Financial Performance - The group's revenue for the year ended December 31, 2023, was approximately HKD 146.2 million, a decrease of about 24.9% compared to HKD 194.8 million for the year ended December 31, 2022, primarily due to reduced sales orders influenced by global economic uncertainty [15]. - The gross profit for the year ended December 31, 2023, was approximately HKD 34.9 million, down from HKD 57.1 million for the year ended December 31, 2022, attributed to aggressive pricing policies and decreased sales orders due to overall economic uncertainty [15]. - The net loss for the year ended December 31, 2023, was approximately HKD 23.0 million, an improvement from a net loss of approximately HKD 59.7 million for the year ended December 31, 2022, mainly due to reduced impairment losses on receivables and cost savings in distribution and administrative expenses [15]. - The company recorded a loss of approximately HKD 23.0 million for the year ended December 31, 2023, compared to a loss of approximately HKD 59.7 million for the year ended December 31, 2022, primarily due to a decrease in impairment losses on receivables and cost savings in distribution and administrative expenses offset by increased financing costs [51]. - Other income increased by approximately 12.6% to about HKD 6.7 million for the year ended December 31, 2023, primarily due to a one-time government subsidy received in China [47]. - Administrative expenses decreased from approximately HKD 55.7 million for the year ended December 31, 2022, to HKD 50.9 million for the year ended December 31, 2023 [48]. - Financial costs increased from approximately HKD 7.1 million for the year ended December 31, 2022, to HKD 9.8 million for the year ended December 31, 2023, mainly due to increased loan interest [49]. Dividend and Shareholder Information - The board of directors did not recommend the payment of a final dividend for the year ended December 31, 2023, consistent with the previous year [15]. - The company will publish its annual report on its website and the GEM website for shareholder access [5]. - The group encourages effective communication with shareholders and stakeholders to enhance business strategies and meet expectations [140]. - The group provides shareholders with options for receiving company communications, ensuring transparency and accessibility of information [135]. Business Operations and Strategy - The company operates as a supplier of printed products to international publishers primarily located in the United States, the United Kingdom, Australia, and Europe, with significant reliance on paper and ink as raw materials [17]. - The company has two production bases located in Shenzhen and Hong Kong, both of which are self-operated printing facilities [17]. - The group remains cautiously optimistic about the future, believing that the printing market will continue to be stable and healthy despite facing risks such as weak market demand and rising paper costs [19]. - The company plans to enhance its competitive advantage to increase market share and profitability through strategies like improving equipment and increasing automation [19]. - The group aims to expand its customer base and strengthen sales and marketing coverage as part of its business strategy [19]. - The company faces several risks in the future, including economic uncertainties due to tightening monetary policy, the Russia-Ukraine war, and challenges from technological advancements in the publishing industry [42]. Environmental and Sustainability Efforts - The group is committed to sustainable development and social responsibility, aiming to create long-term value for stakeholders [138]. - The group has obtained certifications for environmental management systems and quality management standards, including ISO 14001:2015 and ISO 9001:2015 [146]. - The group emphasizes compliance with environmental regulations, including the Environmental Protection Law of the People's Republic of China and various Hong Kong laws [144]. - The group has not reported any significant non-compliance issues regarding air and greenhouse gas emissions during the fiscal year 2023 [145]. - Total greenhouse gas emissions for FY2023 amounted to 6,048.30 tons of CO2 equivalent, a decrease from 6,195.03 tons in FY2022, representing a reduction of approximately 2.37% [152]. - The total amount of purchased paper materials decreased by 13.61% from HKD 40.67 million in FY2022 to HKD 35.13 million in FY2023, primarily due to lower inventory levels [157]. - The recycling rate for waste materials in FY2023 was 99.77%, slightly up from 99.74% in FY2022 [159]. - The company aims to use more environmentally friendly materials and reduce the use of non-recyclable materials in production [177]. - The company continues to promote the use of soy ink in all printing processes, which significantly reduces VOC emissions compared to traditional solvent-based inks [179]. Corporate Governance - The board of directors held four meetings during the reporting period, with all members attending all meetings [90]. - The audit committee reviewed the audited consolidated financial statements for the reporting period and recommended approval to the board [103]. - The company has appointed three independent non-executive directors, ensuring independent judgment within the board [91]. - The board is responsible for formulating business strategies and monitoring the group's performance [95]. - The company regularly reviews and determines the remuneration of directors and senior management based on market levels and group performance [107]. - The audit committee consists of three members, ensuring compliance with corporate governance codes [102]. Employee and Workforce Management - The company employed 397 staff as of December 31, 2023, down from 459 in 2022, with total employee costs of approximately HKD 59.7 million compared to HKD 64.2 million in the previous year [67]. - Employee headcount at the end of FY2023 was 393, down from 454 in FY2022, reflecting a decrease of 61 employees or 13.44% [184]. - The number of employees resigning in FY2023 increased to 82 from 79 in FY2022, with those employed for less than 2 years decreasing from 36 to 30 [192]. - Total training hours increased from 3,558 in FY2022 to 3,566 in FY2023 [200]. - 1,558 employees participated in fire and chemical leak drills in FY2023, up from 1,426 in FY2022 [200]. - Employee turnover rate for those with over 2 years of service maintained below 10% [197].
万里印刷(08385) - 2023 - 年度业绩