Core Insights - The article highlights the competitive landscape of foreign-funded commercial real estate companies in mainland China, showcasing their unique strategies and project developments in the market [1]. Group 1: Company Strategies and Developments - Swire Properties has established a strong presence in mainland China with its "Swire" brand, focusing on high-quality commercial projects [1]. - New World Development has successfully launched several landmark commercial complexes in key cities, leveraging its experience from Hong Kong [5]. - K11 Group emphasizes a "Cultural Commerce" model, integrating art and culture into its commercial spaces, with multiple projects already operational [9][12]. - Hongkong Land has introduced a new series of high-end commercial brands, targeting affluent consumers in major cities [21]. - Hysan Development is expanding its footprint with a focus on high-end retail and mixed-use developments [1]. Group 2: Project Launches and Future Plans - In 2023, at least 14 new projects are expected to enter the market from various foreign-funded companies, with a significant focus on non-first-tier cities [1]. - Swire Properties plans to launch six new projects in the coming years, including major developments in Beijing and Shanghai [18]. - New World Development has six upcoming projects, including the largest commercial complex in Shanghai [7]. - K11 Group aims to open 30 new cultural commercial projects over the next five years, expanding its unique brand further [12]. - Hongkong Land is set to launch multiple new projects, including a significant development in Nanjing [24]. Group 3: Market Trends and Insights - The article notes a trend of foreign companies diversifying their product lines and adjusting their market strategies to cater to local consumer preferences [1]. - There is a growing emphasis on integrating cultural and artistic elements into commercial spaces, as seen with K11 and other brands [9][12]. - The competitive landscape is characterized by a mix of high-end and mid-range offerings, with companies like Swire and New World focusing on premium developments while others explore more accessible options [1][5].

2 嘉里建設有限公司 嘉里建設有限公司 嘉里建設有限公司 （「嘉里建設」） 為最具規模的物業企業 之一，於亞洲擁有重大投資，中港兩地之物業建設尤享聲 譽。嘉里建設於兩地之投資重心，在於精選中心地段，發 展專尚物業。本公司堅守此發展方針，持之以恆，藉此創 建成功的營運模式，並在優質物業發展及管理方面累積了 豐富經驗。本公司信守公平與誠信之原則，在悠久的企業 歷程中，與員工、供應商、合作夥伴、政府機構及其他重 要持份者建立了彌足珍貴的長遠關係。 二零二四年年報 1 香港嘉里中心 財務摘要 2 嘉里建設有限公司 目錄 掃描並下載 本年報 二零二四年年報 3 財務摘要 4 財務摘要 6 主席報告 8 管理層討論及分析 8 業務回顧 21 資本資源及流動資金 23 業務概覽 30 企業可持續發展 38 主要獎項及嘉許 40 企業管治報告 78 董事及高級管理人員 80 董事會報告 97 財務資料 97 獨立核數師報告 103 綜合收益表 104 綜合全面收益表 105 綜合財務狀況表 107 綜合現金流動表 109 綜合權益變動表 111 綜合財務報表附註 201 所持物業詳情 212 五年財務概要 213 釋義 21 ...

Core Viewpoint - The recent launch of the Jinling Huating project by Kerry Properties marks a significant event in Shanghai's high-end residential market, achieving record sales and indicating strong demand for luxury properties in the area [2][3]. Group 1: Project Overview - The Jinling Huating project consists of 4 super high-rise buildings with a total of 318 units, including 158 units launched initially, with prices ranging from 40.17 million to 170 million yuan [3]. - The project is strategically located about 260 meters from the Bund, a key commercial and transportation hub in Shanghai [3]. - Kerry Properties has invested over 221 billion yuan in acquiring land for this project, making it the largest comprehensive project in mainland China for the company [4][5]. Group 2: Market Dynamics - The high-end residential market in Shanghai shows resilience, driven by the strong appreciation potential of luxury properties, attracting significant investment [2][6]. - In 2024, the supply of high-end residential projects in Shanghai is expected to increase, with 40 projects priced over 120,000 yuan per square meter, achieving a nearly 80% sales rate [6][7]. - The price gap between new and second-hand luxury properties is a key factor driving sales, as larger units offer greater overall value compared to higher-priced second-hand options [7]. Group 3: Future Outlook - The high-end residential prices are projected to continue rising, with increased competition for new projects entering the market in 2025 [6][7]. - Kerry Properties plans to release a second batch of units from Jinling Huating in the fourth quarter of 2024, which is expected to help reduce the company's debt levels [5].

