Financial Performance - Revenue decreased by approximately SGD 2.99 million or 17.5% to SGD 14.06 million for the year ending December 31, 2024, compared to SGD 17.05 million for the previous year[13]. - Revenue from Singapore operations fell by 25.4% to SGD 9.20 million due to declining restaurant performance, while revenue from Malaysia increased by 3.0% to SGD 4.86 million[13]. - The company recorded losses of approximately SGD 2.55 million and SGD 4.92 million for the years ending December 31, 2024, and 2023, respectively, with the reduction in losses primarily due to decreased asset impairment losses[13]. - Revenue decreased by approximately SGD 2.99 million or 17.5% from SGD 17.05 million for the year ended December 31, 2023, to SGD 14.06 million for the year ended December 31, 2024[20]. - Revenue from Singapore operations decreased by 25.4% to SGD 9.20 million due to a decline in restaurant performance, while revenue from Malaysia operations increased by 3.0% to SGD 4.86 million[20]. - The company recorded a loss of approximately SGD 2.55 million for the year ended December 31, 2024, compared to a loss of SGD 4.92 million for the year ended December 31, 2023, indicating a reduction in losses[27]. - The group reported a net loss attributable to shareholders of approximately SGD 2,547,000 for the year ending December 31, 2024[183]. - The company reported a pre-tax loss of SGD 2,546,000 for 2024, an improvement from a loss of SGD 4,909,000 in 2023[174]. - Net loss attributable to equity holders for 2024 was SGD 2,547,000, compared to SGD 4,923,000 in 2023, reflecting a 48.3% reduction in losses[174]. Operational Changes - The company closed four underperforming restaurants in Singapore and terminated one loss-making bakery to curb cash flow and protect financial health[14]. - The current operational focus is on improving the performance, operational efficiency, and profitability of existing bakeries and restaurants[14]. - The ongoing challenges include rising operational costs, labor shortages, and changing consumer spending habits, particularly in Singapore[14]. - The company acknowledges the need for cautious resource and capital management to ensure sustainable growth amid high inflation pressures[12]. - The company is focused on expanding its market presence and enhancing operational efficiency through experienced leadership[49]. - The company is implementing cost control measures to improve operational efficiency and enhance profitability, aiming to maintain sufficient cash flow for business activities and debt repayment[184]. Financial Management - The company remains focused on cash flow management and is seeking financial support from major shareholders and constructive cooperation with banking partners[15]. - The company is optimistic about the long-term prospects of the restaurant industry and is committed to sustainable growth and creating long-term value for stakeholders[15]. - The net cash flow from operating activities for the year ended December 31, 2024, was approximately SGD 1.95 million, which would be SGD 0.79 million after excluding the impact of depreciation of right-of-use assets of approximately SGD 2.74 million[28]. - The net cash flow used in investing activities was approximately SGD 0.79 million, primarily for the renovation and rebranding of new restaurants amounting to SGD 0.81 million[29]. - The net cash flow used in financing activities was approximately SGD 1.63 million, which included repayments of lease liabilities of approximately SGD 3.43 million and bank loans of approximately SGD 0.71 million[29]. - The company has secured a loan facility of SGD 1,000,000 from a financial institution, which was drawn in 2025, and a letter of intent for a loan facility of up to MYR 3,000,000 (approximately SGD 915,000) from another institution[184]. - The board believes that, based on cash flow forecasts and ongoing measures, the company will have adequate funding sources to meet future operational and financial needs[185]. Corporate Governance - The company has committed to high standards of corporate governance, believing it is crucial for sustainable growth and maximizing shareholder value[55]. - The board is responsible for maintaining proper accounting records to oversee and accurately disclose the financial status of the group, with regular announcements to shareholders[58]. - The company has adopted a code of conduct for securities trading by directors, aligning with GEM Listing Rules, and all directors confirmed compliance since the listing date[56]. - The board currently does not have a separate chairman and CEO, with Ms. Liu Wan-Zhen holding both positions, which the board believes ensures consistent internal leadership and effective strategic planning[52]. - The company has established an audit committee since April 4, 2018, consisting of three independent non-executive directors, with Mr. Xu Qilin as the chairman, ensuring compliance with corporate governance codes[66]. - The company has adopted corporate governance practices as detailed in the annual report[149]. - The board consists of four executive directors and three independent non-executive directors, complying with GEM Listing Rules regarding board composition[73]. Employee and Management Information - The group employed a total of 203 full-time employees in Singapore and Malaysia as of December 31, 2024, down from 239 employees as of December 31, 2023[38]. - The company has provided comprehensive employee benefits and development opportunities, emphasizing the importance of employee contributions[140]. - The management team includes individuals with significant experience in the restaurant and finance sectors, enhancing strategic decision-making capabilities[47]. - The company emphasizes gender diversity, with approximately equal representation of male and female employees as of December 31, 2024[77]. Risk Management - The company has established policies and procedures to identify, assess, and manage significant risks, with the board responsible for the overall effectiveness of the risk management and internal control systems[83]. - The board conducted an annual review of the effectiveness of the risk management and internal control systems, identifying no significant deficiencies in operational, financial, and compliance risks[84]. - The audit committee emphasized that no internal control system can completely eliminate errors and violations, providing only reasonable assurance against serious mistakes or losses[84]. Market and Competition - The company faced intense competition from numerous restaurants and bakery retailers targeting similar customer groups, which could negatively impact existing restaurant and retail store revenues[99]. - The company's success heavily relies on the market recognition of its brands, and any damage to brand trust could significantly reduce brand value[99]. Shareholder Information - The board recommends not to declare any dividends for the year ending December 31, 2024, maintaining a balance between sufficient capital for business development and rewarding shareholders[103]. - The board has adopted a diversity policy, considering various factors when deciding on dividend recommendations, including the overall financial condition and future cash needs of the group[103]. - The board members and executives hold significant shares, with the chairperson and CEO, Liu Wan-Zhen, holding approximately 43.9% of the shares[114]. - Major shareholders include Net Heart Rehabilitation Hospital (International) Limited, holding 90,500,000 shares, representing 18.1% of the total shares[123]. Financial Statements and Compliance - The financial statements are prepared in accordance with International Financial Reporting Standards and presented in Singapore dollars, rounded to the nearest thousand[186]. - The adoption of new or revised International Financial Reporting Standards has not had a significant impact on the consolidated financial statements[188]. - The company has not early adopted the new or revised International Financial Reporting Standards (IFRS) that will come into effect in the future[195]. - The board anticipates that the adoption of the new IFRS will not have a significant impact on the company's consolidated financial position or performance[196].
聚利宝控股(08527) - 2025 - 年度财报