Financial Performance - Revenue for the year ended December 31, 2019, was HK$808,599,000, a decrease of 8.7% compared to HK$885,971,000 in 2018[25]. - Gross profit for 2019 was HK$191,053,000, down 12.7% from HK$218,733,000 in 2018[25]. - Profit before income tax decreased by 51.0% to HK$24,311,000 in 2019 from HK$49,639,000 in 2018[25]. - Profit for the year was HK$22,357,000, representing a 47.2% decline compared to HK$42,378,000 in 2018[25]. - Basic earnings per share dropped to 2.24 HK cents in 2019, down 47.2% from 4.24 HK cents in 2018[25]. - The final dividend per share was reduced to 0.80 HK cents in 2019 from 1.80 HK cents in 2018, marking a 55.6% decrease[25]. - The gross profit margin for 2019 was reported at 23.7%[34]. - The net profit margin for 2019 was 2.8%[34]. - Revenue for the year ended December 31, 2019, decreased by 8.7% to HK$808.6 million compared to the same period in 2018[116]. - Profit attributable to owners of the Company recorded a 47.2% decrease to HK$22.4 million for the year[116]. Market and Operational Challenges - The company faced significant challenges due to international relations and macroeconomic factors, leading to a notable drop in sales demand, particularly from the US market[39]. - The company experienced strategic delays and cancellations of projects, particularly in the European market, impacting overall sales performance[39]. - The recent coronavirus outbreak has introduced uncertainties in the global economy, affecting the EMS industry and leading to a temporary decrease in production at the Group's facilities in Guangzhou, China[51]. - The slowdown in revenue was attributed to reduced sales orders from Europe and the US due to trade frictions and a deteriorating global economic environment[129]. - The Group's production facilities in the PRC experienced a temporary decrease in production due to COVID-19 related travel restrictions and extended public holidays[122]. Strategic Initiatives and Future Plans - The company aims to capture global demand for innovative products in the new smart economy[4]. - The Group plans to implement an "Internationalisation" strategy to enhance production flexibility in regions such as Europe and Southeast Asia, potentially eliminating extra tariffs on imports to the US[42]. - An assembly factory is being established in Waterford, Ireland, along with a larger-scale plant in Rayong, Thailand, with a strong focus on cost controls, particularly in material and labor costs[42]. - The Group anticipates significant growth opportunities from the demand for electronic devices supporting 5G ecosystems, such as smart chargers and smart electric vehicles[47]. - The Group plans to focus on improving productivity and cost efficiency while seeking expansion opportunities despite a deteriorating macroeconomic environment[195]. - The Group will continue to invest in sales and marketing to explore new business opportunities despite adverse economic conditions[195]. Corporate Governance and Management - The Company complied with all code provisions in the CG Code during the year ended 31 December 2019[199]. - The Board conducts at least four regular Board meetings in a year to ensure effective governance[200]. - The Board is responsible for formulating strategic objectives and overseeing significant operational and financial matters, including mergers and acquisitions[199]. - Comprehensive information is provided to Directors in a timely manner to facilitate discussion and decision making at Board meetings[200]. - The Company is committed to ensuring a quality board and transparency to shareholders[199]. - The management team is committed to enhancing corporate governance and financial oversight within the Group[106]. Employee and Social Responsibility - The Group recognizes employees as valuable assets and regularly reviews staff benefits for improvement[176]. - The Group is committed to minimizing environmental impacts from its operational activities[176]. - The Group complies with all relevant laws and regulations in Hong Kong and applicable PRC labor laws during FY2019[176]. - Trio Industrial Electronics Group Limited is committed to being socially and environmentally responsible to all stakeholders[4].
致丰工业电子(01710) - 2019 - 年度财报