Financial Performance - For the year ended March 31, 2023, the Group recorded an operating loss of HK$25 million, a reduction of approximately 44% compared to the previous year[129]. - The total revenue for the Group decreased by 8% to HK$128 million, with Hong Kong operations increasing by 21%, while revenues from Mainland China, Macau, and Taiwan declined by 25%, 30%, and 27% respectively[130]. - The Group's loss for the year was HK$43 million, influenced by a significant decline in the value of investment properties due to a bleak business outlook[129]. - The Group's turnover decreased by 8% to HK$128 million for the year, with Hong Kong operations increasing revenue by 21%, while Mainland China, Macau, and Taiwan saw decreases of 25%, 30%, and 27% respectively[148]. - Revenue from the Group's operations in Mainland China dropped by 25% to HK$32,095,000 due to slowing economic growth and reduced consumer sentiment[168]. - Revenue from Macau dropped by 30% to HK$15,528,000 due to a 12-day lockdown in July 2022 and a scaled-down retail network[199]. - The Group's Taiwan operations saw a revenue decline of 27% to approximately HK$9,477,000, accounting for about 7% of total revenue for the year[197]. Business Strategy and Operations - The group’s principal activities include the design, manufacture, retail, and wholesale of fashion apparel and accessories[15]. - The Group has repositioned its major house brand MOISELLE to target the younger generation, focusing on mid-range, on-trend fashion apparel[133]. - The Group actively pursued business innovation measures over the past four years, including e-commerce development and retail network optimization[131]. - The Group adjusted its retail strategy by maintaining a minimal presence in various markets, closing underperforming stores, and opening new ones in promising locations[152]. - The Group's strategy includes conducting small-scale handicraft courses and mini-fashion shows to attract younger customers[149]. - The Group is seeking to expand its retail network in Hong Kong by opening new shops in locations with good prospects at reasonable rents[156]. - The Group has formed alliances with three online shopping platforms in Mainland China to capitalize on e-commerce trends[194]. - The Group's strategy includes maintaining an optimal minimum store network in Mainland China, typically one store per city, to adapt to market conditions[195]. Corporate Governance - The company’s independent non-executive directors have confirmed their independence as of March 31, 2023[6]. - The independent non-executive directors confirmed their independence for the year ended March 31, 2023, in compliance with listing rules[52]. - The company has established a remuneration committee in compliance with corporate governance codes[63]. - The attendance record for the remuneration committee meetings was 100% for all members during the year[35]. - The company has a nomination committee comprising two independent non-executive directors and one executive director[59]. - The attendance record for the nomination committee meeting shows full attendance by all members[57]. - The independent non-executive directors are appointed for a term of two years and are subject to retirement by rotation[70]. - The emoluments of non-executive directors are based on the estimated time spent on company matters[65]. Market Conditions - The operating environment was affected by high inflation and interest rate hikes, leading to a complicated business landscape[124]. - The value of retail sales of apparel in Mainland China fell by 6.5% to approximately RMB1.3 trillion in 2022, impacting consumer sentiment[127]. - The total visitor arrivals in Hong Kong surged by 561.5% to 604,564 in 2022, but the buying power of returning Mainland Chinese tourists was weaker than pre-pandemic levels[142]. - Rents for shop spaces in Hong Kong rebounded to about 80% of pre-pandemic levels in the first five months of 2023, as landlords anticipated a recovery in the retail market[153]. Shareholder Information - The company did not declare any final dividends for the year ended March 31, 2023, similar to the previous year[28]. - The company’s share capital remained unchanged during the year[31]. - There are no provisions for pre-emptive rights under the company's articles of association, meaning new shares are not offered on a pro-rata basis to existing shareholders[95]. - The company has confirmed that all continuing connected transactions were conducted on normal commercial terms and are fair and reasonable to the shareholders[91]. - The independent non-executive directors have reviewed and confirmed the ongoing connected transactions during the year[91]. - As of March 31, 2023, Mr. Chan Yum Kit and Ms. Tsui How Kiu each hold a beneficial interest of 46.7% in Super Result Consultants Limited, which owns 190,000,000 shares, representing 65.99% of the company's share capital[100][108]. - Mr. Chan and Ms. Tsui also have a corporate interest in 3,918,000 shares held by New First Investments Limited, which they own equally at 50% each[85]. - The total interest of Mr. Chan in the company amounts to 193,918,000 shares, representing approximately 67.35% of the total issued shares[82]. - As of March 31, 2023, no other directors or chief executives had any interests or short positions in the shares or debentures of the company[86]. Employee and Community Engagement - The company has established a defined contribution retirement plan for its employees in mainland China[39]. - The Group reported a charitable donation of HK$10,000 for the year, consistent with the previous year[37].
慕诗国际(00130) - 2023 - 年度财报