Financial Performance - Revenue increased by 45.9% to RM 111,901,000 from RM 76,719,000[4] - Gross profit rose by 38.8% to RM 26,631,000 compared to RM 19,185,000[4] - Profit before tax surged by 1193.5% to RM 9,106,000 from RM 704,000[4] - Profit attributable to equity holders of the Company for the year was RM 2,726,000, a significant recovery from a loss of RM 5,065,000 in the previous year[4] - Basic and diluted earnings per share improved to RM 0.34 from a loss of RM 0.67[4] - Total revenue for the year ended 31 December 2021 was approximately RM111.9 million, an increase from RM76.7 million in 2020, primarily from outsourced document management services and enterprise software solutions[27] - The profit for the year ended 31 December 2021 amounted to approximately RM4.5 million, a turnaround from a loss of approximately RM5.1 million in 2020[36] - The net profit attributable to equity holders was approximately RM2.7 million in 2021, compared to a net loss of approximately RM5.1 million in 2020[15] Assets and Equity - Total assets increased by 10.2% to RM 117,162,000 from RM 106,321,000[5] - Total equity attributable to equity holders of the Company rose by 5.2% to RM 85,147,000 from RM 80,917,000[5] - Cash and bank balances increased to RM66.3 million as at 31 December 2021, up from RM40.8 million in 2020[36] - The Group's reserves available for distribution to shareholders amounted to approximately RM29.8 million as of December 31, 2021, down from RM39.2 million in 2020[100] Financial Ratios - Current ratio decreased by 15.4% to 5.3 from 6.2[5] - Gearing ratio improved to 18.4% from 22.8%[5] - Return on equity was 3.2%, a turnaround from a negative 6.3% in the previous year[5] Revenue Sources - Revenue from outsourced document management services increased from approximately RM74.4 million in 2020 to approximately RM81.2 million in 2021[13] - Revenue from enterprise software solutions rose from approximately RM2.3 million in 2020 to approximately RM5.1 million in 2021[13] - Revenue from outsourced insurance risk analysis and marketing services accounted for approximately 22.9% of total revenue in 2021, amounting to RM25.6 million, mainly due to a newly acquired subsidiary in the PRC[27] Operational Developments - The Group acquired approximately 51% of the equity interest in Qingdao Yongbao, which is engaged in outsourced insurance risk analysis and marketing services in China, to capitalize on the growing demand for online insurance services in the PRC[18] - The Group is upgrading its IT infrastructure and expanding capacity to host the Streamline Suite in a new Tier 3 Data Centre facility in Malaysia[21] - The Group's document management services include electronic document delivery, document print and mail fulfillment, and document imaging and scanning services[21] Strategic Initiatives - The Group aims to proactively prepare and adapt its solutions to respond to market changes and lay the foundation for future innovation and growth[18] - The Group plans to pursue strategic acquisitions to enhance market presence and profitability[23] - The Group's future strategies include increasing visibility and operational efficiency through obtaining Multimedia Super Corridor (MSC) status in Malaysia[23] Human Resources - The total remuneration cost for employees amounted to approximately RM11.3 million for the year ended December 31, 2021, compared to approximately RM10.6 million in 2020[48] - The Group offers financial subsidies for external training to selected high-potential employees to encourage staff development[176] Governance and Compliance - The Company has confirmed compliance with disclosure requirements regarding related party transactions, which are fully exempted under Chapter 14A of the Listing Rules[111] - The Company has maintained compliance with all relevant regulations regarding connected transactions throughout the reporting period[111] - The Directors confirmed that there was no material breach of or non-compliance with applicable laws and regulations during the year ended December 31, 2021[161] Environmental and Social Responsibility - The Group's commitment to environmental sustainability includes promoting digital solutions to reduce paper usage and adopting sustainable printing options[171] - The Group has implemented internal policies to reduce energy consumption, including installing energy-efficient lighting and using automatic power shutdown systems[172] Market Risks - The Group's procurement and sales heavily rely on a small number of customers and suppliers, indicating potential risks in supply chain and revenue stability[163] - The Group's credit risk exposure includes two customers accounting for 53% of total net trade receivables, necessitating ongoing monitoring and action for long outstanding debts[94] Future Outlook - The Group will closely monitor market situations and update its business plans as needed to ensure business continuity and reduce the impact caused by COVID-19[95] - The expected timeline for utilizing the net proceeds has been extended to December 2023 for several purposes, including acquiring and converting an existing building into a data center[58]
C-LINK SQ-NEW(01463) - 2021 - 年度财报