Employee and Compensation - The group employed a total of 68 employees as of December 31, 2023, with benefits including insurance, provident fund plans, and discretionary bonuses[2] - The company’s employee compensation policy is based on performance, qualifications, and market data, ensuring compliance with applicable laws and regulations[16] Dividend Policy - The company did not declare an interim dividend for the six months ended June 30, 2023, consistent with the previous year[4] - The board does not recommend a final dividend for the year ended December 31, 2023, similar to the previous year[5] - The company does not recommend the payment of a final dividend for the fiscal year ending December 31, 2023[57] Business Operations - The main business of the company is investment holding, with subsidiaries engaged in property development and investment in Hong Kong and China, as well as financial lending activities in Hong Kong[7] - The company did not make any acquisitions during the year, aside from regular operational expenses[14] - The company focuses on providing mortgage loans to residential property buyers in Hong Kong, with interest rates for mortgage loans ranging from 9% to 18%[60] - The company has established a system to identify and review overdue loan accounts, ensuring close monitoring of the overall status of outstanding loans[67] - The group has not acquired any land or properties in Guangdong Province during the year due to intense competition but will continue to seek investment opportunities in the property market[87] Financial Performance - The company’s financial performance and position for the year ended December 31, 2023, are detailed in the audited consolidated financial statements[3] - The company recorded a profit of HKD 12,136,000 for the fiscal year ending December 31, 2023, down from HKD 15,189,000 for the previous year, representing a decrease of approximately 20.2%[56] - For the year ended December 31, 2023, the group recorded revenue of HKD 196,609,000 and profit of HKD 12,136,000, compared to revenue of HKD 162,870,000 and profit of HKD 15,189,000 for the year ended December 31, 2022, indicating a revenue increase of approximately 20.7%[79] - Interest income from financial lending business for the year was approximately HKD 194.5 million, an increase of about HKD 35.2 million or 22.1% compared to HKD 159.3 million for the previous year[80] - The group reported a profit before tax of HKD 20,076,000 for 2023, down from HKD 24,793,000 in 2022, reflecting a decrease of approximately 19.5%[120] Customer and Market Insights - The company maintained good relationships with its major customers and suppliers, with no significant disputes reported during the year[1] - The number of active customers for unsecured loans increased from 10,993 to 13,491, contributing to revenue of approximately HKD 157,548,000 for the year, up from HKD 125,931,000 in the previous year, marking an increase of about 25.1%[69] - Rental income from the company's property, Yongsheng Plaza, decreased by about 5% compared to the previous year[56] - Revenue from external customers in Hong Kong was HKD 194,994,000, up from HKD 161,178,000 in the previous year, indicating a growth of about 20.9%[109] Risk Management - The financial risk management objectives and policies are detailed in the financial statements, indicating potential unidentified risks that may become significant in the future[8] - The group has a net allowance for expected credit losses of HKD 72,657,000 as of December 31, 2023, reflecting a proactive approach to risk management[74] - The group will continue to review its loan portfolio and risk control measures to minimize default risks[77] - The group continues to face foreign exchange risks primarily related to the Renminbi, with no financial instruments arranged for hedging purposes[113] Future Outlook and Strategy - The group anticipates challenges in the Hong Kong economy in 2024 due to global economic slowdown, inflation, and political instability, but remains optimistic about future growth opportunities[86] - The group plans to enhance its risk pricing model and implement various marketing strategies to promote the X Wallet and X Pay brands, aiming to increase market visibility[77] - The launch of the new product X Pay, a "buy now, pay later" feature within the X Wallet application, is expected to diversify the services offered to users[86] - The company is considering strategic acquisitions to enhance its product portfolio, with potential targets identified in the tech sector[168] Governance and Compliance - The board of directors confirmed their commitment to maintaining independence and transparency in governance practices[157] - The company has a significant focus on compliance, corporate governance, and company secretarial matters, as indicated by the experience of its independent non-executive director[175] - The company has a robust internal control system to ensure the preparation of accurate financial statements and compliance with relevant regulations[195] Shareholder Information - Mr. Li Li holds a total of 1,252,752,780 shares, representing 46.96% of the total issued shares[180] - Mr. Li Mingjun has a total of 1,962,752,780 shares, accounting for 73.58% of the total issued shares[180] - Mr. Zhou Houcheng holds 7,150,000 shares, which is 0.27% of the total issued shares[180]
TERMBRAY IND(00093) - 2023 - 年度财报