Financial Performance - For the six months ended June 30, 2021, the group's revenue was HKD 276.1 million, a decrease of 12% compared to HKD 315.1 million in 2020[8]. - Shareholders' profit attributable to the group was HKD 65.6 million, representing a 17% increase from HKD 56 million in the previous year[8]. - Profit for the period was HKD 65,600,000, an increase of 17.9% from HKD 56,000,000 in 2020, primarily due to increased rental income and reduced financing costs[27]. - Earnings per share for shareholders was HKD 0.103, up from HKD 0.084 in the previous year, reflecting a growth of 22.6%[27]. - The total comprehensive income for the period was impacted by a loss on debt instruments measured at fair value through other comprehensive income of HKD 218,285,000[98]. - The company reported a profit before tax of HKD 73,381,000, compared to HKD 71,255,000 in the same period last year[96]. - The group reported a net profit of HKD 65,627,000 for the six months ended June 30, 2021[106]. - The total comprehensive income for the period was a loss of HKD 10,565,000, compared to a profit of HKD 65,627,000[106]. Property Development - The group has a significant property portfolio, including the residential project "Victoria Harbour" with a total area of 987,812 square feet, expected to be completed by March 2023[14]. - The group is developing a total of 1,437 residential units in the "Victoria Harbour" project, with the first phase providing 525 units[17]. - The "Shoushan Road East No. 1" project in Deep Water Bay has a total saleable area of 27,298 square feet and is fully owned by the group[19]. - The "Victoria Harbour" residential project in Hong Kong has sold over 440 units, generating total sales of approximately HKD 6,300,000,000[34]. - The company is focusing on property development and investment projects, with key projects including "Victoria Harbour" and two investment properties in London[32]. Financial Position - The net asset value attributable to shareholders was HKD 10.9 billion, with a net asset value per share of HKD 18.1[8]. - As of June 30, 2021, total equity attributable to shareholders was HKD 5,868,700,000, down from HKD 6,240,600,000 at the end of 2020[27]. - The total number of employees in Hong Kong increased to 159 from 135 in 2020, with total employee costs amounting to HKD 41,700,000[54]. - The total bank borrowings as of June 30, 2021, were HKD 8,905,400,000, a decrease from HKD 9,123,000,000 on December 31, 2020[48]. - The net debt recorded was HKD 3,004,100,000, compared to HKD 2,484,700,000 on December 31, 2020, with a debt-to-asset ratio of 21.1%[48]. Market Outlook - The global economy is projected to grow by 6.0% in 2021 and 4.9% in 2022 according to the IMF, with varying economic outlooks across different regions due to the uneven pace of vaccine rollout and policy support[55]. - Hong Kong's GDP recorded growth rates of 5.4% and 7.6% in Q1 and Q2 of 2021 respectively, marking a recovery from the previous year's decline[59]. - The property market in Hong Kong showed improvement in H1 2021, with increased transaction activity and a strong demand for luxury properties due to limited new supply and low interest rates[59]. - The company is optimistic about the economic outlook for Hong Kong, benefiting from the recovery in mainland China and the United States[59]. Investment Strategy - The group is focused on expanding its property portfolio in Hong Kong, the UK, and Australia, with ongoing developments in key locations[14]. - The group plans to enhance its market presence through strategic partnerships and new project developments in the coming years[17]. - The group’s strategy includes ongoing financial investments, particularly in fixed-income debt securities, to provide stable financial investment returns[124]. Shareholder Actions - The company announced an interim dividend of HKD 0.02 per share for the six months ended June 30, 2021, consistent with the previous year[31]. - The company repurchased a total of 40,116,000 shares at a total cash consideration of HKD 342,242,507[84]. - The company’s share repurchase led to an increase in the net asset value and earnings per remaining share[85]. Rental Income - Rental income from investment properties increased to HKD 115,706,000, up 11.4% from HKD 104,210,000 year-on-year[96]. - The rental income from the property at 20 Moorgate in London was £3,800,000, approximately HKD 40,600,000, an increase from HKD 36,800,000 in 2020[39]. - The property at 33 Old Broad Street generated rental income of £5,200,000, approximately HKD 55,600,000, up from HKD 50,400,000 in 2020[39]. - The Lizard Island resort in Australia produced rental income of HKD 8,700,000, compared to HKD 7,400,000 in 2020, reflecting a growth in revenue[42]. - The hotel revenue for the Crowne Plaza Hong Kong Causeway Bay increased to HKD 33,600,000, a 57% increase from HKD 21,400,000 in 2020, due to brand revitalization and new restaurant openings[43]. Financial Investments - The group’s financial investments amounted to HKD 3,544,400,000, down from HKD 4,412,300,000 on December 31, 2020[46]. - The fair value of listed debt securities held for long-term strategic purposes increased to HKD 573,908,000 as of June 30, 2021[156]. - The fair value of listed debt securities issued by China Evergrande further decreased by approximately HKD 230,000,000 after the reporting period[161]. - A provision for impairment loss of HKD 23,683,000 was recognized for the listed debt securities issued by China Evergrande, reflecting increased credit risk due to deteriorating credit ratings[161]. Risk Management - The company has adopted a risk management and internal control system to safeguard shareholder interests and assets[64]. - The company did not identify any significant issues that would lead to a belief that the financial statements were not prepared in accordance with HKAS 34[94]. - The review of the financial statements was conducted in accordance with the Hong Kong Institute of Certified Public Accountants' standards, ensuring compliance and accuracy[93].
爪哇控股(00251) - 2021 - 中期财报