Citi has released a research report stating that SWIREPROPERTIES (01972) announced its first-half 2026 results, with recurring underlying profit rising 36% year-on-year to HK$4.661 billion. Underlying profit increased 11% year-on-year to HK$4.9 billion, including HK$1.2 billion from development property recognition, primarily from the sale of two standalone houses at 6 Deep Water Bay Road.
Mainland China retail rental income rose 14% year-on-year to HK$2.998 billion, while Hong Kong retail rental income grew 2% year-on-year to HK$1.196 billion. Hong Kong office rental income remained broadly flat at HK$2.449 billion. During the period, the company declared a dividend of HK$0.37 per share, up 6% year-on-year.
Citi maintained its "Buy" rating on the stock with a target price of HK$28.8. The bank noted that mainland retail sales significantly outperformed the broader market, while Hong Kong retail sales remained healthy. The occupancy rate at Pacific Place offices rose to 98%, and the overall occupancy rate at Taikoo Place increased to 90%, with the occupancy rate at Taikoo Place Two reaching 80% for the first time. The net debt-to-equity ratio stood at 14.8%.
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