香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不 對 因本公佈全部 或任何部 分 內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （ 於香港註冊成立之有限公司 ） （股份代號：86） 1 股東及潛在投資者在買賣本公司證券時，務請審慎行事。 代表 董事會 新鴻基有限公司 執行董事 Brendan James McGraw 香港，2025年8月6日 於本公佈日期，董事會成員包括： 執行董事： 正面盈利預告 本公佈乃新鴻基有限公司（「本公司」，連同其附屬公司統稱「本集團」）根據香 港聯合交易所有限公司證券上市規則（「上市規則」）第 13.09(2)(a)條及香港法例 第 571 章《證券及期貨條例》第 XIVA 部項下之內幕消息條文（定義見上市規 則）而作出。 本公司董事會（「董事會」）謹此通知本公司股東（「股東」）及潛在投資者，根據 管理層目前可獲得之資料及對本集團截至2025年6月30日止六個月之最新未經審 核綜合管理賬目(「管理賬目」）作出的初步審閱及評估，預計截至2025年6月30日 止六個月本公司股東應佔溢利將不低於8 ...

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7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: | 新鴻基有限公司 | | | | 呈交日期: | 2025年8月4日 | | | | I. 法定/註冊股本變動 不適用 | | | | FF301 第 1 頁 共 10 頁 v 1.1.1 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) | 00086 | 說明 | | 普通股 | | | | | | | 已發行股份（不包括庫存股份）數目 | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | 1,964,958,493 | | 0 | | 1,964,958,493 | | 增加 / ...

Core Viewpoint - The company has demonstrated strong performance across its three core business lines—credit, investment management, and fund management—capitalizing on structural opportunities in the market, leading to significant stock price appreciation and recognition in the investment community [1][2][4]. Group 1: Market Performance - The Hang Seng Index has rebounded from a low of approximately 18,600 points, achieving a year-to-date increase of 19.07%, with a total fluctuation of nearly 30% between its lowest and highest points [1]. - The company's stock price has risen approximately 30% year-to-date, aligning with structural opportunities in the Hong Kong stock market and global capital allocation trends [1]. Group 2: Investment Management - The investment management segment has shown resilience, with alternative investments making up 74.2% of the segment by the end of 2024, indicating a strong focus on high-quality investment opportunities [1]. - The company is expected to realize value in both the Hong Kong and U.S. stock markets by 2025, reflecting its strategic positioning [1]. Group 3: Fund Management - The total assets under management in the fund management business reached a record of $2 billion in 2024, representing a 109.3% increase, which contributed to a 191.7% year-on-year revenue growth to HKD 49 million [4]. - The company's hedge fund, SHK Latitude Alpha, received a nomination for the HFM Asia-Pacific Performance Awards, highlighting its strong performance metrics and enhancing investor confidence [5]. Group 4: Credit Business - The credit business has been a stable revenue source, with the company successfully managing a $100 million residential mortgage loan portfolio and recently being appointed to manage a second $70 million portfolio [6]. - The company has leveraged insights into the real estate sector's challenges to expand its credit services, allowing developers to focus on project sales and development [6]. Group 5: Strategic Investments - The investment in Jefferson Capital, a leader in U.S. distressed consumer debt management, showcases the company's ability to identify opportunities in the credit market, with Jefferson Capital set to go public in June 2025 [3]. - The company's strategic investments reflect a deep understanding of the credit industry and an international perspective, enabling it to discover undervalued companies [3].

