Financial Performance - The Group's revenue decreased by approximately 32.5% from approximately HK$429.9 million for the year ended March 31, 2023, to approximately HK$290.0 million for the year ended March 31, 2024[15]. - The Group recorded a net loss of approximately HK$8.6 million for the year ended March 31, 2024, compared to a net loss of approximately HK$4.8 million for the year ended March 31, 2023, representing an increase in net loss of approximately HK$3.8 million[15]. - The decrease in net loss was mainly attributable to a decrease in sales and transportation of diesel oil and a decrease in other income and gains or losses for the year ended March 31, 2024[15]. - The average selling prices and sales volumes of petroleum products demonstrated a downward trend, leading to an overall decrease in the Group's total turnover[17]. - The Group's cost of sales was approximately HK$275.7 million for the year ended March 31, 2024, representing a decrease of approximately 33.4% from approximately HK$413.7 million for the year ended March 31, 2023[40]. - The Group's gross profit decreased by approximately HK$1.9 million from approximately HK$16.2 million for the year ended March 31, 2023, to approximately HK$14.3 million for the year ended March 31, 2024[41]. - The gross profit margin increased from approximately 3.8% for the year ended March 31, 2023, to approximately 4.9% for the year ended March 31, 2024, mainly due to higher markup offered to customers in the diesel oil market[41]. - The Group recognized a loss of approximately HK$8.6 million for the year ended March 31, 2024, compared to a net loss of approximately HK$4.8 million for the previous year, resulting in a negative net profit margin of approximately 3.0%[50]. - Other income decreased from approximately HK$7.7 million for the year ended March 31, 2023, to approximately HK$5.5 million for the year ended March 31, 2024, mainly due to reduced rental income from diesel vehicles[46]. Revenue Sources - Revenue from diesel oil, marine diesel oil, and lubricant oil represented approximately 98.2%, 1.3%, and 0.5% of the Group's total revenue for the year ended March 31, 2024, compared to 97.7%, 2.0%, and 0.3% for the year ended March 31, 2023[38]. - Sales revenue from diesel, marine diesel, and lubricants for the year ended March 31, 2024, was approximately HK$284.9 million, HK$3.7 million, and HK$1.4 million, accounting for approximately 98.2%, 1.3%, and 0.5% of total revenue, respectively[42]. Market Conditions - The decrease in the Group's revenue was primarily due to decreased demand from construction and logistics customers and lower diesel oil prices during the year ended March 31, 2024[39]. - The Group is optimistic about the market trend for diesel oil and marine diesel oil sales in Hong Kong, driven by stable and high levels of investment in public infrastructure projects[21]. Operational Developments - As of March 31, 2024, the Group had a fleet of eight diesel tank wagons, a marine oil barge, and a vessel to meet customer requirements[16]. - The Group conducted marketing and promotional activities and negotiated with potential customers to secure purchase orders for marine diesel oil[16]. - The Group plans to deploy more resources towards talent recruitment and strengthen its business development and marketing strategy for the diesel oil segment[21]. - The Group purchased three new diesel tank wagons and replaced two existing ones as part of its fleet expansion strategy[86]. - The effectiveness and operating efficiency of new diesel tank wagons have been closely evaluated, with further assessments planned[86]. Financial Position - The group's current assets as of 31 March 2024 amounted to approximately HK$114.9 million, down from approximately HK$129.0 million as of 31 March 2023, while current liabilities decreased to approximately HK$71.1 million from approximately HK$82.2 million[57]. - The gearing ratio was approximately 40.6% as of 31 March 2024, down from 45.0% as of 31 March 2023[60]. - The group's capital structure consisted of equity attributable to the owners of the company of approximately HK$91.7 million as of 31 March 2024, compared to approximately HK$101.3 million in the previous year[64]. - The Group's equity attributable to owners was approximately HK$91.7 million as of March 31, 2024, down from approximately HK$101.3 million in 2023[69]. - The Group maintained a healthy liquidity position throughout the year ended March 31, 2024, with ongoing credit assessments to reduce credit risk[72]. Governance and Compliance - The Company has complied with all applicable code provisions set out in the Corporate Governance Code[113]. - The Board consists of three executive directors and three independent non-executive directors, ensuring a strong independence element with over one-third of the members being independent[120][123]. - The Company Secretary attended all scheduled Board meetings to report on corporate governance, risk management, statutory compliance, accounting, and finance[135]. - The Board held four regular meetings during the year, with all directors having the option to attend in person or via electronic communication[131]. - Attendance at the Annual General Meeting was 100% for all directors, with executive directors attending all four Board meetings[134]. - The Audit Committee and Nomination Committee had a 100% attendance rate for their meetings, indicating strong engagement in governance matters[134]. - The Board has delegated daily operations and management to executive directors and management, focusing on strategic direction and enhancing shareholder value[126]. - The Company is committed to compliance with legal and regulatory requirements, as monitored by the Board[122]. - The Board's composition meets the requirements of GEM Listing Rules, ensuring appropriate professional qualifications and industry knowledge among its members[120][122]. - The independent non-executive directors contribute diverse expertise and independent judgment to the Group's strategies and performance[123]. - The Company has established three committees to oversee specific aspects of its affairs, enhancing governance and accountability[127]. - The Company has established an Audit Committee comprising three independent non-executive Directors, with Mr. Chui Chi Yun, Robert as the Chairman[159]. - The Audit Committee is responsible for overseeing the effectiveness of the Company's internal control and risk management system, and reviewing the financial statements[161]. - The Audit Committee has recommended the reappointment of HLB Hodgson Impey Cheng Limited as the Company's auditors for the year ending 31 March 2024, subject to shareholder approval[162]. - All Directors have participated in continuous professional development during the reporting period, ensuring their contributions to the Board remain informed and relevant[146]. - The Company has adopted a board diversity policy, focusing on various aspects such as age, cultural background, and gender diversity, aiming for gender parity on the Board[199]. - The Nomination Committee will disclose the Board's composition annually and supervise the implementation of the diversity policy[200]. Future Plans - The Group will proactively seek potential business opportunities to broaden its sources of income and enhance shareholder value[21]. - The expected timeline for utilizing remaining proceeds is based on market conditions and may change accordingly[100]. - The Company aims to utilize the remaining unspent proceeds as soon as practicable before 31 March 2025[98].
F8企业(08347) - 2024 - 年度财报