Building a future Sharing a dream 2024 Annual Results 28 March 2025 1 Agenda | Opening Remarks | Vincent Lo | | --- | --- | | | Chairman | | Business Review and | Stephanie Lo | | Outlook & Strategy | Vice Chairman | | Key Financial Highlights | Douglas Sung | | | CFO & CIO, Shui On Land | | Property Sales & Development | Jessica Wang | | | CEO, Shui On Land | | Commercial Asset Management | Allan Zhang | | | CEO, Shui On Xintiandi | 2 Opening Remarks Vincent Lo Chairman 3 Opening Remarks _______ Times of M ...

Financial Performance - Lai Sun Development (LSD) reported revenue of HK$2,597 million and an operating profit of HK$403 million, but a net loss of HK$123 million [5] - eSun Holdings Limited reported revenue of HK$2,548 million and an operating profit of HK$463 million, but a net loss of HK$118 million [5] - Lai Fung Holdings Limited (LFH) reported revenue of HK$648 million and an operating profit of HK$185 million, but a net loss of HK$164 million [5] - eSun's resilient rental portfolio saw revenue decrease by 16% to HK$2,548 million, with net loss after tax (NLAT) reduced to HK$118 million [9] - LSD Group's revenue decreased by 54% to HK$648 million, with NLAT reduced by 6% to HK$164 million [9] Financial Position - Total capital resources were HK$5.5 billion, while total borrowings repayable within one year were HK$4.0 billion [11] - The average funding cost is 6.0% [13] - The company has successfully refinanced and upsized other facilities of over HK$4 billion [14] Operational Highlights - Bal Residence in Hong Kong sold 108 out of 156 residential units, generating proceeds of HK$557.9 million [21] - The Parkland in Hong Kong sold 107 out of 112 residential units, generating proceeds of HK$322.7 million [21] - Hengqin Novotown Phase I occupancy reached 83.5% with rental income of HK$9.2 million [42] - Hengqin Novotown Phase I office occupancy reached over 80% and is expected to exceed 90% shortly [21] Investment Portfolio - Rental income from Hong Kong properties totaled HK$222.3 million, a decrease of 7.2% [25] - Rental income from Shanghai properties totaled HK$184.7 million, an increase of 4.2% [25] - Rental income from Guangzhou properties totaled HK$150.6 million, an increase of 4% [25] - Rental income from Zhongshan Palm Spring Rainbow Mall was HK$2.6 million, a decrease of 16.1% [25]

Financial Performance & Sales Highlights - CSI achieved over HK$3.5 billion in sales and presales for FY 2022 YTD to ensure strong cash flow [14, 74] - The group's contracted sales attributable to the group reached HK$2,164,734,000, with HK$1,346,492,000 unrecognised [15] - Gross revenue from property business decreased by 60% from HK$247 million in 1H FY2021 to HK$100 million in 1H FY2022 [23] - Profit attributable to equity holders decreased by 54% from HK$1,156 million in 1H FY2021 to HK$128 million in 1H FY2022 [23] Key Disposals & Asset Management - Key disposals in 1H FY2022 included 15 units at Knightsbridge residential project in Beijing (CSI-65%), 3 villas for Queen's Gate project in Shanghai (CSI – 50%), and 2 units at 38 Wai Yip Street Office Building (CSI-30%) [19] - Disposal of 49% interest in Novotel Hotel in Jordan, with CSI retaining 51% [19, 23] - The company aims to sell approximately HK$5-6 billion+ of prime assets annually to drive EBITDA [24, 53, 79] Balance Sheet & Credit Metrics - The company has properties and related assets worth HK$22,895 million as of September 30, 2021 [26] - Cash and bank balances, including cash held by securities brokers, amounted to HK$3,117 million [26, 57] - Net debt / total assets (net gearing ratio) was 30.6% in 1H FY 2022 [28] Funding & Capital Structure - Total bank borrowings stood at HK$9,353 million as of September 30, 2021, with 15% due within 1 year and 85% between 1-5 years [50, 51] - The company successfully issued a new US$300 million 4-year senior bond at 5.45% in July 2021 [52, 56, 94] - Total debt (bank and other borrowings) to total asset ratio of approximately 41.7% as at 30 Sep 2021 [58]

