Financial Performance - The company's profit attributable to equity holders decreased by 46% to HKD 124.7 million in 2020 from HKD 231.6 million in 2019[2]. - Earnings per share fell by 46% to HKD 0.20 in 2020 from HKD 0.38 in 2019[2]. - Total revenue for the year was HKD 430 million, down from HKD 368.4 million in the previous year[96]. - The group's operating profit for the year was HKD 21.1 million, a decrease of 72.5% from HKD 76.8 million in 2019[100]. - The group reported a net profit attributable to equity holders of HKD 124.7 million, down 46.2% from HKD 231.6 million in the previous year[100]. - Basic and diluted earnings per share decreased to HKD 0.20 from HKD 0.38, representing a decline of 47.4%[100]. - The group’s other income and gains increased to HKD 85.0 million from HKD 72.1 million, showing a growth of 17.5%[100]. - The group’s total revenue for the year 2020 was HKD 43.0 million, a significant decrease of 88.4% compared to HKD 368.4 million in 2019[166]. - The gross income from property sales was HKD 30.6 million in 2020, down from HKD 356.7 million in 2019, indicating a decline of 91.4%[166]. Dividends - The company declared a dividend of HKD 148.2 million, a decrease of 31% from HKD 216.1 million in the previous year[2]. - The dividend per share also decreased by 31% to HKD 0.24 in 2020 from HKD 0.35 in 2019[2]. - The group declared a final dividend of HKD 74.1 million, significantly lower than HKD 142.0 million in 2019, reflecting a reduction in shareholder returns[103]. - The proposed final dividend for 2020 is HKD 0.12 per share, unchanged from the previous year, while total dividends decreased from HKD 216.1 million in 2019 to HKD 148.2 million in 2020[191]. Assets and Liabilities - The total equity of the company slightly declined by 1% to HKD 6,996.3 million in 2020 compared to HKD 7,086.6 million in 2019[2]. - The group's total assets less current liabilities amounted to HKD 10,374.7 million, a decrease from HKD 10,568.7 million in 2019[32]. - The group's total current assets were HKD 7,198.8 million, down from HKD 7,412.8 million in the previous year[32]. - The group’s total liabilities included current liabilities of HKD 191.5 million, significantly reduced from HKD 536.8 million in the previous year[32]. - The group’s total non-current liabilities were HKD 280.9 million, compared to HKD 3.5 million in 2019[32]. - The group maintained a strong balance sheet with total assets of HKD 7,198.8 million, slightly down from HKD 7,412.8 million in 2019[102]. - The total liabilities increased to HKD 540.3 million in 2020 from HKD 472.4 million in 2019, representing a rise of approximately 14.4%[171]. Cash Flow - Operating cash flow for the year ended March 31, 2020, showed a net cash outflow of HKD 129.8 million, a significant decrease from a net inflow of HKD 505.9 million in 2019, representing a decline of approximately 125.6%[106]. - Cash and cash equivalents stood at HKD 3,611.4 million, compared to HKD 3,817.9 million in the previous year[102]. - Cash and cash equivalents decreased by HKD 209.9 million, ending the year at HKD 3,542.6 million, down from HKD 3,752.5 million in 2019, a decline of about 5.6%[106]. - Financing activities resulted in a net cash outflow of HKD 289.7 million, compared to a net outflow of HKD 156.0 million in 2019, reflecting an increase in outflow of approximately 85.5%[106]. Corporate Governance - The board of directors held four meetings and one annual general meeting during the year ended March 31, 2020[50]. - The company has adopted a board diversity policy to enhance the diversity of its board members[51]. - The company has established a remuneration committee consisting of one non-executive director and two independent non-executive directors, which held one meeting during the year ending March 31, 2020[58]. - The company has a nomination committee that includes the chairman and two independent non-executive directors, which also held one meeting during the year ending March 31, 2020[59]. - The company has adopted a director nomination policy to ensure a balanced skill set and experience on the board[60]. - The company has a clear division of responsibilities between the board and management, with significant decisions made by the board[55]. - The roles of chairman and CEO are currently held by the same individual, which the board believes enhances decision-making efficiency[55]. Environmental and Social Responsibility - The group has implemented measures to reduce electricity consumption, aiming to decrease indirect greenhouse gas emissions, which are primarily caused by electricity usage[78]. - The group actively participates in various recycling programs, such as the waste electrical and electronic equipment recycling program, to promote waste reduction and sustainable development[79]. - The group has adopted water-saving guidelines and improved faucet facilities to reduce water usage, recognizing water as a precious resource[81]. - The group has committed to sustainable development by incorporating green building designs in its property development projects, such as "Shallow Water Bay 108," which has over 50% of its area covered in greenery[82]. - The group has established a corporate social responsibility policy to engage in business activities that benefit society and promote sustainable development[83]. - The group prioritizes the use of energy-efficient electronic devices with energy labels issued by the Electrical and Mechanical Services Department during procurement[80]. - The group has taken steps to enhance employee awareness of environmental protection and sustainable development through initiatives like Earth Hour[80]. - The group has committed to complying with all applicable laws and regulations regarding corporate social responsibility matters[83]. Employee Relations - The company emphasizes that human resources are one of its most valuable assets and is committed to creating an engaging work environment[84]. - The company provides attractive compensation and employee benefits, including medical insurance and a mandatory provident fund plan[84]. - The company has implemented an equal opportunity policy to support a diverse and inclusive work environment, free from discrimination[85]. - The company prioritizes employee health and safety, providing appropriate protective equipment and training, especially during the COVID-19 pandemic[87]. - The company encourages continuous professional development and offers educational subsidies to eligible employees[88]. Risk Management - The company maintains a treasury and financing policy focused on risk management and control, minimizing foreign exchange fluctuation risks[37]. - The company has established policies to manage various financial risks, which are regularly reviewed and improved[40]. - The group has a policy to ensure that customers for property sales and rentals have appropriate credit histories, managing credit risk proactively[154]. - The group aims to maintain sufficient liquidity through committed credit facilities to manage cash flow risks effectively[155]. Accounting and Financial Reporting - The company has adopted new accounting standards effective for the fiscal year 2019/2020, which may impact future financial reporting[110]. - The group adopted Hong Kong Financial Reporting Standard No. 16, recognizing lease liabilities for previously classified operating leases, measured at the present value of remaining lease payments[112]. - The group recognizes its share of profits or losses from associates in the consolidated income statement, with adjustments made for other comprehensive income changes[117]. - The company assesses expected credit losses for debt instruments measured at amortized cost and fair value through other comprehensive income, using a forward-looking approach[128]. - The company recognizes impairment losses for receivables based on expected losses, grouped by credit risk characteristics and aging[128].
TAI CHEUNG HOLD(00088) - 2020 - 年度财报