Henderson Land Development Company (0012) H1 2025 earnings summary

Executive summary

• Underlying profit attributable to equity shareholders for H1 2025 was HK$3,048 million, down 44% year-over-year, mainly due to the absence of one-off gains from land resumption and property disposals in the prior year.

• Reported profit attributable to equity shareholders was HK$2,908 million, an 8% decrease year-over-year.

• Interim dividend per share remained unchanged at HK$0.50.

Financial highlights

• Revenue for H1 2025 was HK$9,552 million, down 19% year-over-year.

• Underlying earnings per share was HK$0.63 (2024: HK$1.12); reported EPS was HK$0.60 (2024: HK$0.66).

• Net asset value per share at 30 June 2025 was HK$66.13, a 1% decrease from end-2024.

• Net debt stood at HK$67,415 million with a gearing ratio of 21.1%.

• Gross rental income from property leasing was HK$4,333 million, down 3% year-over-year; pre-tax net rental income was HK$3,144 million, down 4%.

Outlook and guidance

• Over HK$12.7 billion in unrecognised contracted sales, with HK$8.4 billion expected to be recognised in H2 2025.

• Sufficient land reserves in Hong Kong and ongoing urban redevelopment projects support future development.

• Plans to launch 10 new projects in H2 2025, totaling about 2.66 million sq. ft. of residential GFA.

• Investment property portfolio in HK and mainland China to grow, with new projects like The Henderson and New Central Harbourfront progressing well.

• The Group is positioned to benefit from improved market sentiment and government policies supporting property and talent inflow.