Financial Performance - Total revenue for the year ended December 31, 2023, was HKD 129,159,000, an increase of 36.8% compared to HKD 94,399,000 in 2022[2] - Gross profit decreased to HKD 2,192,000 from HKD 8,016,000, representing a decline of 72.6%[2] - Operating loss for the year was HKD 96,236,000, improved from a loss of HKD 117,910,000 in the previous year, indicating a reduction of 18.4%[4] - The net loss attributable to the owners of the company was HKD 89,726,000, down from HKD 196,061,000 in 2022, reflecting a 54.4% improvement[6] - Basic and diluted loss per share for continuing operations was HKD 6.05, compared to HKD 7.87 in 2022[6] - Other income for 2023 amounted to HKD 23,857,000, significantly higher than HKD 7,797,000 in 2022, marking an increase of 205.5%[21] - The reported segment loss for the year was HKD (79,087,000), significantly improved from HKD (200,127,000) in the previous year, indicating a reduction in losses by about 60.6%[24] Assets and Liabilities - Non-current assets decreased to HKD 264,594,000 from HKD 353,441,000, a decline of 25.1%[7] - Current liabilities increased to HKD 361,126,000 from HKD 341,292,000, an increase of 5.4%[7] - Total equity decreased to HKD 227,521,000 from HKD 340,565,000, a decline of 33.2%[9] - The total assets as of December 31, 2023, were HKD 599,030,000, down from HKD 696,854,000 in 2022, reflecting a decrease of approximately 14%[24] - The total liabilities increased to HKD 371,509,000 in 2023 from HKD 356,289,000 in 2022, marking an increase of about 4.3%[24] Revenue Streams - The company's revenue for the year 2023 from lithium-ion battery products was HKD 129,159,000, an increase of 37.6% compared to HKD 93,791,000 in 2022[20] - The company generated no revenue from property development and cultural services in 2023, compared to HKD 7,809,000 in 2022[20] - The company has reported a significant increase in sales from waste material disposal, generating HKD 5,623,000 in 2023 compared to HKD 1,565,000 in 2022[21] - The company recognized revenue of HKD 5,022,000 from contract liabilities in 2023, compared to HKD 3,254,000 in 2022, marking a growth of 54%[45] Expenses and Costs - The cost of goods sold for the year was HKD 126,967,000, up from HKD 86,383,000 in 2022, representing an increase of approximately 47%[31] - Research and development expenses for the year were HKD 24,351,000, compared to HKD 20,586,000 in 2022, indicating a rise of about 18%[31] - The interest expense for borrowings decreased to HKD 4,166,000 in 2023 from HKD 10,814,000 in 2022, a reduction of approximately 61.5%[28] Cash Flow and Financial Position - The company’s cash and cash equivalents decreased to HKD 2,598,000 from HKD 6,252,000, a decline of 58.5%[7] - Trade receivables aged 0 to 60 days increased significantly to HKD 26,041,000 in 2023 from HKD 8,086,000 in 2022, representing a growth of 222%[38] - The total trade receivables as of December 31, 2023, amounted to HKD 30,817,000, compared to HKD 14,174,000 in 2022, indicating a year-over-year increase of 117%[40] - The weighted average expected credit loss rate for overdue receivables over 60 days was 53% in 2023, up from 45% in 2022[40] - Trade payables rose to HKD 77,795,000 in 2023 from HKD 40,302,000 in 2022, reflecting an increase of 93%[42] Corporate Governance - The company has adhered to all applicable provisions of the corporate governance code, with the exception of two independent non-executive directors who were unable to attend the annual general meeting on June 23, 2023[71] - The chairman and CEO roles are currently held by the same individual, which deviates from the corporate governance code; the board believes this arrangement provides strong and consistent leadership[72] - The audit committee has reviewed the accounting principles and practices adopted by the group and discussed risk management and internal control systems with management for the year ending December 31, 2023[76] Future Outlook - The company is focusing on expanding its lithium-ion battery business and internet sales as its primary revenue streams moving forward[22] - The company plans to further develop its production base in Weinan to expand capacity and meet expected increases in sales orders[56] - The company will focus on R&D for 18650 lithium-ion battery products and explore the feasibility of producing other types of batteries[56]
天臣控股(01201) - 2023 - 年度业绩