本月底法定/註冊股本總額： HKD 7,500,000 FF301 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: 萬科海外投資控股有限公司 呈交日期: 2025年8月4日 I. 法定/註冊股本變動 | 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) | 01036 | 說明 | | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | | 法定/註冊股本 | | | 上月底結存 | | | 750,000,000 | HKD | | 0.01 | HKD | | | 7,500,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | | 本月底結存 | | | 750,000,000 | ...

Financial Performance - The company reported a revenue increase of 15% year-over-year, reaching $1.2 billion for the last quarter[6]. - The annual revenue was approximately HKD 775,500,000, representing an increase of about 113% from HKD 364,300,000 in 2023[17]. - Total revenue for the year ended December 31, 2024, was HKD 775,467,000, a significant increase from HKD 364,291,000 in 2023, representing a growth of approximately 113%[197]. - The company reported a net loss of HKD 50,530,000 for the year 2024, compared to a profit of HKD 27,699,000 in 2023, marking a turnaround of approximately 283%[197]. - Basic and diluted loss per share for 2024 was HKD (0.13), compared to earnings of HKD 0.07 per share in 2023[197]. - Total comprehensive loss for the year was HKD (50,954,000), a decline from total comprehensive income of HKD 28,740,000 in 2023[198]. - Gross profit decreased to HKD 134,036,000 in 2024 from HKD 174,433,000 in 2023, indicating a decline of about 23%[197]. - Administrative and other operating expenses rose to HKD 160,722,000 in 2024 from HKD 53,368,000 in 2023, an increase of approximately 201%[197]. User Growth and Market Expansion - User data showed a growth of 25% in active users, totaling 5 million users by the end of the quarter[6]. - The company is expanding its market presence in Southeast Asia, targeting a 20% market share by the end of the fiscal year[6]. - New product launches contributed to a 30% increase in sales, with the latest product line accounting for $300 million in revenue[6]. Strategic Initiatives - A strategic acquisition was completed, enhancing the company's technology capabilities and expected to generate an additional $50 million in annual revenue[6]. - The company plans to invest $200 million in new technology infrastructure over the next two years[6]. - The company aims to reduce operational costs by 15% through efficiency improvements and automation[6]. Customer Satisfaction and Service - Customer satisfaction ratings improved to 90%, reflecting a 5% increase from the previous quarter[6]. - The group has established a customer service hotline for tenants and guests to provide feedback and complaints[73]. - The group maintains close communication with property management companies to ensure quality service for tenants[73]. Financial Position and Equity - As of December 31, 2024, the group's equity attributable to shareholders was approximately HKD 4.22 billion, a decrease from HKD 4.30 billion in 2023, due to losses and dividend payments[30]. - The debt-to-equity ratio decreased to 0.7% from 9.0% in 2023, primarily due to the full repayment of bank loans during the year[32]. - The group had no outstanding bank loans as of December 31, 2024, compared to approximately HKD 367.1 million in 2023[31]. - The company’s joint venture, indirectly held at 50%, received a term loan of HKD 744,600,000 as of December 31, 2024, with HKD 314,800,000 drawn down, and the company provided a 50% guarantee[35]. Investment Properties and Valuation - The fair value of the investment properties at the Regal Center was approximately HKD 1,954,600,000 as of December 31, 2024, down from HKD 1,993,100,000 in 2023[18]. - The fair value of investment properties held by the group as of December 31, 2024, is HKD 1,955,000,000, representing 44% of the total asset value[184]. - The group has a significant reliance on subjective estimates for the valuation of investment properties, which increases the risk of misstatement[184]. - The assessment of the net realizable value of development properties requires management's estimates, particularly in determining future selling prices and completion costs[187]. Governance and Compliance - The group has adhered to high standards of corporate governance and complied with the corporate governance code during the fiscal year ending December 31, 2024[130]. - The independent auditor has issued an unqualified opinion regarding the group’s continuing connected transactions, confirming compliance with relevant agreements and pricing policies[120]. - The company has established a risk management and internal control system, which is reviewed annually for effectiveness[160]. Employee and Board Information - Employee turnover rate for 2024 is 15%, consistent with 2023[75]. - Average employee tenure increased to 3.7 years as of December 31, 2024, compared to 2.8 years in 2023[75]. - The board consists of three executive directors, one non-executive director, and three independent non-executive directors[132]. - The company has appointed a new independent non-executive director, Cheng Xiaoyuan, effective May 23, 2024[133]. Future Outlook - The company provided a forward guidance of 10% revenue growth for the next quarter, projecting revenues of approximately $1.32 billion[6]. - The group expects to maintain rental rates and occupancy for its investment properties in 2025[77]. - The group anticipates stable income and profit contributions from its asset management business in 2025[77]. - The group is cautiously optimistic about the future of the Hong Kong real estate market despite existing challenges[77].

Financial Performance - The total revenue for the year ended December 31, 2024, was HKD 775,467,000, representing an increase from HKD 364,291,000 in 2023, which is a growth of approximately 113%[3] - The gross profit for the same period was HKD 134,036,000, down from HKD 174,433,000 in 2023, indicating a decrease of about 23%[3] - The operating loss for the year was HKD 10,576,000, compared to an operating profit of HKD 194,129,000 in 2023, reflecting a significant decline[3] - The net loss attributable to shareholders for the year was HKD 50,530,000, compared to a profit of HKD 27,699,000 in 2023, marking a turnaround of approximately 283%[3] - The total comprehensive loss for the year was HKD 50,954,000, compared to a comprehensive income of HKD 28,740,000 in 2023, indicating a significant negative shift[4] - The company reported a pre-tax loss of HKD 58,417,000 for 2024, compared to a profit of HKD 45,582,000 in 2023[21] - The company reported a basic loss per share of HKD 0.13 for the fiscal year 2024, compared to earnings of HKD 0.07 per share in 2023, reflecting a significant decline in performance[35] - The company reported a loss attributable to shareholders of approximately HKD 50,500,000 for the year, compared to a profit of HKD 27,700,000 in the previous year[52] Assets and Liabilities - The total assets decreased to HKD 4,286,723,000 in 2024 from HKD 4,724,974,000 in 2023, a reduction of about 9%[6] - The net asset value for the company was HKD 4,221,298,000 in 2024, down from HKD 4,295,624,000 in 2023, indicating a decrease of approximately 2%[8] - The total liabilities decreased from HKD 5,111,323,000 in 2023 to HKD 4,468,310,000 in 2024, indicating a reduction in financial obligations[22] - The total value of designated non-current assets decreased from HKD 3,471,798,000 in 2023 to HKD 3,292,850,000 in 2024, a reduction of about 5%[24] - The company’s cash and cash equivalents were reported at HKD 296,381,000 in 2024, an increase from HKD 256,133,000 in 2023, representing a growth of approximately 15.7%[40] - The company had no outstanding bank loans as of December 31, 2024, compared to HKD 367,100,000 in 2023[75] - The debt-to-equity ratio as of December 31, 2024, was 0.7%, a significant decrease from 9.0% in 2023, indicating a reduction in leverage[76] Revenue Streams - Property management fee income was HKD 16,667,000, while asset management fee income was HKD 180,938,000 for the year 2023[17] - Revenue from property sales amounted to HKD 452,810,000, with no revenue reported in the previous year[17] - Rental income from investment properties was HKD 76,139,000, slightly down from HKD 79,747,000 in 2022[17] - Interest income from investment instruments was reported as HKD 40,564,000, which was not present in the previous year[17] - The asset management division generated HKD 180,938,000 in revenue, down from HKD 216,186,000 in 2022, indicating a decrease of approximately 16.2%[20] - Revenue from external customers in Hong Kong surged to HKD 699,000,000 in 2024, up from HKD 218,237,000 in 2023, marking a growth of 220%[24] Investment Properties - The company reported a fair value increase in investment properties of HKD 9,900,000 in 2024, down from HKD 54,268,000 in 2023, a decline of about 82%[3] - The fair value change of investment properties increased by HKD 9,900,000 in 2024, compared to a net gain of HKD 54,268,000 in 2023[21] - The fair value of investment properties decreased to HKD 1,954,600,000 in 2024 from HKD 1,993,100,000 in 2023, indicating a reduction of approximately 1.9%[36] - The company recorded a fair value gain of HKD 9,900,000 from investment properties in 2024, a decrease of 81.7% compared to HKD 54,268,000 in 2023[36] Dividends - The proposed final dividend for 2024 is HKD 0.06 per share, consistent with the dividend declared in 2023[32] - The company approved a final dividend of HKD 0.06 per share for 2024, down from HKD 0.09 per share in 2023, resulting in total dividends of HKD 23,372,000 compared to HKD 35,058,000 in the previous year[34] - A final dividend of HKD 0.06 per share is proposed, consistent with the previous year, pending approval at the 2025 Annual General Meeting[89] Operational Challenges - The company continues to face challenges in the Hong Kong real estate market due to economic uncertainties and reduced buyer confidence[52] - The Hong Kong real estate market is expected to face challenges due to global economic uncertainties, high interest rates, and geopolitical tensions, but government stimulus measures are anticipated to boost housing demand and investment appetite[87] - The company remains cautiously optimistic about the overall property market in Hong Kong, expecting gradual recovery by 2025 despite current adverse conditions[88] Future Outlook - The company plans to continue its focus on property development and management, with ongoing projects expected to complete within the normal operating cycle[41] - The asset management business is expected to continue contributing stable income and profitability by 2025[88] - The company plans to maintain rental rates and occupancy for its investment properties, including Regal Centre, serviced apartments, and hotels, while continuing to sell residential projects[88] Corporate Governance - The company has adhered to the corporate governance code and standards for securities trading by directors as of December 31, 2024[93][94] - The audit committee has reviewed the annual performance for the fiscal year ending December 31, 2024, including accounting policies and internal controls[96] Miscellaneous - The company has no potential dilutive shares outstanding for both fiscal years, maintaining a consistent share count of 389,527,932[35] - The company has not engaged in any buybacks or redemptions of its listed securities as of December 31, 2024[95] - There have been no significant events following the fiscal year ending December 31, 2024[92] - The annual report will be sent to shareholders and published on the company's website at an appropriate time[98]

