Financial Performance - The company reported total revenue of HKD 360,402,000 for the year ending June 30, 2024, a decrease of 20.9% from HKD 455,608,000 in the previous year[1]. - The gross loss for the year was HKD 42,757,000, compared to a gross profit of HKD 66,253,000 in the prior year[1]. - The company incurred a loss before tax of HKD 294,149,000, significantly higher than the loss of HKD 102,908,000 reported in the previous year, representing an increase of 186.5%[2]. - The net loss for the year was HKD 300,314,000, compared to a net loss of HKD 115,409,000 in the previous year, indicating a year-over-year increase of 160.5%[2]. - Total comprehensive loss for the year amounted to HKD 305,274,000, compared to HKD 146,771,000 in the previous year, reflecting an increase of 107.5%[4]. - The loss per share for the year was HKD 37.67, compared to HKD 14.39 in the previous year, indicating a significant increase in losses per share[4]. - The company reported a loss attributable to shareholders of approximately HKD 257,302,000 for the year ended June 30, 2024[7]. - The company faced significant challenges leading to a decline in revenue and net income, attributed to a weak macroeconomic environment and specific market dynamics affecting jewelry sales[38]. Assets and Liabilities - The company's non-current assets decreased to HKD 2,595,092,000 from HKD 2,697,577,000, a decline of 3.8%[5]. - Current assets also decreased to HKD 771,813,000 from HKD 1,027,066,000, representing a decrease of 25.0%[5]. - Total liabilities decreased to HKD 995,596,000 from HKD 1,022,162,000, a reduction of 2.6%[6]. - The company's net asset value decreased to HKD 1,980,659,000 from HKD 2,285,933,000, a decline of 13.3%[6]. - Current liabilities exceeded current assets by approximately HKD 223,783,000 as of June 30, 2024[7]. - The company has bank loans classified as current liabilities amounting to HKD 882,506,000, with cash and cash equivalents at HKD 49,156,000[7]. - The total assets of the company as of 2024 were HKD 3,366,905,000, a decrease from HKD 3,724,643,000 in 2023, representing a decline of 9.6%[18]. - Total liabilities decreased to HKD 1,386,246,000 in 2024 from HKD 1,438,710,000 in 2023, a reduction of 3.6%[18]. Revenue Breakdown - The jewelry business generated revenue of HKD 333,897,000 in 2024, down 23.2% from HKD 434,936,000 in 2023[17]. - Property investment and development revenue increased to HKD 22,320,000 in 2024 from HKD 15,659,000 in 2023, a growth of 42.5%[17]. - Revenue from Hong Kong, the registered location, was HKD 40,785,000 in 2024, up from HKD 39,502,000 in 2023, an increase of 3.2%[21]. - Revenue from North America decreased significantly to HKD 115,463,000 in 2024 from HKD 172,309,000 in 2023, a decline of 33.0%[21]. - The jewelry segment's revenue fell by approximately HKD 101 million or 23.2% to HKD 333.9 million, with a loss of HKD 23.7 million compared to a profit of HKD 2.7 million last year[40]. Cash Flow and Financing - The cash and cash equivalents at the end of 2024 were HKD 49,156,000, down from HKD 90,695,000 in 2023, a decrease of 45.8%[18]. - The company plans to sell remaining properties, expecting profits of HKD 60,000,000 and HKD 153,730,000 to cover bank loans classified as current and non-current liabilities respectively[7]. - The company anticipates that other bank loans classified as current liabilities can be repaid on time or renewed after maturity based on past performance[7]. - The company will consider selling listed equity investments and bonds to provide additional operating funds if necessary[7]. - The company has provided guarantees for bank loans to subsidiaries amounting to HKD 843,690,000 as of June 30, 2024[51]. - Bank loans amounted to HKD 1.024 billion, with interest rates ranging from 5.05% to 8.25%[36]. Operational Strategies - The company aims to enhance operations and implement cost control measures to improve cash flow from operating activities[7]. - The company plans to recognize expected revenue from contract liabilities within the next year, amounting to HKD 343,000,000[15]. - The company plans to adopt a more cautious approach in investment and resource allocation, focusing on risk assessment and strategic implementation to mitigate financial performance impacts[43]. Governance and Compliance - The auditor's report on the financial statements for the two years did not contain any reservations or emphasis of matter[9]. - The company has adopted new and revised Hong Kong Financial Reporting Standards effective from July 1, 2023, with no significant impact on its performance or financial position[10]. - The company has established an audit committee to oversee financial reporting and internal controls, composed of four independent non-executive directors[58]. - The company has not established an internal audit function for the year ending June 30, 2024, but believes that the current organizational structure and management oversight provide sufficient internal control and risk management[61]. - All directors confirmed compliance with the standard code of conduct for securities trading as per Appendix C3 of the Listing Rules for the year ending June 30, 2024[62]. Future Outlook - The market outlook remains bleak due to high interest rates impacting consumer spending and investment, potentially hindering economic recovery[42]. - The company will continue to strive to overcome future challenges and enhance business value[65].
恒和集团(00513) - 2024 - 年度业绩