Financial Performance - The net profit for the year ended 30 June 2025 was approximately HK$33.6 million, a significant recovery from a net loss of approximately HK$70.7 million in 2024[10]. - The Group's total revenue for the year was approximately HK$34.0 million, compared to approximately HK$31.3 million in 2024, representing an increase of about 8.6%[21]. - Basic earnings per share for the year was approximately 6.42 HK cents, compared to an adjusted basic loss per share of approximately 13.53 HK cents in 2024[21]. - The fair value gain for the year was approximately HK$35.1 million, compared to a fair value loss of approximately HK$41.5 million in 2024[21]. - The revenue growth rate for 2025 was approximately 12.8% higher than that of 2024, reflecting an active inbound tourism market in Japan[33]. Business Segments - The hotel hospitality business generated revenue of approximately HK$25.4 million, up from approximately HK$22.5 million in 2024, contributing approximately 75% of the Group's total revenue[22]. - The liquor and wine business revenue decreased to approximately HK$0.3 million from approximately HK$2.2 million in 2024, resulting in a segment loss of approximately HK$0.2 million[15]. - The money lending business recorded a segment loss of approximately HK$1.2 million, slightly higher than the loss of approximately HK$1.0 million in 2024[14]. Loans and Credit Management - As of 30 June 2025, the Group had loans receivable with a gross principal amount of approximately HK$146.9 million, unchanged from 2024, with related gross interest receivables increasing to approximately HK$95.4 million from approximately HK$82.2 million[11]. - The loan portfolio consists of loans to Independent Third Party borrowers with terms ranging from eight to twenty-four months and interest rates between 8% and 20% per annum, maintaining the same range as in 2024[40]. - The Group has engaged independent valuers to assess expected credit losses (ECL) of loans receivable, with ECL rates ranging up to 100% depending on the nature and probability of default[41]. - The Group has adopted a credit policy that includes compliance with laws, credit assessments of potential borrowers, and determining suitable interest rates based on risk levels[44]. - The Group maintains a diversified credit risk portfolio, ensuring that no loan exceeds 50% of the entire loan portfolio when aggregated with related parties[51]. Legal Proceedings - Legal proceedings against borrower A commenced in June 2021, with an amended writ filed in July 2025, but service has been unsuccessful[61]. - Legal proceedings against borrower B began in November 2019, with a judgment entered, but no enforcement action has been taken due to jurisdictional issues[62]. - Borrower C was ordered to be wound up by the High Court of Hong Kong on April 15, 2024, and the Board has engaged legal advisers to exercise creditor rights[62]. - The Group is assessing the conditions of guarantors for two outstanding loans secured by personal guarantees and may initiate legal proceedings against them[66]. Investments - Significant listed securities investments as of June 30, 2025, include holdings in CLP Holdings Limited valued at HK$14.41 million, representing 2.59% of total assets[83]. - The Group's investment in Tencent Holdings Limited is valued at HK$2.41 million, accounting for 0.43% of total assets[83]. - The Group's investment in China Mobile Limited is valued at HK$28.74 million, representing 5.17% of total assets[83]. - The Group's investment in China Construction Bank Corporation is valued at HK$23.76 million, accounting for 4.28% of total assets[83]. - The Group managed a portfolio of listed securities, with a total investment cost of HK$17.02 million in CLP Holdings Limited[83]. Corporate Governance - The Company has complied with the Corporate Governance Code except for the separation of roles between the chairman and chief executive, which has not been established since March 2020[137]. - The Board consists of five Directors, including one executive Director and three independent non-executive Directors[140]. - The Company has received annual confirmations of independence from all independent non-executive Directors, affirming their compliance with independence guidelines[142]. - The Board meets at least four times a year to oversee the Group's businesses and strategic decisions[148]. - The Company emphasizes effective internal control and accountability to enhance shareholder value[136]. Future Plans and Strategies - The Group is committed to a renovation project, with plans to select an architect by the end of September 2025 and commence works in the second half of 2025[36]. - The Group aims to diversify its business and seize investment opportunities amid inflationary pressures and geopolitical uncertainties[89]. - The Group's investment strategy includes a buy-and-hold approach, diversifying investments across different industries[85]. Employee and Management Information - As of June 30, 2025, the Group had approximately 28 employees, down from 37 in 2024[117][122]. - The Company does not have a Chief Executive Officer since the resignation of Mr. Chi Chi Hung, Kenneth in March 2020[159]. - Continuous professional development for directors is facilitated by the Company, covering statutory and regulatory updates[197].
德泰新能源集团(00559) - 2025 - 年度财报