Store Operations and Expansion - The company operates a total of 227 stores, including 17 self-operated stores in Singapore and 120 non-self-operated stores in Indonesia, reflecting a decrease of 21 stores compared to the previous year due to pandemic-related restrictions[14] - The company plans to continue expanding its network of self-operated and non-self-operated stores in Singapore and West Malaysia, as well as renovating existing locations and enhancing its IT systems[9] - The company aims to expand into multiple overseas markets and strengthen marketing efforts to attract a diverse customer base[37] Sales and Revenue - Revenue sources include sales from stores, ingredient sales to franchisees, franchise fees, royalties, and advertising income[16] - Total revenue decreased from approximately 24.3 million SGD in 2020 to about 21.5 million SGD in 2021, representing a decline of approximately 12%[19] - Sales from franchisees decreased significantly, with a drop of about 2.6 million SGD or 66% from Indonesia and a decrease of about 2.5 million SGD or 22% from Malaysia[19] - A significant portion of the company's revenue is derived from franchising and licensing models, particularly in Singapore and West Malaysia[124] - The company may experience revenue fluctuations due to delays or cancellations of significant sales orders from franchisees[125] Financial Performance - Gross profit for the year was approximately 13.1 million SGD, down about 14% from 15.4 million SGD in 2020, primarily due to reduced sales volume caused by the COVID-19 pandemic[23] - The cost of goods sold decreased in line with revenue decline, maintaining a stable gross margin of 61-63%[22] - Employee costs increased from approximately 4.8 million SGD in 2020 to about 6.4 million SGD in 2021, an increase of about 1.6 million SGD to support expansion plans[25] - Cash and cash equivalents increased to approximately 25.4 million SGD in 2021 from about 21.6 million SGD in 2020, an increase of about 3.8 million SGD[27] - The current ratio was approximately 6.6 times in 2021, down from 7.0 times in 2020[27] Corporate Governance - The company has maintained compliance with all provisions of the corporate governance code during the year[54] - The board of directors is responsible for leading and controlling the company, ensuring objective decision-making in the best interest of the company[56] - The company emphasizes high levels of corporate governance to protect shareholder interests and ensure sustainable development[53] - The board regularly reviews and adheres to corporate governance policies to ensure compliance with the code[55] - The company has established various board committees with specific responsibilities to enhance governance practices[56] Risk Management and Challenges - The company maintains a cautious optimism regarding recovery from the pandemic, despite ongoing challenges and fluctuating infection rates in various countries[7] - The company is cautious about the ongoing impact of the COVID-19 pandemic and other market uncertainties on its operations and revenue[37] - The company faces risks related to potential negative reviews from food critics, which could adversely affect its business operations and brand reputation[124] - The company relies on major franchisees and licensed operators for revenue, and any disruption in these relationships could adversely affect financial performance[127] Shareholder and Stakeholder Engagement - The company expresses gratitude to stakeholders for their trust and support during challenging times[10] - The board emphasizes the importance of maintaining transparent and timely communication with shareholders to build investor confidence[107] - The company has implemented a policy for handling and disclosing inside information to ensure accuracy and timeliness of public disclosures[101] Audit and Financial Reporting - The independent auditor Mazars LLP was paid a total of 158,000 for annual audit services in the current year[97] - The audit committee reviewed the financial statements and the independence of external auditors, ensuring compliance with accounting standards and risk management[86] - The company’s financial statements have been audited and reviewed by the independent auditor, ensuring compliance with accounting principles[181] - The audit process involved identifying and assessing risks of material misstatement and designing appropriate audit procedures[199] Dividend Policy - The company has adopted a dividend policy, proposing to distribute no less than 40% of net profit as dividends, subject to board discretion and shareholder approval[115] - The company has implemented a review process for its dividend policy, with no guarantee of dividend payments in any specific period[116] - The company’s board will decide on the payment of dividends based on factors such as operational performance, cash flow, and capital requirements[115] - The company has no plans to declare any final dividends for the fiscal year[138] Share Options and Management - The total number of options that can be granted under the share option scheme is capped at 80 million shares, representing 10% of the total issued shares as of the report date[147] - The maximum rights granted to any qualified person cannot exceed 1% of the total issued shares unless approved by shareholders[148] - The exercise period for stock options is within ten years from the grant date, subject to early termination provisions[149]
快餐帝国(01843) - 2021 - 年度财报