Financial Performance - The Group incurred a net loss of approximately RMB 62,690,000 for the year ended 31 December 2022, compared to a loss of RMB 34,138,000 in 2021, representing an increase in loss of 83.6%[36] - Total comprehensive loss attributable to the owners of the Company was RMB 68,096,000 in 2022, up from RMB 34,138,000 in 2021, indicating a significant deterioration in financial performance[49] - Basic and diluted loss per share for 2022 was 77.2 RMB cents, compared to 55.0 RMB cents in 2021, reflecting a 40.0% increase in loss per share[49] - The Group's loss from operating activities for the year ended 31 December 2022 was RMB 8,706,000, a decrease from RMB 22,231,000 in 2021[199] Financial Position - As of 31 December 2022, the Group's current liabilities exceeded its current assets by approximately RMB 189,500,000, raising material uncertainty regarding the Group's ability to continue as a going concern[36] - Total assets decreased from RMB 90,523,000 in 2021 to RMB 43,902,000 in 2022, a decline of approximately 51.6%[57] - Current liabilities increased from RMB 229,204,000 in 2021 to RMB 231,401,000 in 2022, representing a rise of about 1%[58] - The company reported a capital deficiency of RMB 187,499,000 in 2022, compared to RMB 138,681,000 in 2021, indicating an increase of approximately 35.2%[57] - The company reported a deficiency attributable to owners of the Company of RMB 185,477,000 in 2022, compared to RMB 137,044,000 in 2021, an increase of about 35.3%[57] Cash Flow and Liquidity - Cash and cash equivalents decreased from RMB 42,529,000 in 2021 to RMB 27,074,000 in 2022, a reduction of approximately 36.4%[57] - The Group's maximum exposure to credit risk is represented by the carrying amounts of cash and cash equivalents, trade receivables, deposits, and other receivables[160] - There were no significant credit risks associated with cash deposits at banks, as they are primarily held in state-owned and large listed banks[160] Revenue and Income - For the year ended December 31, 2022, revenue from the hotpot business was RMB 72,279,000, a decrease from RMB 162,883,000 in 2021[181] - The Group recognized government grants of RMB 255,000 in 2022, down from RMB 1,019,000 in 2021, with no unfulfilled conditions[183] - The Group's leasing income for 2022 was RMB 2,830,000, with no leasing income reported in 2021[183] Expenses and Cost Management - Employee benefit expenses totaled RMB 23,076,000 for labor outsourcing in 2022, compared to RMB 39,886,000 in 2021[184] - The Group's total employee wages and salaries for 2022 were RMB 9,168,000, slightly up from RMB 9,127,000 in 2021[184] - Promotion and marketing expenses were reduced to RMB 602,000 from RMB 1,269,000, indicating a decrease of approximately 52.6%[199] - Cleaning fees decreased to RMB 705,000 from RMB 1,633,000 in 2021, marking a reduction of approximately 56.9%[199] - Auditors' remuneration decreased to RMB 1,050,000 from RMB 1,200,000 in the previous year, reflecting a decline of about 12.5%[199] Asset Management - Non-current assets decreased from RMB 47,994,000 in 2021 to RMB 16,828,000 in 2022, a decline of approximately 64.9%[57] - The carrying amount of replaced parts in property, plant, and equipment is derecognized, while repairs and maintenance costs are charged to comprehensive income during the financial period incurred[115] - The Group's assets' residual values and useful lives are reviewed and adjusted if appropriate at the end of each reporting period[115] Credit Risk Management - The Group recognizes lifetime expected credit losses (ECL) for trade receivables, ensuring a proactive approach to credit risk management[124] - ECL on significant debtors is assessed individually, while other instruments are measured at 12-month ECL unless there is a significant increase in credit risk[124] - The Group's credit quality assessment indicates that existing counterparties have not defaulted in the past[160] - The Group has implemented monitoring procedures to recover overdue debts and reviews the recoverability of receivables at the end of each reporting period[160] Compliance and Governance - The Audit Committee reviewed the Group's consolidated financial statements and confirmed compliance with relevant accounting standards and regulations[28] - There were no material breaches of applicable laws and regulations by the Group during 2022 that significantly impacted its business operations[15] - The Company maintained a public float of at least 25% of its issued share capital, in compliance with listing rules[31] Environmental and Social Responsibility - The Group has established an environmental policy aimed at reducing greenhouse gas emissions and food waste in its operations[20] Capital Management - The company is actively considering raising new capital through fundraising activities, including rights issues and placing new shares[67] - The company is negotiating with landlords for rent concessions as part of its ongoing efforts to manage financial challenges[67]
龙辉国际控股(01007) - 2022 - 年度财报