11% growth to HK$876 million in interim profit
steady elevation to continue in the second half
HONG KONG, CHINA - Media
OutReach - 19
August 2018 - Miramar Hotel and Investment Company, Limited ('Miramar" or 'the
Group", HKSE stock code: 71) announced on 17 August the unaudited interim results for the six months
ended 30 June 2018.
For the six months ended 30 June
Underlying profit attributable to shareholders*
Underlying earnings per share (Basic)*
Interim dividend per share
* Underlying profit attributable to shareholders and
underlying earnings per share (basic) are calculated by excluding the post-tax
effects of the investment properties revaluation movements and other
non-operating and non-recurring items such as net gain on disposal of a
For the six months ended 30 June 2018 (the
"Reporting Period"), the Group's unaudited revenue was HK$1,600 million,
representing a growth of 3% compared to the six months ended 30 June 2017 (the
"Last Corresponding Period"). Profit for the reporting period, at HK$876
million, increased by 11% compared to the last corresponding period.
Basic earnings per share recorded a decrease of 7% to HK$1.25 (2017:
HK$1.34) compared to the last corresponding period.
Lai Ho Man, Miramar's Director of Group Finance, said, "Taking into account the
effect of the increased number of shares issued in the beginning of the
reporting period pursuant to the bonus warrant scheme, basic earnings per share
would have shown a growth in line with the Profit."
Unaudited underlying profit
attributable to shareholders accounted for approximately HK$406 million surged
significantly by 22% compared to the last corresponding period. The underlying
earnings per share (basic) were HK$0.59, an increase of 4% compared to the last
Hotels and Serviced
Revenue from hotels and serviced apartments of the
Group increased by 12% to HK$343 million during the reporting period, compared
to corresponding period of last year.
EBITDA (earnings before interest, taxes, depreciation and amortization)
amounted to HK$130 million, representing an increase of 20%.
Benefited from the increase in overall and overnight
visitor arrivals to Hong Kong, the occupancy and the average room rate of The
Mira Hong Kong and Mira Moon under our Group raised for the first six months of
the year. In order to maintain our
competitive edge, on top of further strengthening the development of the MICE
(meetings, incentives, conferences and exhibitions) segment, we have also
stretched to business with extended revenue such as the establishment of
one-stop unique event planning service brand.
The Group's property rental business recorded revenue
of approximately HK$457 million; EBITDA was approximately HK$406 million, with 9%
growth comparing to the last corresponding period.
The new brand image and position of Mira Place since
2017 rebranding campaign is well recognized by the market. To further enhance the distinctiveness of the
mall, Mira Discovery Zone with about 20 unique designer brands was launched in
the second quarter of the year, offering a vast array of choices and patronage
experience. The refinement of tenant mix
and utilization of repartitioned layouts have also contributed to the increase
in the average occupancy and the rental income returns as a whole.
Food and Beverage
The Group's food and beverage business registered
revenue of approximately HK$164 million and EBITDA of approximately HK$2.6
million during the reporting period.
The Group's food and beverage business overall has
recorded slim profit. We will continue
to review the brand compositions, business models and development strategies of
the food and beverage business under the Group, aiming to strengthen the
revenue drivers alongside our cost effective-oriented business philosophy. There are plans in further develop and
establish more diversified dining concepts.
During the reporting period, revenue from our travel
business amounted to approximately HK$636 million, similar to last
corresponding period. EBITDA amounted to
approximately HK$30 million which representing a growth of 147%, compared to
last corresponding period. Overall the
group outbound business has recorded remarkable performance.
Adhering to a prudent principle, the Group has
maintained its conservative financial policy.
Gearing, calculated by dividing consolidated total borrowings by the
consolidated total shareholders' equity, was
0.1 % as at 30 June 2018 (31 December 2017: 0.1%).
The Group is buttressed by a large cash pool to fund
its development programs for the foreseeable future. As at 30 June 2018, total available credit facilities
amounted to approximately HK$1.3 billion (31 December 2017: approximately HK$1.3
billion). As at 30 June 2018,
consolidated net cash and bank balances were approximately HK$4.7 billion (31
December 2017: approximately HK$3.4 billion), of which HK$3 million were
secured borrowings (31 December 2017: approximately HK$3 million).
response to the results in the first half of 2018 and the business outlook of
the Group, Mr. Lee Ka Shing, Miramar Group's Chairman and CEO, said, "With the
Group's on-going solid financial position and adaptive business strategies, we
are confident in preparing to respond favorably to the economic cycle.
Looking forward, the outlook of the Group's
performance for the second half of 2018 will grow steadily with momentum. Management will continue not merely to
enhance asset value and property portfolio, improve cost effectiveness and
quality of service, but also proactively looking for suitable investment
opportunities with a view of furnishing better returns to our shareholders and
About Miramar Hotel and Investment Company,
in Hong Kong in 1957, Miramar Hotel and Investment Company, Limited (Miramar
Group) is a group with a diversified service-oriented business portfolio
comprising stylish hotels and serviced apartments, property rental, food and
beverage, and travel services in Hong Kong and Mainland China. Miramar Group
has been listed on the Hong Kong Stock Exchange since 1970 (HKEx Stock Code:
71) and is a member of Henderson Land Group.