Financial Performance - The Group recorded a revenue of approximately HK$999.4 million, representing an increase of approximately 91.2% from approximately HK$522.6 million for the year ended 31 December 2021[6]. - The gross profit for the Group was approximately HK$47.8 million, compared to approximately HK$37.9 million for the corresponding period[6]. - The increase in revenue was primarily due to the growth in the Agricultural and Meat Business, which expanded its customer base by supplying products to supermarkets and initiating online sales in the PRC[6]. - During the Reporting Period, revenue from the Agricultural and Meat Business segment increased by approximately 91.2%, from approximately HK$522.6 million to approximately HK$999.4 million[27]. - The Agricultural and Meat Business segment recorded a gross profit of approximately HK$47.8 million, compared to HK$37.9 million in the previous year[27]. - The Group's net profit for continuing and discontinued operations during the Reporting Period was HK$40.1 million, compared to HK$30.6 million in 2021[54]. Business Strategy and Development - The business strategy focuses on exploring potential business and investment opportunities to increase share value[15]. - The Group aims to strengthen its revenue stream by diversifying its product offerings, including agricultural, meat, poultry, and seafood products[6]. - The Group is seeking suitable investment opportunities to diversify its business and income streams, focusing on growth potential[69]. - To expand its Agricultural and Meat Business, the Group started consolidating agricultural products from various farms and entered into long-term cooperation agreements with agricultural companies in other provinces in China[70]. - The Group is exploring vertical integration opportunities, including door-to-door delivery services for its agricultural, seafood, and meat products in China[71]. - The Group is considering other potential profitable businesses to boost future profitability, particularly in the Agricultural and Meat Business in China and Hong Kong[72]. Partnerships and Agreements - The Group entered into a service agreement with Meituan Select in January 2022 to broaden sales channels, allowing the sale of agricultural and meat products through Meituan's platform[15]. - Meituan Select now covers more than 90% of cities and counties in the PRC, enhancing the Group's market reach[15]. - The Group entered into a procurement agreement with the Government Offices Administration of Conghua District, Guangzhou City, Guangdong Province, for the purchase of grain and oil products, agricultural and sideline products, and other supplies[22]. - The Group has entered into a procurement agreement with Jiajia (Beijing) Digital Technology Company Limited for the purchase of various food products, with a term of three years[19]. - The Group has entered into a procurement agreement with ten buyers for the sale of agricultural, seafood, and meat products on the Meituan Grocery platform[25]. Financial Position and Management - As of the end of the Reporting Period, the Group had bank balances and cash of approximately HK$9.3 million, a decrease from HK$142.8 million in 2021[52]. - The total borrowings of the Group amounted to approximately HK$266.5 million, down from HK$310.9 million in 2021[55]. - The Group's quick ratio was approximately 1.04 times, compared to 1.2 times in 2021[52]. - The Group's overall strategy remains unchanged compared to the previous year, focusing on improving debt and equity ratios to enhance shareholder returns[60]. - The Group's management is prepared to obtain financing on favorable terms if additional funding opportunities arise[56]. - The Group has no equity fund raising activity during the Reporting Period[58]. Risk Management and Governance - The Company has established risk management procedures to address significant risks associated with its business and conducts annual reviews of any significant changes in the business environment[108]. - The Audit Committee has reviewed the internal control and risk management systems and found them effective and adequate for the Reporting Period[100]. - The Company has adopted an anti-corruption policy and established whistleblowing procedures to encourage employees to report improprieties[93]. - The internal control systems are designed to provide reasonable assurance against material misstatement or loss, rather than absolute assurance[106]. - The Board is responsible for maintaining an effective internal control system to safeguard shareholder investments and Company assets[106]. Corporate Governance - The Group's corporate governance practices comply with the Corporate Governance Code, with periodic reviews to ensure ongoing compliance[92]. - The Company has arranged appropriate Directors and officers' liabilities insurance coverage for potential legal actions against Directors and officers[122]. - The Company has provided sufficient resources to the Audit Committee to perform its duties effectively[161]. - The Nomination Committee consists of four members, including one executive director and three independent non-executive directors, ensuring compliance with the Corporate Governance Code[198]. - The Board has implemented a diversity policy aimed at enhancing performance quality and achieving sustainable development through increased diversity in gender, age, cultural background, and professional experience[199]. Employee and Board Diversity - As of December 31, 2022, the board includes three female directors, demonstrating a commitment to gender diversity[151]. - The company has 37 female employees and 23 male employees, continuing to promote gender diversity and equality in the workforce[156]. - The company emphasizes the importance of a diverse Board in achieving its strategic goals and sustainable development[199]. - All Board appointments are based on meritocracy, considering objective criteria while recognizing the benefits of diversity[199].
中国金控(00875) - 2022 - 年度业绩