Financial Performance - The company reported a profit attributable to shareholders of HK$377.7 million in 2024, a significant turnaround from a loss of HK$471.4 million in 2023[28]. - The return on equity and return on assets increased to 1.8% and 1.5%, respectively, compared to -2.2% and -0.5% in 2023[28]. - Total revenue decreased by 3.9% to HKD 3,762.0 million[40]. - Revenue for 2024 was HKD 3,762.0 million, a decrease of 3.9% from HKD 3,916.6 million in 2023[48]. - Pre-tax profit increased significantly to HKD 861.3 million in 2024, up 1024.4% from HKD 76.6 million in 2023[50]. - Basic earnings per share for 2024 were HKD 19.3 cents, recovering from a loss of HKD 24.1 cents in 2023[50]. - Total investment management revenue reached HKD 394.4 million, a significant recovery from a loss of HKD 332.0 million in 2023[33]. - The pre-tax profit from consumer finance business was HKD 807.3 million, down from HKD 979.5 million in 2023, impacted by a one-time foreign exchange loss of HKD 46.1 million[34]. - The company achieved a pre-tax profit margin increase of 1,024.4%, amounting to HKD 861.3 million[40]. Asset Management - Total assets of the group amounted to approximately HKD 37.3 billion as of December 31, 2024[8]. - Total assets under management reached a record of $2.0 billion, more than doubling from 2023[25]. - The total assets under management reached $2,018 million by the end of 2024, up from $964 million in 2023, reflecting a significant organic growth driven by strong cash inflows and good market performance across almost all strategies[124]. - The composition of assets under management showed a decrease in the company's capital from 37.2% in 2023 to 20.1% in 2024, while external investor capital increased from 62.8% to 79.9%[130]. - Revenue from fees increased by 55.6% year-on-year to $56.5 million in 2024, driven by the significant expansion of assets under management[132]. Investment Strategies - The investment management division has become a significant source of excess returns for the group in the medium to long term[18]. - The company is focusing on alternative investment strategies to capture market misalignments and generate favorable returns[20]. - The alternative investment portfolio generated a return of 2.6%, with hedge fund returns at 10.6% and private equity returns at 1.1%[75]. - The company is leveraging its expertise and resources to transform into a leading alternative investment platform[24]. - The company plans to enhance its fund management platform through new partnerships and expanded distribution networks[136]. Credit and Loan Business - The credit business offers a diversified loan portfolio, including consumer finance and mortgage loans, providing stable returns[15]. - The company launched the SIM credit card in 2023 to meet the demand for quick-response credit solutions[16]. - The mortgage lending division introduced asset management services for residential mortgage portfolios in 2024[17]. - The credit business achieved a pre-tax profit of HKD 846.8 million, a decrease of 4.5% from HKD 886.3 million in 2023[53]. - The total loan balance in Hong Kong reached HKD 9,199.4 million, reflecting a slight increase of 0.8% compared to HKD 9,123.7 million in 2023[63]. Risk Management - The company maintains a diversified funding source to manage market risks effectively[170]. - Key risks identified include strategic risk, credit risk, market risk, liquidity risk, and operational risk, each with specific mitigation measures[170]. - The risk management framework is based on a "three lines of defense" model, ensuring effective oversight and internal controls[161]. - The company has implemented additional monitoring measures, resulting in an overall reduction in risk levels[168]. - Continuous improvement of the electronic risk management system has enhanced data collection and reporting efficiency[168]. Corporate Governance - The board of directors emphasizes high standards of corporate governance to enhance shareholder value[173]. - The company has established a strong compliance culture and has implemented internal policies to regulate its activities[154]. - The board consists of eight male directors and two female directors, meeting gender diversity requirements[192]. - The company has adopted a board diversity policy since September 1, 2013, to improve the overall skills and experience of the board[189]. - The nomination committee is responsible for ensuring a balanced perspective in terms of skills, experience, and diversity in the board composition[196]. Employee and Operational Efficiency - Employee headcount decreased to 978 from 1,087 in 2023, with total employee costs down to HKD 593.2 million from HKD 625.8 million[151]. - The company emphasizes employee well-being, competitive salaries, and career development to attract and retain top talent[153]. - The company plans to enhance operational efficiency by integrating AI tools and streamlining business processes[76]. - The implementation of a scalable and efficient customer relationship management (CRM) system has improved communication with clients and streamlined relationship management processes[121].

新鸿基公司扭亏背后：业务协同发力驱动盈利韧性增长 看 好另类投资平台价值持续兑现 今年以来，恒指从最低19600点附近开启反弹行情，不断创出新高。年初至3月17日，恒生指数和恒生科技指数涨 幅分别达20.37%和31.44%，在全球各类资产中"遥遥领先"。 在当前港股市场强势反弹环境下，"哑铃策略"可以通过两端资产的平衡，实现风险分散和收益最大化。"哑铃"的 一边是产业趋势引领的科技成长类资产，另一边则是稳定的高股息资产。尤其在市场不确定凸显时，高股息资产不仅 能够提供稳定的分红收益，还能在市场下跌时起到缓冲作用。 由此来看，通过"哑铃策略"实现攻守平衡，或是投资者在港股进行资产配置的最优解。新鸿基公司(00086)作为优 质的高股息标的，可以用"确定性分红"对抗波动，自2024年至今，新鸿基公司股价涨幅接近35%，涨势喜人，可见投 资者对其认可。 3月20日，新鸿基公司发布2024年度业绩。期内，公司总收益为38.43亿元(单位：港元，下同)，股东应占溢利为 3.78亿元，同比扭亏为盈。此外，公司宣布派发第二次中期股息每股14港仙。连同中期股息每股12港仙，每股股息总 额为26港仙，按3月21日的收盘价算， ...

