Financial Performance - For the year ended March 31, 2022, the Group's revenue decreased by approximately 19.7% to HK$64,475,000 from HK$80,253,000 in 2021[19] - The Group's profit attributable to owners was approximately HK$116,447,000, a significant recovery from a loss of approximately HK$180,793,000 in the previous year[12] - The gross profit margin for the year was approximately 95.5%, slightly up from 95.3% in 2021[12] - Basic earnings per share for the year were HK12.50 cents, compared to a loss of HK19.41 cents per share in 2021[20] - Diluted earnings per share were HK9.77 cents, also an improvement from a loss of HK19.41 cents per share in the previous year[20] - The Group's net profit was primarily driven by gains on investment properties and write-backs on properties held for development, despite a decrease in revenue[18] - Profit before taxation for the year was approximately HK$123,497,000, a significant recovery from a loss of approximately HK$190,743,000 in 2021[68] - The Group's gross profit for the year was approximately HK$61,565,000, representing a decrease of approximately 19.5% from HK$76,515,000 in 2021, while the gross profit margin increased to approximately 95.5% from 95.3%[65] Revenue Sources - The total rental and management fee income for the Group was approximately HK$56,745,000, representing a decrease of approximately 7.4% from HK$61,309,000 in 2021[41] - Property rental income in Hong Kong decreased by approximately 23.1% to approximately HK$27,793,000 from HK$36,160,000 in 2021[42] - In Singapore, property rental income increased by approximately 1.4% to approximately HK$2,735,000 from HK$2,696,000 in 2021[43] - In the PRC, property rental income increased by approximately 27.9% to approximately HK$8,210,000, while management fee income rose by approximately 12.3% to approximately HK$18,007,000 compared to 2021[44] Assets and Liabilities - Total assets increased to HK$4,879,808,000 from HK$4,613,337,000 in 2021, while total liabilities rose to HK$1,864,621,000 from HK$1,732,044,000[9] - As of March 31, 2022, the Group's investment in equity securities amounted to approximately HK$52,818,000, down from approximately HK$84,616,000 in 2021[50] - The outstanding principal amount of loans receivable as of March 31, 2022, was approximately HK$94,381,000, down from approximately HK$130,179,000 in 2021[58] - The Group's bank loans amounted to approximately HK$1,662,307,000 as of March 31, 2022, up from approximately HK$1,514,933,000 in 2021, secured by properties with a net book value of approximately HK$3,020,650,000[111] Investment and Development - The Group plans to complete the redevelopment of the Matheson Street project in early 2023, providing a gross floor area of approximately 42,854 square feet[28] - The King Lam Street project is expected to complete in late 2023, with foundation work already completed[29] - The Group's acquisition of the Fung Wah Factorial Building was completed on July 23, 2021, with plans to redevelop it into a high-rise modern industrial building, expected to complete in 2025[36] - The Group is committed to identifying suitable investment and divestment opportunities that align with its objectives and investment criteria, aiming to replenish its property portfolio[153] Corporate Governance - The Company has fully complied with the Corporate Governance Code, ensuring diligence, accountability, and professionalism[176] - The dual leadership role of the Chairman and CEO has been maintained for efficiency, with half of the Board being independent non-executive Directors[180] - The Board believes in the principles of transparency, accountability, and independence to maximize shareholder value[169] - The Board consists of six Directors, including three executive Directors and three independent non-executive Directors, ensuring a balanced composition[186] Employee and Operational Insights - As of March 31, 2022, the Group had 64 employees, an increase from 62 in 2021, with total staff costs amounting to approximately HK$27,898,000, up from approximately HK$24,187,000 in 2021[150] - The Group's core competency lies in operational excellence across various property projects, capturing cost and revenue opportunities[175] - The Board and management are focused on fostering a corporate culture that supports long-term sustainable business models[171] Risk Management and Sustainability - The Group faced various macroeconomic risks, including volatility in financial markets and potential interest rate hikes, which could impact its operations[143] - The Group is committed to environmental sustainability and has implemented measures to minimize carbon footprints and enhance environmental awareness among stakeholders[142] - The Group acknowledges various risks affecting its business, including global financial market volatility, inflation pressures, and geopolitical uncertainties, which may impact its financial performance and outlook[148] Future Outlook - The Group remains cautiously optimistic about the prospects of the property and securities markets in Hong Kong, expecting continued long-term growth despite global economic uncertainties[152] - The Group will continue to focus on its principal businesses, including property development, investment in securities, and loan financing, while exploring new potential projects to provide steady returns for shareholders[151]
高山企业(00616) - 2022 - 年度财报