[Company Information](index=2&type=section&id=Company%20Information) This section provides key corporate governance details including board members, auditors, legal advisors, and banking relationships, noting recent board changes [Board of Directors and Management](index=2&type=section&id=Board%20of%20Directors%20and%20Management) This section lists the company's board members, auditors, legal advisors, principal bankers, and company secretary, highlighting recent changes in independent non-executive directors - Board member changes: Mr. Cheng Xiaoyuan was appointed as an Independent Non-executive Director, Ms. Luo Zhiyan resigned as an Independent Non-executive Director, and Ms. Ye Kaiwen was appointed as an alternate director for Mr. Sun Jia, effective May 23, 2024[2](index=2&type=chunk)[69](index=69&type=chunk) - The principal auditor is KPMG, and the principal banker is Bank of China (Hong Kong) Limited[2](index=2&type=chunk) [Management Discussion and Analysis](index=3&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the Group's operational and financial performance for the six months ended June 30, 2024, covering asset management, property investments, and development [Business Review](index=3&type=section&id=Business%20Review) The Group continued to provide asset management services and held property interests in Hong Kong and San Francisco, with total revenue decreasing by 9% year-on-year | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Total Revenue | 165,200 | 181,800 | -9% | - Revenue decline primarily due to zero interest income from investment instruments and reduced asset management service income, as Vanke Hong Kong's contracting parties decreased investment capital in UK and US projects[4](index=4&type=chunk) - The V serviced apartments and hotel, which commenced operations in September 2023, contributed new revenue this period[4](index=4&type=chunk) [Asset Management](index=4&type=section&id=Asset%20Management) The Group provides asset management services to Vanke Hong Kong, with revenue decreasing by 13% but segment profit increasing by 3% due to reduced operating expenses Asset Management Business Performance | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 95,300 | 109,600 | -13% | | Segment Profit | 32,600 | 31,700 | +3% | - Revenue decreased primarily due to a reduction in the total investment capital of Vanke Hong Kong's contracting parties in related projects in the UK and US[5](index=5&type=chunk) - Segment profit increased mainly due to reduced direct operating expenses of the asset management team[5](index=5&type=chunk) [Property Investment](index=4&type=section&id=Property%20Investment) Property investment, primarily Regent Centre, saw a significant decrease in net gain from property sales and a slight decline in occupancy and average rent Regent Centre Property Investment Performance | Indicator | 2024 H1 | 2023 H1 | YoY Change | | :--- | :--- | :--- | :--- | | Net gain from disposal | HKD 1.3 million | HKD 7.9 million | Significant decrease | | Occupancy Rate (as of June 30) | 91% | 95% | -4 percentage points | | Average Rent (per sq ft) | HKD 9.4 | HKD 9.5 | Slight decrease | | Total Rental Income | HKD 46 million | HKD 48.8 million | -5.7% | | Segment Profit (before fair value changes) | HKD 23.1 million | HKD 24.8 million | -7% | - The fair value of Regent Centre remained at approximately **HKD 1,993.1 million**, but the fair value gain decreased from HKD 74.3 million in the prior period to **HKD 9.9 million**[4](index=4&type=chunk) [Property Development](index=5&type=section&id=Property%20Development) Property development projects, including TW6, Mission, The Square I, and Hin Wo Lane, saw a 20% reduction in overall segment loss, despite a provision for The Square I Key Property Development Project Data | Project | 2024 H1 Performance | 2023 H1 Performance | Remarks | | :--- | :--- | :--- | :--- | | TW6 Associate Investment Total | HKD 32.7 million | HKD 170 million | Decrease mainly due to repayment of amounts due from Goldrich and receipt of HKD 133.4 million in dividends from Ultimate Vantage | | Mission Street Group Share of Loss | HKD 21.4 million | HKD 109.2 million | Loss reduction mainly because the fair value decrease in the prior period did not recur | | The Square I Provision | HKD 72 million | None | Written down to net realizable value due to local market factors | | Segment Loss | HKD 94.8 million | HKD 117.9 million | 20% YoY decrease | - All units at The Pavilia Farm (TW6) have been sold and delivered to buyers, with Goldrich continuing to provide mortgage financing[7](index=7&type=chunk) - The Square I and Hin Wo Lane properties are both under development and will be redeveloped into residential properties[8](index=8&type=chunk) [Hotel and Serviced Apartments](index=6&type=section&id=Hotel%20and%20Serviced%20Apartments) The V, which commenced operations in September 2023, performed well with an 88% average occupancy rate and HKD 902 average room rate, contributing HKD 23.9 million in revenue The V Serviced Apartments and Hotel Operating Data | Indicator | 2024 H1 | 2023 H1 | | :--- | :--- | :--- | | Average Occupancy Rate | 88% | N/A | | Average Room Rate | HKD 902 | N/A | | Revenue | HKD 23.9 million | N/A | | Segment Profit | HKD 3.3 million | N/A | - The V commenced operations in September 2023, contributing revenue and profit for the first time this period[9](index=9&type=chunk) [Head Office and Corporate Expenses](index=6&type=section&id=Head%20Office%20and%20Corporate%20Expenses) Head office and corporate expenses significantly decreased by 57.3% year-on-year, primarily due to a reduction in average headcount and associated costs Head Office and Corporate Expenses Comparison | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Head Office and Corporate Expenses | 3,800 | 8,900 | -57.3% | | Average Headcount | 6 | 8 | -25% | [Finance Income](index=6&type=section&id=Finance%20Income) Finance income increased by 43.5% year-on-year, mainly driven by higher interest income from bank deposits and balances due to rising bank interest rates Finance Income Comparison | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Total Finance Income | 12,200 | 8,500 | +43.5% | | Interest Income from Bank Deposits and Balances | 11,600 | 7,700 | +50.6% | - The increase in finance income is primarily due to rising bank interest rates[11](index=11&type=chunk) [Events After Reporting Period](index=6&type=section&id=Events%20After%20Reporting%20Period) No significant events occurred after the reporting period that would materially affect the Group's operations, results, or financial position - No material events after the reporting period[12](index=12&type=chunk) [Financial Review](index=6&type=section&id=Financial%20Review) The Group's financial position shows a slight decrease in shareholders' equity and a minor increase in interest-bearing borrowings, maintaining a low debt-to-equity ratio and strong liquidity | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | Change | | :--- | :--- | :--- | :--- | | Equity Attributable to Shareholders | 4,242,700 | 4,295,600 | Decrease of 52,900 | | Interest-bearing Bank and Other Borrowings | 387,200 | 385,400 | Increase of 1,800 | | Bank Balances and Cash | 479,500 | 610,300 | Decrease of 130,800 | | Debt-to-Equity Ratio | 9.1% | 9.0% | Slight increase | | Net Debt-to-Total Equity Ratio | Zero | Zero | Unchanged | - Shareholders' equity decreased primarily due to a loss for the period of approximately **HKD 29.5 million** and the declaration of a 2023 final dividend of approximately **HKD 23.4 million**[12](index=12&type=chunk) - All outstanding bank loans totaling **HKD 353.814 million** are due within one year[14](index=14&type=chunk) - The V and The Square I are currently unencumbered, providing additional cash resources for the Group[15](index=15&type=chunk) [Liquidity, Financial Resources, Gearing Ratio and Capital Structure](index=6&type=section&id=Liquidity%2C%20Financial%20Resources%2C%20Gearing%20Ratio%20and%20Capital%20Structure) The Group maintains strong liquidity with ample bank balances and cash, and a stable capital structure with a low debt-to-equity ratio despite a slight increase in borrowings Liquidity and Debt Structure | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Equity Attributable to Shareholders | 4,242,700 | 4,295,600 | | Interest-bearing Bank and Other Borrowings | 387,200 | 385,400 | | Bank Balances and Cash | 479,500 | 610,300 | | Debt-to-Equity Ratio | 9.1% | 9.0% | | Net Debt-to-Total Equity Ratio | Zero | Zero | - Total outstanding bank loans of **HKD 353.814 million** are due within one year[14](index=14&type=chunk) [Exchange Rate Fluctuation Risk](index=7&type=section&id=Exchange%20Rate%20Fluctuation%20Risk) The Group operates in Hong Kong, the US, and the UK, exposing it to foreign exchange risks from assets and liabilities denominated in HKD, USD, and GBP - The Group faces foreign exchange risk from assets and liabilities denominated in HKD, USD, and GBP[16](index=16&type=chunk) [Capital Commitments](index=7&type=section&id=Capital%20Commitments) As of June 30, 2024, the Group had no contractual