Financial Performance - The core business after-tax profit for the fiscal year 2022 was approximately HKD 1,403 million[3]. - Core business revenue increased to HKD 6,536.3 million, up 14.7% from HKD 5,696.9 million in 2021[7]. - Profit attributable to equity holders after tax rose to HKD 1,402.6 million, a 3.1% increase from HKD 1,360.6 million[17]. - Total comprehensive income for the year was HKD 8,884.8 million, reflecting a 13.5% increase from HKD 7,830.4 million[21]. - The group's attributable core profit for the year was HKD 1,402.6 million, indicating a recovery from previous losses[23]. - The net leverage ratio based on statutory accounting standards was 36.9%, slightly up from 36.4% in June 2022[9]. - The group's net borrowings as of December 31, 2022, amounted to HKD 27,270 million, a decrease of HKD 10 million compared to December 31, 2021[54]. - The total borrowings of the group, including the subsidiaries, were HKD 33,331 million as of December 31, 2022, down from HKD 33,502 million in the previous year[57]. - The leverage ratio of the group as of December 31, 2022, was 36.9%, an increase from 34.0% as of December 31, 2021[55]. - The overall interest coverage ratio for the group was 3.9 times during the reporting period[61]. Asset and Investment Overview - As of December 31, 2022, the net asset value (attributable to the interests in Champion REIT and LHI) was approximately HKD 64,504 million[3]. - The total assets of the group amounted to HKD 98,727 million, with total liabilities of HKD 34,223 million[19]. - The company holds a 68.28% interest in Champion REIT and a 69.70% interest in LHI as of December 31, 2022[2]. - The company has made 19 investments totaling USD 26.0 million (approximately HKD 203.0 million) in sectors like semiconductors and AI, with 13 investments completed in 2022[49]. - The group has a total of HKD 24,296 million in properties mortgaged or pledged as of December 31, 2022, up from HKD 20,495 million in the previous year[61]. Hotel and Property Operations - The company has a portfolio of 29 hotels with over 10,000 rooms globally[2]. - Total revenue from the hotel segment surged by 88.4% to HKD 3,929.1 million, compared to HKD 2,085.7 million in the previous year[17]. - The hotel EBITDA for 2022 was HKD 615.9 million, a significant recovery from a loss of HKD 105.4 million in 2021[28]. - The occupancy rate for the London Langham Hotel reached 65.5%, up from 22.8% in the previous year[27]. - The average daily room rate for the Langham Hotel rose by 58.9% to HKD 1,753 in 2022, compared to HKD 1,103 in 2021[39]. - The average room rate for the Cordis Hotel increased by 43.4% to HKD 1,428 in 2022, compared to HKD 996 in 2021[40]. - The hotel achieved a 73.4% occupancy rate in 2022, with an average room rate increasing by 70.6% year-on-year, leading to a total room revenue increase of 156.8%[41]. - The company plans to develop two premium residential projects in Hong Kong and two development projects in San Francisco, USA[2]. Dividend and Shareholder Returns - The proposed final dividend for the year ended December 31, 2022, is HKD 0.50 per share, totaling HKD 0.83 for the full year[6]. - The company declared a total annual dividend of HKD 0.83 per share, down from HKD 1.33 per share in 2021[7]. Sustainability and Environmental Initiatives - The group has implemented a climate leadership strategy aiming to become a recognized climate leader in Hong Kong and Asia, with a focus on sustainable development initiatives[69]. - The company aims to achieve net-zero emissions by 2045 and will continue to engage with stakeholders to advance its sustainability goals[71]. - The group completed multiple energy-saving projects and established a 2030 energy-saving plan, including energy audits for properties in Hong Kong[69]. - The company has committed to a 2030 energy-saving plan for its properties in Hong Kong[93]. - The company’s climate leadership strategy focuses on three key areas: talent, assets, and capital[96]. - The company has not reported any significant violations of environmental laws and regulations in 2022[94]. - The company aims to reduce carbon emissions from its Hong Kong properties by 46% by 2030[97]. Community Engagement and Social Responsibility - The group collaborated with non-profit organizations to engage in community projects, focusing on arts, children's education, and environmental protection[151]. - The group established the "Eagle Music Children's Orchestra" to provide free music education for underprivileged children, with 69 members in the orchestra and 16 in the chamber choir[153]. - The group donated 1,000 back-to-school pandemic prevention packages to underprivileged students and families in collaboration with various community organizations during the pandemic[156]. - The group has partnered with the Make a Wish Foundation to fulfill wishes for sick children wishing to stay in five-star hotels[170]. - The group organized a "Champion Moms" program to support mothers of children with special educational needs, promoting social rights and upward mobility[171]. Employee Welfare and Training - The group provided a total of 113,204 hours of training for employees in 2022[148]. - The company organized mental health and stress management training for employees, including yoga classes[142]. - The group aims to create an engaging work environment supported by performance evaluation opportunities and open communication channels[130]. - The group is committed to sustainable practices, including the recycling of used cooking oil into biofuel and donating used linens and tableware to local charities[122]. Risk Management and Compliance - The internal audit department conducts annual reviews of the effectiveness of the company's risk management and internal control systems[85]. - The group has maintained a commitment to high ethical standards and compliance with relevant laws and regulations[180]. - The group has not reported any significant violations of anti-corruption laws or regulations during the year[181].