Financial Performance - CSI made over HK$4.1 billion of sales and presales for FY 2022 [14] - Gross revenue from property business increased by 14% from HK$369 million in FY2021 to HK$420 million in FY2022 [20] - Profit attributable to equity holders increased by 250% from HK$331 million in FY2021 to HK$1,156 million in FY2022 [20] - The company aims to sell approximately HK$5-6 billion+ of prime assets annually to further drive EBITDA [21, 50] Balance Sheet and Liquidity - Cash and bank balances increased significantly from HK$1.501 billion in FY2021 to HK$3.479 billion in FY2022 [23] - Net debt / total assets (net gearing ratio) decreased from 36.4% in FY2021 to 27.0% in FY2022 [25] - The Group successfully raised a new US$300 million 4-year bond at an attractive rate of 5.45% in July 2021 [48, 53] Key Strategies - Management prioritizes annual asset sales to recycle capital & crystalize profit [85] - The company has a visible disposal pipeline to further drive EBITDA [21, 50, 89] - The company focuses on high-quality residential and commercial real estate portfolio [84] Projects and Redevelopments - Novotel Hotel Kowloon is undergoing redevelopment into a mixed commercial/residential tower with an expected completion in 2025 [59, 66] - The company is involved in a farmland conversion to residential development in Kwu Tong with a future attributable GFA of approximately one million sq ft [67, 70] - Lai Sun Yuen Long Centre is undergoing conversion to residential with a future attributable GFA of approximately 400,000 sq ft [71, 77]

Financial Performance - CSI achieved approximately HK$896 million in sales for 1H FY2023 to maintain a healthy cash flow [12] - Gross revenue from property business increased by 132% from HK$100 million in 1H FY2022 to HK$231 million in 1H FY2023 [15] - Gross profit increased by 137% from HK$53 million in 1H FY2022 to HK$125 million in 1H FY2023 [15] - Profit from property joint ventures/associates increased by 167% from a loss of HK$230 million in 1H FY2022 to a profit of HK$154 million in 1H FY2023 [15] - Profit attributable to equity holders decreased by 52% from HK$128 million in 1H FY2022 to HK$62 million in 1H FY2023 [15] Balance Sheet and Credit Metrics - The company has properties and related assets worth HK$24420 million as of September 30, 2022 [16] - Cash and bank balances amounted to HK$2622 million [16] - Net debt to total assets ratio was 33% as of 1H FY2023, compared to 27% in FY2022 [18] - EBITDA to interest expenses was 15x in 1H FY2023 [18] Strategies and Portfolio - The company focuses on high-quality residential and commercial real estate portfolio [58] - The company is managing disposal pipeline to recycle capital and crystalize profit [58] - The company maintains prudent financing with strong asset coverage and liquidity [58]

Financial Performance & Sales - CSI Properties achieved approximately HK$2,377 million in sales for FY2023, including Joint Ventures and Associates, to ensure strong cash flow[12] - The company's gross revenue from property business increased by 91% from HK$420 million in FY2022 to HK$804 million in FY2023, with property sales contributing HK$546 million and rental income HK$258 million[15] - Gross profit saw a significant increase of 1,203%, rising from HK$31 million in FY2022 to HK$404 million in FY2023[15] - Profit attributable to equity holders decreased by 71% from HK$1,156 million in FY2022 to HK$336 million in FY2023, mainly due to one-off gains in FY2022 from the sale of a 49% interest in Novotel Hotel[15] Balance Sheet & Credit Metrics - The company maintains a strong balance sheet with properties and related assets valued at HK$23,628 million as of March 31, 2023[16] - Cash and bank balances, including cash held by securities brokers, amounted to HK$3,162 million as of March 31, 2023[16] - Net debt to total assets ratio increased from 27% in FY2022 to 28.8% in FY2023[18] - EBITDA to interest expenses ratio decreased from 2.4x in FY2022 to 1.4x in FY2023[18] Strategies & Portfolio - The company focuses on prime Hong Kong properties and manages a high-quality residential and commercial real estate portfolio[15, 57] - CSI Properties is actively managing its disposal pipeline to recycle capital and crystallize profit, with completed sales accounting for over HK$2,376 million in FY2023[57, 66] - The company has a diversified funding sources, including equity and debt, and well-managed bank borrowings, with total bank borrowings at HK$10,080 million[39, 40]

