廖创兴企业(00194) - 2023 - 年度财报

Financial Performance - Profit attributable to owners of the Company for 2023 was a loss of HK$814,937, compared to a profit of HK$86,148 in 2022[7]. - Basic earnings per share for 2023 was HK$(2.15), a significant drop from HK$0.23 in 2022[7]. - Total net assets decreased to HK$11,604,584, a decline of 8.3$873.1 million, compared to a profit of approximately HK$88.8 million for the year ended December 31, 2022, primarily due to fair value losses on investment properties and impairment losses on properties under development and held for sale[71]. - The Group's investment properties experienced significant fair value losses, impacting overall profitability for the year[71]. - The accumulated profits available for distribution to shareholders as of December 31, 2023, amounted to HK$7,086,774,000, down from HK$7,521,841,000 in 2022[84]. Dividends - The dividend payout ratio for 2023 was (13$0.17 per share, in addition to an interim cash dividend of HK$0.11 per share paid on September 15, 2023, totaling HK$0.28 per share for the fiscal year[71]. - An interim cash dividend of HK$0.11 per share was paid on September 15, 2023, with a recommended final cash dividend of HK$0.17 per share, totaling HK$0.28 for the year[81]. Market Conditions - China's GDP grew by 5.2$302.1 million, a slight increase of 0.3% compared to 2022[31]. - The occupancy rate for major properties is 85%[31]. - In Foshan, 99% of residential units in The Grand Riviera have been sold, generating total sale proceeds of approximately HK$6 billion[31]. - The residential property project "Elegance Garden" has sold 30.8$77.1 million, a decrease of 6.2% compared to 2022[31]. - Revenue from Kimpton Kitalay Samui hotel increased by 104% to HK$96.3 million compared to 2022[31]. Strategic Acquisitions - The Group has acquired a 50% share of Cromwell Italy Urban Logistics Fund, holding seven logistic centers in Northern Italy[33]. - In April 2023, the Group acquired Barratt House in London, generating annual rental revenue of approximately GBP2.5 million[53]. - The Group also acquired a 50% stake in Cromwell Italy Urban Logistics Fund, holding a 25% effective interest in the properties[53]. Economic Outlook - Economic forecasts for 2024 predict a global growth rate similar to that of 2023, with the Euro area expected to grow by 0.9% and the UK by 0.6%[75]. - China's growth rate for 2024 is projected to be around 5%, with increased capital inflows as foreign investors recognize the resilience of the economy[75]. - The anticipated interest rate cut by the Federal Reserve in the second half of 2024 is expected to narrow the interest-rate differential between the US and China, reducing arbitrage opportunities for firms[75]. - The Hong Kong economy is forecasted to grow between 2.5% and 3.5% in 2024, supported by strong private consumption and property market investments[76]. Environmental Initiatives - The Group aims to reduce energy consumption by 3% in its Hong Kong properties by 2025, using 2021 as the baseline[94]. - The Group replaced pre-cooling air units in hotel buildings to enhance cooling efficiency and reduce energy consumption during the Reporting Period[94]. - The Group participated in Earth Hour 2023 by turning off non-essential lights and appliances for one hour, demonstrating support for energy conservation[96]. - The Group has introduced eco-friendly products, including biodegradable takeaway meal boxes and oxo-biodegradable paper cups, to minimize environmental impact[96]. - Water consumption decreased from 28,527.49 m³ in 2022 to 19,944.80 m³ in 2023, representing a reduction of approximately 30.3%[101]. - Water consumption per employee improved from 100.80 m³ in 2022 to 69.74 m³ in 2023, a decrease of about 30.8%[101]. Employee Management - The total employee turnover rate increased from 18% in 2022 to 36% in 2023, attributed to dynamic employment market conditions[111]. - During the reporting period, 57% of employees received training, with an average of 1.64 training hours per employee, down from 2.28 hours in 2022[114]. - The Group did not experience any work-related fatalities over the past three years, with work injury-related lost workdays decreasing from 386 days in 2022 to 31 days in 2023[116]. - The Group's employee retention strategy focuses on enhancing workplace satisfaction through competitive compensation and benefits, resulting in positive feedback from staff regarding workplace facilities[134]. - The Group's commitment to employee well-being includes participation in the "Good Mood @ Healthy Workplace" program, promoting mental health and a positive workplace culture[141]. Governance and Compliance - The Audit Committee met twice in the year, with a 100% attendance rate from all members, ensuring oversight of financial statements and internal controls[183]. - The Group is committed to effective risk management policies and internal control procedures to manage potential risks[189]. - The Audit Committee comprises four Independent Non-executive Directors, ensuring a robust review of financial statements and audit processes[198]. - No irregularities or major weaknesses in internal controls were found by the auditor during the 2023 Audit Committee meeting[189]. - The Group's operational manual and policies ensure adherence to quality standards, with department heads overseeing compliance through regular inspections[119].