Financial Performance - The company's revenue for the fiscal year ended June 30, 2021, was approximately $12,219,000, a decrease of about 89% compared to $109,386,000 in the previous year[21]. - The gross profit turned from a loss of approximately $1,264,000 last year to a profit of approximately $4,392,000 this year[22]. - The net loss attributable to the company's owners was approximately $2,524,000, significantly reduced from $17,318,000 in the previous year[22]. - Operating expenses decreased by approximately 48% to about $7,734,000 from approximately $14,949,000 last year due to strict cost control measures[22]. - The company generated a cash net inflow from operating activities of $649,000, a decrease of $3,053,000 compared to $3,702,000 in the previous year[21]. - The company recorded other income of approximately $967,000 this year, compared to other losses of approximately $3,228,000 last year[22]. - Revenue from brand products decreased by approximately 100% to about $2,000 compared to approximately $55,369,000 in the previous year[32]. - Revenue from other brand products declined by approximately 89% to about $4,294,000 from approximately $39,740,000 in the previous year[33]. - Revenue from lending services increased by approximately 6% to about $1,163,000 from approximately $1,101,000 in the previous year, with profit rising by approximately 35% to about $993,000[34]. - Revenue from computer software and system development services decreased by approximately 2% to about $6,760,000 from approximately $6,868,000 in the previous year, with profit turning around to approximately $1,153,000[36]. Financial Position - The current ratio improved from 4 to 5.17, indicating better short-term financial health[24]. - The total current assets as of June 30, 2021, were approximately $20,484,000, down from $22,053,000 the previous year[24]. - Cash and bank balance increased from approximately $4,252,000 on June 30, 2020, to approximately $4,784,000 on June 30, 2021[25]. - Total liabilities decreased by approximately $1,231,000 or about 17% from June 30, 2020, totaling approximately $6,223,000 on June 30, 2021[25]. - The capital-to-debt ratio was approximately 16% as of June 30, 2021, compared to about 17% in the previous year[27]. Governance and Compliance - The company has a strong governance structure with independent non-executive directors overseeing audit and remuneration committees[52]. - The independent directors bring a wealth of experience from various sectors, enhancing the company's strategic decision-making capabilities[54]. - The company is committed to maintaining compliance with regulatory standards and improving its corporate governance practices[60]. - The company has complied with listing rules regarding the appointment of independent non-executive directors, ensuring that all independent directors meet the independence criteria as per rules 3.10(1), 3.10(2), and 3.10A[80]. - The audit committee held two meetings this year to review the annual financial performance and compliance procedures, as well as internal controls and risk management systems[89]. - The remuneration committee conducted one meeting to review the company's remuneration policies and the compensation of executive directors and senior management[91]. - The nomination committee held one meeting to assess the composition and independence of the board, as well as the qualifications of retiring directors for re-election[95]. - The company has established a board diversity policy to ensure a mix of skills, professional experience, and backgrounds among board members[85]. - The audit committee is responsible for reviewing the company's corporate governance policies and practices, ensuring compliance with legal regulations and standards[96]. Risks and Challenges - The company will continue to monitor the impact of the COVID-19 pandemic on its financial condition and operating performance[17]. - The board anticipates ongoing uncertainty and challenges in the global economy and retail environment[17]. - The future outlook remains uncertain due to the ongoing COVID-19 pandemic and geopolitical risks, impacting global economic recovery[37]. - The group faces risks related to the ongoing COVID-19 pandemic, which could impact supply chains and consumer demand[123]. Shareholder Information - The company has a total of 714,163,680 shares issued, with Zhang Sanhuo holding 53.83% through a controlled company[152]. - As of June 30, 2021, Zhang Sanhuo holds 16,860,000 shares, representing approximately 1.27% of the company's issued share capital[154]. - Chen Zhuohao holds 19,260,000 shares, which is about 1.45% of the company's issued share capital[154]. - The company has a stock option plan that allows for the issuance of up to 132,670,173 shares, equivalent to about 10% of the issued shares as of the annual general meeting date[160]. - The exercise price for stock options granted under the plan is set at HKD 0.46 per share[157]. - The stock option plan was adopted on November 22, 2013, and is set to expire on November 21, 2023[156]. - The company plans to have one-third of its directors retire at each annual general meeting to enhance corporate governance[151]. - The company has not entered into any service contracts with directors that would prevent termination within one year, excluding statutory compensation[148]. - The company’s stock options can be exercised at any time within a period not exceeding 10 years from the grant date[156]. - The company aims to provide rewards or incentives to directors and qualified employees through the stock option plan[156]. Audit and Financial Reporting - The independent auditor's report confirms that the consolidated financial statements fairly reflect the group's financial position as of June 30, 2021[186]. - The company is responsible for preparing true and fair consolidated financial statements according to Hong Kong Financial Reporting Standards and the Companies Ordinance[197]. - The board must assess the company's ability to continue as a going concern and disclose relevant matters unless liquidation or cessation of operations is intended[197]. - The auditor's goal is to obtain reasonable assurance that the consolidated financial statements are free from material misstatement due to fraud or error[198]. - Reasonable assurance is a high level of assurance but does not guarantee that all material misstatements will be detected[198]. - Material misstatements can arise from fraud or error and may influence economic decisions made by users of the financial statements[198].
松景科技(01079) - 2021 - 年度财报