Environmental Sustainability - The company recorded a carbon footprint of 0.68 kg per kWh of electricity sold in 2022 according to the Hong Kong Electric's sustainability report[2]. - The company has not reported any significant hazardous or non-hazardous waste during the reporting period, promoting a paperless office environment[1]. - The company encourages a paperless work environment by implementing measures such as default double-sided printing and allowing employees to use personal devices for meetings[1]. - The company is committed to integrating sustainable development principles into its business strategy and daily operations[115]. Financial Performance - For the year ended December 31, 2023, revenue was approximately HKD 35.4 million, a decrease of 5.71% from HKD 37.5 million in 2022[120]. - Gross profit for the same period was approximately HKD 30.0 million, down from HKD 32.0 million in 2022, reflecting a decline of 6.41%[121]. - The loss before tax increased to approximately HKD 59.8 million in 2023, compared to a loss of HKD 35.7 million in 2022, marking a 67.44% increase in losses[120]. - The net profit attributable to the company's owners, excluding changes in fair value of investment properties, was approximately HKD 16.6 million, down 8.84% from HKD 18.2 million in 2022[120]. - The group recorded rental income of approximately HKD 31.1 million for the year ended December 31, 2023, a slight decrease from HKD 33.5 million in 2022[171]. - Of the total rental income, approximately HKD 17.9 million or 57.6% came from office properties, while HKD 13.2 million or 42.4% came from retail properties[171]. - Property management fee income was approximately HKD 4.3 million, representing 12.2% of total revenue for the year, up from 10.8% in 2022[171]. Governance and Compliance - The board of directors does not recommend any dividend payment for the year ending December 31, 2023, consistent with the previous year[4]. - The company has established a nomination committee to review the board's structure and diversity at least once a year[27]. - The company established a remuneration committee to recommend overall remuneration policies for all directors and senior management, ensuring no director determines their own remuneration[36]. - The audit committee held two meetings during the year to review the group's annual and interim performance[42]. - The audit committee is responsible for monitoring the company's internal control procedures and corporate governance responsibilities[39]. - The company has implemented a policy to ensure compliance with legal and regulatory requirements, which is monitored by the audit committee[40]. - The company is committed to ensuring that all related party transactions are conducted on normal commercial terms and are subject to annual review by the audit committee[41]. - The company acknowledges the importance of protecting shareholder privacy and will not disclose shareholder information without consent, except as required by law[71]. - The board is responsible for preparing the consolidated financial statements to accurately reflect the group's financial position and performance for the year ending December 31, 2023[72]. - The board believes that the consolidated financial statements provide a fair, clear, and understandable assessment as required by statutory disclosures[72]. Risk Management - The board has established a risk management policy aimed at ensuring stable business growth and addressing business-related risks proactively[76]. - The company has a framework for risk management procedures to ensure all significant risks are identified, assessed, and managed effectively[77]. - The board regularly reviews the effectiveness of the risk management and internal control systems, confirming their adequacy for the year ending December 31, 2023[83]. - The board has delegated risk management responsibilities to the audit committee, which oversees the management's implementation of risk management systems[75]. - The company faces risks related to fluctuations in the fair value of investment properties, which may differ from actual realizable values[90]. - The company is susceptible to impacts from sudden outbreaks of infectious diseases, which can negatively affect operations and rental income[91]. Shareholder Relations - The board of directors is committed to maintaining ongoing dialogue with shareholders and potential investors to enhance long-term shareholder value[57]. - The company’s dividend policy will be determined by the board based on profitability, cash flow, financial condition, capital requirements, and other relevant factors[70]. - The group has not proposed any final dividend for the year ending December 31, 2023, consistent with the previous year[100]. - The group’s distributable reserves as of December 31, 2023, are approximately HKD 369,353,000, compared to HKD 367,520,000 in 2022[104]. Management and Leadership - The company has a strong leadership team with diverse backgrounds in finance, law, and property management, enhancing strategic planning capabilities[197]. - The executive director has over 30 years of experience in property investment and related activities, overseeing overall administrative work[196]. - The independent non-executive director has over 31 years of auditing and accounting experience, contributing to the company's financial oversight[196]. - The chairman has received multiple social awards for contributions to the community, reflecting the company's commitment to social responsibility[195]. - The company aims to enhance its operational management and market development strategies through experienced leadership[195]. - The executive director has been with the company since 1992, indicating strong institutional knowledge and continuity in management[196]. Market Conditions - The real estate industry faces challenges due to high global inflation and interest rates, impacting economic growth and creating uncertainty in growth prospects[172]. - The group's business performance is sensitive to the economic conditions and consumer confidence in Hong Kong, which may impact the real estate market[93]. - The company emphasizes prudent financial management as a key factor for success and is prepared to seize new opportunities despite market challenges[172]. - The company will focus on investing in a resilient portfolio to generate stable recurring income and create value for shareholders[172].
晋安实业(02292) - 2023 - 年度财报