Henderson Land Development Company (0012) H1 2026 earnings summary

Executive summary

• Underlying profit attributable to equity shareholders for H1 2026 rose 66% year-over-year to HK$5,071 million, driven by strong property sales and government land resumption gains in Hong Kong.

• Reported profit increased 41% year-over-year to HK$4,090 million, despite a fair value loss of HK$981 million on investment properties.

• Interim dividend maintained at HK$0.50 per share.

Financial highlights

• Revenue surged 80% year-over-year to HK$17,203 million for the six months ended 30 June 2026.

• Property development revenue in Hong Kong jumped 212% to HK$11,878 million; pre-tax profit from this segment soared 965% to HK$3,300 million.

• Net debt decreased to HK$58,432 million (Dec 2025: HK$60,219 million); gearing ratio improved to 17.9%.

• Net asset value per share increased 1% to HK$67.25.

• Earnings per share: HK$1.05 (underlying), HK$0.84 (reported).

Outlook and guidance

• Eight new development projects totaling 1.7 million sq. ft. of residential GFA and 180,000 sq. ft. of office/industrial space to be launched in Hong Kong in H2 2026.

• Attributable contracted sales not yet recognized totaled HK$18,303 million, with HK$6,919 million expected to be recognized in H2 2026.

• Investment property portfolio in Hong Kong to expand to 11.5 million sq. ft. by year-end 2026.