Financial Performance - The group's revenue for the year ended December 31, 2021, increased by approximately 30.8% compared to the previous year, reaching about 523.3 million Macanese Patacas in the renovation engineering segment[6]. - The net profit for the year also rose by approximately 31.5% compared to the previous year, indicating a strong financial performance[12]. - The group's revenue for the year ended December 31, 2021, was approximately MOP 523.3 million, an increase of about 30.8% compared to MOP 400.0 million in 2020[17]. - The profit for the year ended December 31, 2021, was approximately MOP 51.7 million, up about 31.2% from MOP 39.4 million in 2020[25]. - The total comprehensive income for the year was approximately MOP 51.6 million, reflecting an increase of about 31.0% from MOP 39.4 million in 2020[26]. - Revenue from renovation projects increased from approximately MOP 398.4 million in 2020 to approximately MOP 483.9 million in 2021, attributed to several projects commencing in 2021[18]. - Revenue from financial services rose significantly to approximately MOP 39.4 million in 2021 from MOP 1.6 million in 2020, with client assets amounting to approximately MOP 2,680.7 million as of December 31, 2021[18]. - The gross profit increased from approximately MOP 76.3 million in 2020 to approximately MOP 134.7 million in 2021, with a gross profit margin of about 25.7% in 2021 compared to 19.1% in 2020[19]. Business Development and Strategy - The group aims to continue focusing on business development to deliver stable returns to shareholders[10]. - The management expects to maintain stable revenue sources in 2022 with more renovation projects in Macau and Hong Kong[50]. - The group aims to develop its financial services sector to become a leading financial institution in the Greater Bay Area[50]. - The group has established offices in multiple locations including Hong Kong, Macau, Zhuhai, Qingdao, Taiyuan, and Hefei to seize national business opportunities[50]. - The group remains optimistic about future growth despite uncertainties caused by the COVID-19 pandemic, supported by global vaccination efforts and strong fiscal and monetary policies[9]. Corporate Governance - The group has complied with all provisions of the Corporate Governance Code during the reporting period[52]. - The board consists of a balanced composition with independent non-executive directors contributing significantly to the company's business, ensuring independent judgment on strategy and performance[56]. - The board has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee to assist in fulfilling its responsibilities[57]. - All independent non-executive directors have confirmed their independence according to listing rules, with one possessing relevant professional accounting qualifications[58]. - The company has arranged appropriate insurance to protect directors and senior management against legal actions related to company affairs[59]. - The board has adopted a diversity policy considering various factors such as gender, age, cultural background, and professional experience to enhance board diversity[67]. - The Nomination Committee evaluates potential nominees based on integrity, experience, and the ability to contribute to the board, considering diversity factors[69]. - The company has a policy allowing directors to seek independent professional advice at the company's expense[61]. - The board of directors is responsible for monitoring the independence of management and providing independent judgment on the company's strategy, performance, resources, and ethical standards[161]. Risk Management and Compliance - The company emphasizes that its risk management and internal control systems are designed to manage risks rather than eliminate them[85]. - The company engaged an independent professional consulting firm to audit the effectiveness and adequacy of its risk management and internal control systems for the year 2021[85]. - The group faces risks related to project bidding success, market conditions in Macau's renovation and construction industries, and reliance on subcontractors for project completion[176]. - The group emphasizes compliance with local laws and regulations, providing mandatory benefits such as public holidays and maternity leave for employees[177]. - The group has established and implemented a "Commercial Bribery Prevention Management System" to strengthen internal control mechanisms and anti-corruption efforts[145]. - No violations of anti-corruption laws and regulations were found for the year ending December 31, 2021[148]. Environmental Responsibility - The total greenhouse gas emissions for the year ended December 31, 2021, were approximately 134.56 tons, with a per-employee emission of about 1.68 tons[106]. - The total greenhouse gas emissions decreased from 120.26 tons in 2020 to 117.34 tons in 2021, indicating a reduction of approximately 1.6%[107]. - The company has established policies to control the consumption of gasoline, electricity, paper, and water, ensuring compliance with applicable environmental regulations[106]. - The company is committed to sustainable development by implementing various environmental measures to reduce greenhouse gas emissions[101]. - The company has implemented measures to reduce energy consumption, including turning off air conditioning at night and using LED lighting[110]. - The company prioritizes the use of environmentally friendly building materials to minimize carbon emissions and construction waste[114]. - The company has not encountered any legal or regulatory incidents related to environmental and natural resource compliance during the reporting period[121]. Employee and Labor Practices - Total number of employees as of December 31, 2021, is 80, with a turnover rate of 18% in Macau, 38% in Hong Kong, and 8% in China[127]. - Employee distribution: 50% male and 50% female, with 31% based in Macau, 49% in Hong Kong, and 20% in China[127]. - The company has not identified any significant non-compliance with employment and labor laws during the fiscal year ending December 31, 2021[127]. - The company has established a safety management system in Macau according to OHSAS 18001 standards, focusing on risk assessment and crisis management[129]. - There were zero work-related accidents or occupational diseases reported during the fiscal year ending December 31, 2021[130]. - The company has adhered to all relevant laws and regulations regarding labor standards, including the prohibition of child labor and forced labor[136]. Community Engagement and Social Responsibility - The group actively encourages employees to volunteer their time and skills for community service, enhancing corporate value and social awareness[149]. - The group considers donations to charitable organizations when recording post-tax profits and having sufficient funds[150]. - The company emphasizes stakeholder engagement and communication through various channels, including meetings and electronic platforms[103]. - The company’s annual general meeting serves as a crucial opportunity for constructive communication between the board and shareholders[96]. - The company’s governance policies ensure that shareholders can easily access information and communicate with the board[96]. Shareholder Information - The company does not recommend the payment of a final dividend for the year ended December 31, 2021, and will consider various factors in its dividend policy[48]. - The company does not recommend the distribution of a final dividend for the year ending December 31, 2021[173]. - The group’s directors hold significant shares, with Mr. Xie holding 543,100,000 shares (67.38%) and Ms. Li holding 541,500,000 shares (67.18%) of the company[198]. - Mr. Xie holds 9,474 shares in Space Investment, representing 94.74% of the issued shares[200]. - Ms. Li holds 526 shares in Space Investment, representing 5.26% of the issued shares[200].
恒宇集团(02448) - 2021 - 年度财报