时计宝(02033) - 2023 - 年度业绩

Performance Highlights The company's 2023 fiscal year saw a revenue decrease of 30.3% to approximately HKD 981.8 million, yet profit attributable to owners increased by 12.4% 2023 Fiscal Year Performance Highlights | Indicator | 2023 Fiscal Year | 2022 Fiscal Year | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | Approx. HKD 981.8 million | Approx. HKD 1,408.1 million | -30.3% | | Gross Profit | Approx. HKD 721.0 million | Approx. HKD 1,022.3 million | -29.5% | | Gross Profit Margin | Approx. 73.4% | Approx. 72.6% | +0.8pp | | Profit Attributable to Owners | Approx. HKD 37.1 million | Approx. HKD 33.0 million | +12.4% | | Basic Earnings Per Share | 1.8 HK cents | 1.6 HK cents | +12.5% | | Proposed Final Dividend | 0.8 HK cents | 0.7 HK cents | +14.3% | | Proposed Special Dividend | 3.2 HK cents | 4.3 HK cents | -25.6% | Consolidated Financial Statements Consolidated Statement of Profit or Loss and Other Comprehensive Income In FY2023, the company's total revenue decreased by 30.3% to HKD 982 million, but effective cost control led to a 92.0% increase in profit before tax and a 12.4% rise in profit attributable to owners Key Items from Consolidated Statement of Profit or Loss (For the year ended June 30) | Item | 2023 (HKD Thousand) | 2022 (HKD Thousand) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | 981,760 | 1,408,092 | -30.3% | | Gross Profit | 721,003 | 1,022,282 | -29.5% | | Selling and Distribution Costs | (627,264) | (915,800) | -31.5% | | Administrative Expenses | (94,706) | (111,256) | -14.9% | | Profit Before Tax | 45,517 | 23,706 | +92.0% | | Profit for the Year | 38,019 | 31,633 | +20.2% | | Profit Attributable to Owners of the Company | 37,070 | 33,020 | +12.3% | | Basic Earnings Per Share (HK cents) | 1.8 | 1.6 | +12.5% | Consolidated Statement of Financial Position As of June 30, 2023, total assets decreased by 10.8% to HKD 2.619 billion, primarily due to a reduction in non-current assets, while total equity decreased by 8.6% to HKD 2.388 billion, maintaining a stable financial position Key Items from Consolidated Statement of Financial Position (As of June 30) | Item | 2023 (HKD Thousand) | 2022 (HKD Thousand) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Non-current Assets | 982,384 | 1,337,447 | -26.6% | | Current Assets | 1,637,208 | 1,599,917 | +2.3% | | Total Assets | 2,619,592 | 2,937,364 | -10.8% | | Current Liabilities | 155,171 | 236,279 | -34.3% | | Non-current Liabilities | 76,831 | 89,473 | -14.1% | | Total Liabilities | 232,002 | 325,752 | -28.8% | | Total Equity | 2,387,590 | 2,611,612 | -8.6% | Management Discussion and Analysis Financial Review Total revenue for FY2023 decreased by 30.3% to HKD 982 million, mainly due to COVID-19 impacts in mainland China, yet effective cost control led to a 12.4% increase in net profit to HKD 37.1 million - Revenue decline was primarily attributed to the resurgence of the COVID-19 pandemic and strict lockdown measures in mainland China during the second half of 2022, negatively impacting sales of non-essential goods like watches[166] - Selling and distribution costs decreased by 31.5% year-on-year, mainly due to reduced franchise fees and rental expenses from partial sales point closures, and lower staff costs aligned with revenue decline[115] - Administrative expenses decreased by 14.9% year-on-year, primarily due to reduced staff costs[116] - Despite the revenue decrease, profit attributable to owners of the company increased by 12.4% year-on-year due to effective cost control[145] Business Review Tian Wang Watch business remained the primary revenue source at 87.5% of total revenue, while the group optimized its retail network by reducing 366 sales points and saw e-commerce sales decline but maintain its leading position on Tmall Revenue Contribution by Business Segment | Business Segment | 2023 Fiscal Year Revenue (HKD Million) | 2022 Fiscal Year Revenue (HKD Million) | Year-on-Year Change | % of Total Revenue (2023) | | :--- | :--- | :--- | :--- | :--- | | Tian Wang Watch Business | 859.1 | 1,196.6 | -28.2% | 87.5% | | Other Brands (China) Business | 60.1 | 131.6 | -54.3% | 6.1% | | Watch Movement Trading Business | 62.5 | 80.0 | -21.9% | 6.4% | - To optimize its sales network, the group closed some underperforming sales points, resulting in a net reduction of 300 Tian Wang Watch sales points to 1,786 and 66 other brand watch sales points to 167 as of June 30, 2023[149][111] - Watch