公布一个有关特殊股息的一个安排那最后呢其实我们就希望通过这个特殊泡红把我们原来的业海基地就是说工业开发的有家商业公司跟我们业海投资就分开分成两个公司原来就是我们合在一起的这个背景呢最主要就是我们业海投资是主要做水路的 如果按照我们今年半年的这个月绩分析我们有85%的利润是在水务方面的房地产就6%里面主要是收租有8%的就是一些高速公路啊 天产啊还有很小的就是只有1%就是酒店从这个水务我们一直以来就是有一个 很好的一个项目在里面就是我们香港的一个东江水跟内地的水利项目不一样就是我们在调价方面应该说调的比较好的最简单我可以讲就是香港的这个水价大概要越差一点多一点每一粒方米我们其实东江水从西边供水给深圳和东莞 但是深圳的水价只有一块多东莞就是一块钱以下所以你能看到香港还是收的价钱比较好的另外就是如果跟内地的水利项目来比较我们一般是我们水厂我们企业跟当地政府去谈很多时候都会碰到当地政府还是要照顾群众水价可能也不能太高 就是在一个相对比较合理的一个水平但是香港的东江水是不一样的香港的东江水也是每三年谈一次价但是是由广东省政府跟香港政府去谈的而不是我们公司出面的所以就是一地以来有24年了这个水价都谈得很好的所以就是水利项目 ...

Investment Rating - The report maintains a "Buy" rating for the company [8] Core Viewpoints - The company plans to spin off its real estate business (Yuehai Properties) through a special dividend distribution, allowing it to focus on its core water business [7] - After the spin-off, the company's operating performance and overall value are expected to significantly improve, as it will no longer be affected by the volatility of the real estate business [7] - The company's water business is stable, with high-quality assets in the Dongjiang water project, and its valuation is expected to rise after the spin-off [8] Financial Performance - In 2023, the company's net profit attributable to shareholders dropped by 34% YoY to HKD 3.12 billion, mainly due to a HKD 1.81 billion impairment loss from Yuehai Properties [7] - Excluding the impact of the real estate business, the company's core profit in 2023 was HKD 4.93 billion [7] - The company's operating cash flow in 2023 was HKD 10.71 billion, with HKD 7.1 billion coming from the core business after excluding Yuehai Properties [9] - In H1 2024, the company's operating cash flow was HKD 4.88 billion, with HKD 3.59 billion from the core business after excluding Yuehai Properties [9] Valuation and Forecast - The report maintains the company's profit forecasts for 2024-2026 at HKD 4.003 billion, HKD 4.101 billion, and HKD 4.120 billion, respectively [8] - The current market capitalization corresponds to a PE ratio of 8.5x, 8.3x, and 8.3x for 2024-2026 [8] Debt and Dividend - As of H1 2024, the company's total assets were HKD 139.8 billion, with a debt-to-asset ratio of 58% [11] - After spinning off Yuehai Properties, which has a higher debt-to-asset ratio of 87%, the company's overall debt level is expected to decrease significantly [11] - The company's dividend payout ratio in 2024H1 was 65%, consistent with 2023 [12] Business Focus - The company will no longer hold any shares in Yuehai Properties after the spin-off, allowing it to fully focus on its water business [7] - The spin-off is expected to enhance the company's operational efficiency and valuation by eliminating the drag from the real estate sector [7][8]

Investment Rating - The report upgrades the company's investment rating to "Buy" with a target market capitalization of HKD 41 billion, representing a 24% upside from the current market capitalization [6] Core Views - The company's Q3 2024 unaudited financial results show revenue of HKD 18.142 billion, up 10.4% YoY, while net profit attributable to owners decreased 6.1% YoY to HKD 3.593 billion, slightly exceeding expectations [4] - Operating cash flow continues to improve, with H1 2024 operating cash flow (excluding Yuehai Properties) reaching HKD 3.584 billion, up from HKD 2.286 billion in H1 2023 [4] - The water business remains stable, with pre-tax profit increasing 0.3% to HKD 6.167 billion in the first three quarters of 2024, driven by steady growth in the water resources segment [5] - The real estate segment shows resilience, with no impairment in the first three quarters of 2024 and contracted sales of 212,000 square meters, slightly higher than the 209,000 square meters in the same period last year [5] - The company's dividend payout ratio remains stable at 65% in 2024, consistent with 2023, with an interim dividend of 23.97 HK cents per share announced [4] Financial Performance - The company's revenue for 2024E is projected at HKD 29.551 billion, a 22% YoY increase, with net profit