Financial Performance - The Group reported a revenue of approximately HK$107.6 million for FY2023, a decrease of approximately 9.2% compared to HK$118.5 million for FY2022[17]. - Revenue from concrete demolition services decreased by approximately 2.0% from HK$69.4 million in FY2022 to HK$68.0 million in FY2023[18]. - Revenue from prefabricated construction services decreased by approximately 19.5% from HK$49.2 million in FY2022 to HK$39.6 million in FY2023[18]. - The Group recorded a net loss of approximately HK$9.1 million for FY2023, an increase of approximately 237.0% compared to a net loss of HK$2.7 million for FY2022[19]. - Basic loss per share for FY2023 was HK0.97 cents, compared to HK1.02 cents for FY2022[19]. - Overall revenue decreased by approximately HK$10.9 million or 9.2%, from approximately HK$118.5 million in FY2022 to approximately HK$107.6 million in FY2023[41]. - Revenue from private sector projects decreased from HK$48.6 million in FY2022 to HK$32.3 million in FY2023, a decline of approximately 33.5%[36]. - Revenue from public sector projects increased from HK$20.8 million in FY2022 to HK$35.7 million in FY2023, representing a growth of approximately 71.9%[36]. Market Conditions - The external environment remains challenging for Hong Kong's economy, with high interest rates and geopolitical tensions impacting recovery[20]. - The property market in Hong Kong is sluggish, leading to cautious behavior from property developers regarding land acquisition and project launches[20]. - The Group anticipates continued pressure on its business due to the difficult external environment in the coming years[20]. - The property market in China showed signs of improvement at the start of 2024, with expectations of gradual demand recovery[25]. - The ongoing liquidity crisis in China's property sector remains a significant challenge for many developers[25]. Business Strategy - The Group is focusing on expanding its prefabricated construction business in the Belt and Road Initiative as a key area for overseas expansion[26]. - The Group established production facilities in Huizhou, PRC, for the research and development of precast concrete components[38]. - The Group aims to promote green building practices through prefabricated construction, which is more efficient and environmentally friendly[29]. Financial Position - Total borrowings amounted to approximately HK$76.2 million, with annual interest rates ranging from 4.6% to 12.0%[67]. - Cash and bank deposits as of December 31, 2023, were approximately HK$36.2 million, slightly down from HK$36.3 million in 2022[58]. - Administrative and other operating expenses increased by approximately HK$0.8 million to approximately HK$36.7 million, primarily due to higher staff costs[56]. - Total employee costs for the reporting period, including directors' emoluments, were approximately HK$42.1 million, an increase from approximately HK$41.0 million in 2022[76]. - The Group employed 96 staff as of December 31, 2023, down from 98 staff in 2022[76]. Corporate Governance - The company emphasizes the importance of sound corporate governance for long-term success, committing to uphold good corporate standards[112]. - The Board of Directors is responsible for formulating overall strategies, setting management targets, and supervising management performance[124]. - The Company held 15 Board meetings and 1 general meeting during the Reporting Period[128]. - All independent non-executive Directors confirmed their independence in accordance with GEM Listing Rules[126]. - The Company has adopted a Code of Conduct for securities transactions by Directors, with full compliance reported throughout the Reporting Period[133]. - The Group encourages Directors to participate in continuous professional development and provides relevant training materials[138]. - The Company is committed to compliance with legal and regulatory requirements, monitored by the Board[123]. Audit and Compliance - The auditor issued a qualified opinion on the Company's consolidated financial statements for the year ended December 31, 2023[79]. - The Audit Committee held 6 meetings during the Reporting Period, with Mr. Li Kar Fai, Peter attending all 6 meetings[153]. - The Audit Committee reviewed the Group's audited results for the year ended December 31, 2022, and confirmed compliance with applicable standards and GEM Listing Rules[154]. - The Company has established three functional committees: Audit Committee, Nomination Committee, and Remuneration Committee, to assist the Board in discharging its duties[142]. - The Audit Committee's primary responsibilities include monitoring the integrity of the Company's financial statements and reviewing the effectiveness of the audit process[151]. Board Composition and Diversity - The Board currently consists of four Directors, with three being Independent Non-Executive Directors (INEDs), promoting critical review and control of the management process[186]. - Following the resignation of Ms. Zhou Jin on July 15, 2023, the Board is composed entirely of males, representing 100% of the Board[186]. - The Company aims to achieve gender diversity on the Board by appointing one female Board member no later than December 31, 2024[186]. - The Company maintains a gender ratio of approximately 4:1 in its workforce, reflecting the challenges in the construction industry regarding female talent[187]. Dividend Policy - The Company adopted a dividend policy on January 1, 2019, aimed at enhancing transparency for shareholders and potential investors[188]. - The payment and amount of dividends will depend on various factors, including the Group's actual and expected financial performance and liquidity position[197]. - The Company’s dividend distribution record in the past may not be used as a reference for future dividends[195].
朝威控股(08059) - 2023 - 年度财报