Financial Performance - For the year ended December 31, 2024, the revenue was HK$166,181,000, a significant increase of 156% compared to HK$64,989,000 in 2023[15]. - The loss attributable to the owners of the Company for 2024 was HK$34,726,000, compared to a profit of HK$2,313,000 in 2023[15]. - As of December 31, 2024, total shareholders' equity was HK$400,139,000, down from HK$430,465,000 in 2023, representing a decrease of approximately 7%[18]. - The Group recorded total revenue of approximately HK$166.2 million for FY2024, a significant increase from HK$65.0 million in FY2023, while incurring a loss of approximately HK$34.8 million compared to a profit of HK$2.5 million in the previous year[53]. - The basic and diluted loss per share for FY2024 was approximately HK$4.15 cents, compared to earnings per share of HK$0.15 cents in FY2023[54]. - As of December 31, 2024, the consolidated net assets of the Group were approximately HK$400.1 million, a decrease from HK$430.5 million in FY2023[54]. - The Group's cash and cash equivalents decreased to approximately HK$47,842,000 as of December 31, 2024, down from HK$81,075,000 as of December 31, 2023[99]. - The Group's gearing ratio as of December 31, 2024, was approximately 2.9%, an increase from 2.1% as of December 31, 2023[165]. Longevity Science Business - The Company is focused on becoming a world-leading platform for global cellular medical sciences across the entire industry chain[20]. - The Company aims to optimize resource allocation and strengthen core competitiveness in the longevity science business[20]. - The Company has made steady progress in advancing its strategic plans amid a recovering global economy[20]. - The Chairman emphasized the commitment to establishing a world-leading platform for the transformation and application of longevity science[20]. - In 2024, the longevity biological products segment achieved significant sales revenue growth, driven by optimized research, development, and production processes, as well as market expansion through joint ventures and mergers[22][25]. - The longevity management sector has enhanced service quality and established longevity management centers in major cities, with early successes noted in Hong Kong and Shenzhen, contributing to the brand's growing influence in high-quality health services[23][25]. - The longevity science business contributed approximately HK$142.0 million in revenue for FY2024, but reported a segment loss of approximately HK$17.6 million[53]. - The revenue from the longevity science segment amounted to approximately HK$142,016,000 for FY2024, a significant increase from HK$31,326,000 in FY2023[77]. - Approximately HK$39,605,000 of the revenue in the longevity science segment was generated from diagnostic consultation and medical testing, while HK$102,411,000 was from sales of longevity biological products[77]. - The segment incurred a loss of approximately HK$17,559,000 in FY2024, an improvement from a loss of HK$24,016,000 in FY2023, indicating a positive trend despite ongoing challenges[81]. Money Lending and Financial Advisory Business - The money lending and financial advisory business is recovering steadily, although market constraints on secured home loans persist due to subdued property transactions in the PRC[35]. - The money lending and financial advisory business generated static revenue of approximately HK$24.2 million in FY2024, down from HK$33.7 million in FY2023, but increased segment profit to approximately HK$34.4 million from HK$25.4 million[58]. - The Group's strategic partners in the money lending business include FOTIC, Fanhua, and Haier, with ongoing negotiations to monetize portions of the loan portfolio[61]. - The average loan size for first mortgages under FOTIC and ShanXi was approximately RMB0.86 million, with interest rates ranging from 8.4% to 19.2% for FY2024[120][124]. - The average loan size for first and second mortgages under Fanhua and Haier was approximately RMB0.2 million, with interest rates ranging from 12% to 18% for FY2024[124]. - The Group's strategic partners loan assets were accounted as other receivables for approximately HK$172,917,000 before impairments as of December 31, 2024[127]. - The top five borrowers accounted for approximately 89.19% of the total loan and interest receivables of the Group as of December 31, 2024, an increase from 79.93% in 2023[134]. - The Group is required to maintain a risk provision top-up fund equivalent to 20-30% of the initial loan principals borrowed by customers referred to Fanhua and Haier[117]. - The Group earns various fees including loan origination fees, management service fees, recovery fees, and accrued interest income from strategic partners[119]. Operational Challenges and Strategic Initiatives - The Company faced operational challenges due to a license revocation by the Hong Kong Department of Health, resulting in the loss of past rental expenses and capital expenditures[47]. - The Company has restructured its operations and restored business partnerships following a police investigation into former employees, which was confirmed to be unrelated to the company itself[36]. - The Group is focusing on expanding its longevity science business through membership programs and distribution channels, targeting anti-cancer, anti-aging, and knee joint health products[50]. - The Group's approach to the money lending business has been prudent due to a sluggish sentiment in the PRC property market, resulting in a static performance[52]. - The Group plans to continue monitoring market conditions to seek suitable tenants for stable rental income or consider disposing of investment properties for capital appreciation[86]. - The Group has initiated recovery actions on previously impaired loans, indicating a proactive approach to asset management[134]. Corporate Governance and Management - The Company has a diverse board with members holding significant experience in innovation, finance, and corporate governance, enhancing strategic decision-making capabilities[195][196][197][200]. - The board's composition includes professionals with backgrounds in healthcare, investment, and media, indicating a multifaceted approach to market expansion and product development[195][196][200]. - The Company is focused on leveraging the expertise of its directors to drive growth and explore new market opportunities[195][196][197][200]. - The presence of directors with international experience suggests potential for global partnerships and collaborations in future projects[195][196][200]. - The board's commitment to risk management and governance is reflected in the establishment of various committees, including audit and remuneration[197][199]. Future Outlook and Strategic Plans - Looking ahead to 2025, the company aims to become the "Global Leader in Longevity Science," focusing on technology leadership, innovation-driven growth, and global expansion while increasing investment in research and development[28][31]. - The company plans to integrate AI with longevity technology by establishing an AI longevity technology joint laboratory, aiming for early disease prediction and personalized health management solutions[29][31]. - The Group plans to operate under a light asset model to reduce operational pressure and risk while expanding its longevity science business through potential joint ventures[177]. - The company aims to enhance its position in the longevity science and biomedical sectors through strategic investments and expansions[182][183].
中基长寿科学(00767) - 2024 - 年度财报