国浩集团(00053) - 2025 - 年度业绩

Financial Summary The Group achieved strong financial performance in FY2025, with growth in turnover, revenue, operating profit, and profit attributable to shareholders, alongside increased earnings per share and total dividends per share Financial Highlights | Indicator | 2025 (HKD Million) | 2024 (HKD Million) | Increase / (Decrease) | | :--- | :--- | :--- | :--- | | Turnover | 27,001 | 25,786 | 5% | | Revenue | 24,443 | 22,526 | 9% | | Operating Profit | 3,746 | 2,940 | 27% | | Profit Attributable to Company Shareholders | 4,031 | 3,581 | 13% | | Earnings Per Share (HKD) | 12.39 | 11.01 | 13% | | Total Dividends Per Share (HKD) | 3.50 | 3.20 | 9% | | Equity Per Share Attributable to Company Shareholders (HKD) | 208.83 | 186.46 | 12% | Consolidated Financial Statements The Group's FY2025 consolidated financial statements show significant growth in profit for the year and total comprehensive income, with a robust balance sheet reflecting increases in non-current and net current assets Consolidated Income Statement The Group's FY2025 revenue grew 9% to HKD 24.443 billion, operating profit surged 27% to HKD 3.746 billion, and profit attributable to company shareholders increased 13% to HKD 4.031 billion, primarily driven by a significant rise in net other income Key Income Statement Figures | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Turnover | 27,000,595 | 25,785,664 | +5% | | Revenue | 24,443,169 | 22,525,792 | +9% | | Cost of Sales | (14,704,370) | (13,248,232) | +11% | | Net Other Income | 1,747,204 | 1,090,203 | +60% | | Operating Profit | 3,745,980 | 2,939,947 | +27% | | Profit Attributable to Company Shareholders | 4,030,678 | 3,580,943 | +13% | | Basic Earnings Per Share | 12.39 | 11.01 | +13% | Consolidated Statement of Comprehensive Income The Group's FY2025 total comprehensive income significantly increased to HKD 9.864 billion, primarily driven by positive changes in fair value reserves for equity investments and foreign exchange differences from overseas financial statements Key Comprehensive Income Figures | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Profit for the Year | 4,597,995 | 3,666,910 | +25% | | Equity investments at fair value through other comprehensive income – net change in fair value reserve | 977,769 | (610,902) | From Negative to Positive | | Exchange differences arising on translation of financial statements of overseas subsidiaries, associates and joint ventures | 4,549,679 | (163,617) | From Negative to Positive | | Total Comprehensive Income for the Year | 9,863,596 | 3,116,011 | +216% | | Total Comprehensive Income Attributable to Company Shareholders | 8,172,730 | 3,005,744 | +172% | Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets rose to HKD 146.559 billion and net assets to HKD 86.736 billion, with significant growth in both non-current and net current assets, reflecting an expanded asset base and improved liquidity Key Statement of Financial Position Figures | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Non-current Assets | 97,715,113 | 88,292,614 | +10.7% | | Current Assets | 48,844,616 | 47,195,367 | +3.5% | | Current Liabilities | (18,201,228) | (21,980,178) | -17.2% | | Net Current Assets | 30,643,388 | 25,215,189 | +21.5% | | Net Assets | 86,735,630 | 79,053,442 | +9.7% | | Total Equity Attributable to Company Shareholders | 68,715,318 | 61,355,090 | +12.0% | Notes to the Financial Statements The notes to the financial statements detail the Group's accounting policies, segment performance, revenue composition, costs and expenses, taxation, dividends, and receivables and payables, providing deeper context for understanding its performance and financial position Accounting Policies and Basis of Preparation The Group's financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, primarily on a historical cost basis, with certain investment properties and financial instruments measured at revalued amounts or fair value, using USD as the functional currency and HKD figures for presentation only - Financial statements are prepared in accordance with all applicable Hong Kong Financial Reporting Standards, complying with the Hong Kong Companies Ordinance and the Listing Rules of the Stock Exchange[6] - Except for investment properties measured at revalued amounts