Financial Performance - The revenue from the packaging products and components business for the year ended December 31, 2021, was approximately RMB 376.7 million, an increase from RMB 361.6 million in 2020[9]. - The company recorded revenue of approximately RMB 377,405,000 for the year ended December 31, 2021, representing a 4.0% increase from RMB 362,833,000 for the year ended December 31, 2020[25]. - The loss attributable to the owners of the company for the year ended December 31, 2021, was approximately RMB 43,394,000, compared to a loss of RMB 38,424,000 for the year ended December 31, 2020[25]. - Revenue for the year ended December 31, 2021, was RMB 377,405,000, an increase of 4.4% from RMB 362,833,000 in 2020[183]. - Gross profit decreased to RMB 52,954,000, down 18.0% from RMB 64,563,000 in the previous year[183]. - The company reported a net loss of RMB 43,394,000 for the year ended December 31, 2021, compared to a net loss of RMB 38,424,000 in the previous year, indicating an increase in losses of approximately 12.5%[189]. Revenue Sources - The major contribution to revenue came from television products, amounting to RMB 101.7 million, representing 27.0% of total segment revenue[10]. - The revenue from washing machine products was RMB 86.0 million, accounting for 22.8% of total segment revenue, up from 19.5% in 2020[9]. - The group reported that sales to the top five customers accounted for approximately 84.3% of total revenue for the year ended December 31, 2021, compared to 81% in 2020, with the largest customer contributing about 43.8%[152]. Cost and Profitability - The cost of sales for the year ended December 31, 2021, was approximately RMB 324.5 million, an increase of about RMB 26.2 million or 8.8% compared to RMB 298.3 million in 2020[11]. - The gross profit margin decreased from approximately 17.5% for the year ended December 31, 2020, to about 13.9% for the year ended December 31, 2021[12]. Assets and Liabilities - As of December 31, 2021, the company had a net current liability of RMB 27,664,000 and a total liability of RMB 76,937,000[165]. - Total assets decreased to RMB 319,914,000 from RMB 429,170,000 in 2020, reflecting a decline of 25.5%[188]. - Current liabilities increased to RMB 273,041,000, up from RMB 197,654,000 in 2020, indicating a rise of 38.1%[188]. - Non-current liabilities decreased to RMB 150,812,000 from RMB 271,448,000, a reduction of 44.4%[188]. Cash Flow and Financing - The company’s cash and bank balances improved to RMB 52,671,000 from RMB 23,881,000, an increase of 104.5%[188]. - Operating cash flow for the year was RMB 13,272,000, a significant increase from RMB 766,000 in 2020, reflecting improved operational efficiency[192]. - The company generated RMB 29,872,000 from the sale of subsidiaries, contributing positively to cash flow from investing activities[194]. - The company’s financing activities resulted in a net cash outflow of RMB 8,439,000, a slight improvement from RMB 9,844,000 in the previous year[194]. Corporate Governance - The company has adopted corporate governance practices in line with the Hong Kong Stock Exchange's guidelines, ensuring compliance and transparency[42]. - The board held four meetings during the year ended December 31, 2021, with full attendance from all directors[54]. - The company emphasizes the importance of board diversity, ensuring a balanced mix of skills and experiences among board members[67][68]. - The company adheres to the corporate governance code, ensuring that all committees operate within their defined scopes[58][71]. Risk Management - The management identified key risks including market risk, business risk, and liquidity risk that could impact financial performance[104]. - The company is facing significant uncertainties regarding its ability to continue as a going concern due to its financial position[165]. - The board presented the audited consolidated financial statements for the year ending December 31, 2021[101]. - The company is committed to maintaining internal controls to ensure the financial statements are free from material misstatement due to fraud or error[173]. Employee and Management - As of December 31, 2021, the group had 590 employees, a decrease from 751 employees in 2020, with total employee benefits expenditure approximately RMB 56,018,000, slightly down from RMB 56,148,000 in 2020[34]. - The employee reward system, including bonus sharing arrangements, was implemented to motivate and retain talent within the group[134]. - The management team possesses extensive industry experience and implements strict selection procedures and performance evaluations for employees[34]. Investment and Future Plans - The company plans to enhance liquidity by listing the investment property for sale, which constitutes a significant portion of its assets[17]. - The company plans to continue focusing on the design, manufacturing, and sales of packaging products and structural components, aiming for market expansion in China[197]. - The company plans to continue exploring new investment opportunities to provide sustainable returns amid ongoing challenges[24].
TEAMWAY INTL GP(01239) - 2021 - 年度财报