Financial Performance - The group's revenue for the year ended December 31, 2022, was approximately HKD 192.3 million, a decrease of about 34.5% from HKD 293.9 million in the previous year[28]. - Gross profit for the year was approximately HKD 20.9 million, down from HKD 53.7 million, reflecting a significant decline in profitability[28]. - The net profit and total comprehensive income for the year amounted to HKD 14.5 million, compared to HKD 27.8 million in the previous year, indicating a decrease of approximately 47.9%[28]. - The total revenue for the year ended December 31, 2022, was HKD 192,258,000, a decrease of 34.5% from HKD 293,907,000 in 2021[58]. - The total profit and comprehensive income for the year was approximately HKD 14.5 million, a decrease of about HKD 13.3 million or 47.8% compared to HKD 27.8 million for the year ended December 31, 2021[48]. - Adjusted profit and comprehensive income (excluding listing and related expenses and financial support from the anti-epidemic fund) for the year was approximately HKD 11.1 million, down about HKD 27.2 million or 71.0% from approximately HKD 38.3 million for the year ended December 31, 2021[48]. - The company's basic earnings per share for 2022 was HKD 14,475,000, down 47.9% from HKD 27,801,000 in 2021[89]. - Income tax expense significantly decreased from approximately HKD 7.5 million for the year ended December 31, 2021, to approximately HKD 1.8 million for the year ended December 31, 2022, a decline of about HKD 5.7 million or 76.0%[135]. Assets and Liabilities - The group's current assets net value as of December 31, 2022, was approximately HKD 161.2 million, an increase of about HKD 9.9 million from HKD 151.3 million in the previous year[7]. - The company's equity attributable to equity holders increased to HKD 169.138 million from HKD 154.663 million[30]. - The group's total liabilities as of December 31, 2022, were significantly impacted by the changes in accounting policies, with specific adjustments noted in the financial statements[56]. - As of December 31, 2022, the group's asset-liability ratio increased from approximately 0.1% on December 31, 2021, to about 1.0%, primarily due to an increase in lease liabilities[168]. - The group's current ratio decreased from approximately 5.7 times to 5.5 times over the same period[7]. Cash Flow and Investments - Cash and bank balances increased to HKD 147.367 million from HKD 119.417 million[30]. - The group invested approximately HKD 6.1 million in the acquisition of properties, plants, and equipment during the fiscal year ending December 31, 2022, with capital expenditures mainly funded by internal resources[172]. - The total lease cash outflow for the year ended December 31, 2022, was approximately HKD 11.64 million, compared to HKD 10.01 million in 2021[119]. - The group did not hold any significant investments during the year ended December 31, 2022[11]. - There were no major investments or capital assets planned as of December 31, 2022[12]. Dividends - The board proposed a final dividend of HKD 0.075 per share for the year ended December 31, 2022, compared to no dividend in the previous year[9]. - The board proposed a final dividend of HKD 0.075 per ordinary share for the year ended December 31, 2022, compared to no dividend for the year ended December 31, 2021[48]. - The company plans to pay the final dividend, subject to approval at the upcoming annual general meeting, expected to be distributed on or before June 5, 2023[171]. Operational Challenges - The group has been impacted by supply chain disruptions and labor shortages due to COVID-19, affecting operational efficiency and increasing financial burdens[107]. - The group faced severe labor shortages due to COVID-19, impacting project progress and causing significant delays[126]. - The construction industry is experiencing a continuous shortage of skilled labor, affecting the ability to recruit sufficient personnel for new projects[157]. - The group anticipates challenges in material supply and project delays due to ongoing pandemic-related issues, which may affect future performance[107]. - The group has adopted measures to address labor shortages, including hiring additional temporary workers[126]. Government Support and Grants - Government grants received increased to HKD 3.386 million from HKD 1.573 million year-on-year[44]. - The group recognized various government subsidies under the anti-epidemic fund totaling approximately HKD 3,324,000, HKD 54,000, and HKD 8,000 for different programs, compared to HKD 1,276,000, HKD 297,000, and HKD 0 in 2021[62]. - The Hong Kong government plans to allocate HKD 1 billion for landslide prevention and mitigation in the fiscal budget for 2023, which is expected to stimulate demand for slope engineering[124]. Project Engagement - The number of projects contributing to revenue was 42 in 2022, compared to 39 in 2021, indicating a growth in project engagement[110]. - The group completed 12 contracts in 2022, contributing to revenue from 11 previously recognized completed projects[123]. - As of December 31, 2022, the group was awarded 31 contracts with a total contract value of approximately HKD 911.6 million, of which 12 contracts were completed with a total value of approximately HKD 255.2 million[123]. Corporate Governance - The company emphasizes the importance of corporate governance to protect shareholder interests and enhance corporate value[174]. - The corporate governance code has been adhered to since the company's listing on GEM on December 13, 2019[175].
丰城控股(02295) - 2022 - 年度业绩