and certain financial instruments at fair value, the financial statements are prepared on a historical cost basis[7] - The Group's consolidated financial statements are presented in USD, with HKD figures translated at the year-end applicable exchange rate for presentation purposes only[8] Amendments to Accounting Policies During the current accounting period, the Group first adopted several amendments to Hong Kong Financial Reporting Standards issued by the HKICPA, including revisions to liability classification, lease liabilities in sale and leaseback transactions, and disclosures for cash flow statements and financial instruments - The Group has adopted amendments to HKAS 1 regarding the classification of liabilities as current or non-current and non-current liabilities with covenants[10] - The Group has adopted amendments to HKFRS 16 regarding lease liabilities in sale and leaseback transactions[10] - The Group has adopted amendments to HKAS 7 regarding cash flow statements and HKFRS 7 regarding financial instrument disclosures[10] Segment Reporting The Group operates four reportable segments: Proprietary Investments, Property Development and Investment, Hotels and Leisure, and Financial Services, along with other businesses, each independently managed and contributing significantly to FY2025 revenue and operating profit Segment Business Activities and Operations The Group's four core business segments include Proprietary Investments (trading and strategic investments in global financial markets), Property Development and Investment (residential and commercial property development and leasing in Singapore, China, Malaysia, and Hong Kong), Hotels and Leisure (hotel management and gaming operations in the UK and Spain), and Financial Services (commercial banking, insurance, fund management, etc.) Segment Business Activities and Operations Overview | Segment | Business Activities | Operations | | :--- | :--- | :--- | | Proprietary Investments | Debt, equity and direct investments, treasury operations, investment advisory and management services | Subsidiaries and joint ventures | | Property Development and Investment | Development of residential and commercial properties in Singapore, China, Malaysia and Hong Kong, holding properties for rental income | Subsidiaries, associates and joint ventures | | Hotels and Leisure | Owning, leasing or managing hotels, operating gaming and leisure businesses in the UK and Spain | Subsidiaries | | Financial Services | Commercial and retail banking, Islamic banking, investment banking, insurance, fund management, etc | Associates | Reported Segment Revenue and Profit/Loss In FY2025, Proprietary Investments, Property Development and Investment, Hotels and Leisure, and Financial Services segments all achieved positive operating profit, with Proprietary Investments contributing the most, while Property Development and Investment saw a decrease in profit before tax Reported Segment Revenue and Profit/Loss (2025) | Segment | 2025 Turnover (HKD Thousand) | 2025 Revenue from External Customers (HKD Thousand) | 2025 Reported Segment Operating Profit (HKD Thousand) | 2025 Profit Before Tax (HKD Thousand) | | :--- | :--- | :--- | :--- | :--- | | Proprietary Investments | 788,243 | 1,230,817 | 2,645,274 | 2,403,247 | | Property Development and Investment | 11,178,508 | 11,178,508 | 1,509,354 | 258,379 | | Hotels and Leisure | 11,595,359 | 11,595,359 | 1,690,159 | 1,102,951 | | Financial Services | - | - | - | 1,485,364 | | Other | 438,485 | 438,485 | 58,442 | 9,953 | | Total | 27,000,595 | 24,443,169 | 5,903,229 | 5,259,894 | Reported Segment Revenue and Profit/Loss (2024) | Segment | 2024 Turnover (HKD Thousand) | 2024 Revenue from External Customers (HKD Thousand) | 2024 Reported Segment Operating Profit (HKD Thousand) | 2024 Profit Before Tax (HKD Thousand) | | :--- | :--- | :--- | :--- | :--- | | Proprietary Investments | 4,448,504 | 1,188,632 | 2,119,904 | 1,849,986 | | Property Development and Investment | 10,385,021 | 10,385,021 | 1,735,206 | 437,992 | | Hotels and Leisure | 10,427,094 | 10,427,094 | 1,189,593 | 593,379 | | Financial Services | - | - | - | 1,350,391 | | Other | 525,045 | 525,045 | 239,299 | 183,771 | | Total | 25,785,664 | 22,525,792 | 5,284,002 | 4,415,519 | Reconciliation of Reported Segment Revenue, Finance