attributable to owners expected to reach HKD 4.003 billion, up 28% YoY [7] - EPS for 2024E is forecasted at HKD 0.61, with a P/E ratio of 8.3x and a P/B ratio of 0.85x [7] - ROE is expected to improve to 10.3% in 2024E, up from 7.47% in 2023 [7] Industry Comparison - The company's 2024E P/E ratio of 8.3x is lower than the average P/E ratio of 12x for comparable companies with stable earnings and high dividends [6] - The company's dividend yield of 6.13% in 2023 is higher than the average dividend yield of 3.66% for comparable companies [10] Real Estate Segment Outlook - The real estate inventory is expected to decrease, with the book value of real estate inventory at HKD 32.8 billion at the end of 2023 and HKD 30 billion in the first three quarters of 2024, with prepayments of HKD 10.494 billion [5] - The report anticipates a reduction in real estate inventory impairment pressure in 2024 due to the decrease in inventory size and the implementation of macro policies [5]

Financial Performance - The unaudited consolidated revenue for the nine months ended September 30, 2024, was HKD 18,142.31 million, representing a 10.4% increase from HKD 16,435.34 million in the same period of 2023[2]. - The unaudited consolidated profit attributable to owners of the company decreased by 6.1% to HKD 3,593.95 million, down from HKD 3,827.69 million in 2023[4]. - The pre-tax profit for the period was HKD 5,287.76 million, a decline of 11.2% compared to HKD 5,953.39 million in the previous year[2]. - The net loss from changes in the fair value of investment properties was HKD 106.99 million, compared to a net gain of HKD 486.80 million in 2023[2]. - The pre-tax loss for the period was HKD 573,663,000, compared to a pre-tax profit of HKD 136,910,000 in 2023, primarily due to higher gross margins from properties delivered in the previous year[18]. - The pre-tax profit (excluding net finance costs) for the period was HKD 252,009,000, down 11.2% from HKD 283,877,000 in 2023[25]. Assets and Equity - The total assets as of September 30, 2024, were HKD 138,034.48 million, a decrease of 1.4% from HKD 139,965.97 million as of December 31, 2023[2]. - The equity attributable to owners of the company increased to HKD 43,248.04 million from HKD 41,802.21 million, reflecting a growth of 3.5%[2]. - The company held completed unsold properties valued at approximately HKD 98.28 billion and development properties valued at approximately HKD 201.92 billion as of September 30, 2024[19]. Water Supply Projects - The total water supply for the Dongshen Water Supply Project was 1,646 million tons, a decrease of 4.8% from 1,729 million tons in 2023, generating revenue of HKD 5,159.00 million, which is a 0.4% increase[7]. - The pre-tax profit from the Dongshen Water Supply Project increased by 3.8% to HKD 3,461.00 million, compared to HKD 3,334.00 million in the previous year[7]. - The total water supply capacity of the group's subsidiaries and joint ventures reached 8,786,800 tons per day as of September 30, 2024, with wastewater treatment capacity at 2,054,400 tons per day[10]. - The group has ongoing water resource projects with a total water supply capacity of 1,287,000 tons per day and wastewater treatment capacity of 50,000 tons per day as of September 30, 2024[11]. - The group operates several water supply plants with capacities ranging from 24,000 to 1,060,000 tons per day across various subsidiaries[9][10]. Property Investment - The property investment business revenue of Guangdong Tianhe City increased by 8.3% to HKD 1,204,167,000, up from HKD 1,111,978,000 in 2023[12]. - The pre-tax profit from property investment business rose by 14.2% to HKD 689,281,000, compared to HKD 603,318,000 in the previous year[12]. - The total rental income for the period reached HKD 1,204,167 thousand, an increase of 8.3% compared to HKD 1,111,978 thousand in the previous year[13]. - Tianhe City Plaza – Tianhe City Shopping Center reported a rental income of HKD 527,831 thousand, up 7.1% from HKD 