Core Viewpoint - Hong Kong Mortgage Corporation Limited reported a significant increase in its unaudited consolidated profit after tax for the first half of 2025, reaching HKD 53.3 million, compared to HKD 9 million in the same period of 2024, driven by various factors including increased foreign exchange returns and net interest income [1] Financial Performance Summary - The adjusted profit after tax for the first half of 2025, excluding the performance of its wholly-owned subsidiary Hong Kong Annuity Limited and other adjustments, was HKD 874 million, with an annualized return on equity of 6.2% and a cost-to-income ratio of 14.2%, compared to HKD 468 million, 6.2%, and 22.4% respectively in the first half of 2024 [2] - As of June 30, 2025, the embedded value of the annuity business was approximately HKD 21.6 billion, comprising total equity of HKD 18.5 billion and the present value of future profits of HKD 3.1 billion, indicating a robust financial position to support long-term development [2] Capital Adequacy and Risk Management - The capital adequacy ratio for Hong Kong Mortgage Corporation as of June 30, 2025, was 18.7%, down from 19.9% at the end of 2024, remaining well above the minimum requirement of 8% set by the Financial Secretary [3] - The solvency ratios for Hong Kong Annuity Company and Hong Kong Mortgage Insurance Company were approximately 2.2 times and 3.7 times respectively, both significantly exceeding the regulatory minimum requirements [3] - In response to an uncertain market environment, the company has adopted a prudent financing strategy and is actively communicating with local and international investment sectors regarding bond issuance to support large loan purchases and refinancing needs [3]