Costs, and Interest Income The Group performed inter-segment eliminations for revenue, finance costs, and interest income to derive consolidated figures, ensuring accuracy in the financial statements Reconciliation of Segment and Consolidated Figures | Indicator | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Reported Segment Revenue | 24,537,799 | 22,631,070 | | Elimination of Inter-segment Revenue | (94,630) | (105,278) | | Consolidated Revenue | 24,443,169 | 22,525,792 | | Reported Finance Costs | 2,157,249 | 2,344,055 | | Elimination of Inter-segment Finance Costs | (68,702) | (80,556) | | Consolidated Finance Costs | 2,088,547 | 2,263,499 | | Reported Interest Income | 672,096 | 683,267 | | Elimination of Inter-segment Interest Income | (68,702) | (80,556) | | Consolidated Interest Income | 603,394 | 602,711 | Turnover and Revenue The Group's FY2025 turnover increased 5% to HKD 27.001 billion and revenue grew 9% to HKD 24.443 billion, primarily driven by increased revenue from hotels and leisure, property sales, and rental income from properties - The Company's principal activities are investment holding and investment management, while its subsidiaries' principal activities include proprietary investments, property development and investment, and hotels and leisure[16] Revenue Breakdown | Revenue Category | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Revenue from Property Sales | 9,292,401 | 8,796,385 | +5.6% | | Revenue from Hotels and Leisure | 11,573,481 | 10,412,804 | +11.1% | | Interest Income | 603,394 | 602,711 | +0.1% | | Dividend Income | 857,777 | 806,214 | +6.4% | | Rental Income from Properties | 1,559,082 | 1,283,313 | +21.5% | | Revenue from Goods Sold | 438,359 | 524,967 | -16.5% | | Other | 118,675 | 99,398 | +19.4% | | Total Revenue | 24,443,169 | 22,525,792 | +8.5% | | Proceeds from Disposal of Securities Investments | 2,557,426 | 3,259,872 | -21.5% | | Total Turnover | 27,000,595 | 25,785,664 | +4.7% | Net Other Income The Group's FY2025 net other income surged 60% to HKD 1.747 billion, primarily due to a significant increase in realized and unrealized net gains from trading financial assets and a shift from loss to gain in derivative financial instruments Net Other Income Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Realized and Unrealized Net Gains from Trading Financial Assets | 1,476,965 | 999,379 | +47.8% | | Realized and Unrealized Net Gains / (Losses) from Derivative Financial Instruments | 14,067 | (69,880) | From Loss to Gain | | Other Exchange Gains | 154,854 | 87,653 | +76.7% | | Gain / (Loss) on Disposal of Subsidiaries | 66,811 | (3,365) | From Loss to Gain | | Gain on Derecognition of Lease Liabilities Related to Lease Termination | 100,101 | - | New | | Total | 1,747,204 | 1,090,203 | +60.3% | Profit Before Tax for the Year The Group's FY2025 profit before tax was HKD 5.260 billion, influenced by decreased finance costs, increased staff costs, and changes in other items such as depreciation, amortization, and impairment losses Finance Costs The Group's total borrowing costs in FY2025 decreased 10.7% year-on-year to HKD 2.165 billion, with reduced capitalized borrowing costs leading to a 7.7% year-on-year decrease in consolidated finance costs to HKD 2.089 billion Finance Costs Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Interest on Bank Loans and Other Borrowings | 1,624,660 | 1,928,730 | -15.8% | | Interest on Lease Liabilities | 440,172 | 393,499 | +11.9% | | Other Borrowing Costs | 99,984 | 100,646 | -0.7% | | Total Borrowing Costs | 2,164,816 | 2,422,875 | -10.7% | | Less: Total Borrowing Costs Capitalized | (76,269) | (159,376) | -52.1% | | Consolidated Finance Costs | 2,088,547 | 2,263,499 | -7.7% | - Borrowing costs were capitalized at annual interest rates ranging from 2.62% to 5.08% (2024: 3.88% to 5.08%)[19] Staff Costs The Group's total staff costs in FY2025 increased 14.8% to HKD 4.242 billion, primarily due to higher salaries, wages, other benefits, defined contribution retirement scheme contributions, and social security expenses Staff Costs Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Salaries, Wages and Other Benefits | 3,796,250 | 3,315,056 | +14.5% | | Contributions to Defined Contribution Retirement Schemes | 127,120 | 115,976 | +9.6% | | Social Security Costs | 