Financial Performance - Solomon Worldwide Holdings Limited reported a rebound in metal casting business revenue, reaching pre-pandemic levels due to increased overseas market demand[14]. - The financial printing business experienced a decline in revenue compared to the previous year, impacted by strict cross-border control measures in Hong Kong and China[14]. - The group's total revenue for the year ended December 31, 2021, decreased by approximately 2.46% to about HKD 83.49 million, compared to an increase of 68% in 2020[24]. - The metal casting business revenue increased by approximately 24.9% due to the easing of lockdown measures in overseas markets and China, indicating a recovery in core markets in Europe and the United States[20]. - The financial printing services revenue decreased by approximately 25.0% due to ongoing restrictions affecting IPO-related orders[21]. - The gross profit for the year was approximately HKD 20.20 million, a slight decrease from HKD 21.93 million in 2020, maintaining a gross profit margin of about 24%[25]. - The loss attributable to the company's owners for the year was approximately HKD 14.00 million, a decrease of about 38.24% compared to HKD 22.67 million in 2020[29]. - The group's cash and cash equivalents as of December 31, 2021, were approximately HKD 1.31 million, down from HKD 14.32 million in 2020[30]. - The debt-to-equity ratio as of December 31, 2021, was 36.53%, indicating a shift from 0% in the previous year[31]. - The company reported a total revenue of HKD 83.49 million for the year, a slight decrease from HKD 85.60 million in the previous year[5]. Business Outlook - The company remains optimistic about the future of its financial printing business, anticipating a relaxation of cross-border control measures soon[15]. - The Hong Kong Stock Exchange has introduced new measures to optimize and simplify the listing system for overseas issuers, which may boost IPO activities and demand for financial printing services[14]. - The management highlighted the potential for increased demand in the financial printing sector due to the introduction of SPAC listing regulations[14]. - The group will continue to seek potential investment opportunities to diversify its business and create new revenue sources[18]. Corporate Governance - The company is committed to ensuring the accuracy and completeness of the information provided in its annual report[9]. - The board of directors confirmed that the information in the report is true and complete after reasonable inquiries[9]. - The company has adopted corporate governance practices as detailed in the corporate governance report[192]. - The board consists of three executive directors and three independent non-executive directors, with a total of ten board meetings held during the year[56][61]. - The independent non-executive directors represent more than one-third of the board, ensuring compliance with GEM listing rules[65]. - The chairman and CEO roles are clearly separated, with the chairman leading the board and the CEO overseeing overall management and daily operations[66]. - The company has established three board committees: audit committee, remuneration committee, and nomination committee, to oversee specific aspects of the company's affairs[67]. - The audit committee held four meetings during the year, with all members attending every meeting[70]. - The Compensation Committee held four meetings during the year to review the remuneration policies and structures for all directors[71]. - The independent non-executive directors have confirmed their independence annually, in line with GEM listing rules[65]. Risk Management - The company faces various market risks, including currency risk, interest rate risk, credit risk, and liquidity risk, which may impact its business operations and profitability[38]. - The company has implemented a three-tier risk management approach to identify, assess, and manage significant risks[82]. - The board is responsible for overseeing the effectiveness of the risk management and internal control systems, with annual reviews conducted[82]. - The company has established appropriate procedures and internal controls for handling and disclosing inside information, ensuring compliance with relevant regulations[84]. - The board has reviewed and discussed the risk management and internal control systems, finding them sufficient and effective without any significant weaknesses or deficiencies[83]. Sustainability and Environmental Impact - The company is committed to integrating sustainable development principles into its strategic planning and daily operations to maintain competitive advantages in its industries[99]. - The company aims to reduce energy consumption, greenhouse gas emissions, and water resources by 5% by 2030 based on 2021 levels[111]. - In 2021, total greenhouse gas emissions amounted to 2,942.03 tons of CO2 equivalent, with a density of 17.41 tons per employee[112]. - The company consumed 4,159.36 MWh of electricity in 2021, with a density of 9.21 MWh per ton of production[112]. - The company generated 1.44 tons of hazardous waste and 45.88 tons of non-hazardous waste in 2021, with densities of 0.01 tons and 0.27 tons per employee respectively[112]. - The company emphasizes the importance of stakeholder engagement to create sustainable growth and long-term value[107]. - The board is committed to integrating environmental, social, and governance principles into business operations and regularly reviews risk management and internal control systems[105]. Employee and Workforce Management - As of December 31, 2021, the company employed 169 staff members, down from 178 in 2020, with a gender distribution of 71.0% male and 29.0% female[123]. - The employee turnover rate for 2021 was 23.3% for males and 18.4% for females, with the highest turnover rate of 31.8% occurring in the 18 to 30 age group[123]. - The average training hours per employee were 19.96 hours for males and 20.17 hours for females, with 80.8% of male employees and 44.9% of female employees receiving training[130]. - The company has implemented strict policies against child labor and forced labor, ensuring compliance with local employment laws[132]. - The company has not reported any significant violations of occupational safety and health regulations during the reporting period, with no work-related fatalities[127]. - The company has provided training programs covering technical skills, internal systems, safety, and employee onboarding[128]. Financial Transactions and Shareholder Information - The company completed a rights issue on January 17, 2022, raising approximately HKD 9.3 million, with 52,000,000 shares issued at a subscription price of HKD 0.2 per share[33]. - The expected allocation of the net proceeds from the rights issue includes approximately 21.5% (HKD 2.0 million) for employee costs, 37.6% (HKD 3.5 million) for rental expenses, 26.9% (HKD 2.5 million) for repayment of payables, and 14.0% (HKD 1.3 million) for other operational expenses[33]. - The company has a share option plan that allows for the issuance of options up to 10% of the total issued shares as of the listing date[165]. - The company has not issued any share options under the share option plan as of the report date[168]. - The company reported no dividend payment for the fiscal year ending December 31, 2021[156]. - The group reported a loss attributable to equity shareholders of approximately HKD 14,002,000 as of December 31, 2021[200]. - Current liabilities exceeded current assets by approximately HKD 908,000, indicating significant uncertainty regarding the group's ability to continue as a going concern[200]. Compliance and Ethical Standards - The company emphasizes the importance of compliance with regulatory requirements to ensure ongoing business operations[34]. - The group maintains a zero-tolerance policy towards bribery and corruption, with no reported violations of related laws as of December 31, 2021[139]. - The group has implemented regular anti-corruption training for employees to ensure compliance with legal obligations[138]. - The group has a comprehensive code of conduct outlined in its Human Resources Manual to guide employees on anti-bribery and anti-corruption practices[138]. - The group has received certifications from the German TÜV Rheinland for compliance with European pressure equipment directives, ensuring high product quality[134]. - The group has not encountered any major violations of data privacy laws during the reporting period, demonstrating commitment to data protection[137].
吉盛集团控股(08133) - 2021 Q4 - 年度财报