Kowloon Development Company (34) H1 2026 earnings summary

Executive summary

• Profit attributable to shareholders rose 4.8% year-over-year to HK$131 million for H1 2026, with EPS steady at HK$0.10 per share.

• Underlying profit (excluding revaluation/fair value changes) dropped 59.6% to HK$126 million, with underlying EPS at HK$0.10.

• Interim dividend maintained at HK$0.10 per share, payable in January 2027.

Financial highlights

• Revenue for H1 2026 was HK$1,186 million, down from HK$2,429 million year-over-year.

• Gross rental income from investment properties in Hong Kong was HK$131 million, a slight decrease of 0.8% year-over-year.

• Net profit attributable to shareholders was HK$131 million, up from HK$125 million in H1 2025.

• Total comprehensive income for the period was HK$302 million, up from HK$214.3 million.

• Cash and bank balances stood at HK$1,160 million as of 30 June 2026.

Outlook and guidance

• Major sales launch for Clear Water Bay Road project expected in Q3 2026, with completion and delivery between Q2–Q3 2027.

• Remaining Upper Manor units to be recognized in H2 2026, expected to drive cash inflows and improve gearing.

• All Mainland China projects advancing prudently, with continued sales of residential units, retail shops, and parking spaces.

• Gearing ratio is expected to improve with upcoming project sales and refinancing.