286,355 | 229,281 | +24.9% | | Total | 4,242,294 | 3,695,265 | +14.8% | Other Items The Group's other items in FY2025 include depreciation, amortization, impairment losses, and net rental income; net impairment losses increased, mainly due to goodwill impairment and higher provisions for properties under development, though some impairment losses on right-of-use assets, other properties, and intangible assets were reversed Depreciation and Amortization The Group's total depreciation expenses in FY2025 amounted to HKD 843 million and amortization expenses to HKD 1.816 billion, both increasing from the previous year, reflecting asset utilization and intangible asset consumption Depreciation and Amortization Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Depreciation of Other Property, Plant and Equipment | 531,246 | 467,166 | +13.7% | | Depreciation of Right-of-Use Assets | 311,302 | 256,392 | +21.4% | | Amortization of Customer Relationships, Licenses and Brands | 12,324 | 15,781 | -21.9% | | Amortization of Gaming Licenses and Brands | 447 | 515 | -13.2% | | Amortization of Bass Strait Oil and Gas Concession | 33,998 | 44,112 | -22.9% | | Amortization of Other Intangible Assets | 134,829 | 202,223 | -33.3% | Impairment Losses The Group's net impairment losses in FY2025 totaled HKD 1.609 billion, primarily comprising HKD 92.3 million for goodwill impairment and HKD 900.9 million for provisions for foreseeable losses on properties under development and held for sale, while some casino asset impairments were reversed Impairment Losses Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Net Impairment Loss Recognized on Other Property, Plant and Equipment | 35,937 | 25,800 | +39.3% | | Net Impairment Loss Recognized on Intangible Assets | 2,630 | 18,171 | -85.5% | | Net Impairment Loss Recognized on Right-of-Use Assets | (738) | 31,126 | From Positive to Negative | | Net Impairment Loss Recognized on Goodwill | 92,251 | - | New | | Net Impairment and Provision for Foreseeable Losses on Properties Under Development and Held for Sale | 900,880 | 847,562 | +6.3% | - The Group conducted impairment tests on right-of-use assets, other properties, and intangible assets of certain casinos, recognizing impairment expenses, but also reversed impairments for some assets due to better-than-expected performance[22][23] - Goodwill impairment loss of HKD 92.3 million and intangible asset impairment loss of HKD 18.3 million were recognized for Manuka Health New Zealand Limited, primarily based on value-in-use estimates[24] Net Rental Income The Group's total rental income from investment properties in FY2025 increased 21.5% to HKD 1.559 billion, and after deducting direct expenses, net rental income grew 26.1% to HKD 1.202 billion Net Rental Income Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Total Rental Income from Investment Properties | (1,559,082) | (1,283,313) | +21.5% | | Less: Direct Expenses | 357,561 | 330,630 | +8.1% | | Net Rental Income | (1,201,521) | (952,683) | +26.1% | Taxation The Group's total taxation in FY2025 decreased 11.5% year-on-year to HKD 662 million, mainly due to changes in overseas current tax and deferred tax, and the first-time recognition of Pillar Two income tax of HKD 13.3 million Taxation Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Current Tax - Hong Kong Profits Tax | - | 1,304 | -100% | | Current Tax - Overseas | 151,871 | 236,855 | -35.8% | | Pillar Two Income Tax | 13,298 | - | New | | Deferred Tax | 510,028 | 510,450 | -0.1% | | Total Taxation | 661,899 | 748,609 | -11.5% | - The Group has retrospectively applied amendments to HKAS 12, not recognizing deferred tax arising from Pillar Two model rules, but has recognized a supplementary tax liability of HKD 13.298 million[27][28] Dividends The Group proposes a final dividend of HKD 2.90 per share for FY2025, bringing the total annual dividend to HKD 3.50 per share, a 9.4% increase from the previous year Dividend Information | Dividend Type | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Interim Dividend (Per Share) | 0.60 HKD | 0.50 HKD | +20% | | Proposed Final Dividend (Per Share) | 2.90 HKD | 2.70 HKD | +7.4% | | Total Dividends Payable / Paid for the Year | 1,151,384 | 1,050,730 | +9.6% | - Proposed final dividend of HKD 954 million, calculated based on 