Financial Performance - For the year ended December 31, 2024, the company's revenue was approximately HKD 137,424,000, a decrease of about 8.7% compared to 2023[6] - The loss attributable to shareholders for the year ended December 31, 2024, was approximately HKD 8,103,000, a reduction of about 18.4% from 2023[6] - Basic and diluted loss per share for the year ended December 31, 2024, was HKD 0.0431, compared to HKD 0.0537 for the year ended December 31, 2023[6] - Total comprehensive loss for the year ended December 31, 2024, was HKD 8,346,000, compared to HKD 9,601,000 in 2023[9] - The company reported a net loss of HKD 8,103,000 for 2024, an improvement from a net loss of HKD 9,935,000 in 2023, indicating a positive trend[47] - The group recorded a loss attributable to equity shareholders of approximately HKD 8,103,000, a decrease of about 18.4% from HKD 9,935,000 in the previous year[94] Revenue Breakdown - Revenue from telecommunications services increased to HKD 10,852,000 in 2024, up 47.5% from HKD 7,365,000 in 2023[25] - Distribution business revenue decreased to HKD 126,572,000 in 2024, down 11.6% from HKD 143,190,000 in 2023[25] - Revenue from telecommunications services for the year ended December 31, 2024, was approximately HKD 10,812,000, an increase of about 47.7% compared to HKD 7,318,000 in the previous year[75] - Distribution business in Hong Kong generated revenue of approximately HKD 65,416,000, a decrease of about 27.3% from HKD 89,948,000 in the previous year[77] - Revenue from the distribution business in China was approximately HKD 7,678,000, a decrease of about 19.6% from HKD 9,546,000 in the previous year[79] - Revenue from telecommunications services and distribution business was approximately HKD 10,852,000 and HKD 126,572,000, accounting for 7.9% and 92.1% of total revenue respectively[85] Assets and Liabilities - The company's total assets less current liabilities as of December 31, 2024, amounted to HKD 35,241,000, an increase from HKD 32,030,000 in 2023[11] - The company's net assets as of December 31, 2024, were HKD 34,796,000, compared to HKD 31,374,000 in 2023[11] - Cash and cash equivalents increased significantly to HKD 26,571,000 in 2024 from HKD 14,594,000 in 2023, marking an increase of approximately 82%[65] - Trade receivables from third parties decreased to HKD 30,919,000 in 2024 from HKD 36,071,000 in 2023, representing a decrease of about 14.5%[62] - Trade payables as of December 31, 2024, amounted to HKD 3,527,000, an increase from HKD 3,290,000 in the previous year[68] - Contract liabilities at the end of the reporting period were HKD 45,000, up from HKD 9,000 in the previous year[70] Cost and Expenses - The total cost of goods sold for 2024 was HKD 125,406,000, a decrease from HKD 141,608,000 in 2023, reflecting a reduction of 11.4%[40] - Employee costs decreased to HKD 4,416,000 in 2024 from HKD 4,552,000 in 2023, a reduction of 3%[39] - Administrative and other operating expenses decreased by approximately 9.2% to about HKD 13,378,000, mainly due to reduced auditor fees and depreciation[91] - Financial costs increased approximately 3.1 times to about HKD 208,000, primarily due to interest on shareholder loans[92] Dividends - The company did not recommend the payment of a final dividend for the year ended December 31, 2024[5] - The company did not declare a final dividend for the year ending December 31, 2024, consistent with the previous year[46] - The board did not recommend the payment of a final dividend for the year ended December 31, 2024, and no dividend was paid for the year ended December 31, 2023[105] Business Operations - The company operates two business segments: telecommunications services and distribution business, with no segments merged into reportable segments[29] - The company is actively negotiating with service providers to reduce unit costs of call time and mobile data, aiming to lower prices for prepaid products[76] - The company plans to expand its distribution network to overseas markets to attract overseas users traveling abroad[76] - The company has strengthened cost control measures and is vigilant in responding to various special circumstances[76] - The company continues to explore different suppliers to increase the variety of mobile phones and electronic products offered[77] - The company anticipates that several factories or businesses may need to transform due to challenges faced, impacting the distribution business in Hong Kong[77] Compliance and Governance - The company has complied with the GEM Listing Rules and corporate governance code for the fiscal year ending December 31, 2024[131] - The audit committee reviewed the interim results and confirmed the effectiveness of the risk management and internal control systems for the year ending December 31, 2024[136] - The annual performance announcement and report will be published on the Hong Kong Stock Exchange and the company's website, containing all required information as per GEM Listing Rules[137] Stock Options and Competition - The stock option plan allows for a maximum issuance of 15,562,500 shares, representing approximately 6.36% of the company's issued shares as of the report date[121] - The stock option plan aims to incentivize qualified participants to enhance their performance for the benefit of the group[119] - The maximum number of shares that can be issued to each participant under the stock option plan is capped at 1% of the company's issued shares within any twelve-month period[122] - The company is at risk of competition from Direct Telecom Limited, which holds RF-SIM licensing rights outside of China, Hong Kong, and Macau[115] - The company has a non-compete agreement with key stakeholders to mitigate competition risks in the RF-SIM business[117]
直通电讯(08337) - 2024 - 年度业绩