Financial Performance - The Group's total revenue increased by 37.8% to HK$415.9 million for the year ended March 31, 2022, compared to HK$301.9 million in 2021[9]. - Loss attributable to the owners of the Company was HK$528.3 million, a significant increase from HK$177.6 million in the previous year[9]. - Basic loss per share was HK$0.44, up from HK$0.15 in 2021[9]. - Total dividends for the year were HK$0.065 per share, compared to HK$0.030 per share in 2021, including a special dividend of HK$0.050[9]. - The Group's revenue from hotels and serviced apartments increased by 67.3% to HK$155.3 million in the Year, up from HK$92.8 million in 2021[26]. - Total room revenue rose to HK$53.3 million, compared to HK$29.5 million in the previous year[28]. - Total food and beverage revenue increased to HK$77.4 million, up from HK$48.6 million in 2021[28]. - Gaming revenue grew by 24.6% to HK$260.6 million, compared to HK$209.1 million in 2021[27]. - Revenue from the mass market hall was HK$179.0 million, while VIP room revenue was HK$65.0 million[29]. Operational Challenges - The hospitality sector faced challenges due to ongoing entry restrictions and quarantine measures related to the Covid-19 pandemic[9]. - The second half of the year saw adverse impacts from policies announced by the Chinese government and credit crises in the mainland property industry[9]. - The Omicron variant of Covid-19 has hindered market recovery in Hong Kong, driving case numbers to new highs[7]. - The Group's operational environment remains challenging, but there are signs of gradual recovery in the tourism and hospitality sectors[9]. - The hospitality sector showed moderate revival, but faced setbacks due to Omicron cases and border reopening delays[31]. Financial Position - The Group's bank balances and cash decreased to HK$1,049.9 million as of March 31, 2022, down from HK$3,340.1 million in 2021 due to an acquisition cost of approximately HK$2,048.8 million[35]. - The Group maintained a strong financial position, funding operations and capital expenditures through cash generated from operations[35]. - As of March 31, 2022, the Group's current assets were HK$1,129.9 million, a decrease of 67.3% from HK$3,458.1 million in 2021, while current liabilities were HK$309.2 million, down 13.5% from HK$357.3 million in 2021[36][39]. - The Group maintained a net cash position as of March 31, 2022, resulting in a gearing ratio of zero, consistent with the previous year[36][39]. Employee and Compensation - The Group's total staff costs increased to HK$343.6 million in 2022, up 9.7% from HK$313.2 million in 2021, with the number of employees rising to 876 from 770[50]. - The number of employees increased to 876 as of March 31, 2022, compared to 770 in 2021[53]. - Total employee costs amounted to HKD 343,600,000 for the year, up from HKD 313,200,000 in 2021, reflecting a year-on-year increase of approximately 9.5%[53]. - Employee compensation is determined based on individual responsibilities, skills, experience, and market salary levels[53]. - The remuneration package for employees includes basic salaries, housing allowances, pension contributions, discretionary bonuses, and other competitive benefits[99]. Corporate Governance - The Management Discussion and Analysis section provides insights into the Group's performance and future business development, spanning pages 4 to 14 of the annual report[77]. - The Group's environmental, social, and governance performance is detailed in the 2021/2022 report, highlighting compliance with relevant laws and regulations[78]. - The Group's principal risks and uncertainties are discussed in the Corporate Governance Report, covering pages 33 to 58 of the annual report[77]. - The Directors' fees are aligned with market practices and are not determined by individual Directors[98]. - The company maintains permitted indemnity provisions for Directors against potential liabilities and costs associated with legal proceedings[97]. Shareholder Information - The Group's issued share capital as of March 31, 2022, was approximately HK$120,000, a slight decrease from HK$121,000 in 2021[37][40]. - The company repurchased 12,270,000 shares at an aggregate cost of HK$14.6 million, reducing the total number of issued shares by approximately 1.0% to 1,197,305,983 shares[37][40]. - As of March 31, 2022, the total number of shares in issue was 1,197,305,983, a decrease from 1,209,575,983 in 2021[136]. - All repurchased shares were cancelled as of March 31, 2022, aimed at enhancing net asset value and/or earnings per share[143]. Acquisitions and Investments - The Company completed the acquisition of Poly Keen International Limited for HK$2,048.8 million, expanding its hospitality business into Hong Kong[46][47]. - The consideration for the acquisition of Poly Keen was HK$2,048,832,000[180]. - The Group acquired investment properties with a fair value of HK$515,000,000 through subsidiary acquisitions, but recognized a decrease in fair value of HK$143,000,000 in the consolidated statement of profit or loss[86]. - The Group acquired property, plant, and equipment at a cost of HK$23,909,000 and additional equipment through subsidiary acquisitions totaling HK$1,525,489,000 during the Year[86]. Connected Transactions - The Group's five largest customers accounted for 67.6% of total revenue, with the largest customer representing 62.7%[192][197]. - The auditor issued an unqualified letter regarding the Group's non-exempt continuing connected transactions[185]. - Independent non-executive directors confirmed that the continuing connected transactions were conducted in the ordinary course of business and on normal commercial terms[186][189]. - The Company has complied with the disclosure requirements in accordance with the Listing Rules for non-exempt connected transactions[183][187].
英皇娱乐酒店(00296) - 2022 - 年度财报