2025-08-26 08:01Financial Performance - Revenue for the first half of 2025 was HKD 5.567 billion, slightly down from HKD 5.572 billion in 2024[4] - The unaudited profit attributable to unit holders was HKD 1.01 billion, an increase from HKD 947 million in 2024, representing a growth of approximately 6.5%[13] - The group’s EBITDA for the first half of 2025 was HKD 3.979 billion, compared to HKD 3.989 billion in 2024, indicating a slight decrease[13] - Net profit for the same period was HKD 1.001 billion, an increase from HKD 0.947 billion in 2024, representing a growth of approximately 5.7%[24] - The total distributable income for the period was HKD 1.48 billion, consistent with the previous year[14] - Operating profit for the period was HKD 2,344 million, down from HKD 2,490 million in 2024, representing a decrease of 5.9%[37] - Total comprehensive income attributable to shareholders for the same period was HKD 646 million, down 33.6% from HKD 974 million in 2024[39] - The pre-tax profit for the six months ended June 30, 2025, was HKD 1,666 million, down from HKD 1,816 million in the same period of 2024[66] Distribution and Dividends - The interim distribution declared was HKD 1.408 billion, with an interim distribution per unit of HKD 0.1594, unchanged from 2024[14] - The total distribution amount for the period was HKD 1,408 million, unchanged from the previous year, maintaining a consistent distribution policy[26] - The company paid dividends totaling HKD 1,422 million during the period, consistent with the previous year[46] - The interim distribution for the year 2025 is set at HKD 0.1594 per unit, payable on September 8, 2025[128] Capital Expenditure and Investment - The capital investment plan for 2024-2028 is valued at HKD 22 billion, aimed at supporting Hong Kong's zero-carbon transition[12] - Total capital expenditure for the period was HKD 1.482 billion, up from HKD 1.375 billion in 2024, indicating an increase of 7.8%[28] - The company has approved and contracted capital expenditures for property, plant, and equipment amounting to 8,701 million as of June 30, 2025, up from 7,437 million at the end of 2024, representing an increase of approximately 17%[78] - The company has approved but not yet contracted capital expenditures for property, plant, and equipment totaling 15,175 million as of June 30, 2025, down from 17,967 million at the end of 2024, indicating a decrease of about 15.6%[78] Operational Efficiency and Reliability - The group achieved a reliability rate of over 99.9999%, with an average of less than half a minute of unplanned outages per customer annually[12] - The company is actively enhancing its power system reliability through emergency recovery drills and the establishment of new substations in the Eastern and Southern districts[17] - The smart meter installation project aims to cover 600,000 customers, with over 90% already completed and expected to finish by the end of 2025[15] - The company is actively implementing major projects, including the construction of a new gas combined cycle generator unit[12] Market and Sales Performance - Electricity sales volume in the first half of 2025 decreased by 3.2% compared to the same period in 2024, attributed to milder weather and successful energy-saving initiatives[16] - The basic electricity tariff was raised by 3.4 HKD cents to HKD 1.229 per kWh due to increased capital investment and operating costs[16] - The fuel adjustment fee decreased by over 16% in August 2025 compared to January 2025, leading to a net electricity tariff reduction of 4.4% to HKD 1.596 per kWh[16] - For the six months ended June 30, 2025, the group's revenue from electricity sales was HKD 5,537 million, a slight decrease of 0.4% from HKD 5,558 million in 2024[54] Financial Position and Debt - The net debt of the trust group as of June 30, 2025, was HKD 513.41 billion, compared to HKD 508.25 billion on December 31, 2024, reflecting a slight increase of 1.4%[31] - The trust group maintained a net debt to total equity ratio of 51% as of June 30, 2025, consistent with the ratio on December 31, 2024[31] - Total borrowings increased to HKD 24,196 million as of June 30, 2025, compared to HKD 23,738 million at the end of 2024, indicating a rise in leverage[68] - The total outstanding financial derivative contracts amounted to HKD 544.91 billion as of June 30, 2025, an increase from HKD 495.58 billion on December 31, 2024[33] Corporate Governance - The company has adhered to the corporate governance code applicable to the trust and the company for the six months ended June 30, 2025, except as noted[102] - The audit committee has reviewed the unaudited consolidated financial statements of the trust and the unaudited financial statements of the trustee-manager for the six months ended June 30, 2025[109] - The company is committed to maintaining high standards of corporate governance to attract investment and protect stakeholders' interests[102] - The board consists of 17 directors, including 5 executive directors, 6 non-executive directors, and 6 independent non-executive directors, complying with the requirement that independent non-executive directors represent at least one-third of the total number of directors[104] Future Outlook and Strategic Initiatives - The company provided an optimistic outlook for the next quarter, projecting revenue growth of 10% to 12%[133] - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[132] - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[133] - Market expansion plans include entering two new international markets by the end of the year, which could increase market share by 5%[131]