Financial Performance - For the year ended March 31, 2020, the Group reported a loss attributable to owners of approximately HK$206,192,000, compared to a profit of approximately HK$50,510,000 in the previous year[10]. - The basic and diluted loss per share for the year was HK70.68 cents, compared to earnings per share of HK33.46 cents in 2019[18]. - The loss for the year was primarily due to changes in fair value of investment properties and write-downs on properties held for development[17]. - The Group recorded a loss attributable to shareholders of approximately HK$206,192,000 for the year ended March 31, 2020, compared to a profit of approximately HK$50,510,000 in 2019, primarily due to fair value losses on investment properties and impairment of properties held for sale[21]. - Loss before taxation for the year was approximately HK$209,657,000, a significant decrease from a profit of approximately HK$50,910,000 in 2019, with administrative expenses rising by approximately 8.7%[67]. Revenue and Profitability - Consolidated revenue increased by approximately 29.7%, amounting to approximately HK$80,682,000 compared to HK$62,228,000 in the previous year[18]. - The gross profit margin for the year was approximately 94.8%, slightly up from 94.7% in 2019[10]. - Total rental and management fee income recorded was approximately HK$61,142,000, a 43.4% increase from approximately HK$42,627,000 in 2019, driven by contributions from newly acquired properties[37]. - The Group's revenue for the year was approximately HK$80,682,000, representing an increase of approximately 29.7% from HK$62,228,000 in 2019[21]. - Gross profit for the year was approximately HK$76,455,000, representing an increase of approximately 29.7% or HK$17,498,000 compared to HK$58,957,000 in 2019, with a gross profit margin of 94.8%[66]. Property Acquisitions and Disposals - The Group successfully acquired 100% interest in Wing Cheong Factory Building and properties on Davis Street, while also disposing of office units and car parking spaces in Capital Centre[11]. - The Group completed the acquisition of 100% of Wing Cheong Factory Building, with a site area of approximately 5,483 sq. ft., and plans to redevelop it into an industrial building[26]. - The Group disposed of office units and car parks at Capital Centre for HK$361,600,000, resulting in a gain on disposal of approximately HK$57,511,000[42]. - The Group completed the acquisition of remaining units of Wing Cheong Factory Building for approximately HK$12,000,000[85]. - The Group acquired properties at Nos. 1B, 1C, 1D, and 1E of Davis Street, Kennedy Town, with a combined registered area of approximately 4,940 sq. ft., planning to redevelop into a residential/commercial project[107][110]. Rental Income - Property rental income in Hong Kong increased by approximately 71.2% to approximately HK$39,945,000 compared to HK$23,339,000 in 2019[41]. - The Group recorded property rental income of approximately HK$39,945,000 for the year ended March 31, 2020, representing an increase of about 71.2% compared to HK$23,339,000 in 2019[46]. - In Singapore, property rental income decreased by 3.6% to approximately HK$2,739,000 compared to HK$2,840,000 in 2019[44]. - In the PRC, property rental income decreased by approximately 11.7% to approximately HK$5,010,000, while management fee income increased by approximately 24.8% to approximately HK$13,448,000[45]. Financial Position - As of 31 March 2020, total assets amounted to approximately HK$4,602,993,000, an increase from approximately HK$4,034,545,000 in 2019[76]. - Total bank borrowings as of 31 March 2020 were approximately HK$1,431,740,000, compared to approximately HK$1,075,229,000 in 2019, resulting in a gearing ratio of approximately 0.5[77]. - The Group's current ratio improved to approximately 5.9 as of 31 March 2020, compared to approximately 4.8 in 2019[77]. - The outstanding principal amount of loans receivable as of March 31, 2020, was approximately HK$329,969,000, a slight decrease from approximately HK$336,010,000 in 2019[60]. Investment and Financing Activities - The company raised approximately HK$353,900,000 from the Rights Issue, with net proceeds allocated for various construction and acquisition costs[85]. - Approximately HK$79,000,000 was designated for the redevelopment construction cost of the lot on Matheson Street, Causeway Bay[85]. - The company has utilized approximately HK$80,000,000 for potential acquisitions of new properties and other investments[87]. - The Group will continue to maintain a diversified investment portfolio to minimize financial risks and monitor the performance of its investments closely[57]. Corporate Governance - The company has fully complied with the Corporate Governance Code provisions, except for disclosed deviations[148]. - The roles of chairman and chief executive are held by the same individual, which the company deems appropriate for efficiency in planning and execution of long-term strategies[156]. - The Board comprises five Directors, including two executive Directors and three independent non-executive Directors[163]. - The Audit Committee held two meetings during the year ended 31 March 2020, ensuring compliance with financial reporting standards[189]. - The Company provides regular updates on business performance to the Directors and ensures compliance with Listing Rules and statutory requirements[178]. Impact of COVID-19 - The Group has granted rent concessions to tenants due to the impact of COVID-19, which is expected to decrease rental income from investment properties in the upcoming financial year[127]. - The Group remains cautiously optimistic about the prospects of the property and securities markets in Hong Kong, despite uncertainties caused by the global economic outlook and COVID-19[129]. - The Group's financial effects from COVID-19 will be reflected in future financial statements as the situation evolves[127].
高山企业(00616) - 2020 - 年度财报