威扬酒业控股(08509) - 2025 - 年度业绩

Company Information and Regulatory Statements Company Overview Wine's Link International Holdings Limited (Stock Code: 8509) is a company incorporated in the Cayman Islands, with its shares listed on GEM of the Hong Kong Stock Exchange, and this announcement presents its annual results for the year ended March 31, 2025 - Company Name: Wine's Link International Holdings Limited[2] - Stock Code: 8509[2] - Listing Venue: GEM of The Stock Exchange of Hong Kong Limited[2] GEM Listing Features and Directors' Responsibilities The GEM market provides a listing platform for small and medium-sized companies, which typically involve higher investment risks and market volatility, and the company's directors bear full responsibility for the accuracy, completeness, and non-misleading nature of this announcement's content - GEM Market Positioning: Provides a listing market for small and medium-sized companies, with higher investment risks and market volatility[2] - Directors' Responsibilities: Directors jointly and severally assume full responsibility for the content of this announcement, confirming the information is accurate, complete, and free from misleading or fraudulent elements[2] Consolidated Financial Statements Consolidated Statement of Profit or Loss and Other Comprehensive Income For the year ended March 31, 2025, the company's revenue significantly increased by 72.7% to HKD 373,985 thousand, profit for the year grew by 27.6% to HKD 39,751 thousand, and basic earnings per share rose to 9.94 HK cents Consolidated Statement of Profit or Loss and Other Comprehensive Income Summary | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 373,985 | 216,553 | 72.7% | | Cost of sales | (288,092) | (139,800) | 106.1% | | Gross profit | 85,893 | 76,753 | 11.9% | | Profit before tax | 49,681 | 39,357 | 26.2% | | Income tax expense | (9,930) | (8,198) | 21.1% | | Profit for the year | 39,751 | 31,159 | 27.6% | | Profit for the year attributable to owners of the Company | 39,758 | 31,201 | 27.4% | | Basic and diluted earnings per share (HK Cents) | 9.94 | 7.80 | 27.4% | Consolidated Statement of Financial Position As of March 31, 2025, the company's total assets less current liabilities increased to HKD 334,461 thousand, primarily due to a significant improvement in net current assets, especially a substantial increase in cash and cash equivalents Consolidated Statement of Financial Position Summary | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change (HKD Thousand) | | :--- | :--- | :--- | :--- | | Non-current assets | 141,934 | 149,038 | (7,104) | | Current assets | 341,113 | 299,089 | 42,024 | | Current liabilities | 148,586 | 153,645 | (5,059) | | Net current assets | 192,527 | 145,444 | 47,083 | | Total assets less current liabilities | 334,461 | 294,482 | 39,979 | | Net assets | 334,226 | 294,474 | 39,752 | | Equity attributable to owners of the Company | 335,593 | 295,834 | 39,759 | - Cash and cash equivalents significantly increased from HKD 2,889 thousand in 2024 to HKD 129,082 thousand in 2025[4] - Inventories decreased from HKD 152,822 thousand in 2024 to HKD 121,214 thousand in 2025[4] Consolidated Statement of Changes in Equity For the year ended March 31, 2025, total equity attributable to owners of the Company increased to HKD 335,593 thousand, primarily driven by the profit for the year Consolidated Statement of Changes in Equity Summary | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Share capital | 4,000 | 4,000 | | Share premium | 76,298 | 76,298 | | Exchange fluctuation reserve | 18 | 17 | | Other reserves | 27,458 | 27,458 | | Accumulated profits | 227,819 | 188,061 | | Total equity attributable to owners of the Company | 335,593 | 295,834 | | Non-controlling interests | (1,367) | (1,360) | | Total equity | 334,226 | 294,474 | - Profit for the year attributable to owners of the Company was HKD 39,758 thousand, contributing to the equity growth[6] Notes to the Consolidated Financial Statements General Information Wine's Link International Holdings Limited is incorporated in the Cayman Islands and primarily engages in the trading of wine products and other alcoholic beverages, with Ms. Wang Zilu, through Shirz Limited, holding a 70% stake as the controlling shareholder - Place of Incorporation: Cayman Islands, Date of Incorporation: September 22, 2016[7] - Principal Business: Trading of wine products and other alcoholic