Financial Performance - For the fiscal year ending December 31, 2024, the company reported total revenue of HKD 26,826,000, a decrease of 3.47% from HKD 27,787,000 in 2023[2] - The company incurred a pre-tax loss of HKD 232,143,000, compared to a loss of HKD 45,183,000 in the previous year, reflecting a significant increase in losses[2] - The net loss for the year was HKD 234,266,000, up from HKD 47,092,000 in 2023, indicating a worsening financial performance[2] - The fair value change of investment properties resulted in a loss of HKD 247,260,000, compared to a loss of HKD 56,670,000 in the prior year[2] - The total tax provision for the year was HKD 2,123,000, up from HKD 1,909,000 in 2023, marking an increase of 11.2%[20] - The total comprehensive expenses attributable to equity holders for the year ended December 31, 2024, amounted to approximately HKD 274.3 million, a significant increase from HKD 53.3 million in 2023[50] - The basic loss per share for 2024 was approximately HKD 0.6066, representing an increase of about HKD 0.4847 compared to the basic loss per share of HKD 0.1219 in 2023[50] Asset and Equity Changes - Total assets decreased to HKD 671,270,000 from HKD 952,993,000, representing a decline of approximately 29.5%[3] - The company's net asset value fell to HKD 607,973,000 from HKD 882,290,000, a decrease of about 30.9%[3] - As of December 31, 2024, the total market value of the group's investment properties is approximately HKD 604.1 million, a decrease of about HKD 247.3 million compared to 2023[37] - The fair value of investment properties decreased to HKD 604,080,000 in 2024 from HKD 851,340,000 in 2023, reflecting a decline of 29.05%[29] - The total equity as of December 31, 2024, was approximately HKD 608.0 million, down about HKD 274.3 million from HKD 882.3 million at the end of 2023[53] Liabilities and Financing - The company reported a current liabilities net amount of HKD 7,612,000, significantly improved from HKD 66,765,000 in 2023[4] - As of December 31, 2024, total bank loans amounted to approximately HKD 132.2 million, with about 61.2% (HKD 80.9 million) due within one year[57] - The capital debt ratio increased to approximately 0.22 as of December 31, 2024, compared to 0.11 as of December 31, 2023, primarily due to the raising of new bank loans of approximately HKD 48.5 million[57] - The company raised new bank financing of approximately HKD 48.5 million in 2024, which contributed to an increase in cash and bank deposits to about HKD 79.4 million[54] Revenue and Income Sources - Total revenue from investment properties for the year ended December 31, 2024, was HKD 26,826,000, a decrease of 3.47% from HKD 27,787,000 in 2023[14] - Interest income increased to HKD 2,744,000 in 2024 from HKD 1,853,000 in 2023, representing a growth of 47.93%[16] - Rental income for the year ended December 31, 2024, is approximately HKD 26.8 million, a decrease of about 3.5% from 2023, primarily due to increased rental concessions[38] - The company’s total rental income from a single customer accounted for over 10% of total revenue in both 2024 and 2023[14] Operational Insights - The occupancy rate of the group's investment properties as of December 31, 2024, is 99.9%[38] - The company plans to actively review its capital structure and may initiate new debt financing or sell properties to obtain additional funds[5] - The company believes it will have sufficient working capital to meet its current needs in the foreseeable future[5] - The company will maintain close communication with tenants to provide support during challenging times, aiming to keep a high occupancy rate despite market challenges[50] - The company plans to continue exploring opportunities for business diversification beyond the leasing property market[46] Market Conditions and Challenges - The group expects significant challenges in the Hong Kong retail market in 2024 due to changing consumer habits and a strong HKD negatively impacting consumer spending[43] - The group recorded a decrease in the fair value of investment properties of approximately HKD 247.3 million in 2024, reflecting the overall market conditions for commercial retail and residential investment properties in Hong Kong[41] Miscellaneous - The company did not declare any dividends for the years ended December 31, 2024, and 2023[22] - The company has not applied any new accounting standards or interpretations that are not yet effective for the reporting period[7] - The company has no significant impact from the amendments to accounting standards as it did not enter into any sale-and-leaseback transactions or supplier financing arrangements[10][12] - The group had no significant contingent liabilities as of December 31, 2024, and December 31, 2023[60] - The group did not redeem, repurchase, or cancel any listed securities during the year ending December 31, 2024[70] - The group recorded employee costs of approximately HKD 2.7 million for the year ending December 31, 2024, a decrease from HKD 6.8 million in 2023, mainly due to reduced director remuneration[65] - The company did not launch or announce any new businesses or services during the year ended December 31, 2024[49] - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the years ending December 31, 2024, and 2023[62] - The group has established sufficient risk management procedures to identify and control various risks[64]
永利地产发展(00864) - 2024 - 年度业绩