HM INTL HLDGS(08416) - 2024 - 年度业绩

Financial Statements Consolidated Statement of Profit or Loss and Other Comprehensive Income The company shifted from a profit of HK$6.484 million in 2023 to a loss of HK$9.91 million in FY2024, primarily due to an 11% revenue decline and increased administrative expenses Key Profit or Loss Data for FY2024 | Metric | 2024 (HK$'000) | 2023 (HK$'000) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 158,890 | 178,624 | -11.0% | | Gross Profit | 56,876 | 62,757 | -9.4% | | (Loss)/Profit Before Tax | (10,065) | 6,545 | Shifted from Profit to Loss | | (Loss)/Profit for the Year | (9,910) | 6,484 | Shifted from Profit to Loss | | (Loss)/Profit Attributable to Owners of the Company | (7,720) | 6,265 | Shifted from Profit to Loss | | Basic (Loss)/Earnings Per Share (HK cents) | (1.90) | 1.56 | Shifted from Profit to Loss | Consolidated Statement of Financial Position As of year-end 2024, the group's total assets decreased to HK$121.6 million and net assets to HK$72.53 million, with cash balances declining, while non-current liabilities significantly increased due to new lease liabilities Key Balance Sheet Data as of Year-End 2024 | Metric | 2024 (HK$'000) | 2023 (HK$'000) | YoY Change | | :--- | :--- | :--- | :--- | | Non-current Assets | 24,539 | 11,596 | +111.6% | | Current Assets | 97,028 | 129,553 | -25.1% | | Total Assets | 121,567 | 141,149 | -13.9% | | Current Liabilities | 36,117 | 50,593 | -28.6% | | Non-current Liabilities | 12,922 | 712 | +1714.9% | | Net Assets | 72,528 | 89,844 | -19.3% | | Cash and Bank Balances | 64,603 | 90,576 | -28.7% | Notes to the Consolidated Financial Statements The notes detail accounting policies, revenue composition, segment information, and key financial items, showing revenue primarily from integrated printing services, a single operating segment in Hong Kong, and no final dividend for 2024 Revenue Analysis Total revenue for 2024 decreased by 11% to HK$158.9 million, driven by a 13.5% decline in financial printing services, partially offset by a 12.6% increase in marketing collateral printing services Revenue Composition (by Service Type) | Service Type | 2024 (HK$'000) | 2023 (HK$'000) | YoY Change | | :--- | :--- | :--- | :--- | | Financial Printing Services | 114,855 | 132,778 | -13.5% | | Marketing Collateral Printing Services | 30,431 | 27,033 | +12.6% | | Other Services | 13,604 | 18,813 | -27.7% | | Total | 158,890 | 178,624 | -11.0% | Segment Information The group operates solely in integrated printing services, with most revenue and assets derived from Hong Kong, and no single customer contributing over 10% of total revenue - The Group has identified its sole operating segment as providing integrated printing services[20] - The majority of the Group's revenue, assets, and liabilities are derived from and located in Hong Kong[21] - No single customer contributed more than 10% of the Group's total revenue in either 2024 or 2023[22] Dividend Policy The Board does not recommend a final dividend for the year ended December 31, 2024, contrasting with a 2.0 HK cents per share dividend in 2023 - The Directors do not recommend a final dividend for FY2024, compared to 2.0 HK cents per share paid in 2023[26] Loss/Earnings Per Share Basic loss per share was 1.90 HK cents in 2024, compared to basic earnings of 1.56 HK cents in 2023, with diluted loss per share being the same due to anti-dilutive effects Loss/Earnings Per Share (HK cents) | Metric | 2024 (HK cents) | 2023 (HK cents) | | :--- | :--- | :--- | | Basic (Loss)/Earnings Per Share | (1.90) | 1.56 | | Diluted (Loss)/Earnings Per Share | (1.90) | 1.52 | Management Discussion and Analysis Business Review and Outlook In 2024, the company faced challenges from economic uncertainty and digital shifts, resulting in an 11% revenue decline and a shift from profit to loss, prompting a strategic focus on digital transformation, operational streamlining, and cost reduction for 2025 recovery - In 2024, the company's business faced dual challenges from economic uncertainty and clients shifting to digital solutions, resulting in a 3.7% decrease in completed jobs and an approximate 11% decline in sales revenue[35] - The company shifted from a profit of HK$6.3 million in 2023 to a loss of HK$7.7 million in 2024[35] - Future strategy focuses on accelerating digital service transformation to meet market trends, streamlining operations, and reducing fixed costs, with 2025 anticipated as a turning point for recovery[36] Financial Review The company's financial performance significantly declined this fiscal year, with an 11% revenue drop and 9.4% gross profit decrease, leading to a HK$9.9 million after-tax loss due to increased administrative expenses from one-off office relocation costs and goodwill impairment Revenue Analysis Total revenue decreased by 11% to HK$158.9 million, primarily due to a 13.5% decline in financial printing services (HK$17.9 million) and a 27.7% decrease in other services (HK$5.2 million) - Revenue for the reporting period was approximately HK$158.9 million, a decrease of about 11% from HK$178.6 million in the prior year[37] - The revenue decline was