GUANGDONG INVESTMENT (270) H2 2024 earnings summary

Executive summary

• Profit attributable to shareholders for 2024 was HK$3,142 million, up 0.6% year-over-year; excluding GD Land loss, profit from continuing operations was HK$4,103 million.

• Revenue from continuing operations was HK$18,505 million, down 8.9% year-over-year.

• Net cash inflows from operating activities reached HK$11,086 million, a 3.5% increase year-over-year.

• Maintained a 65% payout ratio; total dividend for 2024 increased 0.6% year-over-year.

• Fresh and live foodstuffs business expanded, with slaughtering volume exceeding 3 million heads and segment profit (including associates) up 133% to HK$234 million.

Financial highlights

• Gross profit from continuing operations was HK$9,822 million, up 1.7% year-over-year.

• Profit before tax from continuing operations was HK$6,494 million, up 1.1% year-over-year.

• Basic and diluted EPS was 48.06 HK cents, up 0.6% year-over-year.

• Gearing ratio from continuing operations dropped to 30.9% from 77.3% due to GD Land transfer.

• Net profit attributable to shareholders increased 114% to HK$141 million.

Outlook and guidance

• Hong Kong water supply arrangement secured through 2026, with annual revenue projected to rise from HK$5.06–5.14 billion in 2024 to HK$5.32–5.39 billion in 2026.

• Focus on stable, long-term returns from PPP projects and continued efficiency improvements in water and carbon management.

• Plans to strengthen and expand the fresh and live foodstuffs business, invest in integrated supply chain, and pursue digital transformation.

• Tinplating business to focus on technological innovation, product quality, and market expansion.

• Capital expenditure for 2025 expected to be approximately HK$302 million, mainly for slaughterhouse construction and tinplating equipment upgrades.