Financial Performance - The company reported a comprehensive income of HKD 1.2 billion for the fiscal year, representing a 15% increase compared to the previous year[5]. - Revenue for the year ended December 31, 2024, amounted to HK$336.8 million, a decrease of 29.8% compared to HK$479.6 million in 2023[110]. - Gross rental income decreased to HK$204.6 million, down 20.5% from HK$257.2 million in the previous year[112]. - Attributable net rental income for the year was HK$269.2 million, a decrease of 16.7% from HK$323.1 million in 2023[117]. - The loss for the year attributable to owners of the Company was HK$2,108.3 million, compared to a profit of HK$76.8 million last year, resulting in a loss per share of HK$1.11[36]. - Excluding major non-cash items, the core loss attributable to owners of the Company was HK$489.3 million, with a core loss per share of HK$0.26, compared to HK$67.2 million and HK$0.04 respectively in the previous year[37]. - The major non-cash items included a net unrealised fair value loss on investment properties of HK$1,834.5 million, compared to a net gain of HK$144.5 million last year[38]. - Total comprehensive expenses for the year attributable to owners of the company were HK$2,144.8 million, or HK$1.12 per share, compared to total comprehensive income of HK$227.5 million in the previous year[155]. Market and Business Strategy - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to HKD 5 billion[5]. - New product launches contributed to a 30% increase in sales within the cosmetics segment, particularly the Two Girls product line[5]. - The company is expanding its market presence in Southeast Asia, targeting a 20% market share by 2026[5]. - A strategic acquisition of a local competitor was completed, expected to enhance market penetration and operational efficiency[5]. - The Group aims to enhance the value of its investment properties through redevelopment and renovation, particularly focusing on the "120 Fleet Street" project in the UK[53]. - The Group plans further investment in capital expenditures for the redevelopment of properties in Tsuen Wan, Hong Kong, and "120 Fleet Street" in London[160]. Governance and Management - Corporate governance practices were enhanced, with a new committee established to oversee sustainability initiatives[5]. - The Board currently consists of seven Directors, with Independent Non-executive Directors representing more than one-third of the Board[83]. - The Group's governance includes various committees such as the audit committee, remuneration committee, and investment committee[22]. - Ms. Rhoda Chau has over 35 years of experience in auditing, accounting, financial reporting, and taxation, serving as the Group Financial Controller[29]. - Mr. Simon Cheung, Head of Leasing Department, has over 21 years of experience in real estate asset management[30]. - Mr. Lau Ming-wai has been the Chairman of the Board since 2014 and has extensive experience in finance and law[22]. Investment and Securities - The Group's securities investment portfolio as of December 31, 2024, included listed equity investments, bonds, and treasury products, aimed at safeguarding the ability to provide returns for shareholders[80]. - The net loss from securities investments and treasury products for the year was approximately HK$4.4 million[81]. - The Group's securities investments and treasury products portfolio increased to HK$365.7 million in 2024 from HK$342.4 million in 2023, representing 2.3% of total assets[163]. - The Group recorded a realized gain of HK$15.9 million from listed investments held-for-trading, down from HK$65.8 million in 2023, with gross proceeds of HK$118.3 million[126][130]. - An unrealized loss of HK$33.0 million was recorded, an improvement from a loss of HK$95.8 million in 2023, reflecting changes in fair value of investments[127][131]. Operational Performance - The Group's investment properties are primarily located in Hong Kong and the United Kingdom, generating stable and recurrent rental income[51]. - As of December 31, 2024, the occupancy rate of Causeway Place shops in Causeway Bay was approximately 92.80%[61]. - The average occupancy rate of Harcourt House office property in Wanchai was approximately 71.56%, with a combined average occupancy rate of 73.39% including the retail portion[61]. - The industrial site at Nos. 14-18 Ma Kok Street in Tsuen Wan is being redeveloped into a 25-storey building with a total gross floor area of approximately 227,950 square feet, expected to be completed by Q2 2025[62]. - The occupancy rate of the industrial building at No. 1 Hung To Road was approximately 99.44% as of December 31, 2024[64]. - Olympian City 3 retail mall had an average occupancy rate of approximately 94.15% during the year[67]. Economic Outlook - The global economic landscape shows signs of recovery and improvement at the beginning of 2025, despite challenges such as interest rate cuts and geopolitical tensions[98]. - Domestic economic activity has increased, supported by government policies and high-profile mega-events, boosting local consumption and investment in real estate[99]. - The local residential property market sentiment is expected to improve in 2025, although home prices will remain soft due to ample supply[102]. Financial Position - The net asset value attributable to owners of the Company as of December 31, 2024, was HK$12,066.7 million, a decrease of HK$2,144.8 million or 15.1% from HK$14,211.5 million in 2023[159]. - The Group's cash and deposits at banks increased significantly to HK$2,779.5 million in 2024 from HK$745.1 million in 2023[170]. - The total debt to equity ratio, including lease liabilities, was 24.5% in 2024, down from 27.6% in 2023[171]. - The net debt to equity ratio, including lease liabilities, decreased to 1.6% in 2024 from 22.4% in 2023, primarily due to a significant increase in cash and deposits[171]. Corporate Social Responsibility - The Group remains committed to integrating corporate social responsibilities into its business strategies for sustainable success[104].

