Financial Performance - The natural gas trading segment generated approximately HK$190,810,000 in revenue, a decrease of 42.3% from HK$330,336,000 in 2022[22] - The Group's revenue for the year ended March 31, 2023, was approximately HK$190,810,000, a decrease of 42.3% compared to HK$330,336,000 in 2022[34] - The cost of sales for the same period was approximately HK$180,601,000, down from HK$320,977,000 in 2022, resulting in a gross profit of approximately HK$10,209,000, compared to HK$9,359,000 in 2022[34] - The Group recorded a loss of approximately HK$394,000 for the year ended March 31, 2023, compared to a profit of HK$329,000 in 2022, attributed mainly to global supply chain disruptions[34] - The natural gas trading segment result was approximately HK$7,507,000, an increase from HK$5,880,000 in 2022[22] Credit Risk and Financial Management - The net impairment loss on trade receivables was approximately HK$2,612,000, down from HK$7,780,000 in the previous year[22] - The Group has adopted credit risk assessment measures for new and existing customers to mitigate financial risks[24] - Approximately 95.73% of trade receivables are due from the Group's largest customer, highlighting a significant concentration of credit risk[45] - The Group's credit risk is highly concentrated, with the largest customer and three major customers accounting for approximately 95.73% and 100% of trade receivables, respectively[51] - The completion of vertical integration is expected to significantly reduce credit risk for the Group[24] Corporate Governance - The company has complied with the Corporate Governance Code except for the separation of roles between the Chairman and Chief Executive Officer, which are currently held by Mr. HN Chen[76] - The Board is committed to maintaining high standards of corporate governance and integrity, with ongoing reviews to ensure compliance with the Corporate Governance Code[76] - The company has taken sufficient measures to ensure that its corporate governance practices are no less exacting than those in the Corporate Governance Code[76] - The Board consists of five Directors, including two Executive Directors and three Independent Non-Executive Directors, ensuring a balanced governance structure[86] - The Company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee, all in compliance with the GEM Listing Rules[116] Shareholder Communication - The company has established various communication channels with shareholders, including printed and electronic corporate communications, to ensure transparency and engagement[177] - The company recognizes the importance of ongoing communication with shareholders to keep them informed about business activities and directions[165] - The chairman and board members are available to answer shareholder questions during annual general meetings[177] - The company’s website serves as a key communication channel for shareholders and stakeholders, providing updated information[177] - Shareholders holding at least 5% of voting rights can requisition an extraordinary general meeting[161] Risk Management - The internal control and risk management systems are designed to manage risks effectively, providing reasonable assurance against material misstatement or loss[178] - The Company is committed to maintaining effective internal control and risk management systems to protect shareholder interests and assets[180] - The Board regularly reviews the risk register to monitor risk occurrences and mitigation measures[184] - The Audit Committee ensures that internal audit findings are addressed effectively and in a timely manner[182] - The Company acknowledges its responsibility for preparing consolidated financial statements that fairly reflect its financial position as of March 31, 2023[192] Employee Management - The remuneration policy for employees is based on merits, qualifications, competences, and market conditions, with no new share option scheme adopted since the previous scheme expired in December 2021[55] - The total staff costs for the year ended March 31, 2023, reflect an increase of approximately 7% compared to the previous year[55] - As of March 31, 2023, the Group had 19 full-time employees and 6 part-time employees, with total staff costs of approximately HK$4,047,000, an increase from HK$3,783,000 in 2022[55] - The Company emphasizes employee training and development to equip staff for future challenges[195] - The Company develops clear competence criteria for employees to enhance ethical behavior and performance[198] Board Meetings and Committees - During the year ended March 31, 2023, the company held one annual general meeting and five Board meetings, with full attendance from Executive Directors[88] - The Audit Committee held four meetings during the year to review the annual, interim, and quarterly financial statements[121] - The Remuneration Committee held one meeting during the year to review the remuneration packages for Directors and senior management[129] - The Nomination Committee also held one meeting during the year, comprising two Independent Non-Executive Directors and one Executive Director[137] - Regular Board meetings are held at least four times a year to review financial and operational performance and approve overall strategies[86] Dividend Policy - The Board does not recommend the payment of a final dividend for the year ended March 31, 2023, consistent with the previous year[56] - The Company has a dividend policy established on December 7, 2018, which will be reviewed periodically by the Board[155] - The payment and amount of dividends will depend on multiple factors, including the Company's financial performance and strategic needs[158]
华夏能源控股(08009) - 2023 - 年度财报