Financial Performance - The Group recorded revenue of approximately HK$112.16 million for the year ended 30 June 2022, a decrease of approximately 50.82% compared to HK$228.07 million in the prior year[11]. - Loss for the Reporting Year was approximately HK$122.87 million, representing an increase of approximately 21.54 times compared to a loss of HK$5.45 million in the prior year[11]. - Total comprehensive expenses for the Reporting Year amounted to approximately HK$137.00 million, compared to a total comprehensive income of approximately HK$46.54 million in the prior year[11]. - Total revenue for the year ended June 30, 2022, was approximately HK$112.16 million, a decrease of approximately HK$115.91 million, or approximately 50.82%, compared to approximately HK$228.07 million in the Prior Year[53][61]. - The operating loss for the Reporting Year was approximately HK$116.82 million, compared to an operating profit of approximately HK$56.75 million in the Prior Year[53][56]. - Net loss for the Reporting Year was approximately HK$122.87 million, an increase of approximately 21.54 times compared to the net loss of approximately HK$5.45 million in the Prior Year[53][56]. - Segment loss from the cultural and entertainment business was approximately HK$113.40 million, compared to a profit of approximately HK$77.60 million in the prior year[23]. - The loss attributable to the owners of the Company increased by approximately HK$122.05 million, or approximately 148.84 times, from approximately HK$0.82 million in the prior year to approximately HK$122.87 million in the reporting year[81]. Revenue Breakdown - Revenue from the cultural and entertainment business decreased by approximately HK$118.50 million, or approximately 67.59%, from approximately HK$175.33 million in the prior year to approximately HK$56.83 million for the reporting year[31]. - The exhibitions and events business recorded no revenue for the reporting year, representing 0% of total revenue, compared to approximately HK$0.12 million or 0.05% in the prior year[25]. - Financing segment generated revenue of approximately HK$55.33 million, an increase of approximately 5.4% from HK$52.62 million in the prior year[23]. - Revenue from the financing business increased by approximately HK$2.71 million, or approximately 5.15%, from approximately HK$52.62 million in the Prior Year to approximately HK$55.33 million in the Reporting Year, representing approximately 49.33% of total revenue[46][47]. - The cultural and entertainment business represented approximately 50.67% of total revenue for the reporting year, down from approximately 76.88% in the prior year[31]. Assets and Liabilities - Total assets as of 30 June 2022 were HK$703.58 million, down from HK$882.12 million in the previous year[8]. - Total liabilities as of 30 June 2022 were HK$57.67 million, compared to HK$99.21 million in the prior year[8]. - Net assets as of 30 June 2022 were HK$645.92 million, a decrease from HK$782.92 million in the previous year[8]. - As of June 30, 2022, the Group's total current assets were approximately HK$559.47 million, while current liabilities were approximately HK$56.51 million, resulting in a current ratio of about 9.90 times[83]. - The Group's borrowings as of June 30, 2022, were approximately HK$40.51 million, down from approximately HK$66.77 million in the prior year[94]. - The gearing ratio as of June 30, 2022, was approximately 5.76%, down from 7.57% in 2021[99]. Operational Challenges - The ongoing COVID-19 pandemic has significantly disrupted the Group's business operations, particularly due to government lockdowns[12]. - The Group suspended the development of the exhibition business, resulting in no revenue generated from this segment during the Reporting Year[13]. - The cultural and entertainment business focused on improving operational efficiency rather than developing new businesses during the economic downturn[13]. - The Group's business and profitability growth during the Reporting Year was impacted by increased competition and macroeconomic volatility in Hong Kong and the PRC[168]. - The overdue percentage of trade receivables has increased, indicating a rise in credit risk[106]. Cost Management - The Group plans to continue prudent management of revenue streams and implement stringent cost control measures to minimize risk exposure[14]. - Selling expenses decreased by approximately HK$5.66 million, or 38.87%, from approximately HK$14.56 million in the prior year to approximately HK$8.90 million in the reporting year[74]. - Administrative expenses decreased by approximately HK$18.80 million, or 43.02%, from approximately HK$43.70 million in the prior year to approximately HK$24.90 million in the reporting year[74]. Governance and Management - The company has a diverse board with expertise in various sectors including finance, real estate, and corporate governance[135]. - The board includes independent non-executive directors who provide oversight and strategic guidance[139]. - The company is focused on enhancing its corporate governance through experienced board members[137]. - The management team has a strong background in both local and international markets, which supports the company's expansion strategies[132]. - The company is committed to leveraging its directors' extensive experience to drive growth and innovation[130]. Future Outlook - The Group expects revenue improvement in the long term as the COVID-19 pandemic is brought under control[107]. - The Group will continue to explore new wine distributors to facilitate growth in the industry[29]. Miscellaneous - The Group did not have any material acquisitions or disposals during the Reporting Year[103]. - The Directors do not recommend the payment of a final dividend for the Reporting Year, consistent with 2021[104]. - There were no specific plans for material investments or capital assets as of June 30, 2022[102]. - The Group has established long-term business relationships with major suppliers and customers, contributing to employee retention and good relations[178]. - The Group is committed to minimizing its environmental impact through energy conservation and recycling initiatives[172]. - The Group's internal control policies and procedures are in place to ensure compliance with relevant laws and regulations impacting its operations[177].
诺发集团(01360) - 2022 - 年度财报