Financial Performance - For the fiscal year ending March 31, 2023, the company reported revenue of approximately HKD 54,200,000, a decrease of 39% compared to HKD 88,900,000 in the previous year[31]. - The operating profit for the same period was approximately HKD 5,400,000, down from HKD 8,500,000 in the previous year[31]. - The company experienced a significant decline in revenue from its medical device and consumables distribution business due to COVID-19 restrictions, leading to operational losses for its Wuhan subsidiary[33]. - The company reported a loan and interest impairment loss of approximately HKD 4,000,000, an increase from HKD 2,400,000 in the previous year, with a default probability of 20.1%[27]. - The hospital management services segment generated revenue of approximately HKD 21,200,000, an increase from HKD 18,000,000 in the previous year, with an operating loss of HKD 500,000[34]. - The company reported a loss attributable to shareholders of approximately HKD 42,000,000 for the year, compared to a loss of approximately HKD 12,200,000 in the previous year, indicating a significant increase in losses[43]. - The increase in net loss was primarily due to a fair value change loss of approximately HKD 17,700,000 related to the issuance of consideration shares for the acquisition of a subsidiary, compared to a gain of approximately HKD 4,800,000 in the previous year[43]. - The basic loss per share for the year was HKD 0.0986, compared to HKD 0.0296 in the previous year, reflecting a deterioration in financial performance[43]. - For the fiscal year ending March 31, 2023, the company recorded revenue of approximately HKD 76.4 million, a decrease of 29% from HKD 107 million in the previous fiscal year[67]. - Revenue from medical device and consumable distribution and services was approximately HKD 54.2 million, down from HKD 88.9 million in 2022, representing a decline of 39%[67]. - The company achieved a gross profit of approximately HKD 27.2 million, a decrease of 5% compared to HKD 28.7 million in the previous fiscal year[67]. - Hospital operation and management revenue increased to approximately HKD 21.2 million from HKD 18 million in 2022, reflecting a growth of 17.8%[67]. Assets and Liabilities - As of March 31, 2023, the group's cash and cash equivalents amounted to approximately HKD 11,500,000, an increase from HKD 8,500,000 in 2022[9]. - The group's current assets and net current assets were approximately HKD 142,100,000 and HKD 14,900,000, respectively, compared to HKD 137,700,000 and HKD 800,000 in 2022[9]. - The group's liquidity ratio improved to 1.12 as of March 31, 2023, up from 1.0 in 2022[9]. - The asset-to-liability ratio improved to 0.43 as of March 31, 2023, down from 0.61 in 2022[10]. - The group has a payable dividend amount of approximately USD 4,000,000 (around HKD 31,400,000) for redeemable convertible cumulative preferred shares as of March 31, 2023[9]. Acquisitions and Investments - The group successfully acquired Wuhan Mingcheng Wangda Pharmaceutical Co., Ltd. in June 2023, gaining exclusive distribution rights for an eye medication series in mainland China[13]. - The company acquired 51% stake in Wuhan Mingcheng Wangda Pharmaceutical Co., Ltd. for HKD 153,000,000, with payment structured through a combination of promissory notes and share issuance[21]. - The group invested RMB 30,000,000 in Beijing Qihui Zhiyuan Information Technology Partnership, acquiring a 16.6% partnership interest[17]. - The group holds a 20% stake in Trillion Silver Limited, which focuses on the research, development, and manufacturing of healthcare products, including monkeypox virus rapid test kits[20]. Employee and Governance - The total employee cost for the year was approximately HKD 10.2 million, down from HKD 11.2 million in the previous year, indicating a reduction of about 8.9%[82]. - As of March 31, 2023, the company employed 137 staff, an increase from 122 in the previous year, representing a growth of 12.3%[82]. - The board aims for 25% of its members to be female by the end of 2024, currently working towards gender diversity despite being single-gender at present[75]. - The company has established an employee stock option plan, with 19,050,000 options remaining unexercised as of March 31, 2023[82]. - The company’s board is committed to maintaining and establishing sound corporate governance practices to manage overall business risks effectively[182]. - The board held regular meetings throughout the year to formulate overall strategies and monitor business development and financial performance[198]. - The attendance record for board meetings shows that the executive directors attended all meetings, with a 100% attendance rate[199]. - The independent non-executive directors also demonstrated full attendance in their respective meetings, indicating strong governance practices[199]. Market and Future Outlook - The company plans to optimize its product mix and develop new customers and products to seek new growth points in the post-pandemic era[33]. - The company has identified significant growth potential in the healthcare industry due to urbanization and aging population trends in China[41]. - The company has not provided any future performance guidance or outlook in the current reporting period[150]. - The company has not reported any new product or technology developments in the current financial year[150]. - There are no significant acquisitions or market expansions reported in the current financial year[150]. Compliance and Risk Management - The company has complied with relevant laws and regulations significantly during the year, with no major violations reported[123]. - The company has engaged external consultants to review its risk management and internal control systems, with no significant deficiencies found[78]. - The company’s operations are significantly influenced by political, economic, and legal developments in China, which may pose risks to its business and financial performance[95]. - The company has experienced various risks, including operational and financial risks, which may impact its financial performance and future outlook[120]. - The company is committed to strict adherence to relevant laws and regulations in all its business dealings[198]. Shareholder Information - The total shareholding of Mr. Zhang Fan is 118,107,400 shares, representing 24.66% of the issued shares[134]. - Major shareholder Treasure Wagon Limited holds 116,000,000 shares, accounting for 24.22% of the total issued shares[140]. - The company completed a placement of convertible bonds totaling HKD 40,000,000, which can be converted into 40,000,000 shares at an adjusted conversion price of HKD 1.00 per share[144]. - The net proceeds from the placement amounted to approximately HKD 38,800,000, with HKD 13,800,000 allocated for general working capital and HKD 25,000,000 reserved for potential business development and investments[145]. - The company did not recommend any dividend distribution for the year ended March 31, 2023, consistent with the previous year[124]. - As of March 31, 2023, the company had no reserves available for distribution or physical distribution according to the Bermuda Companies Act 1981[127].
中国卫生集团(00673) - 2023 - 年度财报