Financial Performance - The company achieved a revenue of HKD 561 million for the year 2023, representing a year-on-year growth of 41.4% compared to 2022[6]. - For the year ended December 31, 2023, the consolidated revenue from continuing operations was approximately HKD 563,539,000, an increase of about 27.5% compared to HKD 441,913,000 in 2022, primarily driven by significant growth in big data services[10]. - Revenue from big data services for the year was approximately HKD 561,399,000, representing a 41.4% increase from HKD 397,021,000 in 2022[16]. - The total revenue for 2023 reflects the company's successful adaptation to changing user demands amid economic transformation[6]. - The gross profit from continuing operations increased to approximately HKD 402,390,000, with a gross margin of about 71.4%, up from 60.6% in 2022[21]. - The loss from continuing operations for the year was approximately HKD 132,463,000, compared to HKD 89,216,000 in 2022, mainly due to increased other losses, distribution and sales expenses, and R&D expenses[10]. - The company reported a significant decline in revenue from third-party payment services, contributing approximately HKD 2,140,000, a decrease of about 95.2% from HKD 44,892,000 in 2022[17]. - The loss from the third-party payment services segment increased to approximately HKD 123,657,000, compared to HKD 21,299,000 in 2022[17]. Business Strategy and Development - The company has established itself as a key supplier for several leading retail credit financial institutions in China[6]. - Future development will focus on regulatory and market demands, enhancing product application depth and service breadth[8]. - The company aims to embed its AI-enabled algorithm solutions into clients' full lifecycle intelligent risk control platforms[8]. - The company is committed to exploring new business growth points in various sectors, including retail finance and insurance risk operations[8]. - The company emphasizes the importance of improving input-output ratios in technology investments for financial institutions[5]. - The shift in technology investment from broad to precise, with a focus on specific business areas such as data governance and digital marketing[5]. - The company is primarily an investment holding company with significant operations in China, where it expects most of its revenue to continue to come from[67]. - The company is focused on expanding its market presence and exploring new strategies for growth[67]. Risk Management and Compliance - The company has faced various risks and uncertainties that could impact its financial condition and operational performance, particularly related to economic, political, and legal developments in China[68]. - The company has established policies to continuously identify and manage risks that may adversely affect its operations[68]. - The financial risk management objectives and policies of the company are detailed in the consolidated financial statements[67]. - The company has implemented a whistleblowing policy to enhance monitoring awareness among employees[172]. - The company ensures compliance with the Securities and Futures Ordinance and listing rules regarding the handling and disclosure of inside information[171]. - The company has established a risk management framework that includes a risk management team and regular evaluations of significant risks[167]. Corporate Governance - The board consists of seven members, including three executive directors, one non-executive director, and three independent non-executive directors[138]. - The board has adopted a diversity policy, considering factors such as gender, age, cultural background, and professional experience for board member appointments[148]. - The company has arranged suitable liability insurance for directors and senior officers to protect against legal actions arising from corporate activities[146]. - The remuneration committee held one meeting during the year, with a 100% attendance rate from all members[156]. - The Audit Committee conducted two meetings in the year, achieving a 100% attendance rate from all members[164]. - The independent non-executive directors have confirmed compliance with the standards set out in the listing rules for the year ended December 31, 2023[137][140]. - The company has established a shareholder communication policy to ensure that shareholder opinions and concerns are properly addressed[182]. Employee and Social Responsibility - The company has achieved a gender diversity ratio of approximately 62:38, with 65 female employees representing 38.0% of the total workforce[150]. - The company has implemented appropriate recruitment practices to ensure gender diversity among senior employees[150]. - The company encourages all directors to participate in external training courses for continuous professional development[145]. - The company emphasizes the importance of sustainable development and corporate social responsibility, outlining strategies and practices related to environmental, social, and governance (ESG) matters[190]. - The company has formed an ESG working group composed of senior management to support the board in implementing ESG strategies and managing identified issues[191]. - Regular communication with stakeholders is conducted to track and review sustainability priorities, integrating results into sustainability measures and strategies[192]. Shareholder Information - The company did not recommend a final dividend for the year, consistent with the previous year[13]. - As of December 31, 2023, the reserves available for distribution to shareholders were approximately HKD 312,471,000, down from HKD 393,546,000 in 2022[75]. - The company encourages all shareholders to attend the Annual General Meeting and allows for proxy representation if unable to attend[177]. - The company will hold its next Annual General Meeting on June 27, 2024[177]. Financial Position - As of December 31, 2023, the company's non-current assets amounted to approximately HKD 495,369,000, a decrease from HKD 739,502,000 in 2022[29]. - The total debt of the company as of December 31, 2023, was approximately HKD 595,813,000, down from HKD 640,250,000 in 2022[30]. - The company's debt-to-equity ratio as of December 31, 2023, was approximately 130.4%, compared to 124.3% in 2022[32]. - The net debt-to-equity ratio as of December 31, 2023, was approximately 79.8%, an increase from 53.1% in 2022[32]. - The current ratio as of December 31, 2023, was approximately 1.0 times, up from 0.8 times in 2022[32]. Audit and Financial Reporting - The financial statements for the year ended December 31, 2023, were audited by a reputable accounting firm, which is eligible and willing to be reappointed[131]. - The auditor's fees for audit services amounted to approximately HKD 2,650,000 for the year ending December 31, 2023, a decrease from HKD 3,080,000 in 2022[166]. - Non-audit services fees were approximately HKD 1,060,000 for the year ending December 31, 2023, slightly down from HKD 1,080,000 in 2022[166]. - The company confirmed that the report does not contain any false information, misleading statements, or significant omissions, ensuring the accuracy and completeness of the content[188].
联洋智能控股(01561) - 2023 - 年度财报