Financial Performance - For the year ended June 30, 2023, the Group recorded revenue of approximately HK$54.4 million, representing a decrease of approximately 27.9% compared to the previous year[16]. - Revenue from the manufacturing and sale of apparel labels and packaging printing products segment dropped by approximately 34.8% to approximately HK$45.4 million for FY 2023[27]. - Revenue from the sale and distribution of food, daily necessities, and utility products segment increased by approximately 54.2% to approximately HK$9.0 million for FY 2023[27]. - The Group recorded a loss and total comprehensive expense of approximately HK$26.0 million for FY 2023, compared to a loss of approximately HK$3.8 million for FY 2022[16]. - For the fiscal year 2023, the Group recorded revenue of approximately HK$54.4 million, a decrease of about 27.9% compared to HK$75.5 million for fiscal year 2022[29][35]. - Revenue from the manufacturing and sale of apparel labels and packaging printing products decreased by approximately HK$24.3 million or 34.8% to approximately HK$45.4 million for FY 2023[35][38]. - Revenue from the sale and distribution of food, daily necessities, and utility products increased by approximately HK$3.2 million or 54.2% to approximately HK$9.0 million for FY 2023[35][38]. - The gross profit margin for FY 2023 decreased to approximately 17.3%, down from 29.9% in FY 2022, representing a decline of approximately 12.6 percentage points[30][41]. - As of June 30, 2023, the total cash and cash equivalents were approximately HK$43.2 million, a decrease of approximately HK$14.8 million from the previous year[52][55]. - The current ratio as of June 30, 2023, was 3.35 times, down from 4.53 times in FY 2022[57]. Business Environment and Strategy - Geopolitical tensions and weakened global economic growth impacted the global retail market, affecting demand for apparel labels and packaging printing products[17]. - The business environment facing the Group is expected to remain challenging in the near term due to ongoing geopolitical and economic tensions[17]. - The Group plans to strengthen its existing printing business and expand into trading and online distribution of food and daily necessities[22]. - The Group will actively consider business diversification and seek beneficial business opportunities or partners[22]. - The Group plans to continue exploring suitable business opportunities to diversify and strengthen its business foundation[34][37]. - The Group will implement stringent cost controls and enhance sales efforts to cope with challenging global market conditions[33][36]. Corporate Governance - The company is committed to maintaining high standards of corporate governance to enhance shareholder value[127]. - The Board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[129]. - The company complied with the Corporate Governance Code throughout the year ended June 30, 2023, with some deviations disclosed[128]. - The Board is responsible for formulating the Group's overall strategy and policies, monitoring operational and financial performance[136]. - The company has established a strong foundation in the printing industry through strategic acquisitions and partnerships since its inception[96]. - The company has a diverse board with members holding significant experience in various sectors, which may contribute to strategic decision-making[104]. - The company has established an Audit Committee consisting of three INEDs, ensuring compliance with the Listing Rules[192]. - The Audit Committee is responsible for providing an independent review of the Group's financial statements and risk management[199]. - The Board aims to enhance shareholder value through clear evaluation of the Company's performance and prospects in reports[139]. Leadership and Management - Mr. David Fung has over 22 years of experience in the apparel label and packaging printing industry, having co-founded Hang Sang (Siu Po) in November 1999[95]. - Mr. Alex Fung, appointed as vice president and executive director, has a background in private banking, enhancing the company's financial management capabilities[99]. - Dr. Loke Yu, with over 44 years of experience in accounting and auditing, serves as the independent non-executive director and chairman of the Audit Committee, ensuring robust financial oversight[101]. - The leadership team includes individuals with advanced degrees in business and law, indicating a strong educational background that supports corporate governance[110]. - The roles of chairman and chief executive officer are currently held by Mr. Samson Fung, which the board believes ensures consistent leadership and effective strategic planning[173]. Shareholder Relations - The Board is responsible for maintaining ongoing dialogue with shareholders, utilizing annual general meetings for communication and participation[164]. - The Board held 4 regular meetings during the year ended June 30, 2023, to review overall strategy and monitor financial performance[148]. - All Directors attended 100% of the Board meetings, with attendance recorded as 4/4 for each Executive Director and Independent Non-executive Director[154]. - The Company Secretary provides updates on Listing Rules and regulatory requirements to ensure compliance and effective governance[145]. Employee and Operational Insights - The Group employed 68 full-time management, administrative, and operation staff in Hong Kong as of June 30, 2023, a decrease from 78 staff in the previous year[84]. - Selling expenses decreased by approximately HK$1.3 million to approximately HK$7.1 million for FY 2023, primarily due to reduced freight charges and sales commissions[43][47]. - The company has maintained a board composition of three executive directors and three independent non-executive directors (INEDs) as of June 30, 2023[181]. - The company has established procedures for Directors to obtain independent advice at the Company's expense when necessary[147].
HSSP INTL(03626) - 2023 - 年度财报