Financial Performance - Core business revenue for the six months ended June 30, 2022, was HKD 2,967 million, representing a 15.7% increase from HKD 2,563.8 million in the same period of 2021[11]. - Profit attributable to equity holders, excluding tax, was HKD 513 million, down 4.1% from HKD 534.9 million in the previous year[11]. - Earnings per share attributable to equity holders, excluding tax, was HKD 0.70, compared to HKD 0.74 in the prior year[11]. - Total revenue according to statutory accounting standards was HKD 4,091 million, a 14.6% increase from HKD 3,569.3 million in the previous year[11]. - Core profit before tax for the six months ended June 30, 2022, was HKD 589.8 million, a 7.5% increase from HKD 548.8 million in the same period of 2021[15]. - The group reported a core profit after tax of HKD 512.7 million, a decrease of 4.2% from HKD 535.0 million in the same period of 2021[15]. - Total revenue for the first half of 2022 was HKD 4,091.0 million, representing a 14.6% increase from HKD 3,569.3 million in the first half of 2021[19]. - The group achieved a profit attributable to shareholders of HKD 123.864 million for the period[134]. - The group reported a net profit before tax of HKD 378.685 million, showcasing robust financial health[134]. - The company reported a significant increase in investment income, amounting to HKD 216,708 million for the period[114]. Dividend and Shareholder Returns - The company declared an interim dividend of HKD 0.33 per share, consistent with the previous year's interim dividend[8]. - The group declared an interim dividend of HKD 0.33 per share for the six months ended June 30, 2022, consistent with the previous year[146]. - The company issued 16,682,933 shares as scrip dividends at a price of HKD 15.98 per share, compared to 10,247,300 shares at HKD 25.32 per share in the previous period[194]. Assets and Liabilities - The total assets of the group as of June 30, 2022, amounted to HKD 100,329 million, with net assets of HKD 66,318 million[17]. - The total assets of the group's operations decreased from HKD 47,069 million at the end of 2021 to HKD 44,000 million as of June 30, 2022[18]. - The company's total liabilities as of June 30, 2022, were HKD 11,602,821,000, compared to HKD 11,573,080,000 as of December 31, 2021, indicating a slight increase in debt levels[140]. - The company's total non-current liabilities amounted to HKD 28,037 million, an increase from HKD 27,501 million as of December 31, 2021, representing a growth of approximately 1.9%[113]. - The company's cash and cash equivalents stood at HKD 4,930,936,000, down from HKD 6,119,146,000 at the end of 2021, reflecting a need for cash flow optimization[112]. Revenue Breakdown - Hotel segment revenue increased by 119.2% to HKD 1,591.3 million compared to HKD 725.9 million in the previous year[15]. - The revenue from property sales was HKD 539.6 million, down 43.7% from HKD 957.6 million in the same period last year[19]. - Rental income from investment properties was HKD 1,253,306,000, a slight decrease of 3.9% from HKD 1,303,514,000 in the prior period[123]. - The hotel business segment generated external revenue of HKD 2,008.281 million, contributing significantly to the overall performance[134]. Operational Developments - The company is developing two premium residential projects in Hong Kong and several hotel projects in the United States, Japan, and Italy[3]. - The company plans to pre-sell a residential project in Ho Man Tin in the first half of 2023, with completion expected in Q4 2024[20]. - The company is advancing the redevelopment of the Chelsea hotel project in London, which will exceed 1.7 million square feet[27]. - The company launched a new mid-range hotel brand "Yifeng Hotel" to expand its hotel business in mainland China[29]. Financial Management and Costs - The group's administrative and other expenses increased by 41.2% to HKD 270.0 million from HKD 191.2 million in the previous year[15]. - The company's financial costs net value increased to HKD 76.4 million, up from HKD 30.3 million in the first half of 2021[21]. - The total finance costs for the six months ended June 30, 2022, were HKD 349,259,000, a decrease of 4.5% compared to HKD 367,073,000 for the same period in 2021[143]. Market Conditions and Future Outlook - The group anticipates ongoing pressure on its hotel business due to the pandemic, inflation, and geopolitical tensions, but expects recovery in overseas hotel operations as travel restrictions ease[62]. - The group plans to continue seeking acquisition opportunities, particularly in mid-sized hotels or related chains, during the current market downturn[62]. - The company plans to continue expanding its market presence and investing in new technologies to enhance operational efficiency[135]. Corporate Governance - The company has a strong focus on corporate governance, with various committees including remuneration, audit, and nomination committees led by experienced directors[66]. - The company has a commitment to maintaining high standards of corporate governance, as evidenced by the roles of independent directors in key committees[66]. - The board of directors has been monitoring and reviewing corporate governance practices, ensuring compliance with most provisions of the corporate governance code[74]. Shareholder Structure - The company holds a 67.99% stake in the Crown Industrial Trust as of June 30, 2022[88]. - The company has a 69.53% ownership in Langham Hospitality Investments as of June 30, 2022[91]. - Dr. Lo Ka Shing holds 64,790,835 shares, representing 8.67% of the issued share capital[85].