sales on e-commerce platforms decreased from HKD 313 million to HKD 252 million, accounting for 25.7% of total revenue, yet the group maintained its leading position in domestic watch sales on Tmall for ten consecutive years[179] - The group strengthened inventory control, leading to a 35.5% year-on-year reduction in inventory balance to HKD 229 million, though inventory turnover days increased from 347 to 408 due to slower sales[180] Liquidity, Financial Resources and Capital Structure The group maintains a robust financial position with approximately HKD 792 million in cash and cash equivalents as of June 30, 2023, and a low gearing ratio of 1.3%, primarily funding operations through cash generated from activities Cash Flow Overview (2023 Fiscal Year) | Item | Amount (HKD Million) | | :--- | :--- | | Net Cash from Operating Activities | 107.6 | | Net Cash Used in Investing Activities | (21.1) | | Net Cash Used in Financing Activities | (122.1) | - Net cash inflow from operating activities decreased by HKD 67.9 million year-on-year, primarily due to an increase in working capital balance and income tax paid[183] - Net cash outflow from financing activities was mainly used for dividend payments to shareholders of approximately HKD 110 million and lease liability payments[158] - As of June 30, 2023, the group's gearing ratio (total debt/total equity) was 1.3%, a decrease from 1.6% in the prior year[186] Prospects and Strategies Despite economic uncertainties, the group plans to optimize its sales network, control expenses, enhance online operations through new media, and focus on cash management to ensure liquidity and long-term success - Market Outlook: The Chinese economy is expected to recover in the medium term, but the outlook still faces uncertainties and challenges[201][204] - Operating Strategy: Adopt a prudent approach, reduce underperforming sales points, optimize the sales network to maintain optimal market coverage, and effectively control selling and operating expenses[225] - Product Strategy: Continue to offer diversified fashion watches and launch gift sets including jewelry and accessories, some in collaboration with well-known third-party brands[202] - E-commerce Strategy: Enhance online business operations and conduct targeted marketing activities through live streaming, short videos, and other new media channels to acquire new customers[226] - Financial Strategy: Focus on cash management and maintain sufficient liquidity and working capital to navigate the volatile operating environment[227] Corporate Governance and Other Information Dividends The Board recommends a final dividend of HKD 0.8 cents and a special dividend of HKD 3.2 cents per share for FY2023, totaling HKD 4.0 cents per share, reflecting the company's cash position and future development needs Proposed Dividend Details (Per Share) | Dividend Type | 2023 Fiscal Year (HK cents) | 2022 Fiscal Year (HK cents) | | :--- | :--- | :--- | | Final Dividend | 0.8 | 0.7 | | Special Dividend | 3.2 | 4.3 | | Total | 4.0 | 5.0 | Corporate Governance Practices The company adheres to the Listing Rules' Corporate Governance Code, with the only deviation being the combined roles of Chairman and CEO, which the Board believes enhances decision-making and efficiency - The company has complied with the code provisions of the Corporate Governance Code, except for the roles of Chairman and Chief Executive Officer being held by the same person[208][232] - The Board believes that Mr. Dong Guanming's dual role as Chairman and Chief Executive Officer, leveraging his extensive industry knowledge, enhances the group's overall business planning, decision-making, and implementation efficiency[232] - All directors confirmed full compliance with the Model Code for Securities Transactions by Directors of Listed Issuers during the 2023 fiscal year[209] Annual Results Review The Board Audit Committee has reviewed the FY2023 financial statements, and the financial figures in this announcement have been agreed upon by the group's auditor, Tianzhi Hong Kong Certified Public Accountants Limited - The Board Audit Committee and company management have reviewed the accounting principles and practices adopted by the group and the financial statements for the 2023 fiscal year[233] - The financial statement figures contained in this announcement have been agreed upon by the group's auditor, Tianzhi Hong Kong Certified Public Accountants Limited[237]