Corporate Statement](index=3&type=section&id=%E4%BC%81%E4%B8%9A%E5%AE%A3%E8%A8%80) Swire Pacific is a Hong Kong-headquartered international conglomerate with over 150 years of history in Greater China, focused on enhancing shareholder value through long-term returns and diversified core businesses in property, beverages, and aviation, while expanding into new sectors like healthcare - The company aims to achieve sustained growth in shareholder value by generating ideal long-term returns on equity and maintaining consistent dividend growth[5](index=5&type=chunk) - The company's strategy focuses on Greater China and Southeast Asia, developing core divisions in property, beverages, and aviation, while exploring new areas like healthcare[5](index=5&type=chunk) - Core principles include integrity, diligence, continuous improvement, humility, teamwork, and long-term development[6](index=6&type=chunk) - The company adopts prudent financial management to shield long-term investments from short-term market fluctuations and maintains high corporate governance standards[8](index=8&type=chunk)[9](index=9&type=chunk) Performance Summary](index=4&type=section&id=%E8%A1%A8%E7%8F%BE%E6%91%98%E8%A6%81) The company reported robust revenue growth of **16%** in H1 2025, but profit attributable to company shareholders significantly decreased by **79%** due to investment property fair value changes. Underlying profit and recurring underlying profit slightly declined, while dividends per share increased by **4%** Key Financial Data for H1 2025 (HKD million) | Metric | 2025 H1 | 2024 H1 | Change | 2024 Full Year | | :--- | :--- | :--- | :--- | :--- | | Profit Attributable to Company Shareholders | 815 | 3,914 | -79% | 4,321 | | Underlying Profit | 5,476 | 5,576 | -2% | 10,471 | | Recurring Underlying Profit | 4,712 | 4,762 | -1% | 9,284 | | Revenue | 45,774 | 39,563 | +16% | 81,969 | | Operating Profit | 1,861 | 4,945 | -62% | 4,240 | | Operating Profit Excluding Fair Value Changes of Investment Properties | 5,745 | 5,785 | -1% | 10,214 | | Fair Value Changes of Investment Properties | (3,884) | (840) | N/A | (5,974) | | Net Debt | 71,337 | 63,479 | +12% | 70,563 | | Net Debt to Capital Ratio (Excluding Lease Liabilities) | 22.7% | 19.8% | +2.9 percentage points | 22.1% | | Dividends Per Share ('A' Share) | 1.30 | 1.25 | +4% | 3.35 | | Dividends Per Share ('B' Share) | 0.26 | 0.25 | +4% | 0.67 | Chairman's Statement](index=5&type=section&id=%E4%B8%BB%E5%B8%AD%E5%A0%B1%E5%91%8A) The Chairman's Statement highlights the Group's solid overall business performance in H1 2025 despite an uncertain operating environment, with strong aviation and property divisions, and resilient beverages. Underlying profit attributable to company shareholders slightly decreased, but the rise in investment property fair value losses is non-cash. The Group will continue strategic initiatives in core markets and remains optimistic about long-term prospects - H1 2025 underlying profit attributable to company shareholders was **HKD5.476 billion**, a slight decrease from **HKD5.576 billion** in H1 2024[12](index=12&type=chunk) - Fair value loss on investment properties increased to **HKD4.664 billion** (H1 2024: **HKD877 million**), but this is non-cash and does not impact cash flow or underlying profit[12](index=12&type=chunk) - Swire Properties continues to advance its **HKD100 billion** investment plan, with **67%** of funds committed, focusing on expanding in Hong Kong, Mainland China, and Southeast Asia[14](index=14&type=chunk) - Swire Coca-Cola's Southeast Asia business continues to grow, and an application has been submitted for the proposed spin-off and separate listing of ThaiNamthip on the Stock Exchange of Thailand[16](index=16&type=chunk) - Cathay Group continues to invest in its fleet, cabins, and digital innovation, with total investments exceeding **HKD100 billion**, and added **19 new passenger destinations**[17](index=17&type=chunk) - The Group maintains a strong financial position with **HKD52.6 billion** in available liquidity, a net debt to capital ratio of **22.7%**, and declared a **4% increase** in the first interim dividend[21](index=21&type=chunk) - The company repurchased **25,119,000 'A' shares** and **15,402,500 'B' shares** in H1 2025, at a total cost of **HKD1.842 billion**[22](index=22&type=chunk) - The Group continues to advance its SwireTHRIVE sustainable development strategy, with its companies making progress in renewable energy use and sustainable aviation fuel development[23](index=23&type=chunk) Business Review](index=9&type=section&id=%E6%A5%AD%E5%8B%99%E8%A9%95%E8%BF%B0) This section reviews the H1 2025 operating performance, strategic developments, key project progress, and outlook for the company's five divisions: Property, Beverages, Aviation, Healthcare, and Trading & Industrial, each navigating diverse market dynamics and challenges Property Division](index=9&type=section&id=%E5%9C%B0%E7%94%A2%E9%83%A8%E9%96%80) The Property Division's H1 2025 attributable recurring underlying profit slightly decreased due to Hong Kong office market challenges and weak retail. However, progress was made in property trading and Mainland China projects through US non-core asset disposals and the **HKD100 billion** investment plan. Future focus remains on core markets, developing quality properties and residential projects - H1 2025 attributable recurring underlying profit was **HKD2.829 billion**, a **2% decrease** from H1 2024, primarily due to lower Hong Kong office rental income[18](index=18&type=chunk) - High office vacancy rates and new supply in Hong Kong create downward pressure, but the office portfolio's occupancy rate remains stable[18](index=18&type=chunk)[50](index=50&type=chunk) - Completed the disposal of Brickell City Centre retail and parking businesses in Miami, US, with proceeds supporting the **HKD100 billion** investment plan[15](index=15&type=chunk)[48](index=48&type=chunk) - Mainland China retail sales showed stable growth, with Taikoo Li Sanlitun, Beijing, HKRI Taikoo Hui, Shanghai, and Taikoo Li Qiantan retail sales increasing by **7%**, **14%**, and **4%** respectively[58](index=58&type=chunk) - Lujiazui Taikoo Li Residences in Shanghai achieved outstanding sales, with two phases totaling **RMB5.93 billion** in sales[14](index=14&type=chunk)[47](index=47&type=chunk) - As of August 1, 2025, approximately **HKD67 billion** of the **HKD100 billion** investment plan has been committed, primarily for Hong Kong, Mainland China, and residential trading projects[44](index=44&type=chunk) Property Division Total Revenue (HKD million) | Category | 2025 H1 | 2024 H1 | 2024 Full Year | | :--- | :--- | :--- | :--- | | Property Investment | 6,576 | 6,727 | 13,452 | | Property Trading | 1,706 | 88 | 88 | | Hotels | 441 | 464 | 888 | | **Total Revenue** | **8,723** | **7,279** | **14,428** | Beverages Division](index=22&type=section&id=%E9%A3%B2%E6%96%99%E9%83%A8%E9%96%80) The Beverages Division's H1 2025 attributable profit slightly decreased due to weak consumer sentiment and capacity enhancement project expenses in Vietnam and Taiwan. Despite this, total revenue and sales volume significantly grew from ThaiNamthip's contribution. Mainland China operations' profit rose, but Hong Kong, Taiwan, and Southeast Asia faced challenges. The company is actively addressing market headwinds and plans to spin off ThaiNamthip for listing - H1 2025 attributable profit was **HKD803 million**, including a non-recurring loss of **HKD58 million**, with recurring attributable profit at **HKD861 million**, a **2% decrease** year-on-year[100](index=100&type=chunk) - Total revenue (including Shanghai Shenmei and excluding sales to other bottlers) increased by **25%** to **HKD22.188 billion**, with sales volume up **20%** to **1.038 billion standard cases**, primarily due to TNCC's contribution[100](index=100&type=chunk) - Mainland China operations' attributable profit increased by **8%**, with both revenue and sales volume rising[19](index=19&type=chunk)[103](index=103&type=chunk)[104](index=104&type=chunk) - Profits from Hong Kong, Taiwan, Vietnam, and Cambodia operations all declined, impacted by weak consumer sentiment, capacity enhancement project expenses, and Vietnamese Dong depreciation[19](index=19&type=chunk)[105](index=105&type=chunk)[107](index=107&type=chunk)[109](index=109&type=chunk)[111](index=111&type=chunk) - An application has been submitted