329,051,373 ordinary shares in issue, payable on December 3, 2025, subject to approval at the Annual General Meeting[29][36] Earnings Per Share The Group's basic earnings per share for FY2025 was HKD 12.39, a 13% increase from the previous year, consistent with diluted earnings per share due to no potential dilutive ordinary shares during the year Earnings Per Share Figures | Indicator | 2025 (HKD) | 2024 (HKD) | Change | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share | 12.39 | 11.01 | +13% | | Diluted Earnings Per Share | 12.39 | 11.01 | +13% | - Basic earnings per share is calculated based on profit attributable to company shareholders of HKD 4.031 billion and a weighted average of 325,224,511 ordinary shares in issue during the year[31] - There were no potential dilutive ordinary shares outstanding during the year, thus diluted earnings per share is equal to basic earnings per share[32] Trade and Other Receivables As of June 30, 2025, the Group's total trade and other receivables increased to HKD 3.038 billion, with trade receivables surging 59.2% to HKD 1.907 billion, primarily concentrated within one month Trade and Other Receivables Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Trade Receivables | 1,906,988 | 1,197,902 | +59.2% | | Other Receivables, Deposits and Prepayments | 1,036,094 | 832,764 | +24.4% | | Interest Receivables | 68,827 | 87,005 | -20.9% | | Total | 3,037,908 | 2,143,510 | +41.7% | Trade Receivables Ageing Analysis | Trade Receivables Ageing | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Within One Month | 1,829,707 | 1,049,122 | | One to Three Months | 54,564 | 83,546 | | Over Three Months | 22,717 | 65,234 | Trade and Other Payables As of June 30, 2025, the Group's total trade and other payables increased to HKD 5.999 billion, with trade payables growing 26.8% to HKD 1.161 billion and a significant increase in derivative financial instrument payables Trade and Other Payables Breakdown | Item | 2025 (HKD Thousand) | 2024 (HKD Thousand) | Change | | :--- | :--- | :--- | :--- | | Trade Payables | 1,161,425 | 915,748 | +26.8% | | Other Payables and Accrued Operating Expenses | 4,455,999 | 4,618,735 | -3.5% | | Derivative Financial Instruments (at Fair Value) | 241,351 | 44,744 | +439.4% | | Amounts Due to Fellow Subsidiaries | 136,964 | 98,750 | +38.7% | | Total | 5,999,052 | 5,681,358 | +5.6% | Trade Payables Ageing Analysis | Trade Payables Ageing | 2025 (HKD Thousand) | 2024 (HKD Thousand) | | :--- | :--- | :--- | | Within One Month | 614,023 | 304,307 | | One to Three Months | 462,537 | 525,170 | | Over Three Months | 84,865 | 86,271 | Management Discussion and Analysis The Management Discussion and Analysis section reviews the Group's FY2025 financial performance and segment results, outlining its financial position, risk management strategies, and future outlook, highlighting overall growth, strong core business performance, and a robust capital structure and liquidity Financial Performance The Group's FY2025 consolidated profit attributable to shareholders increased 13% to HKD 4.031 billion, profit before tax grew 19% to HKD 5.260 billion, and revenue rose 9% to HKD 24.4 billion, primarily driven by strong performance in the Hotels and Leisure and Property Development and Investment segments - The Group recorded audited consolidated profit attributable to shareholders of HKD 4.0307 billion, an increase of 13% from the previous year[37] - Basic earnings per share was HKD 12.39, compared to HKD 11.01 last year[37] - The Group's audited consolidated profit before tax increased 19% to HKD 5.2599 billion[37] - The Group's revenue increased 9% to HKD 24.4 billion, primarily due to revenue growth in the Hotels and Leisure and Property Development and Investment segments[37] Business Review The Group's business segments showed varied performance in FY2025: Proprietary Investments benefited from trading gains and dividend income, Property Development and Investment saw strong performance in Singapore but challenges in China, Hotels and Leisure continued to grow and optimize operations, Financial Services delivered steady results, while other businesses declined Proprietary Investments In FY2025, the Proprietary Investments segment recorded a profit before tax of HKD 2.403 billion, primarily driven by realized and