Company Overview - The company specializes in high-quality health supplements and personal care products, certified by multiple international standards, including TGA and GMP[12]. - The company has received recognition as a "Hong Kong Excellent Brand" and has been acknowledged as a quality merchant by the Hong Kong Tourism Board for 15 consecutive years[12]. - The business has shown steady growth, supported by strong market acceptance in Hong Kong and across Asia[12]. Market Presence and Sales Strategy - As of March 31, 2023, the company operates 17 specialty stores and 60 consignment counters in Hong Kong, Macau, and Singapore, establishing a solid foundation in the region[19]. - The company has expanded its online sales strategy, enhancing its official website and custom app to improve customer experience and loyalty[15]. - The company has partnered with various e-commerce platforms, including HKTVmall and Tmall, significantly increasing market penetration[16]. - The introduction of the "Omnichat" promotional software has improved customer interaction and communication, allowing for precise promotional targeting[15]. - The company has established a cross-border e-commerce experience store in Shenzhen, further enhancing its market presence[19]. Social Responsibility and Community Engagement - The company is committed to social responsibility, actively participating in community initiatives and promoting healthy lifestyles[26]. - The company actively promotes sports activities among employees and their families, contributing to work-life balance[34]. - The company has established a karate dojo to promote the sport and has achieved notable results in local competitions, including championships in various categories[34]. - The company emphasizes social responsibility and has been involved in various charitable activities, including donations to support underprivileged students[41]. - The company supports anti-drug initiatives and has participated in events to educate youth about drug prevention[36]. - The company has organized various employee engagement activities, such as movie screenings and concerts, to foster a positive workplace culture[42]. - The company has been involved in community sports projects to encourage healthy lifestyles and support local sports development[38]. - The company has provided financial assistance to economically disadvantaged students and participated in educational seminars[51]. - The company’s chairman has been actively involved in community service and youth education initiatives, sharing experiences and insights[41]. - The company has sponsored local karate competitions and supported the Hong Kong Karate Association in organizing events[34]. - The company has a commitment to nurturing future leaders through educational support and community engagement[41]. Financial Performance - The company reported a revenue increase of 13.5% to HKD 146,158,000 for the fiscal year ending March 31, 2023, compared to the previous year[103]. - The company achieved a consolidated profit of HKD 497,000, recovering from a loss of HKD 843,000 in the previous year[103]. - The board proposed a final cash dividend of HKD 0.01 per share to reward shareholders for their support[103]. - Revenue from health supplement products increased by 15.3% to HKD 141,400,000, while personal care products and honey/pollen products saw declines of 26.3% and 10.4%, respectively[117]. - Sales through specialty stores and consignment counters increased by 7.8% to HKD 39,890,000 and 27.0% to HKD 79,829,000, respectively, driven by the influx of travelers from mainland China[119]. - The group's gross profit margin slightly improved to 82.9% from 81.7% in the previous year, despite a 5.7% increase in cost of sales to HKD 24,924,000[120]. - Other income rose by 107.9% to HKD 4,238,000, primarily due to increased government subsidies and bank interest income[120]. - The income tax expense for the year was HKD 663,000, a shift from an income tax credit of HKD 2,123,000 in the previous year, reflecting the transition from a loss to a profit[124]. Future Outlook and Strategic Initiatives - The company plans to launch new diversified products to meet the varying needs of target customers[105]. - Strategic partnerships have been established with suppliers and businesses to expand both online and physical sales networks[105]. - The company aims to recruit and build a dynamic team in various regions to support its diversified business development[105]. - The group plans to expand its product portfolio to cater to changing customer preferences and enhance customer health[138]. - The integration of online and offline sales remains a key focus, aiming to improve customer experience and loyalty[140]. - The group will continue to streamline inventory levels and optimize its physical store network to enhance operational efficiency[138]. - The company is expanding its market presence in Southeast Asia, aiming to increase market share by 30% in the region over the next two years[154]. - A strategic acquisition of a local health food brand is in progress, which is anticipated to enhance the product portfolio and increase market penetration[154]. - Investment in technology development is set at HKD 50 million, aimed at improving online sales channels and customer engagement platforms[154]. - The company plans to enhance its marketing strategies, allocating 10% of revenue towards digital marketing initiatives to boost brand visibility[154]. - The management team has emphasized a commitment to sustainability, with plans to reduce carbon emissions by 15% over the next three years[154]. Governance and Corporate Structure - The company has a strong governance structure with over 40% of the board members being independent non-executive directors[170]. - The board consists of seven members, including the chairman and co-CEOs, ensuring a balance of executive and independent oversight[170]. - The company has adopted a standard code for securities trading by directors, confirming compliance throughout the year[165]. - The management team is led by a finance director with over 20 years of experience in accounting services[160]. - The company emphasizes accountability and risk management as part of its corporate governance practices[163]. - The independent non-executive directors contribute significant business and financial expertise to the board[171]. - The company has appropriate insurance coverage for potential legal claims against directors[173]. - The finance team is responsible for overseeing corporate financing, treasury, financial reporting, and tax matters[157]. - The company has established various board committees to delegate responsibilities effectively[166]. - The management is tasked with executing the business plans and strategies adopted by the board[166]. - The board held 4 meetings during the year, including the approval of the audited consolidated financial statements for the year ended March 31, 2022, and the unaudited consolidated financial statements for the six months ended September 30, 2022[175]. - All directors attended 100% of the board meetings, with each director present for all 4 meetings[178]. - The audit committee held 3 meetings during the year, including the review and approval of the audited consolidated financial statements for the year ended March 31, 2022[185]. - The audit committee consists of three independent non-executive directors, ensuring compliance with corporate governance codes and listing rules[181]. - The remuneration committee was established on July 20, 2016, and includes two independent non-executive directors and one executive director[187]. - The company encourages all directors to participate in training courses, with costs covered by the company, to enhance their understanding of corporate governance responsibilities[174]. - The chairman and co-CEO's dual role is deemed in the best interest of the group, with all major decisions made after consulting the entire board[179]. - The company has established three committees under the board: audit committee, remuneration committee, and nomination committee, to oversee specific aspects of the company's affairs[180]. - The audit committee's responsibilities include monitoring the integrity of financial statements and reviewing risk management and internal control systems[183]. - The company held one annual general meeting and one special general meeting during the year, with full attendance from all directors[178]. - The Compensation Committee held 3 meetings during the year to review and approve the remuneration proposals for directors and senior management[190]. - Attendance records for the Compensation Committee meetings show that all directors attended all 3 meetings[191]. - The Nomination Committee was established on July 20, 2016, and includes two independent non-executive directors and one executive director[192]. - The Nomination Committee held 2 meetings during the year to evaluate the board's structure, size, and composition[196]. - Attendance records for the Nomination Committee meetings indicate full attendance by all directors[197]. - The Nomination Committee's responsibilities include reviewing and approving compensation arrangements for directors dismissed for misconduct[193]. - The Nomination Committee assesses the independence of independent non-executive directors[194]. - The company emphasizes the importance of diversity in the board's composition, considering various factors such as gender and professional background[199]. - The company aims to ensure that candidates possess relevant skills, knowledge, and experience related to its business[199]. - The Nomination Committee follows a structured process for nominating candidates for board appointments or shareholder elections[198].
澳至尊(02031) - 2023 - 年度财报