Chairman's Report [Performance](index=1&type=section&id=Performance) The group's underlying profit attributable to shareholders slightly increased to **HK$21.855 billion**, with reported profit also up despite a fair value decrease in investment properties Key Performance Indicators | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | Change | | :--- | :--- | :--- | :--- | | Underlying Profit Attributable to Shareholders | 21,855 | 21,739 | Increase 116 | | Basic Underlying EPS | $7.54 | $7.50 | Increase $0.04 | | Reported Profit Attributable to Shareholders | 19,277 | 19,046 | Increase 231 | | Reported EPS | $6.65 | $6.57 | Increase $0.08 | | Decrease in Fair Value of Investment Properties (net of deferred tax and non-controlling interests) | 742 | 2,412 | Decrease 1,670 | [Dividends](index=1&type=section&id=Dividends) The Board proposed a final dividend of **HK$2.80 per share**, maintaining the full-year dividend at **HK$3.75 per share** for the year ended June 30, 2025 Dividend Details | Dividend Type | Amount Per Share (HK$) | Payment Date | | :--- | :--- | :--- | | Final Dividend (2025) | $2.80 | November 20, 2025 | | Interim Dividend | $0.95 | (Already Paid) | | Total Annual Dividend | $3.75 | | [Property Development Profit and Rental Income](index=2&type=section&id=Property%20Development%20Profit%20and%20Rental%20Income) Profit from property sales increased to **HK$8.29 billion**, with total contract sales attributable to the group's interest at approximately **HK$46.6 billion**, while total rental income decreased by 2% Property Business Financials | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | Change | | :--- | :--- | :--- | :--- | | Property Sales Profit | 8,290 | 7,850 | Increase 440 | | Total Contract Sales | 46,600 | (Not Provided) | | | Total Rental Income | 24,461 | (Not Provided) | Decrease 2% | | Net Rental Income | 18,392 | (Not Provided) | Decrease 3% | [Hong Kong Property Business](index=2&type=section&id=Hong%20Kong%20Property%20Business) The group expanded its Hong Kong land bank by acquiring five residential sites, achieved **HK$42.3 billion** in contract sales, and managed rental properties amidst economic uncertainties [Land Bank (Hong Kong)](index=2&type=section&id=Land%20Bank%20(Hong%20Kong)) The group acquired five new residential sites with a total attributable gross floor area of approximately **1.6 million sq ft**, bringing its Hong Kong land bank to **57.4 million sq ft** - Five new residential sites added, with a total gross floor area of approximately **1.6 million sq ft**[6](index=6&type=chunk) New Residential Land Acquisitions | Location | Property Use | Group's Interest (%) | Attributable Gross Floor Area (sq ft) | | :--- | :--- | :--- | :--- | | Hung Shui Kiu Town Lot No. 5 | Residential/Retail | 50 | 524,000 | | Tung Chung Town Lot No. 55 | Residential | 100 | 401,000 | | Fanling North Fanling/Sheung Shui Town Lot No. 307 | Residential/Retail | 100 | 308,000 | | Tai Wai Sha Tin Town Lot No. 651 | Residential | 100 | 194,000 | | Siu Lek Yuen Sha Tin Town Lot No. 623 | Residential | 100 | 157,000 | | **Total** | | | **1,584,000** | - As of June 30, 2025, Hong Kong land bank was approximately **57.4 million sq ft**, with **13.3 million sq ft** for residential development, sufficient for 6-7 years of development[7](index=7&type=chunk) - Government resumption of land in Hung Shui Kiu/Ha Tsuen New Development Area is expected to generate approximately **HK$3 billion** in cash compensation, recognized in FY2024/25[8](index=8&type=chunk) [Property Development (Hong Kong)](index=3&type=section&id=Property%20Development%20(Hong%20Kong)) Hong Kong's residential market stabilized, leading to **HK$42.3 billion** in contract sales, the highest in five years, with **HK$35.6 billion** in unbooked sales - Hong Kong's residential market stabilized, driven by relaxed mortgage restrictions, falling local mortgage rates, and continuous inflow of talent and students[9](index=9&type=chunk) - Hong Kong contract sales reached approximately **HK$42.3 billion**, the highest in the past five financial years, primarily from projects like Grand Mayfair Phase 1, Pak Shek Kok Development Phase 1A(2) and 1B Sierra Sea[10](index=10&type=chunk) Completed Development Projects (Hong Kong) | Project | Location | Property Use | Group's Interest (%) | Attributable Gross Floor Area (sq ft) | | :--- | :--- | :--- | :--- | :--- | | YOHO WEST Phase 1 | Tin Shui Wai | Residential/Retail | Joint Development | 748,000 | | NOVO LAND Phase 3A and 3B | Tuen Mun | Residential | 100 | 694,000 | | Pak Shek Kok GO PARK | Pak Shek Kok | Retail | 100 | 108,000 | | The Horizon Phase 2 | Castle Peak Road - Tai Lam | Residential | 59.1 | 104,000 | | **Total** | | | | **1,654,000** | - As of June 30, 2025, unbooked Hong Kong contract sales were approximately **HK$35.6 billion**, with about **HK$30.1 billion** expected to be recognized in FY2025/26[11](index=11&type=chunk) [Property Investment (Hong Kong)](index=4&type=section&id=Property%20Investment%20(Hong%20Kong)) Hong Kong rental income slightly declined by 2% to **HK$17.531 billion**, but overall occupancy remained satisfactory, with new retail concepts and office market consolidation - Hong Kong rental business total rental income slightly decreased by **2%** year-on-year to **HK$17.531 billion**, with overall occupancy maintained at a satisfactory level[12](index=12&type=chunk) - The retail property portfolio recorded an occupancy rate of approximately **95%**, with a significant narrowing of tenant sales decline in the first half of 2025[13](index=13&type=chunk) - Pak Shek Kok GO PARK, Hong Kong's first sports-themed commercial complex, has attracted over **2 million visitors** since its opening in early 2025[14](index=14&type=chunk) - The Point mall membership program has over **3 million members**, with the launch of "The Point Gold" VIP membership to enhance customer loyalty[15](index=15&type=chunk) - Hong Kong's Grade A office market maintained an average occupancy rate of approximately **90%**, with downward adjustments in renewal rents, though landmark projects IFC and ICC achieved about **92%** occupancy[17](index=17&type=chunk)[18](index=18&type=chunk) - Over the next two to three years, new malls like Kwun Tong Scramble Hill will open in phases from H2 2025, and Kai Tak Grand Mayfair Mall is planned to open in phases from Q4 2025[19](index=19&type=chunk)[20](index=20&type=chunk) - The group is committed to developing West Kowloon into another core business district outside Central, with pre-leasing underway for the High Speed Rail West Kowloon Station Development Project office tower IGC, scheduled for tenant handover in early 2026[21](index=21&type=chunk)[22](index=22&type=chunk) [Mainland China Property Business](index=8&type=section&id=Mainland%20China%20Property%20Business) As of June 30, 2025, the group's Mainland land bank was approximately **65.3 million sq ft**, with **RMB4 billion** in contract sales, and rental income slightly decreased [Land Bank (Mainland China)](index=8&type=section&id=Land%20Bank%20(Mainland%20China)) As of June 30, 2025, the group's Mainland land bank totaled approximately **65.3 million sq ft**, with **44.2 million sq ft** under development - As of June 30, 2025, Mainland land bank was approximately **65.3 million sq ft**, with **44.2 million sq ft** under development[23](index=23&type=chunk) [Property Development (Mainland China)](index=8&type=section&id=Property%20Development%20(Mainland%20China)) The Mainland residential market benefited from supportive policies, leading