Financial Performance - The group's total revenue for the fiscal year 2019 was approximately HKD 152.7 million, an increase of about 7.1% from HKD 142.6 million in the fiscal year 2018[9]. - The contribution from offset printing accounted for HKD 114.0 million or 74.6% of total revenue, up from HKD 107.8 million in the previous year, representing a growth of 5.8%[12]. - Inkjet printing revenue increased by HKD 5.6 million or 30.7% to HKD 24.0 million, driven by higher demand for inkjet printing services[12]. - The group recorded a net loss of approximately HKD 5.3 million in fiscal year 2019, compared to a net profit of HKD 3.1 million in fiscal year 2018[9]. - The group's gross profit decreased from HKD 35.2 million in FY2018 to HKD 28.3 million in FY2019, with a gross margin decline from 24.7% to 18.6% due to increased paper prices and subcontracting costs, as well as a temporary production line interruption for training related to a new six-color printing machine[14]. Cost and Expenses - The gross profit margin decreased from approximately 24.7% in fiscal year 2018 to about 18.6% in fiscal year 2019, primarily due to rising paper prices and subcontracting costs[9]. - The total cost of sales rose from HKD 107.4 million in fiscal year 2018 to HKD 124.4 million in fiscal year 2019, attributed to increased material and subcontracting costs[13]. - Selling and administrative expenses for FY2019 were HKD 35.9 million, down from HKD 44.3 million in FY2018, but increased by HKD 3.9 million when excluding one-time listing expenses of HKD 12.3 million from FY2018[16]. - The group recorded a net loss of approximately HKD 5.3 million in FY2019, compared to a net profit of HKD 3.1 million (before listing-related expenses) in FY2018, primarily due to increased paper and subcontracting costs and rising administrative expenses[17]. Assets and Liabilities - Inventory decreased from HKD 5.5 million as of March 31, 2018, to HKD 3.3 million as of March 31, 2019, due to improved operational conditions in retail stores and production facilities[18]. - Trade and other receivables increased from HKD 14.1 million to HKD 14.9 million, while trade receivables (net of bad debt provisions) decreased from HKD 12.4 million to HKD 11.7 million, attributed to tightened credit policies[19]. - Cash and cash equivalents significantly decreased from HKD 68.2 million as of March 31, 2018, to HKD 36.5 million as of March 31, 2019, mainly due to payments for listing expenses and the acquisition of a new printing machine[21]. - Trade and other payables decreased from HKD 36.2 million to HKD 21.5 million, primarily due to the payment of listing expenses amounting to HKD 10.2 million[22]. - The group's current assets net value was HKD 30.1 million as of March 31, 2019, down from HKD 48.4 million in FY2018, with a current ratio of 2.19[24]. Corporate Strategy and Future Plans - The company plans to expand its product range using the newly acquired six-color offset printing machine to enhance its service offerings[10]. - The group aims to develop non-paper printing products to meet the growing market demand[10]. - The company will continue to monitor market trends and control operating expenses to maintain profitability and competitiveness[10]. - The group anticipates an increase in the market share of retail channel companies within the Hong Kong commercial printing market in the coming years[10]. Shareholder Information - The board did not recommend the payment of a final dividend for the year ended March 31, 2019[26]. - The company raised a net amount of HKD 24.0 million from the issuance of 225,000,000 shares at HKD 0.23 per share[41]. - As of March 31, 2019, the company utilized HKD 11.3 million of the net proceeds, leaving HKD 12.7 million unutilized[42]. - The company has a total of HKD 14,633,766 in distributable reserves as of March 31, 2019[68]. - Major shareholders include Ms. Xiao Min Yin with 31.16% and Mr. Xie Jia Xuan with 12.75% of the issued shares[86]. Governance and Compliance - The company has established a strong corporate governance framework based on good governance principles as outlined in the corporate governance code[117]. - The board consists of 7 members, including 4 executive directors and 3 independent non-executive directors[120]. - The audit committee confirmed that all continuing connected transactions were conducted on normal commercial terms and did not exceed the disclosed annual caps[99]. - The external auditor issued an unqualified opinion regarding the group's continuing connected transactions, ensuring compliance with GEM listing rules[99]. - The company has adopted a code of conduct for securities trading by directors, ensuring compliance with GEM listing rules[119]. Environmental Impact - In the fiscal year 2019, the company consumed 1,714,482 kWh of electricity, resulting in greenhouse gas emissions of 897 tons of CO2 equivalent, with a carbon intensity of 5.90 tons of CO2 equivalent per HKD 1 million in revenue[177]. - The company aims to reduce its carbon footprint and has taken steps to minimize its negative environmental impact through effective energy use[176]. - The company has adopted environmentally friendly printing methods, such as double-sided printing and black-and-white printing when necessary[180]. - The total amount of non-hazardous waste generated was 197.78 tons of waste paper, which was recycled[182]. - The company has a waste disposal registration certificate under the Waste Disposal (Chemical Waste) (General) Regulation, ensuring compliance with relevant procedures[178]. Employee Relations - The group employed 131 full-time employees in Hong Kong as of March 31, 2019, a slight decrease from 133 in the previous fiscal year[101]. - Employee costs amounted to HKD 32.6 million for the fiscal year, up from HKD 30.0 million in the previous year, reflecting a year-on-year increase of approximately 8.7%[101]. - The company provides statutory holidays, maternity leave, annual leave, and work injury leave to its employees[187]. - The company emphasizes employee training, providing specific training courses for new hires and ongoing training based on regulatory updates[193]. - The company has implemented safety guidelines and provides personal protective equipment to ensure employee health and safety[192].
环球印馆(08448) - 2019 - 年度财报