ALCO HOLD-NEW(00328) - 2025 - 年度业绩

Performance Summary The company's continuing operations experienced a significant revenue decline from HKD 148 million to HKD 99 million for the year ended March 31, 2025, resulting in a loss of HKD 64 million attributable to owners of the Company, a reversal from the prior year's profit of HKD 6 million Overall Performance The company's continuing operations experienced a significant revenue decline from HKD 148 million to HKD 99 million for the year ended March 31, 2025, resulting in a loss of HKD 64 million attributable to owners of the Company, a reversal from the prior year's profit of HKD 6 million FY2025 vs. FY2024 Performance Comparison | Metric | FY2025 | FY2024 | | :--- | :--- | :--- | | Revenue from Continuing Operations | 99 million HKD | 148 million HKD | | (Loss)/Profit Attributable to Owners of the Company | (64 million HKD) | 6 million HKD | Consolidated Financial Statements This section presents the Group's financial performance and position, highlighting a significant shift from profit to loss and a deteriorating balance sheet Consolidated Statement of Profit or Loss Revenue from continuing operations decreased 33.1% to HKD 99.31 million, leading to a HKD 64.27 million loss from continuing operations and a total annual loss attributable to owners of the Company, contrasting with a HKD 601 million profit last year primarily from discontinued operations Key Data from Consolidated Statement of Profit or Loss (Continuing Operations) | Item | FY2025 (thousand HKD) | FY2024 (thousand HKD) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 99,313 | 148,422 | -33.1% | | Gross Profit | 5,121 | 8,864 | -42.2% | | Loss Before Income Tax | (64,270) | (3,070) | Loss Widened | | Loss from Continuing Operations for the Year | (64,270) | (3,070) | Loss Widened | (Loss)/Profit Attributable to Owners of the Company and (Loss)/Earnings Per Share | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Annual (Loss)/Profit Attributable to Owners of the Company (thousand HKD) | (64,270) | 600,692 | | Basic (Loss)/Earnings Per Share (HKD) | (0.63) | 9.79 | | Basic (Loss)/Earnings Per Share from Continuing Operations (HKD) | (0.63) | 0.10 | - The significant profit in FY2024 primarily stemmed from gains on discontinued operations, amounting to HKD 595 million, mainly from the deconsolidation of Aiko Electric Group[4][6][40] Consolidated Statement of Profit or Loss and Other Comprehensive Income The total loss for the year was HKD 64.27 million, but a positive currency translation impact of HKD 11.41 million reduced the total comprehensive expense to HKD 52.86 million, contrasting with HKD 583 million in total comprehensive income last year Total Comprehensive (Expense)/Income | Item | FY2025 (thousand HKD) | FY2024 (thousand HKD) | | :--- | :--- | :--- | | (Loss)/Profit for the Year | (64,270) | 591,772 | | Exchange Differences on Translation | 11,411 | (8,775) | | Total Comprehensive (Expense)/Income for the Year | (52,859) | 582,997 | Consolidated Statement of Financial Position As of March 31, 2025, the Group reported net current liabilities of HKD 143 million and a total deficit of HKD 64.69 million, reflecting a severe financial position and significant liquidity pressure Key Data from Consolidated Statement of Financial Position | Item | FY2025 (thousand HKD) | FY2024 (thousand HKD) | | :--- | :--- | :--- | | Total Assets (Non-current + Current) | 179,494 | 182,410 | | Total Liabilities (Current + Non-current) | 244,187 | 269,937 | | Net Current Liabilities | (142,651) | (169,371) | | Total Deficit | (64,693) | (87,527) | Notes to the Financial Statements This section provides detailed disclosures on the Group's financial position, including significant uncertainties regarding its going concern ability, segment information, and the impact of deconsolidated subsidiaries 1. General Information and Basis of Preparation The Group's going concern ability is highly uncertain due to a HKD 64.27 million loss, HKD 143 million net current liabilities, and HKD 47.53 million in overdue bank borrowings, making the success of management's debt restructuring and cash flow improvement plans critical for financial reporting - The company's ability to continue as a going concern faces significant uncertainty, primarily due to an annual loss of approximately HKD 64.27 million, net current liabilities of approximately HKD 143 