Financial Performance - The company's revenue for the year ended March 31, 2021, decreased by approximately 32.0% to about HKD 136.0 million, compared to approximately HKD 200.0 million for the previous year[11]. - Net profit for the year decreased by approximately 59.4% to about HKD 10.8 million, down from approximately HKD 26.6 million in the previous year[11]. - The gross profit decreased by approximately HKD 21.1 million or 31.6% to about HKD 45.7 million, with a stable gross margin of approximately 33.6%[19]. - Other income for the year was approximately HKD 4.4 million, an increase of about 131.6% compared to approximately HKD 1.9 million for the year ended March 31, 2020[20]. - Selling and distribution expenses were approximately HKD 21.8 million, a decrease of about 7.2% from approximately HKD 23.5 million for the year ended March 31, 2020[22]. - Administrative expenses increased by approximately 17.4% to about HKD 15.5 million, up from approximately HKD 13.2 million for the year ended March 31, 2020[23]. - The group reported a net profit attributable to owners of approximately HKD 10.8 million, a decrease of about 59.4% from approximately HKD 26.6 million for the year ended March 31, 2020[26]. Business Operations - The company acquired two new prepaid products for sale during the year and obtained an additional thirteen products after March 31, 2021[11]. - The company plans to expand its sales network and increase the number of retailers to capture a larger market share among Indonesian and Filipino users[12]. - The company is negotiating with suppliers for more procurement discounts to mitigate the impact of the COVID-19 pandemic[12]. - The company opened two new self-operated retail stores in Mong Kok and Causeway Bay, bringing the total to seven self-operated stores[11]. - Sales to wholesalers and retailers decreased by approximately HKD 52.3 million, while sales from self-operated stores decreased by approximately HKD 11.7 million due to reduced visitor numbers[18]. - The company aims to provide efficient and convenient services to customers while complying with new regulatory requirements[12]. Financial Position - Inventory increased to approximately HKD 118.9 million, up from approximately HKD 68.9 million, representing an increase of about 50.0 million HKD[27]. - Current assets net value was approximately HKD 137.7 million, an increase from approximately HKD 129.1 million as of March 31, 2020[32]. - The current ratio increased from approximately 3.7 times to about 5.1 times due to inventory and other receivables increases[32]. - The group had bank and other borrowings of approximately HKD 18.9 million, compared to none as of March 31, 2020[33]. - The effective tax rate for the year was approximately 13.4%, down from approximately 16.4% for the year ended March 31, 2020[25]. Corporate Governance - The company is focused on maintaining high standards of corporate governance, as evidenced by the composition of its audit and remuneration committees[65]. - The independent directors bring a wealth of experience from various sectors, including finance, banking, and investment management, which supports strategic decision-making[61]. - The company has adopted the principles and code provisions of the Corporate Governance Code as the basis for its corporate governance practices[73]. - The board believes that it has complied with all applicable code provisions throughout the year ended March 31, 2021[74]. - The company has established written guidelines for employees regarding securities trading, ensuring compliance with the standard code for directors[75]. - The board consists of a balanced mix of executive, non-executive, and independent non-executive directors, ensuring effective oversight of the company's business[80]. Risk Management - The company faces significant risks related to customer concentration, where any loss of business from major customers could adversely affect operations and financial condition[161]. - The company also faces risks from supplier concentration, where any loss of business from key suppliers could negatively impact operations and financial condition[162]. - The board is responsible for preparing the financial statements for the year ended March 31, 2021, and has not identified any significant uncertainties affecting the company's ability to continue as a going concern[137][138]. - The company has implemented various policies to ensure effective risk management across operational, financial reporting, and compliance areas[130]. - An independent professional advisor has been appointed to conduct regular reviews of the risk management and internal control systems, with reports submitted to the audit committee at least annually[130]. Shareholder Information - The company declared a special dividend of HKD 0.1 per ordinary share on March 26, 2020, which was paid on April 27, 2020[164]. - The board does not recommend a final dividend for the year ending March 31, 2021[165]. - The company's distributable reserves as of March 31, 2021, amounted to HKD 66,184,000[179]. - The largest customer accounted for approximately 12.8% of total sales for the year, down from 16.7% in the previous year, while the top five customers represented 25.7% of total sales, down from 37.6%[184]. - The largest supplier accounted for approximately 75.5% of total purchases, an increase from 69.9% in the previous year[184].
恒月控股(01723) - 2021 - 年度财报