Financial Performance - Revenue for the year ended December 31, 2024, was HK$129,595,000, representing a 95.5% increase from HK$66,328,000 in 2023[13] - Gross profit decreased to HK$9,027,000 in 2024 from HK$11,233,000 in 2023, reflecting a decline of 19.6%[13] - Loss before income tax improved to HK$76,446,000 in 2024 from HK$94,639,000 in 2023, a reduction of 19.2%[13] - Revenue from the apparel operation for 2024 was approximately HK$47,907,000, a decrease of 15.5% from HK$56,488,000 in 2023[25] - Revenue from the IP and products operation business surged to approximately HK$76,118,000 in 2024, compared to HK$1,641,000 in 2023, marking a significant increase[26] - Revenue from the money lending operation amounted to approximately HK$5,570,000 in 2024, down 32.9% from HK$8,199,000 in 2023[31] - The loss attributable to the owners of the Group for the year ended December 31, 2024, was approximately HK$76,628,000, representing an 18.3% decrease from HK$93,749,000 in 2023[133] Assets and Liabilities - Total assets decreased to HK$195,071,000 in 2024 from HK$214,185,000 in 2023, a decline of 8.9%[13] - Total liabilities remained relatively stable at HK$65,050,000 in 2024 compared to HK$65,473,000 in 2023[13] - Shareholders' equity decreased to HK$130,957,000 in 2024 from HK$148,113,000 in 2023, a drop of 11.5%[13] - Current ratio decreased to 2.79 in 2024 from 3.13 in 2023, indicating a decline in short-term liquidity[13] - Quick ratio also decreased to 2.56 in 2024 from 2.97 in 2023, reflecting a similar trend in liquidity[13] Profitability Ratios - Return on assets was (39.3%) in 2024, an improvement from (43.8%) in 2023[15] - Return on equity improved to (58.5%) in 2024 from (63.3%) in 2023, indicating a reduction in losses relative to equity[15] Strategic Initiatives - The company aims to optimize its existing business structure and seek new opportunities to enhance performance and maximize shareholder returns in 2025[32] - Future strategies include refining product design and development capacities to elevate gross profit margins in the apparel business[33] - The company plans to deepen business development in IP application and products operation, leveraging Web3.0 and blockchain technology[37] - The collaboration with IP partners will be expanded to foster continuous innovation in multifaceted IP applications[37] Management and Governance - Mr. Li was appointed as an executive director and chairman of the board on January 19, 2022, and will cease to be chairman effective August 2, 2024[44] - Mr. Li has over 20 years of experience in investment activities and business management, holding directorships in several listed companies[49] - Ms. Tin, aged 59, was appointed as an executive director on October 11, 2019, and has extensive experience in trading business in Hong Kong and the PRC[55] - Mr. Chan, aged 57, was appointed as an executive director on August 2, 2021, with experience in international trading, sales, marketing, and business development[58] - Mr. Li has held various senior management positions in capital investment and entity enterprises, with industry experience in fashion apparel and information technology[52] Financial Instruments and Investments - The company recognized a net fair value loss on financial assets at fair value through profit or loss of approximately HK$5,725,000 for the year ended December 31, 2024, compared to a loss of HK$8,760,000 in 2023[108] - The company recorded a fair value loss on contingent receivables related to the acquisition of subsidiaries of approximately HK$4,260,000 for the year ended December 31, 2024, compared to a fair value gain of HK$6,865,000 in 2023[109] - The Group's financial assets at fair value through profit or loss included investments in listed securities of approximately HK$10,872,000 as of December 31, 2024, up from HK$3,135,000 in 2023[155] Share Capital and Financing - The issued share capital of the Company increased from HK$21,370,763.24 as of December 31, 2023, to HK$26,821,797.12 as of December 31, 2024, following a share consolidation[162][164] - The company issued 3-year 2% coupon convertible bonds and 2-year 10% coupon convertible bonds in January and August 2022, respectively[168] - The 10% convertible bonds with a principal amount of HK$15,000,000 were fully redeemed on August 21, 2024[169] - On December 5, 2023, the company successfully issued 110,862,000 placing shares at a price of HK$0.10 per share, raising gross proceeds of HK$11,086,200[174] - The net proceeds from the placing were approximately HK$10,900,000, allocated for repayment of outstanding liabilities (approximately HK$9,100,000) and general working capital (approximately HK$1,800,000)[175]
天机控股(01520) - 2024 - 年度财报