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 | 截至月份: | 2025年8月31日 | 狀態: | 新提交 | | --- | --- | --- | --- | | 致：香港交易及結算所有限公司 | | | | | 公司名稱: | Swire Pacific Limited 太古股份有限公司 | | | | 呈交日期: | 2025年9月1日 | | | | I. 法定/註冊股本變動 不適用 | | | | | 備註： | | | | | Swire Pacific Limited 太古股份有限公司並無法定股本，及其股本並無股份面值。 | | | | 第 1 頁 共 10 頁 v 1.1.1 FF301 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00019 | 說明 | A股 | | | | | | | | 已發行股份（不包括 ...

Group 1 - Swire Properties plans to issue a seven-year USD bond to refinance a $500 million note maturing in September [1] - Approximately 30% of Swire's total debt is denominated in RMB, and the company is seeking opportunities to diversify into other currencies [1] - The choice of a seven-year term for the bond is influenced by the fact that most of Swire's bank financing is for five years [1]

Group 1 - The company Swire Properties (00019)/(00087) plans to issue a seven-year USD bond as early as Thursday (August 21) to refinance a $500 million note maturing in September [1] - Approximately 30% of Swire's total debt is denominated in RMB, and the company is actively seeking opportunities to diversify into other currencies [1] - The choice of a seven-year term for the bond issuance is influenced by the fact that most of the company's bank financing is for five years [1]