493,031 thousand in the previous year[13]. - Guangzhou Animation Star City saw a significant increase in rental income, rising by 57.1% to HKD 68,729 thousand from HKD 43,738 thousand[13]. - The occupancy rate for Tianhe City Plaza – Tianhe City Shopping Center was 98.9%, while Tianhe City Plaza – Yuehai Tianhe City Building had a lower occupancy rate of 84.9%, down 6.0%[13]. - The new Yuehai Tiandi project, which opened in December 2023, generated an initial rental income of HKD 31,180 thousand, marking a 100% occupancy rate[13]. Development and Strategy - The company plans to continue enhancing its corporate governance and transparency by voluntarily disclosing financial information quarterly[3]. - The company plans to enhance its development strategy by focusing on high-value-added businesses and optimizing asset allocation in response to the economic recovery challenges[28]. - The company aims to leverage potential development opportunities arising from the "Guangdong-Hong Kong-Macao Greater Bay Area" strategy and explore related market acquisition opportunities[28]. - The company will maintain a stable development strategy to ensure risk control and create long-term value for stakeholders[28]. Construction and Other Operations - The construction service revenue for the period was HKD 211,304,000, down from HKD 1,161,003,000 in 2023[11]. - The total revenue from the energy projects decreased by 8.1% to HKD 1,215,920,000, while the pre-tax profit increased by 37.0% to HKD 121,921,000 due to lower coal prices[24]. - The total revenue from the department store operations decreased by 1.7% to HKD 582,158,000, with a pre-tax profit decline of 30.8% to HKD 46,697,000[21]. - The total area of the department stores operated by the company was approximately 194,390 square meters, a decrease from 209,900 square meters in the previous year[21]. Traffic and Toll Revenue - The average daily toll traffic on the Xingliu Expressway decreased by 2.7% to 26,348 vehicles, down from 27,083 vehicles in 2023[25]. - Toll revenue for the period was HKD 479,085,000, a decrease of 5.3% compared to HKD 506,161,000 in 2023, impacted by a 1.3% decline in the RMB to HKD exchange rate[25].

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 12,290,690, an increase of 8.1% from HKD 11,369,355 in the same period of 2023[7]. - Gross profit for the same period was HKD 5,469,042, slightly up from HKD 5,461,429, indicating stable profitability[7]. - Profit before tax decreased to HKD 3,664,178, down 7.1% from HKD 3,942,351 in the previous year[7]. - Net profit for the period was HKD 2,665,782, a decrease of 6.5% compared to HKD 2,851,135 in 2023[7]. - Basic and diluted earnings per share were HKD 0.3688, down from HKD 0.3865 in the same period last year[7]. - Total comprehensive income for the period was HKD 2,259,527, significantly up from HKD 934,897 in the previous year, reflecting a substantial recovery[8]. - The company's profit for the six months ended June 30, 2024, was HKD 2,665,782, a decrease of 6.5% compared to HKD 2,851,135 for the same period in 2023[8]. - The pre-tax profit for the consolidated group for the six months ended June 30, 2024, was HKD 3,664,178, a decrease of 7.1% from HKD 3,942,351 in the same period of 2023[22]. - The net profit for the consolidated group for the six months ended June 30, 2024, was HKD 2,665,782, a decrease of 6.5% from HKD 2,851,135 in the same period of 2023[22]. - The unaudited consolidated profit attributable to owners for the six months ended June 30, 2024, was HKD 2.411 billion, a decrease of 4.6% compared to HKD 2.527 billion in the same period last year[80]. Expenses and Costs - Total operating expenses, including selling and administrative expenses, decreased to HKD 1,501,480 from HKD 1,636,782, reflecting cost control measures[7]. - The total finance costs for the period amounted to HKD 646,553, an increase from HKD 586,302 in the previous year[30]. - The effective tax expense for the period was HKD 998,396, down from HKD 