坚宝国际：二零二三年年报

Corporate Information BOARD OF DIRECTORSExecutive directors Lai Pei Wor(Chairman)Chan Yau Wah(Deputy Chairman) Independent non-executive directors Mak Kwai WingLi Yuen Kwan, JosephPong Suet Hing (appointed on 30 April 2023)Kung Fan Cheong (resigned on 30 April 2023) EXECUTIVE COMMITTEE Lai Pei Wor(Chairman)Chan Yau Wah AUDIT COMMITTEE Mak Kwai Wing(Chairman)Li Yuen Kwan, JosephPong Suet Hing (appointed on 30 April 2023)Kung Fan Cheong (resigned on 30 April 2023) REMUNERATION COMMITTEE Pong Suet Hing(Chairman)(appointed on 30 April 2023)Mak Kwai WingLi Yuen Kwan, JosephKung Fan Cheong(Chairman)(resigned on 30 April 2023) NOMINATION COMMITTEE Lai Pei Wor(Chairman)Mak Kwai WingLi Yuen Kwan, JosephPong Suet Hing (appointed on 30 April 2023)Kung Fan Cheong (resigned on 30 April 2023) COMPANY SECRETARY Tsang Wai Lun AUDITOR Mazars CPA LimitedCertified Public Accountants PRINCIPAL BANKERS DBS Bank (Hong Kong) LimitedCMB Wing Lung Bank LimitedThe Hongkong and Shanghai Banking Corporation LimitedDah Sing Bank, LimitedChina Construction Bank (Asia) Corporation LimitedBank of China (Hong Kong) LimitedAgricultural Bank of China Corporate Information PRINCIPAL SHARE REGISTRARS ANDTRANSFER OFFICE MUFG Fund Services (Bermuda) Limited4th floor North Cedar House41 Cedar AvenueHamilton HM12Bermuda MUFG Fund Services (Bermuda) Limited4th floor North Cedar House41 Cedar AvenueHamilton HM12Bermuda HONG KONG BRANCH SHARE REGISTRARSAND TRANSFER OFFICE 1617 Tricor Tengis Limited17/F, Far East Finance Centre16 Harcourt RoadHong Kong HONG KONG LEGAL ADVISERReed Smith Richards Butler BERMUDA LEGAL ADVISERConyers Dill & Pearman Conyers Dill & Pearman REGISTERED OFFICE Clarendon House2 Church StreetHamilton HM 11Bermuda Clarendon House2 Church StreetHamilton HM 11Bermuda HEAD OFFICE AND PRINCIPAL PLACE OF BUSINESS Units 2304-06, 23rd FloorRiley House88 Lei Muk RoadKwai ChungNew TerritoriesHong Kong 88232304-06 www.kpihl.com WEBSITEwww.kpihl.com STOCK CODE675 675 Financial Highlights On behalf of the Board of Directors (the “Board”), I am pleased toreport the annual audited results of the Company together withthe subsidiaries (collectively the “Group”) for the year ended 31December 2023. FINANCIAL RESULTS 185,800,00031.7%25,600,00053.6%26,100,000500,000 The Group’s turnover for the year ended 31 December 2023amounted to approximately HK$185.8 million, representing adecrease of 31.7% from the previous year. Overall gross profitamounted to approximately HK$25.6 million, representing adecrease of 53.6% from the previous year. Loss attributable toowners of the Company was approximately HK$26.1 million (2022:HK$0.5 million). 9.770.19 Basic loss for the year ended 31 December 2023 amounted toHK9.77 cents (2022: HK0.19 cent) per share. BUSINESS REVIEW 9,800,0004,200,000 2023 was a tough year for the Group, which was impacted by theongoing war in Ukraine, persistent inflation pressure and interestrate hike. The challenging environment weakened the consumersentiment, particularly in Europe, which was the major market forthe Group’s top customers. In addition, the weak market demandaffected the Group’s customers’ initiatives to undertake newproject development, leading to fewer new revenue streams forthe Group. As a result, the Group’s turnover dropped as comparedwith the year 2022. Furthermore, strong United States dollarincreased the volatility of Renminbi (“RMB”). Hence, the Grouprecorded an unrealised fair value loss of approximately HK$9.8million (2022: HK$4.2 million) in the forward currency contractsexpiring in years 2024 and 2025. These contracts were entered tomanage the influence of the volatility of RMB on manufacturingcosts for years 2024 and 2025, which had no impact to theGroup’s cash flow for year 2023. 31.7%185,800,0009,800,0004,200,00014,500,0007,600,000 For the precision parts and components segment, the turnoverdecreased by 31.7% to approximately HK$185.8 million ascompared with the year 2022. If excluded the above unrealised fairvalue net loss of HK$9.8 million (2022: HK$4.2million) on forwardcurrency contracts, the segment loss was approximately HK$14.5million (2022: profit of HK$7.6 million). The segment loss wasmainly due to the decline in revenue that led to the lower capacityutilisation of the Group’s production facilities, while the direct costof sales including factory overhead and administrative expenseswere not proportionately reduced to the same extend. Chairman’s Statement BUSINESS REVIEW(continued) 6.513.8%13.4%16,800,0001.0%23,200,000500,000 The gross profit margin of the Group in 2023 had decreased by6.5 percentage points to 13.8% as compared with the year 2022,mainly due to the decline in turnover. The selling and distributioncosts decreased by 13.4% to approximately HK$16.8 million, whilethe administrative and other expenses slightly decreased by 1.0%to approximately HK$23.2 million. The financial costs maintainedat HK$0.5 million, due to the rise of market