Financial Performance - The core business after-tax profit for the fiscal year 2021 was approximately HKD 1,361 million[4]. - Core profit attributable to equity holders fell by 23.2% to HKD 1,360.6 million, down from HKD 1,771.9 million[21]. - Total revenue for the year was HKD 7,830.4 million, a decline of 24.0% compared to HKD 10,305.3 million in the previous year[21]. - Core business revenue decreased by 31.0% to HKD 5,696.9 million from HKD 8,261.9 million[21]. - Property sales revenue dropped significantly by 64.7% to HKD 1,802.0 million from HKD 5,107.9 million[21]. - The company declared a total annual dividend of HKD 1.33 per share, down from HKD 2.83 per share in the previous year[21]. - The total dividend for the fiscal year 2021 is expected to be HKD 1.33 per share, compared to HKD 2.83 per share for the fiscal year 2020[9]. - Total assets as of December 31, 2021, amounted to HKD 103,625 million, with total liabilities of HKD 34,815 million[22]. - The company holds a 67.76% interest in Champion REIT and a 69.39% interest in LHI as of December 31, 2021[3]. Hotel Operations - The hotel portfolio consists of 27 hotels with over 10,000 rooms globally, including 24 hotels in various major cities[3]. - Hotel segment revenue increased by 60.4% to HKD 2,085.7 million, up from HKD 1,300.1 million[21]. - The hotel division recorded an EBITDA loss of HKD 105.4 million, significantly reduced from a loss of HKD 625.8 million in the previous year, representing an improvement of HKD 520.4 million or 83.2%[25]. - The average occupancy rate for the London Langham Hotel improved to 22.8% from 19.0% in 2020[30]. - The total revenue for Hong Kong Langham Hotel increased by 52.3% year-on-year, excluding other income from government subsidies[48]. - The occupancy rate for Hong Kong Cordis Hotel improved to 36.0% in 2021 from 22.5% in 2020, with a 55.4% increase in food and beverage revenue[49]. - The total revenue for Hong Kong Cordis Hotel increased by 48.2% year-on-year, excluding other income from government subsidies[49]. - The total revenue for Hong Kong Eaton Hotel increased by 36.1% year-on-year, excluding other income from government subsidies[50]. Development Projects - Development projects include two premium residential projects in Hong Kong and several hotel development projects in the US, Japan, and Italy[3]. - The company successfully acquired a luxury residential development project in Ho Man Tin, Hong Kong, in February 2021[25]. - The residential development project in Ho Man Tin has a total gross floor area of approximately 742,000 square feet, with construction expected to commence in April 2022[55]. - The company acquired a hotel redevelopment site in Tokyo for 22.2 billion JPY, with a total floor area of approximately 380,000 square feet planned for a flagship hotel with 270 rooms[57]. - The Venice Murano Island hotel project, acquired for €32.5 million, will consist of 133 rooms and a total floor area of approximately 170,000 square feet, combining historical restoration with new construction[59]. Financial Position and Debt - As of December 31, 2021, the company's consolidated net debt was HKD 27.28 billion, an increase of HKD 5.45 billion from the previous year, primarily due to cash premiums paid for the Whampoa project[60]. - The company's leverage ratio as of December 31, 2021, was 34.0%, calculated based on the net debt attributable to shareholders[61]. - The total outstanding borrowings included floating rate borrowings of HKD 17,444 million (52.1%) and fixed rate borrowings of HKD 16,058 million (47.9%)[63]. - The group's cash, bank deposits, and unutilized confirmed credit totaled HKD 15,178 million as of December 31, 2021[64]. Sustainability and ESG Initiatives - The company aims to achieve net-zero emissions by 2045 as part of its long-term climate leadership strategy[74]. - The company reported a 24.9% decrease in energy consumption intensity compared to 2019[77]. - The company has established a comprehensive ESG policy framework to integrate sustainability into its operations[79]. - The company has implemented a governance structure that includes a board of directors overseeing overall sustainability trends[78]. - The company has developed a set of policies and procedures to guide the achievement of planned ESG outcomes[79]. - The hotel division achieved EarthCheck certification, with one hotel receiving Master certification for over 15 years of sustainability efforts, and six hotels obtaining Platinum certification (over 10 years)[93]. - The company has established an environmental management system (e.g., ISO 14001) to identify and mitigate significant environmental impacts, focusing on energy consumption, carbon emissions, and water usage[90]. - The company has not incurred any environmental fines during the year and complies with all relevant environmental laws and regulations[90]. Corporate Governance - The company emphasizes high standards of corporate governance to enhance its image and strengthen shareholder confidence[80]. - The company has established a policy to prevent fraud, bribery, and corruption, outlining minimum behavioral standards for all employees[186]. - The board consists of 15 members, including 7 executive directors, 3 non-executive directors, and 5 independent non-executive directors, ensuring a balanced representation for independent judgment[193]. - The company has a whistleblowing policy in place to protect whistleblowers and provide channels for reporting misconduct[189]. - The company has complied with most provisions of the corporate governance code during the year, with some deviations noted, particularly regarding the roles of the Chairman and CEO[190]. Community Engagement and Social Responsibility - The company continues to support the Music Children Foundation, promoting music education for underprivileged youth through the Eagle Music Children's Orchestra[149]. - The company participated in community service initiatives, including food packaging and support for families in need during the pandemic[155]. - The company established a strategic partnership with Green Monday to promote plant-based diets, aiming to alleviate climate change and food insecurity[153]. - The initiative includes the launch of Hong Kong's first vegetarian culinary academy, focusing on training professionals in plant-based cooking[153]. Employee Engagement and Development - The total employee turnover rate was 41%, with a notable increase in turnover among employees under 20 years old, rising from 112 to 131[123]. - In 2021, the average training hours per employee in the hotel division was 20 hours, an increase from 12 hours in 2020[137]. - The company has established a cross-departmental task force to coordinate pandemic prevention efforts and emergency response plans[127]. - The company organized health promotion activities, including yoga and Zumba classes, to enhance employee well-being[125].

