恒和集团二零二四年度年报

BOARD OF DIRECTORS Executive Directors Mr. Chan Wai Lap, Victor(Chairman)Ms. Cheng Siu Yin, Shirley(Managing Director)Ms. Chan Wai Kei, VickiMs. Chan Mei Kei, Alice(Appointed on 8 February 2024)Mr. Wong Edward Gwon-hing Independent Non-executive Directors BBSMBEBBS Mr. Yu Shiu Tin, Paul,BBS, MBE, JPMr. Chan Ping Kuen, DerekMr. Sze Irons,BBS,JPMr. Cheung Chi Fai, FrankMr. Yam Tat Wing(Re-designated as anIndependent Non-executive Director on 8 February 2024) 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. 308 The Group has fully-integrated production plant in Chinawith around 308 staff as at 30 June 2024. 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 2024. Thisreport aims to provide you with an overview of the financialperformance of our Group and to highlight key factors thathave influenced our results. Thecurrent reporting year has presented significantchallenges, leading to a decline in revenues and net income.This downturn reflects broader macroeconomic realities andspecific market dynamics that has adversely affected ourbusinesses. This decline can be attributed to weaker jewellerysales across all major markets, which have been directlyaffected by the prevailing weak market conditions. As forthe property segment faced with challenges in suppressedpurchasing and in the Hong Kong residential and commercialsectors. The overall weak economy has further compoundedthe downward pressure in our group’s performance this year. BUSINESS REVIEW AND MANAGEMENTDISCUSSION AND ANALYSIS 455,600,00095,200,00020.9%360,400,000257,300,00098,300,000(i)95,200,000109,000,000141,000,000(ii)87,900,000(iii)9,800,000(iv)18,100,00037.6714.39 For the fiscal year ended 30 June 2024, the Group’sconsolidated revenue recorded a decrease of approximatelyHK$95.2 million or 20.9% from last year’s HK$455.6 millionto HK$360.4 million. During the year, loss attributable toowners of the Company was HK$257.3 million as comparedto last year’s loss of HK$98.3 million. The loss for the yearwas mainly resulting from (i) decrease in revenue and grossprofit of approximately HK$95.2 million and approximatelyHK$109.0 million respectively, the substantial decreasein gross profit was mainly attributable to the write-downof approximately HK$141.0 million for properties underdevelopment and properties for sales affected by thecurrent property market conditions; (ii) recognition of lossof approximately HK$87.9 million arising from the changein fair value of investment properties; (iii) impairment loss inrespect of goodwill, intangible assets and right-of-use assetsof approximately HK$9.8 million and (iv) increase in financecost of approximately HK$18.1 million. The basic loss pershare was HK37.67 cent (2023: HK14.39 cent). In the most recent reporting year, our jewelry segmentexperienceda decline in revenue due to severalinterconnected factors. The macro-environment remainschallenging, with high inflation and interest rate reducingconsumer confidence and purchasing power on luxurygoods. As political tensions and instabil