Financial Performance - The company's revenue for the fiscal year ending December 31, 2023, was HKD 11,219,416, representing a 62.6% increase from HKD 6,900,390 in 2022[3]. - Gross profit for the same period was HKD 5,130,259, up 62.3% from HKD 3,160,589 in the previous year[3]. - The company reported a loss attributable to equity holders of approximately HKD 118.99 million, a shift from a profit of HKD 850.4 million in 2022[4]. - Adjusted EBITDA for the fiscal year was HKD 936,235, reflecting a 10.6% increase from HKD 846,653 in 2022[3]. - The increase in revenue and gross profit was primarily due to the acquisition of C&J Clark (No 1) Limited, completed in July 2022, which contributed to the consolidated financial performance[4]. - The Group's consolidated revenue for the year ended 31 December 2023 was HK$11,219.4 million, an increase of 62.6% from HK$6,900.4 million in 2022, primarily due to the full-year impact of the consolidation of Clark Group's financial results[30]. - The Group's gross profit for the year was HK$5,130.3 million, representing a 62.3% increase from HK$3,160.6 million in 2022, consistent with revenue growth[34]. - Clarks business contributed 86.0% of the overall revenue, with revenue increasing by 79.1% to HK$9,646.5 million compared to HK$5,386.9 million in 2022[30]. - Bossini business accounted for 5.4% of the overall revenue, with a revenue increase of 2.7% to HK$609.5 million from HK$593.5 million in 2022, driven by improvements in the retail business in Hong Kong[31]. Market Challenges - The company faced significant challenges in the retail market, particularly in the UK and US, leading to higher impairment of right-of-use assets and property, plant, and equipment[4]. - In 2023, the Group faced a challenging economic environment, particularly in the UK and Europe, due to high inflation and interest rates, leading to a decline in consumer sentiment and retail industry weakness[15]. - Clarks' direct sales channel revenue was lower than expected due to high inflation and interest rates, necessitating impairment on right-of-use assets and property, plant, and equipment[22]. - The retail environment is expected to remain challenging in 2024, with consumers cautious about spending due to economic uncertainties[25]. Strategic Initiatives - The company is restructuring its operations to enhance profitability, including job cuts to streamline business[5]. - Clarks is rebuilding its online shopping platform in Europe and the US to boost future online sales and increase e-commerce revenue share[5]. - The Group aims to enhance operational efficiency by closing inefficient stores in Mainland China while accelerating the deployment of channels suitable for new product positioning[17]. - The Group is exploring potential merger and acquisition opportunities to enrich its brand portfolio and strengthen its position as an international brand operator[17]. - The Group plans to open more directly-operated stores in first-tier cities like Beijing and Shanghai to enhance market penetration and build a youthful brand image[17]. Brand Development - The Clarks brand has implemented a "China for China" strategy, launching its first batch of products designed for Chinese consumers during the year[17]. - The new brand bossini.X will focus on sports outerwear and light outdoor designs in 2024, targeting energetic young consumers with professional sports technology fabrics[17]. - The Group aims to develop its international consumer goods business sustainably, focusing on the China market and overseas markets[19]. - The Group's sports experience business recorded a slight profit and established three new sports centers and two ice skating rinks in 2023[25]. Corporate Governance - The Group is committed to achieving and maintaining a high standard of corporate governance, with a detailed report provided in the annual report[105]. - The Board consists of three executive directors, three non-executive directors, and four independent non-executive directors, ensuring a balanced composition[116]. - The Company adheres to the Corporate Governance Code, ensuring compliance and ethical standards in its operations[115]. - The Company provided training on directors' duties and corporate governance to ensure compliance with legal and regulatory requirements[121]. Employee Engagement and Diversity - The total number of staff increased to 762 in 2023, up from 737 in 2022, representing a growth of 3.4%[170]. - The number of male employees is 373, while female employees total 389, indicating a gender distribution of approximately 49% male and 51% female[170]. - The company aims to maintain the current Board composition to achieve board diversity objectives in 2024[126]. - The company is committed to promoting gender diversity at all levels, including through diversity courses, staff training, and recruitment[128]. Environmental, Social, and Governance (ESG) Initiatives - The Group's ESG governance is overseen by the Board, which is responsible for formulating and reviewing ESG strategies and objectives[146]. - The Group emphasizes compliance with the HKEX's "Guidelines on Climate Disclosures" in managing climate-related risks[151]. - The Group has established a robust risk management and internal control system that incorporates ESG-related risks, including climate change and public health[151]. - The Group welcomes feedback on its ESG performance and disclosures via email or phone[142]. Financial Management - The Group recorded a net cash inflow from operations of HK$631.9 million for the current year, a significant increase from HK$74.9 million in 2022[45]. - Net cash outflows from investing activities amounted to HK$398.5 million in 2023, compared to cash inflows of HK$969.5 million in 2022[45]. - The total fee paid to PricewaterhouseCoopers for audit services was HK$26.2 million, and for non-audit services was HK$1.8 million for the year ended December 31, 2023[131]. Risk Management - The Group maintains a framework for handling and disseminating inside information to ensure confidentiality until appropriate disclosure[132]. - The Group performs ongoing and periodic monitoring of risks and ensures appropriate internal control procedures are in place[132]. - The Group has developed an Anti-Corruption and Anti-bribery Commitment, included in the Code of Business Conduct, to combat corruption and malfeasance[195]. Shareholder Communication - The Company maintains a corporate website (www.vivagoods.hk) for timely communication of business developments, financial information, and corporate governance practices[134]. - The Company encourages all shareholders to attend general meetings for effective dialogue with the Board[134]. - Shareholder communications are primarily conducted through financial reports, general meetings, disclosures on the Stock Exchange website, and the Company's website[134].
非凡领越(00933) - 2023 - 年度业绩