Financial Performance - Total revenue for the fiscal year ended December 31, 2021, was SGD 89.2 million, a decrease of approximately SGD 25.1 million compared to the fiscal year ended December 31, 2020[9]. - Net profit decreased by 32.8% from SGD 8.8 million in 2020 to SGD 5.9 million in 2021[9]. - Shareholders' profit decreased from SGD 7.4 million in 2020 to SGD 4.8 million in 2021[9]. - Gross profit for the same period was approximately SGD 27.1 million, down 16.8% from SGD 32.5 million in 2020[85]. - The group's revenue decreased by approximately SGD 25.1 million or 22.0% to about SGD 89.2 million for the fiscal year ended December 31, 2021, compared to approximately SGD 114.3 million for the previous fiscal year[97]. - The group's net profit for the fiscal year ended December 31, 2021, decreased by approximately 32.8% to about SGD 5.9 million, down from approximately SGD 8.8 million for the previous fiscal year[104]. - Total cash and cash equivalents as of December 31, 2021, were approximately SGD 40.7 million, down from approximately SGD 50.3 million as of December 31, 2020[105]. - The current ratio as of December 31, 2021, was approximately 2.7, compared to approximately 2.9 as of December 31, 2020[105]. - The group's administrative expenses decreased by approximately SGD 1.3 million or 11.8% to about SGD 9.8 million for the fiscal year ended December 31, 2021[99]. - The group's financing costs increased by approximately SGD 0.1 million to about SGD 0.8 million for the fiscal year ended December 31, 2021, primarily due to new long-term lease agreements[100]. - Other income and gains decreased by approximately SGD 0.3 million or 12.5% to about SGD 2.1 million for the fiscal year ended December 31, 2021[102]. Revenue Segmentation - Revenue from the US furniture sales segment was approximately SGD 56.4 million, a decrease of about 34.2% compared to 2020, accounting for approximately 63.3% of total group revenue[9]. - Revenue from the furniture sales segment in Singapore increased to approximately SGD 17.5 million, up from SGD 12.9 million in 2020, due to the easing of COVID-19 restrictions[90]. - Revenue from special projects in the furniture sales segment increased to approximately SGD 5.0 million, up from SGD 4.4 million in 2020, attributed to increased project deliveries as COVID-19 restrictions were relaxed[91]. - Interior design and renovation service revenue decreased to approximately SGD 10.2 million from SGD 11.2 million in 2020, due to a reduction in projects in Brunei and Singapore[92]. Strategic Plans and Challenges - The company anticipates challenges in 2022 due to ongoing supply chain disruptions and increased shipping costs, but plans to enhance product offerings and implement growth strategies cautiously[93]. - The company plans to replenish inventory of best-selling products and develop new products to enhance supply capabilities in the fiscal year 2022[10]. - The company aims to manage business prudently and implement cautious development strategies amid market volatility and geopolitical conditions[10]. - The company will continue to focus on nurturing new brands and products, leveraging the momentum in the real estate market, particularly in the high-end and luxury segments[94]. Corporate Governance - The board consists of eight members, including three executive directors, two non-executive directors, and three independent non-executive directors[21]. - The board held four meetings during the reporting period, with all directors in attendance, including a meeting in March 2022 to review annual performance and recommend the final dividend for the year ending December 31, 2021[22]. - The company has maintained compliance with listing rules by appointing at least three independent non-executive directors, one of whom possesses appropriate professional qualifications or financial management expertise[27]. - The board is responsible for leading and monitoring the company, guiding management, and ensuring effective internal controls and risk management systems[29]. - The company has established three committees: the Audit Committee, the Remuneration Committee, and the Nomination Committee, each with defined written terms of reference[36]. - All directors are encouraged to participate in continuous professional development to ensure their contributions remain informed and relevant[33]. - The company provides appropriate insurance coverage for directors and senior management against legal actions arising from their business activities[32]. - The chairman and CEO roles are held by the same individual, which the board believes serves the best interests of the company[24]. - The company has adopted a board diversity policy, recognizing that diversity enhances operational performance and quality[43]. - The board diversity policy considers various factors, including gender, age, cultural and educational background, and professional experience[44]. - The Nomination Committee will report on board composition and monitor the implementation of the board diversity policy annually[49]. - The company has established a nomination policy outlining key selection criteria for board appointments and succession planning[50]. - The board is responsible for reviewing corporate governance policies and practices, including compliance with legal and regulatory requirements[52]. Risk Management - The company has implemented a risk management policy to address potential operational risks, including operational, credit, and market risks[55]. - The audit committee assists the board in reviewing the effectiveness of the risk management and internal control systems[59]. - The board confirmed the effectiveness of the risk management and internal control