Financial Performance - The Group's revenue for 2024 was USD 14.0 million, a year-on-year decrease of 37.8% from USD 22.5 million in 2023[15] - Gross profit for the year decreased by 10.1% year-on-year to USD 8.4 million[15] - The basic loss per share for 2024 was 11.8 US cents, compared to 4.3 US cents in 2023[15] - For the year ended December 31, 2024, the Group recorded revenue of approximately USD 10.8 million from CAM, a decrease of about 2.7% year-on-year, accounting for approximately 77.1% of total revenue[26] - Revenue from the Group's IC solutions was approximately USD 0.7 million, representing about 5% of total revenue, with a significant decrease of 91.7% compared to 2023 due to the completion of a major sales order[37] - Intelligent sense sales revenue for 2024 was approximately USD 2.5 million, down from USD 3.0 million in 2023, accounting for 17.9% of total revenue[42] - The gross profit for the year ended December 31, 2024, was USD 7.5 million, a decrease of 10.1% compared to 2023, with a gross profit margin of 53.9%[49] - Other income, mainly from government subsidies for research and development, was USD 6.3 million, a decrease of 12.7% compared to 2023[50] - Research and development expenses decreased by 3.2% to USD 10.9 million for the year ended December 31, 2024, remaining approximately at the same level as the previous year[57] - Selling and distribution expenses increased by 15.3% to USD 1.6 million, primarily due to increased marketing efforts in the intelligent sense business[58] - The Group reported a loss of USD 38.9 million for the year ended December 31, 2024, compared to a loss of USD 14.2 million in 2023, mainly due to losses from associated companies[61] Market and Product Development - The newly developed ultra-wideband (UWB) integrated solution is entering the evaluation stage for the Southeast Asian market[16] - The Group is actively promoting new products across various channels, including operators and hotels, to implement major projects[17] - The Group aims to leverage the European market for IC solutions while expanding into Southeast Asia[21] - The intelligent sensing production line will optimize production and enhance market expansion efforts[22] - Pressure sensing products will collaborate with leading battery manufacturers to expand energy storage scenarios[22] - Health products, such as foot pressure walkways, are being introduced to overseas markets to seek potential opportunities[22] - The Group is actively exploring the new energy sector, developing multi-form products tailored for the European and Southeast Asian markets, with ongoing testing and certification processes[39] - The Group's new generation of CAM shipments increased in 2024, with major European operators driving demand, particularly in German-speaking regions and the Balkan Peninsula[32] - Emerging markets, including Southeast Asia, are being targeted for the development of Ultra Wideband integrated solutions, with collaborations already initiated[33] - The Group aims to leverage the USB CAM project to tap into existing market opportunities among major European operators[97] - The Group is focusing on emerging markets like India and South Africa, promoting products through local distribution channels[97] Governance and Management - The Company has been in compliance with the principles and code provisions set out in the CG Code during the year ended 31 December 2024, except for the separation of the roles of Chairman and CEO[105] - Mr. Huang Xueliang has served as both Chairman and CEO during the year ended 31 December 2024, which the Board believes ensures strong and stable leadership[107] - The Board consists of seven directors, including three executive directors, two non-executive directors, and three independent non-executive directors[111] - The Board held four meetings during the year ended 31 December 2024, fulfilling its obligation to comply with the CG Code[117] - The Company has mechanisms in place to ensure independent views and input are available to the Board, including the appointment of independent non-executive directors[123] - The Board committees, including the Nomination, Remuneration, and Audit Committees, assist in the full performance of corporate governance duties[125] - The Company held one general meeting during the year ended 31 December 2024[117] - The Board is responsible for formulating the Company's business plans, investment plans, and annual budget[112] - The Company will continue to review the implementation and effectiveness of its governance mechanisms annually[123] - There are no financial, business, family, or other material/connected relationships among the Directors[124] - The Nomination Committee conducted an annual review of the Board's structure, number of members, and composition during the year ended December 31, 2024[134] - The Remuneration Committee reviewed the Group's remuneration policy and structure, determining the annual remuneration for Directors and senior management members[149] - The Board reserves the right to approve all major matters, including financial information and material transactions[127] - The daily management and operation of the Group are delegated to senior management, with periodic reviews by the Board[132] Risk Management - The Board is responsible for the risk management and internal control system, assessing the nature and extent of risks the Company is willing to take[184] - The Company has established a risk management workflow covering identification, assessment, response, monitoring, and reporting to systematically manage risks[197] - The risk management structure includes the Board, Audit Committee, and Risk Management Committee to oversee and implement risk management policies[192] - The management is responsible for designing and maintaining an effective risk management and internal control system[184] - The Company aims to improve its risk management system while enhancing its ability to mitigate risks[188] - The risk management process involves identifying risk factors, assessing their likelihood and potential impacts, and adopting measures to address them[197] - The Company provides reasonable assurance that there will be no material misstatements or losses through its risk management systems[185] - The risk management coordinator promotes risk identification and evaluation at the department level and submits reports to the Risk Management Committee[194] Employee and Operational Insights - The Group employed approximately 179 employees as of December 31, 2024, an increase from 158 employees as of December 31, 2023, with 165 based in Mainland China[91] - Total staff costs for the year ended December 31, 2024, amounted to USD 10.4 million, representing 74.1% of the Group's total revenue[91] - The Group's remuneration policy and packages for employees are periodically reviewed to attract and retain qualified personnel[93] - All Directors participated in continuous professional development during the year ended December 31, 2024[160] - Ms. Chen Ying was appointed as an executive Director on August 2, 2024, and confirmed her understanding of her responsibilities[157] - The Board had at least three independent non-executive Directors during the year, ensuring compliance with the Listing Rules[169] - The Company has adopted a code of conduct for securities transactions by Directors, confirming full compliance during the year ended December 31, 2024[170] Audit and Financial Reporting - The Audit Committee held two meetings during the year ended December 31, 2024, to fulfill its responsibilities[155] - The remuneration paid to PricewaterhouseCoopers for audit and review services was USD 316,000 in 2024, an increase from USD 264,000 in 2023[174] - Non-audit services provided by PricewaterhouseCoopers amounted to USD 40,000 in 2024, down from USD 51,000 in 2023[174] - The total auditor's remuneration for 2024 was USD 356,000, compared to USD 315,000 in 2023, reflecting a year-over-year increase of approximately 13%[174] - The Audit Committee received confirmation of the independence and objectivity of the current auditor, PricewaterhouseCoopers[173] - The Directors confirmed their responsibility for preparing the consolidated financial statements for each financial year[176] - The Directors acknowledge their responsibility for preparing consolidated financial statements to provide a true and fair view of the Group's conditions[177] - The Group has applied appropriate accounting policies consistently and followed all applicable accounting standards in preparing the financial statements[182]
国微控股(02239) - 2024 - 年度财报