Financial Performance - For the fiscal year 2024, the company reported revenue of approximately HKD 296.4 million, a decrease of 3.8% compared to HKD 308.2 million in 2023[8] - The gross profit for the fiscal year 2024 was HKD 59.2 million, with a gross margin of 20.0%, an increase of 0.7 percentage points from 19.3% in 2023[8] - The net loss from continuing operations for the fiscal year 2024 was HKD 67.5 million, representing an increase in loss of 24.4% compared to HKD 54.2 million in 2023[8] - The company reported a significant reduction in loss from discontinued operations, with a loss of HKD 19.1 million in 2024, down 74.5% from HKD 75.1 million in 2023[8] - The basic and diluted loss per share for the company was HKD 6.5 cents, a decrease of 20.7% from HKD 8.2 cents in 2023[8] - The net loss for FY2024 was approximately HKD 86.6 million, an improvement from a net loss of approximately HKD 129.3 million in FY2023[47] Business Developments - The company announced the termination and sale of its AI vending machine business due to ongoing losses and challenges in the Chinese consumer market[16] - A new business segment focused on last-mile delivery systems for chain supermarkets using electric motorcycles was established in December 2024[16] - The company plans to develop a new business segment related to last-mile delivery systems for chain supermarkets, capitalizing on the growing demand for instant retail delivery in China[27] - The company established Fengcai Intelligent Digital Technology (Shenzhen) Co., Ltd. to operate the new last-mile delivery service for chain supermarkets[27] - The company aims to provide integrated smart operation services for chain supermarkets, leveraging its existing camera products for monitoring delivery processes[19] - The company anticipates that the new last-mile delivery service will diversify its business and increase revenue sources starting from fiscal year 2025[30] Cost Management - The company plans to further reduce operating costs and actively develop market-oriented businesses and products to improve financial performance[19] - Selling and distribution expenses significantly decreased by approximately 21.6% to about HKD 22.0 million in FY2024 from HKD 28.0 million in FY2023, mainly due to a reduction in salaries and benefits for sales and marketing staff by about HKD 2.0 million[40] - Administrative expenses slightly decreased by approximately 3.7% to about HKD 47.1 million in FY2024 from HKD 48.9 million in FY2023, attributed to strict cost control measures[41] - R&D costs decreased significantly by approximately 21.3% to about HKD 30.4 million in FY2024 from HKD 38.7 million in FY2023, mainly due to a reduction in salaries and benefits for R&D staff by about HKD 6.4 million[42] Governance and Board Structure - The company has adopted the corporate governance code as the basis for its governance practices, ensuring accountability and transparency[93] - The board consists of two executive directors and three independent non-executive directors, maintaining a high level of independence for effective decision-making[100] - The company has established a formal function outline that delineates the powers reserved for the board and those delegated to management[98] - The company has complied with the standard code for securities trading by directors throughout the 2024 fiscal year[95] - The board believes that having Mr. Tang serve as both Chairman and CEO provides strong and unified leadership, beneficial for the company's development[94] - The company has a strong board with members possessing diverse expertise in finance, investment, and corporate governance[82] Risk Management - The company has implemented risk management policies to achieve its strategic objectives[98] - The risk management office coordinates the company's risk management efforts and reports on significant risks at each scheduled meeting[147] - The internal audit department adopts a risk and control-based audit approach, providing independent assurance to the board and audit committee regarding the effectiveness of internal controls[149] - The company integrates its risk management system into core operational routines, continuously assessing potential risks that may impact business objectives[152] - The audit committee and board confirmed that they are unaware of any circumstances that could significantly impact the group's financial position or operational performance, deeming the risk management and internal control systems effective[156] Shareholder Communication and Dividends - The company maintains open communication with shareholders and regularly reviews communication channels to ensure effectiveness, achieving satisfactory results throughout the fiscal year 2024[167] - The company has adopted a dividend policy aimed at providing stable and sustainable returns to shareholders, considering financial status, operational needs, and future expansion plans when proposing dividends[158] - No final dividend is recommended for the fiscal year 2024, consistent with the previous fiscal year[173] Employee and Board Diversity - The company has adopted a diversity policy for board members, focusing on gender, age, cultural background, and professional experience[114] - The current gender ratio among board members is four males to one female, with efforts to maintain and gradually increase female representation[115] - The employee gender ratio, including senior management, is approximately 1:1.3[115] - The nomination committee monitors the implementation of the nomination policy and reports annually to the board[113] Audit and Compliance - The independent auditor's report confirms that the directors are responsible for preparing the financial statements for the fiscal year 2024[125] - The Audit Committee held three meetings in the 2024 fiscal year to discuss financial reporting and risk management matters[129] - The company has adopted accounting standards and practices relevant to its financial reporting[130] - The company appointed Deloitte Touche Tohmatsu as its external auditor for the fiscal year 2024, with audit fees amounting to HKD 1.6 million approved by the board[140] Environmental and Social Responsibility - The company has implemented environmental measures and encourages employees to reduce energy consumption and waste[188] - The company did not make any charitable donations in the fiscal year 2024, consistent with the previous fiscal year[183] - The company has no significant disputes with business partners, including customers and suppliers, during the fiscal year 2024[189]
天彩控股(03882) - 2024 - 年度财报