SWIRE PACIFIC A(HK:00019)2021-04-07 08:45Fleet and Operations - The company operates a fleet of 239 aircraft as of the end of 2020, including subsidiaries Hong Kong Express and Dragonair[10]. - Cathay Pacific operated a fleet of 199 aircraft as of December 31, 2020, with 43 new aircraft on order for future delivery[130]. - As of December 31, 2020, the Swire Ocean Development Group operated a fleet of 61 vessels, including supply and construction vessels[200]. - The total number of aircraft in the Cathay Pacific Group fleet as of December 31, 2020, was 239, with 92 passenger aircraft (44% of the fleet) relocated outside Hong Kong[143]. Financial Performance - The company's return on equity decreased to -4.1% from 3.3%, a decline of 7.4 percentage points[12]. - The earnings per share for 'A' shares dropped to HKD -7.32 from HKD 6.00, while 'B' shares fell to HKD -1.46 from HKD 1.20[12]. - Total revenue for the year was HKD 80,032 million, a decrease of 7% compared to HKD 85,652 million in the previous year[12]. - Operating profit plummeted by 80% to HKD 2,695 million from HKD 13,792 million[12]. - The company recorded a basic loss of HKD 3.969 billion in 2020, compared to a profit of HKD 17.797 billion in 2019, marking the first basic loss since its listing in 1959[19]. - The recurring basic loss for 2020 was HKD 609 million, a significant decline from a profit of HKD 7.221 billion in 2019[19]. - The company reported a consolidated loss attributable to shareholders of HKD 10.99 billion for 2020, compared to a profit of HKD 9.07 billion in 2019[32]. - The group’s attributable profit for 2020 was HKD 3,388 million, down 69.1% from HKD 11,007 million in 2019[56]. - The basic attributable profit decreased to HKD 12,705 million from HKD 24,143 million in 2019, reflecting a decline of 47.3%[57]. Revenue and Sales - The beverage division reported annual sales of 1.743 billion standard cases in 2020[172]. - Total revenue increased by 2% to HKD 45,657 million, including revenue from a joint venture, despite a 2% decline in sales volume to 1.743 billion cases[177]. - Revenue from the mainland China market was HKD 22,942 million, a 1% increase from HKD 22,087 million in 2019, while sales volume decreased by 4%[176]. - The company experienced a decline in revenue and sales volume in Hong Kong, with revenue down 6% to HKD 2,199 million and sales volume down 12%[176]. - The company's revenue from the United States market was HKD 18,008 million, an increase from HKD 17,196 million in 2019, with a sales volume increase of 4%[176]. Sustainability and Corporate Governance - The company aims to maintain sustainable growth and long-term shareholder value through prudent financial management and investment in high-potential markets[9]. - The company is committed to sustainable development and believes it contributes to long-term growth through innovation and efficiency improvements[9]. - The company has a strong commitment to corporate governance and maintaining its brand reputation[9]. - The greenhouse gas emissions reduced by 57% to 8.4 million tons of CO2 equivalent from 19.3 million tons[12]. - The energy consumption decreased by 58% to 112.1 million gigajoules from 264.3 million gigajoules[12]. Challenges and Market Outlook - The outlook for 2021 remains challenging due to ongoing pandemic impacts, with expected recurring losses in the first half of the year[23]. - The company’s operational environment in 2020 was extremely challenging, with passenger revenue dropping to only 2-3% of pre-pandemic levels[32]. - The hotel business in Hong Kong is facing challenges, with recovery dependent on travel restrictions and vaccination progress[34]. - The company anticipates continued pressure on retail rents in Hong Kong if the adverse effects of the COVID-19 pandemic persist[114]. Investment and Development - The company plans to focus on investment opportunities in the Greater China region, with a total capital commitment of HKD 26.7 billion[19]. - The company plans to invest heavily in capital expenditures despite the challenging market conditions[34]. - The company is expanding its product and packaging portfolio in the Coca-Cola segment, investing in production assets and digital capabilities[33]. - The company completed the sale of two office buildings in Miami in December 2020, indicating ongoing asset management strategies[33]. - The company has committed to provide capital contributions of HKD 13,327 million to joint ventures in mainland China as of December 31, 2020[108]. Employee and Operational Metrics - The company employs over 34,000 staff in Hong Kong and more than 34,000 in mainland China, totaling over 86,000 employees globally[10]. - The group employed over 25,600 staff globally, with approximately 80% based in Hong Kong as of December 31, 2020[130]. - The average age of the fleet was 10.1 years in 2020, slightly down from 10.3 years in 2019[135]. Sector Performance - The aviation sector, particularly Cathay Pacific, faced severe challenges, recording a loss of HKD 21.6 billion for the year[19]. - The real estate sector contributed the most to the group's performance, with recurring basic profit of HKD 45.84 billion in 2020, up 31% from HKD 35.28 billion in 2019[32]. - The recurring operating profit by region for 2020 was 40% from Mainland China, 49% from Hong Kong, 8% from the USA, and 3% from other regions[31].