Tsui Wah Holdings Limited 翠華控股有限公司 (Incorporated in the Cayman Islands with Limited Liability) ()於開曼群島註冊成立之有限公司 Stock Code 股份代號 : 1314
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Tsui Wah Holdings Limited 翠華控股有限公司 (Incorporated in the Cayman Islands with limited liability) ()於開曼群島註冊成立之有限公司 Stock Code 股份代號 : 1314 Annual Report 年報 2017 CONTENTS 2 Corporate Information 67 Consolidated Statement of Profit or Loss 4 Chairman’s Statement 68 Consolidated Statement of Comprehensive Income 8 Management Discussion and Analysis 69 Consolidated Statement of Financial Position 16 Biographies of Directors and Senior Management 71 Consolidated Statement of Changes in Equity 20 Corporate Governance Report 72 Consolidated Statement of Cash Flows 35 Environmental, Social and Governance Report 74 Notes to Financial Statements 45 Report of Directors 140 Five Year Financial Summary 62 Independent Auditor’s Report Corporate Information EXECUTIVE DIRECTORS AUDIT COMMITTEE Mr. Lee Yuen Hong (Chairman) Mr. Yim Kwok Man (Chairman) Mr. Cheung Yu To Mr. Goh Choo Hwee Mr. Lee Tsz Kin Kenji # Mr. Wong Chi Kin Mr. Cheung Yue Pui ~ REMUNERATION COMMITTEE NON-EXECUTIVE DIRECTORS Mr. Goh Choo Hwee (Chairman) Mr. Cheng Chung Fan # Mr. Lee Yuen Hong Mr. Cheng Yu Sang # Mr. Tang Man Tsz # Mr. Wong Chi Kin (ceased as an independent Mr. Wong Chi Kin ^ non-executive director and re-designated as a non-executive director on 1 November 2016) NOMINATION COMMITTEE ~ Mr. Ho Ting Chi Mr. Lee Yuen Hong (Chairman) (appointed chairman on 1 November 2016) INDEPENDENT NON-EXECUTIVE Mr. Goh Choo Hwee DIRECTORS Mr. Tang Man Tsz # Mr. Goh Choo Hwee Mr. Wong Chi Kin (Chairman)^ Mr. Tang Man Tsz # Mr. Yim Kwok Man COMPANY SECRETARY Mr. Kwok Siu Man (appointed on 1 September 2016) AUTHORISED REPRESENTATIVES Mr. Pang Chung Fai Benny Mr. Lee Yuen Hong (resigned on 1 September 2016) Mr. Kwok Siu Man (appointed on 1 September 2016) Mr. Pang Chung Fai Benny (resigned on 1 September 2016) Milk Tea Tsui Wah combines premium Ceylon tea leaves with many years of teas-training know-how to bring the perfect cup. With a touch of Holland’s Black & White evaporated milk in a preheated teacup, the tea is perfection. 2 5TVJ8BI)PMEJOHT-JNJUFEt"OOVBM3FQPSU Corporate Information LEGAL ADVISERS PRINCIPAL SHARE REGISTRAR AND Deacons TRANSFER OFFICE 5th Floor, Alexandra House Conyers Trust Company (Cayman) Limited $IBUFS3PBE Cricket Square, Hutchins Drive Central 10#PY (SBOE$BZNBO,: Hong Kong Cayman Islands INDEPENDENT AUDITOR HONG KONG SHARE REGISTRAR Ernst & Young Tricor Investor Services Limited Certified Public Accountants -FWFM )PQewell Centre ' $*5*$5PXFS 2VFFOT3PBE&BTU 5JN.FJ"WFOVF Hong Kong Central, Hong Kong REGISTERED OFFICE PRINCIPAL BANKERS Hang Seng Bank Limited Cricket Square, Hutchins Drive Standard Chartered Bank (Hong Kong) Limited 10#PY (SBOE$BZNBO,: COMPANY’S WEBSITE ADDRESS Cayman Islands www.tsuiwah.com PRINCIPAL PLACE OF BUSINESS IN STOCK CODE HONG KONG 3PPNo ' 3JMFZ)PVTF -FJ.VL3PBE ,XBJ$IVOH New Territories ~ SFUJSFEPO"VHVTU # BQQPJOUFEPO/PWFNCFS ^ SFTJHOFEPO/PWFNCFS FishFish BallsBal and Fish Cakes with Flat Rice NNoodleso in Fish Soup Tsui Wah’sWah’s fish balls are made daily with handpicked yellow eelseels and over 10 types of fresh fish. Our fish balls