Revenue and Financial Performance - The Group's total revenue for the year ended June 30, 2023, was approximately HK$336.5 million, representing an increase of approximately 39.9% compared to HK$240.5 million for the year ended June 30, 2022[30]. - Total revenue for the year ended June 30, 2023, was approximately HK$336.2 million, representing an increase from HK$240.1 million for the year ended June 30, 2022, which is a growth of approximately 40.0%[34]. - Profit attributable to owners of the Company before listing expenses was approximately HK$55.6 million, while after accounting for these expenses, the profit was approximately HK$43.8 million[24]. - The profit and total comprehensive income increased from approximately HK$28.8 million in 2022 to approximately HK$43.8 million in 2023, representing an increase of approximately 52.0%[43]. - Profit before taxation rose approximately 46.5% from HK$37.3 million in 2022 to HK$54.6 million in 2023[41]. - Gross profit increased from approximately HK$61.9 million in 2022 to approximately HK$79.5 million in 2023, reflecting an increase of approximately 28.4%[37]. - Other income surged from approximately HK$0.5 million in 2022 to approximately HK$1.59 million in 2023, marking an increase of approximately 210.8%[37]. - The Group's net profit margin increased from approximately 12.0% for the year ended June 30, 2022, to approximately 13.0% for the year ended June 30, 2023[101]. Customer Concentration and Risks - The Group's revenue for the year ended 30 June 2023 was significantly concentrated, with the largest customer accounting for approximately 32.9% of total revenue, while the five largest customers collectively accounted for about 82.1%[2]. - The Group identified key risks, including customer concentration, which poses a risk to its revenue stability[2]. - The Group's financial condition and operational results may be adversely affected if it fails to secure new contracts or if there is a significant decrease in available projects for bidding in the future[3]. Corporate Governance and Board Structure - The Board consists of five directors, including two executive directors and three independent non-executive directors, ensuring a balance of skills and experience[116]. - The independent non-executive directors represent more than half of the board, exceeding the requirement of at least one-third as per the Listing Rules[118]. - The company has adopted a Board Diversity Policy and will set measurable objectives to implement it[125]. - The Nomination Committee will regularly review the structure, size, and composition of the Board to ensure a balance of expertise and diversity[133]. - The company has a Nomination Policy that aims to ensure a balance of skills, experience, and diversity of perspectives on the Board[157]. - The presence of three independent non-executive directors ensures a balance of power and authority within the Board[153]. Dividend Policy - The Board did not recommend the payment of a final dividend for the year ended 30 June 2023, consistent with the previous year where no dividend was paid[2]. - The Company established a Dividend Policy on April 12, 2023, to balance sufficient capital for business development and rewarding shareholders[164]. - The Board will consider factors such as operating results, profitability, and working capital requirements when proposing dividends[164]. - The Group's liquidity position and future expansion plans will be considered in dividend decisions[164]. Operational Highlights and Future Outlook - The Group's business is primarily derived from recurrent projects, which may lead to variability in revenue and difficulty in forecasting future business volumes[3]. - The company is optimistic about securing new opportunities in the passive fire protection industry due to its long experience and strong relationships with suppliers and customers[18]. - The passive fire protection works industry in Hong Kong is expected to grow at a compound annual growth rate of approximately 6.1%, reaching a market size of approximately HK$1,247.4 million by 2026[18]. - The demand for installation and renovation of passive fire protection systems is driven by sustainable development in the construction industry and strict fire safety requirements[58]. - The Group's experience in the industry and familiarity with various passive fire protection materials position it favorably for future opportunities[58]. Financial Position and Cash Flow - As of June 30, 2023, the company's distributable reserves available for distribution to shareholders are approximately HK$83.4 million, compared to nil in 2022[6]. - The current ratio improved from 4.6 times in 2022 to 10.7 times in 2023[40]. - The Group's bank balances and cash amounted to approximately HK$128.5 million and approximately HK$1.03 million as of June 30, 2023, compared to approximately HK$35.1 million and zero as of June 30, 2022[78]. - The net proceeds from the Listing amounted to approximately HK$89.1 million, which will be applied in accordance with the disclosure in the Prospectus[80]. Challenges and Market Conditions - The Group faces challenges such as labor shortages and rising operational costs in Hong Kong, impacting future project acquisition and tender success rates[24]. - The group had 61 contracts on hand as of June 30, 2023, with a total original contract value of approximately HK$375.2 million, down from HK$411.8 million in 2022[17]. - The number of construction and development projects available for bidding in the Hong Kong passive fire protection market is expected to increase[58]. Management and Workforce - The Group's management team has shown dedication and commitment to achieving growth in a demanding year[13]. - The total staff cost incurred by the Group for the year ended June 30, 2023, was approximately HK$20.1 million, compared to approximately HK$17.3 million for the year ended June 30, 2022[85]. - As of June 30, 2023, 16.7% of the Directors and approximately 31.1% of the total workforce were females, reflecting the company's commitment to gender diversity[126].
怡俊集团控股(02442) - 2023 - 年度财报