MIRAMAR HOTEL(HK:00071)2024-03-19 14:41Financial Performance - The group's revenue increased by 84.7% to HKD 2.5526 billion (2022: HKD 1.3822 billion) [2] - Shareholders' profit attributable rose to HKD 971.1 million (2022: HKD 480.1 million), a year-on-year increase of 103.5% [4] - Basic earnings per share increased by 56.8% to HKD 1.19 (2022: HKD 0.76) [4] - The group reported a significant rebound in the restaurant business, with revenue reaching HKD 279.4 million [7] - The travel business revenue surged to HKD 896.1 million, benefiting from the full resumption of cross-border travel [7] - Total revenue for the hotel and serviced apartment business was HKD 5.819 billion, an increase of 82.8% compared to HKD 3.184 billion in the previous year [12] - EBITDA for the hotel and serviced apartment business rose to HKD 1.535 billion, a 763.6% increase from HKD 178 million in the previous year [12] - The group's total revenue for the year ended December 31, 2023, was HKD 2,552,594, an increase of 84.6% compared to HKD 1,382,231 in 2022 [19] - Gross profit for the same period was HKD 966,481, representing a gross margin of approximately 37.9% [19] - The net profit attributable to shareholders for 2023 was HKD 977,136, up 103.5% from HKD 480,104 in 2022 [20] - Basic and diluted earnings per share for 2023 were both HKD 1.41, compared to HKD 0.69 in 2022, reflecting a 104.3% increase [20] Dividends and Shareholder Returns - The proposed final dividend is HKD 0.30 per share, with a total annual dividend of HKD 0.53 per share [5] - The total dividend for the year was HKD 366,209, an increase from HKD 345,480 in 2022 [20] - The company declared an interim dividend of HKD 0.23 per share, up from HKD 0.21 per share in 2022 [36] - The final dividend is expected to be distributed on July 11, 2024, pending approval at the 2024 Annual General Meeting [55] Business Segments Performance - The group plans to enhance its restaurant business promotion and develop e-commerce to attract more customers [8] - The group successfully attracted mainland travelers by shifting promotional focus from international airport visitors to high-speed rail travelers [6] - The occupancy rates for The Mira Hong Kong and Moonlight Hotel reached 90% and 95% respectively in 2023, a significant increase of 22 percentage points and 54 percentage points compared to 2022 [12] - Average room rates increased by 61% and 40% for The Mira Hong Kong and Moonlight Hotel, reaching HKD 1,432 and HKD 1,706 respectively [12] - Restaurant business revenue grew by 61.3%, significantly outperforming the overall market growth of 26.1% [15] - The group launched a new Thai restaurant, Mue Mue, at Mira Place, further diversifying its dining portfolio [15] - Travel business revenue rebounded to HKD 896.1 million, with EBITDA of HKD 46.7 million, compared to HKD 90.6 million and a loss of HKD 13.3 million in the previous year [16] - The rental business generated external revenue of HKD 795,187,000, contributing to the overall performance of the group [30] - The hotel and serviced apartment segment achieved external revenue of HKD 581,884,000, reflecting its operational success [30] - The food and beverage segment recorded external revenue of HKD 279,443,000, indicating growth in this area [30] - The travel segment generated external revenue of HKD 896,080,000, showcasing its market presence [30] Financial Position and Assets - As of December 31, 2023, the group's total cash was HKD 56 billion, an increase from HKD 54 billion in 2022, with no loans outstanding [18] - The group's total assets less current liabilities increased to HKD 21,229,158 in 2023 from HKD 20,619,598 in 2022 [23] - Long-term securities investments and current financial assets were HKD 333.22 million and HKD 89.5 million, respectively, as of December 31, 2023, compared to HKD 28.1 million and HKD 58.4 million in 2022 [18] - The group maintained a zero debt-to-equity ratio as of December 31, 2023, consistent with the previous year [18] - The fair value of the group's investment properties increased by HKD 159.5 million, with a total fair value of HKD 15.3 billion as of December 31, 2023 [14] - The fair value change of investment properties for the year was a net increase of HKD 977,136,000, compared to a net decrease of HKD 480,104,000 in 2022 [42][43] Operational Efficiency - Overall operating costs increased by 34.5% to HKD 228.7 million, but the rise in operating expenses was lower than the increase in revenue [17] - Adjusted EBITDA for the rental business segment was HKD 899,757,000, while the hotel and serviced apartment segment reported HKD 153,523,000 [30] - The company reported a consolidated profit before tax of HKD 1,128,145,000 for the year ended December 31, 2023 [30] - The company reported a comprehensive profit before tax of HKD 580,191,000 for the year [31] - The total tax expense for the year was HKD 110,838,000, compared to HKD 91,651,000 in 2022 [36] Corporate Governance and Compliance - The company has adhered to the corporate governance code as per the Hong Kong Stock Exchange rules for the year ending December 31, 2023 [57] - The audit committee has reviewed the financial performance for the year ending December 31, 2023, in conjunction with the independent auditor [58] - There were no purchases, sales, or redemptions of the company's listed securities during the year ending December 31, 2023 [60] - All directors have confirmed compliance with the standard code for securities transactions during the year ending December 31, 2023 [60] Employee and Talent Management - The total number of full-time employees as of December 31, 2023, is 1,301, with 1,269 in Hong Kong, 19 in Mainland China, and 13 overseas [55] - The company has been recognized annually since 2011 with the "Talent Enterprise Award" for its commitment to employee training and development [56] - The company emphasizes a culture of equal pay and regularly reviews its compensation and benefits plans to align with market conditions [55] - The company is committed to providing a continuous learning environment for employees to enhance productivity [56] Future Outlook - The group is optimistic about future growth opportunities in the hotel, travel, and restaurant sectors as the economy recovers [8] - The company plans to maintain its focus on market expansion and new product development in the upcoming fiscal year [31] - The group continues to seek investment opportunities and plans to increase financial asset investments for long-term holding [18] Accounting and Reporting - The company has adopted new and revised Hong Kong Financial Reporting Standards, which did not have a significant impact on the financial performance [25] - The group has made changes to its accounting policies regarding long service payment liabilities, with no significant impact on the consolidated financial statements [26] - The company is preparing to submit its financial statements for the year ended December 31, 2023, in compliance with the Hong Kong Companies Ordinance [24]