Financial Performance - Total revenue for the fiscal year ended March 31, 2023, was approximately HKD 42.3 million, a year-on-year increase of about 1.0% from HKD 41.9 million in 2022[9] - The group incurred a loss of approximately HKD 9.7 million for the year, a reduction from a loss of HKD 15.8 million in 2022, primarily due to decreased impairment losses on property and equipment[9] - The group's revenue increased by approximately 1.0% from about HKD 41.9 million for the year ended March 31, 2022, to about HKD 42.3 million for the year ended March 31, 2023[20] - Other income rose by approximately 4.6% from about HKD 1.7 million to about HKD 1.8 million, mainly due to increased government subsidies received under the "Anti-epidemic Fund" and "Employment Support Scheme"[22] - Employee costs increased by approximately 8.0% from about HKD 20.2 million to about HKD 21.9 million, with employee costs accounting for about 51.7% of revenue for the year ended March 31, 2023, compared to about 48.3% for the previous year[24] - Rental and related expenses decreased by approximately 26.1% from about HKD 2.5 million to about HKD 1.8 million, primarily due to lower rental costs from new lease agreements[26] - Depreciation and amortization expenses decreased by approximately 36.2% from about HKD 6.4 million to about HKD 4.1 million, mainly due to impairment losses recognized on certain properties and equipment[27] - Other expenses decreased by approximately 1.8% from about HKD 14.2 million to about HKD 14.0 million, benefiting from effective cost control measures implemented by the group[28] Business Operations - The group opened a new Japanese restaurant and a Sichuan restaurant in Tuen Mun in January 2023 to diversify its customer base[9] - The group operates a total of 6 ramen shops, 1 Hong Kong-style restaurant, 1 Sichuan restaurant, and 1 Japanese restaurant as of March 31, 2023[13] - The group generates revenue from franchising its brand in mainland China and Macau, as well as from licensing its trademarks for approved products[12] - The group continues to focus on providing high-quality "Hakata" Japanese ramen and excellent customer service, emphasizing quality control in ingredient sourcing and food processing[10] - The group aims to identify new opportunities to expand revenue sources while implementing cost control measures to reduce losses and maintain competitiveness[10] - The management plans to continue launching various promotional activities and collaborate closely with independent online delivery platforms to enhance customer spending[9] Risks and Challenges - Significant risks include maintaining effective quality control, labor shortages, rising employee costs, and reliance on a central kitchen for supply[14] - The management anticipates benefiting from the recovery of global travel and economic growth as travel restrictions are lifted[10] Management and Governance - The company has a diverse board with members possessing extensive experience in finance, media, and operations, enhancing strategic decision-making capabilities[70] - The management team has a strong educational background, with degrees from institutions such as Hong Kong Baptist University and Swinburne University of Technology[72][74] - The company is focused on expanding its market presence and enhancing operational efficiency through strategic leadership changes[71][73] - The board includes independent non-executive directors with significant industry experience, ensuring robust governance and oversight[63][67] - The company aims to leverage its management's expertise to drive growth and innovation in its core business areas[70] Shareholder Information - The company did not propose any final dividend for the fiscal year ending March 31, 2023, consistent with the previous year[42] - The company has a significant shareholder, Brilliant Trade, which holds 3,001,000 shares, representing 5.46% of the issued share capital[118] - The executive director, Mr. Tang Zhenhao, has a controlled corporation interest in Brilliant Trade, which also holds 5.46% of the company's shares[116] - The company has established a remuneration committee to review the remuneration policy based on operational performance and market practices[112] ESG and Sustainability - The ESG report covers the period from April 1, 2022, to March 31, 2023, and outlines the company's sustainability performance[189] - The company has established a sustainable development committee to oversee ESG initiatives and ensure integration into daily operations[196] - The report identifies key ESG risks based on business nature, geographical location, regulatory requirements, and stakeholder expectations[193] - The company is committed to providing high-quality and safe food products while complying with legal regulations[188] - The ESG report emphasizes the importance of stakeholder engagement in developing sustainable development plans and collecting feedback[198] - The company aims to enhance its ESG performance and resource efficiency through continuous improvement and stakeholder communication[198] Financial Position - As of March 31, 2023, the company's cash and bank balances amounted to approximately HKD 6.6 million, a decrease of about HKD 5.0 million from HKD 11.6 million in 2022[35] - The company's current ratio as of March 31, 2023, was approximately 0.7 times, down from 1.4 times in 2022, indicating a decline in liquidity[36] - The company's debt-to-equity ratio was approximately 3.9% as of March 31, 2023, compared to 13.6% in 2022, reflecting a decrease in leverage[36] - The company's distributable reserves as of March 31, 2023, amounted to approximately HKD 8.0 million, an increase from HKD 7.2 million in 2022[99] Corporate Governance - The company has established three board committees: the Remuneration Committee, the Nomination Committee, and the Audit Committee, each with clear written terms of reference[162] - The Audit Committee confirmed that the consolidated financial statements for the year ending March 31, 2023, meet applicable accounting standards and GEM listing rules[167] - The company emphasizes the importance of continuous professional development for directors, providing training on corporate governance updates[161] - The board is responsible for overseeing the company's overall strategy and business performance, including financial performance and risk management[135] Employee Relations - The company maintains good relationships with employees, customers, and suppliers, which are crucial for operational success[19] - Employee gender composition as of March 31, 2023, shows approximately 48% male and 52% female, reflecting a balanced gender diversity within the workforce[145]
赏之味(08096) - 2023 - 年度财报