Financial Performance - AP Rentals reported a significant increase in revenue, achieving a total of HKD 800 million, representing a growth of 15% year-over-year[6]. - For FY2021, the Group reported total revenue of approximately HK$148.5 million, an increase of approximately 1.8% compared to HK$145.8 million in FY2020[21][23]. - The Group's gross profit for FY2021 was approximately HK$18.5 million, an increase of approximately 14.9% from approximately HK$16.1 million in FY2020, with a gross profit margin rising to approximately 12.5% from 11.0%[42]. - The Group recorded a loss attributable to owners of the Company of approximately HK$5.7 million in FY2021, a significant reduction from approximately HK$19.7 million in FY2020[44]. - Basic loss per share attributable to owners of the Company for FY2021 was HK(0.66) cent, compared to HK(2.28) cents for FY2020[45]. - The Group's financial performance indicates a positive trend with improved gross profit and reduced losses, suggesting potential for future growth[42]. Market Outlook and Strategy - Future outlook indicates a projected revenue growth of 10% for the next fiscal year, driven by increased demand for construction and event equipment rentals[6]. - The company plans to enter new markets in Southeast Asia, targeting a market share of 5% within the first two years of operation[6]. - The Group expects improved performance in FY2022 due to anticipated economic growth in PRC and increased construction investments in 5G networks and data centers[25][30]. - The Group expects gradual improvement in leasing-related services in FY2022, despite ongoing impacts from the COVID-19 pandemic[56]. - The Group anticipates an increase in leasing demand in the Central Kowloon Route and machinery sales as lockdowns in Asian countries are lifted in FY2022[61]. Operational Efficiency and Investments - The company has invested HKD 30 million in technology upgrades to improve operational efficiency and customer service[6]. - The Group plans to continue investing in advanced machines and disposing of aged machines to maintain competitiveness and profitability in FY2022[34]. - The Group's cost of sales and services increased by approximately 0.2% to about HK$130.0 million in FY2021[68]. - Machinery hiring expenses decreased by approximately HK$16.5 million compared to FY2020, while depreciation costs increased by approximately HK$11.0 million due to increased investment in leasing machinery[68]. Customer and Market Demand - User data shows a 25% increase in customer inquiries, indicating strong market interest and potential for future contracts[6]. - In FY2021, the leasing income was primarily driven by demands from the Third Runway & Improvements and KTS Park, despite a poor overall market sentiment in the Hong Kong construction industry[50]. - The COVID-19 pandemic significantly impacted the operating days of customers' work sites, leading to a decline in leasing income for FY2021[50]. - The Group expects that the economy of the PRC will continue to improve in FY2022, leading to increased demand for construction machinery[61]. Sustainability and Corporate Responsibility - The management team emphasized a commitment to sustainability, with plans to introduce eco-friendly equipment options by the end of the fiscal year[6]. - The company has obtained the Quality Powered Mechanical Equipment (QPME) identification for most of its rental equipment, demonstrating a commitment to environmental sustainability[135]. - The company recognizes the importance of relationships with employees, customers, and suppliers for sustainable development and is committed to providing a fair and safe workplace[138]. - Charitable donations made by the Group during the year amounted to HK$500.0, compared to nil in FY2020[150]. Financial Stability and Capital Management - As of March 31, 2021, the Group had bank balances and cash equivalents of approximately HK$38.4 million, an increase from approximately HK$30.0 million as of March 31, 2020[85][88]. - The Group's gearing ratio was nil as of March 31, 2021, down from approximately 10.6% as of March 31, 2020, indicating improved financial stability[90][93]. - The Group plans to fund future operations and expansion primarily through cash generated from operations and borrowings[91]. - The total staff cost for FY2021 amounted to approximately HK$45.9 million, up from approximately HK$41.4 million in FY2020, primarily due to an increase in headcount of operators and annual salary review[101]. Employee Development and Training - The Group emphasizes employee training and development resources to keep staff updated on market and industry developments[141]. - The Group's technical staff participate in seminars to acquire product knowledge and skills necessary for their duties[102]. - The company provides competitive remuneration and benefits, along with career development opportunities based on merit and performance[138]. Risks and Challenges - The company faces potential risks including global economic recession, increased construction material costs, and adverse changes in government infrastructure spending[132]. - The construction industry in PRC continues to face challenges due to labor shortages and material supply disruptions caused by COVID-19, impacting leasing demand[25][30].
亚积邦租赁(01496) - 2021 - 年度财报