新鸿基公司（00086）扭亏背后：业务协同发力驱动盈利韧 性增长 看好另类投资平台价值持续兑现 今年以来，恒指从最低19600点附近开启反弹行情，不断创出新高。年初至3月17日，恒生指数和恒生科技指数涨幅分 别达20.37%和31.44%，在全球各类资产中"遥遥领先"。 在当前港股市场强势反弹环境下，"哑铃策略"可以通过两端资产的平衡，实现风险分散和收益最大化。"哑铃"的一边 是产业趋势引领的科技成长类资产，另一边则是稳定的高股息资产。尤其在市场不确定凸显时，高股息资产不仅能够 提供稳定的分红收益，还能在市场下跌时起到缓冲作用。 压力测试下盈利韧性增长 投资管理业务穿越变局获正回报 近年来，随着贸易保护主义抬头，国际经贸秩序正面临新的挑战。与此同时，在高利率与强美元的双重冲击下，全球 经济复苏的节奏屡屡不及预期。充满变数的市场环境，打断了不少企业原有的成长节奏。 尽管发展前景多了一些不确定性，但在压力测试之下，依然能实现稳健经营的公司就更显得弥足珍贵。 新鸿基公司作为领先的另类投资公司，凭借多元化业务（涵盖信贷、投资管理及基金管理），成就穿越周期的韧性成 长。具体来看，信贷业务作为"现金牛"，为公司持续的财务 ...

Financial Performance - The company reported a profit attributable to shareholders of HKD 377.7 million for 2024, a significant recovery from a loss of HKD 471.4 million in 2023[8]. - The company achieved a pre-tax profit of HKD 861.3 million for the year ending December 31, 2024, up from HKD 76.6 million in 2023[23]. - The company reported a profit of HKD 591.3 million for the year ending December 31, 2024, compared to a loss of HKD 201.3 million in 2023, marking a significant turnaround[24]. - Total comprehensive income for the year was HKD 583.2 million, a recovery from a loss of HKD 318.3 million in the previous year[24]. - The company recorded a basic earnings per share of HKD 19.3 for 2024, a recovery from a loss of HKD 24.1 in 2023[23]. - The group reported a pre-tax profit of HKD 76.6 million for 2023, a significant decrease from HKD 861.3 million in 2024, reflecting a decline of approximately 91.1%[39]. - The group’s total segment profit was HKD 189.7 million in 2023, a decrease from HKD 807.1 million in 2024, reflecting a decline of approximately 76.6%[39]. - The company reported a significant increase in fund income sharing to HKD 28.8 million in 2024 from HKD 11.1 million in 2023, marking a growth of 159.5%[41]. Asset Management and Investments - In 2024, the total assets under management reached a record of $2.0 billion, more than doubling from 2023[4]. - The investment management segment reported total revenue of HKD 394.4 million in 2024, compared to a loss of HKD 332.0 million in 2023, marking a significant recovery[15]. - The overall investment return for 2024 was 2.5%, with hedge fund investments achieving a solid return of 10.6%[6]. - The private equity portfolio achieved a return of 1.1%, despite challenging capital market conditions for exits[15]. - The alternative investment portfolio's total value as of December 31, 2024, was HKD 11,063.2 million, with a yearly return of 2.6%, compared to a loss of 2.5% in 2023[110]. - The hedge fund investment portfolio achieved a robust return of 10.6% in 2024, with nearly every month recording positive returns[119]. - The company strategically shifted towards secured loans in mainland China, which reduced impairment expenses and improved operational efficiency[87]. Capital Management - The capital net debt ratio decreased by 740 basis points to 31.2% from 2023, reflecting disciplined capital management[8]. - The company repurchased and redeemed a total of $434.1 million in medium-term notes since 2022, enhancing capital efficiency amid market volatility[8]. - The company maintained a cautious approach to capital allocation, with total loan balances in the mortgage segment decreasing by 16.5% to HKD 2,146.2 million[90]. - The net debt ratio improved to 31.2% at the end of the year, down from 38.6% in 2023, indicating a stable capital structure[158]. - The interest coverage ratio increased significantly to 1.94 from 1.08 in 2023, primarily due to improved profitability[158]. Revenue and Dividends - The company announced a total dividend of HKD 0.26 per share, maintaining the same level as the previous year[10]. - The total dividend declared for 2024 was HKD 510.9 million, consistent with the previous year's total of HKD 511.1 million[50]. - Revenue for 2024 was HKD 3,762.0 million, a decrease of 3.9% from HKD 3,916.6 million in 2023[61]. - The consumer finance segment generated revenue of HKD 3,231.8 million in 2023, compared to HKD 3,144.8 million in 2024, indicating a year-over-year increase of about 2.8%[39]. Strategic Initiatives - Strategic partnerships with GAM Investments and Wentworth Capital were established to diversify product offerings and explore global expansion[12]. - The company plans to explore new partnerships and develop family office solutions to enhance its alternative asset management platform for future growth[21]. - The family office solutions business expanded selectively, leveraging the company's extensive investment network to provide exclusive alternative investment opportunities[12]. - The company is focusing on enhancing its technological infrastructure and integrating AI tools to improve operational efficiency[96]. Environmental and Social Responsibility - The company reduced paper usage by over 40% and water consumption by over 30% compared to 2023, reflecting its commitment to environmental sustainability[19]. - The company has implemented comprehensive health, wellness, and insurance benefits to support employee well-being[171]. - The company aims to enhance employee value propositions through competitive salaries, bonuses, and career development opportunities, fostering a collaborative and inclusive work environment[176]. Employee and Operational Metrics - As of December 31, 2024, the total number of employees in the group was 978, a decrease from 1,087 on December 31, 2023, primarily due to a reduction in unsecured loan operations in mainland China[169]. - Total employee costs amounted to HKD 593.2 million for 2024, down from HKD 625.8 million in 2023, reflecting the decrease in headcount[169]. - The group granted a total of 1,077,000 shares to selected employees or directors under the Employee Share Ownership Plan during the year, with 1,242,000 shares expected to vest in 2024[170]. Market Outlook - The company remains cautiously optimistic about the recovery of the Chinese market from the real estate sector downturn by 2025[105]. - The company is committed to enhancing governance standards and client trust through the implementation of new policies and processes[136].

