Financial Performance - Revenue decreased by 7.9% from HKD 63.0 million for the year ended March 31, 2024, to HKD 58.0 million for the year ended March 31, 2025[11]. - Loss attributable to owners of the company decreased from HKD 15.7 million for the year ended March 31, 2024, to HKD 13.4 million for the year ended March 31, 2025[11]. - Basic loss per share improved from HKD 3.96 for the year ended March 31, 2024, to HKD 2.41 for the year ended March 31, 2025[11]. - The group's gross profit decreased from HKD 5.5 million for the year ended March 31, 2024, to a gross loss of HKD 8.9 million for the year ended March 31, 2025, primarily due to reduced revenue and promotional activities[17]. - Other income fell significantly from HKD 3.8 million for the year ended March 31, 2024, to HKD 0.9 million for the year ended March 31, 2025[18]. - Promotion, sales, and distribution expenses, along with administrative expenses, decreased by 41.0% from HKD 19.5 million in 2024 to HKD 11.5 million in 2025, mainly due to reduced salary and depreciation expenses[20]. - The group reported a total loss attributable to owners of HKD 15.7 million for the year ended March 31, 2024, compared to a loss of HKD 13.4 million for the year ended March 31, 2025[22]. - The current ratio improved from 11.25 in 2024 to 14.60 in 2025, attributed to a greater percentage decrease in current liabilities compared to current assets[24]. - As of March 31, 2025, the group had cash and bank balances totaling HKD 11.5 million, down from HKD 26.5 million in 2024[25]. - The group's debt-to-equity ratio was 1.1% as of March 31, 2025, a decrease from 3.9% in 2024, indicating improved financial stability[25]. Market Trends - The total retail sales value in Hong Kong decreased by 7.3% in March 2025, with total sales volume down by 8.9%[15]. - Online retail sales value for the twelve months ended March 31, 2025, was HKD 31.5 billion, a slight decrease of 0.4% compared to HKD 31.7 billion in 2024[15]. - The sales of red and white wine decreased from HKD 53.8 million for the year ended March 31, 2024, to HKD 48.8 million for the year ended March 31, 2025[16]. - The company aims to expand its customer base and product portfolio to meet diverse customer needs despite changing market trends[12]. - Hong Kong consumers are increasingly favoring premium and craft spirits, with a growing demand for unique and high-quality products, driven by appreciation for craftsmanship and personalized experiences[54]. - The local production of spirits is on the rise, with a significant increase in the number of craft distilleries producing gin, vodka, and whiskey, catering to consumers who value local sourcing[54]. - The interest in high-quality and aged spirits, particularly whiskey, is increasing, with consumers willing to invest in premium aged products, leading to a rise in demand for limited edition whiskeys[54]. - The strong economy and high disposable income levels in Hong Kong contribute to the growth of the spirits market, as consumers are willing to spend more on luxury and quality products[54]. Strategic Initiatives - The company has implemented various strategic sales and marketing activities to adapt to the Hong Kong wine market[12]. - The company is focusing on cost reduction and operational efficiency improvements to maintain long-term development advantages[12]. - The company is actively seeking new business opportunities to diversify its operations and enhance long-term shareholder value[57]. - The company has implemented various strategic sales and marketing activities to expand its customer base and product offerings, ensuring a high-quality product mix to meet diverse customer needs[55]. Shareholder and Corporate Governance - The company did not recommend a final dividend for the year ended March 31, 2025, consistent with the previous year[11]. - The company has established a remuneration committee to review its remuneration policy based on operational performance and individual contributions[91]. - The audit committee is responsible for reviewing the group's financial systems and has three independent non-executive directors[97]. - The company confirms that it maintains the public float required by listing rules as of the report date[98]. - The company has adopted the corporate governance code as per the listing rules Appendix C1, ensuring compliance and enhancing corporate performance[107]. - The board of directors held four meetings during the fiscal year ending March 31, 2025, with all members actively participating[110]. - The board is responsible for overseeing the management and overall performance of the group, focusing on strategy formulation and financial performance monitoring[111]. - The company has established mechanisms to ensure independent opinions on director nomination policies and board diversity policies[114]. - The nomination committee must adhere to the independence criteria set out in Listing Rule 3.13 when nominating independent non-executive directors[115]. - The company is committed to ensuring independent non-executive directors have opportunities to express their independent views to the board[116]. - The chairman and CEO roles are held by the same individual, Zhang Jun Tao, which the board believes provides strong and consistent leadership[117]. - All directors attended the annual general meeting for the year ending March 31, 2025[119]. - Independent non-executive directors must confirm their independence annually according to Listing Rule 3.13, and the board believes they are independent[120]. - The company provides ongoing professional development courses for all directors to enhance their knowledge and skills[123]. Environmental, Social, and Governance (ESG) Initiatives - The company has set goals to minimize environmental impact and enhance ESG awareness among employees, with measures in place to track progress towards these goals[173]. - The group has established a working group to systematically manage environmental, social, and governance (ESG) matters, responsible for data collection and tracking progress towards ESG goals[176]. - The ESG report covers business segments including red wine, white wine, spirits, and related products, excluding the office and warehouse of a divested subsidiary[177]. - The report is prepared according to the Hong Kong Stock Exchange's ESG reporting guidelines, focusing on principles of materiality, quantification, consistency, and balance[178]. - The group emphasizes stakeholder engagement, maintaining communication with investors, employees, customers, and suppliers to align on sustainability expectations[180]. - Key ESG issues identified include greenhouse gas emissions, waste management, energy management, and climate change, among others[186]. - The group confirms the establishment of effective management policies and internal control systems for ESG issues, ensuring compliance with reporting guidelines[186]. - Total greenhouse gas emissions decreased by approximately 84.27% to about 0.76 tons of CO2 equivalent per employee in 2025, compared to 4.83 tons in 2024[195]. - The total amount of non-hazardous waste generated was 137.21 kg in 2025, a reduction from 237.01 kg in 2024, resulting in a density of 9.15 kg per employee[1]. - The total energy consumption in 2025 was 29.82 MWh, significantly reduced from 285.13 MWh in 2024, with a density of 1.99 MWh per employee[1]. - The company has implemented various waste reduction measures, including promoting recycling and using environmentally friendly materials[198]. - The company has adopted practices to optimize resource usage, aiming for higher energy efficiency and reduced material consumption[199].
美捷汇控股(01389) - 2025 - 年度财报