1,091,216 in the same period of 2023[34]. Assets and Liabilities - Non-current assets totaled HKD 85,505,815 as of June 30, 2024, compared to HKD 84,688,161 at the end of 2023, indicating a growth in asset base[9]. - Current assets decreased slightly to HKD 54,324,280 from HKD 55,277,811, primarily due to changes in inventory and properties held for sale[9]. - Total liabilities decreased to HKD 80,562,132 from HKD 81,936,347, indicating effective management of obligations[10]. - The company's equity increased to HKD 59,267,963 as of June 30, 2024, up from HKD 58,029,625, reflecting a stronger financial position[10]. - The total assets of the company reached HKD 43,117,947,000 as of June 30, 2024, compared to HKD 41,802,210,000 at the start of the year, indicating a growth of approximately 3.14%[11]. - The company's total liabilities as of June 30, 2024, were HKD 80,562,132, down from HKD 81,936,347 as of December 31, 2023[25]. - Total liabilities as of June 30, 2024, were HKD 27,244,841, a decrease from HKD 28,576,924 as of December 31, 2023[45]. - Current liabilities amounted to HKD 25,856,851, down from HKD 27,193,739 as of December 31, 2023[45]. Cash Flow - Net cash inflow from operating activities for the six months ended June 30, 2024, was HKD 4,875,738, an increase of 12% from HKD 4,353,697 in the same period of 2023[13]. - Cash and cash equivalents at the end of the period were HKD 12,361,739, down from HKD 13,685,986 at the end of June 2023, a decrease of 10%[14]. - The net increase in cash and cash equivalents for the six months was HKD 1,044,227, compared to HKD 5,209,539 in the same period last year, indicating a significant decline[14]. - The financing activities resulted in a net cash outflow of HKD 1,528,835, contrasting with a net inflow of HKD 2,326,172 in the same period of 2023[13]. Segment Performance - Water resources segment revenue for the six months ended June 30, 2024, was HKD 7,051,438, a decrease of 11.3% from HKD 7,950,125 in the same period of 2023[19]. - Property investment and development segment revenue for the six months ended June 30, 2024, was HKD 3,582,522, an increase of 114.5% from HKD 1,673,223 in the same period of 2023[19]. - The hotel operations and management segment reported a pre-tax profit of HKD 60,216 for the six months ended June 30, 2024, down from HKD 91,160 in the same period of 2023[21]. - The water resources segment generated revenue of HKD 6,653,978, down 12.0% from HKD 7,567,492 in the previous year[29]. - The property investment and development segment saw a significant increase in revenue to HKD 2,890,506, up 171.5% from HKD 1,064,468[29]. Dividends - The interim dividend declared is HKD 0.2397 per share, to be distributed around October 30, 2024[3]. - The interim dividend declared was HKD 23.97 cents per share, an increase from HKD 18.71 cents per share in the previous year[35]. - The board declared an interim dividend of HKD 0.2397 per share for the six months ending June 30, 2024, an increase from HKD 0.1871 per share in 2023[133]. Strategic Focus - The company plans to maintain its focus on market expansion and new product development in the upcoming quarters[7]. - The company plans to continue expanding its investment in infrastructure projects in mainland China, focusing on roads and bridges[18]. - The company plans to continue expanding its market presence and investing in new technologies to enhance operational efficiency and service offerings[24]. - The company aims to enhance operational efficiency and market competitiveness through strategic transformation and a focus on high-quality development[112]. - The company is actively pursuing high-value business opportunities in the Guangdong-Hong Kong-Macao Greater Bay Area[114]. Governance and Compliance - The company has complied with the corporate governance code during the six months ended June 30, 2024[123]. - The company has no purchases, sales, or redemptions of its listed securities during the six months ended June 30, 2024[127].