Financial Performance - Revenue for the first half of 2024 was HKD 1,915.8 million, a decrease of 2.7% compared to HKD 1,968.3 million in the same period last year[6] - Profit attributable to shareholders was HKD 75.4 million, a significant turnaround from a loss of HKD 287.5 million in the first half of 2023[7] - Total revenue for the six months ended June 30, 2024, was HKD 1,939.2 million, a decrease from HKD 2,014.8 million in the same period in 2023[148] - Net profit attributable to the company's shareholders for the six months ended June 30, 2024, was HKD 75.4 million, compared to a net loss of HKD 287.5 million in the same period in 2023[148] - Basic earnings per share for the six months ended June 30, 2024, were HKD 3.9, compared to a loss per share of HKD 14.7 in the same period in 2023[148] - The company's total comprehensive income for the six months ended June 30, 2024, was HKD 146.2 million, compared to a total comprehensive loss of HKD 307.7 million in the same period in 2023[148] - The company's interest income for the six months ended June 30, 2024, was HKD 1,817.7 million, a decrease from HKD 1,890.0 million in the same period in 2023[148] - The company's financial assets impairment loss for the six months ended June 30, 2024, was HKD 427.8 million, an increase from HKD 310.8 million in the same period in 2023[148] - The company's management expenses for the six months ended June 30, 2024, were HKD 511.6 million, an increase from HKD 503.7 million in the same period in 2023[148] - The company's profit before tax for the six months ended June 30, 2024, was HKD 307.4 million, compared to HKD 36.5 million in the same period in 2023[148] - Pre-tax profit increased significantly to HKD 307.4 million in H1 2024 from HKD 36.5 million in H1 2023, a 742% increase[171] - Other income increased to HKD 98.1 million in H1 2024 from HKD 78.3 million in H1 2023, a 25.3% growth[178] - Other losses increased to HKD 55.1 million in H1 2024 from HKD 24.0 million in H1 2023, a 129.6% rise[180] - Current tax expenses for Hong Kong decreased to HKD 78.9 million from HKD 97.2 million in the previous year, while China's current tax increased slightly to HKD 2.2 million from HKD 1.8 million[185] - Deferred tax expenses decreased to HKD 41.8 million from HKD 68.3 million, contributing to a total tax expense of HKD 122.9 million, down from HKD 167.3 million[185] - Basic earnings per share improved to HKD 75.4 million from a loss of HKD 287.5 million in the previous year, with weighted average shares remaining stable at 1,957.2 million[189] Asset and Liability Management - Total assets of the group amounted to approximately HKD 39.5 billion as of June 30, 2024[3] - Total assets decreased from HKD 31,423.1 million to HKD 29,639.8 million compared to the previous period[154] - Net current assets increased to HKD 10,270.3 million from HKD 11,431.9 million[152] - Cash and cash equivalents decreased from HKD 6,462.1 million to HKD 5,428.0 million[152] - Total equity decreased slightly from HKD 24,395.6 million to HKD 24,264.7 million[156] - Non-current liabilities decreased significantly from HKD 7,027.5 million to HKD 5,375.1 million[152] - Retained earnings decreased from HKD 12,831.1 million to HKD 12,633.3 million[156] - Bank and other borrowings under current liabilities increased from HKD 5,495.4 million to HKD 6,171.0 million[152] - Investment properties increased slightly from HKD 1,197.7 million to HKD 1,233.4 million[152] - Property and equipment decreased from HKD 402.1 million to HKD 342.5 million[152] - Deferred settlement borrowings decreased to HKD 1,859.9 million as of June 30, 2024, from HKD 3,484.4 million as of December 31, 2023[169] - The company's capital net debt ratio decreased to 33.3% as of June 30, 2024, down from 38.6% at the end of 2023[97] - Total borrowings decreased by 8.2% to HKD 13,687.3 million as of June 30, 2024, with 64.2% due within one year[98] - Asset return ratio improved to 0.9% as of June 30, 2024, compared to -0.5% at the end of 2023[101] - The company's right-of-use assets increased to HKD 296.4 million, with office and retail space accounting for HKD 292.6 million of the total[192] - Lease expenses for the period included depreciation of right-of-use assets at HKD 62.8 million and interest on lease liabilities at HKD 8.2 million[193] - The company's financial assets measured at fair value totaled HKD 12,758.9 million, with non-current assets making up HKD 8,765.3 million of the total[196] - Financial liabilities measured at fair value amounted to HKD 402.8 million, with current liabilities accounting for HKD 293.4 million[196] - The fair value of financial assets through other comprehensive income is HKD 192.3 million, including HKD 25.4 million for Hong Kong listed equity securities and HKD 158.4 million for overseas listed equity securities[199] - The fair value of