to approximately **RMB4 billion** in contract sales and **RMB8.1 billion** in unbooked sales - The Mainland residential market was supported by positive policies such as reduced loan prime rates, lower reserve requirement ratios, and relaxed home purchase restrictions[24](index=24&type=chunk) - Mainland contract sales were approximately **RMB4 billion**, primarily from the joint development project Suzhou Lakeside Seasons Phase 2, and new residential units at Guangzhou Royal Park and The Cullinan[24](index=24&type=chunk) Completed Development Projects (Mainland China) | Project | Location | Property Use | Group's Interest (%) | Attributable Gross Floor Area (sq ft) | | :--- | :--- | :--- | :--- | :--- | | Royal Park Phase 3A | Huadu District, Guangzhou | Residential | 100 | 477,000 | | Arch Central Phase 3 | Lujiazui, Shanghai | Residential | 100 | 465,000 | | The Cullinan Phase 1A and 1B | Panyu District, Guangzhou | Residential | 100 | 347,000 | | The Paragon Phase 6B | Chancheng District, Foshan | Residential | 50 | 245,000 | | **Total** | | | | **1,534,000** | - As of June 30, 2025, unbooked Mainland contract sales reached **RMB8.1 billion**, with most expected to be recognized in FY2025/26[25](index=25&type=chunk) [Property Investment (Mainland China)](index=9&type=section&id=Property%20Investment%20(Mainland%20China)) Mainland rental property portfolio's total rental income decreased by 2% to **RMB5.713 billion**, but key malls maintained competitiveness and high occupancy rates - Mainland rental property portfolio's total rental income decreased by **2%** year-on-year to **RMB5.713 billion**[26](index=26&type=chunk) - Shanghai IFC Mall actively adapts to market trends by offering premium services, art installations, and diverse events to create immersive experiences[27](index=27&type=chunk) - Guangzhou Parc Central and IGC malls leverage outdoor spaces and expand the pet economy, while Nanjing IFC Mall's occupancy has risen since its July 2024 opening, contributing new revenue[28](index=28&type=chunk) - The Mainland office market faces challenges, but the group's ITC Phase 3 Tower A achieved an occupancy rate of nearly **80%**, contributing to recurring income[29](index=29&type=chunk) - The remaining parts of the large-scale Shanghai ITC Phase 3 project (Tower B office building, flagship mall ITC Maison, and Andaz Shanghai Xujiahui) are expected to be completed by the end of 2025[30](index=30&type=chunk) [Other Businesses](index=11&type=section&id=Other%20Businesses) The group's diverse businesses, including hotels, telecommunications, and infrastructure, showed stable performance and strategic growth [Hotels](index=11&type=section&id=Hotels) Hong Kong hotel business performed satisfactorily due to increased tourism and events, with Mainland hotels also growing steadily and new openings planned - Hong Kong hotel business benefited from increased overseas and Mainland visitors, major events, and the "concert economy," leading to continuous improvement in room revenue and high occupancy rates[32](index=32&type=chunk) - Driven by expanded visa-free policies in Mainland China, international visitor numbers increased, and The Ritz-Carlton Shanghai, Pudong maintained high occupancy[33](index=33&type=chunk) - The Andaz Shanghai Xujiahui, part of the ITC Phase 3 integrated project, is expected to open by the end of 2025[33](index=33&type=chunk) [Telecommunications and Information Technology](index=11&type=section&id=Telecommunications%20and%20Information%20Technology) SmarTone maintained stable performance with improved profitability and network quality, while SUNeVision's data center business saw strong growth with new facilities - SmarTone maintained stable performance with further improved profitability, offering the highest per-customer available spectrum resources in Hong Kong[34](index=34&type=chunk) - SmarTone launched new services, including high-speed 5G home broadband supporting WiFi 7, and uses AI to test network blind spots[34](index=34&type=chunk) - SUNeVision's business showed strong growth, with robust demand for data center services, and MEGA IDC Phase 1 in Tseung Kwan O commenced operations in Q2 2024[36](index=36&type=chunk) [Infrastructure and Other Businesses](index=12&type=section&id=Infrastructure%20and%20Other%20Businesses) The group's infrastructure and transport businesses remained resilient, with stable performance in parking and aviation, and YATA focusing on supermarket operations - The group's infrastructure and transport businesses continued to perform resiliently, with Wilson Group's car park and tunnel management businesses recording stable results[38](index=38&type=chunk) - Hong Kong Business Aviation Centre's business performance was stable, with flight movements nearing pre-pandemic levels, and major terminal upgrade works nearing completion[38](index=38&type=chunk) - YATA has adjusted its operating model to focus on its more stable supermarket business, optimizing product mix and introducing new specialty products[39](index=39&type=chunk) [Group Financials](index=13&type=section&id=Group%20Financials) The group maintained a robust financial position with a net debt-to-equity ratio of **15.1%** and interest coverage of **6 times**, showing improvement from the previous year - The group's financial position remained robust, with a net debt-to-equity ratio of **15.1%** and interest coverage of **6 times**, indicating improved financial ratios year-on-year[40](index=40&type=chunk) - The group's A1 rating was affirmed by Moody's with an upgraded outlook to stable, while S&P maintained its A+ rating (outlook negative)[40](index=40&type=chunk) - The group successfully secured sufficient RMB financing, including a **RMB700 million** three-year offshore RMB bond and a second batch of **RMB2 billion** commercial mortgage-backed securities, to lower borrowing costs and balance RMB assets and liabilities[40](index=40&type=chunk) - The group does not engage in speculative derivative or structured product trading, with all USD borrowings hedged via cross-currency swaps, and RMB debt naturally hedged by Mainland assets[41](index=41&type=chunk) [Corporate Governance](index=14&type=section&id=Corporate%20Governance) The group upholds high corporate governance standards with an 18-member board, including seven independent non-executive directors, ensuring diverse experience and independent oversight - The Board comprises **18 members**, including **7 Independent Non-Executive Directors**, whose diverse experience, expertise, and backgrounds meet the group's strategic, governance, and business needs[42](index=42&type=chunk) - The Board delegates specific roles to four committees: Executive Committee, Remuneration Committee, Nomination Committee, and Audit and Risk Management Committee, each with clearly defined terms of reference[43](index=43&type=chunk) - The group received multiple major awards from leading financial publications during the year, including being named "Overall Best Developer" in Hong Kong, China, Asia Pacific, and globally by Euromoney[43](index=43&type=chunk) [Sustainability](index=15&type=section&id=Sustainability) The group achieved an improved MSCI ESG rating of **AA**, focusing on sustainable building practices, renewable energy, and active community engagement - The group's MSCI ESG rating was upgraded to **AA**, and it received recognition from several major global indices, including inclusion in the Dow Jones Sustainability Asia Pacific Index and S&P Global Sustainability Yearbook 2025 (and its China