Financial Performance - For the year ended March 31, 2024, the Group generated revenue of HK$5.7 million and gross profit of HK$3.4 million from the Cinema Business, representing a slight increase from HK$5.5 million and HK$3.2 million in the previous year[26]. - The overall performance of the Cinema Business is a significant revenue generator for the Group, highlighting its importance in the current market landscape[26]. - The Group recorded a total turnover of approximately HK$7.8 million for the year, an increase of approximately HK$2.3 million compared to HK$5.5 million in the previous year[39]. - The loss for the year was approximately HK$12.1 million, an increase of approximately HK$3.7 million from the loss of HK$8.4 million in the previous year[39]. - The financial results indicate a positive trend in gross profit margins, reflecting effective cost management and operational efficiency[26]. - The Group's total staff costs, including directors' remuneration, were approximately HK$6.4 million during the year, slightly down from HK$6.6 million in the previous year[44]. - The Group's employee costs totaled approximately HK$6.4 million in the current year, a slight decrease from HK$6.6 million in the previous year[99]. Business Segments and Strategies - The Group continues to focus on Filmed Entertainment, New Media Exploitations, Licensing Businesses, and Cinema Business as key operational segments[11]. - The Group aims to leverage new media and licensing opportunities to enhance revenue streams moving forward[11]. - Continued investment in new product development, such as themed merchandise, is part of the Group's strategy to attract a broader customer base[16]. - The Group's performance in the cinema segment underscores its resilience and adaptability in a changing market environment[26]. - The Group's strategic focus on market recovery and expansion in the entertainment sector is expected to drive future growth[11]. - The Group is exploring new business opportunities in the entertainment and gaming sectors, leveraging its film production and licensing experience[84]. - The Group is leveraging its experience in film production and IP rights to explore new entertainment forms, particularly in the rapidly growing LARP market in China[117]. New Ventures and Collaborations - The Group has launched its first series of movie-themed tourbillon watches through physical stores and e-commerce channels[16]. - The Group has signed a memorandum of understanding with potential partners for co-producing sequels to original classic movies and other media projects in April 2024[53]. - The Group has entered into a memorandum of understanding with potential partners for co-producing original films and series[55]. - Brilliant Insight Limited plans to lease additional screens from Hengdian Film and Television Company to expand its cinema business[75]. - Brilliant Insight Limited has entered into an agreement with Hengdian Film and Television Co., Ltd. to lease additional screens, with trial operations expected to start in Q3 2024[77]. - The joint venture Bingo Group - Memorigin (BGM) Limited was established in February 2023, with an equity interest of 60% held by High Art, 20% by Memorigin, and 20% by Topping Mark[32]. - The joint venture "Guangzhou Gao De Digital Cultural Technology Limited" aims to develop augmented reality digital live action roleplaying games (LARP) projects[81]. - The joint venture partner, Jiu De, has established a solid B2B SAAS platform in mainland China, with nearly 300 signed distributors[96]. - The joint venture with Jiu De aims to capture the rapid development of the new media entertainment industry, with Jiu De having close to 300 distributors for their content library[126]. Market Trends and Opportunities - The cinema business in China is considered to have enormous potential and will remain a key revenue-generating segment for the Group[107]. - The emerging bullet-screen app marketplace in China has generated monthly sales between RMB 50 million to RMB 100 million, with content providers entitled to 5-10% of total sales[95]. - The bullet-screen app model has gained popularity in China, primarily driven by tips paid to online broadcast hosts by users[157]. - The new market for bullet-screen apps, identified at the end of 2022, has monthly sales ranging from RMB 50 million to RMB 100 million, with content providers earning 5% to 10% of total sales[158]. Corporate Governance and Compliance - The Board emphasizes the importance of high standards of corporate governance to protect shareholders' interests[150]. - The Company has maintained compliance with the required standards of dealings as per GEM Listing Rules throughout the year[151]. - The company does not have a Chairman of the Board and a Chief Executive Officer as of March 31, 2024, and is in the process of finding suitable candidates for these positions[198]. - The existing Board members are capable of sharing the powers and responsibilities of the Chairman and Chief Executive Officer among themselves[198]. - The company has arranged appropriate directors' and senior officers' liability insurance to cover legal liabilities arising from corporate activities, with annual reviews of the insurance coverage[196]. Future Outlook - The Group's cautious approach to launching new media businesses is attributed to the negative impact of COVID-19 on domestic discretionary consumption since 2019[108]. - Since April 2024, the business segment has shown significant improvement and is expected to become a major driver of revenue growth and profit in the future[111][113]. - The Group anticipates synergistic effects from its existing businesses with new ventures, which will benefit future growth[170]. - The engagement with New Huo Asset Management aims to develop additional revenue streams and enhance the company's position as an integrated entertainment entity[169][172]. - The company is actively seeking commercially viable IP exploitations to maximize returns for shareholders[164].
比高集团(08220) - 2024 - 年度财报