Revenue and Profit Performance - The company's revenue decreased by approximately SGD 5.01 million or 21.0% from SGD 23.87 million in the previous year to SGD 18.87 million for the year ended December 31, 2024[9]. - The automotive service business in Singapore generated revenue of SGD 17.49 million, a decrease of SGD 3.2 million from the previous year[12]. - The smart kitchen and restaurant brand management segment in China reported revenue of SGD 1.4 million, down by SGD 1.8 million compared to the previous year[12]. - The company achieved a profit of approximately SGD 1.03 million for the year, compared to a loss of SGD 1.53 million in the previous year, primarily due to the sale of a subsidiary in China[9]. - The company's revenue for the year ended December 31, 2024, decreased by approximately SGD 5.01 million or 21.0% to about SGD 18.87 million, down from approximately SGD 23.87 million for the year ended December 31, 2023[17]. - Revenue from Singapore operations declined by 15.6% to SGD 17.49 million, primarily due to a decrease in parts export sales and a slowdown in maintenance and repair service income[17]. - Revenue from mainland China operations fell by 56.1% to SGD 1.38 million, attributed to ongoing macroeconomic challenges leading to cautious customer spending[17]. - Other income and gains increased by approximately SGD 0.75 million or 48.1% to about SGD 2.31 million, mainly due to the sale of a subsidiary in China[18]. - The company recorded a profit of approximately SGD 1.03 million for the year ended December 31, 2024, compared to a loss of approximately SGD 1.53 million in the same period of 2023[23]. - The company reported a pre-tax profit of SGD 1,160,000, compared to a loss of SGD 1,260,000 in 2023[168]. - Net profit for the year was SGD 1,031,000, a significant recovery from a loss of SGD 1,528,000 in the prior year[168]. Operational Focus and Strategy - The company plans to focus on cost control and key operational areas to navigate the challenging economic environment[9]. - The company aims to enhance its service offerings for various passenger car brands, including hybrid and electric vehicles, by ensuring technicians are familiar with advanced repair equipment[10]. - The company is committed to exploring new partnerships and business opportunities to add value to the group in the future[10]. - The company aims to strategically expand its business by diversifying into new industries and geographical locations while maintaining its competitive advantage in traditional automotive services[57]. - The company plans to expand its market presence in China, focusing on automotive sales and services[176]. Financial Position and Cash Flow - The net cash flow from operating activities for the year ended December 31, 2024, was approximately SGD 2.97 million, compared to SGD 2.21 million when excluding the impact of IFRS 16 depreciation[29]. - The company's cash and bank balances increased to approximately SGD 5.35 million as of December 31, 2024, from SGD 2.93 million as of December 31, 2023[29]. - The debt-to-equity ratio as of December 31, 2024, was 0.29, slightly improved from 0.30 as of December 31, 2023[31]. - The company has a total of 130 full-time employees as of December 31, 2024, down from 139 employees as of December 31, 2023[38]. - The company incurred a depreciation expense of SGD 219,000 for property, plant, and equipment in 2024, down from SGD 334,000 in 2023[172]. - The company sold a subsidiary, generating a net cash inflow of SGD 247,000, contributing to the overall financial improvement[170]. - Operating cash flow for the year ended December 31, 2024, was SGD 2,971,000, a substantial increase from SGD 527,000 in 2023[172]. - Cash and cash equivalents increased to SGD 5,351,000 at the end of 2024, up from SGD 2,930,000 at the beginning of the year[173]. Corporate Governance and Board Structure - The board consists of seven members, including three executive directors, one non-executive director, and three independent non-executive directors[42]. - The company has a commitment to high standards of corporate governance, ensuring that the roles of chairman and CEO are not held by the same individual, although currently, they are[56]. - The board has adopted a diversity policy to enhance board member diversity, considering factors such as gender, age, cultural and educational background, and professional experience[58]. - The company has established a code of conduct for directors regarding securities trading, ensuring compliance with GEM listing rules[63]. - The board is responsible for overseeing the company's financial performance, including liquidity, working capital, and capital expenditure requirements[62]. - The audit committee held three meetings in the fiscal year ending December 31, 2024, reviewing the group's interim and annual financial performance[70]. - The company has maintained at least three independent non-executive directors, ensuring compliance with GEM listing rules regarding independence[68]. - The board is tasked with formulating overall strategy and reviewing financial performance, including significant transactions such as acquisitions and capital expenditures[69]. - The company has established a remuneration committee to review the compensation policy based on operational performance and market practices[126]. Risk Management and Compliance - The company has established policies and procedures to identify, assess, and manage significant risks, including ESG risks, with the board responsible for maintaining effective risk management systems[83]. - The company has implemented a whistleblowing policy applicable to all directors and employees, providing a confidential reporting channel for misconduct[87]. - The anti-corruption policy prohibits any form of corruption, bribery, extortion, fraud, or money laundering, and is part of the corporate governance framework[88]. - The company has complied with all relevant laws and regulations without any significant violations during the year[134]. Shareholder Engagement and Communication - The company emphasizes the importance of ongoing communication with shareholders through various channels, including announcements and quarterly reports[96]. - The company plans to distribute future corporate communications electronically, effective December 31, 2024, unless shareholders request printed copies[97]. - The company encourages shareholders to participate in all general meetings and provides avenues for submitting opinions and suggestions[96]. - The company is committed to compensating reasonable expenses incurred by shareholders if the board fails to convene a special meeting within 21 days of a request[91]. Market and Industry Context - The company operates primarily in the automotive sector, including maintenance, modification, financing, and sales of passenger vehicles[102]. - Regulatory factors in Singapore, such as the Certificate of Entitlement (COE) system, may significantly impact the company's business operations[103]. - The company acknowledges that its reputation and consumer perception of service quality are critical to its business success[101]. - The company's business performance is subject to risks related to negative publicity and customer complaints, which could adversely affect financial results[101]. Share Capital and Securities - The company plans to issue up to 400,000,000 shares at a placement price of HKD 0.04 per share, which was completed on January 23, 2025[35]. - As of December 31, 2024, the company had a total of 2,000,000,000 shares issued, with the largest shareholder holding approximately 29.54%[116]. - The company adopted a share option scheme on October 21, 2016, which is set to expire on October 20, 2026[118]. - The company did not engage in any purchase, sale, or redemption of its listed securities during the year ending December 31, 2024[110]. - There were no changes in the company's share capital for the year ending December 31, 2024, as detailed in the financial statements[109]. Financial Reporting and Audit - The financial statements were prepared in accordance with International Financial Reporting Standards and the disclosure requirements of the Hong Kong Companies Ordinance[156]. - The audit was conducted in compliance with International Auditing Standards, ensuring the independence of the auditors[157]. - The audit report indicates that the consolidated financial statements fairly reflect the group's financial position and performance as of December 31, 2024[156]. - The company has adopted consistent and appropriate accounting policies, making reasonable judgments and estimates in accordance with applicable accounting standards[77]. - The independent auditor's responsibility is to express an opinion on the financial statements prepared by the board, ensuring transparency and compliance with GEM listing rules[77].
中食民安(08283) - 2024 - 年度财报