Group 1 - Goldman Sachs has adjusted its earnings per share forecast for Swire Properties (00019) for the years 2023 to 2027, with revisions ranging from a 9% downgrade to a 3% upgrade, and has lowered the target price from HKD 91.6 to HKD 90, maintaining a "Buy" rating [1] - Swire Properties reported a net profit of HKD 8.15 billion for the first half of the year, with actual net profit down 1% year-on-year to HKD 47 billion, aligning with Goldman Sachs' expectations and representing 49% of the firm's full-year forecast [1] - The company has increased its interim dividend per share to HKD 1.3, with recurring profit per share (excluding Cathay Pacific (00293)) at 49%, and aims for a payout ratio of 50-60% [1] Group 2 - Management expressed cautious optimism regarding business outlook during the earnings meeting, anticipating continued macroeconomic challenges but committing to long-term strategies and seeking investment opportunities in Hong Kong and the Greater Bay Area [1] - The report noted that Swire's stock price discount to net asset value has widened from approximately 20% to 33% over the past quarter, which is in line with the historical average of 25% to 30% [1] - The stock is viewed as providing a balanced risk exposure across property, consumer-related, and aviation sectors, with valuations at 4 times book value, 10 times forecasted earnings for the year, and a dividend yield of 5.2% considered not expensive [1]

Core Viewpoint - UBS reported that Swire Pacific (00019) had a mid-term recurring underlying profit of HKD 4.7 billion, a year-on-year decline of 1%, which was 12% below their expectations, primarily due to lower-than-expected contributions from Cathay Pacific (00293) [1] Financial Performance - The group's mid-term dividend was HKD 1.3, representing a year-on-year increase of 4%, which was largely in line with expectations [1] - The company has adjusted its earnings forecasts for 2025 to 2027 down by 1% to 5% to reflect changes in earnings estimates for Cathay, HAECO, and the beverage business [1] Management Strategy - Management reiterated their focus on long-term strategic investments and gradual dividends rather than share buybacks [1] - Future share buybacks will depend on stock price, debt ratio, and market conditions [1] Target Price Adjustment - UBS slightly lowered the target price for Swire Pacific from HKD 75 to HKD 74, maintaining a "Neutral" rating [1]

Core Viewpoint - UBS reports that Swire Properties (00019) has a mid-term recurring core profit of HKD 4.7 billion, a year-on-year decline of 1%, which is 12% below the bank's expectations, primarily due to lower-than-expected contributions from Cathay Pacific (00293) [1] Financial Performance - The group's mid-term dividend is HKD 1.3, a year-on-year increase of 4%, which is generally in line with expectations [1] - The company has adjusted its earnings forecasts for 2025 to 2027 down by 1% to 5% to reflect changes in earnings estimates for Cathay Pacific, HAECO, and the beverage business [1] Management Strategy - Management reiterated that they prioritize long-term strategic investments and gradual dividends over stock buybacks [1] - Future stock buybacks will depend on share price, debt ratios, and market conditions [1] Target Price and Rating - UBS has slightly lowered the target price for Swire Properties from HKD 75 to HKD 74, maintaining a "Neutral" rating [1]

Core Viewpoint - UBS reported that Swire Properties' recurring underlying profit for the first half was HKD 4.7 billion, a year-on-year decline of 1%, which was 12% below the bank's expectations, primarily due to lower-than-expected contributions from Cathay Pacific [1] Group 1: Financial Performance - The group's interim dividend was HKD 1.3, representing a year-on-year increase of 4%, which was generally in line with expectations [1] - The company has adjusted its earnings forecasts for 2025 to 2027 down by 1% to 5% to reflect revisions in earnings estimates for Cathay Pacific, HAECO, and beverage businesses [1] Group 2: Management Strategy - Management reiterated a focus on long-term strategic investments and a gradual dividend policy rather than stock buybacks; future buybacks will depend on share price, debt ratios, and market conditions [1] Group 3: Target Price and Rating - UBS slightly lowered the target price for Swire Properties from HKD 75 to HKD 74, maintaining a "Neutral" rating [1]

Core Viewpoint - Morgan Stanley's research report indicates that Swire Properties A's interim ordinary share dividend increased by 4% year-on-year to HKD 1.3, aligning with the bank's expectations, making it one of the few companies in their coverage to raise dividends [1] Financial Performance - Swire Properties A's recurring underlying profit was HKD 4.7 billion, representing a 1% year-on-year decline, which was below Morgan Stanley's estimates due to lower operating profit margins from intellectual property and reduced contributions from joint ventures and associates [1] Investment Rating - Morgan Stanley maintains a "Market Perform" rating on Swire Properties A with a target price of HKD 71, suggesting that the current price corresponds to a projected price-to-earnings ratio of 9 times for 2025, with a dividend yield of 5.2% [1]

Core Insights - The company reported a revenue of HKD 45.774 billion for the first half of 2025, representing a year-on-year increase of 16% [1] - The profit attributable to shareholders was HKD 0.815 billion, showing a significant decline of 79% compared to the previous year [1] Revenue Breakdown - The beverage segment generated revenue of HKD 21.515 billion, up from HKD 17.139 billion in the same period last year [1] - Revenue from mainland China was HKD 13.031 billion, with an attributable profit of HKD 0.588 billion, reflecting an 8% increase year-on-year [1] - Revenue from carbonated drinks, juice drinks, and energy drinks increased by 4%, 2%, and 51% respectively, while tea drinks and bottled water saw declines of 24% and 5% respectively [1] - Overall sales volume increased by 1% [1]