Financial Performance - For the fiscal year ended March 31, 2021, the company's revenue decreased to HKD 216.2 million, down 19.8% from HKD 269.8 million in 2020[6]. - The gross profit for the same period was HKD 136.2 million, resulting in a gross profit margin of 63.0%, an increase from 51.6% in the previous year[6]. - The company reported an operating loss of HKD 6.96 million, significantly improved from an operating loss of HKD 154.5 million in 2020, indicating better cost control[6]. - The net loss attributable to equity shareholders was HKD 11.74 million, compared to a loss of HKD 87.1 million in the prior year, reflecting a narrowing of losses[6]. - The Group's revenues dropped by 19.9% during the financial year due to the impact of the COVID-19 Pandemic[16]. - The Group's revenue decreased by 19.9% to HK$216,181,000 from HK$269,818,000 in the previous year[32]. - Gross profit margin increased to 63.0%, up from 51.6% in the previous year[32]. - Loss from operations reduced significantly to HK$6,960,000 compared to HK$154,540,000 in the previous year[32]. - Net loss attributable to equity shareholders was HK$11,740,000, a decrease of 86.5% from HK$87,125,000 in the previous year[36]. Assets and Liabilities - The total assets decreased to HKD 690.7 million from HKD 725.1 million in 2020, while total liabilities also decreased to HKD 131.7 million from HKD 167.3 million[6]. - The Group's total liabilities decreased by 21.3% to HK$131,734,000 from HK$167,298,000[32]. - The Group's net assets as of 31 March 2021 were HK$558,928,000, a slight increase from HK$557,834,000 in 2020[45]. - The Group's gearing ratio improved to 0.153 from 0.210 in the previous year, indicating a stronger equity position relative to debt[6]. - Cash and bank deposits net of bank overdrafts were HK$133,559,000, down from HK$146,011,000[42]. Operational Efficiency - The overall gross profit margin increased, and inventory turnover days decreased, indicating improved operational efficiency[16]. - Total operating expenses decreased by 41.6% to HK$169,600,000 from HK$290,599,000[33]. - The Group's printing business remains profitable despite reduced business activities during the pandemic[20]. - The number of outlets for J.Lindeberg has reduced, but store consolidation reflects market trends, leading to a healthier division overall[19]. Market and Expansion Plans - The company plans to continue controlling expenses and is witnessing improvements in the Hong Kong and China markets in recent months[9]. - The Group plans significant expansion for the Ashworth brand in China over the next three financial years[26]. - A new license agreement for Ashworth was signed in the USA, aiming for gradual overseas business growth[26]. - The Group anticipates a recovery in business activities and consumer sentiment, leading to positive economic growth in Mainland China[26]. Corporate Governance - The Board comprises six executive directors and three independent non-executive directors, meeting the requirement of at least one-third independent members[106]. - The Company is committed to establishing a good corporate governance framework and practices, including reviewing and monitoring compliance with laws and regulations[116]. - The Audit Committee comprises three independent non-executive directors and is responsible for monitoring the integrity of the Company's financial statements[132]. - The Company has arranged for the renewal of an insurance policy on directors' and officers' liability to protect directors and senior management from liabilities arising from their duties[127]. - The Company has adopted a Securities Dealing Code that complies with the Model Code for Securities Transactions by Directors of Listed Issuers[172]. Dividends - The company has not declared any interim dividend for the fiscal year, but a final dividend of HKD 0.10 per share was declared[6]. - The directors recommend a final dividend of 10 HK cents per ordinary share for the year ended 31 March 2021, which is expected to be paid on or around 18 October 2021 if approved by shareholders[186]. - The Company has established a Dividend Policy to guide the Board in determining whether to declare dividends and the level of dividends to be paid to shareholders, allowing participation in profits while retaining reserves for future growth[158]. Social Responsibility and Compliance - The Group is committed to corporate social responsibility, encouraging staff participation in charitable activities[73]. - The Group is committed to maintaining high environmental standards and compliance with relevant laws during manufacturing and material disposal processes[62]. - The Group did not identify any material non-compliance or breach of legislation related to workplace quality or product safety[60][61]. - Charitable donations made by the Group during the year amounted to HK$66,000, a significant increase from HK$1,000 in 2020[189].
YGM TRADING(00375) - 2021 - 年度财报