Powell Max Limited Announces 2024 Audited Financial Results
Rhea-AI Summary
Powell Max (Nasdaq: PMAX), a Hong Kong-based financial communications provider, reported significant declines in its 2024 financial performance. The company's revenue dropped 25.7% to HK$36.5 million (US$4.7 million) compared to 2023.
Key financial highlights:
- Net position shifted from a HK$7.1 million profit in 2023 to a HK$18.1 million loss (US$2.3 million) in 2024
- General and administrative expenses more than doubled to HK$24.9 million due to equity line of credit costs and increased professional fees
- Selling expenses rose 55.6% to HK$7.0 million as the company expanded its sales team
- Loss per share was HK$1.37 (US$0.18), compared to earnings of HK$0.56 per share in 2023
The revenue decline was primarily attributed to reduced income from corporate financial communications and IPO printing services. In response to decreased Hong Kong capital market activities, Powell Max has increased investment in sales and marketing to maintain market presence.
Positive
- Increased investment in sales team and marketing to maintain market presence
- Secured equity line of credit through standby equity purchase agreement with YA II PN
Negative
- Revenue decreased 25.7% to HK$36.5M in 2024 vs 2023
- Net loss of HK$18.1M in 2024 vs profit of HK$7.1M in 2023
- General and administrative expenses increased 128% to HK$24.9M
- Selling and distribution expenses rose 55.6% to HK$7.0M
- Earnings per share declined to -HK$1.37 from +HK$0.56
- Decreased revenue from both corporate financial communications and IPO printing services
News Market Reaction
On the day this news was published, PMAX declined 3.56%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
HONG KONG, April 28, 2025 (GLOBE NEWSWIRE) -- Powell Max Limited (Nasdaq: PMAX) (the “Company” or “Powell Max”), a financial communications services provider headquartered in Hong Kong, today announced the audited financial results of the Company and its subsidiary for the financial year ended December 31, 2024.
Overview:
- Revenue was HK
$36.5 million (US$4.7 million ) for the year ended December 31, 2024, representing a decrease of25.7% for the year ended December 31, 2023. - Net loss was HK
$18.1 million (US$2.3 million ) for the year ended December 31, 2024, as compared with the profit for the year of HK$7.1 million for the year ended December 31, 2023.
Financial Results for the year ended December 31, 2024
Revenue. Revenue decreased by
General and administrative expenses. General and administrative expenses increased by 1.28 times from HK
Selling and distribution expenses. Selling and distribution expenses increased by
Net loss. Net loss for the year ended December 31, 2024 was HK
Basic and diluted loss per share. Basic and diluted loss per share was HK
About Powell Max Limited
Powell Max Limited is a financial communications services provider headquartered in Hong Kong. The Company engages in the provision of financial communications services that support capital market compliance and transaction needs for corporate clients and their advisors in Hong Kong. Its financial communications services cover a full range of financial printing, corporate reporting, communications and language support services from inception to completion, including typesetting, proofreading, translation, design, printing, electronic reporting, newspaper placement and distribution. The Company’s clients consist of domestic and international companies listed in Hong Kong, together with companies who are seeking to list in Hong Kong, as well as their advisors.
Exchange Rate Information
The Company is a holding company with operations conducted in Hong Kong through JAN Financial Press Limited and Miracle Media Production Limited (which was acquired after the reporting period), its direct wholly-owned operating subsidiaries. The operating subsidiaries’ reporting currency is Hong Kong dollars. Unless otherwise noted, all translations from Hong Kong dollars to United States Dollars in this press release were calculated the noon middle rate of US
Forward-Looking Statements
This press release contains certain forward-looking statements. Words such as “will,” future,” “expects,” “believes,” and “intends,” or similar expressions, are intended to identify forward-looking statements. Forward-looking statements are subject to inherent uncertainties in predicting future results and conditions. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.
Rounding Amounts and Percentages
Certain amounts and percentages included in this press release have been rounded for ease of presentation. Percentage figures included in this press release have not in all cases been calculated on the basis of such rounded figures, but on the basis of such amounts prior to rounding.
