Fenbo Holdings Limited Reports Full Year 2023 Financial Result

Core Viewpoint - Fenbo Holdings Limited reported stable financial performance for the fiscal year ended December 31, 2023, with a slight decrease in revenue but an increase in gross profit and improved gross profit margin [3][4]. Financial Performance - Revenue for the fiscal year 2023 was HK$119.1 million (US$15.2 million), a decrease of HK$0.6 million or 0.5% from HK$119.7 million in 2022, primarily due to lower sales of curling wands and irons [3][5]. - Gross profit increased to HK$22.1 million (US$2.8 million), up HK$3.3 million or 17.6% from HK$18.8 million in 2022, with a gross profit margin rising to 18.6% from 15.7% [3][8]. - Net cash provided by operating activities was HK$9.7 million for 2023, compared to HK$5.7 million in 2022, indicating improved cash flow management [3][22]. Operational Insights - Loss from operations decreased to HK$0.4 million in 2023, down HK$2.1 million from a loss of HK$2.5 million in 2022, attributed to increased gross profit and controlled administrative expenses [3][10]. - General and administrative expenses rose by HK$1.3 million to HK$20.5 million, mainly due to increased staff costs and travel expenses as restrictions were lifted [9][10]. Market Dynamics - The company is focused on optimizing purchasing strategies and enhancing product quality to maintain competitive advantages and improve margins [4][8]. - Fenbo plans to expand its market presence in 2024 by collaborating with its sole customer, Spectrum Brands, to penetrate new and existing geographical markets [4][8]. Recent Developments - The company successfully closed its initial public offering of 1,000,000 ordinary shares at a price of $5.00 per share, raising total gross proceeds of $5 million, with shares trading on Nasdaq under the ticker symbol "FEBO" [12].