Financial Performance - For the year ending December 31, 2024, the revenue was approximately HKD 111.9 million, a decrease of 35.2% compared to approximately HKD 172.5 million for the year ending December 31, 2023[2]. - The gross profit for the year ending December 31, 2024, was approximately HKD 8.3 million, down 67.0% from approximately HKD 25.1 million for the year ending December 31, 2023[2]. - The loss attributable to owners of the company for the year ending December 31, 2024, was approximately HKD 26.4 million, a decrease of 5.5% from approximately HKD 27.9 million for the year ending December 31, 2023[2]. - The total comprehensive loss for the year was approximately HKD 26.3 million, compared to approximately HKD 27.9 million for the previous year[4]. - Basic and diluted loss per share for the year ending December 31, 2024, was HKD 2.74, compared to HKD 3.17 for the year ending December 31, 2023[4]. - Total revenue decreased by approximately 35.2% to about HKD 111.9 million for the reporting year, with gross profit declining by 67.0% to approximately HKD 8.3 million[35]. - Handbags accounted for over 98.3% of total revenue, with sales from unused products generating approximately HKD 81.9 million, representing 73.2% of total revenue[49]. - The company reported a loss attributable to owners of approximately HKD 26.4 million, down from HKD 27.9 million last year, with a loss per share of approximately HKD 0.0274[60]. Assets and Liabilities - Non-current assets decreased from approximately HKD 16.7 million in 2023 to approximately HKD 7.6 million in 2024[5]. - Current assets decreased from approximately HKD 101.1 million in 2023 to approximately HKD 96.1 million in 2024[5]. - The total equity attributable to owners of the company decreased from approximately HKD 84.8 million in 2023 to approximately HKD 72.2 million in 2024[6]. - Trade receivables increased to HKD 3.129 million in 2024 from HKD 2.280 million in 2023, with expected credit loss provisions rising to HKD 0.947 million from HKD 0.437 million[27]. - Trade payables increased to HKD 1.989 million in 2024 from HKD 1.452 million in 2023, while accrued liabilities rose to HKD 7.805 million from HKD 6.494 million[32]. - The total outstanding loans amount to approximately HKD 3.7 million, with an annual interest rate of 8%[42]. - The group has recognized expected credit loss provisions of approximately HKD 11.0 million for receivables, an increase from HKD 10.2 million in 2023, primarily due to limited debt repayments and rising default rates among borrowers[47]. Revenue Sources - Revenue for the year 2024 was HKD 111,855,000, a decrease of 35.1% compared to HKD 172,525,000 in 2023[17]. - Sales of handbags contributed HKD 109,931,000 in 2024, down 34.6% from HKD 168,285,000 in 2023[17]. - Other income for 2024 totaled HKD 1,592,000, a decline of 58.3% from HKD 3,823,000 in 2023[17]. - The cost of goods sold for 2024 was HKD 103,549,000, down 28.5% from HKD 144,604,000 in 2023[20]. - The total employee costs, including directors' remuneration, decreased to HKD 9,557,000 in 2024 from HKD 14,576,000 in 2023, a reduction of 34.4%[20]. - Sales cost for the year was approximately HKD 103.5 million, a decrease of 29.7% year-on-year[51]. - Other income for the year was approximately HKD 1.6 million, a decrease of about HKD 2.2 million from HKD 3.8 million last year[55]. Dividends and Shareholder Returns - The board of directors has resolved not to declare a final dividend for the year ending December 31, 2024[2]. - No dividends were declared or proposed for the reporting year, consistent with 2023[24]. - The board has resolved not to declare a final dividend for the reporting year[76]. Market and Economic Conditions - The unemployment rate in Hong Kong rose to 3.1% in December 2024, indicating a slight decline in the local labor market[34]. - The retail sales value in December 2024 was estimated at HKD 32.8 billion, a decrease of 11.5% compared to the same month in 2023[34]. - The outlook for the Hong Kong retail market is cautiously optimistic for 2025, supported by the return of tourists and government initiatives like consumption vouchers[48]. Corporate Governance and Compliance - The company has maintained compliance with all applicable provisions of the Corporate Governance Code, except for a minor deviation regarding the notice period for board meetings[73]. - The audit committee has reviewed the financial statements and discussed audit, risk management, and internal control matters with management[75]. - The company has no capital commitments related to the purchase of properties, plants, and equipment as of December 31, 2024[66]. - There have been no significant events after the reporting period up to the date of this announcement[77]. Investment Strategy - The group holds significant investments in financial assets at fair value, with total investments amounting to approximately HKD 22,762,000 as of December 31, 2024[40]. - The group has a passive investment strategy, maintaining a diversified portfolio to mitigate risks, with investments in China Investment Finance Group Limited (1.1% stake), Haowen Holdings Limited (4.8% stake), and Harbor Digital Industry Capital Limited (3.9% stake)[40]. - The company completed a placement of 176,150,000 new shares at a price of HKD 0.08 per share, raising approximately HKD 13.7 million net of expenses[72]. - The net proceeds from the placement have been allocated for general working capital, with HKD 9.4 million utilized and HKD 4.3 million expected to be used by Q1 2025[72]. Risk Management - The company applies a simplified approach to measure expected credit losses for trade receivables, using lifetime expected credit losses based on common credit risk characteristics[26]. - The group employs a comprehensive credit risk management policy, including independent credit assessments and monitoring of loan repayments[43]. - The expected credit loss assessment is based on a three-stage model, reflecting the ongoing economic challenges and potential impacts on borrowers' repayment capabilities[47]. - The company has not made any foreign exchange hedging arrangements and believes that the transaction risks are at an acceptable level[64].
米兰站(01150) - 2024 - 年度业绩