Swire Properties (1972) Q2 2025 earnings summary

Executive summary

• Office occupancy rates in Hong Kong declined slightly, with Pacific Place at 94% and Taikoo Place at 90% as of June 2025, reflecting a softening market.

• Retail properties in Hong Kong maintained full occupancy, with modest year-on-year retail sales growth at Pacific Place (+1.4%) and Cityplaza (+2.0%), but a decline at Citygate Outlets (-3.3%).

• Mainland China retail assets showed strong performance, with Taikoo Li Qiantan in Shanghai retail sales up 13.5% year-on-year and Taikoo Li Sanlitun in Beijing up 6.8%.

Segment performance

• Hong Kong office segment saw occupancy rates drop from 95% to 94% at Pacific Place and from 93% to 90% at Taikoo Place compared to December 2024.

• Mainland China office occupancy remained stable or improved, with Taikoo Hui at 91% and ONE INDIGO rising to 86%.

• Retail segment in Hong Kong achieved 100% occupancy at major malls, while Citygate Outlets experienced a sales decline.

• Mainland China retail segment reported high occupancy and robust sales growth, especially at Taikoo Li Qiantan and Taikoo Li Sanlitun.

Significant events and developments

• Brickell City Centre in the US was sold in June 2025, impacting the retail portfolio.

• Multiple major development projects are underway in Mainland China, including Taikoo Place Beijing, Taikoo Li Xi'an, and Lujiazui Taikoo Yuan, with expected completions from 2026 to 2029.

• Several trading property projects in Hong Kong, Mainland China, Jakarta, and Bangkok are progressing, with notable sales recognition expected in the second half of 2025 and through 2027.