Ge Long Hui·2025-08-06 19:45Core Viewpoint - The company reported a decline in revenue and net profit for the first half of 2025, with a focus on maintaining growth in Hong Kong while facing challenges in other markets [1][2]. Financial Performance - In the first half of 2025, the company achieved a revenue of 42.854 billion HKD, a year-on-year decrease of 2.79%, and a net profit of 5.624 billion HKD, down 5.49% [1]. - The operating profit before fair value changes was 5.227 billion HKD, a decline of 8% year-on-year, with Hong Kong and related businesses contributing 4.568 billion HKD, an increase of 6% [1]. - The fair value change income shifted from 172 million HKD in the previous year to -35 million HKD, leading to an overall operating profit decrease of 11% to 5.192 billion HKD [1]. Capital Expenditure and Cash Flow - Cash inflow, excluding maintenance capital expenditure, was 7.1 billion HKD, a decrease of 9 billion HKD year-on-year, primarily due to a 6 million HKD decline in EBITDAF and adverse working capital changes [2]. - Non-maintenance capital expenditure totaled 7 billion HKD, mainly for Hong Kong SoC business (5.1 billion HKD) and renewable energy projects in mainland China [2]. Strategic Focus and Long-term Outlook - The company aims to provide stable cash flow through core businesses while seeking opportunities in the rapidly evolving energy transition market [2]. - A five-year development plan worth 52.9 billion HKD is underway in Hong Kong, with capital allocation principles based on risk-return, geographic selectivity, and project expansion in mainland China [2]. - The long-term outlook remains positive, with projected revenues of 90.2 billion HKD, 91.2 billion HKD, and 92.1 billion HKD for 2025-2027, and net profits of 11.2 billion HKD, 11.6 billion HKD, and 12 billion HKD respectively [3].