Financial Performance - Total revenue for the year ended December 31, 2024, was HKD 6,044.9 million, a decrease of 9.9% compared to HKD 6,709.3 million in 2023[2] - Annual profit for 2024 was HKD 720.9 million, down 38.1% from HKD 1,165.1 million in 2023, resulting in a net profit margin of 11.9%[4] - The company's revenue decreased by 9.9% from HKD 6,709.3 million in 2023 to HKD 6,044.9 million in 2024, primarily due to a decline in procurement orders in certain markets attributed to global economic uncertainty[28] - Gross profit fell by 4.7% from HKD 2,994.0 million in 2023 to HKD 2,853.4 million in 2024, resulting in a gross margin of 47.2%[22][28] - The company reported a 31.3% decline in profit before tax, from HKD 1,253.9 million in 2023 to HKD 861.2 million in 2024[22] - The net profit for the year decreased by 38.1% from HKD 1,165.1 million in 2023 to HKD 720.9 million in 2024[22] - Operating profit decreased to HKD 856,163, a decline of 31.7% from HKD 1,254,366 in the previous year[55] - The group recorded a net profit of HKD 720,922 for the year ended December 31, 2024, compared to HKD 1,165,103 in 2023, reflecting a decrease of 38.1%[72] - EBITDA for the year was HKD 954,202, down from HKD 1,320,011 in 2023, indicating a decline of 27.7%[72] Earnings and Dividends - The basic earnings per share decreased by 37.8% to HKD 0.669 from HKD 1.075 in 2023[2] - For the year ended December 31, 2024, the company's profit attributable to owners was HKD 713,427,000, a decrease of 38.3% from HKD 1,155,164,000 in 2023[87] - The diluted earnings per share for 2024 was HKD 0.658, down 37.4% from HKD 1.051 in 2023[87] - Proposed final dividend per share increased by 8.7% to HKD 0.25 from HKD 0.23 in 2023[2] - The interim dividend declared for 2024 was HKD 0.24 per share, an increase of 14.3% from HKD 0.21 per share in 2023, totaling approximately HKD 254,809,000[88][89] - The total dividend per ordinary share for the year ending December 31, 2024, is projected to be HKD 0.49, compared to HKD 0.44 in 2023[105] Revenue Sources - Sales of Android smart terminals accounted for over 60% of total sales in 2024, with flagship model A920Pro being the best-selling terminal[5] - SaaS solutions revenue reached HKD 138.2 million, representing a year-on-year growth of 30.5%[8] - Service revenue increased by 18.9% from HKD 284.5 million for the year ended December 31, 2023, to HKD 338.4 million for the year ending December 31, 2024, driven by growth in maintenance, installation services, and SaaS solutions[32] - The sales of electronic payment terminal products decreased by 11.2% from HKD 6,424.8 million in 2023 to HKD 5,706.5 million in 2024, driven by reduced procurement orders in specific markets[30][31] Market and Strategic Initiatives - EMEA region became the largest revenue area with sales of HKD 2,202.9 million, driven by strategic investments and product quality[9] - The company plans to deepen its market presence in Mexico and Argentina, focusing on enhancing product lines and partnerships[12] - The company achieved strong sales growth in India, Japan, and Indonesia, with historical sales highs in both Japan and Indonesia during the year[15] - The company launched new products, including the cloud speaker CS70 and CS75 in India, to meet the growing demand for UPI mobile scanning payments[13] - The company plans to invest more resources in high-potential markets such as the US, Europe, Japan, and Australia to drive long-term business expansion[20] - The company is focusing on expanding its SaaS ecosystem and enhancing R&D investments in EPOS products to accelerate market penetration[19] Costs and Expenses - Research and development costs increased by 6.1% to HKD 683.5 million from HKD 644.1 million in the previous year[2] - Sales expenses rose by 14.5% from HKD 674.5 million for the year ended December 31, 2023, to HKD 772.4 million for the year ended December 31, 2024, attributed to increased sales commissions and advertising costs[36] - Administrative expenses increased by 12.5% from HKD 1,171.5 million for the year ended December 31, 2023, to HKD 1,318.0 million for the year ended December 31, 2024, mainly due to higher R&D costs and share-based payment expenses[37] Assets and Liabilities - Total assets increased by 1.0% to HKD 9,169.5 million from HKD 9,075.3 million in the previous year[2] - As of December 31, 2024, the company reported cash and cash equivalents of HKD 3,083.6 million, up from HKD 2,863.6 million in the previous year, with a current ratio of 5.0 and a quick ratio of 4.0[42] - The total accounts payable increased to HKD 937,211,000 in 2024, up from HKD 888,621,000 in 2023, reflecting a rise of 5.5%[95][96] - The total income tax expense for the year ended December 31, 2024, was HKD 140,323,000, compared to HKD 88,861,000 in 2023[83] Acquisitions and Investments - The company completed the acquisition of Pax Technology Australia Pty Ltd on August 5, 2024, for an initial consideration of approximately AUD 5.4 million, potentially increasing to AUD 30 million based on financial performance over the next two fiscal years[40] - The company recognized a contingent consideration of HKD 29,393,000 related to the acquisition of Pax Technology Australia Pty Ltd[99] Compliance and Governance - The audit committee has reviewed the accounting policies and the audited consolidated financial statements for the year ending December 31, 2024[110] - The company has adopted a written code for securities trading by directors and relevant employees, ensuring compliance with the standard code[107] - The company confirms that all directors have complied with the securities trading code throughout the year[107]
百富环球(00327) - 2024 - 年度业绩