Beijing Enterprises Holdings, the investment arm of the city government, reported a 73.5 per cent jump in underlying profit to HK$1.034 billion for last year after it expanded its piped-gas business.
Including one-off exceptional gains arising from the disposal of some stakes in a number of units and a property revaluation gain, net profit rose 325 per cent to a better than expected HK$1.44 billion. That was a record high since the company went public in 1997. Sales rose 56 per cent to HK$11.3 billion.
The company declared a final dividend of 30 HK cents and a special dividend of 10 HK cents a share.
Vice-chairman and chief executive Zhang Honghai said the company would continue to increase investment in the piped-gas business, which it expected to be a major earnings growth driver.
Its piped-gas unit, Beijing Gas, which the red-chip company acquired from its state-owned parent Beijing Enterprises Group for HK$1.16 billion, contributed HK$161 million profit in the second half of last year.
The piped-gas distributor sold 3.7 billion cubic metres of gas last year and is targeting to sell 4.5 billion cubic metres this year.
Beijing Enterprises has set aside between HK$3 billion and HK$4 billion for capital spending this year. Of the amount, HK$2 billion will be earmarked for the gas business.