financial assets through profit or loss totals HKD 13,834.7 million, with HKD 9,711.4 million in non-listed overseas investment funds[199] - Non-current assets account for HKD 9,470.9 million, while current assets amount to HKD 4,363.8 million[199] - The fair value of financial liabilities through profit or loss is HKD 367.6 million, including HKD 100.3 million for quoted futures and options[199] - Non-current liabilities are HKD 111.6 million, and current liabilities are HKD 256.0 million[199] Business Segment Performance - The credit business contributed HKD 425.3 million in pre-tax profit, a decrease of 30.9% compared to HKD 615.2 million in the first half of 2023[13] - Investment management pre-tax loss narrowed significantly to HKD 358.4 million from HKD 861.4 million in the first half of 2023[13] - Fund management achieved a pre-tax profit of HKD 1.3 million, with assets under management reaching a record high of USD 1.2 billion[12] - Operating costs decreased by 1.1% to HKD 679.0 million, reflecting improved operational efficiency in the consumer finance segment[12] - Revenue for the first half of 2024 was HKD 1,567.7 million, a decrease of 3.7% year-on-year and 2.2% quarter-on-quarter[16] - Net loan balance decreased by 2.7% year-on-year to HKD 10,346.4 million, while total loan balance decreased by 2.3% to HKD 10,920.4 million[16][19] - Operating costs decreased by 6.1% year-on-year to HKD 500.2 million, driven by cost rationalization measures and a shift from unsecured to secured lending in the mainland China market[19] - Net impairment losses increased by 31.6% year-on-year to HKD 386.3 million, reflecting the deteriorating economic environment and cautious provisioning[16][19] - The SIM credit card, launched in November 2023, achieved a cumulative transaction volume of HKD 1 billion by June 2024, with outstanding loan balances increasing monthly[26] - The company's cost-to-income ratio improved to 31.9% in the first half of 2024, down from 32.7% in the same period last year[16] - The annualized net impairment loss ratio increased to 7.0% of average loan balances, up from 5.1% in the first half of 2023[21] - The company's loan approval rate decreased as it tightened credit standards in response to rising bankruptcy applications and changing consumer behavior[26] - Total loan balance in mainland China decreased to HKD 1,928.5 million in H1 2024 from HKD 2,096.6 million in H1 2023, a decline of 8.0%[30] - New loans issued in mainland China during H1 2024 amounted to HKD 1,660.7 million, a 46.1% increase compared to H1 2023[30] - Loan return rate in mainland China dropped to 18.8% in H1 2024 from 22.9% in H1 2023[30] - Write-off rate in mainland China improved significantly to 1.8% in H1 2024 from 9.9% in H1 2023[30] - Mortgage loan business revenue decreased by 15.0% to HKD 124.2 million in H1 2024 compared to H1 2023[32] - Operating costs for mortgage loan business reduced by 17.0% to HKD 25.3 million in H1 2024[32] - Pre-tax contribution from mortgage loan business declined by 65.1% to HKD 25.0 million in H1 2024[32] - Total loan balance for mortgage business decreased by 15.0% to HKD 2,299.3 million in H1 2024[32] - Consumer finance segment revenue decreased to HKD 1,567.7 million in H1 2024 from HKD 1,628.6 million in H1 2023, a decline of 3.7%[171] - Total external customer revenue decreased slightly to HKD 1,915.8 million in H1 2024 from HKD 1,968.3 million in H1 2023, a 2.7% drop[171] - Revenue from Hong Kong increased to HKD 1,726.2 million in H1 2024 from HKD 1,682.4 million in H1 2023, a 2.6% growth[177] - Revenue from Mainland China decreased to HKD 189.6 million in H1 2024 from HKD 285.9 million in H1 2023, a 33.7% decline[177] - Financial asset impairment losses increased to HKD 427.8 million in H1 2024 from HKD 310.8 million in H1 2023, a 37.6% rise[179] - Investment property fair value losses increased to HKD 48.1 million in H1 2024 from HKD 23.4 million in H1 2023, a 105.6% rise[180] - Interest income decreased to HKD 1,817.7 million in H1 2024 from HKD 1,890.0 million in H1 2023, a 3.8% decline[171] Investment Performance - Alternative investments and real estate recorded unrealized gains of HKD 172.2 million in H1 2024, compared to losses of HKD 99.5 million in H1 2023[37] - Pre-tax loss narrowed by 58.4% to HKD 358.4 million in H1 2024 compared to H1 2023[37] - Public market investments recorded a loss of 1.0% in H1 2024, with corporate holdings contributing to a loss of 22.2 million HKD[43][46] - Alternative investments generated a return of 0.1% in H1 2024, with private equity external funds returning 0.4% and direct/co-investment projects losing 3.0%[43][53] - Real estate investments achieved a return of 2.6% in H1 2024, with a gain of 63.3 million HKD[43] - Corporate holdings by region: 54.2% in Mainland China, 10.0% in Switzerland, and 8.9% in Australia[52] - Private