Financial Performance - Revenue for the year ended March 31, 2025, was HKD 91,887,000, a decrease of 0.8% compared to HKD 92,617,000 in 2024[3] - Gross profit increased by 5.0% to HKD 60,283,000 from HKD 57,406,000 year-on-year[3] - Net loss for the year was HKD 49,420,000, representing an increase of 35.8% from a loss of HKD 36,400,000 in the previous year[3] - Basic and diluted loss per share was HKD 4.52, compared to HKD 3.36 in 2024[5] - Total revenue for the year ended March 31, 2025, was HKD 91,887,000, a decrease of 0.79% from HKD 92,617,000 in 2024[11] - The group reported a pre-tax loss of HKD 49,326,000 for 2025, compared to a loss of HKD 36,795,000 in 2024[13][15] - The net loss attributable to shareholders for the year was HKD 49.326 million, compared to a loss of HKD 36.705 million in 2024[26] - The company's net loss increased by approximately 35.8% from about HKD 36.4 million last year to about HKD 49.4 million this year[51] Assets and Liabilities - Total assets decreased to HKD 555,725,000 from HKD 587,854,000 in 2024[6] - Current liabilities exceeded current assets by HKD 220,620,000, indicating significant liquidity concerns[8] - Trade receivables increased to HKD 12.827 million from HKD 12.061 million in 2024, with a provision for credit losses of HKD 2.768 million[28] - The company's inventory decreased by approximately 7.8% from about HKD 14.2 million to about HKD 13.1 million[56] - Trade receivables increased by approximately 26.7% from about HKD 7.9 million to about HKD 10.1 million[59] - Trade payables decreased by approximately 11.6% from about HKD 9 million to about HKD 8 million[60] - Bank balances and cash increased by approximately 18.9% from about HKD 11.2 million to about HKD 13.4 million[61] - The company's total liabilities to equity ratio increased to 2.2 from 1.5[61] Revenue Segmentation - The sales of goods contributed HKD 91,259,000, while healthcare services generated HKD 628,000 in revenue for 2025[11] - Revenue from external customers in Mainland China was HKD 26,877,000 for 2025, slightly up from HKD 26,802,000 in 2024[18] - Major customers contributing over 10% of total revenue included Customer A with HKD 14,252,000 and Customer B with HKD 10,846,000 in 2025[19] - The product development segment accounted for approximately 98.0% of total revenue, up from 97.7% in 2024[30] - Revenue from the Hong Kong market was approximately HKD 650 million, representing about 70.7% of total revenue, down from 71.1% in 2024[31] - The product development segment reported a revenue of approximately HKD 901 million, a decrease of about 0.5% from HKD 905 million last year[33] - The brand development and management segment's revenue decreased by approximately 40.7% to HKD 838,000 from HKD 1.4 million last year[34] - The trading segment's revenue increased by approximately 166.4% to HKD 349,000 from HKD 131,000 last year[35] Other Income and Expenses - Other income increased to HKD 3,666,000 in 2025 from HKD 3,085,000 in 2024, driven by government subsidies and rental income[20] - Financing costs rose to HKD 18,553,000 in 2025, compared to HKD 16,299,000 in 2024, primarily due to increased bank loan interest expenses[22] - The fair value loss on financial assets was HKD 1,244,000 in 2025, a significant decrease from a gain of HKD 6,682,000 in 2024[21] - The total depreciation expense for the year was HKD 20.542 million, down from HKD 23.021 million in the previous year[25] - The group recorded other losses of approximately HKD 108 million for the year, compared to about HKD 14 million last year, primarily due to financial asset losses and impairment losses on property and equipment[47] - Other income rose from approximately HKD 31 million to about HKD 37 million, mainly due to government subsidies increasing from HKD 14 million to HKD 20 million[46] Corporate Governance and Future Plans - The board believes that the company will have sufficient working capital to meet its financial obligations for at least the next twelve months[9] - The company is exploring alternative financing sources, including equity financing, to improve its capital structure and reduce overall financing costs[8] - The company plans to improve profitability by enhancing production efficiency of its proprietary brand products and controlling administrative costs[8] - The group plans to focus on developing new products in the health supplement sector, particularly in the children's health supplement market in mainland China, capitalizing on the "three-child" policy[39] - The group is expanding its manufacturing capabilities by constructing a health supplement production facility in Guangdong, aimed at reducing production costs and improving quality control[41] - The e-commerce platform will be upgraded to enhance online sales of the group's products, particularly targeting customers in mainland China[42] - The group aims to increase brand awareness through targeted advertising strategies, focusing on product safety and quality to establish the "Derivatives" brand as a well-known name in Hong Kong[40] Dividend and Shareholder Information - The company did not declare or recommend any dividends for the year ending March 31, 2025, consistent with 2024[27] - The board does not recommend the payment of a final dividend for the year[71] - There are significant uncertainties regarding the company's ability to continue as a going concern due to a net loss of approximately HKD 49.4 million and current liabilities exceeding current assets by about HKD 220.6 million[70] - The company will suspend share transfer registration from September 22, 2025, to September 25, 2025, to determine eligibility for the upcoming annual general meeting[72] Audit and Compliance - The consolidated financial statements for the year have been reviewed by the audit committee[77] - The company's auditor has confirmed that the financial data in the annual performance announcement is consistent with the audited financial statements[78] - The annual performance announcement and annual report will be published on the Hong Kong Stock Exchange and the company's website[79] - The company has adopted the corporate governance code and believes it has complied with all applicable provisions, with a noted deviation regarding the roles of the chairman and CEO[74] - The board of directors is committed to maintaining high standards of corporate governance and enhancing internal control systems to meet shareholder expectations[73] - The company emphasizes the importance of accountability and operational transparency in its governance practices[73] Operational Overview - The company operates in various segments, including brand development and management, health services, and product development, focusing on personal care products and health supplements[80] - The fiscal year ended on March 31, 2025, and the company is preparing to release its annual report in accordance with listing rules[80]
衍生集团(06893) - 2025 - 年度业绩