Financial Performance - For the year ended December 31, 2023, the group's revenue decreased to approximately HKD 7,600,000, a decline of 84.4% compared to approximately HKD 48,700,000 for the year ended December 31, 2022[7]. - The loss for the year ended December 31, 2023, was approximately HKD 27,800,000, compared to a loss of approximately HKD 5,800,000 for the year ended December 31, 2022[7]. - The total revenue of Sheng Yuan Financial Services Group Limited decreased by approximately 84.9% to about HKD 7,300,000 for the year ended December 31, 2023, down from HKD 48,500,000 in 2022[11]. - The securities brokerage and financial services revenue decreased by 84.9% to approximately HKD 4,400,000 for the year ended December 31, 2023, compared to HKD 27,700,000 in 2022, resulting in a segment loss of approximately HKD 3,000,000[11]. - The asset management segment recorded revenue of approximately HKD 3,000,000 for the year ended December 31, 2023, a decrease of approximately 85.6% from HKD 20,800,000 in 2022[15]. - The proprietary trading segment incurred a loss of approximately HKD 11.2 million for the year ended December 31, 2023, compared to a loss of approximately HKD 2,000,000 in 2022[16]. - The trade finance segment recorded a profit of approximately HKD 110,000 for the year ended December 31, 2023, down from a profit of approximately HKD 140,000 in 2022[17]. - The company's cash and bank balances decreased by approximately 41% to HKD 47.1 million as of December 31, 2023, compared to HKD 79.9 million in 2022[22]. - The company recorded a net asset value of approximately HKD 84.7 million as of December 31, 2023, compared to a net liability of HKD 37.2 million in 2022[22]. - The group reported a loss for the year ending December 31, 2023, with detailed financial status available in the audited financial statements[192]. Client and Account Management - The number of client accounts at Sheng Yuan Securities increased to 765 as of December 31, 2023, compared to 723 accounts as of December 31, 2022[9]. - Client trust bank accounts decreased to approximately HKD 45,400,000 as of December 31, 2023, a reduction of 45% from HKD 82,400,000 as of December 31, 2022, primarily due to client withdrawals[9]. - Accounts receivable and other receivables increased by approximately 60% to HKD 28.2 million, up from HKD 18 million in 2022, primarily due to increased trade financing[22]. - The top five customers accounted for approximately 63% of the total revenue, with the largest customer representing about 30% of total revenue[195]. Corporate Governance - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance accountability and transparency[40]. - The independent non-executive directors represent more than one-third of the board, ensuring robust independence in decision-making[43]. - The company has adopted the standard code of conduct for securities trading by directors, ensuring compliance throughout the year[41]. - The board is responsible for formulating the group's strategy and policies, approving annual budgets, and overseeing daily operations[44]. - The company has established various committees, including the remuneration committee, nomination committee, and audit committee, to delegate specific responsibilities[45]. - The company has complied with the Corporate Governance Code as outlined in the Hong Kong Stock Exchange Listing Rules throughout the reporting period[40]. - The board retains decision-making authority on all significant matters of the group, including corporate governance policies and compliance with legal regulations[46]. - The company has established effective mechanisms to support an independent board, ensuring access to independent opinions and advice[61]. Board Composition and Meetings - The board of directors consists of two executive directors, one non-executive director, and three independent non-executive directors as of December 31, 2023[42]. - The company held a total of 6 board meetings during the year, with attendance rates for executive directors ranging from 83.33% to 100%[44]. - The remuneration committee held two meetings during the year, with all members attending both[51][52]. - The nomination committee also held two meetings, focusing on the composition and diversity of the board[57][58]. - The board currently consists of six members, including two executive directors and three independent non-executive directors, with one female director[56]. - The company has adopted a board diversity policy to ensure a range of skills and experiences among board members[56]. - Continuous professional development training was provided to all directors, with records submitted for the fiscal year ending December 31, 2023[48][49]. Employee Management and Culture - The company emphasizes a healthy work-life balance, organizing activities such as birthday celebrations and volunteer work for employees[150]. - The company has implemented safety policies to prevent accidents and ensure a safe working environment, with no reported work-related injuries or fatalities in the past three years[151]. - The company provides comprehensive medical coverage for all employees, including medical and dental benefits[153]. - Regular employee satisfaction surveys are conducted biannually to gather feedback on various aspects of the workplace[144]. - The company has a zero-tolerance policy towards any form of discrimination or harassment in the workplace[145]. - Employee training programs are regularly offered to enhance skills and knowledge, with management responsible for evaluating the effectiveness of these programs[156]. - The company is committed to fostering a diverse and inclusive work culture, ensuring equal opportunities for all employees[145]. - In 2023, the percentage of employees receiving training increased to 53% from 35% in 2022, with an average training duration of 8.34 hours per employee, up from 7.11 hours in 2022[158]. Environmental, Social, and Governance (ESG) Initiatives - The group has established an Environmental, Social, and Governance (ESG) working group responsible for collecting relevant data and reporting to the board at least annually[94]. - The report is prepared in accordance with the ESG Reporting Guidelines set by the Hong Kong Stock Exchange[99]. - Stakeholder engagement is prioritized, with communication channels established for shareholders, customers, employees, suppliers, government, and the community[105]. - The group has identified key ESG issues through assessments involving management and employees, continuing to apply previous assessment results due to no significant business changes[108]. - Key ESG issues include waste management, emissions control, energy management, and employee health management, with varying degrees of importance[109]. - The total greenhouse gas emissions for 2023 were 48.56 tons of CO2 equivalent, a decrease from 63.15 tons in 2022, representing a reduction of approximately 23.2%[117]. - The total amount of non-hazardous waste generated in 2023 was approximately 0.26 tons, down from 0.31 tons in 2022, reflecting a reduction of about 16.1%[123]. - The company has implemented various waste management measures, including promoting reusable office supplies and rechargeable batteries[121]. Compliance and Risk Management - The company has established high security and confidentiality standards to protect personal data, adhering to relevant privacy regulations[168]. - The company has implemented a reporting mechanism for whistleblowers, ensuring confidentiality and protection against unfair treatment[175]. - The company strictly adheres to the Prevention of Bribery Ordinance and has not encountered any significant violations related to bribery, extortion, fraud, or money laundering during the reporting period[172]. - The company has appointed a designated employee as the Anti-Money Laundering Reporting Officer to oversee compliance and investigations related to money laundering issues[176]. - The company has developed a comprehensive review plan for KYC and anti-money laundering matters, ensuring compliance with all regulatory requirements[176]. - The company has implemented monitoring and reporting mechanisms for large and suspicious transactions to enhance its ability to identify potential money laundering risks[176]. Community Engagement and Social Responsibility - The company encourages employees to contribute to recognized charities and supports community welfare initiatives as part of its corporate social responsibility[180]. - The company focuses on community investment in areas such as education, health, and culture[192].
盛源控股(00851) - 2023 - 年度财报