Financial Performance - The company's revenue for the year ended December 31, 2024, was approximately HKD 129,595,000, representing an increase of about 95.4% compared to HKD 66,328,000 in 2023[2] - The loss attributable to the company's owners for the year ended December 31, 2024, was approximately HKD 76,628,000, a decrease of about 18.3% from HKD 93,749,000 in 2023[2] - The basic and diluted loss per share for the year ended December 31, 2024, was approximately HKD 0.1312, compared to HKD 0.1855 in 2023[4] - The total comprehensive loss for the year ended December 31, 2024, was approximately HKD 78,814,000, compared to HKD 96,061,000 in 2023[4] - The segment loss for the year ended December 31, 2024, was HKD 43,145,000, compared to a loss of HKD 53,375,000 in 2023, indicating an improvement of 19.2%[22] - The company reported a pre-tax loss of HKD 76,446,000 for the year ended December 31, 2024, compared to a loss of HKD 94,639,000 in 2023, showing a reduction of 19.2%[22] Assets and Liabilities - The company's non-current assets as of December 31, 2024, amounted to HKD 36,425,000, down from HKD 51,262,000 in 2023[5] - The company's current assets as of December 31, 2024, were HKD 158,646,000, compared to HKD 162,923,000 in 2023[5] - The company's total liabilities as of December 31, 2024, were HKD 56,888,000, compared to HKD 52,091,000 in 2023[6] - The company's equity attributable to owners as of December 31, 2024, was HKD 130,021,000, down from HKD 148,712,000 in 2023[6] - Total assets as of December 31, 2024, amounted to HKD 195,071,000, a decrease from HKD 214,185,000 in 2023, reflecting a decline of 8.9%[22][24] Revenue Breakdown - Revenue from external customers for the year ended December 31, 2024, was HKD 129,595,000, a significant increase from HKD 66,328,000 in 2023, representing a growth of 95.5%[24][29] - Revenue from sales of goods in China (including Hong Kong) for the year ended December 31, 2024, was HKD 124,025,000, up from HKD 58,129,000 in 2023, marking a growth of 113.5%[30] - The apparel business generated revenue of approximately HKD 47,907,000 in 2024, a decrease of 15.2% from HKD 56,488,000 in 2023, accounting for 37.0% of total revenue[49] - The loan financing business reported revenue of approximately HKD 5,570,000, down 32.1% from HKD 8,199,000 in 2023, representing 4.3% of total revenue[50] - The intellectual property application and product business saw revenue soar to approximately HKD 76,118,000, a growth of about 4,538% from HKD 1,641,000 in 2023[52] Expenses and Costs - The cost of sales for the year ended December 31, 2024, was approximately HKD 120,568,000, an increase of 119% from HKD 55,095,000 in 2023[53] - The gross profit for the year was approximately HKD 9,027,000, a decrease of 19.6% from HKD 11,233,000 in 2023, with a gross margin dropping to 7.0% from 16.9%[54] - Sales and distribution expenses decreased by 7.8% to approximately HKD 2,798,000 in the reporting period, down from HKD 3,033,000 in 2023[65] - Administrative expenses were approximately HKD 51,391,000, a reduction of 23.6% from HKD 67,263,000 in 2023[66] - Financing costs increased by 5.0% to approximately HKD 6,633,000, compared to HKD 6,318,000 in 2023[67] Cash Flow and Capital Management - As of December 31, 2024, the company's cash and cash equivalents were approximately HKD 6,218,000, down from HKD 31,243,000 in 2023[100] - The total borrowings and lease liabilities as of December 31, 2024, were approximately HKD 26,599,000, a decrease from HKD 32,908,000 in 2023[100] - The company's current ratio as of December 31, 2024, was approximately 2.79, compared to 3.13 in 2023[100] - The debt-to-equity ratio as of December 31, 2024, was approximately 20.0%, down from 22.1% in 2023[101] Shareholder Actions and Dividends - The company did not recommend the payment of any final dividend for the year ended December 31, 2024[2] - The company did not declare any interim or final dividends for the years 2024 and 2023, maintaining a consistent policy of no dividend distribution[33] - The board of directors did not recommend a final dividend for the year ended December 31, 2024[113] Strategic Initiatives and Future Outlook - The company is currently evaluating the impact of new accounting standards that will take effect on January 1, 2025, and beyond, but does not expect significant effects on the consolidated financial statements[12] - The company plans to enhance its product design and development capabilities in the apparel business, aiming to improve gross margins and leverage its design capabilities for IP derivative products[121] - The company anticipates moderate economic growth in mainland China and Hong Kong in 2025, with government support to boost consumer confidence[120] Governance and Compliance - The company has adhered to the corporate governance code, with a noted deviation from a specific provision[123] - The company has established an Audit Committee consisting of three independent non-executive directors, ensuring compliance with corporate governance codes[126] - The financial performance for the year ending December 31, 2024, has been reviewed by the Audit Committee, indicating a thorough evaluation of the company's financial status[126] - The company has adhered to all relevant provisions of the corporate governance code for the year ending December 31, 2024, except for the noted deviation regarding the roles of the Chairman and CEO[124]
天机控股(01520) - 2024 - 年度业绩