Financial Performance - For the fiscal year ending July 31, 2022, the company reported a revenue of HKD 5,191.8 million, a decrease of 14.7% from HKD 6,089.8 million in the previous year[14]. - Gross profit for the same period was HKD 1,622.1 million, up from HKD 1,400.9 million, indicating a positive growth despite the revenue decline[14]. - The company reported a net loss of HKD 890.7 million after tax, compared to a loss of HKD 499.3 million in the previous year, indicating a worsening financial position[18]. - The company reported a net loss attributable to shareholders of approximately HKD 1,196.3 million for the year ended July 31, 2022, a slight decrease from HKD 1,268.0 million in 2021[19]. - The operating loss was HKD (1,270.8) million, with an operating loss margin of -24%, compared to -21% in the previous year[60]. - The net loss attributable to the company's owners was HKD (1,196.3) million, with an adjusted net loss of HKD (890.7) million, reflecting a net loss margin of -23% and -17% respectively[60]. - The company's operational expenses increased during the year, contributing to the overall net loss[19]. Revenue Breakdown - The property investment and development segment generated revenue of HKD 1,341.8 million, a decrease of 3.7% compared to HKD 1,392.7 million in the previous year[15]. - Restaurant and catering products revenue fell significantly by 32.7%, from HKD 2,503.3 million to HKD 1,685.5 million[15]. - The hotel business saw a revenue increase of 4.6%, rising from HKD 621.2 million to HKD 650.0 million[15]. - The cinema operations segment experienced a substantial growth of 81.6%, with revenue increasing from HKD 212.0 million to HKD 385.0 million[15]. - The group's revenue for the year ending July 31, 2022, was HKD 5,191.8 million, a decrease from HKD 6,089.8 million in the previous year[60]. - The rental income for the year ended July 31, 2022, was HKD 1,341,800,000, a decrease of 3.7% from HKD 1,392,700,000 in the previous year[72]. Future Outlook and Strategy - Future outlook includes a focus on expanding property investments and enhancing restaurant operations to recover from recent declines[10]. - The company is also exploring new strategies in media and entertainment sectors to diversify revenue streams[10]. - Ongoing development of new technologies and products is expected to support market expansion efforts in the coming fiscal year[10]. - The company plans to continue investing in original quality film production in China and is in discussions for new television series projects[46]. - The group aims to explore new artist collaborations and expand its concert activities in the Greater China region[47]. - The company maintains a cautious and flexible approach, ready to seize new development opportunities as the economy recovers[33]. - The group plans to consider timely expansion of land reserves, taking into account macroeconomic conditions and existing business risks in relevant cities[39]. Property Development and Projects - The company successfully acquired three residential projects to replenish its development land reserves, including a building in Ho Man Tin with a total construction area of approximately 46,100 square feet, providing about 79 residential units[29]. - The Bal Residence and Yuen Long projects are expected to add approximately 71,800 square feet and 42,200 square feet to the company's development portfolio upon completion in Q4 2023 and Q1 2024, respectively[31]. - The company sold 604 units at Blue Tongue with an average selling price of HKD 18,000 per square foot, generating total sales proceeds of approximately HKD 204.1 million from 75 parking spaces sold[32]. - The company has ongoing projects with a total of 1,173 units under development, indicating a commitment to future growth[69]. - The project "Blue Tang" has sold 604 units with a total sales area of approximately 404,640 square feet, achieving an average selling price of HKD 18,000 per square foot[154]. - The project "Happy Build" has sold 209 residential units and 7 commercial units, with average selling prices of approximately HKD 16,400 per square foot for residential and HKD 23,500 per square foot for commercial[155]. Market Conditions and Challenges - The ongoing social distancing measures and travel restrictions in Hong Kong continued to impact various industries, although the company's properties in Hong Kong remained relatively stable with an occupancy rate exceeding 84%[28]. - The global economic outlook has worsened, with rising recession risks due to high inflation, increased borrowing costs, and geopolitical instability[24]. - The rental market is facing pressure due to a cautious attitude from tenants and insufficient demand from multinational and Chinese enterprises, leading to expectations of rising vacancy rates and suppressed rental prices[26]. - The occupancy rate for major properties in Hong Kong was 87.0%, down from 94.6% in the previous year[72]. Rental Income and Performance - Rental income from Hong Kong, London, and mainland China was HKD 565,500,000, HKD 84,700,000, and HKD 691,600,000 respectively[72]. - The overall rental income from the group's major leasing properties in Hong Kong decreased by 10.6% to HKD 565,500,000[74]. - The total rental income from the mainland properties increased by 2.0% to HKD 691,600,000 compared to HKD 678,200,000 in the previous year[72]. - The rental income from Shanghai Hong Kong Plaza was HKD 298,800,000, an increase of 2.2% from HKD 292,500,000[72]. - The rental income from the joint venture with China Construction Bank decreased by 9.5% from HKD 132,300,000 to HKD 119,700,000[72]. Asset Management - The net asset value per share decreased from HKD 55.340 as of July 31, 2021, to HKD 32.729 as of July 31, 2022, primarily due to the expansion of the shareholder base following a rights issue completed in August 2021[20]. - The debt-to-equity ratio was reported at 110%, significantly up from 76% the previous year, indicating increased leverage[51]. - As of July 31, 2022, the group's total cash and bank deposits amounted to HKD 8,037.3 million, excluding HKD 456.6 million from the subsidiary[51]. - The market capitalization as of July 31, 2022, was HKD 2,644.2 million, up from HKD 1,346.7 million in the previous year[60]. Cinema Operations - The cinema operations are gradually recovering post-COVID-19, with a maximum seating capacity of 85% allowed in Hong Kong cinemas as of May 19, 2022[42]. - The group extended the lease for the Festival Grand Cinema for three years starting February 1, 2024, enhancing its strategic position in the market[43]. - A new cinema, MCL Cinemas Plus+, opened in July 2022, with another expected to open in the second quarter of 2023[43]. - The Guangzhou May Flower Cinema ceased operations in October 2022 due to a challenging economic environment in mainland China[43]. - The group remains cautiously optimistic about long-term entertainment demand while continuously evaluating business opportunities to maintain its market position[42].
丽新国际(00191) - 2022 - 年度财报