Financial Performance - Turnover for the year ended March 31, 2022, was HK$2,768 million, a decrease of 10.1% from HK$2,914 million in 2020[22] - Profit attributable to owners of the company for the year was HK$16 million, compared to a loss of HK$90 million in 2020[22] - Earnings per share for 2022 was HK$0.20, an increase from a loss of HK$0.36 in 2020[21] - The company reported a net gearing ratio of 17% for 2022, down from 49% in 2020, indicating improved financial stability[23] - The market capitalization increased to HK$262 million in 2022, up from HK$224 million in 2020[23] - Cash and cash equivalents stood at HK$355 million in 2022, a slight increase from HK$337 million in 2020[23] - The dividend payout ratio for 2022 was 32%, compared to 48% in 2021[21] - The Group's turnover for the Year increased by 4.5% to HK$2,767.8 million from HK$2,648.6 million for the year ended 31 March 2021[45] - Profit attributable to owners of the Company for the Year was HK$15.5 million, compared to a loss of HK$44.0 million for 2020/21[45] - Earnings per share attributable to owners of the Company for the Year was 6.2 HK cents[45] Business Operations and Market Conditions - The Group's sales performance in Hong Kong and Macau saw some recovery due to local customer focus and government e-voucher programs, but remained significantly below pre-pandemic levels[34] - The retail business in Hong Kong was severely impacted in the last quarter of the Year due to the outbreak of the fifth wave of COVID-19, reversing earlier positive trends[34] - Visitor arrivals in Hong Kong remained nearly stagnant due to strict border control and quarantine policies, negatively affecting the economy[34] - In Mainland China, the Group's retail, e-business, and wholesale operations benefited from the economic rebound in 2021, driving positive growth in the luxury goods market[34] - Sporadic COVID-19 outbreaks in early 2022 in certain regions of Mainland China led to the reintroduction of stringent containment policies, negatively impacting sales[34] - Business operations in Malaysia were affected by intermittent lockdowns, but a turnaround was observed after the release of lockdown measures[34] - The Group launched numerous promotional activities across all operating regions to boost sales during challenging times[34] Brand Development and Product Offerings - The company launched a new online platform for Hong Kong and China, allowing 24/7 customer engagement and product ordering[5] - TSL TOSI brand opened its first store in 2021, targeting a young, fashion-conscious audience[8] - The "MADE-TO-ORDER" service was introduced, allowing customers to customize their jewelry pieces[6] - The Group launched two new brands: "TSL TOSI" and "DUO by TSL," with three "TSL TOSI" shops opened in Mainland China and the first "DUO by TSL" store opened in Hong Kong[36] - A new Made-To-Order service was launched through digital platforms for customers in Hong Kong and Mainland China[36] - The Group's E-Business experienced high double-digit growth in turnover during the Year, attributed to enhanced product assortments and seasonal promotions[63] - The e-commerce business recorded a high double-digit growth in revenue, attributed to product optimization and seasonal promotions[64] Store Network and Expansion - The total number of stores in Hong Kong was 24 as of March 31, 2022, after strategically closing 2 underperforming stores[53] - The Group's total number of stores in Mainland China increased from 450 to 465 during the Year, including self-operated and franchised stores[56] - The Group will continue to strengthen its retail network and business operations with cautious expansion in Mainland China[56] Financial Management and Stability - The Group has entered into a facilities agreement with multiple international banks, reflecting strong confidence in its business foundation[39] - The Group has implemented cost-effective measures, including negotiations for rent reductions and favorable renewal terms[39] - Total interest-bearing liabilities decreased from HK$989.1 million to HK$920.4 million, while net borrowings fell from HK$292.0 million to HK$183.2 million[68] - The net gearing ratio significantly decreased from 31.0% to 17.5% during the year, indicating improved financial stability[73] - As of March 31, 2022, the Group had cash and bank balances of HK$737.2 million, deemed sufficient for current working capital needs[73] Corporate Governance and Management - The founder of the group, Tse Sui Luen, has over 50 years of experience in the jewelry industry, providing strategic advice and support for business expansion[82] - Annie Yau, the Chairman and CEO, has been with the group since 2002 and has modernized management through business process reengineering[88] - Estella Ng, the Deputy Chairman and CFO, joined the group in 2015 and is responsible for defining corporate strategies and overseeing group finance[91] - The management team includes experienced professionals with backgrounds in multinational companies such as Motorola and IBM[88] - The leadership team is well-versed in financial management and corporate governance, ensuring robust oversight of the company's operations[91] Community Engagement and Corporate Social Responsibility - TSLF has consistently supported the preservation and promotion of traditional jewellery craftsmanship through various sponsorship programs[115] - The TSL Scholarship has been awarded to outstanding local students in the Creative Management in Luxury Industry Programme at The University of Hong Kong, fostering talent in the creative fields[115] - Despite the prolonged epidemic causing significant business losses, TSLF continued its funding to aid creative industries without interruption[115] - TSLF sponsored a series of charity live concerts by Mr. Albert Au, focusing on the theme "Cantopop, the collective memory and friendship over generations" to promote Cantopop culture[119] - The charity concerts provided an alternative performing medium for Cantopop musicians and benefited organizations caring for social minorities[122] - TSLF's efforts in promoting Cantopop have contributed to the revitalization of the local music scene amidst strict performance restrictions due to the pandemic[119] Dividend Policy and Shareholder Information - The Company has recommended a final dividend of 2.0 HK cents per ordinary share, totaling approximately HK$4,984,000 for the Year, compared to nil in the previous year[125] - The Board has adopted a dividend policy that emphasizes maintaining adequate cash reserves for working capital and future growth[128] - The Group's financial performance, cash flow position, and future operations are key factors considered when declaring dividends[128] - The Company does not have a pre-determined dividend payout ratio, allowing flexibility in dividend declarations[128] Compliance and Regulatory Matters - The Company has complied with the relevant disclosure requirements under Chapter 14A of the Listing Rules during the Year[187] - The Company has arranged appropriate directors' and officers' liability insurance coverage, which was in force throughout the Year[195] - The Company did not engage in any purchase, sale, or redemption of its listed securities during the Year[200]
谢瑞麟(00417) - 2022 - 年度财报