REGINA MIRACLE-维珍妮(02199) - 2024 - 年度财报

Financial Performance - Revenue for the year ended March 31, 2024, was HK $7,016,802, a decrease of 10.9% from HK$ 7,879,287 in 2023[21]. - Gross profit decreased by 16.7% to HK $1,583,567, representing 22.6% of revenue, compared to 24.1% in the previous year[21]. - Profit attributable to owners of the Company fell by 62.6% to HK$ 143,175, down from HK $383,258 in 2023[21]. - Adjusted profit attributable to owners of the Company decreased by 24.2% to HK$ 316,471, compared to HK $417,387 in the prior year[21]. - Earnings per share decreased to 11.7 HK cents from 31.3 HK cents in 2023[21]. - The Group recorded revenue of approximately HK$ 7,016.8 million for Fiscal 2024, representing a year-on-year decrease of 10.9% from HK $7,879.3 million in Fiscal 2023[61]. - Net profit for Fiscal 2024 was approximately HK$ 143.2 million, a decrease of 62.6% year-on-year, with a net profit margin of 2.0%, down 2.9 percentage points from 4.9% in Fiscal 2023[61]. - Adjusted EBITDA decreased by 11.8% to approximately HK $1,185.3 million, with an adjusted EBITDA margin of 16.9%, down 0.2 percentage points from 17.1% in Fiscal 2023[62]. - The total revenue decreased by 10.9% from approximately HK$ 7,879.3 million in Fiscal 2023 to approximately HK $7,016.8 million in Fiscal 2024[100]. - The Group's net current assets amounted to approximately HK$ 1,489.8 million as of March 31, 2024, down from HK $1,585.6 million in Fiscal 2023[63]. - The Group's net debt increased to approximately HK$ 3,530.5 million as of 31 March 2024, up from HK $3,283.5 million as of 31 March 2023, resulting in a net gearing ratio of 104.7%[143][145]. Production and Operations - The Group has established production bases in China and Vietnam to support domestic market growth and export business expansion[3]. - The major production base in Vietnam has been operational since 2016, supporting the growth of the export business[3]. - The company emphasized the importance of cost management and control, achieving record-high production efficiency at its Vietnam facilities[39]. - The Group's production efficiency reached record highs in its core business segments during Fiscal 2024, with plans to resume recruitment in Vietnam as orders recover[91]. - The relocation of production lines for consumer electronics and other products was completed during Fiscal 2024, with further adjustments expected to accommodate order deliveries[96]. - The new Zhaoqing production base is designed to meet world-leading standards, incorporating automated production lines and advanced information management systems to enhance production efficiency[187]. - The Zhaoqing production base will support the Group's growing business in the PRC and assist international brands in developing the local market[189]. - The Group aims to reduce manpower by 20% while maintaining the same production value to improve personnel productivity and reflect innovation advantages in gross profit margin growth[193]. Sustainability and Social Responsibility - Regina Miracle has set four sustainability goals for 2030, focusing on carbon reduction, waste management, sustainable innovation, and community development[4]. - The Group's commitment to social responsibility aligns with the United Nations' 2030 Sustainable Development Goals[4]. - The Group has made significant progress in carbon reduction, waste management, innovative development, talent nurturing, and community engagement over the past year[200]. - The establishment of a comprehensive governance framework for ESG has improved decision-making and implementation efficiency within the Group[200]. - The Group actively promotes sustainable development strategies and integrates environmental and social responsibility into its management practices[200]. - The recognition received by the Group serves as validation of its commitment to meeting the expectations of international brands for green production[200]. - The Group's efforts in sustainability have positioned it favorably in the competitive landscape of the manufacturing sector[200]. - The Group's initiatives in diversity, equality, and inclusion have been acknowledged, marking a significant milestone in its corporate social responsibility efforts[200]. Market and Business Strategy - The company focused on prioritizing core businesses and bolstering principal operations, particularly in intimate wear and sports products[31]. - The company is prioritizing core segments and strengthening core operations to navigate uncertainties in the macro environment, focusing on restructuring and development opportunities[56]. - The joint venture with Victoria's Secret has positively impacted the company's business in the Chinese market, providing valuable experience for collaboration with more brands[58]. - The Group will continue to prioritize core businesses, particularly intimate wear and sports products, to solidify its market position and stability[176]. - The Group anticipates a recovery in order demand in Fiscal 2025, leading to a rebound in total revenue[172]. - Revenue from the intimate wear segment is expected to grow at a low-to-mid single-digit rate due to recovering orders from major brand partners[173]. - The sports products segment is projected to achieve double-digit revenue growth, driven by steady recovery in sports bras and mid-double-digit growth in bonding apparel[173]. - The Group's bonding apparel business is recognized by target brand partners, with accelerating order growth and potential for significant market expansion[181]. - Orders for Santoni seamless related products recorded double-digit growth, indicating effective breakthroughs in product R&D and sales expansion[182]. - The Group has successfully introduced several products developed for the PRC market to overseas markets, creating new growth opportunities for its IDM business[200]. Research and Development - Regina Miracle's innovative design manufacturer (IDM) business model leverages three core technologies: computer-aided mold design, 3D compression molding, and seamless bonding[2]. - New patented bonding craftsmanship is expected to drive business breakthroughs and expand product categories[38]. - The company is focusing on technology upgrades centered around the patented bonding process, which has a market lead of 5 to 10 years, enhancing product quality and production efficiency[41]. - The Group has made significant progress in the development of Bonding technology, achieving a market lead of 5 to 10 years and identifying increasing demand for Bonding apparel products[183]. - The Santoni seamless product line recorded double-digit order growth, with expectations for continued growth in the coming year[184]. Financial Management - The company plans to reduce finance costs by actively reducing debt and optimizing the existing debt structure from Fiscal 2026 to 2028, aiming to lower the net gearing ratio to a healthy level[44]. - General and administrative expenses as a percentage of total revenue decreased from 8.9% in Fiscal 2023 to 8.0% in Fiscal 2024, attributed to operational streamlining and exchange gains[124]. - Research and development costs increased from approximately HK$ 235.8 million in Fiscal 2023 to approximately HK $267.5 million in Fiscal 2024, representing 3.8% of total revenue[126]. - Finance costs rose from approximately HK$ 293.5 million in Fiscal 2023 to approximately HK$337.0 million in Fiscal 2024, with the percentage of total revenue increasing from 3.7% to 4.8%[133].