Financial Performance - The Group's overall revenue decreased by approximately 28.6% to approximately HK$175,174,000 for the year ended March 31, 2024, compared to HK$245,349,000 in 2023[11]. - The loss attributable to owners of the Company for the year ended March 31, 2024, amounted to approximately HK$56,490,000, down from HK$74,115,000 in 2023[11]. - The overall gross loss increased by 7.1% from approximately HK$28,983,000 in 2023 to approximately HK$31,039,000 in 2024, with the gross loss margin rising from 11.8% to 17.7%[25]. - The Group reported a net loss of approximately HK$51,560,000 for the year ended March 31, 2024, compared to a net loss of approximately HK$74,115,000 for the year ended March 31, 2023[45]. - Total debts decreased significantly to approximately HK$25,667,000 as of March 31, 2024, down from HK$211,686,000 in 2023[41]. - The Group's current ratio as of March 31, 2024, was 0.8, compared to 1.0 as of March 31, 2023[57]. - The Group's bank deposits and cash balances were approximately HK$84,497,000, down from approximately HK$98,074,000 as of March 31, 2023[57]. - The Group's retained earnings and distributable reserves are considered when determining dividend amounts[185]. Business Strategy and Operations - The construction sector in Hong Kong continues to face challenges, including rising interest rates and labor supply issues, impacting operational and financial stability[12]. - The Group shifted its focus from a proactive tender strategy to improving liquidity by reducing capital expenditures and strategically disposing of non-profitable assets[13]. - Proceeds from asset disposals and redemptions were utilized for working capital and repayment of bank borrowings, aiming to reduce maintenance costs and finance expenses[13]. - The Company is exploring new business potential in environmental recycling and renewable energy, aligning with China's 14th Five-Year Plan[18]. - The Company initiated chemical trade as a pilot project to expand into new markets and enhance research in new energy materials[18]. - The Group commenced sales of chemical products during the year ended March 31, 2024, to diversify income streams and mitigate business risks[28]. - The Group will continuously monitor global economic developments and adjust its business strategies accordingly[18]. Corporate Governance - The Group's corporate governance practices are aimed at creating long-term value for shareholders, with ongoing reviews to improve governance standards[71]. - The Board currently consists of six members, including three Executive Directors and three Independent Non-executive Directors, ensuring a balance of skills and experience[81]. - The roles of the Chairman of the Board and the Chief Executive are currently held by different individuals, in compliance with corporate governance standards[73]. - The Company has established a formal and transparent procedure for developing remuneration policy for Directors and senior management[135]. - The Company acknowledges the responsibility of all Directors for preparing the consolidated financial statements[147]. - The Company did not establish a standalone Internal Audit Department for the year ended March 31, 2024, but implemented adequate measures for internal audit functions through close supervision by Executive Directors and senior management[153]. Risk Management - The Group does not currently have any interest rate hedging policy and continuously monitors interest rate risks[52]. - The Group faces low foreign exchange risk as most transactions, assets, and liabilities are denominated in Hong Kong dollars, with no foreign currency hedging policies currently in place[62]. - The Group's risk management and internal control procedures aim to provide reasonable assurance that assets are safeguarded, transactions are authorized, and accounting records are reliable[154]. - The Board conducted an annual review of the effectiveness of risk management and internal control procedures through the Audit Committee, with no significant areas for improvement identified[156]. ESG Commitment - The Group's ESG Report for the year ended March 31, 2024, demonstrates its commitment to sustainable development by delivering environmental, social, and economic benefits to stakeholders[193]. - The ESG Report is prepared in accordance with the Environmental, Social and Governance Reporting Guide and covers the principal businesses of the Group[194]. - The Board plays a crucial role in overseeing ESG issues, dedicating substantial time to evaluate ESG-related risks and formulating relevant policies during the year ended March 31, 2024[198]. - Regular Board meetings are held to assess progress, targets, and goals related to ESG performance[199]. - The management and ESG Working Team are responsible for reviewing and supervising the ESG process and risk management throughout the year[200].
剑虹集团控股(01557) - 2024 - 年度财报