Financial Performance - For the six months ended June 30, 2021, the core business revenue was HKD 2,563.8 million, representing a 53.9% increase from HKD 1,666.3 million in the same period of 2020[11]. - The core profit attributable to equity holders after tax was HKD 534.9 million, a significant increase of 502.4% compared to HKD 88.8 million in the previous year[11]. - The total revenue calculated under statutory accounting standards was HKD 3,569.3 million, a 31.0% increase from HKD 2,724.4 million in the prior year[11]. - The company reported an accounting loss attributable to equity holders of HKD 784.0 million, compared to a loss of HKD 6,512.8 million in the same period last year, indicating an improvement[11]. - Core profit after tax for the first half of 2021 reached HKD 535.0 million, a 496.4% increase compared to HKD 89.7 million in the same period of 2020[14]. - The total comprehensive loss for the period was HKD 955,156,000, significantly lower than HKD 9,820,434,000 in the same period last year, indicating a substantial improvement[134]. - The company reported a loss attributable to shareholders of HKD (783,974,000) for the six months ended June 30, 2021, compared to a loss of HKD (6,512,770,000) for the same period in 2020, indicating a significant improvement[184]. Revenue Sources - The revenue from property sales for the first half of 2021 was HKD 957.6 million, which was not applicable in the same period of 2020[14]. - The hotel business generated external revenue of HKD 1,002,590,000, while property investment and development contributed HKD 75,703,000 and HKD 957,622,000 respectively[169]. - Rental income from investment properties decreased to HKD 1,303,514, down 6.1% from HKD 1,388,705 in the previous year[154]. - The group’s total income from the US fund was HKD 34.0 million, down 30.9% from HKD 49.2 million in the same period of 2020[19]. - The company achieved a total of HKD 1,546,574,000 in revenue from Hong Kong, which was the largest contributor by region[162]. Assets and Liabilities - The total assets of the group as of June 30, 2021, amounted to HKD 101,897 million, with total liabilities of HKD 36,902 million, resulting in a net asset value of HKD 64,995 million[16]. - The company's consolidated net debt was HKD 29,454 million, an increase of HKD 7,625 million from December 31, 2020[66]. - The total liabilities increased to HKD 68,008,740,000, highlighting a growing debt burden[137]. - The company's equity attributable to shareholders increased from HKD 58,203,744 thousand as of December 31, 2020, to HKD 57,159,723 thousand as of June 30, 2021, showing a decrease of approximately 1.8%[136]. Dividends and Shareholder Returns - The company declared an interim dividend of HKD 0.33 per share, consistent with the previous year's interim dividend[7]. - The total dividends paid for the financial year ended December 31, 2020, amounted to HKD 720,792,000, with an interim dividend of HKD 241,243,000 declared for the six months ended June 30, 2021[181]. Operational Challenges - The hotel operations continue to be severely impacted by the COVID-19 pandemic, with no significant recovery expected for the remainder of 2021[73]. - The group temporarily closed some hotels due to the ongoing impact of the COVID-19 pandemic, affecting operational performance[143]. - The management anticipates rental income and distributions per fund unit for the Crown Industrial Trust to remain under pressure in 2021[73]. Strategic Developments - The company is developing two premium residential projects in Hong Kong and several projects in the United States, Japan, and Italy[2]. - The group successfully acquired a luxury residential project in Ho Man Tin, with a total floor area of approximately 742,000 square feet, enhancing its asset base[22]. - The company plans to focus on market expansion and new product development to drive future growth[137]. - The company is exploring strategic acquisitions to enhance its market position and operational capabilities[137]. Governance and Leadership - The company has appointed independent non-executive directors with extensive experience in various sectors, including finance and law, enhancing governance and oversight[81][82][83][84][85][87]. - The company has established a strong governance framework with various committees, including audit and remuneration, to ensure accountability and transparency[81][82][83][84][85][87]. - The company has a commitment to sustainability, which is seen as essential for improving the quality of life in local communities and globally[94]. Market Conditions - The geopolitical tensions between the US and China may further impact the economy and the company's operations in Hong Kong[76]. - The overall performance of overseas hotels was mixed, heavily influenced by varying COVID-19 restrictions across different countries[26]. - The company is in a relatively favorable position due to its strong balance sheet, allowing it to navigate the current economic challenges[76].

