Financial Performance - The group's revenue for the three months ended March 31, 2023, was approximately HKD 13.8 million, a decrease of about 45.6% compared to HKD 25.3 million for the same period in 2022[8]. - Gross profit for the same period was approximately HKD 4.7 million, down approximately 45.4% from HKD 8.6 million in the previous year[9]. - The gross profit margin slightly increased from approximately 34.1% in the previous period to about 34.2% in the current period[10]. - Loss attributable to equity holders for the current period was approximately HKD 3.9 million, compared to a loss of about HKD 1.6 million in the prior period[11]. - Basic and diluted loss per share for the current period was approximately HKD 0.99, compared to HKD 0.39 in the previous period[12]. - Operating loss for the current period was approximately HKD 4.7 million, compared to HKD 1.7 million in the prior period[15]. - The total comprehensive loss attributable to equity holders for the current period was approximately HKD 2.79 million, compared to HKD 1.08 million in the previous period[17]. - For the three months ended March 31, 2023, total revenue was HKD 13,765,000, a decrease of 45.5% compared to HKD 25,290,000 for the same period in 2022[29]. Sales Performance - Sales of beauty products, including cosmetics and other products, amounted to HKD 10,849,000, down 29.5% from HKD 15,462,000 in the previous year[29]. - Hand sanitizer sales dropped significantly to HKD 283,000 from HKD 5,358,000, representing a decline of 94.7%[29]. - Sales of cosmetic bags were HKD 2,633,000, a decrease of 41.2% compared to HKD 4,470,000 in the same period last year[29]. Income and Expenses - Other income for the current period was HKD 10, a significant decrease from HKD 100 in the previous period[15]. - The company reported a net foreign exchange gain of HKD 72,000, compared to a loss of HKD 45,000 in the same period last year[31]. - Depreciation of property, plant, and equipment was HKD 387,000, down 75.8% from HKD 1,596,000 in the previous year[33]. - Administrative expenses increased slightly by about HKD 0.2 million or approximately 3% to about HKD 7.5 million for the period[48]. - Sales and distribution expenses decreased by approximately HKD 0.7 million or about 25% to approximately HKD 2.1 million, primarily due to increased freight costs in the previous period[49]. Dividends and Shareholder Information - The board of directors did not recommend the payment of any interim dividend for the current period, consistent with the previous period[13]. - The company did not declare any interim dividend for the three months ended March 31, 2023, consistent with the previous year[37]. - Major shareholders, Classic Charm Investments Limited, hold 300,000,000 shares, representing 75% of the voting rights in the company[79]. - The total number of shares held by directors and major executives in the company and its associated corporations is 300,000,000, which constitutes 75% of the issued voting shares[75]. Corporate Governance and Compliance - The board believes the company has complied with all provisions of the corporate governance code as per GEM Listing Rules Appendix 15 during the three months ending March 31, 2023[85]. - The company has adopted a code of conduct for securities trading by directors and employees, ensuring compliance with GEM Listing Rules[86]. - There are no reported conflicts of interest involving directors, major shareholders, or controlling shareholders during the three months ending March 31, 2023[84]. Future Outlook - The management anticipates ongoing uncertainty and challenges in global business, focusing on innovative product creation and market expansion[41]. - E-commerce solutions targeting Generation Z and Millennials are becoming a major trend in the service industry, with sustainability expected to play a significant role in the beauty and cosmetics sector[41]. Other Information - As of March 31, 2023, the group had cash and cash equivalents of approximately HKD 169.3 million, down from approximately HKD 180.5 million as of December 31, 2022[47]. - The current ratio as of March 31, 2023, was approximately 9.9 times, an increase from approximately 6.9 times as of December 31, 2022[47]. - As of March 31, 2023, the group had no significant contingent liabilities or capital commitments[53]. - There were no major acquisitions or disposals of subsidiaries, associates, or joint ventures during the period[61]. - The stock option plan is valid for 10 years from the adoption date until September 28, 2027, and no options can be granted thereafter[71]. - The exercise price of the stock options will not be less than the highest of the closing price on the offer date or the average closing price over the five trading days preceding the offer date[74]. - As of March 31, 2023, the company has no outstanding, granted, canceled, exercised, or expired stock options[72]. - The stock option plan requires shareholder approval if the total value exceeds HKD 5 million and the total shares exceed 0.1% of the issued share capital[68]. - The company has no knowledge of any person (excluding directors or major executives) holding any interests or short positions in the company's shares or related shares as of March 31, 2023[81]. - No shares were repurchased, purchased, or sold by the company or its subsidiaries during the three months ended March 31, 2023[88]. - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited financial information for the first quarter ended March 31, 2023[89]. - There have been no significant events related to the company's business or financial performance after the reporting period[93]. - The company has proposed amendments to its Articles of Association, which will be approved at the annual general meeting on May 12, 2023[92].
德宝集团控股(08436) - 2023 Q1 - 季度财报