Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue decreased by 2.3% to HKD 245.49 million compared to HKD 251.22 million in 2023[14]. - The net profit for the same period fell by 67.2% to HKD 12.97 million, down from HKD 39.50 million in 2023, primarily due to one-time listing expenses of approximately HKD 19.2 million[9][14]. - Revenue decreased by approximately HKD 5.7 million or 2.3%, from HKD 251.2 million in FY2023 to HKD 245.5 million in FY2024[18]. - Total profit for FY2024 was approximately HKD 13.0 million, a decrease of approximately HKD 26.5 million or 67.2% compared to HKD 39.5 million in FY2023[31]. - Adjusted net profit for FY2024 was approximately HKD 32.1 million, down approximately HKD 7.4 million or 18.6% from HKD 39.5 million in FY2023[31]. Retail and Wholesale Performance - Retail sales increased by 16% in the fiscal year 2024, driven by the opening of 10 new stores, despite a 7.3% contraction in total retail sales in Hong Kong[9]. - Retail business revenue increased by approximately HKD 20.4 million or 16.3%, from HKD 125.3 million in FY2023 to HKD 145.6 million in FY2024, driven by the expansion of retail stores from 16 to 33[20]. - Wholesale business revenue decreased by approximately HKD 23.8 million or 20.2%, from HKD 118.0 million in FY2023 to HKD 94.2 million in FY2024, primarily due to reduced demand from the largest customer[22]. - Consignment revenue decreased by approximately HKD 2.3 million or 28.7%, from HKD 8.0 million in FY2023 to HKD 5.7 million in FY2024, affected by the overall decline in retail sales in Hong Kong[23]. Strategic Plans and Expansion - The company plans to expand its retail network and enhance its e-commerce platform in 2025, aiming to diversify its wholesale business and reduce reliance on any single customer[9][10]. - The company is exploring opportunities to expand into mainland China in 2025, targeting unique market characteristics to ensure effective responses to regulatory and competitive environments[10]. - The company plans to strategically expand its retail business by opening 10 new stores in FY2024, which is expected to boost retail sales[17]. - Future investments will focus on retail network expansion, improving the e-commerce platform, and increasing wholesale business[52]. - The company is exploring opportunities to expand its business into China, particularly the Greater Bay Area and Southeast Asia by 2025, aiming to diversify revenue sources and reduce reliance on the Hong Kong market[53]. Corporate Governance and Management - The company emphasizes a commitment to sustainable development and corporate governance standards following its successful listing on December 19, 2024[8]. - The board consists of seven members, including three executive directors, one non-executive director, and three independent non-executive directors[78]. - The company has adopted the standard code of conduct for securities trading by directors as per the listing rules[74]. - The company is committed to high levels of corporate governance and has complied with all applicable codes during the reporting period[73]. - The board is responsible for formulating corporate policies, business strategies, and risk management[75]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report covers the fiscal year ending December 31, 2024, focusing on key strategies, initiatives, and performance related to ESG matters[136]. - The group applies four reporting principles: materiality, quantification, balance, and consistency to ensure transparency and credibility in ESG disclosures[137][138][139][140]. - The group actively engages with stakeholders to identify ESG priorities, emphasizing the importance of open dialogue for business sustainability[143][145]. - The company has implemented standardized quality control procedures to ensure product safety and compliance with relevant laws and regulations[152]. - The company has adopted various environmental measures to reduce energy consumption and packaging usage in its operations[168]. Employee and Workforce Management - Total number of employees as of December 31, 2024, is 247, with 31 males and 216 females[185]. - Employee turnover rate is 29% for males and 54% for females, with a total turnover rate of 51% in Hong Kong[185]. - Training completion rate is 45% for male employees with an average of 24.5 hours of training, and 57% for female employees with an average of 37.1 hours[187]. - The company has maintained a zero-accident record with no work-related fatalities or injuries reported in the past three years[189]. - The organization has a strict zero-tolerance policy towards corruption and bribery, ensuring compliance with relevant laws[190]. Financial Position and Capital Management - Non-current assets increased to HKD 44.53 million in 2024 from HKD 29.00 million in 2023, while current assets rose to HKD 197.47 million from HKD 112.05 million[15]. - The company's net asset value improved significantly to HKD 187.18 million in 2024, compared to HKD 90.63 million in 2023[15]. - As of December 31, 2024, the group has no outstanding bank borrowings, resulting in a capital debt ratio of 0%, compared to approximately 7.1% in 2023[37]. - Cash and cash equivalents as of December 31, 2024, are approximately HKD 119.2 million, significantly higher than HKD 22.5 million in 2023[36]. - The company plans to issue 33,333,600 shares at a price of HKD 3.75 per share, with net proceeds estimated at approximately HKD 94.4 million after deducting underwriting fees and other expenses[55].
草姬集团(02593) - 2024 - 年度财报