Revenue Performance - The Group's revenue for the six months ended September 30, 2025, was approximately HK$607.5 million, representing a 37.5% increase from approximately HK$441.7 million for the same period in 2024[17]. - Revenue from property sales increased by approximately 38.1%, rising from approximately HK$427.9 million in the previous year to approximately HK$590.9 million[19]. - Revenue from asset management services rose by approximately 23.1%, increasing from approximately HK$13.0 million to approximately HK$16.0 million[20]. - The increase in revenue was primarily attributed to higher sales and successful delivery of completed residential projects during the Reporting Period[18]. - The successful delivery of the residential project Larchwood and the sale of two houses at MOUNT POKFULAM contributed significantly to the revenue increase[23]. - Contracted sales for residential projects increased by approximately 31.3% to about HK$1,637.2 million, with a saleable area increase of approximately 29.0%[44]. - The Group recorded total contracted sales of approximately HK$1,637.2 million during the reporting period, representing a year-on-year increase of about 31.3% compared to HK$1,247.0 million for the same period last year[47]. Financial Losses - The Group incurred a gross loss of approximately HK$16.6 million for the Reporting Period, compared to a gross profit of approximately HK$92.7 million for the same period in 2024[22]. - The average selling prices of delivered properties fell below the respective cost of sales, leading to the recorded gross loss[22]. - The Group recorded a loss attributable to owners of the parent of approximately HK$384.2 million, compared to a profit of approximately HK$96.9 million in the same period last year[43]. - The property development segment reported a loss of HK$180,727,000, compared to a profit of HK$74,681,000 in 2024[197]. - The property investment segment experienced a loss of HK$133,708,000, down from a profit of HK$169,164,000 in the prior year[197]. - The company reported a loss before tax of HK$465,488,000, compared to a profit of HK$94,884,000 in the same period last year[197]. Expenses and Costs - Selling and distribution expenses increased by approximately 29.3% to about HK$113.0 million, driven by higher property sales and associated commissions[30]. - Administrative expenses decreased by about 5.3% to approximately HK$53.5 million, reflecting the Group's strict cost control policy[31]. - Other income and gains decreased from approximately HK$24.3 million to about HK$14.0 million, primarily due to a drop in customer deposit forfeitures and interest income[28]. - Write-downs of properties under development and held for sale amounted to approximately HK$32.4 million, significantly higher than the previous HK$7.3 million, due to declining expected selling prices[37]. Asset Management and Investments - The Group's asset management fees growth was driven by increased construction activities on joint venture projects managed by the Group[20]. - The Group's investment properties portfolio includes a wholly-owned commercial property and five projects in partnership with global private equity funds, with holding stakes ranging from 15% to 50%[73]. - The Group's asset management activities generate fee incomes, including asset management fees, acquisition fees, development fees, and leasing fees[75]. - The Group is actively seeking opportunities to expand its land bank through old building acquisitions while maintaining a prudent approach to capital management[67]. Financial Position and Ratios - As of September 30, 2025, the Group's total assets less current liabilities were approximately HK$5,632.1 million, with a current ratio of approximately 3.1 times[88]. - Aggregate bank borrowings as of September 30, 2025, amounted to approximately HK$2,707.3 million, with a gearing ratio of approximately 76.2%[92]. - The Group's cash and bank balances as of September 30, 2025, were approximately HK$351.3 million[88]. - The Group's total equity attributable to owners of the parent decreased to HK$2,955,651,000 as of September 30, 2025, from HK$3,422,985,000 as of March 31, 2025, representing a decline of approximately 13.7%[177]. Corporate Governance - The company has complied with the Corporate Governance Code, except for the vacancy of the non-executive chairman position since February 8, 2021[144]. - The Board currently consists of five members, including three executive Directors and two independent non-executive Directors, which does not meet the minimum requirements for independent directors[146]. - The company confirmed that all directors complied with the Model Code for Securities Transactions throughout the review period, with no incidents of non-compliance noted[151]. - The company has maintained a high standard of corporate governance, emphasizing transparency, accountability, integrity, and independence to enhance competitiveness and operating efficiency[150]. Sustainability and Environmental Initiatives - The Group received a 3-stars rating in the 2025 Global Real Estate Sustainability Benchmark (GRESB) assessment, reflecting its commitment to sustainable growth and responsible stewardship of natural resources[122]. - The Group promotes the adoption of green lease practices among its tenants, reinforcing its commitment to sustainability across its operations[124]. - As of September 30, 2025, the Group had approximately HK$3.8 billion in sustainability-linked loans and approximately HK$1.6 billion in green loans, supporting projects that advance net-zero objectives and environmental protection[123]. Market Conditions - The property market in Hong Kong showed signs of recovery in the second half of 2025, supported by reduced interest rates and improving buyer confidence[111]. - The commercial property market remains subdued, with citywide vacancy rates high, but the Group's refinancing of Lakesilver and The Parkside joint ventures has strengthened its capital structure and provided financial flexibility[117].
宏安地产(01243) - 2026 - 中期财报