MTR CORPORATION(00066)2025-03-06 08:30Financial Performance - Total revenue for the year ended December 31, 2024, was HKD 60,011 million, representing a 5.3% increase from HKD 56,982 million in 2023[3] - Regular business profit surged by 68.4% to HKD 7,210 million, up from HKD 4,281 million in the previous year[3] - Net profit attributable to shareholders was HKD 15,772 million, reflecting a 102.6% increase from HKD 7,784 million in 2023[3] - The company's profit for the year ended December 31, 2024, was HKD 16,067 million, a significant increase of 99% compared to HKD 8,088 million in 2023[13] - Total comprehensive income for the year was HKD 15,552 million, up from HKD 6,958 million in the previous year, representing a growth of 123%[13] - The adjusted profit attributable to shareholders for the year was HKD 15,772 million, compared to HKD 7,784 million in 2023, representing a growth of 102%[18] - Basic earnings per share for the year ending December 31, 2024, is HKD 2.81, up from HKD 1.03 in 2023, reflecting a significant increase in profit attributable to shareholders of HKD 15.772 billion[30] - Diluted earnings per share also stands at HKD 2.81 for the year ending December 31, 2024, based on a profit of HKD 17.475 billion from core operations[30] Property Development - Property development profit reached HKD 10,265 million, a significant increase of 392.8% compared to HKD 2,083 million in 2023[3] - The profit from property development in Hong Kong was HKD 10,235 million for 2024, compared to HKD 2,035 million in 2023, indicating a growth of 404%[19] - The company reported a significant increase in revenue from property development, with HKD 12,185 million before tax in 2024, up from HKD 2,329 million in 2023[19] - The company plans to recognize property development profits from various projects, including the second phase of Ho Man Tin Station and the third phase of South Island Line[8] - The first phase of the East Tung Chung Station property development project was approved in December 2024[6] Dividends - The company proposed a final dividend of HKD 0.89 per share, maintaining the total dividend for the year at HKD 1.31 per share, unchanged from 2023[3] - The company declared an interim dividend of HKD 0.42 per share for the year 2024, consistent with the previous year[27] - The board proposed a final ordinary dividend of HKD 0.89 per share, maintaining the total annual dividend at HKD 1.31 per share, consistent with 2023[72] Revenue Sources - Hong Kong railway operations revenue increased to HKD 23,013 million from HKD 20,131 million, while station commercial revenue rose to HKD 5,343 million from HKD 5,117 million[8] - The profit contribution from Hong Kong passenger services was HKD 3.710 billion for 2024, up from HKD 2.681 billion in 2023[32] - Total revenue from Hong Kong operations increased by 14.3% to HKD 23.013 billion, with EBITDA rising by 29.2% to HKD 7.694 billion[77] - The company reported a substantial increase in cross-border service revenue by 61.5% to HKD 3.562 billion, reflecting a recovery in operations[78] Financial Position - The net assets increased to HKD 186,133 million in 2024 from HKD 178,856 million in 2023, reflecting a rise of 4%[15] - The total equity attributable to shareholders increased to HKD 185,625 million in 2024 from HKD 178,344 million in 2023, a growth of 4%[15] - The company’s total assets reached HKD 367,499 million in 2024, compared to HKD 346,426 million in 2023, reflecting an increase of 6%[15] - The company’s liabilities decreased from HKD 181,366 million in 2023 to HKD 167,570 million in 2024, a reduction of 8%[15] Taxation - The current tax expense for Hong Kong profits tax for the year ended December 31, 2024, was HKD 2.086 billion, significantly higher than HKD 610 million in 2023[23] - The total deferred tax expense for the year ended December 31, 2024, was HKD 983 million, compared to HKD 588 million in 2023[23] - The total tax amount related to the initial payment and assumed liabilities from the merger of the two railways from 2007 to 2025 is HKD 5.8 billion, with HKD 2 billion recognized as tax provision as of December 31, 2024[24] Operational Highlights - Total passenger numbers for local railway services increased to 1,601.7 million in 2024 from 1,586.7 million in 2023, representing a growth of 0.9%[63] - The average daily passenger numbers for cross-border services rose to 268.8 thousand in 2024, compared to 195.9 thousand in 2023, marking an increase of 37.1%[63] - The punctuality rate for heavy rail services reached 99.9%, exceeding operational targets and demonstrating high service reliability[83] - The number of reportable incidents for heavy and light rail networks decreased by 25% and 6% respectively, indicating improved safety performance[84] Strategic Initiatives - The company is focused on prudent financial management, optimizing capital arrangements, and maintaining a strong balance sheet to support new railway construction[8] - The company plans to continue supporting government infrastructure projects, including the construction of new railway lines, with significant capital expenditures anticipated for these developments[73] - The company aims to expand its railway network into densely populated areas of Hong Kong, aligning with government planning and infrastructure development strategies[74] Challenges and Provisions - The company has not made any provisions in its financial statements for potential liabilities related to further overruns as of December 31, 2024[43] - The company continues to negotiate with the Hong Kong government regarding the payment responsibilities for the Hung Hom incident costs[50] - The company has not accounted for any potential claims from other parties related to the Hung Hom incident in the provisions[51] Sustainability and Governance - The company raised HKD 7.4 billion under its sustainable financing framework, including the issuance of offshore RMB green bonds worth RMB 4.5 billion, demonstrating a commitment to sustainable development[138] - The company established 43 key performance indicators to measure progress towards environmental and social goals, achieving or on track to achieve all targets during the year[137] - The company completed the installation of solar photovoltaic systems at three locations, generating more renewable energy[138]