Hotung Investment Holdings (BLS) H2 2024 earnings summary

Executive summary

• FY2024 attributable profit rose to NT$158.2m from NT$96.8m, mainly on favorable fair-value changes in the investment portfolio; NAV per share increased to NT$64.63 from NT$63.70.

• Total revenue reached NT$431.8m, up 32.6% YoY; new investments totaled NT$392.5m, up 155.9% YoY.

• The portfolio was NT$4,699.0m at year-end, including NT$564.6m quoted and NT$4,134.4m unquoted investments.

Financial highlights

• Revenue was NT$431.830m versus NT$325.642m in 2023; net gains on FVTPL investments were NT$301.134m versus NT$193.312m.

• Operating profit was NT$281.909m versus NT$198.336m; profit before tax was NT$281.587m versus NT$198.215m.

• Profit attributable to owners was NT$158.188m versus NT$96.796m; diluted and basic EPS were both NT$1.67 versus NT$1.02.

• Operating expenses increased 17.8% to NT$149.921m from NT$127.306m; staff costs were NT$94.053m versus NT$81.469m.

• Other comprehensive income was NT$170.596m, mainly from foreign-operation translation differences as the US dollar appreciated against the NT dollar.

Outlook and guidance

• Investment focus is on AI-driven semiconductors and opportunities in semiconductors, AI applications, automotive components, smart healthcare, and businesses benefiting from trade and tariff shifts.

• The Board recommended a FY2024 dividend of NT$2.55 per share, subject to shareholder approval at the 2025 AGM.

• Management expects to navigate an uncertain environment by pursuing strategic investments and adapting to geopolitical and policy changes.