Financial Performance - The total market value of the group's investment properties as of December 31, 2024, is approximately HKD 604.1 million, a decrease of about HKD 247.3 million compared to 2023[9]. - Rental income for the year ended December 31, 2024, is approximately HKD 26.8 million, a decrease of about 3.5% from 2023, primarily due to increased rental concessions[10]. - The net loss for the year ended December 31, 2024, is approximately HKD 234.3 million, compared to a net loss of HKD 47.1 million in 2023[13]. - Revenue for the fiscal year 2024 was HKD 26.8 million, a decrease from HKD 27.8 million in 2023, representing a decline of approximately 3.6%[20]. - The annual loss attributable to equity holders of the company was HKD 234.3 million in 2024, compared to HKD 47.1 million in 2023, indicating a significant increase in losses[20]. - The total equity attributable to equity holders was HKD 608.0 million as of December 31, 2024, down from HKD 882.3 million in 2023, a decrease of approximately 30.9%[20]. - The basic loss per share for 2024 was HKD 0.6066, an increase from HKD 0.1219 in 2023, reflecting a worsening financial performance[33]. Investment Properties - The fair value of the group's investment properties decreased by approximately HKD 247.3 million in 2024, reflecting the overall market conditions for commercial retail and residential investment properties in Hong Kong[13]. - The fair value of the investment in the Epic Capital Development Fund I, L.P. is approximately HKD 55.7 million as of December 31, 2024, down from HKD 89.5 million in 2023[11]. - The net change in fair value of investment properties decreased by HKD 247.3 million in 2024, compared to a decrease of HKD 56.7 million in 2023[20]. - The investment in a fund related to property reconstruction decreased in fair value to approximately HKD 55.7 million in 2024 from HKD 89.5 million in 2023, a decline of about 37.8%[31]. Market Conditions - The long-term high-interest environment and strong HKD are negatively impacting consumer sentiment, hindering the recovery of the Hong Kong retail market[15]. - The group anticipates ongoing challenges in the retail market due to changing consumer habits and geopolitical tensions affecting the global economic outlook[15]. Financial Health - The group's total comprehensive expenses for 2024 are approximately HKD 40.1 million, compared to about HKD 6.2 million in 2023[10]. - The net current liabilities were approximately HKD 7.6 million as of December 31, 2024, a significant decrease from HKD 66.8 million in 2023[34]. - The current ratio improved to approximately 0.91 in 2024, compared to 0.40 in 2023, indicating better short-term financial health[34]. - The company has no major plans for significant investments or acquisitions due to an uncertain market outlook[20]. Corporate Governance - The company emphasizes effective corporate governance as a key factor for sustainable development and shareholder value[60]. - The board consists of seven members, including four executive directors and three independent non-executive directors[61]. - The independent non-executive directors have extensive experience in banking and property investment[55][56]. - The company has adopted the corporate governance code as per the Stock Exchange Listing Rules[60]. - The board is responsible for overall management, including policy formulation, strategy approval, and risk management systems[61]. - The company has established sufficient risk management procedures to identify and control various risks in its internal and external environment[47]. Employee and Board Diversity - The gender diversity ratio among board members is balanced, with 28.6% male and 71.4% female employees in 2024[73]. - The company has implemented a board diversity policy, considering factors such as gender, age, and professional experience[67]. - The company reported a 0% employee turnover rate for the year 2024, maintaining a stable workforce of 7 full-time employees[137]. - The age distribution of employees showed 42.8% in the 36-45 age group and 57.2% in the 56 and above category, with no employees in the 18-25 and 26-35 age groups[140]. Environmental, Social, and Governance (ESG) Compliance - The company has complied with the environmental, social, and governance (ESG) reporting guidelines for the year ending December 31, 2024[121]. - Stakeholder engagement activities are conducted to maintain ongoing dialogue and make informed decisions regarding ESG matters[122]. - The company remains committed to environmental compliance, with no significant adverse impacts reported from its operations[135]. Risk Management and Internal Controls - The board is responsible for maintaining an effective internal control and risk management system, which is reviewed annually for effectiveness[106]. - The company has established an insider information policy to guide the handling of insider information and ensure compliance with regulations[107]. - The company has implemented internal control policies to manage potential conflicts of interest among directors[102]. Shareholder Information - The company did not declare a final dividend for the year ended December 31, 2024, consistent with the previous year[51]. - The company’s available reserves for distribution as of December 31, 2024, were approximately HKD 0, unchanged from the previous year[178]. - Shareholders holding at least 10% of the paid-up capital can request the board to convene a special general meeting[112]. Charitable Contributions - The company donated HKD 50,000 to the Wing Lee Entrance Scholarship at the University of Hong Kong to encourage youth[153]. - The company made a charitable donation of HKD 50,000 during the fiscal year, consistent with the previous year[169].
永利地产发展(00864) - 2024 - 年度财报