Financial Performance - The core business after-tax profit for the fiscal year 2020 was approximately HKD 1.773 billion[4]. - As of December 31, 2020, the net asset value (attributable to the interests in Champion REIT and LHI) was approximately HKD 66 billion[4]. - The proposed final dividend for the year ended December 31, 2020, is HKD 0.50 per share, consistent with the previous year[30]. - The total dividend for the year 2020, including interim dividends, will amount to HKD 2.83 per share, compared to HKD 1.33 per share in 2019[30]. - Core business revenue increased to HKD 8,261.9 million, up 27.1% from HKD 6,498.4 million in 2019[34]. - Equity holders' attributable core profit after tax rose to HKD 1,771.9 million, a 2.4% increase from HKD 1,731.0 million[34]. - Total revenue under statutory accounting standards was HKD 10,305.3 million, reflecting an 11.6% increase from HKD 9,236.8 million[35]. - The net leverage ratio based on statutory accounting standards increased to 25.6% from 20.1%[36]. - Total assets as of December 31, 2020, amounted to HKD 94,509 million, with total liabilities of HKD 28,174 million[48]. - The loss attributable to equity holders was HKD 8,540.3 million, a significant increase from HKD 337.8 million in 2019[50]. Hotel Segment Performance - Core operating income from property sales was HKD 5,107.9 million, with hotel segment revenue declining by 69.4% to HKD 1,300.1 million[46]. - The total revenue from the hotel segment decreased by 69.4% year-on-year to HKD 1,300.1 million in 2020, compared to HKD 4,249.9 million in 2019[55]. - The hotel segment recorded an EBITDA loss of HKD 625.8 million in 2020, down from an EBITDA of HKD 779.8 million in 2019[56]. - The average daily room rate in London was HKD 333 in 2020, a decrease from HKD 390 in 2019, with an occupancy rate dropping to 19.0% from 80.3%[54]. - The North American hotels generated revenue of HKD 517.8 million in 2020, a decline of 76.4% from HKD 2,190.3 million in 2019[55]. Development Projects - Development projects include a premium residential project in Hong Kong and several hotel projects in the United States, Italy, and Japan[3]. - The company plans to redevelop the Chelsea hotel site into a mixed-use project with 400 hotel rooms and residential apartments, expected to double the current total built area[58]. - The Tokyo hotel redevelopment project involves a site acquired for JPY 22.2 billion, with a total floor area of approximately 379,100 square feet planned for a flagship hotel with 280 rooms[80]. - The Venice Murano Island hotel project, acquired for EUR 32.5 million, will consist of 136 rooms with a total floor area of approximately 170,000 square feet, expected to be completed no earlier than Q2 2024[88]. Sustainability and ESG Initiatives - The company aims for sustainable growth by integrating economic, environmental, and social factors into its operations[104]. - The company has achieved a CO2 reduction of 42.1% for properties and 34.5% for hotels compared to 2019 levels[107]. - The company is committed to the United Nations Sustainable Development Goals (SDGs), focusing on health, quality education, gender equality, and climate action[106]. - The company has established a comprehensive ESG policy framework to guide its sustainability efforts[110]. - The company aims to maintain EarthCheck certification and implement green practices for its hotels, alongside achieving green building ratings for new and existing properties[121]. Employee Welfare and Health - The company aims to enhance employee welfare by providing above-average compensation and comprehensive development programs[152]. - The company implemented strict health and safety measures across its hotels, including a comprehensive health and safety management system monitored by senior management and human resources[162]. - The company organized health promotion activities, including yoga classes and stress management workshops, to support employee wellness[163]. - The hotel division launched a series of online learning programs, partnering with eCornell and LinkedIn Learning, with 100 managers enrolling in eCornell courses and over 3,000 LinkedIn Learning courses accessed[173]. Financial Position and Borrowings - As of December 31, 2020, the group's total net borrowings amounted to HKD 21,829 million, an increase of HKD 1,360 million compared to December 31, 2019[89]. - The group's equity attributable to shareholders was valued at HKD 58,811 million, a decrease of HKD 10,111 million from HKD 68,922 million on December 31, 2019[89]. - Total borrowings, including medium-term notes, reached HKD 29,570 million, with bank loans accounting for HKD 14,696 million[91]. - The overall financial cost for the year was HKD 600 million, with an interest coverage ratio of 6.3 times[95]. Community Engagement - The company has expanded its community engagement strategy by providing free water dispensers and educational talks to reduce plastic consumption in schools and community centers[198]. - The company has organized volunteer services to assist those in need during the pandemic, including the distribution of surgical masks and hand sanitizers[196]. - The company has partnered with the University of Hong Kong to launch a "Pre-school Children's Oral Health Service" to improve dental health among pre-school children[194].

