新鸿基公司(00086) - 2023 - 中期财报

Financial Performance - For the first half of 2023, the company's revenue was HKD 1,968.3 million, a decrease of 4.3% compared to HKD 2,056.1 million in the same period of 2022[6]. - The company reported a pre-tax profit of HKD 36.5 million, a significant improvement from a loss of HKD 55.1 million in the previous year[9]. - The loss attributable to shareholders for the first half of 2023 was HKD 287.5 million, down 28.3% from HKD 401.2 million in the same period of 2022[8]. - Revenue for the first half of 2023 decreased by 7.4% to HKD 1,628.6 million compared to HKD 1,759.3 million in the same period of 2022[12]. - The company recorded a foreign exchange loss of HKD 12.3 million, a decrease of 51.2% compared to HKD 25.2 million in the previous year[12]. - The company reported a net loss of HKD 196.8 million in the public market, primarily due to valuation adjustments from strategic holdings in China and US hedging tools[28]. - The company reported a net loss of $130.8 million for the six months ended June 30, 2023, compared to a net loss of $200.7 million for the same period in 2022, indicating an improvement[92]. - The company reported a loss of HKD 401.2 million during the period, contributing to a total comprehensive loss of HKD 694.3 million[95]. Dividends and Share Repurchase - The company maintained an interim dividend of HKD 0.12 per share, consistent with the previous year[7]. - The company declared an interim dividend of HKD 0.12 per share for the six months ending June 30, 2023, consistent with the previous year[82]. - During the six-month period ending June 30, 2023, the company repurchased a total of 770,000 shares at a total cost of HKD 2,307,290, all of which were subsequently cancelled[85]. - The company repurchased shares worth HKD 2.4 million during the period, compared to HKD 3.1 million in the same period last year[142]. Operating Costs and Efficiency - Operating costs decreased by 8.0% to HKD 686.5 million, primarily due to reduced loan recovery costs in the consumer finance segment[10]. - Operating costs reduced by 18.4% to HKD 532.9 million, attributed to decreased loan recovery costs and cost rationalization measures[12]. - Operating expenses decreased by 39.3% year-on-year, from HKD 20.6 million in 2022 to HKD 12.5 million in 2023[61]. - The company incurred financing costs of $486.3 million, an increase from $426.7 million in the same period last year[92]. Debt and Capital Structure - The net debt-to-equity ratio improved from 43.7% at the end of 2022 to 37.2% as of June 30, 2023, reflecting enhanced capital efficiency[7]. - The company's total borrowings as of June 30, 2023, amounted to HKD 14,749.3 million, down 5.8% from HKD 15,650.0 million at the end of 2022[65]. - The interest coverage ratio surged to 1.07 from 0.02 in the previous year, reflecting improved profitability[64]. - The total amount of notes payable as of June 30, 2023, was HKD 6,274.2 million, down from HKD 6,664.8 million as of December 31, 2022, indicating a decrease of approximately 6%[142]. Investment Management - The investment management segment recorded a pre-tax loss of HKD 832.9 million, an improvement from a loss of HKD 935.8 million in the previous year, affected by weak market sentiment in mainland China[11]. - The overall investment management return rate for the first half of 2023 was -2.3%, with public market and alternative investment return rates at -7.4% and -2.5%, respectively[30]. - The alternative investments and real estate segment saw unrealized losses significantly reduced from HKD 1,020.8 million to HKD 99.5 million, a decrease of 90.3%[28]. - The company plans to enhance risk management systems and infrastructure to build a leading alternative investment platform[29]. Loan and Mortgage Performance - The net loan balance decreased by 9.4% to HKD 10,635.0 million, while total loan balance decreased by 9.3% to HKD 11,176.4 million[12]. - The overdue loan balance as of June 30, 2023, was HKD 867.8 million, representing 8.2% of total loans, down from HKD 968.8 million in December 2022[15]. - The total loan balance in the mortgage segment was HKD 2,705.7 million, with first mortgages accounting for over 90%[21]. - Mortgage loans in Hong Kong decreased to HKD 2,705.7 million as of June 30, 2023, down from HKD 3,107.5 million at December 31, 2022, a decline of 12.91%[128]. Employee and Corporate Governance - As of June 30, 2023, the total number of employees in the group was 1,235, a decrease from 1,608 employees as of December 31, 2022[67]. - Total employee costs amounted to HKD 284.7 million for the first half of 2023, down from HKD 248.1 million in the same period of 2022, primarily due to a reduction in workforce[67]. - The group believes that competitive employee benefits are essential for sustainable business development and retention of an efficient team[67]. - The company has maintained compliance with the corporate governance code, with specific deviations noted in the remuneration and audit committees[78][79]. Market Outlook and Strategy - The outlook for the second half of 2023 remains uncertain due to global economic risks and geopolitical tensions, prompting a cautious approach to capital allocation[63]. - The company plans to focus on mortgage products in mainland China, reducing its unsecured personal loan business[12]. - The company continues to seek partnership opportunities to create a broader and more diversified platform amid challenging investment conditions[62]. - The company’s management expects continued focus on market expansion and new product development in the upcoming periods[1].