GUOCO GROUP(00053)2023-10-19 10:01Financial Performance - Revenue for 2023 reached HKD 22,023 million, a 40% increase from HKD 15,758 million in 2022[30]. - Profit attributable to shareholders increased by 73% to HKD 3,400 million from HKD 1,960 million[30]. - Earnings per share rose by 73% to HKD 10.46 compared to HKD 6.03 in the previous year[30]. - Operating profit for 2023 was HKD 1,719 million, up 49% from HKD 1,153 million in 2022[30]. - Total revenue growth of 31% was reported, with earnings reaching HKD 19,508 million compared to HKD 14,905 million in 2022[30]. - The company reported a 73% year-on-year increase in consolidated profit attributable to shareholders, reaching HKD 3.400 billion for the fiscal year 2023[35]. - The company’s total assets for 2023 were reported at HKD 132.624 billion, with total liabilities of HKD 55.290 billion[32]. - The company’s total equity attributable to shareholders for 2023 was HKD 59.338 billion, reflecting a stable financial position[32]. Dividends - GuocoGroup reported a proposed final dividend of HKD 2.50 per share, subject to shareholder approval at the annual general meeting on November 16, 2023[6]. - Proposed final dividend increased to HKD 2.50 from HKD 1.50, resulting in a total dividend of HKD 3.00, a 50% increase[30]. - The company reported a mid-term dividend of HKD 0.50 per share, totaling HKD 162,331,000, consistent with the previous year[133]. Business Segments - The company operates in four core business segments: proprietary investment, property development and investment, hotel and leisure business, and financial services[21]. - GuocoGroup's subsidiaries and investment operations are primarily located in Hong Kong, China, Singapore, Malaysia, the UK, and Australasia[21]. - The company holds a 100% stake in GuocoLand Limited, which is involved in property development and investment across multiple regions[8]. - GuocoGroup has a 53.3% stake in The Rank Group Plc, which operates in the hotel and leisure sector[8]. - The company has a 19.8% stake in Chengdu Bank Co., Ltd., enhancing its financial services portfolio[11]. - GuocoGroup's financial services include 100% ownership of Hong Leong Bank Vietnam Limited and Hong Leong Bank (Cambodia) Plc.[10]. Investment Strategy - The company has a diversified investment strategy across various sectors and regions, aiming for growth and expansion[21]. - The group aims to achieve substantial risk-adjusted returns and capital appreciation through investments in global capital markets and direct investments[22]. - The property investment portfolio includes significant assets in Singapore, China, and Malaysia, with notable projects like Guoco Tower and Damansara City[22]. - The group has a robust risk management system supported by advanced information systems and technology[22]. - The company focuses on creating unique mixed-use developments and high-quality residential properties to enhance local communities[22]. Employee and Governance - The group has a total of 10,500 employees, with ongoing training programs to enhance employee capabilities and quality[76]. - The board consists of an executive chairman, executive directors, non-executive directors, and independent non-executive directors, ensuring a diverse and independent governance structure[86][87]. - The board is committed to maintaining high standards of corporate governance and has reviewed compliance with applicable corporate governance codes as of June 30, 2023[85]. - The company has implemented a whistleblowing policy to address misconduct, fraud, or violations, which is reviewed annually for effectiveness[97]. Risk Management - The company has implemented a corporate risk management framework to continuously identify risks, including environmental, social, and governance risks, and assess their potential impact and occurrence probability[115]. - The audit committee monitors the effectiveness of the risk management and internal control systems on a quarterly basis[115]. - The group maintains a cautious approach in its treasury department, controlling interest expenses and foreign exchange risks despite market volatility[49]. Market Outlook - The global economic outlook remains uncertain, but the group is cautiously optimistic about future growth, focusing on risk management and cash flow control[47]. - The economic environment in the UK continues to exert pressure on hotel room rates and occupancy levels, as well as on the earnings multiples of casinos[185]. Corporate Social Responsibility - Charitable donations for the year amounted to 620,000 in 2022[134]. - The company aims to integrate environmental, social, and governance (ESG) considerations into its operations and decision-making processes[83]. Audit and Compliance - The independent auditor has issued an unqualified opinion on the group's continuous related party transactions, confirming compliance with the Hong Kong Listing Rules[177]. - The audit report is signed by the audit partner, ensuring accountability for the audit opinion provided[196]. - The auditor evaluates the appropriateness of accounting policies adopted by the board and the reasonableness of accounting estimates and related disclosures[195].