Financial Performance Highlights - CSI made approximately HK$1,346 million in sales and had approximately HK$1,956 million of unrecognized contracted sales commitments for 1H FY2024[12] - Gross revenue from property business increased by 40% from HK$231 million in 1H FY2023 to HK$324 million in 1H FY2024[15] - Gross profit increased by 54% from HK$125 million in 1H FY2023 to HK$192 million in 1H FY2024[15] - Profit from property joint ventures/associates increased by 50% from HK$154 million in 1H FY2023 to HK$231 million in 1H FY2024[15] Balance Sheet and Credit Metrics - The company maintained a strong balance sheet with properties and related assets valued at HK$24,070 million as of September 30, 2023[16] - Cash and bank balances remained strong at HK$3,174 million as of September 30, 2023[16] - Net debt to total assets ratio was 269% as of 1H FY2024[18] - Net debt plus commitment to JVs /adjusted total assets plus JV assets was approximately 385% as of September 30, 2023[44] Strategies and Portfolio - The company focuses on managing a high-quality residential and commercial real estate portfolio[57] - The company aims to manage disposal pipeline to recycle capital & crystalize profit[57] - The company maintains prudent financing with strong asset coverage & liquidity[57] - Total bank borrowings amounted to HK$10,080 million, with 319% due within 1 year (HK$2,687 million) and 681% due between 1-5 years (HK$5,725 million)[40]

Financial Performance - CSI made sales of approximately HK$3,128 million and had approximately HK$794 million of unrecognized contracted sales commitment for FY2024[12] - Gross revenue from property business increased by 96% from HK$804 million in FY2023 to HK$1,579 million in FY2024[14] - The company reported a loss attributable to equity holders of HK$(426) million in FY2024, compared to a profit of HK$336 million in FY2023, mainly due to impairment loss in respect of amount due from a joint venture project[14] - The company's EBITDA decreased from 1.4x to 1.2x[18] Balance Sheet and Liquidity - The company maintains a strong balance sheet with properties and related assets valued at HK$22,870 million as of March 31, 2024[16] - Cash and bank balances, including cash held by securities brokers, amounted to HK$2,524 million[16] - Net debt to total assets ratio increased slightly from 28.8% in FY2023 to 29.2% in FY2024[18] - Total bank borrowings amounted to HK$7,882 million as of March 31, 2024, with 49.1% due within 1 year and 50.8% due between 1-5 years[40] Strategies and Outlook - Management's top priority is to focus on making continuing asset sales to recycle capital & crystalize profit[62] - The company has a solid pipeline of high-quality residential and commercial projects to provide ample liquidity and EBITDA[62] - The company estimates the current value of residential projects to be sold amounts to approximately HK$5 billion per CSI's stake[65]

