Project Development and Achievements - The flagship project, Zhejiang Anxian Garden, achieved steady growth and successfully completed its annual marketing plan for the fiscal year 2019[9]. - Yinchuan Fushou Garden has become a well-known cultural memorial park in the western region, receiving multiple industry honors and recognition[10]. - The operational success of Yinchuan Fushou Garden serves as a model for the company's business deployment in other regions[10]. - The newly established "Jingqun Garden" memorial square in Yinchuan has become a significant landmark and patriotic education base for the local police community[10]. - The company’s flagship project, Zhejiang Anxian Garden, continues to maintain a steady growth trend, becoming a leading ecological cultural cemetery in Zhejiang Province, recognized for its industry honors and social contributions[23]. Strategic Planning and Market Expansion - The company plans to transform the Zunyi Dashenshan Ecological Cemetery into a benchmark enterprise in Guizhou Province within three years, utilizing an ERP management system to enhance service processes[13]. - The company plans to expand its business into cities with promising market prospects and rich funeral service resources, collaborating with local governments and institutions to support funeral reform[23]. - The company is committed to enhancing its management practices by implementing systematic and modernized approaches across its cemetery operations[13]. Industry Trends and Demographics - The aging population in China is projected to exceed 200 million by 2020, with an annual death rate of approximately 7.1%, indicating a growing demand for funeral services[21]. - The company anticipates that the annual death toll could rise to around 25 million between 2040 and 2070, highlighting the increasing demand for funeral services in the future[22]. Financial Performance - The company recorded a net profit of approximately HKD 17,000,000, a decrease from HKD 17,300,000 in 2018, while revenue increased to HKD 223,100,000, up from HKD 206,600,000, representing an increase of about 8%[26]. - The company's gross profit was impacted by higher direct costs, resulting in a pre-tax profit of approximately HKD 40,800,000, down from HKD 54,800,000 in 2018[26]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion in the last fiscal year, representing a growth of 15% year-over-year[52]. - The company provided guidance for the next fiscal year, projecting revenue growth of 10% to 12%[63]. Corporate Governance and Compliance - The company has complied with applicable corporate governance codes throughout the year, with some deviations noted in specific areas[135]. - The board of directors has committed to maintaining high standards of corporate governance and transparency for the benefit of shareholders[134]. - The company reported no significant violations of applicable laws and regulations during the year[127]. - The company has established appropriate directors' and officers' liability insurance for its board and executive officers[125]. Internal Management and Employee Development - The company has implemented a series of internal training programs to enhance management mechanisms and cultivate a sense of ownership among employees, which is expected to improve overall operational quality[15]. - The total employee cost for the year was approximately HKD 46,200,000, an increase from HKD 44,200,000 in 2018[38]. Shareholder Information and Equity - As of March 31, 2019, the total number of issued ordinary shares was 740,545,260[97]. - Mr. Shi holds 22,178,000 shares, representing 2.99% of the total shares[95]. - The company has not reported any significant direct or indirect beneficial interests held by directors in any important transactions related to the group's business during the year[88]. Audit and Risk Management - The Audit Committee monitored the financial reporting system, risk management, and internal control systems, ensuring their effectiveness and compliance[179]. - The company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee, with clear written terms of reference[170]. Social Responsibility and Community Engagement - The company actively promotes social value maximization while enhancing its brand image, participating in public cultural activities, and establishing significant memorial parks, such as the "Two Bombs and One Satellite" Memorial Park in Zhejiang[14]. - The company is committed to participating in various social welfare activities, promoting ecological civilization, and implementing green funeral development concepts[23].
安贤园中国(00922) - 2019 - 年度财报