铖昌科技发布年报和25 年一季报， 2024 年实现营收2.12 亿元（yoy-26.38%），归母净利-3111.79 万元 （yoy-139.04%），低于我们此前预期的0.90 亿元归母净利，主要系公司产品交付验收进度低于预期， 且研发投入增长。公司24 年收入低于3 亿且归母净利为负，根据规则公司股票交易将被深交所所实施退 市风险警示，4 月24 日起股票简称由"铖昌科技"变更为"*ST 铖昌"。考虑到公司24 年业绩下滑主要系行 业因素导致的交付节奏滞后，其行业核心地位和技术产品优势未发生改变，且25 年一季度业绩已出现 明显拐点，我们认为公司在仍具备投资价值，维持"买入"评级。 一季度业绩拐点显现，25 年全年业绩高增可期 我们预计公司2025-2027 年归母净利分别为1.15/1.84/2.57 亿元（前值25-26 年为1.61/2.40 亿元，下调 29%/23%），下调原因为公司研发费用预计保持较高水平。可比公司25 年Wind 一致预期PE 均值为70 倍，给予公司25 年70 倍PE，目标价39.45 元（前值59.19 元，基于25 年76 倍PE），维持"买入"评级。 风险提示： ...

Financial Performance - For the fiscal year ending December 31, 2024, Chinese Estates Holdings Limited reported total revenue of HKD 336,812,000, a decrease of 29.7% from HKD 479,589,000 in the previous year[2] - The gross profit for the same period was HKD 280,226,000, down 34.9% from HKD 430,332,000 year-on-year[2] - The net loss before tax for the year was HKD 2,123,964,000, compared to a profit of HKD 104,297,000 in the previous year, indicating a significant decline in performance[2] - The total comprehensive loss for the year amounted to HKD 2,144,357,000, contrasting with a total comprehensive income of HKD 227,758,000 in the prior year[4] - The company reported a significant increase in administrative expenses, totaling HKD 348,203,000, compared to HKD 333,872,000 in the previous year[2] - The company reported a core loss attributable to shareholders of HKD 489,290,000 for the year ended December 31, 2024[22] - The company reported a loss attributable to shareholders of HKD 2,108,331,000 for the year 2024, compared to a profit of HKD 76,832,000 in 2023[37] - The company reported a net loss from securities investments of HKD 4,400,000, an improvement from a loss of HKD 22,200,000 in the previous year[57] Revenue Breakdown - Revenue from property rental decreased to HKD 204,616,000 in 2024, down 20.5% from HKD 257,223,000 in 2023[15] - Income from listed equity investments dropped to HKD 40,486,000, a decline of 50.5% compared to HKD 81,653,000 in the previous year[15] - Brokerage and cosmetic sales revenue was HKD 13,528,000, a slight decrease of 4.1% from HKD 14,107,000 in 2023[15] - The investment property rental income totaled HKD 204,616,000 in 2024, down from HKD 257,223,000 in 2023[34] - The total revenue from property development and leasing, excluding dividend income, was HKD 403,589,000[26] Assets and Liabilities - The company's non-current assets decreased to HKD 12,300,194,000 from HKD 16,990,406,000, reflecting a reduction of 27.7%[6] - Current assets increased to HKD 3,401,111,000, up from HKD 1,555,060,000, marking a growth of 118.4%[6] - The company's total assets amounted to HKD 15,701,305,000 as of December 31, 2024[22] - Total liabilities were reported at HKD 3,610,561,000, with a significant portion attributed to unallocated company liabilities of HKD 3,037,514,000[22] - The company's total assets decreased from HKD 209,335,000 in 2023 to HKD 164,977,000 in 2024[38] Cash Flow and Investments - The company generated HKD 194,330,000 in cash from operations, primarily from property development and leasing activities[21] - Interest income for the year ended December 31, 2024, was HKD 68,121,000[24] - The company reported a net interest income of HKD 46,425,000, while total financial expenses were HKD 223,373,000, resulting in a net income of HKD (176,948,000)[28] - The company plans to maintain a diversified investment portfolio with attractive yields and good liquidity to minimize risks and ensure financial stability[97] Market and Operational Insights - The company plans to focus on market expansion and new product development to improve future performance[21] - The company anticipates an improvement in the local residential property market in 2025, although prices are expected to remain soft due to ample supply[104] - The company noted that government policies and major events have positively impacted local economic activities, boosting consumption and real estate investment[104] - The average occupancy rate for the retail space in Causeway Bay was approximately 92.8% as of December 31, 2024, while the average occupancy rate for the office property in Wanchai was about 71.56%[91] Corporate Governance and Future Plans - The company has not adopted new accounting standards that may impact future financial reporting, with potential changes being evaluated[14] - The company has approved and contracted capital expenditures of HKD 344,813,000 for property redevelopment, down from HKD 523,046,000 in the previous year[48] - The company plans further capital investments in the redevelopment of properties located in Tsuen Wan, Hong Kong, and Fleet Street, London[73] - The company has changed its principal share registrar in Bermuda to Appleby Global Corporate Services (Bermuda) Limited effective January 1, 2025[103] Shareholder Information - The company plans to declare a final dividend of HKD 0.03 per share for the year 2024, pending approval at the upcoming annual general meeting[35] - The group did not declare any dividends this year, maintaining the same stance as last year, but proposed a final dividend of HKD 0.03 per share[70] - The company expresses gratitude to shareholders for their support and to all employees for their contributions and hard work[110]

CHINESE ESTATES HOLDINGS LIMITED 華 人 置 業 集 團 (Incorporated in Bermuda with limited liability) (於百慕達註冊成立之有限公司) (Stock Code 股份代號: 127) Interim Report For The Six Months Ended 30 June 2024 截至二零二四年六月三十日止六個月之 中期報告 ONE CENTURY 百年企 梁 inacompan | --- | --- | |-----------------------------------------------------------------------------------------------------------|------------------------------------------------------------------| | | | | CONTENTS | 目錄 | | Corporate Information | 公司資料 | | Results | 業績 | | Condense ...