edition)[44](index=44&type=chunk) [Environment](index=15&type=section&id=Environment) The group prioritizes sustainable construction, aiming for LEED Gold or Platinum certification for new core commercial projects, and has installed approximately **20,000 solar panels** - The group places high importance on sustainable construction, aiming for LEED Gold or Platinum certification for all new core commercial projects, and has obtained approximately **150 green building certifications** in Hong Kong as of end-June 2025[45](index=45&type=chunk) - International Commerce Centre became the first building in Asia to receive **LEED v5.0 Existing Buildings: Operations & Maintenance Platinum certification**[45](index=45&type=chunk) - The group has installed approximately **20,000 solar panels** across its managed properties and construction sites, forming Hong Kong's largest solar power network, and is building the city's first private solar farm on a landfill with a joint venture partner[45](index=45&type=chunk) - To promote low-carbon transportation, the group has installed nearly **100 EV fast-charging devices** across all 18 districts in Hong Kong and plans to further expand its network[46](index=46&type=chunk) [Society](index=16&type=section&id=Society) The group actively fulfills its corporate social responsibility by providing free venues for community services, promoting youth education, and advocating for sports and cultural exchange - The group provides free venues for operating the "Ko Shan Road Community Living Room," offering facilities and services to families living in subdivided units[47](index=47&type=chunk) - The group continues to promote reading and STEM education among youth through the "Reading Club" and organizes aerospace-themed activities[47](index=47&type=chunk) - Pak Shek Kok GO PARK, the group's unique sports-themed commercial complex, offers international standard professional facilities for over ten popular and emerging sports, and has hosted over **160 sports events**[48](index=48&type=chunk) - Ma Wan Park Phase 2 "Ma Wan 1868" officially opened, integrating conservation, nature, art, culture, and leisure, and supports young entrepreneurs with rent-free shops through the "Co-create Entrepreneur 2.0" program[49](index=49&type=chunk) [Outlook](index=17&type=section&id=Outlook) Despite global economic volatility, the group anticipates economic growth driven by accommodative monetary policies and AI, with confidence in Hong Kong and Mainland China's long-term prospects - The global economic environment is expected to remain volatile and uncertain, but accommodative monetary policies in major economies and rising expectations of US interest rate cuts are conducive to economic growth[50](index=50&type=chunk) - Mainland China's economy shows good performance in key indicators and is expected to maintain stable and positive development, with proactive fiscal and moderately loose monetary policies fostering a favorable business environment[50](index=50&type=chunk) - Hong Kong's economy is in a transition phase, with an active financial market and improving tourism expected to drive moderate growth in the short term, and buyer confidence and residential transaction volumes anticipated to improve[51](index=51&type=chunk) - The group is committed to enhancing asset turnover in its property development business to maintain strong cash flow, while preserving substantial recurring income through a diversified portfolio of rental properties and non-property businesses[52](index=52&type=chunk) - Over the next ten months, the group plans to launch existing units of Grand Mayfair Phase 2 and Grand Mayfair Sea Phase 2 in Kai Tak, and major residential projects like Pak Shek Kok Development Phase 2A and 2B in Hong Kong[53](index=53&type=chunk) - Over the next two to three years, newly completed investment properties in Hong Kong and Mainland China, including the new Kwun Tong mall Scramble Hill and Kai Tak Grand Mayfair Mall, will progressively contribute to the group's recurring income[55](index=55&type=chunk) [Acknowledgements](index=19&type=section&id=Acknowledgements) The Chairman extends sincere gratitude to all employees for their resilience in a dynamic market, the Board for their guidance, and shareholders and customers for their enduring trust and support - The Chairman thanks all employees for their dedication and tireless efforts, the Board members for their wise guidance, and shareholders and customers for their enduring trust and support for the group[57](index=57&type=chunk) Notices [Consolidated Income Statement](index=20&type=section&id=Consolidated%20Income%20Statement) For the year ended June 30, 2025, the group's revenue increased to **HK$79.721 billion**, with operating profit at **HK$26.078 billion**, and profit attributable to shareholders at **HK$19.277 billion** Consolidated Income Statement Summary | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Revenue | 79,721 | 71,506 | | Operating Profit | 26,078 | 26,752 | | Change in Fair Value of Investment Properties | (2,730) | (1,481) | | Net Finance Costs | (2,485) | (3,567) | | Profit Before Tax | 24,753 | 23,583 | | Profit for the Year | 19,884 | 19,605 | | Profit Attributable to Company Shareholders | 19,277 | 19,046 | | Basic Underlying EPS | $7.54 | $7.50 | | Reported EPS | $6.65 | $6.57 | [Consolidated Statement of Comprehensive Income](index=21&type=section&id=Consolidated%20Statement%20of%20Comprehensive%20Income) For the year ended June 30, 2025, the group's total comprehensive income significantly increased to **HK$22.519 billion**, primarily due to a reversal from loss to gain in exchange differences from Mainland subsidiaries Consolidated Statement of Comprehensive Income Summary | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Profit for the Year | 19,884 | 19,605 | | Exchange Differences on Translation of Mainland Subsidiaries' Accounts | 1,810 | (355) | | Other Comprehensive Income/(Loss) for the Year | 2,635 | (944) | | Total Comprehensive Income for the Year | 22,519 | 18,661 | | Total Comprehensive Income Attributable to Company Shareholders | 21,889 | 18,089 | [Consolidated Statement of Financial Position](index=22&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the group's total non-current assets were **HK$581.181 billion**, with total equity attributable to shareholders at **HK$617.851 billion** Consolidated Statement of Financial Position Summary | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Non-Current Assets | 581,181 | 569,431 | | Current Assets | 235,712 | 248,663 | | Current Liabilities | (70,092) | (62,012) | | Net Assets | 622,374 | 611,071 | | Equity Attributable to Shareholders | 617,851 | 606,717 | | Bank Balances and Cash | 16,919 | 16,221 | [Notes to the Consolidated Financial Statements](index=23&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) This section details the basis of preparation, segment information, other net income, net finance costs, taxation, earnings per share, dividends, investment property valuation, and trade receivables/payables [Basis of Preparation](index=23&type=section&id=Basis%20of%20Preparation) The consolidated financial statements are prepared under HKFRS and the Companies Ordinance, primarily using historical cost, with no significant impact from new accounting standards - The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards issued by the Hong Kong Institute of Certified Public Accountants, and the disclosure requirements of the Hong Kong Companies Ordinance (Cap. 622) and