commitments, a significant reduction from HKD 6.9 million at December 31, 2023 Capital Commitments Comparison | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Contractual Commitments | 0 | 6,900 | [Contingent Liabilities and Financial Guarantees](index=7&type=section&id=Contingent%20Liabilities%20and%20Financial%20Guarantees) The Company provides bank financing guarantees for its wholly-owned subsidiaries and joint ventures, with HKD 354 million utilized for subsidiaries and HKD 314.8 million for joint ventures Contingent Liabilities and Financial Guarantees | Guaranteed Party | Financing Limit (HKD thousands) | Utilized Amount (HKD thousands) | | :--- | :--- | :--- | | Wholly-owned Subsidiaries | 707,600 | 354,000 | | Joint Ventures (50% indirectly held) | 744,600 | 314,800 | [Pledge of Assets](index=8&type=section&id=Pledge%20of%20Assets) The Group's bank loans are secured by the entire share capital of subsidiaries holding Regent Centre, their holding companies, and a floating charge over all rent-related receivables - The share capital of Regent Centre-related subsidiaries and their holding companies, along with all rent-related receivables, are pledged for bank loans[20](index=20&type=chunk) [Material Investments, Acquisitions and Disposals of Subsidiaries and Associates](index=8&type=section&id=Material%20Investments%2C%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%20and%20Associates) During the reporting period, the Group did not hold any material investments nor undertake any significant acquisitions or disposals of subsidiaries and associates - No material investments, acquisitions, or disposals during the reporting period[20](index=20&type=chunk) [Employees and Remuneration Policy](index=8&type=section&id=Employees%20and%20Remuneration%20Policy) The Group's headcount remained at 98 employees, with total staff costs decreasing by 10% year-on-year, as Vanke Hong Kong no longer charges for administrative support Employee and Remuneration Data | Indicator | June 30, 2024 | June 30, 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Number of Employees | 98 | 98 | No change | | Staff Costs (HKD thousands) | 60,300 | 67,000 | -10% | - Vanke Hong Kong no longer charges for administrative and management support, with related expenses now directly paid by the Group[21](index=21&type=chunk) [Outlook](index=9&type=section&id=Outlook) The company anticipates an uncertain market in 2024 due to high interest rates and geopolitical tensions, but maintains a sound financial position and will pursue value-accretive investment opportunities - The 2024 market environment is full of uncertainties, influenced by high interest rates, tight monetary policies, and geopolitical tensions[23](index=23&type=chunk) - The Hong Kong property market faces pressure, with buyers adopting a wait-and-see approach, and property prices are expected to face pressure in the second half of the year[23](index=23&type=chunk) - The Group maintains a sound financial position and will continue to seek investment opportunities that create value for shareholders[23](index=23&type=chunk) - Occupancy rates and average rents for Regent Centre and The V are expected to remain stable in the second half of the year[23](index=23&type=chunk) - Sales of The Square I residential property are expected to contribute revenue in the second half of the year[23](index=23&type=chunk) - The asset management business is expected to generate stable revenue and profit in the second half of the year[23](index=23&type=chunk) [Review Report on Interim Financial Information](index=10&type=section&id=Review%20Report%20on%20Interim%20Financial%20Information) KPMG reviewed the Group's interim financial information for the six months ended June 30, 2024, in accordance with HKSRS 2410, without expressing an audit opinion [Introduction and Scope of Review](index=10&type=section&id=Introduction%20and%20Scope%20of%20Review) KPMG reviewed the interim financial information according to HKSRS 2410, noting that the scope is less than an audit and thus no audit opinion is expressed - The interim financial information has been reviewed by KPMG in accordance with Hong Kong Standard on Review Engagements 2410[24](index=24&type=chunk)[25](index=25&type=chunk) - The scope of a review is less than an audit, therefore no audit opinion is expressed[25](index=25&type=chunk) [Conclusion](index=10&type=section&id=Conclusion) Based on the review, KPMG found no matters suggesting the interim financial information was not prepared in all material respects according to IAS 34 and HKAS 34 - The review concluded that the interim financial information was prepared in all material respects in accordance with International Accounting Standard 34 and Hong Kong Accounting Standard 34[26](index=26&type=chunk) [Consolidated Financial Statements](index=11&type=section&id=Consolidated%20Financial%20Statements) This section presents the Group's consolidated financial performance, position, and cash flows for the interim period, showing a shift from profit to loss [Consolidated Statement of Profit or Loss](index=11&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss) The Group reported a loss of HKD 29.323 million for the six months ended June 30, 2024, a significant decline from a profit in the prior year, driven by increased expenses and reduced fair value gains Key Consolidated Statement of Profit or Loss Data | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 165,160 | 181,799 | -9.1% | | Gross Profit | 73,281 | 92,238 | -20.5% | | Operating Profit | 3,650 | 132,105 | -97.2% | | (Loss)/Profit Before Taxation | (18,106) | 11,782 | Shift from profit to loss | | (Loss)/Profit for the Period | (29,323) | 2,535 | Shift from profit to loss | | (Loss)/Earnings Per Share | (0.08) | 0.01 | Shift from profit to loss | - Administrative and other operating expenses significantly increased from **HKD 43.292 million** to **HKD 83.502 million**[27](index=27&type=chunk) - Fair value gain on investment properties decreased from **HKD 74.303 million** to **HKD 9.900 million**[27](index=27&type=chunk) - Share of loss of associates decreased from **HKD 109.210 million** to **HKD 21.374 million**, positively contributing to the narrowing of the loss[27](index=27&type=chunk) [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=12&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) The Group's total comprehensive loss for the period was HKD 29.501 million, a reversal from a gain in the prior year, primarily due to the period's loss and exchange differences Key Consolidated Statement of Profit or Loss and Other Comprehensive Income Data | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | (Loss)/Profit for the Period | (29,323) | 2,535 | | Exchange differences on translation of financial statements of overseas subsidiaries | (178) | 1,037 | | Total Comprehensive Income for the Period | (29,501) | 3,572 | - Total comprehensive income for the period shifted from a gain to a loss, primarily reflecting the deterioration in operating performance during the period[29](index=29&type=chunk) [Consolidated Statement of Financial Position](index=13&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group's total assets less current liabilities decreased, with a slight reduction in net assets primarily due to decreased interests in associates and increased current bank loans Key Consolidated Statement of Financial Position Data | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | Change | | :--- | :--- | :--- | :--- | | Non-current Assets | 3,353,329 | 3,481,429 | Decrease of 128,100 | | Investment Properties | 1,993,100 | 1,993,100 | No change | | Interests in Associates | 109,458 | 251,936 | Decrease of 142,478 | | Current Assets | 1,544,908 | 1,629,894 | Decrease of 84,986 | | Bank Balances and Cash | 479,527 | 610,286 | Decrease of 130,759 | | Current Liabilities | (582,836) | (386,349) | Increase of 196,487 | | Bank Loans (Current) | (353,814) | 0 | New | | Net Assets | 4,242,751 | 4,295,624 | Decrease of 52,873 | - Interests in associates significantly decreased, primarily reflecting the reduction in TW6 associate investment[30](index=30&type=chunk)[7](index=7&type=chunk) - Current bank loans increased from zero to **HKD 353.814 million**, indicating a reclassification of long-term debt to short-term[30](index=30&type=chunk)[14](index=14&type=chunk) [Consolidated Statement of Changes in Equity](index=15&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Equity) Total equity attributable to company shareholders decreased from HKD 4,295.625 million at the beginning of the period to HKD 4,242.752 million at period-end, mainly due to the loss for the period and dividend payments Consolidated Equity Changes | Indicator | Jan 1, 2024 (HKD thousands) | June 30, 2024 (HKD thousands) | | :--- | :--- | :--- | | Total Equity Attributable to Company Shareholders | 4,295,625 | 4,242,752 | | Loss for the Period | - | (29,323) | | Other Comprehensive Income | - | (178) | | Approved Final Dividend for Previous Year | - | (23,372) | - The decrease in equity is primarily attributed to the loss for the period and the approved final dividend payment[33](index=33&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=16&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) The Group experienced a net decrease in cash and cash equivalents of HKD 130.589 million, with net cash outflows from operating, investing, and financing activities Key Condensed Consolidated Statement of Cash Flows Data | Activity Type | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Net Cash (Used in)/Generated from Operating Activities | (98,764) | 4,007 | | Net Cash (Used in)/Generated from Investing Activities | (254) | 11,042 | | Net Cash Used in Financing Activities | (31,571) | (54,948) | | Net Decrease in Cash and Cash Equivalents | (130,589) | (39,899) | | Cash and Cash Equivalents at End of Period | 479,527 | 546,192 | - Operating activities shifted from cash inflow to cash outflow in the prior period, which is the primary reason for the cash decrease this period[34](index=34&type=chunk) - Major non-cash transactions included **HKD 133.4 million** in dividends receivable from an associate, settled through current accounts[34](index=34&type=chunk) [Notes to the Unaudited Interim Financial Information](index=17&type=section&id=Notes%20to%20the%20Unaudited%20Interim%20Financial%20Information) This