Financial Performance - Total revenue for the fiscal year ended March 31, 2022, was HKD 406,139,000, representing a 2.3% increase from HKD 397,158,000 in the previous year[15]. - The revenue from branded Chinese medicine increased by 10.5% to HKD 232,908,000, while branded pharmaceuticals decreased by 0.1% to HKD 134,330,000[15]. - Gross profit decreased by 18.6% to HKD 161,510,000, with a gross margin of 39.8%, down from 50.0%[15]. - Adjusted EBITDA fell by 29.0% to HKD 89,208,000, with an adjusted EBITDA margin of 22.0%, down from 31.7%[15][16]. - Profit attributable to equity holders increased by 8.9% to HKD 24,620,000, resulting in a profit margin of 6.1%, up from 5.7%[15]. - Total assets decreased by 3.5% to HKD 1,332,489,000, while total liabilities decreased by 16.3% to HKD 363,299,000[15]. - Total equity increased by 2.3% to HKD 969,190,000[15]. Market and Product Development - The company achieved revenue growth despite challenges, focusing on opportunities in the Chinese market[20]. - New product launches remain a priority development strategy, supported by close collaboration with global partners[20]. - The healthcare product portfolio includes leading brands that showed strong momentum, particularly AIM eye drops and Oncotype DX®[27]. - AIM eye drops have established a leading brand position in myopia control for children, supported by clinical research and professional recommendations[28]. - The company is expanding its product offerings, including the launch of the first extension product under the Wei Xian - U brand, which has received positive market feedback[31]. - The company has launched over 60 products on Tmall, with more than 55 and 35 products available on Tmall and JD's cross-border flagship stores respectively[31]. - The health care products segment experienced a decline in sales by 24.9%, primarily due to reduced consumer demand for infection prevention products[54]. - The company is developing new concentrated Chinese medicine granules and launching herbal-based supplements to meet growing consumer demand[65]. Strategic Initiatives - The company aims to build a product portfolio that anticipates market demand and motivates employees to excel[19]. - Strategic priorities include building a robust foundation, delivering more results, and motivating employees to pursue excellence[20]. - New partnerships in the brand drug and nutritional supplement categories are expected to contribute to short-term and long-term business growth[22]. - The company aims to strengthen its operational position and business platform through a multi-faceted growth strategy, addressing evolving market trends and consumer needs[31]. - The company is committed to responsible operations and enhancing environmental, social, and governance performance[23]. Corporate Governance - The company has complied with all provisions of the corporate governance code during the reporting period[111]. - The board consists of seven members, including one executive director, three non-executive directors, and three independent non-executive directors[114]. - The audit committee, composed of three independent non-executive directors, ensures the integrity and accuracy of the company's financial statements[127]. - The company has established specific committees, including the audit, remuneration, nomination, and reward committees, to oversee various aspects of corporate governance[125]. - The company aims to enhance board diversity by actively seeking suitable female candidates for board positions, despite not having appointed any female directors since its listing[143]. Risk Management - The company has established a comprehensive risk management framework, guided by a "three lines of defense" model[175]. - The risk management department, consisting of the Vice President of Finance and Senior Finance Manager, oversees the overall risk management framework[177]. - The internal audit function plays a crucial role in providing independent assurance on the effectiveness of the risk management and internal control systems[187]. - The company conducts semi-annual reporting on significant risks identified from operational subsidiaries[186]. Shareholder Communication - The company maintains communication with shareholders through multiple channels and has a shareholder communication policy to address shareholder concerns effectively[190]. - All resolutions presented at the shareholders' meeting must be voted on, with results published on the company's and the stock exchange's websites after the meeting[192]. - Shareholders holding at least 10% of the paid-up capital have the right to request the board to convene a special meeting within two months of the request[196].
健倍苗苗(02161) - 2022 - 年度财报