Financial Performance - The company's revenue for the fiscal year ending March 31, 2023, increased by 42.2% to approximately HKD 489.5 million, up from HKD 344.2 million in the previous year[15]. - The concrete pouring business generated revenue of approximately HKD 480.5 million, representing a 45.3% increase from HKD 330.7 million in the previous year[15]. - The overall gross profit for the year was approximately HKD 54.9 million, compared to HKD 45.6 million in the previous year, with a gross margin of 11.2%[18][19]. - The company recorded a profit attributable to owners of the company of HKD 21.1 million, a turnaround from a loss of HKD 22.7 million in the previous year[7]. - Other income increased significantly to approximately HKD 6.8 million from HKD 0.1 million in the previous year, primarily due to increased government subsidies[20]. - The group's profit from continuing operations for the year was approximately HKD 21.1 million, a turnaround from a loss of HKD 22.7 million in the previous year, primarily due to an increase in concrete pouring business revenue of approximately HKD 149.8 million and a subsidy of HKD 6.5 million from the Hong Kong government[27]. Project and Business Expansion - The company has secured 27 construction projects valued at approximately HKD 1.2243 billion, with 25 projects already underway generating revenue[13]. - The company plans to expand its concrete pouring and related services in Hong Kong to maintain stable revenue sources in the coming year[8]. - The company is actively seeking additional construction projects and has submitted bids for 15 projects as of the report date[14]. - The loan financing business contributed approximately HKD 9 million to the company's revenue, amidst a competitive market[14]. Cost Management and Financial Stability - Administrative and other operating expenses decreased by 11.7% to approximately HKD 25 million compared to HKD 28.3 million in the previous year[21]. - Financial asset impairment losses for the year were approximately HKD 11.2 million, a significant reduction from HKD 35.4 million in the previous year[22]. - The group's financing costs decreased by 25.0% to approximately HKD 300,000 from HKD 400,000 in the previous year[23]. - The income tax expense for the year was approximately HKD 4.1 million, down from HKD 4.4 million in the previous year[25]. - As of March 31, 2023, the group's cash and bank balances were approximately HKD 203.5 million, compared to HKD 200.4 million in the previous year[30]. - The current ratio as of March 31, 2023, was 5.5, down from 6.0 in the previous year, indicating a decrease in liquidity[34]. - The capital debt ratio as of March 31, 2023, was 0.7%, a decrease from 1.4% in the previous year, reflecting improved financial stability[37]. - The group had no borrowings as of March 31, 2023, maintaining a debt-free status compared to the previous year[32]. - The total employee cost for the year was approximately HKD 153.7 million, a slight decrease from HKD 161.5 million in the previous year, with the number of employees increasing to 441 from 293[43]. Corporate Governance - The company is committed to maintaining high standards of corporate governance and business ethics to enhance performance and protect shareholder interests[76]. - The company adopted the corporate governance code as per the listing rules and complied with applicable code provisions for the year ending March 31, 2023[77]. - All directors confirmed compliance with the standard code of conduct for securities trading throughout the year[78]. - The board is responsible for developing and reviewing corporate governance policies and practices, ensuring effective implementation[81]. - The company has a strong management team with over 30 years of experience in the concrete pouring and related industries[68]. - The independent non-executive directors bring extensive legal and financial expertise, enhancing the board's oversight capabilities[69][72]. - The company has a dedicated company secretary with a focus on capital markets and corporate finance matters[73]. - The board regularly reviews training and professional development for directors and senior management[81]. - The company emphasizes compliance with legal and regulatory requirements in its governance practices[81]. - The board monitors adherence to the corporate governance code and the disclosures in the corporate governance report[81]. Risk Management - The company has established a risk management framework that identifies, assesses, and manages key business risks, ensuring effective risk mitigation and control according to the group's risk tolerance[120]. - The board is responsible for reviewing and evaluating the effectiveness and adequacy of the group's risk management and internal control systems[122]. - The risk management committee is tasked with formulating risk management strategies and providing recommendations to the board, including reviewing key risks and risk mitigation measures[114]. - The company has engaged an external consultant for an annual review of its risk management and internal control systems, with no significant issues identified[120]. - The board continuously monitors the overall risk management and internal control systems to safeguard shareholder interests and company assets[118]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report covers the group's performance from April 1, 2022, to March 31, 2023, focusing on two main businesses: concrete pouring services and loan financing in Hong Kong[133]. - The report adheres to the Hong Kong Stock Exchange's guidelines, ensuring compliance with mandatory disclosure requirements and key performance indicators[135]. - The company aims to expand its concrete pouring business market share in Hong Kong, driven by anticipated large-scale construction projects such as the Hong Kong International Airport Three Runway System and the Kai Tak Development Plan[139]. - The board emphasizes the importance of sustainable development and plans to integrate sustainability further into its core strategy to address future challenges[140]. - The company has identified five key areas of importance for its operations, which will help address potential obstacles and prepare for future challenges[152]. - The company is committed to responsible business practices and will consider sustainability in future investment decisions[143]. - The company aims to create shared sustainable development value for stakeholders and the community while minimizing negative environmental impacts[143]. Climate Change and Emissions - The company recognizes the severe threats posed by climate change and is considering TCFD recommendations to enhance governance processes and integrate climate-related risks into risk assessments[187]. - Identified acute climate risks include increased severity of extreme weather events such as cyclones and hurricanes, potentially disrupting local infrastructure and supply chains[189]. - Chronic climate risks are expected to raise capital, operational, and insurance costs over the long term due to changes in climate patterns[189]. - The company anticipates increased procurement spending to introduce new and alternative technologies during the transition period[189]. - Stricter environmental laws and carbon pricing systems are projected to increase operational costs in the short to medium term[189]. - The company may face revenue declines if it fails to develop strategies to meet higher environmental demands from customers during the transition period[189]. - Stakeholder concerns regarding climate-related issues could negatively impact investor sentiment, affecting the company's stock price and market value, thereby increasing liquidity risks[189]. - The company has implemented emergency plans to address potential negative impacts from extreme weather events on daily operations[190]. - The company is committed to adhering to all relevant environmental regulations and guidelines while actively promoting electrification development[190].
创建集团控股(01609) - 2023 - 年度财报