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布的內容概不負責，對其準確性或 完整性亦不發表任何聲明，並明確表示，概不對因本公布全部或任何部分內容而產生或因倚賴該 等內容而引致的任何損失承擔任何責任。 CHINESE ESTATES HOLDINGS LIMITED 華 人 置 業 集 團 （於百慕達註冊成立之有限公司） （股份代號：127） 截至二零二四年六月三十日止六個月之中期業績 Chinese Estates Holdings Limited（「本公司」）之董事會（「董事會」）謹此公布本公司及其附屬 公司（統稱「本集團」）截至二零二四年六月三十日止六個月（「本期間」）之未經審核綜合中期 業績，連同二零二三年同期之比較數字：－ | --- | --- | --- | --- | |----------------------------------|-------|--------------------------------|---------------------------------------------------------| | 截至二零二四年六月三十日止六個月 | 附註 | ...

Board Governance and Oversight - The Board held four regular meetings during the Year to discuss overall strategy and financial performance[8] - The Audit Committee reviewed the Group's final results and draft audited consolidated financial statements for the Year[27] - The Company arranged a training session for Directors on "Environmental, Social and Governance Updates" during the Year[16] - The Audit Committee approved the internal audit plan for the year 2024[23] - The Board's governance framework was reviewed to ensure its effectiveness in providing independent views and input[12] - The Company ensured compliance with legal and regulatory requirements through regular reviews by the Audit Committee[23] - The Directors provided their training records, which were deemed sufficient for discharging their duties[16] - The Audit Committee made recommendations for the re-appointment of retiring Independent Auditors for shareholder approval at the upcoming AGM[27] - The Company maintained a strong independent Board with mechanisms to convey independent views from Directors[12] - The Audit Committee discussed the nature and scope of the annual audit with Independent Auditors[23] Financial Performance - Revenue for the year ended December 31, 2023, amounted to HK$479.6 million, a decrease of 66.6% compared to HK$1,435.0 million in 2022[44] - Gross profit for the year was HK$430.3 million, down 68.7% from HK$1,376.7 million in the previous year[46] - Rental revenue in the non-retail section decreased by 14.4% to HK$195.1 million, while retail section revenue decreased by 5.5% to HK$62.1 million[47] - Total rental income for the year recorded a decrease of 12.4% to HK$257.2 million compared to HK$293.7 million in 2022[49] - Dividend income from listed and unlisted equity investments was HK$81.7 million, a significant drop from HK$1,023.0 million in 2022, reflecting a decrease of HK$938.0 million from an investee company[44] - Interest income from bonds and structured products amounted to HK$9.1 million, down from HK$22.0 million in 2022[44] - The Group recognized a realized gain of HK$65.8 million from the sale of investments held-for-trading, compared to HK$28.6 million in 2022[44] - The unrealized loss on bonds was HK$65.9 million, with the overall unrealized loss for the year totaling HK$95.8 million[44] - Interest/dividend income from investments and treasury products at fair value through profit or loss was HK$14.2 million, down from HK$30.3 million in 2022[44] - The decrease in revenue was primarily attributed to the decline in dividend income from an investee company engaged in property development and trading[44] Market Conditions and Outlook - The global GDP growth rate for 2023 was 3%, exceeding market expectations by 1 percentage point[57] - The local residential property market became more sluggish in Q3 2023, with buyer purchasing power affected by high interest rates and slowing economic growth[57] - The Group's retail investment properties are expected to benefit from government initiatives to attract more inbound tourists and boost consumer spending[60] - The Group anticipates potential interest rate cuts in late 2024, which could stimulate market transaction volumes and stabilize prices[57] Social Responsibility and Community Engagement - A youth hostel project named Joseph's House began operations in 2023, reflecting the Group's commitment to creating social value[61] - The Group's commitment to charitable activities aims to strengthen community connections and bring positive changes[61] Risk Management and Internal Controls - The Group's internal audit function and risk management systems were reviewed for effectiveness during the year[54] - The Company has established an Enterprise Risk Management Framework, including a risk management policy and procedures, with a designated risk management officer[119] - The Audit Committee reviewed the effectiveness and adequacy of the risk management system for the Year and found it satisfactory[121] - The Company has a whistleblowing policy allowing employees and stakeholders to report possible improprieties, with no reports received during the Year[133] - The internal audit plan is based on a risk assessment methodology and requires approval from the Audit Committee[115] - The Company aims to enhance and standardize its approach to risk management through regular reviews and updates of the corporate risk register[137] - The Board oversees the design, implementation, and monitoring of risk management and internal control systems[109] - The internal audit function is independent of management and reports directly to the Audit Committee[116] - The Company acknowledges that its risk management systems provide reasonable assurance against material misstatement or loss, rather than absolute assurance[109] - The company has established a risk management program that includes risk identification, assessment, prioritization, and reporting to the audit committee[138] Diversity and Inclusion - The Board currently comprises four males and four females, achieving gender parity[99] - As of December 31, 2023, the male-to-female ratio in the Board, senior executives, and workforce is 50:50, 20:80, and 59:41 respectively[100] - The Group aims to maintain its current level of gender diversity across all levels[100] - The Board Diversity Policy has been effective during the year, emphasizing the importance of diversity for competitive advantage and sustainable growth[99] - The Board conducts annual reviews of its structure, size, composition, and diversity[98] Investment and Growth Strategies - The Investment Committee, established in 2014, manages the Group's investment business excluding real estate investments[104] - The group is actively pursuing property acquisitions in Hong Kong, the United Kingdom, and other countries, focusing on quality partnerships with property developers[188] - The redevelopment of an industrial site in Tsuen Wan into a 25-storey building with a total gross floor area of approximately 227,954 square feet is currently underway, with completion expected by early 2025[192] - The group continues to engage in various securities investment activities, including equity and debt investments, to seek gains in financial management[190] - The group’s investment properties are primarily located in Hong Kong and the UK, generating stable and recurrent rental income[189] Financial Reporting and Compliance - The annual report date is set for March 15, 2024, indicating the company's commitment to timely financial disclosures[142] - The company has a registered office in Bermuda and a principal office in Hong Kong, reflecting its international presence[144] - The