Financial Performance - The company's revenue for the year ended December 31, 2021, decreased by approximately 20.6% to about HKD 249.6 million, down from HKD 314.2 million in 2020[11]. - The group's revenue for the year ended December 31, 2021, was approximately HKD 249.6 million, a decrease of about 20.6% from HKD 314.2 million in 2020[20]. - Gross profit for the year ended December 31, 2021, was approximately HKD 44.8 million, down about 23.6% from HKD 58.7 million in 2020, with a gross margin of approximately 18.0%[22]. - Net profit for the year ended December 31, 2021, was approximately HKD 26.3 million, a decrease of about 30.4% from HKD 37.7 million in 2020, with a net profit margin of approximately 10.5%[29]. - Service costs decreased from approximately HKD 255.6 million in 2020 to about HKD 204.8 million in 2021, representing a reduction of approximately HKD 50.8 million or 19.9%[21]. - Administrative expenses increased from approximately HKD 6.5 million in 2020 to about HKD 9.8 million in 2021, an increase of approximately HKD 3.3 million or 50.9%[24]. Project and Market Outlook - The company faced project delays due to a fatal accident at the Happy Valley site, which was expected to generate approximately HKD 29.1 million in revenue[11]. - New contracts awarded during the year amounted to approximately HKD 122.5 million, partially offsetting the negative impacts from project delays[11]. - As of December 31, 2021, the company had 15 projects on hand with a total original contract value of approximately HKD 636.2 million, compared to HKD 610.4 million in 2020[15]. - The company anticipates an increase in demand for RMAA projects due to the growing number of buildings over 30 years old in Hong Kong[16]. - The year 2022 is expected to be challenging due to the impact of the COVID-19 pandemic, including labor shortages and supply chain disruptions[17]. - The company is committed to maintaining high-quality RMAA projects as a key to its success[16]. - The company aims to improve its competitiveness in the RMAA industry through wise use of existing resources[16]. Capital and Liquidity - As of December 31, 2021, the group maintained a strong liquidity position with net current assets of approximately HKD 160.3 million[30]. - The group had no outstanding bank borrowings as of December 31, 2021, compared to approximately HKD 11.3 million on December 31, 2020[31]. - The capital adequacy ratio was zero as of December 31, 2021, down from approximately 20.9% on December 31, 2020[32]. - Capital expenditures for the year ended December 31, 2021, amounted to approximately HKD 1.8 million, primarily for vehicle purchases and lease renewals[38]. Shareholder and Dividend Information - The company declared an interim dividend of HKD 288,000 per ordinary share, totaling HKD 28.8 million, compared to HKD 15 million in the previous year[55]. - The board recommended not to declare a final dividend for the year ended December 31, 2021[56]. - The company has adopted a dividend policy aimed at maintaining sufficient cash reserves to meet operational needs and future growth[182]. - The company has no predetermined dividend payout ratio, and the board may decide on dividends based on various factors including operational performance and financial condition[183]. Corporate Governance - The company has maintained compliance with the corporate governance code since its listing date on March 31, 2021[81]. - The board consists of six members, including two executive directors, one non-executive director, and three independent non-executive directors[84]. - The company has established a clear division of responsibilities between the chairman and the CEO to ensure a balance of power[87]. - The company has committed to providing ongoing professional development for directors to enhance their knowledge and skills[113]. - The independent non-executive directors have been confirmed as independent according to the listing rules[102]. - The company has a structured approach to board member appointments, with a rotation policy ensuring that one-third of directors retire and seek re-election at each annual general meeting[103]. - The company established an Audit Committee on March 15, 2021, which is composed of three independent non-executive directors and one non-executive director, ensuring compliance with listing rules[120]. - The Audit Committee's responsibilities include reviewing financial statements and overseeing the company's risk management and internal control systems[121]. Risk Management and Compliance - The company faces significant risks and uncertainties as detailed in the management discussion and analysis section of the annual report[190]. - There were no significant or systemic non-compliance issues with relevant laws and regulations as of December 31, 2021[176]. - The audit committee has reviewed and discussed the effectiveness of the internal control and risk management systems, concluding that they are adequate and effective[148]. - The board is responsible for maintaining sufficient internal controls and risk management systems to protect shareholder interests and group assets[147]. Social Responsibility - The group made charitable donations of HKD 145,000 in the year, compared to HKD 33,000 in 2020[173]. - The company emphasizes environmental sustainability and integrates this concept into its daily operations[179].
盈汇企业控股(02195) - 2021 - 年度财报