Financial Performance - The total revenue for the year ended September 30, 2019, was approximately HKD 325.2 million, a decrease of about 14.3% from HKD 379.6 million for the year ended September 30, 2018[21]. - Gross profit decreased by approximately 43.1% to HKD 22.8 million from HKD 40.1 million in the previous year, primarily due to project delays and competitive pricing pressures[21]. - The company recorded a net loss of approximately HKD 11.1 million for the year ended September 30, 2019[21]. - The group's revenue decreased due to reduced contributions from foundation and site preparation works, general construction projects, and related consulting services, primarily due to delays in project commencement or progress[30]. - The group recorded a net loss of approximately HKD 11.1 million for the year ended September 30, 2019, compared to a net profit of approximately HKD 10.1 million in the same period of 2018[37]. - Administrative and other operating expenses increased by approximately HKD 4.9 million or 16.3% to about HKD 34.9 million, mainly due to increased legal and professional fees associated with the listing and rising employee costs[34]. - Other income, gains, and losses decreased by approximately HKD 2.1 million to about HKD 2.8 million, primarily due to a reduction in employee compensation insurance claims[33]. - Income tax expenses decreased by approximately HKD 4.5 million to about HKD 0.6 million, mainly due to losses incurred during the year[36]. - Sales costs decreased by approximately HKD 37.0 million or 10.9% to about HKD 302.4 million for the year ended September 30, 2019, driven by the corresponding decrease in revenue[31]. Project and Operational Developments - As of September 30, 2019, the company had 36 ongoing construction projects with a total contract value of approximately HKD 773.0 million, of which about HKD 414.3 million was recognized as revenue[25]. - The company began operations in health management and consulting services in China during the year, aiming to diversify its revenue sources[22]. - The company plans to enhance financial resources and obtain additional qualifications to prepare for bidding on suitable public sector projects[22]. - The company aims to invest in human resources and information systems to strengthen operational capabilities and efficiency[22]. - The overall industry outlook remains challenging, and the company will maintain prudent financial management in project selection and cost control[22]. Human Resources and Employee Management - The total employee cost for the year ended September 30, 2019, was approximately HKD 22.9 million, an increase from HKD 17.7 million in 2018[59]. - The company employed 92 staff members as of September 30, 2019, up from 41 in 2018, primarily due to the expansion of health management and consulting services in China[59]. - The average training hours for employees increased to 14 hours in 2019, compared to 7 hours in 2018[191]. - The company has implemented a comprehensive training program to enhance employee skills and ensure compliance with ISO9001 standards[190]. - The employee turnover rate in Hong Kong was 16% for females in 2019, up from 4% in 2018[184]. - The total number of injuries reported was 4, resulting in an injury rate of 93.02 per 1,000 employees in Hong Kong for 2019[189]. - New hires in 2019 accounted for 35% of total employees in Hong Kong, compared to 20% in 2018[182]. - The male-to-female employee ratio is approximately 2.3:1, down from 3.5:1 in 2018, reflecting the company's commitment to diversity[170]. Corporate Governance - The company has adopted the corporate governance code as per the Listing Rules and has fully complied with it since the listing date[87]. - The board of directors consists of three executive directors and three independent non-executive directors, with independent directors exceeding one-third of the board[93]. - The company has established three board committees: the Remuneration Committee, the Nomination Committee, and the Audit Committee, each with clear written terms of reference[100]. - The company has purchased liability insurance for its directors and senior management to cover any legal liabilities arising from their duties[90]. - The company has a commitment to high levels of corporate governance to maintain stakeholder trust and create long-term value[86]. - The company emphasizes the importance of independent oversight in its governance structure, with independent directors playing key roles in various committees[74][75][78]. - The company has established a risk management and internal control system to safeguard shareholder investments and group assets, with annual reviews conducted by the board[124]. Environmental, Social, and Governance (ESG) Initiatives - The company has committed to transparency in its Environmental, Social, and Governance (ESG) reporting, following the guidelines set by the stock exchange[138]. - The company reported a total greenhouse gas emissions of 28.98 tons in 2019, an increase from 17.4 tons in 2018, attributed to an increase in the number of private cars from 6 to 8[151]. - The company consumed 88,320 kWh of electricity in 2019, a decrease from 110,392 kWh in 2018, resulting in indirect emissions of 58.71 tons compared to 65.32 tons in the previous year[153]. - The company has implemented measures to reduce emissions, including avoiding vehicle use during peak traffic hours and encouraging public transport[147]. - The company engages with stakeholders through various channels, including annual general meetings and regular communications, to assess and improve its ESG performance[141]. - The company has established environmental management practices to promote sustainable development and regularly monitors environmental performance[168]. - The company has not reported any significant violations of environmental laws or labor standards during the reporting period[180]. Community Engagement and Corporate Citizenship - The group actively engages in community investment, contributing to initiatives such as the "Public Dental Day" and the "Food Rescue" program, supporting the recovery and redistribution of safe-to-eat food to those in need in Hong Kong[199]. - The group is committed to exploring additional ways to contribute to the community and promote a healthy and sustainable society[200]. - The group emphasizes environmental responsibility by communicating and highlighting relevant environmental issues to suppliers, reflecting a commitment to corporate citizenship[195]. - The group sponsors research projects at Hong Kong Polytechnic University aimed at developing innovative technologies beneficial to the construction industry[199].
成志控股(01741) - 2019 - 年度财报