Core Points - Kerry Properties (00683) reported an annual performance for the year ending December 31, 2024, with a revenue of HKD 19.499 billion, representing a year-on-year increase of 49% [1] - The net profit attributable to shareholders was HKD 808 million, a significant decrease of 75% compared to the previous year [1] - Earnings per share were HKD 0.56, and the company proposed a final dividend of HKD 0.95 per share [1] Performance in Hong Kong - The property sales performance in Hong Kong was strong, with positive market responses to the company's projects, reflecting effective sales and marketing strategies [1] - The focus on high-quality development projects has been a key factor in the company's encouraging results in the Hong Kong market [1] Performance in Mainland China - Despite facing headwinds, the company's investment properties in Mainland China remained stable [1] - The company actively enhanced its retail positioning and launched several initiatives during the year to increase mall visibility and optimize tenant mix, which contributed to retail sales growth [1]

Financial Performance - The consolidated revenue for the year ended December 31, 2024, was HKD 21,361 million, an increase of 18% compared to HKD 18,127 million in 2023[3]. - The group recorded a net profit attributable to shareholders of HKD 808 million, a decrease of 75% from HKD 3,243 million in 2023[3]. - Basic earnings per share for 2024 were HKD 0.56, down 75% from HKD 2.23 in 2023[11]. - The adjusted earnings per share increased by 25% to HKD 2.74 from HKD 2.20 in the previous year[11]. - The group's consolidated profit decreased by 13% to HKD 6,850 million, with a gross profit margin of 32%, down from 44% in the previous year[25]. - The group's basic profit, including impairment provisions, was HKD 2,576 million, a slight increase of 2% from HKD 2,518 million in 2023[23]. - The group reported a net profit of HKD 1,512 million for 2024, down from HKD 4,163 million in 2023, with basic and diluted earnings per share at HKD 0.56[64]. - The total tax expense for the year ended December 31, 2024, was HKD 1,070 million, down from HKD 2,696 million in 2023, indicating a reduction of about 60.3%[4]. Property Sales and Revenue - Property sales revenue reached HKD 13,830 million, up 33% from HKD 10,416 million in the previous year[3]. - Contract sales amounted to HKD 12,605 million, a decline from HKD 14,071 million in 2023, primarily due to reduced saleable resources in mainland China[8]. - The mainland property division recorded consolidated revenue of HKD 136,650 million, up from HKD 99,000 million in 2023, driven by increased recognized sales[35]. - The mainland property division reported consolidated revenue of HKD 7.457 billion in 2024, up from HKD 3.459 billion in 2023, driven by increased sales recognition from completed projects[36]. - The Hong Kong property division recorded consolidated revenue of HKD 7.696 billion in 2024, down from HKD 8.227 billion in 2023, primarily due to reduced sales recognition from development properties[43]. Investment Properties - Rental income from investment properties (excluding hotel operations) decreased by 2% to HKD 5,355 million from HKD 5,450 million in 2023[10]. - The investment property and hotel portfolio has a total attributable floor area of 18.6 million square feet, with 83% (15.5 million square feet) located in mainland China[21]. - The mainland investment property and hotel portfolio generated consolidated revenue of HKD 6.208 billion in 2024, down from HKD 6.441 billion in 2023, with rental income from investment properties contributing HKD 4.069 billion[38]. - The investment property portfolio in Hong Kong generated consolidated rental income of HKD 1.286 billion in 2024, an increase from HKD 1.234 billion in 2023, with a gross profit margin of 76%[47]. Debt and Financial Management - The debt ratio increased to 41.5% as of December 31, 2024, up from 34.1% in 2023, due to an increase in total debt[33]. - Total borrowings increased to HKD 595.81 billion in 2024 from HKD 551.31 billion in 2023, with net borrowings rising to HKD 483.74 billion[56]. - The group's available financial resources decreased by 13% to HKD 381.36 billion in 2024, covering approximately 64% of total borrowings[57]. - The group maintains a cautious financial policy to manage liquidity and financial risks, with regular reviews by the finance committee[52]. - The group plans to increase the proportion of sustainable financing in its overall debt portfolio to enhance cost efficiency and advance environmental goals[59]. Sustainability and Future Outlook - The company plans to reduce operational carbon emissions by 2% annually until 2030 as part of its sustainability goals[12]. - The company maintains an optimistic long-term growth outlook for the mainland market, driven by urbanization and rising middle-class consumption[14]. - The company plans to add 1.04 million square feet to its investment property and hotel portfolio over the next six years, including approximately 570,000 square feet of office space and 410,000 square feet of retail space[21]. - The company is focused on developing and selling premium and luxury properties in key urban areas of Hong Kong and mainland China, aiming to generate stable recurring income[97]. - The company remains committed to ESG initiatives, with plans to reduce carbon emissions by 30% over the next five years[112]. Corporate Governance and Compliance - The company has fully complied with the corporate governance code throughout 2024, except for the dual role of the chairman and CEO, which is deemed beneficial for business development[102]. - The annual general meeting for the year ending December 31, 2024, is scheduled for May 23, 2025[109]. - The company will publish its annual report on April 29, 2025, which will be available on the "disclosure" website and the company's website[111].