million, and overdue bank borrowings of approximately HKD 47.53 million[17] - To address the liquidity crisis, management is implementing several measures, including: (i) negotiating debt restructuring with banks; (ii) discussing shareholder loan extensions with the estate administrator of the deceased former chairman; (iii) negotiating extended repayment terms with suppliers; and (iv) streamlining product portfolios and controlling costs to improve operating cash flow[18][19][20][22] 3. Segment Information The Group's continuing operations revenue of HKD 99.31 million was entirely from the Notebook Computer Products segment, with Asia as the sole revenue-contributing region, a change from last year which included European sales - The Group's continuing operations revenue is entirely dependent on the Notebook Computer Products segment, with the Audio-Visual Products segment generating no external sales revenue this year[28][29] Revenue by Geographical Region (thousand HKD) | Region | FY2025 | FY2024 | | :--- | :--- | :--- | | Asia | 99,313 | 105,435 | | Europe | – | 37,998 | | Others | – | 4,989 | | Total | 99,313 | 148,422 | - Customer concentration is high, with two major customers (Customer A and Customer B) collectively contributing HKD 48.49 million in revenue, accounting for 48.8% of total turnover[32] 8. Discontinued Operations The Group ceased Dongguan production in 2022, and in FY2024, the court-ordered liquidation and deconsolidation of 'Aiko Electric' resulted in a HKD 596 million gain, significantly contributing to last year's substantial profit - The Group made a strategic decision in August 2022 to cease operations of its Dongguan production line, reallocating resources to businesses with higher growth potential[37] - Due to the liquidation of subsidiary Aiko Electric Company Limited, the Group lost control and deconsolidated it on June 28, 2023, recognizing a gain of HKD 596 million from discontinued operations in FY2024[38][39][40] 10. Deconsolidation of Subsidiaries The Group deconsolidated AVITA TECH and Nexstgo this year due to court-ordered liquidations, recognizing gains of HKD 2.47 million and HKD 77.71 million respectively - Due to the court-ordered liquidation of subsidiary AVITA TECH, the Group lost control and deconsolidated it on May 29, 2024, recognizing a gain of HKD 2.47 million[47][49] - Due to the court-ordered liquidation of subsidiary Nexstgo Company Limited, the Group lost control and deconsolidated it on January 10, 2024, recognizing a gain of HKD 77.71 million[50][51] 11. Provision for Financial Guarantees The Group recognized a HKD 108 million provision for financial guarantees on former subsidiaries' loans as of March 31, 2025, significantly impacting current liabilities Provision for Financial Guarantees (thousand HKD) | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Financial Guarantees Issued | 108,468 | 123,532 | 12. Earnings/(Loss) Per Share For the year ended March 31, 2025, the loss attributable to owners of the Company was HKD 64.27 million, resulting in a basic and diluted loss per share of HKD 0.63 based on 102 million weighted average ordinary shares Loss Per Share Calculation | Item | FY2025 | | :--- | :--- | | Loss Attributable to Owners of the Company (thousand HKD) | (64,270) | | Weighted Average Number of Ordinary Shares | 102,318,344 | | Basic and Diluted Loss Per Share (HKD) | (0.63) | Management Discussion and Analysis This section provides management's perspective on the Group's financial performance, business transformation, and liquidity challenges, outlining future strategies Group Results and Dividends Management attributes the 33% revenue decline and HKD 64 million loss to global economic recession, contrasting with last year's HKD 592 million profit from one-off deconsolidation gains, and the Board recommends no final dividend - Revenue decreased by 33% from HKD 148 million to HKD 99 million[69] - The current year's loss of HKD 64 million is primarily due to reduced revenue from global economic recession, whereas last year's HKD 592 million profit mainly stemmed from one-off gains from deconsolidation of disposal groups and subsidiaries[69] - The Board does not recommend a final dividend for the year ended March 31, 2025[68][69] Business Review and Outlook The Group's core business has transitioned to self-branded notebooks and tablets with outsourced production, yet its financial