Financial Performance - Revenue for the year ended March 31, 2024, was HKD 3,898,222,000, a decrease of 6.1% from HKD 4,150,886,000 in the previous year[42]. - Gross profit increased to HKD 912,186,000, up 3.7% from HKD 879,314,000 year-on-year[42]. - Net profit for the year was HKD 33,296,000, down 23.2% from HKD 43,358,000 in the previous year[42]. - Basic and diluted earnings per share decreased to HKD 0.090 from HKD 0.106, representing a decline of 15.1%[42]. - The total comprehensive loss for the year was HKD 17,129 thousand in 2024 compared to HKD 28,541 thousand in 2023, indicating an improvement of approximately 40.00%[17]. - Profit attributable to equity owners was HKD 34,657,000, down from HKD 40,732,000 in the previous year[103]. - The total tax expense for the year was HKD 13,636,000, compared to a tax credit of HKD 13,390,000 in the previous year[1]. Assets and Liabilities - Non-current assets decreased from HKD 1,308,900 thousand in 2023 to HKD 1,208,176 thousand in 2024, a reduction of approximately 7.66%[5]. - Current assets decreased from HKD 1,935,170 thousand in 2023 to HKD 1,719,967 thousand in 2024, a decline of about 11.14%[5]. - Total liabilities decreased from HKD 1,752,086 thousand in 2023 to HKD 1,478,803 thousand in 2024, representing a decrease of approximately 15.59%[5]. - The total equity decreased from HKD 1,304,882 thousand in 2023 to HKD 1,249,752 thousand in 2024, a decline of about 4.23%[24]. - The total assets amounted to HKD 2,928,143, while total liabilities were HKD 1,678,391, resulting in a net asset value of HKD 1,249,752[54][56]. Cash Flow and Financing - The cash and cash equivalents decreased from HKD 735,180 thousand in 2023 to HKD 625,940 thousand in 2024, a reduction of approximately 14.83%[5]. - Financing costs decreased to HKD 18,638,000 from HKD 21,099,000, a reduction of 11.6%[42]. - The group has a cash and cash equivalents balance of HKD 625,940,000 as of March 31, 2024[174]. - The total bank credit available to the group is HKD 2,667,085,000, with 34% already utilized[174]. - The group's debt-to-equity ratio stands at 73% as of March 31, 2024, indicating a significant reliance on bank borrowings[174]. Market and Revenue Breakdown - Revenue from external customers in Hong Kong was HKD 1,851,052, while in Mainland China it was HKD 682,460, and in Japan it was HKD 1,364,710[65]. - Revenue from mainland China was HKD 682,460,000, a decline from HKD 750,532,000 in 2023, accounting for 18% of total revenue[106]. - The revenue from the Japan region was HKD 1,364,710,000, a decrease of 13.0% from HKD 1,569,018,000 in the previous year, accounting for 35% of the total revenue[132]. - The company's revenue from Hong Kong operations was HKD 1,851,052,000, representing a slight increase from HKD 1,831,336,000 in the previous year, accounting for 47% of total revenue[159]. Operational Highlights - The company operates in multiple segments, including manufacturing and sales of snacks, candies, beverages, and frozen foods in mainland China[44]. - The company plans to expand its market presence, particularly in Mainland China, where revenue from external customers increased from HKD 750,532 in 2023 to HKD 682,460 in 2024[65]. - The company has ongoing research and development efforts for new products, although specific details were not disclosed in the conference call[65]. - The company plans to expand its retail presence with new stores, including the opening of "Hong Kong Four Seasons Food City" in January 2024[137]. - The group plans to open a new "Miyata Store" in Yuen Long's YOHO MIX shopping mall in June 2024, expanding its retail network[171]. - A flagship store named "Four Seas Snack Story" was opened in Shenzhen, covering approximately 6,000 square feet, to tap into the mainland market[172]. Product Development and Quality - The company aims to enhance its product offerings by introducing high-quality consumer-related food products, including Japanese eggs and milk[133]. - The company will launch a new product, the Four Continents Bama Mineral Water, sourced from Bama County, Guangxi, China, known for its beneficial mineral content and praised by consumers during trial sales in Hong Kong[144]. - The company emphasizes food quality and safety, achieving various international certifications including HACCP, ISO9001, and ISO 22000, ensuring compliance with high standards[163]. - The group is committed to introducing new products and flavors to maintain its leadership in the food industry[169]. Social Responsibility and Governance - The company actively engages in social responsibility initiatives, contributing to community services and receiving recognition for its efforts in employee training and welfare[168]. - The company maintains a strong commitment to corporate governance, ensuring transparency and accountability to shareholders, and adheres to the latest corporate governance guidelines[151]. - The group emphasizes environmental responsibility and has integrated it into its business practices[169]. Employee and Operational Efficiency - The total number of employees in the group is approximately 2,800, with salaries reviewed annually based on performance[175]. - The average credit period for trade accounts is one to three months, with major customers potentially extending to four to five months[122]. - The group reported a decrease in trade receivables aging analysis, with total receivables at HKD 266,196,000, down from HKD 312,370,000 in 2023[98].
四洲集团(00374) - 2024 - 年度业绩