unrealized gains from trading financial assets and dividend income, with the Group focusing on fundamentally sound quality companies despite market volatility - The Proprietary Investments segment recorded a profit before tax of HKD 2.4033 billion, primarily due to realized and unrealized gains from trading financial assets and dividend income[38] - The investment strategy prioritizes capital allocation to fundamentally sound quality companies to mitigate short-term volatility caused by macroeconomic factors[38][39] Treasury Division The Group's Treasury Division maintained a cautious approach, effectively controlling net interest expenses and foreign exchange risks despite ongoing market volatility - The Group's Treasury Division maintained a cautious approach, with net interest expenses and foreign exchange risks remaining under control[40] Property Development and Investment GuocoLand's FY2025 revenue increased 5% to HKD 11.386 billion, primarily driven by strong residential sales in Singapore and higher rental income from investment properties, though China property development faced challenges and recognized provisions for foreseeable losses - GuocoLand's revenue increased 5% to SGD 1.9164 billion (approximately HKD 11.386 billion), primarily due to sustained growth in property development and property investment businesses[41] - Most Singapore residential development projects were sold and recognized in phases, and some residential units in the Chongqing, China project were delivered, but China property development recognized a provision for foreseeable losses of SGD 81.8 million (approximately HKD 486 million)[41] - Investment property revenue increased 22% to SGD 281.1 million (approximately HKD 1.6701 billion), mainly from increased rental income from Guoco Tower and Guoco Midtown in Singapore[41] - Overall profit attributable to shareholders decreased 17% to SGD 107.1 million (approximately HKD 636.3 million), primarily as Singapore's growth was offset by losses in China[43] Hotels and Leisure The Hotels and Leisure segment performed strongly, with The Clermont Hotel Group achieving post-tax profit growth despite London market challenges by optimizing operations through scale strategy and cost control; The Rank Group Plc saw gaming net revenue grow 8% and operating profit surge 128%, benefiting from continuous technology investment and cross-channel brand growth The Clermont Hotel Group (CHG) CHG recorded a post-tax profit of GBP 43.8 million (approximately HKD 447.6 million) in FY2025; despite challenges in the London hotel market, CHG outperformed by increasing room occupancy, controlling costs, and investing in infrastructure and IT - CHG recorded a post-tax profit of GBP 43.8 million (approximately HKD 447.6 million), compared to GBP 39.2 million (approximately HKD 385.9 million) last year[46] - CHG successfully managed price pressures and drove strong revenue growth by implementing a scale strategy to increase room occupancy, while offsetting rising labor and energy costs through cost control[46] - CHG has increased investments in hotel infrastructure and IT projects, introducing new revenue management and procurement systems, and boosting investment in automation and AI technologies[46][47] The Rank Group Plc (Rank) Rank Group's FY2025 gaming net revenue increased 8% to GBP 795.4 million (approximately HKD 8.129 billion), and operating profit surged 128% to GBP 67 million (approximately HKD 684.7 million), driven by growth across business units, continuous technology investment, and strong cross-channel brand performance - Rank's gaming net revenue increased 8% to GBP 795.4 million (approximately HKD 8.1291 billion), and operating profit increased 128% to GBP 67 million (approximately HKD 684.7 million)[49] - Grosvenor and Mecca cross-channel brands saw gaming net revenue grow 22% and 11% respectively, benefiting from continuous technology investment to provide seamless and customized cross-channel experiences[49] - With the introduction of casino law reforms, Grosvenor's business will benefit from increased gaming machine allocations and the launch of sports betting operations[50] Financial Services Hong Leong Financial Group's FY2025 profit before tax increased 4% to HKD 10.978 billion, primarily driven by increased contributions from its banking