the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[63](index=63&type=chunk) - Except for investment properties and certain financial instruments measured at fair value, these consolidated financial statements are prepared on a historical cost basis[63](index=63&type=chunk) - During the year, the group adopted several amendments to Hong Kong Financial Reporting Standards issued by the Hong Kong Institute of Certified Public Accountants, with no significant impact on the group's financial statements[64](index=64&type=chunk) [Segment Information](index=24&type=section&id=Segment%20Information) The group operates across property development, investment, hotels, telecom, infrastructure, data centers, and other businesses, with Hong Kong contributing **83%** of total revenue Segment Revenue and Results | Segment | 2025 Revenue (HK$ million) | 2025 Results (HK$ million) | 2024 Revenue (HK$ million) | 2024 Results (HK$ million) | | :--- | :--- | :--- | :--- | :--- | | Property Development | 33,880 | 8,007 | 25,106 | 6,563 | | Property Leasing | 19,855 | 14,892 | 20,366 | 15,504 | | Hotel Operations | 4,416 | 486 | 4,421 | 521 | | Telecommunications | 6,253 | 752 | 6,221 | 701 | | Transport Infrastructure and Logistics | 4,441 | 1,188 | 4,571 | 1,294 | | Data Centre Operations | 2,938 | 1,489 | 2,674 | 1,266 | | Other Businesses | 7,938 | 959 | 8,147 | 1,125 | | **Total Segments** | **79,721** | **27,773** | **71,506** | **26,974** | Geographical Revenue Breakdown | Region | 2025 Revenue (HK$ million) | 2024 Revenue (HK$ million) | | :--- | :--- | :--- | | Hong Kong | 66,165 | 65,267 | | Mainland China | 13,495 | 6,187 | | Other | 61 | 52 | | **Total** | **79,721** | **71,506** | [Other Net Income](index=26&type=section&id=Other%20Net%20Income) Other net income was **HK$288 million**, including **HK$1.137 billion** from land resumption and **HK$390 million** from investment property sales, partially offset by **HK$1.384 billion** in impairment provisions Other Net Income Components | Item | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Gain on Land Resumption | 1,137 | 1,095 | | Profit on Disposal of Investment Properties | 390 | 343 | | Impairment Provision for Development Properties | (1,384) | - | | Others | 145 | 328 | | **Total** | **288** | **1,766** | - The impairment provision for development properties was primarily attributable to the Grand Mayfair residential project[71](index=71&type=chunk) [Net Finance Costs](index=26&type=section&id=Net%20Finance%20Costs) Net finance costs significantly decreased to **HK$2.485 billion** from **HK$3.567 billion** last year, mainly due to reduced interest expenses on bank and other borrowings Net Finance Costs Breakdown | Item | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Interest and Other Finance Expenses on Bank and Other Borrowings | 4,604 | 6,090 | | Less: Amount Capitalized | (1,895) | (2,199) | | Interest Income from Bank Deposits | (371) | (479) | | **Net Finance Costs** | **2,485** | **3,567** | [Profit Before Tax](index=27&type=section&id=Profit%20Before%20Tax) Profit before tax was **HK$24.753 billion**, with key deductions including property sales costs and employee expenses, and income from investments Profit Before Tax Components | Item | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Cost of Properties Sold | 22,612 | 16,480 | | Employee Expenses (including directors' emoluments and retirement scheme contributions) | 10,559 | 10,605 | | Depreciation of Property, Plant and Equipment | 3,105 | 3,088 | | Dividend Income from Investments | 67 | 75 | | Interest Income from Investments | 32 | 69 | [Taxation](index=28&type=section&id=Taxation) Total income tax expense was **HK$4.869 billion**, comprising **HK$2.423 billion** in Hong Kong profits tax and **HK$3.372 billion** in overseas taxes, with a deferred tax credit of **HK$926 million** Taxation Breakdown | Item | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Hong Kong Profits Tax | 2,439 | 2,549 | | (Overprovision)/Underprovision in Prior Years | (16) | 14 | | Taxation Outside Hong Kong | 3,372 | 1,336 | | Deferred Tax (Credit)/Expense | (926) | 79 | | **Total Income Tax Expense** | **4,869** | **3,978** | [Earnings Per Share](index=28&type=section&id=Earnings%20Per%20Share) Reported basic and diluted earnings per share was **HK$6.65**, while underlying earnings per share was **HK$7.54**, excluding fair value changes of investment properties Earnings Per Share Metrics | Indicator | 2025 (HK$) | 2024 (HK$) | | :--- | :--- | :--- | | Reported EPS (Basic and Diluted) | $6.65 | $6.57 | | Underlying EPS (Basic and Diluted) | $7.54 | $7.50 | - Basic and diluted earnings per share are the same as there were no dilutive potential ordinary shares during the year[74](index=74&type=chunk) [Dividends (Notes)](index=30&type=section&id=Dividends%20(Notes)) The Board proposed a final dividend of **HK$2.80 per share**, bringing the full-year dividend to **HK$3.75 per share**, consistent with the prior year Dividend Declaration Details | Dividend Type | Amount Per Share (HK$) | Total Amount (HK$ million) | | :--- | :--- | :--- | | Interim Dividend Declared and Paid | $0.95 | 2,753 | | Proposed Final Dividend | $2.80 | 8,114 | | **Total Annual Dividend** | **$3.75** | **10,867** | [Investment Properties (Notes)](index=30&type=section&id=Investment%20Properties%20(Notes)) As of June 30, 2025, total investment properties were valued at **HK$417.045 billion**, with a fair value decrease of **HK$2.730 billion** for the year Investment Property Values | Item | 2025 (HK$ million) | 2024 (HK$ million) | | :--- | :--- | :--- | | Completed Investment Properties | 351,394 | 349,214 | | Investment Properties Under Development | 65,651 | 59,210 | | **Total Investment Properties** | **417,045** | **408,424** | | Decrease in Fair Value | (2,730) | (1,481) | - The group's investment properties were revalued at market value as of June 30, 2025, and June 30, 2024, by Knight Frank Petty Limited (an independent qualified surveyor)[79](index=79&type=chunk) - Completed investment properties are valued using the income capitalization approach, while investment properties under development are valued using the residual method[79](index=79&type=chunk) [Trade and Other Receivables](index=32&type=section&id=Trade%20and%20Other%20Receivables) Trade receivables totaled **HK$3.252 billion**, with **59%** less than 30 days old and **18%** over 90 days - Trade receivables amounted to **HK$3.252 billion** (2024: HK$3.645 billion), with an aging analysis showing **59%** less than 30 days, **13%** between 31 and 60 days, **10%** between 61 and 90 days, and **18%** over 90 days[81](index=81&type=chunk) [Trade and Other Payables](index=32&type=section&id=Trade%20and%20Other%20Payables) Trade payables totaled **HK$2.476 billion**, with **59%** less than 30 days old and **31%** over 90 days - Trade payables amounted to **HK$2.476 billion** (2024: HK$3.07 billion), with an aging analysis showing **59%** less than 30 days, **7%** between 31 and 60 days, **3%** between 61 and 90 days, and **31%** over 90 days[82](index=82&type=chunk) Financial Review [Review of 2024/25 Results](index=33&type=section&id=Review%20of%202024%2F25%20Results) Underlying profit attributable to shareholders increased by **HK$116 million** to **HK$21.855 billion**, driven by higher property development and investment property sales profit and reduced finance costs, with total revenue up 8% Key Financial and Operational Metrics | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | Change | | :--- | :--- | :--- | :--- | | Underlying Profit Attributable to