Business Strategy and Market Position - The group aims to become one of the most outstanding financial and business information service companies in the Greater China region[3]. - The core business areas include finance, real estate, quality living, and talent development, with a focus on sustainable growth to maximize shareholder returns[13]. - The group operates various media businesses, including Hong Kong Economic Times, U Lifestyle, and iMoney magazine, and has a strong presence in digital platforms[10]. - The group has a strong market position in various sectors, including financial news, lifestyle platforms, and recruitment services[20]. - The group continues to invest in digital technologies and data analytics tools to enhance user experience and meet the growing demand for targeted advertising[23]. - The financial communications and software business recorded stable performance, capitalizing on the digitalization trend in the financial market[24]. - The group has successfully secured multiple financial solution projects, indicating a positive response to the increasing demand for innovative financial solutions[24]. Financial Performance - The group's revenue increased by 4% to HKD 1.044 billion despite local economic challenges, with a significant rise in digital advertising revenue contributing to most of the advertising income[23]. - The group's net profit attributable to shareholders improved by HKD 12.2 million after excluding one-time impacts from government subsidies and asset impairment losses[23]. - For the fiscal year ending March 31, 2022, the company reported revenue of HKD 1,043,595,000, an increase of 4% from HKD 999,937,000 in the previous year[78]. - Gross profit rose to HKD 461,809,000, reflecting an 11% increase, with a gross margin of 44.3%, up from 41.6%[78][86]. - Operating profit surged by 99% to HKD 51,359,000, compared to HKD 25,781,000 in the previous year[78]. - Shareholders' profit attributable to the company increased by 7% to HKD 33,017,000, compared to HKD 30,916,000 in the previous year[78][88]. - Digital advertising revenue grew by HKD 35,700,000 or 7%, reaching HKD 559,502,000, becoming the largest segment of advertising expenditure[83]. - The effective tax rate for the fiscal year was 34.4%, a significant increase from 7.4% in the previous year, primarily due to changes in the profit composition of subsidiaries[87]. Corporate Governance - The company adheres to the corporate governance code as outlined in the Hong Kong Stock Exchange Listing Rules Appendix 14[41]. - The company has a strong commitment to maintaining high standards of corporate governance[41]. - The board consists of eight directors as of March 31, 2022, with three independent non-executive directors, accounting for one-third of the board members[42]. - The independent non-executive directors bring extensive experience from various industries, enhancing the board's effectiveness[36][37][39]. - The company has adopted a board diversity policy, considering factors such as gender, age, culture, and professional experience to achieve diversity[46]. - The board is responsible for setting the group's development direction and overseeing business performance, with management executing the operational plans[45]. - The company has established a clear division of responsibilities between the chairman and CEO, despite the dual role[45]. - The company emphasizes continuous professional development for all directors to enhance their knowledge and skills[50]. Shareholder Returns and Dividends - The board proposed a final dividend of HKD 0.065 per share, totaling HKD 0.095 per share for the fiscal year, reflecting a commitment to a sustainable dividend policy[26]. - The proposed final dividend for the year ended March 31, 2022, is HKD 6.5 cents per share, totaling HKD 28,054,000, subject to shareholder approval[108]. - The group's distributable reserves as of March 31, 2022, amounted to HKD 220,774,000, down from HKD 252,828,000 the previous year[112]. Risk Management and Internal Controls - The company has implemented a risk management and internal control system to assess and manage significant risks in financial, operational, and compliance areas, with management responsible for annual evaluations[70]. - The company maintains a robust internal audit function that continuously reviews major operational and financial controls and risk management systems across all key business operations[70]. - The company maintained a strong focus on internal controls to mitigate risks of material misstatements due to fraud or error[165]. Economic Outlook and Challenges - Global economic growth is expected to slow down due to geopolitical tensions and high inflation, impacting local economic recovery[26]. - The group is committed to monitoring economic and political changes closely while managing costs and operational efficiency prudently[26]. - The company has not adopted several new accounting standards that may impact future financial performance, with assessments ongoing[194].
经济日报集团(00423) - 2022 - 年度财报