Financial Performance - The Group's revenue for the year ended December 31, 2023, declined compared to the corresponding period in 2022 due to the ongoing impacts of the COVID-19 pandemic and tight global monetary policies[10]. - Revenue for the year ended December 31, 2023, was approximately HK$562.0 million, representing a decrease of 24.7% compared to approximately HK$746.0 million for the year ended December 31, 2022, primarily due to the continued impact of the Pandemic[78]. - Loss attributable to owners of the Company was approximately HK$126.6 million for the year ended December 31, 2023, compared to approximately HK$77.5 million for the year ended December 31, 2022, mainly due to decreased revenue and fair value losses on investment properties[79]. - Basic loss per share for the year ended December 31, 2023, was HK14.75 cents, compared to HK15.76 cents for the year ended December 31, 2022, based on a weighted average number of 856,248,735 shares[80]. - The Group's gross profit margin increased from approximately 10.68% for the year ended December 31, 2022, to approximately 13.10% for the year ended December 31, 2023, due to improved profit margins in media entertainment platform related products and other multimedia products segments[25][29]. Revenue Breakdown - The revenue from the media entertainment platform related products segment increased by approximately 4.91% compared to the year ended December 31, 2022, amounting to approximately HK$97,454,000[27][32]. - The revenue from other multimedia products decreased by approximately 24.74% compared to the year ended December 31, 2022, totaling approximately HK$100,332,000[33][37]. - The revenue from the satellite TV equipment and antenna products segment decreased by approximately 29.92% compared to the year ended December 31, 2022, amounting to approximately HK$364,249,000[38][42]. - The Group's revenue from Asia for the year ended December 31, 2023, was approximately HK$94,271,000, a decrease of approximately 45.29% compared to HK$172,297,000 in 2022[49]. - The Group's revenue from Europe for the year ended December 31, 2023, was approximately HK$80,972,000, representing an increase of approximately 22.72% from HK$65,982,000 in 2022[49]. - The Group's revenue from North America for the year ended December 31, 2023, was approximately HK$346,801,000, a decrease of approximately 22.57% from HK$447,901,000 in 2022[57]. - The Group's revenue from South America for the year ended December 31, 2023, was approximately HK$30,185,000, a decrease of approximately 35.54% from HK$46,827,000 in 2022[57]. Financial Position and Cash Flow - The Group's total borrowings increased to approximately HK$421.6 million in 2023 from HK$370.5 million in 2022, with a gearing ratio rising from 42.73% to 49.79%[96]. - The current ratio improved to approximately 1.02 as of December 31, 2023, compared to 0.74 in 2022[96]. - The Group's overall cash and cash equivalents were approximately HK$69.4 million as of December 31, 2023, down from HK$79.2 million in 2022[96]. - The average turnover days for trade receivables was within the average credit period of 60 to 120 days[91]. - The average turnover days for trade payables increased to 136 days in 2023 from 115 days in 2022, reflecting tighter settlement terms with suppliers[93]. Strategic Initiatives - The Group is adopting a prudent approach to manage its cash flow and is seeking business opportunities in emerging markets to diversify its income sources[13]. - The Group has been sourcing from Southeast Asian suppliers to mitigate the negative impacts of the ongoing China-US trade war and avoid excessive tariffs on products from China[12]. - The Group aims to leverage new business opportunities arising from 5G peripherals and the Internet of Things to enhance revenue and profits[19]. - The Group's research and development team is developing new 5G-related products, including next-generation radio frequency and antenna products, to capitalize on market trends[19]. Rights Issue - A rights issue was conducted on March 27, 2023, on the basis of three rights shares for every two adjusted ordinary shares, completed on July 5, 2023, to strengthen the Group's financial position[20]. - The Rights Issue raised approximately HK$88.6 million before expenses, with net proceeds of approximately HK$84.6 million after expenses[61]. - The Group intends to use the net proceeds from the Rights Issue for partial repayment of outstanding loans and general working capital[61]. Joint Ventures and Redevelopment - A joint venture agreement was entered into with Guangdong Huasuan International Industrial Park Investment Development Co., Ltd. for the redevelopment of the Group's land into a precision intelligent manufacturing center[18]. - The Joint Venture aims to redevelop the land into a landmark precision intelligent manufacturing center and R&D innovation hub, with properties for leasing or sale[112]. - Huasuan is responsible for funding the entire redevelopment costs, while ZSS will secure bank loans if necessary[112]. - The Group will retain 20% of the total gross floor area and corresponding revenue from new buildings, while Huasuan will receive 80%[115]. Corporate Governance - The Company has complied with all mandatory disclosure requirements and code provisions of the Corporate Governance Code for the year ended December 31, 2023, with one noted deviation[137]. - The Board consists of two executive Directors, one non-executive Director, and three independent non-executive Directors as of December 31, 2023[144]. - The Company has arranged liability insurance for Directors and senior management, which is reviewed annually to cover legal actions arising from corporate activities[173]. - The Audit Committee held three meetings in 2023 to review annual audit planning, annual results, interim audit planning, and internal control reviews[187]. - The Nomination Committee conducted one meeting in 2023 to assess the structure, size, and composition of the Board[193].
圣马丁国际(00482) - 2023 - 年度财报