and insurance segments, though the capital group's contribution declined - Hong Leong Financial Group's profit before tax was MYR 6.1027 billion (approximately HKD 10.9783 billion), an increase of 4% from the previous year[51] - Hong Leong Banking Group's profit before tax increased 4% to MYR 5.3603 billion (approximately HKD 9.6428 billion), primarily due to higher revenue and increased impairment loss reversals[51] - HLA Holdings Group's profit before tax increased 10% to MYR 667.2 million (approximately HKD 1.2002 billion), primarily due to improved insurance services performance[52] - Hong Leong Capital Group's profit before tax decreased 36% to MYR 78.5 million (approximately HKD 141.2 million), primarily due to lower contributions across all business segments[52] Other Businesses Manuka Health New Zealand Limited's performance declined due to the loss of a major client and ongoing price pressure, yet maintained high gross margins; Bass Strait oil and gas operations saw a slight improvement, benefiting from increased hydrocarbon extraction - Manuka Health New Zealand Limited's performance declined from the previous year, primarily due to the loss of a major client and ongoing price pressure in core international markets[53] - Bass Strait oil and gas operations recorded a slight improvement in performance, primarily due to increased hydrocarbon extraction[53] Discussion of Group Financial Position The Group maintains a robust financial position with continuous growth in total equity and net assets, controlled net debt levels, ample liquidity, and undrawn borrowing facilities, while managing market risks through interest rate and foreign exchange contracts Capital Management As of June 30, 2025, the consolidated total equity attributable to company shareholders was HKD 68.7 billion, net debt was HKD 13.7 billion, and the equity-to-debt ratio was 83:17, indicating a robust capital structure - Consolidated total equity attributable to company shareholders was HKD 68.7 billion[54] - Net debt was HKD 13.7 billion (total bank and other borrowings less cash and short-term funds and trading financial assets)[54] - The equity-to-debt ratio was 83:17[54] Liquidity and Financial Resources As of June 30, 2025, the Group's total cash and short-term funds and trading financial assets were primarily denominated in USD, HKD, and SGD, with total bank and other borrowings of HKD 39.3 billion and approximately HKD 13.7 billion in undrawn borrowing facilities - Total cash and short-term funds and trading financial assets were primarily denominated in USD (37%), HKD (25%), and SGD (14%)[55] - Total bank and other borrowings amounted to HKD 39.3 billion, primarily denominated in SGD (76%)[55] - The Group had committed but undrawn borrowing facilities of approximately HKD 13.7 billion[56] Interest Rate Risk The Group manages interest rate risk by reducing overall debt costs and exposure to interest rate fluctuations, with approximately 79% of bank and other borrowings at floating rates, and utilizes interest rate contracts as appropriate - The Group manages interest rate risk by reducing overall debt costs and exposure to interest rate fluctuations, utilizing interest rate contracts as appropriate[57] - Approximately 79% of bank and other borrowings were at floating rates, and 21% at fixed rates[57] - The notional amount of outstanding interest rate contracts was HKD 3.9 billion[57] Foreign Exchange Risk The Group periodically enters into foreign exchange contracts (primarily OTC derivatives) for hedging foreign exchange risk and investment purposes, with total outstanding foreign exchange contracts amounting to HKD 4 billion as of June 30, 2025 - The Group periodically enters into foreign exchange contracts, primarily for hedging foreign exchange risk and investment purposes[58] - The total notional amount of outstanding foreign exchange contracts was HKD 4 billion, used to hedge foreign currency equity investments[59] Equity Price Risk The Group maintains an investment portfolio primarily consisting of publicly listed equities and adheres to asset allocation limits to manage equity price risk - The Group maintains an investment portfolio primarily consisting of publicly listed equities and adheres to asset allocation limits[60] Other Information The Other Information section