beverages[7] - Controlling Shareholder: Shirz Limited (wholly owned by Ms. Wang Zilu), holding 70% equity interest in the Company[7] - Functional Currency: Hong Kong Dollars[8] Application of Accounting Standards The Group has adopted all new and revised Hong Kong Financial Reporting Standards effective from April 1, 2024, with no significant changes to accounting policies or financial statement presentation for the current and prior years - All new and revised Hong Kong Financial Reporting Standards effective from April 1, 2024, have been adopted[9] - The adoption of new standards resulted in no significant changes to the Group's accounting policies, financial statement presentation, or reported amounts for the current and prior years[9] Revenue and Segment Information Revenue for the year significantly increased by 72.7% to HKD 373,985 thousand, primarily from wine product sales, with all revenue generated from the Hong Kong market, and the company operates in a single operating segment Revenue from Contracts with Customers by Category | Product Category | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | | Wine products | 302,510 | 126,415 | 139.3% | | Other alcoholic beverages | 69,900 | 89,707 | (22.1%) | | Wine accessories | 1,575 | 431 | 265.4% | | Total Revenue | 373,985 | 216,553 | 72.7% | Revenue by Geographical Market | Region | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Hong Kong | 373,985 | 216,486 | | China | – | 67 | | Total Revenue | 373,985 | 216,553 | - Revenue is recognized when control of the goods is transferred, which occurs when the goods are delivered to the customer's designated location[11] - The Group has only one single operating segment, primarily engaged in the sale and distribution of wine products, other alcoholic beverages, and wine accessories in Hong Kong[12] - No individual customer accounted for more than 10% of the Group's total revenue in either year[14] Key Expenses Finance costs decreased this year, while major expenses such as cost of inventories, depreciation, and staff costs are disclosed in detail Finance Costs | Category | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Interest on bank borrowings and overdrafts | 8,578 | 9,147 | | Interest on lease liabilities | 50 | 147 | | Total Finance Costs | 8,628 | 9,294 | Items Deducted from Profit Before Tax | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Auditor's remuneration | 740 | 743 | | Cost of inventories recognized as expense | 288,092 | 139,800 | | Depreciation of property and equipment | 6,258 | 6,552 | | Depreciation of investment properties | 820 | – | | Depreciation of right-of-use assets | 1,103 | 2,661 | | Directors' remuneration | 1,918 | 1,848 | | Other staff costs (salaries and benefits) | 7,405 | 8,215 | | Contributions to retirement benefit schemes | 285 | 312 | | Total Staff Costs | 9,608 | 10,375 | Income Tax Expense Income tax expense increased by 21.1% to HKD 9,930 thousand this year, primarily due to an increase in estimated assessable profits, with Hong Kong profits tax applying a two-tiered tax rate system Income Tax Expense | Category | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Hong Kong Profits Tax – Current tax | 9,827 | 7,389 | | Hong Kong Profits Tax – Over-provision in prior years | – | (6) | | Deferred tax expense | 103 | 815 | | Total Income Tax Expense | 9,930 | 8,198 | - Hong Kong Profits Tax rates: 8.25% for the first HKD 2 million and 16.5% for profits exceeding HKD 2 million[18] Earnings Per Share and Dividends Basic earnings per share for the year was 9.94 HK cents, an increase from the previous year, and the company neither paid nor proposed any dividends in both years Earnings Per Share | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Profit for the year attributable to owners of the Company (HKD Thousand) | 39,758 | 31,201 | | Number of ordinary shares (Thousand shares) | 400,000 | 400,000 | | Basic and diluted earnings per share (HK Cents) | 9.94 | 7.80 | - No dividends were paid or proposed for either year[20] Trade Receivables and Payables As of March 31, 2025, total trade receivables slightly decreased, but the aging analysis shows an increased proportion of receivables aged 91-180 days and over 365 days, while trade payables significantly reduced with a notable improvement in aging structure Aging Analysis of Trade Receivables | Aging | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | 0 to 30 days | 