Financial Performance - Revenue decreased by approximately 42.3% to about RMB 73.5 million, compared to RMB 127.4 million for the year ended December 31, 2022[2]. - The company reported a loss before tax of approximately RMB 7.2 million, a decline from a profit of approximately RMB 40.2 million for the year ended December 31, 2022[2]. - Loss attributable to equity holders of the company was approximately RMB 13.6 million, compared to a profit of approximately RMB 28.5 million for the year ended December 31, 2022[2]. - Basic and diluted loss per share attributable to ordinary equity holders of the parent was approximately RMB 2.27, down from earnings of approximately RMB 6.22 for the year ended December 31, 2022[5]. - The group reported a pre-tax loss of RMB 10,478 thousand for 2023, compared to a loss of RMB 15,204 thousand in 2022, indicating a reduction in losses[25]. - The company's gross profit decreased by approximately 58.2% to about RMB 32.7 million, with a gross profit margin dropping to approximately 44.4% from 61.4% in the previous year[71]. - Other income totaled RMB 5,859 thousand in 2023, down from RMB 9,895 thousand in 2022, primarily due to a significant reduction in government grants[24]. - Income tax expenses for the reporting period were approximately RMB 6.4 million, down from RMB 11.6 million for the year ending December 31, 2022, primarily due to a decline in group revenue and losses from several subsidiaries[76]. Assets and Liabilities - Total non-current assets increased to RMB 80,117,000 from RMB 76,211,000, representing a growth of 3.8% year-over-year[7]. - Current assets decreased to RMB 152,310,000 from RMB 176,507,000, a decline of 13.7% year-over-year[7]. - Total liabilities decreased from RMB 74,967,000 in 2022 to RMB 66,882,000 in 2023, a reduction of 10.7%[7]. - Net assets decreased to RMB 165,545,000 from RMB 177,751,000, reflecting a decline of 6.8% year-over-year[8]. - Cash and cash equivalents decreased to RMB 86,827,000 from RMB 89,529,000, a decrease of 3.1%[7]. - The company's equity attributable to owners remained stable at RMB 165,178,000 compared to RMB 177,372,000 in the previous year[8]. - Current assets decreased from approximately RMB 84.0 million as of December 31, 2022, to approximately RMB 7.0 million as of December 31, 2023, mainly due to the collection of RMB 67.1 million from the global offering[78]. - As of December 31, 2023, the group's current assets net value was approximately RMB 114.4 million, with a current ratio of 4.0 times, down from 4.3 times in the previous year[79]. Revenue Breakdown - Revenue from customer contracts for 2023 was RMB 73,513 thousand, a decrease of 42.4% from RMB 127,408 thousand in 2022[21]. - Revenue from the oral comprehensive treatment department was approximately RMB 31.2 million, a decrease of about 2.5% year-on-year, accounting for approximately 42.5% of total revenue during the reporting period[65]. - Revenue from the orthodontics department was approximately RMB 14.4 million, a decrease of about 27.6% year-on-year, representing about 19.7% of total revenue[66]. - Revenue from the oral restoration department was approximately RMB 14.9 million, a decrease of RMB 13.2 million or 47.0%, accounting for about 20.2% of total revenue[67]. - Revenue from the implant dentistry department was approximately RMB 8.0 million, a significant decrease of RMB 34.2 million or 81.0% due to the implementation of centralized procurement policies[68]. Operational Insights - The company operates primarily in the dental services sector, with all external revenue generated from customers in mainland China[17]. - The company operates five private dental hospitals in Wenzhou, Zhejiang Province, focusing on comprehensive dental services[40]. - The total number of active patients in the five private dental hospitals decreased from 63,659 as of December 31, 2022, to 50,324 as of December 31, 2023, representing a decline of approximately 20.9%[50]. - Wenzhou Hospital contributed the largest share of revenue, accounting for approximately 62.4% of total revenue in 2023, with revenue of RMB 45,820,000[53]. - The implementation of the dental implant procurement policy in China has led to a decrease in the number of dental visits and average spending per visit, negatively impacting the group's dental implant services in the short term[54]. - The company plans to continue expanding its market presence by establishing more private dental hospitals in Wenzhou and seeking potential strategic acquisitions in Zhejiang Province or neighboring provinces[57]. - The group aims to penetrate the pediatric dental market further, believing that demand from child patients will drive growth in the dental service market[57]. - The company is enhancing its operational software systems to improve data integration and management across its five dental hospitals, which will increase service efficiency and reduce operational costs[59]. - The group is focused on providing high-quality dental services to build a good reputation and gain customer trust, which is crucial for competitive advantage[59]. Strategic Initiatives - The board has proposed a final dividend of HKD 0.01 per ordinary share, compared to no dividend for the year ended December 31, 2022[2]. - The company intends to invest in upstream and downstream industry chain extensions to stabilize supply sources and reduce procurement costs, thereby enhancing overall competitiveness[58]. - The establishment of a dental training center is planned to cultivate in-house dental talent and improve service professionalism[62]. - The company is focusing on enhancing service quality and customer satisfaction to gain more customer trust and support, aiming for sustainable development[61]. - The group plans to use net proceeds from global offerings for business expansion and working capital, with no major investment plans set as of December 31, 2023[90]. Governance and Compliance - The company has adhered to all applicable corporate governance codes as of December 31, 2023, except for one specific provision[100]. - The audit committee consists of three independent non-executive directors, with Mr. Huang Xihua as the chairman[106]. - The annual report for the year ending December 31, 2023, will be sent to shareholders and published on the company's website at an appropriate time[107]. - The board expresses heartfelt thanks to shareholders, management team, employees, and business partners for their support and contributions[108].
美皓集团(01947) - 2023 - 年度业绩