Superland announced annual results for 2023 Net profit surged 122.8% to HK$28.1 million One-step solution improves efficiency by integration of big data into home design
Performance Highlights
- Net profit for the year is approximately HK$28.1 million, representing an increase of approximately 122.8%.
- Revenue increased 2.7% to approximately HK$819.3 million.
- Gross profit increased 11.5% to approximately HK$114.0 million.
- As at 31 December 2022, the Group had a total of 46 fitting-out projects on hand, with an aggregate total contract sum of approximately HK$3,822 million.
- Integration of technologies and technical solutions with big data into home design and fitting-out projects to create a one-stop home furnishings solution for the purpose of cost savings and efficiency improvement.
| Financial Highlights | |||
| Year ended 31 December | |||
| HK$'000 | 2022 | 2021 | Change |
| Revenue | 819,302 | 798,108 | +2.7% |
| Gross profit | 114,023 | 102,298 | +11.5% |
| Gross Profit Margin | 13.9% | 12.8% | +1.1 p.p. |
| Profit for the year attributable to owners of the Company | 28,065 | 12,597 | +122.8% |
| Adjusted profit for the year attributable to owners of the Company* | 15,887 | 12,033 | +32.0% |
| Earnings per share | 3.51 | 1.57 | +123.6% |
*Excluding the exceptional item under the period of COVID-19, i.e., the subsidy granted under the Employment Support Scheme
HONG KONG SAR - Media OutReach - 30 March 2023 - As a leading fitting-out contractor in Hong Kong, Superland Group Holdings Limited ("Superland" or the "Company", together with its subsidiaries, the "Group"; Stock Code: 0368.HK), announced its annual result ended 31 December 2022 ("Financial Year"). During the year, the Group recorded an increase in both revenue and profit. Profit for the year attributable to owners of the Company is approximately HK$28.0 million, representing a YoY growth of approximately 122.8%. The revenue of the Group remained relatively stable at approximately HK$819.3 million, representing an increase of 2.7% compared with last year. Gross profit increased 11.5% to approximately HK$114.0 million. During the year, basic earnings per share is HK$3.51.
Business Review
The Group is an established contractor based in Hong Kong, providing professional fitting-out services and repair and maintenance services with the qualification as a registered electrical contractor, subcontractor and minor work contractors.
The Group's technologies and technical solutions, including but not limited to, virtual reality technology, digital design services and three-dimensional laser scanning, were successfully launched in the market. The realisation of opportunities arising from these technologies and technical solutions will add value to the Group and diversify the business of the Group in the future.
The Group is principally engaged in the provision of fitting-out services and repair and maintenance services for residential and commercial properties in Hong Kong. During the year, fitting-out services is accounted for approximately 98.9% of the total revenue, representing approximately HK$810.1 million. In comparison, repair and maintenance services are HK$9.2 million, representing 1.1% of the total revenue.
As at 31 December 2022, the Group had a total of 46 fitting-out projects on hand, which included fitting-out projects that have commenced but not yet completed and fitting-out projects that have been awarded to the Group but not yet commenced, with an aggregate total contract sum of approximately HK$3,822 million. Among these projects on hand, 28 projects were with total contract sum of approximately HK$50 million or above. The aggregate total contract sum of these 28 projects amounted to approximately HK$3,451 million (31 December 2021: 25 projects: approximately HK$2,865 million).
Business Prospect
The economy of Hong Kong in 2022 was dampened by the severe fifth wave of the COVID-19 outbreak starting in late 2021 and further by the deteriorated external environment and tightened financial conditions, including but not limited to the increase in interest rates and supply chain bottlenecks. In spite of the removal of strict COVID-19 restrictions in Hong Kong recently, the Group still expects to encounter great challenges in the short term. However, as supported by the 2022 policy address of Hong Kong, the Government of the HKSAR will develop land resources in a persistent manner to satisfy the housing demand. Therefore, the Group expects that the business of the Group will remain stable in the fitting-out industry in Hong Kong in the long term. The Group will devote necessary resources to further increase its market share if appropriate.
The Group's integration of technologies and technical solutions with big data into home design and fitting-out projects was successfully delivered to the market. The Group would be determined and committed to create a one-stop home furnishings solution to serve the industry for the purpose of cost savings and efficiency improvement. The Group will assess any opportunities arising from the application of the technologies and technical solutions with big data so as to deliver better services to our customers.
Looking ahead, the Group remains prudent and optimistic about the prospects of the Group's business in the long term. The Group will consider closely monitoring its working capital management, as well as cautiously examine the latest developments in its core business. The Group will adjust its business strategies as needed to ensure corporate sustainability.
Mr. Ng Chi Chiu, Chairman of the Group, CEO and Executive Director, said, "The Group has always utilized technology to enhance the quality of our fitting-out services. In recent years, we have made significant breakthroughs in time management, quality control, and cost-effectiveness by leveraging technology. We aspire to integrate big data technology into our home design and fitting-out projects, providing people with the convenience of a technology-driven lifestyle."
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The issuer is solely responsible for the content of this announcement.
About the Superland Group Holdings Limited
Superland Group Holdings Limited is an established contractor based in Hong Kong with over 18 years of operating history providing fitting-out services and repair and maintenance services. It has provided services for a number of prominent property projects of established property developers in Hong Kong, including various landmark shopping malls, hotels and residential projects around Hong Kong. The Group has recently launched "Oodles", its own technological brand. Oodles provides a fitting-out service platform that integrates its own developed technologies and technological solutions and combines design, matching, shopping and information to allow customers to experience and foretell the home of the future.