equity holdings by region: 31.5% in Greater China, 31.3% in North America, and 15.7% in Asia[62] - Hedge funds returned 4.6% in H1 2024, with persistent funds contributing 5.8% and terminated funds losing 5.6%[53] - Special opportunities investments returned 2.3% in H1 2024, with a gain of 16.6 million HKD[53] - Corporate holdings by industry: 25.6% in financials, 24.1% in technology, media, and telecom, and 17.1% in consumer discretionary[50] - Private equity holdings by industry: 39.3% in technology, media, and telecom, 19.0% in financial and insurance services, and 17.6% in diversified industries[60] - Hedge fund holdings by strategy: 40.6% in market neutral, 33.2% in long/short equity, and 9.9% in convertible arbitrage[66] - Real estate investment portfolio valuation increased to HKD 2,502.4 million as of June 30, 2024, up from HKD 2,413.5 million at the end of 2023[73] - Real estate division achieved a 2.6% return, driven by strong recovery in EU hotel investments and robust performance in Asia-Pacific real estate lending[73] - Asset under management (AUM) reached a record USD 1,195 million as of June 30, 2024, with net cash inflows of USD 132 million and market gains of USD 99 million[87] - External capital accounted for 67.2% of total AUM, an increase of 4.4 percentage points compared to the end of 2023[87] - The company's funds and fund partners achieved strong growth in AUM, reaching USD 1.2 billion, driven by capital inflows and market performance[78] - The company's real estate holdings are diversified, with 66.6% in Hong Kong, 27.7% in the EU, and 4.4% in the UK[77] - The company's real estate portfolio is allocated as 43.0% office, 31.5% hotel, and 25.5% residential properties[75] Cash Flow and Financing Activities - The group repurchased USD 27.8 million worth of medium-term notes during the period, bringing the total repurchased since 2022 to USD 147.1 million[8] - Operating cash flow from activities increased to HKD 1,494.6 million in H1 2024, up from HKD 1,363.1 million in H1 2023[160] - Interest received decreased to HKD 1,781.4 million in H1 2024 from HKD 1,893.6 million in H1 2023[160] - Net cash used in investing activities was HKD 958.9 million in H1 2024, compared to net cash generated of HKD 946.1 million in H1 2023[160] - Net cash used in financing activities increased to HKD 1,553.3 million in H1 2024 from HKD 1,308.1 million in H1 2023[160] - Cash and cash equivalents decreased by HKD 1,017.6 million in H1 2024, compared to an increase of HKD 1,001.1 million in H1 2023[160] - The company repurchased USD 24.4 million of 5.75% notes due November 2024 and USD 3.4 million of 5.00% notes due September 2026[102] - The company committed EUR 21.5 million to a joint venture as of June 30, 2024, with an additional commitment of EUR 54.2 million post-reporting period[104] - The company repurchased a total of 10,000 shares during the six months ended June 30, 2024, with a total consideration of HKD 23,550 (excluding fees)[137][138] - The company repurchased USD 24,434,000 of 5.75% interest-bearing guaranteed notes due November 2024 and USD 3,386,000 of 5.00% interest-bearing guaranteed notes due September 2026, both issued by Sun Hung Kai & Co. (BVI) Limited[139] Corporate Governance and Shareholder Information - The company declared an interim dividend of 12.0 HK cents per share, unchanged from the previous year[6] - The book value per share decreased by 2.7% to HKD 10.7 as of June 30, 2024, compared to HKD 11.0 in the same period last year[8] - The company declared an interim dividend of 12 HK cents per share for the six months ended June 30, 2024, unchanged from the previous year[135] - The company will suspend share transfer registration from September 9 to September 11, 2024, with the ex-dividend date set for September 5, 2024[136] - The company's major shareholders include United Group, Lee and Lee Trust, and Li Shuhui, holding approximately 73.50%, 73.50%, and 74.52% of the issued shares, respectively[

Financial Performance - Total revenue for the six months ended June 30, 2024, was HKD 1,939.2 million, a decrease of 3.7% from HKD 2,014.8 million in the same period of 2023[2] - The company reported a profit of HKD 184.5 million for the period, compared to a loss of HKD 130.8 million in the previous year[3] - Basic earnings per share improved to HKD 3.9, compared to a loss of HKD 14.7 per share in the same period last year[3] - The company’s share of profits from associates was HKD 283.1 million, significantly up from HKD 54.7 million in the previous year[2] - Profit before tax improved to HKD 75.4 million compared to a loss of HKD (287.5) million in the same period last year[20] - The net profit attributable to shareholders was HKD 75.4 million, a turnaround from a loss of HKD 287.5 million in the same period last year[33] - Profit before tax increased significantly to