section provides detailed notes to the interim financial statements, covering general information, basis of preparation, segment information, and other financial disclosures [General Information](index=17&type=section&id=General%20Information) The Company, incorporated in the Cayman Islands and listed on HKEX, primarily engages in asset management, property development, and property investment, with China Vanke Co., Ltd. as its ultimate holding company - The Company primarily engages in asset management, property development, and property investment[37](index=37&type=chunk) - China Vanke Co., Ltd. is the ultimate holding company of the Company[37](index=37&type=chunk) [Basis of Preparation](index=17&type=section&id=Basis%20of%20Preparation) The interim financial information is prepared in accordance with IAS 34 and HKAS 34, and complies with HKEX Listing Rules disclosure requirements, with no significant accounting policy changes - The interim financial information is prepared in accordance with International Accounting Standard 34 and Hong Kong Accounting Standard 34[38](index=38&type=chunk) - Amendments to IFRS effective for the current accounting period had no material impact on the Group's results or financial position[38](index=38&type=chunk) [Revenue and Segment Information](index=18&type=section&id=Revenue%20and%20Segment%20Information) Group revenue, primarily from asset management fees, hotel and serviced apartment income, and investment property rental income, decreased by 9.1% year-on-year, with new contributions from hotel operations Revenue Composition and Segment Performance | Revenue Source | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Asset Management Fee Income | 95,254 | 109,620 | | Hotel and Serviced Apartments Income | 23,896 | 0 | | Rental Income from Investment Properties | 37,714 | 40,036 | | Total Revenue | 165,160 | 181,799 | | Property Investment Segment Performance | 33,043 | 99,134 | | Property Development Segment Performance | (94,829) | (117,892) | | Asset Management Segment Performance | 32,616 | 31,746 | | Hotel and Serviced Apartments Segment Performance | 3,332 | 0 | - Asset management segment revenue decreased by **13%**, mainly due to reduced investment capital by Vanke Hong Kong's contracting parties in related projects in the UK and US[39](index=39&type=chunk)[5](index=5&type=chunk) - The hotel and serviced apartments segment is a new revenue source this period, contributing **HKD 23.896 million**[39](index=39&type=chunk) - Property development segment loss narrowed, mainly because the fair value decrease of Mission in the prior period did not recur[43](index=43&type=chunk)[8](index=8&type=chunk) [Other Income and Net Gains](index=20&type=section&id=Other%20Income%20and%20Net%20Gains) Other income and net gains decreased to HKD 3.971 million from HKD 8.856 million in the prior year, primarily due to a reduction in net gain from disposal of investment properties Other Income and Net Gains Comparison | Income Source | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Net gain from disposal of investment properties | 1,301 | 7,897 | | Other management fee income from associated companies | 2,179 | 870 | | Total | 3,971 | 8,856 | - The significant reduction in net gain from disposal of investment properties is the main reason for the decrease in other income and net gains[46](index=46&type=chunk) [Loss/Profit Before Taxation](index=20&type=section&id=Loss%2FProfit%20Before%20Taxation) The Group reported a loss before taxation of HKD 18.106 million, a reversal from a profit in the prior year, mainly due to increased depreciation, finance costs, and a provision for properties under development Loss/Profit Before Taxation Components | Indicator | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Finance Income | 12,192 | 8,472 | | Finance Costs | (12,564) | (19,570) | | Depreciation | 18,057 | 5,804 | | Salaries, Wages and Other Benefits | 56,905 | 63,631 | | Provision for Properties Under Development | 72,000 | 0 | - Finance costs decreased year-on-year, but a provision for properties under development of **HKD 72 million** was a significant factor in the shift from profit to loss[47](index=47&type=chunk) - Depreciation expenses significantly increased, primarily from owned property, plant, and equipment[47](index=47&type=chunk) [Income Tax](index=21&type=section&id=Income%20Tax) Income tax expense increased to HKD 11.217 million from HKD 9.247 million in the prior year, primarily due to increased overseas tax provisions Income Tax Components | Tax Type | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Hong Kong Profits Tax | 1,536 | 1,057 | | Overseas Tax | 9,591 | 7,684 | | Deferred Tax | 90 | 506 | | Total | 11,217 | 9,247 | - Increased overseas tax provisions are the main reason for the rise in income tax expense[48](index=48&type=chunk) [Loss/Earnings Per Share](index=21&type=section&id=Loss%2FEarnings%20Per%20Share) The Group reported a basic loss per share of HKD 0.08, a shift from earnings per share of HKD 0.01 in the prior year, with diluted loss per share being the same due to no dilutive potential shares Loss/Earnings Per Share Comparison | Indicator | 2024 H1 | 2023 H1 | | :--- | :--- | :--- | | Basic (Loss)/Earnings Per Share | (HKD 0.08) | HKD 0.01 | | Diluted (Loss)/Earnings Per Share | (HKD 0.08) | HKD 0.01 | - Earnings per share shifted from positive to negative, reflecting the deterioration in operating performance this period[50](index=50&type=chunk) [Dividends](index=22&type=section&id=Dividends) The directors do not recommend an interim dividend for the period, but a final dividend of HKD 0.06 per share for the previous year, totaling HKD 23.372 million, was approved - The directors do not recommend an interim dividend[51](index=51&type=chunk) Approved Final Dividends | Year | Dividend Per Share | Total Amount (HKD thousands) | | :--- | :--- | :--- | | 2023 | HKD 0.06 | 23,372 | | 2022 | HKD 0.09 | 35,058 | [Investment Properties](index=22&type=section&id=Investment%20Properties) The Group's investment properties were revalued at HKD 1,993.1 million as of June 30, 2024, with a fair value gain of HKD 9.9 million recorded from partial disposals during the period Investment Property Movements | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Beginning of Period | 1,993,100 | 1,994,300 | | Disposals | (9,900) | (57,403) | | Fair Value Gain | 9,900 | 54,268 | | End of Period | 1,993,100 | 1,993,100 | - The valuation method for investment properties remains unchanged, performed by external valuer JLL[52](index=52&type=chunk) [Interests in Associates and Amounts Due From/To Associates](index=23&type=section&id=Interests%20in%20Associates%20and%20Amounts%20Due%20From%2FTo%20Associates) As of June 30, 2024, the Group's interests in associates significantly decreased to HKD 109.458 million, with a reduction in amounts due from Goldrich and a substantial decrease in amounts due to Ultimate Vantage Limited Associate Interests and Intercompany Balances | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Share of Net Assets | 78,202 | 216,966 | | Amount Due from an Associate (Non-current) | 31,256 | 34,970 | | Total Interests in Associates | 109,458 | 251,936 | | Amount Due to Ultimate Vantage Limited (Current) | 1,434 | 134,834 | - The amount due from Goldrich is unsecured, interest-bearing at the Hong Kong prime rate minus 2.1% per annum[54](index=54&type=chunk) - The amount due to Ultimate Vantage Limited is unsecured, non-interest bearing, and repayable on demand, with a significant decrease this period[55](index=55&type=chunk) [Properties Under Development](index=23&type=section&id=Properties%20Under%20Development) Properties under development were valued at HKD 973.073 million, with a provision of HKD 72 million and additions of HKD 105.416 million during the period Properties Under Development Movements | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Beginning of Period | 939,657 | 796,700 | | Provision | (72,000) | 0 | | Additions | 105,416 | 142,957 | | End of Period | 973,073 | 939,657 | - Properties under development are located at 221-223 Yee Kuk Street, Sham Shui Po, Kowloon, Hong Kong[55](index=55&type=chunk) - **HKD 455.316 million** is expected to be recovered within one year, with the remainder after one year[56](index=56&type=chunk) [Trade and Other Receivables](index=23&type=section&id=Trade%20and%20Other%20Receivables) Total trade and other receivables increased to HKD 89.426 million, primarily driven by increases in prepayments and amounts due from related companies Trade and Other Receivables Composition | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Trade Receivables | 1,593 | 1,445 | | Prepayments | 25,959 | 9,364 | | Amounts Due from an Intermediate Holding Company | 29,227 | 32,055 | | Amounts Due from Fellow Subsidiaries | 20,049 | 23,052 | | Total | 89,426 | 76,668 | - Trade receivables are due within 15 to 90 days from the date of revenue recognition[57](index=57&type=chunk) - Amounts due from the intermediate holding company and fellow subsidiaries are unsecured, non-interest bearing, and repayable on demand[58](index=58&type=chunk) [Trade and Other Payables](index=25&type=section&id=Trade%20and%20Other%20Payables) Total trade and other payables significantly decreased to HKD 148.115 million, mainly due to reductions in amounts due to an associate and related companies Trade and Other Payables Composition | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Trade Payables | 23,491 | 32,620 | | Accrued Expenses | 55,705 | 71,147 | | Amount Due to an Associate | 1,434 | 134,834 | | Amount Due to an Intermediate Holding Company | 16,139 | 37,319 | | Total | 148,115 | 328,517 | - The significant decrease in the amount due to an associate is the main reason for the decline in total payables[60](index=60&type=chunk) - Amounts due to related companies are unsecured, non-interest bearing, and repayable on demand[61](index=61&type=chunk) [Commitments](index=26&type=section&id=Commitments) As of June 30, 2024, the Group had no contracted commitments for the construction of property, plant, and equipment, a significant reduction from HKD 6.875 million at December 31, 2023 Contracted Construction Commitments Comparison | Indicator | June 30, 2024 (HKD thousands) | Dec 31, 2023 (HKD