Financial Performance - K. Wah International Holdings Limited reported a strong financial performance with a significant focus on premium residential developments and integrated projects in Hong Kong and the Yangtze River Delta regions[5]. - The company reported a contract sales of approximately HKD 5.9 billion and a revenue of about HKD 12 billion for the fiscal year ending December 31, 2023[25]. - Profit attributable to equity holders was approximately HKD 800 million, with core profit around HKD 770 million[25]. - The company achieved a pre-tax profit of HKD 5.3 billion, with a net profit of HKD 3.2 billion for the fiscal year[17]. - The group's revenue for the year ended December 31, 2023, was HKD 6,103,000,000, primarily from property sales in Hong Kong and mainland China, and rental income from Shanghai[29]. - The attributable profit for equity holders was HKD 802,000,000, with core profit (excluding fair value changes of investment properties) at HKD 769,000,000[29]. - The company’s revenue for the previous fiscal year was HKD 11.7 billion, indicating a decrease in revenue for the current year[17]. - The total assets amounted to HKD 60.1 billion, with non-current assets at HKD 17.2 billion[17]. - The group’s total assets and borrowings amounted to HKD 60 billion as of December 31, 2023, down from HKD 62 billion in 2022[104]. - The group’s bank borrowings were HKD 15.182 billion as of December 31, 2023, with an average borrowing interest rate rising from 2.6% to 4.7% due to market interest rate hikes[105]. Dividends and Shareholder Value - The company plans to distribute an interim cash dividend of HKD 0.07 per share for the fiscal year 2023, reflecting its commitment to returning value to shareholders[14]. - The board proposed a final dividend of HKD 0.09 per share, in addition to an interim dividend of HKD 0.07 per share, totaling an annual dividend of HKD 0.16 per share[25]. - The total dividend for the year is HKD 0.16 per share, down from HKD 0.21 in 2022[181]. - The distributable reserves as of December 31, 2023, amount to HKD 2,401,231,000, an increase from HKD 2,048,988,000 in 2022[185]. - The company has adopted a dividend policy considering operational performance, working capital needs, and financial conditions[182]. Awards and Recognition - KWIH has been recognized as one of the top ten property developers in Hong Kong by BCI Asia in 2023, highlighting its market position and reputation[9]. - KWIH has received multiple awards for its projects, including the 2023 American MUSE Design Award Gold Medal for Nanjing Jia Jing Feng, showcasing its design excellence[11]. - The company is committed to sustainability and excellence, as evidenced by its accolades in corporate social responsibility and investor relations[9]. - The company received multiple awards for its commitment to sustainable development, including the "Outstanding Landscape Design Enterprise" award at the 2022 01 Corporate Gold Awards and the "Outstanding Landscape Design Award" at the 2023 Corporate Brand Excellence Awards[123]. Project Development and Sales - The company continues to focus on quality residential projects in Hong Kong and mainland China, receiving ongoing market support[25]. - The group has signed contracts for attributable sales of approximately HKD 5,900,000,000, mainly from various projects in Hong Kong and mainland China[29]. - As of December 31, 2023, the group's attributable sales yet to be recognized amounted to approximately HKD 12,600,000,000, expected to be recognized starting in 2024[29]. - The total land reserve in Hong Kong and mainland China is approximately 1,500,000 square meters of attributable gross floor area available for development[29]. - The group plans to continue launching various projects based on market conditions, including several joint ventures and independent projects in 2024[29]. - The group recorded a significant increase in sales from the Victoria Harbour project, with recognized attributable revenue of approximately HKD 3,600,000,000 during the year[32]. Market Conditions and Economic Outlook - The Hong Kong property market saw a 33% decrease in first-hand transaction volume compared to the 10-year average, with total transactions hitting a 10-year low of 43,002[95]. - The company anticipates that new measures announced by the Hong Kong government will stimulate property demand in 2024-2025[95]. - In 2023, the national new home sales volume and sales amount in mainland China decreased by 8.2% and 6.0% year-on-year, respectively[99]. - The average new home price index in first-tier cities increased by 1.1% year-on-year, indicating relative stability in these markets[99]. - The People's Bank of China lowered the reserve requirement ratio by 50 basis points and the five-year loan market quoted interest rate by 25 basis points to support the real estate market[99]. Corporate Governance - The board of directors is committed to delivering sustained value to shareholders through effective corporate governance[136]. - The board consists of eight members, including the chairman and managing director, with independent non-executive directors making up more than one-third of the board, in compliance with listing rules[139]. - The company has maintained a high level of transparency and compliance with relevant laws and regulations, with no violations reported in areas such as environmental standards, labor standards, and data privacy during the year[128]. - The company has established a stock option plan for its executives and employees since 1989 to provide competitive compensation and retain talent[118]. - The company has a robust shareholder communication policy in place, allowing shareholders to inquire about company matters via the investor relations platform[166]. Sustainability Initiatives - The company is committed to sustainable development and promoting positive life perspectives through initiatives like the Lui Che-woo Prize[169]. - The company has set mid-term greenhouse gas reduction targets, aiming for a 26% reduction in greenhouse gas emissions intensity and a 39% reduction in energy intensity by 2025 compared to 2016 levels[122]. - The company actively engages with stakeholders to gather feedback on its sustainability initiatives and future strategies, identifying risks and opportunities[124]. Employee and Community Engagement - The company emphasizes employee training and development, offering training subsidies and programs to encourage continuous learning among qualified employees[125]. - The company actively participates in community programs, focusing on arts, youth development, and community assistance, to create a positive impact[127]. - The total number of employees in Hong Kong and mainland China was 951, with total employee costs (excluding director remuneration) amounting to approximately HKD 463 million[118]. Risk Management - The company has faced significant risks and uncertainties, which are discussed in detail in the annual report[180]. - The company has adopted a risk management strategy to assist individual operating departments in managing significant risks, including business, operational, and environmental, social, and governance risks[162]. - The company has established an internal audit department to analyze and independently assess the adequacy and effectiveness of its risk management and internal control systems[162].
嘉华国际(00173) - 2023 - 年度财报