Financial Performance - The group's revenue decreased from approximately HKD 108.9 million in the previous year to about HKD 106.7 million, a decline of approximately HKD 2.2 million or 2.1%[8] - The company's revenue for the year ended June 30, 2023, was HKD 106.7 million, a decrease of 2.1% compared to HKD 108.9 million in 2022[25] - The net profit and total comprehensive income for the year was HKD 20.9 million, a slight increase of 1.4% from HKD 20.6 million in 2022[25] - The group recorded a profit of approximately HKD 20.8 million for the current year, compared to approximately HKD 20.5 million for the year ended June 30, 2022[39] - Gross profit increased by 13.4% to HKD 46.8 million, with a gross margin of 43.8%, up from 37.9% in the previous year[25] - The cost of sales decreased from approximately HKD 67.7 million to approximately HKD 59.9 million, a reduction of about HKD 7.8 million or 11.5%[29] - Other income rose from approximately HKD 6.3 million to approximately HKD 8.2 million, an increase of about HKD 1.9 million or 29.4%[31] Market Conditions - The Hong Kong real estate market faces significant challenges, including the ongoing COVID-19 pandemic, global economic slowdown, and rising interest rates[9] - The Hong Kong population decreased from 7.48 million in mid-2020 to 7.29 million in mid-2022, a decline of 3%, impacting local real estate prices[12] - The board remains optimistic about the long-term prospects for Hong Kong, citing government commitments to infrastructure investment and housing policies[9] - The company is optimistic about the long-term economic development of Hong Kong despite current challenges, with government commitments to infrastructure and housing policies providing significant opportunities[15] Project and Revenue Management - The company completed 148 projects in the current year, generating revenue of approximately HKD 15.0 million, compared to HKD 16.5 million from 154 projects in 2022[17] - As of June 30, 2023, there were 132 ongoing projects, with confirmed revenue of approximately HKD 91.7 million, slightly down from HKD 92.5 million in 2022[20] - The company secured 158 new projects during the year, with confirmed revenue of approximately HKD 31.4 million, down from HKD 53.7 million from 190 projects in 2022[22] - The company anticipates an average annual completion of over 19,000 private housing units over the next five years, with a projected supply of approximately 105,000 private housing units in the next 3 to 4 years[18] Operational Strategies - The company is diversifying its material supply sources and has closed one of its workshops to mitigate challenges[9] - The company is focused on maintaining a reasonable gross margin amidst uncertainties from COVID-19, interest rate trends, and geopolitical tensions[24] - The company aims to enhance its market competitiveness and profitability while monitoring business opportunities[16] Employee and Talent Management - As of June 30, 2023, the group had 46 full-time employees, a decrease from 56 employees in 2022, with total employee costs amounting to approximately HKD 26.4 million compared to HKD 25.9 million in the previous year, reflecting an increase due to salary and bonus increments[49] - The company emphasizes that employee talent is its most valuable asset and strives to create a motivating work environment[89] Corporate Governance - The board of directors is responsible for overseeing the company's affairs and guiding its operations, with a total of seven directors currently serving[150] - The company has adopted a code of conduct for securities trading by directors and employees, ensuring compliance with GEM listing rules[149] - The company confirms that all independent non-executive directors meet the independence guidelines set forth by GEM listing rules[158] - The company has established a remuneration committee to formulate the remuneration policy and structure for directors and senior management[121] Risk Management - The company has established procedures to identify major business risks and assess potential financial impacts[192] - The internal control system was reviewed by Zhiwei Management Consultants, which found no significant deficiencies and provided recommendations for improvement[192] - The board and audit committee agree that the internal control and risk management systems are effective and sufficient based on the review conducted by Zhiwei Management Consultants[193] Research and Development - Research and development investments are projected at HKD 2.4 million to enhance service quality and reduce indirect costs, with a focus on hiring qualified personnel for the R&D team[55] - The group is exploring the development of new generation machinery, including a self-developed CNC bending machine and CNC threading machine, with an investment of HKD 0.2 million allocated for this purpose[55] - A total of HKD 0.9 million is earmarked for developing prototypes of two next-generation machines and collecting reliability and efficiency data[55] Shareholder Information - The company did not declare any final dividends for the year, consistent with the previous year[97] - There were no reserves available for distribution to shareholders as of June 30, 2023, mirroring the situation in 2022[95] - Major shareholders include Jianxin Creative Limited with 251,373,415 shares, representing 31.4% of the voting shares[138] - The company maintains a public float of at least 25% of its issued shares as required by GEM listing rules[141]
人和科技(08140) - 2023 - 年度财报