Revenue and Financial Performance - The Group's revenue decreased by approximately 17.2% to approximately US$51.9 million from approximately US$62.6 million in the previous year[21]. - The trading and supply chain management services business experienced a revenue decline of approximately 9.8% to approximately US$26.7 million from approximately US$29.6 million due to a change in sales mix[21]. - Overall revenue decreased by approximately 17.2% to approximately US$51.9 million from approximately US$62.6 million last year[29]. - Revenue from trading and supply chain management services fell by approximately 9.8% to approximately US$26.7 million, accounting for approximately 51.5% of total revenue[43]. - Revenue from online social platforms dropped by approximately 23.8% to approximately US$25.1 million from approximately US$33.0 million[44]. - Gross profit decreased by approximately 18.2% to approximately US$17.1 million, primarily due to the decline in overall revenue[24]. - Operating expenses decreased by approximately 3.0% to approximately US$17.0 million, attributed to reduced personnel and marketing costs[26]. - Profit for the year was approximately US$1.0 million, significantly lower than approximately US$4.1 million for the previous year[28]. Market Outlook and Business Strategy - The Group expects sluggish order demand in the first half of 2023 due to high customer inventories and uncertain global economic outlook[13]. - The overall situation in the trading and supply chain management services business is expected to remain unchanged in the first half of 2023, with gradual recovery anticipated in the second half[13]. - Management expects the first half of 2023 to be challenging due to cautious customer ordering and high inventory levels, impacting turnover and overall performance[65]. - The Group aims to stimulate sales by actively developing more innovative products to consolidate its competitiveness and market position[14]. - The Directors will focus on strengthening the Group's market position by improving sales channels and enhancing offerings in response to macroeconomic developments[67]. Online Social Platforms - The online social platform business is anticipated to see an increase in new users and sales of in-game currency following the relaxation of anti-pandemic measures in late 2022[14]. - The Group's online social platforms faced setbacks due to regulatory tightening and market competition, impacting user acquisition[9]. - The Group anticipates an increase in new users on online platforms and in-game currency sales in 2023, following the relaxation of pandemic restrictions[66]. Financial Position and Assets - The Group had cash and cash equivalents of approximately US$18.2 million as of December 31, 2022, an increase from approximately US$16.1 million in 2021[51]. - The current ratio improved to approximately 1.8 from approximately 1.5 in 2021, while the gearing ratio decreased to approximately 0.04 from approximately 0.11[52]. - Trade receivables amounted to approximately US$3.2 million, with gross trade receivables aged over 90 days at approximately US$1.1 million[53]. - The Group's trade receivables as of December 31, 2022, were approximately US$3.2 million, a decrease from approximately US$8.0 million in 2021[57]. - Other income increased to approximately US$1.4 million from approximately US$0.8 million, mainly due to reversals of provisions and government subsidies[25]. - As of December 31, 2022, the Group's net asset value was approximately US$11.3 million, an increase from approximately US$11.0 million in 2021[54]. - The Group's total staff costs for the year ended December 31, 2022, amounted to approximately US$12.2 million, down from approximately US$12.6 million in 2021[56]. Corporate Governance and Compliance - The Company has adopted the Corporate Governance Code as stated in the Listing Rules on The Stock Exchange of Hong Kong Limited[101]. - The Board is committed to complying with the Code to suit the needs and interests of the Company and its subsidiaries[101]. - During the year ended 31 December 2022, the Company complied with all applicable Code Provisions of the CG Code[102]. - The Company has adopted the Model Code for Securities Transactions by Directors as its code of conduct for dealing in securities[103]. - All Directors confirmed compliance with the required standards set out in the Model Code throughout the year ended 31 December 2022[103]. - The Company established written guidelines for securities transactions by relevant employees likely to possess unpublished inside information[104]. - No incidents of non-compliance with the Employees Written Guidelines were noted during the year ended 31 December 2022[104]. - The Company has complied with all applicable provisions of the corporate governance code as of December 31, 2022[106]. Board Composition and Diversity - As of December 31, 2022, the Board consisted of six Directors, including two executive Directors, one non-executive Director, and three independent non-executive Directors, complying with Listing Rules 3.10 and 3.10A[109]. - The Company achieved a gender diversity ratio in its workforce of 47% male and 53% female as of December 31, 2022, indicating a balanced representation[127]. - The Company aims to appoint one female director on or before December 31, 2024, to enhance gender diversity on the Board[126]. - The Nomination Committee is responsible for reviewing and assessing the diversity of the Board annually to ensure an appropriate mix of skills and perspectives[119]. - The Company has adopted a Board Diversity Policy to maintain an effective Board and enhance corporate governance standards[118]. Director Training and Responsibilities - The Company Secretary received no less than 15 hours of relevant professional training during the year ended December 31, 2022, to refresh her skills and knowledge[172]. - Directors received training on legal and regulatory updates, corporate governance, and their duties, with all Directors participating in relevant seminars and reading materials[169]. - The Company has arrangements for providing continuing briefing and professional development to Directors at the Company's expense whenever necessary[166]. - The Board is satisfied that each Director spends sufficient time performing their responsibilities, based on attendance and training records[149]. Committees and Meetings - The Company has established five board committees to oversee various aspects of governance and operations[142]. - The Audit Committee met three times during the year ended December 31, 2022, to review financial statements and internal control systems[189]. - The Remuneration Committee met once during the year ended December 31, 2022, to discuss remuneration policies for Directors and senior management[200]. - The Company amended the terms of reference of the Remuneration Committee effective December 21, 2022, to align with the CG Code[199]. - The Company has established procedures for employees to raise concerns about financial reporting improprieties since April 1, 2012[188].
道和环球(00915) - 2022 - 年度财报