Investment Rating - The report initiates coverage with an "Outperform" rating for Kerry Properties [5][10]. Core Insights - The company is expected to benefit from the launch of the "Jinling Huating" project in Shanghai, which is anticipated to contribute significant cash flow starting in 2025 [10]. - The company's investment properties and hotels are projected to increase in gross floor area (GFA) by approximately 59% by the end of 2030 compared to H1 2024, enhancing revenue growth potential [10]. - The company emphasizes stable shareholder returns, maintaining a consistent dividend per share (DPS) of HK$1.35 from 2017 to 2023, with a stable interim DPS of HK$0.40 in H1 2024 [10]. - The gearing ratio is expected to decline in 2025 as cash flow from property sales improves, alleviating financial pressure [10]. Summary by Sections Company Overview - Kerry Properties was established in 1978 and primarily engages in real estate development and property leasing, with significant investments in mainland China since the late 1990s [13][14]. Development Business - The company's sales are primarily driven by high-end residential projects, with a notable recovery in contract sales in Hong Kong, achieving HK$7 billion in H1 2024, a 271% increase year-on-year [22][27]. - The company has a robust project pipeline in Hong Kong, with several high-end projects expected to support sales in the coming years [32][34]. Investment Properties - The company reported a consolidated property rental income of HK$2.6 billion in H1 2024, with a slight year-on-year decline of 2.8% [48]. - The investment properties are strategically located in core cities, with a focus on office and retail spaces, providing stable cash flow [53][57]. Financial Analysis - For the fiscal year 2023, the company reported total revenue of HK$13.09 billion, a decrease of 10.3% year-on-year, with a projected recovery in revenue for 2024 [4][9]. - The core net profit for 2024 is estimated at HK$2.99 billion, reflecting an 18.7% increase compared to 2023 [4][9]. Earnings Forecast and Valuation - The report forecasts a stable DPS of HK$1.35 for 2024, 2025, and 2026, with corresponding price-to-earnings (PE) ratios of 7.4, 6.8, and 5.7, respectively [10].