Investment Rating - Maintains an "Overweight" rating [2][4] Core Views - The company demonstrates stable operations with steady growth in water resource operations and sufficient cash flow, maintaining a high dividend payout ratio of 65% [3][4] - The company's water resource and power generation businesses show stable growth, offsetting the decline in property investment and development profits and the 2.2% depreciation of RMB against HKD [4] - The property investment and development business has shown improvement, with significant revenue growth in certain segments [4] Financial Performance - 2024H1 revenue reached HKD 12.291 billion, an 8% year-on-year increase, while net profit attributable to shareholders decreased by 5% to HKD 2.411 billion [4] - Adjusted 2024-2025 net profit forecasts to HKD 3.69 billion (previously HKD 4.55 billion) and HKD 4.14 billion (previously HKD 4.91 billion), respectively, and introduced a 2026 forecast of HKD 4.45 billion [4] - EPS for 2024-2026 is projected at HKD 0.56, HKD 0.63, and HKD 0.68, respectively [4] Business Segments Water Resource Operations - Water supply revenue to Hong Kong increased by 2% to HKD 2.802 billion, while revenue from Shenzhen and Dongguan decreased by 1% to HKD 683 million [4] - Pre-tax profit from the East River-Shenzhen Water Supply Project (excluding exchange differences and net financial expenses) grew by 5% to HKD 2.325 billion [4] - Current water supply and sewage treatment capacities under construction are 1.287 million tons/day and 50,000 tons/day, respectively [4] Property Investment and Development - Revenue from Yuehai Tianhe City property investment increased by 11% to HKD 793 million, driven by higher average rental rates and occupancy levels, as well as contributions from the newly opened Yuehai Tiandi project [4] - Yuehai Property revenue surged by 188% to HKD 2.804 billion, with sales revenue from properties reaching HKD 2.779 billion [4] - Pre-tax loss for Yuehai Property was HKD 283 million, but adjusted for fair value changes, impairment of properties under development, and net financial expenses, the pre-tax loss was HKD 105 million [4] - As of mid-2024, Yuehai Property held completed properties for sale worth HKD 8.664 billion and properties under development worth HKD 21.949 billion, totaling HKD 30.613 billion [4] Dividend Policy - The company maintains a high dividend payout ratio of 65%, with an interim dividend of HKD 23.97 cents per share [4] - Operating cash inflow for 2024H1 was HKD 4.876 billion, with capital expenditures of HKD 445 million [4] Market Data - Current stock price: HKD 4.68 [5] - 52-week price range: HKD 3.35 - HKD 6.21 [5] - Current market capitalization: HKD 30.597 billion [5]

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 12,290,690 thousand, an increase of 8.1% compared to HKD 11,369,355 thousand in the same period of 2023[2] - Pre-tax profit decreased by 7.1% to HKD 3,664,178 thousand from HKD 3,942,351 thousand year-on-year[4] - Profit attributable to owners of the company was HKD 2,410,985 thousand, down 4.6% from HKD 2,526,909 thousand in the previous year[4] - Basic earnings per share decreased to HKD 36.88 cents from HKD 38.65 cents, reflecting a decline of 4.6%[4] - The company reported a total comprehensive income of HKD 2,259,527 thousand for the six months ended June 30, 2024, compared to HKD 934,897 thousand in the same period of 2023[5] - The company reported a net foreign exchange loss of HKD (1,998) thousand for the six months ended June 30, 2024, compared to a gain of HKD 10,469 thousand in the same period of 2023[18] - The company’s net profit for the first half of 2024 was HKD 2,665,782 thousand, down from HKD 2,851,135 thousand in the first half of 2023, reflecting a decrease of approximately 6.5%[16] - The total tax expense for the six months ended June 30, 2024, was HKD 998,396, a decrease from HKD 1,091,216 in the same period of 2023, representing a reduction of approximately 8.5%[29] Dividends and Shareholder Returns - The interim dividend per share increased by 28.1% to HKD 23.97 cents from HKD 18.71 cents in the prior period[4] - The interim dividend declared for the six months ended June 30, 2024, is HKD 0.2397 per share, an increase from HKD 0.1871 per share in 2023[8] - The company will suspend share transfer registration on October 14, 2024, to facilitate the distribution of the interim