Financial Performance - The company reported a core profit after tax of approximately HKD 1.73 billion for the fiscal year 2019[4]. - Core business revenue decreased by 48.1% to HKD 1,666.3 million compared to HKD 3,211.7 million in the same period last year[12]. - The hotel segment revenue fell by 63.7% to HKD 734.2 million from HKD 2,023.4 million year-on-year[15]. - The net loss attributable to equity holders was HKD 6,512.8 million, compared to a profit of HKD 2,159.2 million in the previous year, marking a significant decline[12]. - The core earnings per share dropped by 89.2% to HKD 0.12 from HKD 1.17 in the prior period[12]. - The group's total comprehensive income for the first half of 2020 was a loss of HKD 9,422.1 million, compared to a profit of HKD 3,230.0 million in the first half of 2019[21]. - Total revenue for the six months ended June 30, 2020, was HKD 2,724,360, a decrease of 42% compared to HKD 4,697,213 for the same period in 2019[128]. - Operating profit for the same period was HKD 566,806, down 66% from HKD 1,657,316 in 2019[128]. - The company reported a loss of HKD 9,422,136 for the six months ended June 30, 2020, compared to a profit of HKD 3,229,966 in the prior year[129]. Dividends and Shareholder Information - The company declared an interim dividend of HKD 0.33 per share and a special interim dividend of HKD 1.50 per share for the six months ending June 30, 2020[9]. - The interim dividend per share remained unchanged at HKD 0.33, while a special interim dividend of HKD 1.50 was not declared this year[12]. - As of June 30, 2020, the company has issued a total of 719,920,112 shares, with 11,538,064 shares issued at a price of HKD 20.32 per share under the scrip dividend scheme[99]. - Over 25% of the company's issued and outstanding shares are held by the public as of June 30, 2020, maintaining sufficient public float[100]. - Dr. Lo Ka Shing holds 59,356,775 shares (8.24%) as a beneficial owner and 88,813,415 shares (12.34%) through controlled companies[102]. Assets and Liabilities - Total assets as of June 30, 2020, amounted to HKD 100,782 million, with total liabilities of HKD 31,723 million, resulting in a net asset value of HKD 69,059 million[18]. - The company's total liabilities increased significantly, with a notable rise in borrowings, reflecting a potential increase in financial leverage[133]. - The company's equity attributable to shareholders decreased from HKD 68,008,740 thousand to HKD 60,728,130 thousand, reflecting a decline of about 10.5%[131]. - The company's investment properties decreased from HKD 87,322,962 thousand to HKD 77,375,611 thousand, a decline of about 11.3%[130]. - The company's total cash, bank deposits, and undrawn confirmed credit amounted to HKD 16,257 million, with most credit backed by sufficient property value[67]. Operational Challenges and Market Conditions - The hotel division's revenue decreased by 65.4% to HKD 979.4 million for the six months ended June 30, 2020, compared to HKD 2,833.6 million in the same period of 2019[21]. - The average occupancy rate for The Langham, Hong Kong was 14.4% in H1 2020, a significant drop from 90.0% in H1 2019, with average room rates decreasing by 31.3%[42]. - The company temporarily closed some hotels due to the COVID-19 pandemic, impacting operations and financial performance[137]. - The company recognized government subsidies related to COVID-19 to offset costs incurred during the pandemic[143]. - The company plans to continue monitoring the economic impact of COVID-19 and adjust strategies accordingly[137]. Development Projects and Future Outlook - The company has ongoing development projects in various locations, including a premium residential project in Hong Kong and hotel developments in the United States, Italy, and Japan[3]. - The group has made progress in obtaining development rights for projects in San Francisco, Seattle, and Toronto, although planning has been delayed due to market conditions[24]. - The company is evaluating market trends to determine the appropriate timing for the redevelopment of the Chelsea Hotel site into a 400-room hotel and residential project[31]. - Future outlook remains cautious with ongoing uncertainties in the market, particularly in the hospitality sector, as recovery is expected to be gradual[147]. Employee and Corporate Governance - As of June 30, 2020, the total number of employees decreased by approximately 15.1% to 5,404 from 6,366 as of December 31, 2019, primarily due to the impact of the COVID-19 pandemic on hotel operations[89]. - The company emphasizes the importance of employee training and development, having implemented programs to promote a culture of high performance since 2012[96]. - The company is committed to maintaining high standards of corporate governance to enhance its image and strengthen shareholder confidence[85]. - The board of directors has been monitoring and reviewing corporate governance practices to ensure integrity and accountability[86]. Cash Flow and Financial Management - The company reported a net cash from operating activities of HKD 3,799,852, significantly up from HKD 1,308,086 in the same period last year, representing an increase of approximately 190%[135]. - The company incurred a total tax payment of HKD 352,901, compared to HKD 6,366 in the previous year, indicating a substantial rise in tax obligations[135]. - The company's cash and cash equivalents decreased from HKD 20,527,787 thousand to HKD 11,753,969 thousand, a reduction of about 42.7%[130]. - The overall net interest coverage ratio was 2.7 times, with net financial costs of HKD 314 million during the reporting period[67].

