Financial Performance - The company's revenue for the year ended December 31, 2024, was HKD 897,521,000, representing a 10.9% increase from HKD 809,107,000 in 2023[3] - Gross profit for the same period was HKD 516,157,000, up 9.5% from HKD 471,292,000 in the previous year[3] - The company reported a loss before tax of HKD 97,979,000, compared to a loss of HKD 43,919,000 in 2023, indicating a significant increase in losses[3] - The total comprehensive loss for the year was HKD 100,501,000, compared to HKD 77,636,000 in 2023, reflecting a worsening financial position[4] - Basic loss per share increased to HKD 1.35 from HKD 0.52 in the previous year, indicating a decline in shareholder value[4] - The net loss for the fiscal year was approximately HKD 99.0 million, compared to a net loss of HKD 61.1 million in the previous year, with basic loss per share at HKD 1.35, up from HKD 0.52[30][31] Assets and Liabilities - Non-current assets decreased to HKD 1,030,423,000 from HKD 1,139,578,000, showing a reduction in the company's asset base[5] - Current liabilities increased to HKD 442,312,000 from HKD 383,600,000, indicating a rise in short-term financial obligations[6] - The equity attributable to shareholders decreased to HKD 978,701,000 from HKD 1,057,289,000, reflecting a decline in net worth[6] - Trade receivables at the end of the reporting period totaled HKD 108.7 million, slightly up from HKD 106.5 million in the previous year[27] - The company’s trade payables at the end of the reporting period were HKD 6.7 million, slightly down from HKD 6.7 million in the previous year, indicating stable payment practices[28] - The group's total borrowings increased to approximately HKD 88.1 million, with a debt-to-asset ratio of 5.5% compared to 3.0% the previous year[37] Revenue Breakdown - Pharmaceutical business revenue was HKD 682,086,000, up 12.3% from HKD 607,131,000 in the previous year[13] - Fitness business revenue increased to HKD 215,435,000, a rise of 6.7% from HKD 201,976,000 in 2023[13] - The pharmaceutical segment reported revenue and gross profit of approximately HKD 682.1 million and HKD 501.1 million, reflecting year-on-year increases of about 12.3% and 7.3%[32] - The fitness business generated revenue of approximately HKD 215.4 million, an increase from HKD 202.0 million in the previous year, despite a loss of approximately HKD 71.8 million[35] Expenses and Cost Management - The company incurred research and development expenses of HKD 34.6 million, up from HKD 20.8 million in the previous year, indicating a focus on innovation[23] - The total employee costs for the year were HKD 157.5 million, down from HKD 178.3 million, showing effective cost control measures[30] - The company reported a significant increase in promotional expenses, totaling HKD 427.6 million, compared to HKD 419.1 million in the previous year, reflecting increased marketing efforts[23] - The company recognized an impairment loss of HKD 18.8 million related to intangible assets in the fitness business, impacting overall profitability[30] Future Outlook and Strategy - The company plans to explore new product launches and market expansions while maintaining a focus on existing business growth[43] - The pharmaceutical business is expected to remain a key growth driver, with plans to enhance sales layout and core competitiveness through R&D[44] - The fitness business is set to launch a new revenue product line, Pilates Reformers, by 2025 to capitalize on the growing interest among Singapore consumers[45] - The company will continue to monitor its franchise operations in Taiwan to support business recovery in that region[45] Dividends and Reporting - The company did not declare any dividends for the fiscal year ending December 31, 2024, consistent with the previous year[26] - The board has decided not to recommend any final dividend for the year ending December 31, 2024[46] - The annual report for the year ending December 31, 2024, will be published on the Hong Kong Stock Exchange and the company's website[53] Regulatory and Compliance - The company has implemented revised Hong Kong Financial Reporting Standards, which may impact future financial reporting and classifications[8] - The company’s total liabilities classification was not significantly impacted by the new accounting policies applied this year[12] - The company has restructured its internal reporting framework, leading to changes in reportable segments[14] Subsidiary Performance - Tongfang Pharmaceutical recorded revenue and gross profit of approximately RMB 543.3 million and RMB 461.0 million for the year ending December 31, 2024, representing a year-on-year increase of approximately 17.4% and 11.4% respectively[33] - Chongqing Kangle's revenue increased by approximately 15.6% year-on-year to RMB 84.0 million, while gross profit decreased by approximately 4.9% to RMB 8.5 million due to market price fluctuations[34] Events After Reporting Period - There have been no significant events occurring after December 31, 2024, up to the date of this announcement[47] - The company has not purchased, sold, or redeemed any of its listed securities during the year ending December 31, 2024[52]
华控康泰(01312) - 2024 - 年度业绩