Financial Performance - The company's revenue increased from approximately HKD 932.8 million for the year ended March 31, 2020, to approximately HKD 951.2 million for the current year, primarily due to increased revenue from RMAA services[7]. - The profit attributable to shareholders rose from approximately HKD 24.5 million to approximately HKD 34.1 million, mainly due to the increase in other income and a decrease in tax expenses[22]. - The gross profit decreased from approximately HKD 75.2 million to approximately HKD 60.5 million, with the gross profit margin declining from about 8.1% to approximately 6.4%[16]. - Other income, other gains, and losses increased from approximately HKD 0.9 million to approximately HKD 6.8 million, primarily due to increased government subsidies[17]. - Administrative expenses rose from approximately HKD 22.5 million to approximately HKD 24.1 million, mainly due to increased employee costs[18]. - The financing cost for the year was approximately HKD 0.2 million, remaining consistent with the previous year[20]. - The effective tax rate for the year was approximately 16.8%, which is similar to the previous year's rate of 17%[21]. - No final dividend was recommended for the year ended March 31, 2021[23]. Cash and Debt Management - As of March 31, 2021, the group had cash and bank balances of approximately HKD 61.8 million, down from HKD 73.4 million in 2020[24]. - The total interest-bearing borrowings amounted to approximately HKD 7.3 million as of March 31, 2021, compared to HKD 8.9 million in 2020[24]. - The current ratio as of March 31, 2021, was approximately 3.8, an increase from 2.7 in 2020[24]. - The debt-to-equity ratio was approximately 3.3% as of March 31, 2021, down from 4.8% in 2020, due to repayment of bank borrowings and lease liabilities[25]. Human Resources and Management - The total employee cost for the year ended March 31, 2021, was approximately HKD 73.6 million, a decrease from HKD 84.6 million in 2020[37]. - The group had no significant acquisitions or disposals of subsidiaries and associates during the year ended March 31, 2021[32]. - The company has a strong management team with over 26 years of experience in the construction industry, led by senior project manager Mr. Xie[57]. - The financial director, Mr. Kwan, has over 16 years of accounting experience and oversees the company's financial activities, budgeting, and forecasting[58]. - The company emphasizes good corporate governance, adhering to the corporate governance code since its listing, and believes it is essential for effective management and business development[64]. Corporate Governance - The board of directors is composed of both executive and independent non-executive directors, ensuring a balance of power and effective oversight[66]. - The company has established three board committees to supervise specific matters and assist in fulfilling its responsibilities[70]. - The company is committed to maintaining high standards of corporate governance and regularly reviews its governance practices to meet regulatory expectations[65]. - The board believes that the separation of roles between the chairman and the CEO enhances the efficiency of strategy formulation and implementation[67]. - The company has received annual confirmations of independence from its independent non-executive directors, ensuring compliance with listing rules[69]. Risk Management - The company has a structured approach to risk management and compliance, ensuring adherence to legal and regulatory requirements[69]. - The Audit Committee held three meetings during the year, reviewing the group's financial statements and risk management systems[74]. - The company has adopted a three-tier risk management approach to identify, analyze, assess, mitigate, and respond to risks[114]. - The management is responsible for establishing, executing, reviewing, and evaluating a sound internal control system as part of the risk management framework[114]. Environmental, Social, and Governance (ESG) - The environmental, social, and governance (ESG) report covers all subsidiaries in Hong Kong, focusing on building services and maintenance, repair, alteration, and addition (RMAA) services[131]. - The company will continue to assess its business impact on key ESG aspects and expand the scope of reporting to improve transparency[131]. - The company identifies employees, customers, investors, suppliers, and the community as key stakeholders and communicates through various channels[137]. - The company emphasizes compliance with applicable laws and maintaining good relationships with partners to control risks[141]. - The ESG report is prepared according to the guidelines in Appendix 27 of the listing rules, and the company will continue to optimize the disclosure of key performance indicators[132]. Employee Welfare and Safety - The company adheres to local labor laws, including the Employment Ordinance and the Minimum Wage Ordinance, ensuring no child or forced labor is utilized[187]. - The company has implemented policies to ensure workplace safety, including mandatory safety equipment for all workers on construction sites[181]. - The company has received multiple awards for safety performance, including a Silver Award for Best High-Rise Work Safety Performance in 2019[181]. - The employee turnover rate for the total workforce was 74%, with 82% for males and 18% for females[176]. - There was one work-related injury case reported, resulting in 115 lost workdays, with no fatalities[183].
德益控股(09900) - 2021 - 年度财报