Financial Performance - Total revenue for the first half of 2024 was HKD 5.04 billion, a decrease of 8% compared to HKD 5.472 billion in the same period of 2023[4]. - Basic profit attributable to shareholders decreased by 55% to HKD 788 million, compared to HKD 1.739 billion in the first half of 2023[6]. - Adjusted earnings per share for the first half of 2024 was HKD 0.97, down 19% from HKD 1.20 in the same period last year[4]. - The net profit for the period was HKD 1,128,391, representing a 44.4% decrease from HKD 2,030,820 in 2023[51]. - The company's debt ratio increased to 40.9% as of June 30, 2024, compared to 34.1% on December 31, 2023[46]. - The total liabilities as of June 30, 2024, amounted to HKD 60,844 million, up from HKD 55,131 million at the end of 2023[46]. - The basic and diluted earnings per share for the period were HKD 0.54, down from HKD 1.20 in the same period last year[50]. - The company reported a total comprehensive loss of HKD 1,048,460 for the period, compared to a loss of HKD 1,432,080 in 2023[51]. Property Sales and Revenue - Property sales amounted to HKD 1.792 billion, down 16% from HKD 2.123 billion year-on-year[4]. - The total contracted sales for the first half of 2024 was HKD 7.044 billion, a decline from HKD 8.170 billion in the first half of 2023[7]. - The group's consolidated revenue from property development decreased by 59% year-on-year to HKD 2.325 billion, primarily due to a short-term timing gap between contract sales and revenue recognition[10]. - The total contracted sales amount for the mainland properties was HKD 1.204 billion in the first half of 2024, with significant contributions from projects in Wuhan and Shenyang[24]. - The total contracted sales amount for the Hong Kong property segment reached HKD 5,840 million, significantly up from HKD 1,575 million year-on-year[31]. Rental Income and Investment Properties - Rental income from investment properties (excluding hotel operations) decreased by 3% to HKD 2.426 billion, compared to HKD 2.498 billion in the previous year[7]. - The group's investment property and hotel revenue slightly decreased by 3% year-on-year to HKD 3.714 billion[11]. - The group's total rental income from investment properties in Hong Kong for the first half of 2024 was HKD 596 million, a decrease of 7% compared to HKD 640 million in the same period of 2023[35]. - The mainland property segment reported a total rental income of HKD 2,053 million, down 2% from HKD 2,086 million year-on-year[27]. - The gross profit from the mainland investment properties and hotel portfolio was HKD 1.40 billion, with a gross profit margin of 74%[26]. Debt and Financial Management - The debt ratio increased to 40.9% as of June 30, 2024, up from 34.1% on December 31, 2023, following the final payment for the Shanghai Huangpu project[13]. - As of June 30, 2024, the total borrowings amounted to HKD 60.844 billion, an increase from HKD 55.131 billion as of December 31, 2023[42]. - Approximately 69% of the borrowings are due for repayment in the next two years[45]. - The company's available financial resources decreased by 20% to HKD 37.351 billion compared to HKD 44.971 billion as of December 31, 2023, mainly due to land cost payments[43]. - The financing costs for the first half of 2024 totaled HKD 195,166,000, a decrease from HKD 317,789,000 in the same period of 2023, representing a reduction of approximately 38.6%[90]. Corporate Governance and Compliance - The company has adopted the standard code for securities trading by directors, ensuring compliance with trading regulations during the blackout period before financial announcements[107]. - The board has reviewed and updated policies including diversity, insider information disclosure, and securities trading procedures to enhance corporate governance practices[108]. - The company is committed to high levels of corporate governance, which is deemed critical for long-term success and sustainability[108]. - The company has established internal control procedures to ensure that related party transactions are conducted fairly and reasonably, with independent non-executive directors reviewing these transactions annually[142]. - The company has not identified any non-compliance with the standard code during the six months ending June 30, 2024[107]. Future Outlook and Strategic Initiatives - The company plans to continue its market expansion and product development strategies to enhance future performance despite the current financial challenges[1]. - The company is focused on developing and selling premium and luxury properties in key urban areas of Hong Kong and mainland China, while managing a portfolio of investment properties in mainland China[140]. - The company plans to launch a new marketing campaign with a budget of HKD 5 million to boost brand awareness[147]. - New product development initiatives are underway, with an investment of HKD 10 million allocated for R&D in innovative technologies[147]. - Market expansion plans include entering two new regions, projected to increase market share by 5%[147].

