Financial Performance - Revenue for the year increased by approximately 21.8% to about HKD 724,100,000 (FY2024: HKD 594,400,000) [3] - Gross profit for the year increased by approximately 52.0% to about HKD 159,600,000 (FY2024: HKD 105,000,000) [3] - Gross profit margin increased by approximately 4.3% to about 22.0% (FY2024: 17.7%) [3] - Net profit attributable to the company's owners increased by approximately 125.5% to about HKD 64,300,000 (FY2024: HKD 28,500,000) [3] - Earnings per share attributable to the company's owners increased by approximately HKD 0.087 to about HKD 0.157 (FY2024: HKD 0.070) [3] - Total revenue for the year ended March 31, 2025, was HKD 724,098,000, up from HKD 594,407,000 in 2024, indicating an increase of about 21.8% [21] - Other income rose to HKD 4,209,000 in 2025 from HKD 3,986,000 in 2024, reflecting a growth of approximately 5.6% [22] - The cost of goods sold increased to HKD 322,681,000 in 2025 from HKD 293,869,000 in 2024, which is an increase of about 9.8% [23] - Net financing income improved to HKD 884,000 in 2025 from a loss of HKD 1,054,000 in 2024, marking a significant turnaround [24] - Income tax expense for the year was HKD 15,671,000, compared to HKD 5,702,000 in 2024, representing an increase of approximately 174.5% [25] Dividends - The board has proposed a final dividend of HKD 0.04 per share and a special dividend of HKD 0.02 per share (FY2024: HKD 0.02 and HKD 0.01 respectively) [3] - Proposed final dividend per share increased to HKD 0.04 in 2025 from HKD 0.02 in 2024, totaling approximately HKD 24,518,000 for the year [27] - The proposed dividends are subject to approval at the 2025 Annual General Meeting, expected to be paid on October 31, 2025 [90] Assets and Liabilities - Total assets as of March 31, 2025, amounted to HKD 420,867,000 (2024: HKD 371,308,000) [6] - Total liabilities as of March 31, 2025, amounted to HKD 127,341,000 (2024: HKD 115,921,000) [7] - Total equity attributable to the company's owners as of March 31, 2025, was HKD 294,935,000 (2024: HKD 259,329,000) [6] - Trade receivables increased to HKD 68,224,000 as of March 31, 2025, from HKD 55,016,000 in 2024, representing an increase of approximately 24.0% [39] - The total inventory as of March 31, 2025, was HKD 61,686,000, down from HKD 67,863,000 in 2024, indicating a decrease of about 9.1% [38] Market Performance - Revenue from the United States was HKD 542,630,000, up 11.7% from HKD 485,560,000 in the prior year [17] - Revenue from Canada increased by 23.4% to HKD 56,576,000 from HKD 45,873,000 [17] - Revenue from the Netherlands surged to HKD 36,605,000, a significant increase from HKD 10,718,000 [17] - Revenue from China (excluding Hong Kong, Macau, and Taiwan) rose to HKD 22,874,000, compared to HKD 8,291,000, marking a growth of 176.5% [17] - Revenue from major customers (over 10% of total revenue) increased to HKD 641,731,000 in 2025 from HKD 547,243,000 in 2024, representing a growth of approximately 17.2% [20] Operational Insights - The company operates primarily in Hong Kong, with significant revenue contributions from various international markets [16] - The Cambodian production base accounts for about 90% of the company's total production capacity, enhancing efficiency and meeting overseas market demands [46] - The company emphasizes cost optimization as a key strategy to maintain substantial returns amid increasing competition [48] - The company is focused on sustainable business operations and internal controls to mitigate production risks in a volatile business environment [45] Challenges and Risks - The geopolitical tensions and economic uncertainties are expected to increase downward risks, particularly affecting the U.S. consumer market, which accounts for over 70% of total revenue [44] - The company anticipates continued challenges from geopolitical uncertainties and trade disputes, which may impact investment and consumer confidence [55] - Recent U.S. tariff policies could impose up to 49% tariffs on imports from Cambodia, affecting the apparel and footwear manufacturing sectors [56] - A temporary 10% tariff rate has been implemented for 90 days, allowing for potential negotiations to improve trade relations [57] Corporate Governance - The company has adopted all applicable corporate governance codes as per the Hong Kong Stock Exchange Listing Rules without deviation [94] - The audit committee, composed of independent non-executive directors, has reviewed the accounting principles and financial reporting matters [97] - The company did not purchase, redeem, or sell any listed securities during the year, and held no treasury shares as of March 31, 2025 [98] Future Outlook - The company remains cautiously optimistic about the resilience of the Cambodian manufacturing sector and ongoing efforts to strengthen trade relationships [58] - The company is committed to closely monitoring market developments and adjusting strategies to respond effectively to changing conditions [58]
华新手袋国际控股(02683) - 2025 - 年度业绩