Financial Performance - The company's revenue for the fiscal year ended March 31, 2019, was HKD 206,268,000, an increase from HKD 191,768,000 in the previous year, representing a growth of approximately 7.8%[7]. - The company reported a loss attributable to owners of the company of HKD 37,108,000 for the fiscal year, compared to a loss of HKD 6,756,000 in the previous year, indicating a significant decline in profitability[9]. - Total assets decreased to HKD 443,488,000 as of March 31, 2019, down from HKD 519,463,000 in the previous year, reflecting a reduction of approximately 14.6%[9]. - For the fiscal year ending March 31, 2019, the company's revenue was approximately HKD 206,300,000, an increase of about 7.6% compared to the previous year[20]. - The lending business generated revenue of approximately HKD 60,100,000, a decrease of 2.6% from 2018[21]. - The retail and wholesale business reported revenue of approximately HKD 146,200,000, an increase of 12.4% compared to the same period in 2018[23]. - The company reported a pre-tax loss of HKD 37,256,000 for the year ended March 31, 2019, compared to a loss of HKD 6,233,000 in the previous year[194]. - Total comprehensive loss for the year amounted to HKD 46,460,000, compared to HKD 8,297,000 in the prior year, reflecting a substantial increase in overall losses[183]. - Basic and diluted loss per share was HKD 16.95, compared to HKD 3.08 in the previous year, indicating a worsening financial performance[184]. Business Operations - The lending business generated revenue of HKD 60,100,000, which continues to be a core business for the company, providing stable income[14]. - The company plans to grow its loan portfolio in the coming years, which is expected to contribute to stable income and profitability[16]. - The company has been actively developing its retail and online sales business since 2015, aiming to integrate these operations through e-commerce[14][17]. - The wholesale business has been generating stable income since 2015, contributing positively to the company's financial performance[15]. - The company has established partnerships with major restaurant companies to distribute dining vouchers, which is expected to enhance sales channels and benefit shareholders[15]. - The company anticipates that the e-commerce integration of retail and wholesale operations will become a significant profit center in the future[17]. - The company is exploring suitable investment opportunities to achieve business diversification and expand its operational scope[17]. - The group is primarily engaged in lending, financial instruments, and retail and wholesale businesses[118]. Governance and Compliance - The company has adhered to the corporate governance code as per GEM Listing Rules Appendix 15 throughout the fiscal year ending March 31, 2019[45]. - The board held a total of 3 meetings during the fiscal year, with all executive directors attending all meetings[53]. - The company appointed a new CEO, Ms. Siu Yuhong, effective January 10, 2019, while Mr. Siu Yuen remains as the chairman[47]. - The independent non-executive directors have confirmed their independence according to GEM Listing Rules, ensuring a balanced board structure[55]. - The company has implemented a governance policy that includes regular reviews and recommendations for improvement[49]. - The board is responsible for ensuring compliance with all applicable laws and regulations, enhancing shareholder protection[49]. - The company has established a remuneration committee to oversee director compensation and ensure alignment with performance[57]. - The independent non-executive directors are appointed for a term of one year, automatically renewing unless terminated with three months' notice[58]. - The company has maintained a clear separation of roles between the chairman and the CEO, complying with governance standards[59]. - The company established a remuneration committee consisting of three independent non-executive directors and two executive directors, which held one meeting during the fiscal year ending March 31, 2019[60]. - The audit committee, composed of three independent non-executive directors, held four meetings during the fiscal year ending March 31, 2019, to review the company's annual and interim financial reports[62]. Risk Management and Internal Controls - The board is responsible for the overall internal control system and has established a risk management system to protect shareholders' interests and the company's assets[77]. - The company has established a three-line defense system for risk management, with the first line being operational management responsible for direct risk assessment and mitigation[78]. - An independent third-party internal control consultant is engaged annually to review the internal control system, with no significant control deficiencies identified[79]. - The board and audit committee have confirmed the effectiveness and adequacy of the risk management and internal control systems as of March 31, 2019[79]. - The audit report emphasized the importance of internal controls in preventing significant misstatements due to fraud or error[175]. - The auditors maintained professional skepticism throughout the audit process, identifying and assessing risks of material misstatement[176]. Environmental and Social Responsibility - The company has set annual environmental protection goals and encourages departments to participate in external environmental seminars to enhance awareness[92]. - The company's carbon footprint primarily arises from electricity usage and business travel, with no harmful waste generated from its operations[92]. - The company recognizes employees, customers, suppliers, and business partners as key stakeholders for its success and aims to provide quality products and services[88]. - The company is committed to sustainable development and adheres to environmental protection laws and regulations[87]. - The total electricity consumption for the year ended March 31, 2019, was approximately 1,200,000 kWh, equating to about 9,700 kWh per employee[97]. - The total paper consumption for the office for the year ended March 31, 2019, was approximately 1,520 kg, which is about 12 kg per employee[97]. - The total greenhouse gas emissions for the year ended March 31, 2019, were approximately 756 tons of CO2, with about 868 tons of total emissions[95]. - The company has implemented measures to reduce waste and resource usage, including encouraging double-sided printing and using energy-efficient equipment[96]. - The company promotes environmental awareness among employees and encourages compliance with environmental principles[99]. Employee and Community Engagement - The total employee compensation for the year ending March 31, 2019, was approximately HKD 45,600,000, an increase from HKD 40,000,000 in 2018[32]. - The company has established a competitive compensation policy, with annual reviews and additional benefits such as performance-based bonuses[100]. - The company has maintained a stable employee turnover rate, ensuring satisfactory work performance and productivity levels[102]. - The group reported zero work-related injuries and occupational diseases for the year ending March 31, 2019[106]. - The group has implemented a policy prioritizing internal promotions before external hiring to enhance employee skills and knowledge[107]. - The group encourages employee participation in charitable activities as part of its community investment strategy[113]. Shareholder Information - The board does not recommend any dividend payment for the year ending March 31, 2019[123]. - As of March 31, 2019, the company's reserves available for distribution to shareholders amounted to HKD 386,454,000[128]. - The top five suppliers accounted for approximately 25.7% of the cost of sales for the year ended March 31, 2019, with the largest supplier contributing about 7.3%[132]. - Sales to the top five customers represented around 19.1% of the company's revenue for the year ended March 31, 2019, with the largest customer accounting for approximately 8.8%[132]. - No donations were made by the company during the year ended March 31, 2019, consistent with the previous year[133]. - The total remuneration for the directors during the year ended March 31, 2019, was HKD 310,000, HKD 533,000, and HKD 850,000 for the respective directors[134]. - As of March 31, 2019, the total shareholding of Mr. Siu Yat Man was 83,293,620 shares, representing approximately 38.05% of the company's issued share capital[150]. - As of March 31, 2019, the company had a total of 26,093,500 shares held by China Creative Digital Entertainment Limited, representing approximately 11.92% of the issued share capital[154]. - The company did not purchase, sell, or redeem any of its listed securities during the year ended March 31, 2019[156].
仍志集团控股(08079) - 2019 - 年度财报