Financial Performance - For the fiscal year ending March 31, 2019, revenue was approximately HKD 519.5 million, an increase of about 14.9% compared to HKD 452.1 million for the previous year[11]. - Adjusted net profit was HKD 14.7 million, a decrease of 57.9% from HKD 34.9 million in the previous year[13]. - Basic earnings per share were HKD 3.37, down 27.1% from HKD 4.62 in the previous year[13]. - The gross profit decreased to approximately HKD 113.3 million from HKD 115.8 million, a decline of about 2.5 million HKD, equivalent to a decrease of approximately 2.2%[29]. - The profit attributable to the owners of the company was approximately HKD 13.5 million, down about 4.3% from HKD 14.1 million in 2018[29]. - Distribution business revenue increased to approximately HKD 265.3 million, up from HKD 255.4 million, an increase of about HKD 9.9 million, accounting for 51.1% of total revenue[31]. - Retail business revenue rose to approximately HKD 254.2 million, an increase of about HKD 57.5 million from HKD 196.7 million in 2018, representing 48.9% of total revenue[36]. - The group's revenue for the year ended March 31, 2019, was approximately HKD 519.5 million, an increase of about 14.9% compared to approximately HKD 452.1 million for the same period in 2018[50]. - The group's cost of sales for the year was approximately HKD 406.2 million, an increase of about 20.8% from approximately HKD 336.3 million in 2018, with a cost of sales to revenue ratio of approximately 78.2%[51]. - Gross profit for the year was approximately HKD 113.3 million, a decrease of about 2.2% from approximately HKD 115.8 million in 2018, resulting in a gross margin of approximately 21.8%[52]. - Net profit attributable to owners for the year was approximately HKD 13.5 million, a decrease of about 4.3% from approximately HKD 14.1 million in 2018, with an adjusted net profit of approximately HKD 14.7 million[58]. Retail and Distribution Growth - The retail network of Ten Ren Tea grew to 57 stores as of March 31, 2019, up from 49 stores the previous year[11]. - The number of self-operated retail stores increased from 33 to 49 within the fiscal year, reflecting a growth trend in the retail network[33]. - Average same-store sales growth for the retail stores was 0.2% for the fiscal year ending March 31, 2019, with average sales per store reaching HKD 6.05 million[38]. - The average price of beverage products increased from HKD 20.8 to HKD 21.8 per cup, while average daily sales rose from 21,400 to 26,600 cups[39]. - The company aims to strengthen its market position in Hong Kong and expand its product offerings with high-quality brands from around the world[22]. - The company continues to innovate in food retail, introducing more quality brands and products from around the world[21]. - The company plans to introduce new retail brands and enhance customer experience to strengthen its market position in the upcoming fiscal year[49]. - The company aims to expand its brand and product portfolio in the distribution business to maintain competitiveness and provide more choices for customers[49]. Corporate Governance - The board consists of seven members, including four executive directors and three independent non-executive directors[100]. - The company has adopted the corporate governance code principles as per the listing rules since its listing on March 14, 2018[94]. - The company aims to maintain a high level of corporate governance standards to protect shareholder interests[94]. - The board believes that having the same person serve as both chairman and CEO enhances the efficiency and effectiveness of business strategy formulation and execution[94]. - The company has established a risk management system and internal control framework to ensure operational transparency and accountability[98]. - The board is responsible for leading and controlling the company and overseeing the overall management of the group’s business[98]. - The board will periodically review its structure and composition to maintain high corporate governance standards[95]. - The remuneration committee is responsible for establishing a formal and transparent procedure for setting remuneration policies for directors and senior management[107]. - The nomination committee has adopted a diversity policy to promote balanced development, considering factors such as gender, age, and professional experience in board appointments[108]. - The audit committee reviews financial statements and oversees internal control procedures, ensuring compliance with regulations[113]. - The company has organized training for directors to enhance their understanding of corporate governance and their responsibilities under listing rules[104]. - The board has established training programs for the qualifications and competencies of employees involved in accounting and financial reporting functions[126]. - The company has confirmed compliance with the standards of the securities trading code since its listing date[96]. Employee and Stakeholder Engagement - The group employed 805 employees as of March 31, 2019, an increase from 494 employees in 2018, with employee benefit expenses amounting to approximately HKD 98.1 million[72]. - Key stakeholders include shareholders, employees, suppliers, customers, the public, and government agencies, with communication methods such as press releases and annual reports[142]. - The group emphasizes a discrimination-free workplace and offers competitive compensation and benefits, ensuring fair wages and various types of leave for all employees[160]. - The group actively encourages employee participation in charitable activities and community service, aiming to strengthen stakeholder relationships[173]. - The group has established a formal reporting procedure for employees to report any issues without fear of retaliation[163]. Environmental and Social Responsibility - The group emphasizes product quality and compliance with applicable laws and regulations related to food safety and product responsibility[153]. - The group has established a quality assurance team to evaluate food ingredients and ensure compliance with safety standards[155]. - The group encourages suppliers to adopt green operations to minimize environmental impact[149]. - The group aims to balance effective operations with environmental protection while providing sustainable services[148]. - The group has set clear guidelines for maintaining high standards of environmental hygiene in its operations[155]. - The group actively engages with stakeholders to understand their concerns regarding environmental, social, and corporate governance compliance[140]. - The group has implemented a management tool and internal guidelines to ensure strict adherence to relevant laws and regulations[154]. - The group has established a zero-tolerance policy against bribery, extortion, fraud, and has not identified any significant violations related to these issues as of March 31, 2019[158]. - The group has implemented a comprehensive health and safety policy, ensuring compliance with industry standards and providing adequate training for new employees[164]. - The group is committed to reducing greenhouse gas emissions by monitoring energy usage and seeking opportunities for energy savings[174]. - The group has enhanced monitoring procedures for gasoline consumption and disclosed diesel consumption from outsourced logistics services as of March 31, 2019[178]. - The group has adopted a transportation plan with a third-party logistics company to minimize air pollution emissions by ensuring same-day deliveries to nearby locations[178]. - Total greenhouse gas emissions increased by 26% to 2,850.78 tons compared to 2,255.02 tons in the previous year[199]. - Total energy consumption rose by 45% to 3,259,213.70 kWh from 2,248,894.78 kWh year-on-year[199]. - Energy consumption per employee decreased slightly by 0.4% to 4,744.12 kWh per employee from 4,764.61 kWh[199]. - Scope 2 indirect energy emissions increased by 30% to 1,668.32 tons from 1,283.82 tons[199]. - The company aims to enhance energy efficiency by upgrading to high-efficiency appliances and LED lighting systems[180]. - The total amount of packaging materials used increased due to business expansion, although the per unit consumption improved[185]. - The company encourages customers to use reusable cups, offering a discount for those who bring their own[184]. - The company has implemented effective waste management practices, including recycling used cooking oil through a licensed company[186]. - Water consumption is regularly monitored, with measures taken to reduce usage based on analysis of high consumption areas[180].
宾仕国际(01705) - 2019 - 年度财报