CK Hutchison and CK Asset post upbeat profit results during Victor Li’s debut year as chairman
- The listed flagship companies of tycoon Li Ka-shing reported improving profit for the period ending December 31
- CK Hutchison’s posted net profit of HK$39 billion (US$4.97 billion), a rise of 11 per cent on year, and exceeding the average forecast of analysts polled by Bloomberg
- CK Asset Holdings reported net profit of HK$24.13 billion, up 18.8 per cent from 2017
CK Hutchison Holdings and CK Asset Holdings, the listed flagships of tycoon Li Ka-shing, reported higher profit in the first set of annual results since his eldest son Victor Li Tzar-kuoi took over as chairman in May last year.
CK Hutchison, the conglomerate with businesses spanning container ports, retail, telecommunications, and power plants, said net profit increased 11 per cent to HK$39 billion (US$4.97 billion) for the year ending December 31, beating the HK$38.4 billion average forecast of analysts polled by Bloomberg.
Some 57 per cent of the growth in earnings before tax and interest expenses came from its Canadian oil and gas unit Husky Energy, with the rest mainly driven by retail and telecommunications.
CK Asset, Hong Kong’s second biggest property developer by market capitalisation, posted an underlying net profit, excluding revaluation gains on investment properties, of HK$24.13 billion for 2018, up 18.8 per cent from 2017. The result was lower than the HK$28.3 billion average estimate of six analysts polled by Bloomberg.
CK Hutchison’s declared a final dividend of HK$2.30 per share, bringing its full year dividend to HK$3.17, compared to HK$2.85 in 2017.
CK Asset’s board declared a final dividend of HK$1.43 per share, bringing the full-year payout to HK$1.90, up from HK$1.70 in 2017.
Since becoming chairman, Victor Li has turned CK Asset’s investment focus back to the Hong Kong property market, initiating residential and commercial projects estimated by industry consultants to require some HK$66 billion of investment.