Financial Performance - For the year ended December 31, 2024, the Group recorded a revenue of approximately HK$39 million, representing a decrease of approximately 20% compared to the financial year of 2023[16]. - The net loss attributable to shareholders for the year was approximately HK$19 million, an increase of approximately HK$6 million from approximately HK$13 million for the corresponding period in 2023[16]. - The overall retail market performance remained depressed in 2024, with many retail entities going out of business due to low consumer confidence[16]. - The net loss attributable to shareholders for the year was approximately HK$19 million, an increase from a net loss of approximately HK$13 million in 2023, primarily due to a 38% decrease in revenue from securities brokerage and money lending businesses[89][92]. - The Group's bank balances totaled approximately HK$22 million as of December 31, 2024, down from approximately HK$31 million in 2023, with a current ratio of approximately 26 times compared to 13 times in 2023[94][99]. - The market value of the Company as of December 31, 2024, was approximately HK$253 million, a significant decrease from approximately HK$1,220 million in 2023[104][108]. - The consolidated net asset value attributable to shareholders per share as of December 31, 2024, was approximately HK$0.67, down from approximately HK$0.84 in 2023[105][108]. Business Strategy - The Company plans to focus on consolidating its existing business rather than pursuing rapid expansion, particularly in its integrated financial services business[20]. - The Group's cautious approach to business development will prioritize stability over aggressive growth strategies in the current economic climate[20]. - The Company plans to exit the corporate finance business by surrendering its Type 6 license effective February 11, 2025, due to minimal business activity since inception[25]. - The Group intends to make equity investments for long-term purposes, aiming to realize their performance over the long run[38]. - The Group will continue to monitor market dynamics and adjust strategies accordingly in its financial services expansion[25]. - The management is committed to maintaining momentum in expanding financial services and securities brokerage operations, which are expected to remain core and profitable[54]. Market Outlook - The Group anticipates gradual improvement in the business environment in Hong Kong and China for 2025, driven by easing credit policies and government financial incentives[22]. - The Company expects the high interest rate regime to peak in 2025 and begin to reverse in the second half of the year, which may improve the global economic and financial market environment[22]. - Recent successes in entertainment, such as the "PS5 game-Black Wukong" and the animated film "Ne Zha 2," are expected to positively impact the Chinese market and overall economy[22]. - The securities brokerage and related services sector is expected to improve performance in 2025, remaining a significant contributor to the Group's operations and profits[25]. Financial Services - The Integrated Financial Services remains the core business of the Group, which includes securities brokerage, asset management, and money lending services[39]. - The securities brokerage and asset management segment generated total revenue of approximately HK$26 million for the Group[53]. - Imagi Brokerage is a key contributor to the Group's business, expected to generate revenue through various financial services[48]. - The Group aims to attract more customers through acquisitions and strategic alliances with local securities brokerage firms[52]. - The management believes that the securities brokerage operations will continue to be a sustainable business in the foreseeable future[56]. - Imagi Lenders focuses on providing sizeable loans to niche customers, including corporate clients and high-net-worth individuals[58]. - The loan approval process includes a thorough credit assessment based on various factors, including market conditions and borrower financial strength[63]. - Imagi Lenders has established internal control policies to monitor credit risk continuously[60]. - Total interest income generated from the money lending business was approximately HK$6 million, with interest rates ranging from 4% to 12% per annum[73]. - As of December 31, 2024, outstanding loans receivable amounted to approximately HK$154 million, owed by 13 customers[74]. - Approximately HK$11 million impairment allowances were provided on the outstanding loans receivable of approximately HK$154 million as of December 31, 2024[74]. Corporate Governance - The Company has complied with the Corporate Governance Code provisions during the Year under Review, enhancing accountability and transparency[137]. - The Company recognizes the importance of good corporate governance for stakeholders and has adopted the principles outlined in the Corporate Governance Code[136]. - The Company has established a robust corporate governance framework to support its strategic objectives and stakeholder interests[142]. - The Board consists of a minimum of three independent non-executive Directors, representing at least one-third of the Board, ensuring high standards of financial reporting and safeguarding shareholder interests[146]. - Each independent non-executive Director has provided written annual confirmation of their independence, in compliance with Listing Rules[147]. - The Company has established a Board Diversity Policy to enhance decision-making by incorporating diverse perspectives, focusing on measurable objectives[178]. - The Nomination Committee is responsible for reviewing the structure and composition of the Board at least annually to ensure a balanced and diverse profile[186]. - The Company recognizes that gender diversity at the Board level enhances governance and corporate performance[188]. Human Resources - The total staff cost for Directors and employees for the year amounted to approximately HK$17 million, unchanged from 2023[112]. - The Group employed 37 employees as of December 31, 2024, down from 40 employees in the previous year[114]. - The Group's compensation policy is regularly reviewed to ensure compliance with local labor laws and market practices[114]. - Eligible employees may receive bonuses and stock options based on individual performance and the Group's business performance[114]. - The Company is committed to maintaining a competitive compensation structure to attract and retain talent[114]. - Continuous professional development is encouraged for all directors to keep their knowledge and skills relevant[171]. - The Company aims to maintain a minimum percentage of female representation on the Board of at least 25%, with current female Directors representing 33.3% of the total Board members[192]. - As of December 31, 2024, the workforce consists of 46% male employees and 54% female employees, reflecting the Company's commitment to gender diversity[193].
元汇集团(00585) - 2024 - 年度财报