Revenue Performance - Revenue from the lifestyle entertainment segment decreased by HK$6.0 million, representing a decline of 28.6% from HK$21.0 million last year to HK$15.0 million for the Year[15]. - The property management services revenue decreased by HK$21.4 million from HK$319.7 million to HK$298.3 million for the Year, primarily due to reduced office management services[22]. - Total revenue from the property management business decreased by HK$12.3 million from HK$376.1 million last year to HK$363.8 million for the Year[24]. - Revenue from property management related value-added services increased by HK$9.1 million from HK$56.4 million to HK$65.5 million for the Year[23]. - The Group's revenue from Continuing Operations decreased by approximately 3.3% to approximately HK$363.8 million for the Year[49]. - Revenue from property management related value-added services increased by HK$9.1 million, from HK$56.4 million in FY2023 to HK$65.5 million for the Year[49]. - Revenue from Discontinued Operations decreased by HK$6.0 million, from HK$21.0 million in FY2023 to HK$15.0 million for the Year[54]. Business Strategy and Focus - The decision to discontinue the lifestyle entertainment business was made to optimize shareholder value and focus on sustainable growth areas[15]. - The company aims to reallocate resources towards areas with significant value creation and emerging opportunities following the closure of the lifestyle entertainment business[16]. - The decision to close the lifestyle entertainment business was made to reallocate resources towards core competencies in property management[41]. - The Group aims to enhance operational efficiency and focus on areas with higher growth potential following the closure of the lifestyle entertainment business[41]. - The Group intends to evaluate growth strategies and explore investment opportunities across various sectors, which may include acquisitions or disposals, funded by cash generated from operations[81]. - The Group plans to conduct a comprehensive evaluation of its development strategy, considering investments in various industries to expand revenue sources[85]. - The Group is optimistic about future prospects, focusing on property management and expanding value-added services to capitalize on emerging market opportunities[89]. - The Group's strategic pivot away from the lifestyle entertainment business in Hong Kong allows for resource allocation to areas with greater growth potential[90]. Operational Efficiency and Challenges - The company acknowledges the challenging operating environment characterized by subdued consumer sentiment and changing spending patterns[14]. - The lifestyle entertainment segment has struggled to sustain profitability in recent years, leading to the strategic realignment of resources[15]. - The decline in relatively short-term management projects presented unique challenges, prompting the company to refine its value-added services[23]. - The management team is committed to navigating market uncertainties with strategic clarity and agility[31]. Financial Performance and Costs - Profit for the year generated from Continuing Operations decreased by HK$24.6 million from HK$53.8 million in FY2023 to HK$29.2 million for the Year[53]. - Staff costs from Continuing Operations increased by HK$4.5 million from HK$125.9 million in FY2023 to HK$130.4 million for the Year[61]. - Utilities expenses from Continuing Operations decreased by approximately HK$2.0 million from HK$10.9 million in FY2023 to HK$8.9 million during the Year[62]. - Other operating expenses from Continuing Operations decreased by approximately HK$2.7 million to HK$34.2 million for the Year, representing a decrease of 7.3%[63]. - Employee costs for the ongoing business increased from HK$125.9 million in FY2023 to HK$130.4 million in FY2024, a rise of HK$4.5 million[65]. - Utilities and maintenance expenses for ongoing operations decreased by approximately HK$1.7 million (6.0%) to HK$26.7 million in FY2024, down from HK$28.4 million in FY2023[66]. - Other operating expenses for ongoing business decreased by approximately HK$2.7 million (7.3%) to HK$34.2 million in FY2024, compared to HK$36.9 million in FY2023[67]. Asset Management and Financial Position - As of March 31, 2024, the Group's total current assets were approximately HK$448.9 million, up from HK$380.3 million on March 31, 2023, while current liabilities decreased to approximately HK$178.4 million from HK$234.6 million[69]. - The current ratio improved to about 2.5 times as of March 31, 2024, compared to 1.6 times on March 31, 2023[69]. - Cash at bank and in hand increased to approximately HK$298.7 million as of March 31, 2024, from approximately HK$286.4 million on March 31, 2023[70]. - Total interest-bearing borrowings decreased to approximately HK$58.4 million as of March 31, 2024, down from HK$68.6 million on March 31, 2023[71]. - The gearing ratio remained stable at 0.3 as of March 31, 2024, consistent with the ratio on March 31, 2023[71]. Corporate Governance and Leadership - The Company has a strong leadership team with diverse backgrounds in finance, accounting, and management, enhancing its operational capabilities[106][107][108][112]. - The Company is focused on expanding its business in manufacturing electrical and household appliances, healthcare, and finance investment sectors[106]. - The management team is committed to understanding their obligations as directors of a listed issuer, ensuring compliance with regulatory requirements[106][109]. - The Company aims to leverage its strong shareholder base and management expertise to drive future growth and market expansion[106][107]. - The Board consists of four executive Directors and three independent non-executive Directors, with independent non-executive Directors representing more than one-third of the Board[126]. - The roles of Chairman and Chief Executive Officer are held separately, with Mr. Zheng Jiang as Chairman and Mr. Chan Hon Ki as CEO, responsible for governance and day-to-day management respectively[139]. - The company emphasizes the importance of corporate governance and has adopted effective governance procedures to enhance performance and corporate image[128]. - The Board encourages continuous professional development for all directors to refresh their knowledge and skills[136]. Audit and Risk Management - The Audit Committee, established on January 3, 2014, oversees the financial reporting process and compliance[158]. - The Audit Committee reviewed the accuracy and fairness of the annual financial statements for the year ended March 31, 2023, and the interim financial report for the six months ended September 30, 2023[164]. - The Audit Committee monitored the Company's compliance with legal and regulatory requirements[165]. - The Audit Committee conducted an annual review of the risk management and internal control systems, ensuring adequacy in resources and staff qualifications[191]. - The enterprise risk management framework was established in 2016, with the Board responsible for maintaining effective internal controls[198]. - Risks are identified, assessed, prioritized, and treated through a framework following the COSO Enterprise Risk Management－Integrated Framework[199]. - The Audit Committee oversees risk management and internal audit functions, receiving regular reports from the Board[199].
奥克斯国际(02080) - 2024 - 年度财报