Financial Performance - The total revenue for the year ended December 31, 2018, was SGD 109.7 million, an increase of SGD 8.8 million compared to the previous year[6]. - The growth in revenue was primarily attributed to increased sales in the US furniture segment[6]. - The company's revenue for the fiscal year ended December 31, 2018, was approximately SGD 109.7 million, an increase of about 8.7% from SGD 100.9 million in 2017[70]. - Gross profit for the same period was approximately SGD 33.9 million, reflecting a growth of about 5.2% from SGD 32.2 million in 2017[71]. - Profit attributable to shareholders for the fiscal year was approximately SGD 5.7 million, down from SGD 7.0 million in 2017[72]. - The overall gross profit margin decreased from approximately 31.9% in 2017 to about 30.9% in 2018, primarily due to the increased revenue share from the lower-margin U.S. furniture sales segment[84]. - Profit for the year (excluding listing expenses) increased by approximately SGD 1.3 million or 14.7% from SGD 8.5 million for the year ended December 31, 2017, to SGD 9.8 million for the year ended December 31, 2018[90]. - The company incurred expenses related to its listing on the stock exchange, which impacted its profitability for the year[6]. Governance and Board Structure - The company has a strong governance framework aimed at protecting shareholder interests and enhancing corporate value[11]. - The board consists of eight members, including three executive directors and three independent non-executive directors[16]. - The company has adopted the corporate governance code as the basis for its governance practices[11]. - The company has appointed three independent non-executive directors, constituting over one-third of the board, ensuring compliance with listing rules[21]. - The board is responsible for leading and monitoring the company, overseeing operational and financial performance, and ensuring effective internal controls and risk management systems[25]. - The Audit Committee has been established with five members, including independent non-executive directors, to provide independent insights on financial reporting and internal controls[32]. - The Remuneration Committee, consisting of five members, is tasked with reviewing and advising on the remuneration policies for directors and senior management[34]. - The Nomination Committee, also comprising five members, reviews the board's structure and composition annually, ensuring alignment with the company's strategic goals[37]. - The company has adopted a board diversity policy, recognizing the benefits of diverse board members on operational performance[40]. - All directors are required to undergo continuous professional development to maintain their knowledge and skills relevant to their roles[29]. - The company has established a three-year term for directors, with mandatory re-election at the annual general meeting[22]. - The board is responsible for reviewing the effectiveness of the risk management and internal control systems, which aim to manage potential risks rather than eliminate them[48]. - The audit committee is tasked with developing and implementing risk management policies to address operational, credit, and market risks[48]. Shareholder Rights and Engagement - Shareholders have the right to propose independent resolutions at general meetings, ensuring their interests are protected[58]. - The company allows shareholders holding at least 10% of the paid-up capital to request a special general meeting within two months of submission[59]. - The board is not aware of any provisions allowing shareholders to propose resolutions at general meetings under the company's articles of association[60]. - The company typically does not handle oral or anonymous inquiries from shareholders, requiring written queries instead[61]. Market and Operational Insights - The company operates under several brands in the US, including "SIMPLE LIVING," "LIFESTOREY," "TARGET MARKETING SYSTEMS," and "TMS"[5]. - The company anticipates that the projected growth of the online furniture market in the US will drive its development[8]. - Revenue from the U.S. furniture sales segment was approximately SGD 76.5 million, an increase of about 13.7% from SGD 67.3 million in 2017, accounting for approximately 69.7% of total revenue[77]. - The dining furniture sales accounted for over 50% of the U.S. furniture sales segment revenue, with kitchen furniture sales contributing about 20%[78]. - The furniture sales segment in Singapore generated approximately SGD 22.3 million, slightly down from SGD 22.7 million in 2017[81]. - Interior design and renovation services revenue was approximately SGD 10.9 million, remaining stable compared to SGD 11.0 million in 2017[82]. - The company operates as a third-party e-commerce platform furniture seller in the US and a mid-to-high-end furniture retailer in Singapore[136]. Financial Position and Capital Management - Total cash and cash equivalents as of December 31, 2018, were approximately SGD 15.5 million, a decrease from SGD 20.9 million in 2017[73]. - Total debt as of December 31, 2018, was approximately SGD 186,000, up from SGD 53,000 in 2017, primarily due to finance lease obligations[92]. - Total current assets as of December 31, 2018, were approximately SGD 63.4 million, compared to SGD 53.2 million in 2017, while total current liabilities increased to approximately SGD 37.6 million from SGD 29.5 million[92]. - The current ratio as of December 31, 2018, was approximately 1.7, down from 1.8 in 2017[92]. - Employee costs, including directors' remuneration, were approximately SGD 8.7 million for the year ended December 31, 2018, unchanged from 2017[106]. - The company had 142 full-time employees as of December 31, 2018, compared to 130 in 2017[105]. - The debt-to-equity ratio as of December 31, 2018, was approximately 0.7%, up from 0.2% in 2017, primarily due to increased finance lease obligations[94]. IPO and Fund Allocation - The company successfully raised approximately HKD 107.9 million from its IPO by issuing 500 million shares at HKD 0.30 per share[146]. - 62.1% of the raised funds are allocated for inventory procurement in the US furniture sales division[152]. - The company plans to enhance sales and marketing efforts with 8.4% of the funds to improve brand loyalty and recognition[152]. - A total of 1.3 million SGD was spent on acquiring property, plant, and equipment during the year[147]. - The company has opened two new sales points under the brands "OM" and "Lifestorey," with 8.3% of the funds allocated for general working capital[153]. Compliance and Reporting - The independent auditor's report confirms that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2018[199]. - The company has maintained compliance with applicable laws and regulations without any significant violations during the year[192]. - The environmental, social, and governance report will be published within three months after the annual report is released[191]. - Significant events occurring after the reporting period are detailed in the financial statements[194]. - The company has a comprehensive financial report detailing its business activities and future developments in the "Chairman's Report" and "Management Discussion and Analysis" sections[137]. - The company has outlined its major risks and uncertainties in the annual report, specifically in the "Management Discussion and Analysis" section[139]. Management and Team Experience - The executive team has extensive experience in the interior design and furniture industry, with key members having over 20 years of experience[111]. - The financial director has over ten years of experience in finance and accounting, ensuring robust financial reporting and management[114]. - The management team includes members with significant backgrounds in property development and investment, enhancing strategic oversight[117]. - The independent non-executive director has over 20 years of experience in accounting and management, providing independent oversight of the company's operations[121]. - The company continues to monitor its corporate development and strategic planning through its board members' extensive industry experience[117].
设计都会(01545) - 2018 - 年度财报