Financial Performance - The group recorded a consolidated revenue of HKD 380,630,000 for the year ended December 31, 2023, a decrease of 39.5% compared to HKD 628,672,000 in the previous year[38]. - The gross profit was HKD 43,499,000 with a gross margin of 11.4%, down by HKD 3,919,000 and 8.3% respectively from the previous year[56]. - The group incurred a loss of HKD 172,132,000 for the year, an improvement from a loss of HKD 213,452,000 in the previous year[43]. - The revenue from the PVC pipe and fittings segment was HKD 316,493,000, a decline of 36.4% from HKD 497,440,000 last year, with a segment loss of HKD 33,436,000[39]. - In the household products segment, revenue was HKD 62,602,000, down 51.8% from HKD 129,959,000, with a profit of HKD 4,813,000[53]. - Basic loss per share was HKD 0.2180, an improvement from a loss of HKD 0.2745 per share in the same period last year[74]. - The company reported a pre-tax loss of HKD 219,453,000 for the year, influenced by financial costs of HKD 21,838,000 and unallocated corporate expenses of HKD 28,128,000[172]. - The total segment profit (loss) for the year was a loss of HKD 173,866,000, with segment profits of HKD 16,549,000 from household products and HKD 6,381,000 from PVC pipes and fittings[172]. Assets and Liabilities - As of December 31, 2023, the group had cash and bank deposits of approximately HKD 716,404,000, an increase from HKD 593,280,000 in the previous year[43]. - The group's current assets were approximately HKD 1,131,688,000, compared to HKD 1,116,008,000 on December 31, 2022[58]. - The group's current ratio as of December 31, 2023, was approximately 1.03, down from 1.10 on December 31, 2022[58]. - Total equity decreased by 11.7% to HKD 1,451,396,000 as of December 31, 2023, from HKD 1,642,880,000 a year earlier[58]. - The debt-to-equity ratio increased to 1.11 as of December 31, 2023, compared to 0.95 on December 31, 2022[58]. - Total liabilities as of December 31, 2023, were HKD 1,605,017, compared to HKD 1,561,039 as of December 31, 2022, indicating an increase in liabilities[196]. - Inventory as of December 31, 2023, was valued at HKD 133,553,000, a decrease from HKD 172,694,000 in 2022[143]. Strategic Initiatives - The group plans to relocate its PVC pipe and fittings production from a temporary facility in Dongguan to a new factory in Zhongshan, with a development project covering approximately 119 acres[54]. - The construction and renovation of the residential and commercial properties in the "Huayang Nian Xuhui Good Times Community" urban renewal project are expected to be completed in 2024[46]. - The company is focused on expanding its market presence and enhancing its product offerings through ongoing research and development initiatives[7]. Economic Environment - The group anticipates challenges in the global economy due to lingering effects of the pandemic and international political tensions[40]. - The ongoing impact of the pandemic has led to a decline in revenue and gross profit across various product lines[69]. Financial Management - The group has not utilized any of its available bank credit of HKD 382,416,000, resulting in a utilization rate of 0%[43]. - The group has fully repaid bank borrowings ahead of schedule as of December 31, 2023[93]. - The group has pledged certain leasehold land and buildings, investment properties, and bank deposits totaling HKD 125,128,000 as collateral for general bank credit[77]. - The group recognizes government grants as income during the period they are receivable[105]. - The group measures expected credit losses for financial assets based on the expected credit loss model as per HKFRS 9[126]. Market Presence - The company reported that over 90% of its home product sales were made to customers in the United States for the year ending December 31, 2023[199]. - The group has over 90% of its non-current assets located in China, highlighting its concentrated market presence[2]. Shareholder Information - As of December 31, 2023, the number of unexercised share options was 41,300,000, representing 5.2% of the total issued shares[4]. - The weighted average exercise price of the share options was HKD 0.446, reflecting the company's compensation strategy for employees[4]. Impairment and Valuation - The group reported losses of HKD 1,083,000 and HKD 106,089,000 from fair value changes in investment properties and long-term assets, respectively[70]. - The expected credit loss provision for trade receivables is under review, with significant uncertainty regarding the final amounts to be recognized[139]. - The company’s directors have made significant judgments regarding the valuation of compensation properties, which may affect reported earnings[167]. - The group recognizes impairment losses on property, plant, and equipment and right-of-use assets individually[121].
世界(集团)(00713) - 2023 - 年度财报