systems during the reporting period[59]. - The company has established internal control measures to promote effective business operations and compliance with regulatory requirements[58]. - The company has outlined its major risks and uncertainties in the management discussion and analysis section of the annual report[159]. Shareholder Information - A final dividend of HKD 0.01 per ordinary share is proposed, subject to approval at the upcoming annual general meeting[11]. - The board proposed a final dividend of HKD 0.01 per ordinary share for the year ended December 31, 2021, compared to HKD 0.0128 per share for the previous year[127]. - The final dividend distribution is subject to shareholder approval at the annual general meeting scheduled for June 28, 2022[129]. - The board believes that the distribution of the final dividend will not have a significant adverse impact on the group's financial position[131]. - The company allows shareholders holding at least 10% of the paid-up capital to request a special general meeting[73]. - The company has not reported any shareholder waiving or agreeing to waive dividends for the year ended December 31, 2021[162]. Employee and Management Information - The group employed 132 full-time employees as of December 31, 2021, a decrease from 136 in the previous year[120]. - Employee costs for the year ended December 31, 2021, were approximately SGD 10.0 million, a decrease from SGD 10.8 million in 2020[121]. - The employee compensation policy is determined based on performance, qualifications, and market statistics[198]. - 高先生 has over 25 years of experience in the property and hotel industry, overseeing corporate development and strategic planning for the group[140]. - 林瑞慶先生 has over 20 years of experience in auditing, accounting, and financial management, responsible for corporate development and strategic planning[141]. - 吳佩詩女士 has over 15 years of experience in sales and marketing, currently overseeing project sales and management for special projects[149]. - 符金春女士 has over 20 years of experience in sales, marketing, and business development in the furniture industry, responsible for procurement of new products[152]. - 林女士 has over 15 years of experience in interior design and property development, focusing on business development[151]. - 高先生 was appointed as a non-executive director in March 2018, indicating a strategic leadership role within the company[140]. - 林瑞慶先生 has been the group financial director since September 2014, highlighting his key role in financial oversight[142]. - 吳先生 has over 25 years of experience in finance and fund management, serving as an independent non-executive director since March 2019[145]. - Wee先生 has been involved in mergers and acquisitions and financial consulting since 2015, indicating a focus on strategic growth[146]. - 林文正先生 serves as the chairman of the audit committee, emphasizing the importance of governance and oversight within the company[144]. Miscellaneous - The company is a third-party e-commerce platform furniture seller in the U.S. and a mid-to-high-end furniture retailer in Singapore[156]. - The group made charitable donations totaling SGD 16,000 during the year[180]. - The group acquired property, plant, and equipment at a cost of approximately SGD 1.3 million during the year[174]. - No management or administrative contracts were established for the group or any significant business segment as of December 31, 2021[194]. - No significant transactions, arrangements, or contracts involving directors or their related entities were in effect as of December 31, 2021[195]. - No significant contracts were established with any controlling shareholders or their subsidiaries as of December 31, 2021[196]. - The company has provided indemnification clauses for directors and senior management against liabilities incurred in their roles, effective until December 31, 2021[197]. - The company has not made any further investments in investment properties during the year[166]. - There were no significant events affecting the group from the start of the financial year until the date of the report[158]. - The net proceeds from the listing amounted to HKD 105.2 million (approximately SGD 18.2 million) after deducting related listing expenses[167]. - The company allocated 62.1% of its net proceeds to inventory procurement, amounting to approximately HKD 65.351 million[168]. - The company plans to enhance sales and marketing efforts, allocating 8.4% of its net proceeds, which is approximately HKD 8.84 million, to improve brand loyalty and recognition[168]. - The furniture sales segment reported a rental expense of approximately HKD 10.839 million, with a utilization of 10.3% of the net proceeds as of December 31, 2021[170]. - Capital expenditure for new sales points amounted to approximately HKD 3.052 million, representing 2.9% of the net proceeds[170]. - Brand awareness initiatives accounted for approximately HKD 2.631 million, or 2.5% of the net proceeds[170]. - Warehouse expansion in Singapore incurred costs of approximately HKD 2.105 million, which is 2.0% of the net proceeds[170]. - General working capital for the group was approximately HKD 8.734 million, representing 8.3% of the net proceeds[170]. - The total amount utilized from the net proceeds was approximately HKD 105.235 million, with a remaining balance of approximately HKD 23.493 million[170]. - The largest customer accounted for approximately 26.3% of the group's revenue, while the top five customers collectively represented about 62.5%[183]. - The top five suppliers contributed approximately 27.9% to the total procurement amount, with the largest supplier accounting for about 7.7%[183].
设计都会(01545) - 2021 - 年度财报