Financial Performance - The loss attributable to the owners of the Company decreased by approximately 49.4% from approximately HK$1,452,609,000 in 2021 to approximately HK$734,563,000 in 2022, with basic loss per share decreasing from 63.02 HK cents to 31.87 HK cents[20]. - The Group's fair value loss on investment properties increased from approximately HK$31,814,000 in 2021 to approximately HK$208,156,000 in 2022, mainly due to a decrease in the fair value of investment properties as of December 31, 2022[20]. - The Group's impairment of financial assets increased from approximately HK$950,000 in 2021 to approximately HK$251,580,000 in 2022, primarily due to an increase in expected credit loss of loan receivables[20]. - The Group recorded a loss attributable to owners of approximately HK$734,563,000 for Year 2022, compared to a loss of approximately HK$1,452,609,000 for Year 2021, with a basic loss per share of 31.87 HK cents for Year 2022 (2021: 63.02 HK cents)[65]. - The Group's loss from fair value financial assets increased from approximately HK$102,689,000 in 2021 to approximately HK$166,108,000 in 2022, primarily due to a 15.8% decline in the fair value of the NT Trust Scheme[86]. Revenue and Income - Rental income from the property leasing business increased by approximately 10.9% to approximately HK$96,884,000 in 2022, up from approximately HK$87,376,000 in 2021, primarily due to an increase in average occupancy rate from approximately 80% in 2021 to approximately 82% in 2022[12]. - Other income, gains, and losses increased from approximately HK$348,441,000 in Year 2021 to approximately HK$467,687,000 in Year 2022, primarily due to an increase in interest income from approximately HK$230,296,000 to approximately HK$410,508,000[83]. - The Group's rental income for Year 2022 amounted to approximately HK$96,884,000, representing an increase of approximately 10.9% compared to HK$87,376,000 in Year 2021[83]. Assets and Liabilities - As of December 31, 2022, the Group's net current assets were approximately HK$2,426 million, with interest-bearing borrowings and convertible bonds totaling approximately HK$1,431 million due within the next 12 months[7]. - The NT Trust Scheme represented approximately 3.9% of the total assets of the Group as of December 31, 2022, being the most significant financial asset investment[25]. - Net assets per share decreased to HK$1.75 in 2022 from HK$2.27 in 2021, a decline of 22.9%[39]. - Total assets attributable to owners of the company decreased by 13.4% to HK$10,018.8 million from HK$11,572.0 million[57]. - The Group's total cash and bank balances increased from approximately HK$141,205,000 in 2021 to approximately HK$772,331,000 in 2022[89]. Borrowings and Financial Obligations - The Group has been actively negotiating with lenders for an extension of repayment dates for outstanding borrowings totaling approximately HK$198 million as of December 31, 2022[7]. - The Group's total borrowings amounted to approximately HK$3,972,452,000, a decrease from HK$5,036,159,000 in 2021[112][129]. - Short-term borrowings increased significantly to HK$1,388,974,000 in 2022 from HK$541,037,000 in 2021[129]. - The Group's interest-bearing bank and other borrowings, totaling approximately HK$1,431 million, are due within the next 12 months, while cash and bank balances are approximately HK$98 million[149]. - The Group plans to expedite the collection of outstanding loan receivables and the disposal of financial asset investments to improve liquidity[135]. Strategic Focus and Investments - The Group has redirected its focus to equity investments, particularly in the new energy industry and its sub-sectors, as part of its strategic transformation[24]. - A joint venture was established with an independent third party for photovoltaic battery technology R&D in China[47]. - The company plans to support the expansion of R&D and manufacturing capabilities for the joint venture, Beijing Lingjun[47]. - The Group's investment strategy focuses on capturing returns from appreciation and income generation, with a commitment to prudent investment principles and monitoring of market conditions[68]. Economic Outlook - The outlook for 2023 anticipates a recovery in economic activity and domestic consumption in China[49]. - The Group anticipates that the full opening of China will create new opportunities for rebuilding the global economic order, which may alleviate pressures on global inflation[78]. - In 2023, the Group expects gradual restoration of market confidence and revival of economic activities, stimulating domestic consumption[79]. Corporate Governance and Stakeholder Engagement - The Board comprises five executive Directors, one non-executive Director, and three independent non-executive Directors, ensuring effective corporate governance[77]. - The company maintained a continuous dialogue with stakeholders, including customers, employees, regulators, and the public, to ensure long-term sustainability[56]. - The company emphasizes non-discriminatory hiring practices and aims to provide a safe and healthy workplace for its employees[56]. Employee and Operational Changes - The total employee cost for the group in 2022 was approximately HKD 66,933,000, down from HKD 76,641,000 in 2021[200]. - The group employed 66 employees as of December 31, 2022, a decrease from 84 employees as of December 31, 2021[200]. - Administrative expenses decreased from approximately HK$267,285,000 in Year 2021 to approximately HK$181,456,000 in Year 2022, mainly due to a reduction in staff costs following a reorganization in the PRC[83].
银建国际(00171) - 2022 - 年度财报