Financial Performance - For the year ended December 31, 2024, the Group's revenue decreased to approximately HK$68.6 million, a decline of about 0.7% compared to HK$69.1 million for the year ended December 31, 2023[20]. - The Group's net loss decreased to approximately HK$37.0 million for the year ended December 31, 2024, down from approximately HK$46.8 million for the year ended December 31, 2023[20]. - The decrease in net loss is primarily attributed to a reduction in loss from the equine services segment[20]. - The Group's financial performance indicates a focus on improving operational efficiency to reduce losses in the equine services segment[20]. - The Group recorded a gross loss of HK$0.7 million for the year ended 31 December 2024, a decrease from a gross loss of HK$3.3 million for the year ended 31 December 2023, representing a reduction of HK$2.6 million[51]. - The total comprehensive expenses attributable to owners of the Company decreased to approximately HK$34.6 million for the year ended 31 December 2024, down 28.7% from approximately HK$48.5 million for the year ended December 31, 2023[65]. - The Group recorded a loss before income tax of approximately HK$37.5 million for the year ended 31 December 2024, a decrease of approximately 19.5% from approximately HK$46.6 million for the year ended December 31, 2023[63]. - Basic and diluted loss per share for the year ended 31 December 2024 was approximately HK9.05 cents, a decrease of approximately 20.9% from HK11.44 cents for the year ended December 31, 2023[66]. Revenue Breakdown - Revenue from the manufacturing and trading of threads dropped to approximately HK$8 million in 2024, down 62.1% from approximately HK$21.2 million in 2023, attributed to decreased sales in both overseas and local markets[37]. - Revenue from interior design and decoration services surged to approximately HK$52.5 million in 2024, an increase of 219.3% from approximately HK$16.5 million in 2023, driven by a new project[38]. - Revenue from equine services fell to approximately HK$6.5 million in 2024, a decrease of 79.3% from approximately HK$31.4 million in 2023, due to price weakness in selected segments of the thoroughbreds market[39]. - Financial services generated approximately HK$1.5 million in revenue for the year ended December 31, 2024[43]. Cost Management - The cost of sales for the manufacturing and trading of threads decreased to approximately HK$11.7 million for the year ended 31 December 2024, down 38.4% from approximately HK$19.0 million for the year ended December 31, 2023[47]. - The cost of sales for interior design and decoration increased to approximately HK$46.3 million for the year ended December 31, 2024, an increase of 278.7% from approximately HK$12.2 million for the year ended December 31, 2023[49]. - The cost of sales for equine services decreased to approximately HK$11.2 million for the year ended December 31, 2024, down 72.6% from approximately HK$41.1 million for the year ended December 31, 2023[50]. - Selling and distribution expenses decreased to approximately HK$2.0 million for the year ended December 31, 2024, down 39.4% from approximately HK$3.3 million for the year ended December 31, 2023[56]. - Administrative expenses decreased to approximately HK$13.9 million for the year ended December 31, 2024, down 35.3% from approximately HK$21.5 million for the year ended December 31, 2023[57]. - Finance costs decreased to approximately HK$3.5 million for the year ended December 31, 2024, down 30.0% from approximately HK$5.0 million for the year ended December 31, 2023[58]. Strategic Direction - The Group's strategic direction includes expanding its service offerings in equine handling and bloodstock trading[21]. - The Group's management is committed to enhancing revenue streams through diversification of services and market expansion[21]. - The Group plans to allocate more resources to expand the interior design and decoration segment in 2025[38]. - The Group anticipates that the interior design, fitting out, and decoration services will become a principal business segment in 2025, with plans to allocate more resources to this area[117]. - The Group aims to source new higher profit margin customers in the interior design segment in 2025[117]. - The equine services segment will adopt a prudent approach to explore business opportunities while maintaining lower operational costs in 2025[118]. - The Group plans to focus on expanding its interior design, renovation, and decoration services, anticipating this segment to become its main business line by 2025[120]. - The Group will allocate more resources to expand the interior design segment and seek new high-margin clients in 2025[120]. Corporate Governance - The Board believes that strong corporate governance practices are essential for safeguarding shareholder interests and ensuring accountability[153]. - The Company has adopted the corporate governance code as per GEM Listing Rules and is committed to regular reviews to meet shareholder expectations[154]. - The Board consists of a mix of executive, non-executive, and independent non-executive Directors, ensuring compliance with GEM Listing Rules regarding board composition[169]. - The Company has confirmed compliance with the required standards of dealings regarding securities transactions by Directors for the year ended December 31, 2024[156]. - The Company has maintained a culture focused on good corporate governance to support business growth and efficient management[153]. - The Company has purchased appropriate insurance to cover directors' liabilities related to legal actions arising from corporate activities, reviewed annually by the Board[171]. - The Group has complied with the CG Code, except for the deviation from code provision A.2.1, which states that the roles of chairman and CEO should be separate[176]. - The Board will continue to review its corporate governance practices to ensure alignment with the Group's needs and stakeholder expectations[154]. Human Resources - As of December 31, 2024, the Group employed a total of 79 employees, a decrease from 123 employees as of December 31, 2023[97]. - The Group's total staff costs for the years ended December 31, 2024, and 2023 were approximately HK$10.2 million and HK$14.2 million, respectively, indicating a reduction of about 28.1%[97]. - The Group's Mandatory Provident Fund Scheme requires both employer and employee contributions at 5% of relevant income, capped at HK$30,000 per month[98]. - All directors participated in a training session during the year ended December 31, 2024, to refresh their knowledge on applicable laws and responsibilities[185]. Stakeholder Engagement - The Group has established a systematic stakeholder communication channel to facilitate positive interactions and promote sustainable growth[109]. - The Group has maintained business relationships with its five largest customers for periods ranging from approximately five to twenty years[112].
维港育马(08377) - 2024 - 年度财报