Financial Performance - Tsit Wing International Holdings Limited reported a revenue of HK$1.2 billion for the fiscal year 2020, representing a year-on-year increase of 15%[4]. - The company achieved a net profit of HK$150 million, which is a 10% increase compared to the previous year[4]. - For the year ended December 31, 2020, the Group recorded total revenue from continuing operations of HK$638.5 million, representing a decrease of HK$146.5 million, or 18.7%, compared to HK$784.9 million in 2019[64]. - Revenue from the beverage solutions segment decreased by HK$142.3 million, or 18.6%, from HK$765.6 million in 2019 to HK$623.3 million in 2020[67]. - The gross profit from continuing operations for the year ended December 31, 2020, amounted to HK$263.1 million, a decrease of HK$46.7 million, or 15.1%, compared to HK$309.8 million in 2019[64]. - The gross profit margin increased from 39.5% in 2019 to 41.2% in 2020[64]. - Revenue generated in Hong Kong decreased by HK$80.3 million, or 16.1%, from HK$499.0 million in 2019 to HK$418.7 million in 2020[70]. - The Group's revenue decreased by HK$146.5 million, or 18.7%, from HK$785.0 million for the year ended December 31, 2019, to HK$638.5 million for the year ended December 31, 2020[88]. - The gross profit decreased by HK$46.7 million, or 15.1%, from HK$309.8 million for the year ended December 31, 2019, to HK$263.1 million for the year ended December 31, 2020[90]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share over the next two years[4]. - The Group will focus on expanding its business in the Greater Bay Area, prioritizing Zhuhai, Zhongshan, Guangzhou, Shenzhen, and Dongguan[42]. - The Group's strategy includes expanding its food business sector, particularly in frozen processed food[41]. - The Group is actively expanding its B2C sales through various offline and online platforms to broaden its clientele base[52]. - The Group aims to strengthen online sales channels in response to changing consumer behavior due to COVID-19[79]. Product Development and Innovation - New product launches are expected to contribute an additional HK$300 million in revenue in the upcoming fiscal year[4]. - The Group launched a new product, "Hong Kong-style" soft drink Salty Lemon Soda, to expand its product portfolio[48]. - The meat processing line is expected to be operational by the first half of 2021, aiming to support the Group's omnichannel customers[41]. - The Group plans to launch a meat processing line by the second half of 2021 to enhance market penetration in food products[77]. Financial Management and Liquidity - The company reported a cash flow from operations of HK$250 million, ensuring strong liquidity for future investments[4]. - The Group's net current assets decreased by HK$1.9 million to HK$401.2 million as of December 31, 2020, primarily due to a decrease in cash and cash equivalents[118]. - As of December 31, 2020, the Group had cash and cash equivalents of HK$276.8 million, a decrease from HK$315.2 million in 2019[119]. - The Group's gearing ratio was 2.2% as of December 31, 2020, compared to 4.8% in 2019, reflecting a reduction in outstanding interest-bearing bank borrowings[121]. - The Group's liquidity management includes maintaining a cash pooling system to ensure adequate funds for short and long-term requirements[131]. Corporate Governance - The company is committed to high levels of corporate governance, emphasizing transparency, independence, accountability, responsibility, and fairness[180]. - The Board has established various committees to manage and oversee specific affairs of the company, delegating day-to-day management to executive Directors and senior management[182]. - The company complied with the code provisions set out in the CG Code for the year ended 31 December 2020, except for code provision A.2.1 regarding the separation of roles of chairman and chief executive[181]. - The Board is responsible for developing strategic directions and continuously monitoring the performance of general management[183]. - The company has a code of conduct and compliance manual applicable to employees and directors, which is regularly reviewed and monitored[192][193]. Human Resources and Staff Management - The Group has not implemented any lay-off plans and has hired more staff to support future business growth, aided by government subsidies[35]. - The company has a strong focus on corporate social responsibility and overall human resources strategy planning[173]. - The independent non-executive directors bring extensive experience in their respective fields, including over 40 years in accounting and auditing, and over 30 years in the insurance industry[157][159]. Future Outlook - The management emphasized a commitment to sustainability, aiming for a 50% reduction in carbon emissions by 2025[4]. - The Board is optimistic about the pandemic ending soon and is preparing for long-term business plans in Hong Kong and the PRC[43]. - The Chairman expresses confidence in the Group's prospects and ability to achieve exceptional milestones in the coming years[44].
捷荣国际控股(02119) - 2020 - 年度财报