dividend[76] Assets and Liabilities - Non-current assets totaled HKD 85,505,815 thousand as of June 30, 2024, compared to HKD 84,688,161 thousand at the end of 2023[6] - Current assets decreased to HKD 54,324,280 thousand from HKD 55,277,811 thousand at the end of 2023[6] - As of June 30, 2024, current liabilities totaled HKD 42,184,589, a decrease of 7.5% from HKD 45,666,192 as of December 31, 2023[7] - Non-current liabilities amounted to HKD 38,377,543, reflecting an increase of 5.8% from HKD 36,270,155[7] - The company's equity total was HKD 59,267,963, up 2.1% from HKD 58,029,625[7] - The reserve increased to HKD 34,151,770, a rise of 4% from HKD 32,836,033[7] - Total assets minus current liabilities reached HKD 97,645,506, an increase of 3.5% from HKD 94,299,780[7] Revenue by Segment - Revenue from external customers in the Water Resources segment was HKD 7,051,438, a decrease of 11.3% from HKD 7,950,125 in the same period last year[13] - The Property Investment and Development segment reported revenue of HKD 3,582,522, down from HKD 1,673,223, reflecting a decline of 6.5%[13] - The Department Store Operations segment generated revenue of HKD 389,592, a slight decrease of 3.5% compared to HKD 403,813 in the previous year[13] - The Power Generation segment's revenue was HKD 629,462, down from HKD 697,542, representing a decrease of 9.8%[15] - The Hotel Operations and Management segment reported revenue of HKD 315,188, an increase of 4.5% from HKD 302,337 in the same period last year[15] - The Roads and Bridges segment's revenue was HKD 322,488, a decrease of 5.8% compared to HKD 342,315 in the previous year[15] - Total revenue for the group was HKD 7,091,395, down from HKD 7,988,119, reflecting a decline of 11.2%[13] Strategic Plans and Market Focus - The company plans to expand its market presence in mainland China and Hong Kong through strategic investments in infrastructure projects[10] - The group is focusing on enhancing its operational efficiency and exploring potential mergers and acquisitions to drive growth[10] - The company aims to enhance operational efficiency and market competitiveness through strategic transformation and organizational optimization[71] - The company plans to expand its water resource business and optimize its asset portfolio while focusing on high-value-added services[72] Operational Metrics - The total designed water supply capacity of the company's operational water supply plants was 10,736,800 tons per day as of June 30, 2024, compared to 10,086,800 tons per day in 2023[44] - The total water supply capacity as of June 30, 2024, is 8,786,800 tons per day, an increase from 8,136,800 tons per day as of June 30, 2023, representing a growth of approximately 8%[46] - The total wastewater treatment capacity as of June 30, 2024, is 2,054,400 tons per day, up from 1,929,400 tons per day as of June 30, 2023, indicating an increase of about 6.5%[46] Employee and Compensation - As of June 30, 2024, the group had a total of 11,472 employees, a slight decrease from 11,495 employees as of December 31, 2023[70] - Total employee compensation for the period was approximately HKD 901,354,000, down from HKD 975,816,000 in 2023[70] Corporate Governance and Compliance - The company has adopted revised Hong Kong Financial Reporting Standards effective from January 1, 2024, which did not significantly impact financial performance[9] - The company has maintained consistent accounting policies for the interim financial information compared to the previous fiscal year[9] - The audit committee has reviewed the unaudited interim financial report for the six months ended June 30, 2024[77] - The interim results announcement has been published on the company's website and the Hong Kong Stock Exchange[78] - The company remains committed to maintaining high standards of corporate governance in line with stakeholder interests[73]

Summary of Conference Call Company or Industry Involved - The document does not specify a particular company or industry, but it emphasizes the confidentiality of the conference call content. Core Points and Arguments - The conference call content is strictly for internal reference among consumers, and any disclosure or external sharing of the information is prohibited [1] - The document warns against any requests for, leaks of, or dissemination of the conference call minutes, labeling such actions as infringement [1] - The organization reserves the right to pursue legal action against individuals who leak or forward the conference call minutes [1] Other Important but Possibly Overlooked Content - The emphasis on confidentiality suggests that the information discussed may contain sensitive or proprietary insights that could impact market perceptions or competitive positioning if disclosed [1]

