Financial Performance - The total revenue from hotel operations for the year was approximately HKD 57.6 million, representing an increase of about 4.3% compared to the previous fiscal year[7]. - The company reported a loss attributable to owners of approximately HKD 48.2 million, primarily due to the adverse impact of the COVID-19 pandemic on hotel operations, bad debt asset losses, and losses from an associated company[7]. - The company reported a loss attributable to shareholders of approximately HKD 48.2 million for the year, a decrease of about HKD 19.3 million or 28.6% compared to a loss of HKD 67.5 million in 2019[14]. - Basic loss per share for the year was approximately HKD 1.381, down from HKD 1.935 in 2019[15]. - The company recorded a loss from bad debt assets of approximately HKD 14.6 million, an improvement from a loss of HKD 17.5 million in 2019[21]. - The group reported a loss of HKD 48,302,876 for the year ended December 31, 2020, with current liabilities netting HKD 207,298,477[68]. - The company recorded a net loss of approximately HKD 67.6 million for the year ended December 31, 2019, with current liabilities totaling about HKD 352.9 million, exceeding the net asset value of approximately HKD 227.1 million[27]. Hotel Operations - The Singapore hotel continued to be the main source of revenue for the company during the fiscal year[12]. - Room revenue for the year was approximately HKD 39.7 million, accounting for about 68.9% of total hotel operating revenue, compared to 75.0% in 2019[16]. - The average room rate decreased to HKD 404.0 from HKD 555.5 in 2019, while the occupancy rate improved to 75.4% from 65.0%[18]. - Food and beverage revenue increased to approximately HKD 13.5 million, representing about 23.5% of total hotel operating revenue, up from 12.3% in 2019[18]. - Rental income from hotel tenants was approximately HKD 2.9 million, down from HKD 5.8 million in 2019, accounting for about 5.0% of hotel business total revenue[19]. - The company is focused on managing its hotel operations and developing the Bintan resort according to its overall development plan[12]. - The company remains optimistic about the recovery of the hotel business post-COVID-19 and aims to enhance overall asset returns and corporate value[8]. COVID-19 Impact - The development of the Bintan resort project has been delayed until the end of 2022 due to ongoing supply chain disruptions caused by the COVID-19 pandemic[7]. - The company acknowledges the challenges posed by the COVID-19 pandemic but believes that the situation will gradually improve with global vaccination efforts[8]. - The COVID-19 pandemic has impacted the company's hotel operations in Asia, but management believes that conditions will gradually improve post-vaccination, and long-term effects on the hotel business will be minimal[85]. - The company was repurposed as a quarantine hotel starting April 16, 2020, providing accommodation for individuals needing a 14-day quarantine[151]. - The company has secured a government contract for its hotel in Singapore to be used as COVID-19 quarantine accommodation, with the latest contract extended until mid-May 2021[134]. - The company plans to continue applying for COVID-19 related subsidies in Singapore and Japan, which will help reduce operational costs[134]. Governance and Management - The board of directors consists of eight members, including two executive directors and three independent non-executive directors, ensuring a diverse governance structure[91]. - The company has adhered to the corporate governance code as per GEM listing rules, confirming the independence of its non-executive directors[92]. - The management team is responsible for daily operations and implementing strategies set by the board[99]. - The company has not appointed a CEO this year, with responsibilities assumed by board members to ensure a balanced distribution of power and authority[100]. - The audit committee reviewed the auditor's opinion regarding the group's ability to continue as a going concern and agreed on the action plan to address the audit's reserved opinion[77]. Employee and Training - The company emphasizes the importance of employee health and safety, conducting regular risk assessments to identify potential hazards in the workplace[170]. - The company has a commitment to health and safety training for all employees, ensuring compliance with guest expectations during the pandemic[151]. - Total training hours provided to employees in 2020 amounted to 1,337.1158 hours, compared to 1,337.1158 hours in 2019[164]. - The company has implemented a performance appraisal system at least once a year to evaluate employee performance and facilitate career development[165]. - The company emphasizes integrity, honesty, and fair competition as core values, with measures outlined in the employee handbook to combat corruption and bribery[179]. Sustainability and Environmental Impact - Total greenhouse gas emissions (Scope 1 and Scope 2) decreased from 1,103.93 tons in 2019 to 931.45 tons in 2020, representing a reduction of approximately 15.6%[197]. - Total water consumption decreased from 18,958.60 cubic meters in 2019 to 14,663.80 cubic meters in 2020, reflecting a reduction of approximately 22.5%[199]. - The total amount of non-hazardous waste generated decreased from 184.91 tons in 2019 to 102.16 tons in 2020, a reduction of about 44.8%[198]. - The company has implemented energy-saving measures, including setting air conditioning temperatures between 25°C and 27°C and using sensor lighting in ceilings[199]. - The company actively encourages employees to use recycled paper for printing and photocopying, promoting sustainable practices[199]. Financial Management - The company has implemented risk management measures to mitigate operational and financial risks, including monitoring macroeconomic conditions and operational costs[44]. - The group has taken measures to improve liquidity and financial condition, including negotiating with banks to defer principal repayments and applying for government-supported low-interest loans in Japan[79]. - The company has successfully negotiated with its main lending banks to defer principal repayments on installment loans to between February and June 2021[134]. - The company plans to delay the completion of its resort project until the end of 2022 due to financial constraints and the ongoing impact of the COVID-19 pandemic[20]. - The company has raised approximately HKD 25 million from the issuance of new convertible bonds to support operations[79].
华星控股(08237) - 2020 - 年度财报