SWIREPROPERTIES Announces Annual Results: Core Profit Attributable to Shareholders Rises 27% to HK$8.62 Billion

Stock News03-12

SWIREPROPERTIES (01972) has announced its full-year results for 2025. The group recorded revenue of HK$16.041 billion, an increase of 11% compared to the previous year. Core profit attributable to shareholders was HK$8.62 billion, representing a 27% year-on-year growth. Basic earnings per share were HK$1.49. The company has proposed a second interim dividend for 2025 of HK$0.8 per share.

According to the announcement, the 27% increase in core profit attributable to shareholders to HK$8.62 billion primarily reflects profits generated from the sale of non-core assets. The recurring core profit for 2025, excluding profits from asset disposals, was HK$6.26 billion, compared to HK$6.479 billion in 2024. The decrease in recurring core profit from investment properties was mainly due to rental income loss following the sale of the Brickell City Centre retail precinct in Miami, as well as lower office rental revenue in Hong Kong.

The reduction in Hong Kong office revenue was primarily attributed to high vacancy rates persisting for most of the year and ongoing rental pressure from new supply entering the market. However, signs of stabilization began to emerge in the fourth quarter. Despite the challenging market environment, the group's office portfolio remained resilient. Occupancy rates held steady, supported by existing tenants expanding their office space and a revival in leasing demand driven by increased activity in the initial public offering market.

Taikoo Place's Two Taikoo Place and Pacific Place's Six Pacific Place continued to attract tenants seeking high-quality office space with comprehensive amenities. The overall portfolio maintained a strong tenant renewal rate. By the end of last year, an improvement in sentiment within the financial sector led to an increase in leasing inquiries. Pacific Place benefited from an earlier recovery trend observed in the Central district. Taikoo Place's leadership in sustainability and its exceptional community-building efforts have gained wide recognition, sustaining its advantage in attracting tenants looking for high-specification office space.

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