primarily attributable to a 13.5% decrease in financial printing services (approximately HK$17.9 million) and a 27.7% decrease in other services (approximately HK$5.2 million)[37] Gross Profit and Gross Profit Margin Gross profit decreased by 9.4% year-on-year to HK$56.9 million due to reduced revenue, while the gross profit margin slightly increased from 35.1% to 35.8% Gross Profit and Gross Profit Margin Performance | Metric | 2024 | 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Gross Profit (HK$ million) | 56.9 | 62.8 | -9.4% | | Gross Profit Margin | 35.8% | 35.1% | +0.7pp | Expenses Analysis Selling expenses decreased by 12.7% with revenue, but administrative expenses rose 11.4% to HK$53.9 million due to a one-off HK$3.2 million office relocation cost, and finance costs also increased from higher lease liabilities - Selling expenses decreased by 12.7% to HK$10.5 million, primarily due to reduced employee benefit expenses directly related to revenue[41] - Administrative expenses increased by 11.4% to HK$53.9 million, mainly due to a one-off office relocation expense of approximately HK$3.2 million[42] Profit/(Loss) for the Year The company shifted from a HK$6.5 million profit in 2023 to a HK$9.9 million loss in 2024, primarily due to reduced revenue, a one-off HK$3.2 million office relocation expense, and a HK$3.1 million goodwill impairment loss - The Group shifted from profit to loss, primarily attributable to: 1. Reduced revenue compared to the previous year 2. A one-off office relocation expense of approximately HK$3.2 million 3. A goodwill impairment loss of approximately HK$3.1 million[46] Liquidity and Capital Resources As of year-end 2024, the group's financial resources weakened, with cash and bank balances decreasing to HK$64.6 million; despite a stable current ratio, total lease liabilities significantly increased to HK$17.2 million, causing the gearing ratio to sharply rise from 8.4% to 24.8% Key Liquidity and Capital Resources Metrics | Metric | December 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and Bank Balances | HK$64.6 million | HK$90.6 million | | Current Ratio | 2.7 times | 2.6 times | | Total Lease Liabilities | HK$17.2 million | HK$6.5 million | | Gearing Ratio | 24.8% | 8.4% | Employees and Remuneration Policy As of year-end 2024, the group's total employees decreased from 170 to 155, mainly in Hong Kong and Singapore, with total staff costs falling from HK$71.1 million to HK$68.4 million, while the company utilizes share option and award schemes for talent retention Employee Headcount Distribution | Region | 2024 | 2023 | | :--- | :--- | :--- | | Hong Kong | 117 | 130 | | China | 9 | 9 | | Taiwan | 20 | 18 | | Singapore | 9 | 13 | | Total | 155 | 170 | - Total staff costs (including Directors' emoluments) for 2024 were approximately HK$68.4 million, a decrease from HK$71.1 million in 2023[52] - The Group incentivizes and retains talent through its share option scheme adopted in 2016 and share award scheme adopted in 2022[53] Other Information Major Transactions During the Reporting Period During the reporting period, the company's wholly-owned subsidiary, Hinda Information Services Limited, entered into a five-year lease for a new office at 35/F, Dah Sing Financial Centre, Wan Chai, Hong Kong, to serve as the group's headquarters and principal place of business - On March 4, 2024, the company's wholly-owned subsidiary entered into a five-year lease for the entire 35th floor of Dah Sing Financial Centre, 248 Queen's Road East, Wan Chai, Hong Kong, effective April 1, 2024[57] Board and Corporate Governance During the reporting period, the company complied with all applicable corporate governance code provisions, with changes in board composition including Mr. Wan Chi Wai's resignation as independent non-executive director and Ms. Chow Yuen Kwan's appointment, and the Audit Committee reviewed the audited consolidated financial statements - The company has complied with all code provisions of the Corporate Governance Code as set out in Appendix 15 to the GEM Listing Rules[63] - As of December 31, 2024, Mr. Wan Chi Wai resigned as an independent non-executive Director, and Ms. Chow Yuen Kwan was appointed as an independent non-executive Director, a member of the Audit Committee and Remuneration Committee, and Chairman of the Nomination Committee[60] Share-related Information Neither the company nor its subsidiaries purchased, sold, or redeemed any listed shares during the reporting period, and all Directors confirmed compliance with the code of conduct regarding securities transactions - During the reporting period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed shares[66] Audit Information The Group's auditor, Crowe (HK) CPA Limited, reconciled the financial figures in this announcement with the audited consolidated financial statements, noting that this work does not constitute a statutory audit, thus no assurance opinion was issued on this announcement - The auditor, Crowe (HK) CPA Limited, has reconciled the financial statement figures in the preliminary announcement with the amounts in the Group's audited consolidated financial statements[73]