Financial Performance - For the fiscal year ending June 30, 2025, the company reported total revenue of HKD 160,732,000, an increase of 12.7% compared to HKD 142,910,000 for the previous year[2] - The gross profit for the same period was HKD 5,943,000, down 39.1% from HKD 9,775,000 in the prior year[2] - The company incurred a loss before tax of HKD 42,552,000, compared to a loss of HKD 19,461,000 in the previous year, indicating a significant increase in losses[2] - The net loss attributable to the owners of the company was HKD 21,761,000, compared to a loss of HKD 47,260,000 in the previous year, showing an improvement in net loss[3] - The total customer contract revenue for 2025 was HKD 142,910,000, a decrease of 11% from HKD 160,732,000 in 2024[25] - The adjusted pre-tax profit/loss for the solar energy business was HKD 4,367, while the power distribution systems reported a loss of HKD 589, and the beauty and health business incurred a loss of HKD 8,863, resulting in a total adjusted pre-tax loss of HKD 5,085[19] - The pre-tax loss attributable to the equity holders of the parent company was HKD 21,761,000 in 2025, compared to a loss of HKD 47,260,000 in 2024, showing an improvement of approximately 54%[32] - Basic loss per share improved to HKD 15.5 in 2025 from HKD 52.8 in 2024[32] Assets and Liabilities - Total assets as of June 30, 2025, amounted to HKD 146,286,000, a decrease from HKD 153,199,000 in the previous year[4] - Current assets decreased to HKD 212,146,000 from HKD 219,500,000, reflecting a decline in liquidity[4] - The company’s cash and cash equivalents dropped significantly to HKD 5,317,000 from HKD 24,309,000, indicating a liquidity challenge[4] - Non-current liabilities decreased to HKD 1,248,000 from HKD 1,455,000, suggesting a reduction in long-term financial obligations[5] - The company’s equity attributable to owners decreased to HKD 108,133,000 from HKD 120,344,000, reflecting a decline in shareholder value[5] - The total liabilities as of June 30, 2025, were HKD 75,870, with segment liabilities for solar energy at HKD 12,878, power distribution at HKD 33,403, and beauty and health at HKD 3,242[19] - The total overdue trade receivables amounted to HKD 146,890,000, an increase from HKD 112,226,000 in the previous year[35] - As of June 30, 2025, the total liabilities of the group amounted to approximately HKD 75,900,000, an increase of 0.5% compared to HKD 75,500,000 as of June 30, 2024[64] Revenue Segmentation - For the fiscal year ending June 30, 2025, the total revenue from external customers was HKD 142,910, with contributions from solar energy business (HKD 52,585), power distribution systems (HKD 88,730), and beauty and health business (HKD 1,595)[19] - The company began trading in beauty and health products as a new reportable segment starting from the fiscal year ending June 30, 2025[15] - Solar energy business revenue was approximately HKD 52,600,000, a decrease of 15.0% from HKD 61,900,000 in the previous year[52] - The distribution system business reported revenue of approximately HKD 88,700,000, down 10.3% from HKD 98,900,000 in the prior year[53] - The total customer contract revenue for 2025 was HKD 142,910,000, a decrease of 11% from HKD 160,732,000 in 2024[25] Financial Reporting and Compliance - The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) and comply with the relevant disclosure requirements of the Hong Kong Stock Exchange[8] - The company has adopted new IFRS accounting standards effective from July 1, 2024, which include changes related to lease liabilities and classification of liabilities[10] - The application of the new IFRS standards is not expected to have a significant impact on the financial position and performance of the group for the current and prior years[10] - The consolidated financial statements for the fiscal year ending June 30, 2025, have been agreed upon by the auditors, but they do not constitute a certification engagement[92] - An audit committee has been established to review and supervise the financial reporting process and internal control procedures of the group[90] Capital and Financing Activities - The company completed a rights issue on May 8, 2024, raising approximately HKD 16,000,000 net from the issuance of 41,708,400 shares[67] - The proceeds from the rights issue were allocated to develop the cosmetics sales business and solar power systems, with a total of HKD 16,000,000 planned for use[68] - A placement agreement was signed on November 28, 2024, to issue up to 16,680,000 new shares at a placement price of HKD 0.2 per share, completed on December 9, 2024[69] - The net proceeds from the 2024 placement amounted to approximately HKD 3,100,000, fully allocated for general working capital[70] - A new placement agreement was established on March 18, 2025, to issue up to 25,025,000 new shares at a price of HKD 0.2 per share, completed on April 8, 2025[71] Operational Insights - The company is primarily engaged in the supply of solar photovoltaic components and equipment, as well as trading in beauty and health products[6] - The group remains confident in the potential of the Chinese market and will continue to focus on solar energy and distribution systems while seeking new developments[50] - The company has incurred a total of HKD 13,430 in unallocated expenses for the fiscal year ending June 30, 2025[19] - The warranty provision is estimated at 2.5% of revenue from the distribution system and solar energy business[44] Governance and Compliance - The company has achieved gender diversity on its board following the appointment of Ms. Chen Xianghua as an independent non-executive director on December 27, 2024, thus complying with Listing Rule 13.92[86] - All directors have fully complied with the standards set out in the Listing Rules regarding securities trading as of the fiscal year ending June 30, 2025[88] - The board does not recommend the payment of a final dividend for the fiscal year ending June 30, 2025[93] - The company does not have a dividend policy, and any future dividend declaration will be based on various factors including future operations, profitability, and overall financial condition[89]
恒昌集团国际(01421) - 2025 - 年度业绩