Financial Performance - The group's revenue for the fiscal year ending April 30, 2024, was HKD 2,687,036,000, a decrease of 4.9% compared to HKD 2,825,994,000 in the previous year due to high base effects from COVID-19 demand [5]. - Profit attributable to equity holders of the company was HKD 101,070,000, down 32% from HKD 149,634,000 after adjusting for government wage subsidies [5]. - Operating profit for the year was HKD 137,422,000, compared to HKD 225,454,000 in the previous year [6]. - Total retail sales revenue reached HKD 2,679,417,000, a decrease from HKD 2,798,792,000 in the previous year, accounting for 99.7% of total revenue [31]. - Revenue from Hong Kong was HKD 2,330,164,000, down from HKD 2,485,838,000, representing 86.7% of total revenue [32]. - Singapore market revenue increased by 7.8% to HKD 311,896,000, with gross profit rising 11.8% to HKD 139,242,000 [33]. - The company reported a net financial expense of HKD 17,653,000 for the year ended April 30, 2024, compared to HKD 11,477,000 in 2023, indicating an increase of 54.0% [133]. - The total comprehensive income for the year ended April 30, 2024, was a loss of HKD 104,166,000, compared to a profit of HKD 176,834,000 for the previous year [140]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.056 per share, totaling HKD 0.112 per share for the year, down from HKD 0.220 per share in the previous year [5]. - The company declared an interim dividend of HKD 0.056 per share, down from HKD 0.12 per share in the previous year, totaling approximately HKD 40,305,000 [37]. - The total dividend for the year is expected to be HKD 0.112 per share, compared to HKD 0.22 per share in the previous year, amounting to approximately HKD 80,610,000 [37]. Cash Flow and Liquidity - Cash and cash equivalents stood at HKD 338,501,000, up from HKD 318,775,000 as of October 31, 2023 [5]. - Cash generated from operating activities for the year was HKD 524,146,000, a decrease from HKD 563,720,000 in 2023 [142]. - The net cash generated from operating activities was HKD 466,692,000, down from HKD 528,887,000 in the prior year [142]. - The company reported a net cash outflow from investing activities of HKD 56,033,000, compared to HKD 24,691,000 in 2023 [142]. - The net cash used in financing activities was HKD 474,433,000, a slight improvement from HKD 519,935,000 in the previous year [142]. - As of April 30, 2024, cash and cash equivalents totaled HKD 338,501,000, down from HKD 402,310,000 at the beginning of the year [142]. Assets and Liabilities - Total assets amounted to HKD 1,742,182,000, while total liabilities were HKD 848,474,000 [6]. - The total number of directly managed stores decreased to 376 from 379, with a net decrease of 3 stores across Hong Kong, Singapore, and Macau [29]. - Total liabilities decreased to HKD 848,474,000 as of April 30, 2024, from HKD 873,035,000 in 2023, a reduction of 2.8% [138]. - The company reported a total of 724,023,000 shares issued, with major shareholders holding significant stakes, including Hiluleka Limited with 324,000,000 shares, representing 44.75% [56]. Strategic Initiatives - The company established a new subsidiary in Japan for producing its own brand of masks, Smile 365 [14]. - The company aims to enhance online and offline sales channels and strengthen customer engagement through digital and social media [14]. - The group entered a strategic investment in the online shopping platform Youhe, enhancing its e-commerce capabilities [15]. - The launch of the new online shopping platform "JHCeshop" in November 2023 aims to provide a more attractive and flexible shopping experience [20]. - The company plans to introduce a one-hour "online order pickup" service by June 2024, leveraging its extensive retail network [20]. - The group is focusing on optimizing supply chain management to improve replenishment efficiency and reduce delivery times [21]. - Continuous development of private label products is prioritized to enhance brand loyalty and product diversification [22]. Corporate Governance - The company has a robust board of directors with extensive experience in retail and management across various regions, enhancing governance and strategic direction [49]. - The board consists of six members, including three executive directors and three independent non-executive directors, ensuring over one-third independence [78]. - The company has adopted the corporate governance code and is committed to maintaining high standards of corporate governance [76]. - The board has established three committees: the Audit Committee, the Remuneration Committee, and the Nomination Committee, to oversee specific company affairs [85]. - The independent non-executive directors have confirmed their independence according to the relevant listing rules [78]. Environmental, Social, and Governance (ESG) Initiatives - The company has established a clear governance framework for environmental, social, and governance (ESG) matters, with a dedicated committee responsible for strategy and performance monitoring [108]. - The greenhouse gas emissions intensity for the reporting market was 3 tons of CO2 equivalent per HKD 1 million in sales, an increase from 2.80 tons in the previous year [110]. - The company aims to reduce greenhouse gas intensity by 10% per million HKD in sales by 2027, using the fiscal year ending April 30, 2022, as the baseline [111]. - The group has been awarded the "Caring Company" logo for 15 consecutive years by the Hong Kong Council of Social Service for its contributions to the community [121]. - The company encourages employees to extend overseas business trips to reduce travel frequency and promote virtual meetings, thereby minimizing greenhouse gas emissions [110]. Employee and Operational Metrics - The total employee cost for the year was HKD 436,746,000, up from HKD 421,958,000 in the previous year [30]. - The company employed approximately 2,127 staff as of April 30, 2024, down from 2,146 staff a year earlier [30]. - The employee turnover rate was 36% for males and 34% for females, with an overall employee count of 2,127 as of April 30, 2024 [114]. - The average number of training hours completed per employee was 3 hours, with 85% of employees receiving training [116]. - The company reported 1,173 lost workdays due to work-related injuries, a significant increase from 292 days in the previous year [115]. Risk Management - The company faces various financial risks, including market risk (foreign exchange risk, cash flow, and fair value interest rate risk), credit risk, liquidity risk, and price risk [198]. - The board confirmed that the risk management and internal control systems are effective and adequate as of the year ending April 30, 2024 [99]. - The company has implemented a formal risk assessment guideline, with senior management identifying and ranking risks annually based on their impact and likelihood [97].
国际家居零售(01373) - 2024 - 年度财报