Financial Performance - For the fiscal year ending March 31, 2025, revenue was approximately HKD 227.6 million, a decrease of about 46.0% compared to HKD 421.3 million in 2024[3] - The company reported a loss of approximately HKD 32.0 million for the fiscal year ending March 31, 2025, compared to a profit of approximately HKD 28.8 million in 2024[3] - Basic loss per share for the fiscal year ending March 31, 2025, was approximately HKD 0.028, while basic earnings per share for 2024 was approximately HKD 0.025[3] - The company reported a net loss of HKD 141,000 from other gains or losses, compared to a gain of HKD 7,789,000 in 2024[23] - The group reported a net loss of approximately HKD 32.0 million for the year ended March 31, 2025, compared to a profit of approximately HKD 29.0 million for the year ended March 31, 2024, representing a decrease of approximately 60.8 million HKD[52] Revenue and Income - The revenue from Chinese restaurant operations was HKD 226,631,000, down 46.1% from HKD 419,730,000 in the previous year[21] - Other income for the year was HKD 4,367,000, a decline of 16.0% compared to HKD 5,191,000 in 2024[21] - The company recognized government subsidies of HKD 90,000 under the anti-epidemic fund, significantly lower than HKD 454,000 in the previous year[24] - The group's revenue decreased by 46.0% from approximately HKD 421.3 million for the year ended March 31, 2024, to approximately HKD 227.6 million for the year ended March 31, 2025[44] Assets and Liabilities - Total assets less current liabilities as of March 31, 2025, were HKD 14.7 million, down from HKD 56.6 million in 2024[6] - The company’s net assets decreased to HKD 8.7 million as of March 31, 2025, compared to HKD 40.8 million in 2024[6] - The company’s current liabilities exceeded current assets by approximately HKD 15.9 million as of March 31, 2025, compared to HKD 23.1 million in 2024[9] - As of March 31, 2025, trade receivables aged within 30 days amounted to HKD 1,251 thousand, a decrease from HKD 2,602 thousand in 2024[31] - Trade payables aged within 30 days were HKD 3,454 thousand in 2025, compared to HKD 6,666 thousand in 2024[33] Cost Management - The company is implementing cost control measures to generate cash flow from operations[11] - The total employee costs for the fiscal year 2025 amounted to HKD 115,748 thousand, down from HKD 146,614 thousand in 2024, reflecting a reduction of approximately 21.0%[8] - Employee costs decreased by approximately 21.0% from approximately HKD 146.6 million for the year ended March 31, 2024, to approximately HKD 115.7 million for the year ended March 31, 2025[48] Governance and Management - The company has not appointed a CEO, as the role is collectively fulfilled by all executive directors, allowing for swift decision-making in a changing environment[82] - The audit committee, consisting of four independent non-executive directors, assists the board in monitoring audit procedures and reviewing financial reporting policies[81] - The company is continuously evaluating the need for changes in its governance structure to enhance decision-making efficiency[82] Legal and Compliance Issues - The independent auditor's report indicates that the company could not provide sufficient appropriate audit evidence due to missing records, impacting the audit opinion on the consolidated financial statements[86] - The company is facing legal claims totaling approximately HKD 13,804,000 related to a settlement to dismiss a winding-up petition[38] - The company reported a loss provision of approximately HKD 13,804,000 related to a legal claim from creditors, which was settled on July 10, 2024[91] - The independent auditor could not determine the potential impact of missing documents on the financial statements, affecting the integrity of the reported figures[94] Future Plans and Strategies - The group plans to open two new Eastern and Western concept restaurants by March 2025, aiming to attract younger consumers and improve cash flow cycles[42] - The group will explore strategic partnerships with third-party restaurant operators to enhance market penetration and competitive differentiation[42] - The company plans to allocate approximately HKD 5 million to open a new restaurant offering different cuisines to attract new customers[72] Shareholder Information - The board of directors did not recommend the payment of a final dividend for the fiscal year ending March 31, 2025[3] - The company did not declare or recommend any dividends for the fiscal years ending March 31, 2025, and 2024[27] - The company did not recommend a final dividend for the fiscal year ending March 31, 2025, due to challenging business conditions and cash flow assessments[74] - The annual performance announcement will be published on the Hong Kong Stock Exchange and the company's website[95] - Trading of shares will be suspended starting from November 28, 2023, at 9:00 AM[96] - Shares will remain suspended until further notice[97] - The annual report for the year ending March 31, 2025, will be sent to shareholders in due course[95] Miscellaneous - The company has not identified any significant impact from the newly adopted Hong Kong Financial Reporting Standards on its financial statements[15] - The company has been unable to locate certain financial records and documents from previous directors, which may affect future reporting[14] - The company has no individual external customer revenue exceeding 10% of total revenue for the two years reported[20] - The company’s non-current assets are all located in Hong Kong, with no significant geographical revenue diversification[19] - The company has maintained a sufficient public float of at least 25% of issued shares since its listing[70] - There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period[67] - The company has not issued any stock options since the plan's effective date, and there were no unexercised options as of March 31, 2025[64] - The company has complied with the corporate governance code, with some deviations noted[76] - The independent auditor's inability to obtain sufficient evidence may lead to significant impacts on the financial statements for the fiscal year ending March 31, 2025[94] - The company has received ongoing financial support from a shareholder, ensuring the ability to meet its obligations[10]
维力生活科技(01703) - 2025 - 年度业绩