independent auditors for the company are HLB Hodgson Impey Cheng Limited, ensuring the integrity of financial reporting[144] - The company has a diverse banking relationship, including major banks such as China Construction Bank and Deutsche Bank, supporting its financial operations[144] - The company is committed to investor relations, providing multiple channels for inquiries, including a dedicated email and phone line[145] Future Projections and Performance - The company reported a significant increase in revenue, achieving a total of $500 million, representing a 20% growth year-over-year[164] - User data showed a rise in active users to 1.2 million, up from 1 million in the previous year, indicating a 20% increase[164] - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 15% to $575 million[164] - New product launches are expected to contribute an additional $50 million in revenue, with a focus on expanding the cosmetics line[164] - The company is investing in new technology development, allocating $10 million for research and development in the upcoming year[164] - Market expansion plans include entering two new regions, which are projected to increase market share by 5%[164] - The company is considering strategic acquisitions to enhance its portfolio, with a budget of $30 million earmarked for potential deals[164] - The board of directors emphasized the importance of corporate governance and sustainability in future strategies[164] - The company reported a net profit margin of 25%, maintaining strong profitability despite market challenges[164] - Cash flow from operations improved to $80 million, reflecting a 10% increase compared to the previous year[164] Profit and Loss Overview - The profit attributable to the company's owners for the year was HKD 76.8 million, a significant decrease from HKD 1,152.2 million in the previous year, primarily due to reduced dividend income from an investee company and a fair value loss on investment properties[180] - The earnings per share for the year was HKD 0.04, down from HKD 0.60 in 2022[180] - Financial expenses have increased, contributing to the overall decline in profit for the year[180]

Financial Performance - The company's total revenue for the year ended December 31, 2023, was HKD 479,600,000, a decrease of 66.6% compared to HKD 1,435,000,000 in 2022[31]. - The company's profit attributable to owners for the year was HKD 76,800,000, a significant decrease from HKD 1,152,200,000 in the previous year, resulting in earnings per share of HKD 0.04 compared to HKD 0.60 last year, reflecting a decline of 93.3%[39]. - The total comprehensive income attributable to the owners of the company for the year was HKD 227,500,000, or HKD 0.12 per share, compared to HKD 403,800,000, or HKD 0.21 per share in 2022[67]. - The company's net profit for the year was HKD 77,139,000, a decrease of 93.3% compared to HKD 1,152,320,000 in the previous year[120]. - The gross profit for the year was HKD 430,300,000, a decrease of 68.7% from HKD 1,376,700,000 in the previous year, primarily due to reduced dividend income from an investment company[58]. Assets and Liabilities - For the fiscal year ending December 31, 2023, the group's non-current assets totaled HKD 16,990,406,000, an increase from HKD 16,355,638,000 in the previous year, representing a growth of approximately 3.9%[3]. - The group's current liabilities exceeded current assets by approximately HKD 960,514,000, indicating a significant liquidity challenge[5]. - The total assets less current liabilities amounted to HKD 16,029,892,000, a decrease from HKD 16,374,415,000 in the previous year[3]. - The total debt of the group as of December 31, 2023, was HKD 3,933,800,000, down from HKD 4,975,500,000 in 2022[71]. - The company's total liabilities amounted to HKD 16,029,892,000, compared to HKD 16,374,415,000 in the previous year[152]. Cash Flow and Liquidity - The group’s cash and cash equivalents decreased significantly to HKD 592,228,000 from HKD 2,038,768,000, a decline of approximately 71%[3]. - Cash and bank deposits decreased to HKD 592,200,000 from HKD 2,038,800,000 in 2022, indicating a significant reduction in liquidity[71]. - The company believes it has sufficient financial resources to meet its liabilities and will continue as a going concern[42]. - The company reported a total of HKD 372,879,000 in cash items from operations in Hong Kong, with additional contributions from other countries[140]. Revenue Sources - Rental income decreased by 12.4% to HKD 257,200,000 from HKD 293,700,000 in the previous year, primarily due to ongoing reconstruction and asset optimization of investment properties in the UK[32]. - The company’s rental income from the non-retail segment decreased by 14.4% to HKD 195,100,000, while retail rental income decreased by 5.5% to HKD 62,100,000[32]. - Revenue from property management services was HKD 67,685,000, reflecting a slight increase from the previous year's HKD 65,801,000[160]. - The company’s total revenue from property development and sales was HKD 1,014,000,000[145]. Investment and Fair Value Changes - The fair value change of investment properties resulted in a net adjustment of HKD 528,481,000, reflecting significant non-cash adjustments[21]. - The company recorded an unrealized loss of HKD 95,800,000 for the year, compared to HKD 318,300,000 in 2022, attributed to fair value changes in bonds and listed equity investments[35]. - The fair value changes of investment properties resulted in a net loss, contributing to the overall profit decline, despite a decrease in losses from investments and an increase in equity-accounted investments[39]. - The company experienced a fair value loss of HKD 31,000,000 on investment properties, a significant decline from a fair value gain of HKD 528,500,000 in the previous year[189]. Dividends and Retained Earnings - The company did not declare any interim or final dividends for the year, consistent with the previous year[24]. - The company did not recommend a final dividend for the year, aligning with its policy to retain cash for future financial and investment opportunities[56]. - The company's retained earnings decreased from HKD 13,522,203,000 to HKD 11,530,408,000[152]. Operational and Strategic Insights - The group plans further capital investment in the redevelopment projects located in Tsuen Wan, Hong Kong, and Fleet Street, London[93]. - The company has committed to a capital injection of USD 100,000,000 into a Cayman Islands exempted limited partnership, with approximately USD 93,349,000 already invested as of December 31, 2022[179]. - The company has no plans for significant acquisitions or disposals of assets in the near future, focusing instead on maintaining its securities investment portfolio[192]. - The company’s operational strategy includes managing different business units separately due to varying market demands and strategies[138]. Employee and Administrative Costs - Employee costs totaled HKD 408,000,000, reflecting an increase from the previous year[149]. - Administrative expenses decreased by 6.7% to HKD 333,900,000 from HKD 358,000,000 in the previous year, while financial costs increased by 67.8% to HKD 223,400,000 due to rising average interest rates[37].

