Financial Performance - The group's revenue for the fiscal year 2023 was SGD 105.1 million, an increase of approximately SGD 23.8 million compared to SGD 81.3 million in fiscal year 2022, primarily driven by a rise in sales of passenger car parts and vehicles [23]. - The group's revenue for the fiscal year ending December 31, 2023, was SGD 105.3 million, an increase of approximately SGD 23.7 million from SGD 81.6 million in the fiscal year 2022, primarily driven by increased contributions from the automotive trade business in China [42]. - Automotive supply revenue increased by approximately SGD 22.7 million to about SGD 87.4 million in the fiscal year 2023, compared to approximately SGD 64.7 million in the fiscal year 2022, mainly due to increased sales to customers in mainland China [44]. - The total loss and comprehensive expenses for the year 2023 amounted to approximately 1.3 million SGD, compared to 1.1 million SGD in 2022, primarily due to a one-time impairment of 0.9 million SGD in an associate [103]. - The company's net debt-to-equity ratio as of December 31, 2023, is approximately 1.0, raising concerns about its ability to manage debt and meet repayment obligations [94]. Strategic Goals and Expansion - The group aims to enhance its position in the automotive after-sales service sector and short-term and long-term leasing businesses in Singapore while increasing market share in the automotive and related products sales in mainland China [4]. - The group is exploring expansion opportunities in various sectors, including biocare, green water energy technology, new retail, e-commerce, franchise management, insurance brokerage, and pre-prepared food processing to diversify its market presence in China [4]. - The group plans to enhance existing operations and seek opportunities for growth in sectors such as bio-health, green energy technology, new retail, e-commerce, and franchise management to adapt to diversified development in the Chinese market [41]. - The company aims to diversify its income sources by expanding into car leasing and seeking partnerships in other industries [110]. - The group plans to diversify its income sources and increase its rental fleet due to restrictions on vehicle ownership certificates in Singapore, which may impact after-sales service demand [118]. Operational Challenges - The company is facing challenges due to the transition to electric vehicles, which may reduce service and repair volumes [85]. - The group has identified various financial risks, including currency, credit, liquidity, and interest rate risks, which could significantly impact its business and financial condition [79]. - The company has terminated its education business services due to a decline in hardware and equipment sales, with education service revenue decreasing by approximately SGD 84,000 to about SGD 195,000 in the fiscal year 2023 [70]. Financial Management and Risks - The expected credit loss rate for current trade receivables is estimated at 0.1%, down from 0.2% in 2022, while overdue receivables show higher expected loss rates of 2% for 90 days, 3% for 180 days, and 15% for over 365 days [98]. - Credit risk is managed by assessing potential customers' credit quality and defining credit limits, with credit terms ranging from 30 to 90 days [122]. - The company has implemented a credit policy to monitor credit risks and has assigned a team to determine credit limits and assess the credit quality of trade receivables [147]. Employee and Operational Costs - Employee benefits expenses increased from approximately SGD 6.1 million in the fiscal year 2022 to approximately SGD 6.3 million in the fiscal year 2023, primarily due to a slight increase in employee costs [72]. - As of December 31, 2023, the total employee cost was approximately SGD 6.5 million, an increase from SGD 6.3 million in 2022, with the number of employees decreasing from 132 to 105 [154]. Compliance and Governance - The company has maintained compliance with the GEM Listing Rules, except for the internal audit function as per the corporate governance code [180]. - The company has not granted any stock options since the adoption of the stock option plan, and there were no unexercised stock options at the beginning and end of 2023 [199]. Cash Flow and Liquidity - The group maintains a policy of regularly monitoring cash flow needs to ensure sufficient cash reserves and financing from major financial institutions to meet short-term and long-term liquidity requirements [124]. - The group has not encountered significant liquidity issues during the fiscal year ending December 31, 2023 [121]. - Cash and cash equivalents as of December 31, 2023, were approximately 4.9 million SGD, slightly up from 4.8 million SGD in 2022 [104].
傲迪玛汽车(08418) - 2023 - 年度财报