Shoucheng (697) H1 2025 earnings summary

Executive summary

• Revenue for the first half of 2025 rose 36% year-over-year to HK$731 million, with profit attributable to owners up 30% to HK$339 million, driven by new projects and improved operational efficiency.

• Strategic focus includes asset operations, FIME (fundraising, investment, management, exit), and robotics industry investments, with the establishment of a dedicated robotics company.

• Maintained a healthy asset structure, strong liquidity, and low leverage, with a debt-equity ratio of 12.4% and AAA credit rating for three consecutive years.

• Launched the RMB 10 billion Beijing Stabilization Fund and co-established a RMB5.237 billion infrastructure real estate investment fund with China Life Insurance.

• Completed disposal of an 11.92% stake in Shougang Fushan Resources Group, realizing investment gains.

Financial highlights

• Total revenue: HK$731 million (+36% year-over-year); asset operation revenue: HK$511 million (+26%); FIME revenue: HK$220 million (+69%).

• Adjusted EBITDA: HK$587 million (+22% year-over-year); gross profit: HK$295 million (+26%).

• Basic and diluted EPS: HK4.77 cents, up from HK3.65 cents year-over-year.

• Total assets: HK$14,348 million as of 30 June 2025, up from HK$13,829 million at year-end 2024.

• Asset-liability ratio: 35.4% (up from 31.2%); debt-equity ratio: 12.4% (down from 15.9%).

Outlook and guidance

• Plans to intensify investments in core regions and robotics, focusing on digital-intelligent asset management and long-term value creation.

• Committed to sustainable shareholder returns through high dividend payouts.