12,460 | 26,603 | | 31 to 60 days | 11,933 | 13,879 | | 61 to 90 days | 6,272 | 500 | | 91 to 180 days | 19,582 | 7,687 | | 181 to 365 days | 143 | 3,607 | | Over 365 days | 145 | 28 | | Total | 50,535 | 52,304 | Aging Analysis of Trade Payables | Aging | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | 0 to 30 days | 24 | 15 | | 31 to 60 days | 19 | – | | 61 to 90 days | – | – | | 91 to 180 days | – | 130 | | 181 to 365 days | 6 | 17 | | Over 365 days | 158 | 3,440 | | Total | 207 | 3,602 | - The credit period for trade receivables ranges from 0 to 120 days[21] - The credit period for trade payables is a maximum of 90 days[22] Related Party Transactions The company had no sales of goods transactions with related parties Mr. Ding Zhiwei and Ms. Wang Zilu this year, compared to minor transactions in the previous year Sales of Goods to Related Parties | Related Party | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Mr. Ding Zhiwei | – | 96 | | Ms. Wang Zilu | – | 24 | | Total | – | 120 | - Mr. Ding Zhiwei ceased to be a related party of the Group since November 2023[23] Management Discussion and Analysis Business Review The Group primarily engages in the wholesale and retail of wine and other alcoholic beverages in Hong Kong with a diverse product portfolio, benefiting from global economic recovery and increased demand for premium vintage wines, while actively exploring new business opportunities such as marketing services and cost optimization - Principal Business: Wholesale and retail of wine products and other alcoholic beverages in Hong Kong[24] - Product Portfolio: Includes premium vintage wines, selected red and white wines, champagne, whisky, Chinese spirits, sake, and wine accessories[24] - Business Development: Actively exploring providing promotion and marketing services for alcoholic beverage brands and optimizing cost-effectiveness of business operations[24] Financial Review This year, the company experienced significant revenue growth, but gross margin declined due to changes in product mix, while administrative expenses and finance costs decreased through cost-saving measures, ultimately driving a substantial increase in profit for the year Revenue The Group's revenue increased by 72.7% from approximately HKD 216.6 million in FY2024 to approximately HKD 374.0 million this year, primarily driven by increased demand for wine products Revenue Changes | Year | Revenue (HKD Million) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | 2025 | 374.0 | 72.7% | | 2024 | 216.6 | - | - The increase in revenue was primarily due to higher demand for wine products[25] Cost of Sales Cost of sales increased by 106.1% year-on-year to approximately HKD 288.1 million, directly correlating with the revenue growth for the year Cost of Sales Changes | Year | Cost of Sales (HKD Million) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | 2025 | 288.1 | 106.1% | | 2024 | 139.8 | - | - The increase in cost of sales is directly related to the increase in revenue for the year[26] Gross Profit and Gross Margin Gross profit increased by 11.9% year-on-year to approximately HKD 85.9 million, but the gross margin decreased from 35.4% to 23.0%, mainly due to a change in product mix with a higher proportion of lower-margin premium vintage wines and quality wines Gross Profit and Gross Margin Changes | Year | Gross Profit (HKD Million) | Gross Margin (%) | Year-on-Year Change (Gross Profit %) | | :--- | :--- | :--- | :--- | | 2025 | 85.9 | 23.0% | 11.9% | | 2024 | 76.8 | 35.4% | - | - The decrease in gross margin was primarily due to a change in product mix, with a higher proportion of sales of lower-margin premium vintage wines and quality wines[28] Other Income Other income significantly increased to approximately HKD 599 thousand, primarily contributed by an increase in rental income Other Income Changes | Year | Other Income (HKD Thousand) | | :--- | :--- | | 2025 | 599 | | 2024 | 127 | - The increase in other income was primarily contributed by an increase in rental income for the year[29] Net Other Gains and Losses This year recorded a net gain of approximately HKD 559 thousand, a significant improvement from last year's net loss of approximately HKD 956 thousand, primarily influenced by gains on disposal of property and equipment, write-off of property and equipment, and net foreign exchange gains or losses Net Other Gains and Losses Changes | Year | Net Gain/Loss (HKD