Financial Performance - The company's revenue for the fiscal year ending March 31, 2023, was approximately HKD 273,619,000, a slight decrease of 1.0% compared to HKD 276,426,000 in the previous year[13]. - The net loss attributable to the owners of the company was approximately HKD 17,671,000, compared to a loss of HKD 16,651,000 in the previous year[22]. - Other income and gains increased to approximately HKD 4,422,000, up from HKD 1,365,000 in the previous year, primarily due to government subsidies and increased interest income[19]. - Other operating expenses decreased by 6.1% to approximately HKD 88,935,000, mainly due to a 7.9% reduction in subcontracting costs[22]. - The cash and cash equivalents as of March 31, 2023, totaled approximately HKD 72,204,000, down from HKD 76,101,000 the previous year[23]. - The company recorded a loss of approximately HKD 2,445,000 in the cleaning and related services segment, HKD 3,160,000 in the advertising media segment, and HKD 1,106,000 in the waste management segment[22]. - As of March 31, 2023, the group's net assets were approximately HKD 105,662,000, a decrease from HKD 113,911,000 as of March 31, 2022[24]. - The group's debt-to-equity ratio as of March 31, 2023, was 2.8%, compared to 2.6% as of March 31, 2022[24]. - The group maintained its revenue in the cleaning and related services business despite intense competition, with only a slight decline in profit margins compared to the previous year[27]. - The total employee cost for the year was approximately HKD 198,416,000, an increase from HKD 189,693,000 in the previous year, with a total of 1,144 employees as of March 31, 2023[43]. - The group has not proposed any dividends for the year ending March 31, 2023, consistent with the previous year[33]. - The group has a bank financing of HKD 40,000,000 as of March 31, 2023, unchanged from the previous year[25]. - The group has a performance guarantee amounting to approximately HKD 1,913,000 as of the reporting period, down from HKD 4,630,000 in the previous year[35]. - The group plans to use the net proceeds from a recent placement of shares, totaling approximately HKD 7,763,000, for general working capital and future business opportunities[31]. - The group has no significant investment or capital asset plans for the future as of the reporting date[40]. Employee Management - The company aims to attract new employees and retain existing staff by improving compensation, benefits, and healthcare[9]. - The total employee count increased to 1,089 in 2023, up from 1,060 in 2022, representing a growth of approximately 2.74%[109]. - The employee turnover rate for 2023 was 4.64%, with male turnover at 40% and female turnover at 57%[111][112]. - The percentage of full-time employees rose to 67% in 2023 from 63% in 2022, while part-time employees decreased to 33% from 37%[109]. - Employee training participation increased to 83% in 2023, up from 74% in 2022[123]. - Average training hours per employee decreased to 2.8 hours in 2023 from 3.4 hours in 2022[125]. - The number of workplace injuries reported was 14 in 2023, compared to 13 in 2022[118]. - The company organized recreational and social activities to improve employee satisfaction and reduce turnover rates[111]. - The average turnover rate for part-time employees was notably high at 61% in 2023, compared to 37% in 2022[112]. - The company has successfully eliminated the hiring of any employees below the legal working age, ensuring compliance with labor laws[128]. - The company is committed to providing competitive salaries and employee benefits to enhance career development opportunities[74]. Environmental Sustainability - The company plans to introduce more green technologies in operations to reduce environmental impact and create new business opportunities[9]. - The company is transitioning to environmentally friendly cleaning solutions to minimize harmful waste generation[80]. - The company has established a responsible supply chain to ensure ethical cooperation with suppliers[74]. - The company reported a commitment to sustainable development, focusing on economic, social, and environmental sustainability[59]. - The management team emphasized the importance of sustainability initiatives, committing to reduce carbon emissions by J% over the next five years[49]. - The company aims to transparently present both positive and negative impacts of its business operations[67]. - The report focuses on sustainability and performance in four environmental areas and eight social areas, particularly highlighting the cleaning services division[69]. - The company identified and confirmed 24 key issues impacting its operations, environment, and society through stakeholder interviews and surveys[74]. - Greenhouse gas emissions from the company's operations increased to 53 metric tons of CO2 equivalent in 2023, up from 51 metric tons in 2022[86]. - The company aims to reduce nitrogen oxides, sulfur oxides, and particulate matter emissions by 3% before 2024, using 2019 as the baseline year[84]. - The company has 1,089 employees, with a greenhouse gas density of 0.05 metric tons of CO2 equivalent per employee in 2023, unchanged from 2022[86]. - The company consumed 5,071 liters of diesel and 3,345 liters of unleaded gasoline for its service vehicles in the year[82]. - The total harmless waste generated in 2023 was 276.65 tons, a decrease from 295.38 tons in 2022, representing a reduction of approximately 6.1%[89]. - The density of harmless waste per employee decreased to 0.25 tons in 2023 