PROPERTY developer and investment group Tai Cheung Holdings has reported a 45 per cent increase in annual profits to $464 million for the year to March 31. The result was much in line with market expectations and chairman David Chan has forecast even better results for the current financial year. The board has recommended a final dividend of 25 cents a share and one-for-10 bonus issue for shareholders on August 18. That follows a one-for-five bonus issue and dividend of 16 cents at the interim stage. The total dividend is 41 cents per share, 24 per cent more than last year's 33 cents. Profits were boosted by the completion and sale of the Eastern Harbour Centre godown development in Quarry Bay and the sale of the remaining units at Wilshire Towers. However, shareholders expecting to see profits from the completion of phase one of Tai Cheung's residential project at West Covina, California, reflected in the annual results were disappointed. Bad weather pushed the completion date back to May, after the end of the financial year. In optimistic mood, Mr Chan said that, barring unforeseen circumstances, earnings for the coming year would be substantially improved by the pre-sale of the group's Peninsula Square commercial and multi-storey car park development at Hung Hom, Kowloon. Total sales revenue is expected to exceed $1.2 billion, enabling substantial profits to be booked during the current financial year. The group should benefit from the recent surge in investor interest in the Hongkong commercial property sector, which has caused both office rents and capital values to climb. Tai Cheung has around two million square feet of commercial space and multi-storey car parks under construction. Profits should also be seen this year from phase one of the West Covina housing scheme and Ocean Avenue residential project in Santa Monica, California. Even the slowdown in the Hongkong residential property sector has failed to dampen Mr Chan's spirits. He said: ''There had been a slowdown in the residential sector during the second half of 1992. Prices had dropped between 10 to 15 per cent. ''However, prices in this sector have firmed up again since the beginning of the year.'' Tai Cheung also has significant hotel investment interests. Mr Chan said he expected earnings at the Sheraton-Hongkong Hotel, in which it has a 35 per cent interest, to improve over the next few years as the sector recovered. Profits should also be boosted this year from the recent sale of the Lee Gardens Hotel. Tai Cheung has a 10 per cent shareholding in Lee Gardens International Holdings (LGIH). Mr Chan said LGIH's share of the proceeds would be between $1.22 billion and $1.4 billion. ''It is expected that a substantial amount of the sale proceeds will be distributed to LGIH shareholders by way of dividend,'' he said.