Financial Performance - The audited consolidated annual profit for the year ended March 31, 2021, was HKD 212,831,000, a significant increase from a loss of HKD 11,567,000 in the previous year, driven by reduced production costs and operational expenses, as well as government subsidies totaling HKD 61,289,000[8]. - Total revenue for 2021 was HKD 699,619,000, a decrease of 15.0% from HKD 823,014,000 in 2020[198]. - The company reported a profit before tax of HKD 235,948,000, compared to a loss of HKD 12,296,000 in the previous year[198]. - Net profit for the year was HKD 212,831,000, a turnaround from a loss of HKD 11,567,000 in 2020[198]. - Basic and diluted earnings per share for 2021 were HKD 8.81 cents, compared to a loss of HKD 0.46 cents per share in 2020[198]. - Total comprehensive income for the year was HKD 237,718,000, recovering from a loss of HKD 28,868,000 in 2020[198]. - Other income increased significantly to HKD 93,354,000 from HKD 43,123,000, representing a growth of 116.6%[198]. - The fair value adjustment of investment properties resulted in a gain of HKD 39,896,000, contrasting with a loss of HKD 53,209,000 in the prior year[198]. - Foreign exchange gains amounted to HKD 41,634,000, compared to a loss of HKD 30,111,000 in 2020[198]. Assets and Liabilities - As of March 31, 2021, the group's net current assets were approximately HKD 1,013,168,000, an increase from HKD 875,103,000 in 2020, with cash and bank balances amounting to HKD 654,265,000[9]. - The group's capital debt ratio was 0.4% as of March 31, 2021, compared to 0.3% in 2020, indicating a stable financial position[9]. - The group has no significant contingent liabilities as of March 31, 2021, reflecting a strong financial health[11]. - The carrying value of leased properties was HKD 409,071,000, representing 20% of the total assets, down from 22% the previous year[165]. - The fair value of the group's investment properties was estimated at HKD 489,998,000, which accounted for 24% of total assets, an increase from 20% in the previous year[168]. - Significant receivables and interest amounted to HKD 292,238,000, representing about 14% of total assets, up from 12% the previous year[179]. Revenue and Dividends - Revenue from publishing newspapers and advertising decreased by HKD 135,087,000, or 20.5%, to HKD 524,647,000 compared to the previous year[21]. - Digital media advertising revenue increased by 8.8%, reaching HKD 127,519,000, an increase of HKD 10,349,000 year-on-year[21]. - The company proposed a final dividend of HKD 0.02 per share and a special dividend of HKD 0.05 per share, resulting in a total annual dividend of HKD 0.09 per share for the year[12]. - The company declared an interim dividend of HKD 0.02 per share and proposed a final dividend of HKD 0.02 and a special dividend of HKD 0.05, totaling approximately HKD 167,854,000[40]. - The available distributable reserves as of March 31, 2021, amounted to HKD 393,352,000, an increase from HKD 174,326,000 in 2020[45]. Digital Media and Engagement - The "Oriental Daily" maintained its position as the top-selling paid newspaper in Hong Kong for 45 consecutive years, highlighting its importance during the COVID-19 pandemic[17]. - The website and mobile platform "on.cc" recorded 830 million monthly page views, indicating strong reader engagement and popularity[17]. - The new platform "TiBo" was launched to provide comprehensive global sports information, enhancing the group's digital media offerings[17]. - The mobile game application "Ma Cheung Boss" became one of the most popular horse racing information apps in Hong Kong, expanding the group's digital media business[17]. - The number of readers for "Oriental Daily" reached 3,090,368, surpassing "Apple Daily" by 1,613,715 readers, or 109.3%[26]. - The company plans to enhance digital media development and user experience, targeting a younger audience with new platforms and paid multimedia content[26]. Corporate Governance - The company has complied with the Hong Kong Stock Exchange's listing rules and has adopted most of the recommended best practices in corporate governance[63]. - The board consists of three executive directors, one non-executive director, and three independent non-executive directors, ensuring a balanced composition[103]. - The company has adopted a corporate governance policy to ensure high standards and protect shareholder interests[102]. - The board has established six committees: Executive Committee, Audit Committee, Remuneration Committee, Nomination Committee, Investment Committee, and Corporate Social Responsibility Committee to ensure high levels of corporate governance[112]. - The company emphasizes the importance of independent opinions from committees to maintain effective oversight and governance[112]. - The company has a shareholder communication policy aimed at promoting effective communication with shareholders and stakeholders[148]. Employee and Operational Insights - The group employed 1,078 employees as of March 31, 2021, a decrease from 1,197 employees in 2020[32]. - The employee turnover rate for the reporting year was approximately 10.1% of the total workforce[59]. - The company emphasizes employee training and development to enhance skills and knowledge[58]. - The company has established a retirement benefits plan detailed in the financial statements[86]. - The company encourages continuous professional development for all directors, providing training on financial management, corporate governance, and regulatory updates[130]. Risk Management and Compliance - The company has established a comprehensive risk management policy to identify, assess, and mitigate risks associated with strategic, operational, financial reporting, and compliance objectives[132]. - The internal control system is designed to provide reliable financial information for internal use and external reporting, ensuring compliance with applicable laws and regulations[135]. - The board is responsible for monitoring compliance with legal and regulatory requirements[108]. - The internal audit team conducts regular reviews to ensure policies and operational procedures are properly implemented and assets are adequately protected[136]. - The auditor's responsibility includes evaluating the appropriateness of accounting policies and the reasonableness of estimates and disclosures made by management[191]. Environmental Initiatives - The group has implemented various environmental measures, including the installation of solar photovoltaic systems to reduce carbon emissions[52]. - The group has adopted a paperless office initiative, utilizing electronic forms and internal communication systems to reduce paper consumption[52].
东方企控集团(00018) - 2021 - 年度财报