Financial Performance - The total revenue for the year ended December 31, 2023, was HKD 331,204,000, representing an increase of 1.7% compared to HKD 327,646,000 in 2022[4] - The net other income decreased to HKD 1,811,000 from HKD 4,969,000, reflecting a decline of 63.6%[4] - Operating profit for the year was HKD 25,148,000, down 6.2% from HKD 26,796,000 in the previous year[4] - Profit before tax decreased to HKD 23,981,000, a decline of 3.4% from HKD 24,838,000 in 2022[4] - The net profit for the year was HKD 20,045,000, down 6.5% from HKD 21,443,000 in the prior year[4] - Basic earnings per share for the year was HKD 3.99, compared to HKD 4.08 in 2022, indicating a decrease of 2.2%[4] Revenue Breakdown - Supply chain management services revenue for 2023 was HKD 156,510,000, a decrease of 11.6% from HKD 177,153,000 in 2022[16] - Marketing and sales revenue increased to HKD 174,694,000 in 2023 from HKD 150,493,000 in 2022, representing a growth of 16.1%[16] - The group reported a pre-tax profit of HKD 23,981,000 for 2023, compared to HKD 24,838,000 in 2022, indicating a decrease of 3.5%[23] - Major customer A contributed HKD 46,521,000 in revenue for 2023, down from HKD 66,994,000 in 2022, a decline of 30.6%[29] - Major customer B contributed HKD 34,366,000 in revenue for 2023, which was not applicable in 2022[29] Assets and Liabilities - Total assets decreased to HKD 263,730,000 from HKD 136,847,000, showing a significant increase in total assets[5] - Current liabilities increased to HKD 180,220,000 from HKD 82,770,000, indicating a rise in financial obligations[5] - The company's equity attributable to shareholders increased to HKD 111,977,000 from HKD 107,007,000, reflecting a growth of 4.1%[5] - Trade receivables increased to HKD 100,993,000 in 2023 from HKD 60,056,000 in 2022, reflecting a growth of approximately 67.5%[36] - The company's trade payables surged to HKD 131,766,000 in 2023, up from HKD 6,517,000 in 2022, indicating a significant increase of approximately 1,916%[39] Dividends - The company declared dividends totaling HKD 10,037,000 for the year, consistent with the previous year's dividend[7] - The company proposed a final dividend of HKD 2.0 cents per share for 2023, compared to HKD 1.0 cent per share in 2022, reflecting a 100% increase[41] - A special dividend of HKD 0.02 per share was declared, totaling approximately HKD 10,037,000, with a proposed final dividend of the same amount pending shareholder approval[62] Investments and Expansion - The group invested HKD 2,709,000 in property, plant, and equipment in 2023, compared to HKD 1,458,000 in 2022, an increase of 85.7%[25] - The company is expanding its 4PL services and has developed a new ERP system to enhance operational efficiency and productivity[48] - The company is investing in a new warehouse in Macau to meet growing sales demands and new distribution brands[48] - The company established a new wholly-owned subsidiary in Hong Kong for market planning and sales in 2023, enhancing its business model and network capabilities[46] Market and Economic Conditions - The total retail sales value index in Hong Kong increased by 7.8% in 2023 compared to 2022, indicating a recovery in the retail sector[45] - The number of inbound tourists to Hong Kong rebounded to 33,000,000 in 2023, a substantial increase from 600,000 in 2022[45] - Macau's inbound tourist numbers rose to 28,000,000 in 2023, up from 5,700,000 in 2022, showing a recovery in tourism[45] - The local GDP in Hong Kong grew by 3.2% in 2023, indicating a gradual improvement in the business environment[45] Tax and Provisions - The group’s income tax expense for 2023 was HKD 4,226,000, an increase from HKD 3,703,000 in 2022, reflecting a rise of 14.1%[32] - The company has not made any tax provisions for its Macau subsidiaries in 2023, as there were no taxable profits[33] Employment and Human Resources - The group employed 211 full-time employees as of December 31, 2023, an increase from 196 employees in 2022[69] - Employee benefits expenses rose to approximately HKD 63,700,000 for the year ended December 31, 2023, up from HKD 61,700,000 in 2022, mainly due to salary increases[52] Corporate Governance - The company has established an audit committee to ensure effective internal controls and risk management[90] - The board of directors includes three independent non-executive directors to ensure a balance of power and responsibilities[88] - The board will regularly review the group's capital structure, considering funding costs and associated risks[65] - The group will balance its overall capital structure through dividend payments, issuing new shares, and issuing new debt while redeeming existing debt[65] Shareholding Structure - The total equity held by directors and key executives includes 97,200,000 shares (19.37%) held by Mr. Yang, 147,764,000 shares (29.44%) held by Mr. Li, and 81,912,000 shares (16.32%) held by Mr. Lu[76] - Best Matrix Global Limited holds 143,796,000 shares, representing 28.65% of the company's issued share capital[80] - Leader Speed Limited owns 76,060,000 shares, accounting for 15.16% of the total share capital[80] - Orange Blossom International Limited possesses 82,088,000 shares, which is 16.36% of the issued shares[80] - Ms. Luo Huiyi, as a spouse, has rights to 97,200,000 shares, equating to 19.37% of the company's shares[80] - Ms. Chen Bixian, also a spouse, holds 147,764,000 shares, representing 29.44% of the total[80] - Ms. Huang Sufeng has rights to 81,912,000 shares, which is 16.32% of the issued share capital[80] Other Information - There were no significant acquisitions or disposals during the year ending December 31, 2023[68] - The group has no significant contingent liabilities as of December 31, 2023, consistent with the previous year[67] - The group has not purchased, sold, or redeemed any listed securities during the year[72]
环宇物流(亚洲)(06083) - 2023 - 年度业绩