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向中国际(01871) - 2022 - 年度财报
CHINA ORIENTEDCHINA ORIENTED(HK:01871)2023-04-27 12:18

Enrollment and Training Trends - In 2022, the overall number of course enrollments and trainees attending driving courses declined, resulting in negative growth compared to 2021 due to COVID-19 restrictions [21]. - The total number of course enrollments decreased by 25.8% from 13,040 in the year ended December 31, 2021, to 9,670 in the year ended December 31, 2022 [24]. - Shun Da School's course enrollments dropped significantly by approximately 57.3%, from 3,264 in 2021 to 1,393 in 2022 [24]. - Tong Tai School's course enrollments decreased by approximately 15.3%, from 9,776 in 2021 to 8,277 in 2022 [24]. - The overall number of trainees attending driving courses fell by approximately 17.6%, from 15,183 in 2021 to 12,509 in 2022 [32]. - The actual number of training hours for Small Vehicles decreased from 171,742 hours in 2021 to 136,972 hours in 2022, despite an increase in the number of trainees from 6,524 to 6,817 [48]. Revenue and Financial Performance - Total revenue for the year ended December 31, 2022, was approximately RMB 47.7 million, a decrease of approximately 28.9% from RMB 67.2 million in 2021 [32]. - Revenue from Large Vehicles accounted for approximately 79.4% of total revenue in 2022, down from 82.7% in 2021 [32]. - Premium courses contributed approximately 94.5% of total revenue in 2022, compared to 92.7% in 2021 [32]. - Revenue from driving training services for Small Vehicles decreased by approximately RMB 1.8 million for the year ended December 31, 2022 [43]. - Gross profit decreased by RMB 11.4 million, or approximately 50.1%, from RMB 22.7 million in 2021 to RMB 11.3 million in 2022, with a gross profit margin decline of 10.0 percentage points to 23.7% [38]. - The net loss attributable to the owners of the Company was approximately RMB 8.7 million for the year ended December 31, 2022, compared to a net loss of approximately RMB 3.5 million in 2021 [39]. Operational Adjustments and Future Plans - The company established C6 test sites and optimized training facilities to accommodate an expected increase in trainee enrollment following the relaxation of urban traffic bans [10]. - In 2023, the company plans to focus on trainee enrollment and improve service attitudes through a campaign aimed at enhancing instructor dedication [14]. - The company aims to expand its market presence beyond Henan Province to regions such as Xinjiang, Hainan, Sichuan, Gansu, and Guizhou [15]. - The company will enhance online publicity for trainee enrollment through various media channels to boost visibility and attract more trainees [15]. - The company plans to improve the working environment and prioritize safety and health for employees in the post-epidemic era [14]. Corporate Governance and Board Structure - The Company has complied with all code provisions set out in the Corporate Governance Code for the year ended December 31, 2022 [115]. - The Board comprises two executive Directors, one non-executive Director, and three independent non-executive Directors as of April 20, 2023, fulfilling the requirements under rules 3.10(1) and 3.21 of the Listing Rules [132]. - The roles of Chairman and Chief Executive Officer are held separately by Mr. Qi Xiangzhong and Ms. Zhao Yuxia, respectively, ensuring a balance of power and authority [126]. - The Company received written annual confirmation from each independent non-executive Director regarding their independence, in accordance with the independence guidelines [128]. - The Company has established mechanisms to ensure that at least one-third of the Board members are independent non-executive Directors, ensuring independent views and input [186]. Financial Position and Borrowings - As of 31 December 2022, the Group's bank balances and cash increased to approximately RMB 182.3 million from RMB 175.2 million in 2021, primarily due to increased cash flows from financing activities [6][77]. - The current ratio of the Group as of 31 December 2022 was 1.86, down from 2.11 in 2021 [6][80]. - Aggregate interest-bearing borrowings increased to approximately RMB 55.2 million as of 31 December 2022, compared to RMB 32.8 million in 2021 [6][81]. - The gearing ratio of the Group was approximately 0.30 times as of 31 December 2022, up from 0.21 times in 2021 [6][82]. - The Group's debt-to-equity ratio was approximately 0.30 times as of December 31, 2022, compared to 0.21 times as of December 31, 2021 [85]. Employee and Cost Management - Employee benefit expenses decreased by approximately RMB 5.2 million, or approximately 29.0%, from approximately RMB 18.0 million in 2021 to approximately RMB 12.8 million in 2022 [53]. - The number of employees decreased to 295 as of December 31, 2022, from 423 as of December 31, 2021 [97]. - Cost of services rendered decreased by approximately RMB 8.1 million, or approximately 18.1%, from approximately RMB 44.5 million in 2021 to approximately RMB 36.4 million in 2022 [49]. Risk Management and Compliance - The Company engaged an external professional consultant to enhance the effectiveness of its risk management and internal control systems [162]. - The Audit Committee reviewed the audited consolidated financial statements for the financial year ended December 31, 2022, and recommended them for approval at the AGM [169]. - The Company engaged Hong Kong legal advisers for corporate secretarial and compliance services in accordance with the Listing Rules [162]. - The Company will continue to ensure that independent non-executive Directors do not receive equity-based remuneration with performance-related elements to maintain their objectivity [186].