Financial Performance - For the nine months ended December 31, 2020, the company reported total revenue of HKD 204,341,000, a decrease of 7.2% compared to HKD 220,123,000 for the same period in 2019[5] - Gross profit for the nine months was HKD 49,342,000, representing an increase of 9.5% from HKD 44,965,000 in the previous year[5] - The company achieved a profit before tax of HKD 20,785,000 for the nine months, up 37.5% from HKD 15,161,000 in the same period last year[5] - The total comprehensive income for the period was HKD 16,918,000, compared to HKD 12,475,000 for the same period in 2019, reflecting a year-on-year increase of 35.5%[5] - Basic earnings per share for the nine months was HKD 4.28, an increase from HKD 3.12 in the previous year, marking a growth of 37.3%[5] - The company reported a net profit attributable to owners of the company of HKD 17,118,000 for the nine months, compared to HKD 12,478,000 in the same period last year, indicating a growth of 37.5%[5] Cost Management - The company’s financing costs decreased to HKD 4,204,000 for the nine months, down from HKD 6,599,000 in the previous year, a reduction of 36.3%[5] - The company’s sales and distribution expenses for the nine months were HKD 11,547,000, a decrease from HKD 13,113,000 in the previous year, reflecting a reduction of 12%[5] - Cost of sales decreased by approximately 11.5% from about HKD 175.2 million to about HKD 155.0 million for the nine months ended December 31, 2020, directly related to the decrease in revenue[45] - Sales and distribution expenses decreased from about HKD 13.1 million to approximately HKD 11.5 million, primarily due to rent reductions related to COVID-19[49] Other Income and Expenses - Other income for the nine months was HKD 2,567,000, compared to HKD 505,000 in the same period last year, showing a significant increase[5] - The group’s interest income from banks for the nine months ended December 31, 2020, was HKD 1,111,000, compared to HKD 1,322,000 for the same period in 2019[33] - The group’s net foreign exchange loss for the nine months ended December 31, 2020, was HKD 3,492,000, compared to a gain of HKD 1,535,000 in the same period of 2019[33] COVID-19 Impact - Revenue decreased by approximately 7.2% from about HKD 220.1 million to about HKD 204.3 million for the nine months ended December 31, 2020, primarily due to the COVID-19 pandemic[44] - The group recognized a reduction in lease payments amounting to HKD 394,500 due to COVID-19 related rent concessions, which were accounted for as variable lease payments[17] - The group has implemented a practical expedient for lease accounting related to COVID-19, allowing for the exclusion of certain rent concessions from lease modification accounting[17] - Other income increased from about HKD 505,000 to approximately HKD 2.6 million, mainly due to government subsidies during the COVID-19 pandemic[47] Corporate Governance - The company confirmed that all information in the report is accurate and complete, with no misleading or fraudulent elements[3] - The audit committee has reviewed the group's unaudited consolidated results for the period and believes they comply with applicable accounting standards and GEM listing rules[83] - The company has adopted a code of conduct for securities transactions by directors, confirming compliance by all directors during the period[80] - The company is committed to high levels of corporate governance to protect shareholder interests and enhance company value[82] Shareholder Information - The company has a total issued share capital of 400,000,000 shares as of December 31, 2020[60] - Major shareholders include Wang Zilu with a 70% stake and Shirz Limited holding 42%[67][68] - The controlling shareholder holds a total beneficial interest of 70% in the company as of the report date[71] - The company's major shareholder holds a total beneficial interest of 70% as of the report date[73] Strategic Initiatives - The company focuses on premium wines priced at HKD 1,000 or above, with a diverse product portfolio including wines, spirits, and accessories[42] - The company believes it can seize opportunities in the wine industry due to increasing consumer interest and the affordability of wine[43] - The company has successfully launched an e-commerce platform to enhance sales of high-end wines priced at HKD 10,000 or above per bottle[56] - The company established an office in Shanghai to expand its business footprint and promote its products through various marketing activities[56] - The company is actively seeking suitable properties for acquisition to increase its storage capacity for products[56] Financing and Capital Management - The company has secured a financing facility with a maximum amount of HKD 110,000,000 for credit and overdraft financing[70] - The financing letter B includes a credit facility with a maximum amount of HKD 30,000,000 and a company credit card with a limit of HKD 100,000[72] - No dividends were declared or proposed for the current period, consistent with the previous year[40] - No stock options have been granted, exercised, cancelled, or lapsed since the adoption of the stock option plan, and there are no unexercised stock options at the end of the period[82] - The company has not purchased, sold, or redeemed any of its listed securities during the period and up to the report date[77] Market Position - The group has a single operating segment focused on the sale and distribution of alcoholic beverages in Hong Kong, with no significant revenue derived from other regions[18] - There were no individual customers contributing more than 10% of the total revenue during the nine months ended December 31, 2020[21] - The group adopted revised Hong Kong Financial Reporting Standards, which did not have any impact on its financial position or performance for the period[16]
威扬酒业控股(08509) - 2021 Q3 - 季度财报