Financial Performance - The group's revenue for the year was HKD 48.0 million, a decrease of 6.6% from HKD 51.4 million in the previous year[8]. - The net loss attributable to the company's owners decreased by 41.8% to HKD 3.2 million from HKD 5.5 million in the previous year[8]. - Basic loss per share was HKD 0.67, a reduction of approximately 40.7% from HKD 1.13 in the previous year[8]. - Revenue from treatment services accounted for over 66.5% of total revenue, with approximately HKD 32.0 million generated from these services[17]. - Other income and net gains increased by approximately HKD 0.3 million or 75.0% to about HKD 0.7 million, mainly due to increased bank interest income[18]. - Employee costs decreased by approximately HKD 2.4 million or 9.3% to about HKD 23.5 million, attributed to reduced performance bonuses due to declining revenue[20]. - The group's total equity as of March 31, 2020, was approximately HKD 30.4 million, down from HKD 55.1 million in the previous year[28]. - Cash and bank balances increased to approximately HKD 42.9 million from HKD 15.9 million in the previous year, indicating a strong liquidity position[28]. - The group did not recommend any dividend payment for the year ended March 31, 2020[27]. Impact of COVID-19 - The COVID-19 outbreak further impacted the group's revenue due to reduced customer willingness to undergo medical skin care treatments[9]. - The business environment is expected to be challenging in the short term due to COVID-19 restrictions impacting non-medical beauty services[109]. - The group plans to continue introducing new services and products to maintain competitiveness and market position despite the ongoing impact of COVID-19[16]. Strategic Initiatives - The group has implemented video consultation services and delivery for skin care and medical products in response to the adverse economic conditions[9]. - The company remains cautiously optimistic about future performance despite the challenging economic outlook for Hong Kong, particularly in the retail sector[10]. - The group aims to explore and launch new services and products to increase market share and identify new business opportunities[10]. Operational Challenges - The group continues to face high operating costs, including rent, employee costs, and inventory costs, amid intense industry competition[8]. - The group faces significant business risks related to the retention of skilled registered doctors and skin care professionals, which could adversely affect financial performance if not managed[39]. - The group is exposed to economic risks, as growth in revenue is highly dependent on sustainable consumer spending on medical skin care services and products[42]. Corporate Governance - The company has adopted the corporate governance code as per GEM listing rules and believes it has complied throughout the reporting period[112]. - The board consists of four executive directors and three independent non-executive directors as of March 31, 2020[114]. - The board of directors is responsible for leading and controlling the group, focusing on overall strategy, approving development plans and budgets, and monitoring financial and operational performance[115]. - The company has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific aspects of its affairs[130]. - The Audit Committee reviewed the consolidated financial statements for the year ended March 31, 2020, and confirmed compliance with applicable accounting standards and GEM listing rules[133]. Environmental Sustainability - The company is committed to environmental sustainability and complies with all relevant environmental protection laws and regulations[54]. - The total greenhouse gas emissions for the group in 2020 were 66,538 kg (CO2 equivalent), a decrease of 10.4% from 74,288 kg in 2019[186]. - The direct emissions from the group's owned vehicles were 2,290 kg in 2020, down from 3,263 kg in 2019, representing a reduction of 29.9%[186]. - The group has implemented measures to reduce paper waste, including setting double-sided printing as the default mode for most network printers[190]. - The group encourages employees to hold meetings via phone or video to reduce carbon footprint[185]. Shareholder Relations - The company has set up multiple communication channels with shareholders, including annual and quarterly reports, announcements, and its website[165]. - Shareholders have the right to propose resolutions at special general meetings, provided they follow the specified procedures[160]. - The company will review and reassess its dividend policy regularly or as needed[164].
密迪斯肌(08307) - 2020 - 年度财报