Financial Performance - The company recorded revenue of approximately HKD 323.7 million for the year ended March 31, 2023, a decrease of about 0.4% compared to HKD 324.9 million for the previous year[13]. - Revenue from the construction business segment was approximately HKD 319.8 million, an increase of about 0.1% from HKD 319.4 million in the prior year[13]. - The securities investment segment reported revenue of approximately HKD 200,000, a significant decrease of about 94% from HKD 3.7 million in the previous year[13]. - The property investment segment maintained revenue at approximately HKD 600,000, consistent with the previous year's figures[13]. - The lending business segment saw revenue increase to approximately HKD 3.1 million, up about 142% from HKD 1.3 million in the prior year[13]. - The company reported a net loss attributable to shareholders of approximately HKD 11 million, compared to a net profit of approximately HKD 15.3 million in the previous year[13]. - The overall gross profit decreased by approximately HKD 16,300,000 or about 33%, from HKD 49,800,000 to HKD 33,600,000[33]. - The gross profit margin fell to approximately 10.4%, a decline of 5 percentage points from 15.4% in the previous year[33]. Business Segments - The group recorded revenue of approximately HKD 323,704,000, a decrease of about 0.4% compared to HKD 324,904,000 for the year ended March 31, 2022[21]. - The construction segment generated revenue of approximately HKD 319,813,000, an increase of about 0.1% from HKD 319,368,000 for the previous year[21]. - The securities investment segment reported revenue of approximately HKD 228,000, a significant decrease of about 94% from HKD 3,660,000 for the previous year[21]. - The property investment segment recorded revenue of approximately HKD 599,000, down about 2% from HKD 612,000 for the previous year[21]. - The lending segment achieved revenue of approximately HKD 3,064,000, an increase of about 142% from HKD 1,264,000 for the previous year[21]. Market Outlook and Strategy - The company anticipates continued challenges in the competitive construction market in Hong Kong but aims to enhance its market position through strong relationships with clients and suppliers[14]. - The company is exploring growth opportunities in China, Hong Kong, and other regions to drive long-term financial returns for shareholders[15]. - The management emphasizes the importance of maintaining a good track record and providing quality services to enhance market competitiveness[14]. - The company is optimistic about potential opportunities arising from the Hong Kong government's promotion of Modular Integrated Construction (MiC) and recent developments in the Greater Bay Area[14]. Financial Position and Assets - As of March 31, 2023, the group's cash and cash equivalents amounted to approximately HKD 59,335,000, a decrease from HKD 67,345,000 in 2022[59]. - The total assets of the group as of March 31, 2023, were approximately HKD 322,410,000, compared to HKD 299,808,000 in 2022, reflecting an increase of about 7.5%[59]. - The group's current ratio as of March 31, 2023, was approximately 1.28, slightly down from 1.31 in 2022[59]. - The debt-to-asset ratio as of March 31, 2023, was approximately 2.0%, up from 1.5% in 2022, indicating a slight increase in leverage[59]. Governance and Compliance - The company has adopted corporate governance practices in line with GEM listing rules, ensuring compliance and transparency[90]. - The board of directors consists of five members, including two women, and emphasizes diversity in its composition[96]. - The company has implemented an anti-corruption and whistleblowing policy to maintain business integrity[95]. - The company has established formal and transparent procedures for the appointment and succession of directors, with independent non-executive directors serving terms not exceeding three years[100]. Risk Management - The company has established a risk management system to identify, assess, and manage risks related to its business operations[159]. - No significant risks were identified based on the risk assessments conducted during the reporting period[162]. - The internal control system is designed in accordance with the COSO 2013 framework to ensure operational effectiveness and compliance with applicable laws[163]. Employee and Management - The total employee benefit expenses during the reporting period amounted to approximately HKD 36,000,000, consistent with the previous year[87]. - The company had 96 employees primarily based in Hong Kong as of March 31, 2023[87]. - The company is focused on recruiting qualified and experienced staff to strengthen its construction division[73]. Future Plans and Investments - The company is investing in new technology development, allocating $10 million towards R&D initiatives[200]. - Market expansion plans include entering two new regions, which are anticipated to increase market share by 5%[200]. - The company is considering strategic acquisitions to enhance its product offerings and market presence[200].
智城发展控股(08268) - 2023 - 年度财报