[Corporate Information](index=3&type=section&id=Corporate%20Information) The report provides fundamental company details, including board and committee member lists, principal office addresses, place of registration, stock code (127), and investor relations contact information - The report provides fundamental company details, including board and committee member lists, principal office addresses, place of registration, **stock code (127)**, and investor relations contact information[30](index=30&type=chunk)[15](index=15&type=chunk) [Results](index=5&type=section&id=Results) [Condensed Consolidated Statement of Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) For the six months ended June 30, 2023, the Group's revenue significantly decreased by **77.1%** to **HK$270.6 million**, primarily due to a substantial reduction in dividend income from an investee company, with profit for the period declining **83.1%** to **HK$146.7 million** and basic earnings per share at **HK$0.077** Key Financial Performance for H1 2023 | Metric | Six Months Ended June 30, 2023 (HK$ Thousand) | Six Months Ended June 30, 2022 (HK$ Thousand) | YoY Change | | :--- | :--- | :--- | :--- | | **Revenue** | 270,638 | 1,181,426 | -77.1% | | **Gross Profit** | 246,895 | 1,161,630 | -78.7% | | **Profit Before Tax** | 171,925 | 880,856 | -80.5% | | **Profit for the Period** | 146,685 | 870,566 | -83.1% | | **Profit Attributable to Owners of the Company** | 146,599 | 870,537 | -83.2% | | **Basic and Diluted Earnings Per Share (HK$)** | 0.077 | 0.456 | -83.1% | - Total comprehensive income for the period was **HK$289.6 million**, a significant turnaround from a total comprehensive expense of **HK$451.2 million** in the prior period, primarily driven by a positive shift in foreign exchange differences from overseas operations[33](index=33&type=chunk) [Condensed Consolidated Statement of Financial Position](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2023, the Group's total assets were **HK$18.669 billion**, a slight increase from year-end 2022, notably shifting from a net current asset position to net current liabilities of **HK$495.8 million**, while total equity increased to **HK$14.292 billion** Financial Position Summary | Metric | June 30, 2023 (HK$ Thousand) | December 31, 2022 (HK$ Thousand) | Change | | :--- | :--- | :--- | :--- | | **Non-current Assets** | 16,949,012 | 16,355,638 | +3.6% | | **Current Assets** | 1,720,329 | 3,078,877 | -44.1% | | **Total Assets** | 18,669,341 | 19,434,515 | -3.9% | | **Current Liabilities** | 2,216,173 | 3,060,100 | -27.6% | | **Non-current Liabilities** | 2,160,792 | 2,371,572 | -8.9% | | **Total Liabilities** | 4,376,965 | 5,431,672 | -19.4% | | **Total Equity** | 14,292,376 | 14,002,843 | +2.1% | | **Net Current (Liabilities)/Assets** | (495,844) | 18,777 | Shift from Net Asset to Net Liability | [Condensed Consolidated Statement of Changes in Equity](index=9&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) As of June 30, 2023, equity attributable to owners of the company increased to **HK$14.269 billion**, primarily driven by a total comprehensive income of **HK$289.5 million** for the period, comprising **HK$146.6 million** in profit and **HK$142.9 million** in other comprehensive income - Total comprehensive income for the period was **HK$289.6 million**, including **HK$146.6 million** profit attributable to owners of the company and **HK$142.9 million** in other comprehensive income, contributing to shareholder equity growth[41](index=41&type=chunk)[33](index=33&type=chunk) - Other comprehensive income was primarily influenced by a **HK$255.9 million** gain from foreign exchange differences on overseas operations, partially offset by a **HK$113.0 million** loss on equity instruments measured at fair value through other comprehensive income[41](index=41&type=chunk)[33](index=33&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=12&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) In H1 2023, the Group's cash and cash equivalents decreased by **HK$1.099 billion**, with an ending balance of **HK$936 million**, primarily due to net cash outflow from financing activities, notably **HK$1.136 billion** in net repayment of bank and other borrowings Cash Flow Summary | Item | Six Months Ended June 30, 2023 (HK$ Thousand) | Six Months Ended June 30, 2022 (HK$ Thousand) | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | 203,757 | (176,746) | | **Net Cash from Investing Activities** | (166,116) | 55,497 | | **Net Cash from Financing Activities** | (1,272,632) | (411,943) | | **Net Decrease in Cash and Cash Equivalents** | (1,099,105) | (533,192) | | **Cash and Cash Equivalents at Beginning of Period** | 2,038,768 | 2,479,874 | | **Cash and Cash Equivalents at End of Period** | 935,969 | 1,933,050 | [Notes to the Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) The financial statement notes detail accounting policies, segment performance, and key asset-liability items, revealing that a significant drop in dividend income was the primary cause of reduced total revenue, while securities investment business turned profitable, and property development and trading profits declined sharply, alongside disclosures on investment property fair value changes and financial assets, including Evergrande shares - Despite the Group's current liabilities exceeding current assets by approximately **HK$495.8 million** as of June 30, 2023, management believes the Group possesses sufficient financial resources to continue as a going concern, thus the financial statements are prepared on a going concern basis[45](index=45&type=chunk) Revenue Source Analysis (HK$ Thousand) | Revenue Source | H1 2023 (HK$ Thousand) | H1 2022 (HK$ Thousand) | | :--- | :--- | :--- | | Property Rental Income | 130,352 | 157,139 | | Dividend Income (Listed and Unlisted) | 39,369 | 954,104 | | Gain on Disposal of Investments Held for Trading | 61,507 | 24,241 | | Other (Interest, Management Services, etc.) | 39,410 | 45,942 | | **Total Revenue** | **270,638** | **1,181,426** | - As of June 30, 2023, the Group's carrying value of China Evergrande shares was approximately **HK$62.34 million** (December 31, 2022: **HK$109.8 million**), with an unrealized fair value change loss of approximately **HK$47.43 million** recorded during the period[133](index=133&type=chunk) [Interim Dividend](index=52&type=section&id=Interim%20Dividend) The Board resolved not to declare any interim dividend for the six months ended June 30, 2023, consistent with the prior period, aiming to