Financial Performance - The total revenue for the year was approximately RMB 248,399,000, a decrease of 86.2% compared to the previous year (RMB 1,793,763,000) [23] - The net loss attributable to the company's owners for the year was RMB 489,482,000, compared to RMB 663,554,000 in the previous year, with a basic loss per share of RMB 71.67 [24] - Property sales revenue for the year was approximately RMB 247,785,000, down 86.2% from RMB 1,793,263,000 in the previous year due to weakened demand [26] - Rental income for the year was approximately RMB 614,000, an increase from RMB 500,000 in the previous year, despite a fair value loss of RMB 79,390,000 on investment properties [27] - Financing costs for the year amounted to approximately RMB 492,057,000, significantly up from RMB 136,954,000 in the previous year due to the completion of several development projects [28] - The income tax expense for the year was approximately RMB 11,155,000, a decrease of 79.1% from RMB 53,397,000 in the previous year, primarily due to reduced taxable profits [29] Corporate Restructuring - In July 2023, the company completed a capital restructuring, which included a share consolidation, capital reduction, and share issuance [16] - The company appointed a new board of directors and established a new management team following the restructuring [16] - The board and new management team will actively seek potential investment projects and explore opportunities in land and property investments outside of China, including in France, Japan, and Malaysia [16] - On November 30, 2023, the company changed its English name to "Japan Kyosei Group Company Limited" to establish a new corporate image and identity [16] Assets and Liabilities - As of December 31, 2023, the group's cash and bank balances were approximately RMB 44,011,000, a decrease from RMB 183,449,000 in 2022 [32] - The total borrowings of the group were approximately RMB 1,657,501,000, down from RMB 2,704,114,000 in 2022, resulting in a debt-to-asset ratio of 24.9%, compared to 32.0% in 2022 [32] - Current assets were approximately RMB 6,023,988,000, down from RMB 7,616,001,000 in 2022, while current liabilities were approximately RMB 7,190,658,000, down from RMB 7,916,622,000 in 2022 [33] - The net debt of the group was approximately RMB 712,778,000, a decline of 413.5% from a net asset of RMB 227,334,000 in 2022 [33] Governance and Management - The board of directors is responsible for overall management, including strategy formulation and performance monitoring [150] - The board consists of one executive director and three independent non-executive directors, ensuring a strong independent element [158] - The roles of the chairman and CEO are clearly defined and separated to ensure independence and checks and balances [162] - The company has adopted governance policies to ensure high standards of business conduct and ethics [152] - The audit committee consists of three independent non-executive directors, ensuring oversight of financial reporting and compliance [175] Risk Management - The company has established procedures for identifying, assessing, and managing significant risks that may impact its business and operations [196] - Risk assessment includes evaluating the impact and likelihood of risks on the business [197] - The board is responsible for the risk management and internal control system, aiming to identify and control the impact of identified risks [199] - The company’s risk management system is designed to manage rather than eliminate risks associated with achieving business objectives [199] Employee and Social Responsibility - The company is committed to fulfilling social responsibilities and promoting employee welfare, environmental protection, and sustainable development [122] - The company has established a long-term incentive plan through its share option scheme to reward employees based on performance and contributions [119] - The group has approximately 106 employees as of December 31, 2023, with compensation based on market benchmarks [47] Compliance and Legal Matters - The company has not been aware of any significant legal or regulatory violations that could impact its operations during the year [121] - The company complies with the corporate governance code and has established a whistleblowing channel for reporting misconduct [152] Future Outlook - The company is focused on new business development in the environmental materials and international trade sectors, leveraging the expertise of its new CEO [133] - The company aims to enhance its market presence through strategic initiatives and potential mergers and acquisitions in the future [132]
福晟国际(00627) - 2023 - 年度财报