Financial Performance - The company's revenue for the year ended December 31, 2023, reached approximately RMB 92.6 million, an increase of about 252% compared to RMB 26.3 million in 2022[4] - Gross profit for the same period was approximately RMB 33.6 million, also showing a growth of over 100% from RMB 7.4 million in 2022[4] - The net profit attributable to equity shareholders was approximately RMB 8.9 million, a significant turnaround from a loss of RMB 18.5 million in the previous year[4] - The group's revenue for the year ended December 31, 2023, was RMB 92.645 million, a significant increase from RMB 26.293 million in 2022, representing a growth of approximately 252%[18] - The gross profit for the same period was RMB 33.642 million, compared to RMB 7.409 million in 2022, indicating a substantial increase in profitability[18] - The net profit for the year was RMB 9.194 million, a recovery from a loss of RMB 18.508 million in 2022[20] - The group's pre-tax profit for 2023 was RMB 8,921,000, a significant improvement compared to a loss of RMB 18,462,000 in 2022[46] Revenue Breakdown - Revenue from local tours in Japan increased by approximately 9,538%, while revenue from Japanese travel packages rose by 345% compared to 2022[11] - Revenue from travel group sales and local tours surged to RMB 59,203,000 in 2023, compared to RMB 3,370,000 in 2022, marking an increase of about 1,661%[34] - Hotel business revenue increased to RMB 19,760,000 in 2023, up from RMB 6,074,000 in 2022, reflecting a growth of approximately 226%[34] - Revenue from visa application services rose to RMB 6,372,000 in 2023, compared to RMB 61,000 in 2022, indicating a growth of around 10,400%[34] - Revenue from duty-free store operations decreased to RMB 5,508,000 in 2023 from RMB 16,193,000 in 2022, a decline of approximately 66%[34] - Revenue from China accounted for RMB 72,275,000 in 2023, significantly up from RMB 19,688,000 in 2022, representing an increase of about 267%[37] - Revenue from Japan reached RMB 20,370,000 in 2023, compared to RMB 6,605,000 in 2022, showing a growth of approximately 208%[37] Expenses and Costs - Administrative expenses increased by approximately RMB 9.0 million due to a focus on developing overseas markets, leading to higher distribution costs[16] - The sales and distribution expenses were RMB 8.496 million, an increase from RMB 6.786 million in 2022, reflecting the company's strategic marketing efforts[18] - The group maintained a stable sales and distribution cost despite a significant increase in revenue, attributed to strict control over marketing expenditures[14] - The total interest expense for bank loans decreased to RMB 1,238,000 in 2023 from RMB 1,310,000 in 2022, reflecting a reduction of approximately 5.5%[42] - The expected credit loss provision for accounts receivable decreased to RMB 3,955,000 in 2023 from RMB 13,622,000 in 2022, indicating improved credit quality[49] - The group's employee benefit expenses (excluding directors' remuneration) increased to RMB 7,776,000 in 2023 from RMB 5,311,000 in 2022, an increase of 46.3%[44] Assets and Liabilities - The company's cash and cash equivalents increased to RMB 38.093 million from RMB 29.890 million in the previous year, reflecting improved liquidity[22] - The total assets less current liabilities amounted to RMB 172.252 million, up from RMB 166.475 million in 2022[24] - The total accounts payable increased to RMB 7,934,000 in 2023 from RMB 1,261,000 in 2022, indicating a significant rise in liabilities[52] - Non-current assets in China were valued at RMB 30,253,000 in 2023, down from RMB 33,638,000 in 2022, a decrease of about 10%[39] - Non-current assets in Japan were RMB 115,752,000 in 2023, slightly down from RMB 123,642,000 in 2022, reflecting a decrease of around 6%[39] Dividends and Shareholder Information - The company will not declare a final dividend for the year ended December 31, 2023[5] - The board has proposed not to declare a dividend for the year ending December 31, 2023, similar to the previous year[68] - The company did not declare a final dividend for the year 2023, consistent with the previous year[47] - The annual general meeting is scheduled for May 27, 2024, and shareholders must submit transfer documents by May 21, 2024, to be eligible to vote[86] - The annual performance announcement will be published on the stock exchange and the company's website, with the annual report sent to shareholders[87] Future Outlook and Strategy - The company anticipates that overall revenue from overseas customers will reach 80% in 2024[6] - The management plans to enhance service quality in the hotel business and expand overseas market partnerships to drive future growth[8] - The company plans to acquire hotel assets in Kyoto, Japan, with an investment of HKD 17,600,000 expected to be completed by December 31, 2023[57] - The company has not made any significant acquisitions or disposals during the review period, nor does it have plans for major investments as of December 31, 2023[58] Risks and Challenges - The company faces foreign exchange risks due to costs incurred in foreign currencies, particularly Japanese Yen, but currently has no plans to hedge against these risks[61] - The group faces risks from potential changes in visa application policies by the Chinese and Japanese governments, which may adversely affect business and revenue[85] - The majority of the group's revenue comes from Chinese customers, and a downturn in the Chinese economy could have a significant negative impact on business performance[85] - The group is subject to intensified competition from travel agencies, hotels, flight suppliers, online travel platforms, and alternative booking channels[85] - Natural disasters, terrorism, or outbreaks of infectious diseases could significantly affect consumer demand for travel services[85] Compliance and Governance - The group's financial statements for the year ending December 31, 2023, have been approved by its auditor, but no verification opinion has been issued[84] - The company maintains a public float of no less than 25% of its issued shares as per listing rules[78] - The group primarily engages in outbound tourism services through operational entities, which are prohibited from foreign ownership under Chinese regulations[79] - Japan is the most popular destination for the group's travel products, and any adverse developments in Japan's economic, political, or social environment could significantly impact the group's business performance[80] - The company has no significant contingent liabilities as of December 31, 2023[60]
途屹控股(01701) - 2023 - 年度业绩