ASIA FINANCIAL(00662)2019-04-17 10:09Financial Performance - The company reported a profit of HKD 255.9 million for the year 2018, a decrease of 46.4% compared to HKD 477.1 million in 2017[8]. - Earnings per share (EPS) were HKD 0.262, down 46.3% from the previous year[13]. - The group's profit attributable to shareholders for the year ended December 31, 2018, was HKD 255.9 million, a decrease of 46.4% compared to the previous year[14]. - The earnings per share for 2018 was HKD 0.262, with a total dividend of HKD 0.070 per share for the year[14]. - The profit attributable to shareholders of Asia Insurance was HKD 260 million, a decline of 24.7%, while the operating revenue increased by 14.5%[17]. - The company reported a net profit of HKD 257,294,000 for the year, down 46.2% from HKD 478,791,000 in 2017[183]. - The total comprehensive income attributable to shareholders was HKD 255,889,000, down from HKD 477,098,000 in 2017, a decrease of 46.3%[183]. - The company reported a decrease in issued share capital to HKD 973,180,000 from HKD 978,478,000 in 2017[189]. Assets and Liabilities - Total assets rose by 13.0% to HKD 13.5468 billion[13]. - The total liabilities as of December 31, 2018, were HKD 4,118,687,000, compared to HKD 3,960,612,000 in 2017[144]. - The total assets as of December 31, 2018, amounted to HKD 13,546,785,000, compared to HKD 11,990,953,000 in 2017[144]. - The company's equity attributable to shareholders was HKD 9,428,098,000, up from HKD 8,030,341,000 in 2017, reflecting a growth of 17.4%[189]. Investment Strategy - The company plans to focus on investment opportunities related to insurance, retirement protection, healthcare, education, and real estate in Greater China and other Asian regions[11]. - The investment strategy will continue to focus on blue-chip, stable dividend-paying stocks and investment-grade bonds[19]. - The company aims to maintain prudent management of its cash and investment operations while exploring long-term investment opportunities[10]. Market Conditions - The company anticipates continued volatility in global stock markets due to factors such as US-China trade tensions and rising global debt levels[10]. - The insurance business is expected to perform well amid a competitive market as the company approaches its 60th anniversary[11]. Employee and Stakeholder Engagement - The total number of employees as of December 31, 2018, was 287, an increase from 274 in 2017[28]. - The company emphasizes the importance of maintaining good relationships with stakeholders, including employees, customers, suppliers, investors, regulatory bodies, and community members[25]. - The company prioritizes stakeholder engagement through effective communication channels, ensuring all stakeholders can participate openly[32]. - The employee turnover rate for full-time employees in 2018 is 10.03%, aligning with data published by the Hong Kong Human Resources Management Society[46]. - The company has implemented measures to enhance employee engagement through job rotation and participation in innovation projects[36]. Corporate Governance - The board consists of 10 members, with 4 executive directors (40%), 2 non-executive directors (20%), and 4 independent non-executive directors (40%)[92]. - The company has adopted a board diversity policy to enhance the board's composition[91]. - The company has complied with all applicable provisions of the Corporate Governance Code for the year ending December 31, 2018[88]. - The roles of the chairman and president are separated to ensure effective governance[96]. - The board held four regular meetings in 2018 to review business development and performance, approve the annual budget, and assess financial and operational updates[98]. Environmental and Social Responsibility - The total greenhouse gas emissions in 2018 amounted to 833.21 tons of CO2, with a density of 0.56 tons per HKD 1 million in revenue[62]. - The company reduced its carbon emissions by 11.2% from 2009 to 2018, despite business growth[65]. - The group emphasizes compliance with environmental and social standards in its supply chain management[71]. - The group actively participates in social enterprises to support community development[80]. - The total amount donated and sponsored by the group was approximately HKD 7.58 million in 2018[78]. Risk Management - The group faces various risks, including credit risk, stock price risk, insurance risk, interest rate risk, liquidity risk, foreign exchange risk, market risk, and operational risk[24]. - The Risk Committee assists the Board in overseeing the effectiveness of the risk management system and has engaged external consultants for cybersecurity risk assessments[121]. - The company has established a cybersecurity task force to enhance its risk management capabilities related to cybersecurity threats[121]. Financial Reporting and Audit - The company's financial statements for the year ended December 31, 2018, were audited and reviewed by the external auditor, with no significant uncertainties affecting the company's ability to continue as a going concern[119]. - The audit report confirmed that the financial statements present a true and fair view of the company's financial position as of December 31, 2018[180]. - The auditors believe that the audit evidence obtained is sufficient and appropriate to provide a basis for the audit opinion on the consolidated financial statements[173].