Financial Performance - Total revenue for 2020 was HK$902,596,000, an increase of 47.2% from HK$613,410,000 in 2019[7] - Underlying profit for 2020 was HK$44,173,000, a decrease of 65.9% compared to HK$129,581,000 in 2019[7] - Profit for the year was HK$33.8 million, down 77.3% from HK$149.0 million in FY 2018/19[12] - The Group's net profit for FY 2019/20 decreased by approximately 77.3% to HK$33.8 million, down from HK$149.0 million in FY 2018/19[40] - The consolidated gross profit decreased by 17.3% to approximately HK$220.3 million, down from HK$266.4 million in the previous year[41] Revenue Segments - Construction segment revenue reached HK$497,147,000, up 87.5% from HK$264,918,000 in the previous year[7] - Revenue from the construction business increased by approximately 87.7% to HK$497.1 million, driven by a new project at Kai Tak[19] - Revenue from data centre premises leasing decreased by approximately 8.2% to HK$139.8 million due to lower electricity consumption by tenants[23] - Revenue from the data center leasing business decreased by approximately 8.2% to HK$139.8 million from HK$152.2 million in FY 2018/19, a reduction of HK$12.4 million[28] Assets and Liabilities - The total assets of the Group as of 31 March 2020 were HK$9.55 billion, an increase from HK$6.73 billion in 2018[8] - The total liabilities increased to HK$7.14 billion from HK$3.96 billion in 2018, indicating a significant rise in financial obligations[8] - The Group's outstanding bank borrowings as of March 31, 2020, were approximately HK$4,267.8 million, up from HK$3,970.8 million in the previous year[42] Liquidity and Gearing - The current ratio decreased to 1.45 from 2.62 in 2019, indicating a decline in short-term liquidity[7] - Gearing ratio increased to 177.4% from 141.1% in the previous year, reflecting higher leverage[7] - Net gearing ratio improved to 85.7% from 135.3% in 2019, showing a reduction in net debt relative to equity[7] Dividends and Shareholder Returns - An interim dividend of 4.0 HK cents per share was paid on December 16, 2019, and a special interim dividend of 50.0 HK cents per share was declared on March 19, 2020, paid on May 5, 2020[63] - The Board recommends a final dividend of 4.0 HK cents per share, expected to be dispatched to shareholders on August 17, 2020, subject to approval[63] - The Company proposes a bonus issue of shares at a ratio of one new share for every existing share held, pending approval at the upcoming annual general meeting[66] Corporate Governance - The Company has complied with all provisions of the Corporate Governance Code throughout FY 2019/20[125] - The Board has established three committees: Remuneration Committee, Audit Committee, and Nomination Committee, to oversee specific aspects of governance[179] - The independent non-executive directors have confirmed their independence as per the listing rules[95] - The Company has appropriate insurance coverage for directors and senior management against potential liabilities arising from business activities[169] Management and Employees - The company has a strong management team with extensive experience in their respective fields, enhancing its operational capabilities[138] - The Group had a total of 173 employees as of March 31, 2020, with total employee remuneration for the year amounting to approximately HK$131.7 million[55] - The Group's total employer contributions to the Mandatory Provident Fund Scheme during FY 2019/20 amounted to approximately HK$2.67 million[115] Environmental and Social Responsibility - During FY 2019/20, there was no material non-compliance related to air pollution, noise control, or construction waste disposal[79] - The Group's construction and data center leasing segment has established environmental management systems certified to ISO 14001:2004[77] - The Group made donations amounting to HK$16,000 during the year[79] Risk Management - The Board has established a risk management system based on the "Three Lines of Defence" model to manage risks effectively[195] - The Audit Committee reviewed the adequacy and effectiveness of the Group's risk management and internal controls, finding no significant areas of concern[197] - The Group's internal control and risk management systems are designed to provide reasonable assurance against material misstatement or loss, rather than absolute assurance[197] Shareholding Structure - As of March 31, 2020, Mr. Chan Hung Ming holds 478,321,470 shares, representing approximately 67.39% of the company's total issued shares[99] - Mr. Lau Chi Wah owns 53,146,830 shares, which accounts for about 7.49% of the total issued shares[99] - The pledge of 53,146,830 shares held by Lau CW Company Limited to Banco Well Link, S.A. has been released as of the date of the annual report[106] Acquisitions and Investments - The Group completed the acquisition of Grand Victor Enterprise Company Limited for a total cash consideration of HK$18.8 million on January 21, 2020[110] - Grand Victor is primarily an investment holding company with no substantial business other than holding the entire equity interest of Guangxi Jiaming Property Development Co., Ltd., which is engaged in property development in Guangxi Province, Mainland China[114]
佳明集团控股(01271) - 2020 - 年度财报