Financial Performance - The Group recorded a profit after taxation of approximately HK$16.3 million for the year ended 31 December 2018, compared to a loss of approximately HK$7.5 million for 2017[6]. - Total operating revenue for the year was approximately HK$422.4 million, representing an increase of approximately 13.1% from HK$373.5 million in the previous year[7]. - Profit attributable to equity shareholders was approximately HK$16.3 million for 2018, compared to a loss of approximately HK$6.6 million in 2017[7]. - Operating expenses increased by approximately HK$24.6 million, from approximately HK$374.8 million in 2017 to approximately HK$399.4 million in 2018[82]. - Cash used in operations was approximately HK$30.8 million in 2018, a decrease from approximately HK$70.6 million in 2017[85]. - As of December 31, 2018, the Group had cash and cash equivalents of approximately HK$245.7 million, compared to approximately HK$250.3 million in 2017[77]. - The Group did not recommend the payment of a final dividend for the year ended December 31, 2018[84]. - The EBITDA margin for 2018 was 7.5%, compared to 0.9% in 2017, indicating improved operational efficiency[75]. - The Group's total indebtedness at December 31, 2018, was approximately HK$106.6 million, up from HK$0.7 million in 2017, resulting in a gearing ratio of 14.8%[103]. - The group incurred capital expenditures of approximately HK$36.9 million in 2018, a substantial increase from HK$7.2 million in 2017[112]. Business Segments - The Financial Services segment contributed approximately HK$21.2 million to the profit, while the Media segment saw an increase of approximately HK$3.8 million[7]. - The revenue from the insurance brokerage business in 2018 was approximately HK$17 million, an increase of approximately HK$16.3 million from the previous year[29]. - The Media Business recorded revenue of approximately HK$380.5 million for the year ended December 31, 2018, compared to approximately HK$348.4 million in 2017[30]. - The Financial Services segment generated revenue of approximately HK$33.5 million in 2018, which included income from the acquisition of TCM and brokerage income from insurance services in the PRC[78]. - The Group's external asset management business contributed approximately HK$16.5 million in operating income and approximately HK$1.8 million in operating expenses in 2018[31]. Acquisitions and Investments - The Group completed the acquisition of Target Capital Management Limited and related companies on 14 December 2018, expanding its financial services business[15]. - The completion of the acquisition of TCM and the Subject Companies occurred on December 14, 2018, with a total consideration of HK$270.0 million[99]. - The Group's acquisition of Tianjin Ankai Economic Information Consulting Limited allows it to control the financial and business operations of China Sports Insurance Broker Co., Ltd. since December 14, 2017[36]. - The Group aims to identify further investment opportunities to broaden its business portfolio and maximize returns for shareholders[19]. Market Strategy and Growth - The Group plans to expand its market share in the insurance brokerage business in the PRC, including new life insurance products launched in the second half of 2018[16]. - The Group is optimistic that the Financial Services Business will become a key driver for future growth despite global economic uncertainties[19]. - The Media Business is investing in digital panels for interactive advertising platforms to drive growth, despite facing fierce competition[18]. - The Group plans to develop 100 new bus shelters each year to enhance its BUS-SHELTER advertising services[35]. Corporate Governance and Compliance - The Group is committed to maintaining high standards of corporate governance through its independent non-executive directors[131]. - The Board of Directors is responsible for the sustainable development of the Group, ensuring compliance with legal and regulatory requirements[188]. - The Group has established three Board Committees: Audit, Remuneration, and Nomination, to oversee various aspects of its affairs[190]. - The Group maintains high standards of professionalism and ethicality for all employees, ensuring compliance with the Code of Conduct[195]. - In 2018, there were no reported incidents of bribery, extortion, fraud, or money laundering within the Group[197]. Environmental, Social, and Governance (ESG) Initiatives - The annual Environmental, Social and Governance Report covers the year ended December 31, 2018, focusing on the Group's operations in Hong Kong, which represent the majority of its investments and businesses[157]. - The report complies with the HKEx ESG Reporting Guide, adhering to the "comply or explain" provisions for the year ended December 31, 2018[159]. - The Group's commitment to environmental, social, and governance issues is outlined, reflecting its operational priorities[157]. - The Group aims to minimize its carbon footprint through efficient resource use and green office initiatives[177]. - The Group received the 15 Years Plus Caring Company Logo 2018/19 from the Hong Kong Council of Social Service, highlighting its commitment to social responsibility[185]. Employee Welfare and Development - The Group prioritizes employee welfare, focusing on skill development, health and safety, and equal employment opportunities[198]. - The Equal Employment Opportunity Policy ensures fair treatment of employees regardless of race, sex, or disability[199]. - The group had 179 full-time employees as of December 31, 2018, and offers a competitive remuneration package along with performance bonuses and sales commissions[123].
贝森金融(00888) - 2018 - 年度财报