Financial Performance - The group's revenue for the year was approximately HKD 123 million, a decrease of about 28.1% compared to HKD 171 million in the previous year[8]. - The after-tax profit for the year was approximately HKD 73 million, down 49.3% from HKD 144 million in the previous year, primarily due to an increase in impairment losses on brands and trademarks from HKD 42 million to HKD 94 million[8]. - Revenue from the distribution of household products and audio-visual products decreased by approximately 41.7%, from HKD 115 million to HKD 67 million, mainly due to a major customer ceasing to purchase a specific model of microwave[12]. - The revenue from the licensing business for the current year was HKD 50,000,000, compared to HKD 51,000,000 in the previous year, with an operating profit of HKD 32,000,000, down from HKD 37,000,000[14]. - The brand and trademark value impairment for the current year was HKD 71,000,000, significantly higher than the HKD 2,000,000 impairment reversal in the previous year[15]. - The company reported a significant reduction in impairment losses on brands and trademarks, with a net loss of HKD 94 million compared to HKD 127 million in the previous year[132]. - Total comprehensive income for the year was HKD 73 million, down from HKD 151 million in the previous year[133]. - Basic earnings per share decreased to HKD 1.66 from HKD 3.19, representing a drop of 47.9%[132]. Business Strategy and Expansion - The group plans to expand its business in China, including the sale of household appliances and the development of information technology services[7]. - The group aims to increase its revenue base through the introduction of new businesses in China[9]. - Management plans to develop three new businesses in China: home appliances, information technology, and property development, with the home appliance business expected to provide stable income[17]. - The newly established home appliance trade business in China generated approximately HKD 1,000,000 in revenue by the end of the current year[16]. Shareholding and Equity - The group's shareholding in Emerson increased from 66.9% to 72.4% due to a share buyback program[13]. - The company repurchased 1,756,436 shares of Emerson, amounting to approximately HKD 20 million, which increased the company's equity interest in Emerson from about 66.9% to 72.4%[138]. - Total equity increased to HKD 598 million from HKD 516 million, an increase of 15.9%[136]. Financial Position and Assets - Non-current assets decreased to HKD 179 million from HKD 265 million, a reduction of 32.4%[135]. - Current assets totaled HKD 465 million, slightly down from HKD 497 million, a decrease of 6.4%[135]. - Current liabilities decreased significantly to HKD 29 million from HKD 224 million, a reduction of 87.0%[135]. - The company experienced a decrease in cash and cash equivalents by HKD 115 million for the year, ending with HKD 201 million compared to HKD 316 million at the beginning of the year[142]. Governance and Compliance - The company has complied with all relevant laws and regulations that significantly impact its operations during the year[39]. - The company has adopted corporate governance practices in line with the principles outlined in the listing rules, ensuring compliance[76]. - The board of directors consists of five members, including two executive directors and three independent non-executive directors, ensuring a balanced governance structure[78]. - The company has established appropriate liability insurance for its directors and senior officers to protect against potential claims[84]. Risk Management and Internal Controls - The company has established and maintained effective risk management and internal control systems to achieve its strategic objectives[96]. - The audit committee reviewed the accounting principles and internal controls adopted by the group, ensuring financial reporting integrity[70]. - The company has a policy on insider trading, which is reviewed and updated by the board at the end of the financial period[98]. Environmental, Social, and Governance (ESG) Practices - The company has a policy to comply with all relevant laws and regulations regarding environmental matters[107]. - The company has actively engaged stakeholders to assess significant environmental and social issues, prioritizing product responsibility and resource usage[107]. - The company has maintained a strong commitment to health and safety standards, with no reported violations of health and safety regulations during the year[113]. Accounting Standards and Financial Reporting - The company adopted new and revised Hong Kong Financial Reporting Standards, including HKFRS 9 and HKFRS 15, effective from April 1, 2018, with no significant impact on financial performance and disclosures[148]. - The transition to HKFRS 15 did not have a significant impact on the company's overall financial position[158]. - The group recognizes revenue upon the transfer of control of goods or services to customers, in accordance with HKFRS 15, effective from April 2018[186]. - The company continues to assess the impact of new accounting standards on its financial reporting and will provide additional disclosures as necessary[164].
敏捷控股(00186) - 2019 - 年度财报