Financial Performance - Chi Kan Holdings Limited reported a significant increase in revenue, achieving a total of $150 million, representing a 25% year-over-year growth[1]. - The company reported a net profit of $27 million, which is a 35% increase from the last fiscal year[1]. - The Group's audited consolidated revenue for FY2024 was approximately HK$1,538.8 million, a decrease of 5.2% from approximately HK$1,623.5 million in FY2023[18]. - Gross profit for FY2024 increased to approximately HK$246.0 million, up 11.3% from approximately HK$221.1 million in FY2023, with a gross profit margin rising from 13.6% to 15.9%[18]. - Profit attributable to the owners of the Company decreased by 47.4% to approximately HK$28.1 million in FY2024, down from approximately HK$53.5 million in FY2023[18]. - Adjusted profit excluding government subsidies for FY2024 was approximately HK$28.1 million, a decrease of 11.7% from approximately HK$31.8 million in FY2023[18]. Market Expansion and Strategy - The company has expanded its user base to 1.2 million active users, marking a 30% increase compared to the previous year[1]. - For the upcoming fiscal year, Chi Kan Holdings Limited projects a revenue growth of 20%, targeting $180 million in total revenue[1]. - Chi Kan Holdings Limited plans to enter two new markets in Southeast Asia by the end of the fiscal year, aiming to capture an additional 15% market share[1]. - The company is investing $10 million in research and development for new product innovations, focusing on enhancing user experience and technology integration[1]. - The company has completed a strategic acquisition of a local tech firm for $5 million, which is expected to enhance its technological capabilities[1]. E-Commerce Business - The Group has been engaged in E-Commerce business since March 2021, offering over 500 types of products across various platforms[8]. - The E-Commerce segment is strategically positioned as a brand retailer, generating income primarily from private E-Commerce platforms[15]. - The company emphasizes high quality and diversified products in its E-Commerce business, including agricultural products, nutritional supplements, daily necessities, and cosmetics[16]. - E-Commerce business revenue increased to approximately HK$326.7 million in FY2024, compared to approximately HK$249.8 million in FY2023, reflecting a growth of 30.8%[18]. Operational Efficiency - Operating profit margin improved to 18%, up from 15% in the previous year, reflecting better cost management strategies[1]. - Selling and administrative expenses rose by HK$22.0 million to approximately HK$189.2 million in FY2024, primarily due to increased operating expenses in the E-Commerce sector[18]. - The Group completed 11 existing projects during FY2024, showcasing its operational capacity despite challenges[13]. Risk Management and Challenges - The Group faces challenges in securing new projects, which are critical for maintaining revenue, as contracts are awarded on a project-by-project basis without long-term agreements[21]. - Cash flow mismatch may adversely affect liquidity, as the Group incurs upfront costs before receiving payments from customers, who typically retain 5% of the total contract sum as retention money[22]. - The Group's revenue is of a non-recurring nature, and failure to secure new projects may significantly adversely affect its business, operating performance, financial condition, and future prospects[23]. - There is a potential mismatch in cash flow due to the timing of progress payments from customers and payments to suppliers and subcontractors, which may lead to a deterioration in cash flows and financial position[25]. Sustainability and Governance - Chi Kan Holdings Limited is focusing on sustainability initiatives, allocating 5% of its annual budget towards environmental and social governance projects[1]. - The Group aims for sustainable development by strictly selecting products and manufacturers to ensure quality[16]. - The Group's commitment to sustainability includes regular communication with stakeholders to identify important sustainability topics[169]. - The Group emphasizes the importance of sustainability as a critical element for maintaining its leading position in the industry and positively contributing to community development[171]. Corporate Governance - The Company has complied with all relevant laws and regulations in Hong Kong during FY2024, ensuring operational legitimacy[31]. - The Board composition includes a mix of executive and independent non-executive directors, ensuring a balance of skills and experience[119]. - The Company has established transparent procedures for developing remuneration policies to ensure no Director participates in deciding their own remuneration[133]. - The Company has confirmed compliance with the Model Code for Securities Transactions by Directors during the year[115]. Employee and Management - The Group had 1,118 employees as at 31 March 2024, an increase from 605 employees in 2023[43]. - The management team is stable and experienced, contributing to the delivery of high-quality work and customer satisfaction[30]. - The Group's management team includes experienced professionals with backgrounds in finance, engineering, and project management[67]. Shareholder Engagement - The Group encourages shareholders to participate in general meetings and allows them to propose agenda items through written requisition[166]. - The Company maintains effective communication with shareholders through annual general meetings and its website[166]. - The Board is responsible for protecting and enhancing long-term shareholders' value and overseeing management and financial performance[118].
智勤控股(09913) - 2024 - 年度财报