Summary of Conference Call Company or Industry Involved - The document does not specify a particular company or industry, but it emphasizes the confidentiality of the conference call content. Core Points and Arguments - The conference call content is strictly for internal reference among consumers, and any disclosure or external sharing of the information is prohibited [1] - The document warns against any requests for, leaks of, or dissemination of the conference call minutes, labeling such actions as infringement [1] - The research entity reserves the right to pursue legal action against individuals who leak or forward the conference call minutes [1] Other Important but Possibly Overlooked Content - The emphasis on confidentiality suggests that the information discussed may contain sensitive data that could impact market perceptions or company valuations if disclosed [1]

Financial Performance - The unaudited consolidated revenue for the three months ended March 31, 2024, was HKD 6,389,233,000, representing a 19.8% increase from HKD 5,332,649,000 in the same period of 2023[2]. - The unaudited consolidated profit before tax decreased by 6.3% to HKD 1,914,668,000, compared to HKD 2,044,184,000 in the previous year[2]. - The unaudited profit attributable to owners of the company was HKD 1,272,397,000, a slight decrease of 0.9% from HKD 1,284,561,000 in the same period last year[2]. - The company reported a net loss of HKD 20,528,000 from fair value changes in investment properties, compared to a gain of HKD 311,008,000 in the previous year[2]. - The pre-tax loss for the period was HKD 133,852,000, compared to a pre-tax profit of HKD 181,230,000 in 2023, primarily due to increased sales and marketing expenses[17]. Asset and Equity - The total assets as of March 31, 2024, were HKD 138,490,885,000, down 1.1% from HKD 139,965,972,000 as of December 31, 2023[2]. - The equity attributable to owners of the company increased by 3.0% to HKD 43,048,779,000 from HKD 41,802,210,000 as of December 31, 2023[2]. - The company holds completed unsold properties valued at approximately HKD 9.967 billion and development properties valued at HKD 21.502 billion as of March 31, 2024[18]. Water Supply Projects - The total water supply for the Dongshen Water Supply Project was 602 million tons, an increase of 2.2% from 589 million tons in 2023, generating revenue of HKD 1,761,000,000, up 2.4% from HKD 1,720,000,000[5]. - The pre-tax profit for the Dongshen Water Supply Project was HKD 1,178,000,000, reflecting a 5.9% increase from HKD 1,112,000,000 in the previous year[5]. - The total designed water supply capacity and sewage treatment capacity of other water resource projects remained stable at 16,150,200 tons and 3,345,900 tons per day, respectively[6]. - The operational water supply capacity of subsidiaries and joint ventures increased to 10,736,800 tons per day from 8,901,800 tons per day in the previous year[6]. - The total water supply capacity of the group's subsidiaries as of March 31, 2024, is 8,786,800 tons per day, while the wastewater treatment capacity is 2,054,400 tons per day, representing an increase from 6,951,800 tons and 1,925,900 tons respectively in the previous year[8]. - The group is currently constructing water supply plants with a total capacity of 1,237,000 tons per day and wastewater treatment capacity of 50,000 tons per day as of March 31, 2024[9]. - The wastewater treatment capacity of the group's subsidiaries is significantly bolstered by various projects, with notable capacities such as 600,000 tons per day from Jianghe Port Wu Water Co., Ltd.