Financial Performance - Revenue for the year ended December 31, 2024, was HKD 721.1 million, a decrease of 1.1% compared to HKD 728.9 million for the year ended December 31, 2023[4] - Gross profit for the year ended December 31, 2024, was HKD 246.0 million, an increase of 2.2% from HKD 240.6 million for the year ended December 31, 2023[4] - Profit for the year ended December 31, 2024, was HKD 59.1 million, representing a 21.4% increase from HKD 48.7 million for the year ended December 31, 2023[4] - Total customer contract revenue for 2024 was HKD 721,117,000, a decrease of 1.5% from HKD 728,930,000 in 2023[23] - Revenue from Hong Kong increased to HKD 503,715,000 in 2024, up 2.9% from HKD 492,303,000 in 2023[19] - Revenue from Mainland China decreased to HKD 200,455,000 in 2024, down 8.6% from HKD 219,344,000 in 2023[19] - Overall group revenue decreased by HKD 7.8 million or 1.1% to HKD 721.1 million for the year ending December 31, 2024, mainly due to reduced demand in mainland China[55] Profitability Metrics - Gross margin improved from 33.0% for the year ended December 31, 2023, to 34.1% for the year ended December 31, 2024[4] - Net profit margin increased from 6.7% for the year ended December 31, 2023, to 8.2% for the year ended December 31, 2024[4] - Other income and net gains increased by HKD 11.4 million to HKD 17.3 million, primarily due to gains from the sale of assets[59] - The total tax expense for the year was HKD 14,950,000, an increase from HKD 10,287,000 in 2023[28] Assets and Liabilities - Non-current assets as of December 31, 2024, totaled HKD 227.5 million, an increase from HKD 217.7 million as of December 31, 2023[9] - Current assets decreased from HKD 517.5 million as of December 31, 2023, to HKD 452.7 million as of December 31, 2024[9] - Total liabilities increased from HKD 125.9 million as of December 31, 2023, to HKD 144.7 million as of December 31, 2024[10] - Equity attributable to owners of the parent decreased from HKD 590.4 million as of December 31, 2023, to HKD 509.7 million as of December 31, 2024[10] Cash Flow and Capital Expenditure - The group acquired property, plant, and equipment amounting to HKD 24,885,000 in 2024, down from HKD 30,839,000 in 2023[34] - Capital expenditure for the year was HKD 24.9 million, with significant investments in coffee and tea machines, production machinery, and facility upgrades[67] Dividends - The proposed final dividend for 2024 is HKD 2.16 per share, compared to HKD 2.22 per share in 2023, totaling HKD 15,563,000[30] - The special dividend for 2023 was HKD 13.87 per share, totaling HKD 100,000,000, which will not be paid in 2024[30] Employee and Operational Metrics - The group employed 198 staff in Hong Kong and 176 in mainland China as of December 31, 2024, compared to 195 and 203 respectively in 2023[78] - The group reported a decrease in short-term employee benefits to HKD 15,330,000 in 2024 from HKD 15,499,000 in 2023[47] Market Conditions and Strategic Outlook - The company anticipates a challenging business environment in 2025 due to high global coffee prices and market volatility, while focusing on sustainable growth and operational efficiency[54] - The company has implemented a strategic restructuring in mainland China to enhance operational efficiency and has successfully upgraded its SAP system[54] Governance and Compliance - The company has adhered to corporate governance codes, ensuring transparency and accountability to enhance investor confidence[91] - The chairman and CEO roles are held by the same individual, which the board believes aids in executing business strategies efficiently[91] - The board consists of three independent non-executive directors, ensuring a balance of power and adequate protection of shareholder interests[92] - The company has adopted a securities trading code that meets the standards set out in the listing rules, confirming compliance by all directors for the fiscal year ending December 31, 2024[93] Risk Management - The group closely monitors foreign exchange risks, primarily from transactions conducted in currencies other than the functional currency, with most foreign currency procurement transactions denominated in USD[73] - The group has implemented a cash pooling system to manage liquidity risk, ensuring sufficient funds to meet both short-term and long-term liquidity needs[77] Miscellaneous - The group has maintained sufficient public float, with at least 25% of issued shares held by the public as of the announcement date[87] - The group has not engaged in any purchase, sale, or redemption of its listed securities from January 1, 2024, to the announcement date[86] - The group has not identified any significant events that require disclosure from December 31, 2024, to the announcement date[88] - The annual performance announcement and annual report for the fiscal year ending December 31, 2024, will be published on the Hong Kong Stock Exchange and the company's website[95] - The board expresses gratitude to shareholders, customers, and business partners for their unwavering support and contributions to the group's progress[96]
捷荣国际控股(02119) - 2024 - 年度业绩