conserve cash for future investment opportunities - The Board resolved not to distribute an interim dividend for 2023, aiming to retain cash for future financial, property, or securities investment opportunities[315](index=315&type=chunk)[336](index=336&type=chunk) [Financial Operation Review](index=52&type=section&id=Financial%20Operation%20Review) Financial performance significantly declined this period, with revenue and gross profit decreasing by **77.1%** and **78.7%** year-on-year respectively, primarily due to a substantial reduction in dividend income from the property development and trading segment, while securities investment business turned profitable with a net profit of **HK$10.3 million**, and finance costs surged **98.4%** due to rising interest rates, leading to a shift from net current assets to net current liabilities, though management remains confident in the going concern ability - Core loss was **HK$43.1 million**, compared to a core profit of **HK$758.1 million** in the prior period, with core loss/profit excluding the impact of major non-cash items such as unrealized fair value changes of investment properties[355](index=355&type=chunk) Debt and Gearing Ratios | Metric | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Total Debt (HK$ Million)** | 3,944.7 | 4,975.5 | | **Net Debt (HK$ Million)** | 2,857.7 | 2,788.9 | | **Total Debt to Equity Ratio** | 27.6% | 35.5% | | **Net Debt to Equity Ratio** | 20.0% | 19.9% | - Total comprehensive income attributable to owners of the company was **HK$289.5 million**, primarily boosted by a **HK$260.9 million** exchange gain from the appreciation of the British Pound, offsetting unrealized losses on financial asset investments[356](index=356&type=chunk) [Business Review](index=63&type=section&id=Business%20Review) The Group's business primarily encompasses property investment and development in Hong Kong, mainland China, and overseas, alongside securities investment, with key projects including the Tsuen Wan industrial redevelopment in Hong Kong expected by early 2025, and the '120 Fleet Street' redevelopment in London anticipated for completion in H1 2026, while maintaining a diversified securities investment portfolio for treasury management - Hong Kong Property Investment: Harcourt House in Wan Chai had an average occupancy rate of approximately **75.65%**; Causeway Bay Plaza had an average shop occupancy rate of approximately **88.48%**, and the Tsuen Wan Ma Kok Street industrial site redevelopment project is expected to be completed by early **2025**[424](index=424&type=chunk)[452](index=452&type=chunk)[401](index=401&type=chunk) - Overseas Property Investment: The '120 Fleet Street' project in London, UK, is undergoing redevelopment to provide approximately **540,000 square feet** of Grade A office space, with completion anticipated in H1 **2026**[455](index=455&type=chunk) - Mainland China Property Investment: Beijing Hilton Hotel's occupancy rate was approximately **54.65%**, and Oriental International Tower's occupancy rate was approximately **90.54%**[455](index=455&type=chunk) - Securities Investment: Net profit from securities investment and treasury products for the period was approximately **HK$10.3 million**, with the Group's strategy focused on maintaining a diversified investment portfolio to manage risk and achieve stable returns[457](index=457&type=chunk)[404](index=404&type=chunk) [Prospects](index=67&type=section&id=Prospects) Looking ahead, the Group anticipates Hong Kong's economy to be driven by private consumption and inbound tourism, while the residential property market remains weak due to interest rate hikes; the Group will continue its UK property redevelopment and asset enhancement projects to create long-term value, remain vigilant against a volatile macroeconomic environment, and uphold corporate social responsibility - Hong Kong Market: Private consumption and tourism are expected to be key drivers of economic growth, with the Group enhancing footfall and spending in retail properties through marketing activities[438](index=438&type=chunk) - UK Market: Redevelopment and asset enhancement are underway for investment properties in prime London locations, which, despite short-term impacts on rental income, are expected to attract top-tier commercial tenants and create long-term value post-transformation[439](index=439&type=chunk) - Social Responsibility: The Group converted its Sham Shui Po property into a youth hostel, 'Chung Hok She', to support the government's efforts in addressing youth housing needs[469](index=469&type=chunk) [Other Information](index=66&type=section&id=Other%20Information) [Other Information and Events After the Reporting Period](index=66&type=section&id=Other%20Information%20and%20Events%20After%20the%20Reporting%20Period) During and after the reporting period, the company disclosed several significant matters, including a continuing connected transaction for renewing the head office lease with a major shareholder-controlled entity, changes in directors and committee members, and arrangements for forfeiture of unclaimed dividends - The company experienced several senior management changes in May 2023, including the resignation of Mr. Lam Kwong Wai, Executive Director, Group Financial Controller, and Company Secretary, with successors already appointed[432](index=432&type=chunk)[465](index=465&type=chunk) - The Group renewed the head office lease agreement with a company indirectly held by Executive Director Ms. Chan Hoi Wan, constituting a continuing connected transaction[460](index=460&type=chunk)[434](index=434&type=chunk) [Directors' and Chief Executives' Interests in Securities](index=68&type=section&id=Directors'%20and%20Chief%20Executives'%20Interests) As of June 30, 2023, Executive Director Ms. Chan Hoi Wan indirectly held **74.99%** of the company's shares through controlled corporations, acting as trustee for her minor children Key Directors' Shareholding | Director Name | Capacity | Shareholding Percentage | | :--- | :--- | :--- | | Ms. Chan Hoi Wan | Interests in controlled corporations and interests of children under 18 | 74.99% | [Substantial Shareholders' Interests in Securities](index=70&type=section&id=Substantial%20Shareholders'%20Interests) According to the register, entities including Mr. Lau Luen Hung (as an associate of his spouse and minor children's interests) and Sino Omen Holdings Limited are deemed to hold **74.99%** of the company's interests, in addition to the directors - Mr. Lau Luen Hung is deemed to hold **74.99%** of the company's shares due to the interests of his spouse, Ms. Chan Hoi Wan, and minor children[448](index=448&type=chunk) [Corporate Governance and Other Disclosures](index=69&type=section&id=Corporate%20Governance%20and%20Other%20Disclosures) The company largely complied with the Corporate Governance Code during the reporting period, disclosed specific financing agreements as required by Listing Rules, had its unaudited financial statements reviewed by the Audit Committee, and did not purchase, sell, or redeem any listed securities during the period - The Audit Committee has reviewed the unaudited condensed consolidated financial statements for the period[112](index=112&type=chunk)[480](index=480&type=chunk) - The company complied with the Corporate Governance Code during the period, with no deviations other than the Chairman's absence from the Annual General Meeting[115](index=115&type=chunk)[484](index=484&type=chunk) - Neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities during the period[119](index=119&type=chunk)[488](index=488&type=chunk)

Financial Performance - The group reported a net income of HKD 27,173 thousand from interest income, while financial costs amounted to HKD (108,742) thousand, resulting in a net expense of HKD (81,569) thousand[17]. - Total revenue reached HKD 1,083,189 million, with significant contributions from property development and leasing[18]. - The company reported a core profit attributable to shareholders of HKD 758,060 million, reflecting strong operational performance[18]. - Total revenue for the six months ended June 30, 2023, was HKD 246,900,000, a decrease of 78.7% compared to HKD 1,161,600,000 in the same period last year[32]. - The core loss attributable to the company's owners for the period was HKD 43,144,000, compared to a core profit of HKD 758,100,000 in the previous year, representing a significant decline[44][67]. - The group recorded a net profit attributable to shareholders for the period was HKD 146.6 million, a decrease from HKD 870.5 million in the same period last year[88]. - The company reported a profit before tax of HKD 171,925,000, a decrease from HKD 880,856,000 in the prior year[172]. - The net profit for the period was HKD 146,685,000, significantly lower than HKD 870,566,000 in the same period last year[172]. - Total comprehensive income for the period was HKD 289,552,000, compared to a loss of HKD 451,190,000 in 2022[173]. Asset and Liability Management - As of June 30, 2023, the total non-current assets amounted to HKD 16,949,012 thousand, an increase from HKD 16,355,638 thousand as of December 31, 2022, representing a growth of approximately 3.6%[3]. - The group's total assets less current liabilities stood at HKD 16,453,168 thousand, a slight increase from HKD 16,374,415 thousand[3]. - The total assets of the company were reported at HKD 19,434,515 million, indicating robust asset growth[19]. - The total liabilities stood at HKD 5,431,672 million, with non-current liabilities accounting for a significant portion[19]. - The group's total debt as of June 30, 2023, is HKD 3,944,700,000, a decrease from HKD 4,975,500,000 as of December 31, 2022[108]. - The total liabilities as of June 30, 2023, were HKD 4,376,965,000, reflecting a slight increase from the previous reporting period[187]. - The company's non-current liabilities include borrowings of HKD 1,955,566,000, down from HKD 2,205,781,000 in the previous period[161]. Cash Flow and Liquidity - The group's cash and cash equivalents decreased significantly to HKD 935,969 thousand from HKD 2,038,768 thousand, a decline of approximately 54.0%[3]. - The net current liabilities position worsened to HKD (495,844) thousand compared to HKD 18,777 thousand in the previous period, indicating a significant deterioration in liquidity[3]. - The group's current liabilities exceeded current assets by approximately HKD 495,844,000 as of June 30, 2023[37]. - The company expects to have sufficient financial resources to meet its financial obligations for the next twelve months[177]. Investment and Revenue Streams - The fair value changes of investment properties contributed HKD 190,538 thousand to the income statement, indicating strong performance in property valuation[17]. - The company achieved a profit from equity-accounted investments of HKD 133,114 million, showcasing effective investment strategies[18]. - The company’s financial income from equity-accounted investments was HKD 32 million, contributing to overall profitability[18]. - The company’s total comprehensive income reflected a fair value change of HKD 112,681 million in investment properties[18]. - The group recognized a net profit of HKD 10,300,000 from securities investments and financial products, compared to a net loss of HKD 178,300,000 in the previous year[35]. - The group recorded a realized gain from the sale of listed investments of HKD 61.5 million, compared to HKD 24.2 million in the previous year, with total sales amounting to HKD 484.3 million[84]. Operational Performance - The group continues to manage its operations across different business units, each requiring tailored market strategies[13]. - The company plans to expand its market presence and enhance product offerings in the upcoming fiscal year[18]. - The company is currently undergoing property redevelopment and asset optimization in central London, which is expected to impact rental income but aims to meet high demand from top international commercial tenants[153]. - The company is closely monitoring changes in consumer patterns and plans to enhance customer traffic through various marketing promotions[152]. Risk Management and Compliance - The group has established a comprehensive risk management program to identify, measure, monitor, and control various risks[98]. - The company has adopted a set of guidelines for employee securities trading, ensuring compliance with the standard codes[156]. - The company believes the default risk is low, resulting in no provisions made for financial guarantee contracts and/or indemnity agreements as of June 30, 2023, and December 31, 2022[199]. Employee and Corporate Social Responsibility - The group has 495 employees as of June 30, 2023, a slight decrease from 498 employees as of December 31, 2022[104]. - The company is collaborating with NGOs to convert buildings into youth hostels as part of its corporate social responsibility initiatives[144]. - The company expressed gratitude to shareholders for their continued support and to employees for their contributions[150].

