Financial Performance - For the year ended December 31, 2023, the company's revenue was approximately HKD 150,555,000, a decrease of about 0.9% compared to 2022[6] - The loss attributable to shareholders for the year ended December 31, 2023, was approximately HKD 9,935,000, a reduction of about 19.3% from 2022[6] - Basic and diluted loss per share for the year ended December 31, 2023, was HKD 0.0537, compared to HKD 0.0666 for the year ended December 31, 2022[6] - The gross profit for the year ended December 31, 2023, was HKD 4,238,000, slightly up from HKD 4,171,000 in 2022[7] - The company's operating loss for the year ended December 31, 2023, was HKD 10,102,000, an improvement from HKD 12,509,000 in 2022[7] - The total comprehensive loss for the year ended December 31, 2023, was HKD 9,601,000, compared to HKD 14,990,000 in 2022[9] - The report indicates a consolidated loss before tax of HKD 10,153,000 for the year ended December 31, 2023[31] - The company reported a segment profit of HKD 4,238,000, with telecommunications services contributing HKD 2,452,000 and distribution business contributing HKD 1,786,000[31] - The company reported a pre-tax loss of HKD 12,574,000 for 2022, which improved to a loss of HKD 9,935,000 in 2023, representing a reduction of approximately 20.5%[45] Revenue Breakdown - Revenue from telecommunications services increased significantly to HKD 7,365,000 in 2023 from HKD 2,619,000 in 2022, representing a growth of 181%[24] - Distribution business revenue decreased to HKD 143,190,000 in 2023 from HKD 149,357,000 in 2022, a decline of 4.5%[24] - The company's external revenue from Hong Kong increased to HKD 97,266,000 in 2023, up 13.5% from HKD 85,678,000 in 2022[35] - Revenue from telecommunications services for the year ended December 31, 2023, was approximately HKD 7,318,000, an increase of about 90% compared to HKD 2,564,000 in the previous year[70] - The distribution business generated revenue of approximately HKD 89,948,000 for the year ended December 31, 2023, an increase of about 8.2% from HKD 83,114,000 in the previous year[71] Assets and Liabilities - The company's total assets less current liabilities as of December 31, 2023, amounted to HKD 32,030,000, down from HKD 41,716,000 in 2022[11] - The net asset value as of December 31, 2023, was HKD 31,374,000, compared to HKD 41,034,000 in 2022[11] - Trade receivables decreased to HKD 36,071,000 in 2023 from HKD 40,470,000 in 2022, representing a decline of approximately 10.5%[57] - The total inventory decreased to HKD 1,405,000 in 2023 from HKD 2,397,000 in 2022, reflecting a reduction of about 41.5%[56] - The cash and cash equivalents decreased to HKD 14,594,000 in 2023 from HKD 15,858,000 in 2022, a decline of approximately 8%[61] - As of December 31, 2023, the group's net current assets were approximately HKD 29,945,000, down from HKD 36,426,000 as of December 31, 2022[91] - The current ratio as of December 31, 2023, was 5.2, a decrease from 6.3 as of December 31, 2022[91] Dividends - The company did not recommend the payment of a final dividend for the year ended December 31, 2023[5] - The company did not declare a final dividend for the year ending December 31, 2023, consistent with the previous year[44] - The board of directors did not recommend the payment of a final dividend for the year ended December 31, 2023[98] Cost Management - The company incurred total employee costs of HKD 4,552,000 in 2023, up from HKD 4,480,000 in 2022, indicating a 1.6% increase[37] - Depreciation expenses for owned properties, plants, and equipment decreased from HKD 1,537,000 in 2022 to HKD 1,448,000 in 2023, a reduction of 5.8%[39] - Administrative and other operating expenses decreased by approximately 13.5% to HKD 14,729,000 from HKD 17,021,000 in the previous year[85] - The company continues to enhance cost control and extend credit terms for distributors to maintain operational efficiency[70] Corporate Governance - The company has complied with the GEM Listing Rules and the Corporate Governance Code applicable for the financial year ended December 31, 2023[123] - The Audit Committee has reviewed the audited results for the year ended December 31, 2023, and found them to be in accordance with applicable accounting standards[131] - The Audit Committee consists of three independent non-executive directors, ensuring oversight of financial reporting and internal controls[128] - The company has established a strong corporate culture emphasizing integrity and ethical conduct across all business activities[125] Shareholder Information - The major shareholder, New Everich, holds 56.49% of the company's shares, with Mr. Li Jiancheng owning a controlling interest[102] - As of December 31, 2023, the company has a total of 104,437,500 shares owned by New Everich, with Mr. Li Jiancheng and Ms. Guo Jinghua holding 54% and 46% respectively[107] - The company has confirmed that there are no other individuals with significant shareholdings that require disclosure under the Securities and Futures Ordinance as of December 31, 2023[108] Stock Option Plan - The stock option plan allows for a maximum of 18,487,500 shares to be issued, representing 10% of the company's issued shares as of December 31, 2023[115] - Each participant in the stock option plan can receive options up to 1% of the company's issued shares within any 12-month period[116] - The exercise price for options granted under the stock option plan will be determined by the board but cannot be lower than the highest of the closing price on the offer date or the average closing price over the preceding five trading days[118] - The company aims to incentivize eligible participants through the stock option plan to enhance performance and retain talent[113] - The stock option plan was adopted on May 11, 2016, to reward contributions to the group and provide opportunities for personal equity ownership[113] - The maximum number of shares that can be issued under the stock option plan and any other plans cannot exceed 30% of the total issued shares[115] - The stock option plan is valid for 10 years from May 11, 2016, with no stock options granted or canceled during the year, and no unexercised options as of December 31, 2023[120] - As of December 31, 2023, the number of stock options available for grant under the plan remains at 18,487,500[120] Market Strategy - The company is actively negotiating with service providers to further reduce unit costs of call time and mobile data, aiming to lower prepaid product prices and enhance competitiveness[70] - The company plans to expand its distribution of mobile phones and electronic products, which has become a major revenue source, despite challenges in the post-pandemic recovery phase[71] - The company is actively seeking distributors to expand into overseas markets, targeting lower-priced mobile data services for outbound travelers[70] - The group is optimistic about medium to long-term business development and is actively exploring new market channels[77] - The group aims to transition its business model towards "Mobility as a Service" (MaaS) to expand into higher-value information services[78] Risk Management - The company has conducted regular reviews of its risk management and internal control systems, confirming their effectiveness as of December 31, 2023[129] - The company has not adopted any new standards or interpretations that have a significant impact on the financial statements for the current or prior periods[20] - The accounting policy change regarding long service payments did not have a significant impact on the financial position as of January 1, 2022, or on the cash flows and loss per share for the year ended December 31, 2022[22]
直通电讯(08337) - 2023 - 年度业绩