Financial Performance - Revenue for the fiscal year ended March 31, 2023, was HKD 1,389,261, representing a 2.9% increase from HKD 1,349,971 in 2022[13] - Operating profit for the same period was HKD 396,064, a slight increase of 0.9% compared to HKD 392,502 in 2022[15] - Profit attributable to equity holders for the year was HKD 315,638, up 3.4% from HKD 305,245 in the previous year[15] - The company reported a current ratio of 1.44, an improvement from 0.97 in the previous year, indicating better liquidity[16] - The return on equity for 2023 was 51.6%, down from 61.8% in 2022, reflecting changes in profitability[16] - The company maintained a total dividend of HKD 30.0 per share for the year, with a total payout ratio of 118.6%[26] - EBITDA increased by 2.7% to HKD 482.3 million, with an EBITDA margin of 34.7% for the fiscal year[41] - Net profit attributable to equity holders increased by 3.4% to HKD 315.6 million, resulting in a net profit margin of 22.7%[41] - Revenue from Hong Kong operations rose by 6.7% to HKD 1,040.1 million, recovering from a 21.5% decline in the first half of the fiscal year[45] - Revenue from regions outside Hong Kong decreased by 6.9% to HKD 349.2 million, accounting for 25.1% of total group revenue[50] Business Strategy and Expansion - Future strategies include enhancing customer loyalty and leveraging word-of-mouth referrals[23] - The company plans to enhance its penetration in the Greater Bay Area and East China region as part of its future expansion strategy[28] - The company aims to further penetrate existing and new international markets in the long term[28] - The company has adopted a cautious approach to business expansion in response to the changing operating environment[31] - The group is committed to diversifying its sales network and tightening cost control measures to mitigate financial impacts from economic downturns[138] - The group has established long-term cooperative relationships with suppliers, with the top five suppliers accounting for approximately 57.7% of total procurement for the year ending March 31, 2023[146] Corporate Governance - The company has adopted the corporate governance code as per the Listing Rules and has established an audit committee, remuneration committee, and nomination committee[72] - The attendance rate for the board meetings was 100% for all executive directors, with eight meetings held during the year[78] - The chairman and CEO roles are held by the same individual, Dr. Ouyang Jiang, which the board believes provides strong and consistent leadership[72] - The company has complied with the corporate governance code, except for the separation of the roles of chairman and CEO[72] - The board's main functions include considering and approving the overall business plans and strategies of the group[77] - The company has received confirmations of independence from all independent non-executive directors[82] - The board currently consists of 7 members, with 4 being female, reflecting a commitment to gender diversity[106] - The company has adopted a nomination policy to ensure a transparent process for selecting board candidates[105] Risk Management - The company confirmed its responsibility for ongoing monitoring of the group's risk management and internal control systems[114] - An annual review of the risk management and internal control systems was conducted, covering all major monitoring areas including financial, strategic, operational, and compliance[116] - The company has established a corporate risk management framework since 2016, following the COSO framework for effective risk management[117] - The company employs a "three lines of defense" governance structure for risk management, with operational management, financial and compliance teams, and independent internal audit teams involved[119] Shareholder Engagement and Communication - The company engaged with over 520 institutional investors and conducted 172 meetings during the fiscal year, compared to 240 investors and 88 meetings in the previous fiscal year[126] - The board has established a shareholder communication policy to ensure effective communication with shareholders and stakeholders, which is regularly reviewed for effectiveness[122] - The company’s annual general meeting serves as a primary platform for communication with shareholders, encouraging their participation[124] Employee and Social Responsibility - The group emphasizes the importance of employee development and competitive compensation to attract and retain high-quality staff[140] - The group has implemented environmental strategies and measures in its offices and beauty centers to promote sustainable development[139] - The company is committed to becoming a socially responsible enterprise, aligning with its vision and mission[21] Investments and Financial Position - As of March 31, 2023, the company held significant investments in listed securities, with a total investment cost of HKD 126,829,000 and a fair value of HKD 92,531,000, reflecting an unrealized loss of HKD 34,298,000[64] - The company did not engage in any major acquisitions or disposals during the fiscal year 2023, nor does it have future plans for significant investments or capital assets[65] - Cash and bank balances increased to HKD 656.8 million, up from HKD 454.4 million in the previous fiscal year, with no external bank borrowings[54] - The group has a distributable reserve of approximately HKD 1,160,608,000 as of March 31, 2023, and has proposed a final and special dividend of HKD 0.123 and HKD 0.047 per share, respectively[147] Revenue Recognition and Accounting - The company recognizes revenue when services are provided, with any remaining deferred revenue recognized at the end of the relevant service period[195] - The estimation of unused rights is subjective and requires significant management judgment, leading to substantial audit resources allocated to this area[197] - The audit found sufficient evidence to support the revenue recognition for service sales[197] - The company is responsible for preparing financial statements in accordance with Hong Kong Financial Reporting Standards and ensuring internal controls to prevent material misstatements[200]
完美医疗(01830) - 2023 - 年度财报