Financial Performance - Total revenue for the year 2023 was HKD 68,702,000, a decrease of 19.7% from HKD 85,585,000 in 2022[10] - The company reported a loss before tax of HKD (36,732,000) compared to a profit of HKD 3,929,000 in the previous year[10] - Total assets decreased to HKD 85,227,000 in 2023 from HKD 96,787,000 in 2022, reflecting a decline of 11.9%[10] - Current liabilities increased to HKD 54,206,000 in 2023 from HKD 39,506,000 in 2022, representing a rise of 37.2%[10] - Total equity dropped significantly to HKD 15,426,000 in 2023 from HKD 42,791,000 in 2022, a decrease of 64.0%[10] - The total liabilities increased to HKD 69,801,000 in 2023 from HKD 53,996,000 in 2022, marking a rise of 29.2%[10] - The group recorded a net loss of approximately HKD 6.8 million for the year ended March 31, 2023, compared to a net profit of approximately HKD 19.5 million for the previous year, a decrease of HKD 26.3 million[34] - The cost of raw materials and consumables was approximately HKD 28.8 million for the year ended March 31, 2023, accounting for about 41.9% of total revenue, compared to HKD 31.7 million and 37.0% for the previous year[33] - Employee costs increased by approximately 18.1% to HKD 38.5 million for the year ended March 31, 2023, up from HKD 32.6 million for the previous year[35] - Rental expenses decreased by approximately 44.2% to HKD 2.4 million for the year ended March 31, 2023, down from HKD 4.3 million for the previous year[37] Business Operations - The company has identified new strategies for market expansion and product development, although specific details were not disclosed in the report[10] - The management is focused on addressing the financial challenges and exploring potential avenues for recovery in the upcoming fiscal year[10] - The company operates all its restaurants in leased properties, facing high demand from competitors for attractive locations, which may impact future restaurant openings and relocations[54] - The reliance on a central kitchen for semi-processed or processed ingredients poses a risk, as any operational disruption could adversely affect business operations[54] - Labor shortages or rising labor costs are expected to increase operational costs and weaken profitability[54] - The company must obtain various approvals and licenses for its food and beverage operations, and losing or failing to renew these could have significant negative impacts[54] - Risks associated with the spread of COVID-19 and other infectious diseases may adversely affect the food and beverage industry[54] Market and Revenue Breakdown - In Q1 2023, total restaurant revenue in Hong Kong was estimated at HKD 27.6 billion, an increase of approximately 81.7% year-on-year[17] - The total procurement value for restaurants in the same period rose by about 73.8% to approximately HKD 9 billion[17] - The revenue for the brand "麻酸樂╱嫲孫樂" was approximately HKD 21.9 million, accounting for 31.9% of total revenue, a decrease of 6.4% compared to the previous year[22] - The brand "泰巷" recorded revenue of approximately HKD 15.0 million, representing 21.9% of total revenue, a decrease of 30.9% year-on-year[24] - The brand "峇峇娘惹" generated revenue of approximately HKD 23.5 million, making up 34.1% of total revenue, a decrease of 21.5% compared to the previous year[24] - The "銷售食材" segment recorded revenue of approximately HKD 5.5 million, accounting for 8.0% of total revenue, a decrease of 48.6% year-on-year[24] Corporate Governance - The board of directors consists of four executive directors and three independent non-executive directors, ensuring compliance with GEM listing rules regarding board composition[68] - The company has adopted a board diversity policy to enhance performance, considering factors such as gender, age, cultural background, and professional experience[71] - All independent non-executive directors have confirmed their independence according to GEM listing rules, contributing diverse business experience and expertise[72] - The company maintains a rigorous code of conduct for securities trading by directors, ensuring compliance with regulatory standards[80] - The board has established three committees: Audit and Risk Management Committee, Remuneration Committee, and Nomination Committee to oversee specific aspects of governance[68] - The company has implemented appropriate liability insurance for directors, with annual reviews of the coverage[67] - The chairman and CEO roles are separated to ensure effective oversight and management of the company[73] - The company emphasizes the importance of independent non-executive directors in providing strategic advice and ensuring high standards of financial reporting[79] - The board has maintained a balanced composition and sufficient independent elements to support effective governance[78] - The company has a policy for the rotation of directors, with one-third of the board standing for re-election at each annual general meeting[79] Shareholder Relations - The company has adopted a shareholder communication policy to ensure timely and equal access to information for shareholders and potential investors[113] - The company encourages feedback from investors and shareholders to improve investor relations and communication[114] - The independent auditor, Pan Chen & Co., received a total fee of HKD 700,000 for audit and non-audit services for the year ended March 31, 2023[121] Compliance and Risk Management - The company confirmed compliance with relevant laws and regulations, with no significant violations reported during the year[180] - The company has maintained compliance with the GEM listing rules regarding sufficient public float throughout the year and up to the date of the report[184] - The company has not been involved in any significant litigation or arbitration during the year, nor is it aware of any pending or threatened significant lawsuits or claims[195] - The company has adopted environmental measures, including reducing paper usage and recycling cooking oil, and has complied with all relevant environmental protection laws and regulations[190] Employee and Management Structure - The company has a total of 98 full-time employees and 51 part-time employees as of March 31, 2023, compared to 95 full-time and 60 part-time employees the previous year[189] - The group reported that the total number of senior management with a salary below HKD 1,000,000 was 2, with no individuals earning between HKD 1,000,000 and HKD 1,500,000[170] Strategic Acquisitions - The company completed the sale of its entire stake in Lucky State Investment Holdings Limited for HKD 3.375 million on November 18, 2022[25] - The acquisition of Jun Hsuan Engineering Limited was completed for a total consideration of HKD 34 million, including HKD 9 million in cash and HKD 25 million in shares[26] - The acquisition of Jun Hsuan Engineering Co., Ltd. was completed on March 6, 2023, with revenue of approximately HKD 2.8 million for the year ending March 31, 2023, representing about 4.1% of total revenue[182]
倩碧控股(08367) - 2023 - 年度财报