areare made every morning and contain no colour additives or preservatives.preserv 5TVJ8BI)PMEJOHT-JNJUFEt"OOVBM3FQPSU 3 Chairman’s Statement Mr. Lee Yuen Hong Chairman 4 5TVJ8BI)PMEJOHT-JNJUFEt"OOVBM3FQPSU Chairman’s Statement SizzlingSi King Prawns with Fried Noodles A noodlen dish inspired by the classic Peking Sweet and SourSo Chili Prawn. The noodles are pan-fried to a crispy andan crunchy state and then mixed with succulent sweet andan sour king prawns on top. Dear Shareholders, On behalf of the board of directors (the “Directors“ and the “Board”, respectively) of Tsui Wah Holdings Limited (the “Company”, together with its subsidiaries, the “Group” or “Tsui Wah”), I am pleased to announce the annual results PGUIF(SPVQGPSUIFZFBSFOEFE.BSDI During the year under review, the recovery of the global economy was uneven, which has in turn affected the economic development in Hong Kong, Macau and Mainland China. The growth in the overall income of the catering industry slowed down as a result. In this situation, I firmly believe that good corporate governance has increased consumer confidence and formed the cornerstone of the Group’s goodwill. Therefore, Tsui Wah has actively adjusted its development strategies by careful consideration of current conditions in order to execute a strategic reorganisation aiming at a continuous optimisation of its organisational structure and management system. As for the top management team, the Group has appointed Mr. Pang Kwing Ho Peter as our chief executive officer with effect GSPN+VOFBOEBQQPJOUFE.S-FF5T[,JO,FOKJBTPVSFYFDVUJWF%JSFDUPSBOESFBQQPJOUFE.S:BOH%POH +PIOBTPVSDIJFGGJOBODJBMPGGJDFS CPUIXJUIFGGFDUGSPN/PWFNCFS"TGPSUIFGSPOUMJOFNBOBHFNFOUUFBN UIF (SPVQIBTBEPQUFEBMPOHUFSNEFWFMPQNFOUTUSBUFHZPGSFUBJOJOHBOEQSPNPUJOHUBMFOUTXJUIBEFUFSNJOFEUFBN TQJSJUUPBDIJFWFBOFXFSBPGXJOXJODPPQFSBUJPOXJUIPVSCVTJOFTTQBSUOFSTBOEPVSDVTUPNFST5IFOFX NBOBHFNFOUUFBNIBTBTIBSFECVTJOFTTWJTJPOBOEQPTTFTTFTTUSPOHEFDJTJPONBLJOHTLJMMT XIJDIIBWFFOBCMFEUIF Group to successfully overcome its unfavourable situation with effective cost controls in only a few months. Profit attributable to shareholders has also recorded a greater increase as compared to last year. During the year under review, after the expiration of some restaurant leases, the Group assessed the locations of its restaurants. The Group has laid a strong foundation for rapid and steady development in the future by reorganising its resources. During the year, the Group opened a total of nine new restaurants in Hong Kong, Macau, Nanjing, 4IFO[IFO (VBOH[IPVBOE4IBOHIBJ"TBU.BSDI UIF(SPVQPQFSBUFEBUPUBMPGSFTUBVSBOUTJO.BJOMBOE China, Hong Kong and Macau. With our extensive restaurant network, regular new offerings and newly launched advertisement campaigns, it is hoped that new vitality will be injected into Tsui Wah, a historic Cha Chaan Teng (茶餐 廳) brand spanning half a century. 