Financial Performance & Sales - CSI made approximately HK$930 million in sales and had approximately HK$935 million of unrecognized contracted sales commitments for 1H FY2025, including joint ventures and associates[12] - The Group's contracted sales attributable to the Group were HK$930376 thousand and HK$935749 thousand respectively[12] - Gross revenue from property business was HK$143 million in 1H FY2025, compared to HK$324 million in 1H FY2024, with property sales contributing HK$23 million and rental income HK$120 million[15] - The loss attributable to equity holders was approximately HK$904 million, primarily due to adverse changes in the fair value of the Company's JV property[15] Balance Sheet & Liquidity - Properties and related assets amounted to HK$20892 million as of 1H FY2025[17] - Cash and bank balances, including cash held by securities brokers, totaled HK$1971 million[17] - Total bank borrowings amounted to HK$7390 million[24] - The company has approximately HK$22 billion in cash and equivalents to address the US$300 million bond due in July 2025[28] Key Credit Metrics & Funding - Net debt to total assets (net gearing ratio) was 329% for 1H FY2025[19] - Total bank borrowings are HK$10080 million, with 26% due within 1 year (HK$1921 million) and 74% due between 1-5 years (HK$5469 million)[22] - The effective interest rate ranges from 47% to 69% for the Group's bank borrowings as of 30 Sep 2024[26] Strategies & Portfolio - Management's strategies include managing a high-quality real estate portfolio, actively managing the disposal pipeline, and maintaining prudent financing[39] - The company has a pro-forma adjusted NAV per share of HK$175 based on 9277 million shares in issue as at 30 Sep 2024[30, 31] - The company has a diversified portfolio of prime properties in premier locations, including commercial properties with a book value of HK$33878 million and residential properties with a book value of HK$23614 million[36, 37]

Global Wind Power Market - Global new wind power installations in 2024 reached 1216 GW, a 39% year-over-year increase[5] - Onshore wind installations accounted for 1099 GW, a 37% year-over-year increase[5] - Offshore wind installations totaled 117 GW, a 6% year-over-year increase[5] - China Mainland contributed 855 GW of new wind power capacity, representing 70% of global new installations[8] China Wind Power Development - In the first quarter of 2025, China's new grid-connected wind power capacity was 146 GW, a 57% year-over-year decrease[14] - As of the end of the first quarter of 2025, China's cumulative grid-connected wind power capacity reached 5354 GW[14] - Wind power production in 2024 was 9916 billion kWh, a 16% year-over-year increase, with a penetration rate of 101%[14] - In the first quarter of 2025, China's total power consumption reached 23846 billion kWh, a 25% year-over-year increase[14] - Domestic public tender market totaled 286 GW in 1Q25, representing 227% yoy increase[20] Goldwind's Performance - The company's external sale capacity in the first quarter of 2025 totaled 258765 MW, an 8016% year-over-year increase[36] - WTG 6MW and above accounted for 182370 MW, or 7047% of total sale capacity[36] - WTG 4MW (inclusive) to 6MW accounted for 76095 MW, or 2941% of total sale capacity[36] - As of the end of the first quarter of 2025, the company's total order backlog was 5109 GW[44] - External order backlog totaled 486 GW, including 942 GW of successful bids and 3919 GW of signed contracts[44] - Overseas market external orders reached 6909 MW, a 261% year-over-year increase[44] - The company's attributable, grid-connected wind power projects totaled 8043 MW as of the end of the first quarter of 2025[52] - The company's self-run wind farms recorded 635 hours of utilization in the first quarter of 2025, 57 hours higher than the national average[52] Financial Results - The company realized revenue of RMB 9472 million in the first quarter of 2025[61] - The comprehensive profit margin for the first quarter of 2025 was 2178%[61] - Net profit attributable to owners of the company totaled RMB 568 million in the first quarter of 2025[61] - Weighted average return on equity for the first quarter of 2025 was 148%[61] - As of the end of March 2025, trade receivables totaled RMB 31236 million, taking 20% of total assets[67] - As of the end of March 2025, inventory and contract assets totaled RMB 18090 million, taking 11% of total assets[67] - As of the end of March 2025, interest-bearing debt totaled RMB 50255 million, taking 43% of total liabilities[71] - As of the end of March 2025, the asset-liability ratio was 7305%[71] - As of the end of March 2025, the ratio of cash to total assets was 875%[74] - Net operating cash outflows totaled RMB 1636 million during the first quarter of 2025[76]