Financial Performance - The group recorded a loss of approximately HKD 145 million for the year ending June 30, 2025, compared to a loss of approximately HKD 133 million in the same period of 2024, primarily due to a decrease in the fair value of investment properties by approximately HKD 111 million and impairment charges of HKD 16 million on leased land and buildings[6]. - The group's revenue for the year ending June 30, 2025, including rental income from investment properties, was approximately HKD 9 million, unchanged from 2024[7]. - Total sales for the year ending June 30, 2025, amounted to approximately HKD 32 million[11]. - Revenue for the year ended June 30, 2025, was HKD 43,805,000, an increase of 92.7% compared to HKD 22,733,000 in 2024[180]. - Gross profit for the same period was HKD 23,371,000, up 72.1% from HKD 13,591,000 in 2024[180]. - Operating loss increased to HKD 139,068,000 in 2025 from HKD 127,453,000 in 2024, reflecting a 9.3% increase in losses[180]. - Total comprehensive loss for the year was HKD 148,372,000, compared to HKD 135,867,000 in 2024, representing an increase of 9.5%[183]. - The company reported a basic loss per share of HKD 9.38 for 2025, compared to HKD 9.29 in 2024[180]. - The group reported a loss of approximately HKD 145,279,000 for the year ending June 30, 2025, with a net current liability of about HKD 108,746,000, indicating significant uncertainty regarding the group's ability to continue as a going concern[188]. Investment and Technology Development - The company is actively developing next-generation technology applications, including imaging, monitoring, navigation, and advanced semiconductor processing, with significant investments reflecting a focus on sustainable development[9]. - The company anticipates further investment in technology products and systems, aiming for these to become a significant source of revenue by the end of the decade[9]. - Dynim Oy is collaborating with sister companies to develop the RTK VINS series, accelerating the commercialization of advanced platforms that provide positioning, sensing, and connectivity functions[15]. - Pexray Oy has launched various enhancements to its portable digital X-ray inspection equipment, focusing on industrial and security applications, with sales of new battery-powered portable X-ray sources contributing to growth[10]. - Navigs Oy is at the forefront of developing advanced GNSS and imaging positioning solutions, with applications extending beyond agriculture to construction and maritime sectors[13]. Corporate Governance - The board of directors consists of one executive director, two non-executive directors, and three independent non-executive directors, ensuring a diverse range of expertise in management, property market, electronics, accounting, finance, and corporate development[41]. - The company has adopted a board diversity policy to ensure an appropriate balance of skills, experience, and diversity among board members, with ongoing efforts to appoint suitable female directors[42]. - The chairman and CEO roles are separated, with Dr. Wong serving as both chairman and acting CEO, a structure deemed effective for leadership and business execution[44]. - The company has complied with all corporate governance codes as per the Hong Kong Stock Exchange regulations, with some deviations disclosed[38]. - The company is committed to continuous improvement of its corporate governance practices through regular reviews[39]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report covers the period from July 1, 2024, to June 30, 2025, assessing related risks and ensuring effective management and internal control systems[72]. - The report includes a quantitative approach to disclose key performance indicators to evaluate the effectiveness of ESG policies and actions[74]. - The total greenhouse gas emissions for the reporting period were 132 tons, a decrease from 149 tons in the previous year, with emissions per employee at 3.07 tons[85]. - The company has implemented energy-saving measures to reduce emissions, focusing on minimizing energy usage[88]. - The company has established an environmental policy addressing significant environmental issues, complying with relevant environmental laws and regulations[80]. Employee and Labor Practices - The total number of employees is 43, with a gender breakdown of 35 males and 8 females, and an employee turnover rate of 16% for males and 0% for females[99]. - During the reporting period, the average training hours per employee were 1.53 hours for males and 0.20 hours for females, with 20% of senior management and 16% of general staff receiving training[104]. - The group promotes a diverse and inclusive work environment, prohibiting discrimination based on age, religion, gender, pregnancy, marital status, disability, family status, and ethnicity[96]. - The group has established emergency measures for extreme weather events, including typhoons and heavy rain, to protect employee safety[95]. - The group adheres to local labor laws, strictly prohibiting child labor and forced labor in its operations[105]. Financial Position and Liabilities - The group reported a net current liability of approximately HKD 109 million and a current ratio of 0.22 as of June 30, 2025[26]. - The group's capital debt ratio is approximately 28% as of June 30, 2025[27]. - The company has no distributable reserves available for shareholders as of June 30, 2025[130]. - The group has unutilized bank financing of approximately HKD 65,000,000 as of June 30, 2025[191]. - The group incurred net cash outflows from financing activities of HKD 10,841,000 for the year, compared to inflows of HKD 14,071,000 in the previous year[185]. Audit and Compliance - The audit committee consists of one non-executive director and three independent non-executive directors, who regularly meet with senior management to review the effectiveness of internal control systems[156]. - The auditors aim to obtain reasonable assurance that the consolidated financial statements are free from material misstatement due to fraud or error[174]. - The audit process involves identifying and assessing risks of material misstatement and designing audit procedures to address those risks[175]. - The auditors communicate with the audit committee regarding the planned audit scope, timing, and significant audit findings[177]. - The company is responsible for preparing true and fair consolidated financial statements in accordance with the Hong Kong Financial Reporting Standards and the Companies Ordinance[172].
PALADIN(00495) - 2025 - 年度财报