[8]. Property Investment and Development - The property investment and development segment, specifically from Guangdong Tianhe City, saw an 18.3% increase in revenue to HKD 416,509,000, up from HKD 352,100,000 in 2023[10]. - The pre-tax profit from property investment activities rose by 23.2% to HKD 248,632,000, compared to HKD 201,868,000 in the previous year, driven by increased rental income[10]. - The group operates several shopping malls under Guangdong Tianhe City, contributing to the overall increase in property investment revenue[10]. - Tianhe City Plaza reported a 12.6% increase in revenue to HKD 190,717,000 for Q4 2024, with an average occupancy rate of 98.9%[11]. - Tianhe City Shopping Center in Tianjin saw a significant revenue increase of 32.4% to HKD 68,590,000, with an occupancy rate of 97.6%[11]. - Guangzhou Animation Star City achieved a remarkable revenue growth of 79.7% to HKD 18,415,000, maintaining a high occupancy rate of 99.9%[11]. - The newly opened Yuehai Tiandi generated HKD 8,740,000 in revenue, achieving a 100% occupancy rate since its opening in December 2023[11]. - The total leasable area across all properties is approximately 576,900 square meters, with total revenue for Q4 2024 reaching HKD 416,509,000, reflecting an 18.3% increase compared to the previous year[11]. - The total floor area of completed and pending sale properties is approximately 2,000,000 square meters, with several projects expected to complete by 2027[13][14]. - The cumulative signed floor area for the Shenzhen Yuehai City project reached 91.2%, with a total area of 114,986 square meters available for sale[15]. - In Zhongshan, the cumulative signed floor area for Yuehai City reached 33.1%, with a total area of 236,728 square meters[16]. - The cumulative delivered floor area for Jiangmen Yuehai One Gui Fu is 66.5%, with a total area of 158,407 square meters available for sale[16]. - Revenue for the period increased by 303.7% to HKD 1,740,586,000, compared to HKD 431,118,000 in 2023, with property sales contributing HKD 1,727,973,000[17]. - The total area of signed and delivered properties reached approximately 58,000 square meters, up from 71,000 square meters in 2023, while delivered area increased to 79,000 square meters from 35,000 square meters[17]. Hotel and Other Operations - The average occupancy rate for the hotel segment was 95.4%, with an average room rate of HKD 1,248, compared to HKD 1,153 in 2023[22]. - The total revenue from the hotel management business increased by 16.2% to HKD 162,829,000, with a pre-tax profit of HKD 37,266,000, up 67.7% from HKD 22,217,000 in 2023[22]. - The average rental rate for the investment property increased to 97.1%, with total revenue rising by 1.7% to HKD 12,233,000[19]. - The total revenue from the department store operations decreased by 19.7% to HKD 130,933,000, with a pre-tax profit of HKD 28,384,000, down 18.6% from HKD 34,863,000 in 2023[20]. Energy and Infrastructure - Electricity sales volume for the energy project increased by 7.1% to 634 million kWh, while revenue decreased by 3.4% to HKD 390,680,000 due to lower electricity prices[23]. - The average daily traffic for the Xingliu Expressway increased by 2.7% to 29,743 vehicles, but revenue decreased by 4.5% to HKD 167,446,000[24]. Strategic Initiatives - The company aims to maintain a stable development strategy amidst global economic uncertainties, focusing on risk control and long-term value creation for stakeholders[26]. - The company plans to expand its efforts in the water resource industry chain, targeting high value-added businesses while optimizing asset allocation[26]. - The company will actively seek market acquisition opportunities related to the "Guangdong-Hong Kong-Macao Greater Bay Area" development strategy[26]. - The company has established a wholly-owned subsidiary, Dongguan Yuehai Yinpeng Development and Construction Co., Ltd., to fulfill its responsibilities in the Yinpeng project[25]. - As of March 31, 2024, four project roads have been completed, and one road is under construction[25]. - The company emphasizes a development strategy of "seeking progress while maintaining stability" to ensure core business stability[26]. Project Costs and Financial Review - Cumulative construction costs for the Yinpeng project amount to approximately RMB 1.999 billion (equivalent to about HKD 2.205 billion) as of December 31, 2023[25]. - Interest, management, and maintenance costs recognized for the Yinpeng project increased by 16.6% to HKD 39.343 million for the period[25]. - Pre-tax profit for the Yinpeng project rose by 10.1% to HKD 33.896 million for the period[25]. - The financial data for the three months ending March 31, 2024, has been reviewed by the company's audit committee but remains unaudited[27].