Financial Performance - The Group recorded revenue of approximately HK$16.3 million for the year ended 31 March 2025, representing a year-on-year decline of approximately 41.7% from HK$28.0 million for the year ended 31 March 2024[18]. - Revenue decreased from approximately HK$28.0 million for the year ended 31 March 2024 to approximately HK$16.3 million for the year ended 31 March 2025, representing a decrease of approximately HK$11.7 million or approximately 41.7%[29]. - Gross profit for the year ended 31 March 2025 was approximately HK$7.8 million, a decrease of approximately HK$2.9 million from approximately HK$10.7 million for the year ended 31 March 2024, with the gross profit margin increasing from approximately 38.4% to approximately 47.9%[31]. - Other income increased significantly from approximately HK$42,000 to approximately HK$549,000, representing an increase of approximately HK$507,000[32]. - Loss before tax decreased from approximately HK$8.7 million to approximately HK$7.5 million, a decrease of approximately HK$1.1 million[46]. - Total comprehensive expenses decreased by approximately HK$1.1 million, from approximately HK$8.6 million for the year ended 31 March 2024 to approximately HK$7.5 million for the year ended 31 March 2025[52]. - Administrative expenses decreased from approximately HK$15.8 million to approximately HK$14.8 million, representing a decrease of approximately HK$0.9 million or approximately 6.0%[39]. - The share of loss of an associate decreased from approximately HK$1.3 million to approximately HK$1.1 million, a decrease of approximately HK$0.2 million[40]. - Other gains and losses changed from a loss of approximately HK$2,321,000 to a gain of approximately HK$34,000[38]. - Income tax credit decreased from approximately HK$104,000 for the year ended 31 March 2024 to approximately HK$75,000 for the year ended 31 March 2025, a decrease of approximately HK$29,000[51]. Market Conditions - The decline in revenue was primarily due to the postponement or reduction of projects by major property developers, attributed to a challenging property market and macroeconomic uncertainties[19]. - The Hong Kong property market has experienced a downturn since 2019, influenced by social unrest, the COVID-19 pandemic, and a high interest rate environment[19]. - The competitive and fragmented nature of the Hong Kong interior design and fit-out market has intensified pricing and margin pressures on the Company[19]. - Management is actively engaging with clients to capture postponed opportunities as market conditions stabilize[19]. Operational Efficiency - The company has taken proactive measures to optimize operational efficiency and strengthen core competencies in the interior design industry[22]. - The Group aims to maintain and strengthen its market position in Hong Kong while prudently exploring opportunities in Mainland China[55]. - The Group will continue to enhance brand recognition and strengthen marketing efforts to support future growth[55]. Assets and Liabilities - As of 31 March 2025, total assets were approximately HK$39.8 million, down from approximately HK$46.2 million as of 31 March 2024[56]. - Cash and cash equivalents decreased from approximately HK$15.6 million as of 31 March 2024 to approximately HK$3.2 million as of 31 March 2025[56]. - The current ratio as of 31 March 2025 was approximately 1.8 times, down from approximately 3.5 times as of 31 March 2024[57]. - As of 31 March 2025, the loan receivable was HK$7.7 million, compared to nil as of 31 March 2024[64]. - The loan receivable of HK$7.7 million bears an interest rate of 6.875% per annum and is secured by comprehensive security arrangements[65]. - The total gross carrying amount of loan receivables was HK$7,700,000, representing 100% secured loans[72]. - The corporate borrower category accounted for HK$7,700,000 in loan receivables as of March 31, 2025, with no prior year balance reported[73]. - There were no impairment allowances for loan receivables as of March 31, 2025, indicating a 0% impairment rate[74]. - The capital structure of the company remained unchanged as of March 31, 2025, with no material capital commitments or contingent liabilities reported[75][76][77]. Human Resources - The total staff costs for the year ended March 31, 2025, amounted to approximately HK$13.9 million, a decrease from approximately HK$18.8 million in the previous year[95]. - The group had 37 employees as of March 31, 2025, down from 41 employees in the previous year[95]. - Approximately 40% of Directors and 51% of the total workforce, including senior management, were female as of the date of this annual report[191]. - The Company promotes employee diversity measures at all levels, including gender diversity in mid to senior level recruitment[199]. - The Company plans to provide more suitable on-job training for female staff to develop a pipeline of female senior management[199]. Corporate Governance - The board believes that maintaining high corporate governance standards is crucial for the group's continuous growth and has complied with all applicable code provisions throughout the year[101]. - The Company has established a Nomination Committee to oversee the appointment and re-election of Directors, ensuring compliance with governance standards[123]. - The Board comprises five Directors, including Mr. Huang Liang as Chairman & Chief Executive Officer, with an average service length of 2.4 years[118]. - The Company emphasizes continuous professional development for Directors and senior management[114]. - The Company has adopted a code of conduct for securities transactions by directors and relevant employees, ensuring compliance with GEM Listing Rules[104]. - The Board has established policies for compliance with legal and regulatory requirements, which are regularly reviewed[114]. - The Company Secretary maintains detailed minutes of Board meetings, ensuring transparency and record-keeping[132]. - The Board will continue to review the separation of the roles of chairman and chief executive officer as circumstances evolve[154]. - The Company has established three Board committees: the Remuneration Committee, the Nomination Committee, and the Audit Committee, each with defined written terms of reference[172]. - The Remuneration Committee consists of three independent non-executive directors, ensuring oversight of compensation matters[174]. - The Board has mechanisms in place to ensure independent views and input are available, including the appointment of at least three independent non-executive directors[158]. - All independent non-executive directors have confirmed their independence in accordance with GEM Listing Rules, ensuring compliance with governance standards[165]. - The company has received annual written confirmations from independent non-executive directors regarding their independence, maintaining transparency and accountability[165]. ESG and Sustainability - The group focuses on achieving sustainable growth in both financial and ESG performance, emphasizing disciplined management of revenue, profitability, and investment returns[109]. - The group is increasingly aware of ESG issues and is focusing on supporting the transition to a low-carbon and sustainable future[109].
客思控股(08173) - 2025 - 年度财报