Shareholders | 21,855 | 21,739 | Increase 116 | | Reported Profit Attributable to Shareholders | 19,277 | 19,046 | Increase 231 | | Total Revenue (including joint ventures and associates) | 90,119 | 83,636 | Increase 8% | | Property Development Revenue (including joint ventures and associates) | 34,556 | 27,422 | Increase 26% | | Overall Rental Income (including joint ventures and associates) | 24,461 | 24,991 | Decrease 2% | | Property Development Profit (including joint ventures and associates) | 8,290 | 7,850 | Increase 6% | | Recurring Profit | 23,898 | 24,509 | Decrease | | Net Rental Income | 18,392 | 19,000 | Decrease | - Hong Kong property development profit decreased by **51%** to **HK$3.2 billion**, primarily due to a decline in gross profit margin to **12%**[86](index=86&type=chunk) - Mainland China property development revenue increased by **214%** to **HK$8.417 billion**, with profit increasing by **281%** to **HK$5.09 billion**, mainly from higher profits on the sale of Arch Central Phase 3 residential units[87](index=87&type=chunk) - As of June 30, 2025, the group's unrecognised contract sales revenue from properties (including investment properties and attributable share of joint ventures) amounted to **HK$44.4 billion**[87](index=87&type=chunk) - Hong Kong property investment rental income decreased by **2%** to **HK$17.531 billion**, with net rental income decreasing by **3%** to **HK$12.956 billion**; residential and serviced apartment property portfolio rental income increased by **12%** year-on-year[88](index=88&type=chunk) - Mainland China investment property portfolio rental income, in HKD terms, decreased by **2%** to **HK$6.173 billion**, with net rental income decreasing by **3%** to **HK$4.864 billion**[89](index=89&type=chunk) - The hotel segment recorded stable revenue of **HK$5.25 billion**, with improved room revenue and high occupancy rates, averaging **90%**[89](index=89&type=chunk) - SmarTone's operating profit increased by **7%** to **HK$752 million**, mainly from a one-off gain on the disposal of its Macau business and reduced service costs and operating expenses through cost control and efficiency measures[90](index=90&type=chunk) - SUNeVision's revenue increased by **10%** to **HK$2.938 billion**, with operating profit increasing by **18%** to **HK$1.489 billion**, primarily due to new customers moving into newly completed data centers, enhancing utilization[90](index=90&type=chunk) - The group (including its share of joint ventures and associates) recorded a net decrease in fair value of investment properties of **HK$1.557 billion**, with Hong Kong decreasing by **HK$1.105 billion**, Mainland China by **HK$1.232 billion**, and Singapore increasing by **HK$780 million**[92](index=92&type=chunk) - The group's net finance costs before capitalization decreased by **24%** to **HK$4.38 billion**, with the average cost of debt falling to **3.7%**; interest coverage ratio was **6 times**[93](index=93&type=chunk) [Financial Management](index=37&type=section&id=Financial%20Management) The group adopts a proactive and prudent financial management approach, maintaining a robust balance sheet and diversified funding sources [Gearing Ratio](index=37&type=section&id=Gearing%20Ratio) As of June 30, 2025, net debt decreased by **16%** to **HK$93.298 billion**, resulting in a gearing ratio of **15.1%**, reflecting improved financial health Gearing Ratio and Debt Profile | Indicator | 2025 (HK$ million) | 2024 (HK$ million) | Change | | :--- | :--- | :--- | :--- | | Total Shareholders' Equity | 617,851 | 606,717 | Increase 11,134 | | Net Debt | 93,298 | 110,866 | Decrease 17,568 (16%) | | Gearing Ratio | 15.1% | 18.3% | Improvement | - The group's total debt amounted to **HK$110.217 billion**, with **63%** from bank borrowings and **37%** from notes and bonds[98](index=98&type=chunk) - The group's debt maturity profile remains healthy, with approximately **70%** of debt repayable in over two years, and the weighted average repayment period for the total debt portfolio is **3.1 years**[98](index=98&type=chunk) [Financial Resources](index=39&type=section&id=Financial%20Resources) The group's strong financial strength enables it to raise long-term funds at competitive rates and maintain ample unutilized committed bank facilities with a balanced maturity structure - The group's strong financial strength enables it to raise long-term funds at competitive rates through various channels[101](index=101&type=chunk) - The group consistently ensures ample unutilized committed bank facilities, mostly arranged on a medium-to-long-term basis with a balanced maturity structure, which helps reduce refinancing risk and enhance financing flexibility[101](index=101&type=chunk) [Foreign Exchange Risk Management](index=39&type=section&id=Foreign%20Exchange%20Risk%20Management) The group has minimal foreign exchange risk due to its HKD-denominated asset base, with Mainland net investments naturally hedged by RMB borrowings, and uses derivatives for risk management - The group has minimal foreign exchange risk due to its substantial HKD-denominated asset base and business cash flows[102](index=102&type=chunk) - The group does not use foreign currency derivatives to hedge the translation risk of its Mainland investments and maintains adequate RMB financial resources to meet funding needs[102](index=102&type=chunk) - The appreciation of RMB against HKD by approximately **2.3%** resulted in an exchange gain of approximately **HK$2.4 billion** when these RMB assets were translated into HKD at the June 30, 2025 exchange rate[102](index=102&type=chunk) - The group entered into interest rate swap agreements, cross-currency interest rate swap agreements, and foreign exchange forward contracts with a total notional principal of **HK$16.389 billion** to manage interest rate and foreign exchange risks, without engaging in speculative derivative or structured product trading[103](index=103&type=chunk) [Bank Balances and Cash](index=40&type=section&id=Bank%20Balances%20and%20Cash) As of June 30, 2025, bank balances and cash totaled **HK$16.919 billion**, with **61%** in HKD and **28%** in RMB, all held with high-credit-rated banks - As of June 30, 2025, the group's bank balances and cash amounted to **HK$16.919 billion**, with **61%** in HKD and **28%** in RMB[104](index=104&type=chunk) - All deposits are held with high-credit-rated banks, with appropriate credit limits set based on their credit ratings, and risks of financial counterparties are regularly monitored[104](index=104&type=chunk) [Pledged Assets](index=40&type=section&id=Pledged%20Assets) Group subsidiaries pledged **HK$45 million** in bank deposits as security for bank guarantees and **HK$17.492 billion** in other assets as security for bank borrowings - Group subsidiaries pledged bank deposits totaling **HK$45 million** as security for bank guarantees[105](index=105&type=chunk) - Group subsidiaries pledged certain assets with a total book value of **HK$17.492 billion** as security for bank borrowings[105](index=105&type=chunk) [Contingent Liabilities](index=40&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the group's contingent liabilities totaled **HK$1.955 billion**, primarily comprising guarantees for joint venture borrowings and other guarantees - As of June 30, 2025, the group's contingent liabilities amounted to **HK$1.955 billion**, primarily related to guarantees for bank borrowings granted to joint ventures and other guarantees[106](index=106&type=chunk) Other Corporate Information [Group Remuneration