Financial Performance - Core business revenue for the six months ended June 30, 2019, was HKD 3,211.7 million, representing a 2.1% increase from HKD 3,145.7 million in 2018[8] - Profit attributable to equity holders, excluding tax, was HKD 820.5 million, a decrease of 9.5% from HKD 906.9 million in the previous year[8] - Earnings per share (EPS) attributable to equity holders, excluding tax, was HKD 1.17, down from HKD 1.30 in 2018[8] - Total revenue according to statutory accounting standards was HKD 4,697.2 million, a decline of 5.4% from HKD 4,967.7 million in 2018[8] - Profit attributable to equity holders according to statutory accounting standards was HKD 2,159.2 million, a significant drop of 38.1% from HKD 3,487.8 million in the previous year[8] - Total revenue for the six months ended June 30, 2019, was HKD 4,697,213, a decrease of 5.4% compared to HKD 4,967,731 for the same period in 2018[124] - Operating profit for the same period was HKD 1,657,316, slightly down from HKD 1,677,032, reflecting a decrease of 2.3%[124] - Net profit attributable to shareholders for the six months ended June 30, 2019, was HKD 2,159,216, a decline of 38.1% from HKD 3,487,790 in the previous year[124] - Basic earnings per share decreased to HKD 3.09 from HKD 5.01, representing a drop of 38.5%[124] Revenue Breakdown - Core business revenue for the hotel segment decreased by 1.8% to HKD 2,023.4 million compared to HKD 2,060.5 million in the same period last year[11] - Hotel revenue for the six months ended June 30, 2019, was HKD 2,798,574, a slight increase from HKD 2,788,560 in the same period of 2018, representing a growth of 0.4%[159] - Revenue from customer contracts for the six months was HKD 3,207,132,000, showing a strong performance across various regions[167] - Hotel room revenue reached HKD 1,697,433,000, while food and beverage revenue was HKD 909,022,000 for the same period[165] - The revenue breakdown by region shows Hong Kong contributing HKD 1,200,147,000, followed by the USA at HKD 804,141,000 and Canada at HKD 267,436,000[167] Dividends and Shareholder Returns - The interim dividend declared was HKD 0.33 per share, consistent with the previous year's interim dividend[7] - The company will distribute the interim dividend on October 17, 2019, to shareholders registered by October 8, 2019[6] - The company has suspended the registration of share transfers from September 30 to October 8, 2019, to facilitate the dividend distribution[6] - The company declared an interim dividend of HKD 0.33 per share for the six months ended June 30, 2019, consistent with the interim dividend of HKD 0.33 per share for the same period in 2018[186] Assets and Liabilities - Total assets as of June 30, 2019, amounted to HKD 109,719 million, with total liabilities of HKD 27,931 million, resulting in a net asset value of HKD 81,788 million[14] - The total liabilities increased to HKD 12,837,282 from HKD 9,239,948, indicating a rise of 39.5%[126] - The company reported a significant increase in property inventory to HKD 5,291,573 from HKD 4,685,334, reflecting a growth of 12.9%[126] - The total liabilities of the group as of June 30, 2019, were HKD 11,064,780,000, compared to HKD 10,670,420,000 as of December 31, 2018[178] Operational Highlights - The hotel division's EBITDA fell by 14.9% to HKD 304.4 million in the first half of 2019, compared to HKD 357.9 million in the same period of 2018[21] - The average occupancy rate for the Boston Langham Hotel dropped to 59.2% in the first half of 2019, down from 74.7% in the same period of 2018 due to its closure for renovations[20] - The average room rate at the Chicago Langham Hotel increased by 2% in the first half of 2019, while occupancy rose by 3.0 percentage points[25] - The restaurant revenue at the Chicago Langham Hotel increased by 11% in the first half of 2019 due to improvements in corporate meetings and events[25] Strategic Initiatives - The group successfully launched the luxury residential project "Long Tao" in Hong Kong, with 362 units being oversubscribed and nearly sold out[17] - The group plans to recognize approximately HKD 700 million from the sale of remaining units in a Dalian project in two phases, with HKD 70 million expected in the second half of 2019 and the remaining HKD 180 million in 2020[17] - The group acquired a small parking lot in Seattle for USD 7.5 million in June 2019, intended for future project development[17] - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by the end of 2024[5] Corporate Governance - The company is committed to maintaining high standards of corporate governance to enhance its image and strengthen shareholder confidence[85] - The corporate governance code was revised and took effect on January 1, 2019, to improve transparency and accountability in the nomination committee and board elections[85] - The company has adhered to most provisions of the corporate governance code during the review period, adopting some recommended best practices where appropriate[85] Employee Engagement - The company emphasizes the importance of employee retention and recruitment, offering competitive salaries and performance-based bonuses, along with various employee benefits[92] - The hotel division has been focusing on expanding its international presence and fostering a culture of excellence among employees[93] - The company has implemented training programs for staff development, including a "First60" certification course for new employees to understand the company's mission and culture[93] Future Outlook - The company provided an optimistic outlook, projecting a revenue growth of 25% for the next quarter, aiming for $1.875 billion[3] - Future outlook includes potential acquisitions and new product developments to strengthen market position and drive profitability[169] - The company aims to leverage its existing assets and explore new technologies to improve operational efficiency and customer experience[169]

