Paliburg (617) investor relations material

Executive summary

• Revenue increased by 28.9% year-over-year to HK$1,528.8 million for H1 2026, with gross profit rising to HK$528.1 million and operating profit before depreciation, finance costs, and tax at HK$613.1 million, reversing a prior year loss.

• Loss attributable to shareholders narrowed to HK$209.8 million from HK$613.4 million, driven by higher property and hotel revenues, lower finance costs, and a HK$610.1 million gain from the sale of Regal Oriental Hotel.

• The Group comprises four listed entities with diversified interests in properties, hotels, financial assets, and other investments.

Financial highlights

• Revenue: HK$1,528.8 million (2025: HK$1,186.0 million); gross profit: HK$528.1 million (2025: HK$403.8 million); operating profit before depreciation, finance costs, and tax: HK$613.1 million (2025: loss of HK$24.7 million).

• Net cash flows from operating activities were HK$554.2 million (2025: HK$198.3 million).

• Gearing ratio improved to 48.1% (Dec 2025: 51.4%), and adjusted net asset value per share was HK$11.65.

• No interim dividend declared for 2026.

Outlook and guidance

• Hong Kong's property and tourism markets are stabilizing, with resilient demand in luxury residential and positive tourism trends.

• The Group will continue strategic asset disposals to strengthen its financial base and reduce indebtedness.

• Substantial revenues expected from completed and ongoing property projects in Hong Kong and Mainland China.