Financial Performance - The company reported a revenue of approximately HKD 276.9 million for the fiscal year ending March 31, 2021, representing a growth of 31.7% compared to HKD 210.2 million in the previous year[11]. - The apparel business generated revenue of approximately HKD 217.5 million, an increase of 12.0%, while the property investment business recorded revenue of approximately HKD 4.1 million, up by 5.1%[11]. - The profit attributable to equity holders was HKD 7.6 million, down from HKD 9.4 million in the previous year[11]. - Revenue from the garment business increased by approximately 12.0% to about HKD 217.5 million, driven by a net increase in African business revenue from approximately HKD 72.2 million to about HKD 103.5 million, a rise of about 43.4%[32]. - Revenue from marketing and promotional services surged by approximately 361.7% to HKD 55.4 million, up from HKD 12 million in the previous year[33]. - The gross profit from the garment business was approximately HKD 29.1 million, an increase of about 10.2% from HKD 26.4 million in the previous year, with a gross margin of approximately 13.4%[34]. - The gross profit from property investment was approximately HKD 4.1 million, reflecting a slight increase of about 5.1% from HKD 3.9 million in the previous year[34]. Marketing and Business Development - The company has expanded its marketing department to provide promotional services to external clients, leveraging its experience with authorized brands[12]. - The marketing and promotional services division has seen rapid growth, increasing the number of external clients and market share[12]. - The company aims to enhance its service offerings, including market analysis, product development, and online store management[12]. - The marketing department has been actively expanding its services to external clients, aiming to increase market share and enhance service offerings[29]. - The group plans to continue developing marketing and promotional services, achieving a gross profit of approximately HKD 13,300,000 in this segment[45]. Financial Position and Expenses - As of March 31, 2021, the group's cash and bank balances totaled approximately HKD 7,600,000, down from HKD 12,300,000 the previous year[51]. - Total bank and other borrowings amounted to approximately HKD 156,600,000, a decrease from HKD 220,500,000 the previous year[52]. - The current ratio improved to approximately 0.86 from 0.54, attributed to a decrease in payables and an increase in trade and other receivables[53]. - Sales, distribution, and marketing expenses increased by approximately 18.4% from HKD 4,900,000 to HKD 5,800,000 due to increased promotional spending in the garment business[37]. - Administrative expenses rose by about 12.4% from HKD 17,700,000 to HKD 19,900,000, primarily due to increased employee costs and legal and professional fees[38]. - Financial expenses decreased by approximately 61.6% from HKD 7,300,000 to HKD 2,800,000, mainly due to reduced interest on bank loans for general working capital[41]. Investments and Assets - The company held six investment properties in China and five in Hong Kong, with an independent valuation of approximately HKD 118.5 million as of March 31, 2021, down from HKD 121.8 million in the previous year[28]. - The total value of the group's investment properties and leased land and buildings was approximately HKD 116.7 million as of March 31, 2021, compared to HKD 115.5 million in 2020[64]. - The fair value change of investment properties resulted in a net loss of approximately HKD 3,300,000, compared to a net gain of HKD 4,700,000 in the previous year[39]. Shareholder and Corporate Governance - The company is committed to striving for the best returns for shareholders while facing future opportunities and challenges[12]. - The largest customer accounted for 28% of sales in 2021, down from 31% in 2020, while the top five customers accounted for 58%, down from 63%[88]. - The largest supplier accounted for 25% of procurement in 2021, down from 36% in 2020, and the top five suppliers accounted for 64%, down from 97%[88]. - The group did not recommend any dividend for the year ended March 31, 2021, compared to zero in 2020[92]. - The company has no major transactions or arrangements involving directors with significant interests during the year[120]. - The company has maintained good relationships with suppliers and customers, with no significant disputes reported during the fiscal year ending March 31, 2021[154]. - The company has complied with relevant laws and regulations that could significantly impact its business and operations during the review year[160]. Board and Management - The board consists of six members, including three executive directors and three independent non-executive directors, with no personal relationships among current directors[174]. - All independent non-executive directors confirmed their independence according to the listing rules, and one holds appropriate professional qualifications in accounting or related financial management[179]. - The audit committee held two meetings during the year ending March 31, 2021, and consists of three independent non-executive directors[151]. - The board held seven meetings during the fiscal year ending March 31, 2021, with attendance rates for directors ranging from 5/7 to 7/7[194]. - The company has adopted a board diversity policy, considering factors such as age, experience, cultural and educational background, and professional skills in board member selection[188]. - The board is tasked with reviewing and monitoring compliance with legal and regulatory policies, as well as the training and professional development of directors and senior management[187]. - The company emphasizes the importance of diversity in enhancing performance quality and has set measurable goals for achieving board diversity[190]. Compliance and Reporting - The company adheres to generally accepted accounting principles in preparing consolidated financial statements[184]. - The audit committee is responsible for overseeing the relationship with external auditors and ensuring the independence of financial reporting[197]. - The company will publish its Environmental, Social, and Governance report within three months after the annual report[152].
龙翼航空科技(00918) - 2021 - 年度财报