thousands) | | :--- | :--- | :--- | | Contracted Construction for Property, Plant and Equipment | 0 | 6,875 | [Significant Related Party Transactions](index=26&type=section&id=Significant%20Related%20Party%20Transactions) The Group engaged in several significant related party transactions, primarily involving asset management fee income and key management personnel remuneration, with a decrease in asset management fees received from related parties Significant Related Party Transactions | Transaction Type | 2024 H1 (HKD thousands) | 2023 H1 (HKD thousands) | | :--- | :--- | :--- | | Asset Management Fee Income Received from/Receivable from Intermediate Holding Company | 58,077 | 63,639 | | Asset Management Fee Income Received from/Receivable from Fellow Subsidiaries | 37,177 | 45,981 | | Management and Administrative Fees Payable to an Intermediate Holding Company | 0 | 3,459 | | Key Management Personnel Remuneration | 805 | 825 | - Asset management fee income is charged on terms agreed between the parties[64](index=64&type=chunk) - No management and administrative fees were payable to Vanke Hong Kong this period, as all administrative expenses are directly paid by the Group[21](index=21&type=chunk)[65](index=65&type=chunk) [Other Information](index=27&type=section&id=Other%20Information) This section covers additional disclosures including the review of interim financial information, compliance with corporate governance codes, and directors' interests [Review of Interim Financial Information](index=27&type=section&id=Review%20of%20Interim%20Financial%20Information) The Group's interim financial information, though unaudited, was reviewed by KPMG and the Audit Committee, with no disagreements - The interim financial information has been reviewed by KPMG and the Company's Audit Committee, with no disagreements[66](index=66&type=chunk) [Compliance with Corporate Governance Code](index=27&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The Company has complied with the Corporate Governance Code set out in Appendix C1 Part 2 of the Listing Rules throughout the reporting period - The Company complied with the Corporate Governance Code set out in Appendix C1 Part 2 of the Listing Rules during the reporting period[67](index=67&type=chunk) [Compliance with Model Code for Securities Transactions by Directors](index=27&type=section&id=Compliance%20with%20Model%20Code%20for%20Securities%20Transactions%20by%20Directors) All directors confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules during the reporting period - All directors confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers during the reporting period[68](index=68&type=chunk) [Purchase, Sale or Redemption of Shares](index=27&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Shares) Neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's shares during the reporting period - Neither the Company nor its subsidiaries engaged in share purchase, sale, or redemption during the reporting period[69](index=69&type=chunk) [Update on Directors' Information Pursuant to Rule 13.51B(1) of the Listing Rules](index=27&type=section&id=Update%20on%20Directors%27%20Information%20Pursuant%20to%20Rule%2013.51B%281%29%20of%20the%20Listing%20Rules) Directors' information was updated to reflect Ms. Luo Zhiyan's resignation, Mr. Cheng Xiaoyuan's appointment as INED, and Ms. Ye Kaiwen's appointment as alternate director for Mr. Sun Jia, effective May 23, 2024 - Board changes include Ms. Luo Zhiyan's resignation, Mr. Cheng Xiaoyuan's appointment as an Independent Non-executive Director, and Ms. Ye Kaiwen's appointment as an alternate director for Mr. Sun Jia[69](index=69&type=chunk) [Directors' Interests in Shares or Debentures](index=28&type=section&id=Directors%27%20Interests%20in%20Shares%20or%20Debentures) As of June 30, 2024, certain directors held interests in the Company's or its associated corporations' shares, including Mr. Cheng Xiaoyuan's 0.09601% stake in the Company Directors' Interests in the Company | Director Name | Number of Ordinary Shares Held | Percentage of Issued Share Capital | | :--- | :--- | :--- | | Cheng Xiaoyuan | 374,000 | 0.09601% | Directors' Interests in Associated Corporations | Director Name | Name of Associated Corporation | Share Class | Number of Ordinary Shares Held | Percentage of Issued Share Capital | | :--- | :--- | :--- | :--- | :--- | | Sun Jia | Vanke | A Shares | 5,800 | 0.00006% | | Ding Changfeng | Vanke | A Shares | 1,037,660 | 0.01067% | | Han Huihua | Vanke | A Shares | 141,000 | 0.00145% | | Cheng Xiaoyuan | Vanke Service Group Co., Ltd. | H Shares | 12,000 | 0.00102% | [Directors' Rights to Acquire Shares or Debentures](index=29&type=section&id=Directors%27%20Rights%20to%20Acquire%20Shares%20or%20Debentures) Mr. Sun Jia, Ms. Ye Kaiwen, Mr. Ding Changfeng, and Ms. Han Huihua are beneficiaries of Vanke's Business Partner Scheme, with no other arrangements for directors to acquire shares or debentures - Sun Jia, Ye Kaiwen, Ding Changfeng, and Han Huihua are beneficiaries of Vanke's Business Partner Scheme[74](index=74&type=chunk) - During the reporting period, the Company had no share schemes or other arrangements enabling directors to benefit from acquiring shares or debentures[74](index=74&type=chunk) [Major Shareholders' Interests and Short Positions Discloseable Under the SFO](index=29&type=section&id=Major%20Shareholders%27%20Interests%20and%20Short%20Positions%20Discloseable%20Under%20the%20SFO) As of June 30, 2024, Vanke held 75.0% of the Company's shares through its indirect wholly-owned subsidiary, and CITIC Securities Company Limited held 7.72% through its subsidiaries, making them major shareholders Major Shareholders' Interests | Major Shareholder Name | Nature of Interest | Total Number of Shares Held | Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Vanke | Interest in controlled corporation | 292,145,949 | 75.0% | | CITIC Securities Company Limited | Interest in controlled corporation | 30,080,000 | 7.72% | [Credit Facilities Subject to Specific Performance Covenant by Controlling Shareholder](index=30&type=section&id=Credit%20Facilities%20Subject%20to%20Specific%20Performance%20Covenant%20by%20Controlling%20Shareholder) A loan facility agreement with Chericourt Company Limited included a covenant requiring Vanke to beneficially own at least 30% of Future Best Developments Limited, which has since been fully repaid and cancelled - The loan facility agreement included a covenant requiring Vanke, the controlling shareholder, to beneficially own at least **30%** of the share capital of Future Best Developments Limited, an indirect wholly-owned subsidiary of the Company[77](index=77&type=chunk) - As of the publication date of this interim report, the outstanding bank loans of **HKD 354 million** have been fully repaid, and the available commitment under the loan facility has been cancelled, with no further related obligations[77](index=77&type=chunk) [Disclosure Pursuant to Rule 13.22 of the Listing Rules](index=30&type=section&id=Disclosure%20Pursuant%20to%20Rule%2013.22%20of%20the%20Listing%20Rules) As of June 30, 2024, the Group provided financial assistance and guarantees totaling approximately HKD 671 million to associates Goldrich and Champion Estate (HK) Limited, exceeding the 8% asset ratio under Listing Rule 14.07(1) Financial Assistance and Guarantees to Associates | Item | Amount (HKD millions) | | :--- | :--- | | Amount Due from Goldrich | 32 | | Loan to Champion HK | 267 | | Guarantee for financing granted to Champion HK | 372 | | Total | 671 | - This total amount exceeds the **8%** asset ratio as defined by Listing Rule 14.07(1)[78](index=78&type=chunk) Pro Forma Consolidated Statement of Financial Position of Associates (June 30, 2024) | Indicator | Pro Forma Consolidated Statement of Financial Position (HKD millions) | Group's Share of Interest (HKD millions) | | :--- | :--- | :--- | | Non-current Assets | 126 | 25 | | Properties Under Development | 882 | 441 | | Current Assets | 48 | 13 | | Current Liabilities | (53) | (25) | | Non-current Liabilities | (1,000) | (453) | | Net Assets | 3 | 1 | [Publication of Interim Report](index=31&type=section&id=Publication%20of%20Interim%20Report) The interim report is available in print and published on the Company's and HKEX websites, with shareholders able to change their communication preferences - The interim report has been published on the Company's website (www.vankeoverseas.com) and the HKEX website (www.hkexnews.hk)[81](index=81&type=chunk)

Financial Highlights [Consolidated Statement of Profit or Loss](index=1&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss) The Group swung to a loss in H1 2024, with revenue down 9.1% to **HKD 165 million**, primarily due to reduced fair value gains on investment properties and expanded losses from associates Consolidated Statement of Profit or Loss | Metric | H1 2024 (Unaudited) | H1 2023 | Year-over-Year Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 165 million | HKD 182 million | -9.1% | | Gross Profit | HKD 73.281 million | HKD 92.238 million | -20.5% | | Operating Profit | HKD 3.65 million | HKD 132 million | -97.2% | | (Loss)/Profit for the Period | (HKD 29.323 million) | HKD 2.535 million | Swung from Profit to Loss | | (Loss)/Earnings Per Share | (HKD 0.08) | HKD 0.01 | Swung from Profit to Loss | - Fair value gain on investment properties significantly decreased from **HKD 74.303 million** in the prior period to **HKD 9.9 million**, a key factor in the decline of operating profit[2](index=2&type=chunk) - Share of loss from associates was **HKD 21.374 million**, narrowing from **HKD 109 million** in the prior period[2](index=2&type=chunk) [Consolidated Statement of Financial Position](index=3&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group's total assets slightly decreased to **HKD 4.90 billion**, with net assets stable at **HKD 4.24 billion**, and all bank loans reclassified as current liabilities Consolidated Statement of Financial Position | Metric | June 30, 2024 (Unaudited) | December 31, 2023 (Audited) | Change | | :--- | :--- | :--- | :--- | | Total Assets | HKD 4.898 billion | HKD 5.111 billion | -4.2% | | Total Liabilities | HKD 655 million | HKD 816 million | -19.7% | | Net Assets | HKD 4.243 billion | HKD 4.296 billion | -1.2% | | Bank Balances and Cash | HKD 480 million | HKD 610 