Business Operations - The company operates 29 service centers in Hong Kong and 7 in Singapore as of March 31, 2024[13]. - The retail network under "be Beauty Shop" consists of 9 stores, focusing on high-quality skincare and wellness products[13]. - The company offers a diverse range of aesthetic services, including skin tightening and collagen stimulation treatments[12]. - The company has a strong focus on product diversification, promoting both its own brands and various partner brands in the skincare market[13]. - The company closely monitors industry trends to ensure its services and products remain aligned with market demands[9]. - The group’s main business involves providing beauty and wellness services and selling skincare and wellness products[128]. - The group’s revenue and performance primarily come from operations in Hong Kong, mainland China, and Singapore[130]. Financial Performance - The group's revenue for the fiscal year ending March 31, 2024, was approximately HKD 454.7 million, an increase of 11.9% compared to HKD 406.3 million for the fiscal year ending March 31, 2023[30]. - Revenue from prepaid beauty packages was HKD 433.5 million, up 5.2% from HKD 412.1 million in the previous fiscal year[40]. - Revenue from beauty and facial care services accounted for 69.5% of total revenue, with a total of HKD 315.8 million, reflecting a 15.0% increase from HKD 274.6 million in the previous year[39]. - The Singapore business generated revenue of HKD 50 million, an increase from HKD 45.7 million in the previous fiscal year, with service revenue of HKD 42.5 million and prepaid package sales of HKD 42.3 million[38]. - The net loss attributable to equity shareholders for fiscal year 2024 was approximately HKD 9.6 million, an improvement from a net loss of HKD 20.6 million in the previous year[47]. - The group maintained a strong financial position with cash and bank balances of approximately HKD 193.6 million, up from HKD 177.5 million in the previous fiscal year[49]. - The group plans to focus resources on the Hong Kong and Singapore markets, having sold two wholly-owned subsidiaries in mainland China due to underperformance[37]. Employee and Corporate Governance - The company emphasizes the importance of employee retention and offers competitive compensation and comprehensive training programs to enhance employee capabilities[60]. - The group employed 844 staff members as of March 31, 2024, a decrease from 876 staff members in the previous year, with total employee benefits expenses amounting to HKD 287.4 million, an increase of 4.6%[55]. - The company has established a remuneration committee to review and determine the compensation packages for directors and senior management, ensuring competitive rewards to attract and retain key executives[100]. - The board consists of three executive directors and four independent non-executive directors, ensuring a balanced composition for enhanced oversight[88]. - The company emphasizes strong corporate governance principles to enhance shareholder value, focusing on transparency, accountability, and independence[86]. Environmental and Community Initiatives - The company has been recognized for its contributions to community care, employee care, and environmental care, receiving the "Caring Company" award for 13 consecutive years[27]. - The company has been awarded the "Green Office" and "Healthy Workplace" labels for 7 consecutive years by the World Green Organization[26]. - The company became a "Bye Bye Microbead" gold partner in August 2023, enhancing its commitment to sustainability[20]. - The company has implemented various environmental measures, including a "paperless office" initiative and the use of LED lighting in retail stores to save energy[58]. Risk Management and Compliance - The company recognizes the risks associated with macroeconomic changes, regulatory updates, and market competition, which may impact its operations[64]. - The board is responsible for maintaining a robust risk management framework and ensuring effective monitoring of financial, operational, and compliance matters[110]. - The company identifies and assesses the risk of significant misstatements in consolidated financial statements due to fraud or error, and designs audit procedures to address these risks[200]. - The audit committee reviewed the group's financial reporting, risk management, and internal control systems, holding three meetings during the review year[104]. Shareholder Information - As of March 31, 2024, the company had 904,483,942 shares issued, with a market capitalization of HKD 85.9 million[73]. - The company did not declare any interim or final dividends for the fiscal year 2023/24, with both set at zero[131][133]. - The largest supplier accounted for approximately 26% of the total procurement in the fiscal year, up from 19% in the previous year, while the top five suppliers collectively represented about 46% of total procurement, compared to 39% previously[136]. - The company has not established any preferential rights for existing shareholders regarding the issuance of new shares[139]. Audit and Financial Reporting - The independent auditor, KPMG, audited the financial statements for the fiscal year 2024 and is eligible for reappointment at the upcoming annual general meeting[173]. - The audit identified revenue recognition as a key audit matter due to the risk of manipulation in timing to meet specific targets or expectations[185]. - The audit procedures included comparing deferred revenue report details with original invoices and customer confirmation records to assess the accuracy of revenue recognition[186]. - The group’s financial statements were prepared in accordance with Hong Kong Financial Reporting Standards and the Companies Ordinance[196].
现代健康科技(00919) - 2024 - 年度财报