Financial Performance - For the fiscal year ending December 31, 2024, the company reported total revenue of HKD 515,908,000, a decrease of 1.7% from HKD 523,262,000 in the previous year[3] - The cost of sales increased to HKD 503,105,000, up 3.9% from HKD 483,996,000, resulting in a gross profit of HKD 12,803,000, down 67.4% from HKD 39,266,000[3] - The company recorded a loss before tax of HKD 69,437,000, compared to a loss of HKD 22,998,000 in the previous year, indicating a significant decline in financial performance[3] - The net loss attributable to shareholders for the year was HKD 73,026,000, compared to HKD 28,650,000 in the previous year, reflecting an increase of 154.5%[3] - Basic and diluted loss per share was HKD 0.564, compared to HKD 0.318 in the previous year, representing a 77.5% increase in loss per share[3] - The group reported a pre-tax loss of HKD 69,437,000 in 2024, compared to a pre-tax loss of HKD 22,998,000 in 2023, indicating a significant increase in losses[25] - The annual loss attributable to shareholders for 2024 is HKD (73,026,000), compared to HKD (28,650,000) in 2023, indicating a significant increase in losses[30] - The net loss for fiscal year 2024 was approximately HKD 73.8 million, compared to a net loss of HKD 29.4 million in fiscal year 2023, indicating a significant increase in losses[47] - The gross profit for the fiscal year 2024 was approximately HKD 13.8 million, a decrease of about 64.8% from HKD 39.2 million in fiscal year 2023[47] Revenue Breakdown - Total revenue from toy sales for the year 2024 was HKD 514,023,000, a decrease of 1.54% from HKD 522,827,000 in 2023[18] - Revenue from agricultural products increased significantly to HKD 1,885,000 in 2024 from HKD 435,000 in 2023, representing a growth of 334.48%[18] - The total revenue for the group in 2024 was HKD 515,908,000, down from HKD 523,262,000 in 2023, marking a decline of 1.41%[18] - The toy division's revenue decreased by approximately 1.7% to HKD 514 million in fiscal year 2024, with a reported segment loss before tax of about HKD 44.5 million compared to a loss of HKD 7.26 million in fiscal year 2023[49] - The agricultural products division's revenue improved to approximately HKD 1.9 million in fiscal year 2024 from HKD 0.4 million in fiscal year 2023, but it recorded a segment loss before tax of about HKD 3.5 million due to its developmental stage in Japan[50] Assets and Liabilities - Total assets decreased to HKD 255,457,000 from HKD 291,907,000, while total liabilities slightly decreased to HKD 475,714,000 from HKD 477,091,000[5] - The company reported a net current liability of HKD 220,257,000, compared to HKD 185,184,000 in the previous year, indicating worsening liquidity[6] - The company’s current liabilities and total liabilities were approximately HKD 220.3 million and HKD 140.5 million, respectively, as of December 31, 2024[44] - Trade receivables total HKD 105,083,000 in 2024, an increase of 47% from HKD 71,657,000 in 2023[32] - The net trade receivables after expected credit loss provisions for 2024 is HKD 103,334,000, compared to HKD 70,482,000 in 2023[32] - Trade payables amount to HKD 204,624,000 in 2024, up from HKD 170,541,000 in 2023, reflecting a 20% increase[33] - Total loans amount to HKD 217,089,000 in 2024, a decrease from HKD 238,097,000 in 2023[35] Cash Flow and Liquidity - The company’s cash and bank balances decreased to HKD 55,258,000 from HKD 119,335,000, indicating a significant reduction in liquidity[5] - The company’s bank balance was approximately HKD 55.3 million, while its loans amounted to approximately HKD 217.1 million, indicating a significant liquidity concern[44] - The company raised approximately HKD 1,200,000 from the issuance of 9,400,000 new shares at HKD 0.14 each to improve its financial position[11] - The company completed the issuance of 101,964,566 new shares at a placement price of HKD 0.066 per share, raising approximately HKD 6.5 million on January 15, 2024[38] - The company issued 9,400,000 new shares at a net issue price of approximately HKD 0.14 per share on January 28, 2025, generating net proceeds of HKD 1.2 million[41] Cost Management - The group implemented cost-saving measures to control operating and administrative costs, aiming to improve cash flow to meet operational funding needs[15] - Interest expenses on bank loans rose to HKD 9,931,000 in 2024 from HKD 6,974,000 in 2023, an increase of 42.3%[27] - The group’s total financing costs increased to HKD 18,184,000 in 2024 from HKD 15,587,000 in 2023, reflecting a rise of 16.5%[27] - The cost of inventory recognized as an expense in 2024 is HKD 495,518,000, compared to HKD 478,136,000 in 2023[28] Corporate Governance and Future Outlook - The company has complied with all applicable code provisions of the corporate governance code during the fiscal year ending December 31, 2024[60] - The management plans to raise equity capital through the issuance of new shares to address ongoing operational funding needs and to mitigate the auditor's concerns regarding going concern issues[58] - The company anticipates that fiscal year 2025 will be challenging due to geopolitical instability and inflationary pressures, which will significantly impact the toy division's product profitability and sales[59] - The board remains cautiously optimistic about the group's future, expecting continued improvement in the toy and agricultural products divisions while exploring new business opportunities[59] Employment and Employee Costs - As of December 31, 2024, the group employed 1,654 employees, an increase from 1,513 employees in 2023, with employee costs approximately HKD 109.8 million compared to HKD 106.1 million in 2023[61] Audit and Reporting - The audit committee reviewed the annual performance for the fiscal year 2024, and the financial statements were audited by the auditor, Tianjian International CPA Limited[64] - The annual report for the year ended December 31, 2024, will be sent to shareholders and published on the respective websites at an appropriate time[66]
瀛晟科学(00209) - 2024 - 年度业绩