Financial Performance - The company's revenue for the year decreased to approximately RMB 34.2 million, a decline of about 23.3% compared to RMB 44.6 million in the previous year[10] - Gross profit for the year was approximately RMB 8.6 million, down from RMB 13.2 million in the previous year[10] - The pre-tax loss reduced to approximately RMB 5.5 million, compared to RMB 21.0 million in the previous year[10] - Loss attributable to equity holders of the company was approximately RMB 6.4 million, down from RMB 13.2 million in the previous year[10] - Basic loss per share for the year was RMB 0.22, compared to RMB 0.46 in the previous year[10] - The property development, leasing, and management services segment recorded a profit of approximately RMB 4.8 million, down from RMB 11.2 million in the previous year[12] - Revenue from operations outside mainland China and Russia was RMB 31,298,000 and RMB 2,948,000 respectively, showing a decrease from RMB 44,634,000 in 2020[18] - The gold mining segment recorded a profit of approximately RMB 398,000 for the year, compared to a loss of RMB 628,000 in 2020[17] Equity and Assets - The total equity of the group decreased to RMB 137.9 million[6] - As of June 30, 2021, the segment assets for property development, leasing, and management services were approximately RMB 133.6 million[12] - As of June 30, 2021, the company's cash and cash equivalents were approximately RMB 51,622,000, down from RMB 84,596,000 in 2020[22] - The company has no interest-bearing borrowings as of June 30, 2021, maintaining a net cash position[23] Acquisitions and Investments - The company completed the acquisition of 700 parking spaces in Xuzhou, which is expected to positively contribute to the property management business[7] - The company completed the acquisition of three commercial buildings in Xuzhou for RMB 40 million, enhancing its property management capabilities in China[28] - The company holds a 51% stake in Shangxing Limited, with an investment cost of $13 million, and operates a gold mining project in Russia covering an area of approximately 309.3 square kilometers[15] - The estimated fair value of the Russian gold mine's exploration and mining rights as of June 30, 2021, is approximately RMB 42 million, with a projected gold price range of $1,713 to $1,931 per ounce[17] - The company plans to seek light-asset and potential new investment opportunities in Shenzhen and Guangzhou to join the development of the Greater Bay Area[8] - The company has established subsidiaries in Shenzhen and Guangzhou to explore new investment opportunities in the Greater Bay Area[21] Employee and Compensation - As of June 30, 2021, the group employed a total of 72 employees, down from 87 in 2020[29] - The total employee compensation cost, including directors' remuneration, was approximately RMB 11,291,000, compared to RMB 9,830,000 in 2020, reflecting an increase of about 15%[29] Corporate Governance - The group is committed to achieving statutory and regulatory corporate governance standards, emphasizing accountability, transparency, independence, fairness, and responsibility[49] - The company has adopted the corporate governance code as per Appendix 14 of the listing rules, with the exception of the separation of roles between the Chairman and CEO, which is currently held by Mr. Mu Dongsheng[50] - The board consists of two executive directors and three independent non-executive directors as of June 30, 2021, ensuring a balanced composition with relevant knowledge and experience[53] - The board held a total of 6 meetings during the year, with full attendance from all directors[57] - The company convened two shareholder meetings during the year, including a special meeting on January 25, 2021, and an annual meeting on December 16, 2020[60] - The company is in the process of identifying and appointing a suitable candidate for the CEO position to comply with the corporate governance code[50] - All directors participated in continuous professional development training to update their knowledge and skills[62] - The board has delegated daily operational responsibilities to the executive directors and management while retaining oversight of overall strategy and performance[56] - The company has confirmed that all directors complied with the standards set forth in the trading code for directors during the year[52] - The independent non-executive directors provide independent judgment on strategy, performance, and risk matters, ensuring compliance with listing rules[66] Committees and Meetings - The remuneration committee held two meetings during the year to review the remuneration of the board and senior management, with a 100% attendance rate from all members[1] - The audit committee conducted two meetings to review the annual performance and financial statements, with all members attending both meetings[2] - The nomination committee held one meeting to assess the independence of independent non-executive directors, achieving a 100% attendance rate[3] - The company paid RMB 1,678,000 for audit services to Ernst & Young during the year, with no fees for non-audit services[4] Risk Management - The board of directors is responsible for assessing and determining the nature and extent of risks the company is willing to take to achieve strategic objectives[98] - The internal audit department is responsible for ensuring the effectiveness of governance, risk management, and internal control systems across all departments and subsidiaries[103] - The company encourages a culture of risk awareness and management across all levels of the organization[98] - The board regularly reviews internal control reports to evaluate the effectiveness of the company's risk management and internal control systems[103] - The company has a policy in place for handling and disclosing insider information to prevent misuse[102] Share Capital and Dividends - The board did not recommend the payment of a final dividend for the year ended June 30, 2021, consistent with no dividends in 2020[37] - The total number of issued shares as of June 30, 2021, was 2,894,091,737, following the conversion of redeemable convertible preference shares into 10,000,000 ordinary shares[38] - The major shareholder, Chao Lian Group Limited, held 394,198,376 shares, representing approximately 13.62% of the expanded issued share capital[38] - The company has adopted a dividend policy prioritizing cash distribution to shareholders, with decisions based on financial performance, operational needs, and capital requirements[94] Supplier and Customer Relationships - The largest customer accounted for 44% of the group's total sales, while the top five customers combined represented 61%[122] - The largest supplier contributed to 29% of the group's total procurement, with the top five suppliers together accounting for 80%[122] Compliance and Regulations - The company has been closely monitoring government policies and regulations to assess their impact on business operations[116] - The group faced foreign currency risk due to certain financial assets and liabilities being denominated in foreign currencies, primarily HKD and RUB, but anticipated no significant impact on operating performance from currency fluctuations[34] - The group had no significant future investment plans or anticipated sources of funding as of June 30, 2021[33] - The group had contingent liabilities related to bank financing granted to property buyers amounting to RMB 460,000, a decrease from RMB 2,480,000 in 2020[36] Miscellaneous - The company reported no charitable donations during the fiscal year, consistent with the previous year[135] - The group has no significant events affecting its operations since the end of the fiscal year[114] - The company has a policy of not providing credit terms without special approval from management for transactions not denominated in the functional currency[120] - The company did not acquire, sell, or redeem any of its listed securities during the year[193] - The company has maintained appropriate directors and senior officers liability insurance throughout the year[186] - The company has not disclosed any significant interests held by directors in competing businesses[188] - The company will propose the reappointment of Ernst & Young as its auditor at the upcoming annual general meeting[200]
京维集团(01195) - 2021 - 年度财报