九龙仓置业(01997) - 2023 - 中期业绩

Financial Performance - The group's underlying net profit decreased by 9% to HKD 3.059 billion, compared to HKD 3.373 billion in 2022, with earnings per share at HKD 1.01, down from HKD 1.11 in the previous year[3]. - The group's revenue increased by 4% to HKD 6.473 billion, compared to HKD 6.21 billion in 2022[15]. - The operating profit rose by 11% to HKD 4.949 billion, up from HKD 4.444 billion in 2022, primarily due to improved hotel performance following border reopening[15]. - The group reported a profit of HKD 1.78 billion, compared to a loss of HKD 1.53 billion in the same period of 2022[32]. - The group’s total comprehensive income for the period was HKD 1.902 billion, compared to a loss of HKD 4.967 billion in the previous year[33]. - The company reported a total operating profit of HKD 2,567 million, compared to HKD 1,006 million in the previous year, reflecting a significant increase of approximately 155.5%[38]. - Basic earnings per share for the six months ended June 30, 2023, were HKD 1.80, compared to a loss of HKD 1.46 per share in 2022[47]. Revenue Segments - Overall revenue for Harbour City increased by 8%, with operating profit rising by 12%[5]. - Shopping mall revenue increased by 9%, with operating profit rising by 16%[6]. - The overall revenue for Hollywood Plaza increased by 5%, with operating profit rising by 8%[12]. - Hotel revenue surged by 90% to HKD 697 million, with an operating profit of HKD 67 million, recovering from a loss of HKD 172 million in 2022[15]. - Revenue for the investment property segment increased to HKD 5,455 million, up from HKD 5,360 million, reflecting a growth of approximately 1.77% year-over-year[38]. - The development property segment reported revenue of HKD 22 million, a significant decrease from HKD 185 million, indicating a decline of about 88.1%[38]. Dividends and Shareholder Returns - The first interim dividend is set at HKD 0.67 per share, totaling HKD 2.034 billion, which represents 65% of the underlying net profit from investment properties and hotels[4]. - The first interim dividend declared was HKD 0.67 per share, totaling HKD 2,034 million, down from HKD 0.70 per share or HKD 2,125 million in the previous year[48]. - Shareholders' equity increased by HKD 200 million to HKD 1,906 billion, equivalent to HKD 62.77 per share[20]. Market Conditions and Challenges - Retail sales growth slowed from 24% in Q1 to 18% in Q2, with visitor numbers and retail sales still significantly below pre-pandemic levels, at 37% and 85% of 2019 figures respectively[5]. - The office rental market remains under pressure, with a decline in revenue and operating profit by 8%, and an occupancy rate of 88% as of June 30, 2023[7]. - The group continues to face challenges from rising costs, particularly in labor and energy, impacting profit margins in both investment properties and hotel segments[5]. - Hotel room rates have increased, but overall demand showed signs of slowing in Q2, with the Marco Polo Prince Hotel reopening but not yet fully operational due to staffing shortages[8]. Assets and Liabilities - Total assets reached HKD 2,486 billion, with 94% located in Hong Kong[21]. - Total assets decreased from HKD 255,249 million as of December 31, 2022, to HKD 248,617 million as of June 30, 2023, representing a decline of approximately 2.5%[34]. - Total liabilities decreased from HKD 60,368 million to HKD 53,686 million, a reduction of about 11.1%[34]. - The net asset value increased slightly from HKD 194,881 million to HKD 194,931 million, indicating a marginal growth of 0.03%[34]. Debt and Financial Management - Financial expenses rose to HKD 990 million, up from HKD 609 million in 2022, with the effective borrowing rate increasing to 4.7% from 1.4%[18]. - As of June 30, 2023, net debt decreased by HKD 6.1 billion to HKD 39.1 billion, the lowest level since the company's listing, with a net debt-to-equity ratio of 20.1% (2022: 23.2%)[25]. - Total available credit and issued debt securities amounted to HKD 53.1 billion, with HKD 40.1 billion already utilized as of June 30, 2023[26]. - Interest expenses increased to HKD 1,031 million from HKD 323 million in the previous year, representing a substantial rise of 219.51%[44]. Operational Insights - The group employed approximately 2,800 staff members as of June 30, 2023, with compensation based on job responsibilities and market trends[30]. - The company has estimated capital expenditures of HKD 11 billion for the coming years, with HKD 4 billion already committed[29]. - The company maintains a liquid investment portfolio with a total market value of HKD 8.6 billion as of June 30, 2023[27]. Governance and Compliance - The company has adhered to the Corporate Governance Code during the financial period, with the only exception being the roles of Chairman and CEO held by the same individual[52]. - No purchases, sales, or redemptions of the company's listed securities were made during the financial period[53]. - The board consists of experienced members, ensuring a balanced distribution of power and authority[52].