Financial Performance - Total revenue for the first half of 2024 was HKD 5.04 billion, a decrease of 8% compared to HKD 5.47 billion in the first half of 2023[3] - Basic profit attributable to shareholders decreased by 55% to HKD 788 million, compared to HKD 1.74 billion in the same period last year[6] - Adjusted earnings per share for the first half of 2024 was HKD 0.97, a decline of 19% from HKD 1.20 in the first half of 2023[3] - The group reported a net profit of HKD 1,128,391,000 for the period, with attributable profit to shareholders amounting to HKD 788,036,000[66] - The net profit for the period was HKD 1,128.39 million, a decline from HKD 2,030.82 million year-on-year, indicating a decrease of about 44.4%[48] - The company's total assets decreased to HKD 184,296,273,000 from HKD 182,586,530,000, reflecting a slight increase of 0.9% year-over-year[50] - The group reported a decrease in shareholder's profit attributable to HKD 788,036,000 for the six months ended June 30, 2024, compared to HKD 1,738,831,000 in the same period of 2023, a decline of 54.6%[72] Revenue Breakdown - Property sales revenue dropped to HKD 1.79 billion, down 16% from HKD 2.12 billion year-on-year[3] - The total contracted sales amount for the first half of 2024 was HKD 7.04 billion, down from HKD 8.17 billion in the previous year[7] - The combined revenue from investment properties and hotels for the group is 3.714 billion, a decrease of 3% compared to 3.819 billion in the previous period[19] - Revenue from mainland properties was HKD 3,579,766,000, while revenue from Hong Kong properties was HKD 1,459,841,000[66] - The investment property segment in Hong Kong generated revenue of HKD 542 million in the first half of 2024, down from HKD 578 million in the same period of 2023, with a gross margin of 77%[35] Property Development and Sales - The group's consolidated revenue from property development decreased by 59% year-on-year to HKD 2.325 billion (1H 2023: HKD 5.724 billion) due to a short-term timing gap between contract sales and revenue recognition[20] - Contract sales amounted to HKD 7.044 billion, down 14% from HKD 8.170 billion in the same period last year, with mainland sales decreasing significantly while Hong Kong sales improved[22] - The development property sales revenue for the first half of 2024 was HKD 918 million, a decrease from HKD 1.94 billion in the same period of 2023, with a gross margin of 16%[33] Rental Income and Occupancy - Rental income from investment properties (excluding hotel operations) decreased by 3% to HKD 2.43 billion, compared to HKD 2.50 billion in the first half of 2023[8] - Rental income from mainland leasing properties is 2.053 billion, down 2% year-over-year, while Hong Kong leasing properties decreased by 7% to 596 million[19] - The overall occupancy rate of the mainland investment property portfolio remained stable compared to December 31, 2023[29] - As of June 30, 2024, the overall occupancy rates for the group's properties in mainland cities are 90% for offices, 87% for retail, and 92% for apartments[30] - The occupancy rate for MegaBox in Hong Kong dropped to 89% as of June 30, 2024, down from 95% at the end of 2023, primarily due to renovation works[38] Financial Position and Debt - The group's debt ratio increased to 40.9% as of June 30, 2024, from 34.1% as of December 31, 2023, following the final payment for the Shanghai Huangpu project[23] - Total borrowings amounted to HKD 608.44 billion as of June 30, 2024, an increase from HKD 551.31 billion on December 31, 2023[42] - Approximately 69% of the total borrowings are due for repayment in the next five years, with HKD 41.81 billion (69%) maturing in the third to fifth year[46] - The company aims to maintain a prudent financial management strategy to keep the debt ratio at a reasonable level while executing its deleveraging plan[20] Sustainability and Corporate Governance - The MSCI ESG rating improved from "A" to "AA," reflecting the company's commitment to sustainability[9] - The group emphasizes sustainable development standards for ongoing projects and aims to positively impact the community[85] - The company has fully complied with the corporate governance code during the six months ending June 30, 2024, except for the dual role of the chairman and CEO[88] Future Outlook and Strategy - The group has a robust pipeline of integrated development projects in major cities, which will contribute to stable recurring income growth[18] - The company focuses on developing and selling premium properties in key urban areas in Hong Kong and mainland China, aiming for stable recurring income[85] - The group expects to add 11.028 million square feet of floor area to its investment properties and hotel portfolio over the next six years, primarily in Shanghai, Wuhan, and Hangzhou[18] Interim Dividend and Shareholder Returns - The company maintained an interim dividend of HKD 0.40 per share, consistent with the previous year[6] - The company will distribute an interim dividend of HKD 0.40 per share, totaling approximately HKD 581 million based on 1,451,305,728 shares issued as of June 30, 2024[90] Audit and Reporting - The independent auditor's review report will be included in the upcoming interim report to shareholders[84] - The interim report will be published on or around September 9, 2024, and will be available on the company's website[91]

