Financial Performance - The group's revenue decreased by approximately 8.3% from about HKD 111.3 million for the year ended March 31, 2023, to about HKD 102.1 million for the year ended March 31, 2024[11]. - Gross profit increased by approximately 9.9% from about HKD 19.1 million to about HKD 21.0 million, with the gross profit margin rising from approximately 17.2% to 20.6%[11]. - The net loss attributable to the company's owners decreased from approximately HKD 17.9 million to about HKD 12.1 million, primarily due to a gain from a life insurance investment of about HKD 0.1 million[11][15]. - The company's revenue decreased by approximately 8.3% to about HKD 102.1 million for the year ended March 31, 2024, compared to HKD 111.3 million in 2023, primarily due to reduced income from residential and commercial interior design and renovation services[18]. - Revenue from residential interior design and renovation services was HKD 95.8 million (93.8% of total revenue) in 2024, down from HKD 101.9 million (91.6%) in 2023, while commercial services dropped to HKD 6.3 million (6.2%) from HKD 9.4 million (8.4%)[19]. - Direct costs decreased by approximately 12.0% to about HKD 81.1 million in 2024 from HKD 92.1 million in 2023, mainly due to reduced revenue and effective cost control measures[20]. - Other income and gains decreased from approximately HKD 3.2 million in 2023 to about HKD 1.7 million in 2024, mainly due to the absence of non-recurring government subsidies[23]. - Financing costs increased by approximately 64.3% to about HKD 414,000 in 2024 from HKD 252,000 in 2023, primarily due to higher interest on bank borrowings and lease liabilities[27]. - Income tax expenses surged to approximately HKD 163,000 in 2024 from HKD 4,000 in 2023, mainly due to an increase in deferred tax[28]. - The company recorded a loss attributable to owners of approximately HKD 12.1 million in 2024, compared to HKD 17.9 million in 2023[29]. Market Outlook and Strategy - The company remains optimistic about the local interior design and renovation services market despite facing challenges from the economic environment and property market uncertainties[12]. - The company plans to enhance brand marketing through mainstream and new media to attract new customers and strengthen its market position[12]. - The company aims to improve customer experience and satisfaction by recruiting talented individuals, providing training, and enhancing management skills[12]. - The company plans to enhance sales and marketing efforts, recruit high-quality talent, and upgrade information systems, including the development of an online project management system[32]. - The company has purchased four vehicles to support its operations and has increased online advertising frequency to boost brand visibility[33]. Environmental, Social, and Governance (ESG) Initiatives - The group has committed to environmental protection measures, including wastewater management and energy consumption control, complying with applicable Hong Kong environmental laws[58]. - The board is committed to integrating environmental, social, and governance considerations into decision-making processes[73]. - The group has established a governance framework for managing environmental, social, and governance matters, with the board responsible for strategy and oversight[74]. - The group has implemented an environmental management system in accordance with ISO 14001:2015 standards[82]. - The group has not reported any significant violations of environmental laws and regulations that would have a major impact on its operations[82]. - The company aims to reduce its total greenhouse gas emissions density by 5% from the 2022 baseline of approximately 19.33 kg CO2e/sq ft by March 31, 2026[86]. - The company has set various environmental goals, including reducing greenhouse gas emissions and waste management, to mitigate climate change impacts[117]. - The company has implemented energy-saving measures, including replacing old equipment with high-energy-efficiency devices and using energy-efficient LED lighting[102]. - The group has achieved ISO 9001:2015 certification for its quality control system in interior design and renovation services[146]. Employee and Workforce Management - The total employee costs for the year ending March 31, 2024, were approximately HKD 17.6 million, compared to HKD 18.0 million in 2023[52]. - The company has reduced its workforce from 38 employees in 2023 to 26 employees in 2024, with a notable decrease in male employees from 24 to 14[120]. - The employee turnover rate increased significantly to approximately 37.50% in 2024 from 23.68% in 2023, with male turnover rising to 52.63%[122]. - Approximately 68.42% of employees received training during the reporting period, an increase from 59.57% in the previous year[134]. - The average training hours per employee increased to 26.84 hours, up from 23.83 hours in the previous year[134]. - The company has established a fair and competitive compensation system to attract and retain talent, with regular performance reviews for salary adjustments[122]. - The company emphasizes equal opportunities and non-discrimination in its hiring practices, ensuring a diverse workplace[127]. Community Engagement and Charitable Contributions - The group donated approximately HKD 1,004,000 to various non-profit organizations during the reporting period, compared to HKD 1,066,000 in 2023, indicating a slight decrease in charitable contributions[155]. - The group plans to expand its charitable efforts to better meet community needs and create a more favorable environment for its business[155]. - The group has established a volunteer team of 20 members to provide free maintenance services to vulnerable groups, including the elderly and disabled[155]. Risk Management and Compliance - The group has implemented monitoring procedures to ensure actions are taken to recover overdue debts, significantly reducing credit risk[54]. - The group maintains a policy of regular monitoring of current and expected liquidity requirements to ensure sufficient cash reserves for operational funding[57]. - The company has a strict policy against child labor and forced labor, ensuring compliance with local laws and regulations[139]. - The group has not been aware of any significant violations of anti-corruption and anti-money laundering laws that would have a major impact on its operations[152]. - The company is actively managing environmental and social risks within its supply chain[176].
礼建德集团(08455) - 2024 - 年度财报