million | -21.3% | - As of June 30, 2024, all bank loans of **HKD 354 million** were classified as current liabilities, compared to **HKD 367 million** in non-current liabilities at the end of 2023[4](index=4&type=chunk)[39](index=39&type=chunk) Management Discussion and Analysis [Business Review](index=12&type=section&id=Business%20Review) The Group's total revenue decreased by 9% to **HKD 165 million**, primarily due to reduced interest income and asset management fees, partially offset by new hotel revenue - Revenue for the period was approximately **HKD 165.2 million**, a 9% decrease from **HKD 181.8 million** in the prior period[28](index=28&type=chunk) - The revenue decline was primarily due to: 1) an investment tool, whose principal was fully recovered in the previous fiscal year, no longer generating interest income; 2) decreased asset management service income due to reduced investment capital[28](index=28&type=chunk) - The 'The Stellar' hotel, which commenced operations in September 2023, provided a new revenue stream, partially offsetting declines in other business segments[28](index=28&type=chunk) [Asset Management](index=13&type=section&id=Asset%20Management) Asset management revenue decreased by 13% to **HKD 95.3 million**, but segment profit increased by 3% to **HKD 32.6 million** due to lower operating expenses Asset Management | Metric | H1 2024 | H1 2023 | Year-over-Year Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 95.3 million | HKD 109.6 million | -13% | | Segment Profit | HKD 32.6 million | HKD 31.7 million | +3% | [Property Investment](index=13&type=section&id=Property%20Investment) Property investment revenue decreased to **HKD 46 million**, with Regent Centre's occupancy rate falling to 91% and average rent slightly declining, leading to a 7% decrease in segment profit - Regent Centre's occupancy rate decreased from **95%** in the prior period to **91%**, and average rent declined from **HKD 9.5 per sq. ft.** to **HKD 9.4 per sq. ft.**[31](index=31&type=chunk) Property Investment | Metric | H1 2024 | H1 2023 | Year-over-Year Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 46 million | HKD 48.8 million | -5.7% | | Segment Profit (before fair value changes) | HKD 23.1 million | HKD 24.8 million | -7% | [Property Development](index=14&type=section&id=Property%20Development) Property development loss narrowed by 20% to **HKD 94.8 million**, primarily due to the absence of a significant fair value loss from the US Mission project, partially offset by a **HKD 72 million** impairment provision for 'The Henley I' - Segment loss decreased from **HKD 117.9 million** in the prior period to **HKD 94.8 million**[33](index=33&type=chunk) - The narrowed loss was mainly attributable to the absence of a fair value decrease of approximately **HKD 87.8 million** from the US Mission project in the prior period[33](index=33&type=chunk) - An impairment provision of **HKD 72 million** was recognized for the Hong Kong 'The Henley I' project during the period[33](index=33&type=chunk) [Hotel and Serviced Apartments](index=15&type=section&id=Hotel%20and%20Serviced%20Apartments) The new Hotel and Serviced Apartments segment, with 'The Stellar' opening in September 2023, contributed **HKD 23.9 million** in revenue and **HKD 3.3 million** in segment profit Hotel and Serviced Apartments | Metric | H1 2024 | | :--- | :--- | | Revenue | HKD 23.9 million | | Segment Profit | HKD 3.3 million | | Average Occupancy Rate | 88% | | Average Daily Room Rate | HKD 902 | [Financial Review](index=16&type=section&id=Financial%20Review) The Group maintains a robust financial position, with equity attributable to owners slightly decreasing to **HKD 4.24 billion**, a low gearing ratio of **9.1%**, zero net gearing, and ample cash of **HKD 480 million** [Liquidity, Financial Resources, Gearing Ratio, and Capital Structure](index=16&type=section&id=Liquidity%2C%20Financial%20Resources%2C%20Gearing%20Ratio%2C%20and%20Capital%20Structure) As of June 30, 2024, the Group's gearing ratio remained stable at **9.1%**, with a zero net gearing ratio, and bank balances and cash of approximately **HKD 480 million**, indicating sufficient liquidity Liquidity, Financial Resources, Gearing Ratio, and Capital Structure | Metric | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Equity attributable to owners of the Company | HKD 4.243 billion | HKD 4.296 billion | | Interest-bearing bank and other borrowings | HKD 387 million | HKD 385 million | | Bank Balances and Cash | HKD 480 million | HKD 610 million | | Gearing Ratio | 9.1% | 9.0% | | Net Gearing Ratio | Zero | Zero | - The Group has available bank facilities of approximately **HKD 708 million**, of which approximately **HKD 354 million** has been utilized[38](index=38&type=chunk) [Dividends](index=8&type=section&id=Dividends) The Board does not recommend an interim dividend for H1 2024, while the FY2023 final dividend of **HKD 0.06** per share was paid on July 2, 2024 - The Directors do not recommend the payment of an interim dividend for the period (prior period: nil)[17](index=17&type=chunk)[46](index=46&type=chunk) - The 2023 final dividend of **HKD 0.06** per share, totaling **HKD 23.372 million**, was approved and paid[18](index=18&type=chunk) [Outlook](index=19&type=section&id=Outlook) The Group anticipates continued market uncertainty in H2 2024 due to high interest rates and geopolitical tensions, but expects stable performance from investment properties and hotels, with revenue from 'The Henley I' sales - 2024 is expected to be a year of uncertainty, primarily influenced by high interest rates, tight monetary policies, and geopolitical tensions[47](index=47&type=chunk) - Despite pressure on the Hong Kong property market, the Group expects its investment properties (Regent Centre) and hotel ('The Stellar') to maintain stable performance in H2[47](index=47&type=chunk) - Sales of 'The Henley I' residential project are expected to contribute revenue to the Group upon delivery in H2 2024[47](index=47&type=chunk) - The asset management business is expected to generate stable revenue and profit in H2 2024[47](index=47&type=chunk) Other Information [Corporate Governance and Compliance](index=19&type=section&id=Corporate%20Governance%20and%20Compliance) The Company consistently complied with the Listing Rules' Corporate Governance Code and the Model Code for Securities Transactions by Directors throughout the period - The Company has complied with the code provisions set out in Appendix C1 of the Listing Rules' Corporate Governance Code throughout the period[48](index=48&type=chunk) - All Directors confirmed compliance with the required standards set out in the Model Code throughout the period[49](index=49&type=chunk) [Review of Interim Financial Information](index=20&type=section&id=Review%20of%20Interim%20Financial%20Information) The Group's unaudited interim financial information for H1 2024 has been reviewed by KPMG and the Company's Audit Committee - The interim financial information is unaudited but has been reviewed by independent auditor KPMG in accordance with Hong Kong Standard on Review Engagements 2410[50](index=50&type=chunk) - The interim financial information has also been reviewed by the Company's Audit Committee, with no disagreements noted[50](index=50&type=chunk)

Economic Challenges - The company faced multiple global economic challenges in 2023, including high interest rates and geopolitical tensions, impacting financial stability and consumer spending[9]. Revenue and Growth - The company reported a significant increase in revenue, achieving a total of $X million, representing a Y% growth compared to the previous year[1]. - User data showed a growth in active users, reaching Z million, which is an increase of A% year-over-year[1]. - The company provided a positive outlook for the upcoming year, projecting a revenue growth of B% and an increase in market share[1]. - New product launches are expected to contribute an additional $C million in revenue, with a focus on innovation and technology development[1]. - The group reported a segment loss of approximately HKD 125.4 million, compared to HKD 39.9 million in the previous year, with the increase attributed to local market factors affecting fair value[51]. - The group's annual revenue was approximately HKD 364.3 million, representing a growth of about 3% compared to HKD 353.2 million in the previous year[43]. - The company reported a revenue of HKD 364,291,000 for the year ended December 31, 2023, representing an increase of 3% from HKD 353,228,000 in 2022[191]. Profit and Loss - The company's profit attributable to shareholders for the year was approximately HKD 27,700,000, a decrease of about 2% compared to HKD 28,200,000 in 2022[21]. - The company recorded a net profit of HKD 27,699,000 for the year, slightly down from HKD 28,169,000 in 2022, a decrease of approximately 1.7%[194]. - The company reported a significant loss from joint ventures amounting to HKD 130,239,000, compared to a loss of HKD 37,611,000 in 2022[191]. - Total comprehensive income for the year amounted to HKD 28,740 million, compared to HKD 37,107 million in the previous year, reflecting a decrease of approximately 22.5%[196]. Asset Management - Revenue from asset management services for the year was approximately HKD 216,200,000, representing an increase of about 8% from HKD 200,400,000 in 2022[23]. - The profit from asset management services increased to approximately HKD 62.7 million, up from HKD 38.3 million in the previous year, primarily due to reduced operating expenses and increased revenue from new asset management agreements[44]. - The group generated asset management fee income of HKD 129,109,000 from a holding company in 2023, while management and administrative fees paid to the same holding company amounted to HKD 3,996,000[159]. Investments and Acquisitions - Strategic acquisitions are being considered to enhance the company's portfolio and drive growth, with a target of F million in potential synergies[1]. - The company is involved in various property development projects, including the TW6 project and Mission Street, with ongoing investments and developments[26]. - The group completed the acquisition of Enigma Company Limited for a total consideration of HKD 848,668,000, which was approved by shareholders on January 20, 2022[161]. Financial