outlook remains challenging, necessitating continued reliance on capital market financing, operational efficiency improvements, and strategic partnerships - The core business involves developing and selling self-branded notebooks and tablets, with production transitioning from in-house manufacturing to outsourced ODM/OEM[70] - The financial position remains challenging, as the company would still face a net loss without one-off gains from subsidiary disposals, necessitating continued reliance on capital market fundraising in the future[70][71] - Future strategic priorities include: optimizing operations (e.g., headcount reduction, cost control), seeking business collaborations (strategic partners, technological innovation), and exploring capital market financing (e.g., rights issues)[77] Liquidity and Financial Resources The Group's financial position is very tight, with a HKD 65 million total deficit, HKD 10 million in cash, and HKD 184 million in net borrowings at fiscal year-end, necessitating active management of inventory and receivables Liquidity and Debt Position (thousand HKD) | Item | FY2025 | FY2024 | | :--- | :--- | :--- | | Bank Balances and Cash | 10,000 | 24,000 | | Net Borrowings | 184,000 | 186,000 | | Total Deficit | 65,000 | 88,000 | - The majority of the Group's sales, purchases, and borrowings are settled in USD and HKD, resulting in limited foreign exchange risk[75] Independent Auditor's Report This section details the auditor's "Disclaimer of Opinion" on the Group's financial statements, citing significant uncertainties related to going concern and audit scope limitations Disclaimer of Opinion The auditor issued a 'Disclaimer of Opinion' on the Group's consolidated financial statements for the year ended March 31, 2025, due to severe audit scope limitations and significant uncertainties, preventing an opinion on their truth and fairness - The auditor explicitly stated that they 'will not express an opinion on the Group's consolidated financial statements'[85] - The primary reason for the disclaimer of opinion is the significance of 'multiple uncertainties related to going concern,' which prevented the auditor from obtaining sufficient and appropriate audit evidence[85][86] Basis for Disclaimer of Opinion The auditor's disclaimer is based on significant going concern uncertainties, including substantial losses and loan defaults, and audit scope limitations on FY2024 discontinued operations gains due to unavailable records held by the liquidator - Material Uncertainty Related to Going Concern: The Group faces severe financial distress, including losses, net current liabilities, bank loan defaults, and substantial financial guarantees; the auditor could not obtain sufficient evidence regarding the effectiveness of management's plans (e.g., debt restructuring, future cash flow improvement) to alleviate liquidity pressure[86][89] - Audit Scope Limitation on Comparative Figures: The auditor could not verify the HKD 595 million gain from 'deconsolidation of disposal group' within discontinued operations in FY2024, as relevant books and records were held by the liquidator and unavailable for audit[94][95] - Due to the aforementioned reasons, the auditor could not determine the appropriateness of preparing financial statements on a going concern basis, nor whether significant adjustments to the statement of financial position were necessary[89][90] Other Information This section includes details on the company's corporate governance practices and a list of its directors Corporate Governance The company declares compliance with all applicable code provisions of the Corporate Governance Code as per Appendix C1 to the Listing Rules for the year ended March 31, 2025 - The company has complied with all applicable provisions of the Corporate Governance Code[79] - The Audit Committee comprises five independent non-executive directors and has reviewed the financial statements for the current year[81] List of Directors The announcement provides a list of executive, non-executive, and independent non-executive directors in office as of the announcement date - As of the announcement date, the executive directors are Ms. Liao Liping (Co-Chairman) and Mr. He Zeyu; non-executive directors are Mr. Tian Yi (Co-Chairman) and Mr. Bian Wenbin; independent non-executive directors are Mr. Zhu Kaiqin, Mr. Lin Zhiying, Mr. Deng Shejian, and Mr. Deng Chaowen[104]