Thousand) | | :--- | :--- | | 2025 | 559 (Gain) | | 2024 | (956) (Loss) | - Net gains or losses include gains or losses on disposal of property and equipment, write-off of property and equipment, and net foreign exchange gains or losses arising from currency fluctuations[30] Selling and Distribution Expenses Selling and distribution expenses increased to approximately HKD 13.4 million, mainly due to increased depreciation, partially offset by cost-saving measures Selling and Distribution Expenses Changes | Year | Selling and Distribution Expenses (HKD Million) | | :--- | :--- | | 2025 | 13.4 | | 2024 | 10.9 | - The increase was primarily due to increased depreciation, partially offset by cost-saving measures[31] Administrative Expenses Administrative expenses decreased to approximately HKD 15.1 million, mainly attributable to reduced depreciation and the continued implementation of cost-saving measures Administrative Expenses Changes | Year | Administrative Expenses (HKD Million) | | :--- | :--- | | 2025 | 15.1 | | 2024 | 16.4 | - The decrease was primarily attributable to reduced depreciation and the continued implementation of cost-saving measures[32] Finance Costs Finance costs decreased to approximately HKD 8.6 million, primarily due to a reduction in interest on bank borrowings Finance Costs Changes | Year | Finance Costs (HKD Million) | | :--- | :--- | | 2025 | 8.6 | | 2024 | 9.3 | - The decrease was primarily due to a reduction in interest on bank borrowings compared to the previous year[33] Income Tax Expense Income tax expense increased by 21.1% to approximately HKD 9.9 million, primarily due to an increase in estimated assessable profits for the current year Income Tax Expense Changes | Year | Income Tax Expense (HKD Million) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | 2025 | 9.9 | 21.1% | | 2024 | 8.2 | - | - The increase was primarily due to an increase in estimated assessable profits for the current year compared to the year ended March 31, 2024[34] Profit for the Year and Total Comprehensive Income Profit for the year and total comprehensive income attributable to owners of the Company both increased to approximately HKD 39.8 million, primarily driven by higher revenue, lower administrative expenses, and reduced finance costs, partially offset by increased selling and distribution expenses and income tax expense Profit for the Year and Total Comprehensive Income Changes | Indicator | 2025 (HKD Million) | 2024 (HKD Million) | | :--- | :--- | :--- | | Profit for the year | 39.8 | 31.2 | | Profit for the year attributable to owners of the Company | 39.8 | 31.2 | | Total comprehensive income attributable to owners of the Company | 39.8 | 31.2 | - The growth was primarily due to increased revenue, decreased administrative expenses, and reduced finance costs, partially offset by increased selling and distribution expenses and income tax expense[35] Dividend Policy The Board does not recommend the payment of a final dividend for the current year, consistent with the previous year - The Board does not recommend the payment of a final dividend for the current year (2024: nil)[36] Liquidity and Financial Resources The Group's liquidity position significantly improved, with both net current assets and current ratio increasing, primarily due to a substantial rise in cash and cash equivalents, while the gearing ratio decreased, indicating lower financial leverage Liquidity Indicators | Indicator | 2025 (HKD Million) | 2024 (HKD Million) | | :--- | :--- | :--- | | Net current assets | 192.5 | 145.4 | | Cash and cash equivalents | 129.1 | 2.9 | | Current ratio | 2.3 | 1.9 | | Gearing ratio | 41.0% | 45.6% | - The increase in current ratio was primarily due to the combined effect of increased cash and cash equivalents, decreased inventories, and reduced other receivables, deposits, and prepayments[38] Treasury Policy and Capital Structure The Group adopts a prudent treasury policy, continuously assessing customer credit risk and closely monitoring its liquidity position, with no changes to its capital structure this year, having 400,000,000 ordinary shares in issue - Treasury Policy: Adopts a prudent policy, continuously conducting customer credit assessments, and closely monitoring its liquidity position[40] - Capital Structure: No changes for the current year, share capital consists solely of ordinary shares, with 400,000,000 shares in issue[42] Material Investments and