Financial Performance - For the year ended December 31, 2021, the Group's revenue was approximately HK$200.0 million, representing an increase of approximately 15.1% compared to HK$173.7 million in 2020[19]. - Gross profit for the year was approximately HK$25.3 million, a decrease of approximately 1.2% from HK$25.6 million in 2020[21]. - The Group's net loss for the year was approximately HK$58.8 million, primarily due to a provision for expected credit loss of approximately HK$68.3 million recognized during 2021[23]. - Revenue from the B2B cross-border e-commerce segment increased by approximately 5.8%, from approximately HK$81.7 million to approximately HK$86.4 million compared to 2020[27]. - Interest income from the money lending business was approximately HK$20.1 million for the year ended December 31, 2021[22]. - The Group recorded revenue of approximately HK$200 million for the year ended December 31, 2021, representing an increase of about 15.1% compared to the previous year[36]. - Gross profit for the year was approximately HK$25.3 million, slightly down from HK$25.6 million in the previous year[36]. - The B2B cross-border e-commerce business continued to make a significant contribution to revenue, with a total revenue of HK$86.3 million from this segment[37]. Business Segments and Opportunities - Approximately 5% of the Group's revenue came from sales of telephones and related products, while approximately 40.8% came from processing and trading of used computer-related components[19]. - The Group expects limited future development in sales of residential telephones and related products due to technological evolution and changing consumer behaviors[27]. - The Group will continue to seek potential investment and business opportunities to broaden its income stream and further develop existing business segments[28]. - The Group is optimistic about the B2B cross-border e-commerce business and plans to capture more market opportunities[35]. Financial Position and Liquidity - As of December 31, 2021, the Group had cash on hand of approximately HK$52.9 million and net current assets of approximately HK$258.4 million[40]. - The current ratio was reported at 4.70, down from 6.75 in the previous year, indicating a decrease in liquidity[40]. - The Group's money lending business had total outstanding loan receivables of HK$119 million, with an interest rate between 8-10%[40]. - The largest borrower accounted for approximately 23.2% of total loan receivables, while the five largest borrowers collectively accounted for about 65.3%[40]. Share Capital and Dividends - The Group's authorised share capital was HK$600 million, divided into 100 billion shares at HK$0.006 each, with no changes during the year[47]. - The issued share capital increased to HK$8.96 million, following the issuance of 580 million new shares in August 2021[47]. - The Board does not recommend the payment of a final dividend for the year ended December 31, 2021, consistent with the previous year[69]. Corporate Governance - The company emphasized its commitment to corporate governance, adhering to the principles set out in the Corporate Governance Code throughout 2021[87]. - The board composition includes two executive directors and three independent non-executive directors, ensuring a balanced governance structure[90]. - The company follows a formal and transparent procedure for the appointment of new directors, with newly appointed directors holding office until the next general meeting[95]. - The roles of chairman and chief executive are separated, with daily operations delegated to executive directors and various committees, as the board deems it unnecessary to appoint a chairman or chief executive[95]. - The Audit Committee consists of three independent non-executive directors, ensuring a strong governance structure[115]. Risk Management and Internal Control - The Board maintains an effective risk management and internal control system to ensure operational efficiency and compliance with laws[134]. - The Group does not have an internal audit department; instead, the Board, supported by the Audit Committee, directly oversees risk management and internal control systems[144]. - The Group's risk management and internal control systems provide reasonable but not absolute assurance against material misstatement or loss[146]. - Each division is tasked with identifying and assessing principal risks quarterly and establishing mitigation plans[140]. Environmental, Social, and Governance (ESG) Initiatives - The Group's total greenhouse gas emissions in 2021 were 8.5 tonnes of CO2-equivalent, a significant decrease from 25 tonnes in 2020, indicating a reduction of 66%[182]. - The primary source of greenhouse gas emissions is "energy indirect" emissions from purchased electricity, which accounted for the majority of emissions[182]. - The Group has implemented energy-saving measures, including the installation of energy-efficient lighting systems and optimal temperature settings for air-conditioning[182]. - The Group prioritizes procurement from environmentally-friendly suppliers, particularly those using paper certified by the Programme for the Endorsement of Forest Certification (PEFC)[184]. - No cases of non-compliance with environmental protection laws and regulations were reported during the year, indicating strong adherence to environmental standards[182].
新确科技(01063) - 2021 - 年度财报