Financial Performance - Revenue for the year ended March 31, 2023, was HK$1,084.736 million, an increase of 23.5% from HK$878.267 million in 2022[6] - Gross profit margin improved to 19.4% in 2023 from 13.1% in 2022, reflecting a 6.3 percentage point increase[14] - Operating profit for the year was HK$56.748 million, compared to an operating loss of HK$23.305 million in the previous year[6] - Net profit for the year was HK$43.881 million, a significant recovery from a loss of HK$30.994 million in 2022[6] - The Group recorded a profit attributable to equity holders of HK$24.6 million, a turnaround from a loss of HK$37.1 million in 2022[26] - Segment profit for the headsets and headphones segment improved to HK$23.0 million (2022: loss of HK$31.7 million) due to increased productivity and profitability[30] - The accessories and components segment saw a profit surge of 366.3% to HK$36.8 million, up from HK$7.9 million in 2022, despite one-time expenses related to business closures and layoffs[60] Dividends - Dividends per share increased to 8.0 HK cents, a 100% increase from 4.0 HK cents in the previous year[14] - The Board recommended a total dividend of HK$8.0 cents per ordinary share for the Review Year, including a final dividend of HK$5.0 cents and a special final dividend of HK$1.0 cent[23] - An interim dividend of HK2.0 cents per ordinary share was paid, with a recommended final dividend of HK5.0 cents and a special final dividend of HK1.0 cent per ordinary share, pending shareholder approval[138] Assets and Liabilities - Shareholders' equity decreased by 2.2% to HK$600.586 million from HK$614.030 million in 2022[14] - The Group's non-current assets totaled HK$124,013,000, a slight decrease from HK$126,020,000 in 2022[17] - Total current assets amounted to HK$776,194,000, down from HK$786,169,000 in 2022[17] - The Group's net current assets were HK$556,066,000, compared to HK$561,628,000 in 2022[17] - The Group's cash and cash equivalents as of March 31, 2023, were approximately HK$369.8 million, a slight decrease of 0.02% from HK$369.9 million in 2022[69] Market and Product Development - The ongoing development of a sophisticated product mix is expected to contribute to sustainable sales growth[19] - The development of new products included electro-acoustic products with True Wireless and Active Noise Cancellation technologies, which were well received in the market[19] - Revenue for the headsets and headphones business increased by 22.4% to HK$764.3 million (2022: HK$624.7 million), accounting for 70.5% of the Group's total revenue[29] - Revenue from the accessories and components segment rose by 26.3% to HK$320.4 million (2022: HK$253.6 million), representing 29.5% of the Group's total revenue[31] - The global headphone market is projected to grow at a compound annual growth rate (CAGR) of 12.6%, reaching a market size of USD 163.83 billion by 2030[37] - The global earphones and headphones market was valued at US$58.26 billion in 2022 and is projected to grow at a CAGR of 12.6%, reaching US$163.83 billion by 2030[62] Operational Efficiency - The Group plans to modernize production facilities with a new hybrid production line that combines fully automated and semi-automated processes to enhance efficiency and meet high-volume orders[36] - The Group is focusing on optimizing production lines and overall operational management to enhance cost efficiency and profitability through the establishment of new production lines[91] - The Group aims to modernize its production facilities with advanced modular equipment to meet specific customer requirements and address rising labor and production costs[91] - The Group's restructuring efforts include streamlining the workforce and implementing strict cost controls to improve overall operational efficiency[45] Corporate Governance - The Company complied with the Corporate Governance Code throughout the year ended March 31, 2023, except for a deviation from Code Provision C.2.1[153] - The Board of Directors consists of six executive Directors and three independent non-executive Directors[161] - The Company has adopted a Board Diversity Policy to enhance the quality of its performance, recognizing the benefits of a diverse Board[162] - The management provides monthly reports to the Board summarizing financial performance and key events to ensure informed decision-making[156] - The Company is committed to maintaining high standards of corporate governance and regularly reviews its governance policies[157] Risk Management - The Group will continuously monitor foreign exchange risks and enter into forward contracts where appropriate to mitigate impacts on operating costs[95] - The business operations and results may be affected by various factors, with principal risks discussed in the "Chairman's Statement" and "Management Discussion and Analysis" sections[134] - The Group's financial risk factors are detailed in Note 3 of the consolidated financial statements[134] Environmental, Social, and Governance - The Group's environmental, social, and governance performance is overseen by the Environmental, Social and Governance Committee[198] - The environmental policies and compliance with local laws impacting the Group are discussed in the "Environmental, Social and Governance Report" section[115] - The report covers the environmental and operational governance performance of Charter Media (Dongguan) Co., Ltd. for the period from April 1, 2022, to March 31, 2023[197]
富士高实业(00927) - 2023 - 年度财报