Financial Performance - The group's revenue for the fiscal year 2024 was approximately HKD 736.7 million, an increase of about HKD 65.2 million or 9.7% compared to fiscal year 2023[11]. - The gross profit decreased by approximately HKD 10 million, resulting in a gross profit margin drop from 3.5% in fiscal year 2023 to 1.8% in fiscal year 2024 due to increased labor costs[11]. - Other income recorded was approximately HKD 3.5 million, an increase of about HKD 0.8 million compared to fiscal year 2023, primarily due to rising bank interest rates[12]. - The net other income was approximately HKD 7.0 million in fiscal year 2024, compared to a net loss of HKD 2.1 million in fiscal year 2023, mainly due to fair value gains on financial assets[13]. - Total loss and comprehensive expenses decreased by approximately HKD 2.1 million, primarily due to a reduction in gross profit of about HKD 10.0 million[18]. - As of September 30, 2024, the group had cash and bank balances of approximately HKD 136 million, down from HKD 171 million as of September 30, 2023[19]. - The group had no bank borrowings as of September 30, 2024, maintaining a net cash position[19]. Contracts and Business Development - The group secured multiple contracts totaling over HKD 730 million, contributing to stable future income[9]. - The group is focusing on four major projects, including services for Mary Hospital and Kai Tak New Emergency Hospital[9]. - The group remains confident in future growth opportunities and is actively seeking new business ventures to diversify revenue sources[7]. - The group secured multiple contracts exceeding HKD 730 million, benefiting from the Hong Kong government's investment in construction projects[31]. Administrative and Financial Costs - Administrative expenses increased by approximately HKD 0.1 million or 0.3% due to rising employee costs[16]. - Financial costs increased by approximately HKD 195,000 or 134% due to a new warehouse lease agreement[17]. Corporate Governance - The board held six meetings during the year, with some meetings having less than the standard 14-day notice period due to urgent business matters[37]. - The company appointed Mr. Wang as an independent non-executive director on January 18, 2024, bringing the number of independent non-executive directors to three, meeting the minimum requirement under Listing Rule 3.10(1)[38]. - The audit committee held two meetings during the year to review the audited financial statements for the year ending September 30, 2023, and to discuss risk management and internal control systems[47]. - The attendance rate of the chairman and CEO, Ms. Gao, at board meetings was 100%, with 6 out of 6 meetings attended[42]. - The company has maintained compliance with the corporate governance code, ensuring that all independent non-executive directors are independent individuals[38]. - The board is responsible for monitoring the company's financial performance and ensuring the establishment of an effective internal control framework[41]. - The company encourages directors to participate in continuous professional development to enhance their knowledge and skills[44]. - The audit committee consists of three independent non-executive directors, ensuring independence from previous or current auditors[47]. - The company has a balanced skill set and experience among board members to meet its business needs[38]. - The company has received annual confirmations of independence from all independent non-executive directors[38]. - The board has established a framework for reviewing and monitoring compliance with legal and regulatory requirements[46]. - The remuneration committee held two meetings during the year to review the remuneration policy and structure for all directors and senior management, and to recommend these to the board for approval[48]. - The risk management committee conducted one meeting to oversee the risk management framework and review risk reports, ensuring effective risk control measures[51]. - The external auditor's fees for the year ending September 30, 2024, amounted to HKD 840,000, with HKD 800,000 for audit services and HKD 40,000 for other services[55]. - The company has established an internal audit function to continuously assess the effectiveness of risk management and internal control systems, reporting findings and recommendations to the audit committee and board[56]. - The board confirmed that the risk management and internal control systems are effective and sufficient, complying with corporate governance codes[58]. - The company is committed to timely disclosure of inside information and has established mechanisms to maintain confidentiality until board approval for public release[58]. - The financial statements reflect the group's financial position and performance accurately, adhering to relevant statutory requirements and accounting standards[59]. - The company secretary completed no less than 15 hours of relevant professional training during the year[61]. - The company maintains effective communication with shareholders and investors, providing comprehensive operational and financial performance information through annual and interim reports[62]. - The nomination committee held two meetings to review the board's structure and composition, and to assess the independence of non-executive directors[50]. - The company reported its annual performance for the year ending September 30, 2024, with a comprehensive income statement available on page 57 of the annual report[79]. Shareholder Information - The company allows shareholders holding at least 10% of the voting rights to request a special general meeting within two months of submission[64]. - The company has a structured process for shareholders to submit inquiries to the board at any time[65]. - The company has a commitment to shareholder rights and