Financial Performance - For the year ended 31 March 2024, the Group's revenue from information technology solutions decreased by 86.8% or HK$52.1 million to HK$8.0 million compared to HK$60.1 million for the year ended 31 March 2023[7]. - The total comprehensive loss attributable to shareholders from continuing operations was HK$38,564,000, compared to a profit of HK$5,431,000 in the previous year[45]. - The group reported a loss for the year from continuing operations of HK$35,601,000, a decrease from a profit of HK$888,000 in 2023[54]. - The accumulated losses attributable to shareholders increased to HK$36,871,000 from HK$1,084,000 in the previous year[66]. - The company reported a net loss of HK$23,839,000 from impairment losses on financial assets in 2024, compared to a reversal of HK$75,000 in 2023[137]. - The loss attributable to shareholders from continuing operations for the year ended March 31, 2024, was HK$35,601,000, compared to a profit of HK$897,000 from discontinued operations in 2023[120]. Revenue and Costs - The Group's food and beverage costs decreased by 95.3% or HK$12.3 million to HK$0.6 million for the year ended 31 March 2024, down from HK$12.9 million for the year ended 31 March 2023[8]. - The Group's property rental and related expenses decreased by 94.1% or HK$14.3 million to HK$0.9 million for the year ended 31 March 2024, compared to HK$15.2 million for the year ended 31 March 2023[9]. - The cost of the IT solution business was HK$7,649,000, resulting in a net loss of HK$48,530,000 for the year[28]. - The cost of food and beverages decreased by 95.3%, or HK$12.3 million, from HK$12.9 million in 2023 to HK$0.6 million in 2024, primarily due to the disposal of the Vietnamese-style restaurant business[33]. Assets and Liabilities - The total assets decreased from HK$224,285,000 in 2023 to HK$163,105,000 in 2024, reflecting a reduction of approximately 27.3%[62]. - The group had no bank or other borrowings as of March 31, 2024, remaining consistent with the previous year[36]. - Total liabilities were HK$53,089,000, with reportable segment liabilities at HK$38,307,000 and unallocated corporate liabilities at HK$14,782,000[85]. Business Strategy and Operations - The Group's management is exploring new opportunities in the food and beverage industry after the sale of its Vietnamese-style restaurant business due to adverse market conditions[15]. - The Group's B-end business aims to provide AI-enabled technology services to corporate clients, enhancing efficiency and reducing costs[5]. - The Group's strategy includes the innovative combination of AI with specific scenarios to develop tailored application products for users[5]. - The Group's IT Solution Business includes offerings such as AI copywriting and graphic design, targeting various sectors including finance and retail[174]. - The Group's trading business adapts procurement and sales strategies based on market trends, including the latest smartphone models, sold to local distributors at a premium[194]. Disposals and Investments - The management considers the disposal of the Vietnamese-style restaurant business a good opportunity due to the significant adverse impact of COVID-19 on its performance[23]. - The Group completed the sale of its Vietnamese-style restaurant business, Prosperity One Limited, for a total consideration of HKD 31,000,000 on April 27, 2023, resulting in the cessation of its restaurant operations[192]. - The Group recorded a gain on disposal of a subsidiary amounting to HK$25,829,000, with total cash consideration received of HK$31,000,000[159]. - Minshang Shenzhen will contribute RMB25.5 million in cash, accounting for 51% of the registered capital of a new subsidiary focused on renewable energy technology[2]. Financial Reporting and Compliance - The Group's financial statements comply with Hong Kong Financial Reporting Standards (HKFRSs) issued by the HKICPA[71]. - There were no significant impacts on the Group's financial position or performance from the new and amended HKFRSs effective for the current year[73]. - The consolidated financial statements are presented in Hong Kong dollars (HK$) and values are rounded to the nearest thousand (HK$'000)[69]. Cash Flow and Financing - As of 31 March 2024, the Group's cash and cash equivalents were HK$10.5 million, representing an increase of 7.7% or HK$0.8 million from HK$9.7 million as of 31 March 2023[21]. - The Group's cash generated from operating activities for the year was HK$245,000, a decrease from HK$4,172,000 in the previous year[116]. - The net finance income for the year ended March 31, 2024, was HK$3,712,000, an increase from HK$2,570,000 in 2023, representing a growth of approximately 44.4%[111]. Employee and Audit Expenses - Employee benefit expenses reduced from HK$7,513,000 in 2023 to HK$4,027,000 in 2024, indicating a decrease of approximately 46.5%[137]. - Audit services remuneration decreased from HK$1,600,000 in 2023 to HK$1,200,000 in 2024, while non-audit services were nil in 2024 compared to HK$300,000 in 2023[137]. Market Conditions and Future Outlook - The overall business environment in China remains complex and variable, leading management to adopt a cautious approach towards the trading business[18]. - The company emphasizes the importance of advanced technology adoption in traditional industries to seize market opportunities in the digital era[199]. - The Group's management is exploring new opportunities in the restaurant industry despite the recent disposal of its Vietnamese-style restaurant business due to unfavorable market conditions[169].
民商创科(01632) - 2024 - 年度业绩