The chairmanship issue remains unresolved, more than two weeks after the eldest of the siblings started his leave. The younger brothers, who are sitting in for the chairman, signed the 10-page chairman's statement.

A team of six executive directors, who hosted yesterday's event, announced underlying profit of HK$6.2 billion for the first half to December.

Including a HK$7.45 billion revaluation gain on investment properties, the first-half net profit rose 24.83 per cent to HK$13.63 billion.

The developer declared an interim dividend of 80 HK cents, up from 70 HK cents a year ago.

Turnover, however, declined 19.41 per cent to HK$11.92 billion.

Analysts attributed the better than expected bottom line to a gain from disposal of stock investment in mainland banks.

The company reported a HK$530 million gain on long-term investments, largely in equities, up from HK$4 million a year ago.

Senior management insisted its investment in Hong Kong and across the border remained on track.

'Our mainland investment reached 52 billion yuan, or equivalent to about 20 per cent of total assets,' executive director Thomas Chan Kui-yuen said.

The amount, inclusive of eight billion yuan, was for three projects in Guangzhou, Suzhou and Nanjing, up 18 per cent from 44 billion yuan in September last year. SHKP has a mainland land bank of 52 million square feet.

The group said it would raise its mainland investment to 30 per cent of total assets by 2010.

In Hong Kong, the developer would submit bids to tender for the Kai Tak cruise terminal project and another offered by the Urban Renewal Authority (URA), said executive director Mick Wong Chik-wing. Both tenders are due to close today.

It is believed SHKP will team up with Star Cruises to bid for the Kai Tak cruise terminal. According to the government's document, the development cost for the berthing and supporting facilities essential for the operation of a cruise terminal at Kai Tak is estimated at HK$2.4 billion.

The URA will invite developers to tender for the joint redevelopment of Pine Street in Tai Kok Tsui.

Eric Chow Kwok-yin, a director of Sun Hung Kai Real Estate Agency, said SHKP would sell 3,000 housing units worth HK$23 billion in Hong Kong and the mainland this year.

SHKP director Michael Wong Yick-kam said contrary to speculation, the firm had no plans to launch a real estate investment trust in light of the bleak market sentiment. The group bought the Oterprise Square shopping centre in Tsim Sha Tsui but the Kwok family bought the three-star Express by Holiday Inn in Causeway Bay, he said.

The market has suggested that the two investments - which deviate from the group's strategy - were behind the disagreement between the brothers, possibly leading to the chairman stepping aside temporarily.

'For the past several months, [SHKP's] mainland investment has slowed down,' an analyst who declined to be named said. 'It is probably because sentiment is clouded by the austerity measures.'

An analyst briefing, right after the media conference, focused on the company's business performance and future development, he said.

In his report, Goldman Sachs analyst Anthony Wu said rising macroeconomic uncertainties might put the timing and pricing of the new projects at risk. 'Some investors may consider the upcoming launch of Cullinan as a major share price catalyst - any slippage in the launch schedule will affect investor sentiment on the group's near-term earnings outlook,' he wrote.

Shares in SHKP rose 2 per cent to close at HK$132.70 yesterday.