Financial Performance - Revenue for FY2021 was HK$530.0 million, a decrease of 7.0% from HK$569.6 million in FY2020[20] - Gross profit decreased by 10.6% to HK$74.8 million, down from HK$83.7 million[20] - Profit for the year significantly increased by 256.5% to HK$73.8 million, compared to HK$20.7 million in the previous year[20] - For FY2021, total revenue was approximately HK$530.0 million, representing a decrease of approximately 7.0% from FY2020's HK$569.6 million[48] - Revenue from environmental hygiene and related services amounted to approximately HK$530.0 million in FY2021, a slight decrease from approximately HK$536.5 million in FY2020[51] - The gross profit decreased from approximately HK$83.7 million in FY2020 to approximately HK$74.8 million in FY2021, with the overall gross profit margin declining from approximately 14.7% to 14.1%[58] - The gross profit of environmental hygiene and related services decreased by approximately 7.0% from approximately HK$80.4 million in FY2020 to HK$74.8 million in FY2021[59] - The Group's profit attributable to owners for FY2021 was approximately HK$73.8 million, representing about 13.9% of total revenue, compared to HK$20.7 million or 3.6% in FY2020, largely due to government subsidies of approximately HK$65.5 million[66] Assets and Equity - Total assets rose by 33.1% to HK$276.5 million, up from HK$207.7 million[20] - Total equity increased by 54.7% to HK$208.7 million, compared to HK$134.9 million in FY2020[20] - As of March 31, 2021, the Group's total current assets were approximately HK$238.0 million, up from HK$173.0 million in the previous year, while current liabilities decreased to approximately HK$52.1 million from HK$59.0 million, resulting in a current ratio of approximately 4.6 times[68] - The Group's total assets as of March 31, 2021, were approximately HK$276.5 million, financed by total liabilities of approximately HK$67.8 million and total equity of approximately HK$208.7 million[69] Contracts and Business Development - The Group secured 15 new contracts and renewed 85 contracts with estimated contract values of HK$27.6 million and HK$773.6 million respectively, achieving a tender success rate of 20.4% and a contract renewal rate of 71.4%[38] - The total estimated value of contracts on hand reached approximately HK$1,408.7 million as of 31 March 2021, with approximately HK$655.5 million being outstanding contract value[38] - The Group is actively exploring horizontal business development opportunities, including potential expansion in geographic coverage and property-related synergized services[29] - The Group is focusing on registering as a supplier to a public health service operator to enhance service quality and create new revenue streams[25] - The Group aims to register as a supplier under public health service operators, which will open new revenue streams and potential customer categories in medical support services[27] Market Outlook - The environmental hygiene services market is expected to grow due to rising hygiene awareness and increased government spending on waste management[24] - The Group is well positioned to cater to the rising demands for environmental and personal hygiene services due to increasing public hygiene awareness[38] - The national government's Outline Development Plan for the Greater Bay Area is expected to bring substantial growth in commercial activities, particularly for technologically advanced hygiene and waste management services[29] - The overall business outlook remains positive in the medium to long term despite current unfavorable market conditions[47] Operating Expenses and Costs - General operating expenses increased by approximately HK$7.2 million, representing a 12.5% increase to approximately HK$65.0 million for FY2021, mainly due to a one-off anti-epidemic allowance of approximately HK$7.5 million paid to staff[61] - The cost of services for FY2021 was approximately HK$455.2 million, representing about 85.9% of the Group's revenue, compared to HK$485.9 million or 85.3% in FY2020[52] - The total staff costs and related expenses for FY2021 were approximately HK$321.3 million, representing a decrease of approximately 1.6% compared to approximately HK$326.6 million in FY2020[77] Governance and Board Structure - The Company has complied with the Corporate Governance Code during the year ended March 31, 2021, except for a deviation noted[111] - The company has adopted the GEM Listing Rules and confirmed compliance with trading standards by all directors for the year ended March 31, 2021[115] - The Board consists of nine members, including four executive directors and five independent non-executive directors, with no changes in composition during the reporting period[120] - The Board has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee, to oversee specific aspects of the company's affairs[119] - All independent non-executive directors have confirmed their independence, and the Board concluded that they are independent, with three possessing appropriate professional qualifications[128] Risk Management - The Board is responsible for the risk management and internal control systems, ensuring an annual review of their effectiveness[200] - The risk management and internal control systems are designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatement or loss[200] - The effectiveness of the Group's risk management systems is reviewed at least annually[200] - The company acknowledges the importance of ongoing oversight of risk management systems[200] Capital Expenditure and Financial Position - Capital expenditure for FY2021 amounted to approximately HK$8.8 million, a significant increase from HK$1.1 million in FY2020, primarily financed by funds generated from operating activities[67] - The gearing ratio was 0.03 times as of March 31, 2021, down from 0.06 times in the previous year, indicating a stable capital structure[75] - The Group did not have any material contingent liabilities as of March 31, 2021, indicating a strong financial position[85] Shareholder Communication - Shareholders can submit inquiries to the Board via written communication or email through the company's website[197] - The company has specific procedures for shareholders to propose new resolutions at special meetings[196] - The main business address for shareholder communications is located in Tsuen Wan, Hong Kong[197]
永顺控股香港(06812) - 2021 - 年度财报