Policy and Long-Term Incentive Schemes](index=41&type=section&id=Group%20Remuneration%20Policy%20and%20Long-Term%20Incentive%20Schemes) The group employs over **38,000 staff** with total remuneration of approximately **HK$15.122 billion**, based on market levels, individual performance, and comprehensive benefits - As of June 30, 2025, the group employed over **38,000 staff**, with total employee remuneration before reimbursement of expenses amounting to approximately **HK$15.122 billion** for the year[107](index=107&type=chunk) - The group's remuneration policy is determined based on market levels, individual employee performance, and contributions, with widespread use of performance-based bonuses[107](index=107&type=chunk) [Criteria for Determining Directors' Remuneration](index=41&type=section&id=Criteria%20for%20Determining%20Directors'%20Remuneration) Directors' remuneration is determined by market benchmarks, individual capabilities and contributions, and the company's affordability, with appropriate benefits for executive directors - In determining the remuneration level for each director, the company considers market benchmarks, individual capabilities and contributions, and the company's affordability[108](index=108&type=chunk) [Dividends (Company Announcement)](index=41&type=section&id=Dividends%20(Company%20Announcement)) The Board proposed a final dividend of **HK$2.80 per share**, maintaining the full-year dividend at **HK$3.75 per share**, payable on November 20, 2025 - The Board of Directors proposed a final dividend of **HK$2.80 per share** for the year ended June 30, 2025, which, together with the interim dividend of **HK$0.95 per share** paid on March 20, 2025, brings the total annual dividend for the year ended June 30, 2025, to **HK$3.75 per share**, the same as last year[109](index=109&type=chunk) - If the proposed final dividend is approved at the upcoming Annual General Meeting, it will be paid in cash on **Thursday, November 20, 2025**, to shareholders whose names appear on the company's register of members on **Wednesday, November 12, 2025**[109](index=109&type=chunk) [Annual General Meeting](index=41&type=section&id=Annual%20General%20Meeting) The 2025 Annual General Meeting will be held on November 6, 2025, with the relevant notice to be sent to shareholders in due course - The 2025 Annual General Meeting will be held on **Thursday, November 6, 2025**[110](index=110&type=chunk) [Closure of Register of Members](index=42&type=section&id=Closure%20of%20Register%20of%20Members) The company's register of members will be closed from November 3 to November 6, 2025, to determine eligibility for the AGM, and on November 12, 2025, for final dividend entitlement - To ascertain eligibility to attend and vote at the 2025 Annual General Meeting, the company's register of members will be closed from **Monday, November 3, 2025, to Thursday, November 6, 2025** (both dates inclusive)[114](index=114&type=chunk) - To ascertain entitlement to the proposed final dividend, the company's register of members will be closed on **Wednesday, November 12, 2025**[114](index=114&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=42&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Listed%20Securities) Neither the company nor its subsidiaries purchased, sold, or redeemed any of its listed securities during the year ended June 30, 2025 - During the year ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[112](index=112&type=chunk) [Audit and Risk Management Committee](index=42&type=section&id=Audit%20and%20Risk%20Management%20Committee) The annual results for the year ended June 30, 2025, were reviewed by the Audit and Risk Management Committee, and the consolidated financial statements were audited with an unmodified opinion - The annual results for the year ended June 30, 2025, have been reviewed by the company's Audit and Risk Management Committee, and the group's consolidated financial statements have been audited by the company's auditor, Deloitte Touche Tohmatsu, who issued an unmodified opinion[113](index=113&type=chunk) [Compliance with Corporate Governance Code](index=43&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The company complied with the Corporate Governance Code, with the exception of combining Chairman and CEO roles, which the board deems balanced due to independent oversight - During the year ended June 30, 2025, the company complied with the applicable code provisions of the Corporate Governance Code set out in Appendix C1 to the Listing Rules, except that the company did not separate the roles of Chairman and Chief Executive Officer as required by code provision C.2.1[115](index=115&type=chunk) - The Board includes two Non-Executive Directors and seven Independent Non-Executive Directors, who provide diverse experience, expertise, independent advice, and perspectives, thus the Board believes that the power distribution is balanced and adequately safeguarded[115](index=115&type=chunk) [Annual Report](index=43&type=section&id=Annual%20Report) The 2024-2025 Annual Report, containing all financial and other relevant information, will be published by the end of October 2025 on HKEX and company websites and sent to shareholders - The 2024-2025 Annual Report, containing all financial and other relevant information as required by the Listing Rules, will be published by the end of October 2025 on the website of Hong Kong Exchanges and Clearing Limited (www.hkexnews.hk) and the company's website (www.shkp.com), and sent to shareholders[116](index=116&type=chunk)

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8月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 新鴻基地產發展有限公司 呈交日期: 2025年9月1日 I. 法定/註冊股本變動 不適用 FF301 第 1 頁 共 10 頁 v 1.1.1 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00016 | | 說明 | | | | | | | | 多櫃檯證券代號 | 80016 | RMB 說明 | | | | | | | | | | | 已發行股份（不包括庫存股份）數目 | | | 庫存股份數目 | | | 已發行股份總數 | | | 上月底結存 | | | | 2,897,780,274 | | | 0 | | 2,897,780,274 | | 增加 / 減少 ( ...

Group 1 - The core viewpoint of the article highlights the performance of the China Securities Index for Hong Kong-listed real estate, which has seen significant increases over various time frames, including a 7.53% rise in the past month, a 16.03% rise in the past three months, and a 26.13% rise year-to-date [1] - The index is part of a series that includes HKT Hong Kong Real Estate, HKT Mainland Consumption, and HKT Mainland Banking, designed to reflect the overall performance of related securities in the Hong Kong market, characterized by high liquidity and ease of short selling [1] - The index is based on a reference date of December 31, 2007, with a base point of 1000.0 [1] Group 2 - The holdings of the China Securities Index for Hong Kong-listed real estate are entirely composed of securities from the Hong Kong Stock Exchange, with a 100% allocation [2] - The index's sample is exclusively focused on the real estate sector, also with a 100% allocation [3] - The index samples are adjusted biannually, with adjustments occurring on the next trading day following the second Friday of June and December each year, and the weight factors are generally fixed until the next scheduled adjustment [3]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 新鴻基地產發展有限公司 呈交日期: 2025年8月4日 I. 法定/註冊股本變動 不適用 FF301 第 1 頁 共 10 頁 v 1.1.1 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00016 | | 說明 | | | | | | | | 多櫃檯證券代號 | 80016 | RMB 說明 | | | | | | | | | | | 已發行股份（不包括庫存股份）數目 | | | 庫存股份數目 | | | 已發行股份總數 | | | 上月底結存 | | | | 2,897,780,274 | | | 0 | | 2,897,780,274 | | 增加 / 減少 ( ...

