Financial Performance - The company recorded an annual revenue of approximately HKD 1,168,040,000 for the fiscal year ending March 31, 2022, a decrease from HKD 1,243,110,000 in the previous year[8]. - The company reported a loss before tax of approximately HKD 348,020,000, compared to a profit of HKD 536,280,000 in the previous year, primarily due to impairment losses related to intangible assets and exploration assets[9]. - The total revenue for the year ended March 31, 2022, was approximately HKD 1,168,040,000, a decrease of about 6.04% compared to HKD 1,243,110,000 in the previous year, primarily due to the ongoing challenges of the COVID-19 pandemic[16]. - Diesel sales accounted for approximately 69.87% of total revenue, while gasoline sales represented 23.29%, with gasoline sales declining significantly, contributing to the overall revenue decrease[16]. - The company reported a net loss of HKD 349,570,000, compared to a profit of HKD 536,717,000 in the previous year, indicating a significant decline in profitability[182]. - Total comprehensive loss for the year was HKD 389,207,000, compared to a comprehensive income of HKD 541,034,000 in the previous year[182]. - The company's equity attributable to owners decreased to HKD (2,368,641,000) from HKD (1,988,443,000), reflecting a worsening financial position[184]. - Basic loss per share was HKD (2.37), compared to earnings per share of HKD 2.38 in the previous year[182]. Impairment and Asset Management - The impairment loss on intangible assets related to mining rights in Russia was approximately HKD 175,950,000, while the impairment loss on exploration assets was approximately HKD 281,570,000[9]. - Impairment losses on intangible assets related to mining rights in Russia were approximately HKD 175,950,000, while impairment losses on exploration and evaluation assets were about HKD 281,570,000, reflecting significant changes in coal pricing and currency fluctuations[18]. - The audit identified the impairment assessment of intangible assets and E&E assets as a key audit matter due to its significance to the overall financial statements and the substantial management judgment involved[168]. Operational Focus and Strategy - The company aims to focus on its core businesses of diesel and gasoline trading, as well as coal mining, while cautiously exploring expansion opportunities[12]. - The company plans to enhance its market position in Korea's diesel and gasoline trading through competitive pricing strategies and improved value-added services at individual gas stations[12]. - The company is focused on developing its coal mining operations, with plans for the first year of coal production expected around 2029, while ensuring minimal environmental impact through consultations with industry experts and local communities[27]. - The group is focused on diversifying its operations by exploring other business areas when opportunities arise[31]. Financial Position and Liquidity - The net current liabilities of the group as of March 31, 2022, were HKD 3,362,810,000, a decrease from HKD 3,609,270,000 in 2021[36]. - The current ratio of the group was 0.66% as of March 31, 2022, compared to 0.85% in 2021[36]. - The group recorded a net cash outflow of HKD 50,000 during the review year, an improvement from a net cash outflow of HKD 3,730,000 in 2021[36]. - The total cash and cash equivalents increased to HKD 3,050,000 as of the end of the reporting year, up from HKD 2,150,000 in 2021[36]. - The group plans to explore opportunities for loan capitalization and potential equity financing to improve financial conditions[35]. - The company has received financial support amounting to approximately $106.92 million (equivalent to about HKD 833.98 million) through multiple loan financing agreements, effective for 18 months starting June 2022[199]. - The board believes that the group will have sufficient funds to meet its future operating capital and financial obligations due to the successful implementation of measures and financial support received[198]. Governance and Compliance - The company has adopted a share option scheme for its directors, employees, and consultants[52]. - The company is committed to high standards of corporate governance, with relevant information detailed in the corporate governance report[103]. - The board of directors regularly reviews the compensation policy to retain and motivate directors, with no participation from directors in approving their own remuneration[54]. - The company is in compliance with all significant legal and regulatory requirements affecting its business operations[107]. - The board has adopted a nomination policy to assess the suitability and potential contributions of candidates for directorship[137]. Environmental and Social Responsibility - The company emphasizes the importance of environmental sustainability in its Russian coal mining projects and aims to ensure balanced mining development plans[13]. - The company emphasizes environmental sustainability and has implemented various recycling and waste reduction measures[104]. Legal Matters - The company is involved in multiple legal proceedings, with outcomes still pending[47]. - Ongoing legal proceedings regarding ownership disputes of convertible bonds are still in progress, which may impact future financial reporting[197]. Market and Economic Conditions - The company anticipates that inflation will peak in 2023, which may lead to a stabilization of the COVID-19 pandemic and a gradual easing of supply chain pressures[12]. - The geopolitical tensions related to the Ukraine situation and sanctions imposed by several countries have affected and may significantly impact the Russian economy and the group's activities in the future[164].
能源及能量环球(01142) - 2022 - 年度财报