Financial Performance - Total revenue for 2023 was HKD 13,090 million, a decrease of 10% compared to HKD 14,590 million in 2022[6]. - Property sales revenue dropped to HKD 6,349 million, down 26% from HKD 8,543 million in the previous year[6]. - The hotel operations segment saw a significant increase in revenue, rising 66% to HKD 1,755 million from HKD 1,056 million in 2022[6]. - Shareholders' profit attributable to the company increased by 18% to HKD 3,243 million, compared to HKD 2,755 million in 2022[17]. - Basic earnings per share for 2023 was HKD 2.23, an increase of 18% from HKD 1.90 in 2022[17]. - Contract sales for 2023 totaled HKD 14,071 million, a substantial increase from HKD 5,354 million in 2022[18]. - The consolidated revenue from development properties in Mainland China and Hong Kong increased by 22% to HKD 10.416 billion in 2023, compared to HKD 8.562 billion in 2022[38]. - The consolidated revenue from investment and hotel properties grew by 14% to HKD 7.711 billion in 2023, up from HKD 6.789 billion in 2022[38]. Debt and Financial Management - The company maintained a debt ratio of 34.1%, slightly up from 33.6% in the previous year[6]. - The debt ratio as of December 31, 2023, was 34.1%, a slight increase from 33.6% in 2022[38]. - The total borrowing amount was HKD 55.131 billion, an increase from HKD 52.870 billion in 2022[151]. - Cash and bank deposits totaled HKD 13.845 billion, with net borrowings at HKD 41.286 billion as of December 31, 2023[151]. - The company’s available financial resources amounted to HKD 44.971 billion, including undrawn bank loan facilities of HKD 31.126 billion, representing an 8% increase compared to 2022[153]. - The company maintained a fixed-rate debt ratio of 43% and a net debt ratio of 58% as of December 31, 2023, compared to 37% and 48% in 2022, respectively[150]. - The company has implemented a prudent policy for cash flow and debt management to mitigate liquidity, foreign exchange, interest rate, and credit risks[148]. Property Development and Investment - The company’s total land bank reached 50.9 million square feet, providing ample supply for future project development[19]. - The company has a robust pipeline of development properties, with a total attributable floor area of 10,814,000 square feet expected to be completed by 2028[51]. - The company’s total attributable floor area for development properties is 26,256,000 square feet, up from 24,233,000 square feet in the previous year[48]. - The company’s land reserve strategy focuses on establishing a quality investment property portfolio in mainland China, covering office, retail, hotel, and rental apartments[44]. - The company’s development properties in mainland China are strategically located near major transportation hubs, enhancing accessibility for future residents[50]. Sustainability and Corporate Governance - The company has identified key sustainability issues including energy efficiency, responsible supply chain management, and climate change resilience[167]. - The company aims to improve upstream and downstream emissions performance with specific targets related to Scope 3 emissions[190]. - The company has provided over 622,000 nutritious meals through its community programs[187]. - The company received a five-star rating for three consecutive years in the Global Real Estate Sustainability Benchmark (GRESB)[192]. - Kerry Properties has fully complied with the Corporate Governance Code in 2023, with one exception regarding the dual role of the Chairman and CEO[199]. - The company emphasizes a strong corporate governance framework to ensure long-term success and sustainable development[199]. Community Engagement and Employee Welfare - The total donations increased significantly to HKD 24.7 million in 2023, compared to HKD 12.1 million in 2022[25]. - Over 680 community investment programs were conducted, with more than 8,900 employee participation instances[187]. - The employee training rate was 98.3% in 2023, slightly down from 98.6% in 2022[159]. - 97% of employees received gender equality and anti-harassment training, a significant increase of 22%[168]. - The injury rate among employees was reported at 8.8 incidents per thousand employees, a slight increase from 6.92 incidents in 2022[159]. Customer Satisfaction and Service Quality - The company achieved a customer satisfaction rate of 90% in 2023, up from 93% in 2022[25]. - The overall occupancy rate for the retail portfolio improved to 85%, up from 83% in the previous year[125]. - The office portfolio maintained a high occupancy rate of 90%, compared to 88% in 2022[125]. - The residential leasing portfolio's occupancy rate increased to 92%, up from 86% in the previous year[125]. - The company plans to focus on renewing leases with blue-chip tenants to secure stable income amid a weak market[122].