For investor and media inquiries, please contact:
Company Info:
Powell Max Limited
Investor Relations
ir@janfp.com
(852) 2158 2888
| POWELL MAX LIMITED AND ITS SUBSIDIARY CONSOLIDATED STATEMENTS OF FINANCIAL POSITION | ||||||||||||
| As of December 31 | ||||||||||||
| 2023 | 2024 | |||||||||||
| HK$ | HK$ | US$ | ||||||||||
| ASSETS | ||||||||||||
| Non-current assets | ||||||||||||
| Property, plant and equipment | 5,819,230 | 4,253,686 | 547,612 | |||||||||
| Total non-current assets | 5,819,230 | 4,253,686 | 547,612 | |||||||||
| Current assets | ||||||||||||
| Trade and other receivables | 13,510,032 | 16,096,160 | 2,072,191 | |||||||||
| Cash and bank balances | 3,660,213 | 42,222,014 | 5,435,588 | |||||||||
| Total current assets | 17,170,245 | 58,318,174 | 7,507,779 | |||||||||
| Total assets | 22,989,475 | 62,571,860 | 8,055,391 | |||||||||
| LIABILITIES AND EQUITY | ||||||||||||
| Current liabilities | ||||||||||||
| Trade and other payables | 27,376,032 | 12,990,458 | 1,672,368 | |||||||||
| Contract liabilities | 1,524,761 | 1,310,435 | 168,703 | |||||||||
| Bank borrowings | 4,767,829 | 3,845,863 | 495,110 | |||||||||
| Lease liabilities | 3,361,230 | 1,376,122 | 177,159 | |||||||||
| Derivative | — | 6,756,516 | 869,822 | |||||||||
| Convertible promissory notes | — | 13,860,647 | 1,784,395 | |||||||||
| Total current liabilities | 37,029,852 | 40,140,041 | 5,167,557 | |||||||||
| Non-current liabilities | ||||||||||||
| Trade and other payables | 150,000 | 150,000 | 19,311 | |||||||||
| Lease liabilities | 1,122,591 | 1,014,182 | 130,564 | |||||||||
| Total non-current liabilities | 1,272,591 | 1,164,182 | 149,875 | |||||||||
| Total liabilities | 38,302,443 | 41,304,223 | 5,317,432 | |||||||||
| Equity attributable to owners of the Company | ||||||||||||
| Share capital | 9,750 | 11,457 | 1,475 | |||||||||
| Accumulated losses | (15,680,728 | ) | (33,754,822 | ) | (4,345,537 | ) | ||||||
| Reserves | 358,010 | 55,011,002 | 7,082,021 | |||||||||
| Total equity | (15,312,968 | ) | 21,267,637 | 2,737,959 | ||||||||
| Total liabilities and equity | 22,989,475 | 62,571,860 | 8,055,391 | |||||||||
| POWELL MAX LIMITED AND ITS SUBSIDIARY CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME | ||||||||||||||||
| Year ended December 31, | ||||||||||||||||
| 2022 | 2023 | 2024 | ||||||||||||||
| HK$ | HK$ | HK$ | US$ | |||||||||||||
| Revenue | 37,772,821 | 49,121,839 | 36,461,260 | 4,693,958 | ||||||||||||
| Cost of sales | (22,217,680 | ) | (25,238,821 | ) | (22,081,030 | ) | (2,842,673 | ) | ||||||||
| Gross profit | 15,555,141 | 23,883,018 | 14,380,230 | 1,851,285 | ||||||||||||
| Other income and gain | 1,851,815 | 54,116 | 1,952,986 | 251,425 | ||||||||||||
| General and administrative expenses | (10,723,611 | ) | (10,862,255 | ) | (24,854,036 | ) | (3,199,665 | ) | ||||||||
| Selling and distribution expenses | (5,250,421 | ) | (4,530,134 | ) | (7,049,538 | ) | (907,545 | ) | ||||||||
| Allowance of expected credit loss - trade receivables | (841,051 | ) | (914,788 | ) | (488,640 | ) | (62,908 | ) | ||||||||
| Profit/(Loss) from operations | 591,873 | 7,629,957 | (16,058,998 | ) | (2,067,408 | ) | ||||||||||
| Finance costs | (690,476 | ) | (550,714 | ) | (2,015,096 | ) | (259,418 | ) | ||||||||
| (Loss)/Profit before income tax | (98,603 | ) | 7,079,243 | (18,074,094 | ) | (2,326,826 | ) | |||||||||
| Income tax expense | — | — | — | — | ||||||||||||
| (Loss)/Profit for the year | (98,603 | ) | 7,079,243 | (18,074,094 | ) | (2,326,826 | ) | |||||||||
| Other comprehensive (loss)/income: | ||||||||||||||||
| Exchange differences on foreign currency translations | 25,138 | (47,378 | ) | 48,424 | 6,234 | |||||||||||
| Total comprehensive (loss)/income for the year | (73,465 | ) | 7,031,865 | (18,025,670 | ) | (2,320,592 | ) | |||||||||
| (Loss)/Earnings per share attributable to owners of the Company | ||||||||||||||||
| Basic and diluted | (0.01 | ) | 0.56 | (1.37 | ) | (0.18 | ) | |||||||||
| Weighted average number of ordinary shares | ||||||||||||||||
| Basic and diluted | 12,500,000 | 12,500,000 | 13,178,314 | 13,178,314 | ||||||||||||
FAQ
What caused Powell Max (PMAX) revenue to drop 25.7% in 2024?
How much did Powell Max (PMAX) lose in 2024?
Why did PMAX administrative expenses increase in 2024?
What is PMAX's earnings per share for 2024?
Why did PMAX increase its sales and marketing spending in 2024?
