Financial Performance - The group recorded a consolidated revenue of approximately HKD 80,000,000 and a loss of HKD 7,900,000 for the year ended December 31, 2023, compared to a loss of HKD 9,300,000 in 2022[9]. - Total revenue decreased by approximately HKD 7,400,000, from approximately HKD 86,100,000 for the year ended December 31, 2022, to approximately HKD 78,700,000 for the year ended December 31, 2023[44]. - The group recorded a loss attributable to owners of approximately HKD 7,900,000 for the year ended December 31, 2023, compared to a loss of approximately HKD 9,300,000 for the year ended December 31, 2022, primarily due to interest expenses on convertible bonds and expected credit losses[41]. - The group anticipates a rebound in financial performance in the upcoming fiscal year, supported by a mid-term dividend of HKD 0.015 per share declared on November 6, 2023[31]. - The group is optimistic about future financial conditions, expecting continued improvement as strict demand management measures are lifted and interest rates decline[13]. Revenue Breakdown - Revenue from outsourced inbound customer contact services increased from approximately HKD 12,400,000 to approximately HKD 14,500,000, representing an increase of about 16.9%[45]. - Revenue from personnel dispatch services slightly increased from approximately HKD 48,900,000 to approximately HKD 49,600,000, driven by increased demand[47]. - Financial services revenue decreased significantly from approximately HKD 6,100,000 to approximately HKD 1,600,000, primarily due to a reduction in advisory services related to securities products[50]. - The group sold its financial services business entities, generating a revenue of approximately HKD 2,300,000 from the sale[9]. - In 2023, the group recorded a revenue of approximately HKD 2,300,000 from the sale of its financial services business, including Gear Future Limited and others, due to a challenging market environment[14]. Challenges and Market Conditions - The group faces significant challenges due to labor shortages, which are expected to increase costs related to recruitment and employee retention[12]. - The local economy is gradually recovering, but high interest rates, lackluster stock market performance, and a sluggish real estate market are hindering growth[12]. - The group has identified challenges in the business environment for 2024, including labor shortages and geopolitical tensions, which may impact financial performance[27]. - The management acknowledges the ongoing labor market tension, which is likely to persist and impact operational costs[12]. Corporate Governance - The company has maintained high standards of corporate governance in compliance with the GEM Listing Rules, ensuring transparency and accountability to shareholders[96]. - The company has adhered to all provisions of the corporate governance code, continuously improving governance practices to align with international best practices[97]. - The board currently consists of one executive director and three independent non-executive directors, with a noted deficiency in the minimum number of independent directors as per GEM Listing Rules[99]. - The company has adopted a code of conduct for securities trading by directors, confirming compliance for the fiscal year ending December 31, 2023[98]. - The company confirmed its responsibility for preparing financial statements in accordance with legal requirements and applicable accounting standards[125]. Environmental, Social, and Governance (ESG) Initiatives - The company is committed to sustainable development and has set targets for monitoring greenhouse gas emissions, energy use, water consumption, and waste management[157]. - The company has established an Environmental, Social, and Governance (ESG) committee to assist in collecting and analyzing ESG data and monitoring performance[159]. - The company emphasizes the importance of clear and timely communication with shareholders and investors through various channels, including annual reports and meetings[153]. - The company has implemented an environmental policy based on the principles of "Reduce, Reuse, Recycle, and Replace" to minimize operational environmental impact[172]. - The company encourages employees to use public transportation instead of company vehicles for meetings and client visits post-COVID-19[173]. Employee Management and Recruitment - The group aims to strengthen its recruitment efforts to address labor market shortages, particularly for its personnel dispatch services[28]. - The local unemployment rate is currently at 2.9%, prompting the group to enhance efforts in employee retention, recruitment, and management to maintain a stable and experienced workforce[193]. - The group has established a fair and transparent recruitment process, ensuring that hiring is based on qualifications, experience, and potential without discrimination[196]. - The group offers a competitive compensation plan, regularly reviewing it to ensure competitiveness in the labor market, alongside various employee benefits[198]. - The group employs 258 staff members in Hong Kong, a decrease from 274 in the previous year, maintaining reasonable diversity in gender and age groups[200].
易通讯集团(08031) - 2023 - 年度财报