Financial Performance - For the year ending December 31, 2024, the revenue was approximately RMB 294 million, a decrease of about 7.3% compared to RMB 317 million in 2023[3]. - Gross profit for the year was approximately RMB 124 million, an increase of about 124.0% from RMB 56 million in 2023[3]. - The net loss for the year was approximately RMB 520 million, compared to a net loss of RMB 395 million in 2023[3]. - The basic and diluted loss per share was RMB 9.64 for the year, compared to RMB 7.33 in 2023[4]. - The group reported a pre-tax loss of RMB 51,964,000 in 2024, compared to a pre-tax loss of RMB 39,536,000 in 2023, indicating a worsening of approximately 31%[21]. - The company reported a loss attributable to owners of the company of RMB 51,964,000 for the year ended December 31, 2024, compared to a loss of RMB 39,536,000 for the year ended December 31, 2023, indicating an increase in loss of approximately 31.5%[23]. - Loss before tax increased by approximately RMB 12.5 million, from approximately RMB 39.5 million for the year ended December 31, 2023, to approximately RMB 52.0 million for the year ended December 31, 2024[39]. Revenue and Sales - Total revenue for the group decreased to RMB 29,357,000 in 2024 from RMB 31,667,000 in 2023, a decline of about 7%[14]. - Revenue from branded watches decreased to RMB 22,149,000 in 2024 from RMB 29,317,000 in 2023, representing a decline of approximately 24%[14]. - Exhibition revenue increased significantly to RMB 7,208,000 in 2024 from RMB 2,350,000 in 2023, marking an increase of approximately 206%[14]. - Revenue decreased by approximately RMB 2.3 million or 7.3% from RMB 31.7 million for the year ended December 31, 2023, to RMB 29.4 million for the year ended December 31, 2024, primarily due to reduced demand for watches amid intense industry competition[34]. Assets and Liabilities - Total assets decreased from RMB 101,783 million in 2023 to RMB 59,874 million in 2024, reflecting a significant reduction in current assets[5]. - The company's total equity decreased from RMB 82,191 million in 2023 to RMB 33,896 million in 2024, indicating a significant decline in net worth[5]. - Trade receivables decreased from RMB 21,440 million in 2023 to RMB 13,986 million in 2024, suggesting improved collection or reduced sales[5]. - The total borrowings of the company increased to RMB 29,230,000 in 2024 from RMB 26,711,000 in 2023, while total equity decreased to RMB 33,896,000 from RMB 82,191,000, resulting in a capital debt ratio of 86% in 2024 compared to 33% in 2023[30]. - Current ratio decreased from 10.6 times as of December 31, 2023, to 5.7 times as of December 31, 2024[42]. - Capital debt ratio increased from 32.5% as of December 31, 2023, to approximately 86.2% as of December 31, 2024[42]. Expenses - Employee benefits expenses increased to RMB 5,240,000 in 2024 from RMB 4,001,000 in 2023, an increase of approximately 31%[17]. - Selling and distribution expenses rose by approximately RMB 1.5 million or about 27.8%, from approximately RMB 5.4 million for the year ended December 31, 2023, to approximately RMB 6.9 million for the year ended December 31, 2024[37]. - Administrative expenses increased by approximately RMB 1.3 million or about 7.0%, from approximately RMB 18.6 million for the year ended December 31, 2023, to approximately RMB 19.9 million for the year ended December 31, 2024[38]. - Cost of sales decreased by approximately RMB 9.2 million or 35.2% from RMB 26.1 million for the year ended December 31, 2023, to RMB 16.9 million for the year ended December 31, 2024, aligning with the decrease in revenue[35]. Business Operations - The company began providing exhibition services starting in 2023, diversifying its business operations[6]. - The company aims to adapt its business and product portfolio to market demands, focusing on the design, production, and sale of luxury high-end watches and jewelry[31]. - The company plans to enhance its design and development capabilities by recruiting more talent and improving the design team's skills to strengthen its core competitiveness in the luxury watch and jewelry market[31]. - The retail sales of jewelry, watches, and luxury gifts in Hong Kong decreased by approximately 14.5% compared to 2023, indicating a challenging market environment[31]. - The company continues to monitor market responses and is prepared to seize new opportunities despite uncertainties in the near term[32]. Shareholder Information - The board of directors did not recommend the payment of dividends for the year ending December 31, 2024[3]. - The group did not declare or propose any dividends for the year, consistent with the previous year[22]. - The company has maintained compliance with the requirement that at least 25% of its shares be held by the public, with approximately 100% of shares held by public shareholders as of December 31, 2024[26]. Accounting and Compliance - The group is currently assessing the impact of new accounting standards that will take effect in 2027, with no significant impact expected on consolidated financial statements[12]. - No significant acquisitions or disposals of subsidiaries were made during the year ended December 31, 2024[43]. - The annual performance announcement and annual report will be published on the company's website and the Hong Kong Stock Exchange website[57]. - The board of directors includes two executive directors and three independent non-executive directors[59]. - The English version of the announcement will prevail in case of any discrepancies with the Chinese version[60].
励时集团(01327) - 2024 - 年度业绩