Financial Performance - The group reported a loss of HKD 30,321,000 for the year ended December 31, 2023, compared to a loss of HKD 24,637,000 in 2022, representing an increase in loss of approximately 23.5%[19] - The group's total equity decreased to HKD 41,471,000 in 2023 from HKD 71,792,000 in 2022, reflecting a decline of approximately 42.3%[12] - The group reported revenue of HKD 171,445,000 for the year, a decrease from HKD 204,865,000 in the previous year, representing a decline of approximately 16.3%[52] - The group’s total revenue for the year was HKD 143,405,000, down from HKD 185,008,000, reflecting a decline of approximately 22.5%[75] - The company’s basic loss per share for the year was HKD 2.89, compared to HKD 2.35 in the previous year, reflecting an increase in loss[84] - The total loss attributable to equity holders for the year was HKD 30,321,000, up from HKD 24,637,000 in the previous year[63] - The group recognized government subsidies of HKD 330,000, a significant decrease from HKD 2,276,000 in the previous year, reflecting a decline of approximately 85.5%[53] - The group recognized an impairment loss of approximately HKD 14.0 million related to goodwill for the year ended December 31, 2023[143] Cash Flow and Liquidity - As of December 31, 2023, the group's bank balances and cash amounted to HKD 362,000, a significant decrease from HKD 10,869,000 in 2022[19] - The group is actively seeking alternative financing solutions and/or restructuring to address liquidity pressures and improve financial conditions[42] - The group has taken measures to alleviate cash flow pressures, although significant uncertainties remain regarding the execution of these plans[43] - The company’s cash and cash equivalents decreased from HKD 53,066,000 in 2022 to HKD 38,517,000 in 2023, a decline of about 27.5%[104] - The group maintained a healthy liquidity position, continuously assessing customer credit and financial conditions to mitigate credit risk[147] - The group’s liquidity ratio slightly decreased from approximately 1.4 times as of December 31, 2022, to 1.3 times as of December 31, 2023[183] Assets and Liabilities - The total liabilities, including trade payables and bank borrowings, were HKD 51,351,000 and HKD 7,922,000 respectively, compared to HKD 55,806,000 and HKD 30,171,000 in 2022, indicating a reduction in bank borrowings by approximately 73.7%[19] - The group’s current assets net value was HKD 34,392,000 in 2023, down from HKD 40,269,000 in 2022, indicating a decrease of approximately 14.5%[11] - The company’s trade and other payables were HKD 59,320,000 in 2023, a decrease from HKD 65,639,000 in 2022, showing a reduction of approximately 9.9%[13] - Trade receivables decreased from HKD 34,836,000 in 2022 to HKD 21,596,000 in 2023, a decline of approximately 38%[93] - Contract assets decreased from HKD 91,647,000 in 2022 to HKD 87,676,000 in 2023, a decline of about 4.3%[106] - The company reported a provision for expected credit losses of HKD 1,180,000 for contract assets in 2023, compared to HKD 1,087,000 in 2022, indicating an increase of about 8.5%[97] Operational Strategy - The company aims to implement operational plans to enhance profitability and control costs, ensuring sufficient cash flow for operations over the next twelve months[20] - The group continues to evaluate its operational segments, focusing on RMAA projects, new construction, and anti-corrosion protection works as a single operating segment[52] - The group is primarily engaged in maintenance, repair, alteration, and addition (RMAA) works, new construction works, and corrosion protection works in Hong Kong[36] - The group anticipates that the number of properties to be constructed and maintained in Hong Kong will continue to drive the growth of the RMAA and renovation industry[137] Corporate Governance - The group has established an audit committee in accordance with corporate governance principles, compliant with GEM listing rules[34] - The company has confirmed that all applicable corporate governance code provisions have been adhered to for the year ending December 31, 2023[119] - The company has adopted and complied with the GEM Listing Rules Appendix 15 Corporate Governance Code as of December 31, 2023[118] Employee and Administrative Costs - Employee costs, including director remuneration, totaled HKD 34,311,000, down from HKD 45,195,000 in the previous year, representing a decrease of approximately 24.2%[56] - The group employed 86 employees as of December 31, 2023, down from 102 employees in the previous year, with employee costs approximately HKD 35.5 million compared to HKD 46.6 million in 2022[179] - Administrative expenses decreased from approximately HKD 39.8 million for the year ended December 31, 2022, to approximately HKD 33.1 million for the year ended December 31, 2023, a reduction of about 16.8%[166] Accounting Policies and Standards - The group has adopted new and revised Hong Kong Financial Reporting Standards effective from January 1, 2023, which do not have a significant impact on the financial statements[3]. - The group has clarified the distinction between changes in accounting estimates and changes in accounting policies, confirming that the revisions do not affect the financial statements[4]. - The group has confirmed that the adoption of revised accounting standards does not result in any significant changes to the measurement, recognition, or presentation of items in the financial statements[4]. Other Financial Metrics - The group incurred depreciation expenses of HKD 3,300,000 for property, plant, and equipment, down from HKD 4,841,000 in the previous year, indicating a reduction of approximately 31.9%[58] - The total finance costs for bank and other borrowings increased to HKD 2,121,000 from HKD 1,913,000, marking an increase of approximately 10.9%[82] - The deferred tax expense for the year was HKD (435,000), compared to HKD (741,000) in the previous year, showing a decrease in deferred tax liabilities[87] - The group’s gross profit decreased from approximately HKD 22.5 million for the year ended December 31, 2022, to approximately HKD 7.9 million for the year ended December 31, 2023, reflecting a decline in gross margin from about 12.2% to approximately 5.5%[195] - Financing costs slightly increased from HKD 1.9 million for the year ended December 31, 2022, to HKD 2.1 million for the year ended December 31, 2023, primarily due to an overall increase in interest rates[196]
圣唐控股(08305) - 2023 - 年度业绩