FE CONSORT INTL(HK:00035)2023-06-28 22:18Revenue and Financial Performance - The company recorded a revenue of approximately HKD 6,300,000,000 for the fiscal year ending March 31, 2023, representing a 7.6% increase compared to the previous fiscal year[4]. - Adjusted revenue (non-GAAP) was approximately HKD 6,900,000,000 after accounting for the share of a joint venture's sales in Australia, which amounted to approximately AUD 95,000,000 (equivalent to about HKD 527,000,000)[4]. - The company's revenue for the year ended March 31, 2023, was HKD 6,345,861, an increase of 7.6% from HKD 5,895,636 in the previous year[17]. - The total revenue for the year 2023 was HKD 6,345,861,000, an increase from HKD 5,895,636,000 in 2022, representing a growth of approximately 7.6%[30]. - The total revenue from the sale of properties and construction contracts amounted to HKD 2,882,961,000 in 2023, compared to HKD 2,266,417,000 in 2022, indicating an increase of about 27.2%[41]. - The group achieved a settlement amount of approximately AUD 368 million (equivalent to about HKD 1,936 million) from the West Side Place project, which was completed in early April 2023[65]. - The total revenue from hotel operations and management for the fiscal year 2023 was approximately HKD 1,411 million, an increase of 4.0% from HKD 1,357 million in the fiscal year 2022[117]. Property Development and Sales - Property development contributed approximately HKD 3,600,000,000 in sales revenue for the fiscal year, up 5.6% from approximately HKD 3,400,000,000 in the previous year[4]. - The cumulative pre-sold value of properties under development as of March 31, 2023, was approximately HKD 18,700,000,000, an increase of 11.5% from HKD 16,700,000,000 a year earlier[5]. - The company plans to develop a site in Hong Kong into a residential and commercial project, with pre-sales expected to launch in the fiscal year 2026 and completion anticipated in fiscal year 2028[5]. - The expected attributable presale value of active residential development projects is approximately HKD 61.5 billion as of March 31, 2023[87]. - The total expected attributable presale value from various development projects includes HKD 17.3 billion from projects scheduled for completion in fiscal years 2024 to 2027[85]. - The group has established a project portfolio in Hong Kong through land acquisitions and government tenders, with the Shun Cheng project offering 261 low-rise units and a remaining expected development value of HKD 540 million[100]. Profitability and Earnings - The net profit for the year was HKD 380,212, a significant decrease of 74.8% compared to HKD 1,510,536 in the prior year[18]. - Basic earnings per share for the year was HKD 6.4, down from HKD 49.2 in the previous year, reflecting a decline of 87.0%[17]. - The total comprehensive loss for the year amounted to HKD 1,789,439, compared to a comprehensive income of HKD 1,431,783 in the previous year[18]. - The group experienced a decline in profitability due to several factors, including construction delays during the COVID-19 pandemic and increased financing costs[10]. - The company's profit for the fiscal year 2023 was HKD 172,185,000, a significant decrease from HKD 1,300,381,000 in 2022, representing a decline of approximately 86.8%[43]. - Adjusted net profit attributable to shareholders was HKD 172,185 thousand for fiscal year 2023, compared to HKD 1,300,381 thousand in fiscal year 2022[143]. Debt and Financing - The company has experienced increased financing costs due to central bank measures, impacting some financial metrics despite overall revenue growth[2]. - The group's net debt increased from approximately HKD 21.3 billion as of March 31, 2022, to approximately HKD 25.7 billion as of March 31, 2023, reflecting the group's development stage and new opportunities[12]. - The adjusted debt-to-asset ratio was maintained at 35.4% as of March 31, 2023[11]. - The total interest cost for 2023 was HKD 1,322,061,000, which is an increase from HKD 837,665,000 in 2022, representing a rise of approximately 58%[38]. - The average interest rate on bank loans increased from 2.22% in FY2022 to 3.87% in FY2023[69]. - The group has unutilized bank financing of approximately HKD 7.4 billion as of March 31, 2023, with HKD 3.4 billion allocated for development and construction[71]. Asset Management and Investments - The group's adjusted net assets decreased by 5.0% to approximately HKD 34,884,000,000 due to unfavorable exchange rate movements and a decline in The Star's stock price[11]. - The group completed the placement of 10% shares of Turbo Century Limited for USD 20,000,000, which owns and operates three casinos in the Czech Republic[8]. - The group has maintained a suitable level of liquidity, with approximately HKD 6.5 billion as of March 31, 2023[12]. - The group is actively divesting non-core assets to invest in higher internal rate of return projects, including the sale of two parking lots in New Zealand[6]. - The group is exploring the potential spin-off and independent listing of its gaming and hotel business, TWHE, to streamline operations and unlock value[12]. - The group has confirmed no legal or implied obligations regarding claims from Multiplex, with no cash outflow expected[51]. Hotel and Gaming Operations - The group's hotel business revenue increased by 7.4% year-on-year to approximately HKD 1,509,000,000[7]. - The group's gaming revenue rose by approximately 28.0% to HKD 296,000,000, attributed to the easing of COVID-19 restrictions and improved market promotion[8]. - The group opened the new apartment-style hotel brand "Dao by Dorsett" and rebranded Oakwood Premier AMTD Singapore to Dao by Dorsett AMTD Singapore[7]. - The group recorded a significant recovery in hotel business across various Asian markets following the easing of travel restrictions in early 2023[117]. - The hotel business in Australia recorded total revenue of approximately AUD 39,000,000, with an occupancy rate of 73.7% and average room rates at AUD 399, reflecting a revenue growth of 39.3% compared to the fiscal year 2022[122]. - TWHE's gaming business revenue increased significantly by 28.0% to approximately HKD 296 million, driven by the easing of pandemic-related restrictions[125]. Future Outlook and Strategic Plans - The company plans to expand its operations in the UK and Australia, focusing on property development and investment opportunities[27]. - The group plans to complete the Hyll on Holland project in Singapore and the Kai Tak office project in Hong Kong in the fiscal years 2024 and 2025, respectively[66]. - The company is exploring potential mergers and acquisitions to strengthen its market position and expand its portfolio[27]. - The group anticipates significant cash flow from several landmark projects expected to be completed within the next 12 to 24 months[137]. - The company is actively launching multiple projects in Hong Kong, including residential units and retail spaces, expected to be introduced in FY2024 or FY2025[132]. - The group is evaluating plans to raise funds for BC Invest, which is experiencing growth and requires new capital for its initiatives[66].