re-election, and removal of directors, ensuring transparency[189] Future Outlook - The Hong Kong medical service market revenue is projected to increase to HK$178.2 billion by 2021, with out-of-pocket health expenditure expected to reach HK$94 billion by 2024/25[63] - The Group anticipates growing demand for medical specialty services, leveraging big data to secure health-conscious clientele[84] - The Group plans to enhance its brand, service, and IT to improve patient care and satisfaction[83]