格隆汇8月1日丨新鸿基地产(00016.HK)宣布，公司将于2025年9月4日（星期四）举行董事局会议，藉以 (其中包括)批准公司及其附属公司截至2025年6月30日止财政年度的全年业绩及其发布，以及考虑建议 派发末期股息。 ...

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，概不對因本公告全部或任何部分內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 (於香港註冊成立之有限公司) 股份代號 : 16 ( 港幣櫃台 ) 及 80016 ( 人民幣櫃台 ) 董 事 局會議 召開日期 新鴻基地產發展有限 公 司 (「本公司 」)謹 此 宣佈， 本公司 將 於 二 ○ 二 五 年 九 月 四 日（星期 四 ）舉 行 董 事 局 (「 董事局 」) 會議，藉以 ( 其中包括 ) 批 准 本公司及其附屬公司 截 至 二 ○ 二 五 年 六 月三十日 止 財政年度 之 全 年 業 績 及 其 發 佈 ， 以 及 考 慮 建 議 派 發 末 期股息。 承董事 局 命 公司秘書 容上達 本公告以英文及中文發出。中英文版本內容如有任何不相符，概以英文版本為準。 香港，二○二五 年八月一日 於本公告所載之日，本公司董事局由九名執行董事郭炳聯 (主席兼董事總經理) (郭顥澧 為其替代董事)、黃植榮(副董事總經理)、雷霆(副董事總經理)、郭基煇、郭基泓、董子豪、 馮玉麟、馮秀 ...

从指数持仓来看，中证港股通地产指数十大权重分别为：新鸿基地产（13.9%）、贝壳-W（13.22%）、 华润置地（10.85%）、长实集团（7.87%）、中国海外发展（6.38%）、九龙仓置业（4.52%）、信和置 业（4.22%）、恒基地产（4.07%）、九龙仓集团（2.99%）、龙湖集团（2.98%）。 从中证港股通地产指数持仓的市场板块来看，香港证券交易所占比100.00%。 从中证港股通地产指数持仓样本的行业来看，房地产占比100.00%。 金融界7月21日消息，上证指数高开高走，中证港股通地产指数 (港股通地产，931025)报1615.72点。 数据统计显示，中证港股通地产指数近一个月上涨4.69%，近三个月上涨10.83%，年至今上涨12.87%。 据了解，中证港股通地产投资指数从港股通范围合资格证券中选取符合地产主题的不超过50家香港市场 上市公司作为样本，以反映相关行业主题上市公司的整体表现。该指数以2014年11月14日为基日，以 3000.0点为基点。 资料显示，指数样本每半年调整一次，样本调整实施时间分别为每年6月和12月的第二个星期五的下一 交易日。权重因子随样本定期调整而调整，调整 ...

Core Insights - The article does not provide specific insights or analysis regarding any companies or industries, focusing instead on disclaimers and disclosures related to the author's positions and affiliations [1][2]. Group 1 - No stock, option, or similar derivative positions are held by the author in any mentioned companies, nor are there plans to initiate such positions in the next 72 hours [1]. - The article expresses the author's personal opinions and is not compensated for it, aside from Seeking Alpha [1]. - Seeking Alpha clarifies that past performance does not guarantee future results and that no investment recommendations are provided [2].

Financial Performance - The group's revenue for the six months ended December 31, 2024, was HKD 39,933 million, representing a 45.0% increase compared to HKD 27,542 million in the same period last year[7]. - The attributable profit to shareholders, excluding fair value changes of investment properties, was HKD 10,463 million, up 17.5% from HKD 8,906 million year-on-year[7]. - The basic earnings per share based on the accounts was HKD 2.60, down 17.7% from HKD 3.16 in the previous year[7]. - The interim dividend declared was HKD 0.95 per share, unchanged from the same period last year[11]. - The group recorded a net profit of HKD 7,841 million, a decrease of 17.3% compared to HKD 9,473 million in the previous year[71]. - The total comprehensive income for the period was HKD 11,002 million, reflecting strong operational performance despite market challenges[75]. - The company reported a total comprehensive income of HKD 6,749 million for the period, compared to HKD 11,372 million in the previous year[71]. - The company reported a profit of HKD 9,145 million for the period, contributing to a total equity attributable to shareholders of HKD 602,330 million as of December 31, 2024[75]. Property Development - The group recorded property development profit of HKD 2,506 million, compared to HKD 2,040 million in the previous year, with total contracted sales amounting to approximately HKD 25,500 million[12]. - The group recorded a contract sales amount of approximately HKD 24.8 billion during the period, primarily from projects such as Kai Tak and North Point[17]. - The group has unrecognized contract sales amounting to HKD 30.4 billion as of December 31, 2024, with an estimated HKD 20.2 billion expected to be recognized in the second half of the fiscal year[20]. - The group aims to continue expanding its property portfolio to enhance recurring income streams and support future growth[15]. - The group plans to launch several new projects, including the sale of residential units in YOHO WEST PARKSIDE and multiple projects in mainland China, such as Suzhou Lakeside Seasons and Hangzhou International Financial Center[61]. Rental Income - Total rental income decreased by 1.4% to HKD 12,280 million, while net rental income fell by 3.5% to HKD 9,004 million[7]. - The total rental income from the property investment portfolio decreased slightly by 1% year-on-year to HKD 8.813 billion, with an overall occupancy rate maintained at approximately 93%[22]. - The average occupancy rate of the group's office portfolio remained stable at around 90% during the period, despite pressure from new supply in core areas[24]. - The rental income from the group's office portfolio was impacted by a decline in market rents due to intense competition and an uncertain external environment[35]. - Rental income from Hong Kong investment properties decreased by 1% to HKD 88,813 million, while net rental income fell by 4% to HKD 63,390 million[140]. Investment Properties - The fair value decrease of investment properties amounted to HKD 20,340 million, compared to a fair value increase of HKD 4,320 million in the previous year[10]. - The fair value of completed investment properties in Hong Kong is HKD 275.1 billion, with a capitalization rate of 5.1%[115]. - The fair value of completed investment properties in Mainland China is HKD 73.6 billion, with a capitalization rate of 6.6%[115]. - The group acquired investment properties worth HKD 5.5 billion during the period, with HKD 597 million for completed properties and HKD 4.9 billion for properties under development[109]. Financial Position - The group's debt ratio decreased to 17.8% as of December 31, 2024, with an interest coverage ratio maintained at a high level of 5 times[46]. - The group maintained a strong financial position with total equity of HKD 605 billion as of December 31, 2024[151]. - The total debt as of December 31, 2024, was HKD 122.26 billion, with 67% being bank loans and 33% being notes and bonds[152]. - The average interest rate on debt decreased to 4.0% from 4.5% in the previous year[148]. - The group has a solid foundation for recurring income, supported by ongoing property sales cash flow and substantial bank credit lines[157]. Sustainability Initiatives - The group successfully reduced greenhouse gas emissions from major commercial properties by 25% compared to the fiscal year 2019/20, ahead of its ten-year target[51]. - The group plans to reduce greenhouse gas emissions by 35% by the end of the fiscal year 2029/30, based on the same benchmark year[51]. - The group is constructing Hong Kong's first privately developed solar power plant on a landfill site, expected to produce 1.2 million kWh of green electricity annually upon completion in 2025[51]. - The number of fast electric vehicle charging stations installed in the group's shopping malls has doubled to 80, promoting the use of electric vehicles[51]. - The group is committed to sustainable community development, integrating nature, environmental protection, and healthy living elements in its projects[61]. Market Outlook - The global economic outlook for 2025 faces uncertainties due to geopolitical risks and trade policy unpredictability, although major central banks have begun a rate-cutting cycle to aid economic recovery[56]. - The company aims to maintain a low debt ratio and substantial recurring income from rental properties, while focusing on cost control and asset turnover in property development[58]. - The company is focused on expanding its real estate business in both Hong Kong and mainland China, with directors overseeing regional operations[194][197]. Corporate Governance - The board of directors includes experienced professionals with significant contributions to various sectors, ensuring robust governance[178][183]. - The company is committed to corporate governance, with independent directors serving on key committees such as the nomination and remuneration committees[189]. - The company has a clear succession plan in place, with younger directors being groomed for future leadership roles[192]. - The independent non-executive directors have extensive backgrounds in finance and management, contributing to informed decision-making[176][182].