Financial Performance - The core business after-tax profit for the fiscal year 2018 was approximately HKD 19.95 billion[4] - Core business revenue for 2018 reached HKD 6,661.6 million, representing a 7.7% increase from HKD 6,187.6 million in 2017[10] - Profit attributable to equity holders after tax was HKD 1,995.4 million, up 5.0% from HKD 1,900.0 million in the previous year[10] - Total revenue calculated under statutory accounting standards was HKD 10,156.2 million, a 13.5% increase from HKD 8,948.1 million in 2017[10] - The company reported a decrease in profit attributable to equity holders under statutory accounting standards, which was HKD 5,810.7 million, down 34.1% from HKD 8,817.9 million[10] - The equity holders' profit attributable to shareholders decreased by 34.1% to HKD 5.8107 billion in 2018 from HKD 8.8179 billion in 2017[23] - The total dividend for the fiscal year 2018 will amount to HKD 0.83 per share, including an interim dividend of HKD 0.33 per share[7] Assets and Liabilities - As of December 31, 2018, the net asset value attributable to the group (based on the net asset values of Crown Worldwide Holdings and LHI) was approximately HKD 79 billion[4] - Total assets amounted to HKD 107.125 billion, with equity holders' attributable equity representing 75%[15] - The net leverage ratio as of December 31, 2018, was 20.7%, down from 21.5% in June 2018[12] - As of December 31, 2018, the company's total net borrowings amounted to HKD 21.86 billion, a decrease of HKD 4.5 billion compared to December 31, 2017[59] - Total borrowings, including medium-term notes, reached HKD 31.27 billion, with 52.5% being floating rate borrowings and 47.5% being fixed rate borrowings[61] Hotel Operations - The group has a total of 23 luxury hotels worldwide, with over 9,000 rooms, including 20 hotels located in major cities such as Hong Kong, London, and New York[3] - The hotel segment's total rental income was HKD 4,393.0 million, an increase of 11.0% from HKD 3,957.7 million[19] - Hotel segment revenue rose by 11.0%, contributing to the overall growth in core business revenue[24] - The average daily room rates in London increased by 11% in 2018, with occupancy rising by 2 percentage points to 79.6%[28] - The Melbourne hotel achieved a 19% increase in room revenue due to rising average room rates and increased room availability[34] - The Auckland hotel reported a 7% increase in food and beverage revenue, with plans for an expansion of 244 rooms approved by local authorities[36] Development Projects - The group has ongoing development projects including a premium residential project in Tai Po, Hong Kong, and three development projects in the United States[3] - The company announced the upcoming launch of the luxury residential project "朗濤" with 723 units, expected to be available for pre-sale in the second half of 2019[24] - The company sold the Dexter Horton office building in Seattle for USD 151 million, completing the sale in January 2019[24] - The first phase of the residential development project was completed by the end of 2018, while the second phase is pending local housing demand assessment[56] Corporate Governance - The company aims to enhance corporate governance standards to improve its image and strengthen shareholder confidence, thereby reducing the risk of fraud[182] - The corporate governance code was revised and became effective on January 1, 2019, to increase transparency and accountability in the nomination committee and board elections[182] - The board consists of 14 members, including 6 executive directors and 8 non-executive directors, ensuring a balance of independent judgment in business operations[190] - The company has a female representation of 21.4% on the board[190] - The board held a total of five meetings during the fiscal year ending December 31, 2018, with an overall attendance rate of 92.85%[199] Corporate Social Responsibility (CSR) - The company emphasizes its commitment to corporate social responsibility (CSR) as a long-term value creation strategy for stakeholders[71] - The CSR management framework includes a CSR supervisory committee and a clear policy to integrate CSR into the organizational culture[73] - A stakeholder engagement process was conducted in 2018, identifying "employee satisfaction," "occupational health and safety," and "communication" as key CSR issues[74] - The company actively supports employment for individuals with disabilities, collaborating with organizations to provide job opportunities and ongoing support[81] - The hotel division publishes an annual sustainability report to review current systems and set future environmental and social goals[72] Environmental Initiatives - The company has initiated a global environmental campaign called "Earth Care Month," which includes activities like vegetarian meal promotions and creative recycling competitions[114] - The property management division implemented ISO 14001 environmental management standards to enhance environmental performance[120] - The Washington hotel is pursuing LEED New Construction certification, aiming for gold level by reusing 75% of existing walls and roofs and reducing water usage by 45% through low-flow fixtures[119] - The company has adopted various recycling measures, including collecting waste paper and glass containers from tenants for recycling[124] Strategic Initiatives - The company is actively pursuing strategic acquisitions to enhance its portfolio, with a target of completing at least two acquisitions within the next 12 months[169] - The management team emphasized a focus on expanding operations in mainland China, targeting a 15% increase in market share by the end of the next fiscal year[169] - New product developments in the hospitality sector are expected to drive a 10% increase in revenue, with the launch of two new hotel brands planned for the upcoming year[170] - The company plans to invest approximately $50 million in technology upgrades to improve operational efficiency and customer experience[170]