5TVJ8BI)PMEJOHT-JNJUFEt"OOVBM3FQPSU 5 Chairman’s Statement To further drive growth, the Group has adopted a diversified development strategy. During the year under review, the Group’s “Supreme Catering” (至尊到會) business entered the wedding market in Hong Kong for the first time XIJMFBMTPQSPWJEJOH$IJOFTFTUZMFDBUFSJOHTFSWJDFT HSJMMFETFBGPPESFDJQFTBOEBWBSJFUZPGNFBMCPYFTGPSDPSQPSBUF customers to further open up income streams. The Group’s “Tsui Wah Delivery” (快翠送) service business also continued to attain steady growth, aiming to provide comprehensive quality catering services to customers with differing needs among various regions. During the year under review, the Group garnered a number of awards in many areas, fully reflecting Tsui Wah’s EFUFSNJOFEFGGPSUJOQSPWJEJOHIJHIRVBMJUZGPPEBOEBTBUJTGBDUPSZDVTUPNFSFYQFSJFODF JODMVEJOHUIFi#FTU&WFS %JOJOH"XBSETwBOEUIFi#FTU&WFS%JOJOH"XBSET.Z'BWPVSJUFCha Chaan Teng” accolades at the #FTU&WFS%JOJOH"XBSETCZ8FFLFOE8FFLMZ 新假期周刊 BOEUIFi4NJMJOHFOUFSQSJTF"XBSEowCZ the Mystery Shopper Service Association in Hong Kong. In Mainland China the Group was awarded “The Most 1PQVMBS5BLFBXBZ3FTUBVSBOUwBOEUIFi5PQ$IJOB'FBTUTUIF#FTU$IJOFTF3FTUBVSBOUw 5IFZFBSJTBTQFDJBMZFBSGPSVT5IF(SPVQSFBDIFTJUTUIBOOJWFSTBSZBOEBQQSPBDIFTUIFGJGUIBOOJWFSTBSZPG its listing, marking a significant milestone. I fervently hope to work more closely with everybody in the Group in the GVUVSFUPBEWBODF5TVJ8BIUPXBSETCFDPNJOHBDFOUVSZPMEFOUFSQSJTF8FTIBMMBMTPJNQMFNFOUSFGPSNNFBTVSFT such as optimising manpower allocation and enhancing production capacity to keep pace with the times and become more competitive. The Group’s future development is focusing on two aspects: expanding revenue and controlling costs. The main measures towards achieving these objectives are as follows: t 4QFFEVQUIFPQFOJOHPGTUPSFTJO)POH,POH .BDBVBOE.BJOMBOE$IJOBBOEPQFOGFBUVSFESFTUBVSBOUTJO Hong Kong and Mainland China in order to expand revenue sources, realise economies of scale and continue to increase market share t 4USFOHUIFOUIF(SPVQTEJWFSTJGJFEEFWFMPQNFOUQPMJDZBOEBDDFMFSBUFUIFEFWFMPQNFOUPGUIFi4VQSFNF Catering” and “Tsui Wah Delivery” businesses t %FWFMPQOFXCSBOETJOPSEFSUPPQFOVQOFXTPVSDFTPGJODPNF NFFUDVTUPNFSTEFNBOETGPSIJHIRVBMJUZ food and catering services and thereby proactively adapt to the changing market environment t &OIBODFNBSLFUQSPNPUJPOTUPGVSUIFSBUUSBDUEJWFSTJGJFEDVTUPNFSTBOETPMJEJGZUIF(SPVQTCSBOEJO)POH Kong, Macau and Mainland China t 0QUJNJTFUIFJOUFSOBMPQFSBUJPOTZTUFNUPLFFQQBDFXJUIUIFUJNFTBOEUFDIOPMPHZBOEJODSFBTFPQFSBUJPOBM efficiency and productivity of the existing facilities with an aim to become a modern and automated catering enterprise t 4USBUFHJDBMMZPQUJNJTFUIFJOUFSOBMPSHBOJTBUJPOBMTUSVDUVSFUPDMBSJGZUIFSPMFTPGUFBNNFNCFSTBOEJODSFBTF their capabilities to execute their responsibilities t &OIBODFUIFQSPEVDUJPODBQBDJUZPGDFOUSBMLJUDIFOTBOETUSFOHUIFODFOUSBMQSPDVSFNFOUBOEEJTUSJCVUJPOXJUIB view to further reducing operating costs 6 5TVJ8BI)PMEJOHT-JNJUFEt"OOVBM3FQPSU Chairman’s Statement As the first listed Cha Chaan Teng enterprise in Hong Kong, Tsui Wah has achieved a truly distinguished historical SFDPSE"EIFSJOHUPUIFi4QJSJUPG-JPO3PDLwGPSZFBST 5TVJ8BIIBTQBUJFOUMZPWFSDPNFBOVNCFSPGFDPOPNJD cycles together with the people of Hong Kong by following the principle of “speed, quality and perfection.” In the future, Tsui Wah is steadfastly committed to providing quality food and satisfactory services to everyone in response to the support we have received from society. Looking ahead, based on the building blocks of its achievements over UIFMBTUIBMGDFOUVSZ 5TVJ8BIJTTUSJWJOHUPBDIJFWFBOFWFOCFUUFSQFSGPSNBODFGPSBOPUIFSHMPSJPVTZFBST