Financial Performance - China Eco-Farming Limited reported a significant increase in revenue, achieving a total of HKD 150 million for the fiscal year 2022, representing a growth of 25% compared to the previous year[1]. - The Group recorded revenue of approximately HK$26,134,000 for the year ended 31 December 2022, a decrease of approximately 64.3% compared to HK$73,267,000 in 2021[43]. - Loss attributable to owners of the Company amounted to approximately HK$62,359,000, compared to a loss of HK$51,270,000 in 2021[43]. - The one-stop value chain services segment reported revenue of approximately HK$2,198,000, representing a decrease of approximately 32.4% from HK$3,252,000 in 2021[45]. - The distribution business segment reported revenue of approximately HK$23,613,000, a decrease of approximately 66.2% compared to HK$69,798,000 in 2021[50]. - The money lending services segment reported revenue of approximately HK$323,000, an increase of approximately 48.8% compared to HK$217,000 in 2021[56]. - The basic loss per share was approximately HK51.52 cents, slightly improved from HK52.92 cents in 2021[43]. - The Group's cash flow was impacted by extended payment terms requested by downstream clients due to the economic downturn[53]. - The net assets of the Group were approximately HK$71,934,000 as of December 31, 2022, compared to HK$129,180,000 in 2021[105]. - The Group's total assets were approximately HK$162,095,000 as of December 31, 2022, down from HK$238,713,000 in 2021[110]. Market Expansion and Strategy - Future outlook indicates a projected revenue growth of 20% for the next fiscal year, driven by new product launches and market expansion strategies[1]. - China Eco-Farming Limited plans to enter two new markets in Southeast Asia by the end of 2023, aiming to increase market share by 15% in these regions[1]. - The company has completed a strategic acquisition of a local eco-farming startup for HKD 5 million, enhancing its service offerings and operational capabilities[1]. - The Group's investment strategy focuses on securities with growth potential to capture capital appreciation and diversify investment risks[88]. - The Group anticipates increased demand for money lending services, but is also cautious about potential default risks and will enhance loan approval procedures[172]. Corporate Governance and Leadership - China Eco-Farming Limited has strengthened its corporate governance framework, ensuring compliance with the GEM Listing Rules[1]. - The company has a diverse board with members holding degrees in business administration, law, and surveying, enhancing its strategic capabilities[25]. - The board includes independent non-executive directors who contribute to the audit and remuneration committees, ensuring compliance and governance[29]. - The leadership team is committed to strategic planning and investment evaluation to enhance overall company performance[22]. - The Directors have decided to scale down the financial services business and reallocate resources to other more promising areas depending on market conditions[173]. Financial Services and Lending - The Group's financial services business performance has been unsatisfactory, with no income generated during the reporting period[173]. - The Directors anticipate an increase in lending demand from personal and corporate clients, but also acknowledge a rise in default risk due to repayment difficulties[174]. - The Group will enhance loan approval processes and carefully filter high-risk clients to protect its interests[174]. - The total outstanding principal amount of loans granted in Hong Kong was HK$8.5 million, with interest rates ranging from 8% to 36%[57]. - The expected credit loss assessment was based on HKFRS 9, with a "Three-stage" approach for impairment based on changes in credit quality since initial recognition[69]. Operational Challenges - The Group's one-stop value chain services have faced budget cuts from potential customers due to COVID-19, but management is actively seeking new customers and maintaining relationships with existing ones[157]. - The Group is cautious about its property investments due to geopolitical tensions and a pessimistic global atmosphere, monitoring its portfolio closely[159]. - Administrative expenses increased to approximately HK$47,516,000, up approximately 46.3% from HK$32,458,000 in 2021, primarily due to higher marketing and entertainment expenses[102]. - The Group's financing costs decreased by approximately 32.0% to HK$4,272,000 from HK$6,279,000 in 2021, mainly due to reduced financing costs incurred by repaying lenders[106]. Customer and Supplier Concentration - The five largest customers accounted for approximately 54.3% of the Group's turnover, down from 73.1% in 2021[183]. - The five largest suppliers accounted for approximately 60.9% of the Group's purchases, down from 68.9% in 2021[183].
中国农业生态(08166) - 2023 - 年度财报