Financial Performance - The company's revenue for the year ended December 31, 2024, was RMB 1,021,063,000, a decrease of 9.1% compared to RMB 1,122,911,000 in 2023[3] - Gross profit for the same period was RMB 674,423,000, down 9.4% from RMB 744,219,000, with a gross margin of 66.1%[3] - The company reported a loss attributable to owners of RMB 18,924,000, a significant decline of 145.4% from a profit of RMB 41,692,000 in the previous year[3] - Basic loss per share was RMB 1.76, compared to earnings of RMB 3.87 per share in 2023, reflecting a 145.5% decrease[3] - Total revenue for the year ended December 31, 2024, was RMB 1,021.1 million, down from RMB 1,122.9 million in 2023, reflecting a challenging economic environment[38] - The overall segment performance resulted in a loss of RMB 11,503,000 in 2024, compared to a profit of RMB 48,254,000 in 2023[23] - Employee costs totaled RMB 422,729,000 in 2024, down from RMB 437,306,000 in 2023, reflecting a decrease of 3.3%[28] - The group reported a net cash inflow from operating activities of approximately RMB 110.1 million for the year[48] Revenue Sources - Total revenue for the restaurant operations in 2024 was RMB 1,021,063 thousand, a decrease of 9.1% from RMB 1,122,911 thousand in 2023[16] - Revenue from bank interest in 2024 was RMB 2,199 thousand, down 36.5% from RMB 3,461 thousand in 2023[18] - Commission income decreased to RMB 17,338 thousand in 2024 from RMB 18,784 thousand in 2023, reflecting a decline of 7.7%[18] - Government subsidies received in 2024 amounted to RMB 1,495 thousand, significantly lower than RMB 8,756 thousand in 2023, representing an 82.9% decrease[18] Operational Changes - The number of self-operated restaurants decreased from 35 to 32, while the number of joint venture restaurants increased from 16 to 17[3] - The company operates in four geographical segments: Northern China, Eastern China, Southern China, and Western China[19] - As of December 31, 2024, the group operated 32 restaurants and 17 joint venture restaurants, with the main brand 唐宮* contributing 82.9% to total revenue[44] - The group plans to open a second store in Hong Kong and is actively seeking opportunities to establish its first overseas store in Singapore[42] Dividends and Shareholder Information - The company proposed a final dividend of HKD 1.00 per share, down from HKD 1.50 in the previous year[3] - The board proposed a final dividend of HKD 0.01 per ordinary share, down from HKD 0.015 in 2023, subject to shareholder approval[65] - The final dividend, if approved, will be payable on July 25, 2025[65] - The company will suspend the registration of shareholders from June 2 to June 6, 2025, for the upcoming annual general meeting[66] Financial Position - Total assets decreased to RMB 760,428,000 from RMB 805,737,000 in 2023, while total liabilities slightly increased to RMB 555,216,000 from RMB 564,282,000[7] - Trade receivables aged analysis shows a decrease from RMB 13,270 thousand in 2023 to RMB 9,417 thousand in 2024, with a significant drop in receivables over 90 days from RMB 1,018 thousand to RMB 40 thousand[35] - Trade payables decreased from RMB 52,255 thousand in 2023 to RMB 44,761 thousand in 2024, with payables over 180 days increasing from RMB 3,848 thousand to RMB 4,017 thousand[35] - The group maintains a current ratio of 1.1 as of December 31, 2024, compared to 1.0 a year earlier, indicating improved liquidity[49] - The group has no bank borrowings or significant contingent liabilities as of December 31, 2024[55][56] Market and Economic Conditions - The overall retail sales growth in China for 2024 was 3.5%, a decline from 5.5% at the beginning of the year and 7.2% in 2023, highlighting a slowdown in consumer spending[37] - The restaurant customer count and per capita spending were significantly impacted by economic conditions, prompting the company to strengthen marketing efforts to stabilize business[38] Strategic Initiatives - The company has over 1.5 million members across mainland China and Hong Kong, with ongoing initiatives to enhance member engagement and loyalty through personalized offers[41] - Online takeaway orders exceeded 1 million transactions in 2024, demonstrating successful expansion in the online sales channel[40] - The company implemented a unified online promotion strategy, enhancing brand visibility and product sales through collaborations with professional media and influencers[40] - The company plans to enhance customer interaction through new promotional activities, including collaborations with travel platforms and themed marketing campaigns[39] Governance and Compliance - The company has complied with all corporate governance codes as per the listing rules during the year[59] - The audit committee, consisting of three independent non-executive directors, has reviewed the annual consolidated financial statements[62] - Ernst & Young has agreed that the financial figures are consistent with the draft annual consolidated financial statements[61] - The annual results announcement will be published on the Hong Kong Stock Exchange and the company's website[67] - The annual general meeting is scheduled for June 6, 2025[64] Future Outlook - The group is preparing to restart its store opening plan and launch new business units in 2025, while maintaining a cautious approach to cost management[43] - The company purchased a total of 5,000,000 shares under its share incentive plan at a total cost of approximately RMB 1.8 million[58] - The group recognized an impairment loss provision of approximately RMB 6.8 million for property, plant, and equipment due to ongoing losses from certain restaurants[46]
唐宫中国(01181) - 2024 - 年度业绩