Financial Performance - Total revenue increased from approximately HK$114.2 million in 2020 to approximately HK$178.6 million in 2021, representing a growth of about 56.4%[23]. - The increase in revenue was primarily driven by contributions from the early childhood education business, which added approximately HK$29.1 million, and the dance academy business, which contributed approximately HK$35.3 million[23]. - The group recorded a profit attributable to shareholders of approximately HK$49.4 million for the year ended December 31, 2021, compared to a loss of approximately HK$182.9 million for the previous year[24]. - The group’s other income for the year ended December 31, 2021, was approximately HK$51.7 million, remaining stable compared to HK$51.8 million in 2020[24]. - The group terminated its operations in Australia, resulting in revenue of approximately HKD 6,200,000 in 2021, down from HKD 42,100,000 in 2020[26]. - The profit attributable to the terminated operations was approximately HKD 24,600,000 in 2021, compared to a loss of HKD 128,900,000 in 2020[26]. Business Expansion and Strategy - The group opened 23 wholly-owned dance centers in Hong Kong in 2021 to enhance its competitive advantage and expand its geographic coverage[12]. - The group aims to maximize long-term returns for shareholders by establishing its own early childhood education brand and curriculum in Singapore[13]. - The company continues to seek investment opportunities in the education sector to enhance revenue sources and create potential synergies with existing early childhood education businesses[13]. - The group plans to open and/or acquire more dance centers in densely populated residential areas in Hong Kong to strengthen its market leadership[15]. - The group aims to accelerate its expansion into overseas markets to diversify and broaden its revenue sources[22]. - The group plans to continue seeking suitable opportunities for business expansion in Hong Kong, mainland China, and overseas markets[38]. Corporate Governance - The company is committed to high standards of corporate governance, adhering to the GEM Listing Rules[53]. - The roles of Chairman and CEO are clearly separated, held by Mr. Zhao and Dr. Qin respectively, ensuring a balance of power[62]. - The board has adopted a diversity policy, considering measurable criteria such as gender, age, ethnicity, and professional experience for board member selection[63][64]. - The board's diversity policy has been reviewed and deemed effective, achieving its set goals during the year[67]. - The Audit Committee held five meetings during the year to review financial results and ensure compliance with applicable accounting standards[80]. - The company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee, to oversee specific matters[76]. Employee and Operational Insights - As of December 31, 2021, the total number of employees was 462, a decrease from 517 in 2020, with 95% being female[137]. - The employee composition included 12% senior, 73% middle, and 15% junior staff, with 31% based in Hong Kong and 69% in Singapore[137]. - The average number of employees in the Singapore subsidiary increased, contributing to higher operational costs[43]. - Employee turnover rate for males was 2%, while for females it was significantly higher at 38%[141]. - 69% of employees received training during the year, totaling 1,595 hours of training[144]. - No workplace injuries or fatalities were recorded during the reporting period, maintaining a zero injury rate for three consecutive years[143]. Environmental, Social, and Governance (ESG) Initiatives - The environmental, social, and governance (ESG) report highlights the company's commitment to sustainable practices and its focus on improving performance in these areas[105]. - The company aims to achieve a 15% reduction in emissions (Scope 1, 2, and 3) by 2031, using 2021 as the baseline year[123]. - The company has set goals to integrate economic, social, and environmental well-being into its business decisions to achieve sustainable development[111]. - The company has established a sustainability committee to oversee environmental, social, and governance (ESG) policies and strategies[109]. - The company actively engages with stakeholders, including regulatory bodies, employees, investors, suppliers, and the community, to understand their needs and aspirations[116]. Shareholder Engagement and Communication - The company emphasizes the importance of shareholder rights to convene special meetings, requiring at least 10% of the paid-up capital to make such requests[98]. - The board of directors is responsible for determining dividend policies, which will depend on various factors including operating performance and cash flow[101]. - The company has established multiple communication channels with shareholders and investors, including annual meetings and a dedicated website[102]. - Shareholder meeting notices were sent at least 20 business days prior to the annual general meeting, ensuring compliance with regulations[75]. Financial Management and Share Options - The company has granted a total of 57,897,000 and 54,797,000 share options under the share option scheme as of December 31, 2021, and the report date respectively[193]. - The maximum number of shares that can be issued upon the exercise of options under the share option plan is capped at 10% of the total issued shares, which is 2,000,000 shares[196]. - The company is focused on enhancing performance efficiency and retaining contributors beneficial to its long-term development through its share option plan[195]. - The company is committed to recognizing and rewarding contributions from eligible participants through its share option scheme[194].
SDM教育(08363) - 2021 - 年度财报