Financial Performance - For the fiscal year ending December 31, 2023, the company reported total revenue of HKD 13,090 million, a decrease of 10% compared to HKD 14,590 million in 2022[3]. - The company achieved a net profit attributable to shareholders of HKD 3,243 million, an increase of 18% from HKD 2,755 million in 2022, primarily due to a fair value increase of investment properties[5]. - The basic earnings per share for 2023 was HKD 2.23, up from HKD 1.90 in 2022, reflecting an 18% increase[5]. - The group’s consolidated revenue from development properties in mainland China and Hong Kong increased by 22% to HKD 10.416 billion in 2023, compared to HKD 8.562 billion in 2022[21]. - The consolidated revenue from investment and hotel properties in mainland China and Hong Kong grew by 14% to HKD 7.711 billion in 2023, up from HKD 6.789 billion in 2022[21]. - The company reported a revenue of HKD 13.09 billion for the year ended December 31, 2023, down from HKD 14.59 billion in 2022, representing a decrease of approximately 10.3%[49]. - The net profit for the year was HKD 4.16 billion, compared to HKD 3.47 billion in 2022, reflecting an increase of about 19.8%[49]. - The company’s earnings per share (EPS) for the year was HKD 2.23, compared to HKD 1.90 in 2022, marking an increase of 17.4%[49]. Property Sales and Revenue - Property sales revenue fell to HKD 6,349 million, down 26% from HKD 8,543 million in the previous year[3]. - Contract sales for the year totaled HKD 14,071 million, significantly up from HKD 5,354 million in 2022, driven by the successful sales of residential projects in Shanghai, Hangzhou, and Hong Kong[6]. - The total contract sales for The Aster project reached HKD 850 million, while the combined sales from the projects in Wong Chuk Hang amounted to HKD 1.192 billion[31]. - Contract sales in Hong Kong amounted to HKD 3.435 billion for the year ended December 31, 2023, a decrease from HKD 3.673 billion in 2022, with contributions from five projects including The Aster and high-end residential projects[29]. Investment Properties and Development - The company’s investment properties and hotel portfolio generated revenue of HKD 6,741 million, an 11% increase from HKD 6,047 million in 2022, attributed to the recovery of hotel operations post-pandemic[6]. - The total land bank increased to 50.9 million square feet following the acquisition of two land parcels in Hong Kong and mainland China, supporting future project development[8]. - The group has a robust pipeline of development properties with a total attributable floor area of 10.814 million square feet expected to be completed by 2028, including significant projects in Hangzhou, Shenyang, and Shanghai Huangpu[16]. - The investment property portfolio totals 18.403 million square feet, with 83% located in mainland China and 17% in Hong Kong, contributing 15.765 million square feet of investment properties[18]. - The group anticipates adding 11.028 million square feet of floor area to its investment property and hotel portfolio over the next five years, representing a 55% increase[20]. - The group aims to enhance recurring income through the gradual increase of its investment property portfolio in Shanghai, focusing on high-quality residential and commercial developments[13]. Financial Position and Debt - The debt ratio as of December 31, 2023, was 34.1%, a slight increase from 33.6% in 2022[22]. - Total borrowings amounted to HKD 55.131 billion as of December 31, 2023, an increase from HKD 52.870 billion in 2022[45]. - The company maintains a prudent financial policy for managing liquidity and debt, focusing on reducing risks associated with liquidity, foreign exchange, interest rates, and credit[37]. - The proportion of sustainable finance loans reached 48% of the total loan portfolio, amounting to approximately HKD 41.116 billion as of December 31, 2023[44]. - The company’s fixed-rate debt ratio increased to 43% as of December 31, 2023, up from 37% in 2022[40]. - Approximately 64% of the total borrowings are due for repayment in the next two years[45]. Operational Performance - The overall occupancy rate for the retail portfolio remained stable at 85% in 2023, up from 83% in 2022[26]. - The office portfolio's occupancy rate improved to 90% in 2023, compared to 88% in 2022[26]. - The residential leasing portfolio maintained a stable occupancy rate of 92% in 2023, up from 86% in 2022[26]. - Hotel revenue in mainland China increased by 66% to HKD 1.755 billion in 2023, compared to HKD 1.056 billion in 2022[25]. Dividends and Shareholder Information - The board proposed a final dividend of HKD 0.95 per share, maintaining the total cash dividend for the year at HKD 1.35 per share[5]. - The final dividend will be distributed to eligible shareholders on June 5, 2024[91]. - The annual general meeting for shareholders will be held on May 20, 2024, at 2:30 PM[92]. - The total cash dividend for the year, including an interim dividend of HKD 0.40 per share, amounts to HKD 1.35 per share, consistent with the previous year[90]. Compliance and Governance - The company has fully complied with the Corporate Governance Code throughout 2023, except for the dual role of the Chairman and CEO held by Mr. Guo[86]. - The company confirmed compliance with the standard code for securities trading by directors throughout 2023[88].