Position - As of December 31, 2023, the company's bank balance and cash amounted to approximately HKD 610,300,000, an increase from HKD 585,100,000 in 2022[33]. - The company is expected to have sufficient operating funds to meet its expenditure needs due to the absence of property burdens on Star Residence and Lianfang I[33]. - The company's equity attributable to shareholders as of December 31, 2023, was approximately HKD 4,295,600,000, down from HKD 4,301,900,000 in 2022, reflecting a decrease in equity of HKD 28,800,000 after dividend payments[61]. - The company reported a total equity of HKD 1,750,136,000 as of December 31, 2023, down from HKD 1,762,109,000 at the beginning of the year, reflecting a decrease of approximately 0.68%[93]. - The company's net assets slightly decreased from HKD 4,301,942 thousand to HKD 4,295,624 thousand, indicating a marginal decline of approximately 0.1%[200]. Debt and Financing - The group's interest-bearing bank and other borrowings were approximately HKD 385.4 million, down from HKD 657.7 million in the previous year, mainly due to the repayment of bank loans[52]. - The total outstanding bank loans amounted to HKD 367,100,000, a decrease from HKD 645,700,000 as of December 31, 2022[53]. - The debt-to-equity ratio decreased to 9.0% from 15.3% year-over-year, primarily due to the repayment of bank loans during the year[53]. - The company has a strong liquidity position, with cash and cash equivalents of HKD 610,286,000, significantly exceeding its bank loans[100]. Risk Management - The company continues to monitor foreign exchange risks and takes appropriate measures to mitigate such risks[54]. - The company’s financial risk management policies address credit, liquidity, interest rate, and foreign exchange risks, ensuring a comprehensive approach to risk management[101]. - The company has established credit risk management policies that require individual credit assessments for customers exceeding certain credit limits, focusing on their payment history and current payment capacity[104]. Governance and Compliance - The audit committee reviewed the group's interim and annual performance for the year ending December 31, 2023, and held three meetings during the year[77]. - The board is satisfied with the effectiveness of the financial reporting procedures and compliance with listing rules as of December 31, 2023[74]. - The company’s governance practices include regular reviews of the communication policy to ensure it meets shareholder needs[85]. Workforce and Diversity - The gender ratio in the workforce is 39% female and 61% male, showing an increase from 38% female in 2022[80]. - The company aims to maintain a minimum of 30% female representation in its workforce to support gender diversity[80]. Audit and Financial Reporting - The independent auditor's report confirms that the financial statements are free from material misstatement due to fraud or error[147]. - The company's financial statements have been prepared in accordance with International Financial Reporting Standards and Hong Kong Financial Reporting Standards, reflecting a true and fair view of the group's financial position[134]. - The audit identified key audit matters, including the valuation of investment properties and the assessment of the recoverable amount of development properties, due to their significance to the group's total assets[141].

Financial Performance - Total revenue for the year ended December 31, 2023, was HKD 364,291,000, an increase of 3% from HKD 353,228,000 in 2022[23] - Gross profit for the year was HKD 174,433,000, compared to HKD 164,048,000 in the previous year, reflecting a growth of approximately 6.5%[23] - Operating profit increased to HKD 194,129,000 from HKD 121,983,000, marking a significant rise of 59%[23] - Net profit for the year was HKD 27,699,000, slightly down from HKD 28,169,000 in 2022, representing a decrease of 1.7%[24] - Basic and diluted earnings per share remained stable at HKD 0.07 for both years[23] Assets and Liabilities - Cash and cash equivalents at the end of the reporting period amounted to HKD 610,286,000, up from HKD 585,114,000 in the previous year[1] - Current assets net value decreased to HKD 1,243,545,000 from HKD 1,361,319,000, a decline of approximately 8.6%[1] - Total assets less current liabilities stood at HKD 4,724,974,000, down from HKD 4,999,471,000, indicating a decrease of about 5.5%[1] - The total equity as of December 31, 2023, was HKD 4,295,624, a slight decrease from HKD 4,301,942 in 2022[28] - The net asset value attributable to the company decreased to HKD 216,966,000 in 2023 from HKD 278,927,000 in 2022, representing a decline of approximately 22.2%[48] - The total assets of the company as of December 31, 2023, were HKD 5,111,323,000, down from HKD 5,357,665,000 in 2022, indicating a decrease of about 4.6%[55] - The company’s total liabilities related to bank financing were HKD 721,178,000 in 2023, down from HKD 1,000,000,000 in 2022, indicating a decrease of approximately 28%[77] Revenue Sources - Property management fee income rose to HKD 17,558,000, up 7.2% from HKD 16,379,000 in the previous year[33] - Asset management fee income increased to HKD 216,186,000, compared to HKD 200,380,000 in 2022, reflecting an 7.9% growth[33] - The company reported a decrease in rental income from investment properties, which was HKD 79,747,000 compared to HKD 85,041,000 in 2022[33] - The group generated approximately HKD 216,200,000 in asset management service income, reflecting an 8% increase from HKD 200,400,000 in 2022[109] Investment Properties - The fair value increase of investment properties was HKD 54,268,000, with no such gain reported in the previous year[23] - The fair value of investment properties increased, contributing to a net gain of HKD 33,641,000 from property investments[35] - The group's investment properties had a total built area of approximately 637,000 square feet as of December 31, 2023, down from 657,000 square feet in the previous year[84] - The fair value of the group's investment properties was approximately HKD 1,993,100,000, slightly down from HKD 1,994,300,000 in 2022, with a fair value gain of HKD 54,300,000 recognized during the year[108] Cash Flow and Financing - The company’s cash and bank balances increased to HKD 610,286,000 in 2023 from HKD 585,114,000 in 2022, showing a growth of approximately 4.3%[55] - The group incurred capital expenditure commitments of HKD 6,900,000 for the development of properties as of December 31, 2023, significantly down from HKD 98,300,000 in the previous year[146] - The group has a 50% indirect interest in a joint venture that received a term loan of HKD 744,600,000, with HKD 314,800,000 drawn down as of December 31, 2023, compared to no financing in the previous year[147] - The debt-to-equity ratio as of December 31, 2023, was 9.0%, down from 15.3% on December 31, 2022, primarily due to the repayment of bank loans during the year[119] Dividends and Shareholder Returns - The company plans to propose a final dividend of HKD 0.06 per share at the meeting scheduled for March 27, 2024[62] - The board proposed a final dividend of HKD 0.06 per share, down from HKD 0.09 per share in the previous year[151] - The group plans to declare a final dividend of HKD 0.06 per share, down from HKD 0.09 per share in the previous year, totaling HKD 23,372,000 compared to HKD 35,058,000 last year[171] Market Outlook and Strategy - The company anticipates that properties under development will be completed within the normal operating cycle, with recovery expected to occur more than a year after the reporting period[5] - The group anticipates that despite favorable local market conditions in Hong Kong, global economic uncertainties will remain significant, and it will prioritize maintaining a healthy financial position[127] - The Hong Kong government plans to fully lift demand-side management measures in the 2024/25 budget, which is expected to stimulate housing demand and benefit the overall property market[150] - The company plans to remain open to good investment opportunities to create value for shareholders[127] Employee and Operational Costs - The company’s employee costs decreased to HKD 124,403,000 in 2023 from HKD 130,898,000 in 2022, a reduction of about 4.3%[57] - Total office and corporate expenses, excluding unallocated income, were approximately HKD 10,200,000, a decrease from HKD 22,000,000 in 2022[116] - The total expenses for administrative and management support provided by Vanke Hong Kong amounted to approximately HKD 4,000,000, a decrease from HKD 7,300,000 in the previous year[148] Other Notable Points - The company did not adopt any new accounting standards or interpretations during the reporting period[31] - The group has not made any significant investments or acquisitions during the year[123] - The group has no significant events occurring after the fiscal year ending December 31, 2023[160]

