HANS ENERGY-汉思集团控股：拥有专营巴士经营权（城巴）的投资标的-20250221

Investment Rating - The report does not provide a specific investment rating for the company [4] Core Insights - The company is expected to achieve a turnaround and consider dividend distribution once its related business becomes profitable [2][98] - The acquisition of BTHL has increased the company's stake to 70%, enhancing its revenue and cash flow sources [2][12] - A fare adjustment of 7.5% for city and New Territories routes has been approved, effective January 5, 2025, which is anticipated to positively impact profitability [2][90] Business Overview - The company, through its subsidiary Glorify, acquired approximately 54.44% of BTHL for HK $2.72 billion, raising its ownership to 70% [2][12] - BTHL focuses on providing public bus and tourism-related services under the Citybus brand and is the exclusive advertising agent for Citybus vehicle advertising [2][12] - The merger of Citybus and Newbus is expected to optimize routes, enhance operational efficiency, and reduce costs [3][7] Financial Data and Peer Comparison - BTHL generated total revenue of HK$ 34.9 billion in 2023, accounting for 78.6% of the group's total revenue [98] - The company has a market capitalization of approximately HK $1 billion, with a potential dividend yield of 6% to 7% based on a 95% profit distribution [2][98] - The financial performance of the bus industry improved significantly in 2023, with a recovery in passenger numbers post-pandemic [98][101] Industry Overview - The Hong Kong public bus industry consists of both franchised and non-franchised bus services, with franchised buses serving areas not easily accessible by rail [60] - The number of franchised bus routes in Hong Kong increased from 670 in 2018 to 750 in 2023, with Citybus operating 233 routes [60][92] - The industry size was approximately HK$ 10.64 billion in 2023, with Citybus holding a market share of about 27.9% [92][93]