Financial Performance - For the year ended March 31, 2023, the Group's revenue from continuing operations was approximately HK$27,194,000, a decrease of approximately HK$9,887,000 or 26.7% compared to HK$37,081,000 in 2022[12]. - The consolidated profit attributable to owners of the Company for the year was approximately HK$63,572,000, down from approximately HK$116,447,000 in 2022[12]. - The gross profit margin for the year was approximately 89.1%, compared to 92.2% in 2022[12]. - Profit before taxation for the year was approximately HK$57,321,000, compared to HK$87,219,000 in the previous year[9]. - Basic earnings per share from continuing and discontinued operations were HK3.75 cents, down from HK12.50 cents in 2022[12]. - Diluted earnings per share from continuing and discontinued operations were HK3.43 cents, down from HK9.77 cents in 2022[12]. - For the year ended March 31, 2023, the Group's consolidated profit attributable to shareholders was approximately HK$63,572,000, a decrease of approximately 45.4% compared to HK$116,447,000 in 2022[19]. - Revenue from continuing operations for the year was approximately HK$27,194,000, representing a decrease of approximately HK$9,887,000 or approximately 26.7% from HK$37,081,000 in 2022[20]. - The gross profit margin for the year was approximately 89.1%, down from approximately 92.2% in 2022[20]. - Basic and diluted earnings per share from continuing operations were HK3.75 cents, down from HK12.50 cents in 2022, while from discontinued operations, they were HK3.43 cents compared to HK9.77 cents in 2022[21][25]. Assets and Liabilities - Total assets as of March 31, 2023, were HK$5,624,267,000, an increase from HK$4,879,808,000 in 2022[9]. - Total liabilities increased to HK$2,389,101,000 from HK$1,864,621,000 in the previous year[9]. - Equity attributable to owners of the Company rose to HK$3,235,166,000 from HK$3,015,187,000 in 2022[9]. - As of March 31, 2023, the Group's total carrying amount of properties in Hong Kong was approximately HK$1,200,400,000, an increase of approximately 50.6% from HK$796,200,000 in 2022[42]. - The Group's total bank borrowings increased to approximately HK$1,871,919,000 from HK$1,662,307,000 in 2022, maintaining a gearing ratio of approximately 0.6[102]. - The total cash and bank balances as of March 31, 2023, were approximately HK$354,002,000, compared to HK$82,099,000 in 2022[105]. - The outstanding principal amount of loans receivable as of March 31, 2023, was approximately HK$52,250,000, down from approximately HK$94,381,000 in 2022[67]. - The allowance for loans receivable increased to approximately HK$53,480,000 as of March 31, 2023, compared to approximately HK$47,239,000 in 2022, reflecting a reassessment of credit risk due to economic uncertainties[75]. Property Development and Investment - The Group is engaged in property development and investment, with major projects including Matheson Street and King Lam Street, expected to complete in late 2023[30][31]. - The Group plans to redevelop the combined site at Kennedy Town and Fung Wah into mixed-use and modern industrial buildings, with completion expected in 2025 and 2026 respectively[36][37]. - Rental income from continuing operations was approximately HK$24,408,000, a decrease of approximately 20.0% from HK$30,528,000 in 2022, primarily due to property demolitions for development[41]. - The Group recorded property rental income from continuing operations in Hong Kong of approximately HK$21,706,000 for the year ended March 31, 2023, representing a decrease of approximately 21.9% compared to HK$27,793,000 in 2022[42]. - In Singapore, the Group owned two residential units with a total carrying amount of approximately HK$137,041,000 as of March 31, 2023, down from HK$183,680,000 in 2022, a decrease of approximately 25.4%[43]. - The property rental income from Singapore for the year ended March 31, 2023, was approximately HK$2,702,000, a slight decrease of approximately 1.2% from HK$2,735,000 in 2022[43]. - In the PRC, the Group recorded property rental income of approximately HK$4,602,000 and management fee income of approximately HK$10,807,000, representing decreases of approximately 43.9% and 40.0% respectively compared to 2022[45]. Loan Financing Business - Interest income from the loan financing business from continuing operations decreased by approximately 57.5% to HK$2,786,000 for the year ended March 31, 2023, compared to HK$6,553,000 in 2022[67]. - The segment loss of the loan financing business from continuing operations was approximately HK$9,801,000 for the year ended March 31, 2023, compared to a segment profit of approximately HK$13,082,000 in 2022[67]. - The Group's loan financing business primarily targets individuals and corporate entities with short-term funding needs, requiring sufficient collateral for borrowings[67]. - The Group's credit policies include due diligence, credit appraisal, and continuous monitoring to manage credit risks effectively[70]. - The Group mainly provides short-term loans with maturities not exceeding two years, with repayment terms influenced by borrowers' repayment ability and market conditions[71]. - The Group's interest income from discontinued operations in loan financing was approximately HK$503,000 for the year ended March 31, 2023, down from approximately HK$1,177,000 in 2022, representing a decrease of approximately 57.3%[67]. - The largest borrower accounted for approximately 26% of the Group's loans receivable as of March 31, 2023, up from 17% in 2022[74]. Corporate Governance and Strategy - The Company is committed to maintaining high standards of corporate governance practices, integrating social and environmental concerns into its business operations[170]. - The Company has fully complied with all code provisions of the Corporate Governance Code during the year, ensuring diligence, accountability, and professionalism[171]. - The Group is committed to enhancing long-term values and interests for shareholders and stakeholders, focusing on sustainable growth in financial and ESG performance[192]. - The Group emphasizes disciplined management of revenue, profitability, margins, costs, capital, and investment returns to capture ongoing cost and revenue opportunities[192]. - The Board plays a key role in overseeing ESG strategy and governance, aiming to create long-term growth and sustainable value for stakeholders[193]. - The Group has established an ESG governance structure to oversee sustainability and ESG-related issues and risks[193]. - The Group promotes its corporate culture through various policies, including whistleblowing and anti-corruption policies[188]. - The roles of chairman and chief executive are separated to ensure effective governance[198]. - The Board consists of experienced individuals, with half being independent non-executive Directors, ensuring a balance of power and authority[199]. - The current leadership structure will be reviewed by the Board when appropriate, indicating a commitment to governance best practices[199].
高山企业(00616) - 2023 - 年度财报