Financial Performance - Revenue for the year ended December 31, 2021, was HK$61,119,000, a decrease of 23.6% from HK$80,022,000 in 2020[6] - Profit attributable to the owners of the Company for 2021 was HK$61,119,000, compared to a loss of HK$11,487,000 in 2020[6] - The Company declared dividends of HK$6,055,000 for 2021, recovering from a loss of HK$11,487,000 in the previous year[6] - Total revenue for 2019 was HK$145,846,000, indicating a significant decline over the past two years[6] - For the year ended December 31, 2021, the Group's revenue was HK$61,119,000, a decrease from HK$80,022,000 in 2020[12] - The Group achieved a profit for the year of HK$51,909,000, compared to a loss of HK$72,458,000 in 2020, marking a significant turnaround[12] - The net profit for the year was HK$6,200,000, a recovery from a loss of HK$10,700,000 in 2020[12] - Total comprehensive income for the year was HK$15,832,000, a year-on-year increase of 33.37 times from a loss of HK$512,555,000 in 2020[12] - Adjusted EBITDA for the reporting year was approximately HK$29,010,000, slightly down from HK$29,549,000 in 2020[72] - The Money Lending business segment recorded revenue of approximately HK$27,218,000, down from HK$61,154,000 in 2020, with no interest income recorded for the year[86][87] - The financial and investment advisory business segment generated revenue of approximately HK$11,442,000, a decrease from HK$13,151,000 in 2020, due to COVID-19 related restrictions[88] Business Strategy and Outlook - The Company is focusing on expanding its market presence and enhancing product offerings in the longevity science sector[5] - Future outlook includes potential new product launches and technological advancements in longevity science[5] - The management is committed to improving operational efficiency and exploring strategic partnerships for growth[5] - The Company aims to recover from previous losses and return to profitability in the upcoming fiscal periods[5] - Ongoing research and development efforts are expected to drive innovation and market competitiveness[5] - The Group plans to implement a "supply chain finance + longevity science" dual-drive model for sustainable development[36][40] - The Group aims to develop financial services for the health product supply chain, targeting an estimated annual income of about HK$40 million from the milk powder industry chain[44] - The Group's strategic transformation includes dividing the lending finance business into corporate lending and mortgage loans in a strategic cooperation mode[42][45] - The Group is committed to risk control in its lending business while actively introducing longevity science as a new business to sustain healthy development[64] - The Group's long-term strategy includes transitioning from P2P lending to a focus on longevity science and healthcare solutions in the Greater China region[70] Financial Position - Total net assets for the Group increased to HK$470,718,000, representing a year-on-year growth of 3.48%[18] - Net current assets rose to HK$232,256,000, reflecting an increase of 48.76% over 2020[18] - The fair value of total financial assets for the year was HK$1,121,667,000[18] - As of December 31, 2021, the Group recorded net current assets of approximately HK$232,256,000, an increase from HK$156,120,000 in 2020[110] - The Group's cash and cash equivalents were approximately HK$19,437,000, down from HK$40,797,000 in 2020[110] - The gearing ratio of the Group as of December 31, 2021, was approximately 1.6%, unchanged from 2020[120] Operational Developments - The Group's transformation strategy included a shift from P2P lending to new money lending and financing consultation services in response to regulatory changes[11] - The Group had 3,291 money lending customers and realized an operating revenue of HK$38,660,000 from the money lending and loan interest segment in 2021[43][45] - The Group's impaired loans totaled HK$980,912,000, with a special debt settlement team established to manage collections under regulatory policies[48] - The Group's property investment business has not generated any revenue as the properties remain vacant due to their recent acquisition and the pandemic[105] - The Group will continue to monitor market conditions to find suitable tenants for its properties or consider disposing of them for capital appreciation[108] Research and Development - The Group's cancer early screening technology has obtained FDA certification for breast, prostate, and rectal cancer, with plans for domestic clinical testing this year and aims to achieve medical device certification within 1.5 to 3 years[53] - The Group's longevity biologics products received FDA certification and are currently sold in approximately 2,000 pharmacies in China, with plans to expand to 5,000 pharmacies in the next three years[58] - The longevity science business is divided into three segments: cancer prevention and early screening, longevity medical examination services, and R&D of longevity biological products, targeting high net worth individuals[49] - The Group's longevity medical health business includes advanced tumor cell screening and various health tests, contributing to its diversified revenue streams[70] Governance and Management - The board of directors includes independent non-executive directors with extensive experience in finance and management, enhancing corporate governance[144][146][148] - The Company has engaged an external service provider as company secretary to ensure compliance and governance standards[151] - The honorary chairman, Academician Randy Wayne Schekman, is a Nobel Prize laureate, adding significant scientific credibility to the company[150][152] - The management team includes individuals with diverse backgrounds in business, healthcare, and technology, enhancing the Company's strategic capabilities[136] - The Company emphasizes the importance of risk management and compliance through its various committees[144][147] Shareholder and Financial Policies - The Company aims to explore ways to improve financial performance and diversify operations into more profitable businesses[113] - The Company will consider its financial performance, earnings, and liquidity requirements when deciding on any future dividend payouts[171] - The Company did not recommend the payment of any dividend for the year ended December 31, 2021, consistent with 2020[125] - The Company has complied with relevant laws and regulations, including the Money Lenders Ordinance and the Hong Kong Companies Ordinance, for the year ended December 31, 2021[168] Changes in Board and Management - Mr. Yan Li has over 8 years of experience in advanced medical and biological technology management, and founded HK Zhong Ji 1 in 2014, which focuses on knee joint health resources[131] - Mr. Yan Yifan joined the Company as CEO in April 2022, previously serving as general manager of Mailyard Health Group since April 2021[132] - Mr. Li Xiaoshuang, an executive director since August 2021, has extensive experience in business operation and corporate management after retiring from a successful gymnastics career[136] - Mr. Wang Hongxin resigned as an executive director and ceased to act as CEO on December 8, 2021[185] - Mr. Li Jiuhua was appointed as an executive director and CEO on December 8, 2021, and resigned on April 8, 2022[185] - The Company has undergone several changes in its Board of Directors, with multiple resignations and appointments in 2021[178]
中基长寿科学(00767) - 2021 - 年度财报