Sun Hung Kai Properties Ltd
HKEX:16

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Sun Hung Kai Properties Ltd
HKEX:16
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Price: 96.5 HKD -2.77% Market Closed
Market Cap: 279.6B HKD

Sun Hung Kai Properties Ltd
Investor Relations

Sun Hung Kai Properties Ltd., a towering presence in Hong Kong's real estate landscape, was founded in the early 1970s by the visionary Kwok family. Crafted from the city's characteristic blend of tradition and modernity, the company has intricately woven itself into the urban fabric, becoming synonymous with high-quality residential, commercial, and retail developments. Over the decades, it has evolved from its humble beginnings, laying brick by brick the foundations of an empire that goes beyond mere concrete structures. At its core, Sun Hung Kai Properties operates by adhering to meticulous standards of quality and innovation. This commitment is reflected in its diverse portfolio, spanning grand skyscrapers that pierce Hong Kong's skyline to lush residential complexes that offer a serene escape from the bustling urban life.

Key to Sun Hung Kai's financial prowess is its strategic business model, which pivots on the pillars of property development and investment holding. The company efficiently capitalizes on Hong Kong's dense population and limited land resources, making it a master orchestrator in a high-demand market for residential and commercial spaces. Income streams flow abundantly not only from sales of newly developed properties but also from rental incomes from a vast array of properties retained in its investment portfolio. Furthermore, with distinct business segments like property management, hotel operations, and telecommunications, Sun Hung Kai fortifies its revenue base, ensuring a steady cash flow that supports its growth ambitions. This multifaceted approach cultivates a stable ecosystem that not only underpins its financial strength but also positions Sun Hung Kai Properties as a guardian of Hong Kong's real estate heritage and future.

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16
Hang Seng (Hong Kong)
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Last Earnings Call
Fiscal Period
Q4 2023
Call Date
Sep 7, 2023
AI Summary
Q4 2023

Underlying Profit: Fell 17% year-on-year to HKD 23.9 billion, mainly due to weaker Hong Kong property sales.

Dividends: Full-year dividend maintained at HKD 4.95 per share, but payout ratio will revert to 40-50% of underlying profit next year.

Sales Pipeline: Hong Kong contracted sales rose 13% to HKD 33.4 billion, with a FY24 target of HKD 33 billion; Mainland sales target set at HKD 5 billion.

Recurring Income: Rental and non-property business income remained stable, with new investment properties and projects set to enhance recurring income.

Financial Strength: Net gearing improved to 18.2%, with management targeting leverage at or below 20%.

Market Outlook: Management expects stable housing demand in Hong Kong and selective land banking, with no plans to expand outside HK/China.

Key Financials
Underlying Profit
HKD 23.9 billion
Reported Profit
HKD 23.9 billion
Earnings Per Share
HKD 8.24 (underlying), HKD 8.25 (reported)
Dividend Per Share
HKD 4.95
Gross Property Development Profit
HKD 11.3 billion
Property Development Profit (Mainland China)
HKD 2.6 billion
Net Rental Income
HKD 18.5 billion
Hotel Business Operating Profit
HKD 161 million
Total Operating Profit
HKD 34.7 billion
Net Gearing Ratio
18.2%
Interest Coverage Ratio
6.8x
Net Book Value Per Share
HKD 207.80
Recognized Property Sales (Hong Kong)
HKD 23.9 billion
Development Profit (Hong Kong)
HKD 8.5 billion
Contracted Sales (Hong Kong)
HKD 33.4 billion
Unrecognized Contracted Sales (Hong Kong)
HKD 28 billion
Gross Rental Income (Hong Kong)
HKD 17.7 billion
Mall Occupancy (Hong Kong)
95%
Office Occupancy (Hong Kong)
92%
Recognized Property Sales (Mainland China)
HKD 5.3 billion
Development Profit (Mainland China)
HKD 2.8 billion
Contracted Sales (Mainland China)
RMB 4 billion
Gross Rental Income (Mainland China)
HKD 5.8 billion
Earnings Call Recording
Other Earnings Calls
2021
2018

Management

Mr. Ping-Luen Kwok Hon DBA, Hon LLD, J.P., M.A., M.B.A., MA (Cantab)
Executive Chairman & MD
No Bio Available
Mr. Chik-wing Wong FHKIS, J.P., M.Sc., MSc(IRE), RPS (BS)
Deputy MD & Executive Director
No Bio Available
Mr. Hong-Ki Chan B.Sc., MRICS
Executive Director
No Bio Available
Mr. Ching-Kam Li C.P.A., FCCA
Chief Accountant
No Bio Available

Contacts

Address
45th Floor, Sun Hung Kai Centre, 30 Harbour Road
Contacts
+85228278111.0
www.shkp.com