HKD 307.4 million, compared to HKD 36.5 million in the previous year, representing a 742.2% increase[32] Revenue and Income Sources - Interest income decreased to HKD 1,817.7 million, down 3.8% from HKD 1,890.0 million year-on-year[2] - Revenue from external customers for Hong Kong increased to HKD 1,726.2 million, up from HKD 1,682.4 million year-over-year, while revenue from China decreased to HKD 189.6 million from HKD 285.9 million[13] - Service and commission income rose to HKD 40.2 million, a 100% increase from HKD 20.1 million in the previous year[14] - Total other income decreased to HKD 23.4 million from HKD 46.5 million, primarily due to a drop in gains from repurchased notes[15] Asset and Liability Management - Non-current assets increased to HKD 19,369.5 million from HKD 19,991.2 million as of December 31, 2023[5] - Total liabilities increased to HKD 29,639.8 million from HKD 31,423.1 million as of December 31, 2023[6] - The company’s cash and cash equivalents decreased to HKD 5,428.0 million from HKD 6,462.1 million[5] - The net loan balance as of June 30, 2024, was HKD 10,346.4 million, representing a year-on-year decrease of 2.7%[41] - The total amount of overdue consumer finance customer loans and advances was HKD 10,920.4 million, with a provision for impairment of HKD 574.0 million[22] Operational Efficiency - The company’s management expenses increased slightly to HKD 511.6 million from HKD 503.7 million year-on-year[2] - Operating costs decreased by 1.1% to HKD 679.0 million, reflecting improved operational efficiency in the consumer finance segment in mainland China[36] - The company’s operating costs decreased by 6.1% to HKD 500.2 million compared to HKD 532.9 million in the first half of 2023[40] - The cost-to-income ratio for the first half of 2024 was 31.9%, down from 32.7% in the first half of 2023[40] Investment Management - The total assets under management (AUM) reached USD 1.2 billion, marking a record since the platform's launch in 2021[35] - The overall return rate for investment management improved to 0.4%, with real estate and alternative investments achieving positive returns of 2.6% and 0.1%, respectively, while the public market recorded a negative return of 1.0%[54] - The company has established a diversified investment portfolio including private equity, hedge funds, and special opportunities to capitalize on financial dislocations[62] - The investment portfolio's valuation is stabilizing following the end of the Federal Reserve's interest rate hike cycle, with net capital inflows recorded[65] Employee and Corporate Governance - The total number of employees decreased to 1,009 as of June 30, 2024, from 1,087 as of December 31, 2023, primarily due to a reduction in unsecured loan operations in mainland China[97] - Employee costs totaled HKD 277.2 million for the first half of 2024, reflecting a decrease from HKD 284.7 million in the same period of 2023[97] - The group aims to enhance employee value propositions through competitive salaries, career development paths, and a supportive work environment[98] - The group has implemented several key measures to strengthen employee well-being and work-life balance, including comprehensive health benefits and flexible work arrangements[98] Dividend and Shareholder Returns - The company declared an interim dividend of HKD 12 cents per share, totaling HKD 235.8 million, slightly down from HKD 236.0 million in the previous year[19] - The board declared an interim dividend of HKD 0.12 per share for the six months ended June 30, 2024, consistent with the previous year[99] - The company repurchased a total of 10,000 shares at a total cost of HKD 23,550 during the six-month period ending June 30, 2024[106] Challenges and Future Outlook - The company faced challenges in the economic environment, leading to tightened lending standards and a focus on operational efficiency[41] - The company remains cautiously optimistic despite challenges such as high interest rates and geopolitical tensions, focusing on innovative product development in its credit business[89] - The company anticipates future growth in loan issuance and refinancing, supported by adequate bank loans secured in advance[41]

