|Home sales prop up NWD earnings
Developer New World Development (0017), which owns residential properties and operates shopping malls and hotels including the Grand Hyatt Hong Kong, said today underlying profit gained 45.1 percent to HK$4.09 billion in the six months ended December 31, 2012.
Revenue amounted to HK$24.45 billion, up 28 percent.
Net profit amounted to HK$9.98 billion, a rise 91.2 percent.
NWD sold of 2,104 apartments in four new projects The Signaturein Tai Hang; The Riverpark in Sha Tin; the joint-venture project Double Cove near Wu Kai Sha MTR station in Ma On Shan, and joint-venture residential project The Reach in Yuen Long town center. It also sold 262 flats in projects already launched, including The Masterpiece in Tsim Sha Tsui and two joint-venture projects in Hung Hom, Harbour Place and Chatham Gate.
Rental income in Hong Kong was HK$704.1 million, an increase of 7 percent year-on-year. The K11 Art Mall in Tsim Sha Tsui, Discovery Park Shopping Centre in Tsuen Wan and Pearl City Shopping Mall in Causeway Bay recorded high pedestrian flow and made increasing contributions to the property investment segment, the company said. The K11 Art Mall recorded an average monthly people flow of 1.1 million.
The group’s four major hotels, Grand Hyatt Hong Kong, Hyatt Regency Hong Kong, Tsim Sha Tsui, Hyatt Regency Hong Kong, Sha Tin and Renaissance Harbour View Hotel Hong Kong, performed strongly, the company said.
Revenues at Grand Hyatt Hong Kong increased 9 percent in January to June 2012.
The group operates 15 hotels in China, HK and Southeast Asia.
The mainland subsidiary, New World China Land (0917) reported earnings of HK$2.32 billion, an increase of 28.7 percent year-on-year. In particular, operating profit attributable to
property sales amounted to HK$1.59 billion, up 18.6 percent, year-on-year.
Attributable operating profit of its rental business amounted to HK$278.8 million, up 61.4 percent year-on-year.
Contracted property sales amounted to 625,465 sq m gross floor area. Contracted sales amounted to 8.47 billion yuan.