Acquisitions/Disposals As of the date of this announcement, the Group held no material investments and had no material acquisitions or disposals of subsidiaries, associates, or joint ventures - As of March 31, 2025, the Group held no material investments[43] - As of March 31, 2025, and up to the date of this announcement, the Group had no material acquisitions or disposals of subsidiaries, associates, or joint ventures[44] - During the year, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[45] Contingent Liabilities and Pledged Assets The Group had no material contingent liabilities, and as of March 31, 2025, properties with a carrying value of approximately HKD 117.6 million were pledged as security for bank borrowings - As of March 31, 2025, and March 31, 2024, the Group had no material contingent liabilities[46] - As of March 31, 2025, properties with a carrying value of approximately HKD 117.6 million were pledged as security for the Group's bank borrowings of approximately HKD 127.4 million[47] Foreign Exchange Risk Management The Group faces significant foreign exchange risk primarily from overseas purchases settled in foreign currencies, managing this risk by closely monitoring exchange rates and adjusting procurement strategies, but currently has no foreign currency hedging policy - The Group is exposed to significant foreign exchange risk due to purchasing wine products from overseas suppliers in Hong Kong settled in foreign currencies[48] - Management measures include: ceased holding pledged bank deposits denominated in foreign currencies since October 2016; closely monitoring foreign currency exchange rates and regularly assessing net foreign exchange risk; adjusting procurement strategies (e.g., sourcing French wine products from non-French suppliers when the Euro appreciates)[48] - The Group currently has no foreign currency hedging policy[48] Employees and Remuneration Policy As of March 31, 2025, the total number of employees increased to 33, with total employee benefit expenses for the year being approximately HKD 9.6 million, and remuneration and benefits are determined based on employee qualifications, position, and years of service, assessed annually for competitiveness Employees and Remuneration | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Total number of employees | 33 | 24 | | Total employee benefit expenses (HKD Million) | 9.6 | 10.4 | - Remuneration and benefits include basic salaries, discretionary bonuses, medical coverage, and retirement scheme contributions, determined based on employee qualifications, position, and years of service, and assessed annually[49][50] Future Prospects The company's GEM listing has enhanced its corporate visibility and market recognition, strengthening its bargaining power and providing access to financing channels, and the Group will continue to optimize operations, expand its alcoholic beverage portfolio, offer marketing services, and improve cost efficiency to address market challenges and achieve sustainable development - GEM Listing Benefits: Enhances corporate visibility and market recognition, improves credit reliability, gains greater bargaining power, and provides direct access to capital markets for fundraising[51] - Future Strategies: Optimize and expand operations, diversify and create new sales channels, broaden the alcoholic beverage portfolio, provide promotion and marketing planning services, and optimize operational cost efficiency[51] - Addressing Challenges: Closely monitor business development, adopt a prudent approach, and adjust business strategies as needed to respond to the rapidly changing environment[51] Loan Agreements and Specific Performance Covenants Chong Hing Bank Limited Financing The Group's bank financing agreement with Chong Hing Bank Limited has been renewed and updated multiple times, increasing the total financing from an initial HKD 63 million to HKD 98 million, including overdraft facilities, and contains a specific performance covenant requiring controlling shareholder Ms. Wang Zilu to remain the single largest shareholder with no less than 50% beneficial interest - August 11, 2023: Accepted Facility Letter A, totaling up to HKD 63 million (term loan and trade finance) and HKD 3 million overdraft facility[52] - February 16, 2024: Trade finance amount updated, increasing total amount to up to HKD 70 million[53] - May 3, 2024: Accepted renewed Facility Letter A, increasing