Financial Performance - The company reported a loss attributable to shareholders of HKD 471.4 million for 2023, significantly improving from a loss of HKD 1,534.8 million in the previous year, primarily due to reduced investment management losses [20]. - The company’s revenue for 2023 was HKD 3,916.6 million, a decrease of 3.4% from HKD 4,054.1 million in 2022 [49]. - The pre-tax profit for the year was HKD 76.6 million, a significant improvement from a loss of HKD 892.3 million in 2022 [48]. - The basic loss per share was HKD 24.1, down from HKD 78.2 in 2022, reflecting a 69.2% reduction [48]. - Total revenue decreased by 3.4% to HKD 3,916.6 million compared to the previous year [43]. - The total equity attributable to shareholders decreased by 4.9% to HKD 21,268.0 million in 2023 from HKD 22,358.1 million in 2022 [112]. - The total cash increased by 13.7% to HKD 6,692.7 million in 2023 from HKD 5,883.9 million in 2022 [112]. - The total borrowings decreased by 4.8% to HKD 14,905.1 million in 2023 from HKD 15,650.0 million in 2022 [112]. - The net debt decreased by 15.9% to HKD 8,212.4 million in 2023 from HKD 9,766.1 million in 2022 [112]. Asset Management and Investment Strategy - The company’s asset management business reached nearly USD 1 billion in assets under management by year-end, with net inflows exceeding USD 150 million during the year [20]. - The investment management division has become a significant source of excess returns, focusing on public markets, alternative investments, and real estate [16]. - The company aims to establish a leading alternative investment platform through enhanced team collaboration [72]. - The company has strategically reduced its regular loans in private financing and restructured the remaining loan portfolio under the investment management business [13]. - The company has expanded its strategic business to incubate and support emerging asset management firms in Asia [4]. - The company plans to continue investing in upgrading risk management systems and technology infrastructure to enhance operational efficiency [27]. Fund Management and Revenue Growth - The fund management segment is expected to drive additional revenue growth and collaborate with the investment management division to transform the company into a leading alternative investment platform [18]. - The company’s fund management business, Sun Hung Kai Capital Partners, saw a 24.3% year-on-year increase in fee income, benefiting from diversified and optimized strategies [23]. - The company launched a new product, SIM credit card, to meet the demand for quick-response credit solutions in the unsecured loan market [11]. - The company successfully launched the new SIM credit card product, exceeding initial issuance expectations and providing a strong start for the new product line [22]. Risk Management and Compliance - The risk management framework is based on a "three lines of defense" model, involving the board, risk committee, and management to monitor and set directions [123]. - Significant developments in risk management include enhanced monitoring measures that have reduced overall risk levels [128]. - The group identifies major risks including strategic, credit, market, liquidity, operational, legal and compliance, external, and human resource risks [130]. - The company emphasizes the importance of compliance with applicable laws and regulations to mitigate significant risks [177]. - The group has established processes to identify, manage, and monitor various business risks, with detailed discussions available in the annual report [182]. Corporate Governance - The company is committed to maintaining high levels of corporate governance, emphasizing integrity, transparency, accountability, and independence [147]. - The board reviews corporate governance practices annually and adopts improvements as necessary, ensuring compliance with applicable codes [148]. - The company has adopted a board diversity policy since September 1, 2013, aiming to enhance the board's effectiveness through diverse skills and experiences [163]. - The board consists of eight male directors and two female directors, indicating a commitment to gender diversity [165]. - The company emphasizes the importance of ethical corporate culture and governance compliance [200]. Employee and Operational Efficiency - The total employee count decreased to 1,087 as of December 31, 2023, from 1,608 in 2022, attributed to the shift of consumer finance operations online and ongoing branch integration efforts [119]. - Employee costs remained stable at HKD 625.8 million in 2023, unchanged from 2022, despite a reduction in headcount [119]. - The company aims to enhance its service platform and innovate product offerings to solidify future growth despite market challenges [110]. - The company plans to maintain sufficient liquidity levels through treasury management and cash flow management in 2024 [5]. ESG Initiatives - The ESG risk rating improved from 29.2 in 2022 to 24.5 in 2023, reflecting significant progress in enhancing ESG standards [26]. - The company has elevated its ESG committee to a board-level committee to lead its ESG initiatives and ensure integration into business strategies [24]. - The ESG Committee's responsibilities include reviewing environmental, social, and governance goals and training programs for directors and employees [181]. - The company is focused on monitoring and evaluating existing and potential ESG trends related to its strategic objectives [181].