TVH's three core business lines comprise systems integration arm TopAsia, software vehicle Advanced Digital Technology (ADT) and online education provider ChinaCast.
The decline in turnover and gross profit was partly attributable to ADT's scaling down in the business with ICBC due to the contraction of their IT spending, and also the market's slow response to TopAsia's launch of the new Data Warehouse application in 2004.
Mr Chan Tze-ngon, Chairman of TVH noted: "With the right mix of market demand-led service offerings and support from a dedicated team of professionals, TVH looks forward to performance improvements in the coming years."
In 2004, TopAsia continued to lead in the marketing and sales of automatic teller machines (ATM) in China. Notably, it secured after-sales repair and maintenance servicing tenders for almost 400 ATM from Bank of China. During the year, it also became the largest service provider and product dealer for China Merchants Bank, and won the tenders in 11 provinces for the ATM system software development for China Postal Bureau. On the telecoms front, TopAsia continued to cooperate with UTStarcom in the provision of peripherals to Little Smart facilities and multi-media workstations.
TVH's 55%-owned ADT has passed the Gold Enterprise Accreditation for CISCO, further strengthening its competitiveness in network construction. Its working relationship with China Construction Bank has expanded in both the scope of services and to 24 branches. Significant progress was also made in respect of the export business to Japanese market, with a revenue growth of 50% in 2004.
ChinaCast's K-12 distance learning and educational content solutions segment continued to be the principal revenue contributor, with the university segment also showing promising performance. In addition to the existing eight universities which are already generating revenues, two more universities have been signed up with student enrolment in progress. ChinaCast's newly launched enterprise network products and services segment progressed well with the first project for Taikang Life Insurance in beta testing for full commercial service very soon.
Mr Chan added: "2005 will be a year of active business development and expansion. TopAsia will continue to strengthen its ties with banks in the Mainland to achieve a 10% growth target in new customers. ADT will focus on integrated data network, banking solution and outsourcing services to Japan market, while ChinaCast is expected to sign up two to three major customers in early 2005 which will further bolster the segment's market presence and help grow the enterprise market."
Financial Highlights| Year ended December 31, | ||
| 2004 | 2003 | |
| HK$ '000 | HK$ '000 | |
| Turnover | 237,841 | 261,692 |
| Gross Profit | 27,165 | 36,284 |
| Net (loss) attributable to shareholders | (26,853) | (15,382) |
| Basic (loss) per Share (HK cents) | (5) | (3) |
About TVH
Technology Venture Holdings Limited (TVH, SEHK: 61) is an information technology enabler focusing its systems-integration and software competencies on the banking, finance and newly emerged education and training sectors. It aspires to be a catalyst to facilitate the development of digital Asia by serving as a value-added bridge of advanced technology from developed economies and e-solutions demands in Asia.