Financial Performance - For the fiscal year ending December 31, 2023, the group recorded revenue of approximately HKD 50.2 million, a decrease of about 44.1% compared to HKD 89.8 million in 2022[3] - The gross profit for the same period was approximately HKD 12.9 million, down 2.3% from HKD 13.2 million in 2022[3] - The net loss attributable to the owners of the company was approximately HKD 22.2 million, a significant reduction of about 71.5% from a loss of HKD 77.9 million in 2022[3] - Basic and diluted loss per share was HKD 1.33 for the year ending December 31, 2023, compared to HKD 4.66 in 2022[4] - The company reported a loss attributable to shareholders of HKD 22,170,000 for the year 2023, compared to a loss of HKD 77,947,000 in 2022, indicating a significant improvement[33] - The group recorded a net loss of approximately HKD 22.2 million for the year, a decrease of about 71.5% compared to approximately HKD 77.9 million for the year ended December 31, 2022[67] Revenue Breakdown - Revenue from pharmaceutical product distribution and trade was HKD 42,852,000, down from HKD 83,754,000, indicating a decrease of about 49%[13] - Revenue from marketing and promotional services increased to HKD 7,302,000 from HKD 6,017,000, reflecting a growth of approximately 21%[13] - For the year ended December 31, 2023, total revenue from external sales and segment revenue was HKD 50,154,000, with HKD 42,852,000 from pharmaceutical products distribution and trade, and HKD 7,302,000 from marketing and promotion services[18] - The revenue from the pharmaceutical product distribution and trading segment decreased by approximately 48.8% to HKD 42.9 million from HKD 83.8 million in 2022[53] - The marketing and promotion services segment generated revenue of approximately HKD 7.3 million, an increase of about 21.7% compared to HKD 6.0 million in 2022[54] Assets and Liabilities - As of December 31, 2023, the group's asset-to-liability ratio was zero, unchanged from 2022[3] - Non-current assets decreased to HKD 113.4 million in 2023 from HKD 136.0 million in 2022[5] - Current assets decreased to HKD 378.2 million in 2023 from HKD 403.9 million in 2022[5] - Current liabilities decreased to HKD 5.6 million in 2023 from HKD 7.8 million in 2022[5] - The total equity attributable to the owners of the company was HKD 480.3 million in 2023, down from HKD 525.7 million in 2022[5] - The company’s total liabilities decreased to HKD 5,267,000 in 2023 from HKD 6,862,000 in 2022, indicating a reduction in financial obligations[37] Expenses - The company incurred total administrative expenses of HKD 14,629,000 and sales and distribution expenses of HKD 14,067,000 for the year ended December 31, 2023[18] - Selling and distribution expenses were approximately HKD 14.1 million, a decrease of about 26.6% from approximately HKD 19.2 million for the year ended December 31, 2022[60] - Administrative expenses were approximately HKD 14.6 million, down about 28.4% from approximately HKD 20.4 million for the year ended December 31, 2022[62] - Total employee costs decreased to HKD 8,063,000 in 2023 from HKD 18,360,000 in 2022, reflecting a reduction in overall expenses[30] Market Conditions and Future Outlook - The company anticipates ongoing pricing pressure on pharmaceuticals and potential market share losses, which may further reduce sales volume and average profit margins[40] - The group expects continued challenges in the market due to government reforms in the healthcare system, which may impact future performance[40] - The group plans to enhance its product portfolio and distribution channels to achieve sustainable development in 2024[47] - The group aims to focus on long-term growth by reallocating resources to core pharmaceutical distribution and marketing services in China[49] - The group will continue to seek potential acquisition opportunities to provide higher returns to shareholders[49] Corporate Governance and Management - The board of directors did not recommend the payment of a final dividend for the year ending December 31, 2023[3] - The board of directors is committed to maintaining good corporate governance standards, which are believed to provide a framework for business strategy and policy formulation[105] - The annual performance of the company has been reviewed by the Board of Directors' Audit Committee[112] - The executive directors include Ms. Wang Qiuqin, Mr. Huo Zhihong, Mr. Chu Xueping, and Ms. Zhou Wan[114] - The independent non-executive directors consist of Mr. Liang Zhijian, Ms. Li Qianming, and Mr. Shi Lixian[114] Investments and Acquisitions - The group aims to participate in the investment and construction of a medical industry park project in Shengzhou, Zhejiang Province, China[89] - The group will act as a passive investor in the target company and will not participate in its management or operational functions[90] - As of December 31, 2023, the group holds approximately 39% equity in the target company, with a fair value of approximately HKD 36.6 million, representing about 7.4% of the group's total assets[90] - The total amount of shareholder loans provided by the partners to the target company is now RMB 23.7 million, with contributions of approximately RMB 9.5 million (approximately HKD 11.0 million), RMB 9.2 million (approximately HKD 10.7 million), and RMB 5.0 million (approximately HKD 5.8 million) from Partner A, China New Sharp, and Partner B respectively[88] Miscellaneous - The company received government subsidies totaling approximately HKD 51,000 to support its development, which were recognized in the profit and loss statement[26] - The company reported bank interest income of HKD 2,968,000 for the year ended December 31, 2023, compared to HKD 2,655,000 in the previous year[26] - The deferred tax expense for the year ended December 31, 2023, was HKD 172,000, compared to HKD 2,339,000 in the previous year[27] - The group continues to monitor foreign exchange risks due to its operations in China, with no significant impact from currency fluctuations reported this year[80] - There have been no significant events affecting the group after December 31, 2023, up to the date of this announcement[110]
新锐医药(06108) - 2023 - 年度业绩