Financial Performance - The company's basic profit attributable to shareholders for the six months ended December 31, 2024, was HKD 10.46 billion, compared to HKD 8.90 billion in the same period last year, representing an increase of approximately 17.5%[2] - The basic earnings per share for the same period was HKD 3.61, slightly down from HKD 3.70 in the previous year, indicating a decrease of about 2.4%[2] - The profit attributable to shareholders, including deferred tax and non-controlling interests, was HKD 7.52 billion, down from HKD 9.14 billion year-on-year, reflecting a decrease of approximately 17.7%[3] - Revenue for the six months ended December 31, 2024, was HKD 39,933 million, an increase of 45% compared to HKD 27,542 million in the same period of 2023[71] - Operating profit for the same period was HKD 12,098 million, up 10.5% from HKD 10,953 million year-on-year[71] - Net profit attributable to shareholders decreased to HKD 7,523 million, down 17.7% from HKD 9,145 million in the previous year[71] - Total comprehensive income for the period was HKD 6,749 million, down 40.1% from HKD 11,372 million in the same period last year[72] Revenue Breakdown - The property development segment in Hong Kong generated revenue of HKD 16,031 million with an operating profit of HKD 2,325 million, while the mainland contributed HKD 330 million in revenue and HKD 86 million in profit[78] - The rental property segment in Hong Kong reported revenue of HKD 7,485 million and an operating profit of HKD 5,319 million, while mainland operations contributed HKD 2,508 million in revenue and HKD 1,970 million in profit[78] - The hotel business generated revenue of HKD 2,278 million with an operating profit of HKD 313 million, and the telecommunications segment reported revenue of HKD 3,492 million with an operating profit of HKD 420 million[78] Property Development and Sales - The total contracted sales amount for the group during the period was approximately HKD 25.5 billion, reflecting a strong market performance[5] - The group achieved contracted sales of approximately HKD 24.8 billion in Hong Kong, driven by several key projects, including Kai Tak and North Point[9] - The group anticipates that approximately HKD 202 billion of the unrecognized contract sales of HKD 304 billion will be recognized in the second half of the fiscal year[12] - The group has approximately 1.3 million square feet of residential properties available for sale in the second half of the fiscal year[11] - The group recorded contract sales of over RMB 660 million during the period, mainly from quality residential units in multiple projects, including Guangzhou and Foshan[26] Rental Income and Occupancy - The total rental income for the group decreased by 1% year-on-year to HKD 12.28 billion, while net rental income fell by 3% to HKD 9.04 billion[6] - Total rental income decreased slightly by 0.1% year-on-year to HKD 8.813 billion, with an overall occupancy rate maintained at approximately 93%[13] - The average occupancy rate of the group's office portfolio remains stable at around 90% despite pressure from new supply in core areas[18] - The average occupancy rate of the group's hotels in Hong Kong improved from 84% to 90% during the reporting period[107] Investment Properties and Development Projects - The group is developing a major project at the West Kowloon High-Speed Rail Station, which will feature premium office space and high-end retail, with completion expected in early 2026[22] - The group plans to open a new shopping mall at The Millennity in 2025, with a total floor area of approximately 500,000 square feet, featuring selected specialty restaurants and shops[21] - The group is constructing the Hangzhou International Finance Center, which integrates smart and green elements, showcasing the group's commitment to innovative and sustainable property development[35] - The final phase of the Shanghai ITC project is expected to be completed in 2025, featuring over 5 million square feet of space, including a flagship mall and a high-rise office building[34] Financial Management and Debt - The group maintains a debt ratio of 17.8% and an interest coverage ratio of five times, reflecting strong financial management[46] - The company issued RMB 700 million in offshore bonds in July 2024 and RMB 2 billion in commercial mortgage-backed securities in August 2024, achieving the lowest interest rates for similar financing that year[47] - The group is committed to utilizing RMB debt financing to balance its RMB assets and liabilities, aiming to lower interest expenses[48] - The total debt as of December 31, 2024, was HKD 122.26 billion, with 67% being bank loans and 33% being notes and bonds[117] Sustainability and Corporate Responsibility - The group has successfully reduced greenhouse gas emissions from major commercial properties by 25% compared to the fiscal year 2019/20, achieving its ten-year target ahead of schedule[54] - The group aims to further reduce emissions by 35% from the same baseline year by the end of the fiscal year 2029/30[54] - The group has increased the number of fast electric vehicle charging stations to 80 across Hong Kong, promoting the use of electric vehicles and reducing carbon emissions[56] - The group has been recognized with eight awards at the 2024 Euromoney Real Estate Awards, including being named the "Best Real Estate Company" globally, in the Asia-Pacific region, and in Hong Kong[51] Market Outlook and Economic Conditions - The global economic outlook for 2025 faces increased uncertainty due to geopolitical risks and international trade policy uncertainties[61] - The Hong Kong economy is expected to grow slowly, prompting the government to implement reforms to solidify its traditional advantages and explore new growth points[62] - The government is promoting policies to attract talent and investment, which will support the recovery of the local property market[62] Corporate Governance and Future Plans - The company has complied with the corporate governance code provisions as of December 31, 2024, with a balanced distribution of power among the board members[133] - The mid-term report detailing all financial and related information will be published by the end of March 2025[134] - The company plans to continue expanding its market presence and investing in new technologies to enhance operational efficiency and drive future growth[80]