MANAGEMENT DISCUSSION AND ANALYSIS
The following comments should be read in conjunction with the Audited Consolidated Financial Statements of the Company and the related notes to the financial statements.
REVIEW OF RESULTS
The Group's turnover for the year amounted to approximately HK$3,507 million, representing an increase of 697% when compared to the previous year. This was mainly attributed to the
sale of residential units of Green Code.
LIQUIDITY, FINANCIAL Resources AND CAPITAL STRUCTURE
As of 31 December 2014, shareholders' fund of the Group showed an increase of around 12.3% as compared to the previous year and amounted to approximately HK$5,823 million. The increase was mainly due to net effect of the profit realised from the sale of residential units of Green Code, the gains on
revaluation of the Group's investment properties and the payment of dividends.
There was no change as to the capital structure of the Group during the year. Funding for the Group's activities during the year under review was mainly generated from the sale of residential units of Green Code.
During the year, there was no material acquisition and disposal of subsidiary and associate. A net repayment of approximately HK$2.3 million was received from an associate which provided mortgage loans to buyers of residential units of Metro Harbour View.
Current assets of the Group were recorded at approximately HK$4,544 million as compared to the current liabilities of approximately HK$1,216 million as of 31 December 2014. Current ratio of the Group had been increased to 3.7, mainly attributed to the decrease in trade and other payables.
GEARING RATIO AND FINANCIAL MANAGEMENT
As there was no borrowing as at 31 December 2014, no gearing ratio, which is calculated on the basis of bank borrowing as a ratio of the Group's shareholders' fund, was shown. Assets of the Group had not been charged to any third parties in the year under review.
The Group's financing and treasury activities were managed centrally at the corporate level. Financing facilities extended to the Group were denominated in Hong Kong dollar.
EMPLOYEES
As at 31 December 2014, the number of employees of the Group
stood at about 300 (2013: about 300). The remuneration packages to employees were commensurable to the market trend and levels of pay in similar industries. A discretionary year- end bonus was paid to employees based on individual performance. Other benefits to employees included medical insurance, retirement scheme, training programmes and educational subsidies. Total employees' costs for the year amounted to approximately HK$93 million, which was commensurate with that recorded in the previous year.
Hong Kong Ferry (Holdings) Company Limited Annual Report 2014
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