Financial Performance - The metal casting business revenue increased by approximately 24.9% compared to the previous year, indicating a recovery in core markets in Europe and the United States [14]. - The financial printing business revenue decreased due to strict cross-border control measures in Hong Kong and China, impacting IPO activities [8]. - The company remains optimistic about the future of its financial printing business, anticipating a relaxation of cross-border control measures soon [9]. - The average selling price of products increased, but was nearly offset by the rise in general raw material costs [14]. - The company’s metal casting business has rebounded to pre-pandemic revenue levels, reflecting a recovery in global business activities [8]. - Revenue from the financial printing business decreased by about 25.0% due to the impact of COVID-19 restrictions on IPO-related orders [15]. - The group's total revenue for the year ended December 31, 2021, decreased by approximately 2.46% to about HKD 83.49 million, compared to HKD 85.60 million in 2020 [18]. - Gross profit for the year was approximately HKD 20.20 million, a slight decrease from HKD 21.93 million in 2020, maintaining a gross profit margin of about 24% [19]. - The company reported a loss attributable to owners of approximately HKD 14.00 million, a decrease of about 38.24% from HKD 22.67 million in 2020 [23]. - The group's cash and cash equivalents were approximately HKD 1.31 million, down from HKD 14.32 million in the previous year [24]. Strategic Plans and Investments - The company plans to maintain a flexible and targeted sales and marketing strategy to enhance its market position and expand its customer base [10]. - The company will seek other potential investment opportunities to enrich its business and create new revenue sources [10]. - The group remains optimistic about a recovery in financial printing revenue next year, contingent on the control of the COVID-19 pandemic [16]. - The company is actively seeking potential investment opportunities to diversify its business and create new revenue sources [16]. - The company plans to use approximately HKD 9.3 million from a rights issue for general working capital, including HKD 2.0 million for employee costs and HKD 3.5 million for rent expenses [27]. Governance and Compliance - The company has adopted corporate governance principles to protect shareholder interests and has complied with all applicable governance codes [48]. - The company has appointed three independent non-executive directors, constituting over one-third of the board, with at least one possessing appropriate professional qualifications in accounting or related financial management [59]. - The board of directors held ten meetings during the year, with full attendance from key members [55]. - The Audit Committee held four meetings during the year, with all members attending all meetings, reviewing the annual financial statements and internal controls [64]. - The Remuneration Committee also held four meetings, reviewing the remuneration policies for all directors, with attendance rates of 100% for most members [65]. - The Nomination Committee conducted three meetings to review the board's structure and diversity policy, with all members attending at least two meetings [68]. - The company has established three board committees: Audit, Remuneration, and Nomination, each with written terms of reference to oversee specific aspects of the company's affairs [61]. - The company ensures compliance with corporate governance codes, including the rotation of directors every three years [57]. - The company has a clear process for filling temporary vacancies on the board, ensuring continuity and compliance with governance standards [58]. Risk Management - The board confirmed its responsibility for overseeing the risk management and internal control systems, which are reviewed at least annually for effectiveness [76]. - The company has implemented a three-tier risk management approach to identify, assess, and manage significant risks, with operational units serving as the first line of defense [76]. - The board has not identified any significant internal control failures or weaknesses during the review process, indicating that the risk management and internal control systems are overall sufficient and effective [77]. Environmental, Social, and Governance (ESG) Initiatives - The board of directors is responsible for overseeing ESG-related risks and opportunities, ensuring compliance with regulatory requirements [99]. - The company aims to create sustainable growth and long-term value for stakeholders, actively engaging with them to gather feedback and improve ESG performance [101]. - The company has implemented a risk management and internal control system to ensure the accuracy, reliability, and timeliness of data related to sustainable development measures [99]. - The company plans to launch multiple environmental protection and social welfare initiatives to promote sustainable development [98]. - The company aims to reduce energy consumption, greenhouse gas emissions, and water resources by 5% by 2030 based on 2021 levels [105]. - The company consumed approximately 4,159.36 MWh of electricity in 2021, with a density of 9.21 MWh per ton of production [106]. - The company generated 1.44 tons of hazardous waste and 45.88 tons of non-hazardous waste in 2021 [106]. - The company strictly adheres to local labor laws and has no reported violations as of December 31, 2021 [115]. - The company promotes equal opportunity employment practices and maintains a diverse workforce [116]. - The company has a zero-tolerance policy for child labor and forced labor, with no reported violations during the reporting period [126]. Employee and Workforce Management - Employee costs, including director remuneration, totaled approximately HKD 32.15 million for the year ending December 31, 2021, slightly down from HKD 32.28 million in the previous year [44]. - The company employed 169 staff members as of December 31, 2021, down from 178 in 2020 [115]. - Total number of employees as of December 31, 2021, is 169, with a gender distribution of 71.0% male (120) and 29.0% female (49) [117]. - Employee turnover rate for males is 23.3% (28 out of 120) and for females is 18.4% (9 out of 49) [117]. - Average training hours per employee in 2021: 19.96 hours for males and 20.17 hours for females [124]. - Percentage of trained employees: 80.8% for males and 44.9% for females [124]. - The company provided training programs covering technical skills, internal systems, safety, and onboarding in 2021 [122]. Financial Position and Shareholder Information - The group's current liabilities exceeded current assets by approximately HKD 908,000, indicating significant uncertainty regarding the group's ability to continue as a going concern [194]. - The group's goodwill balance as of December 31, 2021, was HKD 0, down from HKD 4,305,000 in 2020, with an impairment loss of approximately HKD 4,305,000 recognized during the year [197]. - Trade receivables amounted to HKD 13,208,000 as of December 31, 2021, compared to HKD 10,257,000 in 2020, with a loss provision of HKD 8,078,000, up from HKD 6,642,000 in the previous year [200]. - The company reported no dividend payment for the year ending December 31, 2021 [150]. - The company underwent a name change from "Jete Power Holdings Limited" to "Solomon Worldwide Holdings Limited" as approved by shareholders on November 12, 2021 [149]. - The company has not repurchased any shares during the year ending December 31, 2021 [157]. - The company’s share capital details are included in the consolidated financial statements [152]. - The company’s stock option plan allows for a maximum of 10% of the total issued shares to be granted as options, amounting to 8,750,000 shares [159]. - No stock options were granted, exercised, or canceled during the year [163]. - The top five customers accounted for 40% of total sales for the year, with the largest customer contributing 18% [181]. - The top five suppliers represented 63% of total purchases, with the largest supplier accounting for 28% [181].
吉盛集团控股(08133) - 2021 - 年度财报