Financial Performance - The company reported a revenue of HKD 925 million for the fiscal year 2024, a decrease of 5.8% compared to HKD 982 million in 2023[6]. - Gross profit decreased by 6.3% to HKD 454.3 million, maintaining a gross margin of approximately 49%[7]. - Net profit attributable to shareholders was HKD 48 million, down 19.9% from HKD 60 million in the previous year[6]. - Basic and diluted earnings per share were HKD 0.04, compared to HKD 0.05 in 2023[8]. - Cash and cash equivalents increased by 7.5% to HKD 805 million, while total assets decreased by 1.5% to HKD 1,444 million[6]. - Other income increased by 2.0% to HKD 56.6 million due to completed government-funded software sales projects[8]. - In 2024, the service-oriented business revenue exceeded HKD 125 million, accounting for 46% of total revenue, showing a continuous increase compared to 2023[29]. - As of December 31, 2024, the total assets of the group amounted to HKD 1,444,500,000, with liabilities of HKD 324,600,000 and equity of HKD 1,119,900,000[35]. - The cash and bank balance as of December 31, 2024, was HKD 811,400,000, an increase from HKD 753,900,000 in 2023[36]. - The asset-liability ratio as of December 31, 2024, was 0.1%, down from 0.3% in 2023, indicating improved financial stability[36]. Market and Product Development - The company launched over 300 new Chinese font designs and received recognition from the China Copyright Protection Center[9]. - The company is advancing AI-assisted font design technology, significantly improving design efficiency and font quality[11]. - The company has expanded its marketing services, enhancing collaboration with design and advertising firms[12]. - The company hosted the 12th Founder Award Design Competition, promoting international collaboration in font design[13]. - The new P6600CHD-33 high-speed inkjet printing machine has achieved excellent sales performance and is now widely used in the national commercial printing market[17]. - The D330HD high-speed inkjet machine has established pilot projects across the country, catering to high-quality printing demands[18]. - The cloud publishing management software, Yunshu 4.0, saw over 40% growth in sales in 2024[18]. - International market revenue for Fangzheng Yinjie has increased several times compared to the previous year, with significant breakthroughs in key markets across Asia and Europe[16]. - The company hosted over ten customer seminars in 2024, with participation numbers reaching hundreds, positively impacting sales orders[18]. - The successful relaunch of the Hongyan POD Alliance events has strengthened Fangzheng Yinjie's brand position and created new business opportunities in the industry[19]. Corporate Governance - The board of directors consists of six executive directors and three independent non-executive directors, with no known relationships among them[48]. - The board held four regular meetings during the year ended December 31, 2024, with all directors confirming compliance with the trading standards set forth[51][47]. - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange listing rules, ensuring accountability and communication with shareholders[45]. - The company is committed to maintaining high standards of corporate governance and has established three board committees: the remuneration committee, nomination committee, and audit committee[53]. - All independent non-executive directors confirmed their independence in accordance with listing rules, ensuring compliance with governance standards[56]. - The company provides monthly updates on performance and outlook to the board, facilitating informed decision-making[54]. - The training for directors is a continuous process, with records of training provided for the year ending December 31, 2024[54]. - The chairman and CEO roles are separated, with the chairman leading the board and the CEO managing daily operations[55]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report outlines the company's performance in fulfilling its responsibilities, covering significant operational activities[85]. - The report confirms that the company has developed appropriate management policies and internal control systems for ESG matters, complying with the guidelines[88]. - The board is responsible for overseeing the company's ESG strategies and reporting, ensuring effective risk management and internal controls are in place[91]. - The company encourages stakeholders to provide feedback on its sustainability performance and reports[89]. - The report includes quantitative key performance indicators for environmental and social aspects, allowing for meaningful comparisons over time[90]. - The total greenhouse gas emissions from purchased electricity in 2024 amounted to 1,025,340 kg CO2 equivalent, showing an increase from previous years[97]. - The average employee's greenhouse gas emissions increased from approximately 670 kg in 2023 to about 714 kg in 2024, primarily due to increased business volume and electricity consumption[100]. - The company has implemented energy-saving measures, including setting air conditioning to a minimum temperature of 25.5 degrees Celsius during office hours[108]. - The company promotes a paperless office environment, utilizing electronic systems to reduce paper usage and circulation[109]. - The company has developed a high-end digital inkjet printing technology that maximizes ink utilization and reduces non-recyclable waste[105]. Employee Welfare and Development - The company has a total of 1,020 employees, with 424 being female, representing 41.6% of the workforce[60]. - The company has implemented a comprehensive welfare system, providing various benefits such as retirement insurance and medical insurance[161]. - The company provides comprehensive medical insurance, personal accident insurance, and aviation accident insurance for employees to enhance their medical benefits[163]. - The company has upgraded 8 old air conditioning units in employee dormitories to improve living quality[164]. - The company offers free health check-ups to employees as part of its welfare initiatives[165]. - The company conducted various training activities in 2024, attracting 5,308 participants, enhancing employee integration into company culture and improving overall capabilities[127]. - A total of 578 employees participated in software certification training, with 10 obtaining intermediate certificates and 11 obtaining advanced certificates[136]. - 52 new employees completed the "Orange Launch" training, enhancing their understanding of company strategy, products, and culture[138]. - 914 participants engaged in R&D knowledge sharing sessions focused on AI-enabled software development and other advanced topics[140]. - The company emphasizes the importance of employee health and safety, with 2 work-related injuries reported in 2024, resulting in 128 lost workdays[126]. Supplier Management - The company emphasizes supply chain management quality, focusing on reducing greenhouse gas emissions and pollutants during transportation[175]. - The company prioritizes local suppliers for hardware products to minimize transportation costs and environmental impact[176]. - The company conducts comprehensive evaluations of suppliers' operational qualifications before collaboration, ensuring they meet environmental standards[178]. - The company has established strict supplier selection rules based on fairness, transparency, and comprehensive assessments of financial health[182]. - The company requires suppliers to have environmental assessment qualifications to avoid negative environmental impacts[184]. - Supplier evaluation dimensions include quality, cost, service, delivery time, financial status, technical capability, and system processes[185]. - The company aims to select environmentally friendly suppliers and products in line with national environmental policies[186]. Intellectual Property Management - The group has established a patent application process to protect its intellectual property[200]. - The technology management department's patent review committee assists in reviewing patent application documents[200]. - The group hires external patent agents to help with patent applications[200]. - Annual evaluations of patents are conducted to abandon invalid patents[200]. - The group performs periodic domestic and international patent alerts to avoid infringement[200].
方正控股(00418) - 2024 - 年度财报