Financial Performance - The company's revenue for the year ended December 31, 2023, was HKD 69,059,000, a decrease of 9.5% compared to HKD 76,274,000 in 2022[6] - The gross loss for the year was HKD 3,300,000, compared to a gross profit of HKD 13,381,000 in the previous year[6] - The total comprehensive loss for the year amounted to HKD 48,540,000, significantly higher than the HKD 27,624,000 reported in 2022[6] - The company reported a pre-tax loss of HKD 46,567,000, which is an increase of 103.0% from the pre-tax loss of HKD 22,904,000 in the prior year[6] - The net loss attributable to owners of the company was HKD 48,540,000, compared to HKD 27,624,000 in 2022, reflecting a substantial increase in losses[6] - The company reported a loss attributable to owners of approximately HKD 46,825,000 and a gross loss of about HKD 3,300,000 for the year ended December 31, 2023[31] - The company reported a loss attributable to shareholders of approximately HKD 46,825,000 for the year ended December 31, 2023, compared to a loss of HKD 22,904,000 in 2022, representing an increase of 104.5%[49] - The basic and diluted loss per share for 2023 was HKD 11.44, compared to HKD 5.60 in 2022, indicating a 104.4% increase in loss per share[49] - The group recorded a loss before tax of approximately HKD 46,600,000 for the year ended December 31, 2023, compared to a loss of approximately HKD 22,900,000 for the year ended December 31, 2022, an increase of about 103.1%[83] Assets and Liabilities - The company's total assets less current liabilities decreased to HKD 21,259,000 from HKD 68,547,000 in the previous year[8] - The company's net assets were reported at HKD 19,388,000, down from HKD 67,928,000 in 2022, indicating a significant decline in equity[8] - Current liabilities exceeded current assets by approximately HKD 10,531,000, with other borrowings due within one year amounting to HKD 33,445,000 and cash and cash equivalents of only HKD 4,123,000[31] - The group’s net current liabilities were approximately HKD 10,500,000 as of December 31, 2023, compared to net current assets of approximately HKD 29,900,000 as of December 31, 2022[89] - The debt-to-equity ratio increased from approximately 48.8% as of December 31, 2022, to approximately 73.5% as of December 31, 2023, primarily due to losses incurred during the year[90] Revenue Segments - Reportable segment revenue for the year ended December 31, 2023, totaled HKD 69,059,000, with external customer revenue from sewing thread production and sales at HKD 21,196,000, interior design and renovation at HKD 16,450,000, and horse services at HKD 31,413,000[40] - Revenue from the sewing thread production and trading segment decreased to approximately HKD 21,200,000, down about 58.4% from approximately HKD 51,000,000 in the previous year[69] - Revenue from the interior design and decoration segment decreased to approximately HKD 16,500,000, a decline of about 6.5% from approximately HKD 17,600,000 in the previous year[70] - Revenue from the horse services segment increased to approximately HKD 31,400,000, a significant increase of about 307.9% from approximately HKD 7,700,000 in the previous year[72] Expenses and Costs - The total sales cost for the group increased by 15.1% to approximately HKD 72,359,000 for the year ended December 31, 2023, compared to HKD 62,893,000 in the previous year[73] - The sales cost for the sewing thread production and trading segment decreased to approximately HKD 19,000,000, down 55.5% from approximately HKD 42,800,000 in the previous year[74] - The sales cost for the interior design and decoration segment increased to approximately HKD 12,200,000, an increase of 7.2% from approximately HKD 11,400,000 in the previous year[75] - The sales cost for the horse services segment increased to approximately HKD 41,100,000, a substantial increase of 372.1% from approximately HKD 8,700,000 in the previous year[76] - Selling and distribution expenses decreased from approximately HKD 5,200,000 for the year ended December 31, 2022, to approximately HKD 3,300,000 for the year ended December 31, 2023, a decline of about 35.8%[79] - Administrative expenses decreased from approximately HKD 29,500,000 for the year ended December 31, 2022, to approximately HKD 21,500,000 for the year ended December 31, 2023, a decline of about 27.0%[81] Future Outlook - The board anticipates that the company's business performance will improve in 2024, focusing on interior design, renovation, and decoration services, which are increasingly popular in Hong Kong and the Greater Bay Area[34] - The company expects to record a gross profit for the year ending December 31, 2024[34] - The group anticipates that ongoing trade conflicts between China and the United States, along with a high-interest rate environment, will continue to impact its business[110] - The group expects the new business line in interior design, renovation, and decoration services to enhance revenue sources due to increasing demand in Hong Kong and the Greater Bay Area[110] Corporate Governance and Compliance - The board believes that maintaining good corporate governance is essential for sustainable business growth and accountability to shareholders[124] - The company has adopted the corporate governance code as per GEM Listing Rules Appendix 15 and commits to regular reviews[124] - The company is committed to ensuring compliance with the corporate governance code standards and meeting the rising expectations of shareholders and stakeholders[126] - The company confirmed compliance with the trading standards for directors as per GEM Listing Rules from January 1, 2023, to December 31, 2023[127] - The company confirmed compliance with the minimum public float requirements as per GEM Listing Rules[136] Shareholding Structure - As of December 31, 2023, the company's issued ordinary share capital is HKD 20,457,093, divided into 409,141,860 shares with a par value of HKD 0.05 each[125] - Mr. Huang Guowei holds 120,000,000 shares, representing 29.33% of the company's issued share capital[115] - Other major shareholders include Junlai Financial Limited, Meijian Credit and Mortgage Limited, and others, each holding 80,000,000 shares, representing 19.55% of the company's issued share capital[121] - The shareholding structure indicates a significant concentration of ownership among a few major shareholders, which may impact corporate decision-making[120] Loans and Financing - A shareholder loan agreement was established for HKD 19,171,000, which is interest-free and unsecured, with repayment required in cash[129] - A loan agreement for RMB 16,760,277 (approximately HKD 18,603,907) was made, with an interest rate of 2% per annum, to be repaid within three years[131] - The company received a loan financing extension letter for approximately HKD 22,300,000 and undrawn loan financing of about HKD 13,200,000, extending the term by one year to 2025[135] Employee Information - As of December 31, 2023, the group employed 123 employees, a decrease from 141 employees as of December 31, 2022[100] - Total employee costs (excluding director remuneration) for the years ended December 31, 2023, and December 31, 2022, were approximately HKD 14,200,000 and HKD 18,600,000, respectively[100]
维港育马(08377) - 2023 - 年度业绩