Financial Performance - The group recorded a revenue of approximately HKD 557.2 million for the reporting period, a decrease of about 0.5% compared to HKD 559.8 million in the previous year[22]. - Revenue for 2023 was HKD 557,221 thousand, a slight decrease of 0.3% from HKD 559,785 thousand in 2022[88]. - Gross profit reached approximately HKD 175.9 million, reflecting a 14.1% increase from HKD 154.2 million in 2022[32]. - Net profit for the period was approximately HKD 56.7 million, a significant increase of 35.3% from HKD 41.9 million in 2022[30]. - Profit before tax rose to HKD 72,727 thousand, representing a 31.9% increase compared to HKD 55,157 thousand in 2022[88]. - Total comprehensive income for the year reached HKD 50,597 thousand, up 98.9% from HKD 25,456 thousand in the previous year[88]. - Basic earnings per share increased to HKD 24.3 cents, up from HKD 18.0 cents in 2022[88]. Revenue Segmentation - The automotive beauty and maintenance products segment generated revenue of approximately HKD 445.5 million, down about 2.7% from HKD 457.8 million in the previous year, primarily due to reduced economic activity in the Chinese market[23]. - The personal care products segment saw an increase in revenue to approximately HKD 111.7 million, up about 9.5% from HKD 102.0 million in the previous year, driven by increased demand from online stores operated by influencers[24]. - Revenue from external customers in Mainland China was HKD 452,836,000, up from HKD 441,962,000 in the previous year, representing a growth of approximately 2%[129]. - Product sales in the automotive beauty and maintenance segment amounted to HKD 445,501,000, while personal care products generated HKD 111,720,000, totaling HKD 557,221,000[135]. Cost and Expenses - The group's cost of sales was approximately HKD 381.3 million, accounting for about 68.4% of revenue, a decrease from 72.5% in the previous year, mainly due to lower raw material prices and changes in sales methods[25]. - The cost of goods sold for the year was HKD 381,317,000, down from HKD 405,596,000 in 2022, reflecting a decrease of 6.0%[143]. - Administrative expenses amounted to approximately HKD 51.7 million, a 15.3% increase from HKD 44.8 million in 2022[30]. - Research and development expenses increased to HKD 21,214,000 in 2023, compared to HKD 19,262,000 in 2022, representing a growth of 10.1%[143]. Assets and Liabilities - The total cost of properties, plants, and equipment increased to HKD 392,372,000 in 2023 from HKD 377,300,000 in 2022, reflecting an increase of 4.0%[5]. - The net book value of properties, plants, and equipment as of December 31, 2023, was HKD 225,239,000, compared to HKD 228,647,000 in 2022, indicating a slight decrease of 1.1%[3]. - The company reported a total of HKD 35,544,000 in borrowings as of December 31, 2023, down from HKD 50,938,000 in 2022, a decrease of 30.0%[8]. - The company’s total liabilities decreased to HKD 35,544,000 in 2023 from HKD 50,938,000 in 2022, a decrease of 30.0%[8]. - Total assets as of December 31, 2023, amounted to HKD 484,764,000, compared to HKD 475,208,000 in 2022, indicating an increase of approximately 2.3%[123][130]. Cash Flow and Financing - Cash and cash equivalents were approximately HKD 119.7 million, an increase from HKD 93.2 million in 2022[31]. - The company has a total of HKD 351.4 million in undrawn bank financing, significantly up from HKD 189.9 million in the previous year[14]. - The company has secured bank loans amounting to HKD 35.2 million guaranteed by the chairman and CEO, a decrease from HKD 44.6 million in the previous year[12]. - The debt-to-equity ratio decreased to approximately 8.0% from 23.4% in 2022 due to a reduction in total borrowings[42]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.0364 per share for the year ending December 31, 2023, compared to HKD 0.0269 per share for the previous year[60]. - The proposed final dividend for 2023 is HKD 3.64 per share, an increase from HKD 2.69 per share in 2022, totaling HKD 8,515,000 compared to HKD 6,292,000 in 2022[150]. Risk Management and Compliance - The audit committee was established on May 27, 2019, to review financial statements and oversee risk management and internal control systems[56]. - The remuneration committee, also established on May 27, 2019, is responsible for recommending compensation policies for all directors and senior management[58]. - The company has adopted a standard code for securities trading by directors, confirming compliance during the reporting period[60]. - The company did not report any sales revenue from a single customer that accounted for 10% or more of total revenue during the year[131]. Future Outlook and Strategy - The group plans to enhance its OBM business through increased brand awareness activities and participation in various exhibitions to promote its corporate image and brand[17]. - The group aims to strengthen its self-owned brand promotion and expand into new markets to solidify its business development amidst global economic uncertainties[19]. - The company plans to continue expanding its market presence and investing in new product development[93].
保宝龙科技(01861) - 2023 - 年度业绩