from 0.28 tons in 2022[89]. - The company achieved a 3% reduction target for harmless waste density ahead of the 2024 deadline, based on 2022 as the benchmark year[91]. - Total energy consumption in 2023 was 122,879 kWh, an increase from 112,084 kWh in 2022, resulting in an energy consumption density of 113 kWh per employee[98]. - The company is currently working towards a 3% reduction in energy consumption density by 2024, using 2019 as the baseline year[101]. - Paper usage in 2023 was recorded at 1,118 kg, up from 1,053 kg in 2022, prompting the implementation of paper-saving initiatives[96]. - The company has introduced new cleaning machines with built-in water filtration systems to recycle water and reduce overall water consumption[95]. - The company received the "Corporate Environmental Leadership Award 2021" from Bank of China (Hong Kong) for its performance in environmental protection[104]. - There were no significant violations of environmental laws or regulations reported during the year, with no fines or non-monetary penalties incurred[92]. - The company has established emergency plans for extreme weather events to address potential climate-related risks[105]. Corporate Governance - The board consists of four executive directors, two non-executive directors, and three independent non-executive directors, ensuring a balanced composition for effective independent judgment[159]. - The board is responsible for overall management and performance monitoring, including policy formulation and significant acquisitions[160]. - The company has adopted a self-regulatory code for securities trading by directors, ensuring compliance with the standards set by the listing rules[157]. - The company has established a mechanism for directors to obtain independent advice to fulfill their responsibilities effectively[163]. - The company has maintained compliance with the corporate governance code throughout the fiscal year ending March 31, 2023[155]. - The board has committed to regular reviews of corporate governance practices to meet regulatory requirements and shareholder expectations[155]. - The company has received annual independence confirmations from all independent non-executive directors, affirming their independence[177]. - The company encourages directors to participate in professional development courses and seminars to enhance their knowledge and skills[166]. - The Compensation Committee reviewed and approved the remuneration policies for all directors and senior management, ensuring transparency and alignment with the company's objectives[187]. - The Audit Committee held three meetings during the year, with all members attending each meeting, focusing on the review of financial statements and the effectiveness of internal controls[191]. - The company recommended the reappointment of Zhongzheng Tianheng as the auditor for the financial year ending March 31, 2023, after reviewing their terms of engagement[191]. - The Nomination Committee was established to ensure a diverse board composition, considering factors such as gender, age, and professional experience[197]. - The company has adopted a board diversity policy to enhance the effectiveness of the board by considering various aspects of diversity in its composition[198]. - The company has established six board committees, including the remuneration committee, audit committee, nomination committee, corporate governance committee, strategy and development committee, and executive committee[181]. - The company has arranged appropriate liability insurance for directors to cover responsibilities arising from company activities, with regular reviews of coverage and insured amounts[170]. - The chairman and CEO roles are clearly separated, with Mr. Lao Guokang as chairman, Mr. Xu Guoxing as co-chairman, and Mr. Fu Jun as CEO[171]. - The board meets at least four times a year, with meetings scheduled in advance to facilitate attendance by all directors[175]. - The nomination committee evaluates and recommends candidates for the appointment and reappointment of directors, with all directors required to retire at least every three years[172]. - The company has not faced any legal cases related to corruption during the year, indicating effective governance practices[146]. - The company has maintained a strict adherence to anti-corruption laws, with no significant violations reported in the past year[145]. - The company has developed a privacy management policy to protect stakeholder data and comply with relevant laws[139]. - The company has received the "Social Capital Power Logo Award" for its contributions to social capital development[148]. - The company has implemented a comprehensive training program to ensure all employees are capable of meeting quality, environmental, and occupational health and safety standards[135]. - The company has established a subcontractor management plan to ensure compliance with safety, environmental, and social risk standards[131]. Community Engagement - The company provided a supportive environment for employees with learning disabilities through its partnership with Café 8, enhancing community engagement[150]. - The company participated in the "Smoke-Free Waterfront Walk" charity event, with 26 employees walking an average of 12,000 steps each, collecting over 100 cigarette butts[150]. - The company has implemented a recycling initiative at a major residential project, encouraging residents to exchange recyclable items for sponsored consumer goods[150].
新华通讯频媒(00309) - 2023 - 年度财报