Financial Performance - The company recorded revenue of approximately HKD 80.7 million for the fiscal year ending December 31, 2024, achieving a profit of HKD 17.5 million, compared to a loss of HKD 7.9 million in 2023[10]. - Total revenue increased by approximately HKD 3,600,000, from approximately HKD 77,100,000 for the year ended December 31, 2023, to approximately HKD 80,700,000 for the year ended December 31, 2024[34]. - The group recorded a net other income of approximately HKD 13,500,000 for the year ended December 31, 2024, compared to a loss of HKD 2,200,000 for the year ended December 31, 2023[44]. - The group’s attributable profit increased from a loss of approximately HKD 7,900,000 for the year ended December 31, 2023, to a profit of approximately HKD 17,500,000 for the year ended December 31, 2024, mainly due to credit loss reversals and financial impacts from the sale of subsidiaries[46]. - The expected credit loss reversal for the year was approximately HKD 8,800,000, compared to HKD 3,800,000 for the previous year[33]. Business Strategy - The company aims to focus on its core contact center business while seeking opportunities for partnerships to expand its business depth and breadth[11]. - The company emphasized the importance of strategic partnerships in artificial intelligence to enhance service efficiency and value for customers[10]. - The company decided to sell its lending business for HKD 11 million on December 20, 2024, in response to a weak local property market and high bankruptcy applications[11]. - The company completed the strategic decision to divest its lending business, Gear Credit Limited, generating approximately HKD 3,644,000 in proceeds[15]. - The company is investing in advanced technologies and collaborating with local AI firms to integrate AI capabilities into its contact center solutions[26]. Market Conditions - The local unemployment rate remained at 3.1%, indicating a strong and active labor market throughout the period[13]. - The company continues to face upward pressure on recruitment costs and employee wages due to a tight labor market[13]. - The company remains cautiously optimistic about the growth potential of its personnel dispatch services, anticipating a low unemployment rate and a tight labor market[25]. - The company experienced a slight revenue growth despite a challenging business environment, with the local GDP growing by approximately 2.5% during 2024[13]. Revenue Breakdown - Revenue from outsourced inbound customer contact services increased from approximately HKD 14,479,000 to approximately HKD 16,174,000, representing a growth of about 11.7%[35]. - Revenue from personnel dispatch services rose from approximately HKD 49,574,000 to approximately HKD 52,638,000, reflecting an increase of about 6.2%[36]. - Revenue from customer contact center and equipment management services decreased from approximately HKD 9,400,000 for the year ended December 31, 2023, to approximately HKD 5,200,000 for the year ended December 31, 2024, primarily due to reduced demand[37]. - Revenue from system and software licensing and sales increased to approximately HKD 4,500,000 for the year ended December 31, 2024, compared to approximately HKD 1,500,000 for the year ended December 31, 2023[38]. Corporate Governance - The company has maintained compliance with all corporate governance codes as of December 31, 2024[59]. - The board currently consists of one executive director and three independent non-executive directors, which does not meet the minimum requirement of three independent directors as per GEM listing rules[61]. - The company has established a nomination committee to review the board's structure and recommend suitable candidates for vacancies[73]. - The board is responsible for ensuring financial statements are prepared in accordance with legal requirements and applicable accounting standards[87]. - The board is committed to maintaining independence, with all independent non-executive directors confirming their independence status[64]. Environmental, Social, and Governance (ESG) - The company has established measurable goals for environmental, social, and governance (ESG) areas, including greenhouse gas emissions, energy and water consumption, and waste management[115]. - The company is committed to integrating sustainability into business decisions and practices, focusing on energy conservation, waste reduction, and recycling initiatives[115]. - The total greenhouse gas emissions decreased by approximately 11.4% from about 160.72 tons CO2e in 2023 to approximately 142.39 tons CO2e in 2024 due to more effective fuel and energy-saving measures[138]. - The company has implemented an environmental policy to encourage responsible use of resources and reduce waste[141]. - The group aims to maintain zero incidents of corruption and fraud across all business operations, with zero incidents reported in 2023[125]. Employee Management - The average employee turnover rate for the year ending December 31, 2024, is 7.6%, down from 10.6% in 2023[168]. - The company has a total of 258 employees as of 2023, with a gender distribution of 42% male (109) and 58% female (149)[168]. - The company maintains a comprehensive performance management system to identify promotion opportunities and assess employee contributions[163]. - A variety of employee benefits are provided, including annual leave, medical coverage, and professional development opportunities[163]. - The organization conducted workplace safety training, enhancing emergency response skills among employees[170]. Compliance and Risk Management - The company has implemented a comprehensive data protection framework, achieving ISO 27001 certification since 2011, and adheres strictly to the Personal Data (Privacy) Ordinance in Hong Kong[187]. - The company has not reported any significant violations of health and safety regulations during the reporting period, with one workplace injury recorded in 2024 compared to one in 2023[175]. - The company has established a systematic approach to monitor emerging climate-related policies to ensure compliance and reduce associated risks[157]. - The company has implemented measures to mitigate climate-related risks, including flexible work arrangements and business continuity plans to ensure operational resilience[156]. - The group has established a comprehensive anti-corruption policy, with strict adherence to the Prevention of Bribery Ordinance[191].
易通讯集团(08031) - 2024 - 年度财报