Hong Kong developer Sino Land reports flat earnings growth
Property sales revenue fell 50.48 per cent as the city’s housing market slowed
Underlying earnings, excluding fair-value changes on investment properties, amounted to HK$5.35 billion, against HK$5.3 billion in the preceding year.
The result is in line with the forecast range of between HK$5.23 billion and HK$5.42 billion made by Macquarie and Bocom International Securities, citing the modest slippage in profit booked from various projects such as Cluny Park in Mid-Levels West.
Sino Land, chaired by Singaporean Robert Ng Chee Siong, said its net profit, which includes property valuation gains, fell 24.34 per cent to HK$7.09 billion. The revaluation gains fell to HK$1.74 billion, compared with HK$4.07 billion in the preceding year.
Total revenue from property sales for the full year, including property sales of associates and joint ventures, fell 50.48 per cent to HK$11.44 billion, against 2015’s HK$23.1 billion. Analysts expect property sales will continue to fall next year amid the slowdown of the city’s property market.
“The Hong Kong property market continues to consolidate as a result of economic and property-related policies. Both sales volume and value showed a decrease during the financial year