Financial Performance - The company reported a total equity of HKD 131,189,000 as of December 31, 2022, down from HKD 179,228,000 at the beginning of the year, reflecting a loss of HKD 47,007,000 during the year[26]. - The company recognized a total comprehensive expense of HKD 48,039,000 for the year, which includes a loss of HKD 47,007,000 and other comprehensive expenses of HKD 1,032,000[26]. - The company’s retained earnings decreased to HKD (35,857,000) by the end of 2022, compared to HKD 11,150,000 at the beginning of the year[26]. - The company’s loss attributable to owners increased significantly from HKD 330 million in 2021 to HKD 47.007 million in 2022, primarily due to a fair value loss on investment properties of approximately HKD 46 million[56]. - The company incurred a net loss of HKD 47,007,000 for the year, compared to a loss of HKD 330,000 in the previous year, indicating a significant decline in performance[103]. - Basic and diluted loss per share for the year was HKD 1.67, compared to HKD 0.01 in the previous year[103]. Revenue and Expenses - The group's revenue increased by HKD 2,065,000 or 5.5% to HKD 39,875,000 for the year ended December 31, 2022, primarily due to growth in property management and related services[33]. - The group recorded revenue of HKD 27,768,000 from property management services, up from HKD 25,407,000 in the previous year[33]. - Employee costs rose by HKD 1,317,000 or 7.7% to HKD 18,503,000, attributed to salary increases and a growth in employee numbers[38]. - Other property management-related expenses increased by HKD 2,308,000 or 32.8% to HKD 9,355,000, mainly due to one-time repair and maintenance costs in Shenzhen[39]. - Financing costs increased by HKD 1,426,000 or 41.6% to HKD 4,854,000, due to rising bank borrowing rates[42]. Assets and Liabilities - The total liabilities decreased from HKD 244.221 million in 2021 to HKD 240.889 million in 2022, while current liabilities net amount was (HKD 216.066 million) in 2022 compared to (HKD 215.020 million) in 2021[54]. - The group recorded a net current liability of approximately HKD 216,066,000 as of December 31, 2022, compared to HKD 215,020,000 in 2021[76]. - The total value of mortgaged investment properties and bank deposits was not less than approximately HKD 360,891,000 as of December 31, 2022, down from HKD 405,248,000 in 2021[76]. Investments and Acquisitions - The company sold its investments in Taiwan and Japan in January and July 2022, respectively, and plans to focus resources on business development if audit issues are resolved[21]. - The company completed the sale of its wholly-owned subsidiary Sky Heritage Holdings Limited for HKD 10,000, which held a 28% stake in Five Color Stone Technology Corporation[91]. - The company sold all issued shares of WI Capital Co. Limited for HKD 10,000, completed on July 29, 2022, with no significant adverse impact on overall financial condition and operations[119]. - The company has not disclosed any major acquisitions or disposals other than the sale of Sky Heritage Holdings Limited[107]. Cash Flow and Financing - The company reported cash flow from operating activities of HKD 8.428 million in 2022, a significant increase from HKD 383,000 in 2021[54]. - The company’s operating capital needs were met through bank loans totaling HKD 65.357 million in 2022, compared to HKD 68 million in 2021[61]. - The company has a bank loan of HKD 160 million as of December 31, 2022, unchanged from the previous year[67]. - The group had bank borrowings with repayment terms totaling HKD 160,000,000, due on March 30, 2023[86]. - The group provided a loan of HKD 15,357,000 to the ultimate holding company during the financing activities[79]. Shareholder and Governance - The company’s management expressed gratitude to shareholders and customers for their continued support, which is seen as a driving force for the company[22]. - The board does not recommend any dividend payment for the fiscal year ending December 31, 2022[135]. - The company plans to adopt a new stock option plan after the current plan expires, pending shareholder approval at a forthcoming meeting[189]. - The board believes that the audit opinions will be removed for the fiscal year ending December 31, 2023, due to the sale of certain investments[131]. - The current auditor issued a qualified opinion for the financial statements for the year ended December 31, 2021, due to scope limitations related to the investments in Five Color Stone and WI Capital[159]. Future Outlook and Strategy - The group plans to enhance its competitive advantages and synergies across regions, focusing on property management and related services to stimulate future revenue and profitability[45]. - The group aims to accelerate investments in the Greater Bay Area and other key cities, leveraging supportive policies for the real economy in China[32]. - The company aims to focus resources on developing its business in Japan and Taiwan, resolving previous audit issues related to these investments[69]. - The company aims to adopt sustainable business practices while seeking growth and has made progress in its environmental policies[112]. Compliance and Risk Management - The company closely monitors government policies and regulations that may impact operations and compliance[124]. - The company relies on reputable third-party service providers to mitigate risks associated with service failures[125]. - The company has not been able to find suitable directors' liability insurance since 2022, resulting in no insurance arrangements being made[152].
中亚烯谷集团(00063) - 2022 - 年度财报