covers the Group's human resources, future outlook, securities transactions, corporate governance compliance, financial data review, and share transfer registration arrangements, providing supplementary information on the Group's operations and governance Human Resources and Training The Group employs approximately 10,900 staff, committed to continuous training for capability enhancement, and regularly reviews remuneration policies, incentivizing employees through bonuses, awards, and share incentive schemes to align their interests with shareholders - The Group employs approximately 10,900 staff and is committed to providing continuous training programs[61] - Employee remuneration policies are regularly reviewed, with bonuses and other awards linked to the Group's financial performance and individual employee performance[61] - The Group has a share incentive scheme to grant share options and/or free shares to eligible employees, aligning their long-term interests with those of shareholders[61] Group Outlook The Group anticipates continued global economic uncertainty and volatility, but its diversified portfolio across regions and industries mitigates risks. It will maintain a robust balance sheet, invest in its businesses, and adopt prudent cost and capital management strategies, closely monitoring market changes to ensure resilience - The global economic environment is expected to remain uncertain and volatile, but the Group's diversified portfolio across regions and industries can mitigate some risks[62] - The Group will maintain a robust balance sheet, continuously support and invest in its businesses, and remain vigilant for new investment opportunities[62] - The management team adopts a prudent approach to navigate complex situations, implementing cautious cost and capital management, and enhancing efficiency[62] Purchase, Sale or Redemption of the Company's Listed Securities For the year ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - For the year ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[63] Compliance with Corporate Governance Code The Company has complied with all applicable provisions of the Corporate Governance Code in Appendix C1 of the Hong Kong Stock Exchange Listing Rules throughout the year - The Company has complied with all applicable provisions of the HKEX Code throughout the year[64] Review of Financial Information The Board's Audit and Risk Management Committee has reviewed the Company's adopted accounting principles and practices, discussed financial reporting matters with auditors and management, and the financial information in the annual results announcement has been agreed with external auditor KPMG - The Board's Audit and Risk Management Committee has reviewed the Company's adopted accounting principles and practices and discussed financial reporting matters with the auditors and management[65] - The financial information in the annual results announcement has been agreed with the Group's external auditor KPMG, consistent with the amounts in the audited financial statements[65] Suspension of Share Transfer Registration To ascertain shareholders' entitlement to attend and vote at the Annual General Meeting, share transfer registration will be suspended from November 11 to 14, 2025; for entitlement to the proposed final dividend, it will be suspended on November 21, 2025 - To ascertain shareholders' entitlement to attend and vote at the Annual General Meeting, share transfer registration will be suspended from November 11 to 14, 2025[66] - To ascertain shareholders' entitlement to the proposed final dividend, share transfer registration will be suspended on November 21, 2025[66] By Order of the Board The announcement was issued by Company Secretary Lo Sze Man on September 19, 2025, listing the Board members including the Executive Chairman, Executive Director and Chief Executive Officer, Non-Executive Director, and Independent Non-Executive Directors - The announcement was issued by Company Secretary Lo Sze Man on September 19, 2025[67] - Board members include Executive Chairman Mr. Kwek Leng Hai, Executive Director and Chief Executive Officer Mr. Christian K. NOTHHAFT, Non-Executive Director Mr. Kwek Leng San, and Independent Non-Executive Directors Mr. Wong Ka Chun, Mr. Paul J. BROUGH, and Ms. Ng Lai Sha[67]