Financial Performance - The Group reported a consolidated profit after taxation of HK$17,168,000 for the year ended December 31, 2022, a significant decrease of approximately 93.94% compared to HK$283,448,000 in 2021[64]. - The property development and investment segment profit decreased to HK$98,828,000 in 2022 from HK$455,963,000 in 2021, primarily due to a drop in gross proceeds and gross profit margin impacted by the COVID-19 pandemic[61]. - The Group recorded an operating profit before taxation of HK$217,288,000 for 2022, down from HK$591,250,000 in 2021, excluding losses on fair value changes of investment properties[62]. - The net gain on trading securities investment was HK$8,161,000 in 2022, compared to HK$12,838,000 in 2021, while dividend receipts from long-term equity investments amounted to HK$22,054,000, down from HK$23,209,000[62]. - Interest income decreased to HK$70,210,000 in 2022 from HK$76,865,000 in 2021, and the Group recorded a net exchange loss of HK$28,577,000 compared to a net gain of HK$10,262,000 in 2021[62]. - The Group shared a net loss of a joint venture of HK$15,289,000 in 2022, compared to a net gain of HK$1,342,000 in 2021[64]. - An unrealized loss on fair value changes of investment properties in Shanghai was recorded at HK$75,204,000 for 2022, significantly higher than HK$3,540,000 in 2021[61]. - The taxation expense for the year was HK$107,806,000, down from HK$297,027,000 in 2021[64]. - Basic earnings per share decreased to 0.87 HK cents in 2022 from 14.38 HK cents in 2021[64]. - For the year ended December 31, 2022, the Group recorded a net profit attributable to shareholders of HK$17,168,000, a significant decrease of approximately 93.94% compared to HK$283,448,000 in the same period of 2021[67]. Revenue Breakdown - Total revenue from property development and investment was HK$414,688,000, accounting for approximately 77.79% of the Group's total operating revenue for 2022[73]. - The property investment segment contributed a profit of HK$94,780,000, down from HK$178,676,000 in 2021, primarily from rental and property management fees in Shanghai[69]. - The property development and trading segment generated a profit of HK$4,048,000, a sharp decline from HK$277,287,000 in 2021, attributed to property sales in Shanghai[70]. - Rental income and property management fees from commercial and industrial properties provided HK$93,980,000, representing approximately 17.63% of the Group's total operating revenue[78]. - The Group recognized total revenue of HK$318.68 million from Tomson Riviera, accounting for approximately 59.78% of the Group's gross proceeds from operations[75]. - The Group's golf club generated revenue of HK$44,994,000, representing approximately 8.44% of total operating revenue, with a segment loss of HK$8,923,000 for the year[86]. - The Group's securities trading business reported revenue of HK$73,029,000, accounting for approximately 13.70% of total operating revenue, with a net gain of HK$8,161,000 from trading securities investments[90]. - The Group's media and entertainment segment generated revenue of only HK$367,000, representing approximately 0.07% of total operating revenue, with a segment loss of HK$650,000[91]. Assets and Liabilities - The Group's total assets decreased by approximately 8.47% to HK$18,795,314,000 as of December 31, 2022, compared to HK$20,534,605,000 in 2021[99]. - Equity attributable to owners of the Company was HK$12,388,347,000, representing a decrease of approximately 8.18% from HK$13,500,950,000 in 2021, mainly due to depreciation in the value of Renminbi[99]. - The Group's cash and cash equivalents amounted to HK$3,966,071,000, a decrease of approximately 10.79% from HK$4,445,869,000 in 2021[99]. - The Group recorded a net decrease in cash and cash equivalents of HK$136,246,000, primarily attributable to the acquisition of a property and payment of interim dividends[99]. - The Group's liabilities amounted to HK$5,967,079,000, with about 63.62% being current tax liabilities[100]. - The Group's borrowing as of December 31, 2022, amounted to HK$242,451,000, equivalent to approximately 1.96% of equity attributable to owners of the Company[101]. - Assets with a carrying value of HK$476,321,000 were pledged to secure the Group's borrowings[104]. Dividends and Shareholder Returns - The Board declared an interim dividend of 8.50 HK cents per share for the year ended December 31, 2022, an increase from 5.50 HK cents per share in 2021[65]. - The Group's dividend for the year was declared at HK$0.085 per share, an increase from HK$0.055 per share in 2021[68]. - The Company aims to provide stable and sustainable returns to shareholders through its dividend policy, with the payout ratio determined at the Board's discretion[193]. - Dividends can only be paid out of retained earnings and/or share premium, subject to statutory and regulatory restrictions under Cayman Islands laws[196]. Corporate Governance - The Board is committed to maintaining good corporate governance standards, emphasizing transparency and accountability to shareholders[120]. - The Board consists of seven members, including three executive Directors and four independent non-executive Directors, achieving gender diversity with one female Director and six male Directors[128]. - The Nomination Committee has reviewed the Board's structure and diversity policy, confirming that the Board has achieved diversity and has a balanced composition of skills and experiences[129]. - The Company has established mechanisms to ensure independent views are available to the Board, maintaining an appropriate proportion of independent non-executive Directors[135]. - The Board has reserved decision-making powers on corporate strategies, major acquisitions, and significant operational matters[132]. - The Company encourages Directors to seek external independent professional advice at its expense to assist in their duties[138]. - The Audit Committee held three meetings in 2022 to review interim and annual financial statements, evaluate risk management and internal control systems, and assess the adequacy of internal audit resources[144]. - The Company has arranged appropriate liability insurance for its Directors, which is reviewed annually[140]. - The Company has established a whistleblowing policy to ensure effective reporting and management of concerns[147]. Risk Management - The Group's risk management and internal control systems are designed to manage significant risks but cannot eliminate them entirely[172]. - The risk management process includes identifying significant risks, developing measures to manage them, and monitoring their effectiveness[175]. - The Audit Committee reviewed the internal audit and enterprise risk assessment reports for approval by the Board[144]. - The risk management and internal control systems were deemed sufficient and effective for the year ended December 31, 2022, following a review by the Audit Committee[178]. Future Outlook - The Group remains optimistic about the economic situation in Mainland China, focusing on high-end residential property development[113]. - Tomson Riviera and One Penha Hill are anticipated to be the principal sources of profit for the Group in 2023[113]. - The Group is actively proceeding with the construction and sales plan for the Jinqiao Town project in Pudong, Shanghai, which is expected to be a major profit contributor in the coming years[113]. - The Group's financial results may be adversely impacted by potential depreciation of the Renminbi, although exchange risk exposure is considered manageable[105]. - The Group will continue to monitor the financial impact of ongoing economic conditions on its operations for the financial year 2023[116].
汤臣集团(00258) - 2022 - 年度财报