Financial Performance - The Group recorded a revenue of approximately HK$666.0 million for FY2024, representing an increase of approximately HK$97.5 million or 17.2% from FY2023[22]. - The increase in revenue was mainly due to the favorable progress of certain key projects undertaken during the year[22]. - The cost of revenue for the year amounted to approximately HK$550.8 million, reflecting a 17.8% increase from HK$467.7 million in the previous year, in line with revenue growth[33]. - Gross profit for the year was approximately HK$115.2 million, an increase of 14.4% from HK$100.8 million in the previous year, with a gross profit margin slightly decreasing to 17.3%[34]. - The Group's net profit for the year was HK$46.4 million, representing a 24.8% increase from HK$37.1 million in the previous year[31]. - Earnings per share increased to 8.33 HK cents, up 32.6% from 6.28 HK cents in the previous year[31]. - Other income for the year was approximately HK$7.2 million, primarily from bank interest income of approximately HK$4.0 million and exchange gains of approximately HK$1.9 million[40]. - Administrative and other operating expenses decreased to approximately HK$50.1 million, down approximately HK$2.5 million from HK$52.6 million in the previous year[41]. - Finance costs increased to approximately HK$3.5 million, representing an increase of approximately HK$1.4 million or 64.1% compared to HK$2.1 million in the previous year[37]. - The Group's total equity increased by 10.8% to HK$292.4 million as of 31 March 2024, compared to HK$263.8 million in the previous year[31]. Business Outlook - The Group maintains a cautiously optimistic outlook for its business in the medium to long term despite challenges in the private sector due to a sluggish real estate market[12]. - Public sector and government-initiated development projects are expected to remain a driving force for the construction industry, with various infrastructure projects planned[12]. - The Group is cautious about tight labor supply and fluctuations in material and transportation costs, avoiding excessive price competition[12]. - The Group has a diverse customer base and work portfolio, which mitigates the impact of downturns in private property projects[12]. Corporate Governance - The Company is committed to maintaining high corporate governance standards and met all provisions of the Corporate Governance Code during the Year[104]. - The Board has established an audit committee, a remuneration committee, and a nomination committee with specific written terms of reference to enhance governance practices[104]. - The Company recognizes the importance of sound corporate governance for long-term success and is dedicated to upholding good corporate standards[103]. - The roles of chairman and chief executive are separated to ensure effective decision-making and management oversight[106]. - The Company has a strong corporate governance structure in place to respond efficiently to a fast-changing environment[106]. - The Board believes that its governance arrangements enable prompt decision-making and effective implementation of actions[106]. - The Company will continue to review its corporate governance practices to comply with regulatory requirements and meet shareholder expectations[104]. Risk Management - Major risks affecting the Group include maintaining its reputation and brand name, which are crucial for attracting customers and securing projects[183]. - Legal claims or proceedings may adversely impact the Group's business operations, diverting management's attention and incurring significant costs[184]. - The Group's internal rules ensure compliance with various laws and regulations, which have a significant impact on its operations[194]. - The Group's reputation and brand are critical for attracting customers and securing projects, necessitating the delivery of high-quality and timely services[189]. - There is no assurance that the number of design and build projects in Hong Kong will not decrease in the future, posing a risk to the Group's business[195]. Employee and Workforce - The total employee benefit expenses for the year were approximately HK$80.1 million, an increase from HK$73.1 million in FY2023, with the workforce growing to 217 employees from 198[71]. - The Group has not faced significant employee-related issues or difficulties in recruitment and retention during the year[71]. - The gender composition of the Group's workforce as of March 31, 2024, is 171 males (78.8%) and 46 females (21.2%)[146]. Dividends and Shareholder Relations - The Board recommended a final dividend of HK4.0 cents per share and a special dividend of HK4.0 cents per share, reflecting the reserves accumulated over the past few years[14]. - The Directors plan to consider dividend distribution at least twice a year, influenced by various factors including operating results and future funding needs[200]. - Shareholders have the right to propose new Directors by submitting a written notice to the Company Secretary[160]. - The Company welcomes proposals from shareholders for discussion at general meetings, following specified procedures[171]. Operational Highlights - The Group's outstanding contracts on hand as of 31 March 2024 amounted to approximately HK$899 million, including several projects with estimated outstanding contract sums exceeding HK$50 million each[27]. - Key ongoing projects include the Design, Supply and Installation of Structural Steel Works for Certain Infrastructures in Kowloon City, expected to complete in Q4 2024[28]. - The Group generated a net cash inflow from operating activities of approximately HK$116.2 million for the year[64]. - The Group did not engage in any significant investments, acquisitions, or disposals during the year[68][69]. - There were no significant contingent liabilities as of March 31, 2024[70]. - The Group did not conduct any hedging activities during the year to manage foreign currency risks[65]. - There were no events after March 31, 2024, that would materially affect the Group[72].
应力控股(02663) - 2024 - 年度财报