Road King Infrastructure (1098) H1 2026 earnings summary

Executive summary

• Property sales for the first half of 2026 dropped 47% year-over-year to RMB2,792 million, while property delivery also declined to RMB4,767 million.

• Toll revenue from Indonesian expressway projects rose 11% year-over-year to HK$971 million, with traffic volume and toll rates both increasing.

• Net loss attributable to owners was HK$1,849 million, with a basic loss per share of HK$2.47.

• The Group is undergoing offshore debt restructuring, with over 75% of creditors acceded to the restructuring support agreement (RSA) by August 2026.

Financial highlights

• Total revenue for the period was HK$4,452 million, up from HK$1,785 million year-over-year, mainly due to property sales and toll revenue.

• Gross loss was HK$602 million, narrowing from HK$696 million in the prior year.

• Net loss for the period was HK$1,437 million, compared to HK$1,590 million in the prior year.

• Net assets per share fell to HK$4.70 from HK$7.10 at year-end 2025.

• Net gearing ratio stood at 95%, and net capitalisation ratio at 49%.

Outlook and guidance

• The Mainland China real estate market is expected to remain in a bottoming-out phase, with continued policy support but persistent challenges.

• The Group will prioritize stable operations, timely property delivery, and prudent cash flow management.

• Plans to optimize and potentially dispose of Indonesian expressway assets as part of restructuring.

• Offshore debt restructuring process is ongoing, with key court hearings scheduled for October and December 2026.