CK Infrastructure (1038) H1 2024 earnings summary

Executive summary

• Profit attributable to shareholders rose 2% year-over-year to HK$4,311 million for H1 2024, with EPS at HK$1.71, reflecting stable performance amid global uncertainties.

• Interim dividend increased 1.4% to HK$0.72 per share, continuing a 27-year record of dividend growth, payable on 25 September 2024.

• Completed two UK acquisitions, including Phoenix Energy and a portfolio of onshore wind farms, strengthening the renewable energy portfolio and recurring cash flows.

Financial highlights

• Turnover for the period was HK$19,090 million, down from HK$19,534 million year-over-year.

• Earnings per share rose to HK$1.71 from HK$1.68 year-over-year.

• Cash and bank deposits on hand at HK$9,180 million as of 30 June 2024; net debt to net total capital ratio at 9.8% (47.8% on look-through basis).

• S&P reaffirmed credit rating at "A/Stable" in February 2024.

• Interim dividend payout: HK$1,814 million.

Outlook and guidance

• Market uncertainties persist due to high interest rates and geopolitical tensions, but strong recurring income and predictable cash flow provide resilience.

• Positioned to pursue new acquisitions with solid financials and strategic partners, benefiting from higher barriers to entry in the sector.

• Focus remains on organic growth, portfolio diversification, and fiscal responsibility.