Financial Performance - Total revenue for the year ended December 31, 2024, was HKD 236,371,000, a decrease of 10.6% from HKD 264,515,000 in 2023[9] - Gross profit for the year was HKD 16,393,000, down 72.6% from HKD 59,924,000 in the previous year[2] - The company reported a net loss of HKD 386,605,000 for the year, compared to a loss of HKD 73,220,000 in 2023, representing a significant increase in losses[3] - Basic and diluted loss per share for the year was HKD 20.5, compared to HKD 3.8 in the previous year[3] - The group reported a total segment loss of HKD 252,609,000 for 2024, compared to a profit of HKD 92,490,000 in 2023, indicating a significant deterioration in performance[20] - The group incurred a pre-tax loss of HKD 400,625,000 in 2024, compared to a pre-tax loss of HKD 14,640,000 in 2023, highlighting a substantial increase in losses[17] - The annual loss for the company was approximately HKD 251,341,000 for the year ending December 31, 2024, compared to a loss of HKD 47,026,000 in 2023[27] - The increase in loss was mainly attributed to a revenue decrease of approximately 10.6%, a decline in gross margin due to the sale of lower-margin properties, and a one-time fair value loss on investment properties of about HKD 158.8 million[51] Assets and Liabilities - Total assets less current liabilities decreased to HKD 1,256,814,000 from HKD 1,903,643,000 in 2023, indicating a decline in financial position[5] - Non-current assets decreased to HKD 1,612,055,000 from HKD 1,916,501,000, reflecting a reduction in property and investment holdings[5] - The company’s total liabilities increased to HKD 884,723,000 from HKD 728,705,000, indicating a rise in financial obligations[5] - The company’s equity attributable to owners decreased to HKD 238,345,000 from HKD 506,710,000, showing a significant reduction in shareholder equity[6] - The group’s total liabilities increased to HKD 1,411,862,000 in 2024 from HKD 1,480,052,000 in 2023, showing a slight reduction of about 4.6%[22] - As of December 31, 2024, the company's total current assets were approximately HKD 529,482,000, down from about HKD 715,847,000 in 2023, while total current liabilities increased to approximately HKD 884,723,000 from HKD 728,705,000[57] - The company's total borrowings amounted to approximately HKD 577,328,000, a decrease from HKD 641,305,000 in the previous year, with a debt-to-equity ratio of approximately 242%[58] Revenue Segments - Revenue from property sales was HKD 201,405,000, an increase from HKD 185,076,000 in 2023, indicating growth in this segment[9] - For the fiscal year ending December 31, 2024, the company's revenue decreased significantly from approximately HKD 264,515,000 to about HKD 236,371,000, primarily due to rental income and sales from business apartments and offices in Shenzhen, which accounted for 8% and 85% of total revenue respectively[49] - Rental income for the year is approximately HKD 19,753,000, compared to HKD 23,058,000 in 2023, indicating a decrease of about 14%[39] Costs and Expenses - Financing costs decreased to HKD 42,198,000 in 2024 from HKD 46,885,000 in 2023, reflecting a reduction of approximately 10.5%[15] - The land appreciation tax expense for 2024 was HKD 26,405,000, significantly lower than HKD 48,168,000 in 2023, a decrease of approximately 45.2%[16] - The company reported a decrease in employee costs, with salaries, bonuses, and allowances totaling HKD 12,180,000 in 2024, down from HKD 12,576,000 in 2023[26] - The total employee cost for the year was approximately HKD 12,924,000, down from HKD 13,493,000 in 2023, with 111 employees as of December 31, 2024[71] Shareholder Information - The company does not recommend the distribution of any dividends for the year ending December 31, 2024, consistent with the previous year[42] - The company completed a share consolidation on April 26, 2024, merging every 20 existing shares of HKD 0.01 into one share of HKD 0.20[43] - As of December 31, 2024, the company's issued share capital was HKD 2,449,554, with a total of 12,247,770 shares issued at a par value of HKD 0.20 each[61] - The company issued convertible bonds totaling HKD 95,896,475.43 on October 31, 2022, which matured on April 30, 2024[62] - A new convertible bond issuance of HKD 100,969,093.34 was completed on May 6, 2024, following the settlement of the old bonds[64] - The new convertible bonds can be converted into approximately 38,834,266 new ordinary shares at an adjusted conversion price of HKD 2.6 per share, increasing the subscriber's equity from approximately 55.25% to 89.27%[64] Corporate Governance - The audit committee reviewed the audited consolidated financial statements and confirmed compliance with applicable accounting standards and regulations[78] - The company is committed to maintaining good corporate governance practices and will review its board structure periodically[76] - The board consists of four executive directors and three independent non-executive directors as of the announcement date[85] - The chairman and CEO roles are currently separated, with the chairman position held by Mr. Ma Hsueh-Mien, while the CEO position remains vacant[76] Legal and Compliance - The company has made sufficient provisions for compensation and interest related to a legal case as of December 31, 2024[46] - The company has a significant legal case pending, but it is not expected to have a major impact on operations[46] - The company has received the first distribution of bankruptcy claims amounting to RMB 2,776,626.85 as part of a legal settlement[47] - The company has made a provision for litigation losses, increasing from approximately HKD 0.7 million in 2023 to about HKD 34.3 million in 2024[54] - There have been no significant post-reporting date events up to the announcement date[82] Strategic Focus - The company plans to utilize advanced technologies such as artificial intelligence (AI) to further reduce operational costs and improve efficiency, indicating a strategic focus on technological integration[55] - The company is actively adjusting its financing structure to lower costs and improve capital efficiency, while also disposing of non-core assets to enhance cash flow[55] - The company has not entered into any hedging transactions during the year, although it acknowledges the foreign exchange risk due to fluctuations in the RMB to HKD exchange rate[60] - The company has no major investments or acquisitions planned for 2025 but will continue to seek opportunities for business diversification and acquisitions[67]
钧濠集团(00115) - 2024 - 年度业绩