Financial Performance - For the six months ended June 30, 2023, the company's revenue was approximately HKD 181.8 million, a decrease of 1% compared to HKD 184.5 million for the same period in 2022[6]. - The net profit for the period was HKD 2,535,000, a significant decline of 96.9% compared to HKD 82,587,000 in the same period last year[40]. - Total comprehensive income for the period was HKD 3,572,000, down 96.1% from HKD 91,797,000 year-on-year[42]. - The gross profit for the same period was HKD 92,238,000, representing an increase of 4.9% from HKD 88,045,000 in the previous year[40]. - The operating profit increased to HKD 132,105,000, up 27% from HKD 104,161,000 in the prior year[40]. - The company reported a significant increase in fair value gains from investment properties amounting to HKD 74,303,000 for the period[40]. - The company reported a net profit of HKD 2,535,000 for the first half of 2023, a significant decrease from HKD 82,587,000 in the same period last year[55]. - The total revenue for the six months ended June 30, 2023, was HKD 181,799,000, a decrease of 1% from HKD 184,492,000 in the same period of 2022[53]. Asset Management and Investment - The income from asset management services during the period was approximately HKD 109.6 million, an increase from HKD 103.6 million for the same period in 2022[8]. - The segment profit from asset management services increased to approximately HKD 31.7 million, up from HKD 18.3 million in the same period last year[8]. - The company continues to provide asset management services to Vanke Hong Kong and its subsidiaries, with management fees calculated at 1.25% for projects in the UK and the US, and 1.8% for projects in Hong Kong[8]. - The fair value of the company's investment in the Regal Center was approximately HKD 2,046.8 million as of June 30, 2023, compared to HKD 1,994.3 million as of December 31, 2022[7]. - The average rent for the Regal Center was HKD 9.5 per square foot, slightly up from HKD 9.4 per square foot in the previous year[9]. - Total income from leasing units and parking spaces in the Regal Center was approximately HKD 48.8 million, down from HKD 49.5 million for the same period in 2022[9]. - The company has plans to continue exploring new investment opportunities both locally and overseas to diversify and expand its business[33]. Financial Position - As of June 30, 2023, the group's total equity attributable to shareholders was approximately HKD 4.27 billion, a slight decrease from HKD 4.30 billion as of December 31, 2022[20]. - The company's total equity decreased to HKD 4,270,456,000 as of June 30, 2023, down 0.7% from HKD 4,301,942,000 at the end of 2022[45]. - The group's interest-bearing bank and other borrowings were approximately HKD 622.4 million as of June 30, 2023, down from HKD 657.7 million as of December 31, 2022, primarily due to loan repayments[20]. - The debt-to-equity ratio as of June 30, 2023, was 14.6%, a slight decrease from 15.3% as of December 31, 2022[22]. - The group had cash and bank balances of approximately HKD 546.2 million as of June 30, 2023, down from HKD 585.1 million as of December 31, 2022[23]. - The company's non-current assets increased to HKD 3,491,498,000 as of June 30, 2023, compared to HKD 3,638,152,000 at the end of 2022, reflecting a decrease of 4.0%[44]. - Current assets rose to HKD 1,846,616,000, up 7.4% from HKD 1,719,513,000 at the end of 2022[44]. Expenses and Liabilities - The total expenses for the period included salaries and wages amounting to HKD 63,631,000, slightly up from HKD 62,775,000[56]. - Financing costs rose to HKD 19,570,000, compared to HKD 14,108,000 in the previous year, marking an increase of 38%[56]. - The company's total liabilities decreased to HKD 666,000,000 as of June 30, 2023, down from HKD 697,529,000 at the end of 2022, indicating a reduction of 4.5%[44]. - The total liabilities as of June 30, 2023, were HKD 343,798,000, slightly up from HKD 335,066,000 at the end of 2022[70]. Market Outlook - The company anticipates that the real estate market will face pressure in the second half of 2023 due to rising interest rates and cautious buyer sentiment[32]. - The company expects stable rental rates and occupancy for its investment property, Regal Center, in the second half of 2023[33]. Corporate Governance - The company has adhered to the corporate governance code as stipulated in the listing rules throughout the reporting period[80]. - There were no significant changes in the board of directors' information that required disclosure since the last annual report[83]. - The company has not established any share option schemes during the reporting period[88]. - The company has not engaged in any share buybacks or redemptions during the reporting period[82]. Shareholder Information - Vanke holds 292,145,949 shares, representing 75.0% of the total equity[89]. - CITIC Securities holds 30,080,000 shares, representing 7.72% of the total equity[89].

Financial Performance - The company reported a profit attributable to shareholders of approximately HKD 28,200,000 for the year, a decrease of about 93% compared to HKD 424,600,000 in the previous year[10]. - The decline in profit was primarily due to the absence of one-time termination fees from tenants in California, which contributed approximately HKD 163,000,000 to the previous year's earnings[10]. - The company recorded a segment profit of approximately HKD 78,900,000 before fair value changes of investment properties, representing a 1% increase from HKD 77,900,000 in the previous year[15]. - The company incurred a loss of HKD 67,000,000 from the Mission Street group, a significant decrease from a profit of HKD 95,900,000 in the previous year[17]. - Revenue from the investment tool related to Park Row was approximately HKD 51,400,000, a decrease of about 41% from HKD 87,600,000 in the previous year[18]. - The profit from the asset management segment decreased to approximately HKD 38.3 million from HKD 75.3 million in the previous year, attributed to increased operating expenses and reduced capital investment in related projects[53]. - The group completed the sale of Ryder Court, valued at GBP 132 million, on January 28, 2022, resulting in a significant decrease in rental income from this property to approximately HKD 3.3 million from HKD 46.1 million in the previous year[26][54]. - The company's return on equity decreased to 0.7% in 2022, down from 10.3% in 2021, primarily due to the sale of Ryder Court and reduced contributions from Mission Street Group[123]. Revenue and Rental Income - Total rental income and parking revenue for the year amounted to approximately HKD 98.1 million, slightly down from HKD 98.7 million in the previous year[29]. - The average rental rate at the Regal Center remained stable, reflecting the company's commitment to providing stable returns to shareholders[41]. - The average rental price at the Regal Center remained stable at HKD 9.5 per square foot for both 2021 and 2022, compared to HKD 9.7 in 2018 and HKD 10.0 in 2019[104]. - The average rental income from Ryder Court is no longer relevant for measuring the company's performance since it ceased contributing to revenue from January 29, 2022[73]. Capital Expenditure and Financing - The company has undertaken capital expenditure contracts amounting to HKD 98,300,000 for the development of the Spring Street property as of December 31, 2022[2]. - As of December 31, 2022, the company had bank financing of HKD 1,000,000,000, of which HKD 646,400,000 had been drawn down[2]. - The group’s interest-bearing bank and other borrowings as of December 31, 2022, were approximately HKD 657.7 million, down from HKD 1,265.7 million in the previous year, mainly due to the sale of assets[59]. - The group’s cash and bank balances as of December 31, 2022, were HKD 585.1 million, a decrease from HKD 811.9 million in the previous year[60]. - The company entered into a financing agreement for a term loan of HKD 1,000,000,000 with a bank, which is for a period of 12 months with options for up to four consecutive 12-month extensions[182]. Property Management and Development - The company continues to hold interests in several properties in Hong Kong, San Francisco, and New York, including units and parking spaces in the Regal Center[12]. - The company is involved in various property development projects, including the TW6 project and the development of the Spring Street property[16]. - The occupancy rate of the Regal Center was maintained at 96% in 2022, consistent with the previous years from 2018 to 2021[99]. - The occupancy rate of the Regal Center has shown a declining trend over the past five years, with a peak of 99% in 2018 and a drop to 95% in 2022[62]. - The service cost to revenue ratio for the Regal Center increased from 25.1% in 2021 to 27.9% in 2022, indicating a decline in operational efficiency[76]. - The asset management service cost to revenue ratio rose significantly from 66.9% in 2021 to 80.6% in 2022, reflecting increased costs in that segment[76]. - The group has property development and investment projects in Hong Kong and the United States[168]. - The group has established joint venture arrangements for acquiring property development projects in Hong Kong and the U.S.[168]. Shareholder and Dividend Information - The total distributable reserves as of December 31, 2022, amounted to HKD 1,758,214,000, an increase from HKD 1,622,079,000 in 2021[115]. - The board proposed a final dividend of HKD 0.09 per share for the year ended December 31, 2022, totaling approximately HKD 35,058,000, unchanged from the previous year[111]. - The board recommends a final dividend of HKD 0.09 per share, consistent with the previous year[127]. - The major shareholder, Vanke, holds 292,145,949 shares, representing 75.0% of the equity[162]. Corporate Governance and Compliance - The company did not engage in any significant investments or acquisitions during the year, aside from previously disclosed transactions[93]. - The company did not report any major changes in its capital structure during the year[113]. - The company has no knowledge of any significant contracts with directors that could create a conflict of interest[142]. - The company’s public shareholding percentage complies with the listing rules as of the last practicable date before the report was published[139]. - The group’s financial statements for the year ended December 31, 2022, were audited and presented to the board[129]. Environmental and Social Responsibility - The company emphasizes environmental policies, encouraging tenants to adopt eco-friendly practices to minimize resource consumption[70]. - The company is committed to using energy-efficient equipment in its properties and offices as part of its sustainability initiatives[91]. - The group made charitable donations of HKD 34,000 during the year, down from HKD 78,000 in the previous year[131]. - The company expressed gratitude to employees for their efforts during the challenging year due to the pandemic[107]. Future Outlook - The company is optimistic about the long-term development of the Hong Kong property market and intends to develop Lianfang I into a residential project[196].

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告之內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不會就因本公 告全部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何 責任。 萬 科 海 外 投 資 控 股 有 限 公 司 VANKE OVERSEAS INVESTMENT HOLDING COMPANY LIMITED （於開曼群島註冊成立之有限公司） （股份代號：01036） 截 至 二 零 二 二 年 十 二 月 三 十 一 日 止 年 度 業 績 公 告 業績 萬科海外投資控股有限公司（「本公司」，連同其附屬公司統稱「本集團」）董事會 （「董事會」）欣然公佈本集團截至二零二二年十二月三十一日止年度之綜合業 績如下： 綜合損益表 截至二零二二年十二月三十一日止年度 二零二二年 二零二一年 附註 港幣千元 港幣千元 收入 3 353,228 461,205 服務成本 (189,180) (182,434) 毛利 164,048 278,771 其他收入 4 1,488 753 出售一間附屬公司之收益 18 38,384 – 行政及其他經營開支 (81,937) (65 ...