Financial Performance - For the fiscal year ending June 30, 2022, the company reported a gross profit of approximately SGD 3.8 million, recovering from a gross loss of approximately SGD 5.2 million in the previous year[8]. - The company's revenue for the year ended June 30, 2022, was approximately SGD 77.8 million, a decrease of about SGD 12.7 million or 14.0% compared to SGD 90.5 million for the previous year[19]. - The cost of sales for the same period was approximately SGD 74.0 million, down about SGD 21.7 million or 22.7% from SGD 95.7 million the previous year[20]. - Other income and gains decreased from approximately SGD 6.2 million to SGD 2.6 million, primarily due to reduced government subsidies[23]. - The company reported a loss of approximately SGD 0.4 million for the year ended June 30, 2022, compared to a loss of about SGD 6.2 million in the previous year[26]. - As of June 30, 2022, the company's cash and cash equivalents were approximately SGD 13.9 million, down from SGD 32.5 million the previous year[27]. - The company's total current assets were approximately SGD 50.4 million, while total current liabilities were about SGD 33.5 million, resulting in a current ratio of approximately 1.5[29]. - The debt-to-equity ratio as of June 30, 2022, was approximately 14.0%, down from 20.1% the previous year[30]. - The total employee cost for the year ended June 30, 2022, was approximately SGD 12.2 million, an increase from SGD 11.4 million in the previous year[43]. - The company has not established an internal audit function as per the corporate governance code by June 30, 2022, but will continue to review the need for such a function annually[158]. Market Outlook - The average annual demand for the construction industry in Singapore is projected to be between SGD 27 billion and SGD 32 billion from 2023 to 2026, with about 60% expected to come from the public sector[10]. - The construction demand in the public sector is projected to reach SGD 25 billion to SGD 32 billion annually from 2023 to 2026, driven by government initiatives[37]. - The International Monetary Fund has maintained its global economic growth forecast for 2022 at 3.2%, but has downgraded the forecast for 2023 due to various economic uncertainties[9]. - The Singapore economy grew by 4.4% year-on-year in the second quarter of 2022, but growth is expected to slow in the third quarter[9]. Business Strategy and Operations - The company aims to improve efficiency through innovation and technology to maintain competitiveness amid rising labor and material costs due to ongoing inflation[11]. - The company is prepared to seize opportunities arising from market recovery, despite facing challenges from labor shortages and inflation[11]. - The company plans to expand its business and strengthen its market position in the Singapore construction industry[18]. - The company has a strategic vision for growth, aiming to enhance its market position through effective management and operational strategies[63]. - The company is adopting a prudent approach to business expansion and growth plans due to uncertainties in the Singapore economy caused by the COVID-19 outbreak[51]. Corporate Governance - The company emphasizes high standards of corporate governance to maintain shareholder trust and create long-term value[82]. - The company is committed to maintaining high standards of corporate governance and transparency, as evidenced by the roles of its independent directors[65]. - The company has established three board committees: the Remuneration Committee, the Nomination Committee, and the Audit Committee, each with clear written terms of reference[117]. - The board is responsible for overseeing the company's overall strategy and financial performance, including risk management systems[102]. - The company has adopted an anti-bribery and anti-corruption policy in May 2022, which includes guidelines on gifts, hospitality, and remuneration[86]. - The company has established a whistleblowing policy, with confirmed cases reported to the board and audit committee[86]. - The company has implemented strategies to enhance shareholder value and corporate accountability[83]. Leadership and Management - Mr. Lin has over 30 years of experience in accounting, auditing, and finance, having held various positions in companies such as ECM Libra Securities and OSK Investment Bank[62]. - Mr. Pang has over 47 years of experience in audit, finance, corporate governance, and business development, serving as the chairman of the audit committee and a member of the remuneration committee[65]. - Dr. Wu has over 26 years of experience in civil engineering, materials science, and environmental engineering, and has been responsible for daily operations and product development in advanced construction materials[69]. - The company has a strong management team with over 35 years of experience in the construction industry, ensuring effective project management and operational planning[73]. - The project manager has over 17 years of experience in the construction sector, contributing to the company's project execution and completion strategies[75]. Risk Management - The company maintains an effective internal control and risk management system to safeguard shareholder investments and group assets[155]. - The risk management process includes identifying risks, assessing their impact and likelihood, and planning effective mitigation activities[156]. - The board reviews the effectiveness of the risk management and internal control systems at least annually[155]. - Independent consultants have reviewed the company's internal control systems, including financial, operational, and compliance monitoring measures[156]. - The audit committee reviewed the internal control review report and found the risk management and internal control systems effective and adequate as of June 30, 2022[158]. Shareholder Information - The group did not recommend any final dividend for the year ended June 30, 2022[179]. - The annual general meeting is scheduled for December 14, 2022, with a suspension of share transfer registration from December 9 to December 14, 2022[180]. - The revenue from the largest customer accounted for approximately 32.2% of the total revenue for the year ended June 30, 2022, down from 61.6% in 2021[197]. - The revenue from the top five customers represented about 97.4% of the total revenue for the year ended June 30, 2022, compared to 99.7% in 2021[197].
光荣控股(09998) - 2022 - 年度财报