governance, ensuring transparency and accountability in its operations[64]. - The board does not recommend the payment of a final dividend for the fiscal year 2024, consistent with the fiscal year 2023 where no dividend was paid[80]. Customer and Supplier Concentration - In the fiscal year 2024, the top five customers accounted for approximately 99.0% of total revenue, with the largest customer contributing about 63.9%[88]. - The top five suppliers represented approximately 67.1% of total material costs, while the largest supplier accounted for about 29.3%[89]. - The top five subcontractors comprised approximately 98.2% of total subcontracting fees, with the largest subcontractor making up about 87.3%[89]. - The company’s largest customer’s contribution to total revenue increased from 57.5% in fiscal year 2023 to 63.9% in fiscal year 2024[88]. Employee and Workforce Information - The group employed 1,108 staff as of September 30, 2024, an increase from 948 staff in the previous fiscal year[22]. - The company has increased its full-time employees to 1,107 in 2024, up from 947 in 2023, indicating a growth in workforce[185]. - The employee turnover rate for males is 5% and for females is 4% in 2024, showing a slight increase compared to previous years[191]. - The workforce is categorized by age, with 127 employees under 30 years old, 644 between 30 and 50, and 337 over 50 in 2024[187]. - The company maintains a zero-tolerance policy towards workplace harassment and discrimination, promoting an inclusive work culture[182]. - The company provides competitive compensation packages, including medical allowances and long-term service rewards, to attract and retain talent[181]. Environmental, Social, and Governance (ESG) Initiatives - The group has established a comprehensive environmental management system and obtained ISO 14001:2015 certification, implementing systematic measures to protect the environment[159]. - During the reporting period, the group did not identify any significant violations of environmental laws and regulations, including the Noise Control Ordinance and Waste Disposal Ordinance[159]. - The group is committed to minimizing emissions during operations, although the generated emissions are not considered significant due to the nature of its business[160]. - The ESG report outlines the group's activities, challenges, and measures taken in the ESG area for the fiscal year ending September 30, 2024[148]. - Stakeholder engagement is prioritized in the development of operational strategies and ESG measures, with communication through various channels[150]. - The group has implemented effective management policies and internal control systems for ESG matters during the reporting period[156]. - Key performance indicators related to waste management and resource usage are monitored and reported, including energy consumption and water usage[151]. - The group emphasizes the importance of health and safety management systems and training for employees[153]. - The group is focused on community investment and commitment to social responsibility initiatives[156]. - The ESG report is prepared in accordance with the guidelines set forth by the Hong Kong Stock Exchange[146]. - Total greenhouse gas emissions for the group decreased to approximately 71.70 tons in 2024 from 81.29 tons in 2023, representing a reduction of about 11.5%[162]. - The group aims to reduce greenhouse gas emissions by 2% in the coming year[162]. - The total number of employees increased to 1,108 in 2024 from 948 in 2023, with a corresponding increase in the total greenhouse gas emissions per employee from 0.09 tons to 0.06 tons[162]. - Diesel consumption increased to 8,464.39 liters in 2024 from 8,181.10 liters in 2023, while gasoline consumption decreased to 1,811.77 liters from 1,933.16 liters[172]. - Electricity consumption decreased to 34,590 kWh in 2024 from 45,044 kWh in 2023, indicating a significant reduction in energy usage[172]. - The group has set a target to reduce energy consumption by 2% in the upcoming year[171]. - Paper consumption per employee decreased to 4.45 kg in 2024 from 6.18 kg in 2023, reflecting a focus on waste reduction[167]. - The group has implemented measures to optimize vehicle usage and reduce direct greenhouse gas emissions from fuel consumption[163]. - Water consumption decreased to 61 cubic meters in 2024 from 81 cubic meters in 2023, with a per employee consumption of 0.06 cubic meters[172]. - The group encourages subcontractors to minimize waste generation and use recyclable packaging materials[167]. Safety and Health Management - The company has implemented ISO 45001:2018 certification for occupational health and safety management, enhancing its safety protocols[195]. - The company has established a safety management system to minimize risks and ensure compliance with health and safety regulations[197]. - The company actively encourages employee participation in social activities and volunteer work to promote work-life balance[183]. - The company emphasizes close communication with general contractors to enhance safety standards on projects[200]. - Regular safety meetings are held with general contractors to address key safety issues[200]. - A comprehensive site safety plan is established by general contractors, which all subcontractors are required to follow[200]. - Subcontractors must comply with labor department safety regulations and provide necessary safety equipment for their employees[200]. - The company mandates subcontractors to submit signed records related to employee safety protection for inspection[200]. - The number of reported accidents resulting in sick leave exceeding three days has increased to 6 in 2024 from 3 in 2023[196]. - The total number of workdays lost due to injuries has risen to 1,030 in 2024, compared to 622 in 2023[196].
高丰集团控股(02863) - 2024 - 年度财报