total amount to up to HKD 73 million[54] - September 10, 2024: Accepted updated Facility Letter II, increasing total amount to up to HKD 98 million (including bills purchased, letters of credit, and trust receipt loan facilities, etc)[55] - Specific Performance Covenant: Controlling shareholder Ms. Wang Zilu must continue to be the single largest shareholder, holding no less than 50% beneficial interest in the Company, and shall not pledge the Company's shares[52][54][55] - As of the date of this announcement, Ms. Wang Zilu holds 70% equity interest in the Company[56] Fubon Bank (Hong Kong) Limited Financing On October 31, 2023, the Group accepted Facility Letter B from Fubon Bank (Hong Kong) Limited, including up to HKD 18 million in trade finance and revolving loans, as well as other loans and credit cards, with the agreement also requiring controlling shareholder Ms. Wang Zilu to remain the single largest shareholder and provide a personal guarantee - October 31, 2023: Accepted Facility Letter B, totaling up to HKD 18 million in trade finance and revolving loans, as well as other loans and credit cards[57] - Specific Performance Covenant: Controlling shareholder Ms. Wang Zilu must continue to be the single largest shareholder, holding no less than 50% beneficial interest in the Company, and provide a personal guarantee of no less than HKD 18 million for the trade finance and revolving loans[57] - As of the date of this announcement, Ms. Wang Zilu holds 70% equity interest in the Company[58] Other Disclosures Events After Reporting Period The Board is not aware of any disclosable material events occurring after March 31, 2025, and up to the date of this announcement - The Board is not aware of any disclosable material events occurring after March 31, 2025, and up to the date of this announcement[59] Competing Business and Non-Compete Undertaking During the year, no directors, controlling shareholders, or substantial shareholders and their close associates were deemed to have any interests that compete with the Group's business, and controlling shareholder Ms. Wang Zilu and Shirz Limited have fully complied with their non-compete undertakings - No directors, controlling shareholders, or substantial shareholders had any interests in businesses that compete or may compete with the Group's business[60] - Controlling shareholder Ms. Wang Zilu and Shirz Limited have fully complied with and enforced their respective non-compete undertakings[61] Corporate Governance The company has adopted a code of conduct for directors' securities transactions and confirmed compliance by all directors, and while the company complied with all code provisions of the Corporate Governance Code during the year, the combined roles of Chairman and Chief Executive Officer held by Ms. Wang Zilu deviate from code provision C.2.1, which the Board believes facilitates strategy execution and maintains a balanced power distribution - The company has adopted a code of conduct for directors' securities transactions and confirmed compliance by all directors[62] - The Company has complied with all code provisions of the Corporate Governance Code during the year, except for a deviation from code provision C.2.1 (which states that the roles of Chairman and Chief Executive Officer should be separate)[63] - Ms. Wang Zilu holds both the roles of Chairman and Chief Executive Officer, which the Board believes facilitates more effective planning and execution of business strategies and ensures a balanced distribution of power[64] Auditor's Scope of Work The Group's audited consolidated financial statements for the year have been reviewed by the Audit Committee and found to comply with applicable accounting standards, and the auditor, ZHONGHUI ANDA CPA Limited, has agreed to the financial figures presented in this announcement, but their work does not constitute an assurance engagement, thus no opinion or assurance conclusion is provided on this announcement - The Audit Committee has reviewed the Group's audited consolidated financial statements for the year and found them to comply with applicable accounting standards, GEM Listing Rules, and legal requirements[65] - The auditor, ZHONGHUI ANDA CPA Limited, has agreed to the financial figures contained in this announcement, but their work does not constitute an assurance engagement, and therefore no opinion or assurance conclusion is provided on this announcement[66]