Financial Performance - For the year ended December 31, 2023, the attributable profit to shareholders was HKD 337 million, a decrease of 72.3% compared to HKD 1.215 billion in 2022[10] - The basic earnings per share for 2023 was HKD 0.49, down from HKD 0.94 in 2022, reflecting a decline of 48.2% in underlying profit to HKD 573 million from HKD 1.107 billion[10] - The Group's total revenue for 2023 was HKD 2.943 billion, a significant drop from HKD 4.582 billion in 2022[15] - The Group's operating profit for 2023 was HKD 623 million, a decrease of 65.1% from HKD 1.787 billion in 2022[15] - Total assets for the year 2023 were HKD 47.732 billion, a slight decrease from HKD 47.766 billion in 2022[16] - The company's total equity as of December 31, 2023, was HKD 17.768 billion, down from HKD 18.536 billion in 2022[16] - The total rental income from investment properties in Hong Kong decreased to HKD 296 million in 2023, down 1.7% from HKD 301 million in 2022[23] - The total interest and dividend income from financial investments fell to HKD 104 million in 2023, a decrease of 34.6% from HKD 159 million in 2022[24] Dividends - The proposed final dividend is HKD 0.57 per share, bringing the total dividend for 2023 to HKD 0.83 per share[10] - The board proposed a final dividend of HKD 0.57 per share for the year ended December 31, 2023, consistent with the previous year's cash dividend[19] - The company declared a final dividend of HKD 0.26 per share for the fiscal year 2023, maintaining the same level as in 2022[158] - The interim dividend for 2023 was also HKD 0.26 per share, consistent with the previous year[158] - The company aims to declare dividends twice a year, subject to financial performance[157] Land and Property Development - The Group's landbank amounted to approximately 3.3 million sq m of attributable gross floor area in Hong Kong and Mainland China as of December 31, 2023[4] - The property development land reserve in Hong Kong is 204,000 sq m, while the land reserve in Mainland China is approximately 3.078 million sq m[9] - The group sold over 870 residential units at the residential development project "Oceanview Garden" in Hong Kong, generating sales revenue of approximately HKD 1.2 billion[22] - The total pre-sale/sales amount for development projects in mainland China exceeded RMB 2.5 billion, with the group's attributable share being approximately RMB 2.1 billion[22] - The group has ongoing projects in mainland China with a total gross floor area of approximately 6,702,000 square meters, including significant developments in Shenyang and Tianjin[33] Market Outlook and Strategy - The group expects the residential market in Hong Kong to remain active and healthy following the removal of sales restrictions, with significant increases in transaction volumes observed in early March[27] - The group plans to actively sell remaining inventory in Hong Kong and mainland China, leveraging the recent market recovery[27] - The group is committed to enhancing its competitive position through property development, investment, and management in both Hong Kong and Mainland China[4] Financial Position and Debt - The capital debt ratio for 2023 was 111.53%, compared to 113.27% in 2022, indicating a slight improvement[16] - As of December 31, 2023, the total bank loans of the group amounted to HKD 20,897,000,000, a decrease from HKD 21,860,000,000 as of December 31, 2022[94] - The group's net bank borrowings as of December 31, 2023, were HKD 19,816,000,000 after accounting for cash and bank balances of HKD 1,081,000,000[94] Corporate Governance - The company has a strong focus on corporate governance, emphasizing high-quality board performance and accountability to shareholders[104] - The company has adhered to all provisions of the corporate governance code for the year ending December 31, 2023, except for specific recommendations regarding the separation of roles between the chairman and CEO[105] - The board of directors includes independent non-executive directors with extensive experience in banking, engineering, and finance, enhancing the company's governance structure[102] - The company has a commitment to regular reviews of its corporate governance practices to ensure long-term sustainable development[104] Risk Management - The group faces risks including economic recovery challenges post-pandemic and potential impacts from rising construction costs and competition in the property development sector[84] - The group is exposed to financial risks including interest rate, credit, liquidity, foreign currency, and other price risks, which are detailed in the financial statements[88] - The company is responsible for preparing financial statements that are free from material misstatement due to fraud or error, ensuring internal controls are in place[197] Environmental and Social Responsibility - The group has implemented comprehensive environmental management measures, achieving energy efficiency certifications for ten properties managed as of December 31, 2023[92] - The group has committed to high standards of environmental protection and continuous improvement in its environmental performance[92] - The group made charitable donations totaling HKD 647,000 during the year, an increase from HKD 261,000 in the previous year[170] Audit and Compliance - The consolidated financial statements for the year ended December 31, 2023, were audited and reflect the group's financial position accurately[188] - The audit report emphasizes the importance of identifying and assessing risks of material misstatement due to fraud or error in the consolidated financial statements[199] - The auditor's goal is to provide reasonable assurance that the financial statements are free from material misstatement, which is essential for stakeholders' economic decisions[198]
九龙建业(00034) - 2023 - 年度财报