恒和集团二零二三年度年报

BOARD OF DIRECTORS Executive Directors BBS Mr. Chan Wai Lap, Victor(Chairman)Late Dr. Chan Sing Chuk, Charles,BBS, JP(Resigned with effect from 1 October 2022)Ms. Cheng Siu Yin, Shirley(Managing Director)Ms. Chan Wai Kei, VickiMr. Wong Edward Gwon-hing Non-executive Director Mr. Yam Tat Wing Independent Non-executive Directors BBSMBEBBS Mr. Yu Shiu Tin, Paul,BBS, MBE, JPMr. Chan Ping Kuen, DerekMr. Sze Irons,BBS,JPMr. Cheung Chi Fai, Frank COMPANY SECRETARY Mr. Hui Chun Lam Corporate Information REGISTERED OFFICE 111M N Flats M & N, 1st FloorKaiser Estate, Phase III11 Hok Yuen StreetHunghom, KowloonHong Kong WEBSITE http://www.continental.com.hk http://www.continental.com.hk AUDITOR 11125 BDO Limited25th Floor, Wing On Centre111 Connaught Road CentralHong Kong PRINCIPAL BANKERS Hang Seng Bank LimitedThe Hongkong and Shanghai Banking Corporation LimitedUnited Overseas Bank Limited SHARE REGISTRAR 183171712-1716 Computershare Hong Kong Investor Services LimitedShops 1712-1716, 17th Floor, Hopewell Centre183 Queen’s Road East, Wan ChaiHong Kong Continental Holdings Limited (the“Company”) is aninvestment holding company. The principal activities ofits subsidiaries (the Company and the subsidiaries arehereinafter referred to as the “Group”) are the designing,manufacturing, marketing and trading of fine jewellery anddiamonds. Also, the Group maintains an investment portfolioincluding property investment and development, mining andother investments. On the manufacturing side, Continental Jewellery (Mfg.)Limited, the Group’s wholly-owned subsidiary, mainlyengagesin the product development,manufactureandmarketing of fine jewellery primarily for exportand is regarded as one of the leaders in fine jewellerymanufacturing. A substantial share of our jewellery productsis currently directed at the middle to upper segments of themarket. We specialise in manufacturing fine jewellery inprecious metal set with diamond, ruby, emerald, sapphire,pearl and other semiprecious stones. 321 The Group has fully-integrated production plant in Chinawith around 321 staff as at 30 June 2023. Our facility isbest known for their quality with extensive capabilities injewellery design, direct stone sourcing, lapidary, alloying andgold refining. The management of the Group is known for itscommitment to quality, and its finished products are visibletestaments to that commitment. Mr. Chan Wai Lap, VictorGroup Chairman I am pleased to present the annual report of ContinentalHoldings Limited (“the Company”) and its subsidiaries (“theGroup”) for the financial year ended 30 June 2023. BUSINESS REVIEW AND MANAGEMENTDISCUSSION AND ANALYSIS 603,900,000148,300,00024.56%455,600,00098,300,00012,100,000(i)148,300,00078,900,00049,900,000(ii)27,800,00098,500,000(iii)29,100,00014.391.78 For the fiscal year ended 30 June 2023, the Group’sconsolidated revenue recorded a decrease of approximatelyHK$148.3 million or 24.56 % from last year’s HK$603.9million to HK$455.6 million. During the year, loss attributabletoowners of the Company was HK$98.3 million ascompared to last year’s profit of HK$12.1 million. The lossfor the year was mainly resulting from (i) decrease in revenueand gross profit of approximately HK$148.3 million andapproximately HK$78.9 million respectively, the substantialdecrease in gross profit was mainly attributable to the write-down of approximately HK$49.9 million for propertiesunder development affected by the current property marketconditions, (ii) recognition of loss of approximately HK$27.8million arising from the change in fair value of investmentproperties for the fiscal year as compared to a gain ofapproximately HK$98.5 million in previous fiscal year, and (iii)increase in finance cost of approximately HK$29.1 million assignificant portion of such finance costs was not capitalisedas part of the property development costs but being recordeddirectly as expenses in the current year after the completionof “One Continental” in July 2022 and increase in interestrate during the year under review. The basic loss per sharewas HK14.39 cent (2022: basic earnings per share of HK1.78cent). Covid-19 The financial year 2023 has been another period ofbroad and sustained uncertainty. We continue to see re-adjustment in working patterns and consumer behaviourfollowing the Covid-19 pandemic. Major economies arefacing the challenge of interest rate hiking, rising inflationand compounding cost-of-living pressures. Geopoliticaluncertainty remains elevated, and the conflict in Ukrainecontinues. A downturn in the economies and the disruptionof business conditions impacted consumer’s willingness topurchase and adversely affected consumer confidence. Incertain key markets, such as the United States and the UnitedKingdom, we are seeing decline in retail traffic as well asa dampened sell through rate among our customers. As aresult, the buying in take has become weak, thus impactingour business. 592,200,000157,300,00026.6%434,90