Financial Performance - The Group reported revenue of HK$1,181,426,000 for the six months ended 30 June 2022, a significant increase from HK$726,167,000 in the same period of 2021, representing a growth of approximately 62.5%[7]. - Gross profit for the period was HK$1,161,630,000, compared to HK$689,525,000 in the prior year, indicating a gross profit margin improvement[7]. - Profit before tax reached HK$880,856,000, a substantial recovery from a loss of HK$26,640,000 in the corresponding period of 2021[7]. - Profit for the period amounted to HK$870,566,000, compared to a loss of HK$35,470,000 in the same period last year, showcasing a strong turnaround[7]. - For the six months ended June 30, 2022, the company reported a profit attributable to owners of HK$870,537,000, compared to a loss of HK$37,284,000 in the same period of 2021, representing a significant turnaround[8]. - Basic and diluted earnings per share for the period was HK$0.456, compared to a loss per share of HK$0.020 in the previous year[8]. - The Group reported a loss for the period, with other comprehensive expenses totaling HK$895,020,000[11]. - The Group recorded a net loss from securities investments of HK$178.3 million, compared to a net gain of HK$99.0 million in the previous year[197]. Expenses and Costs - The Group's administrative expenses were HK$177,390,000, which decreased from HK$169,394,000 in the previous year, reflecting improved cost management[7]. - Other income for the period was HK$7,377,000, down from HK$23,462,000 in the previous year, indicating a decline in additional revenue sources[7]. - The Group incurred finance costs of HK$54,829,000, slightly higher than HK$54,455,000 in the prior year, suggesting stable financing conditions[7]. - The income tax expense for the period was HK$10,290,000, compared to HK$8,830,000 in the previous year, reflecting the increased profitability[7]. - Total interest expenses for the six months ended June 30, 2022, were HK$44,147,000, a decrease from HK$49,002,000 in 2021[72]. Assets and Liabilities - Non-current assets decreased from HK$17,509,881,000 as of December 31, 2021, to HK$16,161,660,000 as of June 30, 2022[9]. - Current liabilities decreased from HK$4,083,959,000 at the end of 2021 to HK$3,833,477,000 by June 30, 2022[10]. - The company's total equity decreased from HK$14,398,830,000 at the end of 2021 to HK$13,947,640,000 by June 30, 2022[10]. - The company reported a net current liabilities position of HK$394,272,000 as of June 30, 2022, compared to net current assets of HK$3,230,000 at the end of 2021[10]. - The total liabilities were HK$5,653,225,000, with unallocated corporate liabilities at HK$5,305,071,000[55]. Investment Activities - The Group's investment expenses netted to HK$204,079,000, a decrease from HK$418,349,000 in the previous year, indicating reduced investment activity[7]. - The cumulative loss on a listed equity investment classified as financial assets measured at fair value through other comprehensive income (FVTOCI) was approximately HK$1,610,066,000 as of June 30, 2022, down from HK$2,484,787,000 as of December 31, 2021[14]. - The Group's investment in a property development project in Hong Kong decreased to HK$203,868,000 as of June 30, 2022, from HK$990,440,000 as of December 31, 2021, due to dividend declarations by the investee company[126]. Cash Flow and Liquidity - The Group reported net operating cash outflows of approximately HK$176,746,000 for the six months ended 30 June 2022, a significant improvement from HK$699,232,000 in the same period of 2021[21]. - The Group's cash and cash equivalents at 30 June 2022 amounted to HK$1,933,050,000, compared to HK$676,034,000 at the end of the previous year[18]. - The Directors believe that the Group will have sufficient financial resources to meet its financial obligations in the coming twelve months based on cash flow projections[24]. - The Group has unutilised loan facilities from a Director, which may support its liquidity needs[23]. Revenue Sources - Revenue from brokerage and cosmetics income decreased to HK$7,479,000 in 2022 from HK$8,922,000 in 2021, a decline of about 16.2%[39]. - Building and property management services income increased to HK$25,151,000 in 2022 from HK$24,490,000 in 2021, reflecting a growth of approximately 2.7%[39]. - Property rental income decreased to HK$157,139,000 in 2022 from HK$161,284,000 in 2021, a decline of about 2.6%[39]. - Dividend income from listed equity investments increased to HK$954,104,000 in 2022 from HK$160,751,000 in 2021, a substantial increase of about 493.5%[39]. Market and Future Outlook - Future prospects remain optimistic as the Group continues to explore market expansion and new product development strategies[6]. - The Group's strategy involves managing each business unit separately due to different markets and marketing strategies required[51]. - The Group's operations include cosmetics distribution and trading, as well as building and property management services[47]. Shareholder Returns - The Company paid a final dividend for 2020, which was reflected in the transfer of reserves[11]. - The Board resolved not to declare any interim dividend for the Period, consistent with the previous year[191].