Financial Performance - The unaudited consolidated profit attributable to equity holders for the six months ended June 30, 2024, was approximately HK$1,073 million, with basic and diluted earnings per share at HK$0.283[41]. - For the first half of 2024, the Group recorded a turnover of RMB12,559 million (HK$13,809 million), representing an 8% decrease compared to RMB13,687 million (HK$15,080 million) in the same period of 2023[85]. - Profit attributable to equity holders was HK$1,073 million for the first half of 2024, a decrease of 41% compared to HK$3,903 million in the same period of 2023[103]. - The effective tax rate increased to 48% for the first half of 2024, up by 20 percentage points compared to the same period of last year[102]. - Gross profit for the first half of 2024 was HK$3,761 million, down from HK$5,377 million in 2023, with a gross profit margin of 27%, down from 36%[91]. - The profit for the period was HK$1,083,067, a decline of 75.8% compared to HK$4,475,232 in 2023[121]. - Total comprehensive income for the period was HK$462,642, down from HK$793,117 in the same period last year[121]. - The company reported a fair value gain on investment properties of HK$524,931, significantly lower than HK$2,985,763 in 2023[119]. Revenue Breakdown - Revenue from property development contributed HK$9,890 million, accounting for 72% of the Group's total sales[105]. - Revenue from commercial property investment was HK$2,252 million, representing 16% of the Group's total sales[105]. - Total revenues for the six months ended June 30, 2024, amounted to HKD 15,594.739 million, with a breakdown of HKD 1,562.768 million from property development and HKD 2,015.483 million from commercial properties investment[150]. - Revenue from property development was HK$9,889,808, down from HK$11,320,244 in 2023, indicating a decrease of about 12.6%[160]. - Revenue from commercial properties investment increased to HK$2,251,973, up from HK$2,089,117, reflecting a growth of approximately 7.8%[160]. Sales and Contracted Sales - Recognized sales from the real estate segment in the first half of 2024 amounted to HK$9,890 million, with an overall average selling price of RMB20,119 per square metre for delivered properties[44]. - Contracted sales for the Group reached RMB8,850 million, with high-end properties accounting for 73% of total contracted sales[44]. - Total contracted sales for the first half of 2024 amounted to RMB 8,850 million, a decrease of approximately 45% compared to RMB 16,062 million in the same period of 2023[86]. - Contracted sales of properties were approximately RMB 8,526 million, down from RMB 15,567 million in the same period of 2023, representing a decrease of about 45%[89]. - The average selling price of contracted sales of properties was RMB 26,955 per square metre, a decrease of approximately 24% from RMB 35,576 per square metre in the same period of 2023[89]. Assets and Liabilities - As of June 30, 2024, total assets amounted to HK$287,526 million, and total liabilities were HK$186,940 million, both decreasing by 0.4% compared to December 31, 2023[107]. - The Group's current ratio improved to 1.56 as of June 30, 2024, up from 1.43 as of December 31, 2023[107]. - Cash and bank balances increased to HK$21,696 million as of June 30, 2024, from HK$15,368 million as of December 31, 2023[108]. - Total borrowings from banks and financial institutions rose by 7% to HK$79,104 million as of June 30, 2024, compared to HK$74,199 million as of December 31, 2023[109]. - The gearing ratio decreased to 67% as of June 30, 2024, down from 71% as of December 31, 2023[109]. Dividends and Shareholder Returns - The Board did not recommend any interim dividend for the six months ended June 30, 2024, compared to HK$Nil in 2023[41]. - The net asset value per share was HK$26.52 as of June 30, 2024[107]. - The company's equity attributable to equity holders was HK$95,847,477, an increase from HK$95,358,213 at the end of 2023[124]. Operational Segments - The Group's real estate business is divided into five segments: real estate, commercial, property management, investments, and infrastructure[42]. - The commercial segment has transformed perceived threats into opportunities, focusing on tenant portfolio optimization through market surveys and tailored lease contracts[59]. - The company operates various commercial urban complexes, including urban complexes and regional deluxe shopping malls, contributing to urban development through social interaction and lifestyle experiences[59]. - The company has five reportable operating segments, including property development, commercial properties investment, property management, infrastructure, and investments[149]. Market and Strategic Focus - The Group's strategy includes actively cooperating with the government on urban redevelopment to avoid high land premiums[46]. - The Group is focusing on digital transformation to empower physical businesses and enhance internet marketing and digital operations[61]. - The Group aims to transform into a comprehensive investment holding platform company, emphasizing equity investments in high-and-new technology for higher capital returns and stable cash flows[72]. - The Group plans to focus on market expansion in residential buildings, commercial industry parks, and urban services to ensure continuous growth in area under management[70]. Economic and Policy Environment - The Central Economic Work Conference emphasized the need to accelerate the construction of affordable housing and improve the commercial housing system to meet residents' housing demands[51][53]. - The policy measures outlined by the Central Economic Work Conference are expected to foster stable and high-quality development in the real estate market[51][54]. Financial Management and Costs - Operating costs related to selling, marketing, general, and administration expenses decreased by 29% to HK$1,313 million in the first half of 2024[94]. - Gross interest expenses before capitalization decreased to HK$2,704 million, down 9% from HK$2,981 million in the same period of 2023[95]. - The company reported a decrease in finance lease receivables of HK$4,370, compared to a decrease of HK$1,868 in the previous year[132]. - Interest paid decreased slightly to HK$2,985,913 from HK$3,031,607 in 2023[137]. Investment Properties and Valuation - As of June 30, 2024, the fair value of the Group's investment properties is HK$86,291,847,000, down from HK$87,275,592,000 as of December 31, 2023, representing a decrease of approximately 1.13%[189]. - The Group's investment properties consist of residential apartments, office units, and shopping malls located in Mainland China[189]. - The valuation of completed investment properties is primarily based on the income capitalization method, reflecting current market conditions[192]. - The Group's investment properties were revalued by Savills Valuation and Professional Services (China) Ltd., ensuring independent assessment[189].
合生创展集团(00754) - 2024 - 中期财报