Financial Performance - The group's consolidated revenue decreased by 12.6% from approximately HKD 75,100,000 in 2021 to approximately HKD 65,600,000 in 2022[10]. - The overall gross profit fell by 19.0% from about HKD 41,000,000 in 2021 to approximately HKD 33,200,000 in 2022, with a gross profit margin decline from 54.6% to 50.7%[10]. - The loss attributable to the company's owners was approximately HKD 114,200,000 in 2022, compared to HKD 167,100,000 in 2021, with a basic loss per share of HKD 0.0365[10]. - For the year ended December 31, 2022, the group's revenue from continuing operations increased to approximately HKD 65,600,000, a 2.0% increase from approximately HKD 64,300,000 in the previous year[27]. - Rental income from investment properties for the year was approximately HKD 36,800,000, down from approximately HKD 39,700,000 in the previous year[27]. - Revenue from property management decreased to approximately HKD 18,200,000, compared to approximately HKD 24,700,000 in the previous year, representing a decline of about 26.5%[19][27]. - The group recorded a loss of approximately HKD 3,900,000 from fair value changes in its investment property portfolio for the year[34]. - The group recorded an income tax expense of approximately HKD 16.9 million for the year, compared to an income tax credit of about HKD 19.1 million in the previous year, mainly due to a decrease in deferred tax credits from fair value losses on investment properties[39]. - Loss attributable to the owners of the company decreased from approximately HKD 167.1 million to about HKD 114.2 million[40]. Real Estate and Development - Revenue from real estate development was approximately HKD 10,600,000, generated from the sale of 32 parking spaces in Wuhan[13]. - The occupancy rate of the Future City shopping center was 89.4% as of December 31, 2022, down from 95.0% in the previous year[14]. - The group plans to actively seek development opportunities in real estate, infrastructure, and renewable energy sectors in 2023[6]. - The total construction area of completed projects as of December 31, 2022, was 322,595 square meters, with Future City, Future Mansion, and Zhongshui Longyang Plaza contributing significantly[26]. - The group decided to terminate its hotel operations due to unprofitability, allowing better resource allocation to other segments[20]. Capital Structure and Financial Management - The company completed the acquisition of Precious Palace Enterprises Limited for approximately HKD 795,000,000 and subsequently sold it for HKD 840,000,000 in 2022[15]. - The group aims to optimize its capital structure and business portfolio to maximize shareholder value[6]. - As of December 31, 2022, the group's total cash and bank balances were approximately HKD 17.1 million, a decrease of about HKD 0.3 million from the previous year[41]. - Total borrowings, including bank loans and other loans, decreased from approximately HKD 613.5 million to about HKD 367.7 million, with no convertible bonds or promissory notes outstanding[42]. - The debt-to-equity ratio improved to approximately 44.2% from 95.1% in the previous year, primarily due to a reduction in borrowings and convertible bonds[45]. - Financial expenses for continuing operations decreased from approximately HKD 95.9 million to about HKD 75.4 million, primarily due to a reduction in actual interest expenses on convertible bonds by approximately HKD 13.4 million[38]. Employee and Governance - The total employee cost for the year was approximately HKD 24.1 million, with a total headcount of about 141 employees as of December 31, 2022[49]. - The company aims for steady recovery and stable business performance in 2023, actively seeking opportunities to maintain market competitiveness and create shareholder value[50]. - The company has established various internal control measures and training to ensure compliance with applicable laws and regulations[76]. - The company maintained directors' and senior officers' liability insurance during the year[120]. - The company continues to provide statutory benefits to all eligible employees, including mandatory provident fund and social insurance[178]. - The company is committed to investing in employee training and development to enhance skills and capabilities[196]. Environmental, Social, and Governance (ESG) - The group continues to focus on environmental, social, and governance (ESG) goals, aiming to create long-term value for stakeholders[132]. - The board of directors is responsible for setting ESG goals and monitoring their implementation, with the management team tasked with executing approved strategies[134]. - The group adheres to the Hong Kong Stock Exchange's ESG reporting guidelines and aims for sustainable business practices[132]. - The total indirect carbon dioxide emissions for 2022 were 2,329.85 tons, a decrease of 26.62% compared to 3,175.08 tons in 2021[151]. - The company has implemented policies to reduce carbon emissions and has supported reforestation initiatives[172]. - The company has taken measures to educate and guide tenants on rational water usage, despite not being able to directly control their water consumption[174]. - The company has not received any fines or warnings related to emissions from government authorities in 2022, consistent with 2021[150]. - The company has implemented energy-saving measures in its hotels, such as card-activated energy switches in guest rooms[74]. Shareholder Information - Li Chaobo holds 728,912,000 shares, representing 23.30% of the company[97]. - Ji Jiaming holds 100,000,000 shares, representing 3.20% of the company[97]. - Major shareholders include LIHL with 728,912,000 shares (23.30%) and CFIIL with 698,079,429 shares (22.32%) as of December 31, 2022[106]. - The company has a total of 312,827,854 share options available for issuance, accounting for approximately 10% of the issued share capital as of June 30, 2022[101]. - The company has not issued any new share options during the year[100]. Compliance and Legal - The company has complied with public float requirements as per listing rules[116]. - The company maintained compliance with all employment laws and regulations in China and Hong Kong, with no disputes regarding wages or benefits during the reporting period[179]. - There were no significant violations of applicable environmental laws or regulations during the review year[75].
中国城市基础设施(02349) - 2022 - 年度财报