2026-03-26 09:28Financial Performance - For the fiscal year ending December 31, 2025, the consolidated revenue was $2,234.1 million, an increase of 2.2% from $2,185.4 million in 2024[4]. - The actual attributable revenue from the company, subsidiaries, and associates was $2,712.1 million, up 2.2% from $2,653.6 million in 2024, driven by an increase in hotel operations revenue[8]. - The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) attributable to the company was $520.9 million, reflecting a 3.4% increase from $503.9 million in 2024[4]. - The net profit attributable to the owners of the company from operations was $122.8 million, a 6.0% increase from $115.9 million in 2024[8]. - The total comprehensive profit attributable to the owners of the company was $112.3 million, a decrease of 30.4% from $161.4 million in 2024, primarily due to a decline in non-operating items[8]. - Operating profit rose significantly by 42.6% to $334.9 million in 2025, compared to $234.9 million in 2024[14]. - The net profit attributable to the company's owners decreased by 30.4% to $112.3 million in 2025 from $161.4 million in 2024[14]. - The company reported a revenue of USD 2,234,072 thousand for 2025, an increase from USD 2,185,356 thousand in 2024, representing a growth of approximately 2.2%[90]. - The net profit attributable to shareholders for 2025 was USD 112,293 thousand, down from USD 161,387 thousand in 2024, representing a decrease of approximately 30.4%[90]. Revenue Breakdown - Hotel operations revenue for the year ended December 31, 2025, was $2,071.2 million, up 1.4% (or $29 million) from $2,042.2 million for the year ended December 31, 2024[21]. - Investment property revenue increased to $139.5 million for the year ended December 31, 2025, a 10.9% increase (or $13.7 million) from $125.8 million for the year ended December 31, 2024[21]. - Revenue from food and beverage sales was $766.7 million, a slight decrease of 0.2% from $767.9 million in the previous year[21]. - Revenue from ancillary services was $99.9 million, down 6.3% from $106.6 million in the previous year[21]. - The group’s total revenue from properties held for sale increased significantly by 304.3% to $9.3 million from $2.3 million in the previous year[21]. Hotel Operations - The company currently operates 106 hotels with a total of 42,500 rooms, including 87 owned/leased hotels and 19 managed hotels[12]. - The group opened the Hangzhou Shangri-La Hotel in May 2025 and two wholly-owned leased hotels in Shanghai in October 2025, expanding its portfolio[22]. - The group managed a total of 106 hotels and resorts as of December 31, 2025, including 19 third-party owned hotels with 6,465 available rooms[41]. - The total revenue for hotel properties increased by 1.5% to $1,974.1 million for the year ending December 31, 2025, compared to $1,944.0 million for 2024[27]. - The weighted average occupancy rate for the group's hotels was 65% for the year ending December 31, 2025, up from 63% in 2024, representing a 2 percentage point increase[28]. Investment Properties - The total floor area of investment properties operated by the company as of December 31, 2025, was 1,273.6 thousand square meters, with significant contributions from mainland China and Malaysia[11]. - The actual attributable value of all hotel properties was $11,958.7 million, with $4,906.2 million from external valuations and $7,052.5 million from internal valuations[16]. - The adjusted net asset value based on hotel property valuations increased from $5,324.4 million to $11,066.9 million after accounting for deferred tax[16]. - The actual profit from investment properties was $281.2 million for the year ended December 31, 2025, a decrease of 1.8% from $286.3 million, impacted by weak market conditions in mainland China[49]. Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.10 per share for 2025, maintaining the same level as 2024, resulting in a total dividend of HKD 0.15 per share for the year[5]. - Shangri-La announced a final dividend of HKD 0.10 per share, totaling an annual dividend of HKD 0.15 per share[85]. - The proposed final dividend for the year ending December 31, 2025, is 45,936,000 USD, based on 3,585,525,056 shares issued[126]. Financial Position and Liabilities - The total assets of the company as of December 31, 2025, were USD 14,426,534 thousand, up from USD 13,498,459 thousand in 2024, indicating a growth of approximately 6.9%[88]. - The company's total liabilities increased to $14,426.5 million in 2025 from $13,498.5 million in 2024, an increase of about 6.9%[108]. - The group’s net borrowings decreased to $4.3259 billion from $4.4213 billion, a reduction of $95.4 million, attributed to strong cash flow from property operations[53]. - The leverage ratio decreased from 81.3% to 77.2%, reflecting the reduction in net borrowings and strong operating cash flow[53]. Employee and Talent Development - The company conducted 384 face-to-face workshops for 6,640 managers to enhance leadership capabilities in 2025[77]. - In 2025, over 190,000 employees participated in more than 90 global digital learning courses, averaging 28 hours of training per employee, reflecting the company's commitment to continuous development[79]. - The company launched a new global human resources system in 2025, marking a significant milestone in providing a unified and reliable foundation for talent data[80]. - Employee benefits expenditure (excluding director remuneration) amounted to $812.4 million in 2025, up from $802.2 million in 2024[82]. Strategic Initiatives and Future Plans - The company plans to continue expanding its hotel properties and related services, focusing on strategic acquisitions and market growth[94]. - The group plans to expand its business by opening new properties in mainland China, including the Shangri-La Hotel at Shanghai Hongqiao Airport in October 2025[69]. - The group is developing a hotel in Zhengzhou with 314 rooms, expected to open in 2027, and a hotel in Kyoto with 77 rooms, expected to open in 2026[70]. Market Conditions and Challenges - The group’s hotel property revenue growth was primarily driven by recovery in Hong Kong, Malaysia, the Philippines, Japan, France, and Australia, despite a decline in revenue from properties in mainland China and Singapore[26]. - The company continues to explore business expansion opportunities in the Middle East, despite ongoing regional conflicts affecting market conditions[86].