Financial Performance - The group recorded a loss of HKD 682,303,000 for the year ended March 31, 2024, with a net cash outflow from operations of HKD 46,493,000[9]. - The group recorded a net loss of HKD 644.9 million for the year, compared to a net loss of HKD 146.9 million in the previous fiscal year[18]. - The net loss was primarily due to a full impairment loss of HKD 136.2 million on the equity of an associate company in Beijing, a decrease in fair value of investment properties by HKD 134 million, and impairment losses on commercial properties amounting to HKD 46.4 million[18]. - The group did not generate any one-time income during the year, resulting in a share of net loss from joint ventures of HKD 78.8 million[18]. Impairment and Financial Position - The group recognized a full impairment of HKD 136,223,000 related to its interest in Beijing Poly, reducing the carrying value of this interest to zero[5]. - The group has recognized a full impairment loss of HKD 136,223,000 on its equity in Beijing Poly Hotel, reducing its carrying value to zero as of March 31, 2024[15]. - The group’s financial statements reflect a significant impairment loss due to the inability to obtain sufficient audit evidence regarding the associate's financial performance[16]. - The group’s consolidated financial position may require adjustments if the planned measures are not realized[15]. Liquidity and Going Concern - The group is implementing several plans to improve liquidity and financial condition, including obtaining new borrowing sources and controlling administrative and operational costs[10]. - The group has not received written agreements from banks or other lenders regarding the extension of its going concern assessment, raising significant doubts about its ability to continue as a going concern[11]. - The group’s board has considered the likelihood of success for the plans and measures in place to ensure sufficient financial resources for operations over the next twelve months[10]. - The group’s financial statements were prepared on a going concern basis, contingent on the success of its plans and measures[10]. Borrowings and Cash Position - As of March 31, 2024, the total bank and other borrowings amounted to HKD 1,362,168,000, of which HKD 1,037,910,000 is due within twelve months and classified as current liabilities[9]. - The group’s cash and cash equivalents stood at HKD 24,743,000 as of March 31, 2024[9]. Audit and Financial Reporting - The independent auditor has not expressed an opinion on the group's consolidated financial statements due to significant issues that prevent obtaining sufficient and appropriate audit evidence[7]. - The impact of undiscovered misstatements on the consolidated financial statements could be significant but not pervasive[14]. - The group was unable to obtain financial information from Beijing Poly Hotel to assess its financial performance and position as of March 31, 2024[15]. - The group has not made any adjustments regarding the equity of the associate company or the associated losses due to scope limitations[18]. Investment Properties - The group’s investment properties were adversely affected by the market conditions in Hong Kong, leading to a decrease in fair value[18].
德祥地产(00199) - 2024 - 年度业绩