Financial Performance - The group's revenue decreased from approximately HKD 37.4 million for the year ended June 30, 2023, to approximately HKD 31.3 million for the year ended June 30, 2024[8]. - The group recorded a gross profit of approximately HKD 11.4 million for the year ended June 30, 2024, compared to a gross loss of approximately HKD 3.1 million for the year ended June 30, 2023[8]. - The total profit and comprehensive income for the year ended June 30, 2024, was approximately HKD 3.7 million, a significant improvement from a loss of HKD 23.2 million in 2023[8]. - The net profit for the year ended June 30, 2024, was primarily attributed to the turnaround in gross profit and the reversal of expected credit loss provisions on trade receivables and contract assets[8]. - Total revenue for the year ending June 30, 2024, is approximately HKD 31.3 million, a decrease from HKD 37.4 million in 2023, primarily due to a reduction in large construction and renovation projects[9]. - Gross profit for the year ending June 30, 2024, is approximately HKD 11.4 million, compared to a gross loss of HKD 3.1 million in 2023, attributed to an overall increase in gross profit margin[10]. - Net profit for the year ending June 30, 2024, is approximately HKD 3.7 million, a significant improvement from a net loss of HKD 23.2 million in 2023, driven by the turnaround in gross profit and recovery of expected credit losses[12]. Administrative and Financial Ratios - Administrative expenses for the year ending June 30, 2024, are approximately HKD 11.2 million, slightly down from HKD 11.3 million in 2023[11]. - The current ratio as of June 30, 2024, is approximately 7.8 times, an increase from 7.1 times in 2023, indicating a strong liquidity position[14]. - The debt-to-equity ratio as of June 30, 2024, is approximately 0.3%, down from 0.9% in 2023, reflecting a low level of financial leverage[15]. - The company maintains cash and bank balances of approximately HKD 28.3 million as of June 30, 2024, compared to HKD 33.3 million in 2023[14]. Corporate Governance - The board does not recommend a final dividend for the year ending June 30, 2024, consistent with the previous year[23]. - The board of directors includes three independent non-executive directors, exceeding one-third of the board, in compliance with GEM listing rules[29]. - The independent non-executive directors provide impartial opinions on the company's strategy, performance, and monitoring issues, ensuring the interests of all shareholders are considered[30]. - The company has adhered to all applicable provisions of the corporate governance code, except for a deviation regarding the appointment of a CEO[27]. - The board is responsible for overseeing significant matters, including the approval of overall strategies and monitoring financial performance[28]. - The company has received written confirmations of independence from all independent non-executive directors, affirming their status as independent individuals[30]. - The board consists of experienced individuals, with a balanced skill set that supports the company's business development[30]. - The company emphasizes the importance of good corporate governance practices to maintain stakeholder trust and create long-term value[26]. - The independent non-executive directors possess appropriate qualifications and relevant financial management experience[30]. - The company is in compliance with the GEM listing rules regarding the qualifications of independent non-executive directors, with at least one possessing relevant financial expertise[29]. - The board of directors has adopted a diversity policy, ensuring representation across gender, age, cultural background, and professional experience, with two female directors currently serving[34]. Audit and Compliance - The audit committee was established on December 1, 2017, and is responsible for overseeing the appointment and remuneration of external auditors, as well as reviewing the integrity of financial reports[37]. - The audit committee held meetings with senior management and independent auditors to review the independence of auditors and discuss the group's financial reporting[38]. - The company has confirmed compliance with the GEM Listing Rules regarding securities trading by directors during the reporting period[36]. - The independent auditor's report confirmed that the consolidated financial statements fairly reflect the group's financial position as of June 30, 2024[99]. - The independent auditor's report highlighted key audit matters, including revenue recognition for construction contracts and expected credit loss provisions[101]. - The group has adopted the GEM Listing Rules for securities trading by directors, ensuring compliance with trading standards[98]. Risk Management - The group faces several risks including reliance on successful bidding for non-recurring specialized engineering projects, which may affect revenue generation[60]. - The group's performance is dependent on the trends and developments in the Hong Kong construction industry, as well as the overall economic and political conditions in Hong Kong[60]. - The group is exposed to credit risk from customers, which could negatively affect its liquidity if customers fail to make timely payments[60]. - The group has outlined various uncertainties that could impact its business operations, many of which are beyond its control[60]. - The group’s overall risk management plan focuses on minimizing potential adverse impacts on financial performance due to market unpredictability[169]. Shareholder Communication - The company has established multiple communication channels with shareholders, including printed corporate communications and regular announcements on the stock exchange[49]. - The company encourages feedback from investors and stakeholders to enhance communication and relationships[50]. Stock Options and Capital Management - The group has a stock option plan in place, which allows for the issuance of shares up to a maximum of 10% of the issued shares, subject to shareholder approval[66]. - The stock option plan is valid for ten years from the adoption date, unless terminated earlier by shareholders[68]. - The maximum number of shares that can be issued to any participant under the stock option plan within any 12-month period is limited to 1% of the issued shares[67]. Employee Relations - The company maintains good relationships with employees, emphasizing a competitive compensation structure and performance evaluation[79]. - The company has arranged suitable directors and officers liability insurance for its directors and senior officers for the year ending June 30, 2024[82]. Financial Position and Assets - The financial summary of the group's performance, assets, and liabilities over the past five fiscal years is available in the annual report[62]. - The company’s main business involves investment holding and providing specialized engineering and general construction services in Hong Kong, with no significant changes in the nature of its operations during the year[56]. - The company has no significant capital commitments or major acquisitions as of June 30, 2024[20]. - The company has no distributable reserves as of June 30, 2024, consistent with 2023[74]. Taxation - The company did not incur any income tax expenses for the year[112]. - The group did not incur any tax liabilities for the year ended June 30, 2024, due to sufficient tax losses carried forward to offset taxable profits[186].
WT集团(08422) - 2024 - 年度业绩